Hays sales tax dropping April 1
By DAWNE LEIKER
Hays shoppers might hear the jingle of a few extra coins in their pockets April 1, the day after the city's half-cent sales tax sunsets.
Approved by voters in November 2008, the sales tax to fund construction of Bickle/Schmidt Sports Complex is projected to generate $11 million by March 31, when the sales tax sunsets.
Kim Rupp, city of Hays finance director, reminded Hays retailers at Tuesday's city press conference to change their cash registers or accounting systems from 8.55 percent to 8.05 percent at the end of business March 31.
"This half-cent sales tax for the purpose of building and future maintenance of the Bickle/Schmidt Sports Complex was quite successful," Rupp said.
Hays' 8.05 percent sales tax is split, with 6.3 percent going to the state and 1.75 percent to the city.
Collections through the end of February totaled $10.4 million. Rupp projected that amount to "easily top" $11 million if collections continue as they have throughout the duration of the sales tax.
The total sales tax to be used for construction of the sports complex was limited to $8 million by the ballot question approved by voters, allowing the rest collected to be used for future maintenance.
Rupp said the $8 million used to build the sports complex came from city idle funds and was not bonded, saving the city more than $400,000 in interest.