Topeka — A proposal to raise tobacco and alcohol taxes has emerged quickly as the top option for addressing the state's need for more money.
At the request of its chairman, David Corbin, the Senate Assessment and Taxation Committee agreed Wednesday to sponsor the legislation to raise about $87 million during the fiscal year that begins July 1.
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The plan drew support from Senate President Dave Kerr, R-Hutchinson, and Ways and Means Committee Chairman Steve Morris, R-Hugoton. They had drafted their own plan to cut spending and tap into rainy day funds to avoid tax increases.
"I think you'll find there's quite a bit of interest in sin taxes," Kerr said. "I think you'll find there are a lot of people who like budget cuts in the abstract but don't like them in the specific."
The tax committee's bill is designed to prevent spending cuts, particularly in education. Corbin, R-Towanda, scheduled a hearing on the legislation for Monday and said his committee could vote the same day.
One opponent of higher taxes said the proposal has a fighting chance.
"If the Senate supports any tax increase, it will be a bill very similar to this," said Sen. Stan Clark, R-Oakley.
The bill would increase the cigarette tax by 35 cents a pack, to 59 cents, and double the tax on the wholesale distribution of all other tobacco products to 20 percent.
It would increase all taxes on alcoholic beverages. The cost of an $8.59 12-pack of Budweiser would increase about 15 cents.
The plan is less ambitious than Gov. Bill Graves' proposal to increase cigarette, sales and motor fuels taxes and vehicle registration fees by $228 million. That plan would raise the cigarette tax 65 cents but would not increase taxes on other tobacco products or alcohol.
"It's an indication of legislators' willingness to consider options," Graves said.
Kerr said the bill has a reasonable chance of passing because senators see a need to compromise with Graves. Kerr said most Senate oppositionwas to raising general taxes, such as sales, income or property.
Both Morris and Kerr said they would vote for the tax committee's bill.
Democrats, who hold 10 of 40 Senate seats, said they want a guarantee that the money raised by the tax increases would be spent on education.
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