Approved: November 5, 2024
Tax took effect: April 1, 2025
Initial rate: 0.95%
Future rate: 0.75% by December 31, 2035, or sooner when conditions are met
Purpose: Public safety facilities, equipment, staffing and related needs
Current focus: Fire facilities, Police facilities, staffing, equipment and infrastructure
Transparency: Revenue, expenditures and project progress are tracked through the City's financial and project reporting

In May 2024, the Prescott City Council approved Ordinance No. 2024-1858, placing Proposition 478 on the November 5, 2024, ballot. The proposition asked voters to approve a dedicated 0.95% transaction privilege tax (TPT) to provide additional funding for public safety services. The tax was designed to support both capital needs, such as public safety facilities and equipment, and the ongoing operating costs associated with those investments.

Prescott voters approved Proposition 478, and the additional 0.95% TPT took effect April 1, 2025. The tax is dedicated to public safety and is intended to provide funding for improvements to Police and Fire facilities, equipment, staffing and other public safety needs.

The City is using Proposition 478 revenue to address identified public safety needs through a long-term capital and operational program. The focus is on making strategic investments, meeting current and future service needs, and ensuring the funds are used responsibly.

Current public safety projects include:

Three Fire Department facilities: construction of a new Fire Station 76, relocation of Fire Station 73, and a substantial reconstruction and expansion of Fire Station 72.

A new Police facility: a multi-functional facility that will include a property and evidence storage warehouse, K9 and Animal Control accommodations, motor operations, a patrol substation, crime lab, and space for a future indoor shooting range.

Public safety staffing and equipment to support expanded facilities and improve service capacity.

Additional public safety infrastructure and capital improvements identified through the City's long-term planning and budgeting process.

As projects move forward, the City will continue to evaluate the needs, scope and financial position of each investment. The goal is to prioritize projects that provide meaningful public safety improvements while being responsible stewards of the dedicated tax revenue.

The proposition provides for the tax rate to eventually decrease from 0.95% to 0.75% by December 31, 2035, with the City able to reduce the additional 0.20% increment sooner once the promised capital scope has been delivered and the program is on solid financial footing.

The tax is the tool. The goal is safe facilities, stronger operations and a public safety program the community can be proud of.

The City is committed to transparency throughout the program. Information about Proposition 478 revenue, expenditures, and project progress is available through the City's financial transparency resources and ongoing project updates.