Council must reject flat tax rate proposal

Thursday, February 9, 2006 9:52 AM EST

A budget goal-setting process started with a special meeting of the Auburn City Council last month, and the council hopes to wrap that process up at tonight's meeting. If the council reaches consensus on some realistic measures that would both enhance revenues and cut costs, then taxpayers will be better served.
But we worry that something else may result from this process: dramatically higher tax bills.

Buried among all of the clever budget ideas thrown around the past few weeks is a proposal to keep the city's tax rate flat for the 2006-2007 budget. Because property assessments have gone up thanks to the city's revaluation, that would mean an additional $1.6 million in revenue. And that money would come directly from property owners in the form of higher tax bills.

This council cannot approve such a measure. It would hurt residents already reeling from job losses, and further discourage people from owning property or improving the properties they already own.

A flat tax rate would be the lazy choice.

And it would confirm that this whole budget-formation process - having the council get involved prior to the city manager's proposal is submitted - was really a ruse.

Consider some of the other ideas councilors have discussed: charging nonprofit organizations for municipal services, contracting out our police and fire departments to border towns, hiring a private company to collect trash in the city.

These are all ideas that would take considerable planning to implement, and more importantly, would likely encounter heavy resistance from the public if the city tried to move forward on them.

But we've been down this road before: city hall throws out some scary ideas as possible budget solutions in an effort to make property tax increases seem like the best option out there.

Councilors need to reject that approach immediately, and force city manager John Salomone and his city staff to look at every line in the budget as an opportunity to save some money.

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