Residents of the city of St. George will vote in December on the transfer of tens of millions of dollars in sales tax revenue from the city-parish to the new city.
The 2-cent sales tax currently collects about $50 million annually for the city-parish from the portion of the parish that is now within the boundaries of St. George. If approved, revenue from the tax would go to the new city government, instead of the city-parish, to fund general municipal services.
At a special city council meeting on Monday, all five council members voted to approve a resolution authorizing a Dec. 7 election for the sales tax.
St. George Mayor Dustin Yates said a vote on the sales tax cannot be included in the November general election ballot because the deadline has already passed.
"This is the earliest election that we can get it on," Yates said.
A request to transfer the sales tax revenue was approved in June by members of the St. George Transition District, a special financial district formed to help the new city get on its feet.
Newly appointed City Attorney Sheri Morris said Monday's vote was postponed in June so that city leaders could have more time to review it.
The city, which is roughly the fifth-largest in Louisiana, was created in part by residents in the southeastern part of the parish who wanted to create a local independent school district and argued their tax dollars would be used more effectively if they had more localized control. But opponents argue its creation pulls tax revenue away from Baton Rouge and furthers racial divisions in the parish.
After a long legal battle, the Louisiana Supreme Court ruled in favor of the city in April, overturning rulings from both a district court and an appeals court. The decision allowed the city to officially move forward with its creation and started the clock to seek the 2% sales tax revenue following years of delays due to litigation.
Around 86,000 people live in the city boundaries, which spans about 60 square miles, according to the city website. While there is pending litigation on annexations in St. George, those particular areas wouldn't have a major impact on sales tax revenue, Yates said.
An agenda item to select a demographer to create council districts was deferred. The next meeting is scheduled for July 23 at 4 p.m.