Thursday, February 10, 2011

City Charter - Section 47

What The "Income Tax Increase" Is Really For!

Section 47a and 47b

In Section 47a {Annual Tax Levy}, which assessed on the property values of your homes and Section 47b {Tax Levy For Bonds And Notes}, which is to pay interest, sinking fund, and retirement charges on all bonds and notes of the City of Portsmouth.  Both, of these sections in the Charter were created on 5-5-1953.

Section 47c {Income Tax Authorization}

In addition to Sections 47a and 47b, city council enacted an ordinance of levying an income tax to provide funds for the general municipal operations, city employee compensation, street lighting and capital improvements.

The net proceeds of the income tax will be set aside and used for the following:
  • 30%                                     City Employee Compensation
  • 30%                                      General Municipal Operation
  • 30%                                      Capital Improvements
  • 10%                                      Street Lighting
This section was adopted on 5-5-1970.

Section 47d {Supplemental Income Tax Authorization}

In addition to Sections 47a,b,c, city council enacted an ordinance levying an income tax to provide funds for the general municipal operations, city employee compensation, and capital improvements

The net proceeds of the income tax will be set aside and used for the following:
  • 40%                                      City Employee Compensation
  • 30%                                      General Municipal Operation
  • 30%                                      Capital Improvements
This section was amended on 6-8-1976.

Section 47e {Supplemental Income Tax Authorization For Safety Forces}

In addition to Sections 47a,b,c,d, city council enacted an ordinance levying an income tax to provide funds for compensating employees of the police and fire forces of the City of Portsmouth and for no other purpose whatsoever.

The net proceeds from the income tax will be set aside and used for the following:
  • 100%                                       Police and Fire Forces
This section was adopted on 11-3-1987

So, to some things up.  City employees receive 70% of the income generated from Sections 47c and 47d combined.  This includes the police and fire departments.  Thirty percent from 47c and forty percent from 47d.

Now, comes along Section 47e.  The police and fire forces, and I'm sure union reps too.  Have a Supplemental Income Tax placed on the books for just them, and them only.  Notice, in two sections of this ordinance; the wording!  "Providing funds for compensating employees of the police and fire forces." 

Not any of the funds are used to provide training, building, equipement or vehicle maintenance, electric, gas or water bills.  Just for compensating employees of the police and fire forces.

One other phrase, that I would like to draw to your attention!  "For no other purpose whatsoever."  Wow!  Talk about not playing well with others and being rapacious and predatory in their behavior!  Just a little greedy maybe?  That certainly smells of union representation!  These people are so vulgar in their methods... They lack compassion for any of the other departments; not to mention the citizens!

I want to now, draw your attention to the adoption date of Section 47e.  November 3, 1987!  That date is also, the date when Sections 87 and Section 89 were amended also!  Raising the police and fire departments staffing levels to 44 each.  So, they not only got money set aside for them and only them; they got to hire more employees for each of their departments!

Folks, I'm not against an income tax increase if it is merited and city government is responsible and good stewards of the money.  None, of these three things are even existent within our city government and some city employees!

The need for more money may be a correct conclusion.  But, the reason for the need of the money is for egotistical, self-seving and self-centered purposes and reasons!  Not for the betterment of the city or it's citizens!


Vote NO On The Proposed Income Tax Increase


As, you can see from above; the track record speaks for itself.  Where the money goes!  Make the City Employees pay their fair share of their own benefit packages.  Stop paying for firemen and their families to go to the Life Center.  All on the taxpayers dime!

One other thing, Trent Williams; do the inventory on the city's equipment and assets!  You have only been told by the State Auditor's office to do this for the last 4 or 5 years!

Vote For Anybody But TRENT WILLIAMS For Auditor

Citizens of Portsmouth; remember is big pay raise that he got after being elected last time!  Which was illegal!  And, now drives a nice big SUV with a full tank of gas!

Tell me what a City Auditor needs with a city vehicle much less a SUV?

Don't worry Mr. Trent Williams, I've got a few things to say about your time in office too!

5 comments:

  1. Section 47c gets 0.5%
    Section 47d gets 0.5%
    Section 47e gets 0.4%
    ---------------------
    Total Tax rate : 1.4%
    |
    30% of 0.5% = 0.15%
    40% of 0.5% = 0.20%
    100% of 0.4% = 0.40%
    --------------------
    Total: 0.75%
    |
    0.75% / 1.4% = ~54%
    |
    |
    Please consider changing:
    From:
    "So, to some things up. City employees receive 70% of the income generated from Sections 47c and 47d combined."
    |
    To:
    "So, to *sum* things up. City employees (including police and fire) receive close to 54% of the income tax generated from Sections 47c, 47d, and 47e for their compensation. Their fund receives just over half of the income tax collected which is currently at a rate of 1.4%

    ReplyDelete
  2. Anonymous... Your figures are correct in your scenario; I don't dispute that! But, the fact and point I was making to the reader is; City employees have received the largest portions of all "Income Tax" increases for their compensation! Police and fire solely are the benefactors of 47e!

    Then deliberate for a moment about this. Why? Does the city employee's compensation packets comprise of $7 million of the $10 million budget? Thats a big portion!

    ReplyDelete
  3. Deliberate this. Employees cost money. Inflation drives wages and benefits costs up. Revenues are flat. If revenues stay the same and expenditures for wages go up, the percentage of revenue to pay wages will increase. It's not rocket science. If taxes raised as employee costs went up, the percentage would stay the same. Tax rate has not changed since 1987. Do you think you could hire a good employee and keep them by paying them 1987 wages in 2011 and beyond?

    ReplyDelete
  4. Anonymous... Inflation does drive wages and benefits cost up! But, changing the tax rate has nothing to do with wages being at 1987 levels. In fact, the wages are at current levels.

    You can set the tax rate in 1900 and the tax rate is still the same in 2000. Where you get the pinch in the budget is; Portsmouth does not offer the employment opportunities and good paying jobs to support the unions current demands in the bargaining units.

    I'm glad you brought this up! I will do an additional article to illustrate this to you and the readers who are still thinking inside the box.

    But, thanks again for your comments! Freedom of Thought is withering away on the vine!

    ReplyDelete
  5. Mr Richardson wrote: "... big pay raise that he (williams) got after being elected last time! Which was illegal! "

    Please clarify how that pay raise was "illegal".

    ReplyDelete