Monday, February 02, 2009

Why a True Republican Can't Vote for Beebe's Cigarette Tax

Governor Beebee's Cigarette Tax is approximately a $100 million tax increase.

This tax increase will take about $200.00 out of the income of some 22% to 25% of the adults in Arkansas (22% to25% of the adult population smoke) that could be spent in the private sector on other merchandise.

The capital from the taxes on cigarettes will be taken out of the private sector and run through government programs [which always tend to be more costly], increasing government control and government employees.

The tax money will be taken from families who are already hard pressed financially and used to expand welfare type programs (redistribution of wealth).

Many of these programs will be expanding the amount of money paid to illegal aliens through health care since the health programs are designed for people with low incomes. It is evident from reports that the Arkansas Health Department doesn't even keep records indicating how many illegals they serve. They say they don't even ask for documentation. See this link for that information. http://www.nwanews.com/adg/National/201842/

The programs that will be funded by the cigarette tax (trauma center and 20 other health-related programs) will grow the needs of government and health programs.

Since health care is in the fastest cost rising sector of all, the initial cost of the programs will increase drastically from year to year and will require more taxes to maintain the programs. And no program is ever cut or reduced and no waste is ever cut.

The Governor made the reduction of the $30 million grocery tax reduction a priority saying it has to be taken care of first before the state can ever look at the kind of taxes in the state. But from the same pool of money (from consumers) he is now going to tax the people $100 million. So $30 million could help stimulate the economy; but now $70 million will be taken out of the economy, blunting any stimulus the grocery tax reduction could provide.

The state of Arkansas consistently over- taxes the people and consistently winds up with surpluses which they then spend where they want to rather than giving it back to the taxpayers. The state is now sitting on a $300 million surplus. They could use $100 million of this money for the initial start up fund and increase the budget in those departments, that they are expanding with this proposed cigarette tax, for the coming year and not have to raise any new taxes. They would still have $200 million surplus.

No one knows where the money will actually be spent. Proponents say it is for the trauma center and 20 other health related programs. But the bill itself (http://www.arkleg.state.ar.us/assembly/2009/R/Bills/HB1204.pdf) doesn't name any of these programs but only says the money will go into the general fund. The money can be switched around from one department to another without Arkansans ever knowing it. The federal government is now pushing the use of federal funds for "family planning," a euphemism for contraceptives and abortion.

Since the federal government will be providing matching funds for the states, this Arkansas tax could very well be used to fund abortion counseling and abortions in the near future (see this link for the article explaining how this will likely happen - http://www.wpaag.org/Leg%2009%20-%20Cigarette%20tax%20will%20it%20fund%20abortions.htm ).

(Information presented by Representative Ed Garner in his debate with Rep Greg Reep, sponsor of the Governor's cigarette tax, with Steve Barnes helped me formulate these points (although I added some points and did not include all of his points). Representative Garner did an excellent job in that debate and made many conservatives and Republicans proud! The link to that debate is found at this link: http://www.aetn.org:80/programs/legislativeupdate/archives/posts/january_30,_2009

This article can be read online at this link: http://www.wpaag.org/Leg%2009%20-%20Why%20true%20Rep%20can't%20vote%20for%20cigarette%20tax.htm

3 Comments:

Anonymous Anonymous said...

Beebe's cigarette tax passed yesterday by 75 votes, exactly the number of votes it needed. I counted 3 Rs who voted for it: Ragland, Green & Sample, but there may have been 1 or 2 more. Are these folks true Republicans? Several Dems voted No.
Government continues to grow and grow just like kudzu and it can't be stopped without a revolution of some sort. From 2000-2006 (with an R Gov), Arkansas had the 9th highest increase in per capita state and local expenditures. This rate of spending, which is faster than Arkansas taxpayers are earning it, cannot be sustained for much longer. The only redeeming things are Revenue Stabilization and that the Senate passed a 1-cent reduction in the grocery tax.

8:01 AM, February 06, 2009  
Anonymous Anonymous said...

Repubs Dale, Pyle & Summers also voted "Y" on the Beebe Trauma Center(s).

8:25 AM, February 06, 2009  
Anonymous Anonymous said...

Ragland, Green & Sample are committee chairmen, and Pyle is a committee vice chair, appointed by the Speaker, which may explain their "Y" votes on the tax. Dale & Summers are freshmen, so I don't know what was their motivation in voting "Y". I would think Summers will pay the highest price for his vote, being from Benton County. He may end up being a one-termer.

8:44 AM, February 07, 2009  

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