Residents of Powell will vote on an income tax hike this autumn. If approved, it will be Powell’s first tax increase in 27 years.
“We have the best schools, police, fire and EMS,” said Mayor Jon Bennehoof in a press release. “We need to make sure we’re investing in our future. I believe this proposal does just that.”
Social security and pension income won’t be affected by the proposed tax rise, according to information provided by the city. Others will see the income tax rate go from 0.75 percent to 1.15 percent while increasing the credit from 0.25 percent to 0.50 percent for residents who pay taxes to the municipality in which they work, if it’s given the thumbs up.
This means a Powell resident earning $100,000 per year would see their taxes go up by $400 per year.
As a result, the City Council would allocate at least 25 percent of all income tax revenue to infrastructure maintenance and improvements.
Powell’s most expensive infrastructure assets are its 120 lane miles of streets, 77 miles of storm sewers and 24 miles of bike paths. Developers built these improvements for the most part during the City’s most active periods of growth: 1986-1988, 1992-1994 and 2001-2005, said a City Council spokesperson.