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Time To Freeze Their Allowances

Governments across the country - local, county, state, national, and special districts - have swollen their budgets and the spending that those budgets allow on the coattails of the housing runup of 2004-2006. Building permit and other fees were pouring in. New roads, bridges, parks, airports, fire stations, schools, and other public capital projects - couldn't build them fast enough. Most people were getting raises. The economy was humming along.

Then, all that changed. Unemployment passed the 10 percent mark, businesses closed, foreclosures, short sales, government motors and other major bailouts, oppressive new taxes, increased regulations with more fees and compliance requirements, suppressed demand for new housing, more scrutiny on mortage applications, difficulty getting appraisals for the sales price, lack of comparable sales data, and a drop in retail sales and consumer confidence.

The only thing that did not change appreciably is the desire of governments (at all levels) to keep up their spending. Local and county governments have lost ground on their ad valorem base due to shrinking property values and sluggish sales from lower demand. Solution: raise the millage rate to keep things at previous spending levels. Agressive solution: raise taxes and user fees to accommodate even more unnecessary spending.

Nationally, the solution is to keep taxing until there is no income left to tax. Then all of the wealth will have been redistributed, and the federal government will be quarterbacking all of the spending.

Now is the time to say NO to all new taxes and all new spending. Eliminate all vacant positions at all levels of government. Make do - we have to. Roll back all government spending to FY 2002 (or earlier) - take the Walmart approach to government.

Remember, governments don't "need" to provide very many services - just a few public health, safety, and infrastructure ones. Everything beyond that, is all discretionary, and it's all our money they're using.

───

For more information on my coaching and educational programs and services, visit my website stevehoffacker.com, or go to my other blog homesalesinsights.com for additional sales tips, insights, and commentary. Listen to my free podcast messages at Steve Hoffacker's Happenings.

Steve Hoffacker - Consultant, Coach, Author, Blogger, Photographer, Motivator, Teacher, & Strategist - for Realtors, Real Estate Sales Professionals, Home Builders, New Home Salespeople, Entrepreneurs, Small Business Owners, and Independent Sales Representatives.

© Steve Hoffacker, 2010. All Rights Reserved.

Comment balloon 3 commentsKevin Robinson • August 03 2010 08:53AM
Time To Freeze Their Allowances
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