Sales tax distribution in Peach County settled | Politics | Macon.com

FORT VALLEY — Peach County officials reached a resolution Tuesday that will prevent fiscal meltdowns for its governments.

County and city leaders agreed on a temporary distribution of the 1 cent local option sales tax, after a week of worry that their budgets would take a huge hit when the Georgia Supreme Court ruled a negotiations process unconstitutional. Meanwhile, more negotiations have been promised, but they aren’t required.

“Oh my gosh,” said a relieved County Administrator Marcia Johnson, who had been afraid of an impending budget gap. “I got a load off me.”

The funds from a LOST, which most counties statewide implemented years ago, go to the general fund of cities and counties. About 34 of the state’s 159 counties and cities within had been using a new arbitration process the General Assembly enacted for last year’s mandatory decennial negotiations. But the court ruled that a judge making a decision on taxes violated the constitutional separation of powers.

The Georgia Department of Revenue and the state Attorney General’s Office told the affected counties late last week to submit a distribution certificate by the end of business Thursday.

“Thursday is the last day after the 10-day period during which the parties can file motions for reconsideration, and then any additional time the court takes to decide a motion, if filed,” said Nick Genesi, with the Department of Revenue. “If nothing is filed or the court does not take any additional time, then the decision is final.”

Fort Valley City Council and the Peach County Commission approved what equated to a continuing resolution Tuesday evening. It was ahead of a Thursday deadline the Attorney General’s Office and the Department of Revenue imposed in order for counties without distribution decisions to continue.

With an expiration date of Dec. 31, 2014, the new distribution is: Peach County will receive 59.3 percent (down from 60 percent) of the sales tax proceeds; Fort Valley will receive 31.14 percent (down from 31.5 percent); Byron will receive 8.4 percent (down from 8.5 percent); Warner Robins will receive .99 percent; and Perry will receive .17 percent.

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