City Councilman Court Rosen, receiver of Gold awards for Best Public Official and Person We'd Like to See Running the Valley and a Silver for Public Official Most Likely to Cause a Problem, stands by his decision to call for the temporary two-percent increase in the city meals tax, which the Council unanimously approved in early April.
In late winter Roanoke’s recent financial woes came to a head when one of City Council’s newest members – 31-year-old Court Rosen, voted by our readers with a Gold Award as Best Public Official – did something few politicians would dare by proposing a tax increase in the middle of a recession.
Driven by an $8.8 million deficit in the city schools’ 2010-11 operating budget that he and other council members attributed in large part on the state’s recent cuts to school funding, Rosen proposed a temporary two-cent increase in the city meals tax. Council was quick to come to a consensus in favor of the idea despite opposition from a number of area restaurateurs, and voted unanimously to pass the increase in early April.
Here’s a summary of the increase with Rosen’s comments:
• The temporary increase will give Roanoke the highest meals tax in Virginia by raising the tax from 5 to 7 cents per dollar for a period of two years, beginning July 1 and sunsetting June 30, 2012. Rosen points out the meals tax affects only those who choose to eat out (including those from outside city limits), as opposed to an increase in the real estate tax, which would affect all city property owners. Rosen estimates the increase will raise about $4.4 million (as opposed to $4.6, with a current projection) per year for city schools.
“Council has made it clear that we intend to keep local school funding level from the city,” Rosen says. “The shortfalls were created by state funding cuts. This is a problem schools are facing across the state.”
• Rosen lists possible cuts if council had failed to OK the proposal: additional school closings, additional teacher layoffs, continued lack of summer school programs and increases in class sizes.
“Roanoke City schools cut more than $4 million out of their budget last year, which resulted in the closing of four schools, redrawn attendance zones, privatized transportation, 88 employee eliminations, frozen wages and drastically reduced summer school. Add to this a $9 million shortfall this year causing even more critical program eliminations and classes at maximum sizes. Other cuts include 94 positions, mostly instructional, the closing of Round Hill Elementary, the closure of CITY school, the elimination of Spanish for elementary students, and an inability to restore summer school.”
• When asked why, with enrollment effectively flat, and (until this year) inflation essentially covered by increases in recent-past school budgets, the need is suddenly so dire, Rosen points to recent cuts in funding.
“This isn’t an increase in school funding – it’s an effort to offset some of the massive decreases in school funding over the last two years. If the proposal is adopted, the schools will still be nearly $4.5 million short of last year’s funding level. In the last two years alone, school funding has been reduced nearly $13 million – a major decrease in a school system that has increased the graduation rate nearly 15 points, opened an overage academy and accomplished full accreditation of 25 out of 26 schools. The idea is to avoid our schools being set back years and saving the most critical programs that benefit our urban youth.”
• How does Rosen respond to the opposition from some restaurant owners and residents?
“I spent a lot of time meeting with restaurant owners while working on the idea. Many didn’t like it, but most understood the need and believed that this temporary increase wouldn’t hurt their business or change their customers’ eating habits or behaviors.
“It’s critical to remember that on a $10 meal, this proposed increase would add only 20 cents to the cost of the meal; a dollar on a $50 meal. In my mind, and as someone who enjoys eating at our local restaurants, it’s a small price to pay for the future of our school system.
“The city also plans a marketing campaign, and I’d suggest we have a citywide ‘Eat Out for Education’ Day. We could also involve city students creating artwork or posters for restaurants to display.”
