The Smith Series...Continued

Editor's Note:  As promised...This is the final edition of "The Smith Series" on the LEED PAC/Sanford Herald forum.  The questions below were proposed at the Herald/LEED PAC forum in October. 

  
Intuitive Commentary by Lee Co's Newest Commissioner...Mr. Kirk Smith


 
Question # 9:  Economic Development

ECONOMIC DEVELOPMENT:  Business and personal visitation has been a large part of the economic tax base in Lee County.  Like many other areas it has suffered during the recession.  Many millions of tax dollars are collected from business travelers, hotels, and restaurants.  The County also has many attractions and successful venues such as Tobacco Road Golf Course, Deep River Sporting Clays, Temple Theatre and the Sanford Pottery Festival (just to name a few) that bring people and dollars to our local economy.  We will soon have a completed bypass and a recently finished toll road just to our North, placing Lee County squarely in the center of and in easy reach of many major markets in N.C.  Many of our surrounding communities’ Chambers of Commerce and / or local Visitor and Convention Bureaus receive significant amounts of money each year to grow and promote visitation.  What would you propose we do to enhance or create more visitor spending, tax revenue, and visitor-related jobs in Lee County? (2 min.)

ANSWER:  Create a privately funded visitor’s bureau.  The LEED-PAC shows us they can raise a lot of money to fight fiscal conservatives, so perhaps they could put their energy and resources to a more positive endeavor.

Question # 10:  Economic Development

If lowering taxes is a priority, this can be done by cutting expenses, thus requiring less revenue, but can also be done by expanding the tax base, thus requiring less per taxpayer to cover the same expense burden.  What 1 or 2 things will you do to expand the tax base? (1 min.)

ANSWER:   Lowering taxes is a priority in this current “tax and spend” climate.  I realized while campaigning door to door, that the highest property taxes than the neighboring four counties is truly a burden on Lee County Citizens living on a fixed income.  The fallacy that our current Economic Development Corporation that bribes manufacturing companies to establish themselves here in Lee County some how expands the tax base and thus lowers our property taxes has not worked.  Fact – in the past ten years Lee County has given out over $7.5 million in economic incentives.  We have to show for those “investments” is the highest property taxes and highest unemployment than our neighboring four counties.  Government should not be in the business of deciding who the winners and losers in business unfortunately the losers are the tax payers.  The central planning concept of deciding who gets the bribe also violates the Fourteenth Amendment of “equal protection of the laws.”  Again, government sponsored bribery is wrong.  You want to provide economic incentives – treat every business equally, lower property taxes for everyone!

Question # 11:  Economic Development

What is your position on recent discussions at the county level to change the method of distribution of sales tax revenues to the City of Sanford and the Town of Broadway? (1 min.)

ANSWER:  First the political ads disparaging Commissioner Womack through the “Womack Tax” or the recent “Tax Notice City of Sanford and Broadway Residents” attempting to instill fear that the County Commissioners will raise their taxes, clearly relied on the “governmentally challenged” citizens who don’t realize that the City Council will raise their taxes not the County Commissioners. 

The sales tax distribution would help lower ALL of Lee County property and reduce the higher fire districts taxes!  That said, the City of Sanford enjoys the benefit provided by all of Lee County’s taxpayers such as parks, recreation, youth services, the library, Social Services, public health, and the Enrichment Center, all located within the city limits. 

Most definitely the City of Sanford has not endured the budgetary restraint that the county government did these past four years.  Perhaps the city would consider cutting expenses, relieving the citizens of the burden subsidizing the golf course, the failings of the EDC, and the theater.  I support a sales tax revenue distribution that benefits ALL of Lee County Citizens.

Question # 12:  Economic Development

A recent Harvard Business School study looked a decisions regarding location among 10,000 graduates who serve as executives in American businesses.  The study showed the key rationale for locating a plant or facility in a specific location wasn’t based on a single cost factor – such as labor or taxes but rather a combination of things, such as costs, proximity to market, and better worker skill-sets.  Other than lower property tax rates, which these business executives say isn’t an overriding factor in the decision-making process, what else would you specifically propose to “restart” the economic engine of Lee County? (2 min.)

ANSWER:      Fact – in the past ten years Lee County has given out over $7.5 million in economic incentives.  We have to show for those “investments” is the highest property taxes and highest unemployment than our neighboring four counties.  Government should not be in the business of deciding who the winners and losers in business unfortunately the losers are the tax payers.  The central planning concept of deciding who gets the bribe also violates the Fourteenth Amendment of “equal protection of the laws.” The Study referred did mention worker skill-sets and unfortunately our academic standards are not meeting the needs of the job market when nearly 40% of your graduating students attending our Community College must take remedial courses in order to proceed in higher education.  Also a fallacy exists that the “arts” are essential in attracting business and priming the economic engine of Lee County.  We have subsidized the Temple Theater since 1972 and yet, the companies are not here.  Why?

Question # 13:  Economic Development

 The use of economic incentives to attract new business and industry has been widely debated in recent years.  According to calculations provide by Lee County, the return on investment from each property tax dollar abated in incentives since 1991 has been more than 500 percent.  According to the City of Sanford, the return on investment during the same time period has been more that 1,500 percent.  As a Commissioner would you be in support of using economic incentives if they contained the proper requirements and guarantees that the receiving company would bring jobs to Lee County?  If so, why?  If not, what can Lee County do to attract more business and industry and create more jobs? (1 min.)

ANSWER:  First, another opportunity to capture a sound-bite or ad campaign to disparage one’s campaign against Lee County’s “good ole boy” network and really ONE MINUTE to answer?!

Second, in the past ten years Lee County has given out over $7.5 million in economic incentives.  We have to show for those “investments” is the highest property taxes and highest unemployment than our neighboring four counties.  Government should not be in the business of deciding who the winners and losers in business unfortunately the losers are the tax payers.  Government sponsored bribery is wrong. 

 I do enjoy the throwing around the 500% and 1,500% of increased return on investment!  So why do we still have the highest taxes and unemployment than the surrounding four counties?  Where is the proportional cut in taxes and unemployment? 

You want to provide economic incentives – lower taxes for everyone and reduce the bureaucratic stifling of business in Lee County and North Carolina!