...and isn't it about time the media started telling it?
An article in the current issue (3/2/09) of the Indianapolis Business Journal (IBJ) is headlined, "Hotels wary of shouldering larger load." Reference is to the availability of an increase in the innkeeper's tax to support the outrageous monetary policies of the Capital Improvement Board (CIB).
Granted, the basic approach of the article does concern the effect of the hotel tax on visitors. But we strongly resent the general tone of the story which consistently refers to the multiple sources of revenue for the CIB as "hospitality" taxes, including the food and beverage tax, with the implication that outside visitors would be the only payers.
Thousands upon thousands of resident taxpayers of this county, who will never see the inside of the palatial facilities the CIB builds and operates, pay the food and beverage tax every working day when they leave their workplace for a regular meal. They are not visitors, and they do not have a reasonable alternative to paying that tax.
The article makes many references to whether the city can remain "competitive" in the convention business with higher hotel taxes. But the next-to-last paragraph slides over a supremely important question which desperately needs the glare of the public spotlight.
"Marion County passed the first food and beverage tax in the state in the 1980s, to help fund the construction of the RCA Dome in hopes of luring an NFL team to Indianapolis. That tax, which never was rescinded, established a precedent for other communities to follow." (Our emphasis.)
The RCA Dome has been destroyed with virtually nothing of the principal debt having been retired. Are we to dismiss the disappearance of 25 years worth of revenue from that tax as irrelevant trivia?
The agreement for funding the new stadium, in part, says the "increase" of that tax - from 1% to 2% - will be used. The original 1% tax apparently is still disappearing into that black hole surrounded by the smoke and mirrors so prevalent around downtown finances.
Now the economic prophets, who have told us time and again about the tremendous benefits these downtown, pie-in-the-sky fantasies are for the "city," are going to tell us, "Oops. Sorry, but we're now going to have to triple the original tax to pay for a building that no longer exists and to meet other expenses which came as a complete surprise to us!"
Except that the word "sorry" probably won't appear. We're more likely to be told how stupid it would be to force the issue with the owners of the professional sports franchises. Nor are we apt to get a definition of the word "city" in identifying precisely where all these "benefits" fall.
It is time for a showdown. Not one penny more of public funds should be made available until valid explanations are forthcoming about all CIB financial machinations, including the aiding and abetting by political, business and media leadership.
Where did these tax dollars go? Would any new funds actually pay the new stadium debt or will they also disappear?
It is time for someone to step up, put a hand on the Bible, and swear to tell the truth, the whole truth and nothing but the truth in answering all these questions.
Do you have any objection to this post being copied and pasted into an e-mail to send to other people, provided you and your website are cited?
Posted by: Leslie Baker | February 28, 2009 at 07:00 PM
Not at all.
Posted by: Fred McCarthy | February 28, 2009 at 07:56 PM
How can anyone put a hand on the Bible and swear to tell the truth when (s)he does not recognize the truth. Truth and fantasy have been so melded that some of our leaders are unable to sort it out. When narcissism and greed rule the decisions of those who control our tax dollars, their goals rule and truth is not a part of the equation. As long as they can still eat at places like the Palomino and continue to tap into the tax payer's pocket, their world is a happy one. We have been mesmerized too long from Washington DC to the local government by charm over substance. It is time for the wake up call and time to think about what is happening instead of just assuming "it will all work out".
Posted by: Margaret Applegate | March 01, 2009 at 08:14 PM
well said by Margaret,these corrupt politicians only care for their deep pockets and are all related to each other by one sin or the other.That's how they manage to convince us to vote for them as they are big actors.
Posted by: Want to help sell home | March 07, 2009 at 09:49 PM