If approved later this month, the tax hike would add $250,000 to the county's coffers, raising taxes on a $100,000 home by $35.64 annually, and by $64.80 on businesses valued at $100,000, according to Grand County Clerk Fran Townsend.

And the tax bill could go even higher - an additional $6.33 on a $100,000 home, or $11.50 for similarly valued businesses - if a separate increase proposed by the Moab Mosquito Abatement District is approved by the district board.

Taxes levied to the general fund cover the cost of county operations, which include employees and benefits, law enforcement, equipment and utilities. The tax also pays for costs associated with the Grand County Public Library, Townsend says. She adds that hikes in fuel and utility prices, plus higher operational costs for county departments, figure prominently in the county's decision to seek a tax increase.

"Grand County is growing, and it costs more to do the county's business," Townsend said. "The operational costs in our original budget requests from departments were more than $1 million above the revenues we projected we would actually bring in. We went back to the drawing board, cut wherever we could, and this is what we were left with."

The county has made some cuts to keep costs down, including switching to a less expensive health-care plan and holding salaries steady by offering only a 3 percent cost-of-living increase, Townsend says.

"You just have to look at all of these things and continue to provide what you can for your employees," she said.

The decision does not sit well with some council members.

"In your household, if you have $10,000 to live on, you try to live on $9,500. You don't just go out and tell the neighbors to pitch in more money," Councilwoman Judy Carmichael said. "I'm not really a proponent for raising taxes. My notion was to cut the budget, but there were others who didn't believe cutting services was the thing to do."

Carmichael declines to predict how the public will respond to the plan. Public reaction was mixed five years ago - the last time the council raised taxes.

She says that after trimming the budget as much as possible - and looking at the realities of higher fuel prices and stretched-to-the-limit departmental operations - she understands why many county officials support the tax increase.

"I don't think there's any department or any expense that's completely out of control," she said. "The cost of running the county is going up. That's a reality we have to deal with."

lchurch@citlink.net

Open to the public

Two hearings: The Grand County Council has scheduled a public hearing on the proposed tax increase for Tuesday during the council's regular 7 p.m. meeting at the Grand County Courthouse, 125 E. Center. The council also will hold a public hearing on the overall county budget proposed for 2006.