Time is running out on the Arizona Legislature to pass a budget
Posted by AzBlueMeanie:
The Arizona legislature is still in session as it engages in a protracted battle over Governor Jan Brewer's Medicaid (AHCCCS) restoration/expansion plan and the state budget, the one constitutionally prescribed duty of the legislature, which is due by July 1. Arizona Constitution, Article 9, Section 4.
Today marks the end of the temporary one-cent sales tax approved by voters, resulting in a substantial loss of sales tax revenue. State’s 3-year-old temporary sales tax ends today:
The tax has raised $2.7 billion during its three-year run, with
two-thirds of it going to the K-12 system. The remaining third was split
between health care and public safety.
With the expiration of the temporary one-cent sales tax, the corporate welfare tax-giveaway plan laughingly labeled a "jobs bill" that passed in a special session back in 2011 will now begin to phase in over time beginning with FY 2014 (July 1), further reducing state revenues:
Senate Bill 1001 (2011) is
filled with tax breaks and incentives for businesses large and small.
The legislative budget office estimated its cost at $538 million by 2018, when all the tax cuts
are phased in.
Brewer's advisors acknowledged that there
is no guarantee the changes would yield enough new investment and jobs
to offset the anticipated revenue loss.
Several other business tax cut measures enacted since 2011 are also scheduled to be phased in over time beginning with FY 2014 (July 1).