Tagged: Louisville Metro Councilman Ken Fleming

The chair of the Republican caucus in the Louisville Metro Council says a study on attracting an NBA franchise shows the city needs to improve its business climate and lift tax burdens.

A summary of the report, which was commissioned by Greater Louisville Inc., found Louisville has an enthusiastic fan base and downtown arena to attract a professional basketball franchise. What the city lacks is a proper corporate base to lease the necessary amount of suites at the KFC Yum Center.

At least one city lawmaker argues that illustrates a larger problem regarding burdensome government taxes, which he claims limit Louisville’s business growth that would attract the NBA and other amenities.

"We are a hamster on an exercise wheel: we work, we work, we work. We get off it, but yet we’re still stuck in the cage of state and government regulation," says Councilman Ken Fleming, R-7. "That’s why this whole state and particularly Louisville can’t do anything because we have politicians that can’t get their head out of the clouds and get down to the brass tacks  of doing things and changing this tax structure."

Louisville Metro Councilman Ken Fleming, R-7, is sponsoring a $25,000 study on the economic impact of raising the state sales tax in the city.

Mayor Greg Fischer has been lobbying residents and state lawmakers to support a local option sales tax to raise revenue for special projects.

The plan would allow local voters to accept or reject raising the sales tax, which proponents say could generate around $90 million annually.

But Fleming says the city hasn’t examined its current tax structure and officials don’t know how an increase would burden residents.

"We really don’t have a benchmark or a good analysis on the taxes and how it affects individuals, and this study I’m anticipating will gives us a clear understanding of the tax implications. It can be used for future analysis or reviews of any type of taxes that might come up," he says.

H&R Block has released a graph showing what many have said for years, Louisville is one of most tax burdened cities in the country.

The findings are based on a study conducted by the chief financial officer of Washington, D.C.

That reported was touted by Councilman Ken Fleming, R-7, as a reason for Mayor Greg Fischer's administration to think twice about pushing a local option sales tax.

H&R shows that a hypothetical family of three with an annual income of $50,000 pays an estimated $6,346 in taxes annually.

That means Louisville residents carry a 12.7 percent tax burden, ahead of Boston, Massachusetts at 12.3 percent and just behind Chicago, Illinois at 12.8 percent.

Louisville Democrat David James and Republican Ken Fleming don’t always agree as leaders of their respective caucuses, but the two Metro Council members hope city lawmakers tackle a number of issues this year.

Among them is the new spending plan for the city. Mayor Greg Fischer says the local economy is bouncing back from the recession, but Metro Government still faces a $13 million budget shortfall.

Both parties hope the budget process is transparent, and James and Fleming agree that public dollars for city services are running thin and need to be spent wisely.