BANGOR – Do you want to limit government spending and require voter approval for tax and fee increases?
Yes, of course, agreed each representative from both sides of a local breakfast forum Wednesday on the Taxpayer Bill of Rights, a citizen initiative petition that will appear on the statewide Nov. 7 ballot.
But the two men disagreed sharply about whether spending and tax restrictions would improve local economies.
Maine’s “spending frenzy” needs to be curbed, said Tarren Bragdon, director of health reform initiatives at the Maine Heritage Policy Center, a conservative public policy research organization and the author of TABOR. He supported the referendum.
He said TABOR is a reasonable, effective way to make it more difficult for legislators to raise state taxes. Bragdon presented statistics comparing the rates of personal income and property tax growth from 2000 to 2004 on city, state and national levels.
Compared to the rest of the country, Maine has high taxes on low per capita incomes, Bragdon said.
“We have to wonder ‘How do 49 other states do it cheaper?’ and let’s copy what they do,” said Bragdon.
But Christopher St. John, executive director of the Maine Center for Economic Policy, a public policy research organization, countered that the measure would tie the hands of public officials, who could no longer respond to the needs of their communities.
“What message are we sending?” asked St. John. “A lack of confidence in our legislators to make budgets.”
The discussion, held at the Bangor Ramada Inn, was sponsored by the Bangor Region Chamber of Commerce and the Action Committee of 50, a local organization that seeks to improve the economic health of Greater Bangor.
While both speakers agreed that the ideals behind TABOR were democratic, neither agreed on the extent to which the state needs to rein in government spending and increase taxpayer participation in spending decisions.
TABOR would not allow state and local governments to increase taxes above the combined inflation and population growth rates without voter approval.
The audience of about 100 people appeared captivated by both arguments. After 20-minute presentations by each side, the speakers responded to questions that had been submitted anonymously in writing.
One question asked how TABOR takes into account the demands placed on service center communities like Bangor and Brewer, which provide numerous services to residents of outlying towns.
St. John said TABOR’s adjustment formulas do not allow state and local spending to keep up with the rising cost of such services.
“The needs for the service community are acute,” St. John said. “TABOR addresses none of these.”
Bragdon said that while TABOR would limit spending at the state, county, municipal and school district levels, any fees or tax increases could be increased if the population grows, if the state sends extra money to the town, or if approved by a two-thirds vote by the local government and a majority vote by residents.
“This is not a cap,” Bragdon said.
A question of why TABOR would require town meetings to shift some of their spending decisions to require a two-thirds vote also was raised.
Bragdon responded that while TABOR would require votes on local spending that may not have been required in the past, the measure still would represent a more democratic system than leaving votes up to those few residents who attend town meetings. Bragdon said as few as 4 percent of residents attend town meetings and make all the decisions for everyone in the community. He added that under TABOR, local budgets require a two-thirds vote only for line item spending over the limit the measure would allow.
St. John argued that the process is excessive and cumbersome. He said relatives and friends of his in Colorado, another state with a TABOR-like mechanism, have complained of severe lack of funding for state operations like schools, economic development and roads.
More information on TABOR can be found at these Web sites:
Maine Center for Economic Policy: www.mecep.org.
Maine Heritage Policy Center: www.mainepolicy.org.
Maine Secretary of State’s Office: www.maine.gov/sos/cec/elec/pets02/legbillr.htm.
Comments
comments for this post are closed