110 W. New York Ave., DeLand, FL
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By Al Everson
posted Aug 25, 2009 - 8:31:53am
In the run-up to the adoption of Volusia County’s 2009-10 budget and property-tax rates, the county administration and some County Council members are trying to sell their fiscal policies and thus defuse opposition among the electorate.
“I do know right now the American pastime is bashing government,” said County Council Vice Chair Joie Alexander.
County Manager James Dinneen is pressing the council to approve an operating budget totaling $617.7 million. Dinneen said Aug. 20 his administration had been committed to reducing the size of government.
The general fund accounts for $289 million of the total budget, and property taxes for the general fund will be about $158 million. The balance of the fund comes from fees, fines and state-shared sales-tax revenues.
The general fund includes the Sheriff’s Office, the jail, the courts, the Elections Department, the beaches and parks, Votran buses, a subsidy for EVAC ambulances, the Health Department, the Department of Community Services, and the expenses of operating county buildings.
“The general-purpose government is the thing people think of when they think about county government,” said Dinneen.
Since he had become county manager in 2006, Dinneen said, he and his staff had saved $94 million, thus heading off an acute budget crisis now facing other local governments, including painful layoffs of workers. He also reiterated his call for an increase in the ad valorem rate, despite the difficult times.
“Our savings that we are doing now are not enough without cutting operational costs,” Dinneen told the council.
Rather than slicing payrolls, Dinneen said the county should consider giving county workers a pay raise this year.
To support his request for a bigger tax rate Dinneen cited the costs of payrolls, health insurance, energy, and unfunded mandates from the state and federal governments as factors.
“It’s the reality of the cost of running the government,” Dinneen said, as he listed unfunded mandates from the state and federal governments, rising payroll costs, and higher health-insurance premiums as factors in the upward costs.
Sheriff Ben Johnson told the County Council he had reduced his agency by some 112 positions over the past three years. Forty-eight deputy positions were eliminated by not filling vacancies resulting from retirement or resignation. Other positions were eliminated during previous austerity rounds, according to Johnson, including crossing guards and school-resource officers.
Still, the sheriff explained, savings were often offset by unforeseen events, such as searches for elderly people who wander away from home and cannot find their way back, as well as incidents involving the SWAT team and disasters such as tornadoes.
“We have gone through everything and cut out everything possible,” said Johnson.
The proposed budget is based on a general-fund tax rate of 5.44 mills, or $5.44 per thousand dollars of taxable value. That figure is the rollback rate, which means it is supposed to generate property-tax revenues equal to those of the prior fiscal year, without including new construction. The rate Dinneen has proposed is also 21 percent higher than the 4.5-mill tax rate for the 2008-09 fiscal year. The millage hike, county officials say, would offset a 17-percent decline in the tax base over the past year, down from $38.5 billion in 2008 to $30.3 billion in 2009.
County Property Appraiser Morgan Gilreath warned not to expect a quick turnaround in the real-estate market. Rather, Gilreath said, the pace of declining values appears to be accelerating.
“It may be going down at a higher rate,” he explained. “It’s already down 16 percent since January.”
Dinneen’s descriptions of his efforts to save money and to provide vital services in lean times did not sway Don Kane, of Daytona Beach. Kane objected to the current tax burden.
“We’re in a crisis in this county and in this country,” he spoke. “We need to find ways in this county to create jobs.”
“Do you know there are businesses that are closing?” Betty Kane asked the council. “We just don’t have any jobs here.”
Those sentiments resonated with Council Member Carl Persis.
“I am not in favor of this budget. I would like to see it cut back a little more,” he said. “Fourteen percent of the people in Volusia County are living below the poverty rate. ... Foreclosure signs are everywhere.”
The first public hearing on the budget and taxes will be at 6 p.m. Thursday, Sept. 3, in the County Council Chambers of the Thomas C. Kelly County Administration Center, 123 W. Indiana Ave. in DeLand. The second and final public hearing and council votes on the fiscal proposals will be at the same time and place two weeks later.
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Susan
http://onlinemariogames.net
After all, how many of our citizens create the budget and then decide where they are going to get the money from to pay for it. Usually a budget is dictated by the amount of money you are bringing in, not the other way around.
you're right about one thing: the dips in the gdp in the euro zones--and certainly in japan--were more severe than we experienced, so it's easier to tip over into growth after a more severe downturn.
you're simply wrong, tho, about the comparison problem: we're talking macroeconomics here, and the same rules inhere for economies, regardless of size. (my degree is in economics.) germany is the world's fourth largest economy, japan the second; the eurozone is the largest, larger significantly than the us, and it will likely eke out of recession this year, ahead of the us, based on france, germany & gb--though that's still anyone's best guess. the comparison is valid. the united states is not always an exception.
here's the info regarding germany & france's recovery:
http://www.telegraph.co.uk/finance/economics/6020127/Germany-makes-surprise-recovery-from-recession.html
and gb:
http://news.bbc.co.uk/2/hi/business/8217122.stm
finally, you still haven't actually responded meaningfully to my post. my point was that cutting public spending now makes no sense--expansionary fiscal policy is the only way to maintain, at the very least, the status quo. ask your local car dealership what it does, or check out the uptick in case-schiller this month, attributable in large part to the first-time buyer tax credit.
i think it's clear that GOVERNMENT WORKS. only in america, with its shrill and illogical (and racist) 20%, is this even debated. i've lived extensively abroad, and i can tell you that our system is broken--our tax system, our health care system, our infrastructure, or local culture, our agriculture... go spend 15 minutes in, for instance, the new airport in bilbao, and then 15 minutes in jfk. tell me which country is poised to enter the 21st century!
and, finally, i agree with you--government wastes lots of money. this however does not lead inevitably to the conclusion that government MUST waste money. good government works. bad government sucks.
why is that so hard to understand?
Ummm...Hubert Humphrey lobbied for higher taxes in 1960, then agreed with Kennedy's plan to cut taxes a few years later in order to stimulate economic growth. You're likely screaming about it because they way they implemented it, the "super-rich" were disproportionately helped. Humphrey also raised taxes just afterward as VP to LBJ to help fund Vietnam. As far as I can see, Humphrey was about even on taxes, it sounds more like you want to stick it to people who actually still have money.
Michael also opined: "in a deflationary time with a reduction in consumer and business spending, the government must step in to keep the economy from slipping further into recession. an aggressive fiscal policy is the answer--proved by france, germany and the UK--all with strong fiscal responses to the current economic crises, and all of which have ALREADY recovered from their recessions and are now tracking positive GDP growth."
They've already recovered? Have you seen the GDP for those countries? They're worse off than we are because of their ploy to raise taxes, in some cases more than double, to pay for their debt. None of those countries, nor most of the EU, are strong fiscally right now, and were in poor shape even before the global recession. On top of that, the combined workforces and economic engines of those countries is minuscule to that of the United States. You're comparing apples with sauerkraut.
Finally, Michael whined: "now, i'm sure the 'fair tzx' palinbots and the nutwhackjob goppers will appear any moment and start screeching about 'librul gument' and whining about the dirty f*king hippies. but none of them can offer a cogent, factual rebuttal to the keynsian argument that during economic crises that follow inflationary/bubble period, a strongly expansionary policy is merited.
instead, we'll get limbaugh arrogance and ignorance. three, two, one..."
This is the true reason for the post...to rail against people who think and make decisions for themselves and their families, and who apparently have a vocabulary sufficient enough to avoid swearing (or lamely attempt to veil it with asterisks). Michael, you need help man. Go take a nap.
As for the Volusia County issues, I agree more cuts should be looked into, however the first response will likely be police, fire, and other protection services. I find this unacceptable given the literally thousands of financial aspects to the Volusia County budget. Cut park services, not sheriffs. Cut consultants and administrators, not firefighters. Cut red-tape and inefficient bureaucracy, not teachers. Show us that you're focusing on keeping the truly important stuff, and we'll be more receptive to cutting our own budgets even more to try to pay for some of this increase.
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“We’re in a crisis in this county and in this country,” he spoke. “We need to find ways in this county to create jobs.”
“Do you know there are businesses that are closing?” Betty Kane asked the council. “We just don’t have any jobs here.”
************
i can't even begin to understand this statement. local government in volusia is far and away the largest employer (teachers, police, firemen, maintenance, city works, parks and rec, state universities, etc.). how will cutting taxes and reducing revenue and net operating budget save jobs? what nonsense!
are people really idiotic enough to think that businesses close because of high taxes? MOST counties in the US have higher ad valorems and local taxes than volusia (which is a very cheap are to do business in--i know!). so blaming business' closings on high taxes is absurd. businesses that have closed in deland were, by and large, poorly run and marginally profitable before the current recession. i'm not saying the deserved to fail, but that they failed because of dynamics largely secondary to taxes.
cutting taxes and reducing govt is the WORST possible idea--it's what hubert humphrey did, and look what happened under his "fiscal prudence." in a deflationary time with a reduction in consumer and business spending, the government must step in to keep the economy from slipping further into recession. an aggressive fiscal policy is the answer--proved by france, germany and the UK--all with strong fiscal responses to the current economic crises, and all of which have ALREADY recovered from their recessions and are now tracking positive GDP growth.
now, i'm sure the 'fair tzx' palinbots and the nutwhackjob goppers will appear any moment and start screeching about 'librul gument' and whining about the dirty f*king hippies. but none of them can offer a cogent, factual rebuttal to the keynsian argument that during economic crises that follow inflationary/bubble period, a strongly expansionary policy is merited.
instead, we'll get limbaugh arrogance and ignorance. three, two, one...
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