TABOR IQ TEST
'TABOR' takes bite out of Colo. public safety By
Rich Eggleston
| After receiving a 911 call that three
pit bulls had attacked people in a horse barn on Nov. 30, it took the sheriff's department
in Elbert County, Colo., an hour and ten minutes to reach the scene.Horse trainer Jennifer Brooke died
later in a hospital. Brooke's friend was seriously injured and a neighbor was injured less
seriously.
Prosecutors are seeking to hold dog owners
Jacqueline McCuen, 32, and William Gladney, 46, criminally responsible for the attacks.
But it's Colorado's Taxpayer's Bill of Rights
that's responsible for the tardy response to the 911 call from the horse barn where the
attacks occurred, Jim Zelenski, senior fiscal policy analyst for the Colorado Fiscal
Policy Institute, told Alliance members from around the state March 12.
"This is happening in Colorado in every (form)
of public service, and it's only just begun," Zelenski said.
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Jim Zelenski
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The Taxpayer's Bill of Rights, known as
TABOR, is Colorado's constitutional amendment that supporters say has brought
prosperity and happiness to Colorado by holding down state and local tax increases. The
numbers don't verify the claims of prosperity, by the way, but more on that later.TABOR also is the device that critics
say already has "ratcheted down" government in Colorado to dangerous levels.
Besides ratcheting down public safety, in Colorado,
the state also withdrew money from county health departments and rural libraries as a
result of TABOR, Zelenski said..
"Folks who see what government does are
saying, 'This is unsustainable," he told Alliance members at a membership meeting in
Madison.
Zelenski offered the following suggestions
on how to make a Wisconsin version of TABOR more kid-friendly and less pit-bull-friendly:
If possible, limit any constitutional amendment here to
require voter approval of any tax increase.
Avoid the ratcheting effect.
If we have to use a formula to restrict revenue
growth, use personal income rather than the consumer price index.
Avoid overlapping limits.
Analyze what a TABOR amendment would have done
if it had been in effect in Wisconsin five or 10 years ago, and decide if that's where we
want state and local government to be today.
Build in a rainy day fund for economic
downturns, and allow the money to be used by the Legislature and the governor without a
referendum.
Keep the relationship between public
services and taxes prominent in the public's awareness of how government works.
The Colorado Fiscal Policy Institute is an a organization
of individuals, community-based organizations, non-profits, faith communities, educators
and others. It raises awareness about fiscal issues facing Colorado and the
needs of low and moderate income families and individuals.
See the Rocky Mountain News story about
the tardy response to the pit bull attacks here.
For a Power Point presentation that details how
TABOR has pinched government in Colorado, look here. |

Rep. Gregg Underheim |
Rep. Gregg Underheim
'Wisconsin Is in Decline'Several groups of legislators are working independently to draft a
Wisconsin version of the Taxpayer's Bill of Rights (TABOR), and in some cases even their
colleagues are not being told what they're up to, Rep. Gregg Underheim (R-Oshkosh) told
the Wisconsin Alliance of Cities March 12.
Like poker players in a high-stakes game, lawmakers
involved in rewriting AJR 55 are keeping their cards close to their vests, Underheim told
city leaders from across the state.
Underheim said the reasons Republican lawmakers are embracing a TABOR amendment are
three-fold: |
Wisconsin is in a state of
decline, with manufacturing jobs shrinking to less than half the percentage of the state
workforce they once commanded;
Wisconsin remains a high-tax state; and
If
some version of TABOR is put on the ballot, it is almost guaranteed to pass.
"Cities are walking into this poker game
with virtually no chips," Underheim said. "Politically, you guys have not played
this game particularly well."
Even the folks who have anted up for the poker game, Underheim added, are
making little progress in finding answers to the following questions:
Whether to
put TABOR into effect with an expiration date so people can vote on it again once they see
what it's doing;
Whether to use
the consumer price index or personal income minus some percentage as a revenue cap.
How to avoid
rewarding fiscally irresponsible communities that have spent to their heart's content and
punishing the frugal ones when TABOR takes effect.
How to recognize the transition costs of doing
government differently under TABOR.
We Take a 'TABOR' Test
The Alliance of Cities meeting March 12 was a "TABOR IQ event," according to
Edward J. Huck, Alliance executive director."Our
input is there," Huck said. "What this is about is learning what's going
on." |
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"I think you're between a rock and a
hard place," Underheim said. "You guys are walking into the biggest fight of
your life with no friends." In the case of the
Alliance of Cities, he said, the organization has a reputation for saying "no"
instead of saying "thank you." |
Mayor Tim Hanna of Appleton replied that it's the
Legislature that has repeatedly said "no" to the Alliance's innovative and
cost-saving suggestions.
"We've adopted legislative agendas, and at the end of
the day, we don't get any yes's either," Mayor Hanna said. "We're two or three
steps ahead of the things the Legislature is talking about."
Lasee's Latest
TABOR Will Be Amended, Sponsor Says
Rep. Frank Lasee (R-Bellevue), TABOR's chief
sponsor in Wisconsin, wasn't invited to the meeting. However, he said he couldn't attend
anyway because he was meeting with TABOR supporters. He did issue a statement that
was distributed at the meeting.
Lasee said that a one-paragraph amendment he
has drafted to the lengthy AJR 55 would solve at least two of the problems that critics
have cited.The amendment would exclude from TABOR requirements the following: cash-flow
borrowing, economic development (tax incremental financing) bonds and borrowing whose debt
service does not exceed spending limits.
Jim Zelenski, senior fiscal policy analyst
for the Colorado Fiscal Policy Institute, said the amendment would help reduce TABOR's
negative impacts.
Lasee also said spending limits for cities,
villagers, towns and counties under AJR 55 would be "more generous" than the
limits of the expenditure restraint program, under which all qualifying Alliance members
have operated for years. He rejected the notion that AJR 55 could be applied only to state
government.
If that happens, "we will further
withdraw aids from the local governments, create more mandates that are unfunded and give
you additional means to raise taxes," Lasee said. "And we'll blame you for
it."
Lasee criticized the Wisconsin Alliance of
Cities for providing the public with "only negative information concerning
Wisconsin's Taxpayer's Bill of Rights, instead of being fair and unbiased.
"Shame on you, Wisconsin Alliance of
Cities, for only providing one side of the issue," Lasee said. (For a copy of his
statement, in Adobe Acrobat format, please click here.)
Alliance Responds
In an attempt to provide balance to the biased and factually
deficient information on AJR 55 being distributed by supporters of the measure, the
Wisconsin Alliance of Cities has provided its members and the public with extensive data
on the negative effects of Colorado's Taxpayer's Bill of Rights.
There is no Wisconsin Taxpayers Bill of Rights, so its effects cannot be
measured, and to our knowledge, with two exceptions limited to school aids and university
funding, there have been no studies of the effects AJR 55 would have had on state and
local government had it been adopted in the past. See Zelenski's fifth bullet point
above. [For news reports on the studies, see the links below.]
Comments by TABOR supporters attributing Colorado's economic boom of the
1990s to TABOR, but failing to attribute Colorado's economic debacle since then to the
same cause, were such an egregiously selective use of facts that the Alliance of Cities
responded with the following:
in January we ordered Google news alerts on "TABOR and
Colorado." We can categorically state that there have been no stories or
editorials in daily newspapers in Colorado that have been favorable with
respect to the effects of TABOR there. We'll put a sample of the coverage on this
web site soon.
We studied the findings of two nonpartisan Colorado think tanks with
impeccable credentials: The Bell Policy Center and the Colorado
Fiscal Policy Institute. To our knowledge, there are no groups with their
reputation in Colorado that think TABOR is a good thing. Certainly we have seen none that
have been quoted in the media.
We asked Wade Buchanan, president of the Bell Policy Center, to
'Wisconsinize' a column he wrote for newspapers in California cautioning "Voters,
beware" if a TABOR amendment reaches the ballot here. The guest column is here.
We reported on the appearance by Carol Hedges of the Bell Policy
Center before the Wisconsin Counties Association, which included some advice to
TABOR drafters that mirrored Zelenski's advice above. See that report here.
We submitted guest columns to Wisconsin newspapers that detail the
Alliance's 4 R's program to reform government. Example here.
And we distributed editorial comment from Wisconsin newspapers skeptical
of the claim by TABOR supporters that the amendment would pave the way to prosperity and
happiness in Wisconsin. Example here.
In an attempt to provide continued balance on the TABOR issue, the
Wisconsin Alliance of Cities pledges to measure whatever TABOR looks like when it is
reintroduced against the recommendations by Zelenski, above, and
Hedges, here. And it pledges to
hold legislative sponsors of TABOR and other measures responsible for their choices. |
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TABOR Tidbits
TABOR Gets First Wisconsin
Study: Not surprisingly, members of the
University of Wisconsin Board of Regents are less than enthusiastic about dismantling the
UW System. But that's what would have happened under a Wisconsin version of TABOR, a study
showed.
UW System President Katharine Lyall told
regents that had a TABOR amendment been adopted in Wisconsin in 1992, it would have
forced cuts in every one of the state's top budget items: school aids, medical assistance,
shared revenues, corrections, and the UW.
The UW System, she said, would have been
"effectively privatized by 1997" or earlier. Story here.
TABOR Gets Second Wisconsin Study: Had Wisconsin followed Colorado's lead more than a decade ago and
been under a Taxpayer Bill of Rights, school funding here would be about $2.3 billion
below the current $4.8 billion, according to a state Department of Administration report.
Under that scenario, Wisconsin would rank 47th nationally in spending per student instead
of 11th, the report says.
Milwaukee Journal Sentinel story here.
Colorado's Higher Education Takes
it on the Chin: Under TABOR, Colorado's tax support for higher education has decreased almost 25%
while the state's public colleges and universities have absorbed a 16.2% increase in
in-state students, Harry L. Peterson, a Wisconsinite who is a former Colorado university
president, writes in a guest column in the Wisconsin State Journal. If the trend
continues, public higher education for all practical purposes will seek to exist by 2009,
he wrote.
TABOR, he wrote, is a radical idea
that is simple but wrong.
"TABOR is not conservative or
fiscally responsible; it is radical and it should be rejected," Peterson concluded..
Guest column here.
Meanwhile, University of Colorado President Elizabeth Hoffman says it's vital
to win Colorado's university system "enterprise" status to prevent further
budget cuts. She told the Colorado Daily she's heard legislative leaders talking
about higher education budget cuts that could exceed $170 million this year.
"That kind of environment could lose us our best faculty, and we'd never
recover," Hoffman said.
Story here.
In Colorado, legislative
budget writers got hit with more bad news when their chief economist told them Colorado is
now facing a $610 million deficit over the next three years. Economist Mike Mauer said the
deficit, originally expected to total $450 million, now has grown even higher than last
December's projections.
"The culprit is lower-than-expected inflation,"
the Rocky Mountain News reported.
When inflation dropped below expectations, the revenue the state realized had to be
returned to taxpayers rather than be applied to the deficit, as TABOR dictates.
"So if you have lower inflation, then even if you collect the exact same amount of
revenues, under TABOR you have to refund more," Maurer said.
Story here. |
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