| (10/23/08) - The City of Akron’s efforts
to bring scholarships for higher learning to its children has less than two weeks to go
before voters decide on Issue 8. Mayor Don Plusquellic today called a news conference to
dispel what he called myths and rumors that have been misleading the voting public.
"Many of the statements about our scholarship plan have been out and out
false," said Plusquellic. "Our information is on a web site, it’s in
handouts we have produced, it is in our advertising and it is all backed up by fact. Issue
8 opponents need to be held accountable for misleading citizens."
Plusquellic distributed to reporters, handouts labeled Truth and Myth (below) to ensure Akron residents again have reliable,
accurate information.
Taking most of the time to focus on one particular aspect of the Akron Scholarship
Plan, the mayor clarified the part of the plan dealing with scholarship recipients who are
transferred or move out of the city after graduation.
"We must be accountable to our citizens who prefer we not fund an Akron Brain
Drain," said the mayor. "We ask scholarship recipients who, for whatever reason
no longer live or work in Akron after graduation to still support the community that
created for them this life and career advantage. This language has been in the plan all
along."
For example, a scholarship recipient who lives or works in Akron and pays income tax to
the city for a period of 10 years, before being transferred to another part of the
country, would be asked to invest in Akron for 20 more years by filing Akron City Income
Taxes during those years.
If a recipient wishes, he or she could also reimburse the citizens for the scholarship
amount received, in lieu of filing income taxes with Akron.
"This is the right thing to do," said Matt Sibit, 88, from South Akron. Sibit
was at the news conference and added, "I sure don’t want to be encouraging young
folks to leave my city without asking that they make a return investment."
Another citizen, 80 year old West Akronite Bill Aylward said, "Ohio has had enough
of a brain drain over the past decade. It’s time to find an incentive for
well-educated people to stay here. Issue 8 does just that."
For more information on Issue 8, go to www.akronscholarshipplan.com.
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Fact & Myth
ISSUE 8
THE FACTS
Lease, not a sale
FACT: A lease of the sewer system only. Not a sale of the sewer
system. DOES NOT INCLUDE THE WATER SYSTEM. The City will maintain ownership always. The
City will maintain the right to monitor the operation in order to guarantee compliance
with all the conditions of the lease, human health regulations, environmental and
hazardous materials regulations, and all non-discrimination laws both federal and state.
Time and payback
requirements
FACT: Because 80% of Akron families do not have children in school
and will receive no direct benefit from the program, there must be a return on the public
investment in the scholarship recipients. This return on investment takes the form of
paying City income taxes to support police and fire services Akron provides.
Therefore, Scholarship recipients who live or work in the City of Akron and are paying
their income taxes have no further obligation. Should they leave the city for whatever
reason they choose within 30 years of leaving school, they have a choice to either
continue paying the city’s income tax on their wages for the balance of the 30 years,
or payoff the scholarship, similar to the Federal Government scholarship program for rural
America.
Sewer rate caps
FACT: City sewer rates will be capped at a rate (3.9% average rate
over 10 years) below Akron’s historical rate increases (4.1% over 30 years.) Rate
increases are not automatic - they are based on existing rate making formula.
FACT: THIS IS NOT A TAX
Sewer system employee jobs
are retained
FACT: The Administration submitted to, and City Council passed,
Ordinance #446-08 Monday, September 29, 2008. This protects all Sewer System employees
from job loss under this plan.
Well-managed operations
FACT: The lease will require that the operator staff the sewer
system with competent individuals who are certified Wastewater Works Operators in the
State of Ohio and/or Plant Maintenance Technologists from the Association of Boards and
Certification.
Private operators are
successful
FACT: There are more than 1,000 municipally-owned facilities
privately operated in the United States. Last year 92% of those contracts were renewed
with the existing operator.
THE MYTHS
MYTH: The City is selling the sewer and
water systems.
MYTH: Anyone that accepts the
scholarship has to live in Akron for 30 years.
MYTH: If we lease this system, our
sewer rates will dramatically increase.
MYTH: The Akron Scholarship Plan is
a tax on Akron residents.
MYTH: If the sewer system is leased, then all the sewer system
employees will lose their jobs.
MYTH: Private operators will hire
inexperienced people that don’t know how to operate or maintain the system in order
to cut costs.
MYTH: There are no successful private-operator/public owned
lease projects.
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