Oktibbeha County residents could incur a 2.4-mill tax increase next year needed to support a $14.5 million road bond.
The 2.4-mill increase could be reduced to 1.4 mills if a previous tax increase for maintenance is used to retire the bond’s debt, but District 2 Supervisor Orlando Trainer said he prefers keeping that mill on the books for annual maintenance and improvements.
“If we pull that 1 mill out of circulation, it could have an impact on our upkeep efforts,” Trainer said. “I’m excited to see what we can get done.”
Supervisors last week scrapped a $4.5 million issuance specifically for Blackjack Road improvements — one that was not expected to necessitate a tax increase — in favor of combining it with a previously discussed $10 million issuance for countywide projects.
The motion was approved 4-1, with District 4 Supervisor Bricklee Miller casting the lone opposition vote since the larger package would require additional millage for debt service. She and District 1 Supervisor John Montgomery, who both voted for the original Blackjack issuance, also said they have concerns about how the $10 million portion of the bond would be split fairly between the districts.
The $4.5 million previously earmarked for Blackjack Road will stand, but supervisors have yet to decide which countywide projects to fund.
Districts 1 and 4 have the highest property assessments in the county, while District 4 has 25 percent of Oktibbeha County roads — the highest mileage of any district. Districts 2 and 5 each have about 22 percent of the county’s roadways, while District 1 has 19 percent and District 3 has 12 percent. Districts 2 and 5, however, have the lion’s share of Oktibbeha County population, Trainer said, which includes Starkville residents.
Working out a formula
Supervisors could discuss a formula next year that will dictate how to split up the remaining $10 million between the districts.
Such a formula, Trainer said, could mirror how state aid road money is divided. He suggested splitting the money into three pots: one-third would be divided equally between the districts, one-third would be spread out based on each district’s population size, and the last portion would be determined by each district’s overall road mileage.
Trainer said bond attorneys are still working on the overall financing package, and the issue could be delayed until January. He said he expects a potential bond sale to incur in the spring.
Attorneys are also negotiating a $7 million bond issuance with Regions Bank that will fund an almost 400-acre industrial park in Starkville.
Supervisors previously approved a 1.75-mill tax increase, which affects both city and county residents, to support the issuance, and Starkville’s $7 million contribution to the project is expected to require 2.36 mills for debt service.
As with the 1-mill county infrastructure improvement tax increase, aldermen also tacked on a 1-mill levy for the fiscal year to help pay for Starkville Police Department’s ongoing renovation.
That project is expected to conclude in May, and the tax increase will roll off the books once it is paid in full.
Carl Smith covers Starkville and Oktibbeha County for The Dispatch. Follow him on Twitter @StarkDispatch
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