(April 2, 2004) California Chamber President Allan Zaremberg is co-chairing Californians Against Higher Property Taxes, a coalition opposed to the 55 percent property tax increase aimed for the November ballot.  The Chamber is urging employers across the state to oppose this multibillion-dollar property tax increase.

The measure, sponsored by the California Teachers Association (CTA) and director/actor Rob Reiner, is currently being circulated and supporters are gathering signatures to qualify it for the November ballot.

”In March, the public employee unions wanted to give the Legislature a ‘blank check’ to raise taxes, but Proposition 56 was defeated showing that Californians are against new taxes,” said Zaremberg. “Now the California Teachers Association wants to raise your taxes again with this new initiative.”

This measure will directly increase costs on employers throughout the state — whether they own their property or lease their space. This measure will only cause harm to those businesses that have struggled to survive and keep their doors open as the cost of doing business in California has continued to climb. To put California’s economy on the road to recovery, Californians Against Higher Property Taxes will be campaigning diligently to ensure itsmessage gets out and people are aware of the huge impact this 55 percent property tax increase will have on California’s economy.

Further, while this measure purports to help schools, school districts will not have the flexibility to spend the money as needed. Rather, all of the tax dollars must be collectively bargained instead of going immediately and directly to the places where it is most needed to help improve California’s education system. Historically, the California Chamber of Commerce has supported responsible measures to help improve California's education system, such as Proposition 55, the kindergarten-university bond measure on the March ballot.

'The CTA/Reiner initiative represents the politics of the past where wealthy special interests subvert the legislative process with a ballot initiative that provides direct financial and political benefit,' continued Zaremberg. 'The CTA promises certain exemptions and small tax breaks for some businesses, but in the end the plan amounts to a whopping annual tax increase of more than $7 billion.'

For more information, please visit www.nopropertytaxincrease.com