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The Children's Action Alliance responds to the tax-cut plan devised behind closed doors that's flying through the Legislature. Would that lawmakers could act as swiftly to find $5 million to restore transplant funding as they can to find $500 million for tax breaks.
Late yesterday, Governor Brewer called a special session so the Arizona legislature could quickly approve a package of corporate tax breaks that fails to balance cuts with revenues, and risks education in our state. SB 1001 and HB 2001 would cut corporate taxes and reduce revenue which will result in greater cuts to education. Governor Brewer and legislative leaders have already called for additional cuts to education, even though elementary and high schools have already sustained an 18% per student cut in funding under the Brewer Administration.
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Today, the House of Representatives rushed HB 2001 through committees and caucus; Senate leadership pushed SB 1001 (their version of the House bill) through their committees. CAA anticipates that legislative leaders will continue to push the corporate tax cuts package (under the misnomer "The Jobs Bill") through final votes tomorrow. The Governor is expected to sign the bill.
CAA President and CEO Dana Wolfe Naimark testified today against SB 1001 and HB 2001 before the House Ways and Means Committee, and Senate Commerce and Education Committee. “Economists disagree about many things but there are two things upon which they all agree,” said Naimark. “First, high quality education is necessary for economic success. And second, Arizona has not engaged in a balanced fiscal strategy of cuts and revenue, focusing only on severe budget cuts.
“SB 1001 and HB 2001 go in the wrong direction on both counts. These bills continue to focus only on cuts without balancing the other side with revenues. And every dollar of these corporate tax cuts will drain dollars from K-12 education, universities and community colleges.
“Governor Brewer recognizes the link between taxes and education. When the temporary sales tax was being considered last year, her own Office of Strategic
Planning and Budgeting calculated the cost to each school if that tax vote failed. Now, less than a year later, Governor Brewer is supporting a corporate tax cut that would have a similar effect.
“These bills are not a blue print for improving Arizona. There’s no plan to repay debt and no plan to improve math and science education, core curriculum for our future economic growth. This plan is unbalanced and unaccountable, and Children’s Action Alliance urges legislators to oppose these bills.”
CAA will continue to keep you informed as updates are available.
Click here for the CAA's analysis of the bill's provisions.
