Press Releases

 

Entries in State Revenue (18)

Wednesday
Sep032014

NHDP - ICYMI: Concord Monitor Editorial: "Candidates’ tax-cut plans wrongheaded" 

ICYMI: Concord Monitor Editorial: "Candidates’ tax-cut plans wrongheaded"

Key Point: “Havenstein, if elected, would push to lower the state’s Business Profits Tax from 8.5 percent to 7.4 percent, something that he magically believes would create 25,000 new jobs. He offers no evidence to support that belief, and history suggests it’s misplaced.

“What the tax cuts proposed by both candidates would do is reduce the state’s ability to pay for the things that make New Hampshire attractive to employers and the young families the state wants to attract, among them good schools, safe roads, well-kept parks, good public services, a clean and beautiful environment, and affordable higher education.”

See below for excerpts or here for the full editorial:

George H.W. Bush called the notion that cutting taxes would increase economic activity, thus creating jobs and increasing federal revenue, “vodoo economics.”

So-called supply-side economics didn’t pan out for President Ronald Reagan, who increased taxes. As a theory it’s largely been discredited, but its something-for-nothing allure remains so strong that the idea refuses to die.

Three decades later, supply-side notions such as those that underlie the tax plans of New Hampshire Republican gubernatorial candidates Andrew Hemingway and Walt Havenstein should more rightly be called zombie economics. They are the walking dead, yet still capable of doing harm.

Havenstein, if elected, would push to lower the state’s Business Profits Tax from 8.5 percent to 7.4 percent, something that he magically believes would create 25,000 new jobs. He offers no evidence to support that belief, and history suggests it’s misplaced.

Analyses by the national Economic Policy Institute, the Center on Budget and Policy Priorities and the New Hampshire Fiscal Policy Institute, among many others, show that cutting corporate taxes has little or no effect on a business’s decision to relocate, expand or hire more workers.

[...]

According to research cited by the Fiscal Policy Institute, business taxes in New Hampshire are already lower than in most states. And in every state, business taxes make up only a small component of business expenses and thus have limited influence on business decision-making. Other factors – an educated workforce, good schools, quality of life, state of the infrastructure, access to markets and the like – are far more important.

What the tax cuts proposed by both candidates would do is reduce the state’s ability to pay for the things that make New Hampshire attractive to employers and the young families the state wants to attract, among them good schools, safe roads, well-kept parks, good public services, a clean and beautiful environment, and affordable higher education.

[...]

The tax cuts proposed by Hemingway and Havenstein would take the state backward, not forward.

Thursday
Aug212014

ALG's Daily Grind - State tax revenue nose dive provides ominous economic warning 

6

August 20, 2014

Permission to republish original opeds granted.

State tax revenue nose dive provides ominous economic warning
Federal revenues reach all-time high on higher rates while state and local taxes take a nose dive.

Climate change a symbolic battle against an unpleasant, toxic way of life
As Mann unwittingly makes the case for, alarmist claims are met with "suspicion, skepticism, and sighing apathy" — and those are not the battle cries of a winner.

Legal Insurrection: Montana Democratic Senate nominee has some strange video selfies
"Amanda Curtis' state legislative career is one long video selfie, posted daily to YouTube."

Thursday
Aug212014

NH Deputy House Republican Leader Comments on Governor's Suggestion to Raise Business Taxes, Build a Casino

CONCORD - Today Deputy House Republican Leader and member of the House Ways & Means Committee, David Hess (R-Hooksett), offered the following comments relative to Governor Hassan’s claim that business tax reforms passed during the previous legislative term, “are having a negative impact on the state's budget.”

 

Deputy House Republican Leader David Hess (R-Hooksett)

 

“Not even the Department of Revenue Administration is ready to attribute any change in business tax or interest and dividends tax revenue to any one or particular set of causes at this time. During several meetings in the month of August, DRA officials said it is currently impossible to tell if any prior legislative changes will have any effect on our overall fiscal balance.”


“The Governor has a solution in search of a problem. Her solution is to potentially make our business tax climate less favorable than it already is, or rely on revenue from a non-existent casino when a casino is not something we could even realistically propose for this budget cycle. This is not how to encourage long term economic growth, or responsibly address what experts suggest may be a temporary revenue anomaly.”

"What we can address immediately is state spending. Until we have an more accurate picture of how our state agencies are managing the resources we've allocated to them, I think hitting the panic button on revenue is premature."

Friday
Aug152014

NH House Republican Leader Reiterates Need to Address Budget Concerns 

Concord - House Republican Leader Gene Chandler offered the following statement relative to concern voiced by leaders in the State Senate that state agencies may be overspending, and creating growing budget deficits as a result, while Governor Hassan and agency heads refuse to meet with budget writers to open the books and discuss the concern, citing, “incomplete information.”

 

“It may take time to count every penny, but when we’re in a potential crisis situation, we owe it to the people of New Hampshire to have an open and frank discussion on what appears to be a significant budget problem. We are, after all, elected to be good stewards of taxpayer dollars, and our citizens expect some level of transparency and accountability within our state government.”

 

“Every leader of every state agency should have some idea how their balance sheet will shape up, whether or not it’s finalized. They do not operate in the dark. I would hope that the Governor would allow the agency heads to meet with the legislature and comply with a simple and reasonable request to discuss how their agency is performing with the resources we’ve allocated to them. Kicking the can down the road will only lead to future budget problems.”

Friday
Aug152014

NH Sen Forrester- "We can't afford to wait another month" 

The New Hampshire Senate

Republican Majority Office

Governor Hassan won’t share spending data until September 30th.

 

Concord, NH – Senate Finance Committee Chair Jeanie Forrester (R-Meredith) today issued the following response to Governor Maggie Hassan’s decision to wait until the end of September to release Fiscal Year 2014 spending data for New Hampshire departments.

 

“We can’t afford to wait another month to know how a big a budget problem we’re facing. The Governor signaled in May that state departments would not be able to meet their budget targets. The Department of Health and Human Services’ latest report show the gap topping $100 million at the end of this fiscal year. If departments managed to stay within their budgets, that would be great, but we need to know. If they overspent their budgets, we need to know so that we can take every necessary step to protect New Hampshire taxpayers and our state’s fiscal integrity. If Governor Hassan were truly interested in working in a bipartisan manner, she would be transparent with the state’s budget data.”

 

The latest Department of Health and Human Services dashboard shows DHHS exceeding its spending authority by as much as $100 million in FY14-15. Hassan first warned that departments would exceed their FY14 budgets back in May, but now indicates that she won’t share updated spending data with the Legislature until September 30th. The Union Leader this morning declared the “NH budget is in a shambles”.

 

Spending Watch ‘14

 

45 Days since the end of Fiscal Year 2014

 

38 Days since Forrester requested a department spending update