Thursday, March 16, 2006

Taxes, School Closure and Iraq - Where's the leadership?

Sometimes when it all seems to make no sense, I try to think why did a group of rich men who had more to gain by providing exclusively for those like themselves take such great efforts to draft an enduring document that reflected vision and wisdom for us all, then as it does now. We respectfully call them our Founding Fathers and it is OUR U.S. Constitution.

This was true selfless leadership. These men knew many would experience life's hardships and hopes. Their aim was to help make hope an achievable ideal in this country with honesty and hard work. This was mostly unheard of anywhere else in the world, especially at that time. They memorialized solutions to benefit the many, not simply the few.

Our citizens have enormous potential to unite behind visions like being the first to land on the moon or to make sacrifices when they're for the good of our country. I truly believe that.

Mike McMahon of the RIEDC, is one bright man who went out on a limb by sharing a nonpartisan message that Rhode Island is at an economic crossroads. Short-term thinking, cronyism, self-interest and special interests are not reflected in our U.S. Constitution.

The proposed state tax cuts on personal income would benefit principally those households earning $250,000+ annually. The current 9.9% rate is paid by those households earning over $326,000 AFTER adjustments. A temporary top rate of 7.5%, with proposed further reductions, is a 25% tax reduction. This is a $25,000 annual tax savings for the $1 million annual income household. This is on top of the 20%+ in wealth income tax savings at the federal level. Compare this to the proposed $50 savings for middle income households. Many of us know that much of our state income funds go to education and other social services. The funding shortfall created by these proposed cuts means higher property taxes for the middle class, who end up paying more than the supposed tax "savings". This is not leadership. It's a dishonest omission. It's passing the buck and stalling the inevitable fiscal debacle reminiscent of the savings and loan bailout.

Is there a correlation that the wealthy will leave the state or won't consider directing jobs here unless these taxes are cut or is it more an issue of quid pro quo to wealthy contributors who can afford to make $1,000+ donations to campaigns that pledge to make such cuts? Is this sounding anything remotely familiar to the multiple Bush tax cuts for America's millionaires while we're mired in War in Iraq? Ask most middle class folks whether their take home pay after expenses for fuel, groceries, housing, health care and TAXES is higher or lower now?

What's the emerging proposed answer? Close schools to save money. This will reduce the number of teachers and increase the number of students per class. Is this foresight? Which communities can expect to see school closures? I'm thinking this will not occur in more affluent areas where quality public education translates into higher property values.

There is no denying that our least able have a shared responsibility when they are physically capable to improve their lives. Conversely, the wealthy among us, while smaller in numbers also have a civic duty to our state. I think the middle class is already doing their fair share.

0 Comments:

Post a Comment

<< Home