Plans For Study Of Tax Division Fade Measure Sponsored By Kellogg Misses An Interim Committee

Tue., March 18, 1997

By Betsy Z. Russell betsyr@spokesman.com (208) 336-2854

Plans have fallen through to have a legislative committee study Idaho’s formulas for dividing up state tax money.

House Speaker Mike Simpson said he was hopeful the plan, sponsored by Rep. Hilde Kellogg, R-Post Falls, would get the go-ahead this year. But after meetings between legislative leaders from both houses, Simpson said, “They want to do that one next year.”

Legislative interim committees must have representation from both parties. That’s a limiting factor, because there are just five Democrats in the Senate.

“We can only do so many of ‘em,” Simpson said.

Kellogg’s proposal followed years of complaints from North Idaho officials that some of the state’s distribution formulas leave them short. One formula divides a chunk of state sales tax money on the basis of an area’s business inventories in 1965 - which favors areas that have seen little growth or change in the past 30 years.

Legislative leaders have agreed on interim study committees on:

Endowment fund investment reform. Gov. Phil Batt already had a committee develop recommendations for making better use of Idaho’s school endowment fund. The legislative committee will study those recommendations and see whether legislation is needed.

Charter schools. This committee was sought by House Education Committee Chairman Rep. Fred Tilman, R-Boise.

Legal services, including funding for efforts by county prosecutors, public defenders, the attorney general and more. Some counties have complained they can’t afford to prosecute or defend major court cases, and need help from the state.

Electric utilities deregulation. With federal action pending, Idaho expects this to be the next major area of deregulation, and the state will need to set guidelines.

Public mental health services. Idaho ranks near the bottom among states for its spending on mental health services, and has one of the nation’s highest suicide rates.

Interim committees study and hold hearings on issues, then recommend legislation the following year.

, DataTimes

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Plans For Study Of Tax Division Fade Measure Sponsored By Kellogg Misses An Interim Committee

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