Chickashanews.com

Local News

June 24, 2009

Minco may lose grocery store, tax revenue

Minco could soon be without a grocery store -- and nearly 33 percent of the town’s sales tax could vanish with it.

Minco’s loss could be Tuttle’s gain.

The co-owner of Williams’ Discount Food Store in Minco may build a new store in Tuttle rather than replace his fire-ravaged structure in Minco, he said.

Jim Williams, co-owner, has asked the Tuttle City Council for a sales tax break if he decides to build in Tuttle instead of Minco.

“Right now, we have options in Tuttle to pursue before we look at Minco again,” Williams said. “If the city council votes against the (sales tax break), we’ll go back and take a look at Minco.”

The Tuttle store is currently on Main Street. Williams is considering building a new store behind the Family Dollar Store and the Sonic Drive-In in Tuttle.

A new store in Tuttle would cost $3.8 million to build, while a new store in Minco would cost $2 million.

“We can’t afford to do both,” Williams said.

Said Tuttle City Manager Tim Young: “The council is studying the issue and its options and has not made a decision yet.”

* Williams Discount Food means more to Minco than Tuttle in sales tax. Tuttle’s population is about 6,000, and Williams’ store produces a little more than 5 percent of the town’s sales tax revenue. Minco is a town of 1,800 residents, and Williams produced 33 percent of town’s tax revenue last year.

* On a per penny/resident basis, Tuttle brings in $4.75 each month, while Chickasha garners $12; Mustang, $9; and Newcastle, $13.

* Tuttle’s sales tax rate is 4 percent. That’s on top of the state’s 4.5 percent and Grady County’s one-fourth percent.

* A survey will soon be distributed to Tuttle citizens in hopes of learning their shopping habits and desires, Young said. Residents will receive the survey in their water bills and can also visit the city’s Web site to find it. Surveys are due July 15. “Any adult in the Tuttle area may fill out a survey,” Young said. “It’s not restricted to residents.”

* Young said sales tax revenue is up 13 percent from last year, thanks to more people moving to the area.

* Young said utility rates are being adjusted. “Water bills are up one percent to six cents per 1,000 gallons, the first increase in two years,” Young said. “Sewer bills will be up five percent, the first increase since 1999. We will create a new base fee of $7 for gas, with no further increases, and we will no longer have a minimum rate for gas. The last gas increase was in 1992. We need this to help maintain systems because we have increased our infrastructure, but we have fewer employees.”

* Young said despite the increase in the base rate for natural gas, Tuttle residents’ pay an average of $30 less than Oklahoma City residents, who are on ONG.

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