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Alamosa County, Colo., Anticipates Fund Crunch after Voters Reject Tax Plan.(Knight Ridder/Tribune Business News)

Knight Ridder/Tribune Business News

| July 31, 2000 | Smith, Erin | COPYRIGHT 1999 Knight-Ridder/Tribune Business News. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Jul. 31--ALAMOSA, Colo.--Alamosa County officials say its government finds itself in bad financial straits after voters rejected a proposal to reallocate the county sales tax.

Various department heads have been asked to come up with ways to save money.

If the county maintains its current spending ways with an $11 million budget, it could be in the hole as much as $700,000 by the end of 2001.

Last week, County Administrator Herry Andrews reviewed the history of the 2-percent sales tax. He noted the county did not have a sales tax prior to 1978. The state had its 3-percent sales tax and the city of Alamosa a 1 percent tax at that time.

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