Local Option Sales Tax
Shall the ordinance to increase the sales and use tax in the City of Memphis by 0.5%, from 2.25% to 2.75% become operative?
The proceeds of this 0.5% tax increase shall first be used to restore and maintain the health care benefits for Public Safety employees (employees and pre-65 retirees of the Memphis Police Services and Fire Services Divisions) to the levels in effect as of July 1, 2014, and to restore and maintain the pension benefits of said employees hired prior to July 1, 2016 to the levels specified in the 1978 City of Memphis Pension Plan. Any remaining proceeds shall be used for street maintenance and/or pre-kindergarten education. All funds must be spent for the purposes designated above. These funds are to be used in addition to, and may not be used to replace or supplant, any current funding for the above purposes. Such tax shall be collected by the Tennessee Department of Revenue. A lawsuit for recovery of any tax illegally assessed or collected shall be brought against the City Treasurer of the City of Memphis.