Corporate Welfare: Opposition to Convention Center for Loveland
by Tom Buchanan 01/20/02
Originally published in the Loveland Reporter Herald on 01/20/02

The proposed convention center is a prime example of corporate welfare. The city is proposing to pay half of the construction cost so that a private company can make a profit. The center is not economically feasible on its own merit. Using taxes to support private enterprises is immoral.

Public subsidy of new hotels may be the norm, but it is exactly why growth is way out of hand. If growth occurred at a normal pace it would be welcomed, but to artificially stimulate it is only asking for trouble. What are we going to do if there is a deepening chasm in the economy and the proposed tax revenue does not materialize?

Large corporations get a subsidy of tax payer money because they show the potential to contribute a bigger amount of tax return. If subsidizing businesses is a good idea then we should have a public policy to subsidize all businesses on that principle, not only on how much tax revenue can be obtained. I am certain that every small business would like the city to pay for half of its development costs.

One councilman said he was dumbfounded that people don't want a lodging tax because we would never have to pay it. We will pay for it in ways more far reaching than the number of dollars it will cost to construct it. What part of 'No New Taxes' is not understood?

Recent articles in the paper have focused on the deplorable state of Loveland's traffic conditions with city officials pleading with our state representatives to do something about it. Instead of trying to find a solution to our own self induced problem, the city wants to build a convention center that will, no doubt, create even more traffic congestion that we will all be complaining about for years to come.

The center will create 245 new jobs for Loveland. Most of these jobs would more than likely be low paying service jobs that will result in yet another round of complaints about how there is no low cost housing.

As Pogo says, "We have met the enemy and he is us".

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© 2002, 2004 Tom Buchanan.
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