Going out to dinner, filling up the gas tank and even some groceries will cost a little bit more starting Saturday, July 1, in the city of Tucson.
Merchants will be adding a half-cent tax to every applicable sale, part of the voter-approved Proposition 101.
The city sales tax had been 2 cents per $1, but with voter approval in May, the new tax is now 2Β½ cents per $1.
The tax, which helps fund road repairs and buy new equipment for first responders, is expected to cost the average resident about $3 more per month. A $10 pizza, for example, will now cost 5 cents more with the new sales tax.
The half-cent increase is expected to raise $250 million during the next five years, at which time it will expire.
Under the terms of Proposition 101, $100 million of the revenue will be set aside for road repairs, with about $60 million used for major roads and the rest for residential streets. The Fire and Police departments would receive $150 million, about $75 million each, for equipment upgrades and capital improvements.
