The cost of veterinary care, a round of golf, and amusement park tickets could all go up thanks to Gov. Arnold Schwarzenegger’s proposal to start taxing more services in the state.
The proposal is part of the Republican governor’s plan to balance the state’s $42 billion deficit. If approved, it would apply a 9 percent sales tax to a list of services and luxuries that also includes auto repairs, admission to sports events, and furniture and appliance repairs.
Many California residents—from retired golfers to auto mechanics—are opposed to the potential tax increase because of the dent it will make on consumers’ wallets and lifestyles. Members of the animal welfare community are doubly upset, asserting that the proposal will hurt animals and their owners both financially and ideologically.
“It sends out the message that veterinary care is a luxury or a hobby,” said Kelly White O’Neill, executive director of the Santa Maria Valley Humane Society. “This is just another barrier preventing people from taking responsible care of their pets.”
The Santa Maria Valley Humane Society is home to the North County’s only low-cost veterinary clinic. If the budget passes as is, clinic prices would go up several dollars for each individual service. Neutering a cat, for instance, would jump from $45 to $48. The cost of spaying a dog would increase even more: from $65 to $70. And while $3 or $5 might not seem like significant increases, White O’Neill said a few dollars are often the deciding factor for pet owners struggling in today’s financial climate.
“In a down economy, we don’t want to make it harder for people to do the right thing for their pets and, ultimately, their neighborhoods and communities,” White O’Neill said.
Since Schwarzenegger released his budget plan at the beginning of the year, the Humane Society has joined dozens of other organizations in petitioning the governor and other state legislators to not include veterinary services in the proposal.
While the tax would help generate initial funds, White O’Neill said it would ultimately end up hurting the state more than anything.
When people don’t take proper care of their pets, she explained, the responsibility and cost ends up going back to the state in the form of county animal shelters and taxpayer dollars. Ultimately, she sees the thinking behind the proposal as understandable but misguided.
“The legislators aren’t trying to harpoon veterinary services,” she said. “They see what people are spending on their pets and how it’s expanding, and figure that people are going to pay for those services no matter what.
“But those of us on the front lines of the animal welfare community know that for every person who can afford a $500 dog bed, there are twice as many who can’t afford a rabies vaccine.”
Representatives at the governor’s office, however, said the decision to tax veterinary and other services was based on necessity and functionality.
“We need that revenue as fast as possible,” said Aaron McClear, the governor’s press secretary. “We’re just days away from running out of money and not being able to pay our bills.
“Those services were chosen because they already have the infrastructure set up to tax consumers,” he said.
Veterinarians and auto mechanics, for example, already tax their customers for certain products, such as dog food or car parts—but they don’t tax for providing services.
Based on the state controller’s prediction that the state will run out of money by the middle of February, state legislators are expected to vote on the budget as soon as possible.
For more information about the budget and proposed tax increases, visit gov.ca.gov or contact the Office of the Governor at (916) 445-2841.
This article appears in Feb 5-12, 2009.
