Tom Anderson ~
Assemblyman Dick Traini wants to tax the hospitality industry, because faced with dropping state revenues, the Anchorage Municipality needs to generate new revenue.
When you hear the label “hospitality industry” think of your local restaurant, hotel, wine and spirits shop, coffee or food cart, bistro, lounge, veterans or fraternal club. Now, consider who exactly is affected by an alcohol tax: business owners and employees (and their families), the suppliers and advertising venues linked to the businesses, patrons, tourists and even the multitude of charities to whom the industry donates. The hospitality industry is the second largest commerce sector in the state after resource development. The industry is likely the largest contribution source for non-profits like your kid’s Little League team, local veteran activities, the regular assortment of cancer-awareness events…
Anchorage policymakers may let voters decide on a new alcohol tax, but they ought to address the decision themselves. It’s why they were elected. Mayoral candidate Dan Coffey will likely oppose an alcohol tax. It’s unclear if Andrew Halco will or won’t, but he believed in a “sin” tax before. In 2002, he co-sponsored with then-State Representative Lisa Murkowski, House Bill 225, which was a tax to “help offset the immense cost to the state of related alcohol use and abuse.”
Back during the 2002 debate, some legislators and advocacy groups hoped an alcohol tax would convince Alaskans to drink less, but DUIs and abuse have not diminished much. The majority of legislators and organizations who supported the tax also expected at least 50% of the revenue generated to be spent on substance abuse rehabilitation and prevention, as delineated in the sponsor statement. Media reports suggest, however, that in the last decade alcohol and drug programs have been reduced in size and scope statewide relative to abuse, criminality, and treatment needs. Looking at similar cities across the nation that have imposed “sin” taxes, it appears they don’t work to curb alcohol abuse.
While the budget woes of the Municipality of Anchorage won’t subside from a one-industry tax imposition, the tough economy will certainly be exacerbated with a tax on alcohol. What’s worse, customers, business owners, and charitable causes will feel the pain of Traini’s Tax because it’s a trickle down burden to everyone.
More to come on who supports an alcohol tax in Anchorage and why…
Tom Anderson of Optima Public Relations, Mat-Su / Anchorage
Terrence / January 17, 2015
I couldn’t agree more. Nonsense! Rather than assess and implement ways to reduce excessive government and curb expenses like Mayor Sullivan has done successfully, Traini and libs pop up with a sin tax. Wow – what ingenuity. I hope the Assembly has the courage to stop his proposal in its tracks. There’s no need to put this to a vote. Do your job, Assembly members, and dispose of this tax idea like a half-full whiskey glass at closing time.
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Terrence / January 17, 2015
I couldn’t agree more. Nonsense! Rather than assess and implement ways to reduce excessive government and curb expenses like Mayor Sullivan has done successfully, Traini and libs pop up with a sin tax. Wow – what ingenuity. I hope the Assembly has the courage to stop his proposal in its tracks. There’s no need to put this to a vote. Do your job, Assembly members, and dispose of this tax idea like a half-full whiskey glass at closing time.
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Michael Chambers / January 17, 2015
This is a cheap shot directed at our visitors to the state. Traini considers they don’t live here so let’s strap them with our largess as they pass through the state. Not very hospitable of him. This article correctly states that local business and individual’s always take the blunt of increased taxes. We are at a crossroads in determining which services we consider essential as oil breaks the $50.00 mark and by all estimates, will stay there or go lower. Easy math will suggest that “government services” need to be cut by 50%. To maintain anything close to our current budget, we will have to identify a massive number of “sin taxes.” As a libertarian living in a generally republican state, I suggest republicans need to consider the principles of less government which they have only given lip service to. Perhaps it is time to consider libertarian principles of less government and increased personal responsibility. The alternative is the “Traini Sin Tax Train.”
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Michael Chambers / January 17, 2015
This is a cheap shot directed at our visitors to the state. Traini considers they don’t live here so let’s strap them with our largess as they pass through the state. Not very hospitable of him. This article correctly states that local business and individual’s always take the blunt of increased taxes. We are at a crossroads in determining which services we consider essential as oil breaks the $50.00 mark and by all estimates, will stay there or go lower. Easy math will suggest that “government services” need to be cut by 50%. To maintain anything close to our current budget, we will have to identify a massive number of “sin taxes.” As a libertarian living in a generally republican state, I suggest republicans need to consider the principles of less government which they have only given lip service to. Perhaps it is time to consider libertarian principles of less government and increased personal responsibility. The alternative is the “Traini Sin Tax Train.”
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Allison Van Eck / January 17, 2015
Hospitality is of the first to feel the pain of a sluggish economy…I am not sure hitting them up for the difference is the idea we should embrace.
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Allison Van Eck / January 17, 2015
Hospitality is of the first to feel the pain of a sluggish economy…I am not sure hitting them up for the difference is the idea we should embrace.
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Paul / January 18, 2015
What industry will be next?
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Paul / January 18, 2015
What industry will be next?
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Mike Dingman / January 18, 2015
This is another misguided way for Traini to try to get back into your pockets. Don’t let him!
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Mike Dingman / January 18, 2015
This is another misguided way for Traini to try to get back into your pockets. Don’t let him!
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