Starting January 1, 2017, Dayton residents will pay 2.5% income tax up from 2.25% income tax. Believe it or not, the residents actually voted to raise their own income tax believing any one of several lies:
- It’s for the kids, because we are going to fund the “pre-school promise” of free pre-school for all.
- We’re going to keep essential city services and add 20 police officers.
- The tax is mostly paid by people who don’t live in the city so it’s like legalized theft- taxation without representation.
With this increase we pay the same as Oakwood. We don’t have their schools, their housing values, their public safety forces, but we pay the same. This causes a problem for Oakwood, who used to survive on the .25% gap between rich CEO’s living in Oakwood and working in Dayton that they could collect- now- all the tax goes to Dayton- leaving Oakwood to either raise their income tax- or stop forgiving all of the income tax paid to outside jurisdictions- or raise property taxes. Brookville has already said they won’t forgive 1% of any other jurisdictions- so if you live in Brookville and work in Dayton- you’ll be paying a whopping 3.5%
Just remember that John Kasich lowered your state income tax .25% because he’s such a great guy- and stopped giving money back to all the local governments- which has put them in this bind.
As to Dayton- the quasi-governmental “Learn to Earn” people who are just charter schools in disguise will be getting somewhere around $4 .5 million a year for the next 8 years. They are allowed to keep 20% for overhead. They were funded by a mysterious PAC which didn’t file their post election report- but their pre-election report showed that this effort was well funded by all the people who manage to not pay real-estate taxes.  We will see if the BOE posts their report late tomorrow.
The average donation in the pre-election report was $1873.00.
Connecting the dots?
When I saw that East End Community Services just announced a big building for a new pre-school, I said- ah ha, thank you Issue 9.
East End Community Services is seeking financing to build an $8.3 million, 44,000-square-foot child and family learning center at the intersection of Steve Whalen Boulevard and Wyoming Street in the Twin Towers neighborhood — on land that could be donated to the nonprofit….
The learning center project would consolidate existing East Dayton Head Start classrooms and services done now at several sites, and if completed would grow the group’s space to seven classrooms for infants through pre-schoolers, with the children’s programs specifically managed by Miami Valley Child Development Centers.
Since there are no restrictions on these tax dollars, could this be one of the places Learn to Earn will spend the money? And- will there be parity across the river?
Adding police and cutting police
Miami Valley Hospital has been a benefactor of Historic South Park and the Fairgrounds/Rubicon neighborhood for the last 15 or so years. Subscribing to the idea that if the neighborhood around them is a slum- and riddled with crime, they may have a hard time attracting nurses and doctors to come to the hospital late at night (need an example- see Good Sam).
They funded the Genesis project and rebuilt the Fairgrounds neighborhood- subsidizing the housing for their employees- and making promises that the houses wouldn’t become student housing. Of course, they lied on the second part- as multiple homes have become very profitable Single Room Occupancy housing for some landlords who seem to be exempt from city law.
They also funded 2 community based police officers- actual Dayton Cops who only worked our neighborhoods. That was a big part of why Historic South Park was able to turn around- and be one of the few neighborhoods where property values actually increased- while the rest of the county tanked in the aftermath of the Wall Street real estate meltdown.
They have recently stated that they will stop funding our CBP’s in March. Why pay for Dayton cops- when:
- Dayton voters just voted to pay for more cops
- MVH has it’s own private police force and chief who have all the same powers as Dayton Cops- but don’t have to report to anyone elected or be subject to the same sunshine rules on their actions.
The neighborhood is devastated by the news. The new police chief at MVH- another former Dayton Cop- is thinking he just got more men under his command- which in a cops mind is like getting a bigger gun.
As if we didn’t notice…
And the myth that the higher income tax will continue to be paid by the businesses in Dayton who have employees that live outside the city- is all well and fine, except we’ve seen the growth of jobs at Austin Landing and Pentagon Parkway- where there is no income tax for white collar workers. In the long run, that 2.5% vs 0% figure is great for developers who want to build office parks on farm land- and is horrible for a city trying to fight its way back.
The worst part about it is that to encourage companies to locate in Dayton, the only tool left to entice them is handing over property tax abatement that adversely affect Dayton Public Schools- which are the number one reason why people with kids move out of the city if they can- leaving the district full of kids in poverty- that require more wrap-around services to effectively educate. It’s a vicious circle- and Dayton can’t seem to learn from its mistakes.
There are solutions, but they won’t come from City Hall, or other elected leaders. In the next few weeks, you’ll learn about some of them here, on esrati.com