Dadeville council adopts Ordinance 527, raising municipal sales tax to 4% and earmarking funds for first responders

The Dadeville City Council on a voice vote adopted Ordinance 527 to raise the city's municipal sales and use tax from 3.5% to 4%, with the change scheduled to take effect Oct. 1 of the next fiscal year.

Mayor said the increase aligns Dadeville with neighboring cities that charge 4% or more and noted the council considered the local economic impact: the mayor illustrated the change as a 0.5 percentage-point increase, saying it would cost about $5 on a $1,000 purchase. He told the council the revenue should support essential services and that he was open to earmarking the funds for emergency services.

Councilman Wolford asked whether the new revenue could be designated for first responders; the mayor agreed and said the council could earmark the half-cent increase for that purpose. After brief discussion the mayor called for the vote and the ordinance passed. No roll-call tally was provided in the transcript; the mayor announced the ayes had it.

The ordinance amends the city's sales and use tax ordinances to set a municipal rate of 4% on gross proceeds or sales receipts subject to applicable law. City staff said the implementation date is Oct. 1, at the start of the next fiscal year, not immediately.

What happens next: City staff will prepare the necessary administrative steps for implementation and notify businesses and residents ahead of the Oct. 1 effective date.