The Richmond Register

February 26, 2010

Budget remains the big question in General Assembly

Ronnie Ellis

FRANKFORT — Another week went by and still the House has no budget proposal — but “we’re very close,” said House Speaker Greg Stumbo, D-Prestonsburg. He said key House Democrats will work on a budget proposal over the weekend and he gave some broad outlines of what it would likely look like.

But even that may have changed a bit Friday afternoon. The plan relied on 2 percent funding cuts to higher education — producing about $40 million over two years — but following a meeting with university presidents; Stumbo said Democratic House leaders will “try to restore their funding.”

Senate President David Williams, R-Burkesville, was not so sure even before the House leaders met with university presidents.

“It’s going to be impossible to balance this budget unless we have shared sacrifice,” Williams said Friday morning during a joint press conference with Stumbo. “And it has to begin in the first year. It can’t wait until the second year.”

That was a reference to hints coming out of the House that most of the cuts will fall in the second year, conveniently after the November election when all House seats and half of the Senate seats are on the ballot. And Williams said about the universities that a 2 percent cut in expenditures “should not affect operations in any way or affect our expectations of excellence.”

Other key features of the House plan, according to a handout from Stumbo’s office Friday, are suspending for two years business write-offs for losses which they can spread over 20 years. The companies will not pay more taxes and can still take the write-offs over 22 years. The plan assumes an accelerated collection of sales taxes which produces about $90 million over two years; taxing Kentuckians who work outside the country but maintain a residence in the state on the first $8,000 of income which is now exempt; and perhaps taxing long-term stays in hotels.

In non-budget matters, the Senate passed a bill sponsored by Sen. David Boswell, D-Owensboro, to allow high school students to study the social and cultural influence of the Bible. In attempt to avoid constitutional challenges, the legislation calls for the Kentucky Board of Education to develop guidelines on how the course is to be taught, focusing on how it has influenced history, literature and culture.

The bill must still pass the House.

The House Health and Welfare Committee deadlocked on a Senate bill sponsored by Sen. Elizabeth Tori, R-Radcliffe, which would allow women considering an abortion to view an ultra-sound. Tori told the committee the woman would not be required to view the ultra-sound but the physician would be required to do one and then offer the patient the choice.

The bill could muster only a 7-7 tie for favorable passage, not enough to reach the House floor and for now is dead.

The House Judiciary Committee passed favorably a bill sponsored by Rep. Martha Jane King, D-Lewisburg, which would make juveniles who transmitted any nude or obscene image over a personal cell phone or electronic subject to community service and a fine.

Subsequent offenses would be handled by juvenile judges and could be adjudicated as felonies in some cases.

Ronnie Ellis writes for CNHI News Service and is based in Frankfort. He may be contacted by e-mail at rellis@cnhi.com. Follow CNHI News Service stories on Twitter at www.twitter.com/cnhifrankfort. The Richmond Register is a CNHI newspaper.