GR puts tax question before voters

GRAND RAPIDS, Mich. (WOOD) - There are fewer police officers protecting cities and visitors to Grand Rapids these days. Fewer firefighters answering your calls for help.

And the crews are taking a beating.

"We get a substantial size house fire and the city is stripped right down. And if we have a second fire going, we're playing catch up," said Joe Dubay, president of Grand Rapids Firefighters Local 366.

The economy has put Grand Rapids, and several other communities, in a tough situation. City leaders say they know funding will never return to the good old days. But while they figure out what the future will look like, and how they'll pay for it, they're trying to keep services at what they consider adequate levels.

"I believe it's a quality of life issue. And it's a public safety issue," said David Doyle, the chairman of Citizens for a Safer City.

Next Tuesday, voters will decide whether to raise the city's income tax rate from 1.3 to 1 and a half percent for residents, .65 percent to three quarters of a percent for non-residents.

Right now, if you have a taxable income of $100,000 a year and live in Grand Rapids, you pay $1,300. If the proposal passes, you will pay $1,500 a year.

Non-city residents with a taxable income of $100,000 currently pay $650 a year to the city. They will pay $750 if voters approve the increase.

Those collecting non-taxable income, like Social Security or unemployment, do not pay city income tax.

If approved, the hike would generate about $7.5 million to fund a new manpower squad for the fire department, and 10 community policing officers.

What hasn't been as widely publicized, $2.5 million of those funds would go directly to police and fire.

"With the remaining approximately $5 million, it will be used to really plug the hole in the city's General Operating Fund," said Grand Rapids City Manager Greg Sundstrom.

But is it fair to promote the measure as a tax to support public safety when most of it would go into the general fund?

Sundstrom defends the headline because police and fire make up the largest general fund expense.

"Police and fire services make up about two-thirds of the city's budget. So if we were to plug the hole proportionately, about 80 percent of the new tax money will go for police and fire services."

City officials are clear about one thing -- without the additional revenue, as many as 35 police officers and firefighters would be among a new round of cuts. Some services, like parks and recreation, would go away all together.

How is that message playing among residents?

"This one I am adamantly, 100 percent against," said Michael Farage. He has watched how city halls spend tax dollars for decades. Farage and other opponents say the city should have figured out how to operate with less years ago.

While he offers no specifics, Farage claims the city is mismanaging its money.

"How they are being mismanaged, how they are being spent, we as taxpayers really don't know. But the bottom line is there is money there to do what they need to do."

More organized opponents, like the Grand Rapids Area Chamber of Commerce, say it knows how the city spends its money, and blames it for generous wage, health care and pension plans to employees.

Despite that, Farage says supporters have a good chance of passing the measure.

"Sadly, the voters of Grand Rapids just don't seem to be involved as they were in the 80s and mid part of the 90s," said Farage.

"I strongly see a low voter turnout, which would not be good for the 'no' voters."

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Grand Rapids City Clerk's office

Consolidated Grand Rapids precincts and voting locations, plus ballot proposals (pdf)

Decision 2010 Coverage

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