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Concerned residents question tax increases

The city of El Paso’s tax-supported debt has surpassed $2 billion, that’s according to the Texas Comptroller’s Office.

And with some 2012 Quality of Life bond projects coming in over budget, the Bond Overview Advisory Committee is keeping a close eye on how city officials are spending taxpayer money.

At a committee meeting on Monday, several El Paso residents expressed concern over their rising tax bill during public comment.

There were some familiar faces in the crowd.

David Saucedo, the former El Paso mayoral candidate, spoke at the meeting.

“The public bond project is a promise between the government and the voter. The way in which they fund it is irrelevant to the elected officials. Therefore, they will push these bond projects forward even though we are in debt $2 billion. There has to be a point where we say enough is enough,” Saucedo said.

Max Grossman, the man who spearheaded the effort against the downtown arena, also attended the meeting and spoke during public comment.

“They just authorized themselves the right to issue $100 million in certificates of obligation without voter approval, never even went to a vote. So, they get to borrow more money, up to $100 million to make up for future bond shortfalls? What the hell is going on? We should all be angry as hell,” Grossman said.

James Schwitters sits on the Board Overview Advisory Committee.

“We had a concerned citizen showing us that we are one of the highest taxed cities over 500,000 population in the United States and I think that is alarming. And I think all these projects are great, but at the same time we need to pause and maybe look at these things. What type of debt burden are we accumulating?” Schwitters said.

City engineer Sam Rodriguez was at the meeting and added some perspective as to why some of the Quality of Life projects are costing more than projected.

“Originally, when the budget was put together for the Quality of Life, they were not budgeted properly. both from the capital side and the expenditure to run and maintain those facilities so there is definitely as we continue to develop the projects, as we continue to bid out contracts there is going to be an opportunity for these costs to come in higher,” Rodriguez said.

With the downtown arena caught in a legal battle, the committee is now turning its attention to two other large upcoming projects — the Children’s Museum and the Mexican American Cultural Center.

“Now what we are trying to keep an eye on is some of the projects that they are coming in with. Where the City is adding certificates of obligation and IP money to it, so we keep reminding the city these are bills that are going to have to be paid down the road. So, even though the voters don’t vote for that increase, they still have to be paid,” said Bernie Sargent, a member of the Bond Overview Advisory Committee.

Mayor Dee Margo has said certificates of obligation, a form of debt, are prudent for either surprises in a budget capital expenditure, or having to make amends for things not properly budgeted for in the past.

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