ND: Effort to put public transit, public safety sales tax measure on Bismarck's June ballot fails

March 29, 2024
The tax would allocate two-tenths of a cent toward public transportation funding and three-tenths of a cent to public safety.

Mar. 27—Supporters of a potential ballot measure to implement a half-cent sales tax to support public transit and public safety in the Bismarck area unsuccessfully attempted to convince the Bismarck City Commission to put it on the June ballot.

The tax would allocate two-tenths of a cent toward public transportation funding and three-tenths of a cent to public safety. The request came after organizers fell short of the signature requirement to try to amend the Bismarck home rule charter — though the signature count needed for a public vote on such a tax in Mandan, which shares a public transit system with Bismarck, was met by advocates in that city.

The Bismarck City Commission on Tuesday didn't take any formal action, and is not scheduled to hold another regular meeting until after the city's April 8 deadline with the county to place items on the ballot for June.

The city had asked organizers to submit petitions by March 22 — last Friday — to ensure appropriate time for signature verification ahead of county deadlines. As of the deadline supporters had collected only around 1,100 of the more than 1,400 signatures necessary to qualify, but backers, including Commissioner Michael Connelly, wanted the issue on the ballot in June in Bismarck to match the effort in Mandan.

At the heart of the issue is accessible travel for many seniors and disabled residents who utilize Bis-Man Transit's paratransit service — a door-to-door ride available to people who cannot use fixed route Capital Area Transit bus service. Multiple community members spoke at Tuesday's meeting, including coordinating committee member Carl Young, to advocate for the importance of accessible and available transit.

"We will all have to ask ourselves, what does our community look like?" Young said. "Do we support all of the members of our community or just those who are able to have the ability to drive? If we have a very small on-demand service for public transportation, we know that the needs will by far exceed resources."

The three-tenths of a cent of the tax that would go toward public safety would be eligible for use in building police and fire stations, acquiring emergency vehicles and for paying the costs of the city's use of the Burleigh Morton Detention Center.

The proposed sales tax comes amid funding instability within Bis-Man Transit: the service loses roughly $1.35 million per year and has been relying on reserves, which will be gone by 2026 if no changes are implemented, to fill that gap. The nonprofit system with a budget of $5.2 million in 2023 is funded through local, state and federal money, along with fares and advertising revenue. A portion of its budget comes from property tax revenue.

The Bismarck City Commission last July allocated $225,000 for 2023 and $230,000 for 2024 to Bis-Man Transit. The Mandan City Commission gave $44,823 for 2023 but did not make commitments for 2024. Both allocations were made to ensure the continued operation of the paratransit service outside of the legally required operating hours of weekdays from 7 a.m. to 7 p.m. and Saturdays from 8 a.m. to 7 p.m. excluding holidays.

Bis-Man Transit also spent time last year starting to revise its strategic plan, which it does every five years, and at the time a sales tax was one possible route for revenue presented in the system's organizational structure and revenue needs, according to a study accepted by the city.

Connelly said a sales tax is an opportunity to ensure funding stability for public transit and address the matter before money in the Bis-Man Transit reserves runs out — and that it would also allow the transit system to think about big-picture improvements in a way that might otherwise be challenging while it's supplementing revenue streams with its reserves.

"If you had to pick between two and you can only have one side — a snowplow or a ride for grandma and grandpa — who's likely going to win the conversation every time?" Connelly said. "When we're talking about public transportation, they're always going to be a little bit on the outside looking in."

Other members of the commission seemed hesitant about acting on the issue.

Mayor Mike Schmitz said he was worried about the potential of a "Christmas tree effect" on tax-related future ballot measures, citing the potential of a statewide effort to allow voters to weigh in on the elimination of property tax, as well as the subsequent budget impact.

Commissioner Steve Marquardt said he wants the City Commission to "do its due diligence on the matter" to understand the funding breakdown and potential impact of the proposed measure, while alluding to the idea that any effort would likely have to end up on the November ballot.

"We knew we had to take a look at," Marquardt said. "But I think this is the first day that's come up or that or we've had an in-depth discussion about it."

The City Commission eventually adjourned without taking action, and is set to hold its next regular meeting on April 9 — one day after the city's deadline for ballot qualification, according to City Administrator Jason Tomanek.

Reach Jacob Fulton at 701-250-8225 or [email protected].

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