Arizonans who bought a new car or truck last year may be helping fund the campaign to kill Proposition 204.
The Arizona Automobile Dealers Association asked its members to pony up $2 for every vehicle each of them moved in 2011. The result was a donation of nearly $339,000 to the anti-204 effort, making it the second-largest single source of cash for the campaign.
Bobbi Sparrow, president of the organization, said members are concerned about where the $1 billion a year that would be raised will be going. She pointed out that while most of the funds are earmarked for public education, the initiative also promises shares for everything from welfare programs to road construction.
But Sparrow said there’s also an element of self-preservation for the dealers who sell pretty much the most expensive taxable item in Arizona.
She said there already is a problem with Arizonans buying vehicles elsewhere because of the state’s high vehicle license tax. That annual levy is based on the value of the car or truck, meaning it is most expensive on new vehicles.
“Now our sales tax is going to be the highest besides Tennessee,” Sparrow said. She predicted that the savings from a one-cent difference in sales taxes — about $250 on a $25,000 vehicle — coupled with the lower VLT will just prove too much for some customers.
“I just don’t think they’re going to come back and register,” Sparrow said. “You can get a P.O. box in Oregon and do it, for God’s sake.”
But initiative organizer Ann-Eve Pedersen said the dealers’ claims ring hollow.
“They had a great sales year last year,” she said.
More to the point, that was with the state sales tax at 6.6 percent. That includes a temporary one-cent surcharge approved by voters in 2010.
And Pedersen pointed out that the tax imposed by Proposition 204, if approved, would not take effect until June 1, the day after the temporary levy expires.
“So nothing’s changing,” she said. “And so I don’t see why if they had a great sales year last year with the one cent in place, and all we’re doing is maintaining that same one cent, the car dealers would be taking issue with this.”
Sparrow is not releasing a list of which dealers contributed and how much each gave.
She said the association’s board asked for $2 per vehicle “just to start getting dealers thinking” about what would be a fair contribution.
“We had some dealers that didn’t give anything, we had some dealers that gave more than the $2,” Sparrow said. “We had some that just gave us a flat amount.”
Pedersen, for her part, said she and other supporters will do what they can to figure out who gave money. And she suggested that there might be a benefit for those who did not donate to publicize that fact.
“I have to buy a new car because my car konked out from all this driving all around the state,” Pedersen said, leaving her in a rental vehicle for the time being.
“At the end of the campaign, I will be buying a new car,” she continued. “And I’d like to know who did not contribute.”
Sparrow said she’s not against funding of education, pointing to her previous employment as a lobbyist for the Arizona School Boards Association. But she said there are concerns that that not all of the money is going for education.
Pedersen, however, said the dealers’ opposition is strictly political. She said the group is seeking to curry favor with Gov. Jan Brewer and Republican lawmakers who are opposed to the initiative.
chuckles3 posted at 6:11 pm on Wed, Oct 24, 2012.
Nice, the victims are fighting back. I am sure they will be painted as anti-education and anti-children by the left.
samkat posted at 7:11 pm on Wed, Oct 24, 2012.
Actually, I Googled state taxes and we are not number 1 or even number 2. It was more like number 9. Besides, if I can help prevent out greedy republican legislators from diverting our education tax dollars to their special pet projects, I will bite the bullet. For the record, I am an empty nester and still support having a top notch education system.
chatmandu002 posted at 10:46 pm on Wed, Oct 24, 2012.
Vote NO on prop 204.
loose stool posted at 3:24 am on Thu, Oct 25, 2012.
I voted no on 204 every time you turn around somebody wants to raise taxes for the children. Its a old liberal trick they use to give themselfs raises, the children dont benifet.
Katydid52 posted at 8:42 am on Thu, Oct 25, 2012.
I will be voting No on 204. Anti-education? The opposite. I have worked in schools for 15 years (no, not a teacher). When they make sound business decisions and logical decisions, they can have more of my money.
Also, to those who think it's a conservative issue? California? Chicago? DC? Throwing money at schools doesn't work no matter who is in charge if their use of funds would not even make sense to the average person walking down the street.
samkat posted at 12:53 pm on Thu, Oct 25, 2012.
If anyone reading this article happens to locate the list of dealers who donated, please publish it here as I plan to purchase a new truck soon and would like to steer away from the yahoos to were contributors.
PS: Katy, stool and chat, I still plan to vote yes. :-)
wellreadone posted at 2:59 pm on Thu, Oct 25, 2012.
Education funds need be for education only but on the other hand, there are many very informed people that assure me, over and over again, about one specific thing.
If you wish to identify some of the very worst causes of a failed education system, look closely at the education administration folks and not the teachers.
Hotcopone posted at 3:24 pm on Thu, Oct 25, 2012.
Hey Sam Kat, you may have to buy out of state because I'm sure just about every dealer contributed.
I like having a great education system and God knows we need it here but not to the tune of 1B a year w/o any oversight.. Not happening with me.
I do believe that our educators are under paid here but this isn't the answer on how they wish to do it.
I want less taxes and government.. not more !
Deddzone posted at 9:17 pm on Fri, Oct 26, 2012.
Voted "yes" on 204. OK--so car dealers do not want an educated population of voters.
Arizona needs to hire more teachers and prepare students for college. I notice hospitals, finacial institutions, big business etc are not calling for gutting of education. The last time Brewer and her rightwing nuts took the voter approved money for school and spent it on everything BUT education.
That's what you get when you have the only Governor in the US who did not obtain a college degree. Hey, but she could see a car!
Deddzone posted at 9:24 pm on Fri, Oct 26, 2012.
"Sparrow is not releasing a list of which dealers contributed and how much each gave."
Guess they fear losing money if they release the dealer's names.
DrJCA1 posted at 10:16 pm on Sat, Oct 27, 2012.
I love the idea that is currently in vogue - throwing lots of money at the schools will improve education. Growing up in the slums of Brooklyn we walked to schools which were 50-75 years old, had no A/C, auditorium, or lunchroom. Our books were old and weatherbeaten, our teachers were old ladies who were paid garbage. In spite of this, almost everyone of us graduated high school and most went on to college to become something. This was before the Department of Education existed. The difference? We had families that were actively involved in our lives, had mom home to raise us properly, had both parents helping with schoolwork, had teachers who actually cared about us, and were taught self-respect and self reliance by our communities. Jews, Italians, and Irish made up about 99% of our area and all three groups had immigrant parents who came here to better their lives. No government money was involved as this was a disgrace back then. Our values have certainly chaged over the past 60 years, haven't they?
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