Scott says corp tax cut “right thing for the state”by John Kennedy | April 25th, 2011
The blurry framework of a state budget showed some signs of emerging Monday, but scores of big-ticket issues and personal friction continue to stand between state lawmakers and a deal.
Gov. Rick Scott also is a wild card — repeating his call Monday for a corporate income tax cut that failed to gain support earlier in the day in a Senate committee.
“I’m confident it’s going to happen,” Scott said. “Just discussions I’ve had, I think it’s going to happen. It’s the right thing for the state.”
Senate Budget Chairman J.D. Alexander gave prospects for the tax cut poor odds, shortly after the Senate Commerce and Tourism Committee postponed action on a Scott-pushed proposal carried by Sen. Garrett Richter, R-Naples.
But Scott said lawmakers could enact the tax cut without having to slash even deeper budget proposals that already reduce public school spending by at least $1 billion.
“I think there are funds there,” Scott said.
Scott spoke after a closed-door meeting with former U.S. Sen. Bob Graham, who also was Florida’s chief executive from 1979-87. Graham said the pair exchanged ideas about economic development. But he also said he didn’t put a lot of faith in tax cuts as a catalyst for luring businesses.
Florida’s history shows that tax cuts have coincided with periods of low growth in jobs.
“That doesn’t seem to be a very strong recommendation that tax cuts are either the way to create jobs or enhance the value of jobs,” Graham said.
Graham also is wary of the reductions in education spending promoted by Scott and lawmakers.
Graham said he shared his concern with Scott. It was received, “respectfully,” Graham said.