Monday, July 27, 2009

MAINTENANCE? HIGHER FEES? FURLOUGHS? IT'S A TAX

Whenever I teach American Politics (PS 101) at the university I cover economic policymaking and discuss the roll taxes play in building our society. One of the points that I make is that if there's no money in government coffers we either have to go without, borrow, or find new ways to pay for our quality of life. The Republican "tax cut / no new taxes" jihad has given me the perfect example to explain all three.

For example, when you drive down a road and hit a pothole that forces you into the repair shop that's a tax.

My students begin to understand how this works when I explain that every time we cut taxes, or refuse to raise them, that they see the result when their tuition fees are raised. This year, to help settle the state's budget shortfall, students in the California State University system will be paying 30% more in fees. This adds up to almost $1,700 in fees per quarter at CSU, Bakersfield. My friends, when you have to pay almost 30% more for state services that's a tax.

Many of our students will either have to borrow more money, cut back in other areas, or simply drop out.

My colleagues and I at the university have just been notified that, with the furlough plan implemented, we will lose a little over 10% of our salary this coming year. Call it what you want, but the furlough program represents a 10% tax on all affected Cal State employees.

There are various ways to pay for programs and necessary services that have helped to make our state and society the most effective and productive in the world. Imposing higher fees, mandated furloughs, and borrowing are several ways of paying the piper.

But make no mistake. It's a tax.

- Mark

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