Stemming the Size of Government
While we’re cutting government growth in Arizona, the Federal government is expanding at an unprecedented rate. The “changed” Washington seems to be eerily similar to what Reagan said “if it moves...tax it, if it slows down...regulate it, if it stops moving...subsidize it.” Now we can say “if it fails...bail it out!”
Meanwhile, Arizona faces an unprecedented fiscal crisis never seen before in the history of our great state. Our ongoing expenses greatly outweigh our incoming revenue – to the tune of $3 Billion dollars.
We must cut non-essential services and grow our way out of this topsy-turvy imbalance and provide pro-growth tax policy that accomplishes this.
We are trying to align our structural deficit, which has come about due to a doubling and sometimes tripling of state services in the last several years.
Last January, the Legislature passed a fix to the Fiscal Year 2009 budget that became the largest reduction in government in Arizona’s history. While House Republicans are trying to stem the growth of government and fix our structural deficit, Democrats are seeking to bring it back and even increase the size and scope of government with their most recent budget proposal.
Conversely, the ongoing discussions of the House and Senate FY10 Republican budget proposal includes not raising taxes nor growing government.
The minority proposal includes an increase in taxes by $1 billion in FY10. These taxes include increases of $360 million in property taxes on homeowners and businesses, $80 million in additional income taxes, $100 million from the elimination of tax credits for contributions to public and private schools, a new assessment of $233 million on the generation of electricity, and a new levy of $45 million on consumer and business warranty and service contracts.
We can and we must continue to attract and retain businesses as a major piece to fixing our fiscal crisis.
Additionally, spending reductions, non-tax revenue enhancements, and federal stimulus funding will help us to correct the state's budget shortfall.
Meanwhile, Arizona faces an unprecedented fiscal crisis never seen before in the history of our great state. Our ongoing expenses greatly outweigh our incoming revenue – to the tune of $3 Billion dollars.
We must cut non-essential services and grow our way out of this topsy-turvy imbalance and provide pro-growth tax policy that accomplishes this.
We are trying to align our structural deficit, which has come about due to a doubling and sometimes tripling of state services in the last several years.
Last January, the Legislature passed a fix to the Fiscal Year 2009 budget that became the largest reduction in government in Arizona’s history. While House Republicans are trying to stem the growth of government and fix our structural deficit, Democrats are seeking to bring it back and even increase the size and scope of government with their most recent budget proposal.
Conversely, the ongoing discussions of the House and Senate FY10 Republican budget proposal includes not raising taxes nor growing government.
The minority proposal includes an increase in taxes by $1 billion in FY10. These taxes include increases of $360 million in property taxes on homeowners and businesses, $80 million in additional income taxes, $100 million from the elimination of tax credits for contributions to public and private schools, a new assessment of $233 million on the generation of electricity, and a new levy of $45 million on consumer and business warranty and service contracts.
We can and we must continue to attract and retain businesses as a major piece to fixing our fiscal crisis.
Additionally, spending reductions, non-tax revenue enhancements, and federal stimulus funding will help us to correct the state's budget shortfall.