Wednesday, April 18, 2007

"LOVE" Questions Oro Valley Paradox

In the April 18 issue of The Explorer, reporter Brian Nanos wrote a number of articles that should be of interest to all Oro Valley citizens. (They are all included in today's "LOVE" postings below.)

Let's take them one at a time.

One article's headline reads, "Oro Valley projects $17 million budget shortfall."

Vice Mayor Helen Dankwerth is quoted with the headline: "Realistically, anyone who thinks that we can exist without (a property tax) does not have his feet planted firmly on the ground."

We think Dankwerth, again shows she has a way with words.

In any case, a $17 million projected shortfall, is quite a "shortfall." What we find paradoxical,is a small article in the April 4 issue of The Explorer which quotes Finance Director, Stacy Lemos,(concerning a S & P upgrade of OV Bonds), as follows:

"We are very pleased with this rating,” Finance Director Stacey Lemos said in the release. “This demonstrates that careful fiscal planning and budgeting is paying off for everyone in Oro Valley.”

Question: How does a 17 million shortfall relate to "careful fiscal planning?"

Oh well! The next article addresses the Naranja Park site. The projected cost to build this park has now risen to the amount of $164 million----that's $164,000,000!

This doesn't deter Mayor Paul Loomis. He says: "Right now, I'm a full believer in going for it all." ("All means $164 million worth!)

There is however some good news. After giving away in excess of $50 million of OUR future sales tax revenue to bring us the likes of a Wal-Mart, the council is now suggesting this is not such a good idea after all. Quoting Councilmember Barry Gillaspie, "Vestar probably would have gone in anyway and we're retailed out."

To say, "we tried to tell you so would be self-serving," so, let's just hope the next town council will show some fiscal responsibility, as well as, a little more common sense.

So---- Let's summarize.

We are facing a $17 million shortfall. Dankwerth tells us we don't have our feet planted firmly on the ground concerning a property tax. Lemos tells us careful fiscal planning and budgeting is paying off for everyone in Oro Valley, and our mayor says, let's go for a $164 million park, which, by the way, is estimated to cost an additional few hundred thousand dollars to operate each year.

Oh yeah. Let's not forget; the Utility Tax this council voted for, lead by Dankwerth, kicked in on April 1.

Last important point. March 2008 is election time for three council seats!

Art

8 comments:

cactusmouse1 said...

I'd be happy paying a few hundred thousand an year to maintain the "Jewel of OV". However, the article I read, by Danielle Sottosanti at the AZ Daily Star, March 8, 2007, said that even after deducting money recovered by user fees, operations could cost the town $2.5 MILLION ANNUALLY.

Victorian Cowgirl said...

Regarding the property tax, I also remember that one of the big selling points of the OV Marketplace and the $23 million incentive for Vestar was that all of the tax revenue generated by this new "upscale" mall would prevent Oro Valley from having to institute a property tax.

Proponents insisted that WITH the mall there would be no property tax and WITHOUT the mall there would definitely be one. The fear of a property tax is what made a lot of voters vote YES on this ill-fated project. The other half voted YES because they thought we were getting an upscale mall. I knew better. I knew we would get a junk mall and then also get hit with a property tax after the fact.

My feeling was that I would rather pay a property tax to keep the town the way it was, no junk mall, no Wal-Mart, no tractor trailers traveling down Tangerine Road everyday from I-10 to make their deliveries to this junk mall, no traffic, no pollution, no crime, etc. Doesn't that make more sense than having traffic, pollution, and crime and being told, "Oh, by the way, and you're going to pay a property tax for the privilege of being surrounded by all of this mess!"

And I'm not afraid to say, "I told you so!"

mscoyote said...

I agree with both cactusmouse and cowgirl.
We would have gladly paid a property tax to keep Oro Valley the beautiful town with the desert views & open space. Soon our backyards and parking lots will be considered open space
Wonder how those people who voted Yes on the 23.2million giveway to Vestar feel now?
Do they know they were lied to?
Will the Vestar cheerleaders be doing cartwheels when they get their new property tax bill from Oro Valley!!
People wanted to believe the best and they were taken advantage of
Some fell for that free lunch and drinks offered by Vestar.

AZCactus1 said...

It is an enormous disappointment that OV residents approved the Vestar project with a $23M EDA attached when it or another retail project would have been developed at the site regardless.

The Town Council would be wise to begin investigating how many OV residents would be willing to pay a property tax to preserve the OV quality of life. Many OV residents would also be willing to do this to prevent the town from annexing areas like the Foothills Mall for tax revenue. The writing is on the wall...annexing areas like the Foothills Mall will drain town resources, police protection, and infrastructure maintenance.

Please be more responsive Town Council! Come up with new ideas and work with citizens to prevent OV from slipping into undesirability!

OV Objective Thinker said...

So much anger.....where's the LOVE???

Once again let me state that I too wish we had something of a different quality than Wal-Mart in the OV Marketplace. But we don't, so let's move on.

Now to the far more important issues being discussed here. I want to remind everyone that no person with any accurate knowledge of the subject has ever stated that the Oro Valley Marketplace would "prevent Oro Valley from having to institute a property tax" as stated by VC. It was stated, and rather clearly, on several occastion that this would delay the necessity to consider a property tax.

And speaking of a property tax let's clarify another point. The property tax being discussed for the Naranja Park is a secondary assessment just like the tax we pay to Amphi School District. ONLY THE VOTERS CAN APPROVE A PRIMARY PROPERTY TAX. A secondary property tax has ALWAYS been discussed in connection with paying for the Naranja project. The Town will have to propose a bond sale and that too will go to the voters for approval. So let's state facts and not what was heard from some person sitting behind you at some meeting some time ago at some place. There are people out there who do not know the facts who intentionally feed you biased, inaccurate information because it fits their own agenda. Those who cannot or will not do, criticize.

I am also confused by all of the comments that I read on this blog from well-intentioned people who say they would be in favor of a property tax and then turn around and scream their bloddy heads off about a 2% utility tax and write blogs that end with "NO MORE TAXES!"

Where is the logic in that?

AZCactus1 said...

I disagree with your distinction between primary and secondary taxes.

AZCactus1 said...

A tax is a tax, regardless of its classification. I've never been one of those people who ranted about a utility tax, but I am a resident who is willing to pay a property tax for certain guarantees in OV's quality of life. However, with the current town council, I would not approve such a tax, as I have no faith it would be put to good use.

Victorian Cowgirl said...

Dear OV Objective Thinker,

I did not get my info from something I heard from someone sitting behind me at some meeting. My info came from the flyers that Vestar sent out. One flyer said that the sales tax generated from this mall would help to "put off the discussion of a property tax for another day." Now wouldn't that mean that the property tax discussion would not take place until many years AFTER the mall was built? It certainly wouldn't imply that the property tax discussion would begin BEFORE the mall was even built. THAT is illogical!

The fact remains that I predicted that we would get a junk mall and then also get hit with new taxes and I was right.