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Blount County voters will vote Nov. 4 on a referendum to increase the local option sales tax by one-half cent -- an increase of about 50 cents for each $100 purchased -- with most of the revenue going for education.

Blount County Commissioner David Graham said that county voters need to think hard about the issues related to the referendum before voting.

"We've put a lot of money into bricks and mortar, but we haven't put any, with the exception that has come through growth, into the operating budget of the Blount County school system," he said.

"... At some point, in the near future, we're going to have to address this. We can address it either through a property tax increase or through something like this, which is broader-based and doesn't target just the section of the population that owns property."

If the proposal is voted down countywide, the cities of Alcoa and Maryville would still have the option to ask their own citizens whether the additional tax should be levied, Graham said.

"Their intention is to go this route regarding funding," he said. "What that says is if we don't (pass it countywide), anything we buy within the cities of Alcoa and Maryville ... we'll be paying that tax without getting any benefit.

"All I ask for is that the voters consider the aspects of this possible funding when they go to the polls and vote. Personally, I voted for it because I think it's the better option."

The County Commission voted in August authorize the referendum. Under state law, cities and counties in Tennessee can levy up to a 2.75 percent local option sales tax. The local option in Blount stands at 2.25 percent.

Currently the sales tax rate in Blount County is at 9.25 percent. If passed by the voters of Blount County, the referendum would raise this rate to 9.75 percent. The sales tax on a $100 purchase would increase 50 cents from $9.25 to $9.75.

Not much discussion

A citizens group, Blount Countians for Educational Excellence, has pushed for the referendum. Based on 2007 sales tax receipts, the group estimates the added tax would raise $7.7 million annually with 2 percent increases each year. Blount County Schools' share would be $2.9 million.

Steve West, businessman and former mayor of Maryville, has been involved with promoting the tax increase. He said that there has not been much public discussion about the referendum.

"It's been quiet," West said. "There has not been a lot of discussion on it. What has been out there has been positive. I've talked to several people here and there. Two, who have already early voted, have voted for it. As far as having a real feel, the natural thing (to ask is) who is crazy enough to vote for a tax increase? It's really an alternate way of paying some of our taxes more than a tax increase, but I guess it's how you look at it."

When asked if he thought Alcoa and Maryville would take a stab at enacting the tax if it fails countywide, West said that would be a decision for their respective elected officials.

"My best guess is they would do it again, but it would be up to the councils," he said.

In any case, that would not be the best scenario, West said. "I live in Maryville and I work in Alcoa and I've been in Blount County all my life. That would not be a good thing for our community. The better way is for all school systems that have the need to have the money.

'Pretty dire needs'

"All the systems have pretty dire needs for money. When we started this three or four months ago, it was for capital improvements. With the problems that the state government is having with the state sales tax (revenue) decreases we're seeing ... they need this just to halfway keep up."

The state government also has the option of increasing the state share of the sales tax, taking the increase out of local hands, West said.

"There is even more chance of the state taking those sales taxes that are not maxed out and redistributing them," he said. "There is no question we will come out on the short end of a redistribution. So we need to keep that here at home."

However, according to Michael Drescher, communications director for Gov. Phil Bredesen, the governor has said he will not pursue a tax increase.

"We're committed as a state to living within our means," Drescher said.