Council adds use tax to sales tax increase request

The addition of the use tax increase is new, but is now included since that tax is collected on vehicles and building materials and, according to a staff memo to the council, “It has been the town’s policy to keep the two rates tied together. The amount of potential revenue from the use tax increase of 0.5 percent is approximately $30,000 annually.” The additional revenue raised by increasing the Crested Butte sales tax to 4.5 percent from 4 percent would be earmarked for parks and recreation facility maintenance and parks and recreation capital and programs. That would free up money in the town’s overall capital budget for other projects. The additional revenue from the use tax would be split, as it always has, between the town capital fund (60 percent) and the town’s general fund (40 percent). The council will review the language once again at a public hearing scheduled for Tuesday, August 5. The question will come before registered voters in the town of Crested Butte at the November 4 election.