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Ward County voters to decide on sales tax for roads

Ward County voters to decide on sales tax extension

Jill Schramm/MDN A truck heads north on Ward County Highway 19 north of Minot last fall. The Ward County Commission is proposing a sales tax extension to help fund road and bridge projects.

Ward County voters will be asked to consider extending the county half percent sales tax to maintain and improve roads.

The Ward County Commission voted Tuesday to accept ballot language that would extend the tax from its current sunset on Dec. 31, 2022, for another 20 years. The tax would continue to pay off bonds on the construction of county buildings but it also would go toward road projects over the longer term.

The original sales tax approved in 2012 had included $10 million for roads, along with funding for building construction. However, only about $3 million has been paid out for roads, and tax collections are short of what is needed to cover even the building expenses.

On Tuesday, commissioners addressed some of that shortfall in voting to refinance bonds. Part of that refinancing extends the bonds into the future, and extending the tax would help to cover those bonds as they come due.

“This is going to address the shortfall we have right now,” Commissioner Alan Walter said. “But once that is done, it is going to address the needs that are identified in our comprehensive plan for roads and bridges. We’ve got 72 bridges. Most of them need work, repair or replacement. We’ve identified a number of roads that need to be built and improved to handle the weights that are coming at us. It’s pretty important for the county to make this county ready for the future needs that we see coming at us based on the comprehensive plan.”

Demand on local infrastructure has been increasing because of larger and heavier equipment. The state is promoting roadway capability to handle 129,900 pounds per gross vehicle weight, up from 105,500 pounds. The county’s concern is providing a network of roads and bridges to handle that those vehicles coming off the state system.

Commission Chairman John Fjeldahl added that without the tax extension, sales tax collections will fall short of money needed to meet the bonds, forcing those costs onto property taxes. He noted this year’s budget includes 3 mills of property tax to cover any potential shortfall, should it be necessary even with the refinancing.

Commissioner Shelly Weppler said the extension would allow the county to provide the $7 million that remains promised for transportation improvements. If the money doesn’t come from sales tax, it would have to come from elsewhere.

“That would be even a greater property tax for the people,” Weppler said.

The county is estimating $6 million in sales tax collections a year.

The proposed ordinance language also changes the maximum tax on a purchase from $12.50 to $50. If the ordinance is approved by voters, that change would not begin until January 2023.

The sales tax ordinance requires two readings of the commission before it is submitted for placement on the June ballot. Tuesday’s action by the commission was the first reading.

Ward County hires new directors

Ward County has a new human resources director and new planning and zoning director.

Human Resources Director Tammy Terras previously worked six years as the Burleigh County human resources director and was employed in human resources with the City of Bismarck prior to joining Burleigh County.

Planning and Zoning Director Doug Diedrichsen of Sauk Rapids, Minn., has worked as the St. Cloud Metro Bus planner. He previously worked with the St. Cloud Area Planning Organization in St. Cloud, Minnesota, and in rural planning in Virginia.

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