Guidelines And Rules Needed For Tax Breaks - And Response

  • Monday, February 23, 2015

Helen Burns Sharp, you have become the torch bearer for all of the taxpaying citizens of Chattanooga.  Most are not even aware of the work that you are doing, but let me take the opportunity to thank you on behalf of everyone in the city and county not eligible for a PILOT or TIF who are getting the raw end of the deal.  The backroom sweetheart deals being made by a handful of special interests in this town are saving big business millions of dollars, lining the pockets of Miller & Martin, and cementing future campaign contributions for a few select political candidates. 

The PILOT/TIF recipients essentially receive city/county services for free.  We, the individual taxpayers, are left footing the bill. We are told that the "special recipients" are going to create high-paying jobs and stimulate the local economy, but we never require any of these companies to provide proof of the promises they make. The companies tell our elected officials rosy fairy-tales about the future, our officials give them a "feel good" thumbs up, and the poor little taxpayer gets another burden loaded onto our backs.  If the rosy stories never come true no one is the wiser because no one ever follows up and we, the taxpayer, still have to carry the load anyway.  Along comes another rosy story, another "thumbs up," and another load onto our backs.  And, so it goes... 

The city and county must formulate a set of rules and regulations that will govern the issuance of these tax breaks.  Instead of a willy-nilly, abracadabra, buddy-loving approval process, a city/county our size should have a clearly defined set of guidelines and rules that become the litmus test as to who qualifies for a break.  This is the only civilized, fair way to allocate these dollars.  Until this is done the good ol' boy network will continue to milk our resources for the select benefit of their few, leaving the rest of us to foot an ever increasing bill.  We also need to have a process whereby the recipients are held accountable for delivering on their promises, charging them for back taxes if they do not produce what was promised under the terms of the agreement. 

 At some point every mule will eventually collapse under the weight of too many bags of dirt.  A responsible mule owner will carefully and thoughtfully load the mule, reevaluating the load along the way to ensure the health and safety of the mule. An irresponsible owner will just continue to load the mule until it eventually gives out. My legs are weary. Thank you, Helen for looking out for the mules... 

Lynn Ashton
Chattanooga 

* * *  

 There is only one way to avoid sweetheart deals, backroom deals and crony capitalism and that is equal treatment under the law. Property tax rates should apply to all property owners.  There is no public good by carving out exemptions to the law.  

It is naïve to think new rules and regulations will stop this madness. The only way to stop these backroom deals and the crony capitalism that are a part of these deals is the elimination of PILOT Agreements and TIFs entirely.

You want to come to Hamilton or Bradley County, good, by all means do, but you need to pay your taxes like the rest of us. 

Mike Lynn

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