City takes consensual vote on sales tax agreement

City takes consensual vote on sales tax agreement

April 12th, 2011 by Cliff Hightower in Local - Breaking News

The Chattanooga City Council informally agreed today that it would like the 45-year-old sales-tax agreement between the city and Hamilton County to expire next month.

Councilwoman Carol Berz, chairwoman of the Budget, Finance and Personnel Committee, asked the council this morning if it would like the contract to expire. There were no negative responses from the eight council members present.

The sales tax agreement governs almost $10.5 million annually in sales tax given to 28 different agencies. The county has historically governed where the money goes.

"It's time for that government to step up its role," said Councilman Peter Murphy. "We shouldn't be crutching them along anymore."

The council is set to vote on a resolution tonight saying it supports not renewing the sales-tax agreement, which went into effect in 1966.

The council also took a consensual vote today saying it would support the city fully paying for libraries within Chattanooga and also for the Chattanooga-Hamilton County Regional Planning Agency.

Council members also agreed the county should be responsible for funding the Hamilton County Health Department, Erlanger hospital and Hamilton County Emergency Services.

For complete details, read tomorrow's Times Free Press.