Walton City Council proposed implementing a new payroll tax at its meeting Tuesday evening to raise funds for their nearly at-capacity sewer system.
The proposed payroll tax would be 2% for all individuals working in Walton, which is estimated to generate about $2.5 million annually.
The funds would be used to expand Walton’s sewer system, which requires improvements. According to the city council, Walton’s sewer system is operating at nearly 80%—and once it crosses that threshold, the city could be susceptible to fines from oversight organizations such as the Environmental Protection Agency.
“The sewer is something that has to be done right now, like yesterday,” said Gerry Regensburger, manager of operations and public works for Walton.
Because of its high capacity, the sewer system is currently under moratorium, and no new homes or businesses can be connected to the system—meaning further growth and development in Walton is at a standstill.
“I’m concerned about what lawsuits could come if we’re unable to meet the demands of the folks who bought land in the city and what their requirements of us might be because right now, we have no new sewer taps,” said Mayor Terri Courtney.
The solution to improve the sewer system is to either expand the existing treatment plant or build an entirely new site at an alternative location. The cost to expand is estimated to be about $20 million.
According to Courtney, over 90% of those who work in Walton don’t actually live in the city.
“We learned that greater than 90% of the people that work in our city do not live in our city, yet they use our roads, they use our sewer system, they use our water utilities,” Courtney said.
Implementing the payroll tax, she said, would help generate revenue to pay off the cost of the expansion with as little impact on Walton residents as possible.
“If 90 percent or more people that work in the city use our facilities, why shouldn’t they help pay for those facilities?” said council member Barbara Farrow.
The council decided to table voting on the first reading until its next meeting to get more information on the tax out to the public and to welcome more ideas for generating revenue from citizens.