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Northshore Living

 

by Leslie Long and Kim Salter

Where do our taxes go?

One of the fundamental principles of democracy is transparent government, and arguably, no public agency is more transparent than St. Tammany Parish Government, where Parish President Kevin Davis takes seriously his responsibility to spend money wisely and keep taxpayers informed.

“Many people don’t realize the diverse responsibilities of their parish government,” says Davis. “From maintaining street signs to clearing drainage ditches, from funding for cultural arts to luring more businesses to the parish, from ensuring new building developments meet zoning codes to creating new roads, our duties run the gamut.”

Although parish government oversees 20 millages by law, only four of those mills are for its operation. The remaining 16 are for special districts, such as lighting districts, or for outside agencies, such as the Council on Aging. The millages the parish government receives were expected to generate $2.6 million in 2006 for general parish operations; $1.8 million for drainage maintenance; $1.8 million for public health; and $862,000 for the parish animal shelter.

By way of comparison, in 2006, the Council on Aging and the St. Tammany Association for Retarded Citizens were each scheduled to receive about $862,000; the coroner’s office, nearly $3.4 million; and the parish library system, approximately $5.4 million.

The general fund is augmented by permit fees, occupational license fees and franchise fees. Only 42 percent of the general fund is spent on parish government departments. More than one-third is spent on state-mandated costs, 19 percent on general expenditures, and four percent on debt service.

In addition to those millages, the parish also collects a two-cent sales tax dedicated for roads and drainage. This 25-year tax was renewed by the voters in July 2005, and couldn’t have come at a better time. “One of the biggest impacts of Hurricane Katrina was an overnight population surge,” Davis notes. “The up-tick in sales tax revenue as a result will help us meet the needs of our residents by building new roads to alleviate traffic congestion and engineering them correctly from the start to ensure adequate drainage.”

Plans are underway for several significant new arteries that will help reduce traffic jams and ease the flow of vehicles in all areas of St. Tammany. These projects have been approved by the parish council and will be funded with bond revenue, $50 million of which has been sold. The road sales tax was expected to generate about $50 million in 2006—almost $12 million more than in 2005.

The proposed budget for 2007 totals $107.8 million, a record high. But it is bolstered by the increase in sales tax revenue brought about by population growth and expenditures on Hurricane Katrina recovery. The new budget includes more than $18 million for roads, in addition to the $50 million in new road projects generated by the bond issue.

In addition to developing infrastructure and adding staff, Davis says his office will continue to look at quality of life issues that make St. Tammany a desirable place to live and work. “Features like the Tammany Trace add tremendous value to our community,” Davis says. “Arts and recreation facilities benefit not only the families that live here, they also help us in luring new businesses to St. Tammany. Companies want to locate in places with nice amenities where their employees will feel comfortable. The Trace is just one example, and when we can spearhead efforts to produce these kinds of attractions, we’re making the economy stronger and the community more pleasant for everyone.”

“We’re not just relying on local taxes to accelerate our recovery and keep government responsive,” Davis adds. “We look at all potential funding sources and whenever we’re eligible, we go after those dollars, too.” Over the last 10 years, both private donations and federal grant funds helped pay for the Trace.

No matter where the money for public projects comes from—and whether the dollars are for brick and mortar projects or shaded parkways—citizens should know parish government works to spend public money in responsible ways. “Our Department of Finance has received the highest accolades available for its accounting practices,” says Davis.

Kim Salter and Leslie Long are the Assistant Chief Administrative Officer and Director of Finance, respectively, for St. Tammany Parish Government. For more information, go to www.stpgov.org.