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LEGISLATIVE NEWSLETTER 4 --FEBRUARY 1-7/2009 In general, the economic picture continues to be bleak and this overshadows practically all discussions in the legislative hallways. January sales tax revenues dipped well below projections. Unemployment figures may soon top 7.0% in Idaho. Bankruptcy figures have increased over 50% in the past six months and home foreclosures are up as well in Idaho. I stopped by a barber shop this morning and talked to one customer. He worked with a John Deere sales and repair facility. Last summer he said they had a staff of 20 and today they only have three still with the operation. The Idaho Congressional delegation will vote against the stimulus package now before Congress; however, I haven't talked to anyone who says we shouldn't accept any stimulus funds directed toward Idaho. Idaho legislative leaders at least are talking about the need to plan for any federal funds that come our way. Both the Legislative and Executive Branch should work together to make both short and long term plans for these funds. We should best use dollars for their stated purpose to help create jobs--these are in the areas of transportation infrastructure, energy development, university research, and other comparable areas. We need to have plans in place before the funds show up. We will carefully have to examine the conditions attached to the stimulus funds. Some conditions may unacceptable to the state. 1. Transportation -- The Governor's plan for transportation infrastructure will be presented next week to the House Transportation Committee.
The plan includes the following five proposals, totaling $174 million. These include 1) raising vehicle registration fees, 2) raising the gas tax, 3) redirect 5 percent funding from the Idaho Police to the general fund, 4) elimnate the tax exemption for ethanol, and 5) and taxing rental cars. It is reported that Rep. Leon Smith will introduce legislation raising the fue tax by 25 cents per gallon.
2. K-12 Funding -- Legislative leaders are committed to keeping the public education budget whole through the rest of the year even if it means dipping deeper into the state's education rainy day fund. The fund which was at $114 million at the start of the year is now down to $53 million. Tax revenue has come in about $100 million less than a year ago, and there are some estimates that we could face a 15% decrease in tax revenues this year. SPI Tom Luna has asked for a decrease in about $75 million in the K-12 budget for the FY10 year. An interesting scenario is that there are funds in the tentative stimulus package which would restore K-12 funding back to FY08 levels, and this could also apply to Higher Education. Once the vision becomes clearer it will make for interesting discussions. 3. Local Option Taxes -- several proposals have been talked about in recent weeks in the Legislature. The main discussion has turned to whether to grant this authority by statute or by amending the State Constitution. Personally I support the local option tax proposal, and voted for the bill last year that would have granted it via the State Constitution path because it was the only game in town. This year I would support the path via statute -- a 60% vote of the citizens and 50% of the money going to property tax relief and the other 50% to a specific project (an example -- in Latah County the Joint Law Enforcement Center) 4. Palouse -- Clearwater Forest -- One of the issues of importance facing local citizens is the potential impact of a proposed U.S. Forest Service land swap which would exchange 48,000 acres in the Lochsa area near the Montana border for about 18,000 acres in the Palouse-Clearwater area. Most of the land in Latah County lies between Elk River to the Washington State border. If the exchange were approved then a private development company -- Western Lands would benefit and manage the 18,000 acres in Latah County. Your Legislative delegation has major concerns about the negative impact that such a land swap might have. It is estimated that over 150,000 Idahoans utilize the forest land in Latah County each for hiking, hunting, fishing, bird watching, and other activities. Your legislators met with Tom Reilly, Forester out of Orofino for the U.S. Forest Service, representatives from Western Lands, Mike Stivers from Sen. Crapo's office, and other legislators. We've asked for contacts that Western Lands has had in managing projects in other states, and also that the Forest Service would conduct more public hearings in Latah County. We talked to the County Commissioners about the issue this week and said that we would follow their lead when they make a public statement. Personally I am opposed to the proposal. 5. Homeland Security boots out terrorist cat from the Moscow-Pullman airport.
How many of us have appreciated that the Moscow-Pullman airport had Dash the Cat to add some class to our local airport. Many of us who used the airport looked forward to this friendly feline. However, it is apparent that in reality Dash was a deep undercover terrorist cat trained by Al Qaeda and just waiting to launch an attack on local citizens. Homeland security agents became suspicious when they saw Dash with a deadly weapon -- she unsheathed her claws.
Agent suspicions also grew in intensity when they realized that over 4 years there had not been a single high jacking, terrorist attack, the sign of a single rodent, and not a single case of
bubonic plague at the airport. This perfect record was just too good to be true. Dash was last seen being escorted under armed guard and the rumor is that she is being shipped off to Catanamo for intensive interrogation. Citizens of Moscow can now rest assured that
their government by spending millions to assure our protection against terrorists has no doubt pulled off a major coup in capturing one of the major terrorists of our times. A bit of humor in these times makes life
seem a bit brighter. |
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