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Citizens' Tax Oversight Committee
- Why was the Citizens' Tax Oversight Committee formed?
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The Citizens' Tax Oversight Committee was formed at the suggestion of a citizen in January 2010. The original purpose of the Committee was to provide oversight of the 3/4-cent Pension Sales Tax to ensure that 100% of the revenues received by the city from this tax are deposited into the city’s Police / Fire Pension Fund as promised. The scope of the committee was later expanded to include oversight of the Level Property Tax, the most recent 1/2-cent Transportation Sales Tax and the 1/4-cent Sales Tax for Capital Improvements.
- When does the committee meet and are the meetings open to the public?
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The Committee meets at 5:30 p.m. the 3rd Tuesday of the month in February, May, August, and November in the Busch Municipal Building, 840 Boonville Avenue. Meeting dates can be confirmed by reviewing the city’s weekly calendar and choosing "Public Meetings" or by calling the City Clerk's Office at 417-864-1442.
- Does the committee approve the projects that are funded from the special sales taxes?
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No, the committee does not determine the projects funded by each tax. The project list for each tax is recommended by city staff based on input from a variety of citizen stakeholders, then is ultimately set by the City Council. The purpose of the committee is to make sure the tax dollars are spent for the same projects that were proposed to the voters.
- Where can I find a list of current projects that are funded by the 1/8-cent and 1/4-cent sales taxes?
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- How does the committee determine if the tax revenue is spent appropriately?
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At each quarterly meeting, the City's Finance Department staff presents reports on the Police/Fire Pension Sales Tax, the Hotel/Motel Tax, the Level Property Tax and the 1/4-cent Capital Improvements Sales Tax and the 1/8-cent Transportation Sales Tax. The quarterly reports show the revenue collected for each tax and the status of the projects funded by the tax. The quarterly reports can be obtained through the City Clerk's office by calling 417-864-1651.
- Does the committee report to City Council?
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Yes. The Chair of the committee reports to City Council twice a year.
- Who can I contact if I would like to ask the Committee members a question?
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You can send an email to the committee.
- What is the sales tax rate in the City of Springfield?
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The base sales tax rate is 8.1%. This includes state sales tax of 4.225%, the city sales tax of 2.125% and the county sales tax rate of 1.75%. The city sales tax rate of 2.125% includes a 1-cent General Sales Tax, 1/4-cent sales tax for capital improvements, 1/8-cent Transportation Sales Tax, and 3/4-cent Pension Sales Tax. In parts of the city there are special taxing districts such as Community Improvement Districts and Transportation Sales Tax Districts. In these special taxing districts, the sales tax rate will be higher.
- Do the city sales taxes expire, or are they permanent?
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The 1-cent General Sales Tax is permanent. All of the other City Sales Taxes expire or sunset. The 1/4-cent Sales Tax for Capital Improvements sunsets on Sept. 30, 2039, the 1/8-cent Transportation Sales Tax sunsets on March 31, 2041 and the 3/4-cent Pension Sales Tax sunsets on March 31, 2025.
- Does the city collect sales tax from businesses located in the city?
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No, the Missouri Department of Revenue collects sales tax for all taxing jurisdictions in the state. Based on local tax rates, the Department of Revenue sends the City of Springfield our share of the sales tax each month. The state provides the city a separate accounting of the 1-cent General Sales Tax, the 1/4-cent Capital Improvements Sales Tax, the 1/8-cent Transportation Sales Tax, and the 3/4-cent Pension Sales Tax.
- How often does the state send the city sales tax revenue?
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The state sends the city sales tax revenue monthly. Generally, the sales tax revenue is received two to three months after the consumer pays the sales tax at the point of sale. This delay is due to the processing time required by the State of Missouri.