Raise the taxes for our own good

Arizona boasts a long, strong tradition of Republicans who care deeply about our state and our future. As part of that tradition and as a businessman, I am keenly aware of the need to maximize dollars flowing within the economy, especially during these economic hard times.

As a pragmatic Republican, I know the only logical thing to do right now is to raise taxes. The facts are clear and incontrovertible:

• Cutting basic government services is bad for business. Eliminating state jobs and state spending threatens our economic recovery.

Our economy needs the stimulus of tax dollars to keep money flowing in the economy. If we do the opposite - cut services and take tax dollars out of the economy - private businesses will ultimately feel the pinch. I have yet to see a business that shrank itself to greatness. That applies to government as well.

• Even before the budget crisis hit, Arizona's state and local governments spent less per capita than any other state in the country on operating expenditures. We did not enter this budget crisis overflowing with excess or unnecessary spending.

• Our tax code hasn't kept up with the times and the changing consumption patterns of Arizonans. Why should we expect a 1930s tax code to be effective in 2003? Special tax treatment for select goods narrows the tax base, distorts consumer behavior and is just plain unfair for industries that haven't (yet) gotten some special exemption.

• Businesses should play on a level playing field when it comes to taxes, but under our current system it often doesn't work that way.

If I buy something at an Arizona store, the retailer pays sales taxes to Arizona. If I buy that exact same item over the Internet, the e-tailer may or may not collect and submit state sales taxes. That's not fair to our local merchants to the tune of almost $140 million per year.

There was a time a few years ago when Internet selling deserved some special breaks because it was a totally new form of commerce that might rewrite the rules on selling. Now, however, we have seen that it is just another way of doing business and does not deserve the tax breaks that penalize all the businesses that invest in bricks and mortar and employees.

• During the past decade, our Legislature has enacted state tax cuts, enough to total more than $775 million each year. It¹s only fair that those of us who enjoyed some of the perks of the economic boom times be willing to take some responsibility when it comes to the state budget crisis.

When the state economy was strong, did we do the prudent thing and put money aside for a "rainy day"? No, we reduced our "rainy day" fund and cut taxes so much that when the inevitable economic downturn came, we were caught without proper savings to help weather the slump.

Even though we have consistently made choices as a state to do things on the cheap, we seem surprised when we consistently get crummy results. We rank at the bottom when it comes to important issues such as school dropouts and child poverty. State budget cuts will only move us backwards from there.

There are both selfish and pragmatic reasons I care about the state budget. My business will suffer if I can't find qualified employees or move my product across Arizona highways because accidents don't get cleared. As a businessman, I want a well-prepared and educated workforce. I want sound family supports, like health insurance and child care assistance, for my employees and customers who need them.

On a more fundamental level, I care about this state. I moved to Arizona because I love it here. As an Arizonan, I want us to be best in the nation when it comes to quality-of-life issues like high school graduation rates, stellar universities, healthy citizens, well-trained employees and family income.

As a Republican, I know that we need to invest in Arizona to make it a state worthy of all the great people who live here. And, yes, I'm willing to pay more taxes to make that happen.

Here is the guy:

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And Read this bio of this screwball socialist:

"Dan was born in Des Moines, Iowa, in 1949. While in school, Dan's favorite subject was economics. His study of that field has served him well over the years.

With a law degree from JD Drake University, Dan started practicing law in Iowa. It didn't take Dan long to realize that he did not enjoy being a lawyer. Dan is often quoted as saying, "I was in general practice and had three types of clients: ones who were in jail, getting a divorce or dead. The dead ones were my favorites -- they didn't call nearly as often." So Dan started his first business, a coffee bean shop. Unfortunately, Dan was about 10 years ahead of his time, and coffee sales were dismal. Some days, business was so slow that he and a neighboring store owner would play gin rummy all day. It was his shop that Dan met John Martinson, who was selling coffee wholesale to restaurants. In 1981, Bunn came out with an iced tea brewer. The two recognized an opportunity when they saw one, and decided to sell their old businesses and start anew.

Each of the partners scraped together $300 to start the business. Dan claims that he learned about tea from an Underground Hippie store in Iowa City in the late 60s, but when they started the business, he needed to refresh his memory. Dan exhausted the local library's resources researching tea. They tried many different types of tea until they discovered the perfect blend of China black teas. Their first warehouse was actually John's garage, but they soon realized that they needed a little bit more space. They rented 500 square feet from someone else's warehouse, but as they didn't have a key, they could not work the hours necessary to start a business. They finally got their own warehouse in 1983. Dan remembers hand packaging the tea all night to get the larger orders out. But their hard work eventually paid off. By 1991, Dan felt confident that the business was successful, so late that year, he was married. Dan also had time to play an active role in the community. In 1986, Dan became a board member for Phoenix City Club and the Phoenix Local Development Corporation. In 1987, he was on the board of the Phoenix Day Child Development Center. Later, Dan became a board member for Business Volunteers for the Arts, Children's Action Alliance, Teach for America, and the Phoenix Chamber of Commerce.

Even though he was spending a lot of time in the community, Dan and John were still able to make the China Mist Tea Company grow. In 1993, both partners were awarded the Entrepreneur of the Year award sponsored by Ernst & Young, Inc. Magazine, and Merrill Lynch. Dan was also awarded the Small Business Person of the Year Award from the Phoenix Chamber of Commerce, and the Small Business of the Year Award from the Scottsdale Chamber of Commerce.

Dan remains an important part of China Mist Tea Company in the position of Chairman, Co-Founder, and CEO.

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His favorite subject was econ, but he didn't get a degree in it and it never says he did well in it.

He is a political hack in Phoenix.

He learned his trade from hippies.

He won't take his company public because he would then hear the continual wrath of the Board and Shareholders about his being such a complete idiot to want higher taxes.

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