TN TAX BATTLE: Lawmakers miss deadline; state partially shuts down (RED ALERT INCOME TAX VOTE)

The Tennessean ^ | 7/1/02 | Bonna de la Cruz & Duren Cheek

[GailA]

House members shunned and defeated a tax plan last night

[GailA]

PASS THIS MESSAGE ON TO FOLKS IN YOUR EMAIL LIST TO JOIN THE TENNESSEE'S VERSION OF THE BOSTON TEA PARTY.

UNLESS YOU WISH TO BE PAYING 7% SALES TAX AND 3.75% INCOME TAX YOU BETTER GET BUSY AND MAKING PHONES CALLS TO YOUR LEGISLATORS.

BELOW ARE THE TRAITORS WHO WANT TO LADEN YOU WITH MORE TAXES.

CURRENTLY YOU GIVE THE TAXMAN 60% OF YOUR INCOME.

THIS YEAR'S BUDGET IS 12% HIGHER THAN LAST YEAR'S. THERE IS A CONSTITUTIONAL GROWTH CAP OF 5.45%. THIS BUDGET IS BEYOND THAT GROWTH CAP. AS HAS BEEN EVERY BUDGET FOR THE PAST 7 YEARS.

FOLKS WHO LIVE OUTSIDE OF TENNESSEE, BUT WORK IN TENNESSEE WILL ALSO BE PAYING THEIR STATES INCOME TAX AND TENNESSEE INCOME TAX. YOU ONLY GET 25 CENTS ON THE DOLLAR CREDIT OFF YOUR FEDERAL INCOME TAX WHEN YOU FILE LONG FORM.

800-449-8366 + 1 + the last 4 digits of their Nashville legislative office, or 615-741-3011 capitol switch board.

TN GENERAL ASSSEMBLY BUT I would suspect their email is on over load and they are NOT reading it. BLAST EMAIL THE ENTIRE GENERAL ASSEMBLY

teaparty@nashville.com

Here is a list of the traitors who would laden you with MORE taxation to fund their PORK barrel spending.

The TNCAFR says the State has $4.74 BILLION in revenue available to them YET THEY WANT MORE OF YOUR INCOME! http://www.cafrman.com/Articles/Art-TN-S1.htm

There is LOTS of PORK in this budget. Rep (David Davis), with the agreement of Crowe and Patton, said a shortfall in the current budget of upwards of $350 million is a "real deficit,'' while past budgets "artificially" inflated expenditures to produce a deficit. (The Kingsport Times)

pg b35 womens economic council is a MAKE work council to line someone's pockets...2 full time employees 1 part timer and 1 seasonal salary consumes $73,500 and operations consumes $25,500 for a total of $98,700

U of M Central avenue improvements $200,000 N Central Parking log extension $1,180M N parking garage $14M Performing arts center $16M University center renovations $22M Richardson Tower improvements $8,590M Various dorm improvements $4,430M

Chattanooga STC Athletic facilities lighting improvements $320,000

Walters SCC Greene Co Expo Center $5M Sevier Co Library $3M Sevier Co socer facilities $250,000

UT@ Chattanooga College St special housing $4.420M

UT @ Knoxville Neyland Thompson sports center $11.6M Morrill Hall renovation $3.65M Administration parking garage phase 2 $700,000 Campus entrance $2M Intercollegate swim facility $19.3M Stokley athletic center renovation $19.4M

Ft Campbell museum $1M Country Music Hall of Fame $1M Public TV $3.2M

ETSU Sherrod library renovation $10.3M (This was only $9.99M last year)

NESTCC New humanities bldg $13.990M Paris landing kitchen renovation $1.290M ETSU golf Practice area $250,000

Warriors State park golf cart crossing $260,000 (this was only $247,000 in last year's budget)

APSU McCord bldg renovations $6.840M WSCC college center renovation $4.380M DSCC--LLC Eller & Glover addition/renovation $6.90M UTK Glover bldg renovation/addition $24.3M UTMHSC college of pharamacy bldg $32.9M ESTU Greek row $9.250M ETSU Tennis facility $1M

MTSU Greek row development $17M housing renovations $15M obsovatory relocation $500,000 NEW sports museum $1M recreation fields replacement $4.150M property demolition $350,000 parking lot $600,000 Nursing bldg addition $4.15M Women's soft ball locker room $500,000 Below are the Senate votes on the Fowler bill: YES

Republicans: Ben Atchley (Knoxville) Tim Burchett (Knoxville) Bill Clabough (Maryville) David Fowler (Signal Mountain) Tommy Haun (Greeneville) Jeff Miller (Cleveland) Ron Ramsey (Blountville) Micheal Williams (Maynardville)

Democrats: Charlotte Burks (Monterey) Jerry Cooper (Morrison) Ward Crutchfield (Chattanooga) Roscoe Dixon (Memphis) John Ford (Memphis) JoAnn Graves (Gallatin) Douglas Henry (Nashville) Doug Jackson (Dickson) Lt. Gov. John Wilder (Mason)

Below are the House votes on the Fowler bill: YES

Republicans: H.E. Bittle (Knoxville) Chris Clem (Chattanooga) Ralph Cole (Elizabethton) Ronnie Davis (Newport) Stancil Ford (Talbott) Russell Johnson (Loudon) Joe McCord (Maryville) Steve McDaniel (Parkers Crossroads) Richard Montgomery (Seymour) Doug Overbey (Maryville) Bob Patton (Johnson City) Dennis Roach (Rutledge) Larry Scroggs (Germantown) Jack Sharp (East Ridge) Zane Whitson (Unicoi) Bobby Wood (Harrison)

Democrats: George Fraley (Winchester) Gary Odom (Nashville)

[meyer]

Gail, Thanks very much for keeping on top of all this!!! You've done a great job at keeping the information flowing.

The biggest problem I see is that every single proposal represents a substantial tax increase. It seems that what those buttheads can't seem to get through their heads is that we, the people, have had enough of tax increases. That is why we've drawn the line on this income tax proposal!!

[tdadams]

The tax plan approved yesterday by the Senate would have given voters a chance to choose whether they want a flat-rate, 3.75% income tax, which would raise about $1.2 billion, or a higher sales tax, which would raise about $940 million.

I'm sure I must have missed something. I didn't see that third option about cutting spending.

[TwoBear]

I can't believe we're not getting more national pub on this issue. What gives? We need conservative support and pressure nationally to help in our effort.

Can't Rush even mention and discuss our dilemna and fight down here? I almost feel like we're in the Alamo, ala Davy Crockett.

[tdadams]

Sen. Bob Rochelle, D-Lebanon, said that, under the plan, the sales tax in Clay County on the Kentucky border could conceivably go to 10.25% on necessities like a loaf of bread, clothing and baby food.

Well, isn't it fortunate then, that they live on the KY border. They can go shop over there. If there's going to be a 10.25% sales tax, it's only because Sundquist, Naifeh, and Rochelle refused to even consider anything but an income tax. You can thank them for it.

[GailA]

Bredesen agrees new revenue needed

WSMV.com

July 1, 2002

All three Democratic candidates for governor agree that some form of tax increase is needed to bail out the state. That includes former Nashville mayor Phil Bredesen, the perceived front-runner.

Bredesen has said from the start that better management can turn the state around.

But in a televised debate Sunday night in Knoxville with opponents Randy Nichols and Charles Smith, Bredesen says the budget problem is too deep. Without being specific, Bredesen says -- quote -- "some combination of new revenue and some cutting of costs" -- will be necessary.

Nichols is the only candidate who has advocated a state income tax, coupled with taking the sales tax off groceries and nonprescription drugs. Smith wants to scrap the entire tax system and start over.

He says everything would be considered.

[Yardstick]

THIS YEAR'S BUDGET IS 12% HIGHER THAN LAST YEAR'S. THERE IS A CONSTITUTIONAL GROWTH CAP OF 5.45%. THIS BUDGET IS BEYOND THAT GROWTH CAP. AS HAS BEEN EVERY BUDGET FOR THE PAST 7 YEARS.

Is the 12% growth figure generally accepted? Would we have a shortfall if the legislature had kept the budget under its 5.45% growth cap? If so, then it seems like the argument that the present money crunch is related to excessive spending can be framed simply and convincingly.

And what gives with that crazy idea to have a vote on a consititutional convention? The idea seems to be that if the people choose against a convention, then the unconstitutionality of the income tax can be ignored. That is nuts! The Tennessee Constitution is the highest law of our state and is not subject to a popular vote (or does our constitution have some sort of bizarre feature that allows this sort of thing?).

This "crisis" is so shady from so many different angles it's not even funny.

[tahiti]

"Sen. Roscoe Dixon, D-Memphis, who has supported an income tax but not a sales tax, voted yes, saying, ''Even if it's the wrong thing, we can't sit here and twiddle our thumbs.''

This pretty well sums up a democrats way of thinking.

[meyer]

Oh, one other item from today's Chatt Times: They are adding another member to the Tennessee Regulatory Authority. The reason: (hang on!!) To promote diversity on the Authority. That's right, the agency is going from 3 members to 4 to promote diversity. Taxquist is expected to sign the bill that has passed the house yesterday.

I'm not sure what these folks get paid, but I'd bet its near $80,000 plus benifits. And, I would bet they are all political hacks with absolutely no knowledge on what it is they are regulating.

[kattracks]

Tennessee Gov't Partially Shuts Down

NASHVILLE, Tenn., Jul 01, 2002 (AP Online via COMTEX) -- Tennesseans awoke Monday to find their government in a partial shutdown after lawmakers failed to pass a balanced budget over the weekend in a stalemate over how to cover an $800 million deficit.

New Jersey, meanwhile, avoided a shutdown when Gov. James E. McGreevey signed a $23.4 billion state budget early Monday morning. The governor ordered the Senate to return later this week to vote on his corporate tax plan, which he needs to balance the spending plan as state law requires.

In Tennessee, the House and Senate gave Gov. Don Sundquist power to keep essential services such as highway patrol and prisons funded through Friday while they continued to negotiate.

"We've been at this four years. Every day we put it off, we do a little more damage to Tennessee families," Sundquist said. "We'll do everything we can to provide basic services for the health, security and welfare for the citizens of Tennessee" during this time.

Tennessee's balanced budget is required by its constitution.

Sundquist said he was discouraged that the Legislature had not made a decision on an income tax as a way to resolve the state's financial troubles, despite four regular and two special sessions. Tennessee is one of nine states without a broad-based personal income tax.

The shutdown did not begin at midnight, according to the Senate, which turned back the clock to 11:45 p.m. while it debated its next step. Eventually, members conceded the shutdown, keeping some 22,000 workers home this week.

Outside the Capitol, car horns blared and people shouted on bullhorns as more than 100 demonstrators for and against an income tax rallied and a knot of state troopers stood guard.

"I came out to support our school," said Melissa Hardimon, a Tennessee State University student from Peoria, Ill. "I wanted to make sure we still have a school to go to."

As part of the shutdown, the state's public universities will cancel or postpone summer classes until the state's finances are resolved.

During the shutdown, state government will be limited to such services as highway patrol, prisons, mental health, child support and health care for the poor and uninsured. Retirement benefits and employee health insurance will also be paid, but road construction will halt, and drivers licenses won't be issued.

Sundquist has the power to order expenditure of funds for things not in the bill as long as they protect public safety and welfare.

New Jersey would have seen a government shutdown only if its governor had not signed the budget by the start of business Monday.

But McGreevey said he was forced to freeze $1 billion of the state's new budget until his corporate tax was approved because the budget must be balanced.

"We will clean up this mess and we will get this done, but we need the corporate business tax plan as part of this solution," McGreevey said.

Connecticut also went down to the wire Sunday. Hours before the new fiscal year began, state senators approved a $13.2 billion budget that Democrats and Republicans agreed was far from perfect. Earlier in the day, the House had backed the plan, the first to raise taxes since 1991, the year the state income tax was enacted.

Several other states where the fiscal year began Monday wrapped up their budgets last week, including Pennsylvania, where Gov. Mark S. Schweiker signed a budget Saturday, and Delaware, where the budget was approved Tuesday.

California began a new fiscal year Monday without a state budget, but no immediate impact was expected there. State officials said the deadlock - the 14th in the last 25 years - wouldn't delay spending unless it drags on. Lawmakers have gone as late as Aug. 29 in recent years before passing a budget.

The spending plan fell five votes short Sunday night in the Assembly as Democrats accused the GOP of holding up the budget to try to defeat Democratic Gov. Gray Davis in November.

---

On the Net:

Tennessee state government: http://www.tnanytime.org

By JOHN GEROME Associated Press Writer

Copyright 2002 Associated Press, All rights reserved

[GailA]

Yep this position is a pay off to the black caucus for their YES vote on the IT.

[GailA]

The papers have reported several times that this is an increase over last year's budget by 12%. The past budgets except last year's which we forced cuts in were 12-13% higher than the previous budgets. Each budget was at least a BILLION higher than each previous budgets. A 47% increase in spending.

CON-CON's can be rigged.

[GailA]

Those pork items listed here are the ones they cut last year. They put them back into this year's budget KNOWING they were going to have less tax revenue due to the mini recession.

[Constantine XIII]

UT @ Knoxville Neyland Thompson sports center $11.6M Morrill Hall renovation $3.65M Administration parking garage phase 2 $700,000 Campus entrance $2M Intercollegate swim facility $19.3M Stokley athletic center renovation $19.4M I know for a fact that most of this stuff is junk. There is no need for a new sports center (we have something like 5). I live in Morril Hall, and I don't see wehre 3.65 million dollars are going to go there either. I won't comment on parking or I'll say something I'll regret. The swim center is probably most irritating since we already have 2 Olympic size swimming pools, one of which is reserved for the team. Well, that's how I view it, anyway. ;oD

[GailA]

You just exposed MORE phony "I need a new swim facility" excuse. THANKS.

[meyer]

Well, I just sent off an e-mail to the 6 reps in Hamilton County. I would have spent all day copying and pasting e-mails of every rep so I got the ones closest to me. Hopefully, it will provide at least a little influence. Keep at 'em, folks!! Lets get this thing settled right here!

[GailA]

blast email all of them @ teaparty@nashville.com

[GailA]

FReepers who work in TN but live in other States need to put your two cents in also as you will be paying this Income Tax along with YOUR own State's income tax. Talk about double taxation!

[GailA]

Comic Appeal

"This is a perfect example of the Senate sending us a piece of landfill trash," said a furious House Finance Committee chairman Matt Kisber (D-Jackson). "The worst thing we could do with a tax measure of this magnitude is base our budget on something that really doesn't provide what's expected."

"The Senate had no idea what they were voting on when they passed this," said House Speaker Jimmy Naifeh (D-Covington), pointing to the single-sheet summary of the measure.

[GailA]

comic appeal

Sen. Robert Rochelle (D-Lebanon) said the 2002 referendum and its outcome on tax policy is "rolling the dice."

"In Clay County, the sales tax on a loaf of bread will be 10.25 percent. If you had thought about the children of those single mothers out there having to pay 10.25 percent on baby food for their babies, then you might have thought it was not worth rolling the dice.

"You have stomped on the working people of Tennessee and you rigged the deal so the dice are most likely to roll against them. You have increased a dying tax. You have driven people more to the Internet, and driven people across state lines," Rochelle said.

House Democrats met in caucus for almost 90 minutes trying to decide what to do with Fowler's plan - one they regarded as a fast-track to-ward a near 10-cent sales tax and a huge political boost for Republicans in the fall elec-tions.