Daytona Commission Supports Putting Half-Cent Sales Tax Increase On Ballot

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Daytona Beach, FL - On Wednesday, The Daytona Beach City Commission unanimously agreed to support Volusia County in putting a half-cent sales tax increase on the November ballot. Now that Daytona Beach has agreed to support the half-cent sales tax measure, the measure is one step closer to moving to the ballot box. All 16 Volusia County municipalities must agree to support the resolution in order to put the half-cent sales tax up for a vote. The municipalities must agree on the language of the resolution, and they will be using input from residents in order to write the referendum. The revenue generated by the proposed tax hike would go toward infrastructure projects such as enhancing sidewalks, repairing roads, reducing traffic congestion, alleviating flooding, and improving water quality. Because the Commission agreed to support the measure, Daytona will get to have a say in how the money is allocated if a referendum is put on the ballot and if it passes. Daytona Beach Mayor Derrick Henry said at the meeting that if there is a sales tax increase that the money would be spent on the most important projects first. "My objective will be that this money is spent on the meat and potatoes of the City of Daytona Beach, which for me is taking care of the roads that we already have," he said. Commissioner Ruth Trager said that the proposed sales tax increase would be regressive. "That means those who can least afford it end up paying the biggest percentage; however, I do believe the people have a right to vote on it," explained Trager. The revenue share for the proposed tax hike for Daytona Beach could be approximately $3,716,126 annually. For Volusia County, that revenue is estimated to be $45 million annually. Approximately 40% of the proposed sales tax revenue would come from tourists visiting the area. The proposed measure would allocate revenue to each city based on a formula accounting for state statute and population. "Are we getting the short end of the stick here? Yeah, but this is $3 million versus zero," Commissioner Rob Gilliland said of the potential revenue from a potential sales tax increase. "I just hope that in the long-term that some of those funds come back to those same communities that are going to be taxed the most," said Commissioner Dannette Henry. Copyright Southern Stone Communications 2018.