Cavanagh stands firm against tax hike
Fayette County Commissioner Sean M. Cavanagh is pledging not to raise taxes for the third straight year – even if it means layoffs and spending cuts. Further, Cavanagh wants his fellow commissioners as well as prospective candidates for the office to make their feelings known on the issue, particularly Chairman Vincent A. Vicites, whom Cavanagh believes will vote to raise 2004 taxes after the November general election.
“I’m baffled that it’s not a campaign issue, as far as raising taxes. I think that I was the only candidate in the (primary) campaign who said he was not going to raise taxes,” said Cavanagh. “I am not raising taxes under any circumstances, for the third straight year. Whatever it takes, I’m not raising taxes.
“I made a promise and a pledge, and I will not do that. I’d like to bring that to the attention of the editors of the Herald-Standard. I would think that the editorial board would commend me for not raising taxes … I do think that it is an issue in the campaign. Who are the candidates who are going to step up and say they’re not going to raise taxes? I’m proud that this will be my third straight year (taking that stand).”
Repeating his yearly mantra since taking office in 1996, Vicites said that raising taxes is always his option of last resort. He reiterated that he won’t take that action unless it’s “absolutely necessary,” and noted that he’s not raised taxes the last two years, even though he’s always made that qualification.
“Raising taxes is a last resort for me. I’m going to try to avoid that every budget year, unless it’s absolutely necessary,” said Vicites. “I think I have a good record as a commissioner of being fiscally conservative and watching spending. I will continue to do that.
“I think the county is moving forward, with a lot of private investment (construction), and I think that has helped us in the last couple of years … My actions (on raising taxes) speak louder than words.”
However, Cavanagh said that, in addition to being a key issue in the November campaign, he thinks taxpayers should be wary of any candidate who is evasive about where they stand on this key issue. Cavanagh has that concern because of his belief that either county government must be downsized or a tax increase passed for the county to balance its 2004 budget.
Cavanagh said that Vicites “needs to step up to the plate” and that his use of the term “unless absolutely necessary” provides wiggle room to raise taxes for whatever reason he trots out to provide that justification.
“When he says that, what it means it that he’ll raise taxes, ” said Cavanagh. “What does that mean, ‘absolutely necessary’? I think that’s a patented political answer to stave off criticism if he would have to raise taxes. Controlling and containing costs is the most important thing to any type of business.”
Vicites said that more than any other commissioner, he’s done exactly that, monitoring spending on a daily basis and personally signing vouchers so he can pick up trends and make sure that departments stay within their allotted budgets for the fiscal year.
“We have to monitor spending on a daily basis, which I have been doing diligently,” said Vicites, who noted that it’s too early to predict budgetary needs and estimated revenues. “We won’t know the final figures on the revenue and the expenditures until November … when we start to formulate a budget.
“We have to begin the budget process in the fall and, as that process unfolds, we need to come up with a balanced budget by the end of the year. The last two years, we’ve not raised taxes. Basically, we’ve been able to keep spending to a minimum, and I intend to keep doing that.”
Commissioner Ronald M. Nehls believes that some type of tax increase is inevitable, perhaps a quarter of a mill. But he estimates health care insurance costs rising by $1 million for 2004, even as a committee that includes representatives of county employee unions works to pare that escalating cost.
“I feel that it will be necessary (to raise taxes) because we don’t know what increase we’re going to see in the health care benefits package. My gut feeling is that it’s going to be similar to what we saw last year, almost a million-dollar increase,” said Nehls. “If we can cut (that cost), what we’re going to have to do is get all the unions to agree that they’re all going to be participants in resolving the high increase, if we get it.”
Nehls said he would support Cavanagh’s no-new-taxes stand, but only if he devises some way to balance the budget without cutting manpower or vital services.
“If Sean has a way that we can do this without cutting services, without cutting employees, I’ll certainly be there to second his motion, if there’s a way to do it,” said Nehls. “At this stage of the game, I’m not hopeful that we’ll be able to hold the line (on taxes).
“I would definitely not be in favor of doing that (cutting employees). From what I see, we could use more people in some departments, instead of less.”
Nehls said that even without taking on any new spending projects, like the courthouse renovation that he advocates, he projects a “minimal” tax increase. With one mill now generating approximately $1 million in tax revenue, Nehls’ quarter-mill projection would amount to about $250,000.