I have nothing against higher taxes–not in Florida, one of the most under-taxed and unfairly-taxed states in the union. But whether we think taxes are too low or too high, I’m pretty sure we can all agree that using false information, deceptive reasoning and cowardly politics to raise taxes is odious.
That’s what Flagler County government is doing as it attempts to raise the sales tax by half a penny, to 7.5 percent.
First, the false information. In her letter asking cities for support of the initiative, the county administrator said 40 percent of the sales tax is paid by visitors. She cited a school board figure. The figure, which was not the school board’s but was misused by the district’s Education Foundation in its campaign for the renewal of the district’s half-cent sales tax last fall, is flatly wrong. Going by the document the Education Foundation relied on, it’s actually 16 percent for the entire state. There is no figure for Flagler. That’s lie #1.
To the credit of County Commissioner Dave Sullivan, he acknowledged the error. But he’s since been on the hunt for a more correct Flagler figure. He settled on 21 percent. Even that is wrong, because he’s basing his figure on a “dashboard” by the local tourism department passed off as gospel. The dashboard is riddled with false information that no one has bothered verifying.
For example, the “dashboard” claims that in calendar year 2021, visitors paid $38.4 million in sales taxes and residents paid $82.3 million, for a total of $120.7 million, excluding the tourism surtax.
In fact, Department of Revenue figures for 2021 show that Flagler County in total contributed $88 million in sales taxes to the state. Add the $14.6 million contributed to schools and the county with the additional penny, and the total rises to $102.6 million. A nearly $20 million error is no small thing. But it’s been misinforming discussions ever since. That’s lie #2.
The dashboard claims that nearly 1 million people visited Flagler County in 2021. That figure is suspect. It’s not as if we have counters at the gates. But even if it were accurate, the dashboard claims that they collectively shelled out $553 million in direct spending. That means every single one of these visitors–Mom, Dad, children–whether day-trippers, who form the majority of visitors, or overnight visitors, spent on average $574 per person, per visit.
That, of course, is absurd and nowhere near factual. Inland residents aren’t schlepping it to the beach to spend Disney sums. They’re coming here for the free beach and the $5 ice cream. Forbes calculates that overnight vacationers spend on average $104 per day on meals and $167 for lodging, which is usually shared by two, three, four people. Car rentals and plane fares add to the cost substantially. But Flagler doesn’t see a penny of those bookings. That’s lie #3.
The dashboard figures err in part because they lump together all local spending in restaurants, bars, cinemas, entertainment, and recreation in the category of visitor spending, as if Flagler County residents were all living in monasteries and never spend a dime in those places, when in fact the majority of spending is by locals. (Hotels, motels and short-term rentals account for only 4.4 percent of spending in Flagler, according to Department of Revenue figures.) Still, the dashboard is peddled around like an infallible papal bull, and now it’s being used to justify a tax increase.
There are more inaccuracies there, including the dashboard’s ridiculous ratio of property taxes paid by visitors as opposed to residents. But let’s move on to the county’s deceptive reasoning. It’s using tourism spending as if to say that since tourists account for X percentage of the sales tax (whatever that ratio is), then Flagler County residents should be begging for the higher tax like Oliver for his seconds. But what proportion of the sales tax is generated by tourists doesn’t change the fact that the biggest burden of the sales tax is paid by local residents, and that an additional half penny would increase that proportionately.
Incidentally, there’s more spending just on cars and car repairs in Flagler than there is on restaurants, which should tell you something. Even if the ratio was different, the sales tax on my next car isn’t going to be lower just because His Eminence Sullivan O’Brien from Jalalabad decides to buy 20 cars from Palm Coast Ford. But the county’s sleazy salesmanship would have you believe that it does. Considering that even some of our school board members are tax illiterates, it’s a safe gamble. It relies on your ignorance. But it’s deceptive, and insulting.
So is Flagler County’s repeated complaint that we’re the only small county in Florida not taking advantage of that extra half penny. That may be true. But it’s also irrelevant. There are 3,000 counties in the country. What these counties do with their local sales tax is their business. It doesn’t affect Flagler County residents’ budgets. What Flagler County does is our business.
Finally, there’s cowardice. County commissioners can approve the new tax unilaterally, with a 4-1 vote. But they want the cities to write letters of support. Why? Because they lack courage, because they’re not even sure they want the tax, and because they need political cover. They’re hoping Palm Coast and Flagler Beach and Bunnell will give it, especially since Palm Coast stands to realize a tidy windfall of close to $5 million. That would doubly make up for the loss of revenue its council clumsily imposed on the city by going to a rolled back tax rate. The cities should not be so bribed. Let the county, bumbling as ever, make its own case, starting with accurate information.
There’s a further case to be made against the sales tax because of how regressive it is. Conservatives have been shifting the tax burden from property taxes to so-called “user” taxes for years, which shifts the burden from those better able to afford taxes to those less able. That’s why Palm Coast just tried to shift some of that burden onto its doomed utility franchise fee.
There are some fair arguments to be made against the property tax as it is currently levied. It’s skewed to favor the homesteaded. The homestead exemption and its 3 percent cap on increases in taxable values means that renters, commercial properties and other non-homesteaded property owners are subsidizing the homesteaded.
I’m homesteaded. The value of my home has gone up 97 percent since I bought it in 2008. Yet my tax bill has literally gone down by $100 in actual dollars, and gone way down, by $500, in inflation-adjusted dollars. That’s insane. That’s why our schools are third world and our roads are cratering. Meanwhile my neighbor across the street, who has a house exactly half the size of mine, is paying twice the taxes, because she happened to have moved in a couple of years ago. And of course churches and nonprofits pay nothing, which is also nonsensical.
That’s not an argument for taxing properties even less. It’s just to point out where the problem is. Increasing the sales tax isn’t going to fix that. It’s going to pump new revenue into government coffers while the elected give you the illusion that your overall taxes will go down. But you know what that is: one more lie, and not a minor one, because you’ll be paying for it, not the liars peddling it.
Pierre Tristam is FlaglerLive’s editor.
DoubleGator says
You hit the nail on the head! Thank you. If more money is needed fine. Just don’t do it deceptively. Why do people run from honesty?
BLINDSPOTTING says
Its also called GASLIGHTING, sounds all too familiar with other things they and others like them have done
in the past and still continue to do to the residents and taxpayers of this county, a forensic audit needs to
be done to see exactly where money goes ,if they have been honest then there is nothing for them to object
to and will allow for a forensic audit to be done.
Atwp says
And what party is running the county? Hum I think it is the Republicans. Continue to vote for the Republicans and this is what you get, lies and higher taxes.
Atwp says
Love the picture. Old white men running and ruining things. Gid have mercy on me. God have mercy on all people of color.
Doug says
I’ve never been a fan of Greg Hansen, and this confirms my suspicions. Now, you can take O’Brien and Sullivan with Hansen and vote them all out of office. The district that Hansen has needs a leader, not a puppet who honestly doesn’t know his constituents who have grown up in the area. When asked for guidance from Hansen, he passes the buck and gives you a line of BS. We don’t need elected officials like that with all the growth we see. Hansen is another Florida transplant who thinks he’s untouchable. It’s time for Hansen to go. The Hammock doesn’t need you or your Navy background. It’s meaningless.
Speedy Faith says
Never ever trust what comes out of a politician’s mouth. Invariably, whatever the politician says, the opposite is the truth. Let’s pick on the affordable care act. Realistically, it is better known as the “Unaffordable care act. Premiums go higher, deductibles get higher, and the quality of care decreases.
The list goes on and on. When in doubt, vote them out! Say no to sales tax increases. No school superintendent is worth $200K in a district totaling 13,000 students. Cut the number of administrators in the district office and other city and county departments. Spending is out of control in local, state and the federal government. Wise up before it is too late.
Bj says
Exactly!
Jim says
I don’t know which is worse – the commissioners trying to hide behind the cities to justify a tax increase or the fact that they are either too dumb or too sleazy to even present the proposal using factual data as a basis. Whatever the truth, it does point out that we do not have the right people in those jobs.
I’ve never lived anywhere that had so much incompetency spread across so much government – from the county to Palm Coast to the school board. And it means that we will continue to see higher taxes combined with mismanagement. This is not a recipe for a better community.
Deborah Coffey says
Brilliantly presented. Keep the spotlight on the liars and crooks.
Jonathan says
This is exactly what you get when you vote in Republicans.
Celia Pugliese says
Deception abounds from some elected officials and administrators in Flagler county and its cities to achieve their goal of intended higher taxes to fund larger high paid payrolls for more assistants , the wrongs grants requested, the wrong costly and residents unapproved (even in referendum) capital projects and misuse of enterprise funds reserves projects to benefit land owners and developers.
They believe we are that ignorant? Cut spending and have some administrators and staff get to really work for their high pay. Do not get into frivolous ill planned additional amenities that we can’t afford and instead pave our roads and build ne ones with the impact fees collected….”if any”. We are going to be asking for impact fees published in detail with every project presented from now on and also retroactive to already approved one’s. This is called transparency and controlling our ever increasing taxes.
Doug says
You nailed it, Jim. I grew up in this county, and our population boom has pushed the good rational, thinking people to the curb, thus promoting an attitude of arrogance to those who run for political positions. There’s not one of them I’d trust, and here’s another example. This county is full of incompetent “wannabe” political leaders, and I personally believe they couldn’t get elected wherever they came from, so they tried and succeeded here.
Doug says
That wasn’t necessary Jonathan, and with all due respect, look no further than our White House and the alleged corruption within. And if you cannot see that, you’re the problem, and you should sell and move back to your “blue state.”
Atbp says
Yes you are absolutely right. The fiasco in Chicago and most other major urban centers that are completely run by your black democrat friends is merely an anomaly.
Steve says
Repeat after me INDICTED 3X
oldtimer says
I’m amazed that people are still shocked when politicians lie about taxes
Bill C. says
Wait a minute, Atbp. Chicago has nothing to do with the article. Figured you’d sneak in your racist trope, did ya? There are plenty of white Democrats and many of our major cities are led by them. If your response was an attempt, in some way to support the Republicans running our county then say so. No need for a bigoted remark.
Woke dad says
Voted in corrupt racist repubs. Enjoy the slaughter of your freemdoms.
Bill C. says
Here we go again. Why does someone have to move and go back anywhere if they don’t agree with your opinion? Also, the word “alleged” has a meaning that seems to escape many people. Lastly, your “go back…” statement is rude and improper. You don’t own the state.
atbp says
That was directed toward atwp who appears to be the biggest racist trope thrower on here, did ya know that? Always blaming white people for his short comings, did ya know that? Democrats of every color have ruined many of our larger cities., did ya know that? Give us Native Americans a chance to run these cities, we will show you how its done.
Roy Longo says
The three not so wise men in picture says a thousand words. Get them out and get at least one more like Dance and Pennington for a majority. These three have been horrible for our County since the the were elected.
Wow says
This issue is one answer to why Republicans are against higher education. Or actually education at all. People who haven’t been taught to reason can’t figure out details like are presented here. If you’re only taught to swallow what you’re told you just fall for the deception. People learn critical thinking skills by hearing different theories, examining data, investigating and verifying and deciding. None of which the GOP supports. They want puppets. Preferably dumb ones.
Atwp says
Adbt glad you how to spell the word appears. You are right appears. Never blamed white people for my short comings, get you story straight. Democrats have probably ruined many of our cities, as the Republicans have also. Did you ever run for office? Perhaps Native Americans can run cities and probably this country the right way. If you want to run for office please put your hat in the ring. Get your campaign together, go for it why not. You have a right to run for office, might not get my vote but run for office. I don’t blame white people for my shortcomings why should I they have shortcomings too.
Citizen Woke says
Atbp: You forget to mention Jacksonville, Florida, the city with one of the highest crime rates in the country.
TR says
Hey Doug, I don’t know you but imo your wasting your time. The left liberals will twist things around because they are so embarrassed by what Trump did in office by running this country as a business and doing for everyone living here on an even scale that they will lie, cheat, and twist everything they can to try and cover up what their old run down mindless leader is doing now. I get a better conversation talking to my walls in my house then try to talk to a liberal and have them see what their leader and his helpers are doing to this country. I just hope when we get invaded by someone else, (and it’s coming because we are no long a strong Country like everyone feared) they will maybe wake up and defend this country like they defend mindless Joe. Good luck but you’re right.
Susan says
Finally after all these years I AGREE with you !! (On this issue/article)
feddy says
It doesn’t matter what political party you vote for; both have some good representation, and both have individuals who are in it for self-interest. If Trump is guilty then punish him but do the same for all. Reading this board people have blinders on and only disagree or agree with the party they represent, look past it and see the corruption. Neither party cares about the normal American, they make promises to get the votes to get in power and once they get in office then it disappears.
James says
“… Inland residents aren’t schlepping it to the beach to spend Disney sums. They’re coming here for the free beach and $5 ice cream. …”
$5 ice cream? I thought Sally’s went out of business?
Free beach and a pint of Ben & Jerry’s (in a cooler, or in my case a recycled styrofoam Omaha Steaks box) perhaps, but $5 for a scoop of ice cream?
Just how far inland are these folks? Haven’t they heard of dry ice? ;-)
Laurel says
Ever notice how Hansen always looks like Dad might notice the dog is missing?
Gerald Jacobs says
It’s time to get the $ 180,000 per. Year plus county manager out of Flagler County . This guy thinks we’re stupid and lies to us tax payers. Enough is Enough fire him are we will vote all of you out of office.