Monday, June 25, 2018

13% JIPSD Tax Hike on October Tax Bills

The James Island Public Service District Commission passed a 13% increase in their property tax by 4 to 2.

Voting in favor were Commissioners Donald Hollingsworth, Kay Kernodle, Cubby Wilder, and Sandi Engelman.   Voting against were Commissioners Inez Brown Crouch and Kathy Woolsey.

The tax increase will appear on the bills of property owners in the Town of James Island and also the unincorporated area of James Island coming out in October.   The amount to be paid to the PSD will rise 13% and the share of the total property tax bill going to the PSD will rise from approximately 48% to 54%.

Commissioner Kathy Woolsey moved to amend the budget to remove the increase in the debt millage.   She explained that most government bodies levy the bond millage after they have sold the bonds to start generating revenue before the first interest payments come due.   She pointed out that the Commissioners don't know the cost of the new fire station and so the amount that will be borrowed and the needed millage.   Her amendment would result in the debt millage appearing on the 2020 property tax bill rather than the 2019 bill coming out this October.  However, she said that the Commissioners could take actions in the meantime to find other sources of revenue to partially pay for the fire station, reduce the amount to be borrowed, and so the debt millage in 2020 and future years.   Commissioner Brown Crouch seconded. 

The amendment was voted down 4 to 2.  Hollingsworth, Kernodle, Wilder, and Engelman all voted no without discussion.  Woolsey and Brown Crouch voted to approve.

The second and final vote on the budget with the 13% property tax increase was 4 to 2.   Commissioner Brown Crouch shared arguments against the tax increase, focusing on the hardship for those with low and fixed incomes.    Hollingsworth, Kernodle, Wilder, and Engelman all voted in favor of the tax hike without discussion.

The four items placed on the agenda by Commissioner Woolsey to reduce or offset the tax hike were all tabled as a group.   In making the motion to table, Commissioner Hollingsworth stated that the items "had been discussed."   None were discussed at the meeting, but perhaps he was referencing some private meeting for some of the Commissioners.   Commissioners Hollingsworth, Kernodle, Wilder, and Engelman voted to table without further discussion.   Commissioners Woolsey and Brown Crouch  voted against. 

At the public hearing, only one resident spoke in favor of the tax hike and 18 residents spoke against.   The mood of the crowd of nearly 70 was against the tax hike.  Those speaking out against the tax increase were frequently greeted with applause.   Some noted that many of the Commissioners will be up for election in November.

Those voting for the tax increase that are up for election are Commissioners Hollingsworth, Kernodle, and Wilder.

The elections for next year's officers were by secret ballot.   Engleman received 3 votes for Chair, Kathy Woolsey received 2, and Donald Hollingsworth a single write-in.    Hollingsworth received 4 votes for Vice-chair and Woolsey received 2.   Wilder received 4 votes for Secretary and Woolsey received 2.

Commissioner Kathy Woolsey challenged Kay Kernodle's proxy vote for the tax increase at the previous meeting, providing opinions from the Attorney General's Office that proxy votes are illegal.  When she asked who approved the proxy, no answer was given.   Commissioner Platt had prepared a proxy for this meeting, but it was not used.  The parliamentarian hired by the PSD said that in the South Carolina Senate it was possible to vote in absentia if the vote is not decisive.   It is not clear what this had to do with the PSD, except that the budget would have passed 3 to 2 on first reading without Kernodle's vote in favor.

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