This is a graphic I updated from 2012. Total city debt actually went down about $25 million since 2012. I wouldn’t say the city has a ‘debt’ problem, we have a ‘spending’ problem.
Click to enlarge the graphic
This is a graphic I updated from 2012. Total city debt actually went down about $25 million since 2012. I wouldn’t say the city has a ‘debt’ problem, we have a ‘spending’ problem.
Click to enlarge the graphic
Our petition effort found a great number of people wanting to sign because they feel the pain of our increasing debt everytime they try to do anything in Sioux Falls. For the last couple of years since the EC opened we have been seeing the sales tax revenue dropping even though we have more more people living in the area.
Something is wrong. Why would we have dropping sales tax revenue when we have more people? Could it be because the EC and other entertainment venues are sucking the extra cash out of the pockets of our visitors and residents.
The extra cash we spent used to go into our stores and restaurants creating a “multiplier effect” through the community and state. When our locals spend money at the EC, almost all the money leaves the community, never to be seen again. A zero or negative multiplier effect develops from this spending.
Many people in town are worried about the outflow of money from the community. We need to look at the policies of this town and how do we grow a solid financial plan for the future. Our current path is unsustainable.
Is your data adjusted for inflation?
Also, as I understand it, sales tax revenue is not dropping as Bruce stated. It is growing at a smaller rate than it was last year – at least according to the City’s “rolling 12 month average” or whatever they call it.
You are right, a smaller rate and the justification to stick it to the FOP.
Funny how everything is going great financially in our city when we want play things like a pool, but when it’s time to pay our public employees we are concerned about tax revenue.
The rate is falling and In several sectors of the economy, the actual dollars are collapsing. Say it however you wish, it is not rosy
Basically, population and debt both increased about one third. Understandable but there’s some funny accounting going on. What’s not included is payment for the aquatics center, 12th Street bridge, and Admin Building the mayor will force without a public vote. I suspect actual debt is more like 500 million (half a billion). We’ve got 19 months to go with ‘Credit Card Huether’. By then we’re looking at more like 600 million. Some believe Huether was good for Sioux Falls. Maybe, but we can’t afford him. What I resent most is new debt is extravagance and not infrastructure.
What’s curious is interest on the debt is 30 million and there’s no accounting for bond payments. Another irregularity is the city is cosigner for 100 million that could instantly become more debt.
The city bank is First Premier. Former mayor’s used 4 or 5 banks so there would be no monopoly and trade infraction (federal intervention). Citizens would be fine with debt but they should be paid dividends and recognized as voting share holders of First Premier. It’s a sound investment when there’s one locked in very large client who pays highest interest. Better than a pharmaceutical corporation who’s raised prices 25 times in 4 years while production cost became half price (Epipen).
City reporting is creative accounting and more city attorney double talk. Time for state audit and federal investigation?
Amen! Time for some city audits done by state recommended firms from outside the city, not just internal city audits!!!
Time to examine and address the outrageous spending in the parks department and the $22M fund in the water department as well as all the extreme salaries of MMM’s department heads.
A little bit about our local police department. They have a ever increasing dangerous job. With each passing day more and more guns are sold. There is nearly one gun for every man, woman, and child in this country. In SF that means nearly 175,000 guns are within a six mile radius of the police department. It has been a weekly event now to read of gun related crimes in SF.
Meth arrests have tripled in SD just since 2011. Funding for drug prevention programs like Prairie View Prevention Services have been cut by the city. Cost? $103,000. Gone. Not enough money in the piggy bank. A 3% a year raise for two years for SF police officers? Settle for 1.5% a year for two years or take your skills elsewhere? There are 220 police officers in SF. Starting salary? $49,000 a year. Sergeants make 80k. I would guess median salary for 220 officers at 70k give or take a little. Thats 15.4 million a year. The city and FOP are a percent and a half apart per year. .015 of 15.4 mil is $231,000 a year for two years. $462,000 apart. A lot of money I guess when your piggy bank is not so heavy. BUT, it was just a year ago that piggy bank was raided for $500,000 to give to the huether match pointe indoor tennis courts??? What a bizzaro world we live in.
Thanks for the data Warren. The Argus and radio/TV should report this or like this. They’re to lazy and take the city side because politicians will not spend ad dollars if there’s derogatory comment. I catch KDLT news most evenings. Otherwise, local channels live in somewhere called Keloland that’s paid for with Ag and car commercials.
Police deserve at least 6%. Most of the force are credible professionals. There are a few bad apples that could be terminated were there a formal citizen complaint process and Internal Affairs that’s more than just the name on the door. I wish they lived in the city. They’d add to the voting block that condemns ridiculous spending.