5 things to know: Jan. 16 Kingman City Council Meeting

The city sales tax increase that becomes effective Wednesday is partly going to be used to fund the two interchanges at Kingman Crossing and Rattlesnake wash.

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The city sales tax increase that becomes effective Wednesday is partly going to be used to fund the two interchanges at Kingman Crossing and Rattlesnake wash.

1. Ratification of the TPT

Ratification of the Transaction Privilege Tax, or sales tax, that was approved in violation of the state’s open meeting law will top the City Council’s work session at tonight’s regular meeting.

Council meets at 5:30 p.m. at the County Administration Building, 700 W. Beale St. The regular meeting is expected to start at 7 p.m.

The Arizona Attorney General’s Office notified the City of Kingman that Council did not give proper notice for designating 0.5 percent of the tax increase to “capital improvement projects,” specifically to fund I-40 interchanges at Kingman Crossing and Rattlesnake Wash.

Council was given 30 days from the date of the AG’s Jan. 2 letter to comply with the law and ratify three separate actions.

The three draft ordinances provide for the option to remove the “sunset” provision on the TPT rate, leaving it at 2.5 percent, and to increase the rate by 0.5 percent for preservation, and to increase the rate by another 0.5 percent for capital projects, for a total of 3.5 percent.

Final ratification is expected on Jan. 30.

Meanwhile, a town hall meeting has been set for 5:30 p.m. Jan. 23 at the County Administration Building to take public comment on increasing the TPT, potentially requiring a supermajority vote (six of seven Council members) on future tax increases and inclusion of a “big-ticket option.”

The only new business on the agenda is a request to change a portion of North Adams Street to Dollarhide Street. Staff is recommending denial based on Kingman Fire Department’s objection due to possible delays in emergency response.

2. Discussion: Supermajority vote

Discussion regarding implementation of a supermajority vote requirement for TPT increases and introduction of a “big-ticket option.” Interim City Manager James Bacon strongly recommended the supermajority vote for tax increases at the Council’s special meeting on Jan. 9. The big-ticket option allows cities to adopt different tax rates by category. For example, purchases over a certain amount such as $5,000 or $10,000 would be taxed at a lower rate.

3. Update: I-11 East Kingman Connection project

Interstate 11 East Kingman Connection program manager update. Staff recommends starting negotiations with Matrix Design Group to draw up a contract for design and construction services related to the I-11 Connection Project. Council budgeted $2 million for this project and received proposals from Matrix and Mohave Engineering Associates of Kingman. A committee reviewed the firms’ qualifications and selected Matrix as most qualified.

4. Fee increases

Proposed fee increases. A brief summary of the purpose, history and proposed fee increases will be reviewed in advance of a public hearing on the fees. Proposed fee increases will add about $140,000 to the general fund, $55,000 to the water fund and minimal increase to the wastewater fund.

5. Combining commissions

Combining economic development and tourism commissions. As requested by Councilman Stuart Yocum, Council will discuss combining the Economic Development and Marketing Commission and the Tourism Development Commission. EDMC reviewed the item on Dec. 13 and voted unanimously to recommend combination of the two commissions. TDC discussed the item on Jan. 4, but has made no recommendation to the Council.