Richmond First City in State to Endorse 'Millionaire's Tax'
The symbolic measure supports statewide ballot initiative for November
Richmond is making a habit of being the first.
In June, Richmond became first city in Contra Costa County to issue its own municipal identification cards.
In December, the city came one step closer to becoming the first city in the state to impose a tax on soda.
Tuesday night, the City Council made Richmond the first city in the state to endorse a “millionaire’s tax.”
The council voted 6-0-1 to pass the symbolic measure supporting a statewide initiative for the November ballot to raise state taxes on those making more than $1 million annually. Councilmember Corky Booze abstained.
If the act’s supporters get the more than 500 thousand signatures required, the measure on the ballot would propose an extra 3-percent tax on income an individuals who earn between $1-2 million annually, and 5 percent on income over $3 million annually.
The proposed initiative comes in part as a response to California’s fiscal crisis. Since 2008, education, welfare, child and elderly health services have been among the programs to undergo deep funding cuts. This year, Governor Jerry Brown has projected a $5 billion cut to education along with reductions in other services.
If California can’t create additional revenue, cities like Richmond will continue to lose services.
“We have so much that we need as a city and so much we need as a state,” Councilmember Jovanka Beckles said. “We need better schools, better equipment. We all know all these services that have been cut and will continue to be cut … affect us tremendously.”
The resolution to support the measure was proposed by Councilmembers Jeff Ritterman, Jim Rogers and Tom Butt. In all, if the state were to increase its tax rate following the measure’s proposal it would bring in about $6 billion, according to projections by the California Federation of Teachers.
Brown is in the process of collecting signatures for his own measure, which proposes an initiative that would increase sales tax, as well as increase tax on those who earn more than $250,000 a year.
But Ritterman said that a millionaire tax makes more sense. Not only would it bring in more money than Brown’s proposal in the long run, he said, it would redistribute wealth by taxing people who can afford it.
“On average the Jerry Brown tax will cost each of you $123 a year,” Ritterman said. “This tax won’t affect anyone in this room.”
Ritterman said that the millionaire tax has broad public support, noting recent polling data that showed nearly two-thirds of Californians backing the initiative.
Residents at the meeting Tuesday said it was crucial for Richmond to take an active role in garnering support for the initiative.
“No rich people are going to be support this thing,” said Mike Parker, a Richmond resident. “This is something that the people do and if you want it done, you have to do it.”
Mayor Gayle McLaughlin said she was convinced that the measure was favored by residents during a rally Monday, when she joined a group of community members to hang a millionaire tax banner above the freeway.
“People were honking like crazy in support,” McLaughlin said. “This tax has support, I assure you. We are definitely on the right track. But, it does need the support of you to go out and gather signatures.”
LawSci
"This tax won't affect anyone in this room."
Now, let's vote on it!
Frank DeFelice
Don't many of the CO's at San Quentin live in Richmond? They won't like this at all.
Paul B
This small increase in taxes on millionaires is a tiny step towards economic sanity, but hardly enough. We'd do better to hire some of them to build prisons for themselves. But more importantly, cities should follow Richmond's example to call for redirecting war spending to meet human needs. The military budget is killing us.
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City Council of Richmond, CA adopts
strong New Priorities Resolution
February 8th, 2012
This New Priorities resolution was adopted unanimously by the Richmond, CA City Council this evening (2/7/12). The effort to secure its adoption was organized by the Bay Area Campaign for New Priorities, affiliated nationally with the New Priorities Network. Dr. Henry Clark, leader of the West County Toxics Coalition, and Mrs. Betty Brown, an active member of the East Bay chapter of Peace-Action, spearheaded the effort on behalf of the Bay Area Campaign for New Priorities. Council Member Jovanka Beckles and Mayor Gail McLaughlin co-sponsored the resolution.
The resolution was first introduced and unanimously adopted by the Richmond Human Rights and Human Relations Commission, which referred it to the council for its concurrence. Mayor Gail McLaughlin, a member of the Green Party, co-sponsored a new priorities resolution that was adopted at the U.S. Conference of Mayors last year.
A RESOLUTION REFERRED BY THE RICHMOND HUMAN RIGHTS AND HUMAN RELATIONS COMMISSION TO THE RICHMOND CITY COUNCIL, CALLING ON OUR ELECTED OFFICIALS IN CONGRESS TO FUND URGENTLY NEEDED CITY SERVICES BY REDUCING MILITARY SPENDING:
WHEREAS, Richmond and California are facing serious financial shortfalls in the current recession; and
WHEREAS, Richmond and California have had to cut essential services and personnel; and
WHEREAS, Richmond’s taxpayers, even in this time of economic crisis and fiscal austerity are poised to pay $164.3 million this coming year as their share of the military budget of the United States; and
WHEREAS, Richmond taxpayers have already spent more than $50.3 million this year, and a total of $374.5 million since 2001 for the wars in Iraq and Afghanistan; and
WHEREAS, U.S. troops, including those from Richmond and other cities and towns across our state, have served valiantly in Iraq and Afghanistan; and
WHEREAS, more than 4,480 U.S. troops have been killed in Iraq, more than 1,850 U.S. troops have been killed in Afghanistan, and over 45,100 U.S. troops have been wounded in both conflicts according to the Department of Defense (a figure that does not include those suffering from PTSD or Traumatic Brain Injury diagnosed after returning to the U.S. – 28,000/year according to Department of Defense reports); and
WHEREAS, hundreds of thousands of civilians have been killed in these conflicts and the ongoing warfare poses great and unnecessary harm to the people of the nations of Iraq, Afghanistan and Pakistan; and
WHEREAS, a majority of Americans now oppose the wars in Afghanistan and Iraq; and
WHEREAS, the national security budget (not including the cost of the wars), exceeds $700 billion this year; there are more than 800 US military bases overseas with more than 300,000 troops (not including those serving in Iraq and Afghanistan), costing more than $250 billion per year; the administration plans to spend an additional $185 billion over the next ten years to expand and modernize the U.S. nuclear weapons complex; the budget includes weapons systems that even the Pentagon doesn't want; there are scores of other Pentagon programs that are far in excess of what is needed to actually defend our country; and the U.S. spends more than the next 17 countries combined and 43% of all military spending in the world; and
WHEREAS, education, medical care, housing, other essential public services, infrastructure repairs, and family and private sector financing in our city and throughout the state have been cut while our financial resources have been diverted from the constructive economy to the wars in Iraq, Afghanistan and Pakistan, and other unnecessary military spending;
WHEREAS, there is a need to demonstrate support for key provisions of the federal budget proposed by the Congressional Progressive Caucus or “People’s Budget” as it relates to military spending and protection of Tri-Care, the military health care program;
NOW, THEREFORE BE IT RESOLVED, that we call on U.S. Senator Barbara Boxer and U.S. Senator Dianne Feinstein to oppose further funding of the wars in Iraq and Afghanistan, except as needed to affect the safe rapid withdrawal of all military forces and contractors, and urge them to take leadership in the Congress to bring our troops safely home, substantially reduce overall military spending, and redirect our federal tax dollars to the pressing educational, employment, health, housing, nutritional, infrastructure, energy, and environmental needs of our city, state, and country; and we commend Congressman George Miller for already having advocated support for these priorities; and
BE IT FURTHER RESOLVED, that the City Council of Richmond supports public discussion and dialogue about the cost of excessive military spending to our community; and
BE IT FURTHER RESOLVED, that we call on our Congressional delegation to support federal funding for the over 2 million new Iraq and Afghanistan war veterans - particularly the thousands who have come home disabled or otherwise physically or mentally wounded - to ensure they receive health care, housing, jobs, education and other support services they deserve; and
BE IT FINALLY RESOLVED, that this council shall forward this resolution to Congressman Miller and Senators Boxer and Feinstein with a request that they act and vote in accord with its provisions.