The grocery tax credit can wait another year
Times-News Editorial Board
October 16, 2009
Twin Falls Times-News
In the darkest days of the recession last spring, when everybody was looking for money to plug gaping holes in state government revenue, Gov. C.L "Butch" Otter steadfastly refused to consider delaying the extension of the state's new grocery tax credit.
But in a visit with the Times-News editorial board Wednesday he sure sounded like he'd be amenable to the idea - if lawmakers suggest it.
"I'm not going to get out in front of the Legislature on that one," he said.
Good. That's a sensible way to capture a significant percentage of $52 million in state holdbacks - midyear budget cuts - the state needs to get through the current fiscal year.
Under the new grocery tax credit plan passed in 2008, members of a family of four earning less than $25,000 will get $50 each, while members of families earning more each get $30.
In this fiscal year that amounts to about $22 million.
It's not that Idaho's poorest residents couldn't use the money. But balance that against the consequences of cutting public schools or higher education funding further, or putting more felons on the street.
Delaying the credit last session had the support of some members of the budget-writing Joint Finance-Appropriations Committee, including its co-chairs, Sen. Dean Cameron, R-Rupert, and Maxine Bell, R-Jerome, although others on JFAC opposed it.
But back then, budget-writers had more options - and federal stimulus dollars to ease the pain. Most of that money has been spent.
There's a provision in the law that allows the governor to suspend the grocery tax credit by executive order for economic reasons, or the Legislature should make the change.
It should do so in January.
Originally posted at http://www.magicvalley.com/news/opinion/editorial/article_9c0f84a7-9406-528c-8576-6dc4f41cc4b0.html
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