The City of Mount Olivet is raising its payroll tax by one percent. Mayor Linda Reed says city council reluctantly made the choice Monday (August 5) night in the face of budget hardships brought on by cuts in state funding and the need to make improvements to its sewer and water system.
“We lost the income from the school when it moved out into the county and we’ve lost quite a bit of money this year. We’re gonna try and pick the school back up. It’s been one cent here ever since we first put the tax on, that’s all it’s ever be….one cent on the dollar.” --Linda Reed
Reed says she’s not happy with the one percent increase, but it had to be done. The new tax rate is set to take effect in January (2014).