Local Sales Tax Option
On November 2, 2021 Saint Peter voters approved a sales and use tax of one-half of one percent (0.5%) to finance the construction of a new fire station in the City. The information below is presented for your information.
Ballot Question: Shall the City of Saint Peter, Minnesota be authorized to finance the construction of a new fire station in the City by imposing a sales and use tax of one-half of one percent (0.5%)? Local Sales Tax Option Sample Ballot
We all want to know how implementation of a local option sales tax will impact our personal budget. The information below shows the impact on property taxes should the sales tax question be voted down. The table shows how much your family would need to buy in taxable items to equal the amount of property tax increase if no sales tax was put in place. For example…if there was no sales tax, owners of a $150,000 house would pay an additional $70.29 per year in property taxes to fund construction of the Fire Station. If the sales tax was implemented (meaning no property tax increase), property owners would have to buy $14,057 in taxable items per year in Saint Peter to equal that same amount. It may be important to note that even people that do not pay property taxes will most likely buy things and pay sales tax.
The second table (shown below) shows the amount of sales tax expected to be generated in each year based on information provided by the Minnesota Department of Revenue. As you see, the sales tax is expected to be more than needed to pay the annual debt service costs.