(Disclosure: Rose Law Group represents Ann Siner of My Sister’s Closet and Judge John Buttrick in their litigation efforts against 208.)
Returns case to trial court for further proceedings
By Howard Fischer | Capitol Media Services
The Arizona Supreme Court on August 19 ruled the income tax surcharge on the wealthy can remain, at least for the time being.
But how much of the funds can be spent, however, remains in limbo.
The justices rejected arguments by supporters of Proposition 208 that the money that would be raised – up to $940 million a year – is a “grant” to schools. That would have exempted the revenues from a constitutional limit on how much the state can spend overall on education.
But Chief Justice Robert Brutinel said that doesn’t end the matter.
“Because we cannot determine at this preliminary stage of the case the extent to which, if any, such funding will exceed the constitutional expenditure limitation, we decline to enjoin the imposition of the tax,” he wrote. Instead, the justices sent the case back to the trial court.
“If the trial court finds that the tax revenues allocated will not exceed the expenditure limit, there is no present constitutional violation and Prop 208 stands,” Brutinel said.
