San Tan Valley Town Council Meeting 7/1/2026

The San Tan Valley Town Council held a meeting on July 1, 2026, primarily focused on adopting transaction privilege tax (TPT) rates and related tax code provisions. The council conducted a public hearing to receive comments on proposed TPT rates, including construction sales tax rates ranging from 4.25% to 5%, and a general retail sales tax rate around 2.25% to 2.5%. Discussions highlighted the impact of these rates on development impact fees (DIF), which the town cannot collect for 30 months due to state law changes, necessitating higher construction sales tax rates to offset lost revenue. The council voted to adopt a 5% rate for construction contracting and 2.25% for general sales tax, with the food tax rate set at 2.25% effective January 1, 2027, pending voter approval. Additionally, the council adopted ordinance 2026-06 to formalize these tax rates and tabled a resolution regarding annual salaries for mayor and council members for future discussion. Public comments expressed concerns about tax increases, particularly on food, and the economic impact on residents and developers.