Businesses Still Divided

By Trish Anderton on Monday, June 25, 2001.

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Some business organizations are lobbying heavily against proposed increases in corporate taxes. But others are hanging back, saying they fear a worse solution, or simply saying their members don't agree on how to solve the state's revenue woes.

THE DAY BEFORE THE BIG TAX VOTE, THE ATMOSPHERE AT THE STATEHOUSE WAS SLEEPY. HOUSE DEMOCRATIC LEADER PETER BURLING OPPOSES THE TAX HIKES. HE WAS SURPRISED NOT TO BE GETTING MORE PHONE CALLS.

001 25 as someone who’s used to being lobbied, theres a puzzling communication breakdown. I know biz commty unhappy yet I feel – maybe its calm before storm – theres a reticence on part of biz

OTHERS INTERPRETED THE CALM AS A KIND OF QUIET ACCEPTANCE. REPUBLICAN SENATOR TOM EATON OF KEENE.

008 100 my sense is no one wants taxes raised, but I think majority feel they’d rather have that than inc or sales tax. Some see diff but I don’t think that’s majority.

THE BILL WOULD RAISE THE BUSINESS PROFITS TAX FROM 8% TO 8.5%. IT WOULD ALSO INCREASE THE BUSINESS ENTERPRISE TAX FROM HALF A PERCENT TO THREE-QUARTERS OF A PERCENT. THE BUSINESS AND INDUSTRY ASSOCIATION OF NEW HAMPSHIRE OR B-I-A HAS LED THE CHARGE AGAINST THE PROPOSAL. THE BIA’S BRETT SAINT CLAIR SAYS BUSINESS ALREADY DID ITS FAIR SHARE TO SOLVE THE STATE’S BUDGET PROBLEMS BY ACCEPTING TAX INCREASES TWO YEARS AGO.

12 35 its just not fair to biz, we’re being asked again to pay the lions share. We’re willing to do our fair share and a little more, but this just isnt fair.

THE B-I-A TEAMED UP WITH THE RETAILERS ASSOCIATION, THE HIGH TECH COUNCIL, AND OTHER MAJOR ORGANIZATIONS TO SEND LAWMAKERS A LETTER LAST WEEK EXPRESSING THEIR UNHAPPINESS WITH THE PROPOSED TAX INCREASES. BUT SOME BUSINESS GROUPS ARE HOLDING THEIR FIRE, SAYING THEIR MEMBERS DON’T AGREE ON HOW TO SOLVE THE STATE’S BUDGET WOES. JEN SOLLARS LOBBIES FOR THE GREATER MANCHESTER CHAMBER OF COMMERCE.

14 116 I think theres a consensus they don’t like these increases, but I don’t think theres a consensus on how theyd like to see it solved. I think that mirrors whats going on in state.

STILL OTHERS SAY IT’S TOO RISKY TO SHOOT DOWN THE BILL THIS LATE IN THE LEGISLATIVE SEASON. THE NEW HAMPSHIRE AUTOMOBILE DEALERS ASSOCIATION SIGNED ONTO THE LETTER OPPOSING THE TAX HIKES. BUT THEIR LOBBYIST, DAN MCLEOD, SAYS HE ISN’T ACTIVELY WORKING AGAINST THE MEASURE.

17 50 if you kill this, then what do you get? Do we get something worse than what we’re looking at now? That’s what we’re asking ourselves.

MCLEOD BELIEVES BUSINESSES ARE GRADUALLY WARMING TO THE IDEA OF EXPANDED GAMBLING AS A WAY TO ADDRESS THE STATE’S BUDGET PROBLEMS. BUT HE THINKS IT’S TOO LATE TO ADOPT SUCH A PLAN THIS YEAR. INCOME TAX SUPPORTERS ALSO BELIEVE THEIR IDEA IS GAINING MOMENTUM. BUT WITH JUST A FEW DAYS LEFT BEFORE THE NEXT FISCAL YEAR, THE QUESTION FOR LAWMAKERS AND BUSINESS LEADERS ALIKE IS WHETHER THE PAIN OF ACCEPTING THIS PLAN OUTWEIGHS THE PAIN OF MOVING FORWARD IN CONTINUED UNCERTAINTY. FOR NHPR NEWS I’M