Upon catching wind of another “tax revolt” being planned, in conjunction with the Harford County Council meeting in Bel Air Tuesday night, the County Executive’s office launched a counter-offensive this week – ordering pro-budget paraphernalia to be printed and recruiting members of the Harford County Sheriff’s Office to fill the council chambers with support for the budget.
The TEA (Taxed Enough Already) Party on Tuesday is being arranged by the same group who organized the effort in Havre de Grace last month. With tax day now in the books, the group is focusing on another little-understood and often incorrectly-attributed tax increase – the constant yield tax rate.
According to the Maryland Department of Assessments and Taxation:
The Constant Yield concept is that, as assessments rise, the tax rate should drop to the point that the revenue derived from the property tax stays at a constant level from one year to the next, thus assuring a “constant yield” from this tax source. The Constant Yield Tax Rate is simply a property tax rate that, when applied to new assessments, will result in the taxing authority receiving the same revenue in the coming taxable year that was produced in the prior taxable year.
This stirs up the debate whether maintaining the constant yield rate can be considered a tax increase. Undoubtedly, the TEA Party group will accuse County Executive David Craig of raising taxes if he does not reduce Harford’s constant yield rate.
Here is the initial email that set the county executive’s office into motion:
Hello Tea Partiers!
The TEA Party is alive and well in Harford County, MD.!
On Tuesday, May 19, 2009, at the County Council office parking lot, at the corner of Rt.22 and Bond Street, in Bel Air, MD, the concerned tax payers of Harford County will let their voices be heard.
The rally will run from 5:30pm-7:00pm and will address citizen concerns about our high Property Taxes and the impact on our lives. We will have guest speakers, music and an open microphone for public comments. The rally’s focus is property taxes in Harford County. The budget being proposed by the County Executive includes increased government revenue when everyone else is tightening their belts. This means you pay higher taxes, while nobody in the County Government has lost their job.
Please visit the Harford Property Tax Revolt Website at www.HarfordPropertyTaxRevolt.com. While there, you are encouraged you make a comment to the Council and Executive via the form. If there are any questions, feel free to email or call at 410-272-0550.
Following the rally, citizens are encouraged to attend the Council meeting and speak to the County officials directly.
If you cannot attend, write or call the Council members and voice your concerns. They work for you! Be the boss! Take A Stand!
Taxed Enough Already,
Pat McGrady
www.HarfordPropertyTaxRevolt.com
The county executive’s office is worried enough that it apparently has printed up “Support the Budget” buttons and will be trying to fill the council chambers with supporters to drown out the nay-sayers.
Who will those supporters be?
It looks like none other than the Harford County Sheriff’s Office.
Warned of “a fringe group of citizens that are planning to protest” and pressure the county council to cut the budget by $26 million – which may impact funding for local law enforcement – members of the Sheriff’s Office have been asked to attend the council meeting and show support en masse for the budget.
Harford County Sheriff Jesse Bane has apparently even given permission for sworn members to wear their uniforms as long as they are off duty.
So is the contstant yield tax rate really a tax increase?
Should the county executive’s office really be this worried about protestors?
Who are the musical guests performing during the “revolt?”
All,
I am going out on a limb posting on a BLOG, however, I feel compelled to directly answer any accusation that would paint the County Executive or the administration as being “worried”.
I will stress that the County Executive’s office is not “worried” about this issue. What the administration is hoping to do is to make sure people understand what is exactly at stake when they call for certain CUTS in taxes.
Unlike the Federal Government focused protests that we saw in April, this planned protest is much different. The government in play here is LOCAL government, the type of government that provides the most direct and tangible of all public services to the people. This is our Police, Fire and ambulance service, our Libraries, our Parks and Recreation programs, Trails, Parks, Schools, Teachers, Trash Disposal (Landfill & Incinerator), water and waste water treatment, Snow Plowing etc… These services are used every day by many Harford Countians. Local Government services are very different than that of the state or federal government.
Unlike the Federal Government, this administration has taken drastic steps to reduce Harford County’s FY10 budget by $75 million dollars.
The road to get to a real $75 million reduction was not an easy one. County Employees have shouldered part of this burden. First, their contribution to their health care has been increased. Their retirement benefits altered to require more years of service. Like many other Harford Countians, they are not receiving any pay increases, and at the same time they are facing a five day furlough (one week’s loss in pay). They are not immune, and are like others, feeling the effects of this economy.
In addition, the County Executive cut all donations to cultural programs that have typically relied on county support. These donations in the past have allowed Harford County school children to enjoy free access for school field trips. Baltimore Zoo, BSO, Science Center, and the Baltimore Museum of Arts just to name a few. There is no training money for employees, severely reduced travel, and countywide reduction in take home cars. An expense committee was put in place to oversee every major expenditure, and a hiring freeze has been in effect. These are just a few of the many actions that have been taken to reduce the budget.
Unlike the federal government which I believe was the main focus of the TEA parties shown across the country in April, this LOCAL government has overseen a systematic process to reduce expenditures, limit county liabilities and at the same time preserve a level of financial stability so that our bond rating is not adversely affected. For those not familiar with the importance of a local government’s bond rating, it directly affects the county’s cost of borrowing money needed to do the major infrastructure improvements such as schools, roads, expanded water treatment plant, waste to energy facility that will preserve the life of our nearing capacity land fill. While some on this BLOG could debate the merits of such projects, that I believe, should be another discussion entirely.
All of these budget reductions have been done to spite the additional $14 million dollars of additional costs that the state has pushed down to the county for this year. Next year, it is highly anticipated that even more costs, such as teacher’s pensions will be shifted to the counties.
It is also important to note that this administration, and the County Council have taken numerous actions over the last several years to reduce property tax burdens on citizens by expanding the county’s homestead tax credit program, and by reducing the property tax cap by 1%. To say that the county has not cut taxes or sought to reduce tax burdens on some of our most vulnerable citizens would be disingenuous.
Should the county look to cut taxes? Well, herein lies the debate.
The reported effort of the County Executive’s office to address this important issue, is to show the tangible services LOCAL government provides to its citizens. It is important to make sure that all citizens and the folks who are caught up in this TEA movement fully understand what is at stake. There is no doubt in my mind that further reductions that would be required should we adopt constant yield, or cut taxes will certainly translate into further cuts in REAL services that are provided to, enjoyed, and needed by many Harford County Citizens.
There is no panic, there is no “counter offensive”. It is simply important to tell the story of what has been done by this Executive to cut government, and what any further reduction in services would mean to all citizens should an action be taken to reduce taxes at this time. This is the picture the Administration is attempting to project.
I invite all to visit the County Executive’s BLOG at http://www.harfordcountymd.gov to post comments, and ask questions directly to the County Executive about this and any other important issue.
Aaron – Is this the same county executive that decided he needed to create a Chief of Staff’s office which includes you, and support staff that costs something like $650,000 a year. Is this the same county executive that hired Scott Gibson at a $100,000+ a year salary when he was making $19,000 a year beforehand? Is this the same county executive that has hired numerous staffers from the Ehrlich Administration whose only experience seems to be engaging in political campaigns?
Please do not insult our intelligence by making the argument that the county executive has submitted a barebones budget and that any cut in that budget will mean cuts to “REAL” services like police and rescue. Instead, let’s look at the campaign organization that David Craig has set up in county government, paid for by us citizens with our hard-earned taxes.
It is clear that the County Council does not have the experience, political will, stamina, or brainpower to effectively challenge the county executive’s budget. Instead, it is up to citizens to stand up and take back our government from those who spend our money for their own self-interest.
I feel sorry for the people who buy into this whole “TEA Party” thing. Well, they say ignorance is bliss. I’d like to see them attempt to balance these budgets. If you take their ideas to their ridiculous end then we would cut taxes until nobody paid any. Then these same people would be screaming about the teachers pay, pay for police officers, the problems in public school, the problems with the roads, the list goes on. Oh wait, that was the article from last week.
You can’t have it both ways. Harford County is a lovely place to live- if you have never lived anywhere else you have no idea just how good you have it here. So either pay your taxes and enjoy the benefits from them, or just move. It’s like I tell my kids, I don’t care what you do- just quit whinning.
I’d like to make a few observations:
– Scott Gibson at $100k + has done more to streamline and professionalize the HR function of county government in 3 years, than an overpaid army of staffers has ever done for HCPS (not to mention a $210k superintendent). He excels in his field already at this young age, and has been a tremendous investment. Mr. Craig should be commended for hiring him based on his intelligence and management skills. That is what we need to do more of in government, and in agencies such as our school administration.
– A Chief of Staff office and function is critical to the efficient functioning of any business or an administration as large as the county government. The pricetag that Henry rails about is extremely low. We are in the 21st century people. Harford County is no longer small and homogenous . The current administration has done an excellent job in meeting the huge challenges of growth and complexity that it has faced. Again, compared to the bloated infrastructure and multi-layered unnecessary staff of HCPS, the county government is a well-oiled, lean, streamlined machine.
-Please do not minimize what, we all know, is a herculean task: that of cutting any government budget ever (even during tough times).
Henry: I’m concerned that your comments may either be politically motivated or that they stem from a mindset and expectations that are no longer realistic based on our County’s greatly expanded size and complexity. Could that be the case?
Weighing In,
Why must it be herculean to cut a government budget? Why can’t government ever stop taxing and spending?
Nobody thinks that Harford County is as rural and small as it once was. However, it is my opinion that growth does not come from higher taxes and redistribution, but private investment.
This same private investment is crowded out by government spending. Why must the County invest in “cultural” programs? Why is there a cultural board? This is an area that would be better suited for private investment.
And “just move already,” that kind of banter doesn’t solve anything. Perhaps the Tea Party folks realize that Harford County is a great place to live and doesn’t want to see irresponsible government damage that.
In my eyes, the problem is that the current Council and Executive are afraid of not being re-elected so they don’t make the tough cuts that need to be made. I’m not trivializing the difficulty of telling the Teacher’s Union that they need to stop getting raises. I just think that officials need to do what is right, not what is popular.
I was quite serious when I said if you haven’t lived anywhere else you have no idea how good you have it here. I have been in Harford County for five years. I love it here and never want to leave. But I have lived all over this great country and have spent significant time in other countries.
Most people I have had the pleasure of meeting here have lived in Harford County their entire lives- rarely to have ventured out. I think it is great that they were so lucky to have been born here, but a vacuum is a vacuum no matter how lovely.
Patrick,
Excellent points and I completely agree with you on the necessity for as limited government as possible. What we are seeing at the national level right now (and what it will do to free enterprise, the accountability of the marketplace, and our liberty) is downright terrifying.
My point in my post above is that the county government needs to be managed. And we shouldn’t confuse expenditures that are necessary to do so intelligently, with bloating.
Thanks.
Weighing in,
I concur. Of course there are costs associated with Government. That is to be expected. I don’t know much about Mr. Gibson, so I cannot comment to that. I think you should join us on Tuesday night at the Tax protest and see the problems that exist.
There are elderly folks that have lived in Harford County their whole lives, that can’t afford to pay the taxes. This is because while assessments are increased ~9% per year, their fixed incomes increase at inflation of ~3%. This is socially irresponsible of the county.
It could be argued that if they can’t afford it, they can leave, but that is not an acceptable solution to me.
We of the Tea Party (haha) are not opposed to taxes, just too many taxes. I feel that most people feel this way, and I think they don’t voice it as well as they could.
Thanks for the kind words, by the way. It’s refreshing in an internet full of trolls.
I hope that the report of Harford County Deputy Sheriffs attending the County Council meeting in uniform is an unfounded rumor. Participation in such a manner was and still is used by totalitarian governments around the world to intimidate citizens and stifle free speech. If any resident of Harford County, be he or she a County employee or not, chooses to respectfully exercise their First Amendment right to Free Speech at the County Council meeting, they should have to opportunity to do so without fear of recrimination.
The suggestion that somehow County Executive Craig reduced the budget and saved 75 million dollars deserves some scrutiny. Savings implies that somehow that money available was not spent. It may be closer to reality to state that if the money were available the budget would have been much larger. The lack of 75 million dollars caused the budget reduction, there were no savings.
Suggestions that real services will be reduced if Property Taxes are cut or the Constant Yield Rate adopted deserve scrutiny as well. The County Executive could well decide to cut projects in the Capital budget, not in the Operating budget. Selective and well thought out cuts in either might not affect services at all and could even be beneficial in the long run.
The financial circumstanes, and resultant train wreck, for the 2010 budget were established in the 2009 budget, and will only get worse if the proposed budget is enacted. The pay increase for County employees in 2009, which may well have been deserved, resulted in higher operating costs in the 2010 budget. In order to balance the budget, County Executive Craig required a 5 day furlough for certain County employees. Additionally, the 2010 Capital budget has a significant number of expensive multiyear projects that each last at least two years. It is unreasonable to believe that available revenues in 2011 will be thigher than those in 2010. The combination of higher operating costs, multiyear contracts and reduced revenues will leave County Executive Craig with a choice of greater reductions in operating costs or capital project contract terminationin 2011 and beyond. Greater reductions in operating costs will result in longer furloughs or ending the employement of some Harford County employees. Terminating multiyear contracts, prior to completion, without cause, will lead to penalties, which would also affect the operating budget resulting in furloughs or layoffs.
A reasonable person constructing a budget does so with known revenues. If windfalls occur and revenues increase they can either be saved or spent. The increase in revenue resulting from higher Property Assessments and the 9 percent tax cap in Harford County are the windfall that County Executive Craig has elected to spend, and by so doing raised real property taxes by 9 percent and more for commercial properties. County Executive Craig could have shosen to return the windfall to property owners by lowering their taxes. In hard economic times it would be wiser to reduce spending save windfalls. If there are not real savings this year, the financial future of Harford County will be much worse in following years. The first indication of this prediction is the 5 day furlough for selected County employees
thank you’ Patrick. I suspect your too young to remember the Slogan. Hell No we won’t Go. it had nothing to do with tax’s etc. But I agree as a senior born & raised in harford county.
We should not be forced to leave for greener pastures. because of tax increases etc. Hell no I won’t Go!
Gary Owen & Semper – Fi
It seems as though everyone here agrees that the HCPS budget is bloated. Who’s responsibility is it to: (1) reduce the amount of money budgeted for the school system; and (2) require the school system to operate more efficiently? I thought that the county executive proposed the budget for the schools and the Board of Education was responsible to make sure that the HCPS is operating efficiently. If this is the case, certainly County Executive Craig and School Board President Hess must be held accountable to the people for the excess spending that is hurting our taxpayers.
Jerry, I partially agree with you.
Actually, the entire present and recent School Board (not just the guy who’s been president for 4 months) and the School Administration should be held accountable. But there’s the rub: this appointed school board is accountable to no one, and the school administration that is being overseen by this appointed school board, is not at all being held accountable by the board.
Not good.
An orchestrated move to have Harford County Sheriff’s deputies attend in uniform is unfortunate, disturbing and disgusting. As someone who has supported the County Executive in the past, I am afraid that we are seeing a new and troubling side of him and his cohorts, and activities like this will definitely color my view of the Harford County Sheriff’s Office (and not for the better).
Phil: I hear what you’re saying. But let’s not throw Mr. Bane or Mr. Craig under the bus until we have thier side of the story. Don’t you agree?
Only if their side of the story is that this is untrue and has never been considered. Intimidation through the use of uniformed “sworn protectors” would be completely unacceptable. I hope this is simply an unsubstantiated rumor (and I don’t mean a case of “Abort the mission! They’re on to us!”)
To Just Move Already & similar thinkers;
Don’t lump all Tea Party Participants into such a narrow group. I have many friends and acquaintances that support tax reform. They have lived in Harford County much longer than you – some their entire lives. We have incomes all over the spectrum. Between Federal & State Taxes some pay 45 cents for $1 earned and that is before considering the many built in taxes associated with ultilites, food, fuel, entertainment, etc… My property taxes have increased from $1,700 to over $3,500 in ten years – annual increase of approx 7.55%!. My friends, acquaintances, and I have no problem paying taxes. However – enough is enough. There is no accountability for resources on the Public side of the ledger. If a Company is going through hard times – it needs to adjust its budget accordingly. If a family is going through hard times – it needs to adjust its budget accordingly. A Private Company will FAIL if it doesn’t adjust its costs to reflect its revenues. Just pick up a Wall Street Journal to see what is happening around you.
Federal, state, and local governments are NOT held to the same fiscal standards as the rest of us. More and more these organizations are unionizing and demading more more more when there is no more to give. Liberal State governments like California and New York are in real trouble because they offered more than they could afford. They have some of the highest tax rates in the nation and yet they face the biggest budget deficits for years to come. THEY SIMPLY PROVIDED MORE THEY COULD AFFORD. Of course, they will raise income taxes even higher and will eventually force taxpayers out of their states. In the end the federal government (i.e. us) will need to bail them out.
Taxpayers have simply had it. It used to be a trade-off – you made less for taking a government job but had job security, solid benefits, and generally less job pressure. It has changed now – the average pay for a federal worker exceeds $75,000 annually, they have unbelievable leave benefits, and its virtually impossible to fire them for POOR performance (its easier to reassign them as deadwood).
The same trends have occurred in State and local governments. In fact I saw a recent survey that suggested that government workers are generally paid more than private sector employees for the same job.
We, the Tax Payers, that understand fiscal discipline and responsibility, simply want our Political Leaders to apply the same standards that the rest of us live under. State and Local Governments should have caps built into overall budget increases that mirror something similar to the general inflation rate. There is no reason that Governement should continually grow at such high rates.
I appreciate the Education, Security, and Other Services that our governemt provides. However, I simply believe that we the Tax Payers have already provided enough resources. If our leaders can’t provide it with what we’ve given them than so be it – we’ll do without and eventually elect someone who can.
There is just something wrong in this Country when in such an economic crisis the only sector increasing employment and wages is the GOVERNMENT SECTOR.
Craig, Sheriff Bane, and the rest of local Goverment needs to work with less.
Why haven’t Craig and Bane come forward with any cost cutting ideas in much the same way as business that have had to reduce shifts, layoff workers, freeze pay, reduce benefits, etc… or families that have downsized, cancelled vacations, and so on.
I’ve dropped in the Sheriff’s Department Job Requirements, Salary & Benefits. It addition – you can look up the Harford County Budget on-line to see additional facts – the salaries below are from the 09 enacted budget. THe BIG benefit that people miss with law enforcement are the retirement benefits – where else can you retire after 25 years on the job and start collecting a 50% pension RIGHT AWAY. Oh by the way – go get another job and start accruing another pension benefit with a different law enforcement agency.
What could all of those supervisors be working on?
2009 Enacted Salaries
Budget Average
Sheriff 1 105,123 105,123
Chief 1 129,294 129,294
Major 3 346,469 115,490
Captain 9 925,817 102,869
Lieutenant 14 1,241,501 88,679
Sergeant 27 2,212,197 81,933
Corporal 31 2,321,210 74,878
Deputy 166 10,157,073 61,187
Deputy 37 1,853,760 50,102
Major 1 103,649 103,649
Captain 2 182,875 91,438
Lieutenant 8 621,810 77,726
Sergeant 12 802,865 66,905
Corporal 14 823,711 58,837
Officer 68 3,562,475 52,389
Officer 23 989,550 43,024
417 26,379,379
Average 63,260
21 years of age (18 years of age for Corrections)
High school diploma or GED
Must be a U.S. Citizen
Possess a valid driver’s license with no more than 3 points
No convictions/PBJs for DWI/DUI within the past 7 years
No criminal convictions on record
Any Probation Before Judgment on a criminal record must be expunged prior to hire date
Recruits
Law Enforcement Corrections
Recruit $42,973 $39,166
6 Months $43,618 $39,770
1 Year $45,365 $40,206
2 Years $48,651 $42,910
Laterals
Years of Experience Law Enforcement Corrections
2-3 Years $45,365 $40,206
4-6 Years $49,546 $43,950
7-9 Years $54,163 $48,006
10+ Years $57,429 $50,918
Shift Differentials
5% for 4-12 Shift
7% for 12-8 Shift
7% for Investigative Services Bureau
Permanent Shift Assignments
4 Days on/2 Days Off
8.5 hour shifts
Health Insurance/Dental Insurance/Vision Insurance/Life Insurance/Disability Insurance
Flex Spending Accounts
Deferred Compensation
Retirement
Law Enforcement – LEOPS
4% contribution from employee
25 years of service – 50%
Corrections – HCSO Pension Plan
7% contribution from employee
25 years of service – 50%
Uniform Allowance
Take Home Car Program for Law Enforcement
Leave Accruals
Annual Leave (8 hours a month)
Sick Leave (10 hours a month)
Personal Days (8 days per year)
Paid Holidays
10 Observed Days Per Year
Funeral Leave
3 Days + 1 Day For Extended Travel
Military Leave
my problem with this thing is the sheriff has ok’d deputies to attend the meeting in uniform to support the budget, and that the county has asked them to attend. no matter what that is not right.
I love how the Craig’s folks say that having County Government only take in as much money as they took last year as being a “Tax Cut”. To me, if County Government takes more from each of us, that’s a tax increase, if County Government takes the same, that’s a neutral, and if they take in less that’s a tax cut. If the County goes with the constant yield rate, it is not a tax cut because we are paying the exact samethis year as we paid last year. But our elected officials don’t want to cut too deep, or else we might find out about their all expenses paid vacation to Ocean City every year as part of MACO. When Harford County stops paying for trips for the elected officials, then I might have a bit of sympathy.
Why is it not Ok for the deputies to come in uniform to show a unified stance, but Ok for the TEA party to come with there signs etc. Does the fact that they are police mean that they forfit there rights?
You can’t have it both ways. Harford County is a lovely place to live- if you have never lived anywhere else you have no idea just how good you have it here. So either pay your taxes and enjoy the benefits from them, or just move. It’s like I tell my kids, I don’t care what you do- just quit whinning.
Who are you to tell people to move if they want to exercise their constitutional rights? If you like paying taxes so much pay more, but don’t tell me to move if I think I am paying too much. Harford County has not made any tough cuts at all but I have had to cut my budget. You clowns moved here and built McMansions that caused everybody else’s taxes to go up. You should be paying more taxes to pay for the services that you are accustomed to.
Why is it not Ok for the deputies to come in uniform to show a unified stance, but Ok for the TEA party to come with there signs etc. Does the fact that they are police mean that they forfit there rights?
Yes they do, should I wear a military uniform? carry all the signs you want but don’t do it in uniform. Are you allowed to smoke in uniform? what about your rights there? The problem is this sends a bad message to the tax payers. Don’t question my budget or my police will get you. I have allways liked Sheriff Bane, but if he signs off on this we will replace him with Craig the next election.
The Taxed Enough Already rally that is scheduled for Tues. 5/19/09, 5:30-7:pm, county council parking lot, is open to all of Harford County residents. The DJDave, from Pro Productions and Maynard Edwards, from 105.7as emcee, local business owners, workers, citizens and guests will have time to address the crowd about the budget. The budget does effect each one of us. It is TIME TO TAKE A STAND!
The budget that Mr. Tomarchio addresses and its functions need to be addressed.
I am not an expert, but I do know that the county is overextending its resources. The fire depts.& the ambulances are volunteer.
The field trips that students take are paid for by the students, usually by fund raisers.
The libraries are open 7 days a week, but do they need to be? Many churches and senior centers among other areas, boys and girls clubs, scouts, et al all have resources available to the public, too.
The parks and rec sports cost players, the fees are paid by the parents or participants, the arts that Mr. Tomarchio speaks of all are self sustaining by fees charged to patrons.
The trash collection is paid for by the users, the landfill charges fees, the costs of evictions/rent court, collections, permits, are all individually paid for by the users.
The parking fees, the user fees on water and sewer users, the number of landscapers that tend the parks, and offices of the county, if the county had to purchase the buttons for folks to “support the budget” can we question the discretionary spending?
Why is it that the BOE does not have to have a detail budget, ie line item? I am an American, I believe in God, I believe in the values and truths that our great nation was built on and I encourage all to attend and voice their opinions. You cannot complain if you do not take part in your government. God bless you.
Pat, the BOE does produce a line item budget. It should be available upon request from HCPS, although the last time I asked, a public copy was not available for FY10. But the line item budget proposal is naturally provided to Harford County Government.
At one time, the BOE had a Citizens’ Budget Advisory Committee that reviewed every line item in the operating budget and made recommendations. (I know because I co-chaired the committee). As a group, I thought we came up with some good ideas, some of which were adopted by the board. Unfortunately, the BOE disbanded the committee several years ago.
What you may have seen was the BOE budget in broad categories (i.e. Education Services, Operations & Maintenance, Executive Administration) rather than line-item form. The county council is only authorized to approve the categorical totals, they do not approve the line items. The BOE sets the line item amounts within the categories and can make changes at any time without council approval, as long as the total remains the same for the category.
The capital budget is a different story. That budget is categorized by project and once it’s approved, the BOE cannot shift funds from one project to another (let’s say for example from Red Pump Elementary School to Campus Hills) without approval from the county council.
Another point is the Council is OBLIGATED BY LAW to give the same amount or more each year at a per pupil rate to the capital budget. When the Exec asked for the 5% trim and the BOE complied they did not have to. It is called Maintenence of Effort. Charles County and St. Mary’s both asked for exemptions from this from the state citing economic problems and it was denied!
Maintenance of Effort in education relates to the operating, not the capital budget. It is based on student enrollment, so declining enrollment for HCPS resulted in a Maintenance of Effort requirement of zero in FY09. However, the BOE received an operating increase from Harford County of $11.3 million in FY09, and later gave back approx. $4 million (or about 2% of the total operating funding provided by the county) at the County Executive’s request. That amount is restored in the proposed FY10 budget. Maintenance of Effort is zero in FY10, again due to declining enrollment.
But the BOE is going to face cuts in state funding this year. So even though local funding is flat, overall funding will likely be down. I don’t know if the exact figures from the state have been determined yet.
Yes CIndy your right was watching Survivor and got my terms mixed up. I do not think the State formula (or local for that matter) is locked until October of that school year as that is the enrollment figure they use for staffing we do not see this regularly since we do not even approach the tacher student ratio limit of teachers we are allowed to have.
Cindy, Pat et al –
I think this is a very healthy debate that we should have been having years ago. I believe it is part of CE Craig’s job to defend his budget and explain to the average taxpayer what goes into his budget.
However, I am upset that taxes are going up when my home’s value went down. Something needs to give, and if this party is the way we can finally get attention from the politicians, so be it. If this is the beginning of a discussion on property tax, or tax reform in general, I’m all for it.
Although many of the proponents point out we have a higher property tax in this county our piggyback tax is lower.
The FY10 budget is an actual dollar decrease from FY09. That is undoubtedly a good thing for the county and a sign of good fiscal management. We would all like to see the number to go down, and hopefully this will be the start of a trend of lowered budgets.
We certainly need it, as the state will be passing on more responsibilities to the counties. The same state that had to call a special session to raise taxes in the biggest increase in our history still can’t balance things, and is predicting shortfalls and is passing the buck on real government to the county. The state is showing real problems–and we haven’t even mentioned that the state gets bailed out by the federal government every year to the tune of half the state budget!
If the FY10 budget is smaller than FY09, and FY11 is smaller than FY10, we will have controlled decreases that can get our infrastructure caught up, build a rainy day fund, and permanent tax cuts. That has to be the goal of the administration, and I applaud the County Executive for lowering the budget.
The reason your property tax rate goes up when values go down is that the rate is capped. If your house value increases for 15 years (say, 1992 to 2007) to double in value ($100k now worth $200k) the rate can only increase by a set amount (9%) so that you don’t get hit with a vastly higher bill. The problem with this “revolutionary” and much-heralded approach when it was implemented is that when things go down (2008, 2009…) the tax rate still hasn’t caught up to the market rate. So your taxes go up, the market rate comes down, and they should meet in the middle.
The state (SDAT) is responsible for getting the rate right. Normally they try to come in 10% under what they actually think it is worth, but it just doesn’t always work out that way.
That is why LeRoy Whiteley has a cause with his effort to reform the whole process. The entire system needs an overhaul, because the current system is state wide and was tweaked in the middle of a major economic boom. We need a system that envisions good and bad economic times to protect citizens.
We need a law like Montgomery County just passed, requiring a supermajority of the council to increase property tax rates. That would really change the system on the County level.
Brian since when does the state get “bailed out by the federal govt.”?
Mr. Young, I appreciate your enthusiasm for the Harford County budget reductions, and hope that there will be additional efforts towards fiscal responsibility. It is important to note that in constructing his budget, to reduce it by $75 million dollars, County Executive Craig not only increased property taxes, but imposed a 5 day furlough on the same employees he gave pay raises to in 2009. I for one am glad that County Executive Craig was only able to reduce his budget by $75 million dollars. I don’t believe that I or the other the property owners in Harford County would have afforded the additional tax increases for more reductions. I cannot speak for the Harford County employees who will be furloughed, but I would guess that they would not have appreciated even longer furloughs to achieve further reductions, either.
As for a hope for reductions in the 2011 budget, they will undoubtedly be achieved with another property tax increase and furoughs or layoffs. The multiyear contracts initiated in 2010, for more infrastructure, increased operating costs and reduced revenues will require another tax increase and more furloughs and/or layoffs. The opportunity to achieve a reduced 2011 budget lies in the 2010 budget and should be pursued aggressively to avoid such occurrences.
The sad fact is we have a County Executive that has no experience in managing or preparing a significant budget – check out his bio. Mr Craig may be a nice guy but he unless starts demonstrating some fiscal responsibility – he’ll need to go.
Harford County deserves better….
Why are the Deputies authorized and what authority does the Sheriff have to authorize the Deputies to wear their uniforms off duty that are paid for with tax money to support something that is contrary to the interest of the tax payers?
Brian doesn’t understand that Montgomery County didn’t pass a law, the people passed an amendment to the County Charter. What we are seeing in Harford County is the same thing, where the people are rising up and saying enough is enough, but the County Executive and Sheriff are colluding to quash our rebellion at the roots.
Actually I think police buy the uniform at their own expense!
there should’nt be a problem’ with uniformed police officers at a tea party. it’s and organised rebellion. unless it turn’s in to a riot.
Cdev – look at number 16 above – they get a uniform allowance and they’ll be driving their take home cars wherever on our dime!
Does that allowance pay for all of their uniforms? Do they get more if they are ruined in the line of duty.
Question(36), I do understand how the law was put into effect. That would be a good focus in Harford, with real and lasting results.
Mr. Mallano(33) An actual dollar decrease in budgets is a rarity and is something to be applauded. You can rail against Craig, the budget, and taxes, but at least admit that that is a good thing. You can give credit where it is well deserved and still say it isn’t enough. That’ would be a sensible position I think most would agree with. I think the administration would agree that they haven’t put together the ideal budget, but we should recognize that it is a good one, far better than what the rest of Maryland is facing.
Cdev, I think that the bailouts started right around when Congress assumed all the state war debt from the Revolution.
If you look at the FY2008 Revenues, the state received $6,604,348,000 in federal funds. That’s 26.46% of the state revenue, which totaled $25 billion. http://www.msa.md.gov/msa/mdmanual/34bud/html/sumr2008.html
This means that the state raised about $19 billion in revenue by itself. We know they had a special session, which was supposed to raise about $1.4 billion (yes, they raised taxes in one year by about 1/16th of the previous 225 years), and that they are taking away $13,000,000 that was for the counties, raiding money pledged to counties, and passing the buck on state services (including teachers pensions and state prisoners that the county houses because the state doesn’t have enough prisons).
We also know that the tax increases aren’t yielding what was expected. We can expect the state to liberate about $20-22 billion from MD taxpayers all on it’s own (I expect the low end). Despite this, the FY2010 budget is over $31 billion.
If getting 25% and more of your budget every year isn’t a bailout, there is a problem. I mention all of this because I maintain that no action would benefit America more than phasing out federal contributions to state budgets. If legislatures want to spend money, they should have the taxes on their own conscience, and not their federal comrades.
More simply, I could reference the Obama “state stimulus” that some Republican governors rejected, but that O’Malley asked for more of. Go to http://www.statestat.maryland.gov/overview.asp# to see where Obama’s $3.9 billion in bailout money to O’Malley was spent.
Mr. Young,
Budget reductions born from a desire for fiscal responsibility are indeed applaudable. Budget reductions conceived out of necessity and previous recklesness are not. Harford Couonty Executive Craig’ s 2010 budget is a case of the latter. Simply put, he was forced to make reductions because he could not extract any more revenue from the residents of Harford County. All revenue sources have declined either from budgetary actions at the State level or the current economic circumstances, except those from property taxes.-
In order to fund his 2010 budget, County Executive Craig raised property taxes, to provide more revenue from this source than provided last year, spent balances from previous years, and furloughed selected County employees.
This situation was caused by recklessness of previous years and the economic situation. Clearly, County Executive Craig is not repsonsible for the current economic woeson, although by raising taxes he does contribute to it. His budget of 2009 is very much the principal factor which raised operating costs in the 2010 budget. His pay increase to County employees, which may well have been deserved, was truly reckless as it failed to recognize that the weak ecnomy would not provide sufficient revenue to pay employees and meet other budgetary objectives. The result is that in 2010 all Harford County property owners will be burdened with a property tax increase. Harford County employees will be doubly affected. Not only will their property taxes increase, they will also get a five day furlough. An unintended consequence of this is the added cost that business owners will charge their customers to pay their own property taxes, which worsens the economic situation for all Harford County residents.
This situation gets worse in 2011. Not only will operating costs increase, but the multi million, multi year contracts initiated in 2010 will be in their second year and will require funding. The State is expected to further reduce its contribution and pass back more operating costs to the County, and present revenue sources will remain constant or decline. Unlike the State whihc can reduce its contributions and pass back costs to the counties, Harford County’s only options will be to increase taxes, terminate contracts, or furlough and perhaps layoff employees. It is unliekly that County Executive Craig will increase taxes close to an election year, or terminate contracts without cause. The only recourse available will be furloughs and perhaps layoffs.
A prudent manager would seek to avoid such a looming budget dilema by truly reducing expenditures this year and next. A true leader would anticipate the future problems caused by the combination of all these factors, or at the very least recognized the obvious, and reduce expenditures to avoid even larger problems in the future. If County Executive will at least recognize the obvious, restructure his 2010 budget to reduce property taxes, give back the five day furlough on selected County employees, and reduce expenditures within these revenue constraints, to avoid futurre problems he will be applauded as a visionary with keen fiscal acumen, wisdom and insight. Failure to do so will condemn Harford County residents to increased taxes, increased costs, and furloughs and perhaps layoffs for County employees.
I look forward to meeting you at tonights TEA Party/rally and would enjoy hearing your thoughts if your decide to speak
Mr Mallamo,
Your thoughts in point 43 are well stated and I agree with many of them. I especially agree with your general point/s on Leadership. Our career politicians generally lack leadership qualities and integrity. Instead of taking positions that make sense – they too often take positions of less resistance in order to get reelected.
Just so you know where I’m coming from, I’m a registered republic but frankly consider myself an American first. I’m not sure what your background and life experiences are. My professional experience is business management with concentrations in budgeted, finance, and accounting.
Federal, state, and local governments are NOT held to the same fiscal standards as the rest of us. More and more these organizations are unionizing and demading more more more when there is no more to give. Liberal State governments like California and New York are in real trouble because they offered more than they could afford. They have some of the highest tax rates in the nation and yet they face the biggest budget deficits for years to come. THEY SIMPLY PROVIDED MORE THEY COULD AFFORD. Of course, they will raise income taxes even higher and will eventually force taxpayers out of their states. In the end the federal government (i.e. us) will need to bail them out.
It used to be a trade-off – you made less for taking a government job but had job security, solid benefits, and generally less job pressure. It has changed now – the average pay for a federal worker exceeds $75,000 annually, they have unbelievable leave benefits, and its virtually impossible to fire them for POOR performance (its easier to reassign them as deadwood).
The same trends have occurred in State and local governments. In fact I saw a recent survey that suggested that government workers are generally paid more than private sector employees for the same job.
The Harford County budget is simply fat. Mr Craig should be FIRED for the outrageous raises that he provided to staff in recent years. He may be nice guy but he is no leader and he has absolutely no REAL business experience. He definitely does not share conservative values.
He is in the same mold as JESSE BANE – go along with the POLICE UNION and GET ALONG.
Sir,
Thank you.
I hope that you will also let your County Councilman and the County Council President know what you think of County Executive Craig’s budget, its recklesness and the property tax burden it will impose on County residents.
At the same time let them know what you think of County Executive Craig’s proposal to significantly reduce the taxes on an out of state corporation seeking to do business in Harford County. I believe that every business in the County would like the deal he is extending to OPUS LLC. For more details, check the fine article written by MissThompson in the May 20 edition of the AEGIS, page A11. 36 cents per rentable square foot, adjusted to the Consumer Price Index every 5 years. Other property owners are aying $2.70, per $100 of assessed value, which is fixed by the County Charter at two and one half times Harford County’s real property tax rate of $1.08. On top of that the OPUS property taxes will only be adjusted every 5 years, while other commercial property is adjusted every 3 years. The very best part is the index used. This tax break uses the Consumer Price Index, while the state assessment uses a combination of market value, strengthened and heavily influenced by the cost of building a new structure. The Consumer Price Index has not and does not increase much at all, unlike the construction costs.
Why can’t everybody get a similar deal?
As a former city councilman in the 10th largest city in Texas, I find it ourageous that government employees would be asked to pack the auditorium to displace citizens attempting to petition their local government for the redress of greivences. The idea than anyone who supports limited governemnt is some kind of anti-government anarchist is as empty as it is slanderous. So, haveing heard the all the rationalizations for why government must always grow I can safely say that this is just so much bunkum.
So, how to proceed? I highly recommend those on both sides of the tax debate make a pact to use a “Price of Government” index. This shows the impact of taxation as a percentage of real income on the average citizen. We used this in Garland, Texas while I was Deputy Mayor Pro Tem and Mayor Pro Tem to get an idea of the IMPACT of taxation. Frankly if your local government takes more than 1% of the average citizen’s income on a PoG index, your governemnt is probably oversized. Ours in Garland, the last year I was on, was at 0.8% and I still thought government was too large. The citizens however seemed happey at that level.
Mr. Dunning,
Are you currently in Harford County? We could use some fiscally conservative minds up here. Your input on the budget process would be valuable for next year.
Mr. Dunning,
That sounds like a great idea but for comparrison sakes. Was your school district funded directly by your city council or do your schools have independent taxing authority?