WHY CITIZENS SHOULD VOTE NO ON THE AUSTIN COMMUNITY COLLEGE TAX ANNEXATION Bastrop County Taxpayers Association*(BCTA) Bob Parmelee, Chairman and BEARPAC (Bastrop Education Alternative Remedy Political Action Committee) 8/23/2010 REV B 8/29/

Bastrop is home to high taxation & wasteful spending Bastrop among highest taxed counties in Texas. (Texas Public Policy Foundation) Current rank: 12 th highest taxed county Bastrop tax rates today driven by bond debt: –$35 million City of Bastrop – $46 million Bastrop County – $430 million Bastrop ISD Do you really want to add more debt? – $444 million ACC Tax District

Bastrop Debt is Driven by Wasteful Spending WHY DON’T WE STOP? Debt has been driven by “spending follies” –BISD Performing Arts Center –Bastrop Convention Center –“Giveaway” of the old Bastrop city hall –etc

The Austin CC BISD Proposal Taxation rate.0946 * per $100 property valuation Discount of $108 per credit for academic courses.** No Discount for Continuing Education courses. Austin CC to borrow and spend $38 M for 87 acre Bastrop campus * notes: ACC Tax rates are rising due to falling property values in Travis County and elsewhere. BCTA uses a more reasonable estimate of.100 **Based on $42 “in-district” tuition vs. $150 out-of-district

Austin CC Taxation would create “A Great Sucking Sound” of Wealth to Austin Annual taxation about $2.6 million.* Tuition advantage only $976K.** $108 (discount per credit hour) x 9035 (est credit hours) Net annual BISD area economic loss $1.6 M. * Based on reasonable ACC taxation rate of.100 per $100 valuation **Source: Austin CC public hearing presentation. )

Austin CC plans are Financially Irresponsible Buy 188 acres in Bastrop County Build two campuses 16 miles apart for $74 M. “Taylor Center” Junior College already in place north of Elgin (817 students, 23 from Elgin) ACC also buying 217 acres in Hays, Leander, San Marcos & Austin. Total taxpayer land cost: $35.4 M. DOES THIS PLAN MAKE SENSE TO YOU?

Austin CC is engaging in Land Speculation Real estate is declining in value. ACC and Elgin ISD just announced tax increases to cover falling property values. And yet, says Austin CC President Kinslow, "Acquiring this land now is a good investment," (Hays Free Press) Do community colleges have the authority to gamble on real estate with taxpayer money?

What if the “Great Recession” deepens? With annexation, BISD taxpayers will share liability for Austin CC debt - now at $444M - BEFORE the planned land buys. As the recession deepens, land values may fall further forcing ACC to raise taxes to pay its immense debt.

Ethics Complaints Pending Sworn complaints cite misuse of public funds during Austin CC petition and campaign. BISD Board Members recently voted to let BISD lawyers represent current and past board members facing ethics complaints. BCTA members confirm service of ethics violation complaints filed against members of the BISD Board of Trustees.

Alternatives to improve education in BISD and Bastrop County Expanded use of high school facilities, Texas State Technical College trade school Emphasize BISD academics over athletics K-12 School Choice Distance Education !!!! Tuition tax credits- a simple way to save $$ None of these options were adequately explored. ~ WHY?

An Austin CC Monopoly? WHY? Taxpayer subsidized tuition discounts would give Austin CC a huge advantage in Bastrop; an effective monopoly. Students would drop other college enrollment Austin CC was recently criticized for low graduation and transfer success rate. Why award a monopoly position to an mediocre college?

Would You Buy This Used Clunker ? Rules: No alternatives considered No long term cost-of- ownership determined Irrevocable ownership Perpetual Taxation No test drive No tire kicking IS THIS AN EXAGGERATION ???

Remember the Del Valle Fiasco? In 2004 in a light turnout election; Just 803 Del Valle taxpayers voted ACC tax on 35,000 In 2009, just 325 Del Valle students attended Austin CC for a $500K annual tuition advantage. In 2009, Del Valle taxpayers paid ACC $2.6 million Del Valle’s 2009 net economic loss: $2.1 million Del Valle’s 7-year economic loss: $14.7 million

Don’t Mortgage Your Children’s Future ANNEXATION WOULD BE VIRTUALLY IRREVOCABLE. TUITION IS TEMPORARY, BUT TAXES ARE FOREVER. VOTE NO ON AUSTIN COMMUNITY COLLEGE TAX ANNEXATION.