Parish may ask for tax increase

Published 12:00 am Saturday, June 17, 2000

ERIK SANZENBACH / L’Observateur / June 17, 2000

LAPLACE – Be prepared for another increase in your sales tax.

Faced with a shortfall of funds to pay for law enforcement and the court system, the St. John Parish Council is mulling over the idea of asking thevoters to OK a 1/4 percent sales tax increase within the next three weeks.

If there is no consensus on that, then Sheriff Wayne L. Jones will ask for thetax increase in the October elections.

Either way it means St. John residents would end up paying an 8 1/2 percentsales tax.

The issue came up at the last council finance committee meeting. AttorneyHugh Martin, bond lawyer for the council, informed the committee the cost of conducting murder trials, specifically the Daniel Blank trial, has put a serious drain on parish resources.

By state law each parish has to fund its law enforcement, district attorney’s office and courts. The budget for these departments amounts to$1,600,000, and that is seriously depleted.

Martin said even the sheriff will have trouble because the federal grant that allowed him to hire more deputies will run out shortly, and to maintain an effective crime-fighting force the sheriff will be forced to go before the voters for a tax increase in October.

Martin told the council, “The possibility of providing additional revenue to fund costs associated with law enforcement through the authorization of a sales tax could be a possible solution to the funding requirement.”After some research with tax collections at the St. John School Board,Martin said $4.5 million could be raised if the tax were raised by 1 percent,and 1/4 percent increase would raise $1.125 million.Martin said that because the state has renewed its sales tax, the St. JohnParish increase would raise the sales tax here to 8 1/2 percent, not the highest in the state, but close.

The other option, Martin suggested, is an ad valorem, or value-added tax, but he doesn’t think that would generate enough funds.

“My considered judgment is that a 1/4 percent sales tax increase is the way to go,” Martin told the committee.

Committee Chairman Cleveland Farlough said he’s very skeptical about the increase.

“I’m not saying the need is not there, ” said Farlough, “but we should take a long hard look at other options. We must make sure that we are doingeverything possible that is fiscally responsible before we go start raising taxes.”Martin said there is a deadline to calling the election. The council must call anelection within three weeks to offset the sheriff’s election. Martin said thiswould present a “unified plan to the voters.”Council Chairman Duaine Duffy said, “These are costs we cannot avoid. Theyare mandated. The general fund has had a hard time covering these costs.The sheriff needs to increase revenue to pay for officers, and the burden of the courts falls on the council.”Duffy said this is not the only parish government in this situation.

“These mandated costs have hit all local governments, and the state is not helping us with the cost of the court system,” he said.

However, Allen St. Pierre cautioned, “Low-income people are going to find thishard to take.”Farlough agreed and said, “These sales taxes keep going up, and it has an impact on lower-income people. You just can’t go on piling on these salestaxes.”Melissa Faucheux said that even though she is philosophically opposed to any tax increase she realizes the courts must get funded.

“But we must explain it to the people and be on the up-and-up,” said Faucheux. “We should hold several public forums on this before deciding.”Duffy agreed, “We need to take a long hard look at how to explain this to the people.”However, Lester Rainey doesn’t even know if the tax can be legally proposed.

According to state law, a sales tax for any parish cannot exceed 8 percent with 4 percent for the state and 4 percent for the parish. If the parishwants to raise the sales tax above its 4 percent, it has to get permission from the state Legislature.

Even if the state gives its permission, Rainey is not too keen on the idea of higher sales taxes.

“A lot of our problem is in the management of the funds we already have,” said Rainey. “We should stop putting money into luxury items like a civiccenter, a new library or a park and make sure we have paid for the basics like drainage, sewerage and law enforcement.”Rainey isn’t happy with the money that law enforcement has been given so far. He said his constituency on the west bank only gets two officers pershift. Rainey wants to see more for his people before he votes for a new tax.”Tell me what I’m going to get out of it,” Rainey said. “I know the grant moneyis running out, but I have to see more.”Everybody agreed that law enforcement needs to be funded, but they all seemed to have the same reaction as St. Pierre.”I got mixed feelings about it,” said St. Pierre, “Right now, I can’t make acommitment either way. Besides, the administration would have to give me asolid commitment that this money will be used for the right thing and not put into a slush fund.”Ranney Wilson said he wants to review the proposal several times and digest the information, but he also said, “We need it, but I’m not sure about voting for another tax hike.”Wilson said he has problems with how the courts will be funded and the large share of expenses to be shouldered by the parish council.

Rainey summed it up, saying: “I don’t mind contributing, but before I ask the people to vote for any tax I want to see the basic services taken care of first.”

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