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Income Tax Is Good For States

by Carl Ballard — Monday, 3/4/13, 7:47 pm

OK, that’s bit more than the data actually say. But Goldy has a piece on a study of economic growth in the last decade.

According to a new report from the Institute on Taxation and Economic Policy (ITEP), the economies of the nine states without a personal income tax (Washington included) have actually underperformed both the economies of the nine states with the highest income tax rates, and the 41 income tax states as a whole. Over the past decade real per capita GDP growth was only 5.2 percent in the non-income-tax states, compared 8.2 percent in the nine highest taxed states. Real median household income also fell further in the non-income-tax states, while unemployments were largely uniform across all three groups.

Washington actually did better than average on both per capita GDP and median income growth (while slightly worse on unemployment), but given the aggregate performance of the non-income-tax states it is impossible to argue that our lack of an income tax had anything to do with it. Unless you’re an idiot. Or a liar.

So yeah, 50 quite different states over a relatively short period of time is hardly the last word on what types of taxes make the most sense. But it certainly puts the lie to the notion that we’re getting ahead as a state because of our tax structure. If anything, it’s holding us back.

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Open Thread 3/4

by Carl Ballard — Monday, 3/4/13, 8:02 am

– Happy Women’s History Month.

– I’m not as opposed to the bike tax as a lot of people who ride bikes, but Rep. Ed Orcutt, um, doesn’t make a good case for it.

– Who could have guessed that conservative justices would be making things up?

– If hell exists, Dick Cheney’s spot is next to Walter Jones.

– (a) Gwen Moore is awesome. (b) Suzan DelBene looks less than happy to be in the frame.

– And if history is bound to repeat itself, the NFL will soon have its first openly gay player(s). When that happens, the supposed locker room and media distractions will be revealed as having been a myth.

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Is it Kick Ass?

by Carl Ballard — Friday, 3/1/13, 8:05 pm

Even though I’m a curmudgeonly urban dweller who doesn’t want kids, I’m glad the city put in a playground in Westlake Park.

The year-round play area will include a soft, rubber-like surfacing and a Geode by Goric. This large, netted spherical structure and a collection of large domes will be surrounded by a fence with bench seating in some areas. The design and elements involved were selected specifically with sightlines and function in mind, as the structures do not obstruct views to the retail spaces and through the park. The Geode is designed to be used by children up to 12 years old.

As long time readers of this blog know, when the Fun Forest left Goldy agitated for it to be replaced with a kick ass playground. And while Seattle got the Chihuly museum, well, the reasons to support more playgrounds and more amenities for children are generally true. Making the city more accommodating to all sorts of people, not just those of us who are young and childless, is a worthwhile goal.

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Rodney Tom’s Bad Idea Train

by Carl Ballard — Friday, 3/1/13, 8:02 am

In the wake of the supreme court ruling that a majority is needed for a tax increase like the state constitution says, Rodney Tom has decided to huff and puff about it and maybe change the rules.

Senate Majority Leader Rodney Tom, the Democrat who abandoned his caucus to lead a Republican majority, has issued a statement explaining his plot to make an end-run around today’s state supreme court decision. That ruling found a two-thirds voting requirement is unconstitutional. But Senator Tom says never mind: tweaking parliamentary rules could mandate a nearly-impossible-to-attain two-thirds majority for any tax increases.

I’m not sure how you change the rules in the middle of the session. I assume he can if he’s proposing it, and it’s just a bad idea instead of an empty threat. But if he’s as sure as he seems to be about the caucus he’s leading, I don’t see why the 2/3 rule would be necessary.

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Open Thread 2/28

by Carl Ballard — Thursday, 2/28/13, 8:03 am

– Rodney Tom Hates Teachers

– I haven’t written anything about the sequester, but it’s going to have an impact.

– All that has made the borders, and the sharp disparities between states, more important and complex than ever for gay couples, and for interstate tourism as well. The marriage license office in Clark County, Wash., across the Columbia River from Portland, Ore., had to increase its hours to serve border couples when Washington’s new law took effect.

– So if I understand Scalia’s jurisprudence correctly, the 14th Amendment (which says nothing about race) applies only to racial discrimination (that affects white people) (unless a Republican has a presidential election to win), while the 15th Amendment (which explicitly forbids racial discrimination in voting and empowers Congress to enforce the provision) should not be construed as allowing Congress to prevent racial discrimination in voting, because this would be a “racial entitlement.”

– Congrats to Tom Tomorrow.

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Punt or Decide?

by Carl Ballard — Wednesday, 2/27/13, 7:11 pm

The State Supreme Court is planning on ruling in the 2/3 majority case.

SEATTLE – The Washington Supreme Court plans to issue a ruling Thursday on a lawsuit challenging the two-thirds majority required for the Legislature to pass a tax increase.

[…]

The Supreme Court agreed to expedite its consideration of the two-thirds majority rule, which came about because of a series of citizen initiatives. Voters most recently approved the supermajority rule last November.

The Washington Constitution requires a simple majority of the Legislature to approve most laws, but the supermajority, or two-thirds vote, has been the law for tax increases thanks mostly to measures successfully pushed by initiative activist Tim Eyman.

I’m no lawyer, but it seems pretty unconstitutional on its face. You can’t bind future legislatures with the initiative process (except up to 3 years for laws that are constitutional). That takes an amendment to the state constitution. Cut and dried.

Still, our state supreme court has heard these sorts of cases in the past and figured out ways to punt. Hopefully they’ve run out of ways to kick the can down the road, and can actually rule on the case. I don’t know how much practical difference it makes with one house of the legislature in the GOP’s hands and Inslee opposing most tax increases in the campaign.

I’ll be at work when the ruling comes down, so I thought I’d put something up now.

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Another Thing I Won’t Miss For Not Having a Subscription

by Carl Ballard — Wednesday, 2/27/13, 8:04 am

Sometimes The Seattle Times has great, important, relevant stories that put a new light on something in the Northwest that otherwise wouldn’t be covered. And I’m going to miss some of those when I don’t read their website behind its paywall. But sometimes they just do hack pieces that they claim are important stories. More and more it’s looking like the Rob Holland piece falls on the hack side.

Except that’s not what happened and that’s not what the report found. Martin did not use Holland’s credit card to purchase anything, and the report Heffter cites actually found this particular allegation to be “unsubstantiated” (PDF, page 25). Martin has repeatedly asked Heffter and Kreamer to issue a correction, and they have repeatedly refused.

“At the end of the day, all you have is your reputation,” Martin told me. And he desperately wants his reputation cleared. The Seattle Times has yet to respond to a request for comment.

[…]

But also, reading their emails to Martin, both Heffter and Kreamer just come off as incredibly confused. “There is a receipt and additional official documentation showing you as the purchaser of camera equipment for the Port, with Commissioner Holland’s Port credit card being used,” Kreamer writes to Martin in a February 25 email, totally ignoring the fact that this so-called “receipt” proves nothing of the kind. “The Port report you cite says the third-party use of the card (by you) was not found to be unauthorized, but we never wrote that it was,” Kreamer continues. “The items purchased were indeed for Port use, the audit found.”

When the Seattle Times goes out of their way to point out stories like this one are vital to the region, so we need to support them, well, you’d think they would at least work harder to get the story right.

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Open Thread 2/26

by Carl Ballard — Tuesday, 2/26/13, 8:02 am

– No, I’m sure we can freeway our way out of any problems we have.

– Awesome endorsement, WCV.

– I’m sorry, Carl Ludwig Sherburne, but you’re wrong. You’re among the most disgusting and horrible things on the internet, and a woman posting her baby photos doesn’t even come close.

– If you take people’s guns away, they’ll just use a rock or something.

– Oh Iran, women can wear clothing without sleeves and it’s fine.

– Chris Hayes won’t go to CPAC.

– The BS approach will solve any problems.

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At A Certain Point, They Aren’t A Public Good

by Carl Ballard — Monday, 2/25/13, 7:32 pm

The Seattle Times is a private entity, and they have a right to run their business however they want. But The Seattle Times also wants, and gets, special treatment because of their value to the community. Sure, they didn’t always live up to their ideals, but who does? Maybe it was excusable when it was just the nepotism of having an editor who maybe can’t write a decent sentence in English because he was the Publisher’s son. Maybe it was excusable when The Seattle Times went after Darcy Burner with lies. Maybe even when they ran their free ad for their preferred candidates and ballot positions, they deserved a pass because they were providing news that you couldn’t get anywhere else.

But when The Seattle Times makes a decision that they’ll deny access to their website to most potential readers it seems like they’ve abandoned the idea of keeping the public informed generally. When they reduce access to their web page, well they’re providing less of a public good, so it may be time to reconsider their B & O tax exemption.

Now don’t get me wrong: I don’t think newspapers should have that 40% exemption in the first place. But as more and more papers move to the paywall model, I’d like the legislature to strip the exemption from papers that hide their content behind a paywall. It’s probably too late to do that in this session (unless there’s a special session) but it’s one more place for our cash strapped state to look once newspapers stop providing a public good.

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Open Thread 2/25

by Carl Ballard — Monday, 2/25/13, 8:01 am

– That, unfortunately, is what a lapdog press corps looks like.

– In an effort to continue their slide to irrelevance, The Seattle Times will go to a pay wall light model in mid March. I’ll have a longer piece about it this evening, but people are talking about it already, so I thought I’d link to it in the open thread.

– I don’t know what’s worse, McCain trying to put a woman who lost her son in a shooting in her place, or the crowd cheering.

– One take on this map is that Washington rides the bus a lot. The other take is, I guess, that our buses are full of desperate people.

– Bees sense flower’s electric fields. (h/t)

– I realize that most people don’t care, but I really like this Kim Baxter song.

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Throw the Dog a Bone

by Carl Ballard — Friday, 2/22/13, 4:51 pm

I’m not thrilled with Publicola’s “Isn’t It Weird That…” segment as a segment. I’d prefer they do straight reporting rather than shoehorn some (often supposed) hypocrisy into a post that doesn’t need it. But the actual reporting in this piece is worthwhile.

No statewide tax measure can pass without Seattle’s support, yet the proposal state house transportation director Judy Clibborn announced yesterday included zero dollars for the new 520 bridge (whose west side remains unfunded) and zero dollars for the new Alaskan Way tunnel (whose estimated revenue from tolls has been slashed from $400 million to just $165 million)?

It’s disgraceful that we’re having this conversation while even the barest discussion of raising revenue for education or social services is verboten, but it is the conversation we’re having. And I want to support this, I do. A car tab would probably be the most progressive piece of taxation in the state, the backlog is real, and the need to invest in our infrastructure is real.

But the need is real in Seattle too. At a certain point, Seattle isn’t going to be a piggy bank for the rest of the state unless they throw us a bone every once in a while.

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Or Inslee Could Pardon People

by Carl Ballard — Thursday, 2/21/13, 8:18 pm

A bill to let people apply to clear their records of a nonviolent, misdemeanor marijuana offenses has passed the House Public Safety Committee.

As expected, Washington State’s House Committee on Public Safety voted this morning to approve House Bill 1661, moving it towards a full House vote. The bill would allow those convicted of a cannabis possession misdemeanor – up to 40 grams for those 18 and older – to have it removed from their record. The committee voted 6-5 in favor of the bill.

The primary sponsor of the measure, Rep. Fitzgibbon, says the chances are “really good” that it will pass the House. Newly elected Governor Jay Inslee hasn’t stated his position on the bill, but it would be unlikely for him to veto such legislation. Its fate in the Republican-controlled Senate is less than certain, but its passage isn’t an impossibility, especially considering that the measure has several Republican sponsors.

Sounds like a good idea in the wake of our passing I-502. It was illegal then, but it was also unjust. Since the people of Washington recognized that, it’s time to fix the problem for people who got caught up in the system before it got fixed.

So if you’d like to contact your legislators, you can find them here. If you want to ask the members of the Senate Law and Justice Committee to pass this, you can find them here. Something tells me that Pam Roach* will be tough to get but you can at least try with her and the rest of the GOP members.

If Inslee isn’t sure you can contact his office here. Or, I guess you could just ask him to pardon those people. It’s probably better for the bill to pass because it sets up a system, but if it doesn’t pass, that would be better than nothing.

[Read more…]

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Open Thread 2/21

by Carl Ballard — Thursday, 2/21/13, 8:03 am

– I’m a metacommentary aficionado, and this piece on David Brooks is one of the best.

– Seriously, fuck the Yellow Pages.

– Tacoma’s libraries are now lending a hand to help the food banks get back on solid ground. Librarians wanted to hold a food drive, but figured they would get more goods by forgiving overdue fines in exchange for food donations.

– Seattle is going to start taking Chicago’s bikers and the jobs that come with them.

– It’s somehow comforting to know that Washington isn’t the only state with Godawful legislators.

– Taking lefty radio off the air in Seattle and replacing it with sports talk in an already saturated sports talk market isn’t working. Switch back to lefty talk. Although this time, maybe get some local people.

– Good to know the GOP are opposed to authoritarianism.

– I enjoy biking in the snow, but I’m glad we didn’t get a chance to West of the Cascades.

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Good Enough for God

by Carl Ballard — Wednesday, 2/20/13, 7:06 pm

I’ve already had my piece on Pam Roach’s state workers can’t lie bill. I haven’t been following it, and I have no idea if it’s going anywhere. But the Daily O gives her the quote of the day when discussing it.

“It’s good enough for God. He gave us a commandment that said, ‘Thou shalt not bear false witness.'”

-Sen. Pam Roach, R-Auburn, arguing for her bill that calls for discipline against state employees deemed to have lied.

I, for one, can’t wait for the no coveting by state employees law next. And for that matter why only apply it to state employees if you think you’re doing God’s work? Why not have a Deuteronomy 23:19 law and outlaw interest?

“You shall not charge interest to your countrymen: interest on money, food, or anything that may be loaned at interest.

I mean that might be kind of tough for Pam Roach who just today voted (with I think all the R’s and several D’s, but that’s just a quick tally in my head since the website doesn’t break it down by party) to make it easier for payday lenders. As Senator Nelson explains in a press release:

In 2009, we passed payday lending reform. It put safeguards on a predatory lending product, allowing borrowers to make reasonable payments and not end up buried in high-interest loans.

But the payday industry is back, marketing this new consumer installment loan as having a ‘36 percent interest rate.’ In reality these loans include massive fees and penalties that take the rate as high as 220 percent. As a former banker, I’m confident that if a money lender can’t make a profit at 45 percent interest, as allowed in existing law, they have a failed business model.

As a legislator, I am shocked that a majority of my colleagues in the Senate voted to sidestep effective protections for Washington families and instead put high-interest lenders back in charge of people’s lives.

You know, like God intended.

Look, I don’t think the Bible, or any other holy text, is a particularly good guide for legislating. We’re a secular democracy. To say nothing of what version to use, or what interpretation? But if Pam Roach thinks her lashing out at state workers is God’s work instead of the business of a diverse group of people who swore an oath to two inherently secular documents (the US and state constitutions) then we can judge her by her own standards on the rest of her actions in the legislature.

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Gas Tax

by Carl Ballard — Wednesday, 2/20/13, 8:05 am

The House Democrats are working on a gas tax plan:

The proposal, from House Transportation Committee Chairman Judy Clibborn, will divide the money between new projects and maintenance and eventually raise the state’s gas tax by a total of 10 cents.

Gov. Jay Inslee, who has said he wants a transportation package that would both build new projects and fix some of its crumbling infrastructure, refused to endorse it Tuesday, saying only that it is “a good start on that discussion.”

The gas tax should be raised from time to time. And dedicating a portion of the increase to maintenance makes sense. Still, we refuse even to close the loopholes on taxes on private jets owners or out of state banks to help the most vulnerable in society, let alone real tax reform. I find it difficult in that situation to get behind a tax to serve only people who can afford a car.

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