Cap tax suggested as way to fund Gurley Overpass replacement

It’s set to put aside $1 million in the upcoming fiscal year and $2 million in the next four fiscal years. The plan had been to save $2 million in fiscal year 2023-2024, but that was “pared back” for budgetary reasons, said City Administrator Hyun Kim.

The city has $8 million set aside for the project. According to an engineer’s estimate from 2022, it would cost $15.5 million just to construct a new bridge. It will cost an additional $12.7 million for additional improvements to the surrounding area so that traffic runs more smoothly, for a total cost of $28.2 million.

At the city’s current rate, it’s looking at 10 or more years before enough money is raised, Kim said.

“It’s pretty clear, this is going to have to be a cap tax,” Kim said.

A capital facilities tax must be approved by voters, not the City Council, to go into effect. A sales tax, it can only go toward a specific capital need. It requires a specific dollar amount, and once that amount is reached, the tax goes away.

Realistically, the earliest the city could bring a cap tax to the voters is 2025, Kim said, adding that given today’s climate, the money could be raised in 10 to 12 months.

While the city has $8 million for this project, $3 million of it is in federal money.

At the end of 2022, $3 million in federal dollars was earmarked for the replacement of the overpass. Then-Rep. Liz Cheney had requested $7 million for the project.

Ry Muzzarelli, development services director for the city, said he’s waiting to hear from the Wyoming Department of Transportation on this $3 million.

“If we use any of that money, that’s going to dictate we go the federal way,” he said. “The question now is, is the state going to allow us to run the program? Or is that money going to have to go through the state?”

If it’s the latter, the state will add on fees to take care of its administrative costs. This would increase the cost of the project.

“It’s not to say staff is pushing for council to make the direction to levy a tax,” Kim said. “I at least am recommending you talk to your constituents and see if they want to authorize it.”