Does Columbus have a property or a sales tax problem?

Columbus residents voted overwhelmingly against a “Thaw the Freeze” referendum in the November election, defeating one of Mayor Teresa Tomlinson’s most high-profile initiatives.

Some who opposed the referendum have now launched an initiative of their own, called “Columbus Refocus.” The purpose of the project is to “constructively guide the City Government on a path that improves the return on investment for financial sacrifices made by Muscogee County Citizens,” according to the group’s website.

Those behind Columbus Refocus call themselves the CCG Accountability Forum, led by Tollie Strode, one of the mayor’s most ardent critics.

Strode showed up at the Jan. 24 Columbus Council meeting with PowerPoint slides, which he presented while speaking during the Public Agenda. He said the group has completed initial organizational steps, launched a website (www.columbusrefocus.org), and published 6 modules on YouTube (CCG Refocus 2017).

The group’s plans call for a reorganization of CCG finances and accounting; the reshaping of the “anemic” sales tax revenue structure; and responding to “systemic change” in city expenses.

“That does not mean that what’s going on with our finances and accounting organization is not good,” Strode said. “What we’re saying is that we’re getting into a more complex world; and we’re going to need some additional perspective provided to the council so that you can make informed decisions.”

Strode said he based his analysis on data published in the city’s Comprehensive Annual Financial Report.

He says the city’s financial position has declined in recent years, with an 89 percent increase in spending since 2001 and a 39 percent increase in revenue. To address the problem, he recommended no increases in property taxes, which he described as regressive; a five year moratorium on capital projects, with some exceptions; a freeze on hiring for some new positions; and rigorously testing Tax Allocation District projects based on sales tax and property tax justifications.

“We don’t have a property tax problem; we have a sales tax problem” he said. “And after all the investments that promised a return, we’re not seeing it.”

He commended the city on the recent decision to raise the projected fund balance back up to over 60 days. But officials should go even further, getting it back up to 80 or 90 days, he said.

At the end of Strode’s presentation, City Manager Isaiah Hugley thanked him and the group for the work that they put into trying to understand the city’s finances. However, he made it clear that he hadn’t received any requests for information from the group.

“It would be helpful if after you get your information from CAFR or wherever you get your information from, if you would schedule some time with me or staff, allow us to explain it to you before you put too much effort into creating graphics, and charts, and publishing information to city councilors, and the media and to the world,” he said. “I think it would help you and it would help us.”

Strode took offense to the comments and proceeded to respond. Mayor Tomlinson pounded her gavel and asked Strode to let Hugley speak; but he persisted.

“It’s straight math,” he said. “I’m not the one that got us into this situation.”

On Thursday, Hugley said in an interview with the Ledger-Enquirer: “There’s confusion and misunderstanding with his interpretation of the numbers and I intend to respond to the questions and the interpretations at next Tuesday’s meeting.”

At the Jan. 24 meeting, Strode ran over the 10 minute limit, and Tomlinson said it would be unfair to let him speak longer than other speakers. Councilor Glenn Davis made a motion for Strode to continue, which was defeated. Tomlinson recommended that Strode return for a work session, which would give him more time. She also suggested Strode meet with city staff to go over the numbers.

Councilor Bruce Huff invited him back to the city’s next regular meeting on Valentine’s Day.

This story was originally published February 9, 2017 at 6:33 PM with the headline "Does Columbus have a property or a sales tax problem?."