The trickle-down effect of Tim Eyman’s Initiative 1033 to state businesses, retail and real estate markets will make worse an economy that is the state’s worst since 1971.
I-1033 limits growth rates of government agencies’ general fund revenues to little more than revenue received in 2009. Our communities will always be working off 2009 revenue plus inflation (currently zero) and population growth.
Cities, towns and counties have already laid off substantial numbers of employees and are spending down rainy day funds to provide services the public needs and wants (road maintenance, public safety, education, recreation facilities, etc.). If these agencies are not already in the accounting “red” zone, they will be in the foreseeable future.
The amount of money each of us will receive in property tax rebates will be negligible in comparison to the services we will lose from our local communities. Many communities will be decimated for years to come.
Cities, towns counties and the state cannot continue to operate on current declining revenues. Additional employees, hundreds and perhaps thousands around the state, will be laid off.
Those people will not be spending money at their local businesses, causing them to lay off employees and possibly close their doors.
Let’s not follow in California’s footsteps to bankruptcy. Vote no on I-1033.
