Editing 76-08-B1 (section)

= Tax Limit =

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=== Transcript ===
A few weeks ago, I spoke about the Michigan tax limitation plan that was defeated by the voters on November 2nd. It had been based on the California plan which was defeated in 1973. Very simply, both plans called for recognition that all efforts up to now to control government spending have failed and that the answer lies in establishing what percentage of the total earnings of the people the government should be allowed to take in taxes. The Michigan proposal would have set that percentage at the present level, 8.3%.

The same groups opposed the plan in Michigan as in California and used the same methods -- namely, falsehoods and distortions. In both states the opponents were mainly those who have a personal stake in not limiting taxes because they live on tax dollars. And, the falsehoods were that state costs would be transferred to local government, causing an increase in property taxes. In Michigan and California, the measures specifically prohibited such a transfer. In California, we've just had a huge increase in property taxes, without the limitation.

The Michigan Education Association is ecstatically claiming credit for the defeat of the tax limitation plan. But, in their November 8 bulletin, they generously give credit to the other organizations who helped. They list 44 groups, 31 of which are organizations dependent on tax dollars for their existence. Among the others are groups who generally lobby for so-called social reform programs.

But, the Michigan Education Association has the right to take credit even though the Governor sent state employees on state time into the hustings to campaign against the limitation. The Association spent $20,000 on polls in September which revealed the people were in overwhelming support of a limit on state spending and taxing. This triggered the frightened 93,000-member teacher organization into putting $228,000 into the campaign.

The Executive Director of the Association, Herman Coleman says "There is no question that Proposal C was seen as a threat by our union members everywhere in the state." He also says, "The vote means M.E.A. has come of age as a significant political force in this state. We have the abilty to deliver." Incidentally, the second largest contributor was the American Federation of State, County and Municipal Employees. Coleman further explains that a fair, flexible tax system is essential to upgrade the teaching profession, including salaries.

A Democrat State Senator, who chairs the Senate Taxation Committee, sums up the teachers' interest by saying, "If the issue had passed, they wouldn't have their cookie jar anymore." The educators have a pending demand for a two percent increase in the state income tax plus the right of teachers to strike.

In the November 8 bulletin of Coleman's organization, there is a claim that they elected 75% of their endorsed candidates to the legislature. Their parent organization, the M.E.A. boasts that on November 2nd, they elected 83% of their candidates to the U.S. Congress. Mr. Coleman says, "We think we know how the game is played and how to succeed at it."

It is time for the taxpayers to learn how the game is played. With our employees lobbying for tax increases, we'd better realize that a percentage limit on taxes is our only hope.

This is Ronald Reagan.

Thanks for listening.
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=== Details ===
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<TR><TD WIDTH="150">Batch Number</TD><TD WIDTH="150">{{PAGENAME}}</TD></TR>
<TD>Production Date</TD><TD>12/22/[[Radio1976|1976]]</TD></TR>
<TD>Book/Page</TD><TD>[[Radio_Commentary_Books#Reagan.27s_Path_to_Victory|RPtV-98]]</TD></TR>
<TD>Audio</TD><TD></TD></TR>
<TD>Youtube?</TD><TD>No</TD></TR>
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===Added Notes===

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