Here is this weeks capitol report. This a common sense issue. If you think about it it will even seem silly, but Jefferson City has been known to do silly things before. Rod
Clichés are clichés because, most often, they speak the truth. A favorite cliché of farmers is "Never count your chickens before they hatch." It is an important lesson that we in Jefferson City need to remember.
As a state, we have always been committed to fiscal responsibility and keeping our government living within our means. Our state constitution, for example, requires the governor to propose a balanced budget to the legislature each year. Balanced budgets keep the state from mortgaging our children's future and prevent the government from spending itself into an impossible financial situation.
While this is a great thing for Missouri, the writers of our constitution never thought that future governors would balance their budget on imaginary revenues. This is exactly what Governor Holden did last year, and it is exactly what he intends to do again this year.
Imagine that someone buys a lottery ticket. He is so sure of winning he tries to buy a car. Since he does not have the money yet, he goes to the bank to get a loan. Do you think the bank will loan him the money based on nothing more than the lottery ticket in his hand? Of course not, it would be bad business for a banker or a car dealer to sell him a car on the hope that his lottery ticket is a winner.
That is a lot like what the Governor proposed we do last year. Last year, Governor Holden presented what he considered a balanced budget. Unfortunately, he relied upon $700 million in new taxes that had not even been submitted to the voters, yet alone, passed. It is impossible to develop a responsible budget when the Governor is pretending that there are millions of dollars in the state treasury that do not really exist except in the Governor's hope that, if asked, the people of this state would change their minds and suddenly support tax increases which they have been reluctant to adopt in the recent past. I do not think it is right for the government to start buying things without knowing if it has the money to pay for them all.
This year, all signs point to the Governor trying to borrow on his lottery ticket by doing this again. He is bound and determined to balance his budget by raising taxes. If you have read my last few reports, you know that I feel these higher taxes would do nothing but hurt our economy and drive more jobs out of our state. But, all that aside, it is just bad policy to pretend that taxes which have neither been submitted nor approved by the voters is a responsible way to balance the budget.
Under the Hancock Amendment, most new tax increases have to be voted on by the people. The Hancock Amendment was adopted because the taxpaying voters of this state were tired of having their taxes increased without their approval. This means that no new tax increases will ever become law if the people do not support it.
And the people do not support the Governor's tax increases. During the three years he has been governor, Missouri citizens have defeated three separate tax proposals. Additionally, this summer in Jefferson City, there was a huge demonstration by Missouri taxpayers from all over the state. They let the Governor know loud and clear that more taxes would be disastrous for them and their families.
It is tempting for many to count their chickens before they hatch, as we begin to create the budget. However, they need to face reality. More taxes would be the wrong way to go. It is wrong to propose a budget that relies on new taxes that do not even exist. Rather, we need to do our best by cutting waste, eliminating ineffective programs, and begin living within our means.
As always, I can be reached at 573-751-5912, in my Jefferson City office, or through the mail at: Speaker Pro Tem Rod Jetton; State Capitol; Jefferson City, MO; 65102. Also you can reach me through email at rjetton@mail.state.mo.us. Go to my web site at www.rodjetton.com and let me know if you think we should use proposed tax increases to balance the budget
Rod Jetton
P.O. Box 22
Marble Hill, MO 63764
www.rodjetton.com jetton@socket.net - 573-751-5912