WaLeg Day 102: Eyman asks Inslee to save us from Senate Republicans
OLYMPIA -- In what may be the most unusual alignment of political bedfellows of the session, anti-tax initiative maven Tim Eyman told supporters they may need Gov. Jay Inslee to save the state from a massive tax increase proposed by Senate Republicans.
Since April Fool's Day was 22 days ago, this might need some 'splaining.
Eyman is joining the chorus of critics of a plan from members of the predominantly Republican Senate Majority Coalition Caucus to change the way property taxes are collected and distributed for some school costs, like teacher salaries. They are proposing what is generally short-handed as a "levy swap" in which the state levy on property taxes would go up while the school district on property taxes would go down, and the extra money coming into the state coffers would go back out to the schools to pay salaries, which the state Supreme Court has said is a cost of basic education and thus a constitutional responsibility of the state.
Yeah, that's pretty dense and your eyes are starting to glaze over. But stay with us here and we'll get to the politically interesting part.
Senate Republicans unveiled their plan last week describing it as "revenue neutral", which is legislative speak for it doesn't cost more money. But there's a caveat. It's net neutral statewide. Taxes in some districts would go up, in some districts they'd go down. Senate Democrats, who have a different plan to handle this court mandate, crunched some numbers and said about 60 percent of residents would pay more in this swap, so for them, it's a tax increase.
Definitely a tax increase, Eyman declared sent in a fund-raising missive to "our thousands of supporters" that also doubles as a fund-raiser. He also pointed out that when Inslee was running for governor in 2012, he was definitely opposed to such a levy swap, which was being proposed by his Republican opponent, then-Attorney General Rob McKenna.
"Will Governor Inslee come riding to the rescue when it comes to the Senate Republicans' bill, which does exactly what he ridiculed?" Eyman asked "Inslee despised it as a candidate, will he stop it as governor? Can we count on him to protect us from this massive property tax?"
Apparently yes, although maybe without a trusty steed to carry him to the damsel in distress.
At a press conference today, Inslee called it a "very significant tax increase" in some parts of the state. And in those districts, he said, pulling out his best trump card: "It would raise taxes on widows and World War II veterans because you want to protect millionaires." He prefers the Senate Democrats' plan for a capital gains tax of investment earnings above $250,000, but was quick to say that wasn't out of jealousy of millionaires, who "ought to be hailed as heroes", but because it was more fair.
Eyman, not surprisingly, does not go along with Inslee on that score. He's against any tax increase, which he thinks Democrats will try to foist on the state by other means. Which, he says making the pivot, is why the state needs a constitutional amendment to require two-thirds super majorities in the Legislature for any tax increase. Raising money for his latest plan to enact such a restriction was the closing appeal of the e-mail.