In this third letter of the series, the budget and those responsible will be examined.
In 2010, when Councilman Eric Imker proposed the 1.25 millage increase, he said in five years all would be balanced with no more tax increases, period. Council members Kim Learnard and Vanessa Fleisch not only backed him, but called him a budget genius. I said it would not work and his approach would lead to unending tax and debt increases.
His response was to put his budget book on his head, like a hat, and lecture me on not knowing anything about budgets, etc. That in spite of the facts I had owned and operated a business for 20 years and had correctly predicted the last two budgets would not succeed.
Imker has never owned or operated a business or admitted he has failed. He always blames someone else.
True to what I stated, debt, taxes and fees have continued to increase. The 2010 millage rate of 5.553 is now 7.088.
Why? While the economic hit of 2008 caused businesses and other cities to prudently act more conservatively, the three have kept adding spending as revenues declined.
Additionally, our population was 31,580 in 2000 and 34,364 in 2010. That is only a 2,784 gain over ten years. Our demographics have continued to age every year. Young families have moved away to be replaced by empty nesters.
Their answer? Spend more money to prop up the status quo and expand recreation and landscaping.
Look at the back of your property tax bill. Note the exemptions. More are gaining those exemptions every year, thereby reducing property tax income.
Young families spend a lot on home purchases, have more family members living at home, spend more on clothes and food for growing children, etc. As we age sales tax revenues decline.
The letter last week, and donhaddix.com, go into a lot more detail. Details including what we need to change to turn this around in contrast to what actions the council have taken. Actions that have failed to help the city by focusing on recreation and landscaping.
The issues go beyond just Peachtree City. Look at the BOE and the loss of students. Look at what Chairman Steve Brown had to say, as quoted last week. All of which has a negative impact.
Look at Visioning, who want $150,000 to promote transit and amenities like an unwanted taxpayer supported performing arts center. Such centers are money losers that are taxpayer supported. Just look at the SPLOST-supported center in Coweta.
Even worse, there is already a center in Tyrone for which they could form a group to support financially and expand.
Look at what happened during the budget and millage rate vote this year. Imker blindsided Fleisch and Councilman Terry Ernst with his proposal, her words.
Learnard was right there with Imker. Just like Learnard, Fleisch and Imker would ambush me on the Dais, now Fleisch is being ambushed.
Additionally, Learnard, over the last four years, voted for all the tax, fee and debt increases, right along with Fleisch and Imker. That included moving city stormwater related costs from the budget to the stormwater utility and over doubling the fee.
So, what is going on here? Simple, I am gone and now Learnard is starting a four-year campaign for mayor. Familiar tactics are now be used as were for the last four years.
Remember, Imker and Learnard are term limited. Both are working for their own goals. I am not alone in seeing Learnard is running for mayor.
Learnard has the problem of having said, in the last election, that she nailed the budget, it is balanced and there would be no more tax increases. So, any notion she is working for the taxpayers is just not true. Four years of history compared to this flip-flop is proof.
Imker has the problem of his claim the 2010 budget solved all the issues in five years, meaning the 2015 budget. We know it has not, but he is still trying to salvage it and set up for whatever his next move will be.
Additionally, he is extremely angry the SPLOST failed. That would have hit each household with about a $200 a year tax increase and given money to Peachtree City, all without a city tax increase. A fact he would have exploited to say no tax increase in the city under his budgetary guidance in 2015 and 2016.
The pay raise was another slam. The no vote had nothing to do with the taxpayers, it was all about his failed claims and approach to budgets.
If so concerned, why didn’t he attend the workshop on the pay increase report?
And where did he get the notion that just looking at cities within a 15-mile radius was the right way to study? Do we compare to Brooks, Woolsey, Tyrone or Fayetteville in size, etc? No.
Learnard is trying to look like a leader now by wanting more information, which she should have asked for when the report first came out.
I am taking neither a pro or con position on the raise. My points deal strictly with the politics and realities of council.
Sadly, Ernst seems to be in lock-step with Fleisch. Another tax, debt and spender.
As for Councilman Mike King, it has to be said he is flip-flopping all over the place.
In example, for years he blogged, and otherwise demanded, across the board reductions of city personnel counts and salaries, especially in the Police and Fire departments. Now he voted for what he so strongly opposed in the past, after voting against a tax increase.
His claim that increases in home values would offset the budget pay increase impact is amazing, since it won’t.
With all that has happened just ten months into this council, we are looking at another property tax increase, of at least 1 mill, next year.
Think about it: there is the deficit spending already in the 2015 budget and the underfunding of street and path repairs, where not even the first project to be done is covered. Then over $600,000 of increased salaries with yet known benefit cost increases.
Ever increasing spending with no proposals on how to fund it other than with tax increases. Claims that r ecreation is a money maker when it costs more than it brings in. Both are inescapable realities that cannot be ignored. Review the two articles on Recreation in prior print and on donhaddix.com
Look at the declared financial success of the Diva Run, in example. Do the claims equal the facts?
On the hotel stays, not all the rooms were occupied and you must subtract the number or rooms that would have been occupied anyway. Of the taxes collected, the city gets 3 percent of the room rate from the hotel-motel tax while the Convention and Visitors Bureau gets 5 percent. Very little money.
Exactly what the charges are to the organizer, I am not sure, but, in the past the city got very little of that money and most assuredly not enough to cover expenses.
On sales tax, most the people were fairly local, so they came, ran and then went home. They didn’t shop. Finally, Peachtree City gets only about 32 percent of the total tax collected.
From the income, you have to subtract all the infrastructure and service costs. The event costs go from day one of the planning to the final cleanup. That is not cheap.
Fleisch, Learnard and the CVB heavily promoted the run, as reported only about 200 spectators, mainly family members, attended.
Things are bad and getting worse. We have elected leaders who do nothing to change our path, they just remain focused on things like debt, excessive recreation, landscaping and autonomous cars.
We need a comprehensive strategic plan. That issue is important enough to Franklin, Tenn., that they even include summaries in their budgets.
We need a Development Authority to recruit jobs. Franklin has one.
As shown before, the takeaway was contrary to the purpose of the trip to Franklin, which was to learn something helpful for here. They claim they did, but what has changed?
Nothing, the lessons of Franklin, elsewhere and our deficit spending are being ignored.
Don Haddix
Peachtree City, Ga.