Topeka ? Business leaders are telling a Kansas Senate committee that they oppose an increase in the state’s sales tax.

The Senate Assessment and Taxation Committee had a hearing Monday on a bill increasing the sales tax from 5.3 percent to 6.3 percent for three years. It also boosts tobacco taxes.

The measure is designed to help erase a projected $467 million budget shortfall for the fiscal year that begins July 1.

But business groups contend the tax increase will stifle economic activity and lead Kansans in border counties to shop in other states.

Kansas Chamber of Commerce lobbyist Kent Eckles (EH’-kuhls) told the committee that retailers in other states are “salivating” over the prospect that Kansas will raise taxes.