Taxpayer Groups Resist Governor’s Tax Plan

The Howard Jarvis Taxpayers Association hosted a taxpayers’ summit yesterday in Sacramento and, along with other state and local taxpayer groups, presented a united front against the proposed tax increases and extensions in Governor Brown’s budget.

Anticipating a well-funded campaign by public sector unions in support of the tax increases, HJTA president Jon Coupal argued that a vocal and concentrated effort could still defeat the taxes. Pointing out that the last six tax increase measures on the state ballot were defeated, Coupal said supporters of the tax measures could outspend opponents by ten to one and still lose. Public employee unions are expected to contribute millions of dollars to pass the tax increases, if they qualify for the ballot.

Before there is an election campaign over taxes, the legislature must put the tax measures on the ballot. State Republican Party official and publisher of the FlashReport website, Jon Fleischman, indicated that his survey of the Republican legislators showed no support to move the tax measures forward. He noted that all Republican legislators who voted for the tax increase in 2009 were no longer in the Capitol.

As I wrote yesterday, Democrats are looking for ways to put the taxes on the ballot with a majority vote.

The question of how to define a tax increase was also heard at the summit. Governor Brown stated he would not raise taxes without a vote of the people. His plan is to put the tax extensions for income, sales, and vehicles on the ballot. Other measures will raise taxes as well. For instance, corporate tax changes, implemented by the legislature, are on the block in the governor’s budget. That would amount to a tax increase. Why is that not designated to be on the ballot?