Cities concerned about tax reform proposals - WNCT

Cities concerned about tax reform proposals

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RALEIGH, N.C. -

State lawmakers are considering a change in the way they spend your tax dollars.

Some local governments like the city of Jacksonville are worried those changes could mean a revenue shortfall at the local level.

Deputy city manager Ron Massey says there are three state Senate proposals that worry him.

The first is the proposed elimination of local sales tax on food.

The second, according to Massey, is a proposal to eliminate the rebate check that the state gives local governments every year refunding the sales tax they paid on purchases.

And Massey says the third is a proposal to revoke cities' authority to require a license for businesses to operate.

"It's troublesome, especially if you don't have time to react. The point is, our budget has already been approved, and if all those rules take effect, you know, as soon as that budget's approved, that puts everybody behind," said Massey.

State lawmakers say the House and Senate are negotiating a compromise on tax reform. They must have their budget finalized by the end of July.

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