Posted on 07/16/2007 3:15:06 AM PDT by John Galt 72
The Village Mentality Breeds Fiscal Idiots
By Matt Carrothers
July 16, 2007
Proponents of high taxes and intrusive government suffered a crushing defeat last week in Iowa. Eighty-five percent of voters in three Iowa counties voted against a ballot initiative to implement a 1 percent local-option sales tax increase. The saga of this proposed tax increase, dubbed the “Destiny Tax” by supporters, demonstrates the sheer ignorance ingrained in many elected officials of the factors necessary to create economic growth.
Supporters of the Destiny Tax in the three Iowa counties that include the Des Moines metro area claimed that the estimated $750 million in revenues generated from the new tax would help lower property tax rates, fill local government coffers and allow local governments to build recreational and cultural amenities such as biking and walking trails. All that, they promised, would attract new businesses, grow central Iowa’s economy and increase the quality of life for all concerned. Oh, and according to one of many pro-tax fliers the supporters mailed, the new tax would also “provide more opportunities for our children.” Our glorious children. You know – from the village.
The various fliers mailed to voters by the “Yes to Destiny!” pro-tax organization would have made P.T. Barnum blush. The fliers promised . . . trails! 300 miles of connected trails! The largest trail loops in North America! Arts, Culture and Historic Preservation! Quality of Life! And did we mention, for those damned country-fried rubes of you who also get to vote – Lower Property Taxes!
No voter could possibly miss the alleged lower property taxes benefit. It was plastered all over every flier. One flier cavalierly exclaimed, “A ‘YES’ vote will mandate property tax relief for every community voting ‘YES’ to Destiny. The naysayers trying to stop Destiny want to raise your property taxes.”
That same flier conveniently failed to mention the fact that a “yes” vote was to implement a local-option sales tax. Opponents of the Destiny Tax, not exactly the barnyard boobs the tax supporters bargained for, were outraged. George Davey, a leader of the group opposed to the new sales tax, said, “The flier is clearly false and misleading advertising and the people that received it deserve an apology.”
The Des Moines Register reported that “Yes to Destiny!” raised $770,000 from Des Moines-area businesses, cultural organizations and individuals to promote passage of the new tax. Opponents of the tax raised just over $3,500.
Fortunately, the village idiots who believe that governments can lower property taxes not by cutting them, but by raising the sales tax, were soundly defeated at the ballot box. After the votes were tallied, supporters of the tax clearly displayed their economic bona fides and grasp of the electorate. Des Moines Councilman Brian Meyer stated, “People just do not trust government for spending the money wisely.” The money, indeed.
Polk County Supervisor Angela Connolly added, “I still think, fundamentally, people don’t want to pay any more taxes.” Or, I’ll reckon, your salary come the next election.
Contrary to “Yes to Destiny!” thinking, college graduates and young families do not choose to live in a city or state based on its proliferation of trails and cultural attractions. The tax burden imposed on residents of a city or state plays a significant role in the decision, and is a prime factor as to why Iowa lags behind the rest of the nation in measures conducive to economic growth.
A recent Tax Foundation study finds, in fact, that Iowa ranks 18th in state and local tax burden, and 16th in local per capita property taxes collections. Iowa ranks 28th in state and local per capita spending.
According to the Bureau of Economic Statistics, Iowa’s economy is slipping at a dangerous pace. The Tall Corn State’s economy grew at 2.6 percent in 2006, ranking it 32nd in the nation. That is down from 5.7 percent growth in 2004 and 3 percent growth in 2005. Obviously, Iowa has more pressing issues than a purported dearth of trails.
New U.S. Census figures show that the Des Moines metro area ranked 69th nationally in population growth from 2000 to 2006. The area added just 52,800 new residents during that time. The Atlanta metro area added 890,000 residents from 2000 to 2006, the largest gain in the country. A contrast between Iowa and Georgia on the issues of tax burden and economic growth shows why.
Georgia, with more than three times as many residents as Iowa, ranks 32nd in state and local tax burden, and 29th in local per capita property tax collections. Georgia ranks 45th in state and local per capita spending. The Peach State’s economy, 20th in the country, grew at a 3.4 percent rate in 2006, up from 3.3 percent growth in 2005.
The formula for economic and job growth is quite simple, yet it maddeningly eludes most lawmakers. Cut taxes, cut spending and families and businesses will beat a path to your town. Or, villages can shake down families to pay for a serpentine mess of trails to nowhere.
There is a name for villages whose leaders’ economic policies run roughshod over their citizens’ economic freedom. They’re called ghost towns.
© 2007 North Star Writers Group. May not be republished without permission.
THANK YOU!! A perfect example of why sales taxes are prefereable to taxation of income- because WE THE PEOPLE control the game. Beautiful!
Politicians hate this-- HAHA.
Why don't these morons just cut the pretense and dub all these the "You're A Bad Person If You Vote Against This Tax"?
EXCEPT ... Here in GA, the 'tards usually vote FOR the local options "penny tax" (that's what they call it)
Nice good news about GA in there.
Good job, Iowans, for voting down another tax.
In my county, people voted in a local option sales tax, with the promise of a property tax freeze. Bad idea.
Two things have happened, that pretty well negate that. First, the relief only affected county general fund property tax, and not school tax, which has continued to increase. Second, while millage rate on the general fund property tax has stayed level, valuations have increased substantially, and taxes along with it.
Don’t believe promises of “we’ll reduce other taxes”, on a new tax, without really careful consideration.
Usually people vote for them here too. Thankfully, they have sunset provisions of 2 or three years. (It’s usually the retired folks, you know, the New Deal leftovers, who support them.)
In FL, our tax problems consist of counties who can’t control themselves and spray our money all over the landscape- building these walking trails that nobody is ever on, paying a zillion dollars a foot for school construction, you know, stuff like that.
Our property taxes are out of control, and people are leaving the state. The home building industry is at a standstill.
I think the tax orgy is coming to an end here too. People are pissed.
See my previous post- we have the same experience.
Next time this issue comes up on a ballot, an organized campaign needs to be waged with all this historical evidence. The good news is, it doesn’t need to be really expensive. Did you see the comparative expenditures in DesMoines? 770K vs 3500 bucks? wow!
Amazing what you can do, with email campaigns and a web site (I’m assuming that’s what they had), when Truth is on your side.
No it doesn't. To them higher taxes represent economic growth - theirs.
It’s not a “penny” tax - it’s a 17 per cent increase.
Actually in our case it was a 20% increase, but not a single media outlet including boortz mentioned that. Also there was an EXTREMELY well financed pro tax campaign that spent easily in the vicinity of $1,000,000 to (successfully) get the weak minded to vote for it (radio advertising plus THREE mailers to every registered voter in the county) All of the teachers were told by their administration to vote for it as well.
One angle that I’m sure goes way back - and I haven’t heard a good explanation why nobody has ever challenged - ballots for stuff like this are always held in say, February, on a Monday or whatever, but never in tandem with a general election.
Our local “one cent” tax has brought in an extraordinary amount of money which is long spent I’m sure. Had a sunset provision in ten years but they managed to renew the tax 6 years early.
Ours sunset in 4 years;however, they keep getting reauthorized because some morons keep voting for them. It's the usual pack of government lies (we won't raise your property taxes - it's for the children - we NEED more "green space" etc) that gets touted at tax time. funny, but it's ALWAYS described as a penny tax, and then in the next sentence they say it will raise $500,000,000 over 4 years. Well to me that's a 1/2 billion dollar tax, not a penny tax. Half a billion dollars stolen from the county residents who worked for it and given to the county government to lavish on their buddies in the construction industry and real estate industries (whom I strongly suspect, but can't prove) are the ones who finance the pro-tax campaigns every time.
I live in a Northern Iowa community with over 70 miles of bike trails which I regularly run (about 8 miles/day). I love them, and I appreciate their presence. One thing I have noticed about them though is that they are not very convenient for going to work to the area’s largest employer. I often wonder why the next trail construction project would not make a simple connection to the main trail along a winding road. It is difficult getting by the bikers on this winding road when I go to work.
Our trails are heavily used. I probably saw 30 different people in my 2 hour run yesterday.
Iowa is tax hell, but I would take it over Georgia (I lived in a neighboring state - Tennesee - for five years). My daughters are in a wonderful public school with some of the finest teachers you will ever meet. We sacrificed some to move back home, but I don’t have to worry about dogs everytime I go out to run (a constant problem in Tennessee).
We have a 1% options tax to maintain the roads in our county. We sort of need it given how hard the winter is on roads here.
If that's the case, it's backfired on them here. Homebuilding has stopped, and almost nobody is buying/ selling-- except to move out of the state.
In my neighborhood, we have hundreds of bike riders who go around in huge packs on Saturday mornings. It’s definitely annoying on these two lane roads.
For some reason, they don’t use the tax trails. I wish they would!
TN has an 8.5 % sales tax and no income tax, so a round trip on you doll is 8.5%. here in ga with a 6% income and 6% sales it's a 12% round trip on your dollar.
My daughters are in a wonderful public school with some of the finest teachers you will ever meet
Sniff sniff I smell something rank here. If you like taxes so much, move to NY you'll really love it there.
The ones who paid here are the ones expecting to get county government business.
“ballots for stuff like this are always held in say, February, on a Monday or whatever, but never in tandem with a general election.”
Going to have one this fall to fund a new school. Last time they sold the village idiots on the poor condition of the old schools, to which are now still being used for adult education.
Perdiction, even if they get this new school, when amnesty for illegal immigrants passes congress, they’ll want more tax dollars because of all the illegal immigrant’s ‘children’.
” The fliers promised . . . trails! 300 miles of connected trails!”
These trails offer unlimited opportunities for littering, crime, trespass and destruction of private property.
Then when you call the sheriff after finding your property has been trashed, the deputies thrown up their arms and tell you they don’t have the manpower to patrol these crime magnets. And all the hippies and eco-fascists who push these trails are no where to be found picking up the tons of trash or repairing broken fences and replanting snapped trees.
We’re starting to solve the problem of these socialist trails here by simply erecting fencing across the trails. When these communists and their DNR lackeys come along and seize property for trails they forget one simple thing - paying compensation. (They want the property for free.) So far, the state courts are siding with the property owners and closing large sections of trails.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.