Officials Discuss Plan B For Jail Expansion Voters Defeated Half-Cent Increase Of County Sales Tax, But Commission Says Work Is A Necessity

As Kootenai County’s annual budgeting begins, commissioners are struggling with how - not if - they will pay to expand the jail.

On May 25, voters shot down a ballot measure aimed at increasing the county sales tax by a half cent for five years to pay for a $9.5 million jail expansion. The measure required 60 percent voter approval to pass, but received just 52 percent.

A vocal group of opponents, including two car dealership owners, took out large newspaper ads decrying the measure, saying it would drive consumers out of the county to shop.

Now commissioners are considering two options: putting a property tax bond on the ballot in November, which would require two-thirds voter approval, or increasing property taxes by the maximum allowed by law, which would be done without a vote.

“The necessity is still there,” Commissioner Dick Compton said.

Commissioners can raise taxes by 3 percent of the previous year’s budget, plus the value of new construction. They also can add “foregone taxes,” which is the amount the county has had the right to levy in past years, but has chosen not to. Those taxes total $1.7 million, and the county can add them to the budget as long as necessary.

Also, half of the two-year, $2 million juvenile justice center bond that voters approved in November will appear on the budget this year.

“It looks like a 15 percent increase,” said Rankin, who has made a career crusading against tax increases. “It’s not going to be nice. But what choice is there?”

Commissioner Dick Panabaker agreed.

“That’s nothing we really want to do, but it’s our best option,” Panabaker said of the foregone taxes. “We didn’t take it because we didn’t think we needed it. In retrospect now, with the jail, it’s certainly our easiest and best option. Do I want to do that? Not particularly. I would prefer to have had the sales tax pass.”

Since the sales tax vote, Rankin said, people have called the commissioners’ office pleading ignorance about the sales tax measure and suggesting the county try it again in November. However, the law requires that the county wait a year before placing the sales tax measure before voters again.

Those in charge of the county’s many departments have begun to submit preliminary budget requests for the 1999-2000 fiscal year, which begins Oct. 1. Many, especially in the criminal justice area, have asked for more staff.

“The whole justice system is just stretching, stretching and costs are getting higher and higher,” said Angela Sheffield, the county’s finance director. Sheffield said costs for overtime and temporary help in those departments are increasing.

“That’s where the hemorrhage is,” Rankin said.

Angered by the election’s 12 percent turnout, Rankin asked the county’s elections office to prepare a list showing who voted and who didn’t. When he receives calls from people complaining about property taxes, Rankin said, he’s going to check the list. He said he plans to refer the calls of people who didn’t vote to the group of business owners who organized opposition to the sales tax measure.

Rankin called the election loss the “most bitterly disappointing one I’ve been involved in.

“I honestly thought I was going to be a part of a substantial property tax reduction. I’m not,” Rankin said. “Instead, I’m going to be part of increasing property taxes, which I hate with a passion.”

This sidebar appeared with the story: WHAT’S NEXT Pair of options Commissioners are considering two options to pay for expanding the jail: putting a property tax bond on the ballot in November or increasing property taxes by the maximum allowed by law.