The major discussion of the evening was over an attempt to amend the ordinance that sets trash disposal rates. The object of the change was to allow people remodeling or demolishing private homes to dispose of the trash produced at a cheaper rate than paid by the rest of the public. The intent was good because it is an incentive to get people to either upgrade rundown housing or demolish the eyesore and clean up the mess.
One of the stated aims of the rate adjustment was to provide vacant lots to build Habitat for Humanity Housing, but the way the ordinance was worded Habitat wouldn't have been eligible.
One astute councilman noted that creation of a special rate for cleaning up certain private property would in turn have to be subsidized by the rest of the rate payers. The amendment to the ordinance was passed, four yea, one nay, on first reading which will allow it to be changed for the better (eliminated?) in two more sessions.
And that brings me to the one-cent sales tax, having those outside the city limits have to subsidize the property taxes paid by McCook residents. I've had several people comment about my opinion of the sales tax.
Perhaps the most interesting was the opinion of one man that many residents are unhappy with all the closed business on Main Street, "The direct result of Wal-Mart coming to town. Collecting the sales tax is one way for Wal-Mart to help carry the burden of property tax losses from those failed businesses. After all, Wal-Mart has one-million dollar days" and that would generate $10,000 for the city coffers.
So why not? He made no mention of the number of locals employed at Wal-Mart nor the almost continuous contributions those employees make combined with corporate donations to local charitable events.
Wal-Mart also pays property taxes. Most likely you have already heard similar accusations. Oh that local government would be nearly half as efficient as Wal-Mart!
In watching local governments over the years it is my observation that they all seem to want to grow, to get bigger each year. Experience has taught me that it is easier to call for more revenue than to make the hard decisions required to become lean and efficient.
Several years ago the Nebraska Legislature recognized the problem and set levy limits to cap property tax rates. Most Governments became adept at getting around the caps and the local option sales tax is just one example of their creativeness. It seems that government possesses an insatiable desire to grow and the only way to control the beast is to starve it. Make "them" set a budget based on predicted revenues and stick with it. Make "them" learn to say NO.
McCook council and staff are going to be scheduling work sessions where "they" will try to convince the public to vote to continue the local sales tax. The methodology will be to show all the good things that the present sales tax have built in McCook, how much the city's portion of the property tax has been off set, and what a great deal we are getting for the extra tax money generated in part by outsiders. "They" see it as a good thing!
And I don't disagree, it is a good thing, McCook has benefited greatly. It is my suggestion that if the sales tax is so good and fair, perhaps we should vote the local option sales tax in and cut the levy of property tax, the city portion, to zero.
In the current budget cycle, the City of McCook projected property tax revenue of $819,000 and the one cent sales tax would generate $625,000. By raising the local option sales tax to a cent and a half it would have generated $937,000. I think the city could live with that. "They" would have a reasonable but limited amount of revenue to live with, just as you and I and every citizen does in our private life.
That is the way I saw it!


