Kan. legislators ponder proposal to raise sales tax to sustain education, services funding

Kan. legislators mull plan to increase sales tax

TOPEKA, Kan. — Democrats and moderate Republicans in both chambers of Kansas’ Legislature have essentially narrowed their options for propping up the state budget to raising the state’s sales tax.

The bipartisan groups were pursuing a proposal Thursday to increase the sales tax from 5.3 percent to 6.3 for three years.

The House was considering a $13.6 billion budget for the fiscal year beginning July 1. It would protect aid to public schools and preserve social services but require a tax increase to balance.

It’s similar to a spending plan approved by the Senate, 23-17, on Wednesday night. Opposition to the proposed budget came mostly from conservative Republicans who want to avoid raising taxes.

The Senate has a separate, bipartisan bill to raise taxes $350 million, marrying the sales tax proposal to a measure to end an income tax break for businesses, mostly manufacturing firms. Senate leaders expected to debate it Thursday.

Leaders of the bipartisan coalition in the House hadn’t decided whether to draft their own sales tax plan or to accept the Senate’s, assuming that chamber can pass it.

“If we can’t get taxes passed, the only place we can get that kind of money is education, and I don’t think the governor will stand for that,” said Senate Ways and Means Chairman Jay Emler, a Lindsborg Republican.

Democratic Gov. Mark Parkinson has told the Republican-controlled Legislature he won’t accept further cuts to education funding or reductions in social services.

But conservative Republicans — and many business owners and groups — argue that raising taxes will prolong the recession in Kansas. They’re frustrated that Parkinson and fellow legislators won’t budge on spending issues.

“How do you spell irresponsible? Kansas Senate,” Sen. Karin Brownlee, an Olathe Republican, said after her chamber’s vote. “It’s not our money that we’re overcommitting.”

Parkinson proposed the same sales tax increase in January, but it failed to get much traction until last week. He also proposed higher tobacco taxes, but that idea also fell out of the mix last week.

Legislators also discussed and discarded proposals to increase liquor and individual income taxes and even impose a new penny-per-teaspoon tax on sugar in soda and other packaged beverages.

Votes this week suggested that House GOP leaders and other Republican conservatives wouldn’t be able to pass a budget-balancing plan without tax increases.

On Tuesday night, the House rejected a budget drafted by its GOP leaders on a 74-45 vote. It reduced education funding by $86 million, though it would have allowed districts to make up the loss by tapping reserve funds or increasing property taxes.

On Wednesday, senators twice voted 28-12 against proposals to cut state aid to public schools by more than $60 million.

Senate’s proposed budget is Senate Sub for HB 2631. House plan will be considered as an amendment to House Sub for SB 572.

Tax bills are Senate Sub for HB 2630 and HB 2549.

On the Net:

Kansas Legislature: www.kslegislature.org