TAX ISSUES APPROVED AT SIKESTON AND ORAN

SIKESTON -- Voters in Sikeston approved a quarter-cent capital improvements sales tax while Oran voters created a fire protection district that will tax residents in an area outside the community that it will serve.

Sikeston's sales tax was approved 886 to 787 and the Oran fire protection proposal passed by a 55-vote margin.

Collection of the tax will begin Jan. 1 and end Dec. 31, 2000. It will generate $425,000 annually for the city.

City Manager Steve Borgsmiller said the use of the tax money is restricted. The funds will be used for any capital improvements necessary for the operation of the city.

Borgsmiller said that could include replacing roof on a Department of Public Safety building, purchasing a new pursuit vehicle or additional computer equipment.

"It's not a far reach to say that a large amount will be attributed to public safety," he said.

Over the last year, the Sikeston City Council has been looking for additional sources of revenue. And with few exceptions that revenue could only come from increasing personal property tax or generating a capital improvements tax.

The quarter-cent capital improvements sales tax will bring Sikeston's sales tax base to 6.45 percent. It will then be comparable with Cape Girardeau's tax base, Borgsmiller said.

The Oran fire protection proposal creates an incorporated Oran Fire Protection District to include areas outside city limits. With the approval, the department will receive an additional 15 cents per $100 valuation of city tax. Currently, the department is funded by a 15-cent city tax.