Martin’s Latest Tax Issue

For the third time in four years, the voters are being asked to approve an increase to the sales tax this November.

In 2014, the voters rejected a county-wide sales tax increase by 73 votes. Last year, a similar measure was defeated by 63% of the voters. This year, the request is for a ½-cent increase dedicated to School Board capital projects. This comes on the heels of an August referendum to increase the ad valorem rate for the School District by ½-mill. The voters approved that increase by nearly 56% of the votes cast.

The August proposal, which will generate $11 million per year for the next four years, will be almost entirely dedicated to teacher compensation. The Board made a compelling argument that swayed the usually anti-tax Martin County voter. Now, just a few months later, the School District is back.

If passed, the sales tax will raise an additional $16 million per year or $112 million over its seven-year existence. Most of that money will go to build the new Palm City and Jensen Beach Elementary Schools, which are both functionally and physically obsolete. Those construction costs will be $32 million for each school.

Martin County School District has $98 million in other capital projects that need immediate attention. How did we get into this predicament?

Most of the blame can be placed at the feet of the “Lords of Tallahassee.” Beginning in 2008, the Legislature mandated millage reductions (taking the credit for these tax cuts) that have resulted in $91.6 million less collected for capital projects in the past decade. There is an obvious correlation between the two figures.

Tallahassee dictates the maximum millage rate that can be used for capital expenses, currently 1.5 mills. That equates into $31.6 million per year in Martin County. Because of mandates, pre-emptions and rules, the School Board has had its hands tied in implementing cost-cutting solutions.

What are some of the examples preventing Martin County from saving tax dollars? The state dictates the size and capacity for each type of school built, which components must be used, which systems are necessary to include and construction cost limits. Every school must be built to be used as a shelter. Because of these restrictions and mandates, it will cost $32 million for the district to build a new elementary school.

There are obviously real needs in Martin County’s schools, but I am not voting in favor of this additional increase for several reasons. Unlike the earlier ad valorem request, except for the two new schools, all other expenditure decisions are left in the hands of the Board. I don’t believe they have the political will to resist the different constituencies that will be clamoring for new equipment and space.

This was proven true by the Martin County High School Pool Show. The Board decided to take a popular amenity (the pool) and discuss closing it. This brought parents, students, and others to speak at the Board meeting about what the pool means to them and the County. This was political theater of the highest sort. After a couple of hours of public comment, the Board weighed their options and decided to keep the pool open for now, subject to a further discussion after the ½-cent vote.

If the ½-cent passes, the School Board will have an additional $112 million raised over a seven-year period. Real estate taxes will bring in another $221.2 million over the same period. The Martin County School Board will have a total of $333.2 million for capital projects.

I believe that every cent is needed. I just don’t trust that the School Board will spend the money wisely. I would be much more comfortable with a specific expenditure plan that can be presented to the voters as the Board did with the ad valorem tax increase. Current and past administrations and boards have not adequately planned. Like bureaucrats and politicians everywhere, they have been shortsighted. Political expediency has taken precedence over a sound future in the district.

If the School Board wants my vote, they need to reconfigure how the sales tax proceeds will be designated. The Board should use those funds to bond the costs of the two new schools and to pay off the mortgage at Anderson Middle School. The advantage to this plan is that they would receive the money for construction immediately. This would ensure that the schools are built now.

The other $221.2 million in ad valorem funds for capital projects could go to eliminating the backlog and to set up reserve funds for future equipment replacements and capital repairs. A plan should be presented to the Board by the staff outlining exactly how this would be accomplished.

Martin County taxpayers and voters are not against taxing themselves. What they are not in favor of is having their money continue to go down a rathole of political pandering.

 

Remarks Made to Stuart City Commission on a Brightline Station

I AM NOT HERE TODAY TO TELL YOU HOW MUCH I DISLIKE BRIGHTLINE COMING THROUGH OUR CITY.

THOUGH FOR THE PAST FOUR PLUS YEARS I HAVE BEEN A VOCAL CRITIC.

I AM ALSO NOT HERE TO TELL YOU THAT BRIGHTLINE HAS A BAD BUSINESS PLAN AND MODEL.

THOUGH I BELIEVE THAT IS AS TRUE TODAY AS IT WAS BEFORE.

THE COURTS, WASHINGTON AND TALLAHASSEE HAVE DEALT BLOW AFTER BLOW TO OUR EFFORTS TO STOP BRIGHTLINE.

THE TRACKS HAVE RUN THROUGH MARTIN COUNTY AND STUART FOR THE PAST 130 YEARS. FEC OWNS THOSE TRACKS AND THE STUART CITY COMMISSION IS NOT GOING TO PREVENT FEC OR BRIGHTLINE FROM USING THOSE TRACKS.

WISHFUL THINKING OR BURYING OUR HEADS IN THE SAND WILL NOT CHANGE THOSE FACTS.

WITH THAT SAID…WHAT SHOULD THE COMMISSION ULTIMATELY DO?

YOU SHOULD TREAT BRIGHLINE IN THIS INSTANCE AS YOU WOULD ANY OTHER BUSINESS OR DEVELOPER THAT WOULD COME BEFORE YOU.

WE IN STUART ARE KNOWN TO WORK WITH APPLICANTS TO ACHIEVE WIN-WINS. WE SHOULD NOT TREAT BRIGHTLINE DIFFERENTLY.

THE USE IS IN THE COMP PLAN AS HAS BEEN DEMONSTRATED. LESS THAN A DECADE AGO WE WERE LOOKING FOR AMTRAK TO COME TO STUART.

BRIGHTLINE WILL BE PLACING ITS STATION ON PRIVATE PROPERTY THAT IT WILL PURCHASE.

THIS COMMISSION, STUART AND MARTIN COUNTY NEED TO PUT ITS FEELINGS ASIDE. WE DO NOT HAVE A TEST AS TO WHETHER A PRODUCT THAT A BUSINESS WILL SELL IS NEEDED OR WILL THAT PRODUCT BE PURCHASED. THAT IS NOT GOVERNMENT’S RESPONSIBILITY.

BRIGHTLINE WILL CHANGE STUART. THERE WILL BE ADDITIONAL EXPENSE TO BOTH MARTIN COUNTY AND THE CITY. THOSE ADDITIONAL EXPENSES WILL BE PAID BY TAXPAYERS WHETHER THERE IS A STATION OR NOT.

IF BRIGHTLINE IS COMING AND IT APPEARS THAT IT WILL THEN A STATION WILL BE A PLUS TO GO WITH THE NEGATIVES.

IF BRIGHTLINE IS STOPPED BY ANY PENDING LITIGATION, THAT WOULD BE FINE. THEY WON’T BUILD A STATION.

IF NOT STOPPED THEN WE WOULD BE POSTIONED TO HAVE A BENEFIT COME FROM WHAT WE DON’T WANT TO SEE HAPPEN.

THANK YOU

Brightline Is Coming

Do you remember the first time you heard about Brightline?

It was the high-speed rail that was supposed to be financed privately? Well it just received $1.15 billion in tax-free bonds to expand from Palm Beach through Martin, the Treasure Coast and all the way to Orlando. Brightline is on its way through Stuart.

I could give you several economic arguments why this 19th century technology should not happen. But this no longer has anything to do with economics. This is now, in actuality, if not in name, a PPP (private-public partnership). And, it is heavy on the public part. While the railroad executives will swear that this is still a private sector enterprise, they would be lying.

The Feds and Florida have decided that taxpayer dollars should be used to build the infrastructure of a private company. Governor Scott and his wife own a large share of stock in the parent group and in a Chinese company that will benefit from helping build the trains. Once again, the rich and powerful helping themselves, to the people’s detriment.

Those bonds would never have been successfully sold in the private market. Since they are tax-free, they will do just fine. Investors now realize that both Tallahassee and Washington will support this endeavor regardless of the economic realities. If Brightline is inevitable, as I believe it is, then what should Stuart and Martin County do?

The first thing is acceptance. Stop fighting and see how we can take advantage of a bad situation. If Brightline wants to put a station in Stuart, then work with them so as many trains stop here as practical each day. Make sure Brightline purchases property for a stop at an appropriate place so that it does not hurt the Downtown corridor. Stuart needs to keep in mind that Brightline will not operate at high speed through most of the City.

Take them at their word that they are a private company and under no circumstances give away our local tax dollars to incentivize this.

In the next fifty years, we will be spending millions to repair crossings. This is regardless of whether Brightline brings us benefits such as a local station or not. I still believe that their passenger rail concept will fail. At some point, the government will come in and take over the money-losing proposition. When they do, in 5 or 10 or 15 years, Amtrak or Tri-Rail will inherit that station.

In a convoluted way that was what was to happen a decade ago when Amtrak was to bring rail service to Stuart with a multi modal station. When Brightline really does become public, a true commuter line can be established. This will allow an easy commute south, fulfilling an idea that should have been planned decades earlier. Unfortunately, this is no way to run a transportation network.

Stuart and Martin County now should make lemonade from the bushels of lemons our communities have been pelted with.

From August 25th Friends & Neighbors

PINELAND PRAIRIE

 It appears that no one has a bad word to say about Pineland Prairie. Approximately 20 people spoke in favor at the meeting. From Jackie Trancynger to the Guardians to the head of the Builders Association, the speakers including myself urged, approval of the development. And why wouldn’t Martin County rally around this plan? It creates a walkable village and leaves 70% in open space or for schools.

This plan is a big PUD. The great thing about PUDs are that the Commission and staff can help direct what and how the property is developed. This isn’t proscribed to an extent that doesn’t leave an opportunity for all stakeholders to have a say. In my opinion, all development should be PUDs. So, you would think this would be a perfect opportunity for any Commissioner not just to scowl and criticize but try and incorporate their ideas and objections into the project.

In this instance I heard the complaints, but no one said I would like this or that included or eliminated. This, I believe, was a mistake on the Commission’s part. Mr. Kiplinger and his development team took the time (over a year) to meet with all. This was any and every Commissioner’s chance to have input into the development.

The final vote was 4-1 to approve with Commissioner Heard dissenting.

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HARMONY RANCH COMMUNITY DEVELOPMENT DISTRICT  

The Commission decided to take no action regarding Harmony Ranch’s application to form an independent Community Development District.

No matter what the BOCC had decided in the matter, the formation of such a district would still have to go before the Florida Land Water Adjudicatory Commission as per Florida Stature 190.

So, what is a Community Development District? It is an independent taxing district. The Harmony district is being set up so that infrastructure can be built and paid for using bonds or loans. Only the property owners within the district are responsible for the debt, fees, or tax. It is a mechanism to provide services within the boundaries of the special district.

This action would allow Harmony to build the infrastructure needed to develop the ranch. But only to the extent that it can currently which are 20-acre ranchettes. The site is still subject to Martin County’s development rules. There doesn’t appear to be a way for the BOCC to stop the district from being formed and once formed from being developed as it is currently allowed.

The question that Martin County should ask if it is wise to be developed as 20-acre ranchettes or two-acres or one-acre home sites. Any development of the 2600-acre parcel in this 1950’s manner is sprawl.   Wouldn’t it be better to develop 600 acres with the density of a town? Harmony would then have walk-able neighborhoods, offices, retail, and entertainment located where people live? The other 2000 acres could be deeded to a land trust to be left undeveloped as a natural conservation area.

Harmony would then have the same residents as they would with one-acre zoning. What is more the residents would have everyday amenities within a manageable distance from their homes. The old concepts of residential development not tethered to holistic communities is an anachronism.

The BOCC should work with the residents, landowners, and developers of Martin County to encourage smart and steady growth. If we do not begin to address this locally, the state will begin to do it for us. This may be only the beginning of Special Districts.

 

Our Entire Environment

Spring brought us more rain than usual and now the algae blooms are visible from my back yard on the St. Lucie River.

It seems that the even years (2014, 2016 and now 2018) are our time for outrage. The outrage that gives us the moral courage to stand up for our ecological environment. But, like the waters of the St. Lucie River flowing into the estuary to dissipate in the ocean, our courage to tackle the green algae will too.

This is one more battle that residents and citizens must engage in to protect our environment. In this case, I am not just speaking of environmental issues alone but rather our overall environment. The environment means our rivers and streams as well as our farms and yards and includes addressing chemicals and effluent wastes that contribute to our environmental problems.

Our political leaders manipulate the system to goad us into idiotic disagreements instead of informed debate. False issues are introduced to dissuade the American people from concentrating on what is important. Reality no longer intrudes into our political discourse.

All of this contributes to our deteriorating environment. The green algae that flows past my house is the direct result of the inability of our political institutions to correct the known causes of pollution. This is symbolic of our nation’s dysfunctional society on the federal, state and local levels. We would rather have a nonsensical screaming match on NFL players and the national anthem than true dialogue on problems such as the pollution that invades the St. Lucie River.

How do we right the ship of state? When will we address our political, social and ecological environmental issues with the seriousness they deserve? The United States is now the place of the “reality television show” instead of reality. The “real politic” of Kissinger, Brzezinski and Powell has been cancelled in favor of the “Gong Show.”

In the meantime, the St. Lucie flows green. Our national budget flows red. And the psyche of our United States is the color of confusion and disaray.

Martin County’s Government Restaurants

Americans love to say they believe in the capitalistic system.

We believe that government should stay out of the markets. We should leave to the private sector to operate businesses, instead of bureaucrats. If the public sector is involved, it usually results in the product being more expensive. This has been proven repeatedly. Government needs to step in when the private sector won’t do so.

But in Martin County we must like government involvement. Two prime examples are the concession stands at the beaches and Sailfish Splash Park. I will admit the concession stands are small potatoes compared to the water amusement park but nonetheless it is emblematic of government intruding on the private sector.

This entire blog post was precipitated by something I read in Gil Smart’s piece on TCPalm this morning. Apparently, the Martin County Parks and Recreation Department wants to take back the stand at Stuart Beach. They intend to gut rehab the building and then have it be operated by Parks & Rec. I don’t believe that anyone would dispute the fact that the building needs to be refurbished.

I don’t have a problem with the County spending money on facilities. We should improve County property. I do have a problem with the County then bringing the businesses “in house” so that public employees can operate the restaurants. This is just what they did after rehabbing the Sand Dune Café at Jensen Beach. So far this year, according to Smart, that County operation has made $18,000.

I have a little familiarity with the restaurant trade having grown up in the business, worked in many and even owned a few through the years. I have to say that making $18,000 so far this year is nothing to brag about. Let’s remember the Sand Dune Café does not pay rent or must make a profit. I haven’t even factored in the cost of the renovations.

Presently the Stuart Beach concession known as the Chef Shack pays a percentage of sales equating to about $1000 a month. I am not a fan of leases that calculate rent as strictly a percentage of sales. I’ve seen those figures manipulated too many times.

So, these two assets, paid for by the taxpayers and residents of Martin County, are not exactly contributing money to the public coffers. Assuming, not unreasonably, that beachgoers might want to grab something to eat or drink while at the beach and that the stand should not be an eyesore, why does that mean the public sector should operate these concession stands? Why shouldn’t both have someone that knows the business and, just as importantly, have a financial stake in their success operate them? Why hasn’t there been an RFP soliciting private companies to bid on operating these businesses?

Martin County’s Parks & Rec Department should stop trying to build empires and concentrate on their core mission…parks and recreation. The sooner they do just that, the better off we, the taxpayers, will be. I can go on about Sailfish Splash Park, but I will save that socialistic endeavor for another day.

How Far Should Individual Rights Go!

During the years I have been travelling to Tallahassee, I have spoken to many legislators in pursuit of advocating for municipal self-determination. One of the by-products of these meetings is receiving various legislator newsletters. One newsletter I receive is from Senator Greg Steube. Senator Steube is the ultimate property rights advocate — to such an extent that he wants to prevent any regulation by local government of the trees on your property. Another of his bills would prevent regulation of short-term vacation rentals.

In many ways I agree with Senator Steube’s philosophy of private property rights. You should be able to do what you want with your property. However, there is no right that is absolute. We need to remember that what you do on your property does affect your neighbor. So the question really becomes how much the government should regulate an individual’s behavior and actions.

If you live on a 400-acre farm, should you be able to have a garbage pit to throw your trash into? Should you be allowed to dam the stream that runs through your property to create a lake? In a more urban setting, should you have the right to rent out your home by the day?  Should you need a permit to cut down a tree?

First let’s take the example of cutting down trees. One of the most contentious items in granting development permission is how many and where trees can be removed. The second part of the equation is, after the developer removes the trees, how many should be replanted and what species. As a society, do we not want to encourage habitat for birds and other wildlife within our communities? Since most of us in cites live in very close proximity to our neighbors, how every home and yard is maintained has a direct economic and aesthetic impact on other property owners.

Vacation rentals can pose problems. If I move into a residential single family neighborhood and the owners of the house next door begin renting their dwelling out on a daily or weekly basis, doesn’t that have an impact on my rights? If I wanted to live in a more commercial setting, I would have chosen a different place to call home. We have zoning to prevent just such problems. Hotels must follow certain building and health codes for the protection of their guests and public. What about the tax money that is lost to jurisdictions?

It has been my experience that local government doesn’t regulate just to regulate. There usually is broad support for the ordinances they enact. Tallahassee should not concern itself so much with what cities and towns do but rather with statewide problems. Senator Steube is not only a state senator but a citizen of a local jurisdiction. He has the same rights as any citizen to petition his local elected officials to change the local ordinances that he does not like. If enough of the local electorate agrees, it will be accomplished.

What he or any state legislator shouldn’t do is use their authority to circumvent Florida citizens’ local self-determination. If enough voters of a municipality want to change something then they can elect others in the next election that agree with their position. Unfortunately, Senator Steube and other legislators believe that Tallahassee should be the arbiter of what we do locally and not you, the people who actually live, pay taxes and vote within your communities.

Our Martin County Future

What do we expect the future to bring for Stuart and Martin County? If we look at our current County Commission, we know that it is about to experience change to its composition. With the indictment of Commissioners Heard and Fielding on public records violations, there will probably be different people sitting in those seats. This could occur this year by resignation or removal by the Governor or next year at the ballot box.

Both Heard and Fielding have a distinct point of view on development that precluded growth outside the Urban Services Boundary (USB). They also fought development within those boundaries. I agree with much of their philosophy outside the USB boundaries. I differ with them within those boundaries. If you want stop sprawl, and both say that is their stated goal, you need to allow density within the USB.

Sprawl occurs when you have mono-functional development. Under the current Comprehensive Plan, 20-acre ranchettes are allowed. It may be that you won’t be able to see your neighbor, but this is development away from jobs and shops. Regardless of the type of housing, you still will need roads, schools and other services. The people who live in these scattered communities will need gas stations and stores.

Therefore, if you want to keep agriculture, you need to concentrate population and growth within our cities and towns. If you want Martin County to avoid what occurred in South Florida and the I-4 corridor, then we need to plan better for sustainable development. The blanket “no” so often heard by businesses from the county needs to be tempered to allow for reasonable and smart growth.

At some point the Urban Services Boundary will need to be expanded. But, for now and the immediate future, let’s have infill development and re-purpose properties that are no longer economically feasible. Our half-empty 1960-type retail strips and our aging housing stock need to be re-developed. More and more people want to be part of a community, to know their neighbors and walk to a store. Isn’t it rational that we not be tied to mid-20th century development patterns?

I am not advocating some central plan where we herd everyone into condos. I am saying that we need to look at trends to determine what type of lifestyle we will have in 10, 20 or 50 years. Infrastructure is expensive to build and maintain so, before we commit to expanding Martin County’s, we need to look to what the future will bring.

As we look at the Martin County of the future, do we continue to do things in the same way or open our minds to a more wholistic approach? Do we look at one project coming forth at a time or do we have a Comprehensive Plan that can be used as a planning document for growth instead of a document that impedes it? Stuart should be a center of a new urban dynamism. Along with our sister cities, we should be where the action is. We should be the engines of economic and population growth. Martin County should be thinking of why county government exists. It should exist not to provide urban services but to function as political subdivision of the state. Let new cities be formed out of all the current county CRAs.

There will be nearly 21 million Floridians by the end of 2017. Does anyone really believe that Martin County will be left out of having an increasing population? Just in the past two months there has been an influx of more than 200,000 Puerto Ricans fleeing the ravages of Maria and bad government. People from the entire U.S. want to live and work in our state. Eventually some subset will find Martin County. Let’s be prepared.

 

Stuart Needs to Take Care of Stuart

As many of you may have read or heard, the Martin County School Board made a presentation at the last City Commission Meeting. They essentially wanted Stuart to turn over Sailfish Baseball Fields and the Public Works Complex gratis for their new administration building. They would then sell their current six-acre location and keep those proceeds.

I am against the City giving away the 11 acres that comprise the ball fields and public works complex.  Then, in perpetuity, we would receive no taxes, fees or any other revenue for this most valuable site. It is anything but a “home run” for us. In my book, it’s not even a single. Not to mention their proposal would have us sharing (and contributing to maintain) a few new ball fields which we would only be allowed to use when the school board wasn’t.

This is something I could never support. No taxes and no ball fields, how could any Stuart elected official be for it? Some might say that the administrative building contributes to the economy of Stuart. To a very limited extent that is probably true. But to imagine that a new building is going to bring shops and restaurants to the area is not credible. The existing complex on East Ocean Blvd has not resulted in any shops or restaurants around it. What would cause a different outcome?

This may seem a radical notion but why does the School Board need to be within city limits? In 1950, when Stuart comprised 40% of Martin County’s population, there was perhaps a reason. But today when Stuart only accounts for 10% of the population there is no compelling reason. The vast majority of their staff lives outside the City. Further Stuart has 1% of the total land mass of Martin County. How can we afford to give up taxable land to another government entity and not even be paid for its value? Never mind the lost tax revenue and the loss of our ball fields.

As a custodian of Stuart residents’ money, how could I possibly do that? How can I ask Stuart’s 10% of Martin County’s total population to contribute such a valuable asset to the other 90%? We are not still a rural county with Stuart being the home for those who “live in town” and where the money is. That was true when the County was incorporated in 1925 but it is no longer true today. Communities that are outside the City, such as Sailfish Point, Jupiter Island and even Sewall’s Point, are where the wealth is.

If we are to maintain our quality of life we need to make sure our assets are used for City residents. We need to have our recreational fields under our control. We can’t just give away our assets. We need to be independent and do what is best for Stuartians. Yes we are part of Martin County. We pay both County and School Board property taxes. Therefore, we do not need to also subsidize further those governmental agencies since we are already paying our fair share. I cannot in good conscience claim to represent the people of Stuart and then give away those assets. That is unconscionable.