Endorsement for Initiative 1033 - Hell No!
Initiative 1033 is yet another initiative created by Tim Eyman. Eyman has had a history of introducing regressive tax-cutting initiatives to WA State, and has been doing so since before I could vote.I recall the first initiative that passed under my watch, his 1999 Car Tab Fee initiative. This initiative set the Motor Vehicle Excise Tax to a flat fee, rather than one based on the car’s value.I had just turned 16 and been given a 1980-something Ford Tempo. It was a beater, and worth next to nothing. After his initiative passed, my tab fees went up. But the thirty-something who bought a $100,000 dollar mid-life-crisis-mobile managed to save a few bucks. And of course, our local government had less money for important services. Thanks Tim.
And his current initiative is so much worse. Initiative 1033 would cut state spending by holding it at the previous year’s level with adjustments ONLY for inflation and population growth. The excess revenue would be used to reduce property tax values.
The description is terrifyingly simple, and leaves out the fact that state spending levels need to change each year for many different reasons. As just one example, the cost of health care rises drastically faster than the cost of inflation, meaning the state would lose money each year. The only escape, putting potential tax increases to the voters.
It also would start using this year’s state spending, the year we’ve had the worst Washington State budget since the Great Depression.
The bill is already a train wreck, but consider that all of the refunds will go towards property tax reductions. Washington State already has one of the most regressive tax systems in the country (consider I paid equally into our taxes during the six months I was unemployed and had 0 income). Low income WA residents will be denied necessary state services, continue getting stuck with an unfair and rather high sales tax, and the people who own billion dollar malls will get a better deal than we currently give them… which is already pretty fucking good.
Colorado released a similar bill (TABOR) in 1992, leading to drastic cuts in State Spending on schools, health care, and other services states should provide. Initiative 1033 is stricter. Vote No.
For more info, I’d recommend checking out:
http://slog.thestranger.com/slog/archives/2009/10/13/washington-is-a-low-tax-state
http://www.cbpp.org/cms/index.cfm?fa=view&id=2952
http://en.wikipedia.org/wiki/Tim_Eyman#List_of_initiatives_and_outcomes