Economic development, deficit spending and candidate forum

Posted

Dear Editor,

The recent candidate forum was an excellent opportunity to dig deeper into the positions the GOP Commissioner candidates are staking out in this election.

First, they are all in with letting the City of Black Hawk dictate to Gilpin County about taxation policy, presenting the IGA with the City as a no-brainer. Take the $1 million then if the County decides it no longer works, renege on the agreement, as if the County could do that without a $1 million dollar hit to County revenue plus a hit to the County’s reputation as a good faith actor. The RE-1 school district has an almost identical IGA with the City and has been in velvet handcuffs since 2008.

Second, Mr. Marshall thinks that using the excess reserves the County has built up over the years to pay off capital and maintenance expenses is “deficit spending”.  Any smart money manager will tell you that keeping excess money in a savings account when you have capital expenses that are growing year-over-year because of inflation is not a good strategy. In 2023 the County had more than $33 million in reserve funds, the 2024 reserve estimate is $29.9 million after spending on needed capital and maintenance. The 2025 reserve is estimated to be $21 million after additional spending on capital and maintenance. After 2025 capital expenditures drop to a sustainable level, leaving at least $20 million in the reserve fund including a six-month reserve and $4 million for emergency response. This is not deficit spending; it is smart spending.

Third, Mr. Marshall proposed mining and logging as viable options for economic diversification in the County. I wonder how many residents want logging trucks on the roads in the County or how either of these activities would preserve the natural beauty of the County or contribute to its coffers? That was not explained. 

On the other hand, the Democratic candidates are focused on improved infrastructure in commercial areas (Rollinsville in particular), small businesses, services for the aging, creative corridor tourism, the recreation industry (bike trails, gear rentals, guided outdoor recreation trips, trail and ski area shuttles), workforce housing to support employment, and other small mountain county compatible economic development. 

Sincerely,

Eric Douglas

Chair, Gilpin County Democrats