Ada City Council backing new sales tax bill

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ADA, OK -- Ada city council members are supporting a bill that could help keep more of the city's sales tax dollars.

The Mayor says if this bill passes the city could save a lot of money.

Many Oklahoma cities rely heavily on their sales tax dollars to operate and function daily.

McCortney said, "Whether it's street repairs or quality of life activities all of those things come straight from sales tax."

On Monday, the Ada City Council unanimously approved to support Oklahoma house bill 18-75 which would reduce the Oklahoma Tax Commission's fee for collecting local sales tax.

Mayor Greg McCortney says this bill would greatly benefit cities across the state.

McCortney said, "This bill would reduce that fee so more of the money generated here in Ada would get to spent here in Ada instead of being held by the state of Oklahoma for their use."

McCortney says the tax commission fee would be reduced from 1 percent to 0.5 percent which would could save the city more than 75 thousand dollars a year.

He says the city has encouraged residents to shop local and store owner Ailene Warren says she has seen progress.

Warren said, "With all of the promotions and things that the businesses downtown have done we have seen an increase in shoppers downtown."

McCortney says with more sales tax dollars staying in the city they would have more funds to address more city projects that have been in the works.

McCortney said, "Wintersmith Park, which is the crown jewel of Ada, get restroom facilities all year around. I think we'll finally get it done this year but it could have easily been done 2 or 3 years ago."

McCortney says the house bill will be discussed when the 2014 legislative session begins later this year.