This blog originally founded by Blogger who holds a theological degree and a doctorate in Counseling Psychology. Taught Psychology for 32 years and is now Professor Emeritus. Is a board-certified psychologist and was awarded the Lifetime Achievement Award in his profession. Ministered as a chaplain, and pastored Baptist and Episcopal churches. Publications cover the integration of psychology and theology. Served in the Army, the Merchant Marines and the Peace Corps.

Monday, September 12, 2011

Redistribution Of Sales Taxes

When the Town Of Boone acted arbitrarily and (in my opinion) against the best interests of their citizens and those of Watauga County in regard to the ETJ appointment issues.....One of the unintended consequences was to stimulate the county commission to look into redistribution of the sales taxes collected within the county.

At the present time, all sales taxes collected within the county are distributed among the 5 governments within the county based on the population of each. Another option provided for by the state statutes, is the option of the county commissioners to distribute the sales tax revenue based on the assessed property values within each jurisdiction.

According to information I have recently received, IF the county were to reallocate these revenues based on property assessments vs would impact the various juristictions as follows:

Boone would lose appx $1.7 million per year-
Beach Mountain would gain appx $1 million
Blowing Rock would gain appx $658 Thousand
Seven Devils would gain appx $162 Thousand
and the county treasury would lose $110 Thousand..................that is UNLESS there was some agreement among gaining communities to reimburse the county for any losses....

I have consistently opposed the reallocation of sales taxes AS RETRIBUTION for the Town Of Boone's violation of the county's ETJ board appointment rights......However, I do believe that  sales tax redistribution should be studied carefully and reallocation should be decided on it's own merits...not as retribution for the town's actions .....


G.I.G said...

I was just counting the seconds on how long it would take for LPOV to jump on the words "redistribution of" Those two rods send shivers down his spine in extasy I am sure.

guy faulkes said...

The fact that the Boone Town Council would act in opposition of the rule of law as to the appointment of members of the ETJ makes any tool used to bring them back into compliance legitimate. As New Guy indicated on another thread, it will cost the Town and the County a lot of money to litigate. Boone is counting on this to make the county capitulate. They did not consider a 1.7 million dollar cut to their own budget.

The loss to the county from sales taxes may be cheaper than allowing Boone to tie up the county in litigation for years. This is assuming Boone realities the shoe is now on the other foot.

The idea of the municipalities that gain revenue talking over some of the costs of county services within their jurisdictions is certainly a good one and should pose no legal problem.