| Ballot Initiatives – Major Threats to Funding for Public Education |
Impact |
| One proposal would eliminate the state income tax, which currently brings in $11.4 billion per year. |
This represents 57 percent of state tax revenues. An identical proposal was on the ballot in 2002 – and while it was defeated, it did receive 45 percent of the vote. $11.4 billion per year could be lost. |
| A second proposal would prevent a city or town from raising its property tax more than 1 percent a year without seeking voter approval, rather than allowing the current 2.5 percent increase without voter approval. |
The allowable 2.5 percent tax increase provided cities and towns with approximately $246 million in new tax capacity last year. A reduction to 1 percent would reduce that amount to $170 million a year in fiscal year 2010 and by about $1 billion over five years. $200 million per year could be lost. |
| A third includes the property tax reduction and also would prevent localities from collecting excise taxes on motor vehicles. |
The motor vehicle excise tax currently provides cities and towns with about $750 million a year. $750 million per year could be lost. |
Where will the money come from to fund our schools? What will happen to class size? How will bombastic cuts affect our students... our children? Don't sign these petitions! |