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Capitol Comments February 25, 2003
One of the bills before my Judiciary Committee would create a new exemption from the law's restrictions, while the other would extend the law to cover some cell phones. After much debate on the merits of the bill; my committee voted to table the bill. I believe the majority of the Judiciary Committee believes we should allow the bill to work for a couple of years before we start altering the original provisions.
The Senate Tax Committee heard testimony from several persons protesting the tax breaks on housing for the elderly. The homes at issue are built on retirement-community or other non-profit property to be occupied by well-to-do elderly residents and are exempt from property taxes. This exemption represents a significant loss of revenue for cities and counties and shifts the burden to outside taxpayers. Those who support this bill estimate the loss to counties of approximately $2.5 million per year but agree that non-profit entities should maintain their tax break on assisted living and health-care facilities.. Contrary to many opinions, we heard a large percentage of the residents living in the retirement communities are at or below the low-to-moderate income levels. An additional tax burden would force many of them to be on public assistance. My opinion is that the property tax exemption ends up being a much more cost effective means and more efficient way to provide care for the elderly than to rely on federal or state welfare programs. Many seem to not recognize this important economic development contribution that the not-for-profit retirement communities makes. Adding real estate taxes would jeopardize these operations as these costs would be passed on to the very people who are not in a financial position to pay them. This contentious issue has been before my Tax Committee for several years. It is very difficult to find an "one size fits all" solution to this very complex problem. Should this bill be enacted, such units would be added to the tax rolls by December 31, 2005.
The House Education Committee heard testimony this week from superintendents, board members, and parents of children whose schools may be closed as a result of proposed consolidation. The testimony given before the committee was in opposition to several bills that could reduce statewide school district numbers from 303 to as few as 40 with the majority being in rural communities. Dr. James Sutton, superintendent, South Haven U.S.D. 509, argued that school district consolidation would increase costs causing a decrease in quality. "This proposal will produce an increase in the money and the time spent on transportation and safety in these schools. Is there any evidence that indicates larger, consolidated schools create safer, academically superior schools," Sutton asked the committee. He also pointed to the value that a school district adds to small, rural communities. "While there are only 82 students in our high school, 29% are a part of the National Honor Society, 53% are on the basketball team, and 56% are active members of the FFA. These numbers cannot be duplicated at a large school." Dan Metz and Mike Graves, school board members, at Oxford U.S.D.
358, echoed Dr. Sutton's sentiments but also spoke on the issue of local control.
"This is a decision for local parents and taxpayers to make," Metz said.
"People in these districts will look at declining attendance and budgets to determine
whether it's worth a tax increase to keep these schools open. Local control should be
maintained." Mark Tallsman, co-Executive Director of the Kansas Association of School
Boards, pointed out to the Committee that there is alternative legislation supporting
local control and efficiency without mass consolidation. "There are proposals out
there that would reduce the financial penalties placed against a district that closes
buildings for example," Tallsman said. "The state needs to know that small
communities will respond positively to incentives. They will react negatively to mandates
and penalties."
It was a delight to have Jessica McIver, John McIver, Kyle Cooper
and Kelsi Cooper from Winfield Middle School page for me this past week. I am always
grateful for the parents who see that the students have transportation to Topeka to
observe government in action. |