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Morehead city officials react to tax centralization bill introduced in Frankfort

pixabay.com

The Morehead City Council has made its stance known on a particular bill introduced to the state legislature.

Council passed a resolution at its regular February meeting to oppose bills like House Bill 253. The bipartisan-sponsored bill would aim to centralize tax collection statewide, maintaining all counties’ collections and reporting in one web database.

Morehead’s Mayor, Laura White-Brown, said the bill's proposed system would involve additional collection fees, costing both the city and its taxpayers more money. She added Morehead’s current system operates smoothly and prevents potential obstacles for the taxpayer.

“It creates a streamlined system because we’re able to work directly with the taxpayer themselves. And so, anytime that we can do something within the city, I think that is a service,” said White-Brown. “I would hate to see that go to the state especially because it would cost additional money.”

The bill was crafted by representatives of more populous districts like Jefferson County. White-Brown said centralization may work for those areas, but it could cause problems in smaller cities and counties.

“The way that Louisville operates, or even Lexington or Covington, or you know cities that are much bigger than others, it might be a good fit for them. But when you’re talking about eastern Kentucky, when you’re talking about Appalachia, or the majority of cities and counties that do have a small population, it doesn’t make sense for our citizens,” said White-Brown.

The resolution does not put any financial backing behind opposition of the bill, instead only acting as an official statement from the city. If passed, the bill would go into effect on or before January 1, 2028.

The deadline to file for the 2024 tax year is April 15.