Greenwood County debtless?
Officials consider using penny tax funds to eliminate $10M in bonded indebtedness
Thursday, February 20, 2014 12:00 AM
Greenwood County Council is considering using funds generated several years ago by a capital projects sales tax to pay off the county’s bond indebtedness and capital leases.
In 2006, Greenwood County voters approved a capital projects sales tax — commonly referred to as the “penny tax” — to collect funds to construct a new library on South Main Street and to make federally mandated refurbishments at Buzzard Roost Dam.
That tax formally went into effect in 2007. Though it had a seven-year “sunset clause,” the tax came off the books before that clause could be enacted, as the needed funds were collected within five years.
In all, about $42 million was collected for the library construction and the dam work. The new library was completed at a cost of about $11 million. That facility has been open and operational for some time.
That leaves about $31 million still in the county’s capital projects sales tax account for the work that needs to be completed at the dam. However, it appears the county is not going to need that much for the dam work.
The original Federal Energy Regulator Commission mandates for Buzzard Roost were two-fold. The county was told it needed to address certain seismic requirements at the earthen dam, and that it would need to upgrade the fuse plug at the dam.
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