Colorado Democrats’ tax on direct mailers and small businesses would cost the state jobs, revenues

Governor Bill Ritter, with the support of Democrat gubernatorial candidate John Hickenlooper and Democrats in the General Assembly, are trying to destroy jobs and small businesses by imposing a tax on direct mail (“junk mail”) that would cost the state jobs and more tax revenues than it would generate

I used to be in the direct mail business as a printer, mailer and advertiser. Colorado is an expensive place to buy printing, and with postage costs out of sight, direct mail doesn’t make much sense for a lot of businesses anymore.

Here’s who the Colorado Democrats’ direct mail tax, which is being carried by Rep. Jack Pommer (D-Boulder), will hurt:

1. The few remaining mostly small printing and mailing houses in the state.

2. Realtors, financial planners, window washers, home cleaning services, politicians, service organization, restaurants, auto repair shops, car dealers and others that use direct mail to generate business. They’ll have to go online and buy their direct mail and mailing services out of state. Many already do.

3. Graphics arts and direct mail freelancers and shops that will lose their business to online services.

4. Consumers who will pay more for services because they will have less information about local providers of the services they want to buy.

5. Colorado, which will pay more for Medicaid and generate lower tax revenues as people lose their jobs.

6. Postal workers who won’t be needed to process and deliver “junk” mail.

7. The politicians who are sponsoring this legislation, because they’re showing their ignorance of how direct mail creates jobs and tax revenues in Colorado.

8. Democrats who are showing their arrogance and lack of ethics in bypassing TABOR, which requires all tax increases to be approved by voters.

9. The State Supreme Court, which has allowed such tax increases without voter approvals as required by TABOR. This is just another example of how intellectually dishonest and incompetent the court is and why everyone should vote no on retaining the chief justice and the other three justices who will be up for retention in November’s elections. It’s definitely time to Clear the Bench Colorado.

10. Colorado-based sales people who sell equipment, paper, ink and other supplies and services to local graphics design shops, printers and mailers.

11. Colorado-based technicians who maintain the equipment used by local direct mail printers and mailers.

13. Colorado auto dealers who sell delivery vehicles to printers and mailers.

14. Landlords who rent space to mail and print shops as well as to ad agencies and graphics design shops.

15. Trash haulers who serve mail and print shops.

16. The kids of all of the people whose parents will lose their jobs. Think of what it’s like to live in the home of an unemployed, distressed, scared and angry parent. Of course, Pommer and his teacher union backers don’t care what happens to the children.

Who will be the winners if the tax increase on junk mailers is passed?

1. Out-of-state mailing and printing companies.

2. Pay-per-click advertising services such as Google and Bing.

3. Out-of-state and offshore creative shops that will write copy and design mailers for Colorado businesses and professionals.

4. Republicans who are showing that they understand and support Colorado’s small businesses, that they oppose all tax increases and that they respect the rule of law and TABOR.

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