PHOENIX, AZ - Voters across the Grand Canyon State will be asked to consider a temporary 1-cent per dollar increase in the state sales tax during a special election set for this May. The proposed increased from Governor Jan Brewer, which actually amounts to 18%, is a go thanks to the approval by state representatives on Thursday. After nearly a year of debate, the Arizona House voted 34-25 to refer the matter to the May 18th ballot.
With the Senate's approval on Tuesday (and related deficit-cutting measures), the collection of bills now move on to Brewer, who has sought a temporary tax increase since she became governor a year ago.
The legislation, known as Senate Concurrent Resolution 1001, proposes a three-year increase in the state sales tax -- totaling 6.6-cents on the dollar, beginning June 1, 2010. However, the estimated $940-million in increased tax revenue -- if approved by voters statewide -- will not be available until FY 2011. And next year's budget deficit is now projected at about $3-billion. Republican District 3 Representative Nancy McLain of Bullhead City is against the measure, but voted for its passage.
"Raising taxes in a recession is counterproductive," said McLain to her colleagues. "I feel forced into voting 'aye' on this bill."
As a sidenote, McLain will appear live on "Speak Out" starting at 1pm this Friday, during the second hour of the show. (heard on 97.1FM/980AM/kntram.com).
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