State Tax Update Archive
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Volume 7, Issue 17

Arkansas Governor Announces "Tax Me More Fund"
Gov. Mike Huckabee (R) encouraged frustrated tax-and-spenders to contribute to the voluntary "Tax Me More Fund" if they feel as though they are not paying enough in taxes already. The fund is administered by the state's Dept. of Finance and Administration. All funds contributed will flow into state revenue coffers, and the names of contributors will be a matter of public record. "There's nothing in the law that prohibits those who believe they aren't paying enough in taxes from writing a check to the state of Arkansas," said Gov. Huckabee. "Maybe this will make them feel better" (Press Release issued by Office of the Governor, 11/29). Address contributions to Tax Me More Fund, P.O. Box 8054, Little Rock, AR 72203.

Indiana Governor Announces Tax Increases
Governor Frank O'Bannon (D) announced 11/16 that he will support a 50 cent tax increase per pack of cigarettes and raising the gaming tax as part of his "Balanced Budget Plan." In his address to the state of Indiana, Gov. O'Bannon also suggested cutting state spending by 7%, but blamed the terrorist attacks of 9/11 for state economic woes that were exacerbated by expansive new spending in previous years.

Maryland Governor Discusses Delaying Tax Cut
Gov. Parris Glendening (D) said 11/27 that he believed Maryland residents would support delaying the final 2% reduction of the 10% income tax cut approved in 1997. Gov. Glendening said he had not made up his mind whether to pursue the matter, and that he would meet with state House and Senate leaders. "I get a sense that a consensus is developing for delaying the tax cut," said House Speaker Casper Taylor (D-1C). Senate President Thomas Mike Miller, Jr. (D-27) disagreed, saying that the tax cut would act as an economic stimulus and that the tax cut was a promise to taxpayers he intended to keep. "My personal preference is, I would like to see the tax cut put into place," said Miller. The last phase of the tax reduction will save taxpayers an estimated $170 million for the rest of FY01 and all of FH02 combined (Washington Times, 11/27/01).

Minnesota Taxpayer Activist Fights $1 Billion in Taxes
Over half of the excess levies on the November 6 ballot failed, largely the result of state activist Linda Runbeck and the Taxpayers League of Minnesota's "Stop the Tax Grab" campaign. During the last legislative session, Governor Jesse Ventura (I) and state House Republicans proposed taking state general education funding off local property taxes and making education a matter of state funding instead. Local school districts and governments then tried to steal the resulting tax cut with local property tax increases. Ms. Runbeck, President of the Taxpayers League of Minnesota, won back over half of the proposed excess levies.

Pennsylvania Rural Town Elects 18-year Old Mayor
Jeffrey Dunkel was elected mayor of Mount Carbon, PA, on November 6, after getting involved in local politics as a senior at Pottsville Area High School. Dunkel, a Democrat, ran unopposed in response to the challenge that he could do a better job than his predecessor, John Furphy. "When I started asking questions, they told me I'm only 18, and there's a lot involved in local government, and if I think I can do a better job, then I should run for office," said Dunkel, who received 43 out of 100 possible votes in the small rural borough (Associated Press, 11/8).

South Dakota Governor Will Not Seek Tax Increases
A spokesman for Gov. William Janklow (R) said 11/24 that the Governor will not endorse any new tax or increase to existing taxes. Instead, the Governor will propose using accumulated reserve funds and small internal government cuts to balance the projected $44 million deficit. "Governor Janklow realizes that nobody wants higher taxes," said Gov. Janklow's press secretary Bob Mercer. "In recommending the budget, the Governor is protecting the $122 million in property tax relief" (Argus Leader, 11/25).

Washington State Union Fined for Misuse of Funds
Thurston County Superior Court Judge Gary Tabor clarified 11/15 that the Washington state Education Association (WEA) must refund $47 to each of 4,000 teachers who have paid "agency fees" as a condition of employment but who were unwilling to be members of the union. Judge Tabor also required the union to document election-affecting contributions and expenditures and to provide an advance reduction to non-members.

Update: 44 states saw revenue coffers decline from August-October, 2001. 28 states passed budget cuts or had cuts on the table for consideration, according to the National Conference of State Legislatures' report released 11/1/01.