Seniors need their continued sales tax break

  • By Rosemary Matt
  • Wednesday, September 27, 2017 7:12pm
  • Opinion

I am responding to a recent My Turn column written by Debbie White. Please note, first and foremost, Ms. White is trying to retain her position on the CBJ Assembly. As are the other two assembly members — Gladziszewski and Kiehl.

Ms. White feels threatened by the senior citizen voters as she is supporting “disregard the old people (senior citizens) and favor the new (younger citizens).” Referring to senior citizens who disagree with her politics as “picking at scabs” sure did not win my vote.

But let’s look at the injury to seniors. A reasonable assumption is that 15 percent of income goes to food and other items that are currently exempted from sales tax. That means that 85 percent of income is taxed at 5 percent. Five percent of 85 percent equates to a decrease in purchasing power of 4.25 percent.

Ms. White’s assumption that “many of our current retirees enjoy generous pensions” is not true. I retired 11 years ago. My retirement at that time was generous, but it is a fixed income. In 11 years my buying power has decreased 22 percent. That is based on the CPI which is not exactly a true reflection of inflation. So combine the two reductions (22 percent and 4.25 percent) and my purchasing power is now reduced by more than 26 percent. I believe that is a significant amount. Anyone who receives a 26 percent reduction in income is going to scream. So as petty as it may sound to you, Ms. White, taking away benefits is meaningful all the way from sales tax exemptions to property tax reductions.

I had to laugh when I read that Ms. White feels that supporting seniors is illustrated in her support of the new assisted living facility. Ms. White, please, only a small percentage of seniors are ready for the “old folks” home. In fact most are totally capable of living independently and performing all required tasks for safe, daily living.

Yes, some younger residents are leaving for economic opportunities. But did you know that 25 percent of all workers in Juneau are not Juneau residents? Perhaps the Assembly should consider this as a problem. The State of Alaska may be the largest employer in Juneau, but it is not the only employer. There are jobs available in Juneau and there are employers begging for workers.

Here are some more facts from AK DOL. Nationally senior citizens (65+) make up 14.5 percent of the population. In Alaska that figure is 10 percent. In Juneau that figure is 11 percent. Projections for 2020 for Juneau are a senior population of 14 percent. This is an increase but not the feared Silver Tsunami.

Taking money from senior citizens was an easy way out to balance the budget. Now the real work begins for the assembly. Ms. White, Ms. Gladziszewski and Mr. Kiehl have already had an opportunity to show some leadership, but, in my opinion, were not too successful. It is time to stop business as usual and give some new people an opportunity to succeed. Out with the old and in with the new. That is the message that I take from Ms. White.

My vote is going to Chuck Collins, Robert “Rob” Edwardson, and I am writing in Andy Hughes.

If you are a senior citizen and need a ride to the polls, call me. I will get you to the voting booth. My phone number is 789-7888.


• Rosemary Matt is a retired Juneau resident and a financial contributor to Juneau Seniors Supporting Seniors, a political action committee lobbying for the restoration of the full senior sales tax exemption.


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