The DISH

 

Unbossed and unbought news and information you can use

Vol. 8 Issue 17…Dedicated to the Dialogue on Race…April 29, 2005

 

 

Intuit’s Vibe

Taxation Poem

Author Unknown

 

Tax his land, tax his wage,

Tax his bed in which he lays.

Tax his tractor, tax his mule,

Teach him taxes is the rule

 

Tax his cow, tax his goat,

Tax his pants, tax his coat.

Tax his ties, tax his shirts,

Tax his work, tax his dirt

 

Tax his chew, tax his smoke,

Teach him taxes are no joke.

Tax his car, tax his grass,

Tax the roads he must pass

 

Tax his food, tax his drink,

Tax him if he tries to think.

Tax his sodas, tax his beers,

If he cries, tax his tears

 

Tax his bills, tax his gas,

Tax his notes, tax his cash.

Tax him good and let him know

That after taxes, he has no dough

 

If he hollers, tax him more,

Tax him until he's good and sore.

Tax his coffin, tax his grave,

Tax the sod in which he lays

 

Put these words upon his tomb,

"Taxes drove me to my doom!"

And when he's gone, we won't relax,

We'll still be after the inheritance tax





Atlanta Vibe

Closing Out Poetry Month


Pointing out that spoken word and other forms of oral presentation are the oldest forms of entertainment, The DISH kicked off Poetry Month to highlight their deep African cultural roots. For centuries, especially in the United States, blacks communicated family heritage, customs, folklore and accounts of our desperate struggle for freedom, justice and equality through spoken word. The significance of this oral tradition, which was maintained by African griots, shamans and oracles, is the focal point of several venues this weekend as the Atlanta Vibe closes out Poetry Month.


Beginning with the First Annual Stone Mountain Poetry Festival (April 29 - May 1, 2005), Atlanta Vibe poets Yohannes Sharriff, Karen C. Thames, Kemi Bennings, William Harris, Pamela Plummer, Tanzania Nevels, Renita Walls, Betty Hasan-Amin, Cherryl Floyd-Miller and festival organizer Felton Eaddy, among others, will continue the age-old tradition by performing a creative array of styles, including slam, free style and poetry readings for festival goers. For more information, email globalart@aol.com.


A star-studded weekend, which includes Alicia Keys by candlelight in concert at Chastain Park on Saturday (4-30-05), Poetry Month culminates with a tribute to two forerunners of today's spoken word/hip-hop artists, The Last Poets and Amiri Baraka. These spoken word artists gave voice to the civil rights movement as they combined music and messages that chided the US for its history of institutionalized racism. Local performers joining in this tribute include Yohannes Sharriff, Aqyil Thomas, WeOne, Q Swan, Cola Rum, Jon Goode, Indigo and Jessica Care Moore. For more information about The Last Poets, visit www.thedish.org/TheDISHv6no13.htm#history. Call 678-698-8393 or 404-725-6466 for venue information.





Bit of History

Civil War Financing


On the eve of the US Civil War, the North and South faced the daunting task of financing the conflict. Abraham Lincoln's administration and the Confederacy employed similar measures to raise money. While the North was vastly more successful with its taxation, borrowing and issuance of paper money, both sides grossly underestimated the cost and duration of the war.


The North, which relied heavily on borrowing to finance its operations, had a sizeable federal debt before the war started. To tackle the looming financial crisis, President Lincoln appointed Salmon P. Chase, a former governor and senator from Ohio, as Secretary of the Treasury. Despite his limited finance experience, Chase moved quickly to address the problem.


Under his leadership, the Treasury Department began selling government bonds to the general public to raise revenue and increase popular support for the war. Congress passed the National Banking Act (1862), which stimulated the sale of war bonds. National banks chartered under the act had to invest one-third of their capital in federal bonds and to deposit those bonds with the Treasury Department. The banks could then issue bank notes, which would serve as legal tender, up to 90 percent of the market value of the deposited bonds.


In July 1861, Chase advised Congress the federal government would need more than $300 million to fight the war in 1862. Customs from imports, an important source of revenue, had dwindled as expenses increased, leaving the government with a growing deficit. With the war costing nearly $2 million a day, Chase asked Congress to make the government's paper money legal tender for all debts, public and private. Congress passed the Legal Tender Act (1862), which created "greenbacks." This measure placed in circulation $50 million and created the basis for a national currency.


Making paper currency legal tender added to inflation, but it solved the immediate crisis by promptly putting money into the Treasury. After considerable debate and criticism, Congress passed the Internal Revenue Act (1861), the first US income tax. It imposed a 3 percent levy on all incomes exceeding $800. With such a high exemption, only the richest were expected to pay. In addition, the act taxed manufactured goods and imposed sales taxes and license fees. To collect the income tax and other levies, Congress created the Bureau of Internal Revenue. While this legislation failed to fully fund the war, it became the precedent for a national system of taxation.


These financial measures and subsequent reforms enhanced the power of the national government and became targets of well-financed campaigns to eliminate taxes, especially the income tax. Anti-tax movement critics felt it was little more than an effort to shift the tax burden down the income scale. Ultimately, Republican political leaders heeded wealthy taxpayers' demands and abolished the progressive rate structure in 1867 by imposing a flat 5 percent tax on all incomes over $1,000. In 1870, Congress again reduced the rate and eliminated inheritance taxes. Having served its original purpose in helping to finance the war, Congress agreed the income tax was near the end of its useful life and voted to let it lapse after 1871. (Sources: www.taxhistory.org/Articles/civilwar.htm and American History: A Survey by Current, Williams and Friedel)





Comments from the Bat Cave



The Dark Knight-Batman/White Ninja/Zorro recently completed the Criterion-Referenced Competency Test (CRCT). Like students in public school systems nationwide, DeKalb County students spent most of April testing. When queried for comments, the Dark One/Ninja/Zorro exclaimed, "I hope I passed the CRCT so my TV and other privileges can be restored!"




Disgruntled feels: Sanitized! Like beauty, terror is in the eye of the beholder or more specifically its victim. Patterns of Global Terrorism, a country-by-country report, which normally includes statistical tables, has been published annually since 1986. This year the publication was stripped of its data, which show the number of significant terrorist attacks rose from 172 in 2003 to 655 in 2004, a nearly 300% increase. The existence of such data, like real US unemployment and inflation rates, makes it difficult for the Bush administration to claim it is winning the war on terror. This is especially true, since a large chunk of the 655 terrorist acts occurred in Iraq, a country occupied by the US military and proclaimed by Bush to be the front in his war on terror. Given the Bush administration's knack for telling lies about everything for the state of the economy to its war, no one should be surprised that Secretary of State Condoleezza Rice ordered the report withdrawn and sanitized of its pessimistic statistics.



Disgruntled says: Historically, the US raised taxes to finance its wars. US citizens were expected to make some sacrifice. To maintain the public's faith, former Treasury Secretaries, such as Salmon Chase, seemed reluctant to increase the debt and worked to safeguard the nation's ability to raise revenue via its good credit. A striking contrast, the current conflicts in Afghanistan and Iraq are financed with deficit spending. Moreover, rather than raise taxes, the Bush administration provided huge tax cuts for the wealthiest US citizens.



Disgruntled wants to know: Blacks fought and died for the right to vote. By exercising the most fundamental right of citizenship, blacks believed that by voting to elect their representatives, government would be more responsive to their needs. Ironically, blacks make up the majority in DeKalb County; the titular head of county government and the majority on the county commission are black. Yet, conditions for blacks have not measurably changed since white elected officials ran DeKalb County government. What have blacks gained in exchange for the sacrifices made to get the vote, when elected black officials fail to make meaningful change?




Ringing Like A Bell

John Burl Smith

Quietly appointing a so-called Future Funding Commission (FFC) to prioritize infrastructure needs over the next 20 to 50 years, DeKalb County, Georgia CEO Vernon Jones tried to sneak one pass predominately black South DeKalb. According to DeKalb County resident Adrion Bell, this commission developed a "wish list" that would cost more than $237 million to pay for transportation, parks and recreation, economic development and the library system.

Tolling the disastrous implications of this pea and shell game, Bell sounded the alarm. "Nearly all of the funding options presented involved raising taxes or putting the county in long-term debt. Who pays this type of debt? Taxpayers! Furthermore, many of our citizens are on a fixed retirement income. We are in a time when the cost of basic needs like gasoline and grocery prices are skyrocketing. Water and sewer rates just jumped 20 percent. Unemployment is up and I don't know many people who are receiving 20 percent pay increases." Except CEO Jones, whose salary just increased to a whooping $142,891, making him the highest paid elected official in the state of Georgia.

Clamoring home the point that since CEO Jones took office DeKalb County taxes and fees have tripled, while property assessments continue to rise every year, Mr. Bell echoed a note sung by most DeKalb residents. Beguiled, South DeKalb residents labor under false hopes that elected officials will spend revenues from sales and property taxes to improve their communities. Inundated with unrestricted home construction, South DeKalb schools are overcrowded. Streets, such as Gresham Road, which serves as a major access corridor to the Ellenwood/River Road community from I-20, has not been paved in more than two decades. Outdated when constructed, current recreation facilities on the South end of the county were built based on population estimates compiled before the home construction boom.

Conversely, North DeKalb has enjoyed a commercial construction and economic development boom for more than ten years. During this period, South DeKalb, particularly its unincorporated portion, paid the same level or taxes as high as the northern end of the county, yet tax revenues consistently flowed North to improve infrastructure in predominantly white communities. Consequently, large office complexes, hotels, restaurants or business districts went North, while predominantly black South DeKalb got nothing for its rising taxes. Ringing loud and clear, Mr. Bell's wake-up call resonated like chimes. His warning should alert South DeKalb residents to the fact that Jones' sweet music is as much a sour note as the MARTA sales tax and the lack of South DeKalb rapid rail service.

The FFC is another scam. A bait and switch money grab from South DeKalb to pay for economic development that disproportionately benefits North DeKalb. Reminiscent of the HOST sales tax for sidewalks, curbs and gutters, which went mostly for improvements in the North, the FFC proposal will give Tucker an amphitheater. Over five years ago, South DeKalb was promised a performing art center to be built on the old Mathis Dairy site to replace Soapstone. Instead, the money was redirected and blacks cannot get an art project funded in South DeKalb. This new FFC is just another way to coverup how South DeKalb's art funds have been shifted to North DeKalb, while depriving South DeKalb of a performing art center and its rightful share of art funds. Given DeKalb's black elected officials are silent, they support the use of South DeKalb's taxes to improve North DeKalb communities.

 

 

 

Hood Notes

Appraisal Inflation


Real estate prices are rising across the USA. Many analysts see the surge in home prices as part of a real estate bubble fueled by low interest rates and easy credit. Disturbingly, foreclosures are also rising. In addition, the number of new single-family homes for sale and percentage of homes purchased by people that do not intend to live in them are at historic highs.


These worrisome signs of a real estate bubble do not receive much in the way of media coverage. But, housing experts worry that these signs portend serious trouble for the housing industry and the economy. They see 'appraisal inflation' as one culprit responsible for the steep rise in home prices. When real estate appraisers inflate property values, purchasers pay more than homes are worth and/or homeowners obtain refinance loans in excess of their homes' resale values to pay off credit card debt, make home improvements or cover daily living expenses. Of late, the latter is the case as the cost of living rises and length of unemployment grows.


"Home Insecurity: How Widespread Appraisal Fraud Puts Homeowners At Risk," a research paper at www.demos-usa.org/pub485.cfm, highlights aspects of this fraudulent practice. Its key findings include the fact that serious conflicts of interest exist between lenders, brokers, and real estate agents. Appraisers feel pressured to inflate property values. As government oversight is weak or non-existent in some states, predatory lending, which targets minority and sub-prime borrowers and involves appraisal fraud, goes unchecked. Moreover, unscrupulous developers and dishonest appraisers collude in aggressively marketing new homes at inflated prices to aspiring low-income homebuyers.


With the Ney-Kanjorski bill, Congress is considering legislation to prohibit agents and others from pressuring appraisers through coercion, bribes or extortion and to force physical inspections for high-cost loans instead of computer appraisal software that can be manipulated. Critics of the legislation say it does not go far enough to address structural problems in the appraisal business, such as the fact that many lending institutions that hire appraisers profit from the outcome.


Some states, such as Texas, are looking at ways to address appraisal inflation. The Texas legislature is considering a bill to end the use by local city and county elected officials of rising property values to increase revenues rather than outright tax rate increases.


For the vast majority of US families, the home represents their most important investment and sole source of wealth. Appraisal inflation is fraud; it erodes wealth and places many at risk of losing their homes.





News You Use

Appealing Property Appraisals


DeKalb County, Georgia is one of the fastest growing areas of the country. Many Northern blacks are returning to the South, and South DeKalb County has drawn them like a magnet. Accompanying this growth, real estate values are rising in DeKalb, especially in its unincorporated areas, which account for more than 80% of the county's property tax revenues. Rising appraisals mean higher tax assessments, which unfairly burden low-income families and elderly residents that own the existing stock of homes, rather than the newer more expensive ones sprouting up on postage stamp-sized lots in unincorporated South DeKalb County.


Built in 1957, a typical home in unincorporated South DeKalb County appraised at $69,300 in1996 for property tax purposes. The 2005 notice of assessment change show an appraised value of $115,000. This is an increase of 65.9% over the nine-year period. On closer examination, most of this increase occurred in the last four years. For example, in 1999, the house was appraised at $73,400. This increase came on the heels of modest improvements to the structure. Since then, no capital improvements have been made to explain the $41,600 increase or 56.7% rise in the appraised value of this residence. Over this relatively short period, the annual increase in the appraised value exceeded ten percent, which well outpaces the national inflation rate. The homeowners plan to appeal this assessment.


If you received a Notice of Assessment Change and disagree with the appraised value of your home, you have the right to file a challenge on the grounds of taxability, uniformity of assessment (values are uniform as compared to similar properties), value (if the County Board of Tax Assessors changed the appraised value), and denial of a homestead exemption. Appeals must be filed with the County Board of Tax Assessors by the deadline shown on your Notice of Assessment Change, which should include information concerning the appeal process. For more information about the appeal process and your rights as a property owner, visit the DeKalb web site at www.codekalb.ga.us/propappr.

 

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