On Tuesday the Price City Council held an open house for citizens to answer any questions regarding the ZAP tax. ZAP stands for Zoos, Arts and Parks but is officially the “Botanical, Cultural, Recreational and Zoological Sales and Use” Tax.
It is a tax that local municipalities are allowed to add to their sales tax within their borders to help fund the maintenance and expansion of parks and recreational facilities. ZAP is a restricted use tax and cannot be used for other city or community projects or expenses.
The tax is already in place and is only assessed through sales tax within the boundaries of Price. ZAP has been in place since 2006 and needs to be re-ratified by the voters in the upcoming November election. Without the ZAP tax in place, the funds to maintain the parks and recreation facilities in the area would need to be found elsewhere. One option might be a tax increase of up to 33%.
Councilwoman Kathy Hanna-Smith said, “Gauging from the volume of calls about the parks that come into Price City, these matters are very important to our citizens. We have spent a lot of money this year from that fund to get the city parks into the great shape they are in right now.”
The ZAP tax generates approximately $225,000 per year in revenue. Since the ZAP tax is on the sales tax, the burden is shared by both Price City residents and any person who spends money within Price City limits.
Citizens have been actively involved in putting together a master plan for parks and recreation needs in the community. Park maintenance is high on the list as well as a list of new amenities they would like to see phased in. The renewal of the ZAP tax will allow the city to move forward with balancing needs and wants with fiscal responsibility.