Lexington County Considers Penny Tax for Critical Infrastructure Upgrades Amidst Population Growth

Lexington County Eyes a Potential Penny Tax for Infrastructure Improvement

LEXINGTON COUNTY – Residents of Lexington County might have an important decision on their hands in the upcoming 2026 ballot. That’s right! County leaders are considering putting a penny tax proposal back for a vote, an idea that has stirred much debate and discussion among locals before.

A Growing Concern

Since the early 2010s, Lexington County has experienced rapid growth, with its population swelling from 262,391 to 293,991 between 2010 and 2020. This upsurge, while a sign of progress, means that the infrastructure, especially roads, is feeling the heat.

“The explosive growth has definitely put a strain on our existing infrastructure,” said Darrell Hudson, vice chairman of the Lexington County Council. “If we don’t act soon, things are only going to get worse.” He’s not alone in his sentiment; during a recent committee meeting, the council discussed a proposal to bring the penny tax back to voters.

What’s a Penny Tax?

So, what exactly is a penny tax? It’s a proposed increase of 1 percent on the county’s sales tax. The last time this was on the table, the tax was estimated to raise more than $500 million over eight years! That’s a significant chunk of change that could be directed toward various much-needed infrastructure projects.

In the previous attempts in 2014 and 2022, voters turned the idea down — by 70% to 30% in 2014 and by a closer margin of 54.64% to 45.36% in 2022. The earlier proposal included funding not only for road improvements but also for parks and sports fields. The latter attempt focused solely on essential road repairs, yet still did not pass. The council is hopeful that the third time may be the charm.

New Revenue Sources?

To maintain momentum on necessary infrastructure projects, the county is also exploring a $30 vehicle fee for all registered vehicles. With about 290,000 cars in the county, this fee could generate a cool $8.7 million annually. However, Councilwoman Debbie Summers emphasized that this is more of a “temporary fix” compared to the funds a penny tax could create.

One interesting point: if voters do approve the penny tax in 2026, that vehicle fee would disappear by the end of that same year. How’s that for a plan?

Infrastructure Waiting for Funds

Currently, the county has an estimated $500 million worth of road work projects they need to tackle within the next 10 to 15 years due to increasing traffic and aging roads. To put this into perspective, surrounding counties like Richland, Aiken, and Newberry have already adopted penny taxes to help finance their roadwork.

The South Carolina Department of Transportation is making strides in their focus on interstate and bridge improvements, recently allocating an extra $200 million to go towards those projects. However, any further roadwork needed will rely heavily on what the county can gather, particularly if the penny tax goes through.

Looking Ahead

As the county prepares to revisit the idea of a penny tax, it’s clear that the discussion is not just about numbers; it’s about the future of the community. With so many families depending on smooth roads and reliable infrastructure, it’s crucial that the county takes a proactive approach.

While we’re still a long ways from the actual vote in 2026, the county council is busy laying the groundwork to ensure that local voices are heard. Road repairs are everyone’s concern here in Lexington County, and well, it looks like we’re gearing up for some serious discussions in the coming years!

Stay tuned for updates as we get closer to the hearing on the vehicle fee ordinance scheduled for October 22. It’s shaping up to be an interesting time for Lexington County.