Reason #7,392 to Vote No on Issue 7: Cuyahoga County Council Admits They Do Not Know How Sin Tax Money Will Be Spent!

Amazing!  

Confirming the elected officials on Cuyahoga County Council were derelict in duty regarding Issue 7 the Sin Tax extension - you will see below - even though they did not know how the funds for the Sin Tax extension would be spent - they voted to put it on the ballot anyway. 

From Cleveland Magazine --

If the “sin tax” for stadiums passes May 6, who decides how much will go to the city of Cleveland, and how much to Gateway?

Who’ll decide what gets replaced first — the Quicken Loans Arena roof or the ramps at Progressive Field or the seats at FirstEnergy Stadium? Can any of it go to pay off construction debt, or will it all go to repairs and new scoreboards?

We don’t know. No one does. The city and Cuyahoga County still have to negotiate how they’ll share the alcohol and cigarette tax money. The negotiations won’t be easy. And they don’t intend to hash it out until after voters approve the tax. 

“We do recognize that this is a gap in the legislation,” county councilman Dave Greenspan told me recently. “It is an issue we will need to deliberate on.” 

The “sin tax” on alcohol and cigarettes is a county tax. So if voters extend it, the Cuyahoga County Council gets to decide how it’s spent. But city, county and business leaders say the extension is meant for repairs at all three publicly-owned sports facilities. (You can see the Indians' and Cavs' wish lists and a report about the Browns' stadium here.)

The city owns the football stadium, while the public Gateway corporation owns the baseball stadium and basketball arena. How will the money be divided? 

“I think it will probably be even,” Mayor Frank Jackson said at the February press conference that kicked off the pro-sin tax campaign. Jackson wants the tax revenue, a projected $260 million over 20 years, to be split equally among baseball, football, and basketball. 

But at a January meeting, Greenspan and three other Cuyahoga County council members warned Jackson’s chief of staff, Ken Silliman, not to expect an even split. 

“A third, a third, a third is not something I am interested in,” Greenspan tells me. “I’m a big believer that the money follows the need. If in one year, Progressive Field has greater needs than the other two, that’s where money will go.” 

The city and county haven’t had to share stadium money like this before. The first stadium sin tax, from 1990 to 2005, was earmarked for Gateway, to build Progressive Field and the Q. When the tax was renewed for 2005 to 2015, the first $116 million was earmarked for building and repairing FirstEnergy Stadium. (The last year or so of the tax will go to the county.) 

But if the tax is extended to 2035, the city and county will have competing interests for the same pot of cash. The Jackson and FitzGerald administrations want to negotiate a cooperative agreement to figure out how to sort through those interests. 

It’ll be tough. The Browns’ lease is more complex and vague about what the public has to pay for than the Indians’ and Cavs’ leases. The football stadium is newer and is used less often, but it’s bigger, and it’s battered by lakeshore winds. Gateway already has a system for weighing Progressive Field’s repair needs versus the Q’s. But that doesn’t help any with the football stadium -- unless Gateway were to take it over too. 

The county will have the upper hand in negotiations with the city, because it levies the tax. But the cost of public stadium ownership is falling harder on the city right now. Cleveland is still paying off $13 million a year in construction debt on the football stadium, while the county is paying off $9 million a year in debt from the Q. 

Could any sin tax money go to those old debts? City councilmen Brian Cummins and Mike Polensek have asked that question, and Jackson has entertained the possibility. But it seems unlikely. The county council sounds unwilling to hand over a straight third of the tax money to the city, and the county seems entirely focused on future repairs, not past debt. 

Why wasn’t this all figured out before the tax went on the ballot? Greenspan asked that question at the January meeting. 

“Those discussions need to happen, in my opinion, before the vote in May,” he said then, “so that the voters understand the complexity and understand the fundamental decision-making process as to how these funds are going to be used.” 

He was ignored. Our elected officials would rather present a united front to get the tax passed, then argue about the messy details later.

And as we see - even though County Councilman Greenspan's concerns were ignored - all members of the County Council, including Greenspan - voted to put Issue 7 the Sin Tax extension on the ballot.

This is the same Cuyahoga County "take the money & run" attitude that has plagued this area for far too long!  So much for the County Reform as it looks more like the status quo of weak and spineless elected officials unwilling to stand up for the people in Cuyahoga County!

By Voting No on Issue 7 - you will simply be forcing the elected leaders of this area to do the job they were elected to do!

Issue 7: Vote No on the Sin Tax & Keep Cleveland Strong!

Vote No on the Sin Tax Issue 7

Issue 7 means twenty more years of taxes and broken promises.

20 MORE YEARS OF TAXES:

We built the stadiums but the owners got even MORE.

• Bed Tax- $42,208,096 between 2000-2010
• Car Rental Tax- $30,777,748 between 2000-2010
• Concessions- Receives all the profit from concessions sold at games
• Parking- $117,802,711 between 2000-2010
• Stadium Ads- Receives all profits from ads placed in the Stadiums.
• Naming Rights- Recently sold for $100 million.

TWENTY MORE YEARS OF BROKEN PROMISES:

They Promised More Jobs:

Stadium promoters promised 28,000 jobs would be created in the Gateway district. This never happened. It is estimated that only a third of those the jobs appeared. Does this Keep Cleveland Strong? NO!

They Promised a Stronger Community:

One out of every three Clevelanders now lives in poverty and more than one-quarter of Cuyahoga County mortgages are underwater. Yet Issue 7 would give millionaire franchise owners millions more!!

THERE IS ANOTHER WAY:

The downtown power brokers, politicians and billionaire franchise owners are trying to rush this tax through. We should slow down the process and explore other options.

• The New England Patriots relied on private funding to build their stadium, using public funding for only 17% of their costs.
• The Indianapolis Colts increased taxes in 6 counties outside Indianapolis  to help fund the Lucas Oil Stadium.
• The Denver Broncos enacted a multi-county sales tax to help fund the Sports Authority Field at Mile High Stadium, helping their home town taxpayers.

Those three teams evidently know more than just how to win football games!! (Don’t you wish the Browns did, too?)

Go to the Coalition Against Unfair Taxes to learn more by clicking here!

Senior Pastor at Old Stone Church & Former President of Downtown Cleveland Residents Association: "Vote No on Issue 7 - The Sin Tax"

The below is an opinion piece against Issue 7, the Sin Tax, by R. Mark Giuliano - the senior pastor of the Old Stone Church on Public Square and the former president of the Downtown Cleveland Residents Association...

From The Plain Dealer -- 

 

Great things are happening in Cleveland, there's no doubt about it. As a downtown resident, immediate past president of the Downtown Cleveland Residents Association, and senior pastor of the historic Old Stone Church on Public Square, I have seen, firsthand, the emerging strength of our city core over the last six years, and would be discouraged, to say the least, to see it stop or even slow now. But a new Cleveland needs a new way of doing business and that could very well start by ending the so called “sin tax.”

Do our stadiums bring added economic and social value to downtown Cleveland and the region as a whole? Yes; clearly! The Gateway District alone is booming with new restaurants, pubs and, most importantly, new residents who bring a demand for more housing and retail in downtown such as the new Heinen's 33,000-square-foot grocery store at East Ninth Street and Euclid Avenue. Do the stadiums belong to us and not the teams who play in them? Yes; we are all shareholders. As owners and landlords of these community assets, do we need to provide periodic maintenance and upgrades? Again, yes; if we want pro sports teams and the ability to host major concerts and events, of course we do. But is a sin tax the way to get the job done in the most equitable and helpful way? Probably not.

Growing cities look for smart ways of powering their cultural economic engines. Let our esteemed council people take the lead by exploring more just and contemporary ways of funding our important stadiums and the economic dividend they bring.

Besides, the research shows that sin taxes do not work the way some revenue-hungry benefactors claim they do. In their 2009 article, "Taxing Sin," for the market-oriented research group, the Mercatus Center of George Mason University, Richard Williams and Katelyn Christ debunk the myths surrounding sin taxes: Sin taxes don't discourage unhealthy behaviors such as drinking and smoking (the original argument for sin tax). And more often than not, monies raised are less likely to fund programs that help those with unhealthy behaviors (research, cessation programs, etc.) and more likely to fund stadiums and the arts. Moreover, sin taxes create a codependent relationship, where those funded need those taxed to continue in their unhealthy ways in order to keep the revenue stream flowing.

Of greatest concern to me, and anyone else who cares about what is just, is the fact that a sin tax is a tax where a targeted group of citizens bears the burden of the whole. And sin taxes usually fall, say Williams and Christ, "disproportionately on consumers at the lower end of the income distribution," those least likely, financially speaking, to be able to enjoy the benefits of our pro sporting and entertainment events. A sin tax, in other words, singles out and places an unjust burden on the few, often those with less means, to generate benefits for the many.

The sin tax is an easy but unimaginative and grossly unfair way of generating necessary funds to sustain Cleveland’s amenities. I'm all for taking care of our stadiums and our exceptional arts programs, but why not do it through a fairer and more sophisticated, multilayered approach which spreads out the tax burden of stadium ownership while nudging up rental fees. Or, at the very least, why not extend a small fractional sales tax levied on all citizens? After all, if we all benefit, and I think we do, then we should all contribute. Let’s love the sin and hate the tax!

R. Mark Giuliano is the senior pastor of the Old Stone Church on Public Square and the former president of the Downtown Cleveland Residents Association.

Vote No on Issue 7

Stop the Sin Tax!

Keep Cleveland Strong: Vote No on Sin Tax Issue 7!

It is time for all hands on deck to beat Issue 7 the proposed Sin Tax extension!  

Not surprisingly, on the pro-Sin Tax side the corporate cabal that has been fleecing the residents of Cuyahoga County for far too long - the Greater Cleveland Partnership (GCP) - has been running a constant campaign of misleading half truths and shameful scare tactics in the efforts to pass the Sin Tax.

Under the leadership of the same so-called corporate & elected leaders supporting the Sin Tax extension, the Cleveland/Cuyahoga County has continually rated in the top rankings of Worst City, Most Miserable City or Most Dangerous to live in the U.S. (2010, 2011, 2012 & 2013).  

And, I guess in trying to out do themselves being the 7th most financially distressed region in the U.S. for 2012 - the Cleveland/Cuyahoga area was rated the #1 Most Miserable City to live and one of the Worst Run Cities in the U.S. in 2014!

So as you see - while the pro-Sin Tax cabal has claimed the tag "Keep Cleveland Strong" it is clear this Cuyahoga County cadre of corporate clowns just want to "Keep Doing Cleveland Wrong!"

Why Should You Vote No on Issue 7?

If giving more money to the same corporate & elected leaders whose continued failed leadership earned us the above "stellar & cellar" rankings is not enough to Vote No on Issue 7 maybe how they are continuing to fleece the region for their pet projects will....

We still owe approximately $70 million on the Gateway bonds and will be paying those until 2023 to cover cost over runs in building Progressive Field & Quicken Loans Arena and to cover the poorly negotiated team leases.

The same Greater Cleveland Partnership fronted groups pushing for the Sin Tax are made up from the same corporate social club that pushed and received the forced sales tax increase for the Med Mart. In which we just paid another $3 million to part ways with the original developer MMPI.

And in the latest endeavor of feeding at the public trough is the proposed redesigning of Public Square at the cost of $60 million by Land Studios - another Greater Cleveland Partnership controlled front group.  

The City of Cleveland and Cuyahoga County have each pledged $10 million towards this project. That would be $20 million of your money! Forget about being responsible and using this money for their poorly negotiated leases, the Sin Tax or maybe important things like fixing our failing infrastructure & roads - we need more grass, green space and park benches! 

To summarize the Sin Tax -- 

The Sin Tax is set to expire in August 2015. 

Using their money & influence as the largest Chamber of Commerce in Ohio and one of the largest metropolitan chambers of commerce in the nation, the GCP had the GOP controlled Ohio Legislature add in a last minute provision to Governor Kasich's budget bill that would give Cuyahoga County the option to extend the Sin Tax beyond the scheduled 2015 expiration. 

Yes, the so-called "Party of Lower Taxes" controlling the Ohio legislature supported a tax extension. A better way of saying it is - the Ohio legislature dare not and know better than to defy the wishes of the Greater Cleveland Partnership.  

In conducting what amounted to nothing more than a dog & pony show for their pre-determined outcome and, without any meaningful discussions or consideration on alternative funding, the Cuyahoga County Council - doing their bidding for the GCP - immediately looked to your pocket book, and unanimously voted to put Issue 7 the Sin Tax extension on the upcoming May primary ballot.

To be clear with an indisputable fact - there was no need to immediately ask the voters to pay for the Sin Tax extension - there was plenty of time and it could have been put on the November 2014 or May 2015 ballot. And furthermore, there is no danger of losing our beloved sports teams should the Sin Tax extension be voted down.

If they wanted, the so-called corporate & elected "leaders" in Cuyahoga County had and still have more than enough time to explore alternative funding avenues for the Sin Tax.  

Without jeopardizing any funding or violating the leases, the Sin Tax extension could have been placed on the November 2014 or May 2015 ballot. Instead, and as usual in Cuyahoga County, they immediately look to the voters to support this "Billionaire Bailout" for the stadiums. 

By voting No on Issue 7 - it will simply force the so-called corporate & elected leaders to do their due diligence - which they did not do when the original leases were negotiated or now when they came straight to the voters asking for what amounts to a stimulus for the stadiums and/or a bailout for billionaires.

Most importantly voting No on Issue 7 will send a message that we the people of Cuyahoga County will no longer stand for the status quo that was supposed to have stopped with the Greater Cleveland Partnership pushed County Reform.

It is time to say enough is enough! 

Vote No on Issue 7!

Vote No on Issue 7: Spineless Pro-Sinners

As we see many local elected officials & candidates cowering in fear of the Greater Cleveland Partnership if they do not support passage of the Sin Tax (Issue 7), it is nice to see some candidates showing the resolve and integrity to stand up to the same corporate cabal that has been fleecing Cuyahoga County residents since their inception in 2004.  

To date, City of Cleveland Council members Brian Cummins & Michael Polensek are the only elected officials brave enough to speak out against the Sin Tax.

Sadly, every single one of the current County Council members & County Executive Ed FitzGerald showed they were woefully lacking in the spine department when it came to Issue 7 when they unanimously, with minimal if any discussion of alternative funding avenues, voted for it to be placed on the May 2014 ballot.

In the contested races for County Council and the Democrat primary for County Executive, there are only 2 candidates that have shown they are willing to speak out against the status quo and have declared their opposition to Issue 7, the Sin Tax.

Challenging incumbent County Councilwoman Sunny Simon in District 11 is John Currid.  Besides wanting a plastic bag tax, Simon is a staunch supporter of  - and had no issues with immediately asking the voters to pay for - the Sin Tax.

In contrast to Simon, her challenger John Currid is very clear in his stance against Issue 7 the Sin Tax. He does not believe that the voters should again be burdened with the Sin Tax.

From John Currid --

FOR IMMEDIATE RELEASE 

February 18, 2014 

CONTACT: 

John J. Currid

(216) 502-0914

campaign@bestcuyahoga.com

WEBSITE:

http://www.BESTCuyahoga.com

Innovative Thinking and Fresh Ideas Needed; the Sin Tax Is a Failed Funding Scheme. 

South Euclid, OH – John J. Currid, Candidate for County Council, District 11 has come out against the renewal of the County Sin Tax and urges residents to reject the upcoming tax levy. Previous leaders for both the City of Cleveland and Cuyahoga County entered into agreements that were short sighted and placed a heavy burden on the residents of Cuyahoga County. The Sin Tax was established as a scheme to pay for the unfunded promises of Gateway and the Cleveland Browns Stadium. 

“I am running for County Council because the time is long overdue for leadership that provides unique ideas and innovative solutions that makes Cuyahoga County more attractive to young families and competitive businesses throughout the county” says Currid. 

If the Sin Tax is not renewed, the county and City of Cleveland are still responsible for the legal agreements made with each of the teams. With the announcement that United Airlines is pulling their Hub from Cleveland Hopkins Airport there is a distinctive opportunity to responsibly fund these obligations while making Cuyahoga County an inviting community for families to take root and competitive for businesses to prosper. 

Rather then burdening the residents with this continued tax Currid suggests, “The time has come to close Burke Lakefront Airport and immediately implement a redevelopment plan for the lakefront. Burke Lakefront is an unnecessary and rarely used luxury that we can no longer afford.” 

The benefits of a thriving lakefront support a BEST Cuyahoga; this is a responsible and achievable plan that makes Cuyahoga County more competitive and desirable for families and businesses to invest in the county while loosening the tax burden currently keeping the region down. To learn more about this and other plans that make up the BEST Cuyahoga (Business, Education, Safety, & Taxes) visit www.BESTCuyahoga.com. 

###

On the other side of the aisle, in the Democrat primary for County Executive, against the establishment supported front-runner Armond Budish, all but one of the candidates are Sin Tax supporters.

Democrat candidate Tim Russo has been the only County Executive candidate that has been vocal and actively working across the political aisle in trying to defeat the Sin Tax.  

County Council incumbents & Ed FitzGerald should all be ashamed for continuing with the same status quo, especially since the voters in Cuyahoga County spoke out against the status quo by passing the County Reform. Candidates and elected officials brave enough to stand up for the people in this county should be applauded!

Keep Cleveland Strong!

Vote No on Issue 7 

Corporate Charlatan's Supporting Sin Tax (Issue 7) Dismiss Proposed "Fair Share" Facility Fee

The Coalition Against the Sin Tax held a press conference yesterday to offer up an alternative avenue of funding to replace the proposed Sin Tax extension.

This "Fair Share" Facility Fee would be $3.25 per ticket for events held at Progressive Field, Quicken Loans Arena & First Energy Stadium. This proposed fee would generate an amount roughly equal ($13 - $14 million per year) to what is raised with the current Sin Tax on cigarettes & alcohol.

The hypocrisy of the pro-sin tax crowd is priceless.  Without even looking at it -- they immediately dismiss the Fair Share plan of being hastily put together.

Really?  This coming from the same people that did not consider any alternative funding measures and came directly to the people at the first opportunity they could.

It is time to come together to put a stop to this corporate cabal of charlatan's - The Greater Cleveland Partnership - that have been fleecing this area for far too long.  

For those that may not remember - always having their hands in our pockets - the Greater Cleveland Partnership is the same group that pushed the forced sales tax increase for the Med Mart too.  And the same as they did then they are doing now - looking straight to the residents to pay for their projects.

Vote No on the Sin Tax (Issue 7)

Below is a copy of the Fair Share Plan from the Coalition Against the Sin Tax.

Fair Share Facility Fee proposal, a preferable alternative to the proposed 20-year $260 million Sin Tax up... by Andrea Torres

Cleveland-area bingo players say No Dice on Sin Tax!

From the Coalition Against The Sin Tax --

Earlier this week, the Coalition Against the Sin Tax (C.A.S.T.) visited a popular Cleveland-area bingo game to speak with citizens about Issue 7 — the proposed $260+ million Sin Tax on alcohol and cigarettes that Cuyahoga County’s business and political leaders want to take from the County’s residents to give to Cleveland’s pro sports teams for improvements to their facilities. 

Not surprisingly, the bingo players were none too pleased with the idea of the sports owners reaching back into their kitty....

Unfortunately, there’s far too much doubt as to whether informed opinions of regular Clevelanders will be heard in this low-turnout May election, especially with hundreds of thousands of dollars worth of “Keep Cleveland Strong” propaganda flooding the County like something out of an Orwell novel. 

Which makes it especially important for folks to inform themselves and stand up for themselves, including in Cuyahoga County on May 6 by voting no on Issue 7.

Join in the fight to stop the Sin Tax! (Vote No on Issue 7)

Click here or on the below photo and go to the Coalition Against The Sin Tax webpage & sign up for more info, volunteer sign up, fundraising info and email updates.  

Click here to "Like" their Facebook page and share it with your social networks.  Save the picture below and use it as your Facebook profile picture.