Friday, June 15, 2007

PROPERTY TAX and ECONOMIC Concerns with Outsourcing of Jobs Supported by Local Tax Dollars

A portion of the property taxes paid by home owners and business owners in the CVTC District goes directly to the support of CVTC. These tax funds support the College functions and the educational programs as well as pay the salaries of the employees.

When these CVTC jobs are outsourced and these “employees” are working from remote locations in other areas of the United States – or maybe in other countries – they are not giving back to the Community that supports them. The wage earners at CVTC should be supporting the local economy community as well as contributing to the local tax base. When these “employees” are in Florida or other areas of the country, the area in which they reside benefits from the tax dollars paid here.

The residents and business in the local communities who support CVTC through the taxes they pay lose in two big ways when CVTC jobs are outsourced:

(1) The income of these individuals is not put back into the local economy. Businesses and service providers do not benefit from the money being kept here and spent locally. The communities ultimately cannot grow.

(2) The income of these individuals supports a tax base in another area/state. Because these wage earners do not live in the CVTC district, simply put, they bleed from the local taxpayers. These “employees” cost the local tax payer as their pay comes from our tax dollars. These wage earners should be home owners or business owners in the district that supports them, and they should be contributors to the local property tax base. When these jobs leave the area, this only puts more burden on the home owners still here. Our taxes pay the wages and possibly benefits of these individuals who give nothing back. Taxes do not go down because jobs are outsourced. Rather, the local residents see an increase in their taxes as they must bear the additional burden of “re-appropriated” taxes that should have been borne by the wage earner. These “employees” are still being paid by the locals, but these “employees” are not locals who have a stake in the community that supports them.

Residents and business owners in the CVTC district need to know that in the past five years, Dr. Ihlenfeldt has outsourced a good share of the computer functions and technical support at CVTC. Several million dollars a year every year for the last five years have left the Chippewa Valley and the area served by CVTC. Your tax dollars are being sent to Florida. Ask yourselves how those Florida residents are giving back to the economy and tax base here. Should this “bleeding” be allowed to continue? How can it be justified in any way to outsource even more? Those to whom the outsourcing is going are NOT other agencies or service providers here in the Chippewa Valley; it’s not even remaining in the state of Wisconsin.

Thanks to Dipsydoodle for supplying this article.

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