Department
Public Works
Requested Action (Identify appropriate Action or Motion, purpose, cost, timeframe, etc.)
title
Request Board of Commissioners’ approval of an Intergovernmental Agreement (“IGA”) for the use and distribution of proceeds generated by the 2021 Transportation Special Purpose Local Option Sales Tax Referendum; Authorize the Chairman to execute the IGA and attachments; authorize the County Attorney to approve the IGA as to form and to make modifications thereto prior to execution. (APPROVED)
body
Requirement for Board Action (Cite specific Board policy, statute or code requirement)
GA CONST Art.9, § 3, ¶ I provides that the County may contract for any period not exceeding 50 years with any other public agency, public corporation, or public authority for joint services, for the provision of services, or for the joint or separate use of facilities or equipment; but such contracts must deal with activities, services, or facilities that the contracting parties are authorized by law to undertake or provide. O.C.G.A.§ 36-10-1.All official contracts entered into by the County governing authority with other persons on behalf of the County shall be in writing and entered on its minutes
Strategic Priority Area related to this item (If yes, note strategic priority area below)
Infrastructure and Economic Development
Commission Districts Affected
All Districts ☐
District 1 ☒
District 2 ☒
District 3 ☒
District 4 ☐
District 5 ☒
District 6 ☒
Is this a purchasing item?
No
Summary & Background (First sentence includes Agency recommendation. Provide an executive summary of the action that gives an overview of the relevant details for the item.)
Scope of Work: The collection of the current Transportation Special Option Sales Tax (TSPLOST) will expire on March 31, 2022 for the area of Fulton County outside the city limits of Atlanta. Based on discussions with the fourteen (14) cities of Fulton, outside the city of Atlanta, it is the preference of the cities to continue the TSPLSOT program and they would like for the voters of Fulton County to have the opportunity to vote on continuing the TSPLOST program as part of the November 2, 2021 election. If approved, the TSPLOST program would be funded through a 0.75% addition to the sales tax applied on purchases in Fulton County in accordance with state regulations.
Fulton County has worked with Georgia State to estimate the amount of funds the TSPLOST program would bring in for the fourteen cities’ use over the upcoming 5-year collection period. Based on Georgia State’s forecasts, it is expected that approximately $545,954,720 could be collected between April 1, 2022 and March 31, 2027 if the program was approved by the voters. These funds would be distributed among the fourteen (14) cities based on their 2019 US Census estimated population for each city, not including the city of Atlanta. Under this disruption, unincorporated Fulton County would not receive any funds other than the 0.5% Program Oversight collection that is allowable under the TSPLOST program. These terms and conditions are included in the IGA.
Community Impact: If approved by the voters of Fulton County, outside the city of Atlanta, in November 2021, the sales tax rate would remain at 7.75% on all allowable purchases and services. If the referendum fails in November 2021, the sales tax rate would be reduce to 7.0% on April 1, 2022.
Department Recommendation: Public Works recommends the continuation of the TSPLOST program and the Board of Commissioners approving this IGA.
Project Implications: The current TSPLOST collection will expire on March 31, 2022 and in order for the voters to have the chance to continue the program in April 2022, a referendum must be a part of the November 2nd election ballot. The IGA between Fulton County and the fourteen (14) cities are necessary for the Board of Commissioners to call for the referendum by their August 4th meeting.
Community Issues/Concerns: No issues or concerns have been raised to Public Works by the community concerning this IGA.
Department Issues/Concerns: Public Works does not have any concerns with the proposed IGA.