STARKVILLE — Portable restrooms, security and traffic management are typically provided by cities to concert and festival organizers, at no charge.
City administrations usually approve of these “in-kind services” because they’ll see a return in commerce.
During the Starkville Board of Aldermen meeting Tuesday, the board approved funding in-kind services for Downtown Block Party, Pumpkinpalooza and Bulldog Bash.
Downtown Block Party and Pumpkinpalooza, both Greater Starkville Development Partnership events, will receive services estimated at a cost of $2,322. Bulldog Bash, organized by the Mississippi State University Student Association, will receive $8,794.84 worth of services.
It may seem like a small price to pay for the statewide exposure and the spike in tax revenue for local businesses, but Ward 6 Alderman Roy A. Perkins implored fellow board members to “defeat” each request because both organizers receive a significant share of revenue of the city’s 2-percent food-and-beverage tax.
Mississippi State receives 20 percent of those revenues each year, equating to nearly $300,000 at the end of the 2010-11 fiscal year, which ends Sept. 30. Additionally, 15 percent goes to the Starkville Convention Visitors Bureau, a branch of the Partnership. The city, however, gets 10 percent of the pie.
Perkins stumped for more investments in streets and infrastructure during recent 2011-12 budget hearings and criticized the need to fund in-kind services with lingering needs throughout the city.
Perkins also noted that before the 2-percent tax revenue allocations were revised in 2004, MSU didn’t receive a portion.
“There is no dispute about the value of service, but as a board member I’m charged to spend this money wisely,” said Perkins, who, along with Ward 7 Alderman Henry Vaughn, cast the only two “no” votes. “I know it may be unpopular to speak against this, but I call it as I see it. It’s not a conservative expenditure of funds.”
Perkins made a distinction between the event requests and an approved in-kind service agreement with the Oktibbeha County Heritage Museum. The Heritage Museum’s request involved capital improvements to drainage in the area. He questioned why the CVB and MSU Student Association couldn’t fund their own services with food-and-beverage tax money.
Partnership Vice President of Tourism Development Jennifer Gregory said the CVB’s funding was limited since the responsibility of organizing the event was transferred to the Starkville Main Street Association, whose funding comes from membership dues and fundraisers.
MSU Student Association President Rhett Hobart said the Student Association is using food-and-beverage tax funds to help produce Bulldog Bash and has raised $140,000 of additional money. He estimated 35,000 people will attend the event.
“The modest amount you’re seeking is recouped,” Ward 4 Alderman Jeremiah Dumas said in support of the in-kind services. “I want us to realize that the only way to make money from (the) 2-percent (tax) is to spend money.”
In 2014, the city can revise its food-and-beverage tax allocations and submit it to the state Legislature.
Polling precincts
In another matter, the board announced polling locations for the upcoming municipal justice complex bond issue referendum on Sept. 27.
Alderman Perkins said the precincts may be different from where people usually vote for county or general elections.
Polls will be open from 7 a.m. to 7 p.m. The city clerk’s office will be open from 8 a.m. to noon Saturday for absentee voting, which is currently under way.
Voting precincts are:
n Ward 1: National Guard on Highway 12
n Ward 2: Sportsplex
n Ward 3: Sportsplex
n Ward 4: City Hall
n Ward 5: Fire Station 3 on Highway 389
n Ward 6: Montpelier Church fellowship hall
n Ward 7: Oktibbeha County Circuit Court
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