Local Governments Are Getting Creative… With Fees and Fines

What do Andy Johnson, Anthony Smelley, the Hammond family, Charlie Engle, Tammy Cooper, Nancy Black, Russ Caswell, Jacques Wajsfelner, Jeff Councelller, Eric Garner, Martha Boneta, James Slatic, Carole Hinders, Salvatore Culosi, and James Lieto, as well as the Sierra Pacific Company and the entire Meitev family have in common?

They are all victims of brutal, unfair, capricious, and evil government actions. And I challenge anyone to read their stories and not feel at least some degree of outrage at their mistreatment.

And now we’re going to add Corey Statham to the list. The New York Times has an all-too-typical report of government greed and callousness.

Corey Statham had $46 in his pockets when he was arrested in Ramsey County, Minn., and charged with disorderly conduct. He was released two days later, and the charges were dismissed. But the county kept $25 of Mr. Statham’s money as a “booking fee.” …He did get a debit card for the remaining $21. But there was no practical way to extract his cash without paying some kind of fee. Among them: $1.50 a week for “maintenance” of the unwanted card, starting after 36 hours; $2.75 for using an A.T.M. to withdraw money; $3 for transferring the balance to a bank account; and $1.50 for checking the balance. …Mr. Statham is represented by Michael A. Carvin, a prominent conservative lawyer who…said the county’s motives were not rooted in solicitude for the people it had arrested. “Revenue-starved local governments are increasingly turning toward fees like Ramsey County’s in order to bridge their budgetary gaps,” he wrote in a Supreme Court brief. …“Providing a profit motive to make arrests,” he said, “gives officers an incentive to make improper arrests.” …$25 is not a lot of money — unless you are poor. It represents almost half a day’s work at the federal minimum wage, a federal judge wrote in a dissent in another case on booking fees.

I have no idea whether Mr. Statham is a sympathetic victim. But even if he’s a total jerk, that doesn’t change the fact that people who interact with the legal system should not be subject to fines or fees without a conviction.

This is yet another example of innocent people victimized by “policing for profit,” which notoriously happens with civil asset forfeiture.

And at the risk of sounding like a closet leftist, it bothers me when poor people and rich people face the same fines. I don’t know Statham’s situation, but there are plenty of low-income people who can suffer severe financial consequences when they have an unfortunate encounter with local law enforcement. Maybe we should be like Switzerland and proportionately adjust fines based on wealth. I don’t suggest that because I want local governments to have more money. Instead, I’m thinking such a policy would both make the law more equal and give the rest of us a strong incentive to fight against thuggish revenue-raising tactics.

P.S. I’m obviously on the side of Statham’s lawyer, but I can’t resist correcting something said by Michael Carvin. I’ve never looked at the numbers for Ramsey County, but, based on nationwide fiscal data for state and local governments, I will say with 99 percent confidence that Ramsey County is not “revenue-starved.” In the interests of accuracy, Mr. Carvin in the future should refer to local politicians as being “revenue-hungry.”

Republished from Dan Mitchell’s blog.

Daniel J. Mitchell


Daniel J. Mitchell

Daniel J. Mitchell is a senior fellow at the Cato Institute who specializes in fiscal policy, particularly tax reform, international tax competition, and the economic burden of government spending. He also serves on the editorial board of the Cayman Financial Review.

This article was originally published on FEE.org. Read the original article.

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