Fox unplugged: No new taxes on wealthy

EAST PROVIDENCE, R.I. (WPRI) - You’re going to hear more and more about the idea of raising taxes on upper-income earners in Rhode Island as budget wrangling begins on Smith Hill.

WPRI.com reporter Ted Nesi wanted to take House Speaker Gordon Fox’s temperature on the idea. But not just by asking about “wealthy people” – an imprecise term that the majority of people don’t connect with.

Numbers-loving Ted wanted Fox to take a stand with a fiscal line in the sand: those making $250,000 or more.

I thought the exchange during the taping of "Newsmakers" Friday morning was interesting. So, rather than chop it up into quotes, it’s more telling to let the back and forth speak for itself.

(Please excuse all the commas. As anyone who has interviewed Speaker Fox will tell you, he fires off run-on sentences at the steady pace of a machine gun.)

Nesi: “I'm hearing more and more that the proposal that is going to come forward from the left side of your caucus and with the backing of the unions is raising income taxes on people making $250,000 a year. Could you support that? Could you consider it?”

Fox: “At this point, no.”

Nesi: “Flat no.”

Fox: “At this point. I mean, I'm open to discussing... seeing where it is, but I am going to have to see some real data, real information of how that is not going to further exacerbate our situation. Because if these are the decision-makers who happen to be making that [money] and they are also creating jobs, adding jobs, and they are doing something for the benefit of the state, I don't want it to just be sheer 'did you reach this line in your income and then we whack you.' Because the incentive tells you... and people are mobile, unless you're going to hand out handcuffs and chain people to the radiators, people make decisions and this is a mobile society which is new and changing. People don't stay in one place and the decision-makers can choose to go anywhere in the United States especially with a little state like Rhode Island. It's not like you're in the middle on Montana. To do business in Montana you can't go across the border and relocate to Rehoboth.”

Nesi: “I have to say, you'd never know you're a liberal Democrat from Providence listening to you, Mr. Speaker.”

Fox: “I think that... and as we go through and I've said it in a few forums in terms of, 'What does it mean to be a progressive? What does it mean to be a Democrat?' These are different times. The economy has shifted this world and I think we have to adapt to that and I am talking things that if you asked me 10 years ago, I would never be saying what I'm saying. But as you look at all the factors, you look at all the information... somebody has to step forward and say, 'These are the right decisions,' as unpopular or maybe not where you thought your political ideology will be, because that is the reality of the situation. If we're going to make this state a better place – and I happen to be the Speaker of the House, and I want to do justice for this state, I love this state, it's my birth state, I'm committed to staying here, I've got a family here – I have to be the person that says, 'Stop.'”

As Ted pointed out in the exchange, if you didn't know who spoke those words you probably wouldn't have guessed Gordon Fox. There will be several legislators and progressives who aren’t going to be happy watching the Sunday morning show.

We covered a lot of ground with the House Speaker: unemployment, car taxes, the prayer banner, local pensions, etc. He even dropped the word “gnarly” on us during the show, which we believe is a "Newsmakers" first.

If you don’t feel like waiting, "Newsmakers" will be online soon – I’ll post a link here when it’s up.

Tim White ( twhite@wpri.com ) is the Target 12 investigative reporter for WPRI 12 and Fox Providence. Follow him on Twitter: @white_tim