Incumbent Cobb Chairman Tim Lee, left, is seeking re-election against challenges from former Cobb Chairman Bill Byrne, right, Larry Savage and Mike Boyce.
Staff/Todd Hull
Staff/Todd Hull
Challengers for the Cobb Commission chairmanship Boyce, left, and Savage listen to questions during the meeting at Commissioners’ headquarters.
Staff/Todd Hull
Staff/Todd Hull
Before the forum, Lee told the Journal that if re-elected, he proposes offsetting property taxes for Cobb residents by raising the sales tax to 7 percent.
Lee said the idea came to him over the spring as he was going through the county’s budget.
“I asked staff to look at what alternatives exist, and they came back to me with a (Local Option Sales Tax) and a (Homestead Option Sales Tax),” Lee said. “I was trying to look for ways to offset that 60 to 65 percent of the revenue is generated by property tax, which is all over the place in terms of who pays what. Because of valuations and exemptions and foreclosures and short sales, you could have three houses right next to each other with different tax rates because they were sold under different circumstances. The fair tax or consumption tax basically gives everybody taxes that are paid based on what they purchase.”
Lee said he would bring his proposal to the Board of Commissioners for approval this fall if he is re-elected. It would then need approval from the General Assembly during the 2013 legislative session before going before Cobb voters.
Lee’s proposal was the first thing Savage brought up in his opening remarks during the two-hour forum hosted by the Cobb County Civic Coalition, which was moderated by Ron Sifen of Vinings.
Seated on the commission dais next to Lee, Bill Byrne and Mike Boyce, Savage peered out into the audience and said “9 percent sales tax.”
“I’ll say it again: 9 percent sales tax, here in conservative Cobb County,” Savage told the 50 to 60 people in the crowd. “Nine percent sales tax. How do we get there? We stay the course. We do what we’re doing. We follow the status quo.”
Georgia’s sales tax is 4 percent. In Cobb, another 1 percent goes to pay for the school system’s special purpose local option sales tax program, and another 1 percent goes to pay for a county government SPLOST, bringing the sales tax to 6 percent. Should the TSPLOST be approved on July 31, it would raise the sales tax to 7 percent.
“I am convinced if the TSPLOST passes, we will get hit with another point for MARTA to bring us to parity with the people in Fulton and DeKalb that have paid a penny for MARTA for 30 years, and then we have the new proposal that’s going to lower our property taxes in exchange for yet another point of sales tax. That brings us to 9 percent of sales tax if we stay the course,” Savage said.
Savage pointed out that during the last few SPLOST campaigns, advocates argued that 30 percent of the revenue comes from people who don’t live in the county.
Savage said he asked county officials where that assertion came from and was referred to a paper by Changhoon Jung, a visiting assistant professor in the Auburn University Department of Political Science. The paper included no such statement, but Savage said he did come across another one of the professor’s papers titled, “Does the Local-Option Sales Tax Provide Property Tax Relief? The Georgia Case.”
Savage read to the audience the paper’s conclusion, which states: “The findings show that counties collecting the LOST tend to have per capita property taxes that are $12 lower or property tax rates that are 1.8 mills lower than non-LOST counties. Although an extra dollar of LOST provides about 28 cents of per capita property tax relief, it increases total spending by about 48 cents per capita. Thus, the use of LOSTs has partially achieved the objectives of property tax relief, but, on balance, LOSTs are more of an augmentation of than an effective substitute for property taxes, leading to an increase in the size of local spending in Georgia counties. The findings imply that a fiscal illusion can occur when a local sales tax is used to reduce the property tax burden.”
Although Lee had multiple opportunities over the course of the two-hour forum to defend his tax proposal, he never did.
Boyce pointed out that this would be the fourth tax hike Lee has been involved with since being elected chairman in 2010, listing the 2011 SPLOST Lee asked voters to consider, his millage rate increase last year, his promotion of the TSPLOST and now this latest proposal.
“Four new taxes in 19 months,” Boyce said. “That’s not a Republican. That’s not a conservative.”
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The Cobb Commission Chairman race is a crucially important election for Cobb County. The outcome of this election will make a big difference in Cobb County's future.
The Cobb County Civic Coalition wanted to provide the voters of Cobb County an opportunity to get substantive information on important fundamental issues involving a wide variety of aspects of Cobb County government. The forum was a team effort by a great group of dedicated, involved citizens.
I want to thank everyone on the CCCC team, and I want to thank the citizens of Cobb County who want to make an informed decision. Thank you.
Smart thinking Mr. Lee.
when, tax 'em over and over again, tax their clothes, tax their food, get them in a very bad mood, spend their money on things so funny, like
roads to where people don't go, and lawn mowers that won't even mow. But they get a laugh at me
on election day you'll see, on a corner standing a disappointed me,"
The uniform which this Marine wore, was not a Cub Scout.
Thank you for defending the flag, the Navy, Seabeese and Marines.
I think what you meant to say was:
Lee has repeatedly raised our taxes, made his personal welfare his top priority and has abandoned ship in a rough ecnomic storm.
He has earned my disdain and lost my vote.
Adios Tim...
Well these things don't come cheap, in fact they cost an aweful lot and those are among the many things elected officials like Tim Lee have to take into consideration each day when making decisions related to budgets and how they get balanced.
I for one think he has done an excellent job leading through very tough waters but that is what leaders do and what we expect of them.
He has my vote!
If Tim Lee thinks a consumption tax to offset the property tax is a good idea because he thinks it is more equitable, why doesn't he support a fuel consumption tax for transportation improvements.
Isn't a sales tax for transportation "all over the place" as well?
With a sales tax on all purchases you end up paying the same or even more for transportation infrastructure as someone who uses it extensively, even if you use it sparingly.
Aren't the infrequent users effectively subsidizing the frequent users.
Doesn't seem quite fair to me.
Wouldn't an increased fuel tax be more equitable than a sales tax when it come to transportation improvements.
Pay for play as it were?
Someone please explain to me why, if I only use the roads occasionally, I should pay as much into the pot for transportation projects as someone who travels the roads in the region every day?
I will, in fact, have to think about that for a while, but I take your point.
But wouldn't the vehicle that delivers the purchased goods pay the fuel tax when filling their tank and subsequently pass that expense on to me in the price of the goods and/or delivery charge?
Commonly known as transportation costs or shipping and handling.
If I paid a 1% sales tax when I purchase something in addition to the transportation costs that are imbedded in the product price wouldn't I be paying twice?
I am not objecting to paying my fair share, but my contributions should be proportionate to my level of use.
If you are speaking about the upcoming refrerndum it is estimated it would take a .25 cent increase per gallon to equal the amount of revenue a .01 consumption tax increase will generate. Now that would not only be a price at the pump when you purchase gas but also reflect a HUGE increase in the price of goods and services in pass through costs to you the consumer.
Consumption taxes work and are as it relates to what Tim Lee is proposing would be of great benefit to the Home and property owners in Cobb County.
My supplies come in on a mule train.
I will eat less food so traffic will be reduced.
Ah, to heck with silly rebuttals.
Just pay attention to what TIC is trying to tell you.
You would be wise to think about it as well and use those critical skills you learned in that one room school house.
I think you have your math definitions wrong. I think you meant a 25% increase in the gas tax, NOT a .25 cent per gallon increase.
Projections that I have seen indicate that if the current gas tax in Georgia was raised by 27% it would generate as much revenue as projected by the TSPLOST in the Metro Area..
Sounds like a huge increase, but when you do the math it only amounts to a little over a .02 (two cents) per gallon increase.
Assuming an optimistic price of $3.00 per gallon that’s less than 1 percent (actually .00666 %) increase.
From my recent experience at the gas pump the price changes a lot more than that almost every day.
As I indicated the gas tax has a direct and proportionate connection to the supposed purpose of the TSPLOST and to the level of use of our transportation infrastructure.
On the other hand the TSPLOST increases Cobb’s sales tax by 17 percent and will be apply on everything we purchase.
Assuming you are correct and the price of gas had to go up 25 cents a gallon to match the projected TSPLOST revenue, if you use my $3.00 per gallon price that still only amounts to a 8.3% increase.
When you look objectively at the alternatives increasing gas taxes just might be the best way to go.
Once again I reiterate that our biggest caveat with an increase in the gas tax is providing the additional revenue to the dysfunctional, ineffective and incompetent Georgia DOT.
Never did, never will.
Our (the citizens of Cobb County) problem is deciding which one of the other three will be best for our county.
Stoneage disaster waiting to happen.
Tim Lee wants Cobb to resemble Dekalb more and more every day. Disgusting
However, myself as well as others did notice that John Skelton who is running for Superior Court Clerk sitting in the audience having a hard time staying awake to the point that he look like he was about to hit the floor. Would he be sleeping on the job if elected? Can he handle such an important position on behalf of Cobb County residences? Will he be able to stay awake long enough to count the mass amounts of fines and fees that the clerk’s office collects on a daily basis?
Unfortunately, I do not think he is really “UP” for the job.
Wise up - get rid of Tim Lee
But the sales tax/no property tax can be used for the school tax, then those stingy old seniors won't get away with ripping the county off with their exemption. Why, they may even move to another county. Those old fogies use megamillions of dollars from the taxpayers of the county. an old folks.
Please raise the tax--the above is known as sarcasm. That means I a being ironic. I hope that you understand it.
What was proposed as a "fair tax" turned out to be,
upon analysis, a massive tax increase which would
apply not only to current income but also to accumulated savings which have already been taxed and current income which under current law is tax
exempt, such as proceeds from sale of qualifying
private residential holdings.
Tim Lee: trust him half as far as you can throw him...but for goodness sake do throw him OUT on July 31.
over it. A short wait in the unemployment line and you will be back driving the garbage truck but don't forget to renew your commercial driver's license.
BTW, I note you are running short of "specifics". Just more chamber/rino rah rah say nothing BS.
Truly mindblowing.
Continue rubbing your eyes.
Most every county in Georgia currently has at least a 7% tax rate and some (like City of Atlanta) have 8%. I wonder how Cobb can sustain itself at 6% when rural counties in South Georgia provide fewer services to much fewer citizens and still need 7% to do it? Something has got to give in this County - you can only cut so much before funds need to come from somewhere to pay for it all.
The revenue has to come from somewhere and you can only cut so much before you start becoming a community no one wants to live in because you offer nothing.
This would be of benefit to the home and property owner as I read it.
Please show me how that is wrong.