A Progressive Tax Structure for Vermont

Two years ago the legislature decided that what was needed was a comprehensive study of the revenues package that funds Vermont state government. Three people were appointed and staff was hired to have them take the necessary time to research and study what Vermont currently has as a revenue structure, what is working, what the impacts of various changes are and what a comprehensive revenue package for our state should look like. We very intentionally set the date for the report for after the 2010 election. What we all know is that the next governor and legislature can look forward to a comprehensive piece of work that can lay the foundation for a new structure.

With that said here are the general principles of a Bartlett administration. I believe in a progressive system of taxes and revenues; when you earn more, you have the ability to pay more. Individuals, groups or companies that use certain state services should help defray the costs of the services they consume; you need a permit to sell ice cream, you should pay for the cost of delivering that permit. For a number of years I have been interested in the idea of capping the amount of income tax individuals pay after age 65 and that should be a progressive system. As we move towards health care reform I believe that everyone has to be in and everyone has to pay. A Bartlett administration would want tax policy that supports the growth of our small businesses and encourages the growth of good paying jobs throughout Vermont.

I have been a supporter of Challenges for Change and moving all of state government to an outcome based, measurable system of government. Once we all understand clearly what we are getting for our dollars, then we can have a conversation about how much we need to be spending; where are we spending enough, where do we want to spend less, where do we may want to spend more. I believe that once this is done and Vermonters see what their tax dollars are buying there will be a very different conversation regarding the revenues of our state. With an outcomes based system and the information from the revenue study group, the next administration and legislature can redesign our revenue system and have it truly reflect the values of Vermonters.

What specific steps can a governor take to create jobs?

I don’t believe that government creates jobs. I believe that government can help create an environment that is supportive; making sure we have good telecommunications infrastructure, supporting job training programs and certainly helping with access to capital.

I have always believed that jobs are created locally and that we should support our regional economic development groups and our regional planning commissions. They know what is working in their areas, who needs help, and how to match the needs of local business with the available resources in the state for their area.

As governor I will establish a statewide office of Innovation and Intellectual Property. Innovation and entrepreneurs have always been a part of Vermont, but we have failed to acknowledge them as true job creators.

Innovation backed by intellectual property protection raises the value of small companies tremendously, which will create good paying Vermont jobs and allow small Vermont companies to grow into large Vermont companies.

People talk about bringing good paying, high-tech jobs to Vermont. Companies are willing to supply training but they need to start with people who have a strong background in math.

We need to have local technical centers gear up immediately to work with companies to provide the basic education and skills to prepare Vermont workers. As governor, I will work to develop a truly close working relationship between our schools and our business community.

We need to address helping Vermonters keep the jobs they have. Employers train employees then find they don’t last very long. They have the basic skills, but something doesn’t work out and they quit after a short time. We need to support workers and help them solve distracting problems in their personal life.

If a worker has problems at home, or has trouble getting government assistance, it has a direct impact on their performance at work. On a lunch break, a specialist can put the employee in touch with the right agency and help them get the paperwork done. This additional assistance can turn a distracted employee into a great worker, and because the worker is valued and less distracted, it is a real benefit to the employer.

I pushed for increasing funding for the Vermont Employment Growth Incentive (VEGI), a program that was started several years ago to encourage job growth in Vermont through cash incentives to employers. This is expected to help create 800 good paying jobs in Vermont.

These are performance based incentives, so until the company has created the jobs and folks have been working for a specific time period, the incentive is not paid. They are paid out over a period of years. These new jobs create more revenues for the state, so these incentives don’t “cost” the state money, they just share some of the new revenues with the company that creates these new revenues.

Seven Days Profile

One of five Democrats seeking their party’s nomination for governor, Bartlett is trying to parlay her deep knowledge of state government into a victory at the polls on August 24. That, combined with her politically moderate views, are what set her apart from her competitors.

Most pundits would give Bartlett long odds: She has scant name recognition, no major endorsements, and doesn’t have a lot of campaign cash. Polls show Bartlett squarely at the back of the Democratic pack, trailing Republican candidate Brian Dubie by 18 points in a hypothetical match-up.

But Bartlett appears undeterred. Vermonters want a centrist in the governor’s office, she reasons, and after eight years of Republican Governor Jim Douglas, voters are ready to give a Democrat a chance. She says her Democratic rivals — senators Doug Racine (D-Chittenden) and Peter Shumlin (D-Windham), Secretary of State Deb Markowitz and former Senator Matt Dunne — are too liberal to beat Dubie, the popular lieutenant governor.

Read on ...

A Progressive Tax Structure for Vermont

Two years ago the legislature decided that what was needed was a comprehensive study of the revenues package that funds Vermont state government. Three people were appointed and staff was hired to have them take the necessary time to research and study what Vermont currently has as a revenue structure, what is working, what the impacts of various changes are and what a comprehensive revenue package for our state should look like. We very intentionally set the date for the report for after the 2010 election. What we all know is that the next governor and legislature can look forward to a comprehensive piece of work that can lay the foundation for a new structure.

With that said here are the general principles of a Bartlett administration. I believe in a progressive system of taxes and revenues; when you earn more, you have the ability to pay more. Individuals, groups or companies that use certain state services should help defray the costs of the services they consume; you need a permit to sell ice cream, you should pay for the cost of delivering that permit. For a number of years I have been interested in the idea of capping the amount of income tax individuals pay after age 65 and that should be a progressive system. As we move towards health care reform I believe that everyone has to be in and everyone has to pay. A Bartlett administration would want tax policy that supports the growth of our small businesses and encourages the growth of good paying jobs throughout Vermont.

I have been a supporter of Challenges for Change and moving all of state government to an outcome based, measurable system of government. Once we all understand clearly what we are getting for our dollars, then we can have a conversation about how much we need to be spending; where are we spending enough, where do we want to spend less, where do we may want to spend more. I believe that once this is done and Vermonters see what their tax dollars are buying there will be a very different conversation regarding the revenues of our state. With an outcomes based system and the information from the revenue study group, the next administration and legislature can redesign our revenue system and have it truly reflect the values of Vermonters.