City-funded system would be inefficient

It’s disappointing to see the city of Ponderay seeking to increase taxes to fund its proposed bus service. As economists James Bennett and Manuel Johnson have documented, tax-funded services typically have a 100-percent waste factor compared to private provision of the same service. The reason is the tax money comes in automatically, so it is not necessary to please consumers or to be efficient. Buses can run empty, administrators go to planning conferences in Hawaii.

One is also uneasy about a lodging tax. It is not generous or hospitable to force visitors to pay for our services.

Yes, we need more public transportation in our area, but it should be established on a voluntary basis by businesses, philanthropists, volunteers, friends and neighbors. A big impediment to the development of efficient, voluntary systems of public transportation are government’s taxation, regulations, and liability system. Instead of working to make big government bigger, public officials in Ponderay should focus on reducing government barriers to creative, independent community action.

JIM PAYNE

Sandpoint