Around the Fairbanks area it’s like
an ugly lynching scene and believe me it isn’t pretty. Daily while
standing in check out lines, bank lines, coffee house lines, and
just about every other line the inevitable discussion is
Murkowski, or as some call him Frank Ulmer, and his proposed
taxes, excuse me, fees. It was obvious people did not want Fran
because she was up front about taxing us. Now they are saying
Frank is just another deceptive "smoke and mirrors" politician.
People are pretty steamed that he is blaming us for not asking the
right questions. In effect he is saying he knew all along he was
going to tax us . Three months into office and people are saying
it feels like the Knowles regime all over again.
Apparently Frank’s economic growth
plan means taxing basic things the people rely on. A head tax on
their children so they can go to school and get an education, tax
on studded tires to get safely to work, gasoline and a 600% raise
on business licenses. This is a pathetic, uncreative move on
Franks part.
The business license increase is a
bitter discussion among the smaller business in this area. Part of
the reason that 90% of the businesses in Alaska are small, under 5
employees, is the job market in Alaska. In order to help
supplement the family income the path to sustainable income has to
include some creativity. This means going just a bit beyond the
realm of the traditional fast food industry to create a small
business.
It is more cost effective to produce
and sell things out of your home then to hire a day care, buy gas
and drive to a $6 an hour job. According to Alaska State
Statistics and Alaska’s 100 Largest Private Employers Report
Federal, State and local governments employ about 25.5% of the
305,415 workers in this state. The top 100 business employers
employ 20% of the jobs which leaves 54.5% employed in the smaller
and sole proprietor businesses. A curious note is in the top 100
private employers report McDonalds is #45, Pizza Hut - #51, Burger
King- #55, Subway - #91, Blockbuster video - #97. What does this
say about our economy?
Venture capitol in the Alaska
business economy is almost non-existent according to PWC report
which states that "venture capitol is critical to growing new
businesses that will drive the new economy". In other words adding
a higher tax of 600% to business licenses will only make economic
growth in 90% of Alaska’s businesses that much harder. Want to
grow the economy then don’t add taxes to businesses instead make
sure they have tax advantages and access to venture capitol.
Another area of economic growth would
be more incentives for farms to produce. Alaska with its rich
fertile land has a very, very small farming community. In fact
agriculture is so small in this state that it is grouped with
forestry. Good Grief! We could be producing most of the food we
need right here in Alaska instead of importing most of it. The
fact is someone said that if Alaska ever has to go a month without
food being imported we will all starve because the food markets
would run totally out of food in a month. With terrorism a
potential disruption of shipping it could happen.
We can not tax ourselves into wealth
and we can not all work for the governments. Unless turning this
state into a socialistic society is the goal. One guy, standing
behind me in a line said Alaska is just a big "white man’s
reservation". Looking at the way things are going he could be
right.