Gov. Inlsee
Fresh off of his Friday March 22, 2013 closed door meeting with select supporters of the Columbia River Crossing project, the massive light rail extension project from Portland, Oregon that will leave Clark County’s struggling middle class taxpayer’s paying for decades on a project they voted down, Washington State’s newly elected Governor Jay Inslee released his awaited budget proposal today, March 28, 2013.
Apparently not content that the cost of the CRC is expected to hit as high as $10 Billion, once interest on bonds and cost over runs are factored in, Inslee’s budget proposal includes several tax increases, extensions and converting temporary tax increases into permanent tax increases, just about all of which will end up on the backs of the very middle class taxpayer Democrats continue to claim they support.
It was just prior to his inauguration in January 2013 that Inslee was citing no tax increases would be needed for him to handle the projected budget shortfall that is now exceeding $1.2 Billion, again.
Very craftily, he left open the idea of eliminating some tax breaks.
Inslee is now proposing the funds come from “the coffers of a vast swath of businesses and in the wallets of beer and bottled-water drinkers, out-of-state shoppers and auto buyers who trade in their old cars.”
He calls for extending the beer tax to micro-breweries and raising B&O taxes, except for aerospace companies like Boeing and companies that are engaged in the federal clean up of radioactive waste.
Previously, the State Office of Financial Management “predicted operating budget revenue for 2013-2015 appears on track to be $32.5 billion — $2 billion more than 2011-2013,” but that still leaves a shortfall of $1.2 Billion the state wishes to spend on education, transportation and more.
Ignored by Democrats is that these tax increases will fall squarely on the backs of the middle class, either directly or indirectly as employers either have to adjust to higher expense, usually meaning having to lay off workers or some may throw their hands up in the air and close down, seeking another area where they can afford to operate.
Jim Moeller
It seems Democrats have exceedingly short memories as they seem unaware of their own “Luxury Tax” from 1990 failing and decimating middle class employment.
Fellow tax happy Democrat, 49th Legislative District Representative Jim Moeller announced his full support for this tax bath by the new Governor. Leaving a comment under the Columbian article on Inslee’s tax hopes, Moeller said,
“His budget proposal essentially follows much of the outline and priorities of what our caucus has been working on – funding the constitutional obligation to adequately fund basic education, keeping our state’s safety net intact, making targeted investments in state government, embracing Medicaid expansion, closing tax breaks to fund education and meeting other obligations. This is a good first step!”
Challenged that he is actually “sticking it to the middle class,” Moeller responded, “I think you ment…SAVING the middle class!”
Left unexplained is how stacking tax increases, tolls, fee & license increases on the backs of middle class taxpayers as well as driving employers to pack up and leave for where they can afford to operate is “saving the middle class.”
Just like back in 1990, Democrats are once again oblivious to the reality of ho an economy works. Writing in increases may balance out on paper, but in reality those increases end up costing someone more and in order to make up for the increased cost, they either raise prices, lay off employees, go out of business or just outsource somewhere affordable to operate a business.
In the end, it all falls squarely on the backs of the middle class.
Fortunately, the State Senate is held by a very slim ‘Philosophical Majority’ of Republicans and Moderate Democrats that realize how these increases end up hurting the middle class the most.
We also have a State Treasurer, also a Democrat who see the reality of the economy as he too claims, Wash. business taxes are too high.
In discussions with members of both parties in the legislature on ways to change the tax structure in our state, Treasurer Jim McIntire urges, “To do it right, lawmakers would need to assure voters that they wouldn’t be gouged.”
McIntire is looking at “a new tax that’s fair to working families and business, and grows with the economy” including “Such a tax would require bipartisan support and likely include a constitutional amendment ratifying the two-thirds supermajority requirement for the Legislature to raise taxes.”
He adds “It’s a tough sell for the voters,” but seeing how Democrats and Unions joined forces to invalidate the voters 5 times choosing such a 2/3 Super Majority requirement by suing constituents, I can’t help but believe the “tough sell” would be more so members of his own party.
Annette Cleveland
Equally distressing in how Democrats intend to decimate the middle class in Washington State is seeing rookie State Senator Annette Cleveland (D 49th) proposing a bill to fund the unwanted and unneeded CRC by tolls, on top of the tolls already planned and increasing gasoline taxes.
This would be on top of other Democrats hopes of funding an overly ambitious $10 Billion Transportation Package paid for by another increase in taxes on gasoline, increase car tab fees and even a bicycle fee on bicycles costing $500 and more. Also included would be an excise tax of .7% of the value of your car.
All of which destined to be borne squarely on the backs of struggling middle class taxpayers.
How Democrats like Jim Moeller and Jay Inslee can claim to be “saving the middle class” with straight faces escapes me.
