IMPORTANT!!!
There are a number of Bond Issues facing voters in the October 9th election. You can certainly expect tax increases, perhaps huge tax increases, if these bond are approved. Therefore, the Taxpayers Association wants you to be well informed regarding the votes you will be making relative to these Bond Issues.
These bond votes are important, we urge you to take the time to vote. Turnout is likely to be very low, so every single vote counts.
About the Bonds
In the October election voters will be asked to approve over $275 million for Wake County and Raleigh bonds. The four bond issues, as they will appear on the ballot are shown below. Each of the bonds specifies a property tax increase to fund the debt servicing needs.
In 2006 the "Inaugural Report of the Blue Ribbon Committee on The Future of Wake County" identified over $26 Billion, that's billion with a B, of infrastructure needs in Wake County by 2030. That's an average of over $1 billion per year, while our entire county budget is now less than $900 million per year. If the Committee's full recommendations were implemented Wake County's debt service cost would exceed our entire current budget.
We believe the 2007 bond referendum is simply the down payment on this plan and we can expect ever-increasing bond demands in each subsequent election.
Wake County Taxpayer Association often opposes bond request because we believe that the bureaucracies often use bond proceed to cover up poor management of our very rapidly growing tax revenues, and because issuing bonds lead to a credit card mentality of -buy now pay later- that is inconsistent with good governments.
However, just as in your family there are times when bonds are the only reasonable way to fill a community need. Just as with an individual it is unwise to build up credit card debt, but appropriate to borrow money for major purchases such as buying a home, governments may from time to time have good cause to borrow.
WCTA can support truly necessary bonds, provided reasonable safeguards are used to insure good stewardship of the funds. Specifically, we suggest -
- Each bond referendum presented to the public list each project included in the bond together with clear descriptions of the project deliverables and total costs of each project in the bond package.
- For each bond a Citizen's Oversight Committee be appointed to monitor progress and expenditures for each project in the bond.
- The Citizen's Oversight Committee will regularly report to the public regarding the progress of each project.
- To assure political neutrality of the COC we recommend it consist of three members with one each nominated by the Wake County Republican and Democratic parties, and the WCTA.
However, we have reviewed each of the proposed bonds and regret we must oppose them as they are now presented. We believe there are convincing reasons for this opposition that we offer for your consideration. Each of the four bonds will be discussed in turn
CITY OF RALEIGH PARKS AND RECREATIONAL FACILITIES BONDS
While all the bonds have their faults, in our opinion the most wasteful is the Raleigh $88.6 million parks bond. In 2003 voters approved a $47.2 million parks bond, of which approximately $40 million remains unspent. Further the city has identified only one project, the Brier Creek Facility as completed for a cost of $1 million.
We infer from the city budget, the primary reason for this inability to be more productive with the 2003 bonds is that "the bond package was approved under the precept that the bonds would not be programmed for expenditure until such time as the economy improved and sources of revenue other than the property tax would become available for debt service.
The new $88 million bond explicitly calls for a property tax increase to fund the debt servicing needs. It is unclear if the property tax increase will apply retroactively to the 2003 $47 million bond.
So why should voters approve an addition $88 mil? We recommend this bond be rejected.
We recommend a vote against this bond!!WAKE COUNTY OPEN SPACE BONDS
The current Wake County .Open Space Program. calls for about 30% of the county land area to be retained as "open space." At the same time the Blue Ribbon Committee (BRC) recommends this be increased to 35%. This means a target of 165,000 to 200,000 acres of the county's 550,000 acres be "open space."
In 2000 Wake voters approved an open space bond for $15 million and in 2004 an additional bond for $26 million. Voters are now expected to approve an additional $50 million. If the county were to buy the roughly 100,000 additional acres at the going rate of $100,000 per acre the bill would be $10 Billion.
Where do we stand? According to the Blue Ribbon Committee report Wake County has 17,591 acres in federal lands and the N&O reports that in North Raleigh alone there are 43,000 acres of state park lands, 34 city parks and two county parks. Unfortunately they did not report on the rest of Wake County, but we do know about Lakes Wheeler Johnson and Jordan, as well as the myriad of city and neighborhood parks.
So, what specific plans does the county have to expand the open spaces?
The N&O quotes David Carter, Wake County's director of parks, recreation and open space saying "At this point, I'm more interested in buying land now and worrying about what we.re going to do with it later. I'll let the next generation deal with that." Such comments give some insight into the mindset of bureaucrats.
We believe that much of the need for open space can be realized without cost by more rigid control of the development in wetlands and flood plans, and ensuring that development plans provide appropriate "open space" before they are approved.
Further, with the continuing water supply problems in Wake County all "Open Space" spending should be concentrated on protecting or enhancing the water supply. This could be done by acquiring lands contiguous to streams, ponds and lakes.
This bond should not be approved until there are specific plans to identify the potential gains from controlling wetlands development and new subdivisions, and specifying clear objectives for new open space acquisition.
We recommend a vote against this bond at this time!!WAKE COUNTY LIBRARY FACILITIES BONDS
Wake County currently operates public library facilities at 19 locations across the county. In addition to the Raleigh branches, there are branches in Morrisville, Apex, Holly Springs, Fuquay-Varina, Garner, Knightdale, Wendell, Zebulon and Wake Forest.
The new $45 million bond will pay to open new branch libraries in Middle Creek, Morrisville and North Hills.
We suggest a moratorium on the building of new branch libraries as the 19 current locations make library facilities available in all areas of the county.
WAKE COUNTY COMMUNITY COLLEGE BONDS
Wake Tech fills a desperately needed niche in the education process. Generally it offers a cost effective means to provide junior college classes that would be many could not afford in the UNC system.
However, as much as we support the idea of community colleges, we note there is no provision in the bond for independent oversight of the efficient expenditure of a $115 million capital improvement program.
Further, it appears Wake Tech could be operated more efficiently. An audit of some of the courses offered indicates classes are being offered with as few as 2 students enrolled. Clearly, Wake Tech has room for improved efficiency.
Independent oversight of publicly financed capital programs is needed, and Wake Tech should not be an exception.
As the Bonds Will Appear on the Ballot
WAKE COUNTY OPEN SPACE BONDS
Shall the order authorizing up to $50,000,000 of General Obligation Open Space Bonds of Wake County for financing, in whole or in part, the acquisition of real property by the County and the improvement of such real property or any other County-owned real property for the conservation of open space, the protection of water quality, wildlife habitats, scenic areas and natural areas suitable for recreational or other public uses in Wake County, and that taxes be levied in an amount sufficient to pay the principal and interest of the bonds, be approved?
WAKE COUNTY COMMUNITY COLLEGE BONDS
Shall the order authorizing up to $92,000,000 of General Obligation Community College Bonds of Wake County for financing, in whole or in part, the acquisition, construction, installation and equipping of modifications, renovations, additions, improvements and extensions to existing facilities and/or one or more new buildings or other educational facilities for Wake Technical Community College including, without limitation, the acquisition of land, easements and rights-of-way therefore in Wake County, and that taxes be levied in an amount sufficient to pay the principal and interest of the bonds, be approved?
WAKE COUNTY LIBRARY FACILITIES BONDS
Shall the order authorizing up to $45,000,000 of General Obligation Library Facilities Bonds of Wake County for financing, in whole or in part, the acquisition, construction, installation, furnishing and equipping of modifications, renovations, additions, improvements and extensions to existing library facilities and/or one or more new buildings or other library facilities including, without limitation, the acquisition of land, easements and rights-of-way therefore, and that taxes be levied in an amount sufficient to pay the principal and interest of the bonds, be approved?
CITY OF RALEIGH PARKS AND RECREATIONAL FACILITIES BONDS
ON BALLOTS ISSUED TO RESIDENTS OF THE CITY OF RALEIGH ONLY
Shall the order adopted on July 24, 2007, authorizing not exceeding $88,600,000 PARKS AND RECREATIONAL FACILITIES BONDS of the City of Raleigh, North Carolina, for the purpose of providing funds, together with any other available funds, for improving and expanding the existing park, greenway and recreational facilities of the City and acquiring and constructing new park, greenway and recreational facilities of said City, inside and outside its corporate limits, including, without limitation, the acquisition of land and rights of way and the furnishing of incidental facilities and equipment, and the authorization of the levy of taxes in an amount sufficient to pay the principal of and the interest on said bonds, be approved?
