Some consolidations might save some money and help some with the school budget crisis.
There was a wave of them in the 60s, and maybe its time for another wave.
The state is charged with funding k-12 education. That is the state's main job, along with corrections and having a militia. That unpleasantness over state's rights many years ago kinda took the militia out of the picture, so that only leaves education and corrections.
Education is funded by taxes.
Here are a couple thoughts.
There is a move afoot by some at the statehouse to raise the sales tax by a penny, and or, raise taxes on cigarettes.
Sales taxes do fund a lot, but there are also lots of exemptions.
There are hundreds of items that are exempt. It makes a difference of about $3 billion a year to the state.
So raising sales taxes, or cutting back on some exemptions to sales tax, could make a lot of difference as far as the state budget goes.
Local school boards can also raise local taxes.
Here is something that happens. Taxes are passed down the food chain. The state gives you tax breaks, so to stay afloat, local schools and municipalities have to raise taxes to stay afloat. The legislators at the state level look like they are giving you a break, while they are just pushing the burden to the local level.
They do that in Washington too.
I would not be surprised to see some consolidations. A raise in taxes is not out of the question either.
I think the thing that perplexes me the most about the budget and taxes is the entities don't seem to fully understand the relationship between the two!
ReplyDeleteWhen oil topped $120.00/barrel the resulting increase in Gas, Oil and Diesel reduced demand!
Guess what happened to the State and Federal revenue from the gasoline/diesel and the road tax?
Now with all the levels of Government in the red. They want to preserve things at levels pre recession. Or at least fight/lobby for their repsective areas/depts/budgets.
The problem with that thinking is that all of them want to increase taxes. When incomes are shrinking and unemployment is at record levels!
Then with an ever increasing and aging population with fewer options and often on a fixed income!
Plus don't forget that while they say there is no inflation prices for even basic items are rising.
Government needs to review its role and look for areas where it has encroached on the Private Sector. Areas where efficiency and accountability can best be accomplished through Private Sector businesses and services!
That is certainly not an acceptable answer to those who wish to continue the building of Empires!
Even if you went with a sinlge amount across the board flat tax to be divided among the different levels - say 40-50% of your income - there wouldn't be enough!
Pay raises, benefits, retirement, new programs increased staffing would overcome any amount eventually!