Wednesday, October 27, 2010

TCU Deception #15 - Claiming the library budget will be up to $8.6 million per year -- Not true

Although on page 2 the authors of this 4-page mailer ask why the library will need $4.3 million per year, just a few inches down they wrote:
"Why do the need to spend up to $8.6 million per year?"
 They don't.

This is based on their 2 mill myth.
At 0.9885 mills, Proposal 1 will raise an estimated $4.3 million in the first fiscal year. After that, based on Oakland County estimates, our property values are expected to go down the next four years. That means that because the library budget will be based on mills, the dollar budget will go down.

From today's Oakland Press http://www.theoaklandpress.com/articles/2010/10/26/news/local_news/doc4cc792dd8b5fa330428907.txt
Even if the library maintains the maximum 0.9885 mills, it is likely that tax revenues will decline over the years.
“The Oakland County tax department says there will be declines in taxable values through 2014,” Hendrickson said. “Any time taxable values go down, so will the money generated for the library.”
Even when taxable values rise, the library will be subject to the Headlee roll back, which caps taxable values at the rate of inflation or 5 percent, whichever is less.
“They get it upward and downward on the revenue streams,” Hendrickson said.
For much more information, go to http://www.savetroylibrary.org/

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