Help a newbie voter understand bonds? (Charlotte: low income, credit, loans)

[Timm]

So. Voting. Historically, I haven't done it much. Then I started voting in Presidential elections. Now, here I am looking at my absentee ballot for the upcoming election and wondering about these "bonds" I see on the back. I've pretty much spent all my electioning time on researching various candidates and haven't given a single moment of thought to these.

Looks to me like one is for millions and millions of dollars for streets. Super.
Another is for $15 million for affordable housing for poor folks. Wonderful.
And then $32 million for "neighborhood improvements". What's not to like?

Here's my question: Where's this money come from if they're approved? Is this more money coming right out of my pocket? How is it collected? A tax? We each get a bill in the mail for our share? Or is this just a way of earmarking the existing taxes for specific purposes? Does it take money away from other things?

Any info would be helpful, as I'm mailing this thing in tomorrow morning.

[Charlotteborn]

Timm - Vote NO on the bonds. The city borrows the money - we pay it back. Every election they try to convince people that it is free money - there is NO FREE MONEY!!!!

[Barkingowl]

What's not to like is that your property taxes go up & its doubtful that you will derive any benefit from any of the bonds on the table.

[XcapefromNJ]

I noticed there was language about "tax" in each of the bond descriptions on the ballot. I think that just means that the bonds are backed by the local government's taxing authority. In previous elections (here and elsewhere) I have been amazed that bonds have passed with large majority votes. I almost routinely vote "no".

One of our bonds is for affordable housing! There are too many houses right now - has anyone noticed?? Why do they need to borrow money for affordable housing?

(Looks like the bonds are only for Charlotte, so I won't vote on them)

SHALL the order authorizing $15,000,000 of bonds secured by the pledge of the full faith and credit of the
City of Charlotte, North Carolina to provide funds to pay the capital costs of acquiring, constructing, developing,
equipping and furnishing housing projects for the benefit of persons of low income, or moderate income, or low and
moderate income, including without limitation loans, grants, interest supplements and other programs of
financial assistance to persons of low income, or moderate income, or low and
moderate income, and developers of housing for persons of low income, or
moderate income, or low and moderate income, and construction of infrastructure
improvements related thereto and the acquisition of land and rights-of-way
required therefor, and a tax to be levied for the payment thereof be approved?

[Sundaydrive00]

Originally Posted by Charlotteborn

Timm - Vote NO on the bonds. The city borrows the money - we pay it back. Every election they try to convince people that it is free money - there is NO FREE MONEY!!!!

But don't we need money for street repairs? Everywhere I drive the roads are covered in potholes. Even on the highways. I swear I'm going to end up with a flat one day hitting some of those bigger potholes on the highway going 65.

I understand voting no on the affordable housing, we certaintly don't need that. And neighborhood improvments? what does that even mean? Is it like beautification? And what neighborhoods? Are neighborhoods defined as like NoDa and Dilworth and not not specific subdivision neighborhoods? If so I don't see that as anything that is needed. Elections are coming up soon. I need to start looking into all this stuff.

[brokensky]

Just vote NO and don't spend a lot of time agonizing about it, lol.

There is money in the budget for potholes already. It is just being spent on entitlements instead of potholes.

[stlterp]

Am voting yes. While I don't necessarily love everything in here, the fact is that bonds are how the city pays for a lot of infrastructure improvements.

[Charlotteborn]

Originally Posted by stlterp

Am voting yes. While I don't necessarily love everything in here, the fact is that bonds are how the city pays for a lot of infrastructure improvements.

Thankfully my vote will cancel yours !
I think we need to be more vigilant in how our money is spent - that includes the city/government. If the bonds pass you won't notice infrastructure improvements but we will take on more debt.

[Sepulgeek]

Bonds are basically loans. The government sells the bonds to corporations, individuals, other governments, retirement accounts, among others. There are usually guaranteed interest rates on the bonds. Interest rate depends on the bond rating of the institution selling the bonds.

I usually vote NO for all bonds as it will mean higher taxes. Try to read into how each bond will be used. Government should have the money to repair existing roads. They may need these bonds to pay for additional roads. I wouldnt be surprised if the affordable housing bond is to actually build new housing. There have been alot of people not wanting to have affordable housing in their neighborhoods.

Always read carefully and look into any type of bond or tax increase. I listen to an AM radio station out of Souther California almost daily. There is a proposed auto registration tax increase there to pay for State Parks. The tax should bring in double what the state actually needs to pay for the parks. Where does the extra money go?

You can read more here: Government bond - Wikipedia, the free encyclopedia

It is great that you are educating yourself. I wish everyone would do that before they voted.

[InSouthPark]

An informed voter would know that the 2006 property tax increase was designed to pay for this 2010 bond referendum. There will be no tax increase to pay for these bonds...the money was approved 4 years ago and we are already paying the money.

This vote is about how to use that money. If you agree on how it should be spent, vote yes. If not, vote no.