Not a tax increase

From Richard Walter, Wolverine Lake:

Raising of the cap is NOT a tax increase.

Huh!?!

For years the city of Detroit was famous for their extremely high millage rates. When most communities had, on average, about 48 mills, Detroit had a millage rate of over 98 mills.

Yet, and this is important, citizens of Detroit paid, on average, less actual taxes. Less taxes (revenue) meant less services — no residential street snowplowing; street lights left unrepaired; poor or no police response; long response times for fire calls; poor schools; etc … we’ve heard them all.

How did this occur?

Well, since the property values in the city of Detroit were so low, the resulting revenues were low (or non-existent in many cases).

In the last six years, property values in Wixom have fallen over 38 percent. This means than homeowners and businesses, like mine, have seen a reduction in the taxes we pay.

The city has seen a reduction of revenue. As Mr. Lee pointed out so well this reduction in assessments is permanent. Any increases are limited by the Headlee Amendment.

So, Providence willing, if the properties in Wixom recover their value within the next couples of years it will take the city 12 to 15 years, under Headlee, to raise your assessments to the previous levels.

Can you afford reduced/no police and fire response over the next 15 years?

The Math: If you paid taxes on $100,000, five years ago, you now pay on a home assessed at $62,000.

8 mills on $100,00 equals $800.

8 mills on $62,000 equals $496.

If council must increase tax revenues to the full amount they are seeking permission for, then 12.9 mills on $62,000 equals $800.

Therefore, NO tax increase.

Of course this is based upon the taxes paid several years ago. However, this is not an unfair example. The city’s budget, the same budget which includes all the employees of the city of Wixom, and was diligently negotiated by the mayor and council, is based upon the mandated responsibility, of elected officials, to promote and protect the health, safety, and welfare of the city.

It is folly to claim that the city of Wixom’s “past practices” will lead it to bankruptcy. It is beyond disingenuous to suggest a solution to a problem which you haven’t accurately defined.

To suggest that we can continue current services (which took 19 minutes and two calls to 911 to respond to a recent Haz-Mat spill) at present revenues and declining revenues is not only irresponsible but borders on criminally ignorant.

If you believe that employees, and their negotiated compensation, are a liability and detriment to the health, safety, welfare, and sustainability of the city of Wixom, then …

However, if you want to study past practices and the decline of a great city, Detroit, and learn from history, instead of repeating it, then consider approving the Charter Amendment.