Arlington asks voters to approve sales tax increase in May. Here’s what it would mean.
The Arlington City Council decided 8-0 Tuesday to place a proposed quarter-cent sales tax increase on the May 2 ballot.
Councilman Andrew Piel proposed an amendment that the rate increase expire in eight years, but it failed to pass on a 4-4 vote. Councilman Marvin Sutton was not present for Tuesday’s vote.
Arlington voters will be asked to boost the sales tax rate to 8.25%, the highest allowed by law.
Michael Jacobson, president and CEO of the Greater Arlington Chamber of Commerce, said Tuesday the tax would help promote job growth, redevelopment and revitalization.
On Tuesday, 16 residents spoke in favor of placing the tax increase on the ballot, saying it would spur economic development and help the city lower property taxes in the long run.
But 14 spoke in opposition, calling the tax increase regressive, deceitful and an example of cronyism.
“The government should not be in the business of choosing winners and losers,” resident Faith Bussey said.
The city is hoping that the increase can provide some property tax relief, City Manager Trey Yelverton said at a Feb. 4 meeting. Texas passed a law last year designed to limit the growth of property tax bills.
Yelverton also said last week that the tax would also allow the city to better respond to residents’ demands for street maintenance, improved lighting and more first responders.
Councilwoman Sheri Capehart said Feb. 4 the sales tax increase makes sense because visitors would also be contributing through their purchases.
“When I can use someone else’s money to help you, why wouldn’t I do that?” she said.
The city’s sales tax includes a half cent for the debt on Globe Life Field and AT&T Stadium. One cent goes to the general fund, a quarter cent goes toward street maintenance, and the other 6.25% goes to the state. The city expects to raise $68.4 million in 2020 through its sales tax, accounting for 25.4% of its general fund revenues. Property taxes will bring in $118.8 million.
This story was originally published February 11, 2020 at 8:52 PM.