Catoosa County unanimously approved a local-options sales tax (LOST) distribution deal Dec. 3 with Fort Oglethorpe.

Fort Oglethorpe’s resolution asked the county to give the city no increase in 2003 leaving it at 17 percent, a 1 percent increase to 18 percent in 2004, and a 2.97 percent increase to 20.47 percent in 2005.

Commissioners voted unanimously to accept the Nov. 25 offer by the city, including an added request that the county begin SPLOST, special-purpose local-option sales tax, negotiations that would pay for a West Chickamauga sewer interceptor.

County attorney Clifton “Skip” Patty said that Fort Oglethorpe asked the county to consider approving debt service on the West Chickamauga interceptor as a SPLOST project not to exceed $400,000 per year over a five year term.

Commissioner Mark Fletcher, who made the motion to accept, said the interceptor will largely be serving the county.

“It will give us a good outlet there,” he said. “In agreeing to this, I know we cannot put it in LOST money, but we would be agreeing that we would support the interceptor.”

Patty said that the agreement would also provide that Ringgold receive the same percentage increase in LOST.

“Ringgold is entitled to receive six percent for 2003, 7 percent for 2004, and 9.47 percent for 2005,” he said.

Patty said that both cities would receive the 2005 percentages until calendar year 2012.

What is LOST?

LOST is used for different purposes than special-purpose local-option sales tax, or SPLOST, and educational special-purpose local-option sales tax, or ESPLOST.

LOST provides the county funding to roll back property, or ad valorem, taxes by generating revenues from sales tax.

Funds collected are then divided by the state on an agreed percentage basis to the county, Fort Oglethorpe and Ringgold.

Ringgold City Manager Dan Wright estimated that LOST collections for the county and two cities in 2002 totaled $6.8 million.

County attorney Patty said that currently Fort Oglethorpe receives 17 percent or $1.1 million; Ringgold receives 6 percent or $400,000; and the county gets 77 percent or $5.18 million. Distribution is based on population, he said