Monday, November 30, 2009

Monday Monday

Monday is usually known as the worst day of the week. All the catch up from the weekend and getting the week started all while trying to actually accomplish something meaningful. I really started to sympathize with the local businesses. They have paid the biggest cost this year with the current economic situation. Their taxes are going up (or at least staying the same) and the revenues are going down. We are all tightening our belt a little to protect ourselves financially and it has the undesirable effect of hurting our local businesses.
So what can we do? Reduce unnecessary regulation and reduce the tax load so the market can guide us to recovery rather than the government. This year the City council has raised fees and taxes on homes built in Duvall 3 times. They are currently negotiating the Waste Management contract which is set to increase again this year. Where does it end? When do we say enough?
Does it seem like Monday again today? Don't worry, at this rate it will feel that way tomorrow too.

3 comments:

  1. What does raising fees on new development--so that future residents pay a larger share of the cost of building future streets, parks and schools--have to do with easing regulations and taxes on local businesses? The logic of your comments is disconnected. signed, Gonemoderate

    ReplyDelete
  2. There are 3 ways to pay for roads and open spaces (parks and trails); 1) Impact Fees for new development (new impacts on those systems), 2)Taxes and fees on existing residences and businesses, and 3)Grants or capital funds.

    1) Impact fees can often be converted to land in whole or in part or utilize other offsets when cities allow it. While this may raise the cost of development, it is usually nominal in relation to the cost of developing - and maintaining - those resources. Other funding sources will eventually have to be utilized for this purpose. These will come from the other two sources noted above.

    2) Taxes and fees on residences. Unless annexed, these properties have already paid impact fees. If the Council has acted appropriately, those fees were in line with the plan and costs at the time of development. Placing the burden on your tax payer does not make for good fiscal planning, or good campaigns. Not addressing that aspect with the community altogether is how many keep their constituents happy along with new developers.

    3) Grants and capital funds. As government grants become increasingly complex to maneuver and justify, you need more staff (money) and personal investment to "get money". Smaller communities have a harder time meeting the thresholds set. Here legislative involvement in the policy boards is crucial. Capital funds are derived often from public works grants, impact fees, and general fund transfers. These come from taxes directly placed on the community residential and business population, or pass-through funds from the State derived from the residential and businesses on a broader scale.

    I applaud the desire and need to promote appropriate development and affordable housing. The GMA mandates it, and so far all many small cities seems to do is react and respond to implement the regulations and requirements constantly levied upon them and their staff. It is going to be hard to educate the community, and even representatives of the City, as to the need to become more pro-active in policy creation outside of the City, and the cause-effect relationship that drives the very questions you are asking.

    - Politicalincl

    ReplyDelete
  3. Very true. It really does seem like some of the members of the city council struggle to see all the impacts of the decisions they make. I truly believe that they are trying to do what's best for the city but I wonder if they see really see the entire picture or if they choose not to look.

    ReplyDelete