Cabarrus Cheap Seats

For my first post, I figured I’d tackle something that has been bugging me and other people in my community. The website of Harold Smith. More specifically the content of the site. Filtering through the grammar mistakes, someone who knows the facts usually reads in disbelief and moves on. It’s easy enough to dismiss the rants of this guy; but a number of people listen to him. So, I have taken it upon myself to address the silliness found in most of his posts. Let’s take a look at the latest one. Here’s the text:

May 24, 2005: Where is Richard Suggs? Where is Richard Suggs? Oh, the good old days when their was fiscal responsibility by the County Commissioners. Richard Suggs believed in fiscal responsibility. County Manager John Day is a loose cannon with Carruth, Juba and Carpenter supporting his 19% increase in the property tax rate. The proposed property tax rate is $.63. They have gone wild. The taxpayers are in deep trouble! The commissioners (Privette and Freeman) who represent the taxpayers are in the minority. It will take a revolt by taxpayers to save the day. The silent majority must speak out. The first step is to reduce the salary of County Manager, John Day. The next step is to go through the budget line item by line item and challenge every expenditure. Legal services would be a good place to start. Will the majority (Carruth, Juba, and Carpenter) have the courage to do so or will they give everyone an open check book? Taxpayers, let your displeasure be know. Let your voices be heard! Harold Smith (A fighting taxpayer and voter)

Let’s break this one down bit-by-bit. First, where is Richard Suggs? That question is best answered by first asking this: where isn’t Richard Suggs. After one term as commissioner, Richard Suggs faced a decisive defeat in the Cabarrus County Republican Primary last year. This means he isn’t serving on the current Board of Commissioners. This happened largely from his involvement with the Cabarrus Taxpayer Association, a group which recently opposed the local school bond referendum and backed a number of candidates who were quickly rejected by the voters the first time their names found their way on the ballots. Thus, the voter’s rejection was not so much of Mr. Suggs; but of the decisions that he had made by allying with the Cabarrus Taxpayers Association. Second, the “fiscal responsibility” referred to in Mr. Smith’s rant should be brought into terms of actual dollars. A quick review of the audit reports from the County and the State reveals the following:

• According to the North Carolina State Treasurer, the nature of the debt was reversed in a mere four years (2000-2004) from the majority of debt secured by the agreement of the taxpayers by referendum, known as General Obligation debt, to higher-cost debt that the Commissioners agreed to. In FY2000, from 62% of the debt that was agreed by the people of Cabarrus County to FY2004, where less than 30% of the debt was General Obligation and the rest agreed upon by the Commission alone.
• The percentage of reserve funds available relative to County Expenses was cut in half during that period. So much so, that the County’s current bond rating is in jeopardy.
• In comparing the audit reports posted by Cabarrus County for period ending June 30,2002 (as far back as I can find on the County website) and the period ending June 30, 2004, the outstanding debt increased from $133 million dollars to $177 million dollars. That’s more than 30% in three years. This increase was so dramatic that the manager’s report in 2002 stated that the County’s assets were greater than the liabilities by $3 million, but by 2004 the County is in the red by $16 million dollars. Not a dime of this debt increase was approved by the people of Cabarrus County.
• During this time, property taxes were actually cut in 2004 (against the recommendation of County Staff) by $0.03 on the $100 valuation from $0.56 to $0.53 or 5%.
• $0.56 is the lowest rate for 1993 to 2000, with the average being $0.61. A review of economic indicators (retail sales, per capita income, housing starts) would not suggest that the average $0.61 rate was burdensome.
• All of this aside, I can’t find a budget during Mr. Suggs’ tenure (where he was part of the CTA-backed majority on the Board) where the county didn’t spend more than it took in. A very basic definition of “fiscal responsibility” would be to not spend more than you take in and use debt wisely.

I’ll leave it to you to ascertain the fiscal responsibility of the Board of Commissioners over the past few years, how reasonable a $0.61 tax rate is, and how likely it is that Juba, Carruth, Carpenter, and Day will show up in the next “County Officials Gone Wild” video. What’s interesting is the rest of the post.

The taxpayers are in deep trouble! The commissioners (Privette and Freeman) who represent the taxpayers are in the minority. It will take a revolt by taxpayers to save the day. The silent majority must speak out. The first step is to reduce the salary of County Manager, John Day. The next step is to go through the budget line item by line item and challenge every expenditure. Legal services would be a good place to start. Will the majority (Carruth, Juba, and Carpenter) have the courage to do so or will they give everyone an open check book?

You say you want a revolution? Well, a rather well-behaved majority of Cabarrus County citizens agreed to a tax increase in the form of a Bond Referendum during the last election, so the silence he’s referring to may not be coming from the same majority that voted. Once again, I’ll leave it to you to determine why Mr. Smith is hearing silence. 

What’s really interesting is the two things he suggests - cutting John Day’s salary and looking into legal services. At the end of last year, Suggs, Privette, and Freeman were fixin’ to give the County Manager a pay cut in the form of dismissal in December; but Joni Juba was sworn in before that could happen. People associated with the Cabarrus Taxpayers Association have been attacking the County Attorney Fletcher Hartsell - ostensibly over his fees. However, his support for a bill allowing the Board Of Commissioners to put a Sales and Use Tax Referendum on the 1998 ballot did not sit well with some, making him a favorite target of CTA associates. Harold Smith has some interesting writings about Senator Hartsell. Could this be the CTA trying to soften a formidable challenger? The senator has a long, venerable career backing common-sense proposals and actually winning elections - if I were affiliated with the CTA that would make me mad too.

This being an odd-numbered year, we in this community we need to find ways to rise above empty rhetoric, learn from our mistakes, and make real plans for our future. The current Board of Commissioners is doing just that. The proposed tax hike is going to be rough for me…for all of us; but we can’t borrow and spend forever.

As for firing John Day and Fletcher Hartsell, Harold Smith and his supporters may get the chance next year. Richard Suggs stated he’ll run again…in the next even-numbered year.