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A technical tax increase

During the last week of the first session of the 106th Tennessee General Assembly, the Governor presented a bill deemed the "Technical Corrections Bill." This legislation was supposed to correct technical errors in the budget so that the language squared with both existing law and with bills already passed and provided for in the 2009 legislative budget. That was how the legislation was presented by its designated House sponsor, Rep. Craig Fitzhugh (D-Ripley). In reality, the bill contained more than technical corrections, but also a host of fees, mandates, and most importantly, new taxes. Nearly all of the proposals for taxes, fees, or mandates contained in the Technical Corrections Bill were things which should have been introduced as bills in their own right when the Legislature convened back in January. They weren't introduced because if the enactments contained in the so-called technical corrections bill had been brought forward as bills in their own right they would have failed.

By being included as "technical corrections," Governor Phil Bredesen, along with his Minion of Revenue Reagan Farr, was able to bring Tennesseans a myriad of new taxes and fees that you might not know about until you do something that requires the payment of one of the new levies. One of the new mandates included is the requirement that Tennessee small businesses file the returns for their State sales taxes online or face a fine of up to $500. Not only is filing online not practical for certain kinds of businesses, but legislators might never have voted for this change were it a bill of its own. In searching for the source of the menacing new mandate on businesses from Nashville, I quickly learned that many legislators didn't know where the authorization to enact an online filing requirement for business taxes came from in the law. Those that did know it came from the Technical Corrections Bill, such as Reps. Mike Bell (R-Riceville), and Joshua Evans (R-Greenbrier), were also quick to point out that they voted against the legislation. One of the chief arguments against the bill was that it was worded in such a way that some newer members weren't sure what they were voting on, and even veteran legislators were left unclear about what the bill would actually do. Doubtless some violated the cardinal rule of voting on legislation-if you really aren't sure what it will do, vote no (abstaining from a vote could cause the bill to pass by fiat).

It is easy to say that legislators should have been more familiar with what was in the Technical Corrections Bill, but the bill was also presented during budget week, when literally hundreds of other bills were also moving rapidly through the process, some directly related to projects and services in members' districts. These Representatives and Senators rightly had to be concerned about what they would be able to say to their constituents about a budget process that was one of the most convoluted in a number of years. What, voters would ask, do you have to show us for all of this mess?

A list of the items that should have been moved through the Legislature as indivisual bills was circulated by the House Republican Caucus, but the blatant disregard for the separation of powers and the checks and balances by the executive branch in this situation should be disturbing to legislators of both political parties. Rather than run parts of his tax program through the legislature, Governor Bredesen chose to use "technical corrections" as an end run around our system of checks and balances. Such a cheapening of our constitutional process should be very disturbing to any informed citizen.
 
The Yeas and Nay on the "Technical Corrections Bill," which contained the mandate to file business sales online or face a $500 fine:
 
 
 
SB2318 by Kyle - FLOOR VOTE: AS AMENDED PASSAGE ON THIRD CONSIDERATION 6/16/2009
Passed
          Ayes...............................................52
          Noes...............................................44

          Representatives voting aye were: Armstrong, Barker, Bone, Borchert, Brooks H, Brown, Camper, Cobb C, Cobb T, Coleman, Cooper, Curtiss, DeBerry J, DeBerry L, Eldridge, Favors, Ferguson, Fincher, Fitzhugh, Ford, Fraley, Gilmore, Hackworth, Harmon, Harrison, Jones S, Jones U, Kernell, Litz, McCord, McDaniel, McDonald, Miller, Moore, Naifeh, Odom, Pitts, Pruitt, Ramsey, Richardson, Roach, Shaw, Shepard, Sontany, Stewart, Tidwell, Tindell, Towns, Turner M, Winningham, Yokley, Mr. Speaker Williams -- 52.

          Representatives voting no were: Bass, Bell, Brooks K, Campfield, Carr, Casada, Cobb J, Coley, Dean, Dennis, Dunn, Evans, Faulkner, Floyd, Halford, Harwell, Hawk, Haynes, Hensley, Hill, Johnson C, Johnson P, Kelsey, Lollar, Lundberg, Lynn, Maggart, Matheny, Matlock, McCormick, McManus, Montgomery, Mumpower, Niceley, Rich, Rowland, Sargent, Shipley, Swafford, Todd, Watson, Weaver, West, Windle -- 44.
 
 
 
SB2318 by Kyle - FLOOR VOTE: CONCUR IN HOUSE AMEND# 2 6/17/2009
Passed
          Ayes...............................................24
          Noes................................................9

          Senators voting aye were: Barnes, Berke, Black, Burks, Faulk, Finney L, Ford, Harper, Haynes, Henry, Herron, Jackson, Johnson, Ketron, Kyle, Marrero, McNally, Norris, Overbey, Stewart, Tate, Watson, Woodson, Mr. Speaker Ramsey -- 24.

          Senators voting no were: Beavers, Bunch, Burchett, Crowe, Gresham, Southerland, Stanley, Tracy, Yager -- 9.
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, Tennessee Statehouse Examiner

David Oatney is a freelance political writer, blogger, and conservative activist. He is active in local Republican and municipal politics, and lives with his wife in the Great Smoky Mountains in White Pine, Tennessee. He can be reached at oatney@gmail.com.

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