City's Investment Fund Scorecards Available Online
By WestKyStar Staff
PADUCAH, KY - "The City of Paducah prides itself on being transparent to the public. We want everyone who lives and/or works in Paducah to know how tax dollars are being spent," says City Manager Jeff Pederson.
One way the public can stay informed is by reviewing the quarterly and annual scorecards prepared by the Finance Department for the Investment Fund, a fund that contains one quarter of the revenue generated by the payroll tax. The annual scorecard for fiscal year 2012, which ended June 30, was recently posted on the City’s website at www.paducahky.gov
under the Finance Department. To further explain the expenditures, Public Information Officer Pam Spencer uses the annual Investment Fund scorecard to create a detailed webpage showing photos, summaries, and additional information for each item listed in the report.
Mayor Bill Paxton says, “The Investment Fund has helped the City complete numerous economic and quality of life projects as well as sustain vital City infrastructure such as streets.”
Among other things, the Investment Fund is used to fund the Community Scholarship Program, the bond payment for the Murray State University Paducah Campus, operating subsidies for arts and cultural agencies, resurfacing of City streets, and economic development incentives. Also, beginning last fiscal year, the City began allocating Investment Fund monies for maintenance on city-owned buildings. The City also uses the Investment Fund to make debt payments for several project initiatives with the combined annual cost obligating 35% of the fund’s annual revenue.
In 2005, the City of Paducah made the tough decision to increase the payroll tax, also known as the occupational license fee, from 1.5% to 2.0% with the promise the public would be informed of how the funds are utilized through scorecards. The funds from the 0.5% increase go into a separate account called the Investment Fund, which is dedicated to economic development, neighborhood redevelopment, infrastructure and capital investment, and property tax relief. The remaining funds are placed in the general fund. The occupational license fee is paid by people who work within the City of Paducah. In other words, for every $1.00 earned, $0.02 is paid to the City to support local services.