Stafford County supervisors need to agree on language explaining the upcoming transportation bond referendum. Chairman George Schwartz has called a special meeting to make some final adjustments tonight.
At issue is a paragraph detailing how the county will pay for the debt service on the $70 million bond authorization, should it pass.
The original language was taken from the failed 2006 transportation bond referendum and referenced a potential tax rate increase to repay the debt. Supervisors initially removed references to a tax rate increase.
Instead, board members listed five funding sources that are projected to pay for the debt service: the Business, Professional, Occupational License tax; state recordation tax; gasoline sales tax; interest earnings; and transportation impact fees.
At a Board of Supervisors meeting last week, Supervisor Paul Milde advocated restoring language suggesting a tax increase would be possible, should those specific revenue streams be insufficient.
Supervisor Bob Woodson supported Milde's suggestion, but the two failed to sway other members at the time.
The issue is still alive, however, and the uncertainty has kept staff from printing a brochure needed to inform the public. The special meeting was called to make final edits before the first scheduled public information meeting on the referendum.
"It's truth in advertising," Milde said. "Telling people what the debt service will be in terms of the tax rate gives them an honest point of view. It doesn't mean that taxes will go up, but we can't tell people there's no chance they won't."
Schwartz agrees with Milde in principle and doesn't think it will take long to iron out the details.
"In the scheme of things, it's just a line or two in one paragraph," he said.
"The current revenue projections indicate that the debt service could be paid for with transportation funds," Supervisor Joe Brito said. "But we'll have to put some sort of disclaimer in there. We can't control the actions of future boards."
Meanwhile, supervisors are taking a closer look at one source of transportation fund revenues. When the board passed the BPOL tax in July, they also unanimously passed a motion resolving that all BPOL revenues be dedicated to the transportation fund.
Some supervisors now question the wisdom of that decision, suggesting that the transportation fund will need only one-quarter of the BPOL revenue to cover projected costs. They believe the remainder should be shifted to the general fund to cover other county expenses.
Last week, Supervisor Cord Sterling released a statement suggesting the move would be a de facto cut in transportation funding. His statement concluded that: "At a time when Richmond must make difficult decisions on how to spend scarce transportation funds, these supervisors have sent a powerful message that transportation is not their priority."
"It was clear that there would be a surplus of transportation funds," Brito said. "I'm afraid that it could go toward the VRE subsidy. I wanted enough money in the transportation fund to pay the debt service on the bond, but we have enough to put in the general fund for public safety and education."
It remains to be seen whether there will be a shift in BPOL revenue allocation, and the topic won't be addressed at tonight's meeting. A public hearing on the issue is scheduled for November.
The BPOL tax doesn't go into effect until January 2010. If fully imposed, the BPOL could bring in up to $7.8 million a year, according to the commissioner of revenue's office.
Jonas Beals: 540/368-5036
Email: jbeals@freelancestar.com
Stafford County officials will hold three public-information meetings on the transportation bond referendum that will be on the Nov. 4 ballot. Tonight at 7, Board of Supervisors Chambers, Stafford Administration Center, 1300 Courthouse Road Oct. 22, 7 p.m., Park Ridge Elementary School, 2000 Parkway Blvd. Oct. 28, 7 p.m., Berea Fire and Rescue Station, |