Thursday, February 15, 2024

Another Home Rule Sales Tax Proposal--Same Tired Justifications

 I watched with interest the discussion regarding Freeport streets and how to fund the repairing of the same at the Committee of the Whole meeting of the Freeport City Council on February 12th this year.  The video of the meeting is available on YouTube.

Second ward alderman James Monroe appeared to speak in favor of using home rule to raise Freeport's sales tax yet again, the substance of what Mr. Monroe said is below and quoted verbatim.

"It's something that has to be addressed and we have to figure a path forward and the only way to do that is to work to together and to continue to push forward, to continue to execute on a plan and and that's the only way it ever gets done.  It's just like a business, and we're looking at this from a standpoint, and this is why earlier--the conversations--because a tax increase only gets us part of the way there; the conversations with the Greater Freeport Partnership and the growth of Lamm Road TIF district and other TIF districts in the city, other economic zones is the important piece because bringing new blood, new money in the community, new jobs will fund all this."



This is basically the same argument that has always been used by City officials when they want to use home rule to raise the sales on the rest of us living in the city...or at least on those who have no choice and lack the ability to purchase goods and services outside of Freeport.

In the fall of  2009 the administration of Mayor George Gaulrapp proposed a sales tax increase at the same time the Wal-Mart and Menard's shopping complex was under construction.  Mayor Gaulrapp using the same justification, went so far as to tell the public that once these new mega-stores "come on line" this new tax "will go away."  My alderman, Tom Klemm, should remember this as plain as day.

The fact is, as stated in the prior post, "The increases in Freeeport's home rule sales tax has literally paralleled Freeport's decline."  There is an anolagy somewhere about doing the same things over and over expecting different results if my recall is correct.

Another issue I will take with Mr. Monroe's statement is where he stated, "It's just like a business."  Really?  I've worked my whole life in the private sector;  vegetable farms, manufacturing, service and distribution industries and retail, from ma and pa outfits to a Fortune 100 company and I've yet to see a private sector business that can just conjure up revenue as the City of Freeport can with home rule powers.

If Mr. Monroe can point out a business that can simply raise it's bottom line by placing an involuntary tax upon its own shareholders, I'd be interested in hearing more about that business.  If the company I work for sells considerably less product this year than last and they are short of revenue they have to make adjustments on the expense side of the ledger.  An Ivy League degree should not be needed to understand this simple business truth.

Freeport households have to behave as businesses do, very few of us have the ability, skills, or time to magically increase the stream of money coming into our homes.  If a household's expenses continue to outstrip its revenue, something has to give. 

While we citizens can do little to nothing to raise our incomes the Freeport City Manager, Mayor Jodi Mill and the Freeport City Council have little problem using home rule to pick our pockets without so much as an official public hearing much less a referendum.

How does Rock Falls,Sterling, Dixon and even Rockford mangage without home rule powers to instantly increase their revenue when the money pot runs dry?

Have Freeport administrations simply lacked or are lacking, whether mayoral or city manager, in the managereial skills of these other communities?  Or have they simply become reliant on the get out jail free card that home rule gives them, knowing they can finance every decision regardless of how poor a decision it was?

Since the turn of the century Freeport has been bleeding profusely for a number of  reasons, while all Freeport elected officials do is cling to the status quo.  It is past the time that Mayor Miller and City Manager Bloyer do the hard job of governing that's required in 2024 and bring our expenses in line with present revenue the same way practically every other Freeport business, household or public body has to do it....the home rule card has been played far too often to what appears to be the detriment of Freeport and its citizens.

There will be more to come on this issue.

As always, yours in honesty

John Samuel Cook

2024

tutty.baker@gmail.com



4 comments:

  1. Why hasn’t someone put this on the ballot we don’t have 25 thousand people living in Freeport anymore I never understood why we are paying Two people to run this city. We keep feeding the hands that bite us.

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  2. Due to the population dropping below 25k, Home Rule was on the ballot just over a year ago in November of 2022 and passed by a 60% to 40% majority.

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