VALDOSTA —
In preparation for today’s Local Option Sales Tax negotiations, city representatives released what they believe should be the municipalities’ share of the revenue during the next decade.
In response Tuesday, one Lowndes County official said the cities’ proposal is unacceptable.
LOST revenues are estimated to reach between $180 million and $250 million during the next 10 years. LOST funds allow local governments to continue public services without raising property tax levels.
LOST funds are negotiated between the county and its respective cities every 10 years. Lowndes County LOST talks have stalled as officials from the county and cities have been unable to reach an agreement on how much each government entity should receive.
In Tuesday’s letter, Valdosta, Hahira, Lake Park, Dasher and Remerton city leaders proposed that 56.37 percent of LOST revenues should be split between cities, leaving 43.63 percent for Lowndes County.
Lowndes County Commission Chairman Ashley Paulk said the offer was unacceptable and no one from Lowndes County would be attending today’s meeting.
“The City of Valdosta must think the citizens are more ill-informed than they really are,” said Paulk.
On April 9, during the first round of negotiations, Lowndes County proposed a LOST split similar to the one used during the past 10 years, which would provide about 58 percent to Lowndes County. The county’s alternate offer would remain at a 72/28 split.
In the cities’ letter, officials indicated that the county’s initial presentation inadequately supported their offer.
“We were provided with a three-page summary of bullets and talking points that included the LOST procedure, information on property tax rollback, three statements on service delivery responsibilities, two statements on the allocation of proceeds, the increase in costs of the county’s service delivery and a conclusion,” the letter states.
City leaders also argued that municipal populations have grown significantly during the past 10 years and daytime population, points of sale and provided services must be considered, not just residential population.
Although cities provide residential and commercial services in the form of water/sewer, road maintenance, etc., counties are legislatively mandated to provide an umbrella of services for all county citizens which include law enforcement, the superior, magistrate, juvenile, probate and state court systems, the jail, the public defender’s office, the county clerk and county treasurer, the board of elections office, the public library system, and animal-welfare system.
LOST’s purpose, according to the Georgia Municipal Association, is to provide property tax relief for citizens. The one-cent sales tax was created to offset costs for government’s general operating budgets in lieu of raising taxes on homeowners.
The allocation of LOST proceeds must be renegotiated every 10 years, two years after the census results. The renegotiation procedure involves 60 days of negotiation; 60 days for mediation or non-binding arbitration and Superior Court “baseball arbitration,” where each party will present their best and final offers.
Valdosta Mayor John Gayle said although most of the city leaders are new to office, it is their responsibility to obtain as much as possible to continue providing services without tax increases.
The cities’ called meeting will be held 10 a.m. today, May 9, Lake Park Civic Center, 123 N. Essa St., directly across from the Lake Park City Hall. The county is not expected to participate.
For more on this story and other local news, subscribe to The Valdosta Daily Times e-Edition, or our print edition.
