Tax Hikes to Rush Through Assembly
Despite no evidence of the dramatic projection of a $456 million shortfall materializing, despite new polling that shows Kentuckians are at best spilt on tax increases, and despite a promise of a majority of Senators to consider tax increases as a last resort, It seems that legislative leadership is ready to rush tax hikes through the General Assembly in the next week.
Earlier this week, Senate President David Williams made an abrupt change in his rhetoric. His line had been that he knew Kentuckians wanted to see a commitment to reduced spending first before any new revenues were considered, and that "We're not inclined to raise any taxes." Tuesday, Williams apparently determined otherwise.
"It appears to me that there will be a need for some revenue," Williams said.
Now we learn that the plan is that hikes are planned in the cigarette tax and the wholesale alcohol tax, and that they will do their best to rush it through the General Assembly in a week before anyone can react:
The top two state legislative leaders said they hope their chambers present a budget bill that contains new tax revenue to Gov. Steve Beshear by Feb. 13.Senate President David Williams and House Speaker Greg Stumbo told reporters after meeting with Beshear Friday morning that they think legislative leaders will have a plan by Tuesday to tackle a projected $456 million budget shortfall.They hope to make it public by Tuesday morning and have the chambers act on the measure by week's end.Stumbo, D-Prestonsburg, said the House would like to see a blend of higher taxes on cigarettes and alcohol. Williams, R-Burkesville, said he thinks his chamber would go along with the additional revenue Beshear has requested, but he stopped short of saying how that should be accomplished.
Check back here for more as this plan develops.
