Monday, April 16, 2012

Brookhaven: Smarter Than We Think They Are

Google Analytics indicates that the fine folk of Brookhaven will not go blindly into a forced-upon-them city. They have shown particular interest in a couple of points that warrant comment.

The first is franchise fees:
  1. A tax by any other name. All monies go into the general fund and not into an account set aside exclusively for the stated purpose of the levy.
  2. Taking franchise fees as a whole, and comparing to combined property tax  with HOST property tax subsidy, franchise fees are the second largest income item. It is just another way to spell greed.
  3. It is the "best kind of tax" as it is largely paid by folks without a vote, particularly businesses and to some degree folks in unincorporated areas. Screw them, eh?
  4. By and large the county didn't receive these fees, yet the infrastructure these fees are allegedly required for are in place and doing quite nicely.  How can that be?
  5. Franchise fee revenue makes any comparison stating the city will provide same or better services for "less taxes" morally and intellectually bankrupt.
Slimy politicians are pretty sure voters will tax themselves a dime to get a dollar from other folks, but to the extent that these citizen-voters are customers of local business, the voters are simply paying a pass-along tax. To mystify the reality city proponents are using the "Starbucks" tactic: this will cost you less per (month/week/day) than a latte at Starbucks. That they even have to address it at all is a credit to the soon-to-be good citizens of Brookhaven.

The second hot topic appears to be privatization of government services. This too is over-hyped by those hell-bent on yet another city in DeKalb.
  1. It has it's place. If you have a janitor, auto mechanic or copier repair-woman on what will inevitably be a payroll characterized by gold-plated benefits then you are a fool.
  2. Much like the city itself, the finances of wholesale outsourcing do not pass the smell test. The outsourcing company may offer economies of scale, but have no doubt, just as you will pay for new city bureaucrats, you will also pay for the profits and bonuses of these private outsourcing companies. How can this possibly be more cost effective?
  3. You can re-bid often if you don't like the services or costs, but you will soon find you've exhausted all your options. Fact is there are not that many companies to turn to for turn key operation.
  4. When you outsource services, you outsource quality, you outsource accountability and you outsource transparency. Any part of a city operation where you might, just maybe, want to make an open records request is not something you want these politicians hiding behind an impenetrable wall of "corporate trade secrets".
Privatization had been all the rage, but now, eh, not so much. Even in Sandy Springs, the poster child for Three Pee Uh Oh, the enthusiasm has waned, the costs have skyrocket and the loss of control has been deemed intolerable. If Dunwoody can show Brookhaven how to do anything it would probably be where to draw the line between in-house services and those contracted out.

You will be told a lot of stories that do not align with this view of reality. But you will listen because these pandering political prevaricators will become your new city leadership. At least you are starting early and you are asking some smart questions. Keep up the good work.