Saturday, September 15, 2012

Reader Response #1 (Op-Ed article)


This article Prop 30 Cheat Sheet: Jerry Brown's Tax Measure” introduces proposition 30, a constitutional amendment known as the Schools & Local Public Safety Protection Act.  This Act would raise the personal income tax on individuals for the next seven years also raise the state sales tax by a quarter cent for the next four years. The new revenues would be used to help stabilize the state budget and to fund schools, predicted with an additional $6.6 billion for education. But if voters reject the Act, a series of reductions "trigger cuts" would go into effect, schools and community colleges would take a hit of nearly $5.4 billion along with many other departments.

Individuals making more than $250,000 per year for the next seven years would see a raise in personal income tax rates by as much as 3 percent; however individuals making less than $250,000 and couples making less than $500,000 a year will see no increase. State sales tax would be raised by as much as much as a quarter cent for the next four years, but both tax increases are only temporary with the passing of Proposition 30. An increase in new revenues would automatically result in education funding with the money from the new taxes being placed in a special account and divided up between K-12 and a percent going to community colleges. If Prop 30 is rejected by voters new spending reductions “trigger cuts” will go into effect with schools and community colleges by causing budget cuts of up to $5.4 billion. Prop 30 just doesn’t affect schools but certain public safety programs like the incarceration of some adult prisoners, supervision of parolees, and substance abuse treatment.

If it passes, the state would see an increase of billions of dollars to help cover education and balance the budget but if not passed, it would face a serious shortage and begin making a series of trigger cuts to government programs to reduce overall spending. Prop 30 would ensure that payments for education and government would continue annually. However Legislatures can take existing money from schools and use it for other purposes, replacing it with money from Prop 30, resulting in no new money for education.  So prop 30 is basically an act that keeps the schools funds at one level, not necessarily giving more money to the schools.

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