How Liberals "Grow" An Economy....50% TAX INCREASE

• 50% Tax Increase
• Observations and Reflections on Legislative Activities
• By Delegate Mike McDermott

Apr. 11th, 2011

The war on rural Maryland continues with the 50% Tax increase on alcohol passed by the Senate and being fought out on the floor of the House of Delegates. This last minute shot at citizens and our business community carries with it an interesting fiscal note. The Department of Legislative Services states clearly that this bill will cause jobs to be lost in Maryland and result in a decrease in overall sales. In spite of these facts, we are having this rammed down our collective throats.

Interestingly enough, this tax was supported by the Disabilities and Mental Health communities as they shouted on the Lawyer’s Mall in the rain, “Dime a Drink, with a link!” They actually thought their liberal backers would give them this revenue. Well, to use wheel chair bound folks to push your tax, and then turn around and divide up the spoil for another purpose…in a word, “Shameful” even by liberal standards.

State line communities such as Ocean City, Delmar, and Pocomoke City will suffer greatly and lose jobs as Maryland residents simply cross the border to more tax friendly states. The retail loss is bad enough, but this bill will be implemented on July 1^st…the very height of our vacation season at the beach. Computers will need to be changed, software purchased, employees trained in the new tiered tax system, and all must be done overnight. Amendments were offered to alter this date to before or after the season to no effect. This will serve to further crush the only area of our regional economy where Maryland is still competitive tax wise.

With a budget already reconciled, here comes the slush fund. We asked, “Who decided, and who divided the spoil in this back room deal?” Well, the big three, (Baltimore City, Montgomery County, and Prince Georges County) made sure that they raked in $27 million for their schools; while they gave $1.25 million to be shared by 8 counties on the Eastern Shore. Divided evenly on the shore, we will receive $156,000.00 for each county…what a deal! It is these “back room deals” that the voters of Maryland have rejected with contempt. It is this “shadow government”, where the blinds are drawn and the shades are pulled that, more often than not, decides the winners and the losers in Annapolis.

Brought up on the 89^th day, after the budget was already settled, this tax bill slithered into the House Chamber with no warning. We fought diligently for 6-hours to amend a bill that we were not even prepared to address until the Speaker grew weary and cut off our opportunity to even offer amendments. It was totally out of order, but that does not matter when your government displays tyrannical behavior.

To make matters worse, we began our debate on this tax on Third Reader Monday morning and it was cut off almost before it began. What an outrage for the people of Maryland! Not only did they not have an opportunity to weigh in on the issue, their elected representatives were cut off as well. We were reduced to a two-minute statement to merely “explain” our votes. While business men and women filled the galleries in the House Chamber looking on in dismay, all of the delegates from the urban counties crushed the consumers in Maryland with this draconian tax.

This is not “representative democracy in action”; these are the actions of a banana republic. So while Rome burns, Nero fiddles, and the people of Maryland can name that tune in one collective note: Montgomery County $9 million, Prince George’s County $9 million, Baltimore City $9 million; and the tune for each county on the Eastern Shore: only $156,000.00.