Smaller than expected income tax collections this year are being attributed to a loss of 8,000 taxpayers.
Keith Dorsey, director of the county Office of Budget and Finance, told the County Council during a Thursday budget hearing that a $54 million revenue shortfall is attributable to residents who relocated or stopped paying taxes.
"The county lost 8,000 taxpayers off the top end and off the bottom end," Dorsey said.
Dorsey said residents in higher tax brackets "may have moved away because of the tax rates." Residents in lower tax brackets "may have gone underground in terms of no longer paying taxes because of unemployment—at some point their unemployment ran out.
"They may still be out there but they're not paying taxes," Dorsey said.
Dorsey later said that the loss of taxpayers in higher brackets was based on speculation.
"Some have speculated that they have relocated because of the situation here in Maryland," Dorsey said, adding that he believed the economy also played a role.
"There were other things out there that caused people to stop paying taxes," Dorsey said.
The decrease, based on tracking filed tax returns, showed that Baltimore County lost more taxpayers in lower brackets than Baltimore City and Prince George's County. The county also lost more in higher brackets than Howard and Montgomery Counties.
"Our impact was much more than in any other county," Dorsey said.
Revenue estimates for the current budget year were made before the state comptroller had released statistical information on taxpayers—some of which hadn't been available for one or two years, Dorsey said.
"I didn't understand, I did not see we had the kind of drop of in terms of taxpayers," Dorsey said. "If you want to say it was an error on my part, you could say that but I did not have the information in terms of the net loss of taxpayers on Baltimore County."
This is the second straight year the county has experienced shortfalls in income taxes. Last year, county revenues were $132 million less than projected. County officials blamed the shortfall on a miscalculation by the comptroller's office.
Dorsey said his revenue estimates for the fiscal year 2012 budget will be more on target.
"I think I've made the necessary adjustments," Dorsey said. "My estimates are very conservative. I now see what was going on in Baltimore County and I've made the appropriate adjustments so I do not anticipate this will happen again."
Etc.
The county's retirement fund is getting weaker according to an analysis by the county auditor's office.
Figures released Thursday show that the funds net assets in 2010 were equal to about 80 percent of the county's total retirement liability. That percentage has decreased nearly every year since 2000 when the retirement system reached a peak of nearly 112 percent funding.
The auditor cited a number of factors for the decline including the economy and the decline in the ratio of active employees to retired employees. Currently there are 9,633 active members of the county retirement system compared to 6,704 retirees — a ratio of about 1.4 to 1.
That ratio has declined every year since reaching a peak ratio of more than 2 to 1 in 1993.
The auditor's review noted that the system is "growing financially weaker" despite increased contributions to the system by the county over recent years.
Cost of living raises are not in the cards this year for county government retirees. County employees who have been retired five years are eligible for an increase of up to 3 percent based on federal consumer price index estimates if there is sufficient money available in a county fund that pays for such increases.
The consumer price index at the end of 2010 increased by about 1.5 percent. That would have resulted in a raise this year for eligible county employees of nearly $21 million. The fund that pays for such increases, however, only has a balance of $10.5 million—an amount insufficient to pay for even a 1 percent increase.
A 1 percent cost of living raise would cost nearly $14 million, according to a review by the county auditor.
Shopping cart fees on the horizon? Hear me discuss the issue with Bill Vanko, anchor of Maryland Morning News anchor on WBAL 1090 AM, during our weekly chat about county politics.
North Baltimore Patch reporter Adam Bednar writes that the owner of a Baltimore bar is not impressed with Baltimore County's top prosecutor. State's Attorney Scott Shellenberger wrote a letter to city liquor board officials saying the bar is the source of some underage and binge drinking problems involving Towson University students.
Happy birthday to Gordon Harden, a former planning board member who ran for County Council as a Democrat in 2010. He turns 61 on Saturday.
And happy birthday to my editorial overlord. Doug Donovan, regional editor for Patch in Baltimore County and a former reporter for The Baltimore Sun, is 40 on Sunday. (Happy birthday, boss.)
Keep up with what's happening in Baltimore County politics by following Bryan P. Sears on Twitter and Facebook.
Mark Patro
1:25 pm on Friday, May 13, 2011
"They may still be out there but they're not paying taxes[.]" This statement seems to imply that Baltimore County citizens are doing something wrong. If these folks are unemployed it may be better said that, "fewer people owe taxes because fewer people are working."
Tim
2:56 pm on Friday, May 13, 2011
This was exactly what I thought, while I was reading this article.
People can't pay taxes on money they don't have. They also can't pay taxes on previous year's income if they were employed (let's say 6 months ago) but they haven't been employed since.
Christine Feldmann
3:31 pm on Friday, May 13, 2011
The Baltimore County finance office continues to experience budget problems due to miscalculated revenue estimates. And once again, they are blaming the Comptroller’s Office.
While it is true that many local governments are struggling to accurately predict revenues in these tumultuous economic times, no one except Baltimore County continues to shift the blame. The fact is that the Comptroller’s Office has provided the same if not more data on taxpayers to all of Maryland’s 23 counties and Baltimore City. Some jurisdictions experiencing wild fluctuations in revenue have even take the prudent step of requesting more information and analysis from the Comptroller’s Office to be better armed in their budgetary planning.
No doubt these tough economic times have been difficult for Maryland families and local governments but laying misguided blame offers no solution. In the coming year and beyond, we look forward to working collaboratively with Baltimore County, and helping the Office of Budget and Finance address these legitimate challenges. In that spirit, we sincerely hope that this misguided and counterproductive finger pointing will come to an end.
Christine Feldmann
Comptroller's Office
Buzz Beeler
6:52 pm on Friday, May 13, 2011
Ms. Feldman, that is why we call them politicians. They are experts in passing the bucks we don't have, and not having to take blame and bare the accountability.
Speaking of finger pointing, I would like to POINT out that when it comes to their cozy relationship with many developers, money is of no consequence.
The equation goes something like this: PUD = (YORKWAY DEVELOPMENT + FORT HOWARD DEVELOPMENT.)
Lorna D. Rudnikas
11:29 pm on Friday, May 13, 2011
I think I will save this one for my worker bee blog!
Buzz Beeler
1:26 am on Saturday, May 14, 2011
Lorna, never waste an opportunity to spread the truth.
Sean, you took the words right off my keys. What we are witnessing is the destabilization of Baltimore County. I beat this horse to death when I ran for office and it fell on the deaf ears of the two voters that showed up in the primary.
This link is very disturbing. It will probably only be available this weekend before another "Talking Points," replaces it.
http://www.foxnews.com/on-air/oreilly/index.html
Another startling fact facing this country is the rapid decline of our cities. For example in Detroit 47% of the people are functionally illiterate. The demand for social services led to tens of thousands showing up at selected sites seeking federal aid. Needless to say there was utter chaos.
As bloggers we should be asking the tough questions and demanding the truth. It appears that many of our political leaders, as eloquently stated by Jack Nicholson "can't handle the truth."
Sean Tully
12:17 pm on Saturday, May 14, 2011
Buzz, but the destabilization of Baltimore County isn't happening because minorities are moving in. It is happening because some whites refuse to live in the same community as minorities. The solution - stop running!
Lorna D. Rudnikas
3:39 pm on Saturday, May 14, 2011
Hi Sean, Pray tell - what minorities are you referring to? And beyond that, what exactly do you feel is/are the specific cause(s) for so called "running?" I suspect if you delve into the issue even more deeply, you will find that folks of all races/creeds/denominations are running..... specifically from CRIME!!!
Sean Tully
6:50 pm on Saturday, May 14, 2011
Lorna, non-white minorities?
Lorna, people move for many reasons, but they "run" for only one or two generally. I remember as a kid the block busting that was still going on in Edmondson Village and other West Baltimore areas. White people ran because blacks were moving in, not because of any increase in crime. I suspect that people are moving from Baltimore County for simlar reasons. I have no way of proving it without hard numbers, but that is the fun of having an opinion, you can base it on hunches that you might have.
Buzz Beeler
4:03 pm on Saturday, May 14, 2011
Sean, there is an equation and its application regarding the description of anxiety. The syndrome is called "fight or flight."
The course of treatment is behavior modification which basically means stay in the situation until one is comfortable and the anxiety dissipates.
In the case of destabilization numerous issues are introduced into the equation of the culture clash. These varied components could include religion, age, social customs, music and so on.
For example, look at the situation in Towson and the clash between the TU students and the home owners. Huge issues, one of which was covered by Patch on Shellenberger and his attempt to deal with a particular bar and binge drinking.
The impact of this complex issue is verified in numerous social studies and crime analysis. There is a direct correlation between Section 8 and crime.
You can gather an enormous amount of information just by looking at migration and the census figures.
I have stated this before, look at France, England and Germany and the impact on their countries.
Sean Tully
6:53 pm on Saturday, May 14, 2011
Buzz, I am guessing here, but the tax payers the county lost off the "top end" probably didn't live near Section 8 housing, so I don't know if that was a factor. Heck, maybe they moved for tax reasons. I really don't know. But I would still wager my money that fear (of race) played a big part in their move.
Lorna D. Rudnikas
6:58 pm on Saturday, May 14, 2011
Sean - I too am familiar with the so called "block busting" methods realtors used in the 50s - but I am referring to 2011 and that I see as running from "crime" that is blighting communities little, by little, but definitely moving forward as a steady pace in some directions more than others.
Sean Tully
11:52 pm on Saturday, May 14, 2011
Lorna, there is no doubt that people run from crime. But the way it works is that whites move out first because minorities move in. Why? Some white people perceive crime to follow close behind minorities. Then, as an area begins "changing," the criminal element do move in. Why? Because a greater percentage of minorities live close to or below the poverty line. And crime and poverty go hand in hand. Then those minorities who can afford to move do so. Where do they move? Into white areas. And the whole cycle begins again. It happened in Edmondson Village, Forest Park, Woodlawn, Randallstown, and on and on. The cycle can be broken if whites would just not freak out so much when minority families choose to live in historically white areas.
Buzz Beeler
9:12 pm on Saturday, May 14, 2011
Sean, there are those that live in their ivory towers and are not directly impacted by such mundane issues. Then there is the middle class that are right in the middle of the upheaval.
I would say that you are correct regarding the racial overtones that permeate every issue in today's society. This will always be a fact of life as long as humans are fallible.
What I think is a unique aspect to the issue of race, is there are mitigating circumstances that interject conflict within the same race. Again the issue of humans as fallible.
Some recent examples are Northern Ireland, Africa and its issues of genocide, Bosnia, Iraq and Afghanistan.
Race is just one component of destabilization. It is hard for anyone to close their eyes when it is staring you in the face.
Sean Tully
11:56 pm on Saturday, May 14, 2011
Buzz, but the story indicates that the some of those off the tax rolls are in the upper brackets. That means they probably moved right out of the ivory towers. Now, does my theory explain why they moved? No. It is just an opinion. Maybe the did move because of high taxes. I really don't know. I am just discussing possibilities. As you said on another story thread, back and forth is what makes these comment sections active. But, again, everything I've typed is just speculation and opinion. For all I really know, the top tax bracket folks that moved may be all minority. Who really knows?
Buzz Beeler
12:14 am on Sunday, May 15, 2011
Sean, regarding your 11:52 pm post - Bingo!
There is a saying that goes, "It is what it is." I think it goes beyond race into the various issues of a culture divide and class distinction. Remember the French Revolution? The impetuous for the conflict was based on class distinction.
The issues we are discussing have been going on since biblical times and just like personalities each one of us is different.
Buzz Beeler
12:24 am on Sunday, May 15, 2011
Chuck, interesting comment, very interesting.
If I had to analyze your comment, would I be far off in saying that your post refers to a view from someone living behind a gated community where the trash is piled neatly in a can and disposed of, while the reality is far different on the other side of the gate.
Sean Tully
12:41 am on Sunday, May 15, 2011
Buzz, I too am confused by Chuck's statement. It is an obvious dig at me as it pertains to a discussion we are currently having on the Violetville Community Association website. Chuck either lives in Violetville or, for some reasons, is following that debate. But I can't make out if he likes living with people who don't handle their trash properly or he doesn't. But if he doesn't, I can't figure out why he is taking a jab at me. Funny statement in any event.
Buzz Beeler
12:48 am on Sunday, May 15, 2011
Fooled me. I thought it was a fictitious place, like Santa Town or such. Shows you how much I know.
Time to meet the Sand Man.
Sean Tully
12:59 am on Sunday, May 15, 2011
Buzz, no, it is some kind of mixed metaphor or something. Chuck is either saying that I live in some Utopia and have no clear idea of how it is in the real world, which would make sense except he throws in the bit about everyone disposing of their trash properly. Well, he obviously knows that that isn't the case in Violetville and thus destroys his whole Utopia image. I mean, how could I live in Utopia if I am battling people who attract rats to Violetville?
Chuck? Care to clear things up?
Sean Tully
1:28 am on Sunday, May 15, 2011
The problem with Chuck's statement is that it gets personal. Everything up to that point was civil. People who can't debate without getting angry or personal should just leave it alone.
Buzz Beeler
1:30 pm on Sunday, May 15, 2011
Sean, during my time on this site both as a commentator and a blogger, I have taken many hits. I think it goes with the territory, as long as the comments do not violate the terms of use.
I have always responded to such issues with research, knowledge and articulation.
There are two ways to make a presentation in a conversation of discourse. One approach relies on emotion while the other deals in facts. Generally speaking the facts triumph over the emotion.
I also think it is important to acknowledge that one could be wrong in their assessment. Excepting the responsibility regarding ones position albeit wrong, in the long run it will only add to the objectivity of the writer.
Sean Tully
1:39 pm on Sunday, May 15, 2011
Buzz, personal attacks shouldn't come with any territory in the public forum. But, as you say, it happens. My only real complaint is that Chuck doesn't come back and answer my question: Is he in favor of living with people who do not dispose of their garbage by law or not?
As far as being wrong on an issue, I am fast to admit my mistakes. In fact on this very thread I stated that at the end of it all, I am not sure why the county lost those tax payers. Nobody is. I was just opining.
BCResidentObserver
10:10 am on Tuesday, May 17, 2011
People are leaving Baltimore County because it's starting to look like the city. People are leaving the state of MD, people have had it.
Troy W. Pritt
10:59 am on Tuesday, May 17, 2011
I have a simple plan. Let’s create jobs. If we create jobs, we create.....TAX PAYERS! Perhaps if we gave tax breaks to companies to start businesses in our area, we could lower unemployment. If we lower unemployment we have people paying income tax, sales tax and property tax. Maybe, we need politicians that can tackle the real problems of this state, and not just the problem of lost shopping carts.
Mitch Toland Jr.
12:36 pm on Saturday, July 23, 2011
@ Troy You couldn't be more right. The Tax Foundation released its annual report that showed Maryland is in the bottom 10 business climates in the United States. The exact ranking was 44th out of 50, obviously. The main rankings inside of that which pulled down our overall ranking was the individual income tax burden, the unemployment insurance burden and the property tax burden. If we could specifically address those three issues we could improve the overall ranking of our state and attract many more jobs here.
Mark Patro
11:08 am on Tuesday, May 17, 2011
As voters we should be reminding our elected officials (everyday) of their campaign platforms/promises to create jobs.
Athan Sunderland
11:31 am on Tuesday, May 17, 2011
Mr. Pritt, at the risk of appearing cynical, my best understanding of why we don't see more long-term strategies by elected officials for creating jobs and in turn revenue for all communities, is because it takes time. What I sense is that rhetoric about "balancing budgets" and immediate tax strategies (sometimes just re-shuffling of the deck) leads to immediate headlines for the seemingly never-ending election cycle. Being an elected official has become a career choice and not a response to serve. If we want change in our economy and in our communities, we, the private sector, must plan it and execute it, be willing to take all the risk let and the current system thrive on our successes.
Buzz Beeler
9:52 pm on Tuesday, June 7, 2011
I have repeatably stated that the middle class is voting with their feet and leaving Baltimore County.
The sad part is that the liberal politicians can't see the results of their own doing.
Buzz Beeler
10:03 pm on Tuesday, June 7, 2011
Sean, I almost missed you way up there. I was watching "The "Factor" tonight and the conservative blogger Andrew Breightbart who broke the Weiner story and he was talking about being vilified by the left.
O'Reilly even chimed in that he too is a target. Its like being a cop, you are taught how to handle taunts.
You will find that quite a few of these comments written by people using pseudonyms have very little in the way of facts, or basic research. They rely on emotion and when challenged by someone knowledgeable they flee.
DARRELL HAMMERBACKER
7:40 am on Wednesday, June 8, 2011
I'd like to know how many actually left the state all together.Between higher tax rates from the County and State,crime which has moved in to the County from the City,bad use of Tax money from the County Council and State we the Tax payers who work for a living and not living on the dole have had it! You'd think the Idiots and I mean Idiots would lower the Property Taxes because a Home today is not worth what it was 3yrs ago.This County and State is nothing more than a thieving house full of Officials who have the intellegence of a Baboon and I for one will be leaving this loosing County and State when I retire.And if people can afford it they should too.
Mark Patro
8:04 am on Wednesday, June 8, 2011
The decision makers in the government on all levels should be concentrating on (1) getting people back to work. Trickle down theories do not work. They have never worked. The way the economy works best is when money is circulating. It cannot circulate if Giant corporations and Government taxes take all of the money out of our pocket. (2) Maybe we should go into austerity mode and decide what has the priority. Should we really be talking about air conditioning in schools and getting the county to cut grass because it "looks ugly"? We should be putting programs in place which get people back to work. (3) I would love to see my taxes go down, but the roads need resurfacing now. How long will my car last if I have to 4-wheel it every day all day? (5) Crime, Crime, Crime. The crime rate should be paid attention to, but everything I see indicates that it is going down not up. We can scream and emote all we want about how we feel about crime but populations move around. The biggest thing we need to do in the country, state and county is stop being so selfish. We need to demand that the community be improve not scream about how much money "I" am paying in taxes. It we focus on bettering the community we will enjoy our community and see the positive things that are happening here. Put idle kids to work and crime will go down.
Diane
7:19 pm on Tuesday, July 19, 2011
Neighborhood Stability (.) Grass jnot greener on the other side. Hidden taxes(3) three in PA and the price of gas. The tax credit to hire new employees. Where are the jobs? Where are the neighborhood stability fund raisers to stop foreclosures. And Peter F. knows you only have to file to the extent of if you owe. Statistics are wrong as usual. Help a neighbor, hire, hire, hire!!! I am not pointing fingers just wondering who will sue the big bank and who will do the job creation? Crime goes down when there are jobs, period.
Buzz Beeler
11:22 pm on Tuesday, July 19, 2011
People in Baltimore County are voting with their feet. I have said this until I'm blue in the face. Baltimore County is becoming an annex of Baltimore City.
The census reports reveal an influx of poor and immigrants moving into the county. The areas of Dundalk, Essex and Cockeysville are seeing an increase in these demographics. As a sanctuary county illegals are also choosing to move here.
There are huge cost factors associated with this influx, impacting the county's health care system, food stamps, education, housing vouchers, ESOL just to name a few of these entitlement programs.
These issues will eventually lead to the destabilization of communities. The cause-ital factors include the flight of the middle and upper class, unsold homes that glut the market leaving a void in the revenues required to keep pace with the entitlements.
The unemployment for the 7th District is well above the 9.2% of the country.
Political correctness has run amok and we are now seeing the stark reality.
Take the No Child Left Behind scandal in Atlanta. This is the direction of this country in which a recent poll conducted by ABC and the Washington Post revealed that of those interviewed 69% felt the country was headed in the wrong direction.
http://online.wsj.com/article/SB10001424052702303678704576441752866036530.html
Robert Armstrong
12:07 am on Wednesday, July 20, 2011
Your Nose is growing Pinnochio.
The census said nothing of the kind.
Robert Armstrong
12:17 am on Wednesday, July 20, 2011
Here, I will even make it easy for you Pinnochio.
http://census.maryland.gov/
Prove it.
Gil
8:34 am on Wednesday, July 20, 2011
All of this can be summed up by the quote by Alan Greenspan when he said, “Whatever you tax, you get less of.”
John Andrew Jackson
10:31 am on Wednesday, July 20, 2011
The proof is in the pudding! Keep the Taxes coming and the People will leave. Do you really think that you can just keep taxing us and we wont notice that nothing is improving! Jokes on you guys! Maybe you should read the crime report!
Diane
7:02 pm on Friday, July 22, 2011
July 13, 2011 This struggling economy has been tough on Maryland families. If you are in danger of losing your home, we can help. Please join me at my Foreclosure Prevention Workshop, where you will have the chance to sit down, one-on-one, with housing counselors, mortgage lenders, attorneys and other experts to discuss your options to keep you in your home.
If you are interested in receiving a FREE foreclosure legal consultation at the event, please contact the Pro Bono Resource Center of Maryland at 1-800-396-1274 to pre-register and learn how to prepare for the legal consult.
Foreclosure Prevention Workshop
Hosted by Congressman C.A. Dutch Ruppersberger
Thursday, July 28th 6:00-9:00pm
Magnolia Middle School
299 Fort Hoyle Road
Joppa, Maryland 21085
The following lenders have been invited:
Please bring these items with you:
Bank of America
Hardship letter
Citi Mortgage
Last two months bank statements
Chase Mortgage
Last two pay stubs
Wachovia/Wells Fargo
2010 or 2009 tax return
1st Mariner Bank
Any notifications regarding foreclosure
BB&T
Other relevant documentation
Bogman, Inc.
SunTrust Bank
American Home Mortgage Servicing, Inc.
Sincerely,
C.A. Dutch Ruppersberger
Member of Congress
This mailing was prepared, published and mailed at taxpayer expense.
Buzz Beeler
11:01 am on Saturday, July 23, 2011
Dian, while I feel you heart is in the right place, the facts are in another.
There have been other programs developed to deal with the issues you speak of and they have failed.
These programs are too late and too little. Dutch is MIA, and resent news reports reveal many of problems that got us to this point are still unaddressed.