- November 23, 2024
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Editor’s note: This letter was addressed to the Flagler County Board of County Commissioners.
First, I’d like to present the following data for your consideration:
SALES TAX DATA
Palm Other Unincorporated
Coast Cities Flagler County
Population 79% 14% 7%
Default distribution 50% 45% 5%
Mid-point distribution 65% 29% 6%
Existing agreement 65% 29% 6%
Second, consider that of the taxable sales in Flagler county, 79% occur in Palm Coast; the balance, or 21%, in the remainder of Flagler County.
Based on the chart, we feel that the current distribution (the so-called interlocal agreement) is eminently fair. Our preference would be to continue to apply this formula for any future sales tax that may be enacted.
With this being said, the Palm Coast City Council offers the following additional compromise. Given the urgency that you express regarding the expansion of the jail, we propose the following alternative:
Enact the “small county” half-cent sales tax for a definite period of time (10 or more years). In the first three years, distribute the proceeds according to the default formula. During each of the next four years, increase the distribution to the cities by 25% of the difference between the default amount and the “mid-point” distribution shown (in the box). In the last three or more years, distribute the revenue according to the interlocal distribution formula. This “front loading” to the county will give you additional immediate revenue to use toward the jail expansion.
Palm Coast is ready to issue a public statement outlining exactly how we intend to utilize the revenues from this sales tax; we hope that the county is prepared to do the same.
