Local Option Tax Likely Dead House Committee Delays Vote, Wants To Hear Other Proposals
The House tax committee did not kill a proposal to give cities local option taxing authority, but it might as well have.
The Revenue and Taxation Committee listened on Thursday as Scott McDonald, executive director for the Association of Idaho Cities, explained a plan to allow cities to levy a sales tax up to 1 percent.
He seemed to have little support on the committee, but members could not bring themselves to kill the proposal. Instead, they voted 12-8 to delay action until several other local option bills also have been heard.
Rep. Dolores Crow, R-Nampa, was among those objecting to the move.
“We have heard them. We are just delaying the agony,” she said. “If you hold these for two weeks, you are effectively killing them anyway.”
Thursday was the 46th day of the legislative session. Leaders hope to adjourn March 14 - just eight days after Revenue and Taxation would take up the local option bill under the action proposed by Rep. Mark Stubbs, R-Twin Falls.
Idaho’s cities and counties have come to the Legislature for more than 20 years seeking more authority to levy taxes, but have gotten very little backing from lawmakers. McDonald passed out a report Thursday showing Idaho ranks last among the states in discretionary local authority.
The cities’ bill would have required support from 60 percent of local voters before a tax could be imposed, and it would have been in effect for no more than 10 years.
McDonald said at least half the new revenue would be dedicated to reducing property taxes. But opponents argued that it actually would be only a tax shift.
“Our members adamantly oppose local option taxes,” said Pete Skamser, lobbyist for the National Federation of Independent Businesses. “This is the wrong direction for you to go.”
Rep. Tim Ridinger, R-Shoshone, asked Skamser if his members wanted property taxes cut.
“Yes, as long as it is not just a shift,” Skamser said. “The only real property tax reduction is a smaller government.”
xxxx LEGISLATIVE ACTION Sent to governor HB91 (Revenue and Taxation) Requires Permanent Building Fund receipts through the state income tax to be deposited as returns are processed. HB95 (Revenue and Taxation) Excludes income of disabled veterans from household income for determining eligibility for property tax relief.
Killed by Senate SB1184 (Education) Reduced from 15 to 14 the minimum age for a driver’s license but requires a parent or guardian to be in the passenger seat until 15.
Introduced by House HCR17 (Ways and Means) Changes from four to three the driver’s license point penalty for violating construction zone speed limits. HCR18 (Ways and Means) Rejects certain rules of Idaho Transportation Board relating to airports and livestock. HB334 (Education) Eliminates certain restrictions on the expenditure of money allowed under public school staff allowance. HB335 (Education) Establishes right to civil damages for public school employees subjected to bad faith reports or allegations of child abuse. HB336 (Ways and Means) Provides that when governor declares that laws are not being enforced in a county, the state will enforce them and attorney general becomes the prosecutor. HB337 (Ways and Means) Provides conditions that must be met before Fish and Game Department can transplant bighorn sheep into areas they do not now inhabit. HB338 (Ways and Means) Updates animal health laws of Idaho’s sheep and goat industry. HB339 (Appropriations) Supplemental appropriation of $55,500 to Petroleum Storage Tank program in current budget. HB340 (Appropriations) Allows the 2.5 percent executive holdback on public school appropriation to be lifted.
Introduced in Senate SB1231 (Finance) Allocates $4 million for 1998 operation of the Public Utilities Commission. SB1232 (Finance) Makes an emergency $30,600 appropriation to the Board of Professional Engineers and Land Surveyors. SB1233 (Judiciary and Rules) Requires mail notice in cases of license suspension for failure to pay child support. SB1234 (State Affairs) Approves the comprehensive water plan for the South Fork Snake River Basin. Associated Press