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April 02, 2014 - Grantwood Village voters will consider two sales-tax propositions when they go to the polls Tuesday.
Board of Trustees Chairman Kevin Kelso told the Call the sales taxes "would be collected on any monies spent in the village," whether it is a resident or a visitor making a purchase. The village is "looking toward the future" with the placement of the propositions on Tuesday's ballot to ensure the village "stays fiscally strong and safe."
Proposition 1, a quarter-cent general revenue sales tax, is intended to be paid "by the 500,000-plus visitors to Grantwood Village who purchase food and souvenirs," according to information provided by Village Clerk Mark Kienstra.
The tax would "add 25 cents to every $100 spent in the village," and be classified as "unrestricted revenue." As such, it can be used for "enhanced services" or to "build reserves" and would generate roughly $12,000 in annual revenue, according to the information Kienstra provided.
Proposition 2, a half-cent economic development sales tax, also would be paid by Grantwood Village visitors, adding "50 cents to every $100 spent in the village," according to Kientra's information. The tax would be restricted to economic development projects, "such as resurfacing Grant Road" and, if passed, is expected to generate roughly $30,000.
The taxes are being proposed, according to Kienstra's information, to help generate funds to "resurface Grant Road."
The cost to resurface Grant Road is estimated at more than $400,000. The Board of Trustees is seeking federal grants that would offset 80 percent of the cost, if approved. However, whether the grant funding will be approved is undetermined at this time, according to Kienstra's information.
The board voted in January to put both issues on the ballot. At that time, Trustees Paul Pfeiffer, Kelso and Kienstra voted in favor. Trustees Bob Bess and Pat Williams voted against placing the sales-tax propositions on the ballot.
Editor's note: This story was updated to include comments from Board of Trustees Chairman Kevin Kelso.
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