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Who will pay the bill for the new JEDD?

DEAR EDITOR:

The recently passed Joint Economic Development District (JEDD) between Champion and Warren was lauded as mutually beneficial to each location, but who pays the bill? Officials in Warren will claim that if the hospital wants to use the city’s water and sewer, the tax is justified. A distinction that needs to be drawn is between general fund and enterprise departments. When citizens or corporations pay a bill based upon usage, such as for water, sanitation, and waste water, they are in the category of enterprise. The 2.5% tax is paid regardless of usage. The employees at the new Mercy Health location, most of whom probably don’t live in Warren, will be forced to pay the income tax which pays for general fund services such as police, fire, operations (street/parks), law, engineering and council salaries. Keep in mind that per the agreement, Warren’s safety forces will not have to respond as that duty will be left to Champion. Many Warren residents are exempt from the tax because their income is considered unearned as per state law (i.e. pensions, IRA, social security etc). According to city data, roughly 80% of Warren’s tax revenue is paid by nonresidents who are barred from voting. This scenario provides an open invitation for waste, abuse and nepotism. For example, every Warren city worker receives a pension in which the taxpayer contributes more than the employee. Depending upon seniority, they get 40-70 paid days off when adding vacation, sick, personal, and holidays.

The trustees of Champion are not without culpability either. They claim that no property tax revenue has been generated in that area because TCTC and Kent State branch are nonprofit and therefore sheltered, and as a township, does not collect income tax. While that is unfortunate, why should a person from Bazetta who will work in the billing department have to pay for Champion’s services when they will seldom if ever use them? Why hasn’t Champion attempted a JEDD due to other businesses in the vicinity that use Warren’s water and sewer? If a private sector company mandated a person to put money in its cash register but told him that he would not receive any products or services, many Americans would rightfully be irate. Residents of the two communities are happy to have someone else pay for their services, and officials are happy to dole out generous benefits to public employees in exchange for votes and campaign contributions. However, reality cannot be evaded. A public entity does not have its own funds, and must confiscate them from other people. The hands of government are rapacious and avenues such as JEDDs or annexation are euphemisms for legalized extortion.

BRIAN VERCH

Howland

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