Grand Forks area state legislative candidates unanimously opposed at a forum Tuesday night a ballot measure cutting income taxes in half, fearing it would complicate their agenda to increase state K-12 funding and offer property tax relief.
Both Republican and Democratic candidates from Districts 18 and 42 used words such as "dangerous," "catastrophic" and "devastating" to describe Measure 2, sponsored by the grassroots group Americans For Prosperity.
The state would lose $414 million in revenue if the measure passed, revenue that it could use to increase funding for school, the single biggest consumer of local property taxes. In Grand Forks, for example, the district gets about half of property tax revenues.
Mark Owens, a District 18 Republican house incumbent who generally took the classical conservative's position of less taxes and less regulation, said he could see the appeal of paying half as much state income tax. "But in reality, it's a very low amount compared to what we pay in property taxes."
His opponent, Democrat Lonny Winrich, said Owens is right. Measure 2 would put even more of the burden for funding schools on property taxes, he said, and hurt efforts to rein in college tuition to boot.
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Americans For Prosperity said on its Web site that passing Measure 2 would make North Dakota more economically competitive. The measure also would cut corporate income taxes by 15 percent. The state can afford it with an anticipated surplus of $950 million.
That surplus may not be as large if voters also pass Measure 1, creating a lockbox for oil revenue. This measure has bipartisan support. Its supporters say the state's oil boom, which contributes mightily to the surplus, will end one day just as previous oil booms have.
The Herald could not reach Americans For Prosperity for a direct reply because the forum ended late in the evening.
Participants in the forum are Winrich, D, and incumbent District 18 Rep. Owens, R; incumbent District 42 Sen. Connie Triplett, D, and Andrew Lutz, R; Incumbent District 42 reps. Stacey Dahl, R, and Don Dietrich, R, against Corey Mock, D, and Bruce Sanford, D; Nate Martindale, R, and Mac Schneider, D, vying for the empty District 42 senate seat.
Incumbent District 18 Rep. Eliot Glassheim was away on state business.
Overall, most of the forum discussion revolved around property tax relief, K-12 funding, the affordability of college tuition -- all issues that the Legislature focused on in its last session in 2007 -- and how Measures 1 and 2 would impact them.
On Measure 1, the candidates' responses were a mixed bag.
Triplett is a strong supporter of Measure 1 and, Lutz, her opponent said he is in complete agreement.
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Schneider, from the same party as Triplett, said the measure is flawed because it would put too much money away. Alaska and Wyoming, which he held up as models, put away a smaller portion of their oil revenue and the formula has worked, he said. North Dakota shouldn't reinvent the wheel, he said.
Measure 1 would put away any oil and gas revenue exceeding $100 million in a trust fund. A three-quarters majority of the Legislature would be needed to extract money.
Supporters say it's too easy to tap into an existing trust fund because only a simple majority is needed.
Opponents say it's wrong to put so much away when the state needs money for infrastructure, K-12 funding and property tax relief.
Reach Tran at (701) 780-1248; (800) 477-6572, ext. 248; or send e-mail to ttran@gfherald.com .
