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Governor visits Willcox
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| Gov. Jan Brewer addresses Willcox community leaders Friday at a luncheon sponsored by Willcox Regional Economic Development Alliance (WREDA), at the Community Center. From left, city Director of Public Works Dave Bonner, WREDA Manager of Economic Development and Agriculture Telly Stanger, Brewer, and Mayor Sam Lindsey. (Dave Brown/ARN) |
Brewer explains need for temporary one-percent sales tax increase
By Carol Broeder & Ainslee S. Wittig/Arizona Range News
During a luncheon in Willcox Friday, Gov. Jan Brewer said the Legislature has cut all it can from the state budget, but to overcome the $3 billion deficit a new revenue stream is needed.
Willcox was the second of three stops for Brewer, who also visited Benson and Graham County.
"We are facing the largest catastrophic economic crisis ever in the history of the state. It is something I didn't create, but it's something I am going to resolve," she said.
"It is virtually impossible to cut our way out of this crisis," said Brewer, explaining that the method of last resort is a "temporary sales tax."
Voters will be asked to decide on the state tax proposal, called Proposition 100, on Tuesday, May 18.
The one-percent sales-tax hike is needed to prevent further cuts to public safety and education, Brewer said.
If approved by voters, Arizona residents will pay another cent for every dollar spent. The one-percent increase would go into effect in June of this year, expiring June 2013.
For the tax increase to continue beyond that, "we would have to put it back into the (Arizona) Constitution," she said.
Brewer explained that since she took office, the state legislature has already cut more than $1 billion.
She said that she is a believer in tax reform, "which is important."
Brewer would like to see more incentive for owners who want to bring their businesses into the state.
"The Arizona tax system is a little cockeyed," Brewer allows.
"I'm all for tax reform and making it fair and competitive."
As for budget reform, Brewer said that upon taking office, she ordered every state agency to cut spending immediately.
If Arizona voters reject the sales tax increase, more cuts will take place, and a contingency budget is ready, she said.
"If this sales tax does not pass, we will then cut another $1 billion out of the budget," Brewer said.
"Last year we had stimulus dollars that helped cover the costs of education, but those are now gone," she said.
"We will have to make a two-thirds cut from education and a one-third cut from public safety," said Brewer.
Not having the sales tax "would harm us for eight to 10 years," explaining that it would take that long for Arizona's economy to recover.
"If we had to start addressing that and cutting, it would be departments of public safety and fire departments, " she said.
"Others have held the line to 2006 levels," said Brewer, adding that her goal is to keep all budget levels as they were in 2006.
"I've been an elected official for 28 years, and I have never voted for a tax increase," she said. "I wouldn't do it if I didn't think it was the right thing to do."
Brewer said that it's not about using scare tactics to get the measured passed on the ballot, but rather providing facts about the current economic condition of the state.
Whatever the voters decide on May 18, "I will abide by that," she said. "I trust the voters."
"Arizona is worse off (per capita) than any state in the country," even more so than California or Michigan, said Brewer, adding, "If we tell the truth - give them the facts, then they can do the math."
Saying that she was "here today to hear you," Brewer fielded a few questions and comments from some of the 35 luncheon participants - local officials as well as community leaders.
Executive Vice President of Operations, Frank van Straalen, with Eurofresh, a top Willcox-area employer, expressed concerns about the possibility of not having inmate labor if state prisons would be privatized.
"We have 400 inmates come to our facility every day," he said. "It's a very good program."
"Why would that change," Brewer replied. "Even if it is privatized, I would assume they would use the same system."
Nonetheless, Brewer asked her staff to make note and look into the matter.
Van Straalen then brought up the subject of Arizona's employer sanctions law, indicating that without the prison inmates, Eurofresh might be in need of more employees than are available.
"One way to get out of this (financial) situation the state is in is growth and that means getting employees. We are looking all the time for employees. We hope immigration reform comes for agriculture," he said.
"No employee has ever been penalized (for the employer sanctions law)," said Brewer, encouraging Van Straleen to contact his state legislators and "get them on it. We ought to be partners to make it easier to get employees by getting them through the red tape."
"I support owners who want to bring business to Arizona," she said. "And I will continue to do that as long as I'm there."
Director Kathy Smith, with the Willcox Chamber of Commerce and Agriculture, told Brewer that the closing of the San Simon rest area has helped Willcox.
"It's been good for us," Smith said, explaining that visitors have been stopping to have lunch at the visitors' center in Willcox instead.
"Sounds like you were given lemons and made lemonade," said Brewer.
In a press conference later with the Range News, Brewer was asked about her proposed cuts to the Vocation Education Block Grant, which puts Career and Technical Education classes in danger.
"Vocational Education is very high on my priority list," she said.
"I am all for them having the ability to use the talents God has given them for success" said Brewer, adding that is where "self-esteem is built."
"I plan to do everything I can to keep that program," she added. "I'm close to finding a way to keep those funds."
Brewer was also asked, "What do you say to people from a city like Willcox, which has a two-percent local tax (9.1 percent overall), to convince them that increasing sales tax statewide is a good idea?"
"This is not easy for anybody," said Brewer, adding that with cuts from public safety and education the "most vulnerable of our society will be hurt."
"We need jobs here," she said. "Jobs are what will turn us around. It's all about jobs and economic recovery."
(Editor's note: Wick Communications reporter Thelma Grimes contributed to this report.)
By Carol Broeder & Ainslee S. Wittig/Arizona Range News
During a luncheon in Willcox Friday, Gov. Jan Brewer said the Legislature has cut all it can from the state budget, but to overcome the $3 billion deficit a new revenue stream is needed.
Willcox was the second of three stops for Brewer, who also visited Benson and Graham County.
"We are facing the largest catastrophic economic crisis ever in the history of the state. It is something I didn't create, but it's something I am going to resolve," she said.
"It is virtually impossible to cut our way out of this crisis," said Brewer, explaining that the method of last resort is a "temporary sales tax."
Voters will be asked to decide on the state tax proposal, called Proposition 100, on Tuesday, May 18.
The one-percent sales-tax hike is needed to prevent further cuts to public safety and education, Brewer said.
If approved by voters, Arizona residents will pay another cent for every dollar spent. The one-percent increase would go into effect in June of this year, expiring June 2013.
For the tax increase to continue beyond that, "we would have to put it back into the (Arizona) Constitution," she said.
Brewer explained that since she took office, the state legislature has already cut more than $1 billion.
She said that she is a believer in tax reform, "which is important."
Brewer would like to see more incentive for owners who want to bring their businesses into the state.
"The Arizona tax system is a little cockeyed," Brewer allows.
"I'm all for tax reform and making it fair and competitive."
As for budget reform, Brewer said that upon taking office, she ordered every state agency to cut spending immediately.
If Arizona voters reject the sales tax increase, more cuts will take place, and a contingency budget is ready, she said.
"If this sales tax does not pass, we will then cut another $1 billion out of the budget," Brewer said.
"Last year we had stimulus dollars that helped cover the costs of education, but those are now gone," she said.
"We will have to make a two-thirds cut from education and a one-third cut from public safety," said Brewer.
Not having the sales tax "would harm us for eight to 10 years," explaining that it would take that long for Arizona's economy to recover.
"If we had to start addressing that and cutting, it would be departments of public safety and fire departments, " she said.
"Others have held the line to 2006 levels," said Brewer, adding that her goal is to keep all budget levels as they were in 2006.
"I've been an elected official for 28 years, and I have never voted for a tax increase," she said. "I wouldn't do it if I didn't think it was the right thing to do."
Brewer said that it's not about using scare tactics to get the measured passed on the ballot, but rather providing facts about the current economic condition of the state.
Whatever the voters decide on May 18, "I will abide by that," she said. "I trust the voters."
"Arizona is worse off (per capita) than any state in the country," even more so than California or Michigan, said Brewer, adding, "If we tell the truth - give them the facts, then they can do the math."
Saying that she was "here today to hear you," Brewer fielded a few questions and comments from some of the 35 luncheon participants - local officials as well as community leaders.
Executive Vice President of Operations, Frank van Straalen, with Eurofresh, a top Willcox-area employer, expressed concerns about the possibility of not having inmate labor if state prisons would be privatized.
"We have 400 inmates come to our facility every day," he said. "It's a very good program."
"Why would that change," Brewer replied. "Even if it is privatized, I would assume they would use the same system."
Nonetheless, Brewer asked her staff to make note and look into the matter.
Van Straalen then brought up the subject of Arizona's employer sanctions law, indicating that without the prison inmates, Eurofresh might be in need of more employees than are available.
"One way to get out of this (financial) situation the state is in is growth and that means getting employees. We are looking all the time for employees. We hope immigration reform comes for agriculture," he said.
"No employee has ever been penalized (for the employer sanctions law)," said Brewer, encouraging Van Straleen to contact his state legislators and "get them on it. We ought to be partners to make it easier to get employees by getting them through the red tape."
"I support owners who want to bring business to Arizona," she said. "And I will continue to do that as long as I'm there."
Director Kathy Smith, with the Willcox Chamber of Commerce and Agriculture, told Brewer that the closing of the San Simon rest area has helped Willcox.
"It's been good for us," Smith said, explaining that visitors have been stopping to have lunch at the visitors' center in Willcox instead.
"Sounds like you were given lemons and made lemonade," said Brewer.
In a press conference later with the Range News, Brewer was asked about her proposed cuts to the Vocation Education Block Grant, which puts Career and Technical Education classes in danger.
"Vocational Education is very high on my priority list," she said.
"I am all for them having the ability to use the talents God has given them for success" said Brewer, adding that is where "self-esteem is built."
"I plan to do everything I can to keep that program," she added. "I'm close to finding a way to keep those funds."
Brewer was also asked, "What do you say to people from a city like Willcox, which has a two-percent local tax (9.1 percent overall), to convince them that increasing sales tax statewide is a good idea?"
"This is not easy for anybody," said Brewer, adding that with cuts from public safety and education the "most vulnerable of our society will be hurt."
"We need jobs here," she said. "Jobs are what will turn us around. It's all about jobs and economic recovery."
(Editor's note: Wick Communications reporter Thelma Grimes contributed to this report.)
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