It is an agreement that is struck between a county and its municipalities once every 10 years. Confirming that agreement on Oct. 2, the Coweta County Commission unanimously approved the arrangement with the county’s municipalities that will determine the percentage of local option sales tax (LOST) that each entity will receive over the next decade. The changes in the percentage of revenues going to each entity will be phased in over a three-year period and the result is a higher share of LOST proceeds going to the municipalities.
The percentage of LOST revenues received by cities and the county are negotiated every 10 years following the national census. Based on changes in population density and other factors, each county and its municipalities enter into negotiations to get the biggest slice of the revenue pie possible.
The negotiations in Coweta began in August and were approved recently by the cities and, as of Oct. 2, by the county commissioners. The negotiated distribution percentages in the agreement will be phased in over a three-year period beginning January 1.
In the first phase that runs from Jan. 1 through Dec. 31, 2013, Coweta County will receive 68.2 percent of revenues, Newnan will receive 25.95 percent, Senoia will receive 2.6 percent, Grantville will receive 2.39 percent, Sharpsburg will receive .27 percent, Turin will receive .22 percent, Haralson will receive .13 percent and Palmetto, with only a portion of the city inside Coweta County, will receive .24 percent of revenues.
Beginning Jan. 1, 2014 and extending for one year, the county will receive 64.97 percent while Newnan will get 28.57 percent and Senoia will get 2.87 percent, followed by Grantville at 2.63 percent, Sharpsburg at .3 percent, Turin at .24 percent, Haralson at .15 percent and Palmetto at .27 percent.
The third phase of the LOST distribution begins Jan. 1, 2015 and runs through Dec. 31, 2022.
The revenues for the county in the third phase will total 61.78 percent compared to 31.19 percent for Newnan, 3.13 percent for Senoia, 2.87 percent for Grantville, .32 percent for Sharpsburg, .26 percent for Turin, .16 for Haralson and .29 percent Palmetto.
By way of example of the revenue increases that will be seen in the municipalities, Senoia currently receives 2.34 percent of LOST revenue.
