NEWS

Q&Amy: Who's funding the road tax campaigns?

Amy Clarke Burns
aburns@greenvillenews.com

Q: Who exactly is paying for the signs around town encouraging people to vote for and against the 1 percent "road tax" on the Nov. 4 ballot?

Amy in short: A little bit of everybody, ranging from the local to the statewide and even to the national.

A bit more:

When taxes are on the line, passions run high. That has been the case for Greenville County's road tax issue, which has brought activists and interested parties from local, statewide and even national organizations into the fold.

Greenville County Council decided in June to let voters decide whether to enact a sales tax increase to fund infrastructure improvements, primarily roads and bridges.

A list of $673 million in projects is topped with a parallel route designed to relieve congestion on Woodruff Road.

The tax would add 1 percent in Greenville County to the state's 6 percent sales tax and expire automatically after eight years unless renewed by County Council and county voters.

The months since the council's vote have been filled with debate as both sides argue for passage or defeat of the referendum.

That debate has ramped up and gotten more public in recent weeks as Election Day draws near.

One reader posed this question to Q&Amy: Who is paying for the signs peppered on roadsides and ads popping up around the radio dial that encourage people to vote for or against the road tax?

The short answer is that there are a lot of people with an interest in the community and how it's run. They've sorted themselves into a few major groups that are lobbying for the voice of the voters.

Those in favor of the tax plan include Citizens for a Better Greenville County and the Greater Greenville Association of Realtors. On the other side of the debate are two national organizations with local branches: Americans for Prosperity and Republican Liberty Caucus.

Citizens for a Better Greenville County is a coalition of local individuals, businesses and associations who believe the road tax will benefit the county and its economy and job prospects.

"I believe the only way to fix this road problem is to invest that penny in our roads and improve our infrastructure," said Bob Knight, who serves as chairman for the group.

The coalition is backed by the Greater Greenville Association of Realtors, which also has done some independent campaigning, the Homebuilders Association of Greenville and Greenville Chamber of Commerce.

"A 21st-century infrastructure system is needed in this county," said Jason Zacher, vice president of public policy for the Chamber, which has served in an advisory and assistance role for the coalition but has not contributed funds toward the campaign.

"It's easy to drive around and see the roads and the condition they're in. It's easy to see that there is a major problem," he said. "We can't wait anymore. This is a local solution to a local problem."

The coalition's "yes" campaign has included radio ads, yard signs, direct mailings and door-to-door campaigning.

The Greater Greenville Association of Realtors has contributed to the coalition's resources and also conducted some campaign operations on its own, including mailings and radio ads, published through the auspices of the state Association of Realtors.

"We see this as an investment to create that thriving community in the future and for future generations," said Chris Bailey, government affairs director for the Greenville group.

Opposing the tax plan are the South Carolina chapters of Americans for Prosperity and Republican Liberty Caucus.

Americans for Prosperity is a national organization backed by the billionaire Koch brothers that advocates for limited government and lower taxes. The local branch began a full-scale campaign in late September to encourage voters to reject the sales tax referendum.

"Wherever we see fights or campaigns being waged that violate our free-market principles, we will fight them, and this is one of them," said Dave Schwartz, state director for Americans for Prosperity South Carolina. "This is just not the right way to go about solving a problem that does need to be solved."

He expressed particular concern over whether accurate information was presented to the public regarding the tax.

"Politicians and lobbyists have been less than forthright on many fronts, so we just don't trust them when they say they're going to commit to these promises," he said. "This ballot question should come down to trust."

Americans for Prosperity has used direct mail and door-to-door campaigning as well as a recently launched radio ad to campaign against the tax. A petition on the issue has garnered 2,500 signatures, Schwartz said.

The Republican Liberty Caucus' campaign, No Tax Hike, has worked on a smaller scale to combat the tax measure.

They're the ones responsible for the big signs quoting Gov. Nikki Haley saying there's enough state funds for roads, as well as smaller "No Tax Hike" yard signs.

"We already pay the taxes for road repair. We're just not getting our money's worth from it," said Joshua Cook, state chairman for the Republican Liberty Caucus. "We're just trying to bring awareness that there is money for roads."

How much money has been spent in the campaign is unknown.

Knight said Citizens for a Better Greenville County has raised about $100,000 so far, funds that have come from businesses and individuals.

Schwartz with Americans for Prosperity said there were "hundreds of donors across the state of South Carolina that are excited about us engaging in this process in Greenville," but he declined to say how much money had been raised or spent.

None of the other groups involved in campaigning was willing to disclose information about finances.

And because of federal court rulings, the groups are not required to. Committees are not subject to the campaign laws that govern individual candidates.

"There are no contribution limitations for committees. There are no restrictions on their expenditures. And there's no disclosure required," said Herb Hayden, executive director of the State Ethics Commission.

Both the "pro" and "con" sides of the debate claim to be non-partisan efforts.

The Greenville County Republican Party executive committee issued a resolution in May, posted on the party's website, opposing the sales tax measure. A representative could not be reached for comment.

The Greenville County Democratic Party has taken no official action on the measure, said chairman Eric Graben, though he added he was personally in favor of it.

"Nobody likes taxes," he said. "But we need to have decent roads and bridges, and unfortunately, they're not free."

Got a question? Send it to Q&Amy by emailing me at aburns@greenvillenews.com or calling 864-298-3822. You can find me on Twitter at @QandAmyNews.