4A vs. 4B
Rusk EDC recommends letting voters decide half-cent sales tax
BY GLORIA JENNINGS

The Rusk Economic Development Corporation (EDC) will recommend to the Rusk City Council Thursday evening that a city election be called in November. The EDC asks voters to replace the current 4A Economic Development Corporation Tax with a 4B tax.

The ballot will ask voters to abolish the current 4A halfcent sales tax corporation and approve the creation of a 4B economic development sales tax corporation.

If approved the new sales tax will go toward:

•Projects for the promotion of professional and amateur athletics and sports, athletics, entertainment, tourism, conventions, and public park purposes and events, including stadiums, ball parks, auditoriums, amphitheaters, concert halls, parks and park facilities, open space improvements, museums, exhibition facilities and related stores; restaurant; concession and parking facilities, related transportation and related road, street, water and sewer facilities, other related facilities that enhance such items listed;

•Projects to promote new or expanded business enterprises that create or retain primary jobs, including public safety facilities, streets and roads, drainage, related improvements and demolition of existing structures;

•Development and expansion of affordable housing

•Land, buildings, equipment, facilities, expenditures, infrastructure and improvements for the creation or retention of primary jobs, including transportation, facilities, sewage or solid waste disposal facilities, recycling facilities, air or water pollution control facilities, facilities for the furnishing of water to the general public, distribution centers, small warehouse facilities capable of serving as decentralized storage and distribution centers, primary job training facilities for use by institutions of higher education and regional or national corporate headquarters facilities; and

•Targeted infrastructure and any other improvements, expenditures, or facilities that are related to any of the above projects and any other projects that the board determines will promote new or expanded business and enterprises that create or retain primary jobs and the maintenance and operation expenses for any of the above described projects.

If voters decide to replace the 4A sales tax corporation with a 4B, funds from the current corporation's budget will be transferred to the city.

The money from the 4A corporation will go to the city and the city has agreed to contribute $150,000 as start-up funds for the new 4B economic development corporation. The city will keep $400,000.

Plans are for the city to use its $400,000 to help with water improvements and the cost of the new well being drilled on FM 343. The laying of a 10- inch water line around the loop has been discussed. If this is done, additional water will be made available to the school campuses off the loop.

Rusk Fire Chief Wayne Morgan expressed his approval of this action at a recent city council meeting. He said the additional water would provide ample water for fire protection at the schools.

Additional funds would be allocated for street repairs with the water and sewer lines being replaced prior to new paving.

In other matters EDC directors increased the organization's budget $10,000 to go to the Rusk Chamber of Commerce. The extra money will be used for salaries, administrative expenses and repairs at the chamber office.

Bob Goldsberry, executive director of the Rusk chamber, said it had been estimated that the half cent sales tax would generate $132,000 this budget year which ends on Aug. 31. Already, $131,271 has been generated. Total anticipated revenue for the 2007-08 budget year will total $134,400. Another $90,389.96 is expected to be left over from this year's budget.

The economic development corporation will increase its contribution to the Rusk Chamber of Commerce from $25,000 to $35,000. The budget will include $2,360 for training and travel; $700 for a financial audit; $350 for TEDC dues; $100 for office supplies; $3,000 for Web site update and maintenance and $2,500 for legal fees. Total expenses are expected to total