CUTS IN BANGOR

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Bangor city councilors cannot be blamed for looking to trim the city budget wherever possible – seemingly annual referendums to restrict spending and a regular drumbeat about Maine’s high tax burden ensures that. But they should also have clear criteria as they cut programs so that tax savings…
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Bangor city councilors cannot be blamed for looking to trim the city budget wherever possible – seemingly annual referendums to restrict spending and a regular drumbeat about Maine’s high tax burden ensures that. But they should also have clear criteria as they cut programs so that tax savings are not achieved at the greater expense of performance.

Councilors are considering a second year of 15 percent cuts to nonprofit organizations they have traditionally supported. This year’s proposed cuts to the Fourth of July Corp., Hammond Street Senior Center, the Senior Little League World Series and the Greater Bangor Convention & Visitors Bureau would save a total of $19,125, minuscule in the city’s budget and yet savings nonetheless.

Among the various considerations that surround the cuts, two questions stand out: Will the cuts result in lost revenue to the city; and do these organizations have other means for raising the lost funding? In the case of the visitors bureau, for instance, the proposed cuts would mean a total reduction of more than $50,000 over three years.

What isn’t clear is whether this has resulted in a loss of business to the city. Bureau officials say it has, but the city has yet to confirm this.

The council doesn’t need to initiate a major study to figure out whether there has been a loss – plenty of economists look at issues such as this and could provide general guidance. Before agreeing to cut further, the council should at least be briefed by an independent source.

On the question of alternative sources of funds, every one of the organizations scheduled for cuts provides regional benefits. To what extent do other communities in the region have an interest in seeing these programs continue and are they contributing proportionately now? The city should also be willing to lend further expertise in finding grants to help these groups.

Elsewhere, dedicated tax revenues are often used to fund tourist-oriented services such as those provided by the visitors bureau. State law prevents a local lodging tax from being put to such a use, but if these groups are valuable to tourist areas – and Bangor, with racino, shopping and as a gateway is becoming more of a tourist stop – the state should ensure these groups are adequately funded with such a revenue stream.

With limited funds and a nearly endless list of demands, city councilors have tough choices to make. Bangor is best served when officials fully understand the individual circumstances affecting each of the groups being considered for cuts rather than merely cutting them uniformly.


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