Archive for Tuesday, October 21, 2003

Archive for Tuesday, October 21, 2003

Recreation center proposal falls flat

October 21, 2003

To the Editor:

I read through the proposed recreation center F.A.Q. information flier put out by the proponents of the rec center. Reading the newspaper and seeing the yard signs around town, it would seem that many, if not most, of our public leaders support the proposed new center. I feel compelled to offer another minority opinion.

After carefully reading through the information, here are some thoughts:

1. How many times have voters already said "no" to the concept of the use tax? Twice? In the rec center flier they say that the 2.75 percent use tax would only amount to $275 on a $10,000 auto. I haven't seen too many $10,000 cars. Are we supposed to pay the use tax on used vehicles sold between private parties? A more representative example would be to say that the use tax would amount to $687 in additional taxes on a $25,000 car. People out in the county would not pay the use tax. They are exempt.

Why penalize Craig residents for buying a car out of town anyway? In our familiy we have two General Motors Company Saturns. Have you seen any Saturn dealers in Craig?

After the bonds would be paid off, the use tax would reduce to 2.25 percent and remain permanent. Drive a stake through the heart of the use tax. Maybe the concept of a use tax will finally stay dead this time.

2. The flier is a little unclear on the true total cost of the rec center. It says that the construction costs are capped at $12 million dollars. That's more than $1,200 for every man, woman and child in Craig. And more than $6,000 for my family of 5's share of the indebtedness.

3. Assuming that the $12 million figure is just for construction costs then the true total cost will be millions of dollars more, when you figure in the interest cost of the bonds that we will be selling to bond buyers. It depends on the term of the bonds and the interest that we will pay to the buyers, but the true total cost could then end up being easily $24 million -- $600,000 just in annual interest payments, if you assume a 5 percent interest rate. Am I off base here? Now we're up to $12,000 for my family's share of the indebtedness.

4. Voters deserve to know what the total true cost of the rec center will be, not just the construction costs. In a recent article the Daily Press included an estimated figure of $19 million. Could be $19 million, could be $24 million. It depends.

5. How many families in Craig can afford a $595+ sliding scale annual family rec center pass? $595 is only for a family of four. A family of five would pay $645 per year for a pass. I don't see the "average" Craig family forking out that kind of money to belong to the rec center. They might send three kids twice a month for a total of $30 per month or maybe two kids three times a month. The average family in Craig is trying to budget money for food, rent, insurance, gas and utilities. The annual pass requires a fairly high level of discretionary income. I just don't see working families in Craig coming up with that kind of extra money.

6. I play tennis. In looking through the rec center F.A.Q. document, it appears that we would still only have two tennis courts. For the size of our town, that doesn't seem like enough. The existing two courts at City Park are in some minor disrepair. A total true cost in the neighborhood of $24 million and we still only wind up with our two current courts and their cracks. Hmmm.

7. The use tax is my primary stumbling block on the proposed rec center. I doubt if I ever vote in favor of a use tax.

When you remove the "spin," much of the rec center proposal falls flat.

John Kinkaid,

Craig

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