Cheney Seeks Tax Increases For Street Work

Six miles of residential streets in Cheney are in need of repair now, and another 14 miles need a fix over the next decade or so.

But the city of Cheney doesn’t have enough money in its regular street fund to make those repairs.

Voters will be asked to approve increases in utility taxes on natural gas and electrical service to fix residential streets and about six miles of sidewalks.

A proposition for increasing the two utility taxes for the next 14 years will appear on the Sept. 15 primary election ballot.

Currently businesses and residents pay a 6-percent tax on both natural gas and electrical consumption. Those rates are lower in 1998 after the state ordered a utility tax rollback a year ago.

If voters approve the proposition, the tax would be increased to 10 percent on each service.

City officials hope voters will be willing to absorb increased utility payments in exchange for a detailed plan on the street repairs.

The tax would raise about $240,000 a year.

Don MacDonald, projects manager for Cheney, said the worst six miles of residential streets and one mile of sidewalks would be repaired within a year if voters say yes.

The street fund would borrow about $600,000 from one of the utility funds to make the initial repairs and then repay the money, plus interest, as the tax is collected.

After the short-term intracity loan is repaid, the city would then schedule repairs as more taxes are collected.

After 14 years of work, the tax would be repealed.