Tag Archives: corporate welfare

AZ House: Left & Right Converge on Funding Issues (Sometimes) (video)

HB2492

A bipartisan vote stopped HB2492, a corporate welfare bill for Arizona’s largest, most successful employers.

Everyone keeps telling me “things are different this year” in the Arizona House of Representatives.

From my perspective, there are many possible reasons why things are different, but the three most obvious are: 1) Speaker of the House J.D. Mesnard has chosen to run the House efficiently and fairly; 2) 23 House members (including 13 Democrats and 10 Republicans) were elected for the first time in 2016; and 3) the Democratic Caucus is highly diverse, with half of the members being women, more than half Latino, and several Progressive.

The result has been some interesting votes on funding issues. On several spending votes, fiscally conservatives (who don’t like to spend money) and fiscally conservative Progressives (who don’t want to spend money on non-essentials until the schools are made whole) are voting together for different reasons. (This phenomenon is being reported at the Congressional level also— with both far-right Republicans and Progressive Democrats voicing extreme dislike for TrumpCare.)

As the Arizona House moves from hearing bills in committee and voting on the floor to debating and voting on the budget, it will be interesting to watch the Conservative/Progressive budget hawks.  A hint of things to come can be found in a recent article from the Capitol Times: Ducey determined to pass university bond plan lawmakers dislike.

As outlined in his address to the Arizona Legislature on Inauguration Day, Governor Doug Ducey wants to increase funding for building construction and repairs at the three universities by giving them back the tax they paid on the purchases they made. (The proposal is to refund their Transaction Privilege Tax or TPT– essentially sales tax.)

The universities would split the roughly $30 million per year proportionally and use those funds to pay interest on roughly $1 billion in bonds.

There are multiple reasons I don’t like this idea…

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Arizona Legislature: Tax Cuts R Us

Arizona House

Taking our first votes of the 53rd Legislature

This week in the Arizona Legislature is crossover week, which means bills passed by one house will be heard by the other. The House began hearing Senate bills on Monday and vice versa. In advance of crossover week come two weeks of cramming as many bills into the pipeline as possible.

Last week the House passed the 200-bills-passed threshold and had two late nights– 7 p.m. on Tuesday and 11:30 p.m. on Thursday (the deadline to hear House bills). If you want to hear some late-night speechifying, check out the debate on the Citizens Initiative— which the Republicans and the Chamber of Commerce want to kill and the Democrats defended. (When you go to the video, the agenda of the debate appears below, so you can scroll in to the sections you want to view.)

There have definitely been some themes so far in this session. Besides the push for fingerprinting citizens, the jabs at environmental protection, and the elimination of oversight and transparency by cutting all citizen review boards, the big theme has been giving away tax revenue (AKA, tax cuts, tax credits, tax subtraction, tuition waivers, economic development or trickle down economics).

Ironically, on many of these giveaway bills fiscally conservative Republicans (who don’t like spending money) and the fiscally conservative Progressives (who don’t want to give away tax revenue as long as the schools are underfunded) voted together. In the past two weeks, there have been maybe as many as 10 bills where some combination of Progressives and Conservatives voted against spending money that we don’t have.

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Legislative Whirlwind Begins: Tours & Meetings, Oh, My! (Part 1)

Arizona House

Newly elected members of the Arizona House, Dec. 2016.

Since Dec. 1, newly elected members of the Arizona House have received a whirlwind of invitations for meetings, trainings, luncheons, dinners, tours, coffees, workshops, receptions, BBQs, caucus meetings, briefings, orientations– and more. For half of December, I was out of Tucson — with multiple trips to Phoenix and a field trip to Yuma. On the street, supporters ask me when I start working. Even though the inauguration isn’t until next week, I have been working for weeks as your “representative-elect”.

Instead of publishing a lengthy article on “how I spent my Christmas vacation”, I’m breaking up my December tales into five parts: meetings (not as boring as it sounds), the ADEQ field trip to a defunct gas station, and three segments about the Yuma agricultural tour (92,000 cows, lettuce and birds, and migrant farm workers).

Here is the first installment in the five-part series.

New House Member Orientation

Most of the 23 new Republican and Democratic members of the Arizona House attended an orientation at the Capitol in the beginning of December. We comprise one of the largest (if not the largest) Freshmen classes, since several of us beat incumbents. (Maybe… just maybe… we could break the gridlock mold because we are such a big group.)

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Sustainable Econ Dev: $70 Mil for 2 Corps or $1 Mil Each for 70 Local Businesses? (video)

World View

Contractors have begun blading the desert at the World View site.

In the name of economic development, Rio Nuevo and Pima County are poised to dole out $70 million in corporate welfare to two big corporations– $50 million to Caterpillar and $20 million to World View.

Ironically, one day before the Rio Nuevo Board announced the multi-million-dollar Caterpillar package for Tucson, I posted this article on saying “no” to Wall Street debt and corporate welfare and “yes” to helping local small businesses and entrepreneurs thrive with low-cost loans.

Let’s think about this a moment. These two governmental entities are have voted to invest $70 million worth of taxpayer funds in two companies– one company is being lured away from other states to move here and the other is a Tucson company with big ideas and little cash. Is borrowing millions of dollars to give it away sustainable economic development?

According to data from the University of Arizona Eller College, Tucson has one of the highest per capita rates of new patents in the US. We also have new start-up tech companies being nurtured at the UA Tech Park. We have smart scientists + new ideas. Why aren’t we helping entrepreneurs and growing our own local businesses with low-cost loans via a public bank?

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