CITIZENS   FOR  LIMITED  TAXATION
and the
Citizens Economic Research Foundation

CLT UPDATE
Tuesday, April 26, 2005

House Democrats again kill “temporary tax” rollback;
“Another slap in the face” to 1.5 million voters


Despite crying poor mouth while killing a voter-approved income tax rollback, Democratic lawmakers want taxpayers to foot the bill for pay hikes for court officers, a new state geologist, pond weed reduction and gravel pit "improvements."

"The budget is their opportunity to get pork for their districts," said Barbara Anderson, spokeswoman for the watchdog group Citizens for Limited Taxation. "Democrats are scrambling to suck up the taxpayers' money to go back and get themselves re-elected."

House lawmakers painted a bleak picture of the state's finances while debating their $23.6 billion budget yesterday, but the 1,250 amendments seeking state money for local projects tell a different story....

"We hear the money's not there, but on the same hand, they've put aside hundreds of thousands of dollars for their pet projects," Massachusetts Republican Party executive director Tim O'Brien said.

Democratic Party spokeswoman Jane Lane called the GOP complaints an "election-year ploy."

"The state cannot afford a tax rollback at this point. Not when cities and towns are in desperate need of money to finance essential services," Lane said....

Despite killing a voter-approved income tax rollback, House lawmakers are seeking to tack on millions in pork-barrel spending to their proposed $23.6 billion state budget...

The Boston Herald
Tuesday, April 26, 2005
Tax foes squeal over budget packed with 'pork' by House


Arguing that Massachusetts desperately needs the money, the House last night rejected Governor Mitt Romney's proposed income tax cut by an overwhelming 135-21 margin....

"Don't you think at some level, it's a little dangerous for elected members of the House and Senate to ignore the will of the voters, to think somehow that we know better than what they told us to do in the year 2000?" said Representative Jeffrey David Perry, a Sandwich Republican....

In order to deny the Republicans a straight up-or-down vote on the tax cut, which might be used by the Republicans as political ammunition, the Democrats attached a "further amendment" calling for a study on the impact of the tax cut. The Democrats then voted for the amendment, knowing they had delayed the cut indefinitely.

The Boston Globe
Tuesday, April 26, 2005
House Democrats kill income tax cut
Argue GOP plan not affordable


State Rep. John Rogers, D-Norwood, said the rollback is "fiscally irresponsible" in a state with a $800 million structural deficit. State Rep. Thomas Stanley, D-Waltham, who opposed the rollback, said the Massachusetts Taxpayers Foundation has said that talk of a surplus in the state is misleading because budget estimates last year were conservative.

The MetroWest Daily News
Tuesday, April 26, 2005
Tax rate rollback nixed by House


House Democrats killed the income tax rollback today, justifying their irresponsible action with false, gloom-and-doom rhetoric about the health of the state's economy and altogether ignoring money-saving reforms.

"The Democrats will say anything to justify killing the income tax rollback. They claim the economy isn't healthy, but they are just plain wrong. They say the state needs the tax money, but they won't save money by cutting waste and passing reforms such as the merger of the Turnpike and MassHighway," said Tim O'Brien, Executive Director of the MassGOP. "The truth is the Democrats used a cheap trick to kill the tax cut. Now they will spend this money on ridiculous spending such as tuition breaks for illegal immigrants, pay raises for their lackeys and a new state geologist."

MassGOP News Release
Monday, April 25, 2005
House Democrats kill tax rollback


There ought to be a political price to pay for House members who voted to kill the final phase of the voter-approved income tax rollback yesterday. But who'll make them pay it?

A Boston Herald editorial
Tuesday, April 26, 2005
A Beacon Hill price for tax cut defeat


Massachusetts House of Representatives
Debate on Income Tax Rollback

April 25, 2005
CLICK HERE


Chip Ford's CLT Commentary

Along a party-line vote, yesterday House Democrats again broke the Legislature's 16-year old "temporary" tax hike promise, again thumbed their noses at the rollback mandated by 59 percent of the voters in 2000. One Democrat, state Rep. Joseph Wagner (D-Chicopee), broke ranks for whatever his reason and voted with the 20 Republicans. (Rep. Michael Coppolla [R-Foxboro] was absent for the vote.)

The tax-and-spend Democrats pulled another sneaky parliamentary maneuver in the hope of avoiding being tagged as voting against the rollback and against the voters again. They instead adopted a "further amendment" to send off Rep. Jeff Perry's rollback amendment for "study" -- the death sentence for unpopular legislation -- and thereby avoided an outright "no" vote on the rollback.

CLT associate director Chip Faulkner was at the State House yesterday delivering our memo to every member of the House. He summed up the debate as "Another slap in the face  to the million-and-a-half voters who mandated the rollback four years ago."

This important roll call vote will be used by CLT in its next House Legislative Rating. 135 Democrats failed miserably; 20 Republicans and one Democrat passed with flying colors.

It's abundantly clear that the Democrat majority has no intention of ever abiding by the will of the electorate, of keeping its promise of "temporary," or of ever rolling back the tax rate so long as they're ruling the state. Despite the Legislature's 2002 fig leaf of a "triggered" rollback, we know that will never come about even by its full implementation date of 2014. Certainly not with the amount of pork spending the Bacon Hill pols are piling on, already creating the next "fiscal crisis."

Chip Ford


The Boston Herald
Tuesday, April 26, 2005

Tax foes squeal over budget packed with 'pork' by House
By Dave Wedge


Despite crying poor mouth while killing a voter-approved income tax rollback, Democratic lawmakers want taxpayers to foot the bill for pay hikes for court officers, a new state geologist, pond weed reduction and gravel pit "improvements."

"The budget is their opportunity to get pork for their districts," said Barbara Anderson, spokeswoman for the watchdog group Citizens for Limited Taxation. "Democrats are scrambling to suck up the taxpayers' money to go back and get themselves re-elected."

House lawmakers painted a bleak picture of the state's finances while debating their $23.6 billion budget yesterday, but the 1,250 amendments seeking state money for local projects tell a different story.

Among the spending requests are:

  • Funding to pay State House court officers the same as Suffolk Superior Court officers.

  • $100,000 for the Department of Correction "to strengthen the family connections of female inmates and their children."

  • $400,000 for surveillance cameras in Springfield high-crime areas.

  • $50,000 to reduce weeds in Halifax's Monponsett pond.

  • $100,000 for "improvements" to a Natick gravel pit.

"We hear the money's not there, but on the same hand, they've put aside hundreds of thousands of dollars for their pet projects," Massachusetts Republican Party executive director Tim O'Brien said.

Democratic Party spokeswoman Jane Lane called the GOP complaints an "election-year ploy."

"The state cannot afford a tax rollback at this point. Not when cities and towns are in desperate need of money to finance essential services," Lane said.

Of the allegations of pork spending by Democrats, Lane said: "Legislators, regardless of party affiliation, do what they can to help their local communities."

Spending spree

Despite killing a voter-approved income tax rollback, House lawmakers are seeking to tack on millions in pork-barrel spending to their proposed $23.6 billion state budget:

  • $25,000 for the Sandwich Glass Museum

  • $200,000 for the Puerto Rican Cultural Center of Springfield

  • $125,000 for the town hall and museum in Bellingham

  • $100,000 for a study on a new parking deck in Amesbury

  • $150,000 for a farm worker's council

  • $800,000 for a municipal parking lot in Franklin

  • $500,000 for new docks in New Bedford harbor

  • $500,000 for Grandview farm in Burlington

  • $275,000 for new soccer fields in West Bridgewater

  • $150,000 for a cultural landscape study for Boston's Esplanade

  • $2.35 million for state police overtime

  • $1 million for a new highway barn and salt shed in Medway

  • $195,000 for three full-time Massachusetts AFL-CIO labor union workers to help laid off workers

Source: House budget

Return to top


The Boston Globe
Tuesday, April 26, 2005

House Democrats kill income tax cut
Argue GOP plan not affordable
By Scott S. Greenberger, Globe Staff


Arguing that Massachusetts desperately needs the money, the House last night rejected Governor Mitt Romney's proposed income tax cut by an overwhelming 135-21 margin.

Republicans offered Romney's tax cut as an amendment to the fiscal 2006 state budget, which the House began debating yesterday. State representatives are expected to work into the night all week as they consider about 1,300 proposed amendments to the $23.6 billion spending plan House leaders put forth earlier this month.

The House spending plan, which is about 2.5 percent larger than this year's budget, relies on an anticipated modest uptick in tax revenues to boost spending on schools and social services, but does not come close to fully restoring programs Beacon Hill cut by about $3 billion during the fiscal crisis that gripped Massachusetts between 2002 and 2004.

For nearly a year, Romney has been urging the Legislature to reduce the state income tax to 5 percent. In 2000, voters approved a gradual lowering of the income tax rate, which was 5.85 percent at the time, to 5 percent. But in the depths of the state's fiscal crisis in 2002, the Legislature froze the rate at 5.3 percent.

The tax cut would cost $226 million in fiscal 2006 and $587 million in fiscal 2007, according to the Department of Revenue. In fiscal 2007, the cut would be worth about $146 to a married couple earning $60,000 and $133 to a single person earning $50,000.

"Don't you think at some level, it's a little dangerous for elected members of the House and Senate to ignore the will of the voters, to think somehow that we know better than what they told us to do in the year 2000?" said Representative Jeffrey David Perry, a Sandwich Republican.

Supporters noted that in the last fiscal year, the state collected $700 million more in tax revenue than it had predicted. But foes say that figure masks the gap between the state's mandatory spending and the revenue it can count on every year. The House budget relies on $380 million from the state's reserves to close the gap.

"We all watched as the cities and towns laid off 14,500 teachers, police, firefighters, librarians, and other important municipal officials. We've watched people in Massachusetts lose their healthcare because of the tightening of eligiblity requirements we were forced to make," said Representative Ruth B. Balser, a Newton Democrat.

In order to deny the Republicans a straight up-or-down vote on the tax cut, which might be used by the Republicans as political ammunition, the Democrats attached a "further amendment" calling for a study on the impact of the tax cut. The Democrats then voted for the amendment, knowing they had delayed the cut indefinitely.

The House also last night delayed debate on a measure that would increase revenue by $170 million. Last January, Romney proposed wringing $170 million more out of corporations by closing what he called loopholes in the tax code. But the governor subsequently proposed a stripped-down package of $85 million, after protests from the business community. Representative Jim Marzilli, an Arlington Democrat, planned to offer an amendment restoring the original plan.

But Representative John J. Binienda, the House chairman of the Revenue Committee, said the House delayed discussion of the measure because his panel has not had time to fully examine it.

Return to top


The MetroWest Daily News
Tuesday, April 26, 2005

Tax rate rollback nixed by House
By Emelie Rutherford, Daily News Staff


The House kicked off its debate on a proposed $23.7 billion state budget yesterday, shooting down an income tax decrease MetroWest Democrats opposed, while not considering a move to close tax loopholes backed by some area lawmakers.

The state House of Representatives also increased funding in the proposed fiscal 2006 budget for family support services at the state Department of Mental Retardation, as requested by freshman state Rep. Tom Sannicandro, D-Ashland.

The House overwhelmingly rejected multiple amendments to roll back the state income tax from 5.3 percent to 5 percent despite objections of Republicans, including state Rep. George Peterson Jr., R-Grafton.

The Democrat-dominated House instead voted for the state Department of Revenue to study the tax reduction's impact. Voters approved the tax decrease to 5 percent over three years in a 2000 ballot question.

Calling the rollback "fiscally unwise" and "anti-family," state Rep. Deborah Blumer, D-Framingham, said the tax reduction would translate to $50 less per family at a time when MetroWest and the state are struggling.

State Rep. John Rogers, D-Norwood, said the rollback is "fiscally irresponsible" in a state with a $800 million structural deficit. State Rep. Thomas Stanley, D-Waltham, who opposed the rollback, said the Massachusetts Taxpayers Foundation has said that talk of a surplus in the state is misleading because budget estimates last year were conservative.

MassGOP Executive Director Tim O'Brien, however, said the Democrats are ignoring "positive economic indicators," including new job generation and a $700 million surplus added to state coffers last year.

The failed amendments also would have allowed people to deduct charitable donations from their state taxes.

The House yesterday did not vote on an amendment -- cosponsored by dozens of representatives, including Democrats David Linksy of Natick, Jennifer Callahan of Sutton, Kay Khan of Newton, Blumer and Stanley -- to close $170 million in so-called corporate tax loopholes.

The amendment's sponsor, state Rep. James Marzilli, D-Arlington, said he withdrew it because House leaders wanted to keep policy matters out of the budget. The loophole issue will be addressed in a legislative hearing next week, he said.

The amendment called for reform of state tax code to prevent businesses from making some tax-reducing moves. It mirrored legislation Gov. Mitt Romney filed earlier this year before he filed less sweeping legislation meant to generate $85 million in taxes.

Marzilli said both of Romney's proposals will be weighed next week.

Return to top


MassGOP News Release
Monday, April 25, 2005

House Democrats kill tax rollback
Ignore Money-Saving Reforms;
Continue Misleading Rhetoric on Economy


House Democrats killed the income tax rollback today, justifying their irresponsible action with false, gloom-and-doom rhetoric about the health of the state's economy and altogether ignoring money-saving reforms.

"The Democrats will say anything to justify killing the income tax rollback. They claim the economy isn't healthy, but they are just plain wrong. They say the state needs the tax money, but they won't save money by cutting waste and passing reforms such as the merger of the Turnpike and MassHighway," said Tim O'Brien, Executive Director of the MassGOP. "The truth is the Democrats used a cheap trick to kill the tax cut. Now they will spend this money on ridiculous spending such as tuition breaks for illegal immigrants, pay raises for their lackeys and a new state geologist."

Instead of voting up-and-down on the tax cut, Democrats instead replaced the question with an amendment ordering the Department of Revenue to study the matter. This parliamentary maneuver is widely viewed as defeating the tax cut.

"I'm putting these Democrats on notice today. In two years when you are running for re-election, the Republican Party will be there to remind the voters that today you voted to kill the tax roll back. You may try to claim you voted to study it, but that won't work. You voted to kill it," O'Brien said.

Throughout the debate, Democrats claimed the state lacked funding for so- called "essential services." Some Democrats, such as Rep. David Flynn of Bridgewater, even claimed there is no revenue surplus. According to the Department of Revenue, Flynn is simply wrong.

"Receipts for March were $124 million above the monthly benchmark. Year- to-date revenues were $262 million above the yearly benchmark that was revised in October," according to an April 1st DOR press release on March revenues.

The Democrats' gloom-and-doom economic revenue runs contrary to positive economic indicators:

  • Last year, state coffers took in a $700 million surplus.

  • 25,000 new jobs were added in Massachusetts last year.

  • February marked the sixth consecutive month of job increases in Massachusetts, with 1,300 jobs added. The 4.9 percent unemployment rate was well below the 5.5 percent rate recorded in February 2004.

"The Democrats are not concerned about essential services. They only care about spending taxpayers' dollars. If they really cared about state services, they would pass reforms, like the merger of the Turnpike and MassHighway, which would save $230 million in its first year, which could be redirected to priorities like local aid for cities and towns," O'Brien said.

Return to top


The Boston Herald
Tuesday, April 26, 2005

A Boston Herald editorial
A Beacon Hill price for tax cut defeat


There ought to be a political price to pay for House members who voted to kill the final phase of the voter-approved income tax rollback yesterday. But who'll make them pay it?

"I'm putting these Democrats on notice today. In two years when you are running for re-election, the Republican Party will be there to remind the voters that today you voted to kill the tax rollback," said GOP executive director Tim O'Brien of the 135-21 vote.

Yup, those are sure fightin' words, but forgive us if we advise lawmakers not to polish their resumes just yet.

This is the same party which lost seats in the last election after putting millions of dollars and Gov. Mitt Romney's prestige on the line.

So while we appreciate the partisan feistiness displayed by O'Brien, he and Romney have a lot of ground to make up.

The good news is that ground is plenty fertile.

"The reason why the people felt that you could reduce the income tax is because they were told misrepresentations about the fiscal affairs of this state," said Rep. Michael Festa (D-Melrose). "People were told they could have it all." In other words, voters were too stupid to see things his way.

"Do we all chip in a little bit to get the services we all need or do we cut back the services?" Rep. Ruth Balser (D-Newton) said in arguing for a tax hike to 5.95 percent.

Chipping in for some is making the mortgage for others. But unless Republican candidates are making this case it'll remain empty - and unthreatening - rhetoric.

Return to top


NOTE: In accordance with Title 17 U.S.C. section 107, this material is distributed without profit or payment to those who have expressed a prior interest in receiving this information for non-profit research and educational purposes only. For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml


Return to CLT Updates page

Return to CLT home page