ASU institute working for Arizona budget solution

Published On:
Monday, November 16, 2009
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Organizations from all over Arizona, including ASU’s Morrison Institute for Public Policy, are working to create a solution to Arizona’s deficit.

Legislators will be presented with a formal recommendation composed by more than 150 Arizona residents who attended the 95th Arizona Town Hall at the Grand Canyon earlier this month.

This year the event focused on Arizona’s current fiscal situation and produced a recommendation to legislators about how to address Arizona’s “fiscal roller coaster”.

Dennis Hoffman, a professor at W. P. Carey School of Business, attended the town hall and authored the 14-page report from the town hall, outlining action participants agree legislators should consider.

The town hall moved to take the proposals outlined in the report directly to voters if the Legislature didn’t take the recommended action, Hoffman said.

Hoffman said he would personally like to see changes made to put the business community’s mind at ease.

“We could gain, as a result, some level of financial stability in the state and send a clear message that, yes indeed, we do have our fiscal act in order,” Hoffman said.

“Expect to see some budget reductions along with increased revenue streams if they follow the prescription of the town hall,” Hoffman said.

The official report said immediate action must be taken to provide short-term relief to the state’s financial system by implementing a temporary sales tax.

The report also offers other solutions for the state’s long-term financial success, including reinstating a state property tax, broadening the sales tax base and lowering the tax rate, eliminating tax exemptions, increased effort to receive federal funding and further evaluating state expenditures.

Several students from colleges around the Valley attended the town hall and provided input toward the financial discussion.

ASU’s Morrison Institute for Public Policy on the Downtown campus is also getting involved in the search for a solution to the budget deficit.

Nicole Haas, communications manager for the institute, said while the Morrison Institute was not directly involved with the Arizona Town Hall meeting this year, it held its own conference on issues surrounding the budget.

The “State of our State” meeting was held in October and hosted many of the same participants that attended the Arizona Town Hall, bringing the conversation to college students.

“It’s certainly going to impact everyone in this state, students included; they are part of the voting public,” Haas said.

Dan Anderson, assistant executive director for institutional analysis at the Arizona Board of Regents, said he thought the recommendations produced in the town hall’s report was an effective way to address the state’s budget because it included input from a diverse population.

“The town hall process is unique in that it gave everyone an equal voice,” Anderson said. “It’s a much broader representation.”

Hoffman, who has attended four town halls in the past, said he noticed a significant difference in this year’s meeting.

“There was a real sense of urgency that the participants of the town hall saw. They clearly had a purpose this year,” Hoffman said.

Reach the reporter at michelle.parks@asu.edu.