Cobb's 2 CIDs to help school TSPLOST voters
by Jon Gillooly
jgillooly@mdjonline.com
May 04, 2011 12:00 AM | 3074 views | 13 13 comments | 7 7 recommendations | email to a friend | print
MARIETTA — Cobb County’s two community improvement districts, Cumberland and Town Center, may give a total of half a million dollars toward educating voters ahead of next year’s regional transportation sales tax referendum.

The two entities have already given a combined $75,000 toward the effort, which is part of the expected $500,000 in contributions.

Tad Leithead, who chairs the Cumberland CID, said his board agreed last Sept. 30 to give $50,000 to the nonprofit known as the Metro Atlanta Voter Education Network, which was set up as the “education component” for the 2012 referendum. The Town Center CID board approved a $25,000 contribution last Nov. 30.

CIDs raise money by taxing commercial properties within their district. The Cumberland CID contains 180 commercial properties.

MAVEN “was specifically set up so that entities like us who are not in the ‘vote yes’ business but who are in the education business — appropriately so — can make contributions and be assured that the money will be used for education purposes,” Leithead said.

Voters in the 10-county metro area will vote in July 2012 on whether to pay an extra 1 percent sales tax for 10 years to fund regional transportation projects. The tax is estimated to bring in $7 billion to $8 billion over the 10 years.

MAVEN is chaired by Bob Voyles, CEO of Seven Oaks Company and member of the Perimeter Center Improvement District’s board.

Leithead said MAVEN hopes to raise about $2 million for the Transportation Special Purpose Local Option Sales Tax education efforts.

“The larger CIDs are going to be asked for $250,000, which would elevate our contribution by $200,000,” Leithead told his board on April 28. The requests for more money should come in the next month or two, he said.

As for promoting the TSPLOST, Leithead said a group called Citizens for Transportation Mobility has taken on that charge.

The pro-TSPLOST group is chaired by David Stockert, CEO of Atlanta-based Post Properties, and is made up of business people. Leithead said that group aims to raise about $4 million to promote the TSPLOST vote.

MAVEN and CTM were both created out of a coalition of more than 40 organizations, including all the area Chambers of Commerce, the Regional Business Coalition and the Council for Quality Growth, Leithead said.

Leithead said the CID money will be used for data collection, polling and website creation to list the projects of the 2012 TSPLOST.

He also indicated at his board meeting that it was time for other CIDs to step up to the plate when it came to financial contributions.

“We’re tired of always being out front on this. We’re interested in seeing other CIDs carrying their share of the burden, especially CIDs which are the same size as we are,” he said.

Leithead said there are 13 to 14 CIDs in the region.

The largest CIDs from a revenue standpoint, said Lynn Rainey, the attorney for Cobb’s CIDs, are likely Cumberland, North Fulton, Perimeter, Midtown and Buckhead.

“Those are probably the largest ones. That’s where high-rises are and high commercial values are,” Rainey said.

Leithead said the Regional Roundtable committee responsible for drafting the TSPLOST project list is set to meet on May 25 to pare down $25 billion worth of proposed projects to a list of about $7 billion to $8 billion of the most manageable projects.

The goal is to have the project list approved by September or October to allow time for the public to learn about the list before the July 2012 referendum.

The matter of CIDs contributing their public funds to SPLOST efforts was a controversial one in the county’s March 15, $492 million SPLOST referendum, which passed by fewer than 100 votes.

Cobb’s two CIDs contributed $150,000 to the pro-SPLOST Citizens for Cobb’s Future, which championed the passage of the county SPLOST. Heath Garrett, a paid consultant for the group, maintained that CIDs could contribute to education efforts, although the move was heavily criticized by anti-SPLOST groups.

But Leithead said CIDs are in the business of using their funds to enhance the potential for transportation improvements in the region to reduce traffic and create accessibility for commercial properties.

“That, in a nutshell, is what CIDs do, and it is very clear in the law that the CIDs can distribute information with regard to their district, they can fund projects, and they can educate the public with regard to opportunities for transportation enhancements within their district, so for a CID to invest, you know, whatever amount, $200,000, to potentially create a funding mechanism that could generate as much as $8 billion for the region, that’s really right in the core of what the CIDs are responsible for doing,” he said.
Comments
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Getting it Straight
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May 05, 2011
There certainly is a misunderstanding among Cobb County residents about CIDs. They are not funded with taxpayer money. Any area that has a CID is very fortunate. Commercial property owners are voluntarily paying extra property taxes for infrastructure improvements that help reduce traffic congestion, improve quality of life and create economic development. It's a great concept and we should all be grateful that these commercial property owners are willing to give up their own money to help the areas they are located in.
Cobb Taxpayer
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May 04, 2011
CID "self taxing" is nothing but a sham to leverage their self taxed dollars to obtain 100 times as much or even 1000 times or more in taxpayer money. The projects they want to educate us about only enhance the values and rental values of their propeties at taxpayers expense. They spend thousands to "educate" or "top level design" and then the state and feds pay millions of our tax dollars for those projects - really bad deal for taxpayers. Let the CID pay 100% for the projects and get off the taxpayers backs.
Samuel Adams
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May 04, 2011
Mr. Leithead and the chamber people are so used to running this county behind the scenes...it's too bad things aren't business as usual these days. Taxpayers have had it with the shady slush funds and propaganda campaigns. It's worked for years, but things are different now, and this TSPLOST is going to be dead in the water, no matter what big business exec gets behind it all.
Just Wait
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May 04, 2011
What a was of money. This tax is DOA! Why not donate it to Cobb County and keep our public safety people on the job.
just me
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May 04, 2011
save your money cumberland and towne center. You can talk until your blue in the face. I am not voting yes. I am taxed (as others) beyond belief. Balance the books with all your cut backs, be honest with us and maybe next time you need something we will be there, but first prove yourself.

Thank you Navy Seals and all troops for our continued safety.
LawPatrol
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May 04, 2011
« Readers should know wrote on Wednesday, May 04 at 07:56 AM »

"These COMMERCIAL property owners pay the tax voluntarily for the exact purposes stated in article."

How little you know about taxes. This statement of yours is a complete falsehood. The COMMERCIAL property owners do NOT pay the taxes, they merely collect the tax from the consumer and then remit it to the State as per Uniform Commercial Code, promulgated by the Congress of the United States, which has complete, exclusive jurisdiction over all COMMERCIAL ACTIVITY in this Country.

LP.

Do the Math
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May 04, 2011
Someone over at the MDJ should do the math to determine exactly what the CID's bring to the table in the form of streetscape improvements (THAT THEY FUND) which improves the area and takes the burden off the County and the County taxpayers. Also, the amount of money they put on the table in order to use as leverage for federal funds. It is quite a lot and they are a net positive working to improve two key centers that are economic engines for our county.
readmopaper
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May 04, 2011
The story is not about taxpayer money or roads or traffic. What's at issue is the CIDs use of tax money they get from their special collection. This is $500k they collected, supposedly for improvements to their infrastructure, that is being spent instead to "buy" the T-SPLOST election. They are a quasi-governmental entity created by the state legislature and given this taxing authority. No other governmental entity of any kind is permitted to fund or participate in any way in influencing voters. They got a "friendly" opinion from State Ethics saying they are NOT a government entity, so they CAN do it. Our corruption-fighting Attorney General won't say anything because the State Ethics Board is his "client". It's a crime against the people of Georgia but all the "loopholers" are happy with it because so many are in the food chain for the SPLOST money.
anonymous
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May 04, 2011
AWFUL - our tax dollars used to promote taxing us more.

I want my tax dollars used to prove that we don't need more taxing, where do I get to vote for that??

Who is in charge of giving my tax dollars to be used for such foolishness?

The Onlycritter
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May 04, 2011
"you are right" and "Pat H", neither CID is residential taxpayer funded. They are funded through commercial property taxes. Even people who live within these districts do not pay taxes to the CIDs.

YES to regional transit and mobility!
you are right
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May 04, 2011
The Cumberland CID is also a taxpayer-funded slush fund for the Cobb Chamber of Commerce. Close to a million dollars a year. Check it out MDJ.
Readers should know
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May 04, 2011
These COMMERCIAL property owners pay the tax voluntarily for the exact purposes stated in article. This isn't a residential or sales tax and many of the property owners live out of state. Some MDJ witch-hunts find no witches' brews or spells. Instead, a close looks will find hard working commercial property owners and their representatives, doing their part to help ease the traffic situation while allowing prosperity.
Pat H
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May 04, 2011
We need to stop funding CIDs with taxpayer funds. It is nothing but a slush fund for politicians to raise our taxes even more.

No more SPLOSTS.
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