Topeka — A bill to raise taxes on tobacco and alcohol lacked the votes to clear a Senate committee Monday, and proposals to cut state spending immediately faced heavy opposition in the full Senate.
At least seven of the 11 members of the Senate Assessment and Taxation Committee expressed dissatisfaction with the tax-increase measure, which would raise an estimated $87 million for the state in the budget year that starts July 1.
Some said $87 million would not fix the state budget, some oppose any tax increase, and others want to consider a different mix of revenue sources, including an expansion of legalized gambling.
Meanwhile, Republican leaders still planned Senate debate Wednesday for a bill cutting the current $4.5 billion budget by $54 million, or 1.2 percent. The bill would spare public schools but cut funds for higher education and social services.
Democrats said they won't vote for the bill because of those cuts, and GOP support seemed shaky as well.
Majority Leader Lana Oleen, R-Manhattan, said if the bill fails Wednesday, the debate about cutting the current budget a step known as rescission probably will be over.
House Appropriations Committee Chairman Kenny Wilk, R-Lansing, added: "If you're going to do any kind of meaningful rescission, it should be done by now."
The state faces a projected $426 million gap between expected revenues and spending commitments in fiscal 2003, which begins July 1.
Gov. Bill Graves proposed $228 million in sales, cigarette and motor fuels tax and vehicle registration fee increases.
The $87 million bill before the tax committee is an alternative to Graves' plan. Many legislators want to raise new revenues to avoid cutting aid to public schools.
"People cannot say no to certain groups in this building," said Tax Chairman David Corbin, R-Towanda, who proposed the $87 million in tax increases. "When they can't, it becomes evident you have to find new revenues."
During a hearing Monday, lobbyists for merchants and the liquor and tobacco industries suggested the bill would reduce sales and send Kansans across state lines for their products.
Republican committee members Stan Clark, of Oakley, and Ed Pugh, of Wamego, oppose any tax increase, while Les Donovan, R-Wichita, said the increases in the bill are too high for him.
But Sen. Sandy Praeger, R-Lawrence, said the bill raises too little money. She wants to prevent cuts in higher education and social service spending.
Like Democrats, Praeger worries especially about a 2 percent cut in spending in the Department of Aging contained in the budget legislation before the Senate. The $2.9 million most likely would come out of meals programs and in-home services, Secretary Connie Hubbell said.
With at least four of eight tax committee Republicans opposing the bill, supporters need the votes of two of the three Democrats. They have none.
Sen. Greta Goodwin, D-Winfield, said she wants a guarantee the money will be used for public schools. Sen. David Haley, D-Kansas City, said he wants more options considered, including gambling.
Sen. Janis Lee, D-Kensington, said, "It doesn't raise enough money to make enough of a difference."
Meanwhile, GOP leaders said time is against any plan to cut current spending. The longer legislators wait, the more money state agencies spend before the cuts take effect.
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