JOBS TRAINING WILL BE PART OF PROPOSITION B REFORM

Most of the talk about Proposition B has focused on what it would do for education. But a part of the measure deals with job development and training.

Of the new revenue that would be provided by Proposition B tax increases, 1.4 percent would be earmarked for the Job Development and Training Trust Account.

As with other portions of the measure, the money would be earmarked for 10 years, after which it would go into the state's general revenue fund unless otherwise authorized by the legislature.

If voters approve Proposition B Nov. 5, the new taxes will take effect Jan. 1.

From Jan. 1 to the end of the current fiscal year, June 30, the taxes would raise $139 million, said Ray Schneider, campaign director for Missourians for Quality Education, a statewide group of educators, business leaders, farm groups, lawmakers and others pushing for passage of Proposition B.

That money would be distributed as follows: $60 million for building maintenance, equipment purchases and repairs at colleges and universities; $60 million to be paid out in four yearly installments to public schools as part of the foundation aid; and $19 million for job training and development.

In subsequent years, higher education would receive an estimated $190 million and public schools would receive an equal amount. Job development and training would receive about $5 million a year.

Tom Sullivan, deputy director for the Missouri Department of Economic Development, said Proposition B would require the job-development and training money to be used for job training programs or in making low-interest loans to industries in connection with creation of new jobs.

Under Proposition B, businesses could receive tax credits equal to twice the amount of the loan, meaning that the loan is, in effect, forgiven.

Sullivan said the purpose is to create new jobs and promote economic development in the state. "I don't know what the opponents find so offensive about this," he said.

Opponents have criticized the tax-credit provisions of the measure.

Schneider said: "They want to make it sound as bad as they can. They make it sound like the entire $19 million is a give-away to the corporations. It's baloney.

"First of all," he said, "what they forget to tell you is that corporations will only receive $5 million a year or (initially) part of the $19 million, because job training is going to come out of that, too."

In addition, he said, not all the tax credits would cover 100 percent of a loan.

"Our priority is on creating jobs for Missourians," said Schneider.

"The whole thrust of it (Proposition B) is for the benefit of jobs for Missourians. We view this as a complete package where you would enhance the skills of the people going through school ... and when they get out of school, we want to assure that they have jobs," said Schneider.