Olentangy Levy: Christmas in July

This is a reissue of an article I posted at the end of July, 2007. This is a reminder of the fiscal actions the board took while facing a deficit. (note: here is the link to the amended contract.)

July 30, 2007

Olentangy Residents,

Your board of education just celebrated a night of giving; giving the gift of taxpayer dollars of course.

The board amended the superintendent's contract effective July 17 and added almost $400,000 in salary and benefits. That's a lot of money given the cry for an additional levy. Actually, it's a lot of money no matter how you put it. Of course, it's all for the kids. Yeah, right!

Keep in mind that the superintendent was already one of the highest paid in Ohio. And, that was before the new amendments.

The new contract is a wonder to read. It removes the original accountability language and replaces it with guaranteed dollars.

In true double-speak, the bonus that was based on performance, and is now just another salary component, is classified in the contract as "at-risk compensation." At-risk? Come on, the bonus is guaranteed and is to be paid out before the school year begins.

Funny, the Ludwig von Mises Institute just published my article on such types of gifts; gifts where the elected officials stand proud as they give your tax dollars away in their name.

I really don't know what's worse: the board giving away your tax dollars; the superintendent accepting those dollars while whining about budget shortfalls; or, the spin that was placed on this whole mess. Some people have no shame at all.

Remember this as the board and superintendent discuss the "need" for a November levy; despite the fact that none is needed until 2009. That will, of course, hold only if the board stops giving away your tax dollars in their name.

Read the provisions of the contract (below). You will be amazed, shocked, and troubled. I was.

Spin heard along the way

Spin: Olentangy has a relatively low cost per pupil.

True? Not when you take into account all district funds.

An example: According to the latest data available from the state, Olentangy's bond millage is the 31st highest out of the 614 school districts in Ohio. 31st? Wow, that's expensive! And, it's bound to get more expensive should the levy pass.

It is correct that growing districts pass bond mills to pay for new schools, but they also use bonds to pay for things that other districts fund through their operating budget; items such as capital improvements and technology. And, districts with older building are more likely to incur such expense.

Olentangy has a relatively large demand for new buildings which is offset by a relatively low demand for capital improvements. It's just like a new house versus an older one. The new one has a large mortgage while the older house has high costs for upkeep; normal wear and tear (roofs, AC, etc.)

So, only including the general -- operating -- fund does not tell the true story; a story you recognize when your property tax bill is due.

Olentangy School District's Scott Davis spins a web of deceit

Oh! what a tangled web we weave
When first we practice to deceive!

Sir Walter Scott

Once again, the Davis lie is the headline of ThisWeek Olentangy.

The web of deceit being weaved by Scott Davis is entangling many. The claim that the district MUST cut $10.4 million in order to offset a $2 million deficit is quite a lie. It is strange enough to lie to the public, time and time again, yet to entangle others in your lies is even stranger. Davis is much more than a spinner or a trickster, he's a liar, plain and simple.

Oh, but the web! Keep in mind that those campaigning for the levy are now associated with Davis's lies. These folks are putting their reputations on the line as they speak to friends and neighbors. Their "trust me" is going to mean little after the truth is known. And, then? Well, the damage is down.

The Davis lies are spinning a web that will remain. It's obvious that he doesn't care about his personal reputation, and it's obvious that he doesn't care about the reputations others. Yet, they care, but are now trapped in Davis's lies; lies that on first glance look like silk, but are nothing more that true deceptions.

Davis is a true piece of work!

Economic stimulus in search of economic science

Will the proposed economic stimulus packages improve the economy? Will a few hundred dollars in my pocket solve anything?

If you adhere to the long-refuted mush of Keynes, you will answer yes. If, on the other hand, you subscribe to economic truth, you will answer no.

In order to improve the economy, the government needs to: reduce taxes, reduce spending, and get out of the money/credit creation business. Putting a few hundred dollars in every pocket is a game that's been played for centuries. The Roman emperors sought the same end -- placating the masses, though the Romans ran games and festivals instead of simply slipping a few hundred bucks into open hands.

Isn't it ironic that a politician cannot hand over money to voters, yet, during an election year, he can offer the very same bribe in the form of an economic stimulus package.

Economies grow when money is invested in capital goods. A few billion bucks chasing consumer goods that have already been produced leads to more inflation. Yet, come November, the voter will not see the inflation, he will only remember the cash.

If Bush and the rest are serious about stimulating the economy, they need to take the three actions specified above. Will they? Never.

OK, so who will? Ron Paul of course. His platform is based on solid economic science; a platform that will stimulate the economy in perpetuity.

Vote Ron Paul