3/26/2013 11:47:00 AM Williams to see money from sales tax increase by April 0.5 percent increase to be used for road projects took effect March 1, city officials deciding how to prioritize street work
The intersection at Second Street and Railroad Avenue in front of Pine Country Restaurant is in need of repair. Ryan Williams/WGCN
"Part of that money will leverage in the grant to get even more money," he said.
The city will contribute about $60,000 toward about $1.5 million in total project costs.
The Route 66 project extends from Plum Street to the ADOT yard toward Bearizona.
"That project is going to consist of taking approximately three inches of existing surface off to put three inches back on of fresh asphalt," Buchanan said.
The project could start this fall or in spring of 2014, depending on engineering clearances and the construction season.
City staff will discuss other road projects that will receive work from the tax money during the budget planning process. Buchanan said the projects will depend on "what kind of approach we take to street repairs, whether we look at rehab first or preservation first."
The Williams City Council voted to raise the retail and contracting sales tax by 0.5 percent and eliminate the two percent food tax at its Dec. 13 meeting.
The Williams sales tax rate increased from three percent to 3.5 percent, raising the total tax rate from 10.725 to 11.225 percent with city, state and county rates combined.
On March 1, shoppers started paying an additional 50 cents in tax on a $100 transaction in Williams retail stores compared to the tax they were paying before.
In January, Buchanan estimated the tax hike would increase money for road improvement materials in the city's Highway User Revenue Fund (HURF) from approximately $27,000 to $270,000 annually.
Williams' total sales tax rate will drop to 10.225 percent June 1, when a temporary 1-cent per dollar state sales tax ends.