Arizona Free Enterprise Club: The Harmful Effects of Prop 206 Begin to Sink In

Arizona Free Enterprise Club

It has only been a month and the recently approved minimum wage initiative, Proposition 206, is already inflicting permanent damage on Arizona’s Economy, hardworking taxpayers and our most vulnerable and needy residents.

Similar to previous proposals, Prop 206 was sold on the idea that Arizona could raise its minimum wage to $12 an hour (adjusted for inflation every year thereafter) and require employers offer mandated paid sick leave to employees without any negative repercussions.  Reading the fine print of Prop 206 exposed this fraudulent claim; as the funders of the initiative (California Unions) exempted collective bargaining agreements from critical components of the initiative.  If this was so good, why exempt themselves from it?

Now the debilitating impacts of Prop 206 are being felt, and they are far more widespread and catastrophic than even the opponents of the initiative realized.  While it wasn’t a secret that Arizona businesses would face hard choices in order to comply with the wage hike, some of the worst hit organizations will be those that serve the neediest and most vulnerable populations in our state.  Currently in-home care services, many of which aid fragile and feeble seniors, range from $20-$24 an hour.   These services will go up;pricing out many of these seniors on fixed-incomes from receiving the care they desperately need or force more individuals onto state welfare rolls.

The developmentally disabled in our community will also be devastated by Proposition 206.  According to the President and CEO of the Centers for Habilitation and member of the Arizona Association of Providers for People with Disabilities, some providers will be forced to close operations as soon as January 1, 2017.

Some of these providers have contracts with the State of Arizona that set the reimbursement rates.  This means the state will be forced to allocate more taxpayer money to cover the higher costs.  If the state doesn’t cough up more tax dollars to address these needs, thousands of developmentally disabled in Arizona will be left without vital care.

It only gets worse from here.

Many subdivisions of the state such as school districts will also be deeply impacted by the voter mandate.  Positions such as cross walk guards cafeteria workers and bus drivers, many of which are part time positions, represent a significant aggregate cost to schools; costs which were neither anticipated nor planned for by districts or the state.

For Chandler Unified School District, Prop 206’s passage represents a $1.1 million hit to their budget.  Agua Fria Union High School District in the West Valley, $123,500.  Peoria Unified District – $1.1 million by 2020.  And Sahuarita District in southern Arizona $907,576.   These are tremendous costs which will necessitate the diversion of other resources from teachers and students or require more monies from taxpayers.

And although the law does not apply to state or federal agencies, many government departments will still be on the hook.  The State of Arizona has expenditure obligations for school districts as well as private contracts through AHCCCS (Arizona Healthcare Cost Containment Center System).  But the legislature has already passed a budget for 2017.  These additional costs were not included in the state’s budget.

Many voters that supported Prop 206 were not aware of the harmful effects this initiative would cause. Yet unlike bills proposed and passed at the legislature, there was no independent review, hearings, or public comment process of the initiative language to inform voters of these inevitable issues.

Now, even if voters wanted these issues fixed, Prop 206 can’t be modified because Arizona initiatives are bound by the strictest voter protection law in the country.  Once a measure is passed at the ballot, it can’t be changed unless it is sent back to the voters, and that can’t happen for two years.

As the saying goes, “elections have consequences.”  We suspect that the consequences of Prop 206, however, are not what Arizona voters signed up for.

Arizona Free Enterprise Club: Minimum Wage Initiative a Ploy to Unionize Workers

Free Enterprise Club

Reposted from The Arizona Free Enterprise Club.

Currently there is a massive effort underway to get several “California-style” initiatives on the ballot in November. The Club encourages anyone approached on the street by one of these petition carriers to “decline to sign.” One of the initiatives likely to get the signatures necessary to qualify jacks up the minimum wage and mandates minimum state-wide paid sick time.

Specifically, the measure increases Arizona’s minimum wage from the current $8.05, to $10 starting January 1st, 2017 – and tops out at a whopping $12 an hour in 2020, then defaulting back to increases based upon the cost of living index. Additionally, if passed, it would mandate businesses with more than 15 employees provide 40 hours of paid sick time and 24 hours of annual paid sick time for businesses with less than 15 employees.

This voter protected act would have a devastating effect on Arizona’s economy. Minimum wage schemes set an arbitrary floor on every industry, every business, and every job – and divorces wages from the actual economic value a position creates. As a result, minimum wages do not heed any more buying power for the people they purport to help, but instead increase costs and therefore create an eventual pressure to increase prices. Mandatory paid sick leave is another invention of the left which seeks to create policies in a vacuum outside any economic realities.

However the real intent of these “worker welfare” movements is more and more obvious. The campaign “Arizonans for Fair Wages and Healthy Families” is being pushed by the union-backed organization LUCHA (Living United for Change in Arizona) who since 2013 has advocated the “Fight for $15” for fast food workers and other out-of-state union groups. The battles are for minimum wage and paid sick leave; the war is unionization of the total workforce. This is evidenced by the fact that this very initiative exempts workers under a collective bargaining agreement. In other words, we have hit a new level of hypocrisy. If this was about creating the workers’ paradise, and not about incentivizing unionization, there would be no exceptions.

As if this all wasn’t damaging enough, the initiative has another kicker, which allows cities and towns to pass more generous wage and benefit mandates. With cities such as Tempe, Flagstaff, Phoenix, and Tucson – Arizona can expect to have a patchwork of employment laws – making doing business across city borders an arduous endeavor.

Arizonans should be wary this election season. Union groups and leftist interests are out in full force – trying to make the Grand Canyon State look more like an increasingly bankrupt California. If voters are wise, they will reject destructive ballot initiatives such as this one.

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Is Senator Kimberly Yee Feeling the Bern?

Is this GOP State Senator Feeling the Bern?

Source: American Action News

http://americanactionnews.com/articles/is-this-gop-state-senator-feeling-the-bern

An Arizona State Senator is pursuing a strange, populist course of action that puts her in camp with Bernie Sanders and Elizabeth Warren- the sort of interest rate voodoo that helped create the financial crisis:

Arizona State Senator Kimberly Yee is not making any new friends among the free-market Republican crowd in Arizona. In a recent Senate hearing, Yee, who has been touted as a rising star in the party, held her fire after a long debate until the voting opened on a financial services bill in her committee. She then unloaded with full ammunition on the financial services industry and their free market principles.

“This bill just doesn’t feel right,” Yee proclaimed. “I am standing with the poor,” while attacking the well-funded groups who were supportive and their consultant class.

Yee went on to explain she has a “strong moral compass” and wants to protect people – that she would possibly consider a bill capping interest rates on loans in Arizona, a position which is specifically prohibited under federal law by Dodd-Frank.  By promoting rate caps, Yew veers left of the Obama Administration.

The issue at hand in last month’s Senate Commerce committee hearing was a proposed consumer lending bill known as Flexible Credit Loans, which would create a new credit product for up to $2500 over the course of a two-year loan term. Yee emphatically stated she could not back the measure before teeing off on its supporters with a blistering rhetoric.

The bill (and ones like it across the country), however, is supported by a broad base from left of center to the far right.  In Arizona, leading free market groups, the Arizona Free Enterprise Club and the Goldwater Institute have spoken out in favor of the legislation.

One conservative Republican interviewed on the subject off the record stated that they were quite surprised at Yee’s comments and mini tirade.  “She sounded more like Bernie Sanders than an Arizona Republican.  I’m not quite sure where all of that came from.”

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Representative Paul Boyer Endorses Mark Brnovich for Attorney General

Brnovich_logo

“He will lead by example and that is the type of leader we need as our next Attorney General.”

Recently, Republican candidate for Attorney General Mark Brnovich received the endorsement of Legislative District 20 Representative Paul Boyer.

“I am endorsing Mark Brnovich for Attorney General because he has the experience and the real conservative values our state desperately needs,” said Representative Boyer. “I’m supporting Mark because I believe he will lead the fight to protect our constitutional rights and the conservative ideals I cherish. He will lead by example and that is the type of leader we need as our next Attorney General.”

Boyer, who has previously been endorsed by Arizona Right to Life and The Arizona Free Enterprise Club, is the current Vice-Chair of the House Health Committee.

Mark Brnovich remarked: “I’m honored to receive the endorsement of Representative Boyer and deeply respect the work he has done to protect school choice and advance the charter movement in Arizona.” Brnovich added that, “his commitment to the pro-life movement is unwavering.”

Representative Boyer joins Representative Debbie LeskoCounty Attorney Bill Montgomery, and U.S. Representative Trent Franks in endorsing Mark Brnovich for Arizona Attorney General.

ABOUT MARK BRNOVICH

Raised in Arizona, Mark Brnovich is a graduate of Arizona State University. After law school, Mark prosecuted felonies in the Gang/Repeat Offender Bureau of the Maricopa County Attorney’s Office and worked as an Assistant Attorney General for Arizona and as Assistant US Attorney for the District of Arizona. Mark also served his country as the Command Staff Judge Advocate for the 153rd Field Artillery Brigade of the Arizona Army National Guard for eight years. Mark met his wife Susan while both were working as prosecutors. They live in Phoenix with their two daughters.

For more information, please visit www.Mark4AZ.com or email mark@mark4az.com.


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