There are several options available to governments for the financing of public infrastructures. Consider for a moment that there are two before you: (1) a sales tax referendum to increase an existing one-half cent capital improvement tax by one-quarter cent on every dollar of sales and (2) a development fee of $0.50 per square foot imposed on real estate developers for new residential and commercial buildings. Each tax adversely affects a different group of citizens.

Evaluate the advantages and disadvantages of each potential financing option from the viewpoint of (1) a city council member (2) the city manager (3) a current homeowner (4) a real-estate developer.