Monday, March 1, 2010

If You Want Higher Taxes, This Rail's For You

Reading today from the Environmental Study Report regarding the cost of this project. Here are a couple of facts that were of interest to me.

Currently, bus fares account for 15% - 18% of the UTA bus operating budget and rail fares account for 22% - 25% of the UTA rail budget (ESR p. 5-9).

Sales tax is the major funding source for UTA operations. Currently, Davis County residents pay 0.55% in sales tax to fund the UTA. If the rail line is built, and the federal government pays for 80% of the project, your portion of the sales tax will increase an additional 0.25%. If the federal government does not fund this project, we get an even greater tax increase on our sales tax of 0.66% on top of the 0.55% we already pay. That would more than double your current UTA sales tax obligation for Davis County residents (ESR pp. 5-9, 5-10, 5-11). Folks who live in Salt Lake County pay a higher amount than we do. Their current rate is 0.80% for transportation with 0.6875% available for transit.

Also, this rail line has a yearly operations/maintenance cost of $14.9 Million and potential debt service of $5.7 Million (ESR p. 5-10). Does that equal $20.6 Million annually?


4 comments:

  1. Absolutely AGAINST this rail system!!!

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  2. South Davis County already has higher taxes because of the rec center. Metro fire increased taxes. The buses that currently run are not even full, so what need do we really have for the rail system and its accompanying tax increase? The established businesses on main street will probably be negatively impacted during construction.

    And really, who in South Davis County really wants this rail system? The citizens or the politicians? We don't need any more big govt telling us what we want. We already know what we want. My voice speaks loudly against this rail system!!!

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  3. There is a Rally planned for Monday, March 29th at 7pm. Meet at the Bountiful U of U extension East Parking Lot between 100 and 200 South. Media will be there. Bring "family friendly" posters.

    ReplyDelete