Wednesday, January 25, 2006

TABOR DEAD?

Is TABOR DEAD?

Discarding plans for rigid spending limits that swept the Capitol only 18 months ago, Republican legislators are drafting a proposed constitutional amendment that instead would impose revenue controls on state and local governments, lawmakers said Tuesday.

Republican lawmakers are working on a constitutional amendment that would limit how much revenue state and local governments could collect. Under the plan: The state, counties and technical colleges could increase revenue equal to the combination of inflation and population growth. Public school districts could raise revenues equal to increases in enrollment and the three-year average change in inflation. The revenue limit for most municipalities would be equal to the three-year average change in inflation and 60% of the value of new construction.

"It provides more protection for the taxpayers and - in some ways - more flexibility," said state Sen. Glenn Grothman (R-West Bend), who was elected to the Senate in 2004 on a platform of trying to find a way to permanently control state and local taxes.

Grothman ousted former Senate Majority Leader Mary Panzer (R-West Bend) in a fall 2004 primary dominated by debate over what proponents call a taxpayer bill of rights, or TABOR.

At that time, some legislators were pushing limits similar to those that had choked state spending in Colorado, although voters in that state in November waived its spending limits on state government for the next five years.

Now, however, Grothman and Rep. Jeff Wood (R-Chippewa Falls) no longer speak of inflexible, TABOR-like spending limits.

"It's not a 'spending' limit," said Wood, adding that he had yet to explain all details of his final proposal to the Republicans who control the Assembly.

Instead, Republicans are focused on trying to impose controls on revenue, which they would define as taxes and most fees, on state and local governments. They say revenue controls would be a simpler way to restrain spending.

"It is much easier to define 'revenue' than it is to define 'spending,' " Grothman said.

So, is TABOR dead? Will the new Revenue Control bill have a huge bonding loophole? I'm told by folks at the Capitol that we shouldn't jump to those conclusions, and that more details will emerge in the next few days.

I am skeptical but will give them the benefit of the doubt.

For about 72 more hours.

The fact that it's taken this long is already quite discouraging.

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