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Payson council postpones vote on resolution to dedicate 1% sales tax until after election

October 22, 2025 | Payson, Gila County, Arizona


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Payson council postpones vote on resolution to dedicate 1% sales tax until after election
The Payson Common Council on Oct. 22 postponed action on Resolution 34-64, a proposal to dedicate a 1% sales-tax increase adopted by Ordinance No. 964 into designated funds for debt repayment, road maintenance and capital improvements.

Town Manager Darren presented the measure, describing it as a way to “take 1% of the sales tax and to put it aside to pay down the emergency services debt,” and said roughly half of the revenue (he estimated about $2.5 million) would go to debt reduction. He said the approach would create separate fund accounting so residents could see how the money is spent.

The resolution prompted substantial council discussion about timing and priorities. Several council members said the proposal should wait until after a Nov. election on a proposed pool bond so the outcome of that vote could guide how the town uses new revenues. Council members also debated whether to preserve earlier voter expectations about other levies: some urged that the 0.88% sales-tax portion passed earlier be sequestered for the Public Safety Personnel Retirement System (PSPRS) while exploring options for the new 1%.

Councilmember (name not specified in transcript) formally moved to postpone consideration of Resolution 34-64 until after the November election and asked that discussion of the town’s food tax also be returned at that time; another councilmember seconded the motion. The council voted to postpone by voice vote; no roll-call tally was recorded in the meeting minutes. The item will return to a future agenda after the election.

Why it matters: Council members and residents tied the measure to multiple high-profile financing questions facing Payson — paying down PSPRS liabilities, funding road and facility maintenance, and the possible construction of a new community pool. Postponing the resolution lets the council weigh voter direction from the bond election before committing the 1% to specific uses.

Officials and next steps: Town Manager Darren told the council he can bring the item back in January if the council prefers, or sooner, and that the accounting structure would allow the council to change allocations later by another resolution. Dana (Finance) and the manager indicated the 1% estimate for pool operations and maintenance was roughly $300,000–$350,000 annually, and that the town has already made additional PSPRS payments this year (Darren said $862,000 paid so far and an extra roughly $600,000 payment had been made previously).

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Scribe from Workplace AI
Scribe from Workplace AI