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Jon Coupal

Legislative Session Ends, Taxpayers to Pay Even More as Usual Allies Vote for Tax Hikes

Jon Coupal is President of the Howard Jarvis Taxpayers Association

As the final day of the legislative session dawned last week, taxpayers were cautiously optimistic. After all, we had already stopped the most direct threats to Proposition 13. Those included Senate Constitutional Amendment 5, which would have weakened the rules regarding how some properties are valued for tax purposes and Assembly Constitutional Amendment 8, lowering the two thirds vote at the local level for taxes and bonds. Another success was notched by derailing an eleventh hour effort to make it much easier to raise property fees by broadly redefining sewer service to include storm water runoff programs. While seemingly arcane, this would have exposed California homeowners to billions of dollars in new property levies without direct approval.

As for more debt, taxpayers should be pleased that two multi-billion dollar bond packages, on parks and affordable housing, failed to clear the Legislature.

Now for the bad news. On the last day of session, our tax-and-spend legislature hit California consumers with a new tax on car batteries by passing AB 2153. This $1 tax on consumers will be paid at the point of sale, as will a $1 tax on manufacturers to be passed onto consumers. After 2022, the $1 tax on manufacturers is added to the consumer total increasing it to $2, and the tax is made permanent. While the revenue generated purports to deal with legitimate environmental issues regarding battery recycling facilities, thanks to AB 2153 receiving a two-thirds vote, the money can simply go into the General Fund and be used for any purpose.

Click here to read the entire column http://www.hjta.org/california-commentary/legislative-session-ends-taxpayers-to-pay-even-more-as-usual-allies-vote-for-tax-hikes/