LEGISLATORS HESITANT ON TAX ISSUE

JEFFERSON CITY - Legislators from Southeast Missouri were generally taking a wait-and-see approach Tuesday to a tax increase proposal for education outlined Monday night by House Speaker Bob Griffin.

Most legislators were hesitant to comment because they had not seen the bill and had only heard rumors about what was included in the package.

Concerns focused on whether the plan should provide funds for more needs than just education, whether voters of Missouri would approve the $581 million tax increase the plan calls for, and whether Gov. John Ashcroft would be willing to support the plan if it was submitted to voters.

Meanwhile, Ashcroft blasted the education bill Tuesday as too expensive and ineffective.

The GOP caucus was urged by Ashcroft during a closed meeting Tuesday to defeat Griffin's measure, members said. The governor issued a statement that said Griffin "intends to quench the thirst for educational improvement by drowning the people in a tidal wave of taxes.

"I will not accept, and the people will not approve, a record tax increase with only the mirage of education reform," Ashcroft said.

Area representatives did say they were pleased that Griffin's bill outlines some reforms for elementary and secondary education, something Ashcroft has stressed is essential to any education funding bill.

"I have not seen the package and need some time to study it, but it just sounds like too much money," said Rep. Ollie Amick, D-Scott City. "It looks like he has addressed a lot of the education issues, but the price is just too high."

Rep. Mary Kasten, R-Cape Girardeau, is a member of the House Budget Committee that was presented the plan Monday. Kasten said she appreciated the opportunity to discuss the proposal at Monday's hearing, but noted, "it's an awfully big package."

Kasten said she is undecided how she would vote on the measure and noted she would feel better if the total cost were a little less.

"It's just so uncertain at this point. Everybody is shaking their heads and saying `I don't know,' right now," remarked Kasten.

The fifth-term House member also doubts the governor would support a $58l million tax increase, even with some of the reforms that Griffin calls for.

Amick added, "I don't think anybody up here is against the reforms; we've got to do something to get the governor on board."

But Amick agreed with Kasten that the governor is not likely to support the large increase. "We sure can't pass it if we don't have the governor's support, even if he is passive. We need him to be working for this to have a chance of passage."

The budget committee could vote on the bill as early as today. The Senate has also passed a $462 million tax increase for education, sponsored by Senate President Pro Tem James Mathewson, D-Sedalia. Griffin's bill would split revenues from the tax increase evenly between higher education and elementary and secondary education; the Senate's version would spend more on higher education.

Griffin's bill also differs from Mathewson's in that it proposes higher taxes on corporate and personal incomes and raises some money by changing deductions. His bill also removes from the Senate plan a proposal to use a three-eighths cent sales tax and a cigarette tax increase to generate some of the revenue.

Two weeks ago the Speaker had suggested he favored a tax plan that would address funding needs for areas beyond education. But on Monday, Griffin said adding those other needs would make the tax increase too large.

Rep. Chris Kelly, D-Columbia, vice chairman of the budget committee, offered an amendment to increase Griffin's tax bill to $739 million to provide money for needs in social services, particularly health care for the elderly, poor, and disabled.

The budget committee has not yet acted on Kelly's amendment. Kasten said she was unsure how to react to Kelly's plan because she recognized the needs in human services. On the other hand, Kasten reiterated her concern that the tax package was getting too large.

Rep. Larry Thomason, D-Kennett, said he was reluctant to comment on the bill until he had read it, but noted, "I am concerned about a bill that doesn't meet all the needs of this state. That is a concern of mine."

Thomason pointed out that this will probably be the only opportunity for many years for the legislature to take a tax package to voters and it would not be good to leave pressing needs out.

But Rep. Joe Driskill, D-Doniphan, disagreed. "The speaker is moving in the right direction. The best chance we have for passage of a bill is one just for education," said Driskill.

"If we keep it simple, voters will recognize what the intention is."

Driskill noted that he is pleased Griffin's bill provides more funding for elementary and secondary education than the Senate bill, and said he would prefer to see their share increased even more.

Rep. Dennis Ziegenhorn, D-Sikeston, said he also likes having a larger amount going to elementary and secondary education, but said he has "mixed emotions" about whether the Griffin plan is too large.

Ziegenhorn said he agrees that some reforms have to be tied to any education funding bill. Griffin's plan includes all of the reforms called for by Ashcroft except the one extending the school year from 174 days to 200 days. He noted that Sikeston schools go 180 days a year and that is long enough.

The sixth-term legislator said he would prefer to have the bill address more needs than education, "but, if that's the only way we can pass it, that's the way it has to be."

With the May 17 adjournment approaching, legislators all agree that a lot of compromise will likely occur before a final tax increase plan is acted on.

At this point, Ziegenhorn said there is a feeling among legislators that some type of tax increase plan will be approved by this session of the General Assembly and submitted to voters in the fall.