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ROADWORK Ashland council hopes to shift some meals tax funds Excess revenue could be used to help repair the city's deteriorating streets Comment By Julie Akins for the Tidings DailyTidings.com By Julie Akins for the Tidings Posted Jul. 29, 2016 at 11:21 AM By Julie Akins for the Tidings Posted Jul. 29, 2016 at 11:21 AM » Social News Ashland residents will likely have one more thing to consider on the Nov. 8 ballot — whether to divert a portion of the city's food and beverage tax to fix city streets. The Ashland City Council will consider referring it to voters in its Aug. 2 meeting. Revenues from the tax pour into the coffers of the city of 21,000, thanks in large part to the 300,000-plus tourists it attracts annually. The 5 percent tax added to the tab when people eat and drink out in Ashland has been such a success that City Administrator Dave Kanner estimates it will bring in roughly $600,000 more than what's needed to pay off the debt on the sewage treatment plant this year alone. “Current projections indicate that the pavement management program can be fully funded solely with these F&B tax revenues,” said Kanner. Residents passed the tax in 1990 to finance a new treatment plant and voters extended the tax in 2009. Now the plant built with that money has also been re-financed at a lower rate. That means, according to Kanner, there is ample money left over to fix up city streets, some of which are in dire need having not been repaired in more than 15 years. That time frame is the breaking point, according to Public Works Director Mike Faught, who says a simple re-paving job can become a project needing base repair and foundational work if it’s left too long. That can sometimes more than double the cost, according to Faught. “The city’s two primary sources of street maintenance revenue — shared state gas tax revenue and the local street utility fee — have not kept pace with demand.” said Kanner. “The city faces a $10.5 million bill to bring all of its arterial, collector and neighborhood collector streets up to excellent condition, after which the streets can be maintained on a regular and much less costly schedule.” While initial discussion focused on potentially diverting the funds by a council vote it was decided that voters should make that call. Councilor Mike Morris said, “I think if voters approved us using the money for one purpose and we change that purpose, we should ask them.” Councilor Pam Marsh agreed, likening the process to going to the dentist. She said it’s better to do the work now before it gets worse but agreed voters need to make that decision. Public Works managers say every street is Ashland is due or overdue for repaving. Some will require more extensive work. The original plan spelled out in March called for doing the work in intervals so as not to overwhelm commuters and Public Works crews. If voters approve allowing the new use for the tax, nothing would materially change for consumers. The tax remains at 5 percent and it still sunsets in 2030. It additionally would increase funding for Parks and Recreation from 20 percent to 25 percent of the tax, boosting revenues for parks in 2017 by roughly $140,000. The plan calls for borrowing $10.5 million in stages for road repair and using the food and beverage tax revenues to pay the debt service annually. The Ashland City Council will consider the measure in a first reading at 7 p.m. Tuesday, Aug. 2, in Council Chambers, 1175 E. Main St. Email Ashland freelance writer Julie Akins at [email protected] and follow her on Twitter at twitter.com/ @julieakins. By Julie Akins for the Tidings DailyTidings.com By Julie Akins for the Tidings Posted Jul. 29, 2016 at 11:21 AM » Comment or view comments Reader Reaction » STAY INFORMED Email NewsLetter Sign Up Today Sign up for our newsletter and have the top headlines from your community delivered right to your inbox. Southern Oregon Directory Featured Businesses Loading... 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