More Transparency in Commerce Authority Tax Giveaway Deals Is Needed (video)

UA College of Medicine

Today’s video is about HB2409, small business investment tax credit extension. This is also known as the Angel Investor Tax Credit. In the big scheme of tax giveaways in the state of Arizona, this one is sort of small potatoes dollar wise, but I still have issues. It is an extension if $2.5 million per year tax credit for 10 years. The angel tax credits are for “qualified investors,” people who are licensed, trained, and smart enough to play the stock market and make otherwise risky investments wisely because of their expertise. [My layman’s definition.] 

I have attended several Bioscience Roadmap events where they showcase research and new discoveries from the universities that are … just …about… ready for market. What they need is venture capital to get the new drug discovery or the next medical device from our universities to production to market.

I am very familiar with this topic because ever since I started my own small business in 1986, I have been writing about or working in public health and medical research. In fact, the first Bioscience Roadmap event that I attended featured Dr. Gene Gerner, Dr. Tom Grogan and the story of how their research at the Arizona Cancer Center blossomed into huge NCI research grants, new drugs, and successful UA spinoff businesses. I knew them, wrote about their research, and photographed them when I worked in the communication office at the cancer center.

My point is that I value scientific research and believe that research jobs (and related jobs that come with big grants) are some of the best jobs in our state. One of the reasons that I don’t support the angel investment tax credit is that I found out that only 30% of the funds go to businesses that spinoff from our research universities. Also, there is a $10 million ceiling to qualify as a “small start-up business” (who is eligible to receive funds from angel investors). If your business has $9 million in assets, is it really as “small business start-up”? 

Continue reading More Transparency in Commerce Authority Tax Giveaway Deals Is Needed (video)

#AZLeg Should Add Coronavirus Prevention & Control to Budget (video)

hospital

The Coronavirus is spreading rapidly in some US states, including Arizona.

Let’s put this contagion into perspective. One man in New York has been linked to 28 cases of Coronavirus. Last week, we heard about Coronavirus in one senior living facility in the Seattle area; one week later, there are Coronavirus cases in nine senior living facilities in that area. When I recorded my video (below), there were three cases in Maricopa County. By the end of the day, there are six confirmed cases of Coronavirus in Arizona, including one in Pima County, and at least one Arizona Congressman has been exposed. Everything is moving fast.

Can the state of Arizona do more to protect the public? I think so. For the second year in a row, the state has extra funds to invest– $635 million in one-time funds and $300 million in ongoing funds. If you follow my video updates, you know that House Republicans have proposed 18 tax giveaway bills, which, if they all passed and were signed into law, could total more than $1 billion. [For the record, I am not criticizing the state’s response to the Coronavirus. I am suggesting that the state take a more active role in preventing the spread by investing in tactics to keep people healthy.]

For months, I have been saying instead of giving away taxes to big corporations, utility companies, and selected special interest groups, we should be investing it in programs to help the people of Arizona, like reducing Adverse Childhood Experiences, fully funding public education, and fixing our roads.

Enter the Coronavirus… here is something we should be budgeting for… now.

Continue reading #AZLeg Should Add Coronavirus Prevention & Control to Budget (video)

Is $1 Billion in New Tax Giveaways Too Much? (video)

AZ Tax Breaks

Crossover week– when hundreds of bad bills are pushed through both houses– is always difficult. In addition to four 12-hour days this past week, Democrats had the extra pressure of trying to stop the tax giveaway parade before it dances off the cliff with our state’s future.

I used to call these tax giveaways fiscally irresponsible, but with 18 tax breaks poised to pass the Arizona House and more coming our way from the Senate, we have crossed the line into insanity. Of the 18 tax giveaways, 11 have some cost estimate. Those 11 total close to $500,000 annually in new tax breaks starting next fiscal year; there are another 7 tax breaks with unknown costs. They’re not free; the Joint Legislative Budget Commission (JLBC) doesn’t know how to estimate their cost. You can read more detail about these bills these three articles herehere, and here. With so many unknowns, if they all pass, Arizona could be looking at $1 billion in new tax giveaways (AKA lost revenue) in next fiscal year or in the near future, since several of them automatically increase over time, and it takes a two-thirds majority to repeal any of them.

Continue reading Is $1 Billion in New Tax Giveaways Too Much? (video)

Arizona Is #50 in Adverse Childhood Experiences: #HB2013 Would Hurt Kids Further (video)

child's stove

Arizona is dead last — #50– for Adverse Childhood Experiences (ACEs). Arizona is not only shortchanging school children, our stingy policies hurt little children before they ever enter the classroom. ACEs include food insecurity; domestic violence; DCS removal; addiction, incarceration, or death of a parent;  or housing insecurity at any level– homelessness, eviction, foster care, etc.

Rep. John Filmore’s bill HB2013 would force teachers to hold back children if they are not performing at grade level– thus eliminating “social promotion” for students who are technically not at grade level. Rep. Jennifer Pawlik– herself a soft-spoken and kind special ed teacher– said that teachers have tools to help children who are progressing but may not be at grade level. Filmore’s bill ignores the expertise of teachers and ignores the fact that some children may need extra help because of Adverse Childhood Experiences.

Far too many Arizona children have the chips stacked against them before they are born and due to significant ACEs during their early years, they enter kindergarten with emotional trauma. At a meeting with Amphi School District educators and parents, I learned that 40-50% of Amphi elementary school children who enroll in school in the fall, don’t end the year in the same school. Why? Housing insecurity, eviction, domestic violence, death, poverty, foster care. With low wages and bad policies, we are forcing far too many families to live with hardship.

Holding a student back a grade is second only to death of a parent in childhood trauma. HB2013 just increases the likelihood that Arizona children will be continue to be worst in the nation for Adverse Childhood Experiences.

Continue reading Arizona Is #50 in Adverse Childhood Experiences: #HB2013 Would Hurt Kids Further (video)

#HB2388: Big Brother Meets Aunt Lydia (video)

With big data surveillance, church recruitment, government-funded, incomplete and biased medical information, and unregulated clinics providing “all wrap-around pregnancy, counseling and post-childbirth services”, HB2388 is Big Brother and Aunt Lydia’s love child.

Last week was draining– with multiple tax cuts in Ways and Means, fake pregnancy centers in Health and Human Services (HB2388), and passage of the Build Your Own Border Wall on the House floor on reconsideration. (Another Zombie Bill brought back from the dead).

I recorded the video (below) late in the day on Thursday after the end of a two-part, marathon health committee meeting with multiple ideological debates. I am proud to serve with Dr. Amish Shah, and Reps. Kelli Butler and Alma Hernandez. The four of us did a great job standing up for patient choice, reproductive rights, medically accurate and unbiased information, science, privacy and separation of church and state.

Continue reading #HB2388: Big Brother Meets Aunt Lydia (video)

No on HB2388 & Yes on HB2068: Someone Else’s Religion Should Not Dictate Your Healthcare (Video)

The Arizona Legislature’s Request to Speak (RTS) system should be on high alert for the House Health and Human Services Committee meeting on Thursday, Feb. 6.

We will be hearing Cathi Herrod’s funding bill for the fake pregnancy hotline bill (HB2388). This bill gives $1.5 million a year to the 211 information and referral line, but it has strings attached. The information provided will be tailored by the provider’s religious beliefs.

If this bill or the mirror bill (SB1328) passes, the free public 211 referral line would not be allowed to refer to anyone to any organization or clinic that provides abortions or to any provider that would offer other much-needed public health services like pap smears, pregnancy tests, birth control, HIV tests, and basic public health services… in addition to abortion.

These two bills are bad public health policy that force young women and their children into lives of poverty because of an unplanned pregnancy. They cost the state money because 52% of the lives births in Arizona are funded by AHCCCS, the state’s Medical program.

These two bills restrict your access to care based upon someone else’s deeply held religious beliefs. The government should not fund this. 

Continue reading No on HB2388 & Yes on HB2068: Someone Else’s Religion Should Not Dictate Your Healthcare (Video)

If Arizona Is ‘Pro-Life,’ Let’s Look Beyond the Womb (video)

If Arizona is truly a “pro life” state, it’s time to think big on maternal and child health rather than thinking small. Let’s go beyond the womb with our “pro-life” ideals and help Moms and their children lead healthier, safer lives.

I have met with more than 100 people and analyzed the data, the needs, the costs, and the gaps in services in maternal and child health in Arizona for more than a year.

The bottomline is that Arizona has stingy policies, cumbersome bureaucracy, and unnecessarily lengthy application procedures that cost money and lives and limit access to healthcare. I ran on this issue in 2015, and five years later, I am shocked at how right I was.

Did you know that Arizona is dead last– #50 — in Adverse Childhood Experiences (ACEs)? ACEs include food insecurity, housing insecurity, loss of parent(s) due to incarceration, death, addiction or abandonment and similar sad scenarios.

Did you know that only 6% of the people eligible for TANF (Temporary Assistance for Need Families) in Arizona actually get it? Not even all Arizonans living in extreme poverty get TANF.

Did you know that women, who are eligible for AHCCCS (Arizona’s Medicaid system), are coming to indigent clinics pregnant with no prenatal care, no insurance, and no money?

It is morally unacceptable and fiscally irresponsible to deny basic healthcare, food security, housing security, and a solid education Arizona’s children and their parents.

Continue reading If Arizona Is ‘Pro-Life,’ Let’s Look Beyond the Womb (video)

Tax Cuts R Us… #WhatCouldGoWrong (video)

revenue neutral

Instead of “Ditat Deus” (God Enriches), Arizona’s motto should be “Tax Cuts R Us.”

Today in the Ways and Means Committee, we heard three tax giveaway bills: HB229 (corporate welfare for utility companies); HB2355 and HB2356 (increases to the 25% charitable tax credit passed in 2019); and HB2358 (increases to the dependent tax credit).

HB2293 exempts the purchase of electric storage units from sales tax (AKA Transaction Privilege Tax or TPT) and from use tax. When I asked Rep. Tim Dunn, the sponsor of the bill, who benefits from this, he said the utility companies benefit from it, but consumers will see a financial benefit because their rates will go down. (Really? When has that ever happened?)

The industry lobbyist made many circular arguments trying to convince us that giving utilities a tax break was good for consumers. Currently, there are eight rate increase cases before the Arizona Corporation Commission (ACC), including rate increase requests from APS and other electric utilities. When I started talking about rate increases and the relationship to infrastructure investment by utility companies, Committee Chair Ben Toma said that I was off-topic. Dunn and the energy lobbyist were the ones that said giving APS, TEP and SRP a tax break was going to lower costs to consumers. I believe that I was totally on topic when I said that these things were likely to raise our rates in the long term, not lower them.

Continue reading Tax Cuts R Us… #WhatCouldGoWrong (video)

How Should Arizona Pay for Education? Tax the Rich? Or Tax the Poor? (video)

Red for Ed

“How can Arizona increase education funding?” has been an ongoing question since the Tea Party started hollowing out public education and doling out tax breaks ten years ago.

This week the Legislature is hearing a few education funding bills. The Senate Education Committee is hearing two bills related to education funding on Tuesday, January 28: SCR1002 (Brophy McGee) and SB1059 (S. Allen).

SCR1002 is a ballot referral to extend the Prop 301 “temporary” sales tax for education that was passed by voters during the Great Recession, make it permanent, and raise the sales tax from 0.6 cents on a dollar to 1 cent (on top of what you are paying in sales tax now).

SB1059 dictates how the new money from the ballot initiative should he spent. (There’s a lot of detail in there. Check it out.)

Obviously, we need more money for public education at all levels. My question about SCR1002 is: who should be paying more in taxes? Sales tax (AKA Transaction Privilege tax or TPT) is a tax on the poor. Continuously raising sales tax at multiple levels of government is also not “business friendly” because it artificially raises prices to consumers. When some Arizona cities and towns are bumping up against a 10% sales tax, is it smart to continue to raise sales tax to fund state government? Some cities and towns have rent taxes and sales taxes on food. Those really double down on the poor. With a 10% sales tax rate, people would pay $10 in sales tax on $100 of food. Sales tax is one of the more volatile income streams for our state because it depends on consumer purchasing. When consumers are strapped for cash, their purchases go down, and the states revenue goes down.

Continue reading How Should Arizona Pay for Education? Tax the Rich? Or Tax the Poor? (video)

SB1154: Is It a Good Idea to Move AZ Primary Date? (video)

Voter suppression and unnecessary tinkering with elections have been themes in the Legislature this session.

SB1154 was defeated last week but passed the House today on reconsideration. This bill changes the primary date from the end of August to the beginning of August.

At first blush, this doesn’t seem to be a very big deal. Having the primary at the end of August makes it very close to the general election. Having the primary at the beginning of August gives candidates more time to win the general election l, but it could artificially suppress the primary vote, in my opinion.

If the primary is at the beginning of August, mailed ballots will go out around the Fourth of July. What do Arizonans like to do in July? Leave town! Also, the vast majority of college students will not be in town to vote in July/early August.

We should be facilitating voting — not pass laws that will make it more difficult for some groups.

Continue reading SB1154: Is It a Good Idea to Move AZ Primary Date? (video)