Caldwell Override Election Tuesday May 18th

This is a reminder about the school override election for Caldwell School District.  Your polling place will be at a school near your home.





Here's the deal,  your vote will decide if the override will increase by 300% or not at all for the next two years. Nobody really knows what will happen two years out if the economy will pick up and return to better times or not.  What then will happen with the school district.  Will we face another override or will painful cuts be made due a stagnant economy?

We think making the effort to vote YES or No is the only voice you have in our form of government.  If your side wins you can celebrate and if it loses you can commiserate about it.  Those who don't take the time can't complain one way or the other.

Voting on this is taxation with representation by none other than those who take the time to actually vote.

Caldwell Urban Renewal Sucks Up Majority of UR Property Taxes In Canyon County

It has been reported to THE GUARDIAN by a reliable source $9.8 MM dollars are siphoned off the property taxes collected in Canyon County for 2009.  Caldwell East Urban Renewal received about $6 million of the money and the remaining $3.8 million went to Nampa and other UR agencies in the county.

What was really interesting is the data nailed down just how much each taxpayer outside of the urban renewal districts is getting charged by Urban Renewal county wide.  The total levy UR has on every $100K of taxable value in the county is $114.12 per $100k of taxable value.

The "high priests" of urban renewal keep telling us UR is money that is no cost to taxpayers.  We welcome these folks to explain how $114.12 per $100K of taxable value for of 2009 is not a cost to property taxpayers.

You will soon be receiving your new assessed values on your property for 2010 and can now figure out how much Urban Renewal is costing you personally.  Those inside the district pay even more money and they know how much via their tax bills.

The point of all this is UR is a $9.8 MM tax shift all county taxpayers get to pay for along with all the revenue bonding (debt) these agencies will take on with the "easy pay plan" for additional millions. Mayor Tom Dale in Nampa has to most ambitious plans with his new police HQ and library projects.  The principal will be around  $68 million if he holds the line where it was when the Nampa Development Corporation was formed.  You have to love the names given to agencies that are nothing short of taxation without representation.

No Wonder Sen. Crapo Doesn't Like Financial Reform Bills He Loves Bankers, Bonds And Debt

CITY GOVERNMENT

Crapo Seeks Law To Increase Local Debt Load

 May 12, 2010 ⋅  Email ⋅  Print ⋅  Post a comment

Idaho Senior Senator Mike Crapo is pushing to make it easier for Idaho’s local governments to get deeper in debt by making cash available to banks, but he fails to mention Idaho cities have to ask permission of voters BEFORE going to the banks.

Those loans from local banks have to be repaid through higher local taxes. Idaho’s constitution mandates that those whose pocketbooks will be picked have to give their assent.

Crapo and Senator Jeff Bingaman–a Dem from New Mexico–talk about “permanently extending a provision that helps small and rural municipal governments raise capital to finance local infrastructure projects – including school and road construction.”

Instead of “raising capital,” the new law would only serve to raise taxes to pay for increased debt. As the GUARDIAN sees it, Crapo’s bill would make “easy money” available to banks, but local governments still have to pay off the increased debt and the only way to do that is raise taxes.

There are three proposed constitutional amendments on the November Idaho ballot aimed at abolishing the rights of citizens to vote on such debt for public hospitals, airports, and power facilities.

A Crapo spokesman said the Senior Sen would respect all Idaho laws and not seek to influence the outcome of the proposed constitutional amendments.

Here’s more from the Senior Sen.

Before 2009, banks had incentives to purchase municipal bonds only from municipalities that issue $10 million or less in debt each year – a level that was unchanged since 1986. The American Recovery and Reinvestment Act incorporated a provision pushed by Bingaman and Crapo to raise that limit to $30 million, but that measure expires at the end of this year. The Bingaman-Crapo Municipal Bond Market Support Act of 2010 would make the $30 million level permanent, and index it for inflation.

The increased level has so far enabled municipalities from across the country to place bonds directly at financial institutions, including community banks. When municipal governments work directly with community banks, they achieve considerable savings on interest and transaction costs.

“This provision has helped small communities across New Mexico and the country finance critical infrastructure needs and create jobs. The higher bank-qualified limit is a great success and deserves to be made permanent. We need to ensure that our small municipalities can continue to raise capital, particularly in periods of tight credit,” Bingaman said.

“As our small communities continue to struggle to secure financing for important infrastructure improvement projects, our efforts last year have proven successful in Idaho and throughout the country. I look forward to continuing to work with Senator Bingaman and my colleagues on the Senate Finance Committee to extend these important provisions,” Crapo said.

In 2009, the dollar amount of bank qualified issuances doubled to $32.7 billion, with nearly 6,000 issuances. Among the beneficiaries are New Mexico and Idaho counties, cities, and school districts in all corners of the states.

At least 13 organizations have expressed support for the Municipal Bond Market Support Act of 2010. They are as follows:

American Hospital Association
Council of Development Finance Agencies
Government Finance Officers Association
International City/County Management Association
National Association of Bond Lawyers
National Association of College and University Business Officers
National Association of Counties
National Association of Health and Educational Facilities Authorities
National Association of State Auditors, Comptrollers and Treasurers
National League of Cities
Regional Bond Dealers Association
Securities Industry and Financial Market Association
US Conference of Mayors

The bill has been sent to the Senate Finance Committee; both Bingaman and Crapo are members of that panel.

Reader Opinion About Caldwell School Levy Election May 18th

This is blog opinion that was posted as a link in a Guardian post about school levy elections.  We clicked on the link and found this post to be informative and worth posting here for our readers. We welcome opinions in support of the levy and will give any writer space to respond.

"While we can all agree how important public education is as an investment for the future, the Caldwell School District’s solution to their budget crisis leans too heavily on the property tax payer. The district administration suggests that they will have to deal with a $1.9 million shortfall and that the employees will take a 4.5% hit but the property taxpayer will get hit with nearly a 300% increase. (The current levy is $900,000 and the proposed levy if approved will be $2,750,000) Most folks would not consider that a fair situation.

As a former leader in the Caldwell School District, I would have found it embarrassing if our school board had asked patrons to support an increase in their supplemental property tax charge of 3 times when those patrons are dealing with the same economic realities as schools. It is reported that the increase will go from $71 per $100,000 of value to $208 per $100,000 of value. When there are many patrons of the district unemployed or having to face salary deduction themselves, it is no time to ask them to pay a huge increase in their school supplemental property tax levy. In addition, the district plans to increase their plant facilities levy by over 16% or $50,000 per year, without any justification. Now is not the time for any increase.

Before the election day in May the school board must demonstrate to the Caldwell School District patrons clearly and publicly what they have done to cut costs before they decided to ask the voters for more money, including but not limited to what non-essential positions they have eliminated. There are some of these positions in every school district. Every non-teaching position should be on the “list “ for possible elimination. Also, the District board of Trustees needs to explain to the patrons why a 16% increase in the plant facilities levy is essential at this time. Finally, and very importantly, what is the long-range plan for this escalated supplemental levy? Is it a temporary 2-year levy until state revenues return or is it planned that this historic increase simply becomes part of the on-going tax charge on the Caldwell School District property taxpayers? The Board owes their constituents a thorough explanation why all of these increases are necessary and their long-range plans for the supplemental levy.

Historically the Caldwell School District has supported their schools by approving a supplemental levy for nearly 50 consecutive years. Now it appears that they are going to put that tremendous record at risk. Some consideration might be given to the comment made recently by the neighboring school superintendent from Vallivue when he stated, ““We don’t want to raise taxes on our taxpayers for the years and years and years that they’ve supported us on these levies.” Good point!"

Can Civic Pride Be Legislated And Does City Council Have Any Political Will

Caldwell has a Historic Preservation Board, Commission and a Historic District.  Neglect and dilapidation of property in Caldwell is not a new issue.  It would appear the Historic Preservation people are trying to give civic pride in our fair city a new thrust with the "WILLFUL NEGLECT ORDINANCE" effort.

The Caldwell City Council appears to be reacting like a stopped clock on this matter, ie you can do absolutely nothing and be right at least twice a day.

Here is a smattering of the stuff of high importance the City Council is trying to digest:


WILLFUL NEGLECT ORDINANCE

"Mr. Billingsley passed out copies of Bill 10, Ordinance 2825 to the Council which contains three items
sought by the Historic Preservation Commission. The first item deals with fencing standards; the
Commission would like to have the ability to review picket fencing materials that are not made of wood.

Secondly, they would like the ability to require a Certificate of Appropriateness when a wheelchair ramp isbuilt or altered on a historic building.

The third item deals with creating a process to abate a situation where a property owner is willfully neglecting a historic property. Mr. Billingsley explained that City Code prohibits willful neglect of a historic property, but the code does not establish a process to correct the situation. He proposed a code amendment that would give the property owner a chance to appear before the Historic Preservation Commission and work a plan of action to clear up the code violation. If the property does not follow
through with the plan of action, the Commission could send a formal recommendation to the City Council to proceed with legal action.

Several Councilmen stated their concerns about the ordinance. First, Councilman Oates stated that he would not vote for the amendment. Councilman Sobba wondered how staff would be able to determine if a property is being willfully neglected.

Councilman Blacker asked if a definition of willful neglect is in the zoning ordinance.

Councilman Hopper asked if staff could enforce such a process city-wide rather than
just on historic properties.

Elaine Carpenter, representing the Commission, stated that the Commission wants to work with property owners to make their buildings look respectable. She said it is not a goal of the Commission to harass property owners; the amendment would establish a process where staff and the commission can work together to clean up a historic building.

Mike Dittenber from the Caldwell Housing Authority spoke about programs under his direction that could be helpful to the Historic District. He stated that he has the ability to subpoena witnesses and investigate housing dilapidation matters.

Mr. Billingsley suggested that the public hearing for the Willful Neglect ordinance be continued to May 17th. He will discuss the workshop with the Commission before the meeting on the 17th......."

Civic pride in Caldwell is something that is not a commodity not found in abundant surplus and the same can be said for a lot of other cities. The Historic Commission proposal should be something enforced city-wide per Councilman Hopper's input on this matter.

Caldwell's code enforcement program needs to be enhanced with an eye toward addressing "willful neglect" city-wide.  Conditions  called willful neglect are the face we present to the people who live here as well as those passing through our city. Civic pride while hard to legislate is worth the effort.

 We would like to see a summary abatement program added to the WILLFUL NEGLECT ORDINANCE.

Other Post Employment Benefits (OPEB's) For Govt. Employees May Bankrupt Cities

Here is some troubling news for just about everyone. I received notification from my employer via disclosure requirements their retirement program is underfunded. Now add to this the below we received from a reader:

I was in training the past couple days and we talked quite a bit about OPEB (other post employment benefits). Right now as far as the accounting profession is concerned that has the highest probability of bankrupting local and municipal governments in the next few years. The underlying fundamental concept is the implied rate subsidy that is provided by allowing retirees to participate in government health care plans. Since they’re older they cost more to insure and drive the rates up for the plan as a whole. It’s a recent development that governments have had to start recognizing the liability in the past few years. As the baby boomers retire over the next few years this could easily push the liability so high that the overall fund balance goes negative and the local government then may proceed with bankruptcy as I understand it.

  

Caldwell School Bond Cost will be about $10-$20/month? How Is This Figured

A comment was left on a previous post about how the Caldwell School District override will cost property taxpayers $10-$20/month and how is that calculated.  I will try to answer this as it can get confusing for a lot of taxpayers.

There are two components to arrive at your actual property taxes you are obligated to pay.  It is the levy rate and the assessed value of your property.  Throw in the exemption of 50% of the assessed value up to a  maximum of $104K if you house is assessed high enough and you arrive at a taxable amount on your home.

EXAMPLE:
 Your home is valued at $200K by the County Assessor,  less 50% homeowner exemption brings the value down to $100k of actual taxable value..  In general, you can apply about 2% to the $100k and your property taxes will be $2,000.00 in the City of Caldwell  before the school levy is applied.

If the school levy adds another $136.00/$100K of taxable value your property taxes will rise to $2136.00.  In the comment the reader wanted to know how the additional $10-$20/month is figured.  In this example, the additional taxes per month would be $136.00 divided by 12 months equals $11.33 per month tax increase for this particular example.

We will all getting our new assessed values on our properties right after the May primary election.  You should be able to figure the increased taxes very easily when you get this information.  Some people will be more and some less.  The higher your assessed value the more you will pay.

The Caldwell school override election will be held on Tuesday, May 18th, 2010 at a school near you if you live in the Caldwell School District 132.

Just What Has Urban Renewal Done For Caldwell Downtown

This was received as a reader comment and we would like to see this comment read by our readers.  We once again give you the link to the Canyon County Assessor's page on Urban Renewal.  It is worth a read by those who do not understand UR http://www.canyonco.org/assessor.aspx?id=7769

Anonymous has left a new comment on your post "Another Downtown Caldwell Business Closes Doors":

So the task that lies ahead of the informed citizens of Caldwell is 'What will the catalyst be for change in Caldwell.' How do the un- or mis-informed become aware of the fact that the well has run dry in Caldwell? The very plan that was inmplimented to correct the course of downtown Caldwell by eliminating blithe has become the very same plan that is crushing this community into a blithe full wasteland.

To those paying double the taxes on thier property taxes vs last year, the writing is on the wall. There is no demand for tenants in the downtown district due to no services or foot traffic, the property values have plummeted to the point that it makes no business sense to throw good money at bad money by renovation of the buildings, and the shear number of vacant buildings has obliverated the resale market. 

And yet, at the end of the day, Caldwell's voters continue to drink the Nancolas kool aid and either can't see past the mis information or simply don't care. The milk and cookies, great day for Caldwell speech continues to keep the current administration in office, all the while promises of a new day in Caldwell plan o the month tactics have absolutely zero financial backing to support the effort, thus making even the most well thought out concepts doomed to fail.

What will it take? Your guess is as good as mine. 

Another Downtown Caldwell Business Closes Doors

We received the following press release from the good people who run the Sundowner Motel. A more apt headline for this post would be "ANOTHER ONE HITS THE DUST". Closing of the Sundowner Motel along with King's, Departure of the South West District Health Department will leave people giving directions the only option but to use vacant buildings as landmarks for directions downtown. Mayor Nancolas and thirteen years of his leadership are not turning things around in our downtown despite speeches and press releases to the contrary.

Caldwell is the county seat of Canyon County and the Mayor and City Council lack the political will to make downtown Caldwell the county civic center nor are they following the Comprehensive Plan for Caldwell calling for government offices to be located in downtown.

We have witnessed the Job Service Building locating in Sky Ranch Business Park, County License Offices move to Graye Lane, SW District Health move to Karcher Road. Caldwell will eventually be a series of stop lights that will interfere with people trying to get to I-84.

Caldwell East Urban Renewal Agency has failed our downtown core and chose to spend the bulk of urban renewal funds on just about everything but our downtown core. Downtown property owners have to feel like they have been stiffed in this deal.

Here is the abbreviated press release for the Sundowner Motel:

On May 2, 2010 Sundowner Inc. ceased operating the Sundowner Motel in Caldwell Idaho. The difficult decision was made by the board of directors after 48 years of business in downtown Caldwell

Formerly the site of the McNeel Lumber Company, the Sundowner Motel is an example of the American Dream come true. A young Bob Bushnell moved from lumber-yard clerk to owner of the property, and among other business ventures, converted the property to a motel in 1962. Bob had a vision of the downtown that integrated Indian creek into the architecture of the building, and was proud to be one of the first business to feature the creek as a part of our community.

The Motel has played host to many visitors to downtown Caldwell including dignitaries, athletic teams, world-class cowboys, a professional banjo club, County Fair and 4H contestants. Even the dog known as “Lassie” took advantage of our pet-friendly hospitality! Of all of our guests, we are most proud that we provided a clean, comfortable, and affordable place for guests visiting family, professionals conducting business in our community, and some of the interesting people we’ve met who were “just passing through” that chose to stay a night or two downtown with us.

The Sundowner Motel has been a fixture in the community and a champion for the spirit of a thriving downtown.

We’ve turned off our large “MOTEL” sign – but we are excited to continue with our corporate operations in the community. If you would like to be informed of our future sales of furniture and assets, please sign up for our mailing list by emailing sale@sundownerinc.com with the word “subscribe” in the subject line.

Give Legislators Your Right to Senate Vote?

Sen. Borah

An old proverb among politicos: “Power corrupts and absolute power is REALLY COOL if you’re the one with the power!” A particulary worrisome bit of news came out of a recent Idaho Tea Party survey of national candidates and an Idaho Public TV interview/debate on IDAHO REPORTS.

Republican 1st District Congressional candidates Raul Labrador and Vaughn Ward both support a move to abolish the right of citizens to elect their U.S. Senators through repeal of the 17th amendment. They would rather the state legislature choose the U.S. senators.

The amendment was historically the product of unrest among citizens who were unhappy with state politicos appointing their own party hacks instead of allowing the citizens to vote directly for senators.

The 17th amendment ultimately passed Congress in 1913 and was introduced in 1911 by Senator Joseph L. Bristow of Kansas and, supported by Senator William Borah of Idaho, himself a product of direct election.