(The Center Square) — In a recent work session, the Caddo Commission addressed an ongoing ordinance regarding the implementation of a sales tax in the I-49 North boundaries economic development district.
Ordinance 6523, if advanced, would not only establish a sales tax in this specific area but would also approve the funding of tax increment financing.
“Having served on the Long Range Planning Committee previously last year, I felt it necessary to revisit this item. I felt that the details of this plan were misrepresented to this full body. I think it’s incumbent of us to address debt management,” Commissioner Victor Thomas said. “I think it’s very important for us to be able to establish this tax so that we cannot only carry this burden across 10 years and two administrations, but also we can return this investment back to the citizens and also provide this property back to the parish tax rolls.”
According to Administrator Erica Bryant, if the commission chose to move forward with this ordinance, they would be agreeing to fund the TIF, which previously they were not funding, allowing the taxpayers investment to be paid back quicker. A TIF district can be set up for specific locations, properties, or single location to implement a higher property or sales tax just at that location.
This tax is similar to what Shreveport established at the local mall when they set up a TIF. People who went would pay a higher tax than other locations within the mall to cover things like renovations.
Overall sales tax doesn’t go up, but residents and those going to these specific areas pay a higher tax at the location.
A written agreement was not in place when this tax was agreed upon, but it was verbally discussed that the tax is how the return on investment would be funded.
According to Donna Frazier, public attorney, a taxpayer fronted the money for what is supposed to be a parish road and the tax was discussed as being the method to repaying this funding to the taxpayer. The TIF received approval previously, which prompted the taxpayer to front the funds for the road.
This agreement, noted by many council members, does present a reliance upon the commission to move forward to pay back the money to the taxpayer. The TIF would also be beneficial for the parish, according to Frazier.
One commission member opposed was Commissioner Chris Kracman, as the tax directly affects his district and its citizens. He urged the council to vote no and noted that the last time this ordinance was discussed, it did not pass the commission.
The gas station in discussion is the only place, according to Kracman, that the residents can go to. Other gas stations are almost half an hour away. He also argued that the station already brings in roughly $2 million a year.
Commissioner Victor Thomas clarified the station has only been open a year, which is a part of the misrepresentation he previously spoke of about the ordinance. He does not think the administration should leave a debt on the table when they have the option to do otherwise.
With many of the council members having mixed feelings over the ordinance at hand, the advancement passed with seven in support, three in opposition, and two absent.
Other business discussed is that Caddo Parish is participating in Love the Boot Week to help clean up the state.
Bryant also noted the most recent parish juvenile numbers with 19 in detention, two 17 year-olds, three in the Office of Juvenile Justice, 25 with the Chief Court Counselor, and 453 probation cases. These numbers are lower from the last report, showing a downward trend over the last few weeks in juvenile-related crimes.
