LC REBOUND: Propositions restructuring taxes pass
LAKE CHARLES, La. (KPLC) - Two Lake Charles major sales tax propositions passed in Saturday’s election.
Branded as LC Rebound propositions, the taxes are a way to modernize the city’s current tax structure, consolidating taxes already on the books, according to Lake Charles officials.
The tax propositions will replace current taxes on the books, with no changes to the existing tax rate.
Officials said the restructuring of the taxes would allow the city to focus money on hard infrastructure, quality of life, parks, education and more.
Proposition 1 passed by 58 percent (4,387 votes to 3,782). It is a 2-percent sales tax, which will consolidate two 1-percent sales taxes and bring in an estimated $54 million per year.
It will be on the books permanently unlike most taxes which have to be renewed every 10 to 20 years.
The sales tax will provide funds, including salaries, for fire, police, public works and other city departments. The money can also be used for economic development or any other municipal purposes.
Proposition 2, a half-percent, 25-year sales-and-use tax, passed by 56 percent (4,578 votes to 3,581). It will replace two quarter-cent sales taxes.
It will generate about $13.5 million annually, the proceeds of which will fund city, roads, bridges, drainage and sewerage systems - as well as capital expenditures of the fire, police, public works and other city departments. The money can also be used for economic development or any other municipal purposes.
Copyright 2023 KPLC. All rights reserved.