KEJA -- BTS Raising The Bar

From KFTC's Balancing the Scales:

Kentucky Economic Justice Alliance calls on State Politicians to Enact Meaningful Tax Reform

Kentucky needs at least $1 billion in additional revenue, and perhaps as much as $1.8 billion, in order to move forward in key areas such as public education, higher education, health care, housing, environmental protection and justice.

This is the conclusion of a new report released by KFTC and the Kentucky Economic Justice Alliance in mid-December. Raising The Bar: Kentucky's Real Budget Report is an effort to inform and provoke public dialogue about the needs for greater investment in Kentucky's public services and future. The report describes the chronic under-funding of Kentucky's budget and its impact on the quality of life in our state.

"The budget is one regularly occurring process where ordinary people can shape the destiny of the state where we live," explained K.A. Owens, a KFTC member from Jefferson County. "It is important for people to feel that these issues are understandable. They are not too complicated to get involved in. The state budget matters to all of us in Kentucky."

As the Real Budget Report explains, a chronic lack of investment in Kentucky schools and public services has been worsened by the anti-tax, anti-government political climate that has dominated the state legislature in recent years.

"Kentuckians want good jobs, good schools, health care and a better future for their children," said Janet Tucker, KFTC's chairperson. "These are the kinds of investments people are willing to pay taxes for. We demonstrated that in Lexington when voters passed a referendum to better fund public transportation in the city."

"Unfortunately, we have a governor and 50 legislators who have signed a shameful pledge against new taxes," Tucker added. "This is an anti-people mentality. It is a way to ensure that our government is not and cannot be responsive to the needs of the people."

Madison County member Toby Wilcher added, "Kentuckians need to know that nearly 80 percent of our state General Fund goes to education, health and family services. You can't starve state government without starving public services that benefit everybody.

"I agree with the people who say that taxes are the dues we pay to participate in a civilized society," Wilcher continued. "For me, education and health care are of utmost importance to my family. I want to pay my fair share to support services that benefit our family and all Kentuckians."

The Real Budget Report concludes with a set of recommendations for raising additional revenue in ways that are fair and promote the health and well-being of Kentuckians. These include:

* Increase the cigarette tax
* Preserve Kentucky's estate tax, which affects the wealthiest 1 percent and will be phased out unless action is taken by the legislature.
* Adopt an earned income tax credit to benefit working poor families
* Create progressive tax brackets that ask more from those most able to pay
* Expand the sales tax to a limited number of services

The report will be sent to all legislators at the start of the 2006 General Assembly.

Read of some of the findings from Raising The Bar: Kentucky's Real Budget Report

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Speaker Statements from the KEJA Raising the Bar Teleconference

Raising the Bar Executive Summary

Raising The Bar PDF of Full Report

Raising The Bar Press Room

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