Nebraska

Still Spending as if Cabela's Never Left

Back in September when we attended the LB644 meeting, we were told property taxes had to increase because of fuel cost increases and "in case we had a murder trial." We were told the county needed a "savings account". We have looked repeatedly at the budget, and yes fuel cost did rise. In the 4 major lines, plus some miscellaneous items we looked at in the budget increased the following amounts:

Building & Grnds FUEL    +$7,000

Sheriff Dept  FUEL           +$12,000

Roads:

   Heating Fuel                 +$13,000

   Machine & Equip Fuel  +$130,000

Miscellaneous FUEL        +$8,000

Total FUEL increases in the budget $170,000. 

 

 

The worksheet (Allowable Growth Percentage Computation Form) that calculates the property tax increase allowed by law without needing a postcard sent and an LB644 meeting scheduled shows the number of dollars of increase allowed was $141,584. This means all other budget items remained the same, the county needed another $29,000 in taxes to offset the fuel cost increases ($141K+29K=$170K).

Now, there really two ways to balance this. 1)Cut $29K from other places in the budget and proceed with the allowable $141K in a tax increase. 2)Ask for $29K in additional tax dollars to cover the fuel cost (LB644 required). The county chose neither of these 2 options. The county asked for another $312,352 in additional tax dollars, plus the $141K allowed by law for a total increase of $453,935 in additional property tax dollars. 

If you read through the budget on the County Government page on the home page here, you'll see numerous increases in numerous departments. Salaries. supplies, operating budgets, and many other aspects received increases. As many people know, the economy at the time of the LB644 meeting in September was in a recession and still is. The overwhelming majority of world economists will tell you that you don't raise taxes in a recession.  We were told of the fuel cost increases were a main KEY driving reason, plus the rainy day fund that was needed for the tax increase. The total property tax dollars requested in 2021-22 was $5,686,095. The new amount for 2022-23 is 6,140,030.  

How can we continue to increase the property tax burden on the small businesses and family homes in this county when the county lost it biggest source of tax revenue, Cabela's? Property taxes WILL continue to skyrocket by maintaining this type of spending. Cabela's HQ doesn't live here anymore and the high-paying jobs and tax base left when it did. This is a quote from the City of Sidney's latest audit and financial review. "Retail sales have dropped significantly as six-figure salaries to a large extent have disappeared from the local economy and have been replaced by lower-paid white-collar and blue-collar workers." Now businesses are taking in less revenue with a higher tax liability. Families are paying more for gas, food, and household items; plus they now also have a higher tax liability.

The long and short is both Cheyenne county and the City of Sidney need to stop spending as if Cabela's is still here. We can not afford it.