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The Tax Cap Debate Continues
Dear Editor,
Regarding recent discussions in your publication pertaining to

Saginaw's Tax Cap, I find it highly ridiculous to have put a tax cap in

place to begin with.
Could you support your family making what you do 23-years ago with the same

lifestyle you have now without cuts?  Police, fire, road maintenance, etc

is not free and it costs more than it did 23 years ago.  For a little more

out of pocket, which we should have been paying all along, we can keep

these fine services.
In regards to the police and fire personnel and their pensions, I agree

that a police officer or firefighter battalion chief doesn't deserve

$100,000 per year as a pension - they deserve a hell of a lot more.  As far

as I'm concerned they certainly don't get paid enough for when they are on

duty risking their lives for other people.
This city is not perfect and like any other I'm sure portions of it gets

squandered.  But how much more is it going to be if a tax cap is lifted?  I

think minimal compared to the services kept/gained.  Now if the cap is

lifted and there are still cuts in services then there's something to

complain about.
Sincerely,

Steven Frank
 
Editor's Reply,
Thank you for your brief letter about the tax cap, but as one who has

covered Saginaw City politics for over 20 years, I can tell you that the

tax cap is the ONE thing that has forced local government to live within

rational means, serving as the last bastion against out of control managers.
If you research the revenue base you will find that WITH THE TAX CAP IN

PLACE, the city in fact has THREE TIMES the income it had in 1979 with less

mouths to feed, insofar as the population in the city in 1980 was 77,508

and by the year 2000 it was down to 61,799.
In 1979,  $3,830,032 was collected in property taxes and in 2002,

$7,516,191 was collected, NOT INCLUDING all the hidden increases for sewer

& water rates and garbage collection services.
Affordable housing is a key to Saginaw's future and if the tax cap is

lifted, it will only augment the blight, forcing landlords to charge more

to tenants and property owners that do pay taxes to move to other cities

that are better managed.
The key is to look at the sources of revenue.  The city gives 100% tax

abatements in the millions of dollars to large corporations and private

developers, yet expects the middle class to shoulder the entire

infrastructure burden.
Regarding the pension plans of Fire & Police personnel, it would be helpful

if the city released these figures prior to the November election so

citizens could have a fair assessment of what they in fact are paying.
Nobody is arguing against a fair pension, but the multiplier used to

calibrate the pensions is out of touch with reality.  And while it is true

that police and firefighters do indeed risk their lives for their jobs,

this is also something that they are aware of going into that line of work.
Over the years city government has moved along unaccountable for far too

many things.  Should taxpayers shell out more money because of a Finance

Director that went ahead and condoned spending $600,000 on computer

software only to find out one year later that it was obsolete and new

equipment had to be ordered?  This is but one of many examples.
The City of Saginaw needs responsible leadership, not more money.  And

while it is true that city leaders are telling their constituents that

massive layoffs will occur should the tax cap not be lifted, do you really

thing they will do this in the light of major investments and developments

by corporations and private investors throughout the city?  Hardly, because

such a move will totally obliterate their revenue base.  If anything, it

will force them to live within their means, as private citizens and

homeowners must manage to do each and every day of their lives
Sincerely,
Robert E. Martin

Editor & Publisher



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Review Magazine
318 S. Hamilton St
Saginaw, MI 48602
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