Schweitzer will veto new taxes, says Bohlinger

By NICK GEVOCK, Chronicle Staff Writer

Gov. Brian Schweitzer would veto most bills for new taxes, but also plans to spend the surplus on his priorities rather than send it back to taxpayers, Lt. Gov. John Bohlinger said Monday.

"He said 'I'm not a tax-and-spend liberal, in spite of what the Republicans might say,'" Bohlinger said of Schweitzer, speaking over lunch at the Holiday Inn to the Bozeman Kiwanis Club. "He just feels we don't need additional revenue right now."

But Schweitzer is not going to give up revenue by mailing back the state's projected $200 million surplus to taxpayers, as a bill before the Legislature proposes. Instead, that money should go toward the administration's priorities, which include education, health care and infrastructure, Bohlinger said.

Proposals before the Legislature include spending more on education to boost teachers' pay, providing 2,000 college scholarships to Montana students and fully funding the Children's Health Insurance Program.

Schweitzer is also interested in creating a task force that would study ways to battle the state's epidemic of methamphetamine use. And he will support a number of bills to make Montana's highways safer, including a seat belt law, an open container bill measure and stronger drunken driving laws, Bohlinger said.

In addition, Schweitzer is trying to initiate a program to allow the public to scrutinize the budgets of state agencies and look for ways to cut costs. As business owners, he and Schweitzer are looking for ways to improve efficiency within state government, Bohlinger said in a phrase reminiscent of their campaign slogans.

"We can't afford to waste money; we can't afford duplication," he said.

But when Bohlinger opened up the discussion to questions, most from the crowd of about 30 people wanted to know about tax proposals.

Bohlinger ticked off a number of bills that Schweitzer would veto if they reached his desk. Not only does Schweitzer oppose a statewide sales tax, an issue Bohlinger disagrees with him on, but also measures for targeted taxes, such as proposed soda and alcohol taxes.

The only sales tax Schweitzer would consider is a local-option tax, because it leaves the decision to local jurisdictions, Bohlinger said.

At the same time, however, Schweitzer doesn't support eliminating the business equipment tax, as some lawmakers have proposed.

"At 3 percent, the tax on business equipment is competitive with every other state in the region," Bohlinger said. "There's no reason to give that tax base away."

Several people interviewed after Bohlinger's speech said it was refreshing to hear that a Democrat wasn't calling for tax hikes.

But Sharon Tudor Isler, a Kiwanis member, said she would like to see some consideration of tax reform to shift some of the burden from Montanans to tourists who come here. She added the business equipment tax is worth considering for elimination.

"It does stop people from bringing their businesses here," she said.

Nick Gevock is at ngevock@dailychronicle.com

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