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Augusta commissioners delay tax increase for mayor’s credit card bill
Idaho

Augusta commissioners delay tax increase for mayor’s credit card bill

Augusta City Councilors held off on Tuesday on raising property taxes and paying off Mayor Garnett Johnson’s credit card bill.

The tax rate proposed by the city’s finance department would mean a surcharge of about $38 for the owner of a $200,000 home, said Director Donna Williams.

Some commissioners expressed reservations about the increase because of the Richmond County school system’s plans to increase its tax burden.

The city commission has limited influence over the school system, although school board chairman Charlie Walker Jr. works for Johnson’s office supply store.

The tuition increase is expected to increase the cost of a $200,000 home by about $167 annually.

The city’s increase should help cover the fire department’s capital expenses, which are supplemented by taxes on fire insurance premiums but are not included in the 9 sales tax, Williams said.

Commissioner Wayne Guilfoyle made a motion to set a slightly lower rollback rate without increasing the rate of fire.

The resolution failed 4-4, even though Johnson voted for it and commissioners Alvin Mason, Bobby Williams and Sean Frantom were absent from the vote.

A subsequent vote to accept the proposed rate failed with 4:4 and the same result.

The city has lowered the tax rate almost every year since 2014, resulting in lower revenues of about $24 million, said Finance Director Williams.

Following the extraordinary meeting, the four-member Augusta Commission Finance Committee addressed the mayor’s credit card issue.

Williams said his method of requesting reimbursement for personal credit card expenses was “not provided for in existing policies.”

Commissioner Francine Scott, who retired from state government, said state employees are not allowed to request reimbursement for personal credit card expenses.

“I’ve never worked for a state government where you collect bills and submit them for payment,” Scott said.

Geri Sams, Augusta’s procurement director, said the mayor’s request violates state and local procurement laws.

“When you start making exceptions to both a state law and your procurement code, gentlemen, you are setting a precedent,” Sams said.

“Accounting 101, corporate finance, you don’t mix personal with business,” she said.

Scott’s motion to refer the item to the next Finance Committee meeting was passed 3-0, with Guilfoyle not voting.

VIDEO: The Augusta Commission held a called meeting and commission committee meetings on Tuesday.

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