Title
Interlocal Agreement with Alachua County for Local Option Fuel Tax (B)
Section 336.025, Florida Statutes allow counties to impose local option gas tax of one to eleven cents on motor fuel sold in a county, with the revenue generated by such tax to be used by county and municipal governments only for transportation expenditures authorized by law. There are three interlocal agreements with Alachua County identifying the formulas for the distribution of these funds.
Explanation
On November 14, 2016 during the Joint City Commission/County Commission meeting the City Commission took the following action: 1) set aside 10% funding for the other municipalities and split the remaining 90% between City of Gainesville and Alachua County 45% / 45% for a ten year term with a five year reopener; and 2) directed staff to review possible joint funding of RTS service benefiting areas such as the SWAG or other possible joint projects.
Florida Statutes Chapter 336.025 provides that the County may establish an interlocal agreement with one or more municipalities representing a majority of the population of the incorporated area within the County prior to June 1st for the continuation of the Local Option Gas Tax for the subsequent calendar year. Therefore, if the City Commission desires to enter into an Interlocal Agreement for distribution of the 4th, 5th, and 6th cents of Local Option Gas Tax an agreement must be executed between the City of Gainesville and Alachua County by June 1, 2017.
This topic was discussed at the March 6, 2017 Joint City Commission/County Commission meeting. The City Commission approved a motion to authorize the City Manager to negotiate an agreement with the net result of a 45% / 45% split over a 10 year period. This was intended to allow flexibility for the County to receive a higher level of funding in the early years as long as the final total distribution over the 10 years equals the 45% / 45% split.
Subsequently the County Commission me...
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