You're right that businesses are going to leave the state if taxes are too high. And many qualified workers will do the same if their taxes are too high. The need for higher tax incomes is the state's "rock". The inability to realistically raise them without losing taxpayers is the "hard place".
As to what you can do, I'm not sure. You have family ties that keep you from leaving. Perhaps you can go on a personal "work strike". Become part of the burden on the state to accelerate the self-destruct process. I really don't know. One thing you MUST do is keep your chin up and remain as cheerful as possible. Take care of yourself and your family.