Taxing, Spending, Education and Development
Dan R. Finley
Helms School of Government, Liberty University
GOVT 327-D02, State and Local Government
Ms. Heather Piedmont
December 17, 2021
Introduction
The town of Robinsville has a population of approximately 2800 citizens. We have a few
small businesses, a grocery store, fast-food and family-owned restaurants, and a public park with
a pool. There is a public school system with approximately 600 students in K-12. The recent rise
in unemployment in the town and a structural deficit of around $100,000 along with pressures
from the teacher’s union and local lobbyists are forcing this administration to come up with a
plan to create more jobs and foster innovation with a new high-tech facility. It is the
responsibility as your elected mayor and town officials to prove faithful in the trust that has been
given to us (Christian Standard Bible, 2020, 1 Corinthians 4:2).
The Structural Deficit Plan
Our structural deficit resulted from a heavier than expected winter season for pretreatment
and road clearing. We had unexpected road and infrastructure repairs stemming from several
storms that came through the region during the spring. The additional funds needed for these
depleted our “rainy day fund” (Bowman & Kearney, 2018, p. 260). We also had to allocate
funding to combat the continued coronavirus pandemic. The town has done well to maintain its
high level of providing resources to its citizens while making difficult decisions with regards to
other programs. Some of the programs that were impacted include trash and recycling services,
recreation and park activities, and library programs.
An amendment to the town budget needs to be done to redistribute funding allocations to
maintain vital community programs and reduce the structural deficit. This amendment will be a
temporary fix for the current year. It is known that the decision to raise or lower taxes will
produce both winners and losers (Bowman & Kearney, 2018, p. 252). However, with balancing
the budget comes the responsibility to find ways to support the community through reducing our
spending and a decision on taxes. The balancing of revenues and expenditures is the essence of a
budget (Buchanan, Rowley, & Tollison, 1987. p. 9). Our deficit was not the result of poor
decision making but on several unforeseen factors. These factors will be addressed in the
amendment and moving forward with a new balanced budget.
We are formally reducing the recreation activity budget and will raise the fees for
participation in recreation sports. There will also be an increase in the fees charged for library
and community center activities. These minimal increases will help offset the reduction to these
programs overall budget while allowing for full availability to townspeople who enjoy them. We
have requested a grant from the Department of Transportation to offset the costs associated with
repairing and treating the town’s streets. It is expected that the grant will cover those expenses
and no further amendments will need to be made.
The High-Tech Facility Plan
There have been discussions about the construction of a high-tech facility using land donated
by the Gray Foundation. This administration has carefully weighed both sides of the discussions
and have determined that this project will bring needed jobs to our town and boost the economy.
The new center will cost approximately $750.000 to build and bring around one hundred new
jobs. It will also benefit our town’s aquifer study through the research that will be done. The firm
that wants to utilize the donated land will match funds generated by the town. Our goal is to raise
funds through the temporary addition of a three-year increase in the town food tax and a one-
tenth of a cent raise in the gasoline tax. These two increases will generate approximately
$350,000 over the three-year period. We will also raise the final $50,000 through a grant
provided for the aquifer replenishment study.
Teacher Salary Plan
Our teachers make a significant impact in the development of our children. It is important that
they are compensated commensurate to the contributions that they make to our town. This
administration will honor the request for the 1% raise in salary. This will be funded through by
restructuring the education budget. The restructuring will reduce the funds dedicated to school
maintenance and operations and put those funds toward the teacher raise. The maintenance and
operations team has not needed to use all its budget for the last two years.
Conclusion
This administration expects that these changes will have minimal impact on the townspeople.
We are always cognizant of the concerns of the citizens and have taken that into consideration
during this process. It is always hard to introduce changes that include the addition of new taxes.
The support of the townspeople is crucial to the success of this new legislation. You are asked to
make any comments or concerns through the public information officer. It is important that we
work together with the same mind and one spirit (Christian Standard Bible, Philippians 2:2). We
will respond to all during the next town hall meeting scheduled for the second Monday of each
month.
