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Legislative Newsletter XI, March 23-27, 2009
Constituents:
We are rapidly approaching April and it still looks like we have two weeks more to go before we close up shop in Boise. We are awaiting the March
tax returns to the State to see if they fall above or below projects. April, of course, is the big month for tax returns. JFAC is setting budgets now with salary reductions of from 3-5% for state employees and
teachers.
Bob Vick of the Idaho Labor Department reported that 51,000 Idahoans are now unemployed in the state. We will be utilizing about $33,000,000 from stimulus monies over a three year period to provide for extended unemployment benefits. Rates for employers will also go down about 10 percent. Mr. Vick estimates that the unemployment rate may go up as high as 7 percent. Almost 135,000 Idahoans are now qualified for food stamps. Idaho's average food stamp payment per person is $112/month and will rise to $128/month on April 1st. On May 1st Idahoans will no longer have to have less than $2,000 in assets to be eligible for food stamps. Assets include a bank account, a boat, an RV and any more than one vehicle per adult per household. A Governor's spokesman said, "They had assets, and now all of a sudden they're finding themselves selling a house. Houses and boats just aren't moving. They've still got to eat. That's the issue we're addressing with this temporary change."
I've heard from a number of constituents that if cuts need to be made that those state employees who are at or below the poverty line should not be forced to take salary cuts. Several
years ago I conducted a study of University of Idaho employees and found that about 20 percent of the employees were at or below the poverty line. I certainly would support keeping those at or below the poverty level at
the same wage level. This would be the compassionate approach.
It is interesting to note that we still have over $400,000,000 in reserves. I would prefer to utilize some of those
funds now.
As I've indicated in other newsletter we should consider major tax reform regarding tax exemptions. The tax exemptions which are not beneficial could be eliminated and the income stream could then be directed toward the General Fund. One good piece of news is that about 42 part time auditor positions have been restored to the Idaho Tax Commission. These are the auditors who were returning the state an extra $5-$10 million a year to the state over their salaries and benefits.
1.
Education -- The House voted 49-20 to cut $8.1 million from public education. The bill would freeze automatic experience based salary increases and phase out an early retirement incentive for teachers. I had several concerns because freezing the pay for even one year could lower teacher pay over their career as well as reduce their retirement benefits. This may pose a constitutional question. Again, I think that reserve funds could have resolved this problem for a year.
The House also voted to cut $4.2 million from the state bus reimbursements to local school districts. Only the State Department of Education supported the bill. I had major concerns that by reducing busing support that student safety could be compromised. This was brought out by many that opposed the bill.
2. Higher Education --
JFAC is reducing the budget for Higher Education by almost six percent and using some of the stimulus money to help ease student fee increases. JFAC's Higher Ed Budget that spends $398 million as compared to last year's $447 million.
3. Fish and Game License Hikes --
The current bill as amended would leave license fees for residents at the same level but raise fees for out of state hunters. The bill is now in the Senate. Sporting groups generally support a 15 percent increase for Fish and Game, but many legislators say that the public in general opposes the increase viewing it as a tax increase.
4. Day Care Regulation --This bill which passed the Senate would provide for increased regulations of
day care centers. The concern is to promote better safety and care for small children. The bill is now with the House Health and Welfare Committee.
5. Palouse Land Trade Proposal --There appears to be much opposition concerning a U.S. Forest
Service Plan to trade 28,000 acres of managed forest for about 39,000 acres of logged over timber near the Montana border. District 6 legislators met several times with concerned citizens and also the U.S. Forest
representatives and employees of Western Pacific Timber Co. who own the land near the Montana border.
I think the statement from John Krebs who worked many years as a ranger in the affected summarizes it best, "Our clear and urgent concern is that the proposed Upper Lochsa Land Exchange will trigger the eventual loss of a significant amount of readily accessible public lands for the citizens of Latah County and the surrounding area." I personally agree with Mr. Krebs. The U.S. forest land stretching from McCroesky Park on the West to almost Elk River is some of the best hunting and fishing territory in the state. It is used by hikers, bird watchers, and many others for recreational purposes. Taxpayers have already paid for basic infrastructure of roads, bridges, etc. and selling it to a land development company would only limit access to our citizens. The District 6 legislators have asked the Latah County Commissioners to take a stand on this proposal, and we have also requested the U.S. Forest Service to solicit further citizen input.
Again, please send me your comments, concerns, and recommendations. My email is ttrail@house.idaho.gov and phone 208-332-1184.
Representative Tom Trail
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