A sales tax ballot question being considered by the Montezuma County Board of County Commissioners for the November election would earmark funds for public safety services only.
The public safety sales tax would support law enforcement, fire protection and emergency services, the commissioners said during several discussions in February and March.
A proposal for the tax has not been finalized. But a recent survey commissioned by the county suggested a 1.9% sales tax – 19 cents per $10 purchase – that would raise about $6 million per year. The county currently does not have a sales tax.
County officials said a sales tax would support public safety services threatened by the decline in oil and gas revenues, prevent cuts in services and help balance the budget.
A drop in the oil market created a $2 million shortfall in the 2022 county budget. It was backfilled this year by federal American Rescue Funds received by the county.
County revenues are tied to the oil market because more than 30% of the county tax base relies on carbon dioxide produced by Kinder Morgan Inc. that is piped to Texas to pressurize wells in the production of oil.
Volatility in the oil and market and finite CO2 reserves have led to discussions about a sales tax to counter projected revenue losses.
But for a public safety sales tax to have a chance to pass at the ballot box, the public must know how the revenue would be spent, the commissioners said.
The county has asked the sheriff, jail, district attorney and fire departments from Cortez, Dolores, Mancos, Pleasant View and Lewis-Arriola to report on funding needs that could be supported by the public safety sales tax. Agency reports are due in two weeks.
One area the sales tax could support is expanding the jail, said County Administrator Shak Powers. Before the COVID-19 pandemic, the 104-capacity jail was often near capacity, full or overcapacity, according to Montezuma County Sheriff Steve Nowlin. Two new pods would house 10 to 20 inmates with five additional holding cells, he said.
Nowlin said establishing a detox center in the county would take pressure off the jail. He said that every month, about 15 inmates are jailed for alcohol and drug abuse offenses that would make them candidates for admittance to a secure detox center if one were available.
Cost estimates for new jail pods are being studied, Powers said.
“Sooner or later, they are going to need another pod, and with that comes increased personnel costs,” said Commissioner Jim Candelaria.
Fire chiefs from Dolores and Mancos said their volunteer fire departments lack the number of volunteers to cover calls during the day. If granted sales tax funding from the county, the revenue could be used to hire paid firefighters for day shifts that lack coverage.
“Employers don’t allow volunteer firefighters to leave work for a call like they used to,” said Dolores Volunteer Fire Department Chief Mike Zion.
The public safety sales tax funding could also be used to support the county’s new Community Intervention Program, which employs a social worker and EMT to respond to human welfare 911 emergencies such as drug and alcohol abuse, homelessness, mental illness and family disputes.
Establishing a sunset clause would make approving a sales tax more palatable for voters, commissioners agreed.
A sunset clause would give residents “the option to revisit” how the money was spent, then decide whether it should continue or not, said Commissioner Gerald Koppenhafer.
“I have no problem putting (a sales tax) out there, and let the people decide. To stand a better chance of passing, you have to be specific on what to do with the money or they will tell you no,” Koppenhafer said.
Lindsay pointed out that decades ago voters first denied a tax to build the new jail, then approved it when a sunset clause was added.
The county is studying the budget to look for areas to reduce expenditures, Powers said. No capital projects are planned this year.
“For next year, I must create two budgets, one for if the sales tax passes, and one if it does not, and that would mean department cuts,” he said.
A professional survey conducted on the sales tax question showed that when not informed of how the money would be used 55% would likely reject the measure, and 37% would likely approve it. When informed on how the money would be spent, the survey showed 50% said they would likely reject it, and 45% would approve it.
jmimiaga@the-journal.com
