Saturday, December 16, 2006

Well, they're back and so are we

We're getting ready to help voters understand Project Destiny - join us.

Dumb idea then - Dumb idea now

Six months does not change an ideas merit. Accountability is a given, not something to use as a selling point.

Let's be blunt - we just plain can't trust our local leadership to make good decisions concerning public expenditures. Let's look at the history of the metro area's leadership.

1. The race track and casino were to solve all of our fiscal problems - did it?

2. The state lowered taxes on our utilities; many local governments increased our franchise fees to take back the money. This issue is still in the courts and we have not received any information about how this will be resolved. Was this good planning by the local governments? How will the governments pay back the money should the court decide in favor of the utility users?

3. CIETC is still an issue. If the city could not appoint qualified, honest and duty-bound folks to supervise this entity shouldn't they have said so and sought another form of oversight?

4. Local option school taxes have further damaged the reputation of our "leaders". Does doing what you say you'll do with entrusted funds have any meaning once the dollars are in your checking account?

5. Look for storm clouds on the horizon. The local governments will "need" more money to not only feed current obligations but also to cover liabilities that they themselves fostered.

There is an overall lack of confidence in our leaders and no amount of meetings (private or public) will stand in the way of the public's right and duty to deny these folks access to our hard-earned dollars at this time.

I'm looking forward to seeing open forums for the discussion of all issues on a level playing field. The venue would be in a public place, led by a panel of objective news media personalities with speakers coming from the floor to speak in favor or against the issue for a limited period of time. The meetings should be broadcast over Des Moines City Council's cable channel. This would be very interesting but I don't think that it will happen. Not only are there too many issues to be addressed concerning this proposal, but public input is not something that the "leadership" of Des Moines ever wants to face.

I'm also predicting that the petitions to have the measure added to the ballot will be circulated on private property and that objectors to the issue will not receive access to those same properties to express any opposition to the issue. If you don't believe in the measure, don't sign any petition to have this issue placed on the ballot.

Friday, August 18, 2006

LOST AGAIN Ian Binnie

Project Destiny's proposed three county local option sales tax increase is 16.7% to its opponents and 1 cent to its proponents. Both are correct but its proponents have correctly decided that a 16.7% increase in any tax would be a hard sell. A 16.7% increase in, say, income tax would not get out of the starting blocks but as the poor pay more of their income in sales tax than they do in income tax that is in effect the prospect they face.


A similar semantic problem arises with that perennial promise, "property tax relief." A common (and common sense) interpretation suggests that you will pay less after relief than you are paying now. But for our elected officials it simply means that your next increase will be less than it would otherwise have been. And there is no way under Iowa law to make the promise of a "dollar for dollar" reduction in property tax binding on the many taxing jurisdictions involved. "Trust us" is not exactly a convincing argument. And "Trust our successors" even less so. The Des Moines City Council’s devotion to property tax relief is particularly suspect given its annual pilgrimage to the statehouse to lobby the legislature to remove the cap on property tax.

The proposal, like Caesar's Gaul, is divided into three parts.

The first third is the property tax relief referred to above. If it does materialize it will provide a windfall for federal and local governments; property tax is income tax deductible - sales tax is not. It is unclear how all this is to work for homeowners and a clearer explanation would be helpful but if it is indeed "dollar for dollar" it appears that those in the lower tax suburbs might well get a higher percentage relief than those in high tax Des Moines as would those who live in partially abated homes no matter where they live.

The next third is to finance projects that would normally be paid for by property tax and is being characterized by some as also being property tax relief. This is a bit of a stretch. This is new money for new projects and is clearly a tax increase. To be fair the drafters of the proposal acknowledged that when they did not include it with the property tax relief of the first third.

The last third is perhaps the most controversial of all, a $20 million dollar slush fund to enhance the local "quality of life." I prefer to decide for myself what enhances my quality of life rather than have others decide it for me and I suspect that most traditionally individualistic Iowans feel the same way.

Mandated in this third is the Holy Grail of the Des Moines City Council, property tax equalization with the suburbs. 20% of the final third will be distributed to the various jurisdictions based on the amount of tax exempt property they have. This means that Des Moines will get most of it.

The fund will be administered by a committee of fifteen appointed by elected officials. We have recently seen how well that works. Nine will be from Polk County, three from Warren and three from Dallas. This is no doubt logical based on present population ratios but as a practical matter it gives Polk County de facto complete control. Non-budget decisions (whatever they are) will be by a simple majority of eight so here Polk County can do what it likes. Budget decisions (distributing the money) require a two thirds majority of ten. All Polk County has to do is to cut a deal with one of the representatives of Warren County (the poor relation of the trio) and Dallas County will have no say in where its money goes.

Some have already spotted a potential danger in passing this measure, its effect on the renewal of the local option sales tax for schools which is looming on the horizon. There is a limit to the public’s appetite for sales tax increases and there is already smoldering discontent with broken promises and questionable expenditures in this area. If Project Destiny passes, "enough already" might well be the reaction when school tax renewal comes up.

We should be able to disagree without being disagreeable and I have no doubt that the Project Destiny leaders have the best of intentions but as my mother never tired of pointing out, "The road to hell is paved with good intentions."

Friday, August 04, 2006

Never give in

Project Destiny, the new sales tax / property tax relief / community enhancement plan is still around and may be back with us next summer in a special election. It is critically important that all middle to low income homeowner and all renters fully understand the negative affect this plan will have on their personal finances and work towards its defeat.

As the Project for Destiny Plan now stands, expect the following financial impacts:

• If you are a homeowner (property taxpayer) with a home with a market value of about $225,000 or less in Des Moines, you will see lower property taxes and a sales tax that is higher than your tax reduction. – You lose.
• If you are a renter, your landlord will receive property tax relief. He will be free to pass it along to you if he wishes. Will he? You’ll get a new sales tax. – You lose big time.
• If you are a child, teen or homeless, what you buy including meals, pop, candy and clothing will be taxed at a higher rate. – You lose too.

Who else looses? The community does because what I just described above is called regressive taxation, taxing the people with less ability to pay than those with more ability to pay. Although the promoters of this plan call it a “property tax reduction plan”, most people will actually pay more taxes in total!

Please ask your local leaders about how they learned about the full impact of this program? Ask them if comparisons have been shown which illustrate how the plan will affect the various economic groups in the community, especially big business and low income folks - an economic impact statement if you will.

As the plan stands it is a bad deal for most residents, even those who think of themselves as middle class. Even if they were to “break even” by having their property taxes lowered and then equally offset by the new sales tax, they would be hurting their community. Why, by increasing the taxes on people with less than they. This is just morally wrong.

I don’t see that it is ever, ever right to put people who have lower incomes than you into a worse financial position than they were before. That goes not only for this current tax question but also to many other areas of our community that prey on financially weaker people.

The true strength of a community comes from its people and their total value systems including spirituality, not from feeding government’s incessant greed.

There will always be folks with blinders on, folks who want the easy choice, folks who will vote the politician’s line. We have it within ourselves as individuals, families, communities, cities, counties, states and a great nation, under God, to never do that again.

Please stand in opposition to Project Destiny. If you are offered a petition, don’t sign it. If it goes to the ballot, take the time to vote NO. It’s just not a good idea.

“Never give in, never give in, never; never; never; never - in nothing, great or small, large or petty - never give in except to convictions of honor and good sense” – Sir Winston Churchill

Sunday, July 30, 2006

Creating distance from corruption

Project Destiny is trying to distance itself from the local government’s corruption issues by postponing their local option sales tax measure until next year.

A special election will work well for them by filtering out the “I kind of don’t care” people from the polls. The Des Moines Partnership, our self elected media-proclaimed leadership, doesn’t fully understand the ramifications of their plan and need that understanding in order to effectively mislead us.

Hopefully, facts about poor government will be replaced with logical facts.

I just don’t know if the “Project Destiny” local option sales tax measure rises to the level of calling it a public deception, lie, cheat or theft but it comes incredibly close. I just know that you can expect to be offered various public forums and opportunities where you may express yourself to our leaders, question them and have your facts presented during evening hours. (Humor)

For now, I would like the names of all who proposed or have endorsed this measure and how that it will benefit them - Kind of a public disclosure statement.

If I can’t convince you to vote no with facts, figures and illustrations please kindly accept the consequences of your actions.

Thursday, July 20, 2006

It will be back - we will be ready

The sales tax measure has been delayed - details now!

There is good news for the residents of Polk, Dallas and Warren counties for now. We can go about our business for almost a year while we're bombarded by little snippets of news from the People for Project Destiny, the local option sales tax to give to the rich and take from the middle-class and poor while extolling the self-proclaimed virtues of "leadership" conferred by the DM Partnership.

Expect letters to the editor in the Register and little stories on TV about the great things that will be done with your money.

Don't expect much from them as far as detailed financials, or a list of the hundreds of people and businesses that will greatly benefit from the property tax reduction.

Whatever their tactics are, we hope that we, through both our Internet connections and hundreds who will help to feed us information as it is made available.

There will be meetings planned, speeches made and questions asked of the public at those meetings with the normal slivers of time allowed for comment from folks like you and me.

In the coming year, I hope to bring to you honest, direct and non-misleading information without any half-truths about the real impact of this issue. This is very important to all citizens, especially the majority of us whether we are home owners, renters or even live on the street. Unless the Project Destiny plan is radically changed in nature and scope this is truly a class battle, one which I plan on enjoying with you.

With your help, in time, some money and some good legal advice we will win this battle from the "grassroots". Identifiable names will be named and figures will be stated.

My prior posts have been removed because I consider this to be Phase II. Many of the ideas published before will be re-worked as the campaign moves forward and intensifies at election-time. If you would like any of the prior information let me know.

If you would be interested in forming or working on this local ballot issue campaign or have any ideas that you would like to send to me directly please e-mail me at richardchristie@earthlink.net. Liberals, conservatives and independent voters are welcome to participate.

Legal Details:

Confidentiality: All names and e-mail addresses will be kept in confidence and will not be included in any group mailings identifiable as individual e-mail addresses. E-mail addresses will not knowingly be allowed to be used for any other purpose except for the defeat of this measure. Do not write if you are under the age of 14.

All posts are read and edited before posting in this forum. This is not a solicitation for funds or in-kind contributions. Any solicitation for funds or in-kind contributions shall commence after proper filings have been made with the State as a local issue campaign.

Comments received via e-mail may be shared if, in my sole opinion, they are credible and verifiable without attribution to the writer. Any confidential information should be noted as such and it will not be used except as background information in strategy planning.

Please e-mail me if your wish to comment but are uncomfortable sending a message via your business's or agency's phone or e-mail system. Please show a best time of day to call and the best numbers to reach you. I will return your call.

This will hopefully be a campaign of facts and figures that in themselves will show clearly that this measure should end in its' defeat. Comments of a name-calling nature do not add in a positive way to the defeat of this issue - facts do.

Until then have a great summer and go to the Fair. We'll be talking later.