The TRUTH about TABOR
Importing Colorado’s Proven Failure Would Not Address Florida’s Needs
The Florida State Legislature is in the process of considering a measure that known as the “Taxpayers Bill of Rights,” referred to as TABOR. This measure would amend the Florida State Constitution limiting the growth of state and local revenues and expenditures in an irresponsible way. The proposal is based on a Colorado policy that is a proven failure that could have potentially negative consequences for Florida’s citizens and communities.
The Definition of TABOR
TABOR is a revenue limit that includes the following three elements:
It is a constitutional amendment,
It restricts revenue growth at both the state and local levels to formula based on population and inflation plus one-percent,
It requires a large super-majority override from state and local legislative and governing bodies, and
It requires voter approval for new tax or fee increases.
TABOR IS A PROVEN FAILURE
≠ Colorado is the only state in the nation to have imposed a spending limit formula. In 2005, Colorado voters, led by a broad-based, bi-partisan coalition of business leaders, teachers, seniors, healthcare providers, and firefighters, recognized that TABOR was having an insidious impact on Colorado’s budget. Colorado voted to suspend TABOR as a way to emerge from the state’s prolonged budget crisis.
≠ TABOR spending limits forced Colorado to consistently under-fund key public services. For example, K-12 education spending per pupil fell by more than $300 from 1992 to 2000. Teacher pay dropped way below the national average. Higher Education receives just 11% of annual general fund appropriations compared to 19% in 1992. Infrastructure investments were delayed, leading to dangerous deterioration of their roads and bridges.
MODIFICATIONS WOULD NOT FIX THE PROBLEMS WITH COLORADO’S TABOR
Proponents acknowledge that Colorado’s TABOR is flawed but claim that recent fixes will cure Colorado’s mistakes. However, the current proposals fail to fix the fundamental problems of TABOR and are prescriptions for disaster for Florida:
≠ The state and local budgets would be subject to a flawed mathematical formula that does not reflect the costs of providing the services that government actually provides, like health care, education and transportation, or the costs of serving the growing population government actually serves, like children, the elderly and people with disabilities.
≠ TABOR will cause a constant deterioration in public services in Florida year after year, leaving key programs underfunded and force cuts in good and bad economic times. Florida already ranks near the bottom among states on a number of key public services, and cannot afford further declines in public services which Floridians depend.
≠ TABOR does not allow Florida to position its communities and workforce for success. Instead, it becomes an obstacle to economic development as infrastructures deteriorate, fewer resources are available for workforce training, and health care costs soar.
≠ The state would have less ability to respond to revenue downturns or mandates. The Legislature and local governments would be subject to strict limits, and difficult override provisions.
TABOR IS THE WRONG SOLUTION FOR FLORIDA
≠ Florida doesn’t need TABOR. Florida’s constitution requires a balanced budget and already limits revenue in a way that allows for revenue to grow at the pace of the economy. The proposed formula would impose costly cuts to key programs.
≠ In a time when the economy is in a downturn and families and communities are in need of relief, TABOR is another obstacle towards making ends meet and creating opportunities.
≠ TABOR does not ensure a more efficient, effective or accountable government. Instead, it places government on auto-pilot and makes our elected leaders powerless. It sets unrealistic limits on the state and prevents investment in strengthening our infrastructure, preparing our children for the future through a first-rate education system, and providing accessible, affordable health care.
FLORIDIANS DEMAND SOLUTIONS, NOT GIMMICKS