Thread: Kansas Chamber opposes higher taxes

Kansas Chamber opposes higher taxes
State chamber offers energy and health care suggestions
By Tim Carpenter
The Capital-Journal
Published Friday, January 16, 2009
The Kansas Chamber will pressure the 2009 Legislature to reject imposition of new taxes, cling to previously enacted tax cuts, and embrace policies to control energy and health care costs.

Amy Blankenbiller, the chamber's president and chief executive officer, said Thursday the business organization's survey of Kansans revealed deep interest in solutions to the state's $1 billion budget crisis that don't exacerbate problems Kansas employers face during the national recession.

"As we look at this historic budget deficit in the state of Kansas, we cannot just look to businesses to be the ones to shoulder the burden," she said.

She said areas shielded in Gov. Kathleen Sebelius' budgets, including education and social services, must share the burden.

The chamber's top priority is tax policy, and Blankenbiller said pressure on lawmakers to turn to tax increases could grow as the 2009 session unfolds.

"We need to be very cautious as we move forward," she said.

Blankenbiller said the business organization intends to support continuation of the phaseout of Kansas' corporate franchise tax. Sebelius recommended a freeze on the franchise tax rollback to save the state $14 million annually.

Sebelius also proposed a halt to gradual elimination of the state's $5 million estate tax.

"This year, we have to find solutions, so we're proposing things that are hard," said Duane Goossen, the governor's budget director.

House Republicans vowed to fight the governor's plan to postpone elimination of both taxes because businesses and individuals need tax relief.

"They're taxed enough," said House Majority Leader Ray Merrick, R-Stilwell.

The chamber's annual business survey indicated 42 percent of respondents were concerned about energy costs, 35 percent about taxes, 23 percent about health care, 16 percent about growth of state government, and 13 percent about regulatory mandates, litigation reform and economic incentives for business.

Blankenbiller said the chamber would support "market-driven solutions for reliable and affordable energy" and policies that avoid "picking winners and losers among energy sources."

That is a way of saying the chamber will support state authorization for a $3.5 billion coal-fired power plant proposed by Sunflower Electric Power Corp., of Hays. The Kansas Department of Health and Environment, with Sebelius' blessing, denied the company a permit in 2007 to start construction in Holcomb.

In the 2008 legislative session, the House and Senate passed three pro-Holcomb bills. All were vetoed by Sebelius. She remains opposed to building a power plant that burns coal.

"We cannot ignore coal as part of an energy package for the state of Kansas, as much as we can't ignore nuclear or gas or wind," Blankenbiller said. "We can't let an energy debate be hijacked by one issue."

Blankenbiller said the chamber would champion "meaningful health care reform," including a reduction in mandates that insurance companies include specific services in policies. The organization plans to lobby for new standards on expert testimony in state courts to "reduce the impact of junk science on court judgments."

The chamber remains opposed to legislation increasing penalties on employers unintentionally hiring illegal aliens, believing the issue should be resolved by Congress.Tim Carpenter can be reached at (785) 296-3005 or timothy.carpenter@cjonline.com.

http://www.cjonline.com/stories/011609/ ... 8630.shtml

Hello? Is this thing on? Is anybody home in Kansas????