By Pat Fain and Leslie Agron
Sometime in about a year or so, when the $6.5 billion build at the Uranium Processing Facility building at the Y-12 National Security Complex gets under way, Oak Ridge could see a decided increase in revenue from sales taxes. The windfall should come to the city over a short period, but then it will then end.
During those years, however, there may be some who think that Santa Claus has taken up residence in Oak Ridge. This piece is to advise you in advance, that should you hear that sort of sentiment down the pike, it is time to check in with some five-year-olds. They will quickly remind you that Santa has always lived at the North Pole with elves and flying reindeer.
We are all too likely to sit on this false Santa’s lap and wish for reduced property taxes; relief in the utility rates from the Environmental Protection Agency mandate and Tennessee Valley Authority rate increases; our debt being paid off; a new senior center; a National Park welcome center (if the bill ever passes Congress); new preschool facilities; a new school administration building; library expansion; a new conference center; tax breaks to attract business and industry; urban renewal and beautification and many other projects. Unlike the real Santa however, this faux Santa will not be possessed of a bottomless sack.
We doubt much of anyone will be asking Santa for a larger contingency fund to maintain solvency during the next recession or depression and the one after that. Nor will enough be considering our position when the windfall from the Big Build peters out.
We have a history of spending our windfall money and failing to invest in or anticipate the future. The last time we had a windfall was in 1987. It was largely used to lower property taxes and cover the deficits that consequently resulted. We only have the last $5 million of that windfall money because the financial community would lower our bond ratings if we do not keep that amount of liquid savings.
So here’s hoping we remember it’s just a short-term windfall; that we figure out in advance how to leverage the money to meet some urgent needs while both shrewdly investing for the future and building up our ability to cope during more austere times—which may be just a little further ahead. It behooves the Council to get out ahead of this and to develop a policy for the city.
Susie Williams Taylor says
I do hope the Council does the “right” thing….seeing a “windfall” like described could create “itchy” fingers~~~Another great article on a vision for Oak Ridge, TN!
charlie hensley says
Leslie, I agree, and advocate we take an organized approach for recruiting the potential suppliers. If we are pro-active, we could possibly get them to locate branch offices or manufacturing facilities here. We would then be positioned for involvement in any future projects by TVA, ORNL, or other organizations needing future high-tech services. I personally have already facilitated meetings with three local manufacturing/engineering firms in meeting with the UPF Procurement managers. Working agreements have been put in place for their eventual inclusion for bid package mailings.