Council approves tax hike to pay for deficit, public safety
ALBUQUERQUE, N.M. (AP) — The Albuquerque City Council voted to raise the city’s gross receipts tax rate by three-eighths of a percentage point to address a $40 million deficit in the city’s budget and the public safety crisis.
The three-eighths of a cent gross receipts tax hike, which the Council approved Monday, is estimated to generate more than $50 million.
Republican Councilor Trudy Jones says $30 million-$40 million in the first nine months would be a good figure.
Jones and Council President Ken Sanchez, a Democrat, sponsored the legislation.
If signed by Mayor Tim Keller, the increase will likely go into effect July 1.
While councilors passed the tax hike, they decided to take more time on a plan for getting the Albuquerque Police Department fully staffed and funded.
The council plans to take it up again April 2.