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Roswell OKs sales tax split with Fulton County

ROSWELL, Ga. — Roswell City Council members unanimously approved the new distribution formula for dividing revenue from the countywide local option sales tax.

The approval came at the Nov. 14 regular council meeting held at East Roswell Park.

The sales tax has historically been a major source of funding for the city. Over the next 10 years, that sales tax is expected to generate about $4 billion in revenue. For the past few months, officials with the 15 cities in Fulton County have been haggling with the county over how that money will be split up.

Roswell City Council

Roswell City Council members discuss negotiations over the countywide sales tax distribution Nov. 14 at East Roswell Park.

Every 10 years, the county and its cities renegotiate the sales tax distribution. The most recent distribution agreement from 2012 provided the county keep 5 percent of collections with the remainder split among cities according to population.

Renegotiations for the sales tax began this July, with the county floating a proposal to increase its share of the distribution to 35 percent over the next decade.

“I feel the original offer proposal for Fulton was extremely aggressive, and one that did not benefit the residents of Roswell,” City Councilman Mike Palermo said.

Fulton County argued that its population served has increased over the past 10 years.

After months of negotiation, Fulton County recently agreed to a formula by which its share of the sales tax revenue will incrementally increase to 12 percent over the next 10 years.

Sandy Springs, Atlanta resolve Fulton County sales talks

As part of the agreement, Roswell’s share will decrease from the current 8.9 percent to 7.6 percent over the next 10years. The majority of the 15 cities in Fulton County will also see a decrease in their share of the tax distribution across the decade.

Mayor Kurt Wilson said the negotiated number is a “very sound agreement” that was reached ahead of schedule.

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Reach Delaney Tarr at 770-847-8079. Follow her on Twitter @delaneytarr.