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CO$T: Advocating for Sensible Taxpayer Solutions

CO$T is a nonpartisan, nonprofit organization advocating for affordable, fiscally responsible, fair, and transparent solutions that are necessary for the public good. We provide financial oversight and guidance, supporting sensible solutions. Help us challenge the unfair MMWD fee plan and protect ratepayers' interests. Support CO$T's legal fund at COSTMarin.org.

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CO$T: Advocating for Sensible Taxpayer Solutions

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  1. Coalition of Sensible Taxpayers Mimi Willard, President Marin Rental Property Association June 25, 2019 CostMarin.org

  2. WHAT IS CO$T? • Nonpartisan, Nonprofit Advocate for SENSIBLE Solutions • Affordable • Fiscally responsible • Fair • Transparent • Necessary for public good • We Provide Financial Oversight and Guidance • We Support Sensible Solutions

  3. UNUSUAL APPROACH • Deep dive oversight: Budget and Transparency Hawk • We will oppose taxes and fees that don’t meet our stated criteria • …. And support those that do! • Our preference: Fair compromises. “Perfect is the enemy of good.” • We Support Sensible Solutions

  4. YouDeserve a Better MMWD Fee Plan • On Top of Big Water Rates: New Capital Maintenance Fee • CMF $163-817/year. Grows 4%/year … until next big hike. • Illogical meter-size-based plan. Not usage based. Starts July 1. • Punishes water conservers, many 1”+ residential customers, and some large properties • Schoolscan’t afford it. • MMWD ignored CO$T’s fair infrastructure funding proposal • Illogical meter-size-based plan. Not usage based.

  5. How a Bad Plan Got Worse • Spiraling exemptions and discounts • Many customers don’t / can’t know how much they’ll pay • Fewer and fewer customers fund the whole $16.5MM++ • More bites of the apple coming…. • MMWD ignored CO$T’s fair infrastructure funding proposal

  6. Violates Proposition 218 • Can’t charge > cost of service • Disproportional: Can’t charge > proportional share of cost • Inadequate notice – 1-1.5” meter customer CMF $? • Inadequate notice – after-the-fact agency exemptions • Start over… Or get 2/3 voter approval.

  7. Violates Proposition 218 • CMF will fund $1MM/year in fire suppression & protection • Fire protection fee benefits non-MMWD properties • Fire protection = general service. Not Prop 218 exempt • Start over… Or get 2/3 voter approval.

  8. Bad Public Policy • Discourages internal fire sprinklers, increasing fire risk. • Encourages meter downsizing, at a time when fire chiefs, cities, insurers pushing more sprinklers (need large meters) • Crowds out school and city tax measures and services, • e.g., County-wide fire tax, school parcel taxes • Our lawyer warned Marin County: No illegal fee on tax bill! • Our lawyer warned Marin County not to put on tax bill.

  9. Why This Matters to You • Ratepayers harmed by big fee, lower public services (crowd out). • Rental properties in squeeze play. • We believe the fee is illegal, but you will be billed for it anyhow.

  10. What We Collectively Can Do about It • CO$T and other plaintiffs to file suit to invalidate MMWD plan. • Seek to limit MMWD spending CMF while lawsuit unfolds. • Refund CMF $? • CO$T has hired a top lawyer. Help us pay for his skilled help! • Please CONTRIBUTE to CO$T’s Legal Fund at COSTMarin.org • Or send checks to P.O. Box 253 Kentfield 94914

  11. Working Together – Best for Everyone • CO$T works with agencies toward fair approaches • Memorial Park Tax Measure as a model • Early engagement on 2020 County-wide fire tax measure

  12. What’s on the 2020 Ballot • County-Wide Fire Protection Tax - March • New JPA to oversee coordinated county-wide approach • Funds fuel reduction, inspection, early detection, education • CO$T engaged early, encouraging • - progressive parcel tax • - cities to leave tax room for county fire leadership • Please CONTRIBUTE to CO$T’s Legal Fund at COSTMarin.org

  13. What’s on the 2020 Ballot • Tamalpais Union High School District • Fiscal cliff June 2022. Renew or increase parcel tax. • CO$T supported 4 year Measure JJ. • CO$T engaged early on renewal measure, advocating • - progressive parcel tax • - fiscal discipline and reserve rebuilding • Please CONTRIBUTE to CO$T’s Legal Fund at COSTMarin.org

  14. What’s on the 2020 Ballot • Other Local Issues • SMART – renew (extend) ¼ cent sales tax - March • Marin County Parks & Open Space – November • - renews ½ cent sales tax expiring 2022 • - how much will actually go to fuel reduction?

  15. What’s on the 2020 Ballot • Statewide Issues • ACA-1 (March?) – Lowers to 55% threshold to pass bonds • SCA-5 (March?) – Lowers to 55% school parcel tax threshold • Split roll tax (Nov) – Non-residential commercial properties reassessed at market value (ends their prop 13 protection)

  16. How You Can Help CO$T • Ask about becoming a leader/director. • Volunteer to help with a project (e.g, MMWD, SMART, etc.) • Contribute a skill: Financial analysis. Fundraising. Legal. Communications (eblasts, social media, op/ed). Marketing. Videotaping. Watchdog & oversight. Event organizing. • DONATE! COSTMarin.org OR Checks to P.O. Box 253, Kentfield

  17. How You Can Help CO$T • DONATE to our General Support or Any Project! • COSTMarin.org – click on Donate • Send Checks to P.O. Box 253, Kentfield 94914 • Donor Advised Funds accepted

  18. coalition of Sensible taxpayers Marin County Taxpayers’ and Fee-Payers’ Voice CostMarin.org

  19. CO$T Offers a Fair CMF Solution • Tie CMF to usage. Equal charge for all customers--- $1.65/CCF. • Put it on water bills. Transparent, unlike on Property Tax. Avoids taxpayer “tax exhaustion” and crowd-out concerns of taxing jurisdictions. • Raise or lower CMF annually to deliver targeted infrastructure dollars

  20. The 4%/Year Rate Increase • Pension contribution increases from $7.7 million to about $12 million; account for ~35% of the increase in personnel expense growth • Pension contribution grows to over 10% of total budget • Employee salaries drive pension benefits. Healthcare insurance costs are additional burden. Control of these costs is critical. They are major source of ratepayers’ rate increase. • Control of these costs is critical. They are major source of MMWD’s annual rate increase.

  21. The 4%/Year Rate Increase • MMWD’s forecast rate revenues will rise from $77.7 million currently to $94.5 million over 5-years (excluding the CMF) or $16.8 million---22% • Personnel expenses---salaries and fringe benefits—are forecast to rise from $48.1 million to $59.8 million or $11.7 million---24%

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