We all can relate to the fact that everything seems to cost more today than a few years ago. When the city of Covington was incorporated, there was a financial plan where the gas tax and other dedicated revenues were sufficient to cover street maintenance.
Since then those dedicated revenues declined and the cost of road repair has grown dramatically. The situation escalated where incoming revenues and output of cost was so out of balance that it forced the City Council to shift $250,000 from the current budget each year into infrastructure to stop complete decay.
Money dedicated to repair city roads is dwindling. Reduced driving, increased fuel efficiency, unforeseen initiatives and continually rising cost of street repairs are depleting our street funds. In 2017 the street fund will be completely insolvent.
After sitting on a citizens (budget priorities advisory) committee for Covington, I learned and saw how well the city of Covington spends its tax dollars. That citizen review group found Covington lives responsibly within its means. We learned that by state law, much of Covington’s revenue is for a specific use. It cannot be used or available for streets or police.
A transportation benefit district is a long term solution to the problem. Proposition 1 raises the sales tax by a modest 0.2 percent to 8.8 percent which still is under surrounding cities’ rates. This increase would generate roughly $750,000 per year to address Covington’s unmet transportation needs.
In addition, if the measure passes, it would allow the City Council to take the funds subsidizing the street fund — $250,000 currently — and dedicate them back into hiring an additional police officer and increase code enforcement by 10 hours a week. The tax will be spread and shared by all who use Covington roads when they shop in Covington. It is certainly fair that all who use the roads help maintain them.
Like all of you I try to maintain a balanced budget in my household and if I see the need for cost to go up I want to understand it, learn about it, and see if it is really needed.
Proposition 1 to me has double benefits. We are taking care of our street maintenance so the problem and the cost do not increase down the road and it increases our police protection and code enforcement. This maintains our unmatched quality of life and keeps Covington moving.
In simple terms you can relate to an increase in items purchased if the tax goes from 8.6 percent to 8.8 percent as to cost: 1 cent on a $5 latte or 20 cents on a $100 purchase. On average, citizens will pay $10 more a year from the increase to get a great bang for your buck.
I know I can afford to do that and I urge all of you to vote yes on Proposition 1 Covington transportation benefit district and keep Covington moving.
Leslie Hamada is chair of the Keep Covington Moving committee, which is campaigning in support of the city’s transportation benefit district measure on the November ballot.
