Proposed Use Tax ballot item would reduce sales tax with yes vote

During the past several years, several towns like Mountain Grove have been unable to get voter support for a local use tax when on the ballot.
The push from local municipalities to get voter approval is to allow them to collect sales tax not currently being collected by out-of-state or online vendors.
The local use tax is the same rate as sales tax and both taxes cannot be collected on the same purchase. This is where some confusion comes in for voters as the phrase itself looks like voters would be approving an additional tax, which is not the case.
Funds generated from the local use tax could then be used like the funds collected from local sales tax.
This revenue would help put more dollars towards public safety, road maintenance and much more.
With a statewide use tax of 4.225% already in place, local cities and counties can only collect their portion of the tax if local voters vote “yes” on a local use tax measure.
With the hopes of getting Mountain Grove residents to vote “yes” next April, Councilman Dale Atchison proposed a measure where a “yes” vote on a local use tax would officially reduce the City’s existing local sales tax rate from 3% to 2.875%.
A similar approach was taken years ago when City voters eliminated a property tax in order to approve a sales tax increase at the same time.
“What that means is anyone who shops in the City of Mountain Grove will save money due to the use tax (being approved),” said City Administrator Dakota Bates. “...I want to commend Dale’s fantastic approach for sure.”
While voters have yet to approve their measure, this concept has received attention on the state level as what could be the best way to finally get a use tax measure approved by voters.
Meanwhile, in the recent City Council meeting, a 7-0 vote approved ballot language that reads partially as follows:
“Shall the City of Mountain Grove impose a local use tax at the same rate as the total local sales tax rate, provided that if the local sales tax rate is reduced or raised by voter approval, the local use tax rate shall also be reduced or raised by the same action?
If this proposition is approved, the City’s General Fund Sales Tax rate will be reduced by one-eighth of one percent (1/8%), lowering it from one percent (1.00%) to seven-eighths of one percent (7/8%), and thereby reducing the total local sales tax rate from three percent (3.00%) to two and seven-eighths percent (2.875%). The reduction shall become effective concurrently with the effective date of the local use tax.”
With majority vote passage, the use tax shall “become effective on the first day of the second calendar quarter after the Director of Revenue receives notice of adoption from the City.”