Monday, June 16, 2008

Extra 1/2 Penny For Transit on the Agenda June 17th. By Geniusofdespair

You might not guess that this ordinance is about adding 1/2 penny to the sales tax but I read the accompanying PDF and it is. Have you ever seen anything disguised so well? It will never happen, too many Commissioners are facing challengers but it will be fun to watch on TV.

081869 Ordinance sponsors: Bruno A. Barreiro & Barbara J. Jordan
ORDINANCE LEVYING AND IMPOSING AN ADDITIONAL ONE HALF OF ONE PERCENT CHARTER COUNTY TRANSIT SYSTEM SURTAX AUTHORIZED BY SECTION 212.055(1), FLORIDA STATUTES (2007) ON ALL TRANSACTIONS OCCURRING IN MIAMI-DADE COUNTY OTHERWISE SUBJECT TO THE STATE TAX IMPOSED ON SALES, USE, RENTALS, ADMISSIONS AND OTHER TRANSACTIONS BY CHAPTER 212, FLORIDA STATUTES (2007); PROVIDING EXCEPTIONS; (Yes there is more) PROVIDING LIMITATIONS AND PROCEDURES FOR ADMINISTRATION AND COLLECTION; PROVIDING FOR USE OF SURTAX PROCEEDS; GRANTING CITIZENS’ INDEPENDENT TRANSPORTATION TRUST CERTAIN POWERS OVER THE USE AND EXPENDITURE OF FUNDS ALLOCATED TO MIAMI-DADE TRANSIT (“MDT”); EXPRESSING INTENT TO INCREASE LEVEL OF SUPPORT FOR MDT IN SUBSEQUENT FISCAL YEARS; PROVIDING SEVERABILITY, INCLUSION IN THE CODE, AND AN EFFECTIVE DATE; AND REQUIRING THE CLERK OF THIS BOARD TO MAIL CERTIFIED COPIES HEREOF TO BOTH THE FLORIDA DEPARTMENT OF STATE AND THE FLORIDA DEPARTMENT OF REVENUE WITHIN TEN DAYS AFTER ENACTMENT

8 comments:

Anonymous said...

If they pass this, there will be a holy war in Miami.

Anonymous said...

1) Martinez is responsible for Transit failure — what is needed is an east west rail down kendall. Because of all the waste and poor management at transit the promise of matching federal funds has been revoked. Simply put the feds don’t trust us with their money.

2) martinez is in the pocket of developers....

Anonymous said...

Genius, I don't see where the disguise is.

The Item Title says it right there in the first sentence:

"ORDINANCE LEVYING AND IMPOSING AN ADDITIONAL ONE HALF OF ONE PERCENT CHARTER COUNTY TRANSIT SYSTEM SURTAX AUTHORIZED BY SECTION 212.055(1), FLORIDA STATUTES (2007)"

Now, to be clear, and I think this might be where some of the confusion lies, the sales tax can only be increased following: (1) approval by the County Commission and (2) a favorable vote by the electorate. (look at attached resolution very closely). In other words, the only thing the County Commission can do tomorrow is set the matter for a vote of the entire electorate, just like the last few occasions (PHT, failed penny tax, last half penny tax).

Now, lets look at reality, if the BCC decides to move forward here, they are barking up the wrong tree. I would argue it is a waste of taxpayers money to force the Elections Department to spend the money in order to even put that question on the ballot. It makes no sense. I would be absolutely shocked if it passed, and, according to Larry Lebowitz, who was on with Eliot Rodriguez this weekend (you should check out the video on the CBS 4 Webpage), he has counted the votes, and it is not even close.

Geniusofdespair said...

Clear:

The Board of County Commissioners wishes to levy an additional 1/2 cent sales tax to benefit transit.
----------------------------------------
We have citizens that speak English as a second language. I think the county should be clear so that all the citizens know what is going on.

Or even clearer:

The Board of County Commissioners wishes to levy an additional 1/2 cent sales tax to further deceive the citizens because once wasn't enough.

Anonymous said...

Like the great Miami Lakes Councilman Michael Pizzi stated on May 14, 2008

''Unfortunately, this is a commission that would build a cyanide factory next to a playground if you hired the right 12 lobbyists,''

We need TERM LIMITS on the ballot once and for all. ALL 13.

Anonymous said...

Here is a article fresh off the presses from our friends at the Herald:

New half-cent Dade transit tax is dead on arrival
BY LARRY LEBOWITZ
Miami-Dade County commissioners, as expected, on Tuesday rejected a plan that would have asked voters to approve another half-cent sales tax for the financially troubled transit agency in the fall.
Commissioners voted 10-2 to reject Chairman Bruno Barreiro's plan, which would have raised the local sales tax for transit to 1 percent. In return, Barreiro wanted to provide free rides to everyone.

Barreiro and Commissioner Barbara Jordan cast the only votes in favor of the proposal.

The commission delayed until later Tuesday afternoon any discussion of Jordan's proposed 50-cent increase in base transit fares and a $25 increase to $100 for monthly passes.

Anonymous said...

This was a very interesting post from Investigation Miami on the subject:

At Tuesday's county commission meeting, County Manager George Burgess introduced a staff presentation on the status of the Miami-Dade Transit agency with some "unscripted" remarks. That is if you believe anything coming from the county administration to the public is unscripted. In his introduction, Burgess basically dismissed the criticism levied against the county regarding the over promising on the first half-penny sales tax as "Monday morning quarterbacking."

What Mr. Burgess fails to acknowledge is because the county bureaucracy is so arcane, so entrenched in protecting its own and so committed to taking care of the parochial interests of district commissioners rather than county citizens as a whole, we have no choice but to Monday morning quarterback.

If citizens had known what Mr. Burgess, Commissioner Barreiro, and others accepted as fact at the dais today - that there was a total lack of financial integrity behind the Peoples Transportation Plan presented to the voters in 2002, there is no way it would have ever been approved.

What Mr. Burgess also fails to acknowledge is that the "Monday morning quarterbacks" have forced the county's hand on transit. If not for the MMQ's we would just be hearing more of the same. And the county would still be getting by with the irresponsible use of tax dollars to support transit operations. But exactly who are the Monday morning quarterbacks?

I think the number 1 draft pick for Monday morning quarterback is Commissioner Carlos Gimenez. He was the one who first opened our eyes on the heretofore undisclosed operating deficits for Miami Dade Transit. He was the first commissioner to question how a department can overspend its budget without a public discussion. Mr. Burgess headed up the budget function for years at the county and had let it go for the same number of years.

Commissioner Gimenez was as surprised as the average citizen that a department could overspend its budget without a public hearing and review. So he asked the county to adopt a "financial integrity ordinance" similar to the one in effect at the city of Miami since the days of the oversight board. Under the ordinance, it would be illegal for a county department to overspend its budget. As a result, any potential budget deficit would be aired in the public because only the board of commissioners could allocate the funds needed to maintain a balanced budget. What did he get in return? A fight from Mr. Burgess and a no vote from the commission. (By the way, let's hope the commissioner reintroduces the ordinance in conjunction with the upcoming budget hearings).

The next draft pick might be the United States Department of Transportation. After years of supporting expansion of the Metrorail, it has downgraded the northern corridor section of the Orange Line to "medium-low." That rating makes it ineligible for federal funds.

The reasons for the downgrade sound a lot like some of the reasons we are frustrated with the lack of results from the Peoples Transportation Plan - (1) lack of sufficient funds to operate existing transit systems, (2) inability to maintain existing systems as well as the proposed expansions of Metrorail and (3) doubt as to the county's will to raise transit fares contained in the northern corridor pro formas because its track record on fare increases shows only one minor increase (25 cents) in the past 17 years.

And rounding out the bench, we might want to have the Citizens Independent Transportation Trust. These folk are probably trying to do the right thing. But since the county administration shows them only the things that Mr. Burgess and his staff want them to see, they find themselves in a position of overseeing funds that have been expended to cover historical departmental deficits, deferred maintenance of existing infrastructure and projects that were woefully under budgeted when they were promised to the voters.

Commissioner Gimenez, as starting quarterback, has led the charge to reform Miami-Dade transit. He wants a thorough analysis of the existing system, including reliable financial projections, before putting one more dollar into expansion of the system. As frustrating as that view is, he is totally right. There is so much unrest in the public forum at this point, we risk the repeal of the first 1/2 penny and with that repeal the chance to fix the problems for the long-term unless confidence is restored.

As for the staff presentation in the meeting, it was more of the same baloney we are used to. They spoke of the current operating deficit - $16.5 million this year and $20 million per year going forward. Their cure? Increase fares by 50 cents now and implement fare increases based upon an index in the future.

Okay, that sounds fine, but what index would the county administration use? CPI? No, they want to use the "MDT Operating Cost Index" - they would index fares to the costs to run MDT. According to the county administration, the MDT Operating Cost Index is preferable to CPI because it take into account MTD's specific basket of costs and "operating efficiencies." What operating efficiencies? Using MTD's own costs as an index will reward its operating deficiencies - like why have MDT's payroll costs (which consume 70% of its budget) increased at 5 1/2% per year, well above average salary inflation costs in the area?

Other than fare increases based upon MDT's operating deficiencies, not much more was offered in the staff presentation - transition in the future to more fuel-efficient and lower emission buses and changing Metrorail to AC electrical powering. Oh, they are going to implement better analysis of routes and related staffing, but those sorts of efficiencies were not quantified.

After watching the meeting, I have no doubt that the commissioners and the public need to take a real hard look at MDT. That starts with Commissioner Gimenez's suggestion of no money for expansion until we know what the existing system will cost us to maintain and operate.

Here are a couple of the things I'd like to see:

• Adoption of Commissioner Gimenez's proposals to transfer more power to the CITT

• Honest projections of the cost to operate and maintain existing systems. Maintenance cost should be projected based upon repair, refurbishment and replacement plans necessary to keep the system safe, not based on plans to minimize MDT's deficit or county general fund subsidy. Operating cost projections should be compared with historical trends rather than the sort of inflation assumptions that have consistently led to understatement of expected expenses.

• The adoption of an ordinance that would make fare increases automatic based upon a reasonable index. The politics need to be taken out of fare increase decisions and the index should not reward inefficiencies and salary costs that outstrip inflation.

• A “come to your maker” confession of which promises will and will not be kept from the Peoples Transportation Plan. Get it over with. Come clean now so that we can move forward – but be careful. Don’t over promise again.

• The projections for which promises will be kept will include some that expanded the existing system. But please, this time around use real tried and true estimating techniques, including that basic one of considering the impact of inflation.

• Finally, the county needs to start looking at lower cost alternatives to Metrorail. At well over $200 million a mile in construction costs alone, it will never take us anywhere.


There are many questions that deserve to be answered. There are a lot of things to do to fix this mess. Mr. Burgess has, I hope unintentionally, dismissed us as Monday morning quarterbacks. But if the county had come clean a long time ago, we would have no need to dust the mothballs off our jerseys.

Mr. Burgess said in his presentation that once the PTP was approved and all those promises were made, he had no choice but to start delivering on them even if they were foolish. That wasn't the only option. He could have called a timeout, consulted with the coach and admitted that some of the PTP promises would have to be broken because it was not feasible to live up to them all. If he had done that a few years ago, there would be no need for this quarterback draft today.

But as it is, Commissioner Gimenez, who was once the manager of a city that had to face the same sort of clean up effort, the FTA, with its BIG purse strings, and the CITT, in its oversight role, will need to step up to the line and bring the game home. All in all, it should prove to be a good quarterback draft.

Anonymous said...

very well done last anon

I have been feeling lonely in my understanding of this debacle.

m