Guest Column: T-SPLOST and the Parable of the Broken Ipod

Thursday, August 16, 2012

Augusta, GA

By Taylor Bryant

The economy is strictly driven on the prosper or downfall of individuals. People may talk about large corporations, government, or non profit organizations driving the economy through hire, spending, failure, or stimulus, but it all boils down to each of us being able to pay our bills, satisfy our material desires, and provide for our families or even ourselves. When we are facing a reduction of income, we cut back. We watch our cell phone minutes, take less trips across town, order the cheaper combo meal, or we skip that vacation. The economy always comes down to a personal impact, which is the way it should be. 

Months ago I was at work and while helping a co-worker, my iPod slipped out of my pocket. It crashed to the ground, breaking the screen, rendering it useless. I had just purchased this about a month prior, costing a little over $200. It was one frivolity I had, saving up a few weeks of expendable income to purchase. It made my stomach turn that I had spent that money on this device, and in one swoop, I had ruined it. It was destroyed, and the only thing to fix my situation was to plunk down another $200 to buy another one. At this point in my life, I feel that $200 is more important to me than an iPod, so I decided not to buy another one until my finances were intact enough to do so. 

Fast forward to August. My birthday is August 31st, so I am due for a birthday present from Mrs. Bryant. I have thought for a while what I could possibly want, and it comes down to a few things. I would like to replace the radio in my car, which doesn’t work, or possibly a new iPod to replace the destroyed one. Decisions, decisions....

Destruction and maintenance is a drain on our individual economy, the only one that matters. When a natural disaster strikes, the roofers, disaster clean up crews, and the contractors tend to do well in fixing the problems that accompany the fallout. Just like potholes, the crews filling them make money filling them, which “stimulates” the economy through a trickle down process. Does destruction and ongoing maintenance really create jobs and keep our economy on an even keel? The supporters of TSPLOST seem to think so, enough that the idea was included on the ballot language for Georgia voters to ponder.

Back to the personal side of things. If I decide to ask for an iPod, I am no more richer personally than seconds before I dropped the one I had. We are back to square one, except my family is now poorer by $200. If I had not dropped the iPod, creating a $200 stimulus to the Apple Corporation, I would have had a perfectly funtioning iPod and a nice radio for my car. So destruction has robbed me of my chance of both, which is a negative economic impact to my family. Same for maintenance. If I had decided that my car had needed $200 of brake pads and rotors, I have, at the end, a functioning vehicle, as I had before. What I don’t have is $200. $200 at this home is a big deal. 

Fast forward several years from now when many of these projects the TSPLOST folks have managed to get done actually happen. These projects will need ongoing maintenance that is not covered by the initial package funds. Taxes will have to be raised to keep up with new infrastructure. Now, we have to fix roads that didn’t exist with money we don’t have. This will trickle down to the individual, now strapped with 1% less buying power at the gate and increased property and income taxes for maintenance and destruction costs. This will directly affect your family’s buying power at the car lot, the grocery store, and everywhere products are sold. People, this is not what we needed at exactly the time we didn’t need it. The same goes with ESPLOST, because those new schools we build will need new low bid air conditioning units and all those new buses will need maintenance. Regular SPLOSTS? If a pipe busts in the Miller theater, we pay for that now. Just like a broken iPod. 

So, back to the personal effect... I have about $20,000 of income a year that is not subject to the TSPLOST tax. This includes money I spend on groceries, entertainment, merchandise, textbooks for Mrs. Bryant, school supplies for the kiddies, tools for work,  etcetera. I spend pretty much all of it over the year, not able to save much due to being a one income family. So TSPLOST takes one percent of that. That makes my share of this farce of a stimulus about $200 a year. 

Hmmmm...what could I purchase for $200?

(Note: This is not a new thought. Frederic Bastiat first published the “Broken Window Parable” in 1850. Google it, he explains it better than I can)

Taylor Bryant*

*Bryant has previously ran for the Georgia State Senate (Dist 22) and the Richmond County School Board (Dist 6) as a Libertarian.

Taylor Bryant: It's Time for a Local Economic Development Revolution

Billions of Dollars in Direct Economic Impact Packaged and Ready to Roll

Economic Development: Time for a Revolution
Monday, Jan. 23, 2012
Augusta, GA

By Taylor Bryant

The study of economic theory and practice has been a hobby of mine for quite some time now. I have studied the works of Frederic Bastiat, John Maynard Keynes, Murray Rothbard, and F.A. Hayek to name a few, and I will be the first to admit I am no expert in the field by any stretch of the imagination. The study of economics is not very exciting or entertaining, which is probably the reason that most people, including some that hold the highest offices in the land, are ignorant to the causes and effects of manipulating the systems by organized government. 

Locally, our economic system had developed a hardened shell of protected income, buoyed by taxpayer funded jobs, such as Fort Gordon, Savannah River Site, certain medical positions, and the secondary education system. While this is positive, we must realize that those things can go away with a simple piece of legislation. We have no solid backup plan in that event. We can learn from Charleston, SC what happens when a military installation disappears. The largest stockpile of nuclear capable submarines pulled anchor in the early nineties, leaving the town in shambles for over a decade. My house that I lived in at the time took six years to sell. SIX YEARS ON THE MARKET.

Charleston was able to stay alive by exploiting their tourism industry and luring in large manufacturing powerhouses. North Charleston just landed one of the largest economic impact features in on the East Coast, a Boeing Aircraft Assembly plant that will directly bring in 3,800+ jobs, taking people out of the unemployment line and into the workforce. There will be even more jobs when parts manufacturers build supply plants, warehouses, and logistic chains, estimated to be almost 6,000 more. This is revolutionary for that area. It is estimated that it will bring in three times the local economic impact of the BMW plant in Spartanburg, which in the last 15 years has totaled almost 9 BILLION DOLLARS! The biggest plus is that the tax dollars generated by Boeing are not being pulled from an existing taxable entity within the border of the county. More on that later...

Almost a year ago I had heard that Audi of America had intentions of putting a plant somewhere in North America. The corporate brass have set extremely aggressive goals of taking BMW down a peg in market share, and was looking to build here due to a dropping dollar and a workforce that could put out the high quality cars that made Audi a force to be reckoned with. I immediately started doing intensive research on this subject and started to ask some questions of our local leaders. I sent emails, made phone calls, even spoke to Audi executives trying to find out any information on the bid process for securing this jewel of an opportunity for our area. Volkswagen had just pulled the trigger on their factory in Chattanooga, TN, and now are pumping out the newly designed Passat to dealerships all over the world. 


I was told that the Audi plant would be hand building engines and producing complete units on a limited basis. The plant would employ up to 2,400 people, with salaries ranging in the mid $40,000 range, which is about the same as the VW plant. Porsche, another piece of the company, has just bought land for a Corporate and Testing headquarters in Atlanta, and now it has been rumored that VW will move their Southeastern Corporate office to the Atlanta area. This is good news for the state of Georgia. 

That leaves the point of my column... we missed the boat, my friends. 

Augusta has a plethora of motivated workers, strong technical schools such as Augusta Tech and even Aiken Tech across the river, a surplus of real estate suitable for conversion or building, and a closeness to the Interstate and Garden City port in Savannah, along with the Brunswick port that is VW/Audi/Porsche’s port of entry. We have a low cost of living and housing is affordable. What is the leadership of this town waiting for? Why aren’t we wearing out our knuckles beating on the doors of industries like this? We need an economic revolution. 

We paid $10,000,000 in sales taxes to Costco to set up shop. At first glance that seems like a good idea, and was generally well received by the community, generating 200 jobs. I wonder how Sam’s Club, Target, Wal-Mart, and the small business community feel about the city of Augusta paying a large franchise to come in and strip income from existing sales tax producing tenants of this County? Is this fair to those that have worked hard? Is it morally correct to subsidize competition, and let our local government pick winners and losers in this painful economy? I will let the reader decide, I think you know where I stand. 

Bringing in heavy industry to Augusta does not damage the sales of the service or retail industry, and in fact, does quite the opposite. Take the Audi plant for example. We build an Audi A7 sedan in the boundaries of Richmond county. Let us say that it takes 1500 man hours to build this car, at the average rate of $20 an hour, counting the janitor to the Plant manager we have made $30,000 within the boundaries of our county. Now, someone is going to buy that car, and it’s safe to say it will be someone from outside the county. That means we have exported 1500 hours of labor and imported $30,000 of money, all to be taxed by the State and the City at various rates to pay for teachers, firemen, pothole filling, and TEE centers (heh). Meanwhile, the rest will be spent in the service, housing, and retail side, because people have to have clothes, hairdos, and oil changes, right? Seems fairly simple. 

2,400 Audi jobs x $40,000 average salary = $96 Million dollars of taxable income into Richmond county a year. That equals $6,720,000 in sales taxes.... in one year! It would also cut our unemployment by nearly 25% across the board, putting people back to work. Again, this is direct impact. I am not counting the extra impact from the transporting of goods, outlying parts suppliers, out of town visitors, or construction stimulus of the plant. 

Why aren’t we offering Volkswagen the old Fort Discovery for their corporate office? can you imagine over 400 highly paid executives and staff in the Downtown area for 40 hours a week? Why are we using the Tax Allocation District to bring in the small potato companies with negligible economic impact? Why are people trying to bring this to light being ignored by those that can make such a difference to so many? 

I really do not have a solid answer to that question. I know this town needs someone that can go out and at least try to get these opportunities, and it will take well more than a $100,000 conference room to make this happen. We need leaders in our government who can bring things like this to Augusta, or at least make a good effort. When I first brought this up, I was ignored and called a dreamer, and those people may be correct in their assertion. If believing in my town enough to think we can build cars when the people in our area have assembled nuclear warheads, cured cancer patients at our state of the art hospitals, and host the most prestigious golf tournament in the world make me a dreamer, then so be it. 

We are better than call centers. We are better than an empty mall on Gordon Highway. We are better than Costco. It is about time we start electing and hiring people who think we aren’t above that list to positions of power. We must rise above THEIR expectations of what WE can do. We need an Economic Revolution in Richmond County, and you can call this the first shot in that battle. ***


UPDATE: After writing this column, there is new information that Mercedes is eyeing the South East US for another manufacturing facility. Will Augusta leaders step up to the plate and aggressively court Mercedes and the high paying jobs they would bring to the area?
TB

Comic Relief Tuesday

We thought it was time for a little humor here at CityStink.net to lighten things up. The following comedy memes come to us courtesy of Taylor Bryant from over at Augusta Today on Facebook.

Are You the Most Censored Person on The Augusta Chronicle?

Courtesy of Taylor Bryant

Courtesy of Taylor Bryant

The Kroc Center Gets a Political Robo-call

Courtesy of Taylor Bryant

Butch Don't Play When it Comes to Riff-Raff, Especially Cat Burglars. 

Good Luck for the Cat that it wasn't Judge Carlisle Overstreet's House.

Courtesy of Taylor Bryant

Taylor Bryant: Why I Fight. We All Want to Make Augusta Better

Why I fight
By Taylor Bryant
Commentary


There is nothing more detrimental to collective society than conflict without meaningful purpose or objective. To simply throw stones or cause strife to be provocative is not constructive and should be frowned upon, even in the grisly realm of politics and issue activism. Movements without direction are quickly divided and conquered by their respective opposition. Wars fought with no obtainable goals lack support from citizens and soldiers alike. Missions fail. Movements die. Teams lose. Causes are lost. 


With that being said, I am a firm believer in the City of Augusta. I absolutely love this place. This is where I choose to raise my children. I met my wife here, and was married in beautiful Pendelton King park amongst my friends and family that live here as well. I love my neighbors, the schools my children attend, and the experiences that only a town like Augusta can provide. I was not born here, but I am here to stay. 


The people I associate with politically all want to see Augusta thrive, but not at the expense of her citizens. Many of us have differing views or methods, but we have a common goal. We want to make our metro area a better place. We need the help of Augusta's leaders and citizens to add to the perpetual mission of making our home a better place.


We have many features and resources that more successful cities are lacking. It is my firm belief that Augusta's full potential has not been tapped in the least, and will take a change of mindset before we will reach the peak. Many people have already thrown in the towel and left the area, leaving a void that will be difficult to fill. That is a shame, but understandable. 


I'm not done yet. I will keep fighting for the town I love. We will stay here and work as hard as we can to make the change we want to see. We are not fighting for only ourselves, we will also defend those that cannot defend themselves. I don't want recognition or accolades. If someone wants to take the credit, that is fine with me. We will not run from conflict, or cause problems for the sake of ruffling feathers. I am no provocateur, and will not be treated as so.


Augusta is a great city, and she deserves much more than she has. I will make my stand in South Augusta, come Hell or high water. Join me in making this a greater place to live. We are more than a motto, a golf tournament, or even a soul singer. There are positive things in this city that are ignored through the focus on the detrimental aspects, and the overshadowing is unfortunate.  It is what it is, and we are who we are, and we have a long way to go. I hope to be there, helping along the way. 


Taylor Bryant

***Do you have a story idea, a tip, or would you like to write for City Stink? Then please contact us at:  CityStink@gmail.com***

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Bread and Circuses

The following post was contributed by Taylor Bryant:
*******************************************************

To effectively control a large group of people is not easy. People are generally disorganized, uneducated, disengaged from independent logic, and rely heavily on emotion to make decisions that affect their lives. To lead such a group, the leading establishment should exploit and capitalize on the interests and sometimes even the weaknesses of those they wish to control. This unethical manipulation should not be confused with the purity of leadership, as leadership is a half art, half skill that is a positive when used correctly.

Guess which methods are being used to steer Richmond County? It certainly isn't leadership.

The people of Augusta have fallen victim to the "Herd" mentality, and have split themselves, to the great advantage of those that govern this area. We have been lured and misled by those we have placed on high pedestals through elections and appointments. Why should such a town as ours, rich in resources, natural beauty, and great people, be forced into a perpetual tug of war with the likes of our peers or neighbors? Why should we be soothed by promises of sold out ball games and conventions, opulent botanical gardens, state of the art science centers, and even drag strips? Why do we concern ourselves with luring the once a year tourist, instead of trying to keep our neighbors from moving to adjacent counties and states?

This is not a new tactic. In 100 AD, Roman poet Juvenal wrote Satire X, chastising the use of cheap food and entertainment to appease and distract the masses, and rise to power. This would be known as "panem et circenses" or "bread and circuses."  The key to Roman power was to keep the "polis" intact by keeping the people instantly gratified therefore not focused on Government. It is harder to complain with a full belly and state of the art entertainment facilities.

History is Juvenal's redeemer. The Roman "Polis" was terminally flawed, and has failed.

So Augustans will continue to be apathetic to the bigger picture. Content with dollar draft beer, buffalo wings, and their stadiums. They will root for the destruction of one another through ordinances, laws, and zonings. I,  for one, have no appetite for bread, and would rather watch the circus that resides in the Marble Palace.

Taylor Bryant

***Do you have a story idea, a tip, or would you like to write for City Stink? Then please contact us at: CityStink@gmail.com ***
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