Douglas hits the road, promotes his budget plans

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(Host) Governor Jim Douglas is traveling around the state this week to promote his plans for next year’s budget.  

Douglas is also using the opportunity to criticize Democratic leaders for supporting additional spending and for backing a tax increase.

How this disagreement plays out will determine the future of a lot of state programs.

VPR’s Bob Kinzel reports.

(Kinzel) At a stop in Central Vermont, Douglas told members of the Chamber of Commerce that he’s concerned that lawmakers are unwilling to make the tough cuts that are needed to balance the state budget:

(Douglas) "I’m quite concerned frankly about the direction that I see the budget process going under the golden dome right now. I frankly don’t understand when revenues continue to slide in a downward direction the Legislature seems to be increasing spending and appropriating dollars that just aren’t there."

(Kinzel) Douglas also told the group that raising taxes shouldn’t be part of the solution:

(Douglas) "I have to tell you that businesses that operate in multiple states have choices about where they locate, where they expand, where they invest. And I hear from a lot of them who are keeping their options open about their continued or growing commitment to Vermont because of the relative burden of taxation."

(Kinzel) Recently Democratic leaders announced a budget plan that includes using more federal stimulus money than Douglas has proposed.

Senate President Peter Shumlin says it’s an appropriate step to take and he says Douglas is sending a mixed message about using this new federal money:

(Shumlin) "You can’t go to Washington and say we want the money – it’s going to be a big help – and then come back here and say it’s really not going to do much and therefore we shouldn’t rely on it. You can’t have it both ways."

(Kinzel) And Shumlin says new tax revenue is needed to help the state avoid cutting programs that help people in need:

(Shumlin) "We’re making the tough choices in this budget that get us to a balanced budget. We’re making the tough choices about being honest with Vermonters about the revenue discussion and saying ‘this is what need, how do you want to raise it?’ That’s what our committees will be doing – we are in reality, facing reality."

(Kinzel) Middlebury College political science professor emeritus Eric Davis thinks Vermonters might be willing to support a tax increase if they think it will help save specific programs:

(Davis) "That’s why the Legislature needs to come out – I would argue very soon after they return next week –  with a specific proposal that not only talks about what revenues they’re going to increase but how they would use those funds, and what particular parts of the budget they would put it into."

(Kinzel) Lawmakers will face many of these questions in the near future because the full House is expected to debate next year’s budget by the end of the month.

For VPR News, I’m Bob Kinzel in Montpelier.

 

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