Chesterfield Supports Sales Tax Distribution Reform
The following is a press release from the City of Chesterfield:
The City of Chesterfield announced Thursday its continued support for reform of the current St. Louis County sales tax distribution system.
The St. Louis County Municipal League, under the leadership of Mayor Richard Magee of Glendale, has organized an effort to find a solution to the problems caused by an outdated distribution scheme that was last amended legislatively in 1993.
The current system is unique to St. Louis County and produces inequitable distibutions of sales tax receipts in many cities. Unlike the rest of Missouri, many cities in St. Louis County do not benefit directly from the economic development that they generate, while other cities benefit without adding to or improving the overall fiscal health of the County.
According to Chesterfield Mayor Bruce Geiger, Chesterfield loses more than half its sales tax receipts to the county pool.
"Chesterfield has become a regional economic generator, providing jobs to thousands of residents, throughout our region, and serving a growing population of those who shop or pass through our community daily, while losing more and more of the revenue necessary to fund the services we provide, due to the current pool system," Geiger said.
The cities and St. Louis County have begun working to find a solution that will be presented to the legislature for the 2012 session.
Read more about the pool sales tax system in St. Louis County, and the calls to reform it. Chesterfield officials have previously not responded to calls for comment on the system.