GALLATIN, Tenn. (WTVF) — On Tuesday night people in Gallatin voted on a ballot referendum to increase a local sales tax.
According to county election documents, the Sales Use and Tax Rate Referendum passed with 54.32% approval.
Gallatin Economic Development Agency executive director Rosemary Bates said the city has two primary ways to bring in revenue: sales or property tax.
The sales tax will pass some of the cost of operating roads, city parks, infrastructure improvements, and public safety to visitors in addition to locals.
"Sales tax is applied on anybody who shops in Gallatin, not just the people who own property here or live here," Bates said.
According to city officials, the increase will be about half a cent, which means people will pay about 25 cents more when spending $50 on items they purchase.
The money will be used for many projects.
Relocating staff from Fire Station 1 of the Gallatin Fire Department to a new space is a top priority.
According to Fire Chief Jeff Beaman, his department needs a bigger facility.
"One of our greatest challenges is we're busting at the seams for space," Beaman said.
According to Beaman, having adequate space for crews to do their work can mean they'll be able to cut down on the time it takes to arrive at a fire or other emergency.
City officials estimate the tax on purchased goods will bring in an estimated $3.5 million per year.
Some of the funding will be used to maintain and build outdoor recreation areas in public parks.
According to Bates, having well-maintained green spaces in the community is key to attracting more people to live in Gallatin.
For more information about the referendum, click here.
Do you have more information about this story? You can email me at robb.coles@newschannel5.com.
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