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Maine Children's Alliance Newsletter 10/05/04

NO on Palesky Tax Cap: The Wrong Solution for KIDS

On Nov. 2, Maine voters will be faced with the following ballot question: "Do you want to limit property taxes to 1 % of assessed value?" The question actually is asking voters: "Do you want jeopardize the health and well-being of Maine children?"

The Palesky Tax Cap is no more than a provocative elixir. But let the buyer beware. While property owners may enjoy a tax break, we will all witness the erosion of public services we depend on (police, fire, public works). Programs and services that have proven essential to the health of our youngest citizens, our children (education, health insurance, child care, mental health and family supports) will be diminished at best.

We must continue the conversation about appropriate tax reform. It is clear to everyone that solutions are needed. The Palesky Tax Cap is no solution. It will create larger problems by gutting municipals budgets and the services they provide. Would you listen to a contractor who claimed that removing several supports in your home's foundation at once would have no effect on the integrity of floors above? Or that it would not affect the safety of those living there? This will be the effect of the Palesky Tax Cap, as the proposal will only involve one part of the structure – municipal spending. It is a fallacy to assume this will not create overwhelming pressure on the state to step in to pay for the services that municipalities will be forced to abandon. You should ask yourself what that may mean for local control. And, you should ask yourself, where will that money come from when the state already faces a multi-million dollar budget deficit in the next budget? Most likely, we will experience increases in other taxes and slashing of state programs essential to the health of our children.

Children don't vote. We adults have the responsibility to vote with consideration for their well-being and their futures. The Palesky Tax Cap will simply put the lives of too many vulnerable Maine children at risk. Over the past decade, Maine has done well to prioritize the needs of children – we have provided tens of thousands of Maine children a healthy start through increased access to quality child care; we have expanded access to health insurance through MaineCare. We will not be able to maintain these services if the Palesky proposal passes.

It's been estimated that the Palesky Tax Cap will result in the loss more than $675 million a year to the revenues of Maine communities – a 30 percent reduction statewide and up to 60% in larger cities. Several studies show the tax cap will result in massive cuts to local school budgets – in Bangor, for example, a 23.6 percent cut in the school budget; in Augusta, cuts due to the tax cap are expected to cause the closing of three schools and the loss of 137 positions in the school department; and South Portland would lose one-fourth of its school budget.

Why should we allow Maine to be forced to dispose of its children's future? That's not the way life should be. But that's the life in store for Maine if the Palesky Tax Cap is approved. We cannot forget that the people most seriously affected by all these percentages and revenue cuts are our children. As we approach the referendum on Nov. 2, let's not forget that the question is really about our children's future.

You can get more information on the campaign at their website: www.citizensunitedformaine.com

Elinor Goldberg, Executive Director
Maine Children's Alliance




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