The state’s budget problems are expected to only get worse, and the state's mayors are asking the Legislature to throw them a bone.
A final bill is still in the works, but the proposal is to boost the state's 6 percent sales tax by an additional 1 percent, which would go to local towns, the Hartford Courant reports,
During a public hearing on Monday, the Connecticut Conference of Municipalities and mayors asked the Legislature to enact a regional sales tax. The Courant provides examples of shopping centers in Danbury and Manchester, where 1 percent of the 7 percent that would go to regional organizations that would then distribute the money to nearby towns.
Twenty-three states allow cities and towns to levy sales taxes, but this would be a first for Connecticut, the Courant reports.
Some plans of this type have failed because they would have give all the cash to communities with the malls, the Courant reports, but this plan would share money through the regional planning organizations.
The Connecticut Business and Industry Association is lobbying against the bill, the Courant reports.
"You're creating numerous new jurisdictions" for sales taxes, Eric George, a CBIA lobbyist, told the Courant. "Connecticut is a difficult state to do business in now. This is not going to help. This just isn't the right answer. The first thing you need to do is create more efficiencies."