July 1, 2010 Stancil Ford Leaves Meeting with Help and Is Hospitalized

This picture of Commission Chair Stancil Ford talking to Commissioner Larry Baker was taken at yesterday's Hamblen County Commission meeting where the tax rate and budget for 2010-2011 was approved.  Right after the meeting concluded, Stancil Ford was helped out of the building and reportedly taken to M-H Hospital. [Several officials reported that Stancil had been in the Emergency Room earlier yesterday but had insisted on leaving the hospital so he could attend the county's brief budget meeting at 5:00 PM.  He got through the meeting, but he was obviously very disoriented and unfocused.] 

April 15, 2010 Taxes, Taxes, Taxes

April 15. Federal income tax returns for 2009 are due today.

If you haven't pulled all that paperwork together, you can apply for an Automatic Extension of Time To File U.S. Individual Income Tax Return by filing Form 4868 (by paper or electronically) today.

An automatic extension of time to file is not an automatic extension of time to pay your 2009 federal taxes. 
With an extension, you estimate your total tax liability for 2009, subtract 2009 tax payments, and then pay the estimated balance of your 2009 taxes along with your Form 4868.

Later on, when you have all your financial information and file your return, you may owe more taxes to the IRS plus penalties and interest (if you underestimated/underpaid your 2009 tax liability with Form 4868) or you might end up with a refund (if you overestimated/overpaid your 2009 tax liability with Form 4868). 

For complete information and forms, check with your tax preparer or go to www.irs.gov

April 25, 2009 Tax Increases: The Tribune and Chamber Love 'Em

(OLD) BREAKING NEWS.

The Tribune actually wrote and published its own editorial! Yep. The April 15 editorial was apparently written in Morristown, Tennessee, instead of being copied out of some other newspaper.

The Tribune editorial supports the May 5 county sales tax increase referendum and is actually not a surprise at all. I predicted it was coming here. After all, the Tribune is FOR just about every local and state tax increase.

The only surprise is that someone at the Tribune actually wrote an editorial.

MORE (OLD) BREAKING NEWS.

The Chamber of Commerce is for the county sales tax increase. Surprise, surprise. Lynn Elkins, Chamber president, wrote a letter to the editor (of the Tribune) to let everyone know that the Chamber backs increasing the sales tax just as they did when the city started the sales tax increase push over a year ago.

POSTCARDS SUPPORT SALES TAX INCREASE.

Well, I've got three in a row now. See my predictions here. Postcards have been sent out supporting the county sales tax increase.

THREE HITS SO FAR: Editorial, Letters To the Editor, and Postcards.

DR. LYNCH WON'T SAY HOW ANY SALES TAX INCREASE MONEY "WOULD" BE SPENT. INSTEAD, HE TOSSES OUT WAYS THE SCHOOLS "COULD" SPEND THE MONEY

And in a most interesting front-page article on April 19, Director (of Schools) Dale Lynch listed a lot of ways that more sales tax money "could" be spent.

Let's see, it "could" be spent to help make payments on a new school building program OR

It "could" be spent on nurses, guidance counselors, and SRO's OR

It "could" fund Pre-K classrooms OR

It "could" buy math and science textbooks OR

It "could" buy 1225 computers OR

It "could" pay for re-roofing projects.

Lots and lots of "coulds."

The question, however, is not what "could" you do with more money. Everybody knows that you "could" do lots of different things and Dr. Lynch made that clear with his list of "coulds."

The real question is what "would" you do with more money--what is most important for education? What are the real spending priorities?

April 17, 2009 Are You An OCTODUDE?

Taxing Tennessee has a picture of OCTODUDE.

Of course, you can also see Octodude in a nearby mirror.

May 27, 2008 Mayor Barile Appoints Support Tax Increase Committee

The City of Morristown has formed a committee to support the sales tax increase in the current referendum.

The name of the committee is "City of Morristown." Click on the image for all the details.

Mayor Sami Barile appointed City Finance Director Dynise Robertson as treasurer of this "City of Morristown" Committee.

The treasurer's address is the Morristown City Center! The treasurer's phone number is 581-0100--the same phone number for the City of Morristown!

If you are a Morristown property owner, the committee recently sent you a nifty personalized letter--that you paid for--to encourage you to vote YES for a sales tax increase.

Squeezed by soaring costs of gas, milk, food, insurance, utilities? Too bad.

Gotta raise those sales taxes so people pay more taxes on the purchase of basics.

Tax 'em when they earn. Tax 'em when they spend.

Tax 'em, Tax 'em, Tax 'em.

Take their money and then, boom, use those tax dollars to send out letters encouraging a YES vote for even more taxes.

Mr. Ponzi (scheme), the government's going to put you out of business!

UPDATE: Taxing Tennessee has added a post and comment on the "arrogance" of this City taxpayer-funded "propaganda." Thank you to Ben Cunningham, a taxpayer-watchdog!

May 22, 2008 City Finances: The Truth Is Out There Somewhere

What a difference a year makes in headlines and public statements!

March 2006: No property tax increase. City Administrator Jim Crumley doesn't anticipate an increase in city property taxes to fund day-to-day governmental operations "in the foreseeable future." Mayor Johnson: The city...is on "firm financial footing."

June 2007: Budget finalized with the largest (40 cents) property tax increase in the history of the City of Morristown. 41% increase!

What happened?

Most people figured out two budget basics a long time ago---(1) you can't spend more than you take in and (2) massive debt is a killer.

Morristown and Hamblen County, however, are still coming to grips with these two budget basics and financial reality.

Both the City and County have been accumulating debt and have been making interest-only payments on large amounts of that debt. With interest-only payments, the debt principal doesn't go down and doesn't go away.

The City has about $70 Million of debt. If interest-only payments continue, some of that debt will still be around when the elementary school-age children of current taxpayers become taxpayers themselves. And the county debt, on which interest-only payments have been made for 7-8 years already, will still be around, too.

The financial basics have been around forever. The City has turned a blind eye for years to financial reality and is only now admitting that there is a problem, a "structural hole" of $430,000, in the City budget. And just what is a "structural hole"? Fancy-schmancy budgetese for "you are spending more than you take in."

City grade for Budgeting 101? D- And that's with a very generous curve!

May 18, 2008 Sales Tax Vote: All Quiet on the Morristown Front

Yes, there is a citywide sales tax referendum going on. Early voting started last week. Election Day is June 3. The Tribune has been pretty quiet---so far.

There have not been any front-page pictures/headlines/articles quoting all the elected and unelected "leaders" who support the tax. This is quite a contrast to the incessant front-page pro-tax articles/advertisements in the Tribune in the days leading up to the February 5 countywide sales tax referendum that failed.

Maybe the June 3 citywide referendum is going to be a stealth election where the powers-that-be network to make sure that the troops come in and vote for the tax increase, and other than that, mum's the word. Quiet. Don't remind the average taxpayer about the city's June 3 "pick-your-poison" sales tax referendum and early voting.

Bob Moore wrote an article back in March indicating that the City was going to spend $12,000 on this citywide referendum to educate and advocate for passage of the sales tax increase. As of about noon on Thursday, the City had not yet registered with the Hamblen County Election Commission as a "committee" to support the sales tax.

During the last (February 5) referendum, the City of Morristown formed a committee to support the sales tax. This "committee" put up "Vote YES for Sales Tax" signs on city property and at the Courthouse and mailed out letters signed by the City Mayor and all Councilmen encouraging Morristown residents to vote YES for the sales tax increase.

The City donated $3,500.00 tax dollars to this committee. The "committee" spent $3,066.26 of those donated tax dollars to "educate" those voters who might be inclined to vote against a sales tax increase. The City's finance director Dynise Robertson served as treasurer of that committee.

Click on the images above to see the City's donation of $3,500.00 tax dollars to this committee and the itemization of the committee's $3,066.26 in expenditures. [No, I don't know why or who spent tax dollars at an Office Max in Johnson City instead of Office Max in Morristown.]

Most local residents vividly remember the 2002 "pick-your-poison" wheel tax referendum. Tribune headlines provided the education, "Voters Should Pick Poison." (See above). Bob Moore's article quoted the Commission Chair as telling voters it's an "either-or" proposition---either you vote for the wheel tax OR there will be a property tax increase. Voters dutifully "picked" the wheel tax, and County Commission just as dutifully passed a property tax increase just a few short months later.

Now it's the City's turn. They want city voters to "pick" a sales tax increase despite the fact that sales taxes are among the most regressive taxes. They hit everyone, for sure, but they hit the poor and those on fixed incomes the hardest. Despite the disproportionate and heavy burden of sales taxes on the poor, the City spent over $3,000 tax dollars on the last failed sales tax referendum and, according to City Administrator Jim Crumley, the City may spend even more tax dollars ($12,000?) on the current sales tax referendum in order to "educate" voters to vote YES.

The City wants to put the sales tax increase "in-the-revenue-bag" and then property tax increases can resume. Pick one poison (by referendum) and then the property tax poison (that you can't vote on in a referendum) will be just down the road. Just like the county.

The sales tax increase will then be just another eternal tax burden that hits the poor, the elderly, and those on fixed incomes every time they purchase the basic necessities---a loaf of bread, a gallon of milk, shoes, a shirt.

There is already a tremendous sales tax burden (9.5%) on goods purchased in Morristown/ Hamblen County.

Isn't that enough? Aren't people having enough trouble as it is paying for $5/gallon milk, nearly $4/gallon gas, and sky-high food, utility, insurance, and sewer increases?

February 3, 2008 Where's the Director of Schools on the Sales Tax?

Director of Schools Dale Lynch has been strangely quiet lately.

No front-page picture with smiling face telling everyone that increasing the local sales tax would be just wonderful. He's usually not one to back away from a fight. Could it be that even he finds it hard to ask county voters to tax themselves in part to help city taxpayers get a property tax cut?

Then again, maybe the Tribune is saving the good doctor for the final sales tax front-page advertising push on Monday.

There has been no mention of how the schools would actually use any increased sales tax revenue. Of course, there has also been no mention of how the schools have used the $5 Million in extra BEP money that was received earlier this year.

No mention of the existing school construction debt of $35 Million+ or - from the 1998 school construction program on which the county has spent millions in interest for years without paying a penny toward reducing the principal of the debt.

No mention of the $500,000 that the school system has paid to the county every year to help make the interest-only payments on the 1998 school construction program.

No one should worry too much about Dr. Lynch's silence. The good Dr. Lynch will be talking up a storm and he will find a way to spend every penny that comes his way---and more. The good Dr. Lynch and the Hamblen County School Board will be draining the taxpayers dry this year and next and the next.

Educational programs are started--e.g the vaunted Gateway Testing program--are pushed for a few years as a great educational innovation and then forgotten. And the layers and layers of administrative staff just grow and grow.

And student progress? Well, they always say that more money will somehow "improve" education. $5 million dollars in new BEP funding for Hamblen County was provided this school year. What improvements were made? Did any dollars go toward teacher merit pay? Did any dollars go to hire teachers in critical and hard to fill areas like physics, calculus, and advanced English?

I am happy to see that there is increased emphasis on the basics again. The 3 R's (reading, writing, and arithmetic) must be pushed in the early grades. Working toward improvement in the basics doesn't necessarily require any more money. What it does require, however, is a curriculum that stresses these skills and allots enough TIME for student mastery in the primary grades.

Money and education are not necessarily synonymous. However, when it comes to (tax) money and education, two things are certain:

1. You can bet your bottom (tax) dollar that Dr. Lynch, the school board, the city, and the county commission will never have enough of your (tax) dollars!

2. And some people in Hamblen County--particularly those at the upper economic levels--think that every dollar that is appropriated for the education budget is truly a dollar for "education." They haven't yet realized or won't admit that tax dollars in the "education" budget can be shifted, wasted, and manipulated just like tax dollars in any other city or county budget.

That's why someone needs to watch the school spending closely.

July 8, 2007 Taxes: Why The Public Doesn't Believe a Word the Politicians Say

"How do you know when a politician is lying?" Answer: "His/her lips are moving."

We laugh. But unfortunately, there is a lot of truth in that joke.

Another unfortunate truth is that local government spending is beginning a sharp upward spiral. And when spending goes up, taxes go up.

TAXES: On June 28, the Hamblen County Commission passed a budget that has around $1 million dollars in new spending out of the county general government fund. That new spending comes with a price tag ---a 10-cent tax increase.

After voting for the tax increase and new spending, Chairman Stancil Ford started the spin machine with political double-speak in which he proclaimed how proud he was that the budget had been CUT by $1 million dollars.

How do you increase spending by $1 million dollars and call it a "cut"? Answer: The first wish-list budget presented this year included over $2 million dollars in new spending. So when the commission only added $1 million dollars in new spending, Ford proudly termed this $1 million in new spending a "cut."

To quote another famous spinmeister: it all depends on what the meaning of "cut" is. To the taxpayer, it's pretty simple. If you are getting $10/hour and ask your boss for a $2/hour raise for the next year but only get a $1/hour raise, did you get a "cut" in pay? No. That's not a cut. That's just less of an increase than you asked for.

When politicians look at a similar situation on the government level, they think that if they spent $10 million last year and if someone proposes to spend $2 million additional dollars in next year's budget but instead they only add $1 million dollars of additional spending, then they have "cut" the budget. That's not a cut. That's just less of an increase than they asked for.

Bottom line: Government spending in the county's general fund is increasing by $1 MILLION DOLLARS from last year's level, and everyone's tax rate is going up by 10 cents from last year's level to pay for the added spending.

I was allowed to speak just before the June 28th tax-and-spend vote was approved. No other citizens spoke at that time although I have seen several letters to the editor opposing tax increases.

On June 28th, I knew the vote was set. My remarks were a reminder that looking for ways to cut or at least hold-the-line on new spending is long overdue. They also were a reminder that local officials, unfortunately, have a poor record for truthfulness about taxes and a poor record for accountability for tax dollars.

You are getting ready to raise taxes AGAIN.

The writing is on the wall. It's a done deal.

I am against the continual increase in taxes. Just like the average citizen, government has to learn to curb the constant desire to spend more and more.

In 1999, you passed a wheel tax. It was supposed to be a temporary tax to take care of a temporary general fund problem and then it was supposed to "sunset" and go away.

Well, the sun never did set on the wheel tax. As soon as the temporary general fund problem was taken care of, you decided that you still wanted to spend more tax dollars.

So in 2002 many of you currently serving on this commission decided to conduct a "pick-your-poison" referendum.

Taxpayers were given the choice of a wheel tax or a property tax increase. What a nifty choice. Too bad there wasn't a third choice---none of the above.

The taxpayers dutifully made their "choice." Continue the $27 wheel tax and they thought that was it.

Little did the taxpayers know that just three months after the wheel tax passed in 2002, many of you commissioners sitting here today or your predecessors would tack on a 15-cent property tax increase, too!

So much for straight talk. No wonder the public has such distrust for elected officials.

That's when people began to see that the government never gets enough.

Then a short time later, it was disaster time for the garbage fund. A 21-cent property tax increase.

Then there was a litigation tax increase.

Then pennies were shifted from the debt fund and put in the general fund. And more money was shifted around that many of you never even knew about until after it was already done.

Now, you're preparing to add another 10-cent increase to the general fund tax rate.

You may never see them and you may never talk to them, but there are people living on fixed incomes today. I have heard at least two or three of you mention these people in private conversations.

These people are living on $500 to $600/month. They are saddled with gas costing nearly $3/gallon. Milk that is nearly $5/gallon. Frequently, they have no health insurance and are faced with the choice of buying food or needed medicine.

And there is a middle class that is squeezed from all sides as well.

Taxes just go up and up and up!

The really sad thing is that there is so little accountability up here for the precious tax dollars that you have already taken and that you are preparing to take more of today.

Everybody can think of new ways to spend money, but suggestions for spending cuts are non-existent or few and far between.

Ignoring those who suggest ways to cut spending is the norm.

No-bid contracts are still the norm.

No questions are now the norm.

And, as a result, there will be a tax increase this year, next year, and probably for many years to come.

Government belt-tightening? Maybe when pigs fly.

Thank you for allowing me to speak today.

June 28, 2007 Taxes: Going UP

Quick post

Hamblen County Taxes Go UP....AGAIN!

Hamblen County taxes are going up AGAIN. Taxes were increased by 10 cents at Thursday's 5:00 commission meeting.

Voting for the tax increase were: Larry Baker, Ricky Bruce, Stancil Ford, Herbert Harville, Tommy Massey, Frank Parker, Nancy Phillips, Reece Sexton, Joe Swann, and Dana Wampler.

Voting against the tax increase were: Guy Collins, Doyle Fullington, Paul Lebel, and Joe Spoone.

City of Morristown Taxes Go WAY UP along with a nifty FEE!

And speaking of taxes, pity the taxpayers in the City of Morristown. They get the Hamblen County increase (10-cents) and they also get a City tax increase (40-cents) that passed a few days ago.

And on top of this, they get a $1/month stormwater "impact fee."

The "fee" will be collected by Morristown Utility Systems, so if a utility customer fails to pay the stormwater "impact fee" when paying the utility bill, he just might find himself electricity-less.

Voting for the City tax increase were newly-elected Mayor Sami Barile, William Rooney, Kay Senter, and Mel Tucker.

Voting against the City tax increase were Claude Jinks, Frank McGuffin, and Rick Trent.

December 1, 2006 More on Hamblen County Debt

Yesterday, I posted information about the county's existing debt and the interest-only debt payments that have been made on that debt for the past several years.

The effect of interest-only debt payments has been largely ignored, but the impact is going to be felt soon in the form of higher taxes as the county moves toward taking on even more debt.

Current discussions center around taking on tens of millions of dollars in new debt at the very same time that the county finally starts to pay down the principal on the forty-million dollars of old debt.

How did we get in this situation?

As former Commissioner Dennis Alvis said, "We've been robbing Peter to pay Paul and now Peter's left town." Yep. Peter woke up and got out of Dodge before all his money was gone.

There are lots of factors behind the current debt. I've mentioned financial problems in Hamblen County in previous posts. There are plenty of problems out there.

False financial information is provided and goes unquestioned.

The Garbage Fund goes broke in early fiscal year 2003 and money is hurriedly switched around to keep it going.

The General Fund goes broke at the end of fiscal year 2003, and the new state auditors come in and help prop up the General Fund by dumping money that was in several small funds into the General (Government) Fund so the bills can be paid.

Later, tax rates are switched around with money taken from the Debt Fund and put into the General Fund---again to prop up the General Fund.

It's all very interconnected. But if you actually try to "follow the money trail" in Hamblen County, you will find that it's a very twisted and tightly-controlled shell game.

Now you see it. Now you don't. Now it's here. Now it's there. Now it's who knows where.

And if you are so unkind as to dare ask where your local tax dollars have gone, well, just don't try that. That's not what a good little taxpayer does.

The government needs more of your money--and no questions, please. The government is going to get that money from you---through property taxes, wheel taxes, sales taxes, special fees, or all of the above---and no questions, please.

November 29, 2006 Local taxes: Going UP!

If you could just sit on the outside and watch, local tax discussions would be entertaining.

But when higher tax payments constantly hit you in the pocketbook, it's no longer amusing.

The spectre of much higher taxes for Hamblen Countians is just a few months away. East and West High need repairs and new construction.

How to pay for that work raises questions about the county's total debt and debt repayment schedule.

Can the county pay for the proposed school construction without raising taxes? Hasn't the debt from the last major school construction program (1998) been paid down some?

Well, let's start with a few basics.

How much does the county owe?

About $40 million. (And that figure does not include the hospital debt that the county is responsible for if M-H Hospital is at some point not able to make its debt payments).

What was the $40 million spent on?

Most of the $40 million was spent on two new middle schools and renovations to about 14 other schools in the 1998 school building program. Some of the debt was for other county projects like the courthouse addition and jail annex, etc.

Haven't we paid off at least some of this debt by now?

Well, the answer would be yes IF the county had been paying principal and interest on this debt for the past 8 years (like most people do with a car loan or mortgage).

But the county didn't pay principal and interest on this debt over the past 8 years.

Instead, the county made interest-only payments. The County Mayor, Trustee, and Commissioners that were serving in 1998 set up this "interest-only" payment plan.

So it's 2006, and the county taxpayers still owe that same $40 million.

Now there is a request for more borrowing---- $20 million (+ or -) for school construction and who knows what else.

And if you live in the City of Morristown, you've got all that county debt coupled with your existing city debt and a bajillion-dollar city sewer construction bill that just keeps climbing.

And if a new 200 to 500-inmate jail is tossed in there, just hold on to your hats and your pocketbook.

When former Commissioner Dennis Alvis took office in 2002, he said: "We've been robbing Peter to pay Paul and now Peter has left town." I'm not sure that Commissioner Alvis was aware of how true those words were.

You always hear that everything is "for the children." That seems to be especially true with the county debt.

I thought you were supposed to try and leave your children something--and debt is not that something!

I guess I didn't get the "borrow, spend it, and pass the debt on" memo.

July 16, 2005 Taxes: Beware the triple whammy

Hamblen Taxpayers,

Guard your wallet and all valuables.

Some commissioners may be planning a triple whammy on taxes.

1st whammy: Increased appraisals. As Commissioner Harville correctly pointed out on July 13, if your property appraisal has gone up more than 12% or so, you are in line for a tax increase whammy even if the Commission doesn't raise the new state certified property tax rate. First whammy.

2nd whammy: Tax rate increase. Several commissioners don't want to even look at reducing expenses (see my post of July 15). They are prepared to increase the tax rate. For taxpayers who already have an apppraisal increase, this would be the second whammy.

3rd whammy: Now, there are behind-the-scenes rumblings about a wheel tax increase. Third whammy.

Also: Watch for some possible changes/revisions in budgeted revenue or budgeted expenses before the Budget Committee meets again on Tuesday, July 19.

Maybe we'll just do like the state of TN did a few years ago. If the budget appears to be short on money, just predict and project more revenues.

Sure wish this kind of sleight-of-hand worked in a family budget!

Who knows? Maybe posting this will make some people think twice and not try this kind of stuff.