By a margin of 12 votes, a proposal to raise Eufaula’s city sales tax 1 cent to pay for
street improvements was defeated at the polls Tuesday, Feb. 11.
The slim margin reflected a light turnout of voters, with only 211 casting ballots.
One hundred voters, 47.39 percent, were in favor of the proposal and 111, or 52.61
percent, were opposed, according to unofficial returns by Oklahoma State Election
Board.
The current city sales tax rate is 3.5 percent. With a state tax of 4.5 percent and a
county tax of 2 percent, Eufaulans pay a total of 10 percent in sales taxes.
The sales tax was the city’s best hope for raising enough money to fix Eufaula’s
dilapidated, a project that would cost over $8 million.
City Manager Jeb Jones said before the election that the only other alternative was
an increase in ad valorem taxes, but the council rejected that idea because it would
put the burden of fixing the streets solely on the shoulders of property owners.
The sales tax, he said, would have been spread among everyone including visitors.