The attempt to implement a regressive tax for transportation infrastructure investment failed to pass with the electorate yesterday, via the Missouri Secretary of State:

State of Missouri – Primary Election – August 5,2014

UnOfficial Results

as of 8/6/2014 7:07:08 AM

Constitutional Amendment 7 3898 of 3898 Precincts Reported

YES 407,532 40.815%

NO 590,963 59.185%

Total Votes: 998,495

[emphasis added]

Interestingly, there were a few counties (and Kansas City) where the issue did garner a majority:

Bates 1,624 [Yes] 1,558 [No]

Chariton 1,216 [Yes] 1,151 [No]

Cooper 2,029 [Yes] 1,756 [No]

Grundy 1,073 [Yes] 1,070 [No]

Harrison 1,258 [Yes] 1,026 [No]

Kansas City 18,926 [Yes] 18,715 [No]

Knox 659 [Yes] 531 [No]

Linn 1,257 [Yes] 1,184 [No]

Livingston 1,404 [Yes] 1,328 [No]

Marion 2,548 [Yes] 2,284 [No]

Monroe 1,065 [Yes] 1,047 [No]

Montgomery 1,402 [Yes] 1,159 [No]

Monroe 1,065 [Yes] 1,047 [No]

Montgomery 1,402 [Yes] 1,159 [No]

Pettis 3,822 [Yes] 3,633 [No]

Pike 1,556 [Yes] 1,460 [No]

And a few of the places where the issue didn’t do well:

Boone 12,368 [Yes] 15,130 [No]

Clay 12,307 [Yes] 17,649 [No]

Greene 17,183 [Yes] 22,225 [No]

Jackson 20,804 [Yes] 29,721 [No]

St. Charles 22,950 [Yes] 38,197 [No]

St. Louis 62,767 [Yes] 126,920 [No]

St. Louis City 11,108 [Yes] 23,568 [No]

The proponents of the measure spent a lot of money (millions), from the 8 Day Before Primary Election report:

MISSOURI ETHICS COMMISSION

MISSOURIANS FOR SAFE TRANSPORTATION & NEW JOBS INC [pdf] 7/28/2014

14. Total Expenditures This Election $2,459,489.02

EXPENDITURES AND CONTRIBUTIONS MADE

Wampold Strategies 1001 Constitution Avenue NE Washington DC 20002 7/1/2014 Advertising: Direct Mail $21,942.64

Confluence Public Affairs 3104 Loweell Blvd Denver CO 80211 7/2/2014 Communications $10,000.00

Election Day Enterprises LLC PO Box 1933 Jefferson City MO 65102 7/2/2014 Independent Contractor $88,175.00

Global Prairie 1703 Wyandotte Street Suite 400 Kansas City MO 64108 7/14/2014 Public Relations $20,636.17

Missouri Press Services Inc. 802 Locust Columbia MO 65201 7/14/2014 Advertising: Newspaper $49,599.46

Wampold Strategies 1001 Constitution Avenue NE Washington DC 20002 7/14/2014 Advertising: Direct Mail $241,747.52

Adelstein Liston 222 West Ontario Street Suite 600 Chicago IL 60654 7/21/2014 Advertising $104,070.00

Wampold Strategies 1001 Constitution Avenue NE Washington DC 20002 7/22/2014 Advertising: Direct Mail $263,004.78

[emphasis added]

There were also significant amounts of money spent on newspaper ads. How quaint.

The 30 Day After report due on September 4th will enlighten us on the total expenditures on behalf of the issue.

Official Ballot Title

Constitutional Amendment 7

[Proposed by the 97th General Assembly (Second Regular Session) SS HJR 68]

Official Ballot Title:

   Should the Missouri Constitution be changed to enact a temporary sales tax of three-quarters of one percent to be used solely to fund state and local highways, roads, bridges and transportation projects for ten years, with priority given to repairing unsafe roads and bridges?

   This change is expected to produce $480 million annually to the state’s Transportation Safety and Job Creation Fund and $54 million for local governments.  Increases in the gas tax will be prohibited.  This revenue shall only be used for transportation purposes and cannot be diverted for other uses.

[emphasis added]

The moral of the story? You can’t spend a generation demonizing public investment in civilization and expect actual voters to approve an increase in regressive taxes immediately after you gave a massive government defunding tax break to the haves.

Just think if all those contributors to the effort to pass Amendment 7 had invested as much energy and money in defeating the veto override of SB 509. Instead, they were useful idiots and only ended up enriching the campaign consultant industrial complex…

Previously:

Campaign Finance: bedfellows – part 6 (July 23, 2014)

Campaign Finance: bedfellows – part 5 (July 21, 2014)

Campaign Finance: there is no end (July 18, 2014)

Campaign Finance: Goliath and David (July 18, 2014)

Campaign Finance: bedfellows – part 4 (July 10, 2014)

Campaign Finance: there is no end (July 7, 2014)

Campaign Finance: bedfellows – part 3 (July 4, 2014)

Campaign Finance: bedfellows – part 2 (July 2, 2014)

Campaign Finance: bedfellows (June 27, 2014)

Campaign Finance: “Your majesty, the special interests are regressive…” (June 27, 2014)

Campaign Finance: Prepare yourself for the ads… (June 24, 2014)

Campaign Finance: the dough keeps rolling in (June 22, 2014)

Campaign Finance: escalation (June 17, 2014)

Campaign Finance: What’s an increase in regressive taxes among friends anyway? (June 10, 2014)

Nix the sales tax: A question of fairness – and progessive identity (June 9, 2014)

Gov. Jay Nixon: “…This tax hike is neither a fair nor fiscally responsible solution…” (June 2, 2014)  

Ten-country comparison suggests there’s little or no link between video games and gun murders

Posted by Max Fisher on December 17, 2012 at 1:51 pm

….Looking at the world’s 10 largest video game markets yields no evident, statistical correlation between video game consumption and gun-related killings….

No, that’s not it.

Maybe this is (October 2003):

SCIENCE BRIEFS

Violent Video Games: Myths, Facts, and Unanswered Questions

Studies provide converging evidence that exposure to media violence is a significant risk factor for aggressive and violent behavior.

By Craig A. Anderson, PhD

….Further research will likely find some significant moderators of violent video game effects, because the much larger research literature on television violence has found such effects and the underlying processes are the same. However, even that larger literature has not identified a sizeable population that is totally immune to negative effects of media violence….

….Cartoonish and fantasy violence is often perceived (incorrectly) by parents and public policy makers as safe even for children. However, experimental studies with college students have consistently found increased aggression after exposure to clearly unrealistic and fantasy violent video games. Indeed, at least one recent study found significant increases in aggression by college students after playing E-rated (suitable for everyone) violent video games….

But, if you tax the bullets at $5,000.00 each…

HB 157, introduced yesterday:

FIRST REGULAR SESSION

HOUSE BILL NO. 157

97TH GENERAL ASSEMBLY

INTRODUCED BY REPRESENTATIVE FRANKLIN.

0923H.01I     D. ADAM CRUMBLISS, Chief Clerk

AN ACT

To amend chapter 144, RSMo, by adding thereto three new sections relating to violent video games, with an emergency clause.

Be it enacted by the General Assembly of the state of Missouri, as follows:

           Section A. Chapter 144, RSMo, is amended by adding thereto three new sections, to be known as sections 144.1020, 144.1022, and 144.1024, to read as follows:

           144.1020. As used in sections 144.1022 and 144.1024, the term “violent video game” means a video or computer game that has received a rating from the Entertainment Software Rating Board of Teen, Mature, or Adult Only.

           144.1022. 1. In addition to any other sales tax provided for by law, there is hereby levied upon sales of all violent video games an excise tax based on the gross receipts or gross proceeds of each sale at a rate of one percent.

           2. The rate provided for in subsection 1 of this section shall not affect any county or municipal sales tax imposed pursuant to law.

           3. The revenue generated by the additional tax imposed under this section, less any reduction allowed under section 149.021, shall be deposited in the state general revenue fund and appropriated solely for the treatment of mental health conditions associated with exposure to violent video games. The revenues derived from the tax imposed under this section shall constitute new and additional funding for treatment of mental health conditions associated with exposure to violent video games and shall not be used to replace existing funding as of July 1, 2013, for the same or similar funding for treatment of mental health conditions associated with exposure to violent video games.

           144.1024. 1. In addition to any other tax provided for by law, there is hereby levied upon persons storing, using, or otherwise consuming within this state, tangible personal property purchased or brought into this state, an excise tax on the storage, use, or other consumption in this state of all violent video games, based on the gross receipts or purchase price of such property at a rate of one percent.

           2. The revenue generated by the additional tax imposed under this section, less any reduction allowed under section 149.021, shall be deposited in the state general revenue fund and appropriated solely for the treatment of mental health conditions associated with exposure to violent video games. The revenues derived from the tax imposed under this section shall constitute new and additional funding for treatment of mental health conditions associated with exposure to violent video games and shall not be used to replace existing funding as of July 1, 2013, for the same or similar funding for treatment of mental health conditions associated with exposure to violent video games.

           Section B. Because immediate action is necessary to protect the mental health of individuals exposed to violent video games, the enactment of sections 144.1020, 144.1022, and 144.1024 of this act is deemed necessary for the immediate preservation of the public health, welfare, peace, and safety, and the enactment of sections 144.1020, 144.1022, and 144.1024 of this act is hereby declared to be an emergency act within the meaning of the constitution, and the enactment of sections 144.1020, 144.1022, and 144.1024 of this act shall be in full force and effect upon its passage and approval.

[emphasis in original]

The sponsor:

Rep. Diane Franklin, a Republican, represents parts of Camden and Laclede counties (District 123) in the Missouri House of Representatives. She was elected to her first two-year term in November 2010.

In addition to her legislative activities, Rep. Franklin is a third-generation small business owner, presently in health care, and a fifth-generation farmer. She has served on the Camdenton R-III School Board from 1993 to 1999 and as a Board Representative to Career and Technical, Parents as Teachers and to the Dorothy Blair Scholarship Fund.

Rep. Franklin is a member of the National Rifle Association, National Wild Turkey Federation and Missouri Farm Bureau. She is also a member of the American and Missouri Trap Shooting Associations where she is one of four women on the Missouri State Trapshooting Team. She is a member of Lake Area, Camdenton and Lebanon Chamber of Commerce. She is a member of Canopy Church. Rep. Franklin has served as both president and vice president of the Lake Masters Area Gardeners.

Rep. Franklin is a 1974 graduate of Camdenton RIII schools, a graduate of Ozarks Technical Community College and has completed course work at Southwest Baptist University and Truman State University.

[….]

Probably not a fan of Chris Rock’s solution.

Today, at the Missouri Ethics Commission:

C111063 02/23/2012 MISSOURIANS FOR FAIR TAXATION Missouri Association of REALTORS 2601 Bernadette Pl Columbia MO 65203 2/22/2012 $125,000.00

[emphasis added]

C111063: Missourians For Fair Taxation

3220 West Edgewood Dr Ste E Committee Type: Campaign

Jefferson City Mo 65109

(573) 635-6196 Established Date: 03/04/2011

  Termination Date:

Oppose Elimination Of State Income Tax And Creation Of Broad Based Sales/Use Tax 11/06/2012 Statewide Oppose

[emphasis added]

That’s not nearly enough money, especially when your opponent has deep pockets and a history of spending millions on ballot initiatives.

Previously: Initiative petitions on raising the tobacco tax (February 14, 2012)

At the Missouri Ethics Commission:

C121042 01/27/2012 MISSOURIANS FOR HEALTH AND EDUCATION American Cancer Society, High Plains Division, Inc. 2433 Ridgepoint Drive Austin TX 78754 1/26/2012 $217,622.00

C121042 02/09/2012 MISSOURIANS FOR HEALTH AND EDUCATION American Cancer Society, High Plains Division Inc. 2433 Ridgepoint Dr Austin TX 78754 2/8/2012 $82,500.00

C121042 02/14/2012 MISSOURIANS FOR HEALTH AND EDUCATION American Cancer Society Cancer Action Network, Inc 555 11th Street NW Suite 300 Washington DC 20004 2/14/2012 $5,308.50

C121042 02/15/2012 MISSOURIANS FOR HEALTH AND EDUCATION Health Care Foundation of Greater Kansas City 2700 East 18th Street Suite 200 Kansas City MO 64127 2/15/2012 $350,000.00

[emphasis added]

When did Missourians for Health and Education start up and what do they want to do?:

C121042: Missourians For Health And Education

Po Box 412887 Committee Type: Campaign

Kansas City Mo 64141

(816) 820-8201 Established Date: 01/26/2012

[….]

Ballot Measure History

Statutory Amendment To Chapters 149 & 196 Rsmo Relating To Tobacco Taxation & Regulation 11/06/2012 Tobacco Taxation & Regulation Statewide Support

Let’s take a look at a bit of the Initial 15 Day Report filed on February 9th:  

EXPENDITURES AND CONTRIBUTIONS MADE

MISSOURIANS FOR HEALTH AND EDUCATION [pdf] 2/9/2012

B. Itemized Expenditures All Over $100

Fieldworks, LLC 2852 Connecticut Ave, NW Washington DC 20008 1/27/2012 Signature gathering services $150,000.00

[emphasis added]

Yep, sign those petitions, because you just know big tobacco is gonna suck up all the air in the state (cough, cough) when their ad campaign starts up in three, two, one….

A press release from the Missouri Secretary of State’s office:

FOR IMMEDIATE RELEASE

Friday, February 10, 2012

[….]

Six Initiative Petitions Approved for Circulation for 2012 Ballot

Jefferson City, Missouri – The Missouri Secretary of State’s office today announced that six initiative petitions met state standards for circulation.

The ballot title for all six of the petitions relating to cigarette and other tobacco product taxation reads:

   Shall Missouri law be amended to:

   *    create the Health and Education Trust Fund with proceeds of a tax of $0.0365 per cigarette and 25% of the manufacturer’s invoice price for roll-your-own tobacco and 15% for other tobacco products;

   *    use Fund proceeds to reduce and prevent tobacco use and for elementary, secondary, college, and university public school funding; and

   *    increase the amount that certain tobacco product manufacturers must maintain in their escrow accounts, to pay judgments or settlements, before any funds in escrow can be refunded to the tobacco product manufacturer and create bonding requirements for these manufacturers?

   Estimated additional revenue to state government is $283 million to $423 million annually with limited estimated implementation costs or savings. The revenue will fund only programs and services allowed by the proposal. The fiscal impact to local governmental entities is unknown. Escrow fund changes may result in an unknown increase in future state revenue.

The petitions, which would amend Chapters 149 and 196 of the Missouri Revised Statutes, were submitted by Mr. Robert Hess, Husch Blackwell, LLP, 235 E. High St., PO Box 1251, Jefferson City, MO 65102-1251.

For statutory changes, signatures must be obtained from registered voters equal to five (5) percent of the total votes cast in the 2008 governor’s election from six of the state’s nine congressional districts.

Signatures on behalf of all initiative petitions for the 2012 ballot are due to the Secretary of State’s office by no later than 5 p.m. on May 6, 2012.

Before circulating petitions, state law requires that groups must first have the form of their petition approved by the Secretary of State and Attorney General. The Secretary of State then prepares a summary statement of no more than 100 words and the State Auditor prepares a fiscal impact statement, both of which are subject to the approval of the Attorney General. When both statements are approved, they become the official ballot title.

— 30 —

Visit http://www.sos.mo.gov to find out more about the Missouri Secretary of State’s office.

###

[emphasis added]

From the Campaign for Tobacco-free Kids:

….Tobacco tax increases offer a win-win-win solution for states, especially as they face a severe fiscal crisis and work to balance budgets while preserving essential public services.

Health Win: Tobacco tax increases are one of the most effective ways to reduce smoking and other tobacco use, especially among kids. Every 10 percent increase in cigarette prices reduces youth smoking by about seven percent and total cigarette consumption by about four percent.

Budget Win: Every state that has significantly increased its cigarette tax has enjoyed substantial increases in revenue, even while reducing smoking. Higher tobacco taxes also save money by reducing tobacco-related health care costs, including Medicaid expenses. States can realize even greater health benefits and cost savings by allocating some of the revenue to programs that prevent children from smoking and help smokers quit.

Political Win: National and state polls consistently have found overwhelming public support for tobacco tax increases. Polls also show that, when it comes to balancing budgets, voters prefer raising tobacco taxes to other tax increases or cutting crucial programs such as education and public safety….

Then again, the republican controlled General Assembly has more important things to address.

And, we’re number fifty!:

Fight Over Missouri’s Cigarette Tax Heats Up; Lung Association Gives State Failing Grade

By Chad Garrison Tue., Jan. 24 2012 at 9:52 AM

Missouri received its annual report card last week from the American Lung Association. The result ain’t pretty.

The state earned an “F” for tobacco prevention and control (spending just $58,693 last year to prevent tobacco use statewide); an “F” for smoke-free air (with legislators refusing to pass a statewide smoking ban and prohibitions in St. Louis and St. Louis County allowing people to continue to light up in bars and casinos); an “F” for its 17-cent per pack cigarette tax (the lowest in the nation) and an “F” for it cessation efforts with Missouri spending 53 cents per smoker when the CDC recommends at least $10.53 per smoker….

Currently the lowest cigarette tax in the nation. Cough.

“Our proposals will help ensure taxpayers receive competent, ethical service from qualified professionals and strengthen the integrity of the nation’s tax system. In addition, we are taking immediate action to step up oversight of tax preparers this filing season,” Shulman added.

http://www.lawandtax-news.com/…

From Roll Call:

The District of Columbia Office of Tax and Revenue will charge Rep. Roy Blunt (R-Mo.) and his spouse $5,600 in back property taxes for their Georgetown home, following a nearly two-month review of the property’s tax status.

The Missouri lawmaker and his wife, Abigail Perlman Blunt, own a three-bedroom Georgetown home, valued at $1.62 million in tax assessment records.

According to public tax records, the Blunts’ home had received the homestead tax deduction as recently as April, a benefit intended for full-time city residents that can shave hundreds of dollars off annual tax bills – and significantly more in the long term by limiting assessment increases.

One thing I don’t get is this:

“After five years of repeated requests, the D.C. government finally updated their records to accurately reflect the Blunts’ tax status,” Blunt spokesman Nick Simpson said Thursday.

The D.C. tax office began its review of Blunt’s status in April, after the Kansas City Star reported the House lawmaker’s D.C. home was receiving a tax break.

If Blunt had been trying to get his DC area home properly registered under the correct tax status for five years, you would think the review would have started sometime before April, which is coincidentally when the KC Star broke the story.

Call me a cynic, but my guess is that Blunt didn’t try very hard to make sure he didn’t receive the homestead exemption.

I’m also skeptical that any leading Republicans will appear on the talking head cable shows this weekend to point out Blunt’s tax problems.