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Governor's Special Session proposed spending increases

| May 18, 2007 12:00 AM

To the Editor:

The Governor's Special Session is over with the majority of his proposed spending increases still intact along with his signature $400 tax rebate to Montana home owners and no permanent property or income tax reductions.

So with this tax rebate homeowners will have the privilege of paying part of it back to the state in the form of income taxes.

A meaningful decrease in business equipment taxes that provides incentive to bring small businesses to Montana and help those that are here to survive and continue to provide jobs for our Montana workers was simply not in his or his party's plan.

So if your business equipment costs are 1 dollar more than $20 thousand you will pay equipment taxes on all of your equipments value.

Certainly some small office businesses will be exempt, but not many of those that actually employ more than one or two people qualify under present law. And of course, the majority of small businesses in the state including almost all family owned farming and timber harvesting operations still did not receive any tax incentive for their contribution to Montana's economy.

The tax incentives for increasing energy generation in the state should be beneficial to all Montanans' in the long run by increasing not only alternative energy production but also the utilization of Montana coal.

The requested funding of $3 million for the Libby Asbestos Medical Plan was reduced to nothing by Senate Democrats but finally approved at a meager $1.5 million in the final hours of the session and then only after much effort on the part of Lincoln County's legislators.

It seems a little ironic that the Governor's land acquisition plan and Department of Revenue needed to have $10 million and $14 million increases, respectively, restored to the budget but we could not afford the additional dollars needed to help ensure folks with asbestos related health problems are able to receive needed care.

In addition to present day spending, K-12 Education received increases with a large portion going to 'All Day Kindergarten'.

The University system also received additional funding to be used to hold the line on college tuition costs. It is my understanding that these funds include Community Colleges if the Board of Regents chooses to include these institutions in the tuition freeze such as our Lincoln County Campus here in Libby.

The bottom line is that with over a Billion dollars of tax payer money in excess of present day spending to work with, the Governor and 60th Legislature chose to return less than 10 percent of that to home owners and taxpayers and then only on a one time basis.

The remainder was used to grow government and programs at rate 2 to 4 times greater than worker wages are expected to increase over the next 2 years.

Was the session a success? I imagine it simply depends on whose side of the fence you are standing, i.e., how much tax you presently pay, how much this continued government growth and spending ultimately impacts you, your family or your business and whether or not you are on the receiving end or the paying end of this massive growth.

For me and on a long term basis, I believe that we failed the Montana taxpayers, the educational systems for our children & workers along with the working families of our great state.

Ralph Heinert, House

Ralph Heinert representing Montana House District #1 may be contacted by telephoning 406/293-9843; by writing to his attention, P.O. Box 577, Libby, MT 59923 or by e-mail rheinert@lclink.com .