In short the Tax Dividend Program avoids the political and legal difficulties of adjusting the tax rate while presenting a more direct alternative to increased spending. A true, direct relationship between returning taxpayer dollars and spending is established. Taxpayers can now have evidence that their governments do not spend every dollar available. Program is based on actual, not projected, revenues. Avoids the political and legal difficulties of adjusting the tax rate.
Dividends act as an economic development incentive for the business community.
Reduces or eliminates pressure to reduce taxes. Adds an additional financial management tool for elected officials to use in setting budget and tax rate policies. Gives elected leaders a positive way to involve the public in balancing spending interests against tax reductions. The community increases their understanding of the City's financial status, objectives and the City's portion of their property tax bill. Provides a simple way to help citizens relate to the complex budget process.