Government
2:09 pm
Tue March 11, 2014

Local Sales Tax Option Passes Ky. House Committee

Credit iStockPhoto

Supporters of a local option sales tax in Kentucky have won their first victory in Frankfort, but the matter is still far from settled.

A bill that would amend the state constitution to permit local governments to levy a temporary one percent sales tax increase to fund capital projects passed out of a state government committee Tuesday. The bill now heads to the full House for consideration.

To become law, it needs a supermajority in the House and the Senate, then majority public support on the November ballot. Louisville Mayor Greg Fischer is optimistic, even though Democratic leadership is divided on the issue.

“It passed out of committee, so it becomes a lot more real to a lot more people," Fischer said. "So for us it’s just continued education. People from all over the state are for this bill, people from both sides of the aisle are for the bill, so we’ll just keep working hard to get it passed.”

House Speaker Greg Stumbo has said he does not support the bill. He says rural taxpayers will wind up paying for projects that will be more beneficial for urbanites.