If a new school is to be built to replace South Highlands Elementary in Opp, city residents and businesses will bear the financial burden.
The Covington County Commission went on record to oppose a countywide one-cent increase.
It would have raised the current eight-percent sales tax to nine-percent.
City school officials say a new building is a necessity because the 50-year-old South Highlands is plagued with mold, roof leaks and security issues.
A move by Mayor Edgar to impose the one-cent citywide tax met opposition from merchants who fear they will lose customers to nearby Andalusia and surrounding communities.