Business
Cal. Supreme Court Could Strip Gov and Legislature of Power to Raise Taxes
On May 8, the California Supreme Court heard oral arguments on the Taxpayer Protection and Government Accountability Act, a measure that has already been approved for the November ballot. It calls for restricting the state Legislature and Governor’s ability to increase taxes without statewide voter approval. California business owners back the measure while Labor unions have rallied in opposition to it.
By California Black Media
On May 8, the California Supreme Court heard oral arguments on the Taxpayer Protection and Government Accountability Act, a measure that has already been approved for the November ballot. It calls for restricting the state Legislature and Governor’s ability to increase taxes without statewide voter approval.
California business owners back the measure while Labor unions have rallied in opposition to it.
Gov. Gavin Newsom and legislative Democrats have petitioned the Supreme Court to remove the proposal from the ballot since the California Constitution requires a constitutional convention to ratify the ballot with a two-thirds majority vote in the legislature.
Democrats and labor unions stated that the ballot measure could limit state and local funding thus crippling the state’s ability to produce new sources of revenue. A reduction in revenue may result in government programs and initiatives being underfunded,” they say.
Legislative Democrats also argued that the measure’s economic impact will make it harder to resolve the state’s budget deficit.
Business owners and company leaders advocating for the ballot measure stated that the tax initiative can help form new checks and balances on taxation and attract companies to invest in California creating more jobs.
President of the California Business Roundtable Rob Lapsley, a supporter of the tax initiative, said that people are fed up with the state’s high taxes.
“This gives the people of California the right to vote on future taxes, and voters are going to support it if it’s on the ballot,” Lapsley said.
Opposers of the tax initiative, mainly labor unions and state workers such as teachers, police officers, and firefighters, have aligned with Legislative Democrats to reject the tax law.
Executive director of Service Employees International Union California Tia Orr said the tax law was created to benefit wealthy corporations and deceive the average taxpayer.
“I want to make it clear that the ‘Taxpayer Deception Act’ let’s wealthy corporations, who can afford expensive campaigns, to block taxes on their industries while regular Californians, regular people, shoulder more of the cost of critical services,” Orr said.
The California Supreme Court is expected to make a ruling on the future of the initiative by June 27 this year.
