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County April 25, 2007
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Rusk EDC plans Nov. 12 election
BY GLORIA JENNINGS

The Rusk Economic Development Corporation board of directors made plans Monday noon to call an election on Nov. 12 to change the city's economic development half-cent revenue. Currently, the city collects a half-cent sales tax for 4A economic development projects. Voters will be asked to change the city's economic development tax revenue from the more restrictive 4A to 4B. The 4B tax can be used for streets. highways, museums, building manufacturing facilities, amateur sporting facilities or tourist facilities.

The board directed Bob Goldsberry, executive director, and Ron Stutes, attorney for the corporation, to draw up the ballot asking for the change and bring it back to them for approval. Also, the corporation will ask in the event the change is approved that the $490,000 4A funds go into the city budget with the city taking all except $150,000, which will be transferred to 4B funding. With this action, the city can use the money from the 4A tax for anything it wishes including payment on a new water well. Originally voters approved the 4A tax to be used to lay water and sewer lines to the Texas Department of Criminal Justice Skyview-Hodge units. At that time 4A funds could be used for projects such as this. Since that time, the requirements have been changed and water improvements are not included in uses for 4A tax revenue.

A board for a 4A corporation is composed of five members. Seven members are required for a 4B corporation. For cities of less than 20,000 the board may be composed of citizens living outside the city limits but inside the county. In another matter, the board approved the payment of $2,197.62 to Potter Minton law firm of Tyler for payment of legal fees. Charles Hassell, chairman presided at the meeting. Other board members attending were Todd Foxworth, Mr. Goldsberry, Lewie Byers and Bobby Tosh. Maxine Session did not attend.


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