State Democrat Legislators attempted to expand sales tax to services in the House Appropriations Committee on August 17, 2009, but hardly anyone in the public seems to know about it since most of the media didn’t even mention it.  The democrat proposed amendment even includes taxing educational services including public university tuition.  In fact, the only services excluded from the sales tax expansion are mortuary/funeral services and computer, business management, trade and technical schools.  After much debate, all the democrat legislators in the House Appropriations Committee voted for the expansion of sales tax to services and none of the republican legislators voted for it, thus defeating the amendment.

I’m amazed that the Arizona Republic, whose reporter was present at the Appropriations meeting, published a large article about the appropriations hearing, but never mentioned once that the democrat legislators wanted to expand sales tax to services.

I recently watched a re-run of the Saturday Night Live spoof where Steve Martin and his character wife are reading a pamphlet entitled “Don’t buy stuff you can’t afford.” The couple are so used to being in debt that this simple concept completely eludes them. The comedy is hilarious because unfortunately it’s true. Just like individuals, the government has gone on a spending spree. National debt has reached $11.5 trillion and is expanding by $1 trillion every year. Even if paid off today, each citizen (including kids) would have to chip in $38,000. Similarly our state is over $3 billion short and we just learned that our state has spent $100 million more than last year at this same time. This insanity has got to stop. I believe there are some people in government addicted to OPM (Other People’s Money). They don’t understand that the dollars the government is spending is your money, not theirs. I’m one of your state legislators who believe we need to live within our means and stop spending more than we have coming in. The concept is simple, but just like the spoof on Saturday Night Live not all people seem to get it.

U.S. Senator John McCain’s Town Hall is Tuesday August 25th  at 11am

Located at Grace Bible Church on 99th Ave. north of Union Hills in Sun City.

U.S. Congressman Trent Frank’s Town Hall is Tuesday August 25th starting at 5pm.

Located at Community Church of Joy at the NW corner of 75th Ave. and Loop 101.

Hope to see you there!

I’ve had a demanding, but rewarding first legislative session. I’ve introduced and co-sponsored important legislation, I’ve voted for and against other legislation, I’ve worked to help balance our state budget, and I’ve met and helped many constituents that live in our great community. I serve as Vice Chairman of the Ways and Means Committee and serve on the Public Employee Retirement Committee and the Ethics Committee.

One of the most important duties this year has been balancing our state budget. The legislature balanced the 2009 budget in January and then, in June, balanced the 2010 budget twice-both times without a tax increase. We continue to work with the Governor to reach a compromise budget that she will sign. On July 31st House and Senate leadership reached a budget agreement with the Governor that was approved by the House, and as of July 31st was one vote short in the Senate. We will resume negotiations this week.

One of my next goals is to form a task force comprised of republican and democrat legislators, citizens, and state employees to work on a way to limit state welfare and health assistance to only those people who really need help and to only legal U.S. citizens. If you have suggestions or know of specific violations, please contact me at: 602-926-5413 or DLesko@azleg.gov I certainly could use your help.

I also want to continue to meet and update people throughout our legislative district.
If you’d like me to attend your event or come down to the Capitol to meet with me or get a tour, please contact me. Again, my number is 602-926-5413, my email is DLesko@azleg.gov and my website is: www.DebbieLesko.com

I really enjoy my job. At times it’s very challenging, but it sure is rewarding. I want to thank all of you again for giving me this opportunity. Working together I truly believe we can make a difference!

By State Representative Debbie Lesko
August 2, 2009

The legislature passed a balanced budget without a tax increase twice. Once on June 4th, then again on June 30th.

The June 4th budget bill was not transmitted to the Governor because she said she would veto it, so the legislature changed portions of the bill at the Governor’s request and passed another balanced budget without a tax increase on June 30th. The Governor vetoed it because it did not include the sales tax increase she requested.

It has become abundantly clear that the Governor will veto any budget bill without a referral to the ballot of a sales tax increase, something most Republicans, including myself, oppose.

On July 29th-31st Republican leadership struck a deal with the Governor. It is a deal that will be tax revenue neutral after approximately 4 years and then become a tax cut.

DETAILS OF THE LATEST BUDGET PROPOSAL:

In exchange for asking the voters if they want to increase sales taxes by 1 cent in year one and year two and ½ cent in year three, the following will take place:

1. Permanent property tax cuts of $250 million/year whether the voters approve the sales tax increase or not.
2. Permanent individual income tax cuts of $200 million/year starting in 2011, whether the voters approve the sales tax increase or not. The percentage cut will be the same over all income brackets.
3. Permanent corporate income tax cuts of $200 million/year starting in 2011, whether the voters approve the sales tax increase or not.
4. Cap state spending at the 2009 budget level ($10.2 Billion) for 3 years.
5. Ask the voters if they will temporarily suspend Proposition 105 for 3 years, so that some “auto-pilot” increases in state spending approved by prior voter propositions can be suspended temporarily.
6. Make permanent state spending cuts of $580 million, in addition to the roughly $500 million in permanent spending cuts made in January for the 2009 budget.

This budget plan was passed out of the House on July 31st and is one vote short in the Senate as of July 31st.

A vast majority of Republicans do not want to ask the voters to increase sales taxes. It is against what we believe in. However, since the Governor has made it abundantly clear that she will veto ANY budget without asking the voters for a sales tax increase, the choice was accept this deal, settle for a worse deal later, or let the state run out of money so that schools and everything else suffers. We’ll be back to work again next week.

On June 4th and then again on June 30th, the Arizona State Senate and House of Representatives passed a balanced budget that makes positive steps to solve the state’s current and future budget problems without implementing a tax increase that may further hurt an already fragile economy.

One of the key differences between the June 4th and June 30th approved budgets, the Governor’s proposal, and the democrat’s proposal is a tax increase. (Please click on the link to the left entitled, Budget Explanation, for more details.) The plan approved by republican legislators on June 4th and June 30th does not include a tax increase. The Governor’s proposal includes a $1 Billion/year sales tax increase and a $164 Million property tax increase for 2010. The democrat’s proposal includes $1.2 Billion/year increase in sales tax and a $1 Billion/year property tax increase.

Another key difference in the proposed budget plans is the amount of spending cuts. Since 2004, the state has increased spending by $3.7 billion. Our state is now $3 billion short. The more we reduce spending now, the easier it will be to balance the budget in the future. Without making cuts, economic models show that the gap between spending and revenue will just continue to increase each and every year through at least 2012.

The budget passed by the republican legislators on June 4th and June 30th cuts spending by $631 Million in 2010. In comparison, the Governor’s proposed plan cuts $278 Million and the democrat’s plan cuts $78 Million.

In the June 4th plan; no major agency was cut more than 3.3% as a percentage of their total funds. As an example, Kindergarten-12th grade education was cut by 2.2% of their total funds. Although difficult, these modest cuts will allow school districts to rehire many of the teachers they had let go.

I hope that I have at least shed some light on what is happening down here at the legislature. I know some of you will not agree with me on every issue, but I am confident that we agree on many more issues than we disagree on. I truly believe that we can solve this problem if we continue to work together.

On Friday May 29th, 2009 the Governor signed a bill, called Lexie’s law that, in my opinion, is a win-win situation for all. If you read Friday’s AZ Republic editorial column, they seem to agree.

This bill, which will become law August 27th gives parents the opportunity to place their special needs or foster-care children in schools that are best for their child and doesn’t cost the state and taxpayers any extra money.  In fact it will save the state money, thus freeing up limited funds for public education or other purposes.  I was honored to vote for and speak in favor of this bill on the floor of the House of Representatives.

Here are the reasons I support this bill:

1.    This bill provides a great opportunity for parents to place their special needs or foster-care child in a school that best serves their child’s educational needs.  I am Vice Chairman of the Ways and Means Committee.  We listened to testimony in committee on this bill.  Andrea Weck testified that the public schools were not meeting her daughter Lexie’s educational needs and that her daughter was now flourishing in a private school funded by the scholarship program.  It is an opportunity that she could not otherwise afford.  We heard testimony that foster children are often moved from school to school with changing foster parents and that this bill will give them the opportunity to attend one school.

2.    This bill will save the state money since the private school scholarship is capped at 90% of what would have been spent for that same child in a public school.  That’s a saving to the state of 10%.

3.    This bill will relieve the public schools of the cost of educating hundreds of special education children that will instead attend private schools. The public schools have complained for years that special education funding is not enough and they have to pull money away from other sources to supplement the special education costs.

I believe our goal should be to provide the best education possible to each child.  If a private school can provide a better education at a lower cost to the state and taxpayers, why wouldn’t we want to do that for our children?

Opponents, including the public school teachers’ union (AZ Education Association) and the democrat legislators who are often politically supported and funded by the teachers’ union, tell parents that the public schools will receive less money since they get paid per child.  While that is technically accurate, they fail to add that the child will no longer be in the public school, thus the school no longer has that expense.

If our goal is truly about providing the best education, and not just about growing public schools and protecting jobs for public school employees, I think most will agree that this legislation is truly a win-win for all.

The endless amount of federal government bail-outs and unprecedented levels of debt have got to stop. President Obama has spent over $1 Trillion in just 100 days and plans to double the national debt in just 5 years. Even China, who is now America’s largest creditor, is starting to say no more. To give some perspective, this would be equivalent to the typical Arizona family which makes $47,000/year spending $72,000/year and cutting $2/year (the mathematical equivalent of what Obama says he will cut spending by), and put the remaining $24,998/year on a revolving credit card.  We wouldn’t do that in our homes and the government shouldn’t do it using OUR money either.

Concerns about the future of our state and nation and the belief that I can make a difference are the reasons I ran for office to be your State Representative. Now, more than ever, I am deeply concerned about our nation’s future and strongly believe that Americans need to unite to fight for the America that our founding fathers gave us and that our military so bravely defends. If you are concerned too, please contact me at DLesko@azleg.gov or 602-926-5413 so we can join forces to work together.

I believe the very soul of our nation is at risk. We are a nation founded on the principles of individual freedoms, market competition, and a nation where any hard-working person can achieve his or her dreams.

But in just a few months, we have turned into a nation whose government owns and controls auto industries, has taken over control of banks, fires and hires executives, and hands out endless amounts of bail out money, in the form of our tax dollars, to individuals and businesses that probably didn’t act responsibly to begin with.

Our President and democrat-controlled congress have increased spending by over $1 Trillion in just 100 days and have plans that will double our national debt in just 5 years. Even China, which is now America’s largest creditor, wonders if it should lend us more money.

Now our President and democratic congress members want to expand national healthcare to everyone even though Medicare, just founded in 1965, will run out of trust funds in only 9 years. How are we going to afford that if we can’t even afford what the government runs now?

On top of that, Obama recently expanded a program that will make it easier for homeowners who owe far more than their houses are worth to sell them at a loss, costing taxpayers billions more on top of the billions we’ve already spent.

We simply can’t continue to grow government more than we can afford. That is why I will do my part at the state level to balance our state budget and decrease regulations that stifle individuals and businesses. That is why I want to work with you to influence actions at the national level. Let’s work together before it is too late.

Being your state legislator is both challenging and rewarding. Many of my days are filled with people asking me not to cut the part of the state budget that affects them. Each one has a valid argument and many of their stories are heart wrenching. Unfortunately, our state is severely short of money. We are another $500 million short for the fiscal year ending June 30, 2009 and $3 Billion short in FY2010. Even more concerning is that our deficit is projected to increase each and every year if we don’t do something to get our state spending in line with projected revenues.

One of my jobs is to figure out what to do. Experts from every sector of our population have been asked to give their input. Almost all agree that there will have to be spending cuts. Some say we should increase taxes. Others say we should borrow money and others say we should do some of each.

Some problems and answers are clearer than others and every legislator has their own items that they feel are important.

One item important to me is helping our elderly. Over the last few days I have received phone calls and letters from our elderly fearful that some of their in-home services may be cut and that they will have to move into a nursing home, which will cost the state even more money. This sure doesn’t make any sense. I am investigating the issue and will do whatever I can to help.

Another item important to me is education. At this point, K-12 education looks like it will fair well compared to other areas because of the federal money. Many of the fired teachers will probably be re-hired after the schools receive their final budget numbers. All the republican legislators, including myself, voted for legislation that would have prevented many teachers from being fired, just to be re-hired. Unfortunately, the teacher’s union fought against the legislation and almost every democrat legislator voted against the bill and the 2/3 vote needed for an emergency clause did not pass.

Please know that all legislators, both republicans and democrats, are working hard to resolve this problem. We have a huge challenge with very few options. One of the reasons I ran for office was to help people and to make a difference. I know we can do it if we work together.