Grassroots Generosity, Budget Realities, and the Threat of Graduated Income Taxes

On Friday, March 20, 2020, the Kim Monson Show highlighted the spirit of American generosity during the early days of COVID-19 shutdowns with Brad Beck’s White Envelope Project, examined Colorado’s looming $900 million budget shortfall with State Representative Kim Ransom, heard market insights from Jason McBride of Presidential Wealth Management, and explored the dangers of Initiative 271’s proposed graduated income tax with author Rick Turnquist.

Neighbor Helping Neighbor During COVID Shutdowns

Start listening at 7:00 – Hour 1

Brad Beck, co-founder of Liberty Toastmasters, launched the White Envelope Project as a direct response to the closure of Colorado’s restaurants and bars. His daughter, working in the hospitality industry, had just been laid off, prompting Beck to consider the thousands of workers suddenly without income or tips.

The concept is simple but powerful: take a white envelope, put cash inside, and leave it at your favorite restaurant’s door with a note saying “for your employees.” Beck created a video explaining the project, tagged it with the hashtag #WhiteEnvelopeProject, and watched it spread across social media nationwide. The initiative exemplifies the American tradition of voluntary community support rather than government dependency.

Beck also recommended Michael Michalko’s book Thinkertoys for creative thinking during difficult times, emphasizing the importance of starting each day with something positive rather than consuming negative news cycles.

“I decided to take a white envelope and put some money in it and stick it in the door with a little note that said, for your employees.”

Brad Beck, Co-founder, Liberty Toastmasters

Colorado Faces $900 Million Budget Shortfall

Start listening at 13:23 – Hour 1

Kim Ransom, State Representative and Joint Budget Committee member, delivered sobering news about Colorado’s fiscal situation. A legislator had tested positive for COVID-19, potentially exposing the entire General Assembly and delaying budget deliberations. The original March 30th deadline for balancing the budget would not be met.

The budget shortfall now stands at approximately $900 million, representing reduced growth projections rather than absolute cuts. Programs already approved during line-item setting face potential defunding, and new legislation lacking appropriations cannot be implemented. With a total budget of roughly $33 billion, lawmakers must make difficult prioritization decisions.

Representative Ransom explained that if the legislature cannot reconvene due to ongoing health concerns, Governor Polis could call a special session specifically to pass a budget. Such a session would be limited to budget-related matters only, with all other pending legislation effectively dying on the calendar.

“I just want to thank the taxpayers once again and the voters for voting down RepCC last November. I’m so glad that you, the voters, and the taxpayers of Colorado, you know, have that extra money in your pocket versus the government having it.”

Kim Ransom, Colorado State Representative

Market Shows Signs of Finding a Bottom

Start listening at 27:37 – Hour 1

Jason McBride of Presidential Wealth Management observed cautiously optimistic signals in the market’s recent trading patterns. The NASDAQ had experienced a strong 6% up day on Wednesday, followed by a Thursday selloff that still closed in the upper part of its daily range, and another positive Friday session.

McBride cited Britt Hume’s advice: investors with cash, courage, and a long time horizon might find opportunities in quality American businesses trading at significant discounts. While acknowledging that no one can predict the absolute bottom, McBride noted the market appeared to be attempting to establish a floor. He also praised local businesses like Big O Tires and King Soopers for their excellent customer service during the crisis.

“If you have some cash, some guts and some time, this might be a good time to think about adding in a little to good, solid American businesses that are on sale and are unlikely to shutter their doors permanently.”

Jason McBride, Presidential Wealth Management

Initiative 271 Would Punish Success with Graduated Income Tax

Start listening at 35:25 – Hour 1

Rick Turnquist, author and blogger, exposed the mechanics and dangers of Initiative 271, a ballot measure currently gathering signatures that would replace Colorado’s flat 4.63% income tax with a graduated system. The initiative comes from Vision 2020, a coalition including the Bell Policy Center and Colorado Fiscal Institute.

Under the proposal, incomes up to $250,000 would see a slight decrease to 4.58%, but rates climb sharply thereafter: 7% for incomes between $250,001 and $500,000, 7.75% for $500,001 to $1 million, and a crushing surtax of $67,000 plus 8.91% on amounts over $1 million. Turnquist calculated that top earners would face an effective Colorado rate of 15.68%, bringing their combined federal and state income tax burden to over 52%.

The initiative would also create a 25-member “Fair Tax Review Commission” appointed by legislative leadership and the governor, charged with monitoring revenue and the business climate. Turnquist warned that wealthy residents would either find tax avoidance strategies or simply relocate to states without income taxes, citing research from An Inquiry into the Nature and Causes of the Wealth of States showing that high-tax states consistently underperform economically.

“And I ask the question, how can it be right or moral to make somebody 50% a slave simply by a majority vote of the people?”

Rick Turnquist, Author and Blogger