Tax and Spending Limits Archive
Results per page: 50 | 100
Results by year: 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | 2006
-
Policy Basics: State Supermajority Rules to Raise Revenues
April 22, 2013
Legislatures in most states (34 states plus the District of Columbia) can approve tax bills with a simple majority vote in each house, the same margin required for practically every other bill. In the other 16 states, some or all tax bills require a supermajority vote of each house (plus the … -
Policy Basics: Taxpayer Bill of Rights (TABOR)
Updated February 15, 2013
A Taxpayer Bill of Rights or TABOR is a constitutional measure that limits the annual growth in state and local revenues to the sum of the inflation rate and the percentage change in the state’s population. (For example, if the general inflation rate is 2 percent and the state’s … -
Four Big Threats to State Finances Could Undermine Future U.S. Prosperity
February 14, 2013
Without adequate revenues, states and localities cannot continue providing public services like education, health care, and infrastructure that lay the groundwork for a prosperous future. But state revenue systems face four serious challenges. The most severe recession in seven decades blasted holes in state budgets from … -
ALEC Tax and Budget Proposals Would Slash Public Services and Jeopardize Economic Growth
February 12, 2013
Governors and legislatures in numerous states are considering, or have recently enacted, sweeping tax and budget proposals that follow recommendations of the American Legislative Exchange Council (ALEC), with potentially adverse consequences for middle- and lower-income families, individuals, and communities across the country. These policies … -
Statement of Nicholas Johnson, Vice President for State Fiscal Policy, on Defeat of “TABOR” Amendment in Florida
Updated November 7, 2012
Florida voters yesterday resoundingly rejected the crippling and arbitrary spending limit known as TABOR, showing once again that such limits remain unpopular around the country. Anti-government groups have made serious efforts to enact TABORs through both ballot measures and legislation … -
Florida’s “Amendment 4” Would Cause Tax Rate Increases and Deep Local Service Cuts, Likely Harming the State’s Economy
September 25, 2012
Amendment 4, which appears on the ballot in Florida in November, would lock a deeply flawed set of property tax changes into the state’s constitution, leading to tax increases for large numbers of Florida residents, a competitive disadvantage for new and emerging businesses, and significant cuts in local services — while producing … -
Amendment 4 Would Cost Florida Jobs, Raise Taxes on Year-Round Residents, and Force Cuts in Public Services
September 25, 2012
Amendment 4 would cost the state jobs and lead to both tax increases for large numbers of Florida residents and cuts in local services such as police and fire protection, according to a new report from the Center on Budget and Policy Priorities. The measure, on the Florida ballot in November, also would put new and emerging businesses at a competitive … -
Amendment 3 Would Undermine Florida’s Schools and Universities, Health Care, and Roads
September 13, 2012
Amendment 3 will hinder Florida’s efforts to strengthen its economy if voters adopt it, according to a new report from the Center on Budget and Policy Priorities. The measure, which the Florida Legislature placed on the ballot for this November, would impose rigid limits on state spending, forcing cuts to education, roads and highways, health care and … -
Florida’s Amendment 3 Would Cut Funds for Schools, Health Care, Roads, and Other Services
September 13, 2012
Funding for Florida schools, universities, roads and bridges, health programs for children and the elderly, public transit, and a wide range of other public services will fall significantly if voters enact Amendment 3 on Florida’s November statewide ballot. This constitutional amendment would severely limit the amount of state … -
PAYGO: Improving State Budget Discipline While Retaining Flexibility
September 22, 2011
States can help policymakers and the public understand the consequences of budget decisions and properly weigh the long-term impact of alternative proposals by adopting important budget management tools that also promote fiscal responsibility. The cornerstone of these tools is "pay-as-you-go" (PAYGO), a requirement that the … -
An Arizona “TABOR” Would Endanger Education, Public Safety, and Infrastructure
April 19, 2011
The Arizona legislature is considering a new, very rigid limit on state spending. The limit would closely resemble a Colorado limitation known as the Taxpayer Bill of Rights or TABOR. An Arizona TABOR would make it very difficult for future Arizona legislatures and governors to meet the state’s obligations in … -
Florida “TABOR” Proposal SJR 958 Would Endanger Education, Public Safety, and Infrastructure
Updated February 22, 2011
The Florida legislature is considering a TABOR proposal, SJR 958, to limit the growth in state revenues by the combined rate of inflation and population growth. The measure would: Immediately and over the long term raise Florida’s cost of borrowing to invest in infrastructure, costing the state potentially tens of … -
Podcast: Property Taxes
July 6, 2010
Senior Advisor Iris Lav discusses property taxes, and good and bad ways to address concerns about rising property tax bills.
Duration: 3:40
-
Property Tax Cap Wouldn’t Improve New Jersey Policies
June 8, 2010
A report released by the Manhattan Institute on May 24 compares taxes, education spending, and standardized tests in Massachusetts and New Jersey, arguing that a property tax cap has reduced property taxes and school spending in Massachusetts without compromising student performance — and implies that a cap would do the same in New … -
Press Release: Claimed Benefits of Massachusetts-Style Property Tax Cap Overblown, New Study Shows
June 8, 2010
Suggestions that Massachusetts’ experience under a property tax cap shows New Jersey could impose a similar cap without harming education and other public services are misleading, according to a new analysis by the Center on Budget and Policy Priorities. A recent Manhattan Institute report … -
Hidden Consequences: Lessons From Massachusetts for States Considering a Property Tax Cap
Revised May 25, 2010
Executive Summary Advocates of reducing property taxes often cite Proposition 2 ½, the strict property tax cap Massachusetts adopted in 1980, as a model for reform. Most recently, New Jersey Governor Christie has proposed a cap similar to Proposition 2 ½, which limits property tax revenues in Massachusetts to 2.5 … -
Education, Health, Public Safety, and Infrastructure Would Decline Under SJR 2420’s Proposed TABOR Limit
April 26, 2010
The Florida legislature is considering a TABOR proposal, SJR 2420, to limit state revenue growth by the combined rate of inflation and population growth — the adoption of which would undermine Florida’s ability to meet the needs of its residents and invest in the future. [1] If the bill passes the legislature, the measure would go … -
A Formula for Decline: Lessons from Colorado for States Considering TABOR
Updated March 15, 2010
Colorado’s so-called Taxpayer Bill of Rights, or TABOR, has contributed to a significant decline in that state’s public services. This decline has serious implications not only for the more than 5 million residents of Colorado, but also for the many millions of residents of other states in which TABOR-like measures are being … -
Podcast: Maine and Washington Reject TABOR
November 5, 2009
Senior advisor Iris Lav discusses voters’ rejection of TABOR — a strict state spending restriction — in Washington and Maine, and the implications for other states.
Duration: 4:00
-
Statement: Iris Lav, Senior Advisor, on Defeat of “TABOR” Initiatives In Maine and Washington
November 4, 2009
Yesterday’s votes in Maine and Washington show clearly that TABOR’s crippling and arbitrary spending limits remain unpopular around the country. Anti-government groups have made serious efforts to enact TABORs in 20 states since 2004 — and they have failed every time. … -
TABOR Has Hampered Economic Growth and Reduced Quality of Life in Colorado
October 19, 2009
On October 12, the Maine Heritage Policy Center released a report that touted Colorado’s prosperity and claimed that its prosperity was the result of TABOR – ostensibly “refuting” the Center on Budget and Policy Priorities work showing that TABOR has been detrimental to Colorado. (Question 4, a TABOR … -
I-1033's Problematic Measure of Inflation
October 15, 2009
Each year, the cost of providing health care, education, roads and other services rises. As a result, state and local governments have to spend more to provide the same level of services. Washington’s Initiative 1033 would dictate the amount of these increases in spending based not on the actual cost of those services, … -
Podcast: TABOR’s Harmful Effect on States
October 8, 2009
Robb Gray, the Center’s state project coordinator, explains TABOR, a strict state spending restriction, and its harmful effect on states.
Duration: 4:47
-
Fact Sheet: TABOR Will Not Improve Maine’s Business Climate
October 7, 2009
Colorado, the only state with a TABOR, has an economy that is stronger than Maine’s. However, that has nothing to do with TABOR. The strength of Colorado’s economy is largely a legacy of a post World War II public investment boom by the military and federal government. The federal investment left Colorado with a strong infrastructure of high-tech firms … -
Maine’s “TABOR II” Repeats Mistakes of Colorado, Endangers Public Services and Business Climate
September 22, 2009
Maine’s 2009 ballot initiative, “An Act to Promote Tax Relief” (known as TABOR II), imposes tight restrictions on expenditures for the broad range of state and local services that help support Maine’s economy and quality of life. The spending growth permitted under TABOR does not allow for … -
Press Release: “TABOR II” Would Harm Maine’s Economy, Businesses, and Families
September 22, 2009
Maine’s efforts to improve its business climate and recover from the recession would be hindered if voters adopt the proposed Taxpayer Bill of Rights (TABOR) that is on the ballot in Maine this November, according to a new report from the Center on Budget and Policy Priorities. … -
Policy Basics: Property Tax Caps
December 18, 2008
The property tax is a major source of funding for public safety, schools, roads, libraries, and other services in most American communities. In recent decades, concern over rising property tax bills has led a number of states to impose some form of limit on the amount of property tax revenue … -
Suozzi's Statement Ignores Truth About Massachusetts' Property Tax Cap
May 28, 2008
On May 21, the Center on Budget and Policy Priorities released a report, “Hidden Consequences: Lessons from Massachusetts for States Considering a Property Tax Cap.” The same day, Thomas Suozzi, the Chairman of New York’s Property Tax Relief Commission, issued a … -
Fixing TABOR's "Ratchet" Will Not Repair TABOR
April 10, 2008
Proponents of adopting a tight TABOR limit in Florida sometimes claim that Florida would not experience the same negative effects on the economy and public services that occurred in Colorado. They argue that Colorado’s problems stemmed entirely from one feature of its TABOR, the so-called “ratchet.” (The ratchet, … -
A Response to Americans for Prosperity's Misleading Claims About Florida's TABOR (CP 45)
March 25, 2008
Americans for Prosperity recently issued a critique of the Center on Budget and Policy Priorities’ analysis of the Florida Taxation and Budget Reform Commission’s revenue cap proposal. In its critique, Americans for Prosperity made several false claims. This analysis addresses the major flaws in their critique. There is no disagreement between the Center and Americans for Prosperity about the large size of the … -
The Tax Commission's TABOR: A Path to Deterioration in Florida
March 21, 2008
The Taxation and Budget Reform Commission will soon consider placing an amendment on the ballot to tightly limit revenue growth for state and local governments.[1] This proposal, CP 45, deserves a great deal of attention because it shares the fundamental characteristics of Colorado’s Taxpayer Bill of Rights (TABOR): it is a … -
The Problems with Property Tax Revenue Caps
June 21, 2007
Several states (Connecticut, Florida, Minnesota, New Jersey, Rhode Island, and Texas) have recently considered imposing severe caps on property tax revenue.[1] These caps restrict the amount that property tax revenue can increase from year to year to a low fixed percentage, a formula based on the inflation rate, or some combination of the two.… -
Press Release: Governor's Property-Tax Cap the Wrong Solution for Connecticut, Analyst Advises
May 4, 2007
Governor Rell’s proposed cap on property taxes is the wrong solution for the recently rising property tax burdens faced by many Connecticut households, the deputy director of the Center on Budget on Policy Priorities told state lawmakers Friday. In testimony before the General … -
A Frigid Forecast for the Sunshine State: Proposed Revenue Cap as Damaging as Colorado’s TABOR
March 20, 2007
Recently, the Speaker and other leaders of Florida’s House of Representatives unveiled details of their comprehensive property tax relief proposal. One component is a constitutional limit on state and local revenue growth.[1] This proposal deserves a great deal of attention because it is almost a carbon copy of Colorado’s Taxpayer Bill of Rights … -
Lower Taxes and Economic Growth: Response to a Flawed Analysis
March 20, 2007
When the Speaker and other leaders of Florida’s House of Representatives released their plan to roll back property taxes and place a tight growth limit on state and local revenues, they included a report in their release by the firm of Arduin, Laffer & Moore that claims lower taxes will lead to higher economic growth. This report takes an … -
A TABOR at Heart: South Carolina's H. 3295 Spending Cap Proposal
March 9, 2007
A proposed bill in South Carolina to limit state spending — H. 3295 — contains the core element of Colorado’s Taxpayer Bill of Rights (TABOR). It limits spending using a formula based on population growth plus inflation. H. 3295 can therefore be expected to cause a deterioration in public services in South Carolina similar … -
Improving State Fiscal Policies in The 2007 Legislative Sessions
Revised January 26, 2007
State policymakers can make substantial improvements to their state fiscal systems in 2007 legislative sessions. This paper is a guide to relevant Center on Budget and Policy Priorities analyses that describe some opportunities for improvement as well as challenges that states may face this year. Each of these analyses … -
A Response to the Independence Institute’s Attack on "The Real Story Behind TABOR” Video
October 23, 2006
In September of 2006, the Independence Institute, a conservative think tank from Colorado, issued a paper entitled, “In TABOR Benefits Colorado’s Citizens: A response to misleading video.” This paper criticizes a video released by CBPP in November 2005 (“The Real Story Behind TABOR”: quicktime | windows media) that details … -
Double Jeopardy for Local Services Under TABOR
Revised October 5, 2006
Proponents of Maine’s TABOR (Taxpayer Bill of Rights) — a ballot initiative that would place strict spending limits on state and local governments — have been marketing this proposal as a property tax relief package.[1] This is false advertising: TABOR would not create a sustainable reduction in property taxes. … -
Fact Sheet: Criticisms of Maine TABOR Paper Inaccurate
October 4, 2006
On October 3, the Maine Heritage Policy Center issued a press release calling “Double Jeopardy for Local Services Under TABOR,” a recent CBPP analysis of Maine’s TABOR proposal, “inaccurate and flawed.” Unfortunately, Heritage provided inaccurate and misleading … -
Press Release: Maine’s Proposed “TABOR” Likely to Cause Property Tax Increases
October 3, 2006
Maine’s property taxes would not necessarily be lower — and are more likely to increase — if voters adopt the proposed Taxpayer Bill of Rights (TABOR) that is on the ballot in Maine this November, according to a new report, “Double Jeopardy For Local Services Under Tabor,” released today by the Maine Center for … -
SOS (TABOR) Will Not Jumpstart Michigan's Economy
July 18, 2006
Michigan’s economy is in dire straits. Between 2000 and 2005, Michigan’s six percent decline in employment was the lowest employment growth in the nation and its personal income growth was second lowest among the states. Proponents of the Stop Overspending (SOS) initiative — a constitutional amendment modeled after Colorado’s … -
A State of Decline
July 14, 2006
If the proposed Tax and Spending Control (TASC) initiative— a constitutional amendment to limit expenditures similar to Colorado’s TABOR —had been effective since the 1991-93 biennium in Nevada, state services would have deteriorated substantially in the ensuing 15 years.[1] By limiting state spending growth to a … -
A "Super" Bad Idea: Requiring a Two-thirds Legislative Supermajority to Raise Taxes Protects Special Interest Tax Breaks and Gives Budget Veto Power to a Small Minority of Legislators
April 25, 2006
Enactment of state legislation normally requires approval by a majority vote in each house of the legislature plus the governor’s signature. Anti-tax activists in Kansas, however, are proposing to require a two-thirds supermajority vote of each house of the state legislature plus the governor’s signature in order to … -
A Taxpayer Bill of Rights by Any Other Name
April 21, 2006
A proposed ballot initiative in Montana to limitstate spending — “Stop OverSpending” or SOS — is similar in its basic structureand effect to Colorado’s TABOR. Montana’s SOS proposal includes all threefactors that make Colorado’s TABOR (Taxpayer Bill of Rights) the most severestate budget … -
Press Release: Economic Claims for TABOR Not Supported By Colorado’s Experience
March 23, 2006
Nearly a dozen states this year are considering a “taxpayer’s bill of rights” (TABOR) modeled on Colorado’s severe limit on state taxes and expenditures. TABOR proponents are claiming that Colorado’s strong economic performance during the 1990s demonstrates its economic benefits. However, a new report from the Center on Budget and Policy … -
Education and Investment, Not TABOR, Fueled Colorado's Economic Growth in 1990s
March 23, 2006
Proponents of Colorado’s “Taxpayer Bill of Rights” (TABOR), the 1992 constitutional amendment that imposed the nation’s strictest limit on taxes and public expenditures, have argued that TABOR is largely responsible for Colorado’s strong economic performance during the 1990s. Few scholars of Colorado’s economy, however, believe this causal relationship exists. The skepticism about TABOR’s role results in part … -
A Faulty Fix: Repairing the "Ratchet" Will Not Repair TABOR
March 21, 2006
Coloradoans recently voted to suspend the Taxpayer’s Bill of Rights (TABOR), the nation’s most restrictive limit on state taxes and expenditures, because it has caused a sharp deterioration in services ranging from education to public health to transportation. Those pushing for the adoption of TABOR-style measures in … -
The Same Old TABOR: Maine's "Taxpayer Bill of Rights" Proposal Fails To Fix Flaws of Colorado's TABOR
March 16, 2006
A ballot initiative proposal in Maine — “An Act to Create a Taxpayer Bill of Rights” — would impose tight limits on state expenditures that would shrink available public services such as education and health care in the same way that Colorado’s TABOR has led to a deterioration in that state.[1] … -
Video: The Real Story Behind TABOR
March 2, 2006
This video discusses the impact of the "Taxpayer Bill of Rights" on Colorado and provides lessons for other states that may be considering similar limits on state taxes and spending. -
New Bells & Whistles But the Same Engine: Pennsylvania’s Spending Limit Proposals are Powered by the Same Formula as Colorado’s Failed TABOR
December 6, 2005
Four new proposals in Pennsylvania — Senate Bills 4 and 884 and House Bills 2067 and 2082 — would impose tight limits on state expenditures that would shrink available public services such as education and health care in the same way that Colorado’s TABOR has led to a deterioration in that state. Colorado has the strictest … -
False Promise of Prosperity: For Kansas Economic Growth, TABOR May Do More Harm than Good
November 3, 2005
A constitutional TABOR amendment in Kansas has been promoted as a way to improve the state’s economy. It is far more likely, however, that a TABOR would impede the strengthening of the state’s economy. TABOR would restrict the legislature’s ability to set fiscal policy and would take away some of the most effective tools … -
A State of Decline: What a TABOR Would Mean for Kansas
September 12, 2005
.style1 { margin-top: 0; margin-bottom: 0; } .style2 { background-color: #003768; } .style3 { color: #FFFFFF; } If a constitutional amendment to limit expenditures — similar to Colorado’s Taxpayer Bill of Rights (TABOR) — had been in place over the last decade in Kansas, state services would have … -
In a League of Their Own
June 29, 2005
A “tax and expenditure limit,” or “TEL,” is a general term used to describe a provision in state law that restricts the growth of either revenue or spending at the state and/or local level. Since the late 1970s, some 29 states have adopted some limit on revenue, spending, or both. But TELs vary greatly … -
Framing the Choices
May 9, 2005
.style1 { text-align: left; } .style2 { margin-top: 0; margin-bottom: 0; } .style3 { margin-top: 0; margin-bottom: 0; text-align: center; } .style4 { text-align: center; } Colorado’s Taxpayer Bill of Rights, or TABOR, is a constitutional amendment passed in 1992 that places strict revenue and spending limits on … -
Fiction and Fact: A Response to the Tax Foundation’s Distortion of Colorado’s TABOR
May 2, 2005
.style1 { text-align: left; } .style2 { margin-top: 0; margin-bottom: 0; } .style3 { margin-top: 0; margin-bottom: 0; text-align: center; } .style4 { margin-top: 0; margin-bottom: 0; text-align: left; } .style5 { text-align: center; } Colorado’s Taxpayer Bill of Rights, or TABOR, is a constitutional … -
A State Of Decline: What a Tabor Would Mean For Ohio
April 19, 2005
If a constitutional amendment to limit expenditures — similar to Colorado’s Taxpayer Bill of Rights (TABOR) — had been in place over the last decade in Ohio, state and local services would have deteriorated substantially. Assuming a TABOR limit, such as the one most recently proposed by Secretary of State … -
The Flawed “Population Plus Inflation” Formula: Why TABOR’s Growth Formula Doesn’t Work
January 13, 2005
Limiting the growth of state revenue collections and state expenditures to a population-growth-plus-inflation formula is a central provision of a new generation of “tax and expenditure limits” — or TELs — now being promoted by national anti-government groups. Under such proposals, state constitutions would … -
Is Colorado’s TABOR Creating Jobs?
Revised January 13, 2005
Advocates of Colorado’s “Taxpayer Bill of Rights” (TABOR) — a stringent set of tax and spending limitations that is being promoted as a model for other states and for the federal government — sometimes selectively cite economic data to suggest that …
