The service cuts that will be required as a result of SB 509 will devastate Missourians’ quality of life and ability to compete. Businesses rely on an educated workforce, but schools and university funding will fall short. Missourians and businesses expect safe, stable communities, but law enforcement, mental health, and social services will be left scrambling for budget crumbs. Last week’s downgrading of Kansas bonds is just the latest in a series of evidence that tax cuts weaken a state’s economy. Not only do they result in slashed public services, but tax cuts increase borrowing costs and raise severe economic uncertainties. Although supporters of SB 509’s tax scheme maintain that the so-called “trigger” would protect education and other services, the trigger is just a smokescreen. State revenue needs to grow by around $250 million each year just to keep up with current services. Moreover, because the trigger fails to account for already depleted services, recession-era cuts will become Missouri’s new normal. That will make it even harder for us to compete as other states invest in their infrastructure and education needs. SB 509’s triggers would have even allowed tax cuts to go into effect during the midst of the last recession. This legislation is irresponsible policy that will harm Missourians and result in larger class sizes, higher college tuition, and further deteriorating infrastructure and health and social services. Legislators who voted for SB 509 should be ashamed.
The state legislators who voted to override Governor Nixon's veto and pass SB 509 have won an important victory for the Missouri taxpayer and small business owners," explained Patrick Werner, State Director of Americans for Prosperity. This Tax cut is an important first step towards limited government and away from the tax and spend policies of the current administration and previous state legislatures. We hope this is the start of serious budget reform including constitutional limits on future state spending so we can free Missouri's economy.
Updated: 2014-05-06 04:02:00