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The LaGrange County Council increased the wheel tax and sur tax for LaGrange County vehicle owners at Monday morning’s meeting.
The $50 sur tax increase and the $80 wheel tax hike were part of an initiative set in motion by the LaGrange County Commissioners when they approved a significant increase in horse-drawn vehicle license plate fees.
The wheel and sur tax increase will generate $1.75 million in additional revenue, which the county has pledged to improve the roads. The county will keep $1.6 million and some will be disbursed to the four towns: LaGrange, $53,000; Shipshewana, $22,000; Topeka, $28,000; and Wolcottville, $15,700.
The last time a change was made to the county wheel tax and sur tax was 2014.
The council voted to take $3 million from the county’s American Rescue Plan Act funds and another $2.5 million in Economic Development Income Tax funds for $5.5 million in road work planned in 2024. Over the next two years, the LaGrange County Highway Department anticipates rehabilitating 11% of the county’s roads.
On Monday, the council also OK’d the purchase of generators for the courthouse, justice building and county annex building.
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