July 20, 2005
The Asylum
"Uh-oh, kids. He's whipped out the Washington State map... Better go put your fustian boots on quick!"
Sometimes, living in Washington State is a lot like having a first-class ticket on the Titanic. Sometimes.
Washington state has no income tax. Approximately 60% of state revenue is collected by a general sales tax or specific product sales taxes. Most of the rest (~30%) is covered by property taxes (reason #6,012 why I haven't bought yet). Special projects and expenses are usually covered by
1. loans of some sort
2. other specific taxes
In its most recent session, the state legislature passed a 9.5-cent gas tax increase (yes, "increase," as we already have a rather large gas tax), to come into effect step-by-step over the next few years. The gas tax increase has a noble purpose: state road construction projects. The biggest two projects by far, however, as critics note, are in the Puget Sound region:
1. replacement of the Alaskan Way Viaduct, Seattle's very own Highway to Hell: a 1950s-era double-decker state route 99 concrete monstrosity that glooms an otherwise pristine downtown and harborfront view of Elliott Bay; heavily damaged in the 2001 Nisqually earthquake and far beyond repair, Seattlites are only now beginning to believe the 2,000,000+ geological surveys predicting that the next MINOR quake will, at best, partially collapse the expressway (the only one through downtown, I should add) or, at worst, pancake it in a matter of seconds (cold comfort to the 100,000+ vehicles that use it daily).
2. replacement of the state route 520 bridge across Lake Washington, connecting Seattle to the Eastside (that is, "Eastern shore of Lake Washington"... think: Microsoft HQ, Bill Gates, Bellevue, and suburbs galore); as one of only two bridges connecting Seattle to the Eastside (the other being I-90), it's as heavily used (if not moreso) as the Alaskan Way Viaduct, though it isn't crumbling "as much."
Enter anti-tax mogul (Muggle?) Tim Eyman, one of the most (if not THE most) recognizable names in Washington state politics. He's championed the repeals, deaths, or restrictions of many of the state's property tax codes and gas taxes, and even championed the end to affirmative action programs in state government hiring and higher education. And, quite frankly, he's won as many battles (just look at the car tabs controversy, folks) as he's lost (slot machines, anyone?). A colorful figure, to say the least: admired by many, and loathed by just-as-many.
His latest, and arguably most popular measure to date, is the (voter-initiative) repeal of the 9.5-cent gas tax increase. It's an issue we all see when we fill our tanks (thank God I don't drive to work), and inspires a good deal of grassroots rage, particularly among the millions and millions of Washingtonians who don't take the Alaskan Way Viaduct or the 520 Bridge daily. On an individual level, I've heard spiteful mutterings from bitter non-Seattlites:
"Let those tax-and-spend liberals get crushed. It's what they get for building such a rickety structure."
"They [Seattlites] tax themselves to death, but can't replace one stinking highway. Poetic justice, if you ask me."
While this sort of venom may help some sleep better at night while paying more at the pump, I'm hoping that most of my fellow Washingtonians won't let gross blanket assumptions convict me to death-by-highway-pancaking.
When I brought this up at home a few weeks ago, I immediately took Zach's temperature, as he proudly announced he's also against the gas tax increase. He opposes it for many of the same reasons that I (in theory, but not in fact) oppose it. In theory, I oppose any sort of tax like the gas tax increase because, and this shocks the hell out of me, I find myself entirely opposed to Washington State's tax system.
No income tax?!?! Jesus, people: that doesn't even pass the Laugh Test. I've never seen people so anti-income tax, even in deeply-liberal Seattle. What ever happened to the progressive cause of a graduated state income tax? Washingtonian opposition to a state income tax is apparently widespread. King County Executive Ron Sims showed promise as a (Democratic) primary gubernatorial candidate, until he came out infavor of a graduated state income tax. The Political Grim Reaper practically had to escort him off the battlefield, handing victory over to State Attorney General Christine Gregoire (now our governor, and an adamant 9.5-cent gas tax increase supporter).
So, instead of raising money by a graduated state income tax, or even a flat state income tax, Washington raises revenue through a high sales tax (in which a household making $20,000 devotes 7.1% of its income to sales taxes, while a household of $130,000 forks over only 2.5%), a property tax system equally punishing (but 100-fold more complicated), and, for me (a Seattlitle), monorail and public transit taxes and a local sales tax. And, each time the state needs more revenue to (let's just say...) replace a double-decker highway before it collapses, Washingtonians profoundly reject any option of a state income tax in favor of a gas tax increase, sales tax increase, or property tax increase. Back to the Titanic, think of it this way: rather than grabbing a life preserver, I grabbed a crate full of silverware before jumping in, time and again.
When I typically bring up the idea of a state income tax (whether flat or graduated), I'm typically me with:
"Are you crazy?! Tax, tax, tax! That's all you want. Give government more money! I already have high sales, property, monorail, and gas taxes!!!"
I used to answer this in a polite, reserved, and civil manner. But, after hearing it for the 12,000th time, here's my reply:
"Dipsh*t. A state income tax could, if done properly, replace sales and gas taxes, and decrease property taxes."
Sure, we'd have another complicated set of forms to fill out every April, but you'd save at the pump, at the cash register, and probably at home, too. So, I oppose the gas tax increase because I want it, and the sales tax, replaced with a state income tax. But, since that won't happen (sorry, Ron Sims), and since no gas tax opponents have come up with another (reasonable) way to replace the crumbling Alaskan Way Viaduct, 520 Bridge, and other roads and bridges statewide, I guess, in practice, I'll vote FOR the gas tax increase issue, and side against Tim Eyman. I don't claim that a state income tax will solve all of Washington State's revenue woes overnight; but, it's a first step. Exploring the state's tax and revenue problems, I'm beginning to see the tax system as one of the root causes of the state's failing schools, crumbling infrastructure, and persistent economic woes. Reading up on the subject recently has made me wish I'd pursued economics in college; it's a fascinating subject that I wouldn't mind (someday) wrapping my brain around.
I see that the Pacific Northwest loves to abandon particular taxes at will (Oregon, for example, has no sales tax). But, we apparently also hate to make up for the lost revenue. You can't have your cake and eat it, too, folks. I've wanted to go up to gas-tax-increase opponents, shake them vigorously by the shoulders, and yell
"What? What do you want me to do instead? You oppose an income tax, property tax increase, sales tax increase, and now a GAS TAX increase?! What do we do instead? Let the next earthquake pancake the viaduct? Kill lots of people?! Is this what you want? You're not giving me any other options here!!!"
What do they want instead? These repairs, if postponed or abandoned, will cause deaths. Hearts stop beating. Where do they want the money to come from instead? Cut the already pathetic school funding? Abolish Sound Transit? Demolish the capitol building? What?!
My fellow Washingtonians, you've opposed all the other alternatives to the gas tax increase. So please, eat it at the pump, or wise up and reform your tax system. Then, the Titanic, while floundering, can at least still float - and this Seattlite can live to be taxed to death.
Posted by James at July 20, 2005 10:21 AM