Park Bonds I

Go to the City of Dunwoody website and look at the 2012 Budget Plan 9-13-11 pdf and scroll down to the line item budget. Then consider the pending Park Bonds. If the annual interest rate on a total of $66M in Bonds is 5% and payable in 30 years, the Park Bonds would create a $128 million debt. About half of this debt cost is interest.

If the Park Bond Issues pass, the $4.3 million a year debt service for the next 30 years should be viewed as Parks expense. This makes Parks the largest budget item at $6.5 million a year. Police comes in 2nd at $6.2 million a year. More parks require more police. Parks and Police could consume future budgets to the detriment of road and sewer maintenance. Public works comes in 3rd at $4.6 million.

Given our poor economy, it is prudent to assume that Dunwoody city annual revenue could hover around $20 million for several more years. If you add $6.5M, $6.2M and $4.3M you get $17 million. That is just $3 million less than the current city budget. We might get $7 million from DeKalb (see blood and turnip), but that’s a one-time payment, if and when we ever get it.

I don’t expect a retail surge any time soon, so the revenue we get from PCID might stay the same if we’re lucky. I do not expect a surge in apartment demand, I do expect government job hiring freezes, budget cuts and layoffs after 2012. I expect more private sector layoffs, lower home values and inflation as well. I wouldn’t even consider voting for the City of Dunwoody to take on any debt for a decade. I certainly plan to vote NO on both Park Bonds to avoid taking on a $128 million, 30 year debt.

Many economists predict a second recession. The Eurozone is falling apart and could put the entire world economy in depression.. Any number of bad things could be in our future. Tax revenues could drop with housing and retail remaining in the doldrums or worse.

There is economic danger on the horizon. This is not the time for Dunwoody to go into debt. We are a young city still trying to get on our feet. We haven't even had time to build an emergency fund. We have proven that we can run the city’s basic services with current income. Let's continue to prove we can survive a recession before we stick our necks out and go into debt.

It’s time for the City Council to determine priorities based on utilization. I think we all use roads, bridges, sewers and water from DeKalb. I think everything else is low use and shouldn’t be the top two expense items. I think the City squandered its revenue on low value activities and unsustainable, UN Agenda 21 compliant Master Plans that certainly don’t advance our freedom or protect private property rights.

Norb Leahy, Dunwoody GA Tea Party Leader