Tax and spend- Big issues for Missouri

In the perpetual duel for the minds of Missourians on the question of state spending and taxing, there is fresh information from those who demand more spending and higher taxes.

It comes in the form of a 21-page paper entitled "An Analysis of Recent Trends in Missouri State Government Revenues and Spending."

The author is former state budget director James Moody, now a lobbyist, who was commissioned to write it by the Regional Chamber and Growth Association of St. Louis and for Civic Progress, an association of the chief executive officers of that city's largest industries.

In large design, the Moody report is a response to a report put out last January by the Missouri Chamber of Commerce. The Chamber report had skewered state government for a spending explosion during the 1990s that brought us to our current budgetary woes. Moody finds a host of faults with the Chamber analysis.

The Moody report all but calls for a significant general tax increase. Thus on page 16 we find the following:

"Rather than cut taxes in coming years, a more relevant question is whether the state will be able to meet its funding and service obligations with its existing revenue base. The state's general fund budget has a very narrow base, and a strong argument can be made that the Missouri general fund budget is too reliant on too few tax sources."

The Moody report further seems to find fault with the Hancock Amendment to the Constitution -- the one brake Missourians have on runaway government growth, taxation and spending. It is known that among those who commissioned the Moody report are more than a few who are agitating to repeal the Hancock Amendment. If they want to ignite a massive battle they are certain to lose, they will continue down this road.

None of this is to suggest that all truth resides with one side or the other in this debate. Both have important contributions to make. As of this next Friday, our readers will be able to judge for themselves by reading all the relevant reports in a special link on our Web site at www.semissourian.com.

Study them yourselves and join in the debate as an informed citizen.