WARNER ROBINS -- Tax changes could cost the Houston County school system in the long run.
Approved at the state level in 2012, a one-time title ad valorem tax replaced the sales tax and annual ad valorem, or property, taxes on vehicles. While Houston County schools comptroller Stephen Thublin said the county has gained roughly $200,000 on the year in title ad valorem revenue, it has lost about $400,000 in revenues from local option sales taxes because of the lack of sales tax on vehicles.
“I was told it was going to be revenue neutral. I don’t see that in the future,” Thublin told the school board at Monday’s work session. “I didn’t see it then, and I definitely don’t see it in the future, even offsetting our ad valorem, and that’s before the loss that we’ve experienced in our local option sales tax.”
Fred Wilson, the board’s vice chairman, expressed confidence in the district’s financial situation despite the loss in revenue. He said he didn’t foresee it presenting any problems for Houston County.
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Thublin went on to say the county would need to find a long-term solution as more people buy automobiles and move under the new tax structure. Without that, the school system could see effects on the budget down the road.
“We’ve been looking into it, but in the future, it will (have an impact) if we don’t find another way to replenish our revenues,” he said.
Monday, the board also reviewed a proposal to grant a contract for uniform rentals to Cintas and will vote on the proposal at Tuesday’s monthly meeting at the board office in Perry.