Initiative 1033 will bring fiscal discipline back to state and local governments

EIGHT years ago, during tough economic times and just six weeks after the 9/11 attacks, Initiative 747 was on the ballot.

It proposed a 1-percent cap on the growth of a lot of the revenue for the state, counties, cities, ports, fire districts, library districts, public utility districts, and other local governments (it specifically excluded school districts). I-747 had a safety valve — if government officials wanted more than 1 percent, they could go to the voters and ask for more.

At the time, Big Business, Big Labor, politicians and the press went ballistic — they said it'd be "devastating" and "impossible." A massive list of opponents said it was a bad time for fiscal discipline.

Nonetheless, 58 percent of voters approved I-747 — a huge margin. Since 2001, governments have adapted to the limit. It has become so widely accepted that Gov. Chris Gregoire called a special session of the Legislature and reimposed it in 2007. The vote was 86-8 in the House, 39-9 in the Senate — every Republican and 80 percent of Democrats — and Gregoire enthusiastically signed it.

It was neither "devastating" nor "impossible." Governments have repeatedly proved that they're much more adaptable than they're willing to admit. Pre-election scare tactics never match up with postelection reality.

This year, voters have a chance to vote on Initiative 1033. What's being said about I-1033 is the same stuff that was said about I-747, but instead of a 1-percent automatic increase, I-1033 provides a much higher automatic increase: inflation-and-population growth. And it has the same safety valve: If government officials want more than the automatic increase, they can go to the voters and ask for an even bigger increase. And I-1033 addresses only the lack of fiscal discipline by the state, counties, and cities — other governments, including school districts, aren't included.

Have we had any experience with inflation-and-population-growth limits? You bet. From 1993 through 2005, government lived with Initiative 601's growth limit, the same as I-1033's. During that period, government grew but at a more stable, sustainable rate.

That changed in 2005, when Gregoire and the Democrats got rid of I-601's limit with Senate Bill 6078.

The result?

They created a huge fiscal roller coaster, overextending themselves in good times — creating unsustainable budgets — which inevitably made the bad times even worse, ending with a $9 billion deficit. If they hadn't repealed I-601's reasonable growth limit, government would have grown to where it is today — there would not have been a wrenching $9 billion deficit.

I-1033 brings back I-601's fiscal discipline. We need it now more than ever.

The worst thing government can do right now is raise taxes because that'll just make the recession last longer. That's why Gregoire's recent support for higher taxes makes I-1033 especially necessary. I-1033 protects taxpayers and our struggling economy by making sure that state, county and city politicians cannot take more of our money unless voters approve. Instead of constantly trying to maximize revenue — taking more of our money — politicians will have to spend their time maximizing the effectiveness of existing revenue. And "more revenue" will be only a last resort and only with voter approval.

I-1033 also allows funds to be transferred into the constitutionally protected rainy-day fund. Any excess tax revenue government receives beyond that will be used to lower everyone's crushing property-tax burden.

Opponents want higher taxes and a state income tax. Opponents are against any limit on government's power to take as much as they want from the taxpayers.

Property taxes keep going higher and higher and government keeps getting bigger and bigger. The people are losing control. I-1033 allows the state, counties and cities to grow, but at a rate that citizens can control and taxpayers can afford. I-1033 gets government off the fiscal roller coaster, allowing it to grow at a sustainable rate that doesn't outpace taxpayers' ability to afford it.

Please vote yes on I-1033.

(www.VotersWant-MoreChoices.com)