No WhiteWash!

The Eastman press release below states that Eastman has had a great 2008 first quarter for earnings.  This is great for Eastman, but no credit is given for the corporate welfare that they will be receiving from the City of Kingsport, Tennessee. See link Kingsport BMA approves tax break for Eastman.

Kingsport is fortunate to have a company such as Eastman in the Kingsport area.  The size of Eastman in the Kingsport area causes a major problem when the chemical company has a bad year and lays off workers.   Quite simply, Kingsport needs to work to get manufacturing firms that can offer good paying jobs to locate in the area.  It appears that Kingsport is pushing more retail stores in the city, but this policy will not help retail stores if the citizens do not have money to spend.  Build a good base of different companies (non retail and Eastman) and the area will begin to prosper.  Kingsport might even keep citizens from leaving the area to look for jobs.

Kingsport may not be able to lure new companies to locate here without the help of the county and State.  A Metropolitan form of government could add some clout in dealing with the state for assistance.   Recently, Chattanooga, Tennessee  lost to Mississippi to build a new $800 million plant.  The State of Tennessee was very much involved  in the negations.  In Lenoir, North Carolina, Google will be building a $600 million data farm that will provide 210 good paying jobs.  Wages at the Google Caldwell County facility will vary by job function, but the average wage is expected to be more than $48,300 not including benefits, which is substantially more than the county average of $27,300 without benefits.  Lenoir, NC had been hard hit by furniture plant closures due to furniture made overseas.  Retail, now is coming back to Lenoir.

The approach above in my opinion would be better alternative to increase revenue as compared to revenue through annexations.  If Kingsport is successful in getting new companies to locate here, then maybe then they can order a dome to sit on top of the Empire of Kingsport City Hall building.

Eastman Announces Higher First-Quarter 2008 Earnings Expectation

KINGSPORT, Tenn.–(BUSINESS WIRE)–Eastman Chemical Company (NYSE:EMN) today announced that first-quarter 2008 earnings per share excluding gains and costs related to strategic decisions and actions are expected to be above the high end of the current range of analyst estimates on First Call which is $1.30 per share. This solid performance was primarily due to continued strong sales volume and higher selling prices offsetting higher raw material and energy costs.

Eastman will announce first-quarter 2008 sales and earnings on April 24, 2008, at approximately 5:00 p.m. Eastern Time. The company will host a conference call with industry analysts on April 25 at 8:00 a.m. Eastern Time. To listen to the live webcast of the conference call, go to www.investors.eastman.com, Presentations. To listen via telephone, the dial-in number is 913-312-0865, passcode number 6775748. A web replay will be available at www.investors.eastman.com, Presentations. A telephone replay will be available continuously from 11:00 a.m. Eastern Time, April 25, to 12:00 a.m. Eastern Time, May 2, 2008, at 888-203-1112, passcode number 6775748.

Eastman manufactures and markets chemicals, fibers and plastics worldwide. It provides key differentiated coatings, adhesives and specialty plastics products; is a major supplier of cellulose acetate fibers; and produces PET polymers for packaging. As a Responsible Care® company, Eastman is committed to achieving the highest standards of health, safety, environmental and security performance. Founded in 1920 and headquartered in Kingsport, Tenn., Eastman is a FORTUNE 500 company with 2007 sales of $6.8 billion and approximately 10,500 employees. For more information about Eastman and its products, visit www.eastman.com.

Forward-Looking Statements: The statements in this news release concerning expected first-quarter 2008 sales volume, selling prices, raw material and energy costs, and earnings per share excluding certain gains and costs are forward-looking. Such statements are based upon preliminary information and management assumptions and expectations and are subject to risks and uncertainties inherent in projecting results. Important factors that could cause actual results to differ materially from the expectations expressed in the forward-looking statements, in addition to those identified with such forward-looking statements, are detailed in the company’s reports filed with the Securities and Exchange Commission, including the Form 10-K for 2007 and the Form 10-Q to be filed for the quarter ended March 31, 2008

If one visits the City of Kingsport website, one can form an opinion that prior administrations has a lot more going for them.  For example, if you visit the web page that list the Board of Mayors and Alderman, you will see listed on the right side of the page many items that helped the reader see the direction the city was going.

However, it appears that this administration does not have anything new to offer because they have not updated the web page for many years.  For example, you can find the Budget Priorities for the 2002-2003 Fiscal Year, 2003 Legislative Policy Statement, 2001-2002 Transportation Needs, BMA 2-2000 5-Year Capital Improvements Plan and a list of Capital project Priorities identified in the 1999-2001 Strategic Initiatives.

To the BMA members, when you visit the web page to look at your photo, you might want to review the outdated information that previous administrations put on the web so you can get some ideas on how to run the city.  If the BMA has a game plan, then I think the public would like to hear about it.

My previous post on Elected Officials Contacts mentioned that there is no contact information for the Board of Mayors and Alderman.  Yet, I hear the BMA state that if you have a problem, then contact them.  The State and County does provide contact information.

There are many other areas in the City of Kingsport website that has outdated information.  To me, I would think that if you paid the City Manager $137,093 per year, you would expect that he would have updated the web pages.

I know that Kingsport cares about it’s image, but these web pages do not portray the image that I think Kingsport wants the citizens and future citizens to see.  Maybe, a solution to the above problems would be to form a Consolidated City/County form of government.

Metropolitan Government can be also be called consolidated city-county form of government.  A  consolidated city-county is a city and county that have been merged into one jurisdiction. As such, it is simultaneously a city, which is a municipal corporation; and a county, which is an administrative division of a state. This is the opposite of an independent city, which is a city that is not located within the boundaries of any county, but is separate from the neighboring county; however, an independent city can also result from the consolidation of a city and a county. The highest concentration of large consolidated governments in the United States is in the lower midwest and upper south, where Indianapolis, Indiana; Nashville, Tennessee; Louisville, Kentucky; Kansas City, Kansas; and Lexington, Kentucky are located.An economic development edge: Having a consolidated government allows the community to react quickly to proposed economic development prospects.

Consolidation could bring the following;

• Economies of scale: Combined purchasing power and efficiency can result in taxpayer savings. For example, public works operations can share machinery, personnel and equipment. Consolidated law enforcement departments may find themselves with the ability to fund additional patrols.
• Less duplication: Cities and counties many times fund similar operations, such as road building, fire protection and solid waste services. With consolidated government, one office would replace two or more.
• Government accountability: One unified government is easier for voters to understand than several local jurisdictions. This increased visibility may better focus public attention on governmental operations.
• Harmony: One government will eliminate some discord, such as annexation disputes, and local planning and zoning issues may be more readily resolved

Check out the following links below for more information.

Consolidated City-County is an excellent source of information that explains the consolidated-city concept and what cities/counties have this form of government.

Why Our Communities Need Consolidation.   This booklet will explain how you as a voter, have the power to adopt a Consolidation plan for our communities.  You also will learn how to circumvent barriers to Consolidation, including certain bureaucrats, elected officials, and others who may wish to maintain the status quo.

Check out the following link concerning the Louisville/Jefferson County KY Merger and  Louisville, KY – So Far, A Major Success.

A Comparative Analysis of City/County Consolidations.  An excellent study – a must read.  Kingsport is mentioned in the report.

There is more trouble in Bluff City, Tennessee.

Bluff City got attention as the city that wants to charge a hotel tax, but has no hotels.  And then the mayor resigns, claiming the aldermen wanted hem out.  Now, we learn that there is a recall effort underway to oust three sitting alderman.

Kingsport, Tennessee’s City Manager, John Campbell, stated last night at the BMA meeting that Tennessee is one of a few states that have aggressive annexation polices.  This was part of the response given to a gentleman that lived within the city when he basically told the city if the county residents did not want to be annexed, then they should not force annexation on them.  There are many city residents that share this opinion as well I am sure county residents also.

I would like to state that I do not have a dog in this hunt.  That is, I am not involved in the many lawsuits that the city have facing them or in an area that is being annexed.  I am just a private citizen who is very concerned about what is happening in the area.  Neighbors are against neighbors, citizens having many ill feelings towards the city, including both Kingsport citizens and county citizens.

While Tennessee’s Public Chapter 1101 may give cities the right to annex, it does not consider what some view as the ethical thing to do.  Kingsport had a few choices, one was to put it up for a referendum and let the voters decide, and the other was to let the Board of Mayors and Alderman decide.  The BMA chose the latter and it did not matter how much county residents felt about it, they voted to annex against the wishes of county residents. Kingsport should look at the organizational chart that shows the pecking order.  The citizens/voters are the one that hired the BMA and hence should listen to their requests.

At the January 14, 2008, there was a request from the Citizen for Home Rule.  Listed below is a portion of the minutes from that meeting.  Kingsport chose not to do the referendum.

PUBLIC COMMENT. Mr. John Emison, 9212 Topoco Drive in Knoxville, stated he is president of Citizens for Home Rule, has filed the suits that block the Rock Springs annexations, and will be filing other lawsuits on behalf of citizens as annexations are passed. Mr. Emison urged the BMA to undo annexations already passed and proposed they look at annexation by referendum only. He stated that he is attending this work session at the invitation and in support of the Warrior Path annexation residents.”

The highhanded attitude of Kingsport is this is how it is going to be and we don’t care how you feel about it.. One day they propose extortion and the next day a referendum.  The next election I think you will see many county residents coming forward to help candidates for the Board of Mayors and Alderman financially and helping them campaign.

Kingsport has many lawsuits that have been filed because of annexation.  Now, Sullivan County may sue city over Fall Creek annexation.  Kingsport’s response was to say that a suit by the county will hurt both city and county.  I think county residents are thankful that Sullivan County has taken an interest in what is happening concerning annexation with county residents.  A single Metropolitan Government for the entire county would help solve some of these problems

The citizens of Tennessee do have another way to express their opinions concerning Tennessee’s annexation policy (Public Chapter 1101).  They can let their elected officials in Nashville know how they feel about the annexation policy.

Needless to say, Kingsport, Sullivan County, and the State of Tennessee are getting the kind of attention that I don’t think they want.  In very short period of time, this blog has been read by people locally and nationally.   These viewers could be potential retirees, workers, or firms that might be thinking of relocating to the East Tennessee area.

Whew….what a mess!

Below are some reasons for forming a Metropolitan Government in Sullivan County, Tennessee.

Both proponents and opponents of local government consolidation brandish a substantial list of reasons to support their positions. Yet, experts agree that consolidation has the potential to offer at least the following advantages.

• An economic development edge: Having a consolidated government allows the community to react quickly to proposed economic development prospects. Instead of having to deal with two or more governments, prospective businesses have one point of contact. Business and industrial prospects like the idea of licensing and inspection offices under the authority of one government. There’s less red tape. Also, cooperative countywide planning and zoning is an economic development plus. When Augusta and Richmond County in Georgia debated consolidation in 1995, one consolidation proponent said the merger would result in 10,000 new jobs in five years. Voters of those jurisdictions overwhelmingly endorsed the plan.
• Economies of scale: Combined purchasing power and efficiency can result in taxpayer savings. For example, public works operations can share machinery, personnel and equipment. Consolidated law enforcement departments may find themselves with the ability to fund additional patrols. A small city may find itself better able to offer services that weren’t cost-effective before.
• Less duplication: Cities and counties many times fund similar operations, such as road building, fire protection and solid waste services. With consolidated government, one office would replace two or more.
• Government accountability: One unified government is easier for voters to understand than several local jurisdictions. This increased visibility may better focus public attention on governmental operations.
• Harmony: One government will eliminate some discord, such as annexation disputes, and local planning and zoning issues may be more readily resolved.  more

The Times-News article at first glance portrays a dynamic picture of growth for the past year for the City of Kingsport.

Mike Freeman, building official stated;

“We have hundreds of folks moving into the Kingsport area each year, but only a limited amount of developable land inside the city limits,” Freeman said. “That’s why annexation is critical, to bring more developable land inside the city for residential construction.”

You can have residential construction in the county, but the city want to annex so they can get the tax dollars.

City Manager John Campbell stated;

“Just this past seven days, there have been four different developers in my office who are keenly interested in looking for land to build on in Kingsport,” Campbell said. “We need to be able to ensure city services are available at developable properties to make these potential projects become reality.”

This sound like the city is in the real estate business. Are the county residents going to have more annexations?

What the Times-News doesn’t mention is the incentives that the city gives. At the last BMA meeting it was mentioned that Food City was given an incentive. Eastman was give a big incentive by the BMA. (see Unbelievable Corporate Welfare in Kingsport). Also, it does not include the Developer Materials Agreements that the city has with developers. The city will give free hydrants, manholes, and piping free of charge if the developer builds within the city. Of course, the city would have to annex first for this to happen.

While it appears in the article that the city will be getting a lot of tax dollars right away, but a lot of this is more long term. That is the tax dollars will be coming later on depending on the incentive. The $12 million Higher Education Center will not be generating taxes since I don’t think the city will tax itself.

The point to all of the above is the City of Kingsport needs to watch it’s spending and it is even more important now the way the economy is.

Sullivan County schools have space for 21,155 students, but the usage rate is 56.8 percent.  The school system in Sullivan is under utilized and not very efficient and I sure it results in higher costs to maintain.  See the following for more information. 

Metropolitan Government for Sullivan County Tennessee only makes sense. The county has several duplicate government entities capable of being streamlined. Here are a few that could be consolidated:

• Five (5) competing governments: Kingsport, Johnson City, Bristol, Bluff City and Sullivan County
• Four (4) School Systems
• Six (6) Divisions of Police Protection
• Three (3) 911 Emergency Dispatchers
• Four (4) Planning Commissions
• Six (6) Planning Departments
  

It would be hard to guess the amount of waste this generates because of the overlap of services. A Metropolitan Government could consolidate all these, making Sullivan County work as one efficient group. Kingsport is increasing its population through annexation. Once reaching a bench mark of 50,000, the city has more bargaining power at the private and legislative levels. As a whole, consolidation will give the entire region three times the menial 50,000 population goal that Kingsport has in mind.

Metropolitan Government has been proposed by Sullivan County Commissioners more than once, but Kingsport’s leaders turn down these requests. There is, however, an option for citizens of Sullivan County to implement this by petition. The petition will require election of a ten-member commission to form the charter for a new government. The charter must address how the Government will conduct its business as a whole for Sullivan County. After formulation of the document, the citizens of Sullivan County will vote to accept or reject the charter.

The petition for election of the charter commission members can only be signed by registered voters of Sullivan County*. Print the petition (see links below) and pass it around to your neighbors for signature or just sign the petition and return it to:

ProTNMetro

4128 Fort Henry Drive

Suite D; Box 123

Kingsport, TN 37663

Electronic signatures are not allowed. There must be original handwritten signatures in ink along with legible printed names and addresses.

Petition in PDF Format

Send any comments or questions to email address [email protected].

* If you are not registered to vote, you can download the Voter Registration Form (pdf) and mail it to the proper commission address that is in the downloaded file. After, you receive your voter card, then sign the petition and mail to the above address.

Registration forms may also be completed by visiting the local county election commission office, Department of Safety (motor vehicles division), Department of Health (WIC program), Department of Human Services, Department of Mental Health and Mental Retardation, Department of Veteran’s Affairs, public libraries, county clerk’s offices, and register of deeds offices.

Let’s unite our local governments

It was suggested that information be provided on forming a Metropolitan Government for the Kingsport/Sullivan County area. After doing some research, it does make sense that this form of Government has its merits. Combining County and City Government would eliminate duplication and could result in tax savings. This is not a new concept in Tennessee and is in use in Cities such as Nashville/Davidson County and smaller towns such as Lynchburg/Moore County. Having this form of Government would help eliminate the turf battles and possibly solve some of the annexation issues that have Sullivan County homeowners concerned about. Perhaps, the Metropolitan Government could include all of Sullivan County. There would be one Government to deal with and maybe they could come up with an economic development plan that would benefit the entire area to attract new growth and thus help keep taxes down.

Below, is some of the information that is from the publication “Forming a Metropolitan Government – The Hows and Why of Local Government Consolidation in Tennessee”. Please check the link for additional information. The publication also has an petition form. What are your thoughts on this form of Government?<

Why Should A County Consider Consolidation?

Both proponents and opponents of local government consolidation brandish a substantial list of reasons to support their positions. Yet, experts agree that consolidation has the potential to offer at least the following advantages.

An economic development edge: Having a consolidated government allows the community to react quickly to proposed economic development prospects. Instead of having to deal with two or more governments, prospective businesses have one point of contact. Business and industrial prospects like the idea of licensing and inspection offices under the authority of one government. There’s less red tape. Also, cooperative countywide planning and zoning is an economic development plus. When Augusta and Richmond County in Georgia debated consolidation in 1995, one consolidation proponent said the merger would result in 10,000 new jobs in five years. Voters of those jurisdictions overwhelmingly endorsed the plan. Economies of scale: Combined purchasing power and efficiency can result in taxpayer savings. For example, public works operations can share machinery, personnel and equipment. Consolidated law enforcement departments may find themselves with the ability to fund additional patrols. A small city may find itself better able to offer services that weren’t cost-effective before. Less duplication: Cities and counties many times fund similar operations, such as road building, fire protection and solid waste services. With consolidated government, one office would replace two or more. Government accountability: One unified government is easier for voters to understand than several local jurisdictions. This increased visibility may better focus public attention on governmental operations. Harmony: One government will eliminate some discord, such as annexation disputes, and local planning and zoning issues may be more readily resolved.

Steps Toward Consolidation

The process of local government consolidation in Tennessee can be broken down into five broad steps. (only three are listed in this blog. Check out the following link for more information. Forming a Metropolitan Government

Step 1. The Exploratory Committee (optional)

As an initial step toward possible adoption of metropolitan government, many communities choose first to establish an exploratory committee. Though an exploratory committee isn’t required by law, there are good reasons to use this approach. The committee can:

• help determine whether there’s sufficient support to proceed to the next step — formation of a charter commission.
• serve an educational function by holding public meetings to obtain citizen input and determine possible benefits of consolidated government.
• recommend procedures for the formation of a charter commission, since the law gives three options.

Step 2. Creation of the Charter Commission

Unlike the exploratory committee, creation of a charter commission is required by state law. There are three ways a charter commission can be established:

1. by adoption of a resolution by the county and the county’s principal city (the principal city is determined by population). Both governing bodies must adopt a similar resolution by a majority vote of the quorum. The resolution should state that “a metropolitan government charter commission is established to propose the consolidation of all or substantially all of the government and corporate functions of the county and its principal city and the creation of a metropolitan government for the administration of the consolidated functions.” Other citiesmay also be included, or they may choose not to participate (see Page 12). The resolutions must state whether the members of the charter commission will be chosen by the county and city mayors and confirmed by their respective governing bodies, or whether the charter commission will be elected by a countywide at-large election. If the community goes the election route, the 10 candidates receiving the most votes are elected.

2. by a private act, passed by both houses of the Tennessee General Assembly. The Legislature introduces the private act upon the recommendation of all local governments involved. The private act then must be approved by a two-thirds vote of the county and the principal city governing bodies or by a countywide referendum. The advantage of the private act is it allows for the charter commission to be structured differently from what general statutes call for – thus allowing for representation on the charter commission that reflects local desires. For example, when cities other than the principal city want more representation, a private act can allow for that. When Sullivan County and the cities of Kingsport, Bristol, and Bluff City established a charter commission in 1987, they used this method.

3. by a voter petition. This is the recent change in state law that allows for a citizen-driven initiative. A petition must be signed by qualified voters in the county equal to 10 percent of the number of votes cast in the last gubernatorial election. The petition must be certified by the county election commission. Upon certification, the petition becomes the consolidation resolution and is delivered to the county governing body and the governing body of the principal city for adoption. Those two governing bodies must decide within 60 days how to select the charter commission members. If a decision isn’t made, then the charter commission members will be elected in a countywide election. If the decision is made to appoint the members, the county mayor must appoint 10 members and the mayor of the principal city must appoint 5 members. (The appointments must happen within 30 days of the consolidation resolution’s adoption by the last of the two governments to act).

One last thought on selection of the charter commission: The statutes direct that those appointed should broadly represent all areas of the county and principal city. Every effort should be made to include representatives from various political, social and economic groups. Those appointing charter commission members should take the need for diversity seriously. Of course, if the membership is elected, then such diversity can’t be

Conclusion:

Consolidated local governments have proven to be a wise choice for a growing number of communities across the country. While Tennessee’s constitutional and statutory road toward consolidation may, at first blush, appear daunting and unwieldy, the process is designed to ensure maximum citizen participation and consideration before such a big step is taken. The General Assembly ensured further public interest with its 1998 vote to allow a citizen-driven petition to launch this process. Today, interested and enthusiastic citizens may bring consolidation to the table and – no matter the outcome – that’s government at its best.