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Commissioner Underhill talks to Chamber audience about the proposed extension of a one cent sales tax

A current one cent sales tax that is being used to retire Junction City debt expires December 31, 2020. On Nov. 5 of this year voters will be asked to renew that sales tax for 10 years.

Junction City Commissioner Jeff Underhill told a State of the Chamber of Commerce audience Thursday evening that’s a critical component to the city’s financial recovery. “We wanted to make it clear that is not a new tax. It is simply extending taxes that we currently have that equates to about $3.5 million a year in revenue to help us pay off our debt and keep Junction City moving forward.

City Manager Allen Dinkel has indicated previously that if the sales tax renewal does not receive voter approval officials would have to find $3.5 million a year. That would mean either cut services dramatically or raise property taxes by up to 21 or 22 mills.

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