Two items intended to address aging infrastructure in the Kenai Peninsula Borough School District came in front of the Kenai Peninsula Borough Assembly recently — but only one will be on the ballot this October.
Voters will weigh in on a $65 million dollar bond package that aims to improve aging roofs, outdated drop-off areas and other critically damaged infrastructure at schools in Kenai, Soldotna, Nikiski and other peninsula communities. The assembly voted to put the bond on the ballot last month.
However, an ordinance intended to raise sales tax funds that could finance staff salaries and infrastructure maintenance at borough schools won’t be on the ballot. The ordinance would have increased the maximum size of a sale subject to borough sales tax, from its current cap of $500 to $1,000.
All sales tax collected in the borough goes toward funding the school district. The current cap was set back in 1965, and has never been adjusted for inflation.
Assembly Vice President Brent Hibbert was one of the sponsors of the bill, but he also motioned to remove it from the agenda at Tuesday’s meeting. He said that the timing just isn’t right — if voters are faced with a $65 million bond on the ballot this October to pay for schools, the assembly doesn’t want to hit them with a tax increase for the same purpose.
Historically, the sales tax cap increases like this one simply haven’t been successful when turned over to voters, said assembly member Tyson Cox.
“My question just is…why time it right now, when I think there’s a lot of potential to negatively affect our bonds that are coming forward, with an issue like this coming forward which has traditionally not passed anyways?" Cox said.
Hibbert said that the assembly will probably readdress the sales tax cap after the election.
The bond, however, will be up to voters when it appears on the ballot on October 4.
