Good morning Tysons. Around the Corner today;
The McLean Chocolate Festival is back this year, January 27th at the McLean Community Center. If you like everything from a chocolate fountain to custom high end Belgian chocolates I suggest you check it out and help support local businesses. Last year’s festival drew 3000 chocolate fans so this year the center will provide entertainment and games as well as the famous chocolates. The McLean Rotary Club who coordinates the event will set aside 25% of all proceeds to local charities such as the Falls Church Children’s Festival, Alternative House, and funding for Timber Lane Elementary School. So come out, enjoy the best chocolates in NOVA, and help support a good cause. Find out more from MCC
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VDOT has released their 2012 expenditures report as well as their 2013 expected budget. If you are a budget wonk, concerned about funds available to transportation in our area, or very concerned about the lack of non-roadway funds being made available in the state you will likely enjoy the read and tables. (VDOT)
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An interesting story from DC.Curbed about the transformation of Mosaic District in Merrifield. The transformation has continued with several new office and residential buildings going up in the surrounding neighborhoods. Retails are continuing to open up in Mosaic District as well including Dolcezza Gelatto coming next month, zipcars announcement of interest locating stations in Merrifield, and the newly opened Red Apron Butcher. (Curbed)
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Urbanism Concept of the Day
Pay as you go – Everyone has heard all the complaints I have had about the Governor’s recent sales tax hike (to remove gas tax and attain national attention) campaign which plays a shell game on who pays for transportation in our State. The new funds from sales tax have no guarantee in increasing available funds and the only reason the plan currently does show an increase is the unfair taxation of several alternative fuel drivers as well as ambitious growth rates in retail sales anticipated in the state… at a time when prices for consumers will be increased significantly.
The Governor’s plan will assure that everything, and I mean everything including food, medicine, and basic necessities usually exempt in other states, is taxed at 5.8%. The 0.8% increase proposed is a 16% increase on what we pay as the sales tax.
Wait I think I am forgetting something… oh right GAS will be exempt from the sales tax, as it currently is. So in order to pay for roads, which are used more by pickup truck drivers and long distance commuters, McDonnell wants a tax on food and medicine, while gas remains a free un-taxed commodity.
Sadly the Governor’s ploy to distract the public from this horribly thought out concept via 300 million in “free money” towards Dulles Rail has worked on many local residents, including the Fairfax Chamber of Commerce. For this one time payment millions of Northern Virginians will see their $50 to $150 a year in gas tax transferred to a $200-300 sales tax increase. All the while residents in the rest of Virginia will see their $150-200 a year in gas tax transferred to a $150-200 sales tax based on current Consumer Price Index and average incomes of both areas. They get to keep the same amount of money, we get to be saddled with $150 extra per year, and all the while the funds will be used for more and more projects outside of our district.
At it’s heart this idea goes against common sense, it is no wonder that the national media (Fox News) has already started proposing this radical idea. In their segment with former Budgetary Advisor to Reagan, David Stockman, proposed that payroll taxes and income taxes be either lowered or removed all together. In lieu a value added tax (a federal sales tax) should be added to accommodate the difference in price. Although this is extremely ironic (being that mostly European, left-leaning, countries do this… though they exclude food and medicine) it is also extremely regressive. By forcing sales taxes on food and medicine, as well as other goods, you impact those earning less, with less disposable income, far more than those who earn more.
So to tie these elements together, what is our concept? Stop trying to benefit the base by swinging this pendulum towards free money. We have an issue with transportation funds and you want to switch the sales tax? Ok, but by simply taxing gas at the current sales tax rate we could increase transportation funds by 10% more than we currently collect. In other words, remove the gas tax, but then also remove its exempt status from sales tax. If at that point you feel that we need to raise the sales tax, then make your pitch, but I assure you the sales tax would have to be increased far less if gas was included. Everyone, including bulk gas purchasers, would therefore pay their share.