FLOYD COUNTY — Floyd County drivers will pay a new wheel tax beginning in 2026.
On Tuesday, the Floyd County Council voted 5-2 on the final reading of the tax, which will include a $30 annual charge on registered passenger vehicles in the county.
The fee will be collected when drivers renew their vehicle registrations. It will go into effect in January.
The council passed the tax to remain eligible for the Community Crossings Matching Grant. Under a new state law, wheel taxes are required for counties and municipalities to remain eligible for the matching funds.
The Community Crossings grant program provides funding for road and bridge improvements such as paving.
Floyd County Council President Danny Short said the wheel tax is “not too far above” the minimum, and he spoke with the county commissioners and road department about the funding needs.
“This is pretty conservative as far as what their needs were,” he said.
Floyd County Councilman Tony Toran voted against the wheel tax, saying that while he understands the county’s need to pass it, he is opposed to the state law.
“My frustration is more pointed to the state level,” he said. “I feel like the state has kind of pushed the burden of this onto us on a local level instead of addressing it at a state level,” he said. “And I feel like we’re finding ourselves in this kind of situation a lot here lately.”
Floyd County Councilman Dale Bagshaw voted for the tax but said he shares Toran’s concerns about the new state law.
“We’re basically being told if we don’t do it, we don’t get Community Crossings funds,” he said. “And as we all know, the Community Crossings funds are a big part of our paving in our community.”
Floyd County Councilman Jim Freiberger voted against the wheel tax, calling it “excessive.” He mentioned the public safety tax the council passed last year, saying Floyd County residents are already “overtaxed.”
Floyd County Councilwoman Denise Konkle said she believes the county needs to adopt the wheel tax so it will not “jeopardize some grants if we don’t.”
Konkle is also concerned about the level of taxes the county has placed on residents, including the public safety LIT.
She is in favor of reducing the public safety LIT to offset the impact on taxpayers, but it is too late in the year to make changes to the tax rate for next year.
GO BOND
The commissioners and council also approved a joint resolution expressing intent to pursue a general obligation bond to support county projects.
The funding will be divided between the council and the commissioners.
The resolution approved on Tuesday was not the official approval of the GO bond, which will be formally approved at a later meeting.
The goal is to receive roughly $4 million from the GO bond, Short said. The resolution stated that the bond amount will not exceed $4.5 million.
Al Knable, president of the Floyd County Commissioners, said projects such as bridge repairs are high-priority issues that could be addressed with the GO bond.
Freiberger expressed opposition to the GO bond, saying it is “clearly taking money out of taxpayer pockets.”
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