Sheffield OKs vote for tax renewal

SHEFFIELD -- City council members voted unanimously Monday to set a referendum May 8 for voters to decide if they will renew a 5-mill property tax earmarked for education.

The tax, which was originally approved by voters in 1985, expired in October 2005, but was not renewed.

City Clerk Clayton Kelly said the council had to approve an ordinance before the referendum could take place.

"We have to give notice at least 30 days prior to the election," Kelly said.

The 5-mill tax provided the Sheffield school system with about $200,000 annually.

The notice of the referendum will be published for three weeks in the Colbert County Reporter.

City Attorney Vince McAlister said the ordinance has already been drafted. He told council members during their work session that the tax cannot be made retroactive.

He said there have been "hundreds" of occasions where taxes that expired were not immediately renewed.

McAlister said the new tax, if approved, would be in effect for 20 years.

"We need to see that we renew this tax for our schools," said Mayor Billy Don Anderson.

McAlister said if the tax is approved by voters, it would take effect Oct. 1 and would not be payable until 2008.

The city's current property tax millage would return to 19 mills if the tax is renewed. The Colbert County Commission recently approved a new property tax structure, setting Sheffield's rate at 14 mills.

The council originally wanted to have the referendum in conjunction with a Sunday alcohol sales referendum but the bill allowing the Sunday sales referendum has not been approved by the state Legislature.

Anderson said the elections would cost between $3,000-$5,000 each.

Anderson said state Rep. Marcel Black, D-Tuscumbia, will introduce the Sunday sales bill into the Legislature.

In other business, the council: