Tax Reform

Republican candidate for governor and current Senate President David Williams was in town for the second time in seven days Friday, including an appearance before the Rotary Club of Danville.  Williams, who also made the rounds at last week's Danville-Boyle County football game, is campaigning hard for every vote as some polls this week show his campaign down by as many as 30 points to Gov. Steve Beshear. In keeping with the theme of his recent campaign commercial, Williams focused much of his speech on jobs and the economy.  Beshear, who was at Denyo for an announced plant expansion Tuesday, has touted the results of an economic development incentive program he backed in the legislature.

I've been fighting for years to see Kentucky overhaul its antiquated, “behind the 8-ball” tax code. This year's gubernatorial race brings us at least some progress. During the Republican primary, candidate Phil Moffett was the first to go on record - announcing on my radio show - that he would support a plan to eliminate the income tax in Kentucky and institute a broad-based, low-rate sales tax. Now, the winner of the GOP primary, Senate President David Williams, has introduced his economic plan.

Nicholasville resident Luther Deaton is one of 23 Kentuckians who are part of a new commission on tax reform. Kentucky Gov. Steve Beshear last week announced the Blue Ribbon Commission on Tax Reform, made up of residents from across the state. Deaton is chairman, president and CEO of Central Bank. The commission, to be led by Lt. Gov. Jerry Abramson, will work over the coming months to develop recommendations to make the state's tax code more responsive to the ups and downs of the economy, as well as to make taxes more equitable for Kentuckians.

Dear Editor, Education reform needed by Kentuckians is threatened with a deadly blow by Gov. Beshear's budget. Preschool through 12th-grade education suffers by not keeping up with increased fixed costs and the loss of services. Punitive taxation is unjustly inflicted upon college students and their families through the intolerable burden of massive tuition increases. Teachers have given their lives in the service of our children. Teachers were promised that Kentucky would raise their salaries to become competitive with surrounding states.

Three candidates for Kentucky governor appeared in Louisville Friday and sparred on issues including tax reform, a statewide smoking ban and a drug-testing requirement for those receiving public assistance. Republicans state Sen. David Williams, R-Burkesville, and Louisville businessman Phil Moffett and independent Lexington attorney Gatewood Galbraith spoke during a 90-minute forum at the Hyatt Regency Louisville during the Kentucky Press Association Winter Convention. Incumbent Democrat Gov. Steve Beshear declined to attend.

State Senate President David Williams passed up a golden opportunity last week to encourage a spirit of compromise in the Kentucky General Assembly. By taking the position that the Senate should seat Republican Dana Seum Stephenson, even though she clearly did not meet the constitutional residency requirement, Williams continued the in-your-face brand of leadership that has left Kentucky without much-needed tax reform and even a state budget. Williams shouldn't bear all the blame for the state legislature's march to irrelevancy in recent years - Speaker of the House Jody Richards is equally culpable - but doing the right thing on the Stephenson matter might have signaled a positive change in the legislature's direction.

If Gov. Ernie Fletcher's tax reform package fails to pass this session of the Kentucky General Assembly, the blame should fall squarely on the head of Senate President David Williams. One certainly could argue that Williams' counterpart in the state House, Speaker Jody Richards, would be more to blame. Richards has played politics with the tax reform issue from the beginning, and it was reported this week that Richards sent out a memo to House Democrats urging them to describe Fletcher's proposal as "the governor's tax increase," which is patently false.

Our compliments to state Senate President David Williams and his fellow Republicans for finally doing Monday what they should have done earlier in this session of the General Assembly: Pass a state budget and Gov. Ernie Fletcher's "tax modernization" plan. The surprise move left Democrats howling "foul," but the Republicans did exactly what the Democrats have been doing in Frankfort for decades: They used their power to achieve what they felt was best for the state. Some Senate Democrats were miffed because the Republicans attached amendments to the budget that would delete Democrats' pet projects if they didn't vote in favor of the budget and tax package.

What we have in Frankfort these days is a failure to compromise. State legislators have just two days left in the 2004 session of the General Assembly to act on the big issues on their plates - the state budget, tax reform and gay marriage. Failing to do something about these issues is not going to sit well with Kentucky voters. Whatever their party, incumbent legislators on the ballot in November are going to be vulnerable if they don't get the job done this week. So it's not only in the interest of the people of Kentucky but also the interest of the legislators themselves that seek a compromise on the biggest issues they face.

While some of the nation's unseemly political traditions have gone the way of the duel, gerrymandering in state and national legislative mapping is alive and well. Some old fashioned district draftsmanship may be unavoidable, but when legislators get so loosey-goosey with the boundaries that the results are deemed unconstitutional, things have probably gone too far. Despite the embarrassment of last year's failed redistricting attempt, the legislature should dispatch with the matter now or during whatever special session they will likely need to finish the work of the current 30-day odd-year session.

State Rep. Donna Mayfield, R-Winchester, will begin her second term in Frankfort Jan. 8, and she is optimistic about what can be accomplished this year, despite the short 30-day session. “I'd like to see us accomplish what we need to accomplish in the time we have,” Mayfield said. This term will be busy, with issues like redistricting, pension reform and tax reform likely to be on the agenda. On Dec. 17, the Blue Ribbon Tax Commission, formed earlier this year by Gov. Steve Beshear to look for inefficiencies in Kentucky's tax code and led by Lt. Gov. Jerry Abramson, submitted its formal recommendations to the governor.

The Kentucky General Assembly will begin the first part of the 2013 30-day session Jan. 8, and Sen. R.J. Palmer, D-28, said tax reform, the possible legalization of hemp and school safety could all be targeted by legislators. “I have discussed with a number of legislators the need or the idea for tax reform. I think you're seeing growing consensus that we need to do something,” Palmer said. On Dec. 17, the Blue Ribbon Commission on Tax Reform submitted recommendations to Gov. Steve Beshear and legislators for review.

Nicholasville resident Luther Deaton is one of 23 Kentuckians who are part of a new commission on tax reform. Kentucky Gov. Steve Beshear last week announced the Blue Ribbon Commission on Tax Reform, made up of residents from across the state. Deaton is chairman, president and CEO of Central Bank. The commission, to be led by Lt. Gov. Jerry Abramson, will work over the coming months to develop recommendations to make the state's tax code more responsive to the ups and downs of the economy, as well as to make taxes more equitable for Kentuckians.

The first week of the 2012 Session was a combination of the ceremonial and the new. We gaveled in on Tuesday with the traditional establishment of the membership of the Senate and approval of our chamber's rules. More than 200 bills have already been filed in the General Assembly and will start making their way through the committee process beginning in earnest next week.  On Wednesday, the governor gave his State of the Commonwealth address. He spoke of the challenges facing the Commonwealth but, unfortunately, I didn't hear any concrete proposals to solve them.

I've been fighting for years to see Kentucky overhaul its antiquated, “behind the 8-ball” tax code. This year's gubernatorial race brings us at least some progress. During the Republican primary, candidate Phil Moffett was the first to go on record - announcing on my radio show - that he would support a plan to eliminate the income tax in Kentucky and institute a broad-based, low-rate sales tax. Now, the winner of the GOP primary, Senate President David Williams, has introduced his economic plan.

Republican candidate for governor and current Senate President David Williams was in town for the second time in seven days Friday, including an appearance before the Rotary Club of Danville.  Williams, who also made the rounds at last week's Danville-Boyle County football game, is campaigning hard for every vote as some polls this week show his campaign down by as many as 30 points to Gov. Steve Beshear. In keeping with the theme of his recent campaign commercial, Williams focused much of his speech on jobs and the economy.  Beshear, who was at Denyo for an announced plant expansion Tuesday, has touted the results of an economic development incentive program he backed in the legislature.

President Barack Obama and the Democrats in Washington have placed a ticking economic time bomb in the economy of almost every state. Unfortunately for us, thanks to inept political leadership, the one in our state is about to explode. While the decision to extend unemployment benefits was made in Washington, the states are stuck with the bill. Almost none of them would have the funds to cover the added cost. Not to worry, though. Once the dirty deed was done, President “Hope-n-Change” came around offering federal loans to states to pay for the benefits, promising that his stimulus package would soon work a miracle on our crashing economy and that brighter days were indeed ahead.

Kentucky is now surrounded on three sides by neighbor states that are making dynamic conservative changes to their economic policy and experiencing dynamic results. Recently, we learned that the conservative leadership of Indiana has created a $1.2 billion dollar surplus in that state's coffers. By cutting spending, finding prudent efficiencies and without raising any taxes, Indiana Gov. Mitch Daniels has put Indiana on a path to financial prosperity. By assuring businesses that the state won't come around with its tax collecting hands out any time soon, they've vastly improved their business climate.