By Former State Representative Gail Riecken
This past week County Commissioners voted to award E-Rep several hundred thousand dollars to support their work attracting industry growth and jobs. That award could be funding or could have the appearance of funding a political action arm of E-Rep. And that is why I am writing.
Financial support of E-Rep is customary funding but a political action arm is not. Here’s why.
E-Rep receives taxpayer monies and taxpayer-awarded monies cannot be used in the political process. I think even the appearance that members of E-Rep might use public money to promote the political process should be avoided.
Their attorney did try to assure Commissioners in the meeting that the monies and groups are entirely separate, but there is no way to avoid any co-mingling. I am thinking of the telephone, copier, computer, software, personnel, etc.
There was also a statement made at the meeting that I think is very curious and convinces me that adopting an advocacy group is the wrong direction for E-Rep.
The statement was made by E-Rep’s attorney. It is that the advocacy group is to be bipartisan. It should be. However, the fact their attorney thought he had to make a point about it makes me think E-Rep realizes the impression of partisanship is a worry to some members. Understandably. These members know business and industry would look negatively at any appearance of partisanship in E-Rep or this new advocacy group.
If E-Rep wants political advocacy for some interest, members have the freedom to talk to individuals and organizations outside, not directly affiliated with E-Rep. Certainly, that would include elected officials, those representatives whom taxpayers already pay to devote their time and effort to helping our region grow.
Why not take another direction, E-Rep? There is a lot at stake.
Evansville has lost its population over the last few years. The estimated population of 2022 is 115,749; the population in 2020 was 117, 291, about the same as 10 years preceding. We need everyone working together for economic growth, and working above board, and that means staying above any appearance of being involved in the political process.
E-Rep initiating a political advocacy arm, even if they say funding is totally separate from taxpayer monies, is just not worth it.
But don’t let me stop here. City Council has once again shown their lack of concern for taxpayers with the establishment of yet another TIF district. I know about Tax Incremental Financing. It was developed when I was on City Council. Basically, what TIFs do is grab property tax dollars in a defined area for a specific purpose. What happens, though, is that other taxpayers have to make up the loss of monies for services paid by those property taxes.
TIFs aren’t sold that way, but that is what happens! Now if the project in a district increases property taxes substantially to offset the TIF loss, supporters say “Job well done. The increased property taxes is paying the bills (bonds included).” But, tell me, why can’t the entire community agree to support and fund without the added bureaucracy of another tax layer. What do you think happens when property tax revenue in the TIF doesn’t pay for the increased tax burden of the project?
Read about TIFS and you will understand. They can fund additional administration and sell bonds to fund projects.
Someone needs to ask for a map of TIF districts in Evansville. Ask for a financial report on each one Take a look for yourself. Then you judge. One statement I read sums it up:
“In the long-term, however, TIFs can create tax revenue issues for local governments. They could’ve used the property taxes over the past 20 or 30 years for city-wide projects. Instead, they may need to raise other citizens’ taxes or take on additional debt to complete needed projects”
So when you think of TIFS, think of citywide projects you think should be supported and not special interest projects.
When you think of public advocacy groups like ERep, think of how they should be spending their time more productively than hiring attorneys to present before the County Commissioners on starting a political action group. They don’t need that to stand up to Center Point and I haven’t seen them do that yet! You only have to see who one of the major funders is to understand that.
