GRANITE STATE TAXPAYERS

Granite State Taxpayers Ask – Where Did the Savings Go?

Bedford, NH – Granite State Taxpayers Chairman Gary Daniels responded to an education funding plan recently unveiled by the Coalition Communities by asking why targeting aid to so-called "needy communities" did not result in a decrease in overall state spending. Daniels said, "If we are not going to be sending state aid to so-called rich towns, then there should be a reduction in the amount of state spending. Yet the Coalition’s recent news release says that there is no overall decrease." Daniels continued, "If there is no overall decrease, even though we are no longer sending aid to ‘rich towns’ then we must have increased spending elsewhere."

Daniels added that, "With the state facing a deficit of between $200 million and $300 million now is not the time to increase spending." He also referred to an analysis done by Granite State Taxpayers in December that indicates that the true cost of adequacy under the Coalition’s plan is $1.6 billion, which leaves the plan underfunded by about $1.1 billion. Daniels said, "We reiterate that the only taxes capable of funding such a hole are an income tax, a sales tax or a state property tax, or some combination of these taxes." He stated that the analysis can be found on the group’s website, www.granitestatetaxpayers.org.