Hoover mayor proposes sales tax increase to help with budget woes

HOOVER, AL (WBRC) - The Hoover mayor released plans for future projects in the city at Monday's city council meeting, while many question how the city will address its multi-million dollar budget deficit.

Mayor Frank Brocato proposed adding an extra penny to the city's sales tax.

He also wants to up Hoover's lodging tax to 6%.

The mayor started off his proposal by talking about increasing funding for schools, then addressing traffic improvements and a community arts center - initiatives he said are important to their citizens.

He then asked how the city would pay for it.

He said increasing the sales tax from 3% to 4% and lodging tax to 6% will not only help but also keep them on track to eliminate the city's multi-million dollar budget deficit.

"Tonight, what we proposed is to bring our sales tax in line with everybody else's, every other surrounding community in the metro community. To bring our's in line with that, and to be able to invest in our city for the future and all the things that you heard me talk about," said Mayor Brocato.

Brocato said while an occupational tax might generate enough money, it would hurt the city's business recruitment and retention.

He said an increase in property tax was discussed but, because that's the school system's primary source of funding, he's leaving that revenue for their use.

He said these tax changes could bring in approximately $20 million. He wants the council to vote on it next month on July 2.

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