Friday, May 22, 2009

Fight the Big Fight, CTA

You and I pay our taxes dutifully whether we have a good year or bad year, but California corporations only pay meaningful taxes (more than the minimal franchise tax) if they show a profit. And it only takes a few accounting tricks to erase a profit. Angry? Me, too. Now, let’s organize.

With estimates of this year’s budget deficit soaring to $24 Billion, state legislators are already shredding every bit of human decency and good government that is left in the state budget. California needs a fair tax policy and a new budget process. CTA is the organization that must lead the fight.

We can almost repeat like a mantra the things that are wrong with California’s political process: two-thirds budget requirement --  two-thirds local property tax approval requirement, Prop. 13, and no taxes on internet sales --  all wound up in an impossible constitution. The truth is that CTA can’t defend public education unless we fight for fair taxes and a fair budget process in California.

Of course, the anti-tax crowd is big and powerful. Beyond the Republicans in the legislature and the Howard Jarvis people who brought us Prop. 13, California corporations have been benefiting from our broken budget process and maligned tax policies for years, and won’t give up their legalized thievery willingly.  San Francisco Assessor Phil Ting wrote that the property tax contributions from corporations have declined steadily and dramatically since Prop. 13 was passed.   Meanwhile, the California Budget Project shows that both corporate income tax collections and the state sales tax collections have been steadily declining.

CTA might be the only statewide organization that has a strong enough core of local activists and staff in every community to take on these anti-taxers. With the strength of this grassroots base added to its powerful media and lobbying machine, CTA can move a political agenda like no other organization in the State -- if the fight strikes a chord with members.

The good news is that we have the moral high ground here. How can a state with so much accumulated wealth fail to provide quality education, health care, housing and transportation to all of its people? But we have to act fast to solidify our base of supportive legislators, then go on the attack and expose every indecent loophole and dysfunctional mandate in California’s budget process. One thing that is clear, there are a lot of outraged CTA members who are willing to fight this fight in their local communities. That is the most important asset we have.

Our state does not have to be broken. The fundamental fight on California’s tax policy is more important to teachers in California than any policy-wonk assessment-and-curriculum discussions being heard by any legislative committee.

For the sake or our schools, as well as our transportation systems, hospitals, senior care networks and the well being of our environment, the people of California need CTA to lead a fair tax and good government fight.

4 comments:

Jim Kelly said...

I agree the tax policy must change as CA is broke. Not fiscally but sytemically. I propose an initiative that taxes progressively six figure incomes. These folk dont pay the socil security regular folks pay. Regular fols cant afford $3 a gallon gas let alone more taxes. Sixer on the other hand they are double the medium income of California workers ($50K) whose disposable income is stretched to the limits.

I say "Nix the six until its fixed!" and mount a veto proof legislature so millionaires like Arnie and Co. wll have to defend themselves.
Finally the problem of teachers in san leandro is the same as nurses in San Leandro. If teacher dont stand up for the nurses and the dangers of losing our ER, how can we expect others to stand up for education? As the economy worsens we need to see common ground. if the city council can't see the reasoning of having low income housing with a Project Labor Agreement to protect local jobs then teachers and nurses dont get involved?Well they just divide us and pick us off one by one.

This town needs to get a labor movement that looks out for everyone's interest. That is what will win. unitd we stand Divide we beg.

Mike McMahon said...

I agree the the system is broken. It is not likely that the Deomcrats, Republicans and large interest groups like CTA will want to change a system that they control.

http://alamedans.com/?p=3539

Craig said...

Vey good article.I'm glad you teach at my sons school. There are two types of political systems according to some political scientists"candidate centered systems" like ours and "party centered systems" like for example many European countries. With a party centered system there is more of an emphasis on issues and mobilizing members not just at election time but around legislation something the Democrats don't do.
Progressive unions would do well to invest into party centered union activities like developing precinct networks. We became enfatuated with TV and the candidate centered system letting the precinct networks wither away.
Though political machines had their faults, they did play a major role in creating the opportunity for the New Deal. At the time people felt that the precinct networks were the major defence against the media (newspapers) who were usually aligned with business.Also a lot of jobs were at stake , something like 20 percent of the workforce worked for cities.
Anyway we give up a lot of power by not having precinct networks. The Democrats should put resources into this , they won't so it's up to unions. CTA is ideal for doing this since teachers are good communicators and have the summer off. My mother was a teacher and got giddy around June 1st.A commitment of just 2 hours a week could be a major step increating precinct networks if enough union members had the time.
Anyway, you have the whole state in your hands. Another important union who could be an ally is CNA who could help develop a health care dimension to a precinct network. I've approached CTA about this be before but now seems even more pressing a time to consider it.
Craig
cvwilliamsgo@aol.com

Craig said...

I worked for a Citizen Action organization which organized ans passed split role in Massachusetts. The group was called Mass. Fair Share. We had our own Prop. 13 it was called Prop. 2 1/2 . California is the only industrial state without split roll.
Part of the media strategy was what we called the "taxpayer hall of shame." We researched and made public information on the worst tax dodgers in the state. We can do that here and locally. The county clerks office online has information on what businesses and homeowners pay in taxes by street address. A nice homework assignment for teachers this summer could be to go through what local businesses are paying. Some older established companies are paying next to nothing.
In a more perfect state it might be possible to create fair property taxing. If a person on limited income owns a home worth $700,000 and is only paying $900 in property taxes and then then sells the house and passes on the $700,000 to their off spring, then something is wrong with the system.Property taxes are a simplified form of personal wealth and if someone can have significant wealth and avoid paying taxes on that wealth and then pass that wealth onto their children at the the community and society's expense then the system will produce the crisi we're currently in. What might make sense would be to create a flat rate for senior citizens but deduct what would be a fair rate when the sale of the home is completed , something like a a reverse mortgage loan that is due when the home is sold.That would be a much fairer system and would raise much more money.