Why I’m Voting “No” (This Time) on the Sin Tax

By Joe Baur

Sin tax talk is all the rage right now in Cleveland – scratch that – Cuyahoga County and even the surrounding collar counties. That’s not surprising since fans of the teams the sin tax props up covers an entire region – not just one city or county. And it’s that basic fact that originally had me questioning the justification of the tax.

Cavs, Indians and Browns fans especially pour into downtown Cleveland from all over the region. Yet residents of Lake, Medina, Summit, Lorain or pick your non-Cuyahoga county are not being asked to renew a tax on themselves. Instead, it’s all on residents of Cuyahoga County.

This all comes after Mayor Jackson agreed to fork over $2 million a year over the next 15 years for improvements to the Browns’ stadium, which makes even less sense to me since this payment was solely on the shoulders of residents in one of the poorest cities in the country. Many of who cannot afford to go to the games they’re essentially paying for.

Alas, we’re now in a similar situation. At least this time more folks are being asked to take on some of the financial burden. But the sin tax still targets those less fortunate financially to finance the stadiums of billionaires.

Taxing The Poor

Some feel little or no sympathy for taxing a smoker. We know it’s bad for you. So if you decide to puff, that’s your problem. That would all be well and good if the sin tax actually went to preventing people from smoking.

In general, taxes are put in place to create public goods and services – mass transit, libraries and schools. The correlation – again, generally – makes sense, too. Gas tax revenues, for example, go toward infrastructure projects, which benefits those who feel the hit from a gas tax.

The connection between those hit by the sin tax toward how they’re benefiting is far from direct. The best argument you can make, which seems to be the one pro-sin groups are making, is that the sin tax helped make the Gateway District a reality and created jobs (seasonal and less than promised, mind you). For this reason, they seem to be bent on casting anyone who does not support the tax as anti-Cleveland. It’s the same hyperbolic rhetoric that disillusions the general populace from discussing other hot topic issues.

Not Anti-Cleveland

I know opponents of renewing the sin tax. They are not anti-Cleveland. Rather, they are simply asking if we are taxing the right people and if those revenues could not be put to better use, such as combating third-world infant mortality rates or investing in community-based projects that have more of a direct-impact on a local economy than funding stadiums that are lucky to be half-empty and are closed more often than open. How are these not fair questions to ask?

Another point brought up by sin tax skeptics – even some proponents – is that the sin tax renewal would last longer than our current leases with the stadiums. It should be obvious that we need to renegotiate these leases to, at the very least, last as long as the sin tax should it be renewed.

Obligations

One point the pro-side wins on is that we do have legal obligations in our stadium leases. Shitty obligations, but obligations nonetheless. And nobody wants the city to dip into a general fund that helps pay for police officers and firefighters to pay for an improved scoreboard. Plainly, we’ve been put in an awful situation.

It would be great if we could end corporate welfare for sports billionaires, but Cleveland cannot do it alone in one fell swoop. We would just give owners a reason to move to another city that’s so hungry for a team, they would be willing to finance the stadium with public money until they too realize the folly in the whole idea of financing stadiums with public revenue where an owner can later sell naming rights and pocket the profits.

We need the entire country to take a stand against sports welfare. Until that happens, Cleveland is stuck looking to make the best of a bad situation.

But I’m not convinced that simply renewing the sin tax, as it stands now, makes the best of the bad situation for Clevelanders. We deserve better and can demand as much by voting against renewal of the sin tax in May. Force leaders of both sides to the table, renegotiate the leases, and create a system of transparency that explains how sin tax revenue will be used.

Maybe we can even get something that will benefit all Clevelanders out of the deal, such as repaving the pothole-laden streets surrounding these stadiums and include bike-friendly infrastructure this time for taxpayers who might be more interested in crossing town safely than going to a game. Because if there’s anything Clevelanders hate more than losing teams, it’s the Mars-esque expedition that is traversing the streets of Cleveland.

[Photo via Heather McLaughlin]

 

 

Joe Baur is a freelance writer, filmmaker and satirist with a diverse array of interests including travel, adventure, craft beer, health, urban issues, culture and politics. He ranks his allegiances in the order of Cleveland, the state of Ohio and the Rust Belt, and enjoys a fried egg on a variety of meats. Joe has a B.A. in Mass Communication with a focus on production from Miami University. Follow him at http://JoeBaur.com and on Twitter @BaurJoe.

 

 

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One Response to “Why I’m Voting “No” (This Time) on the Sin Tax”

  1. Bob Beck

    Alan, Joe, Bob (great name!) Mike….the time to be asking these questions is 10-15 years ago when we were getting ready to “build it (so) they would come.” But now the buildings are up and although you may not approve of the supposed upgrades/improvements, technology now plays a big part in bringing fans into these venues. If we, the landlords don’t keep these facilities current, fans don’t come, our costs do NOT go down, and maybe the teams do leave town. We can grouse all day long about the fat cats or the good deals the NBA, MLB and NFL have because so many cities want those teams. If they leave, all the millions of dollars that the fan base, spread all over Ohio and neighboring states, brings to our fair city is gone. And the cost to bring those teams back….well with the loss in revenue and jobs, we just won’t have the ability to bring them back. It affects the restaurants, the hotels, the level of tourism and so much more. Most of the stuff in these facilities is custom built for the facility. It’s not like you can find anything like we’ve got it every other major league franchise city. And Joe, the sin tax does cut down the number of smokers…just not enough. Now there’s an argument for the sin tax. Whatsis about the sin tax lasting longer than the leases? So what! Whether you succeed in running those greedy owners out of town or not, the buildings will still be there. We’ll need money to tear them down and prepare the site for something else…if there’s anybody left to care. I don’t smoke, but I do drink, and I make it a point to buy all my beer and liquor in Cuyahoga County. I think they added $0.19 for each 12 pack of beer I bought at Giant Eagle. You guys probably don’t think twice about paying $1.50 for a cup of coffee or $4.00 for a bottle of beer at your local bar….maybe you should take some home…it’s cheaper and it still helps! About the out of towners not paying their fair share for support of our facilities…they pay a tax on each ticket (8%) and they pay for parking, they buy gasoline and they probably dine here. You know they buy beer at all three of our venues so they’re paying the sin tax too. I think you’re fighting an uphill battle here….as long as the citizenry believes that entertainment value is there and that national exposure is good for Cleveland, the sin tax is going to be a key ingredient for all of us. One more thing Joe…you certainly give us some stuff to think about, but to think that people who come here to see the Indians, Browns or Cavaliers, or the voters who willingly support these facilities for all the reasons I’ve already outlined are suddenly going to swing over to combating third world infant mortality rates or repair pot holes is ludicrous. Those are different funding sources and there is no either/or in your argument. Greater Cleveland is one of the most generous charitable cities in the world! Why do you think we call ourselves GREATER Cleveland? Joe, let’s talk about something more positive that holds great promise, the regionalization of local governments (combining emergency call centers, buying supplies and equipment across a bunch of suburbs, etc) or the possible merger of East Cleveland and Cleveland…what are the possibilities there? Or the expansions of services provided by the Metroparks. I voted for all those tax increases, including the Lakewood bond issue, etc. and I have rental properties so I get to pay over and over and over…for all those real estate based taxes. So Joe, now that I’ve ranted longer than your article, what is your solutions for all these leasing problems? If we go into negotiations with “the lease is a problem” the chaos and instability that no resolution will cause will keep you, the Plain Dealer and all the local TV stations busy for years!

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