A Better Solution Than the Capital Project Sales Tax: Recognizing that voting NO is not enough

Councilman Blount’s Newsletter 10-20-24

Before we begin, I want to provide a key to as to not confuse anyone, since this is a tactic often used to push this sales tax in the public!

Capitol Projects Sales Tax = CPST = Penny Sales Tax

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As we approach the November referendum on the Capital Project Sales Tax (CPST), it’s vital that we take a step back and examine what this proposal really means for Greenville County. On the surface, it may seem like a solution to our infrastructure challenges, but a closer look reveals deeper concerns that we can’t afford to ignore.

Opposing a tax isn’t enough—we must offer a better alternative. That’s what this newsletter is about: presenting a more responsible and transparent path forward. Instead of rushing into another tax, we need to first ensure that our county’s finances are being managed efficiently and that developers are paying their fair share for the growth they’re driving. Only after these options have been exhausted should we even consider burdening residents with a sales tax.

While the CPST may seem like a quick fix, it fails to deliver the real solutions we need. Local taxpayers will fund state-controlled roads like Woodruff and Wade Hampton, with no ability to recoup these funds or influence the pace of construction. The rising cost of materials could lead to unfinished projects and future tax hikes, all while the state retains full control over the process. Why should Greenville residents shoulder this risk?

Moreover, the projects on the CPST list were crafted by an unelected commission, disconnected from the needs of the very people who will be paying this tax. Many proposed projects focus on minor roads and cul-de-sacs, leaving major traffic concerns unaddressed. This is a process driven by bureaucratic convenience, not community priorities.

The good news is that we have a better option: a Transportation Sales Tax, combined with impact fees and a comprehensive audit of county finances. This approach prioritizes REAL public input, transparency, and accountability. It ensures that local control is preserved, allowing citizens to have a direct say in which projects are funded and how their tax dollars are spent. With this model, we can achieve the road improvements we need while providing real tax relief and financial freedom for Greenville residents at the same time.

This newsletter will outline the steps for a more effective and equitable solution that puts the power back in the hands of the people, where it belongs.

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Earning Your Trust Through Transparency

Before we even think about new taxes, we need to ensure that the county is making the most of its existing resources. Transparency is key to this effort. Just as GreenvilleCountyRoads.com allows residents to track the progress of road projects, I propose the creation of GreenvilleCountyBudget.com—an interactive platform where taxpayers can see exactly how their dollars are being spent. This tool would allow residents to examine the budget line by line, fostering trust and accountability in how county funds are used. We know the staff can put together an excellent website now, so this should be an easy request.

Alongside this, we must focus on savings before asking for more. Our approach starts with an external, independent audit of county finances to identify inefficiencies. Once we know where taxpayer money is being wasted, we can direct those savings to critical areas, like road paving and property tax relief. But that’s just the first step. We also need to implement impact fees—requiring developers to pay their fair share for the infrastructure growth they’re driving. This ensures that new development contributes to, rather than strains, our resources.

Let’s Focus on Savings First

Our priority should be to find savings and new revenue streams within the county’s existing budget before asking taxpayers for more. Here’s how this process would work:

1. Audit for Savings: Conduct a comprehensive audit to uncover inefficiencies and areas where spending can be reduced.

2. Impact Fees for Growth: Implement impact fees so that developers contribute to the cost of the infrastructure required for new growth.

3. Redirect Savings: Use the savings from the audit and the revenue generated from impact fees to fund essential projects—like road improvements—and provide property tax relief.

By focusing on these steps first, we will have a clear understanding of how much we can save and how much impact fees will generate. Only then should we even consider a sales tax. This ensures we aren’t asking taxpayers for more money until we know exactly what’s needed to meet the county’s infrastructure goals.

Taking these steps will also send a clear message to the state: “We’ve done our part—now it’s your turn.” The state government is responsible for funding major road projects, and by addressing our local responsibilities through savings and impact fees, we can put pressure on Columbia to deliver the state-funded improvements Greenville County residents deserve.

Why the CPST (1% sales tax) Falls Short

One of the biggest flaws of the CPST is its lack of transparency. The project list was developed behind closed doors by staff and bureaucrats, without sufficient input from the residents who will be paying the tax. Worse, once the tax is passed, there’s limited public accountability regarding how the funds are used or when projects are completed. This leaves taxpayers footing the bill with little control or oversight.

In contrast, the Transportation Sales Tax, combined with impact fees and the transparency of GreenvilleCountyBudget.com, offers a far better approach. Public meetings, citizen input, and an open decision-making process will give the people of Greenville County direct control over how their tax dollars are spent. This way, we can ensure that funds are allocated based on community needs, not bureaucratic convenience.

Ultimately, before we ask for new taxes or additional funding, we need to build a foundation of trust. That begins with full transparency and a commitment to using our existing resources wisely. By conducting an audit, implementing impact fees, and focusing on savings, we can fund critical infrastructure projects without burdening taxpayers unnecessarily. Only then should we even entertain discussions about a new tax.

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The Better Alternative: Transportation Sales Tax

A smarter and more flexible alternative to the CPST is the Transportation Sales Tax. Thanks to recent legislation, this tax can exclude essential items like gas and groceries, addressing one of the main concerns voiced by the current council.

Unlike the rigid structure of the CPST, which limits public input and locks funds into pre-determined projects, the Transportation Sales Tax empowers citizens to have a direct say in where their money goes. This customizable approach ensures that only the most critical and community-valued road projects get funded.

Why the Transportation Sales Tax is Better

Unlike the CPST, where projects are chosen by bureaucrats with little public input, the Transportation Sales Tax is community-driven. Public meetings, citizen input, and a transparent decision-making process allow the people of Greenville County to shape how their tax dollars are spent. If there are projects the public doesn’t see as necessary, they can be excluded from the list, ensuring that we only pay for what we truly need. This can be a County initiate focused on COUNTY ROADS!

A Smarter Path Forward

The Transportation Sales Tax is a more responsible and transparent way to fund road infrastructure. It offers citizens direct control, ensures transparency, and provides real opportunities for tax relief. By tailoring the tax to the specific needs of Greenville County, we can avoid the pitfalls of the 1% sales tax and create a funding mechanism that works for everyone.

With this approach, we are not only improving roads, but also giving residents a say in their future—ensuring that tax dollars are spent wisely on projects that truly benefit our community. The result is a more accountable, efficient, and community-focused way to fund critical infrastructure—something citizens have been rightfully demanding for quite some time!

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Impact Fees: A Proven Way to Fund Growth

One of the most effective ways to manage the costs associated with growth—without increasing taxes—is through impact fees. These fees ensure that developers, who profit from new growth, contribute their fair share to the infrastructure required to support that growth, including roads, utilities, and public services.

In places like Fort Mill, SC, impact fees vary by the type of development, providing an example of how Greenville County could structure its own system. For instance:

• A single-family home has an impact fee of $2,825, covering parks, fire protection, and municipal facilities.

• A multifamily unit like an apartment or condominium carries an impact fee of $2,157.

• Commercial developments, such as retail stores, range from $551 to $1,745 per 1,000 square feet, depending on the business type.

While these are just examples from another South Carolina Government, if Greenville County implements a similar structure, substantial revenue could be generated, funding improvements to roads, public safety, and other essential services. This recurring revenue source would grow alongside the county, ensuring that as new developments emerge, so does the infrastructure to support them.

Addressing Growth and Traffic from Multifamily Developments

Multifamily developments, in particular, contribute to higher population density and increased traffic, placing a heavier burden on public infrastructure. Impact fees for these projects ensure that developers contribute to expanding roadways and utilities, reducing the pressure on existing taxpayers to fund these improvements. Without these fees, the financial burden of supporting new growth falls unfairly on existing homeowners through higher taxes.

Why Impact Fees Matter

Right now, when new developments are built, existing taxpayers often end up shouldering the cost of the infrastructure needed to support them. This creates a financial strain, with property taxes rising to “catch up” to the needs of new residents. Impact fees solve this problem by requiring developers to pay their share upfront, covering the costs of new roads, utilities, and public services from the start.

This approach not only prevents property tax increases but also offers a more sustainable model for growth. As Greenville County continues to expand, impact fees ensure that new developments are fully funded without straining existing resources, helping to prevent urban sprawl from overburdening the county’s infrastructure.

By implementing impact fees, we can create a fairer and more responsible way to manage growth. Developers will be held accountable for the infrastructure their projects require, reducing the burden on homeowners and allowing the county to grow sustainably, without constantly needing to raise taxes.

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A Hybrid Budget for Innovation and Tax Relief

Greenville County has a unique opportunity to implement a hybrid funding model that combines property taxes, sales taxes, and impact fees to meet the county’s needs while also offering real tax relief to its residents. By strategically using these revenue streams, we can lower property taxes and still provide adequate funding for essential services like infrastructure, schools, parks, and public safety.

Instead of relying solely on property taxes—which disproportionately burden homeowners—a sales tax spreads the responsibility across a broader base. Thanks to recent legislation, the Transportation Sales Tax can exclude essential goods like gas and groceries, ensuring that it doesn’t disproportionately impact lower-income families. This approach offers both flexibility in funding and much-needed tax relief for our citizens.

How a Hybrid Model Works

1. Sales Tax for County Road Infrastructure: The Transportation Sales Tax can fund critical COUNTY road infrastructure projects. Unlike other rigid tax systems, this sales tax gives residents more control over how their tax dollars are spent, ensuring that only the most necessary projects receive funding. If you want to tax to only apply to County road needs and nothing more, that’s exactly what it will be designed for. YOU are in control.

2. Impact Fees for New Developments: As Greenville County grows, impact fees will require developers to pay their fair share for the infrastructure and services their projects require, reducing the burden on existing homeowners. This model ensures that new growth funds itself, preventing property taxes from being the primary source of revenue for future developments.

3. Property Tax Relief: By using both sales tax and impact fees, we can shift the financial burden away from property taxes. This will provide homeowners with much-needed relief, lowering the overall cost of living and making Greenville County a more affordable place to live.

The Benefits of a Hybrid Approach

With impact fees in place and the Transportation Sales Tax as a key funding source, Greenville County has a rare opportunity to lower property tax rates and ease the financial pressure on homeowners. Instead of continuously asking residents for more through property tax hikes, this hybrid model allows us to give some of that money back, all while ensuring that our roads, schools, and public services are properly funded.

This approach is not just about lower taxes—it’s about creating a county where families can thrive. Reducing the financial burden on homeowners allows people to invest more in their futures, whether that’s starting a business, buying a home, or simply having more financial freedom.

By combining fiscal responsibility with a flexible tax structure, Greenville County can grow sustainably while lowering the overall tax burden on its residents. It’s a smarter, more innovative way to manage our county’s finances while ensuring that Greenville remains an affordable and thriving community for years to come.

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A Collaborative Path Forward

These ideas represent the beginning of a new vision for Greenville County, created from the minds of myself and fellow colleagues who oppose the current sales tax proposal. As someone who is just two years into public service, I can only imagine what we could achieve if the entire County Council were made up of like-minded, forward-thinking representatives. Together, we have the potential to bring about real, lasting change, with transparency, accountability, and fiscal responsibility at the forefront.

The Capital Project Sales Tax (Penny sales tax) is not the solution Greenville County needs. It asks for more taxpayer money without providing the flexibility, transparency, or accountability we deserve. Even worse, it funnels local funds into state-controlled projects with no guarantee of cost control or timely results. In contrast, by pursuing the Transportation Sales Tax, combined with impact fees and a comprehensive audit of our finances, we could fund necessary infrastructure while giving citizens a say in how their money is spent—and, more importantly, provide real tax relief.

This hybrid model will help us keep Greenville County one of the best places to live in the country, without overburdening taxpayers. Voting no on the Penny sales tax will allow us to take the smarter path forward, focusing on efficiency and innovation while ensuring that citizens keep more of their hard-earned money. Instead of constantly asking for more, we could actually give some money back by lowering property taxes, providing financial relief, and making our community more affordable.

This approach isn’t just about saying no—it’s about offering a better solution. By working together, we can ensure that Greenville County becomes a model of fiscal responsibility and constituent-focused governance, delivering real results and securing a brighter future for all.

I know this was a lengthy newsletter, but I felt it important to give you something other than what I did not like about the current proposed sales tax. If you made it this far, I really appreciate you talking the time to read all of this information. It shows your desire to see Greenville County as a place you truly want to call home. I feel that you will make the right decision in November, and know that no matter what that decision is or the overall outcome, I will continue to fight for your voices. Not just that they are heard—but acted and delivered on! - BBD19