With the Pulp noting recently the Orange County Commishes' desire to continue their profligate spending in buying an obsolete library site in Carrboro, things must be looking up for the local economy, right? Certainly taxable sales and sales tax revenues to the County must have returned to the halcyon days of FY 2007-2008, right? Only the dreaded and reflexively-demeaned-by-Progressives “teabaggers” would be spouting off about fiscal discipline, right?
Unfortunately, such is not the case. Orange County is not out of the sales tax hole created in part by the Great Recession. Moreover,the most recent figures from the State Department of Revenue show a disturbing, not a comforting, trend for the County.
The peak of taxable sales for Orange County occurred in FY 2007-2008 at an annual total of $971,591,672. Here’s the annual trend since that peak.
| Fiscal year | | Change from FY 2007-2008 | |
| | % change | $ change | Annual $ |
| 2009-2010 | -1.0% | ($9,793,060) | $961,798,612 |
| 2008-2009 | -4.6% | ($44,937,426) | $926,654,246 |
| 2007-2008 | NA | NA | $971,591,672 |
The good news is that FY 2009-2010 was better than FY 2008-2009. The County is up from the 4.6% loss in taxable sales in FY 2008-2009. The bad news is that it’s still 1.0% down from FY 2007-2008.
Unfortunately, however, here’s the data from the two reported months in FY 2010-2011.
| Fiscal year | Gross Collections* | Taxable Sales | Year To Year Change Monthly Taxable Sales |
| August 2010 | $4,665,902 | $81,152,553 | ($6,686,298) |
| July 2010 | $3,278,816 | $72,303,725 | ($9,400,013) |
Both July and August 2010 were down from their respective months in 2009. August was down by 7.6%, with July down by 11.5%. Up until that time, the trend had been a steady improvement from the previous year.
Pulpsters shouldn’t expect either to hear this news reported by the local media or to hear the Commishes explain how they must curtail local government spending. After all, you’re good for making up the difference.
Here is a table with the monthly figures.
| Fiscal month | Gross Collections | Taxable Sales | Year To Year Change Monthly Taxable Sales |
| August 2010 | $4,665,902 | $81,152,553 | ($6,686,298) |
| July 2010 | $3,278,816 | $72,303,725 | ($9,400,013) |
| |
| June 2010 | $4,647,685 | $80,902,166 | $7,115,739 |
| May 2010 | $5,050,617 | $87,974,675 | $13,122,136 |
| April 2010 | $4,507,639 | $78,450,277 | $1,516,585 |
| March 2010 | $4,349,347 | $76,367,849 | $11,842,717 |
| February 2010 | $4,205,686 | $73,429,229 | ($1,739,002) |
| January 2010 | $4,961,982 | $86,021,898 | $2,315,439 |
| December 2009 | $4,037,515 | $71,179,650 | $3,329,422 |
| November 2009 | $4,998,710 | $89,515,051 | $11,611,802 |
| October 2009 | $3,346,149 | $74,287,218 | ($2,476,442) |
| September 2009 | $3,369,159 | $74,128,010 | ($12,839,548) |
| August 2009 | $5,050,126 | $87,838,851 | $6,990,101 |
| July 2009 | $3,690,727 | $81,703,738 | $(5,644,583) |
| June 2009 | $3,334,389 | $73,786,427 | ($949,726) |
| May 2009 | $3,381,200 | $74,852,539 | $116,386 |
| April 2009 | $3,470,780 | $76,933,692 | ($3,067,506) |
| March 2009 | $2,919,673 | $64,525,132 | ($2,890,726) |
| February 2009 | $3,398,637 | $75,168,231 | ($10,676,112) |
| January 2009 | $3,776,533 | $83,706,459 | $2,540,680 |
| December 2008 | $3,064,692 | $67,850,228 | ($16,180,225) |
| November 2008 | $3,498,417 | $77,903,249 | ($8,232,038) |
| October 2008 | $3,287,336 | $76,763,660 | ($1,237,879) |
| September 2008 | $3,716,321 | $86,967,558 | $8,779,738 |
| August 2008 | $3,449,071 | $80,848,750 | ($416,468) |
| July 2008 | $3,750,986 | $87,348,321 | ($2,082,527) |
| | |
| June 2008 | $3,190,405 | $74,736,153 | NA |
| May 2008 | $3,406,604 | $80,001,198 | NA |
| April 2008 | $3,643,666 | $85,377,176 | NA |
| March 2008 | $2,880,724 | $67,415,858 | NA |
| February 2008 | $3,677,857 | $85,844,343 | NA |
| January 2008 | $3,469,381 | $81,165,779 | NA |
| December 2007 | $3,590,188 | $84,030,453 | NA |
| November 2007 | $3,665,213 | $86,135,287 | NA |
| October 2007 | $3,353,462 | $78,001,539 | NA |
| September 2007 | $3,360,845 | $78,187,820 | NA |
| August 2007 | $3,482,676 | $81,265,218 | NA |
| July 2007 | $3,815,582 | $89,430,848 | NA |
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MONTHLY REPORT OF STATE SALES AND USE TAX GROSS COLLECTIONS AND TAXABLE SALES
Data are compiled from reports and remittances made by taxpayers, and are classified according to sales and use tax registration numbers. Detail data from this report may not be directly comparable to that in reports for other months because of corrections in registration numbers affecting collections and taxable sales within the business, county, and city classifications, and changes in the sales and use tax law. NO county sales and use taxes are included in this report.
Also, no animals were harmed in the making of the report either.
In most of North Carolina, the concept of building a bricks and mortar, single purpose, public library gives municipal leaders pause for reflection. They see the effect of the Internet. They see the explosion in electronic publishing. They question the future of the traditional library.
But as Pulpsters know, Orange County is Progressive. It's not like the rest of North Carolina. It’s free from the constraints of questioning the spending of money on obsolete functions. Yes, if you want to start a buggy whip factory, then come to Orange County!
Progressive thinking takes note that Chapel Hill has a library. Heck, they're going to spend tens of millions of dollars to expand it. Thus, neighboring Carrboro feels neglected. It wants one too. It's all about how you feel, not what is financially prudent.
It should come as no surprise that the Commishes have decided to purchase 2.69 acres in urban Carrboro to open a new county library branch at 210 Hillsborough Road. Although, the county hasn’t revealed the purchase price, from the assessed value and the sale of land from the parcel in 2007, it’s clear the price will fall between $500,000 and $1,000,000. This library site is only about a mile from the existing county Carrboro library facility located in the McDougle School complex off Old Fayetteville Road.
The library site was bought by the Resnicks in 2006 for $850,000 from the Lloyd Morgan Senter heirs. The Resnicks split the property in 2007, selling off the house and 0.53 acres for $352,000. That split left the library land parcel. Tax value for the land parcel was $548,760 after the split.
Remember, the county is spending this money at the same time it’s asking you to approve a ¼% local sales tax increase. Apparently, the thought hasn’t occurred to the Commishes that such a tax increase could be avoided by not building obsolete and redundant facilities, such as a Carrboro library. Again, the Chapel Hill town library is only a little over one mile from this new library. They are connected by Chapel Hill Transit. What's the need for the freestanding Carrboro library (as opposed to the McDougle co-school library), other than an emotional want?
Don’t remind the Commishes that they just sold a building in front of the Lake Hogan Farms development with plenty of parking on Homestead Road in North Carrboro that could have been renovated into a library. Also, don’t remind them about a 4.5 acre property for sale at 610 Homestead Road for $450,000 – or about $100,000 per acre, HALF the price of the Greensboro/Shelton Street site.
Also, don’t remind the Commishes that it might be cheaper simply to hand out $25.00 annual passes for Carrboro library patrons to use the UNC Chapel Hill libraries, all served by bus lines.
As can be seen from the map below, the library parcel (blue) is right next to the Carrboro Elementary School (yellow). Perhaps the Commishes don’t know that the school houses (you guessed it) a library! So they are spending over $2,000,000 to build a new library facility next to an existing school library.
Oh, what are the library-walkable parcels in green? Why they’re owned by Carrboro Mayor Mark Chilton. It’s good to be king!
One of the favorite shibboleths of municipal administrators in North Carolina is how state and local government employees receive less pay than their counterparts in private enterprise. Unfortunately the Bureau of Labor Statistics (BLS) disagrees with them on the facts.
According to the BLS, as of September 2009, state and local government employers spent an average of $39.83 per hour worked for total employee compensation. Wages and salaries averaged $26.24 per hour worked and accounted for 65.9 percent of these costs. Benefits averaged $13.60 and accounted for the remaining
34.1 percent.
How does that compare to private industry? Total employer compensation costs for private industry workers averaged $27.49 per hour worked. State and local government workers got 45% more than private industry. Monopolies with mandated revenues are nice.
Here’s the
Breakdown:
| | Government | Private | Difference |
| Wages | $26.24 | $19.45 | 35% |
| Health Benefits | $4.43 | $2.01 | 120% |
| Insurance | $4.59 | $2.15 | 113% |
| Paid Leave | $3.05 | $1.86 | 64% |
| Retirement | $3.23 | $0.94 | 243% |
| Required Benefits | $2.38 | $2.27 | 5% |
Still don’t believe in those fat pensions? Government employees average two and one half times the retirement benefits of private employees. Oh, that doesn't include the double dippers.
It’s easy to prioritize and fund government services during a booming economic time, especially if you run a residential growth Ponzi scheme. Effective elected officials know how to do so during a falling economic recession with no growth to hide the economic realities.
Orange County Commishes are facing their own moment of truth as the state is racked with double digit unemployment and falling tax revenues. Do they really believe in all of the “Feel Good” services they've offered over the past decade or are they going to cut and run in an election year to save their political skins?
As predicted by the Pulp, the Commishes face another shortfall in revenue for FY 2010-2011. It’s a $5,000,000 hole to be precise. Don’t worry. The Commishes are budgeted to spend about $180,000,000, half of it on the schools.
Pulpsters knew almost six months ago that when Commish Mike Nelson headed for the doors by stepping down and not running this year, the “doo doo” was about to hit the fan. County Manager Frank Clifton was left holding the pooperscooper.
Mr. Clifton is looking at cutting school district fundings, pay freezes, early retirement packages, abolishing vacant positions, and merging some programs and functions. ”We're looking at these overlap areas. Every department in county government right now is going through these overlaps. We will move staff from one department to another…The only place to reduce expenditures … is to reduce staffing.”
Note that all this reorganization is due to an about 3% budget shortfall in revenues. Which leads astute Pulpsters to ask, how come so much of the county budget is irreducible? That question should have been asked by the local media BEFORE the Commishes went on a multi-tens of millions of dollar spending spree in Hillsborough.
Mr. Clifton pointed out that among the 18 counties in the state with populations between 100,000 and 200,000, ”We do have the highest tax rate.” Amazingly, someone is finally paying attention to the numbers. Orange County’s tax rate is $0.8580 per $100 of assessed property valuation, or about 18% more ($0.7250) compared to next highest Harnett County and 275% more ($0.3109) compared to Brunswick County.
Commish Nelson, positioning himself for his next political office said ”I will remain committed to no tax increase. I think the organization will be better off in the long run.” Mr. Nelson did not admit any responsibility for placing the county on rocky financial shores in the first place. (See CHH Taxing Story.)
Mr. Clifton stayed true to public employee operating principles in acknowledging that while no one gets a pay raise, he will recommmend “across-the-board” incentive pay ”to show some appreciation.”
Apparently, having a job at a premium pay scale with above average benefits is not appreciation enough.
Mike Nelson has been the quintessential Orange County politician, long on cumbayah words, short on competence, horrible with municipal finances.
In less than a decade he was able to double Carrboro’s taxes WITHOUT noticeably increasing town services.
Mr. Nelson's accomplishments include outrageously overpaying for the future Martin Luther King Park land, claiming credit for saving the Adam’s Tract park, but only after secretly trying to jam a municipal garage facility on the environmentally pristine “crown jewel” of Carrboro parks (“Mike’s Creekside Garage”), and purchasing an asbestos-laden Century Center at a premium price with an expensive environmental clean-up tab paid for by Carrboro taxpayers.
The smart money is reading this abandoning of an election cakewalk as an omen as to how bad next year’s county budget will be. You can’t hide the bad news too long in county budgeting. With Mr. Nelson's penchant for spending, the cornucopia of county government spending will soon provide a progressive tax bill.
Pulpsters, shouldn’t feel too sorry for Mr. Nelson. Read his announcement carefully. He only says that he’s not running for commissioner. He doesn’t say that he won’t seek any OTHER political office.
In Mr. Nelson’s words, “I will not be running for reelection to the Orange County Board of Commissioners. Though the primary is next May, the filing period begins shortly after the first of the year. I’m announcing early to provide sufficient notice to those who have interest in running for the Board.
It takes considerable effort to create a campaign organization, recruit volunteers, raise money and to do all the other things necessary to run a campaign in a county as large and diverse as Orange. I want to make sure interested parties have time to build strong campaigns.
Orange County rich with talent, and I am confident that a number of public service minded candidates will emerge.
I'm grateful that the citizens of Orange County gave me the opporunity to serve. You are passionate, engaged, progressive and dedicated. You insist on quality schools, a clean environment, a social safety net that protects the weakest amongst us, and you believe there is strength in diversity. I have been fortunate to have had the opportunity to serve you.”
Mr. Nelson wanted Senator Ellie Kinnaird’s statehouse seat, and got miffed when she announced she would run again.
Ms. Kinnaird has openly declared that she will only step away if another woman runs for her seat. Apparently, Ms. Kinnaird suffers from “gender binary oppression”.
Facts presented without context isn’t news. (See N&O Lawsuit Story.)
The local media reports that the privately owned Orange County Rescue Squad is suing Orange County and Emergency Services Director Frank Montes de Oca, claiming discrimination, libel, breach of contract and violation of due process. OCRS is asking for $1,200,000 in damages plus compensation for legal fees and $550,000 of new equipment OCRS purchased in 2008. These damages allegedly have resulted from a July 2008 ban placed on their contracted services by Mr. Montes de Oca.
That fact as to a lawsuit is very true, and is very much without context.
Pulpsters want to know the whole story, no matter where it leads. As is often the case in Orange County, the juice flows when the pulp of local life is squeezed. Let’s look deeper as to how the county got sued. After all, it’s your money being consumed by litigation.
Unexplained Termination
In January 2008, Mr. Frank Rojas Montes de Oca, Jr. resigned unexpectedly as the Osceola County, Florida fire chief. In the words of the local Osceola media, “no one has explained exactly why”. An Osceola County spokesperson would only say ”there was a difference of philosophy.”. (See News 13 Story.)
Unexplained Hiring
In April 2008, Orange County hires Mr. Montes de Oca as Director of Emergency Services. His responsibilities include 911 Communications, Emergency Medical Services and the office of the Fire Marshal. (SeeCounty Press Release.)
Explained Termination
In late June 2008, after two months on the job, Mr. Montes de Oca unilaterally terminates the services of the Orange County Rescue Squad (OCRS) with regards to participating in the county 911 emergency response system. He does so despite a contract between the county and OCRS.
On June 27th he cites a laundry list of safety concerns. He directs county emergency services supervisors to order OCRS members to leave if they showed up at accident scenes and to call the police to enforce their leaving if necessary.
On July 1st, Mr. Montes de Oca issues a “preliminary report" describing “an extensive history of unsafe and unprofessional practices, strange behavior” by OCRS members. (See Chapel Hill News OCRS Story.)
OCRS Chief Brian Matthews says OCRS wasn’t afforded the opportunity to respond to Mr. Montes de Oca’s allegations before the order to “stand down”.
County Manager Laura Blackmon feels the need to stand by Mr. Montes de Oca’s decision. Writing for the local media, Ms. Blackmon says that “emergency medical services provided by the county have not changed… I support the decision of Frank Montes de Oca, the emergency services director, who is concerned about the service that was being provided by Orange County Rescue. He and his staff are currently working with Orange County Rescue to ensure they are properly certified and have the necessary operating procedures in place to guarantee the safety of our citizens.”
Unexplained “Last Responders”
In August 2008 disaster strikes Orange County EMS resources. Orange 911 receives 11 service calls on the 18th between 5PM and 7PM. Carrboro High School sophomore running back DeMarcus Powell dislocates his knee with a bulging bone. Capt. Kim Woodward, operations manager for Orange County EMS, says personnel couldn't respond faster than about one hour. Minus the ambulance capacity of the banned OCRS, county EMS personnel are occupied with a two-vehicle accident that injured four people in western Orange County and a subsequent response to the home of Atlas Fraley, where he had died of “unknown causes”.
(In FY 2007-2008 county officials had asked the Commishes to fund 57 medical services employees. Only 51 were funded.)
On August 18th the OCRS ambulance sits idle. According to OCRS Chief Matthews, ”All they would have had to do is request our assistance, and we would have been more than glad to respond. I don't know if it would have made any difference in this case, but there have been times in the past when the county runs out of ambulances that the Orange County Rescue Squad responds.”
Mr. Montes de Oca retorts saying that OCRS wouldn’t have made a difference. ”When the system gets taxed, then it does take a little longer time to get ambulances.” (See Chapel Hill News 911 Story.)
Emergency Bandaging
In September 2008, feeling the heat of public scrutiny on the failure of so many taxpayer supported emergency service groups during August 2008, seven of the county's 12 fire chiefs issue a rare and unusual joint statement in which they unanimously support the OCRS expulsion. The reason? Mutual aid agreements among the departments provided “sufficient back-up”. (That's an amazing statement in view of the events of August 18th).
Unexplained Recusitation
In November 2008, Mr. Montes de Oca reinstated the OCRS into the county's emergency response system for special events, overflow medical calls and search-and-rescue operations on land, but not for vehicle extractions. The county used the unilateral reduction in services to start a “renegotiation of the OCRS $50,000 annual contract with the squad.
In a memorandum to the Commishes Mr. Montes de Oca said the squad is a ”community asset” with narrowly defined functions that However, in 26 pages, not a single reason was given either by Mr. Montes de Ora or by county contractor attorney, Mr. Geoff Gledhill, backing up the “stand down” order. Not a single explanation was given as to what occurred between June 2008 and November 2008 to enable the order to disappear.
Quite a different picture was painted in the memo from the “all’s well” rosy scenario painted during the beginning of summer. “Rather than attempting to find fault, both entities have agreed to move forward. Failure existed at both ends of the responsibility spectrum. However these recent efforts to bring a community asset back in service has illustrated the need for [Orange County Emergency Services] to do a better job of maintaining the fidelity of a system the resembles a quilt of first responder, career and non-career people dedicated to protecting the community.”
Code Blue Contractor Attorney
After three decades of serving as a contractor attorney (i.e., not an county employee, but a fee-for-service independent contractor), Mr. Geoff Gledhill unexpectedly announces in December 2008 that he's no longer going to work for the county, leaving the mystery of the "missing millions" unsolved.
911 Call For Litigation
Apparently moving forward means moving forward on litigation. In Apil 2009, OCRS filed suit against the county and Mr. Montes de Oca, claiming discrimination, libel, breach of contract and violation of due process. The lawsuit filed in Greensboro federal district court demands at least $1,200,000 in damages, plus compensation for legal fees, plus $550,000 for new equipment OCRS purchased in 2008.
| EM-MESS Timeline | |
| Date | Event |
| January 2008 | Osceola County (FL) asks Mr. Montes de Oca to resign |
| April 2008 | Orange County (NC) hires Mr. Montes de Oca as EMS director |
| June 2008 | Mr. Montes de Oca bans Orange County Rescue Squad from responding |
| July 2008 | County Manager Blackmon publicly supports Mr. Montes de Oca’s decision |
| August 2008 | CHHS Lineman Atlas Fraley dies after EMS visit |
| September 2008 | 7 of 12 local fire departments issue “no need for OCRS” letter |
| November 2008 | Mr. Montes de Oca reinstates Orange County Rescue Squad |
| December 2008 | Mr. Gledhill, county contractor attorney for 33 years, announces ceasing representation |
| March 2009 | Ms. Blackmon announces resignation after two plus years |
| April 2009 | Orange County Rescue Squad sues county |
No word if the “philosophical differences” regarding Mr. Montes de Oca had to do with his running an emergency management consulting firm on the side while employed by Osceola County.
No word on who will be hired next from the “let go”/retired local municipal employee pile following the tradition of hiring the county EMS director (let go from Ocseola County), the Chapel Hill town manager (let go from Fayetteville), the Chapel Hill finance director (let go from Durham), the Chapel Hill Police Chief (retired from Fayetteville), or the Chapel Hill eonomic development director (let go from Fayetteville).
No word on whether or not retired contractor municipal attorney Gledhill will spend more time at the beach with fellow local contractor town attorney Mr. Michael Brough at their beachside upscale vacation home paid for by “services rendered” for local taxpayers.
According to hundreds of local residents in southern Orange County, the Carrboro electronic library (“Cybrary”) and its attendant free internet service located in the Century Center in the historic business district is worth its weight in gold. It’s a service that mustn’t be cut by Orange County Commishes in tough budgetary times. However, apparently don’t ask these residents to put their money where there mouth is.
Not a single champion of the Cybrary has advocated user fees or contributions. If just 250 Cybraryborgs contribute $1.00 dollar per week to use the services, then the county cost of the Cybrary would be covered. (The Cybrary operational costs are $13,490.)
Commish Mike Nelson, former Carrboro mayor is leading a campaign to save the Cybrary. He’s the administrator of a Facebook page called, “Save the Carrboro Downtown Library.” He has collected hundreds of “friends” to give verbal, non-monetary support to the Cybrary. Other Cybrary supporters have collected signatures on petitions at the Carrboro Farmers Market.
Despite the demonstrative drumbeating, no Cybrary advocate has said they will open their wallet even for a $1.00 weekly user fee.
Take the reported case of Mr. Jakob Thornberry, 18, who lives a few blocks away on Greensboro Street. According to the Chapel Hill Herald, he “stops by nearly every day to check his e-mail, read news articles online and look at postings on Wikipedia, an online encyclopedia. He doesn't have a computer at home and would hate to see the Cybrary close.
‘That would be terrible,’ said Thornberry, who also said he's about ready to move out of state. ‘Theoretically, it would be terrible. Internet access is a very good thing.’”
Terrible, but not terrible enough to be worth $1.00 a week as a user fee.
Orange County Manager Laura Blackmon submitted her resignation notice unexpectedly barely three months before a new fiscal year. It comes right in the middle of a budget cycle. She had taken over from Mr. Link after his retirement some almost three years ago. She had to report missing county moneys although she wasn’t in charge when the bungling occurred.
County commishes have handed Ms. Blackmon “Mission Impossible”. They don’t want to fire any county employee they irresponsibly hired as the good times rolled. (Pulpsters should remember that government has been the growth employer for the past decade in Orange County.) However, from Ms. Blackmon’s resignation statement it appears that this will require large cuts in services.
According to Ms. Blackmon, “Revaluation and neutral tax rate, however, are not the problem in and of themselves. The real problem for the coming year is most of our other revenue sources are declining, we have new facilities opening which means an increase in utilities and general operating costs, we have an increase in demands for services, especially in the human resources departments and the state is beginning to withhold revenue from us because of its budget shortfalls.
Things are not looking good for the county or the two school systems, which have already been told they too will see a decrease in funds next year. The Budget Office has estimated the shortfall to be about $8 million, which will be difficult to absorb without cutting services or staff.”
More bad news comes out upon her notice of leaving. Ms. Blackmon reports that the county faces an 8% increase in medical benefits cost next calendar year. The Department of Public Works, the Information Technology Department, and the Parks and Recreation Departments all report increases in the cost of doing business. While the Health Department, the Department of Social Services, and the Emergency Services Department all report increased demand for services.
Meanwhile the Commishes who are responsible for overhiring in times of plenty, despite warnings from the Pulp for years, remain firmly ensconced, enjoying their medical benefits for a part-time job “well done”.
Ms Blackmon’s Resignation Statement
Dear Employees,
By now you have probably heard I gave notice to the BOCC on Friday that my husband and I have decided to leave the area and move to Tennessee. My last day on the job will be June 30, 2009. I know the timing of this announcement is not good, but my employment agreement with the county requires I give 90 day notice and I was running out of time. By the end of June I will have been here over 2 ½ years. This is not as long as I had originally thought I would stay, but life isn't always as we plan it.
I know you understand how difficult a year this will be for the budget. The BOCC has committed itself to a revenue neutral tax rate which means the tax rate will generate the same amount of revenue from property taxes as last year. A lot of residents are upset about the revaluation of their property, but the neutral tax rate should keep their taxes in check unless their property has increased in value above the average of all properties in the county.
Revaluation and neutral tax rate, however, are not the problem in and of themselves. The real problem for the coming year is most of our other revenue sources are declining, we have new facilities opening which means an increase in utilities and general operating costs, we have an increase in demands for services, especially in the human resources departments and the state is beginning to withhold revenue from us because of its budget shortfalls.
Things are not looking good for the county or the two school systems, which have already been told they too will see a decrease in funds next year. The Budget Office has estimated the shortfall to be about $8 million, which will be difficult to absorb without cutting services or staff. The BOCC has emphasized its desire NOT to reduce staff but to seek other ways of cutting expenditures. Those of you who are fully funded from outside sources such as grants, state and/or federal monies are more vulnerable than other employees because it will be hard to absorb the cost of your salary and benefits should those funding sources disappear. Nevertheless the Commissioners and Management are adamant about keeping everyone employed, so we will do our best to make sure no one loses their job.
Having said all that, it is crucial everyone understand and support the difficult decisions being made over the next few months. You have probably already heard there will be no cost of living or merit increases for employees next year. We are also expecting about an 8% increase in the cost of medical benefits next calendar year. These costs can be contained if we work hard to stay healthy and reduce our claims for insurance. Unfortunately that is easier said than done.
The department directors have submitted their budgets with a 10% reduction in operating line items, overtime and temporary employee expenditure requests. I am hoping this 10% cut will be enough given the shortfall we are expecting in revenues. However, some departments are actually seeing an increase in the cost of doing business (Public Works, IT, Parks and Recreation for example) or an increase in service demands (such as Health, DSS, and Emergency Services). In reality, once the final budget is approved some departments will see more cut from their budgets than other departments. I don't see how this can be avoided. Tough decisions will have to be made about whether or not we open new parks or county buildings that are now almost complete, whether we cut operating hours for libraries, the animal shelter, senior centers and other county facilities, or whether we limit the amount of services we provide for those residents in our community most in need of assistance.
I think the bottom line will be for us to reduce, eliminate, or delay those services that are important but not as critical as our core services, which are the services the county provides because it is legally required by statute or because government is the best agency to do so. Such decisions will not be easy and we must do all we can to suggest, inform, recommend and ultimately support the Board of Commissioners who will be tasked with that responsibility.
In closing let me just say thank you for all you do for the residents of Orange County. As public servants we have a unique responsibility to the community and I know you will continue to do the very best job you can despite the difficulties ahead.
(See notices in either the N&O or the Herald Sun.)
In most North Carolina counties, eyebrows would be raised if a county commissioner spent dental insurance moneys outside their county, much less spent those moneys outside their country. The eyebrows would raise even higher if the dental insurance moneys spent are provided by taxpayers. That isn’t so in Orange County, home to hypocrisy in all its diverse forms.
Instead, Commish Mike Nelson openly extols the virtue of him using your local tax dollars to get dental care in Tijuana, Mexico over Hillsborough, North Carolina. All is dutifully transcribed without comment by the local stenographers. Yes, everyone should deduct foreign dental care travels from their income tax returns!
Most people in Orange County don’t have comprehensive dental insurance. (Over 15% of the county population doesn’t even have any health care insurance.)
Most people in Orange County get their teeth fixed in Orange County, or perhaps a neighboring county.
Most people in Orange County don’t travel outside the USA, much less deduct their foreign travel from their personal income taxes.
“Leading from the left”, Commish Nelson doesn’t behave like most people, even in Orange County.
In 2008 Mr. Nelson made three trips of undisclosed length to Tijuana, Mexico. His purpose? He was searching to get his cavities filled, his nerve endings cleaned out, and his gaps bridged. According to Mr. Nelson, the best Orange County estimate for having two crowns and one root canal performed is $5000. (Perhaps, Mr. Nelson needed to do a more exhaustive search for local dental care. Too bad he didn’t check out the low cost dental care offered at the UNC Dental School clinics.) However, in Tijuana, he found oral bliss at the cost of only $2600 ($800 courtesy of you).
“Leading from the left”, Mr. Nelson isn’t ashamed of spending your money (his free county dental insurance money) not just outside his county, but outside his country. In his words, “If you have medical or dental needs you can’t afford in the US, I highly recommend looking abroad. It’s not for everyone, but it worked for me.”
“Leading from the left”, Mr. Nelson isn’t ashamed of asking others to spend more of their money in Orange County where the cost of doing business is inflated (to offset the county tax revenue disaster he helped create over the past fifteen years of holding political office), while he spends your taxpayer money in Mexico, where everything is cheaper and easier.
For the record (which is not published at the county website), Mr. Nelson earns about $21,000 for his part-time commish work. Assuming that his political lobbying job in Raleigh pays only about $36,000 annually, Mr. Nelson is a single, non-family householder bringing in about $57,000 a year. That’s 80% more than the median CY 2007 Orange County income of $31,387 for male non-family households.
No word on whether county employees will follow their leading from the left leader in abandoning high cost dental care in Orange County.
No word on how much of the $2600 Mr. Nelson spent in flying, Tijuana hotel rooms, fine dining, and dental visits will be deducted from Mr. Nelson’s income tax returns as healthcare deductions.
No word on Mr. Nelson’s savings due to the lack of stringent environmental regulations in Mexico, as opposed to those in Orange County.
No word on Mr. Nelson’s savings due to the lack of labor health & safety regulations in Mexico, as opposed to those in Orange County.
No word on Mr. Nelson’s savings due to the lack of medical care health & safety regulations in Mexico, as opposed to those in Orange County.
The inability to see hypocrisy when it’s staring you in the mirror is a hallmark of local progressivism.
In the summer of 2008, Chapel Hill Councilors tried to reward themselves with essentially free permanent health care if they had survived two terms in office. (One can’t have an outlier who’s not a true progressive believer getting free health care!) Although most citizens of Chapel Hill have no such policy, and it takes municipal employees twenty years to earn that privilege, the Councilors were surprised at the ensuing storm of controversy. See the Pulp Chapel Hill Healthcare Controversy Story.)
Lost in the brouhaha was the existing hypocrisy of differing healthcare standards for part-time municipal workers. Elected officials in Orange County, the town of Chapel Hill, and the town of Carrboro all get free healthcare for a part-time job.
Do regular part-time municipal employees enjoy the free healthcare benefits of their elected officials?
No. The regular part-timers have to pay for their benefits, unlike the elected officials. Such is the nature of progressivism in southern Orange.
Working for local governments isn’t necessarily easy. A review of the Orange County employee pharmaceutical usage reveals the stress loads endured.
Locals know about the allergies of Orange County, from the lovely molds and fungi, to the tantalizing pollens and danders. Orange County offers a cornucopia of allergens. So allergy and asthma medications top the list of ethical drugs consumed by county employees.
Having sneezed by the allergy medications, one sees the “stress pharmaceuticals” consumed by county employees. Meds are swallowed for combating depression, heartburn, insomnia, and migraines. That’s a sure sign that county employees carry a stressful load.
The rest of the top twenty drug list by patient use for county employees mirrors usage by the county population in general . “Lifestyle drugs” are used to fight against adult-onset diabetes, genital herpes, or heart disease. “Maintenance” drugs are used to combat unavoidable conditions like arthritis or multiple sclerosis.
| Patient usage ranked | Quartile script ranked | Cost ranked | Health Condition |
| Allegra | 1st | 16 | Allergies |
| Flonase | 2nd | 20 | Allergies |
| Zyrtec | 1st | 21 | Allergies |
| Lipitor | 1st | 3 | Cholesterol /heart disease |
| Nexium | 1st | 1 | Heartburn |
| Zocor | 1st | 7 | Cholesterol/heart disease |
| Ambien | 3rd | 24 | Insomnia |
| Zoloft | 2nd | 19 | Anti-depressant |
| Valtrex | 3rd | 9 | Genital herpes |
| Singulair | 3rd | 22 | Allergies |
| Lexapro | 2nd | 11 | Anti-depressant |
| Protonix | 2nd | 10 | Heartburn |
| Wellbutrin XL | 4th | 14 | Anti-depressant |
| Prevacid | 2nd | 4 | Heartburn |
| Effexor-XR | 3rd | 18 | Anti-depressant |
| Actos | 3rd | 5 | Adult diabetes |
| Imitrex | 4th | 8 | Migraine headaches |
| Topamax | 4th | 25 | Migraine headaches |
| Enbrel | 4th | 2 | Arthritis or psoriasis |
| Avonex | 4th | 6 | Multiple sclerosis |
For years the Pulp has kept you informed on how residential growth in Orange County is net negative to county finances, yet the county remains addicted to a policy of “growth for growth sakes”. Simple translation, your taxes had to rise every time a front door opened. Developers have been walking off with profits financed by you. Part of the problem is that impact fees have been unrealistically low, not reflecting the burden of a new residence on county infrastructure. Low impact fees have been good for developers, bad for taxpayers.
How Much Have Developers Been Underpaying?
Currently, city school impact fees are $4,407 for single-family and multi-wide manufactured homes, and $1,979 for multi-family and single-wide manufactured homes. County fees are $3,000 for single-family/multi-wide and $1,420, respectively. That means that city school district fees are 47% higher than county fees. Both fee rates have been unchanged for seven years, unlike your taxes.
In 2007 the Commishes authorized a study of impact fees and student generation rates between 2001 and 2007. Part of the study proposed new maximum impact fees supported by state law for each district, adjusted to account for the housing types found there.
The current maximum support impact fee of the city school district is $19,039. For the county district, that fee is $9,372. Developers have been underpaying impact fees by 77%, paying only 23% of what they could be charged by the county for a city district infrastructure impact fee. For the county, developers have been underpaying impact fees by 68%, paying only 32% of what they could be charged by the county. The difference has been paid by taxpayers, almost $15,000 per house.
Pulp readers should keep in mind that the city school district has built nearly twice as many schools as the county district in the last 20 years. The school cost for new students generated by new housing is a major portion of the impact fee.
Opposing School Boards Views
In September 2008, the city school board urged Commishes to increase impact fees ”in order to provide a source of funding to construct new schools to keep pace with the district's growing student population and the escalating cost of construction.”
However, at the same time the county school board doesn’t want to raise their impact fees.
County school board chair (and former Commish) Stephen Halkiotis said during a recent joint meeting with his Commish pals that impact fee revenues have stayed steady. In his words, it ”makes life a little easier when it comes to the revenue side of the picture.” See the Herald Sun Impact Fee Story.
Why Such Different Attitudes?
The county school district has spent the past few years complaining about how the rural county areas are subsidizing the urban areas for school construction. However, the reverse is true. Tax flows from the southern part of the county have built new schools in the rural north. If the city school impact fees increase, then the bias toward promoting county district growth over city district growth (a Commish goal) will be enhanced.
The city school district has been floundering under the burdens of a ciudad del sanctuario (sanctuary city) policy, i.e., don't ask, don't tell about someone's immigration status. As students from larger, economically disadvantaged immigrant families enter the city school system, the burdens are increased more than ever before. Although city school district residential growth has slowed to a crawl, student growth continues from rental families crowding former student housing units, in many cases with multiple families per housing unit.
Will the Barn Door Be Closed?
On 21 October 2008, the Commishes have scheduled a public hearing as to whether or not to adopt new student generation rates under the “Developer’s Right to Underfund Building Schools” ordinance (DRUBS), officially known as the Schools Adequate Public Facilities Ordinance (SAPFO). The Commish conundrum is simple, but hard. Do you keep impact fees low, promoting net negative growth and raising taxes? Or do you make impact fees equitable to existing taxpayers, slowing growth but making it tax revenue neutral? In simpler terms, will the maximum developer impact fee pig fly politically with Commish pals, local residential developers, and the local media aka real estate advertisers?
County Commishes want a quarter-cent increase in the Orange County local sales tax rate right now. The extra 0.25 percent is estimated to raise an additional $1.8 million to $2.2 million for the Commishes to spend.
The only problem is that in order to get the tax the state legislature requires the Commishes to get voter approval for the tax. The general election this year will be even more highly attended than May’s primary in which voters shot down the Commmishes attempt to ramrod through a local property transfer tax despite a costly re-education campaign. Moreover, the Commishes appear reluctant to spend another $100,000 in taxpayer money to “educate” voters on the benefits of an increased sales tax. Concidentally, some of the courageous Commishes are up for re-election.
In the words of Commish Alice Gordon, ”I think we need the revenue, and I think we need the alternative of taking pressure off the property tax. But I'm not sure we have time to do it right, and I'm not sure it would pass even if it did.”
However, Commish Barry Jacobs is considering the bountiful yield from this local tax versus the harvest from yet another local tax being considered, namely, a half-cent sales tax to help pay for rail, bus and road programs. That tax would bring in twice as much money. As Commish Jacobs says,”There's just so many times you can ask the public to raise its own taxes”.
Timing is everything in life.
If a bureaucrat sees an impending disaster on the horizon, retirement is a good option. If a Orange County Commish sees an impending political disaster on the horizon, then delay it until few will pay attention and by the next election cycle it’s “old news”. An excellent example can be found in the latest “shocking” discovery from Orange County, where incompetence rules, and accountability is absent. It’s good to have a one political party system.
Barely one week before the general election in November 2008, the Orange County finance director, Gary Humphreys announces that he has discovered that $15,500,000 is “missing” from county capital project accounts. By missing Mr. Humphreys isn’t talking about embezzlement or theft. No he’s talking about good old fashioned bungling, bad bookkeeping and accounting practices. Apparently, Orange County has booked as “sold” bond monies that have been approved, but haven’t been raised, i.e., sold to the public. In the encouraging words of Mr. Humphreys, “This is like a Chinese puzzle.”
Mr. Humphreys did not explain how $15,500,000 could be “missing” from county bank accounts without anyone noticing it isn’t earning interest or being employed elsewhere.
So when did Mr. Humphreys discover the problem? One month ago? Two months ago? No. He discovered it before the primary election for county commishes. Somehow the news never was made public before current county commishes could waltz to reelection. (Pulpsters know that Orange County is a one-party palocracy where the primary is THE election for local partisan elections.) Could this news have changed the election outcome? You’ll never know, as intended by those in power in Orange County.
Mr. Humphreys somberly reports that all of the discrepancies showed up on the county books before 2003, before he and County Manager Laura Blackmon showed up on the job. Revenues were put in wrong accounts. Anticipated grants were not received. Costs were underestimated. These creative errors occurred under the administration of former County Manager John Link.
Commish response was intense and probing, as befits a governance board made entirely of people who have never created a for profit job or handled a for profit budget. Commish Alice Gordon says “This is all very mysterious the way you have explained it.” Commish chair Barry Jacobs said, “If I were asked to explain it to somebody I might be able to do it. I’m not sure I’d be right. I might be able to sound authoritative, but I’m not sure I’d be right.” Commish Mike Nelson, former pool chemical salesperson and faux environmental scientist, opines, “Now in probably the toughest budget year we’ve had in a decade, we’re going to have to find $5,000,000 to cover these mistakes.”, conveniently ignoring that over $15,000,000 of county net worth doesn’t exist. (See the Chapel Hill News Missing Money Story.)
No one will lose their job. No one will not receive a raise. No one will pay any price. According to your Commishes, that's just like in the real for profit world.
None of the Commishes asked why the discrepancies were hidden for months during the primary election cycle.
None of the Commishes asked why Mr. Link was not asked to attend the bad news presentation.
None of the Commishes asked, how much more than the double digit increase should the ad valorem real property tax rate been raised to fund the “missing” monies?
None of the Commishes commented on their decision to name the new county administration building for Mr. Link upon his retirement.
Timing is everything in life.
12 August 2008 was a Black Tuesday for Orange County emergency medical services (EMS). Receiving 11 calls between 17:00hr and 19:00hr, EMS was strained to the breaking point. A local student with a twisted knee waited 23 minutes for a paramedic to arrive followed by an additional 20 minutes for an ambulance.
Demand exceeded supply. A four person, two vehicle accident in western Orange and the death of another local high school football student following a practice taxed the system.
County EMS officials had asked the Commishes for enough funds for 57 employees to cover the county. In their infinite wisdom, the Commishes funded only 51, cutting the EMS budget by $1,800,000 from that requested.
Local media kicked into emergency response mode after Black Tuesday. Despite the local media knowing about the underfunding, not one Commish has been put on the record, much less the spot, to explain the underfunding.
How does a landfill gas reclamation project with a normal payback of ten to twenty years turn into one with a 100 year payback? Pulp readers know you just have to entrust it into the loving care and competence of Orange County Commishes and experts at the the University of North Carolina at Chapel Hill (UNC).
UNC plans to spend about $5,000,000 to install equipment to capture methane at the Eubanks Road landfill. The gas would be piped not five miles away to the main campus, but less than half that distance to the Carolina North campus.
According to published steno notes, the county will receive a presently undisclosed financial compensation for the project. (See Chapel Hill News Story.) In the words of Orange County Solid Waster Gayle Wilson, who led the farcical landfill transfer station location “study” last year, ”Since we didn't bid, we'll never know whether we could have received more or less revenue through a competitive process”.
UNC estimates it will save $1 million in energy costs over 20 years. UNC apparently couldn’t bring itself to declare a 100 year payback for the project. UNC justifies the financially losing project by wrapping itself in a “global warming” blanket. The burning of methane should count in the fuzzy math of carbon offsetting.
Contrast the OC – UNC landfill gas reclamation energy project to one done recently at the University of New Hampshire (UNH).
In 2008, UNH became the first university in the U.S. to use landfill gas as its primary energy source. UNH gets its gas from a privately operated landfill (Waste Management’s Turnkey
Recycling and Environmental Enterprise facility in Rochester) twelve miles away.
UNH's landfill gas project cost an estimated $45,000,000 - all internally-funded through borrowing without using student fees or state funding. The project payback is ten years, not 100 years.
See UNH Successful Landfill Gas Project.
Showing the depth and breadth of their nuclear reactor engineering expertise, Orange County Commishes voted on 24 June 2008 to send resolutions opposing the construction of two proposed but not approved or licensed reactors at the Harris plant to both the N.C. Public Utilities Commission and the Nuclear Regulatory Commission (NRC).
The Commishes plan to hold a special session at the end of July 2008 to consider intervening in Progress Energy's application to expand the existing Shearon Harris nuclear power plant on Lake Jordan (See NRC Shearson Harris Application Information.) (For those unfamiliar with the facility, Shearson Harris is two counties away from Orange County and is NOT within the range for the dispensing of iodine pills in case of an emergency.)
Here is the application review schedule for the proposed (but not yet approved or licensed) plants.
Pulpsters can see that the entire set of safety review and environmental review phases have not begun to be conducted. But that doesn’t stop the Commishes from condemning an unfinalized reactor design that isn’t eligible for approval or licensing at this time. In the Commishes words, ”The citizens and elected officials of Orange County have, for some years, been aware of the potential for widespread and lethal consequences resulting from an airborne release of the tremendous quantity of radioactive material available from the spent nuclear fuel stored in Shearon Harris nuclear plant's 'temporary' waste storage pools.”
Using the convoluted logic for which southern Orange is famous, the Commishes declare that the NRC shouldn’t even be looking at the Progress Energy plant design because that design hasn’t been fully developed, reviewed, and approved by the NRC. Of course, this logic ignores the entire NRC approval and licensing process which allows for significant public input along the way (see NRC Public Input). Pulpsters should note that the NRC process doesn’t grant a license to operate for any nuclear reactor until that reactor design has been fully vetted for safety and environmental concerns, again allowing public input. (Also see NRC Shearson Harris Review Schedule.)
According to the Commish nuclear experts ”The design, which is apparently in its 15th or 16th iteration, has at least some iterations in which the spent fuel rods in the storage pools will have an especially dense storage consideration (and a corresponding greater potential for spontaneous combustion of the spent fuel in the event of a low water conditions in the pools).” From the above chart, one can see that the reactor design was certified but then amendments were made which require recertification of the design. Public hearings are scheduled to occur after that recertification process is finished.
Of course, the Commishes didn’t concoct this Shearson Harris opposition strategy on their own. None other than Jim Warren, director of NC WARN – the N.C. Waste Awareness & Reduction Network – is behind these footdragging tactics. NC WARN has filed a motion with the NRC to try to change the basic NRC review process, a process that has already gone through extensive federal rulemaking procedures. NCWARN has had a chance during that rulemaking to raise the objections that it is raising now.
The real agenda of NCWARN can be seen through Mr. Warren’s statements. ”It's very important that local governments are taking a close look because of the complexity and because of the enormous implications of our region and state considering multi-billion dollar investments in more nuclear power plants, [NC WARN’s] position is that, during a time of unprecedented challenges over energy and climate change, the nuclear industry has succeeded in misleading people into thinking that nuclear power is a solution to a rapidly advancing climate crisis. The worst thing we could possibly do because we simply cannot afford to waste billions of dollars and decades trying to build nuclear plants.”
As reported by the Herald Sun (Shearson Harris Herald Sun Story), Progress Energy’s spokesperson says that ”[w]e have not made a decision to build new nuclear units, But we have made a decision to move forward with all of the necessary preliminary paperwork to keep that option open for the future. We have to start that process now so that 10 years from now, 15 years from now, whenever that need arises due to customer growth and demand growth, we're in a position to act and build the necessary resources.”
Progress Energy’s future plans are to move forward with energy efficiency programs, move forward with alternative, renewable energy services; and to build state-of-the-art power plants because ”we can't wait 10 years to start that process to see if energy efficiency alone is enough to account for new growth. We have to do all of those things in parallel.” Progress Energy will not make the decision whether to build the reactors until at least a year from now,.
No word on whether or not the Commishes have contacted anyone at the North Carolina State University Department of Nuclear Engineering (NSCU Nuclear Engineering) about their concerns.
The employment numbers are out from the Bureau of Labor Statistics for April 2008.
Nationally, private full time employment in non-agricultural industries has improved slightly from a low in February of 112,972,000 to 113,394,000 in April (all seasonally adjusted). However, the increase in the April figure from March 2008 is down from the December 2007 figure of 113,872,000 by 478,000 jobs, or about 0.4%. For perspective, employment in this sector is about at the same level as reached in July 2007. The current employment level in this sector is about 6.3% higher than that of five years ago.
Meanwhile, national government full time employment engine keeps chugging along. In 2008, government full time employment in non-agricultural industries has steadily increased from 20,805,000 in December 2007 to 21,333,000 in April 2008 (all seasonally adjusted). That’s an increase of about 2.53% in one quarter versus the private employment drop of about 0.4% in the same time. Again for perspective, employment in this government sector is at an all time high. The current employment level in this sector is about 9.1% higher than that of five years ago. That increase is about 50% greater than that of private industry.
So has local government been doing its part?
Local government (state, county, city, towns, et cetera) full time employment in non-agricultural industries has increased from 56,400 in December 2007 to 57,200 in March 2008, an increase of about 1.4% in one quarter. The Town of Chapel Hill has hired a full time public arts administer at a salary of $63,000 per year. This person oversees 50 works of public art. Apparently, Chapel Hill, with a university program in fine arts and plenty of fine arts graduate students can't hire a part time employee to “administer” those 50 works of art. For the past five years the increase in the Durham MSA has been from 50,400 to 57,200 or a rise of about 13.5%.
Congratulations are in order, as local Durham MSA governments have outdone the national growth in government jobs, achieving an increase of 13.5% in government jobs locally as opposed to 9.1% nationally.
Tax-exempt expert, pollo asado eater, Carrboro developer & realtor, bourgeoisie rentier, black bag campaign poster expert, and Carrboro mayor Mark Chilton is practicing his political ”old black magic act” again. He’s organizing a transitory ad hoc committee to advocate for passing the Orange County commishes’ unpopular local transfer tax. This “Citizens for Schools and Parks Committee” (composed of commish friends that can engage in advocacy) will dissolve on 6 May 2008, election day!
The punitive and discriminatory nature of the local transfer tax will be placed in a magical issue framing black box by Mr. Chilton in front of your very eyes.
He will wave his tax-exempt wand. Poof! The tax will be transformed into a call for supporting schools and parks (aka greenways for friends of their back yards in Carrboro).
Rest assured, only the truth will be harmed in this magical act.
No word on why Mr. Chilton, who was so concerned about raising taxes in Carrboro during the last municipal election less than six months ago, is now championing a new tax.
No word on whether or not the “Citizens for Schools and Parks Committee” will tell residents that residential growth promoted by Mr. Chilton is raising their municipal taxes, growth that profits developers like Mr. Chilton.
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Orange County commishes voted at their 18 March 2008 meeting to spend $100,000 to educate you about a local land transfer tax they so desperately want approved in a May 6 referendum (See Hot Orange Commish Gangsta Warning Story.)
Pulpsters remember that the commishes have already spent $10,000 on a public opinion “poll” that resulted in a petition being filed in the County Board of Elections Office. (See Hot Orange Education Advocacy Story.)
Freelance sportswriter, tax-exempt historic estate sitter, former OWASA board member, non-breeder, and Chief Commish Barry Jacobs ignored public calls not to spend $100,000, arguing that the North Carolina Association of Realtors and other unnamed and unindicted co-conspiratory anti-land transfer tax groups were spewing out “misleading information”. As reported by the Chapel Hill Herald, Mr. Jacobs said
”I have reservations about sending the message that we don't have money, but we [need to] spend money because we need money,” Mr. Jacobs complained about spending tens of millions of dollars on building new local schools in recent years. However, he made no connection between the county's net negative land use residential growth policy and the mandated School Adequate Public Facilities Ordinance (SAPFO, see Phictionary) need for such spending as a profit service for local developers.
Unfortunately one county resident, Mary Copeland of Mebane, pointed out that the commishes are rushing the vote on May 6 instead of having the vote in November. None of the commishes explained to Ms. Copeland that they picked the May date because an unrepresentative vote is more likely to be achieved by the “educational” campaign in the poorly attended May primary, as opposed to the better attended November general presidential election.
Faced with picking a $75,000 non-bid contract from one Orange County firm and a $100,000 non-bid contract from another Durham County firm, county staff picked the higher cost contract from Durham-based Ballen Media, just as they did in selecting a non-bid contract for the poll. See Ballen Media.
Ballen Media is led by Mr. Dwayne Ballen, an award winning telejournalist, who has announced and hosted sports telecasts, in general, for The Golf Channel, TNT’s NBA coverage and Fox Sport Net, and college football and basketball, in particular, on CBS Sports, all of particular interest to Mr. Jacobs, a sportswriter. Its clients include Duke University Health System, iEntertainment Network of Cary, MPGN Gaming Technologies, also of Cary, Iamgame, also of Cary, NC Health & Wellness Trust Fund, and the Autism Society of North Carolina. Its projects include, “Atlantic Coast Conversations”, “The Bible and the Badge”, “The Color of Business”, “Sports Biz”, and “Strawberry Plains Forever”.
No word on from where in the county budget the $100,000 is coming.
No word on Developer Dream Team (see Phictionary) reaction to commish cheerleading.
No word from any municipal offical or politician on how SAPFO has mandated public school building to match residential development.
See CHH Political Education Story.
In an amazing display of political legerdemain, the commishes (Orange County commissioners) revealed their compassionate and caring electorate listening skills. After paying $10,000 for telephone interviews of 400 people ($25 per person) in a scientific survey of voter attitudes on imposing a local county sales tax or a local transfer tax, the commishes decide to do what they wanted to do all along, put just a new local transfer tax on the ballot in May 2008. See County Commishes Issue Gangsta Warning - Pay Me Now or Pay Me Later.
The survey started by asking about a sales tax without identifying the option of a local sales transfer tax instead. The question also stated orally that the sales tax “COULD keep property taxes below what they would be otherwise”, offering confusing hope to some that property taxes would go down.
About half (50%) of the people polled were said to support or lean to a local sales tax with about one-third (32%) opposed or leaning to oppose and one-sixth (17%) undecided. Over 51% of those saying “No” said taxes were already too high.
About one-third (33%) of the people polled were said to support or lean to a local transfer tax with about half (53%) opposed or leaning to oppose and one sixth (14%) undecided. Only 28% of those saying “No” said taxes were already too high.
After asking the questions individually, then the survey asked the question of selecting only one of the two options. Sales tax edged out land transfer tax if those polled HAD to choose one, (47% to 42%).
See Survey Results.
See N&O Taxing Story.
Like an obedient lap dog with its master, a prime skill for the local media is to “roll with it baby”.
An excellent example can be found in how the local media is covering the commishes (See Phictionary) decision to select a transfer tax only on the May 2008 ballot (instead of offering a ballot containing both the sales tax and the transfer tax as a “popularity contest”” on the November 2008 ballot). (See Hot Orange Story.)
The commishes have slobbered effusively for years over getting their hands on a local transfer tax, a tax biased against homeowners and favoring landlords aka “bourgeoise rentiers” (See Phictionary). (Rental units changing occupants will not be taxed, unlike houses sold). The poll conducted by Herzog for the commishes found that if those polled HAD to choose between a sales tax and a transfer tax because one or the other must be imposed, voters polled would prefer a sales tax (47%) over a transfer tax (42%)(as reported by the county in its documents). Moreover, the poll reveals that far more people oppose a transfer tax (53%) versus a sales tax (32%).
On this news item, rolling over for the commishes presents a problem. How do you avoid reporting the selection of a second voter choice (local transfer tax) over a first voter choice (local sales tax)? The solution is simple. Just report that there's no second choice. There’s merely a dead heat within the margin of error (4%). The stenographers say what they’re told by the best pollster your money can buy, at four times the cost of another unsolicited local pollster.
No question is asked by the stenographers as to whether or not 47% minus 42% is 5%, a number which falls outside the “margin of error” bucket and into the “statistically significant” bucket. More importantly, no question is asked as to the significance of the negative feeling against a local transfer tax (53% oppose) versus that for a local sales tax (32%).
No question is asked of the commishes why the less attended May 2008 primary election is being used to evidence voter intent, as opposed to the better attended November 2008 general election, an election in which significantly more people will vote for the next president of the United States.
No word on whether or not the UNC School of Journalism will accept a large grant to change its name to the “School of Obedience”.
In related business news, stock of Del Monte Foods, owner of the Milk Bone brand, rose in light trading.
See Carrboro Citizen Tax Survey Story.
Fresh off scolding their Rogers Road landfill victims for filing an environmental injustice complaint, Orange County Commissioners bonded with their obedient staff in a day long “mooing” session, resulting in the identification of more things for staff to do.
Nearly 30 county officials created a list of 242 actions, issues and challenges, placed under broad more governance themes of such as “economic well-being/growth planning” (aka “helping developers profits”). The BOCC tent revival was facilitated by Carrboro-based Leading and Governing Associates.
Apparently there was no discussion of the cumulative financial costs of these 242 items.
See Herald Sun BOCC Bonding Story.
See Leading & Governing Associates website.
A pet project of Buckhorn Village Developer Dream Team solicitor, freelance sportswriter, tax-exempt historical estate sitter, and County Commissioner Barry Jacobs comes one step closer to fruition tonight, taxing those who move to Orange County just to “use our schools”. See BOCC Agenda. County Commissioners will vote on conducting a telephone poll of 400 (out of 90,000) voters at the cost of about $10,000.
The survey results will be presented to the public just before the commissioners’ ballot referendum deadline meeting of 19 February 2008, allowing little time for the gathering and presentation of contravening information.
The survey introduction informs the interviewee that they are being asked question “on behalf of the Orange County government”, but their answers will be held in strict confidence. (There is no suggestion of having any form of “blinded answer” survey.) See BOCC Voter Survey. The survey questions holds out the promise that if either the proposed local sales tax or local transfer tax is increased, property taxes could be “below what they would be otherwise”, sounding to some as if taxes will be reduced.
Mr. Jacobs is reported to say that the commissioners will only present the local transfer tax option (although they could present a local sales tax option as well).
Over in Durham County, Commissioner Chair Reckhow is quoted as saying ”The economy is very bad right now. The housing market is faring poorly due to the subprime mortgage debacle. There is concern about going into a recession. We don't feel the timing is very good to be asking voters for either a land transfer tax or added sales tax.”
No word from Mr. Jacobs on how a home-owning family sending children through public schools for between 12 years and 20 years is a deficit user of Orange County resources more than the perpetual transient flow of renting degree seekers in southern Orange.
See N&O Transfer Tax Story.