Cape Girardeau city officials propose to offer voters a revamped parks/stormwater sales tax next year that would put more money into operations and maintenance without increasing the total tax.
City manager Scott Meyer outlined the plan at the City Council retreat Friday at the Cape Girardeau Area Chamber of Commerce office.
Voters approved a parks/stormwater half-cent sales tax in April 2008. The tax includes a one-eighth-cent permanent sales tax and a three-eighth-cent tax that expires after 10 years, which is next year.
The plan outlined by Meyer would ask voters to increase the permanent sales tax by another eighth of a cent and allocate the other quarter-cent to parks and stormwater projects.
Rather than a current 10-year sunset, voters would be asked to approve the one-fourth-cent sales tax for capital projects for 15 years, Meyer said.
As part of the tax proposal, the city would take over maintenance of residential detention basins. Many of those stormwater basins have not been maintained by residents or developers as intended, city officials previously said.
“It makes sense for us to take over the detention basins,” Meyer told the council.
Increasing the share of tax for operations and maintenance will provide the city with more funding to better maintain the stormwater system as well as parks infrastructure such as roads and parking lots, he said.
“That is just being fiscally responsible,” Meyer added.
The current one-eighth tax generates about $1.3 million annually, according to online city budget
figures. The tax plan would generate about $2.6 million a year for operation and maintenance.
Meyer said the capital-improvements share of the tax would generate an estimated $39 million over 15 years for parks and stormwater projects.
He said city staff envision bonds would be issued for such projects. The bonds would be paid off with the tax revenue, he said.
But in response to a council question, Meyer said the funding mechanism “could be a combination of bonding and pay-as-you-go.”
Mayor Harry Rediger said city officials must look at short-term and long-term priorities in developing a list of items that would be funded with the tax.
Ward 5 Councilman Bob Fox said it is important for the city to focus on maintaining its infrastructure.
Taking over maintenance of the detention basins would be popular with the public, he said.
“It is just a no-brainer,” Fox said.
Parks and recreation director Julia Thompson said the initial parks/stormwater tax largely funded new projects such as the Cape Splash water park.
Thompson said residents want the city to maintain its facilities.
“One of the big challenges we face is an aging Central pool,” she said.
Arena Park covers more than 100 acres, she said. But its electrical utilities and stormwater system are “not in good shape,” Thompson said. “It is patched together.”
Ward 1 Councilman Joseph Uzoaru said the city also needs to set aside funds to address major damage that could occur to the stormwater system in the event of “catastrophic events.”
Meyer said city staff is developing a list of possible parks and stormwater projects that could be funded if voters approve the tax plan.
Final decisions on the ballot issue and possible projects rest with the City Council.
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