Christiansburg Mayor acknowledges need for a 5% increase in real estate tax next year if economy doesn’t turn around.
If you were present at the June 22 Christiansburg Town Council ‘Something or Other’ meeting, and, if you listened very closely, you heard something things during the budget portion of the discussion that were enlightening.
There were things proposed to be cut from the budget, but a lot of them contained the softly spoken comments that if they had to do those things, the budget could be amended to accommodate them. What I understand that to mean is that the Council can go through the motions of making budget cuts to appease citizens but can then go back and add those items at a later date.
Shuffling like that is NOT balancing a budget in my opinion. It is nothing but a shell game to make sure citizens see what Council wants them to see. True budget cuts would show a dedication to make sure the cuts were in areas that could be maintained through the rough economic times we are in right now.
Last year, the Town Council strongly discussed the elimination of the Steps program. Yet, here it is another budget discussion and the Steps program is right back in the thick of things. At the last work session, it was left with the possibility of cutting the step increases to 2%. At the meeting on the 22nd, the Mayor reported that an agreement had been reached and that ‘furlough days’ were the topic of choice. (See Video Clip1) I don’t recall that part of the previous meeting, and neither does my camera. But, whatever saves money and Mr. VanHoozier noted that he feels it is fairer to spread the loss over all employees rather than affect the ‘steps’ related people only. (Gotta wonder if someone on steps has contacted an attorney. However, although very difficult to hear, the Town Attorney advised Council that they are under no legal obligation to honor any steps commitment (See Video Clip2), obviously no contracts there.)
Mr. Showalter was the one to initially ask how raising property taxes would affect the Town’s current deficit. Mr. Barber noted that he did not disagree with a property tax increase, he simply wanted Henry to bring it up as an option. Even with a property tax increase there would still be an ongoing deficit. Ms. Carter pointed out that trying to base so much of the Town’s revenue on something like the Meals tax, which is highly variable, is gambling. Even the Mayor acknowledged a property tax increase would be need in January or possibly next fiscal year if it is not done now, despite having had 35 years with no property tax increase. Mr. Barber acknowledged that taxes need to be increased or services will suffer. (See Video Clip 3)
Mr. VanHoozier pointed out that where he sees groups of employees ‘working’ he would like to see more than 20 or 30% of them working at the same time. He called for Council to start looking for greater efficiency throughout the various town departments. Town Manager Terpenny reported that efficiency reports in the public works department and he believes that department has maximized there performance. Mr. Terpenny reports that if personnel are cut, services will have to be cut. (See Video Clip4)
Why heck! The Mayor even came up with a whole new tax, Occupancy Tax, although he admits he doesn’t know what it is, he seems to believe it would generate revenue and thus must be good. (See Video Clip 5)
Mr. Showalter noted that continuing to use up reserves could affect future job creation as reserve money is used to make changes required to bring new businesses into the Industrial Park. (See Video Clip 7)
If anyone has ideas of how money can be saved, expenses can be cut, or revenue raised, now is the time to contact Councilmembers and the Mayor with your thoughts.
Wondering how much of a projected impact the Aquatic Center could have? I’m working on something special using Virginia locality data. For the time being, there is some information that indicates a family of 4 (2 adults and 2 children) spend about $100/day (2007) on meals while traveling/vacationing. With a 1 cent per dollar increase in meals taxes, $1 per day would be generated. That means the Aquatic Center would need to generate almost 2,000,000 visitors in order to offset costs. If meets involved as many as 1,000 competitors and each competitor brings his ‘family of 4′, and they stay for an average of 2 days, only 500 meets will need to be held at the Aquatic Center to offset costs. I’m not sure where they will all sit or park while at the Aquatic Center, but that will be a major undertaking. Of course, the user fees paid by citizens using the facility will make up a portion of that. Just a thought:)
Pat Ireland
June 28, 2010 at 8:11 am
When the economy is depressed families have less money to spend. When the economy is depressed it seems that Government wants more money to spend. The Government wants to take this additional money from the families that already have less money to spend. I would think logic would demand that when the economy is depressed, both families and Governments should reduce the money they spend.
Priorities
June 27, 2010 at 11:24 am
I can’t believe they are proposing tax increases and furloughing employees but are still going to spend the traditional amount on the annual Fourth of July fireworks event. I know there is a common theme in society that all government workers are lazy, overpaid, ineffectual, etc., but we would do well to remember that they pay taxes just like everyone else. Additionally, most government workers are just that, workers. They are not administrators or policy makers. They have families and live in the community where they work. They spend money in those communities and should share the same rights and privileges as do others in the community, yet they are often our first target.
So now with the current budget we are going to put recreation above people’s livelihood and cut salaries without even considering spending less on something as trivial as a fireworks display.
http://www.roanoke.com/news/nrv/wb/251661
Boy that would sure motivate me to work harder if I were a government worker.
Awareness Fan
June 25, 2010 at 9:33 am
Well, the economy won’t ‘turn around’ for those that will have to pay the 5%, that’s for sure.
Perhaps the increase is to pay for the ridiculous, stealthy effort to allow Town Manager Terpenny to have a 3-year contract! The contract is a hasty endeavor, pushed by the Mayor, before the new Council members are seated. ‘There ‘otta be a law’. ‘PALEEZ”: enough of Terpenny!
Such atrocities as the hillside-built, no parking, little street access, ‘over time’ finishing, of the Aquatics Center (that had NO business plan in-place when conceived) is just one of many reasons to rid the Town of those that supported the concept, especially Terpenny.
He knows he may be ousted when the new Council is seated, let alone, when November election cycles allow more folks to vote.
Seriously, Christiansburg’s government continues to be ‘out of hand’; the ‘good’ is being out-voted by the ‘bad’. Very bad.