Need to move to fair tax system greater than ever

CRANSTON – Ocean State Action released the following statement from Executive Director Peter Asen in response to Governor Carcieri’s proposed supplemental budget cuts announced today:

“Governor Carcieri’s proposal announced today, if approved, will severely impact the quality of public services and worsen an already bad property tax situation in Rhode Island. If these deep cuts are approved, on top of this year's existing $55 million cut to non-education aid, they will force cities and towns to cut jobs, thereby reducing the quality of our public services in the bargain. Cities and towns will also have little choice but to pass these cuts onto property owners in the form of higher property taxes – the one tax that is truly out of whack in our state.

“While there is no easy way out of the state’s deficit, we do believe that General Assembly leaders must work to bring new revenue into the state in fair ways, that are truly based on peoples’ ability to pay. We need to take a hard look at tax incentive programs that are costing the state tens of millions of dollars, and we must certainly ensure that the alternative flat tax does not continue to phase in at the cost of tens of millions more.

"The need to move towards a fairer tax system that truly meets the state's revenue's needs without depending so heavily on the property tax is greater than ever."

1. 1. Make health care affordable at work

Require a fair-share contribution from employers – either offering coverage to all workers or paying toward their purchase of other coverage. This would cover 11 million more people at work than the Senate proposal and raise $100 billion in revenue that can be used to improve affordability for those seeking coverage through the exchange.

• Enact the House employer responsibility provisions so that all but the smallest employers help pay for good health coverage for their employees.

2. Make health care affordable for people without employer-based coverage

Be sure that people who aren’t offered health coverage at work can afford their premiums and have reasonable out-of-pocket costs.

• Use the House affordability provisions for low- and moderate-income people;
• Use the Senate affordability provisions for middle-income people.

3. Don’t tax our health coverage

There’s a better way to pay for health care reform than taxing health care benefits. Taxing benefits will raise premiums and out-of-pocket costs and lower wages. Instead, Congress should raise revenue from those who can most afford to pay (those earning $250,000 or more) as President Obama pledged during the campaign.

• Enact the House millionaires’ surcharge or other revenue measures that raise taxes from those with the highest incomes.

4. Hold insurance companies accountable

We need strong rules that guarantee insurance company greed doesn’t turn health care reform into a corporate windfall. This includes tough insurance rules so we know how premium dollars are being spent, banning discrimination based on your health, and transparency so we know what we’re buying.

• Include a public health insurance option that is available across the country on day one.
• Enact consumer protection provisions, like those in the House bill, that keep big insurance companies in check.

and the one thing you need to do

Call your Member of Congress at 1-877-264-4226 and say:

Do the 4 things we need for affordable health care.