Okaloosa County BOCC — April 9, 2013 (meeting #1123) — reading text

957,813 950,000 County Ninth-Cent Voted Fuel Tax. The County imposes the County Ninth-Cent Voted Fuel Tax on $1,000,000 all gasoline sales for the purpose of paying the cost of establishing, operating and maintaining a 430,322 transportation system and related facilities and the $500,000 cost of acquisition, construction, reconstruction and maintenance of roads and streets. This is a tax of 1 cent on every net gallon of motor $0 and diesel fuel sold within a county. The tax may 2009 2010 2011 2012 2013 be authorized by an ordinance adopted by an extraordinary vote of the governing body or voter Actual Budget Projected approval in a countywide referendum. Currently, 51 of the 67 counties in the State levy this 1 cent tax. Page 8 Packet Pg. 15  1.b Budget staff estimates the Fiscal Year 2013 revenue to decrease from the Fiscal Year 2012 total of $1,119,336 by approximately (-$7,556) to a total of $1,111,779. This tax is projected to generate approximately $1,100,000 for Fiscal Year 2014 and is accounted for in the County Transportation Trust Fund for operations and maintenance. The proceeds of this local fuel tax are not required to be shared with the municipalities. First Local Option Fuel Tax. Of the 12 cents that local governments are authorized to levy, the First Local Option Fuel Tax, is a tax of 1 to 6 cents on every net gallon of motor and diesel fuel sold within a county. This tax may be authorized by an ordinance adopted by a majority vote of the governing body or voter approval in a countywide referendum. Generally, the proceeds may be used to fund transportation expenditures. Currently, 66 of 67 counties in the State levy the full 6 cents of this tax. Attachment: Budget Policy Document FY14 (1578 : Budget Policy Document) Okaloosa levies all 6 cents of this first local option gas tax on all fuel sold in the County. Budget staff Local Option Fuel Tax estimates the Fiscal Year 2013 revenue to decrease 3,735,262 3,713,348 from the Fiscal Year 2012 total of $3,735,262 by $5,000,000 3,600,000 3,400,000 3,360,644 3,350,000 3,262,337 3,250,000 3,200,000 3,188,176 approximately (-$21,914) to a total of $3,713,348 $4,000,000 or approximately $618,890 per cent, for unincorporated Okaloosa County, only. Budgeted $3,000,000 distribution includes $1,800,000 (50.0%) to the 1,436,441 County Transportation Trust Fund for operations $2,000,000 and maintenance and $1,800,000 (50.0%) to the Road and Bridge Construction Fund for road $1,000,000 resurfacing and individual commission district road construction. This tax is projected to generate $0 approximately $3,700,000 for Fiscal Year 2014. 2009 2010 2011 2012 2013 The graph on the right shows that this 6 cent levy has provided a somewhat stable source of revenue Actual Budget Projected for transportation expenditures for the last five years. 2012 State and Local Fuel Tax Rates 0.36 0.36 0.36 $0.40 0.33 0.31 0.31 0.31 0.31 0.31 0.31 0.30 0.30 Cost per Gallon $0.30 $0.20 $0.10 $0.00 Bay Charlotte Clay Escambia Alachua Hernado Okaloosa St Johns St Lucie Santa Rosa Osceola Walton Page 9 Packet Pg. 16  1.b Second Local Option Fuel Tax. The final 5 cent local option fuel tax, known as the Second Local Option Fuel Tax, is a 1 to 5 cents levy upon every net gallon of motor fuel sold within a county. Diesel fuel is not subject to this tax. This additional tax shall be levied by an ordinance adopted by a majority plus one vote of the membership of the governing body or voter approval in a countywide referendum. There are 24 of 67 counties that levy some or all 5 cents of this tax. Proceeds received from this additional tax may be used for transportation expenditures needed to meet the requirements of the capital improvements element of an adopted local government comprehensive plan. Okaloosa County does not levy any portion of this tax on fuel purchases in the County. This tax would generate approximately $911,709 per cent levied countywide and is required to be distributed with the municipal governments. Distribution shall be by the Department of Revenue (DOR) according to the distribution factors determined at the local level by interlocal agreement between the county and municipalities within the county’s boundaries. If no interlocal agreement is established, then the distribution Attachment: Budget Policy Document FY14 (1578 : Budget Policy Document) shall be based on the transportation