The SD Tax Code needs drastic changes

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I’m starting to come to the realization that the state GOP and governor are not willing to get rid of Video Lottery or retail taxes anytime soon. But I do think we can keep those two funding sources and restructure our tax code while being fair to all South Dakotans. That is the shit sandwhich the (rich) Republicans in our state continue to eat. That retail taxes are fair. Really? Then why do we pay a higher percentage on bread and milk then we do on recreational vehicles? How is that fair?

What would I do if I had a magic wand?

– Eliminate retail taxes on food and utilities. Raise taxes by .5% on non-essential items.

This would be basic and only include food you prepare and utilities that are essential like natural gas, electricity and water. I would not include clothing. I think of clothing as a luxury. But the only way this would be fair is if the 4.5% state tax would be across the board – ON EVERYTHING! The argument (rich) Republicans use for the retail tax is that rich people buy more stuff, okay, then you should pay the same percentage as the rest of us do. Whether it is a $5 pair of flip-flops or a $70,000 Benz SUV, you pay 4.5%.

– The state take a 75% cut of Video Lottery instead of 50%

This only makes sense. Think about it. Video Lottery is mandated by law, by our state, why shouldn’t we be taking a bigger cut? We have control of it (you and me). We own Video Lottery as citizens, not the casino owners. I think it is a sham that Casino owners take just as much as the state. $111,000 million dollars split between 20 people last year. Stupid. The people of this state need to stand up and say, “Hey, we put the money in those machines as entertainment, most of it needs to come back to us, and BTW, it needs to be used on education as promised.”

What if the casino owners protested? Who cares – they’ll find some other sham to take advantage of, but most of them will stick around, they are still making money hand over fist.

– Apply the state 4.5% retail tax to advertising.

That’s right, the dirty little secret your state doesn’t want you to know. While we find it appropriate to tax you on food and heat, we just can’t get ourselves to tax Ben’s Bargain Barn for placing an ad in your local newspaper. This is also a big sham. Start taxing advertising. NOW!

– Eliminate all FTE contracts.

This was one of Marion Rounds inventions to scratch the backs of his campaign contributors. State services have not gotten better. Why? Because their is no accountability by contractors. Hire state employees instead. Not only would it save the state millions, it would offer accountability.

– Raise Vehicle Registration fees by 50%

Everytime I hear Pierre cry we don’t have money for roads, I just shake my head. Raise fees on the same thingies that use our roads; vehicles. Duh!

Though this may not be the perfect list, it beats the Hell out of our current setup that punishes the lower to middle income people, while sheltering the rich and connected.

Let’s start taxing people fairly in SD.

Sioux Falls Poverty

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At the City Informational meeting yesterday, a school district representative gave an informative presentation about impoverished kids in our community. I’ll warn you, the numbers are shocking and should be a wakeup call about taxes on food and utilities.

CLICK ON THE DECEMBER 15 INFORMATIONAL MEETING AND FAST FORWARD TO 27 MIN. IT LASTS TO ABOUT 55 MIN.

I really think this report should have been put out before the retail tax increase vote. While our city continues to blow money on historical windows and $750,000 pedestrian suspension bridges we have people in our community that can’t afford to buy food for their kids – food that is taxed so we can buy these WANTS.

The presenter even said one of the main reasons Dr. Homan doesn’t like to close schools on cold days is because school is the only place some of these kids get a warm breakfast. Pretty sad.

Greg Jamison even had the nerve to ask, “Thank you for the presentation, but what are we supposed to do with this information.”

Really Greg? You have to ask?

You should work on making cuts to our bloated CIP budget so we can reduce taxes for working families. That’s a start.

City’s voodoo math

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Okay, so we raise taxes to build new roads on the outskirts of town that only benefit new development, then borrow against bonds to maintain infrastructure and then cross our fingers and hope the feds pay us back, without interest.

The city can prepay the U.S. government’s remaining share of the cost at $24.7 million and Congress will reimburse it.

Um, wouldn’t you wait until the check cleared the bank before we started these projects? I’m beginning to think that Eugene ‘Montgomery Burns’ Rowenhorst and Mayor Minions are trying to shove as many projects through as possible before they jump ship and leave an empty galley to the next administration.

Bonding is like a long-term mortgage, Beninga said. The CIP, which comes from the second-penny sales tax, typically is a one-time-only expense with no interest cost to the project. With a bond, interest would be added to the bridge project’s cost.

“We have lots of other issues that we’re going to have to address in the future, and I would prefer that we keep our bonding indebtedness as low as possible,” he said.

Munson doesn’t care, he’s done in 16 months.

There should be laws against this recklessness.

Tax Happy!

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What a perfect time to raise taxes, while the economy is in the toilet. That’s our city government, always thinking (about their campaign contributors that is).

KELO-TV does a story;

Eight South Dakota communities will implement new municipal taxes or increase taxes on January 1.

And Sioux Falls is increasing its current 1.92 percent local sales tax to 2 percent.

I would like to thank anyone who signed the petition to lower the sales tax in 2010 to 1.90 this past weekend.

Council refuses to give up on the Event Center pipe dream

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from the Argus Leader;

Councilor questions push for tax-hike legislation

 

One of the Sioux Falls City Council’s legislative priorities for 2009 raised a flag for one councilor Monday night.

Councilor Kermit Staggers questioned why the council was supporting legislation that allows cities to enact a local option tax to raise money for a specific purpose.

Staggers said he would oppose the resolution because it’s not wise for the council to advocate such a tax in a difficult economy and isn’t a good message to residents.

Council Chairman Bob Litz said the city has an expected level of service to meet regardless of the economy.

“This doesn’t mean we are going to enact a tax tomorrow. It just gives the city the freedom to do so when it decides,” Litz said.

Other priorities are ensuring adequate transportation funding, enacting a statewide ban on smoking, developing standards to provide equal 911 service to all and encouraging cooperative efforts to improve 911 services and efficiency.

The measure passed 6-1, with Councilor Kenny Anderson Jr. absent.

Trust me, if the state gives sioux Falls the right to raise taxes to build an event center (that’s what this is about) They would do it the next day.

I also like this line;

the city has an expected level of service to meet regardless of the economy

Bologna. This is another scare tactic by Bob ‘Spread Fear’ Litz. An Events Center has nothing to do with servicing the citizens of this community. Want to service us? Trim our trees, stop pushing snow in the end of our driveways, build a homeless shelter, fix our streets, etc, etc.

Bob, you must really think we are dumb.