Reston Spring

Reston Spring
Reston Spring

Tuesday, February 28, 2017

Statement of Terry Maynard, Co-Chair, Reston 20/20 Committee at Board of Supervisors Hearing on the Reston Road Tax



 Statement of
Terry Maynard, Co-Chair, Reston 20/20 Committee
re FCDOT’s Proposed Reston Station Area Transportation Service District Tax
Fairfax County Board of Supervisors Public Hearing
February 28, 2017


Good afternoon.  I am Terry Maynard.  I reside at 2217 Wakerobin Lane in Reston.  I am speaking on behalf of the Reston 20/20 Committee.  

The Reston TSD road tax proposal you are considering is a sham based on erroneous assumptions, defective logic, and inaccurate official public statements. 

The greatest fiction in this tax scheme is the foundation assumption that Fairfax County faces a $350 million “funding gap” for improving Reston station area streets over four decades.  Of that so-called gap, FCDOT proposes that $139 million should be paid by a Transportation Service District (TSD) tax on Reston station area property owners.  That includes an estimated $40-$45 million on owned residences.  That’s about $1 million per year in added homeowner taxes in 2016 dollars.
 
In fact, there is no gap.  In making this assumption, FCDOT implicitly declares that Reston homeowners must be taxed because:

  • The County cannot move any current tax revenues in its $4 billion budget to improve Reston’s streets.  
  • The County can’t use any future station area property tax revenues to invest in Reston’s streets.
  • The County can never raise the rates on any county-wide taxes that would help generate billions in future tax revenues. 
To insist on these assumptions is an outright falsehood, and FCDOT and you know it.

Moreover, the idea that homeowners should pay a special tax to meet a basic infrastructure requirement is ludicrous.  How many of you pay a special annual tax for improvements in public streets or intersections near your homes?  The answer is “None.”  No, our public streets are a collective County asset, not the funding responsibility of neighborhood homeowners.

If logic were actually applied, it would dictate that only those who benefit financially from the street improvements would pay for them.   Two parties benefit:  Developers through profits averaging over $1 billion per year on their Reston station area development, and the County through some $11 billion in future station area property tax revenues. 

Moreover, if Reston’s developers can’t afford an added $1 million per year contribution to their road fund out of the $45 billion in profits they will likely earn in the next four decades, they really shouldn’t be in business in Reston.  

Worst of all, this scheme calls for 87% of homeowners’ future taxes to be spent on building streets on the grid’s periphery that will generate more traffic and would otherwise not be built because adjoining development would not be profitable.  From homeowners pockets to developer profits.  That’s not even happening in Tysons. 

Homeowners, on the other hand, will not earn an additional penny and, contrary to official statements, they will face more congested streets under the RNAG plan as a result of your decision to lower urban traffic service standards. 

In one line, this taxation scheme calls for Reston homeowners to pay more for less. 

Yet the County continues to flog the proposal with inaccurate and incomplete statements. 

  • It “assumes” that the proposed tax rate will remain flat, but this is a teaser rate that will escalate quickly.
  • It rejects the need to invest in any additional bus service despite the planned doubling of Reston station area population and jobs.
  • It fails to acknowledge that any “sunset provision” in the scheme could be easily eliminated by the Board.

This entire endeavor is political theater to legitimize a Board-driven effort to create another tax revenue stream.  If this is approved, you will likely use the same bogus approach to create comparable tax districts in the dozen or so other County re-development areas identified in last year’s zoning ordinance amendment. 

Stop the phony political theatrics to justify a dishonest scheme.  Manage County spending rather than creating deceitful gimmicks to add to Reston homeowners’ growing tax burden.  Stop this unjustified and unfair tax now.

Thank you.

Tuesday, February 21, 2017

Official Board of Supervisors Agenda Item for Reston TSD Road Tax Hearing, 4:30PM, February 28, 2017, Government Center

Below is the official Board of Supervisors agenda text for the upcoming Board hearing on the proposed Reston Transportation Service District (TSD) road tax.  A couple of early observations:
  • There is no "sunset" clause provision terminating the tax after 40 years as stated in Supervisor Hudgins' February newsletter.  
  • The item "assumes" the initial $.021/$100 valuation will remain unchanged throughout the 40-year period.  
Here's the full text:
 4:30 p.m. Public hearing concerning consideration of a request to endorse a funding plan for transportation improvements related to the Reston Phase I Comprehensive Plan Amendment (Reston Transportation Funding Plan). The proposed Reston Transportation Funding Plan addresses the $2.27 billion (in 2016 dollars) need for transportation infrastructure improvements to support the land use recommendations in the Reston Phase I Comprehensive Plan Amendment. The proposed plan allocates roughly $1.2 billion of the improvements over 40 years from public funds–Federal, State, local, and regional funds that are anticipated for countywide transportation projects. It also recommends that approximately $1.07 billion of the cost for these improvements be raised from private fund– sources of revenue that are generated within the Reston Transit Station Areas (TSAs): Wiehle-Reston East, Reston Town Center, and Herndon Transit Station Area and used exclusively for transportation improvements in the Reston TSAs. These private revenues would include developer contributions through actual construction, a transportation road fund that would collect contributions from new developments in the Reston TSAs, and a transportation service tax district that would allow the Board to levy and collect an annual tax from all property owners in the Reston TSAs. The proposed Reston Transportation Funding Plan includes initial rates for the Road Fund and Service District. These proposed initial rates, however, are subject to Board approval. Specifically, the Board will take a separate action to approve the Road Fund Guidelines and, following a separate public hearing, create the Service District. The initial rates included in the proposed Transportation Funding Plan are as follows:  Road Fund:  Residential per Dwelling Unit Rate: $2,090 Commercial per Square Foot Rate: $9.56.  It is anticipated that these rates would be adjusted annually, based on inflation.  Service District: Rate per $100 of Assessed Value: $0.021.  The proposed funding plan assumes this rate would remain flat during the life of the service district; however, the actual rate would be adopted annually by the Board of Supervisors. Property outside the Reston TSAs would be unaffected by the service district. More information about the development of the Reston Transportation Funding Plan can be found here:  http://www.fairfaxcounty.gov/fcdot/restonnetworkanalysis/ Questions regarding this proposed amendment may be directed to the Fairfax County Department of Transportation at 703-877-5600.
 We have discussed the absurdity of a TSD tax on Reston station area homeowners as well as the underlying fraud behind this financing proposal.  If you agree with us that this tax proposal is unwarranted and unfair, please do one or all of the following:

Analysis and Comparison of 2010 and 2015 Appraisals of Tetra Property by Members of Mediaworld Team




Summary and Questions from Mediaworld Team Members about the RA Board Meeting at which the Board Decided to Buy Tetra, January 22, 2015



Sunday, February 12, 2017

Reston Recall files Official Conflict of Interest Complaint against RA Board's Eve Thompson

As shown in the document below, Ed Abbott, Reston Recall, has filed an official conflict of interest complaint against Eve Thompson for failing to fully disclose her personal interests in businesses in and around Lake Anne Village Center.  The complaint notes the specific failures and her continued participation in matters pertaining to LAVC, including the undisclosed relationship between herself and her husband who presented a request for RA financing of dock improvements at Lake Anne.  If the RA Board does not address Reston Recall's request in a satisfactory matter, Reston Recall has the right to appeal to the Virginia HOA ombudsman. 

Friday, February 10, 2017

RA's Tetra "Independent Review" Contract and Key Offers

Below we offer Restonians the full text of the "independent review" contract RA signed with StoneTurn Group and the first and final draft contract offers it made to Mediaworld.  Separately we have commented on some key substantive differences between the final Mediaworld draft and the agreement RA signed with StoneTurn Group highlighting how prejudicial the Mediaworld offer was.  If you compare the two Mediaworld contract offers, you will also find that the first offer was even more prejudicial than the final offer. 

Also, although there are few differences in the scope of the proposed contract between the several offerings, StoneTurn Group answers to questions at the community meeting  yesterday suggested that Restonians would not be satisfied with the result of the StoneTurn Group effort.

Although we have been having some difficulty with the comments section, we welcome your thoughts in the comments section below on these contract alternatives.  If you are having problems posting your comment, please send them as an e-mail to terrmayn@yahoo.com and we will post them.