SB 593

Under current law, a county may impose a sales and use tax at the rate of 0.5

percent of the sales price of tangible personal property, goods, and services sold or

used in the county. The county sales and use tax may be imposed only for the purpose

of reducing the county's property tax levy.

Under the bill, with the approval of the electors in the county at a referendum,

a county with a population under 100,000 may impose an additional sales and use

tax at the rate of no more than 0.5 percent of the sales price of tangible personal

property, goods, and services sold or used in the county in order to pay for highway

improvements in the county. The county may impose the tax for six years. If the

county wishes to extend the tax, it must be approved again at a referendum.