ELECTION 2008

Gwinnett to decide special sales tax

The Atlanta Journal-Constitution

Tuesday, October 21, 2008

Gwinnett County voters will be asked Nov. 4 to reinstitute a special purpose local option sales tax expected to generate $850 million over five years. Riding on its success is a long list of capital improvement projects for transportation, libraries, parks and recreation and emergency services.

Revenue from the tax would be divided up between city and county governments, with cities sharing about $132 million, or 15.6 percent, said Lisa Johnsa, Gwinnett’s finance director. The county would receive the remaining $718 million.

Money from the tax can be used only for special uses, such as equipment, construction, buildings, land or renovations.

“This can only be used for capital projects,” Johnsa said. “You cannot use it for operations whatsoever.”

County and city authorities are prohibited from campaigning for or against the tax. However, officials do compile lists accounting for what the tax has paid for in the past.

Gwinnett residents have shown consistent support for SPLOSTs in the past. Six of the seven proposed taxes since their inception in 1985 have passed.

But not all residents are sold on the tax. Comments from local bloggers are tying the tax to the county’s recent decision to approve $19 million in reserve-fund spending for cost overruns in the construction of the Gwinnett Braves stadium.

“I don’t know of any organized coalition against SPLOST,” said Don Shaw, an outspoken opponent of the county’s funding measures for the stadium. “There’s been some discussion amongst people.”

Lois Salter, Gwinnett Municipal Association president, said her group is encouraging residents to study the investments proposed for the sales tax to make an informed decision.

“The county has a history of passing SPLOSTs,” she said, “possibly because they are so specific or because they’re time-limited, or because it’s been shown that much of SPLOST in Gwinnett is paid by people from outside the county.”

The Mall of Georgia and Discover Mills are huge county shopping centers that attract shoppers throughout metro Atlanta, generating substantial sales tax revenue, Salter said. SPLOST takes 1 cent for each retail dollar spent in the county.

Since 1986, Gwinnett has approved more than $1.6 billion in public financing —- mostly for new transportation projects. The 2009 SPLOST would likewise give roads and bridges top priority. About half the money, $427.8 million, has been earmarked for city and county transportation projects.

Brian Allen, Gwinnett County transportation director, said the SPLOST has helped the county improve and maintain roads to a level that ultimately saves costly resurfacing work. Starting with the 1997 SPLOST, the county completed 222 road projects, including resurfacing more than 370 miles of roadway. The 2001 and 2005 SPLOSTs resulted in more than 330 projects, including 600 miles of roadway resurfacing.

Parks would be the next greatest beneficiary. Plans call for $194.2 million in parks and recreation improvements.

Last year, Gwinnett County Parks and Recreation celebrated its 20th anniversary. When it started, it had 420 acres split among six parks. With the help of SPLOST funding, it now has 39 parks totaling nearly 9,000 acres. And, it was this week named the No. 1 park system in the nation by the National Recreation and Park Association, or NRPA, and the American Academy for Park and Recreation Administration.

Public safety, libraries, courts and administration round out the list of capital improvements targeted for county and municipal expenditures.

 GWINNETT SPLOST HISTORY
Since the Georgia Legislature first established SPLOSTS as a local revenue option in 1985, Gwinnett County has placed seven before the voters.

Year; Purpose; Outcome; Approval
1985*; New courthouse and administration building; Passed; 88.5%
1987; Roads, county jail, civic center, historic courthouse renovation; Passed; 66%
1991; Roads; Passed; 52.7%
1995; Roads; Failed; 49.5%
1996; Roads, public safety, parks and recreation; Passed; 53.2%
2000; Roads, library, parks and recreation, public safety; Passed; 55%
2004**; Roads, library, parks and recreation, public safety; Passed; 65%
*Sales tax was limited to raising $65.5 million. It ended after 24 months.
**First time cities were officially added as SPLOST recipients.
Source: Lisa Johnsa, Gwinnett County director of finance

2009 SPLOST PROPOSED EXPENDITURES
How the county will spend the estimated $850 million
Roads, streets, bridges ............$380.9 million ..44.8%
Recreational facilities ............$162 million ....19.1%
Cities allocation ..................$132.7 million ..15.6%
Court facilities....................$95 million......11.2%
Public safety facilities/equipment..$66.3 million ....7.8%
Libraries ..........................$13 million ......1.5%

How the cities will spend their share of the estimated $132.7 million
Roads, streets, bridges ............$46.9 million....35.3%
Recreational facilities ............$32.3 million....24.3%
Administrative facilities ..........$20.2 million....15.2%
Public safety facilities/equipment..$18.9 million....14.2%
Water/sewer improvements............$8.5 million......6.4%
Parking facilities..................$6 million........4.5%
Source: Gwinnett County Finance Department



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