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TCPalm, October 26, 2007

Not a good idea to cut government's local control

By Bob Minsky, contributing columnist

I know a lot of counties and cities took notice, but I wonder how many people took notice of the recent case before the Florida Supreme Court concerning tax increment funding (TIF) bonds.

The essence of the case is government's use of TIF bonds without voter approval. The ruling places in peril a long-standing mechanism used to revitalize defined areas of a community that are blighted or economically dysfunctional. Theoretically, only the respective area finances improvements, by redirecting a portion of the tax revenue produced by increased property values. As the improvements increase the value of the subject area, it produces increased tax revenue. It is only a portion of that increase that is reinvested into the improvements. Those areas are referred to as community redevelopment areas.

Normally when a city uses general obligation bonds to finance capital projects, voter approval is required because the bonds are guaranteed by the city. The financial strength of the city comes into play. The TIF bonds are not guaranteed by the entire city; they are guaranteed by the CRA.

If I understand it correctly, and the Supreme Court upholds the lower court, this instrument will be lost and the ability of communities to revitalize and refurbish decaying areas might be severely impaired. If a city-wide referendum is required, I wonder how many people will vote to spend money in a part of their community they don't live in.

The current mechanism has worked well for 27 years it should be left alone.

Years ago a politician said, "All politics is local." But it seems that in Florida local politics is becoming an endangered species.
Tallahassee is claiming that local politicians have done a poor job in spending your tax dollars so they are going to reduce the amount of revenue they have. Not one word about reducing the amount of tax dollars they collect.

The Legislature created CRAs and the controlling rules and regulations. Now the courts are jumping into the act and interpreting what the Legislature meant.

Now there is also movement afoot to force all major comprehensive plan submissions and changes to a referendum vote and they call it Hometown Democracy. If the trend continues, city and county governments will be reduced to the most menial of administration functions, all the big local decisions will be made by referendum, the courts and the state Legislature.

I sincerely feel that the most effective and productive form of democracy is demonstrated by the ability to vote elected officials in or out of office. Local politics has the most direct impact on citizens' lives. The more control retained locally, the more control citizens have.

Try to imagine if the state or the federal government had to operate by referendum. If it is such a good idea, why not implement it everywhere? The feds and state leaders would never permit it because they know it is impractical and inefficient. But when they take control away from local government without endangering their own authority, the people think they are heroes and their champions.

It would be a different story if the majority of eligible voters actually voted and made a sincere effort to thoroughly study an issue before voting on it. That is not the case and history proves it.
Should this effort come to pass, along with the Florida Hometown Democracy initiative it will completely destroy the ability to function legislatively at the local level.

Yes, the people will have the power they have always had. But power applied emotionally instead of intellectually is a blueprint for disaster.

Minsky is former mayor of Port St. Lucie. His term expired in 2006.