La Grange passes amendment to continue compensation tax in Oldham County city

LOUISVILLE, Ky. (WDRB) -- The City of La Grange approved an amendment that will continue a compensation tax on Monday night.

La Grange City Council passed the amendment in a 5-3 vote after an hourslong public forum hosted in the Oldham County city.

Oldham County residents spoke out over a proposal to extend a tax on workers in the city of La Grange, saying the city was trying to "move the goal post."

In 2013, La Grange passed a 1% tax on wages for people who work in the city limits. The money from the occupational tax was to be used to pay off the debt on an $8 million bond for the Oldham Reserve Business Park.

When the occupational tax initially passed, it included a "sunset" clause, meaning when the bonds were paid off, the tax would go away.

"I can not in all good conscious continue to vote to continue to give the city money in this way, we need to let it sunset," said council member Leslie Wright.

On Monday, the council voted on an amendment that would expand how the city can use the tax money, allowing the funds to pay for future growth and infrastructure needs. Those against the amendment said the city isn't keeping its word and argued the tax puts a financial burden on families.

Those in favor see the tax as the only way to ensure future growth.

"If we don't do it this evening, we're going to be back here 12 to 18 months from now having the same exact discussion," council member Bill Lammlein said.

La Grange can expand how it uses the money generated from the occupational tax.