Two initiatives pro-posed by Mukilteo businessman Tim Eyman and to be placed before voters in November both would be harmful to Council 2 members.
One, Initiative 722 the so-called Son of I-695 would place a 2 percent annual limit on property-tax increases. If enacted, the measure would restrict governments spending growth to no more than 2 percent.
That restriction, in turn, would restrict governments ability to increase compensation for their employees.
Obviously, if our employers cannot keep up with inflation, now running at about 3.5 percent, it is going to be difficult for public employees, says Pat Thompson, Director of Legislation/Political Action for Council 2.
By setting the cap at 2 percent, the initiative does not take into account general economic growth or the effects of inflation. It clearly will be difficult for members to keep up in terms of salary.
The other initiative, 745, is aimed at eliminating transit systems. It requires that 90 percent of all transportation funds go to roads, thereby reducing the money available for mass-transit and pedestrian projects.
Both initiatives come at a time when local governments already are reeling under the effects of I-695, which was approved last year. That initiative is still caught up in the court system, but the revenue cuts it caused have been felt.
Local governments have maintained most of their services so far by using their reserves. Obviously, that resource will end soon.
We dont yet know how deep a hole 695 created, but we do know that these two initiatives will make it much deeper, Thompson says.