Remember that West LR Waste Water Expansion...

As we have said before, that the new city services provided out west, such as that new waste water treatment plant (at OUR taxpayer expense), will allow the westward expansion of Little Rock to accelerate until there is a second Little Rock essentially west of IH630. Yet nothing is being done at City Hall to insure that these future service expansions will have any reasonable funding source other that raising ALL of OUR city sales taxes we pay....but no talk of IMPACT FEES. Well this is just a little tidbit I found in the Gazette today that indicates some of the perils of this thinking, see story on the jump..

Just some eye candy tax comparisons

*  **  The 5/8 Cent tax attachment  is a line graph showing the major taxes now collected LR City Hall and putting in visual perspective the proposed new tax relative to existing categories of tax collections.  This is no small decision.  This

$31 million / year sales tax will grow every year (see 18 year history back 1995). It is 35% larger (after inflation) than the 1/2 cent sales tax levied in 1994.

Please note also that these major taxes grow each year with very, very minor exceptions.  It is true the 2008 downturn had its revenue effects.  At the same time, an economic reversal affects all sectors of the state and nation and the LR city treasury should not behave as if it is to be perpetually protected.  No wage earner or family in LR has such immunity from losing their jobs, falling behind in their mortgage and losing their home, etc.

 **  The 3/8 cent attachment is a column chart showing the capital project packages executed by LR City Hall since 1965.  Note that the "G.O. Bonds" label apply to most  --  that is, voter-approved property taxes from added millage set up the revenue stream to finance these initiatives.  (All dollar amounts shown are adjusted for

inflation so we can straightforwardly compare these expenditures to today's over-the-top proposal for $195 million.)

The $195 million proposal for the 3/8 cent is 131% larger (after adjustments for inflated dollars) than the previous largest capital projects package in 2004.  It seems we just cannot offer enough money to City Hall, ever.

Note the 1998 "revenue bond" packages.  These initiatives were not approved by voters but instead set up inside the General Fund and revenues earmarked from the General Fund to pay off these bonds.  One package is the Clinton Library real estate purchase in 1998.  There was a second street and drainage initiative in 1998  --  I am still puzzled 13 years later why these capital improvements

were financed this way.  Very unusual.   In any event, the upshot is that these three revenue bond projects (the third in 2009 by Mayor Stodola) cumulatively cost the General Fund EACH YEAR $2.8 million in principal and interest payments.  The Clinton bonds are payable through 2021 ($739,637 paid in 2010 from the General Fund; see pages 22 and 83 of the City's 2010 Comprehensive Annual Finance Report).

The point is  --  the City Board elected not to seek voter approval of these previous initiatives and thus devise a separate revenue stream to pay off the debt (bonds).   Instead City leaders burdened the General Fund (which also pays Police, Fire, Parks salaries, etc., etc) which now, according to City Hall, is grievously short of money ($8 million).  Cause and effect, perhaps?

Vote "NO" for both ballot items on Sept. 13th!!!

Some reasons to vote "NO" on Sept. 13th

City Hall Wants

To Triple “Your”  Sales Tax

To Add $500 Million.

This is Too Much !

 #     Tripling your city sales tax will cost Little Rock families $140 to $250 more each year, depending how much each family earns and spends its paycheck.  City sales tax apply to all groceries and utilities.  Too much !

# The $500 million sales tax is a result of City Hall’s failure to live up to its promise that new subdivisions “would pay their own way.”  This promise was untrue and now all neighborhoods are asked to pay higher sales taxes for “growth.”  Too much!

#  City Hall wants you to pay for a $22 million “research park.”  This project SHOULD NOT be paid for by taxing "only" Little Rock citizens.  This instead is a regional project and also should be paid by all nearby cities that will benefit. (NLR, Maumelle, Sherwood, Jacksonville)  Too much!

  

# City Hall says it has a budget problem of $8 million but instead demands your vote for a $31 million per year solution ! Too much!

 

More Taxes/Same Policies - here is LR's future

This article was published in the Arkansas Democrat Gazette.
Front Section, Pages 4 on 07/28/2011

Detroit now to base services on degree of blight

By COREY WILLIAMS THE ASSOCIATED PRESS

DETROIT — Detroit neighborhoods with more people and a better chance of survival will receive different levels of city services than more blighted areas under a plan unveiled Wednesday that some residents fear may pit them against one another for scarce resources.

Mayor Dave Bing released details from his Detroit Works Project, calling the changes a “short-term intervention” necessary because the city, with limited financial resources, a $155 million budget deficit and a dwindling population, was spread dangerously thin.

“Our focus is going to be on the people in the neighborhoods,” Bing said. “We can effect real change and improve neighborhoods.”

WHAT...disharmony at LR City Hall!

This article was published in the Arkansas Democrat Gazette.
Arkansas, Pages 11 on 07/28/2011

LR police pension panel sticks with plan

By Kristin Netterstrom

LITTLE ROCK — Little Rock police pension board members haven’t abandoned their alternative sales-tax plan despite a disappointing meeting with City Manager Bruce Moore, who said the half-percent tax would not meet the needs of the capital city.

So It Is On

Hello everyone! Well we have officially formed our group to oppose the proposed 1% increase in the Little Rock city sales tax. Our group's name is "$500 Million Tax - Too Much!". We are initially a group of about 30 people, and rapidly growing, from throughout the city. We will be using this site to help us present a cogent argument for why the proposed increase in the city sales tax is not a good fit for the future of this city. Acting (for now) chairman is Mr. Robert Webb, acting treasurer and head of research is Mr. Jim Lynch, and acting technology officer is Mr. Clayton Johnson. The group, right now, can be contacted through our email account, listed below, and phone contact #s will be made available once they are set up.

We hope the information provided on this site will help all of you become informed and make it possible for you to make an informed decision in your vote, concerning this tax issue, in September. We welcome your input and support in any manner, either through your physical participation in the campaign or through monetary support (process for campaign contributions will be provided shortly - we are setting up the account today).

So presently, please use this site for contact or either email us at:

Email: 500milliontaxtoomuch@gmail.com

Or see our WEB Page

Thank you for all your support in this effort.