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So, you have sales tax questions about Perham project? Here's what we know...

We have been receiving some great questions related to the Local Option Sales Tax that will be presented to the voters at the November election. I hope to answer a lot of those common questions and concerns with this article. Here are a few of those questions with responses. Please feel free to email or call with any additional questions as we hope to follow up this article with additional responses.

What gets taxed and how much is the tax?

The sales tax is 1/2 of 1 percent, increasing the current rate of 7.375 percent to 7.875 percent. This equates to $.50 more on a $100 purchase. I have provided a link for more information. The items that get taxed are the same items that people currently pay taxes on.

More information can be found at:

Who gets to vote?

The residents of the City of Perham. This vote will be for those that reside within the City Limits of Perham.

Will there be someone who can clearly explain the Hub project bonding process, before the November vote, at a public meeting and/or in an article in the Perham paper?

We are unsure of this. At this point, the State Bonding money or the HUB project are not part of the Sales Tax. The Sales Tax revenue will be specific to the PACC and the improvements needed there. This is where it gets a little confusing. The Sales Tax, if the timing works out, will be a qualified match to the Bonding money, if and when the HUB project begins to move forward. At this point, we are still waiting for the State (Department of Employment and Economic Development) to get back to us with all the requirements and strings attached to the bonding dollars. We have a lot more questions than answers when it comes to the Bonding money.

Again, as of today, the State Bonding money is being regarded as a separate piece to the Sales Tax. If it works out, we can leverage the sales tax as match to the Bonding. Simply put, we are dealing with two separate projects, the Sales Tax/PACC project and the Bonding/HUB project. When it comes to the vote in November, it will be for the PACC improvements and PACC improvements only. The details of the PACC improvements will be available in the coming week.