It appears that it is often necessary for individual taxing entities to raise money - supposedly for capital improvements such as buildings, roads and numerous pork barrel boondoggles, by issuing Bonds. These bonds are, for the most part, paid for by property taxes. Millions upon millions of tax dollars are raised and spent in this manner. On February 1st, 2003, the City of North Richland Hills is planning to pass a series of such bonds in the total amount of $38.2 Million dollars. They are presenting the bond issue as if it will not raise property taxes while they know -for a fact - that is does raise taxes because of Texas Law!

Between 1997 and 2002, the property tax rate for bond repayments declined by 7.66%. (From $.261837 per $100 valuation to $.241787 per $100 valuation.) If bonds were paid off, this decline should have been reflected in your overall tax rate. It was not and the rate stayed the same. Our local politicians simply moved the money you had approved to pay for bonds to their operating budget and kept your money as more for them to spend. The NRH - Maintenance and Operations portion of your property taxes went from $.308163 per $100 valuation in 1997 to $.328213 per $100 valuation in 2002 - a 6.51% increase in your taxes that was hidden by the city council "holding the rate". This really means increasing your taxes by moving monies earmarked for bonds to the operating budget.. It also means that if you approve more bonds, you are choosing to increase your taxes forever into the future.

You should also know that the sitting City Council has basically already anticipated big increases in your property tax valuations that they expect to increase your taxes. Instead of lowering taxes for everyone because of increased valuations, they are already planning spending more of your money.

In May 2002, the City Council voted to issue over $6 Million in new "Certificates of Obligation" which are simply bonds without voter approval. You will already have to pay for these pet projects of the council.

What you are asked to vote for on February 1st 2003 includes:

• Money for reconstructing sections of about 18 streets. The plan is to repair them the most expensive way possible.
• Money to reconstruct rather than repair two drainage channels. ($4 Million)
• Millions for unspecified future street repairs, signal lights and some "beautification" of Rufe Snow as a pet project of Councilwoman Johnson.
• Millions for unnecessary maintenance building expansions, toys for the Fire Department and a totally unnecessary fire training facility. (TCC has recently completed a state of the art fire training facility to preclude the need for cities to have to do so.)
• The only project with merit appears to be the Animal Shelter Expansion. Monies accumulated from smart operation of the existing facility and donations have heavily supplemented funds requested for this expansion. The person running the Animal Shelter has committed to raising any additional funds necessary for this expansion from private sources.

Please be aware that the approval of all new bond issues will add $38.2 Million to city debt. The plans, as they currently exist, cannot be executed and bonds issued to cover the expense without raising the property tax rate. If projects are delayed and if bond issue is delayed, it is possible that increases in property values will provide enough increase in tax revenue to pay for the bonds while utilizing the current rate. Even if the rate is held, you will be paying more in property taxes to pay for these bonds.

What is the Alternative?

Since 1997, North Richland Hills property tax collected has increased by 51%. This translates to our City Council spending over $5,000,000 more property tax dollars this year than 6 short years ago. The total city budget this year is approximately $80 Million dollars. The city staff, police department, fire department and all functional departments have the newest and best equipment and the newest and best toys available. Virtually all our fire stations feature the latest and best. Our city hall is a new, multi-million dollar facility. As taxpayers, we have been overly generous with our money. I believe that it is time for a business like look at city expenditures - across the board. Street repairs should be a basic part of operating a city - but in NRH they represent only a small fragment of the total expenditures. I believe that all meritorious items in the proposed bond issue could be financed with existing revenues in future years - without incurring the debt and increased taxes.

If our city officials would look at a higher quality of life within our city instead of trying to continually grow the city and its' tax base, we would see more parks, sidewalks and recreational facilities. We would see a shrinking tax rate as the valuations increase. We would also see less city intrusion into our daily lives and our pocketbooks.

The Choice is Yours - February 1, 2003

If you want the city to spend more money, you can vote for the bond issue. If you want the city to be more responsible and possibly reduce your taxes in the future, you can vote against the bond issue.

A vote for the bonds is a vote for higher property taxes in the future - BY STATE LAW!