Go beyond Arkansas’ elite

Reject tax cuts for wealthy; bolster education, services

The business of our state Legislature is to assess priorities and make decisions so that Arkansas can be the best state it can be. Our resources and programs are an interconnected web; everything is interrelated. We hope to elect our wisest and most talented citizens to serve on our behalf and to make decisions about what are the most important priorities for our common good.

So, what’s more important? Right now much of the legislative debate seems to be whether it is more important to give another income tax cut to the wealthiest and most secure Arkansans, or to fund needed improvements that significantly enhance life broadly, especially for those who have fewer resources or are insecure.

Supporters for another tax cut for the wealthy seem to be motivated by the fiction that if our top marginal tax rate matched some of our neighbor states, wealthy people will choose to move here in order to save 1 percent on their state income tax.

I think people choose to live in Arkansas for other reasons. Many people just love our state. This is home. Many people move here because of job opportunities. When they are choosing whether to move, I think there are other priorities than a 1 percent tax rate difference. People move here because they believe their family will thrive here.

Newcomers want outstanding education for their children. They want safety and recreation and cultural opportunities. They want economic opportunity and good infrastructure. They want trustworthy medical care.

Instead of another tax cut that reduces our capacity, I propose we invest in our teachers and schools. With a little more investment, we could lower the student/teacher ratio. If our teacher salaries were significantly higher than our neighboring states, outstanding teachers might cross borders to serve Arkansas. If the student/teacher ratio and teacher pay and the respect we give teachers becomes more attractive, more of our best college students will go into the teaching profession.

In my opinion, the best single investment Arkansas could make would be to finish the job of funding quality, public pre-kindergarten for all students. Cost-benefit studies find the return on investment for pre-K to be at least $6 for every dollar invested and as much as $16to-$1. The differences seem to be how widely various studies measure the benefits.

A child’s early years are the most critical for brain development. If we wait until age 5 or 6 to teach our kids, we lose the brain’s most efficient time for learning. Children without early education fall behind and suffer from a gap that can be difficult to close once a child reaches first grade. Quality pre-K creates large and lasting benefits for a lifetime, improving classroom quality for all, and reducing remediation rates and other social ills that are related to a poor start in school. That’s a better investment than a tax cut for the wealthy.

Here’s the tax cut plan our legislators appear ready to pass as I write: 90 percent of the benefits go to taxpayers making $250,000 and more. Family incomes between $36,000 and $56,000 get about $6 per family. Households earning under $36,000 get zero benefit.

Since 2013 Arkansas has cut tax revenue by at least $300 million, and some of that has benefited the middle class. The latest analysis I’ve seen says this new plan would reduce state revenue by more than $150 million more. That’s $450 million unavailable every year to schools, roads, security, health and the economic safety net.

We especially need more investment in our schools. We need to improve our after-school and summer programs, particularly for at-risk youth. Too many neighbors are food insecure; too many are homeless. Every Arkansan should have health insurance and access to medical care. Our highways and bridges need attention.

There are meaningful ways to enhance the quality of life in Arkansas, particularly for those who have fewer resources.

For 50 years the purchasing power of wages for American workers has been stagnant while their productivity has climbed dramatically. Yet income and wealth has become more concentrated among fewer people. This Arkansas tax cut only exaggerates that trend.

I think we should say no to this plan to help those who least need help. We know the priorities of Jesus. He consistently expected the strong and wealthy to take responsibility for the poor and marginalized. Let’s make decisions for the common good, not the elite good.