CITIZENS   FOR  LIMITED  TAXATION  &  GOVERNMENT
and the
Citizens Economic Research Foundation

 

CLT Update
Thursday, February 14, 2002

Democrat calls rollback "freeze" a tax increase


Seeking to gain some traction in the governor's race, Democrat Steve Grossman yesterday unleashed an aggressive campaign ad that scolds his primary rivals for advocating tax hikes....

"They think balancing the budget means raising your taxes," Grossman's ad says as black and white images of Senate President Thomas F. Birmingham, Treasurer Shannon O'Brien, and US Labor Secretary Robert Reich appear on the screen. All three support freezing the income tax rollback.

"I don't think putting our hands right back in the taxpayers' wallet - which is what my opponents propose - is the right approach," Grossman said at a news conference introducing the ad....

But Grossman appears to have come to this position on taxes recently. In an interview with the Globe three weeks ago, Grossman said that although he does not support delaying the income tax rollback "at this time," he thought the matter should be at least considered seriously. He criticized Acting Governor Jane Swift for her refusal to discuss tax increases....

The ad also does not mention that Grossman favors a 50-cent-per-pack cigarette tax increase to pay for health care....

Grossman, who campaigned against the tax cut question that former governor Paul Cellucci put on the ballot, says that the other Democrats' support for a temporary halt in the rollback is in effect a tax hike. He said the voters' will should be honored.

The Boston Globe
Feb. 13, 2002
Grossman ad attacks foes on tax hikes


But now Grossman is taking dead aim at all three - effectively, too, portraying them as knee-jerk types whose first reaction in a fiscal crisis is "putting our hands right back in the taxpayers' wallet." ...

As a former state party chairman, Grossman opposed the tax cut in debates during the 2000 campaign. But he said this week, at the preview of his ads, "The people have spoken." And he will honor their wishes.

He dismissed - decisively and accurately - suggestions that his rivals really weren't for a tax increase, just for delaying a cut. That's a semantic quibble, and Grossman nailed it hard.

"If I am sworn in as governor" in 2003, Grossman said, he'll insist that the tax rate fall to a flat 5 percent, as it is scheduled to do next year. (That's what it was before "temporary" tax increases in 1989-1991 that lasted a decade.)

Yet if Birmingham, Reich or O'Brien is elected, the rate likely would remain at the current 5.3 percent. "I call that a tax increase," Grossman said.

The Boston Herald
Feb. 14, 2002
Grossman stakes out his own ground
by Wayne Woodlief


Admittedly, it's shocking to see a Democrat make our argument for us, but there it is in Steve Grossman's very own words. He has now decided to support Gov. Jane Swift's and CLT's long-held position that any "delay" or "freeze" of our income tax rollback is a tax increase!

Grossman may be a late-comer to our view, but better late than never.

He may have opposed it when it was on the ballot in 2000, but then, CLT opposed Clean Elections when it was on the ballot in 1998 and have supported the voters' decision ever since.

Perhaps, as some have charged, he is desperately attempting to separate himself from the pack of Democrat gubernatorial candidates. Along with only Warren Tolman, defending our tax rollback as "the will of the voters" certainly accomplishes that.

It sure beats the others' position that clueless voters had no idea what they were voting for!

Of course, this doesn't make him a friend of the taxpayers; only a friend of the voting majority. He does, after all, support other tax increases, like the proposed additional 50¢ per-pack on cigarettes.

But what fun it will be in the days ahead, when the "delay" is promoted, to be able to throw the words of a Democrat back at the tax-and-spenders: "Freeze" the rollback, just "delay" it "temporarily"? "Steve Grossman calls that a tax increase too."

Chip Ford


The Boston Globe
Wednesday, February 13, 2002

Grossman ad attacks foes on tax hikes
By Frank Phillips and Rick Klein
Globe Staff

Seeking to gain some traction in the governor's race, Democrat Steve Grossman yesterday unleashed an aggressive campaign ad that scolds his primary rivals for advocating tax hikes.

Grossman is dipping into his personal fortune and campaign account to blanket the state's media markets and position himself as a businessman who won't do things the old way on Beacon Hill.

"They think balancing the budget means raising your taxes," Grossman's ad says as black and white images of Senate President Thomas F. Birmingham, Treasurer Shannon O'Brien, and US Labor Secretary Robert Reich appear on the screen. All three support freezing the income tax rollback.

"I don't think putting our hands right back in the taxpayers' wallet - which is what my opponents propose - is the right approach," Grossman said at a news conference introducing the ad. "This is about defining a fundamental difference between myself and my opponents."

But Grossman appears to have come to this position on taxes recently. In an interview with the Globe three weeks ago, Grossman said that although he does not support delaying the income tax rollback "at this time," he thought the matter should be at least considered seriously. He criticized Acting Governor Jane Swift for her refusal to discuss tax increases.

"It puts her in an unacceptable straightjacket which is going to ultimately harm the very people she is there to serve," Grossman said in the interview. "It would be fiscally irresponsible for me to take that issue off the table."

The ad also does not mention that Grossman favors a 50-cent-per-pack cigarette tax increase to pay for health care.

Colleen McGee, Grossman's campaign manager, said his "position has solidified" after studying the fiscal issues facing the state. "Steve has had time to look at the budget and has offered up a plan to address the deficit," she said. "And that plan does not include freezing the rollback."

With tax revenues plummeting, the state faces a deficit this year of at least $400 million, and could face a budget gap next year of as much as $2 billion.

Grossman's media campaign seeks to starkly distinguish himself from his Democratic rivals, not only on taxes, but on the kind of experience most useful to a governor. The head of a family-run envelope company, he stresses that he is an outsider with private-sector skills and attempts to link his opponents to the fiscal problems on Beacon Hill. He would not comment on how much he is paying for the ad blitz, but aides suggested it is close to $400,000.

"This is just the first round," said top Grossman campaign official.

The ad briefly shows a picture of an out-of-business sign on a storefront, followed by an image of the State House, at which point the male announcer says: "Politics as usual got us here."

"I want to take people down a very different path than the three opponents who are mentioned in this ad," Grossman told reporters. He did not target a fifth candidate, former state senator Warren Tolman, in the ad because Tolman also opposes delaying the tax rollback.

His tough message is a sharp break from what has so far been a congenial five-way race for the Democratic nomination for governor. But after spending $2 million and coming up short in the Feb. 2 party caucuses, Grossman finds himself lagging in the polls and battling rumors that he may drop out. He has already put $1 million of his own funds into his bid.

The ad campaign will likely put those reports to rest as he stakes a position to the right of the other three on taxes. Grossman, who campaigned against the tax cut question that former governor Paul Cellucci put on the ballot, says that the other Democrats' support for a temporary halt in the rollback is in effect a tax hike. He said the voters' will should be honored. "This ad creates a fundamental choice," he said.

His opponents immediately questioned the honesty of his ad's message. Dwight Robson, O'Brien's campaign manager, said Grossman is not "being truthful" and is misleading voters about his position, noting his endorsement of a cigarette tax increase.

Mark Longabaugh, Reich's campaign manager, said the ad reflects Grossman's struggle to keep his candidacy afloat after trailing Reich, a late entry into the race, as well as O'Brien and Birmingham in the delegate hunt.

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The Boston Herald
Thursday, February 14, 2002

Grossman stakes out his own ground
by Wayne Woodlief

Ah, the Massachusetts gubernatorial campaign. The ground keeps shifting beneath the candidates' feet.

With new independent-minded, hard-edged TV ads, businessman Steve Grossman is climbing back into the thick of the race for the Democratic nomination on the age-old issue of tax relief.

His 30-second spots, airing in the state's major media markets for two weeks, lend a tough, decisive new image to Grossman after setbacks he suffered in the Feb. 2 caucuses.

Senate President Tom Birmingham and Treasurer Shannon O'Brien led the voting that day for state convention delegates and newcomer Robert Reich, pulling in new people all over the state, stole the show.

But now Grossman is taking dead aim at all three - effectively, too, portraying them as knee-jerk types whose first reaction in a fiscal crisis is "putting our hands right back in the taxpayers' wallet."

Like the man himself, Grossman's ads grow on you. They're not flashy, just forthright and direct.

See, Birmingham, O'Brien and Reich favor a delay in the final phase of a rollback in the income tax rate that the state's electorate overwhelmingly passed in 2000. The ad shows the three, side by side, and declares, "They think balancing the budget means raising your taxes."

As a former state party chairman, Grossman opposed the tax cut in debates during the 2000 campaign. But he said this week, at the preview of his ads, "The people have spoken." And he will honor their wishes.

He dismissed - decisively and accurately - suggestions that his rivals really weren't for a tax increase, just for delaying a cut. That's a semantic quibble, and Grossman nailed it hard.

"If I am sworn in as governor" in 2003, Grossman said, he'll insist that the tax rate fall to a flat 5 percent, as it is scheduled to do next year. (That's what it was before "temporary" tax increases in 1989-1991 that lasted a decade.)

Yet if Birmingham, Reich or O'Brien is elected, the rate likely would remain at the current 5.3 percent. "I call that a tax increase," Grossman said.

Direct. Plain-spoken. Almost Trumanesque in its pithiness. We may be seeing a new Steve Grossman and a rebirth of a campaign....

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