Vote No on lowering state income taxes

By Ginny Gaylor
Public Ed Works

The North Carolina state constitution in article nine section two promises a uniform system of schools. The document defines this as “The General Assembly shall provide by taxation and otherwise for a general and uniform system of free public schools, which shall be maintained at least nine months in every year, and wherein equal opportunities shall be provided for all students.”

For us at Public Ed Works, the phrase “uniform system of free public schools” is vital. It means that every child in our state is promised an education. Not only are they promised an education, we promise those children and their families the education provided will be the same quality as one across the street or across the state.

The sad fact is North Carolina is not currently upholding that promise. Our public schools are not uniform when it comes to facilities, resources and more. We allow too much of the financial burden to be placed on the individual counties to fund schools. This results in numerous inequalities for students.

What’s more, in the upcoming election, residents will be voting on a cap on state income taxes. Currently in NC, the maximum income tax rate is already capped at 7%. The amendment on the ballot wants to lower that to 3.5%.

Lower taxes, sounds great right? Well taxes are what fund our public schools. Schools which are already struggling. Lowering the tax rate will cause even further harm to the quality of education our state’s children receive. And both sides of the aisle recognize the harm this amendment could bring to the state

According to the League of Women Voters, the current law already keeps the individual income-tax rate below the proposed 3.5% cap, and the amendment itself would not lower current taxes. Placing the cap in the Constitution would limit the ability of future elected leaders to respond to changing economic conditions and state needs.

The NC Budget & Tax Center offers some other reasons why the amendment is bad for North Carolina. For one, it will not make our state more affordable. In fact, the NC Budget & Tax Center explains that the amendment will not lower the cost of child care, housing, health care, groceries, utilities, transportation or insurance. If anything it stands to make affordability worse by limiting the revenue needed to fund the public investments that help families manage those costs.

Currently, NC’s standing in business is strong. Companies want to come to our state. This amendment could slowly destroy our state’s economy. Over time, permanently limiting a key state revenue source could lead to crowded classrooms, weaker public services, deferred infrastructure and communities less prepared for growth or crisis.

North Carolina’s thriving economy depends on core public investments like strong schools, affordable child care, reliable infrastructure, healthy communities, disaster readiness and a skilled workforce. All of these serve as the long-term foundation for workers, families and employers. The proposed income tax cap amendment would do significant damage to our state.

Finally, as stated above, our rural communities already struggle with paying for public schools and other services. They often depend on state revenue to stabilize budgets because of their smaller tax bases and limited local revenue options. If the state restricts its own ability to raise revenue, this could hit rural counties especially hard, resulting in the need to cut services, delay investments or raise local taxes and fees. The result is inequities are made worse and basic needs go unmet.

Maybe you don’t have children or grandchildren, but even if you aren’t personally invested in seeing our state adequately educate our youth, odds are you do want our state to be successful. You want to have your roads paved when pot holes form. You want the fire department to come quickly when your neighbor’s house is struck by lightning. You want EMS to respond in time to care for your partner’s heart attack. The income tax pays for all of these services and more. Consider that before you vote yes on November 3.