Friday, July 20 , 2018, 5:22 pm | Fair 74º

 
 
 
 

Commentary: Goleta’s Revenue Pact With County Unfair, Study Finds

Results of the Chamber of Commerce study will be presented at the Goleta Economic Forecast event.

The Goleta Valley Chamber of Commerce study of Goleta’s revenue-neutrality agreement with Santa Barbara County has concluded that the agreement, as it now stands, is the most unfair of any other recent agreements. The results will be presented at the Goleta Economic Forecast at 8 a.m. Friday at the Fairview Theatre, 225 N. Fairview Ave.

“Revenue neutrality is the major issue impacting Goleta today and into the future, specifically the ability of the city to provide services as needed by local residents,” said Kristen Amyx, president/CEO of the Goleta Valley chamber. “We commissioned this analysis to determine the long-term effects of the agreement as negotiated by the former City Council, and to provide context for the ramifications of the fiscal realities it imposes as we ask the county to agree to a fair agreement.”

The Goleta Valley chamber has commissioned studies annually for the past three years, including research on the economics of viable agriculture and local preference housing policies.

Highlights of the RNA study include:

» The revenue-neutrality agreement leaves Goleta paying more to the county than any other recently incorporated city in California.

» Without the agreement, the county still would receive $7.44 million from city of Goleta tax revenue (property and sales).

» Unlike any other revenue-neutrality agreement, Goleta never stops paying the county. Most agreements end after five to 10 years.

» Proponents of cityhood stated that the RNA payments to the county were for “county services for Goleta.” Yet the fact is the RNA payments are not for any services the county provides to the city of Goleta.

» There is legal precedent to fix the flawed and unfair agreement. Lawsuits settled by other recently established cities have set a legal precedent for lower revenue-neutrality payments and end dates to the arrangements.

Community leaders have responded well to the study, in limited release.

“This confirms what we all feared,” said Pat O’Malley of Goleta Rotary. “According to the study, this is the worst deal in the state, and threatens the future of our city.”

“The chamber’s study is critical to clearing up public misconceptions about this deal,” said Steve Fedde of Cabrillo Business Park. “Those who agreed to this doomed the city.

“Hopefully, this will lead to common understanding and a solution to this problem. Goleta’s business community is eager to see the issue resolved.”

Management consultant Don Gilman, principal at the Gilman Consulting Group, completed the study. Subsequent to the chamber contracting Gilman for the RNA study, he decided to be a candidate for Goleta City Council.

“The analysis is straight forward. We are very pleased with how it elucidates Goleta’s unfair revenue-neutrality arrangement with the county,” said Jim Knight, board chairman of the Goleta Valley chamber. “The chamber has a responsibility to provide precise in-depth analysis of tough economic issues that affect the business community in Goleta.”

For more information, call 805.967.2500 or visit www.GoletaValleyChamber.com.

Support Noozhawk Today

You are an important ally in our mission to deliver clear, objective, high-quality professional news reporting for Santa Barbara, Goleta and the rest of Santa Barbara County. Join the Hawks Club today to help keep Noozhawk soaring.

We offer four membership levels: $5 a month, $10 a month, $25 a month or $1 a week. Payments can be made through Stripe below, or click here for information on recurring credit-card payments and a mailing address for checks.

Thank you for your vital support.

Become a Noozhawk Supporter

First name
Last name
Enter your email
Select your membership level
×

Payment Information

You are purchasing:

Payment Method

Pay by Credit Card:

Mastercard, Visa, American Express, Discover
One click only, please!

Pay with Apple Pay or Google Pay:

Noozhawk partners with Stripe to provide secure invoicing and payments processing.

  • Ask
  • Vote
  • Investigate
  • Answer

Noozhawk Asks: What’s Your Question?

Welcome to Noozhawk Asks, a new feature in which you ask the questions, you help decide what Noozhawk investigates, and you work with us to find the answers.

Here’s how it works: You share your questions with us in the nearby box. In some cases, we may work with you to find the answers. In others, we may ask you to vote on your top choices to help us narrow the scope. And we’ll be regularly asking you for your feedback on a specific issue or topic.

We also expect to work together with the reader who asked the winning questions to find the answer together. Noozhawk’s objective is to come at questions from a place of curiosity and openness, and we believe a transparent collaboration is the key to achieve it.

The results of our investigation will be published here in this Noozhawk Asks section. Once or twice a month, we plan to do a review of what was asked and answered.

Thanks for asking!

Click Here to Get Started >

Reader Comments

Noozhawk is no longer accepting reader comments on our articles. Click here for the announcement. Readers are instead invited to submit letters to the editor by emailing them to [email protected]. Please provide your full name and community, as well as contact information for verification purposes only.

Daily Noozhawk

Subscribe to Noozhawk's A.M. Report, our free e-Bulletin sent out every day at 4:15 a.m. with Noozhawk's top stories, hand-picked by the editors.

Sign Up Now >