Funding Public Entities

Thoughts on a Free Market Economy…
“Funding Public Entities”
By Phyllis Hunsinger
October 1, 2017

Public entities are funded through the distribution of taxpayer funds, which are collected from citizens in the form of taxes. In most communities these public entities include police or sheriff’s department, fire department, city and county offices, public schools, libraries, road and highway departments and often many other public causes for which taxpayers have been forced to pay.

As population, the economy, and property values increase, the amount of money available from taxes to fund the public entities increases. In an economic slow-down, there is often less money collected for these public entities. When private enterprise or a family has a downturn in economic health, adjustments must be made to live within their budget; however, public entities have another way of maintaining their funding: go to the voters and request more tax money.

This brings up questions of accountability. How seriously do public entities manage their money? Since the money used to operate public entities really does not come out of the pockets of the various administrators of these public entities, how careful are they with the taxpayer’s money? Are the taxes being used to fund the proper role of government or pet social projects?

Public schools, along with other public entities, often want extra money to replace existing buildings; however, privately owned businesses are more likely to repair, re-model, or retrofit older buildings so they can continue to be in service. It makes true the old adage that public property is never taken care of like privately owned property.

The children’s nursery tale of “The Goose That Laid The Golden Egg” provides a moral equivalent to the taxpayer today. The taxpayer is the only source of funding for public entities. When the taxpayer becomes so overburdened, the taxpayer will make changes. Perhaps the taxpayer will move to an area with lower taxes. Maybe the taxpayer will decide owning a business is not worth the hassle if such a large portion of the profit is taken away in taxes. And when referendums are put before the taxpayers requesting higher taxes to fund public entities, more and more taxpayers will vote “NO.”

The analogy to the nursery tale is do not kill the goose (a.k.a. taxpayer) that lays the golden egg (a.k.a. taxpayer funds).

https://www.free-dom.co.us, Phyllis Hunsinger © 2013 All Rights Reserved

This post was written by

1 Comment on "Funding Public Entities"

  • Ruth Ehlers says

    Excellent! The businesses are the ones going to be hurt the most in the present Bond and tax over ride Issue vote. Let’s see how much they protest.

Leave a Reply

Your email address will not be published. Required fields are marked *