THE HOUSE AND SENATE: There were no roll calls in the House or Senate last week.

This week, Beacon Hill Roll Call reviews local representatives' votes from the 2009-2010 session on eight key proposals to increase or reduce taxes.

$5,000 TAX CREDIT FOR PAYING FOR ELDERLY PARENT CARE AT HOME (H 4600)

House 22-134, rejected an amendment giving a $5,000 tax credit to taxpayers who pay for home health services for themselves, a parent or parent-in-law over 60 or for home hospice services for anyone.

Amendment supporters said this would provide some financial relief to these taxpayers, boost the economy, create jobs and help keep more seniors and sick people at home rather than a nursing home.

Amendment opponents said this is a kind and useful amendment that the state just cannot afford at this time. They argued that the state would lose an estimated $87 million.

(A "Yes" vote is for the $5,000 tax credit. A "No" vote is against it.)

Rep. Thomas Calter, No                                      Rep. Daniel Webster, Yes                                     

INCREASE TAX ON DIVIDENDS AND INTEREST FROM 5.3 PERCENT TO 12 PERCENT (H 4600)

House 9-147, rejected an amendment that would hike the tax on interest income and dividends from 5.3 percent to 12 percent. The first $5,000 of this income would be exempt for senior citizens over 65.

Amendment supporters said the hike would affect mostly wealthy taxpayers and will generate an estimated $500 million that the state could use to fund local aid and many human service programs that were cut.

Amendment opponents said the hike would not just affect wealthy people. They argued that a tax hike during this recession would only make the economy worse.

(A "Yes" vote is for raising the tax. A "No" vote is against raising the tax.)

Rep. Thomas Calter, No                                      Rep. Daniel Webster, No                                      

SALES TAX-FREE HOLIDAY ON AUGUST 14 AND 15 (H 4820)

House 136-13, approved an amendment that allowed consumers to buy most products that cost under $2,500 on Saturday, August 14 and Sunday, August 15 without paying the state's 6.25 percent sales tax.

Supporters of the bill said the holiday would boost retail sales and noted that consumers in recent years have saved millions of dollars during similar tax-free holidays. They argued that the state's sales tax revenue loss would be offset by increased revenue from the meals and gas tax revenue generated by shoppers on those two days.

Some opponents of the bill said the holiday actually generates little additional revenue for stores because consumers would buy the products even without the tax-free days. They said the Legislature should be looking at broader, deeper tax relief for individuals and businesses and not a tiny tax-free holiday. Others said that legislators should not vote for this tax holiday when they have not yet restored all the local aid, education and other program cuts made over the past few years.

(A "Yes" vote is for the tax-free holiday. A "No" vote is against the tax-free holiday.)

Rep. Thomas Calter, Yes                                    Rep. Daniel Webster, Yes                                     

LIMIT FILM SUBSIDIES TO $50 MILLION PER YEAR (H 4572)

House 15-141, defeated an amendment that would cap at $50 million per year the total subsidy that the state currently gives movie production companies which make films on location in Massachusetts.  

The subsidy basically pays for 25 percent of a film's production and labor costs incurred in Massachusetts. For example, if those costs are $100 million, the state pays for 25 percent of the costs or $25 million.

Supporters of reducing the cap said the state should not offer subsidies to a wealthy, private entertainment industry while education, human service programs and local aid are still severely underfunded. They noted that the state-funded $5 million portion of Leonardo DiCaprio's estimated $20 million salary for 60 days of work on a movie here would pay $45,045 salaries for 111 teachers for one year. They argued that the state lost $95.5 million in 2008 by subsidizing $113 million for these movies and receiving only $17.5 million in taxes and other revenue generated by the companies.  

Opponents of reducing the cap said that this industry has generated more than $1 billion in new economic activity in the state since the subsidies were first implemented in 2005. They argued that these companies spend millions of dollars on hotels, food and other expenses, employ thousands of Bay State residents and increase tourism as a result of the state being featured in films. They noted that for every dollar the state gave in subsidies, it reaped $1.95 in revenue.

(A "Yes" vote is for limiting the hike to $50 million per year. A "No" vote is against the limit.)

Rep. Thomas Calter, No                                      Rep. Daniel Webster, No                                      

FREEZE UNEMPLOYMENT TAX (H 4470)

House 152-0, approved a bill freezing the unemployment insurance tax paid by employers at the current 2009 level through 2010 instead of allowing a scheduled increase to take effect. The payments go into a fund that provides benefits to laid-off workers.  

The contribution that employers pay into the fund was scheduled to rise dramatically because of the increasing number of laid-off workers collecting unemployment benefits.

The average 2009 employer contribution into the fund was $584 per employee.  Without this proposed freeze, the 2010 per-employee assessment would jump to an estimated $852.  

Supporters said the freeze would allow the state to borrow money from a federal loan pool funded by federal unemployment taxes paid by employers. They argued it would save businesses $300 million during this economic downturn and is an appropriate balance between helping the jobless and the employers struggling to keep workers employed.

(A "Yes" vote is for the bill.)

Rep. Thomas Calter, Yes                                     Rep. Daniel Webster, Yes                                     

25 PERCENT INCREASE IN THE SALES TAX (H 4100)

House 108-51, approved a 25 percent hike in the state's sales tax that would increase the current 5 percent sales tax to 6.25 percent.  

Supporters of the increase said it would raise an estimated $900 million that would be used to reverse some of the devastating cuts in human service programs and local aid. They urged members to stand up and do the right thing even though it might not be politically popular.

Opponents said a sales tax hike would make the economy worse and hurt thousands of people who have lost their jobs, had their hours reduced, lost their homes or are struggling to keep their homes. Some noted the tax hike was crafted at the last minute and did not go through the regular legislative process, including public hearings at which voters could express their opinions.

(A "Yes" vote is for raising the sales tax from 5 percent to 6.25 percent. A "No" vote is against the hike.)

Rep. Thomas Calter, No                                      Rep. Daniel Webster, No                                      

STUDY GAS TAX EXEMPTION FOR CITIES AND TOWNS (H 4600)

House 124-32, approved an amendment prohibiting a proposal exempting cities' and towns' vehicle fuel purchases from the 21 cents-per-gallon gas tax from taking effect until the Department of Revenue studies the economic impact of the exemption and a new bill to allow the exemption is filed and approved.

Supporters of the study said the proposal is attractive but noted the actual cost is unknown and is probably a lot higher than the up to $15 million that proponents of the exemption are indicating. They argued the study will simply allow accurate estimates of the costs.

Opponents of the study said none of these alleged studies are actually done and are simply tactics to kill the proposal without having a direct vote on it. They noted the exemption would save cities and towns between $10 million and $15 million that they could use to make up for local aid cuts.

(A "Yes" vote is for the study. A "No" vote is against the study.)

Rep. Thomas Calter, Yes                                     Rep. Daniel Webster, No                                      

STUDY ELIMINATING THE 6.25 PERCENT SALES TAX ON LIQUOR (H 4600)

House 88-67, approved an amendment indefinitely delaying a proposal to eliminate the 6.25 percent sales tax on liquor, wine and beer purchased at package stores. The amendment prohibits the tax cut from taking effect until Gov. Patrick's Executive Office of Administration and Finance and the Department of Revenue study its impact, and a new bill to eliminate the tax is filed and approved.

Some supporters of the study said the state cannot afford this revenue loss which would lead to cuts in important programs. Others argued they would be amenable to eliminating the tax but wanted to first study its impact.

Opponents of the study said this is another maneuver to kill the attempt to repeal the tax without having a direct vote on it. They said this 6.25 percent sales tax is unnecessary on a product that is already heavily taxed at the state and federal level. Some argued the tax is hurting all liquor stores, especially small "mom and pop" stores and stores in cities and towns on the border of other states with a smaller tax.

(A "Yes" vote is for studying the tax cut. A "No" vote is against the study.)

Rep. Thomas Calter, No                                      Rep. Daniel Webster, No                                      

ALSO UP ON BEACON HILL

$420 MILLION OF FEDERAL STIMULUS MONEY (H 5208) - The governor signed into law a $420 million supplemental budget funded entirely with one-time federal stimulus funds. The package funds collective bargaining agreements, jails, homeless shelters, health care for low-income residents, home care for the elderly and services for persons with disabilities.  

REQUIRE SCHOOL BUS DRIVERS TO TAKE FIRST AID COURSE (H 4781) - Gov. Patrick signed into law a proposal naming a 2008 law that requires all school bus drivers to complete a basic course in first aid "Darnell’s Law," in memory of Darnell Cobb, the Marlborough 5-year-old who choked to death on a city school bus. The measure also prohibits convicted sex offenders from driving a school bus and broadens the current law that prohibits anyone convicted of committing an unnatural act, rape or sodomy from driving a school bus.

The following four bills have been approved by the House or Senate but are still in limbo - stuck in a legislative committee.

TOWN MANAGERS (S 793) - The House approved a Senate-approved bill giving boards of selectmen the power to establish the length of the appointment of a town executive secretary or town administrator. Current law only allows the appointment for one or three years. Supporters said selectmen should have the authority to determine the length of the appointment and not have their hands tied by some arbitrary and antiquated state law. Additional approval by each branch is needed prior to the measure going to Gov.  Patrick. The measure is stuck in the House Bills in Third Reading Committee.

TAMPERING WITH WATER METERS (S 1486) - The House approved a Senate-approved bill increasing from $100 to $1,000 or triple the amount of damages, whichever is greater, the fine for tampering with a city or town water meter. Damages would include the cost of the water used and the cost of labor and equipment repair or replacement. Supporters said tampering is costing cities and towns much-needed revenue. The bill is stuck in the House Bills in Third Reading Committee.

CREATE SENIOR SAFETY ZONES (H 543) - The House gave initial approval to legislation allowing cities and towns to implement senior safety zones in which the speed limit would be lowered to 20 mph. The zones would be near senior citizen housing, hospitals, nursing homes, assisted living facilities, senior centers and other senior establishments. Supporters said these senior zones, similar to current school safety zones, would reduce accidents and injuries and save lives. The proposal is stuck in the House Bills in Third Reading Committee.

"RIGHT TO REPAIR" BILL (S 2517) - The Senate approved and sent to the House the controversial bill that would require auto manufacturers to sell to non-dealer repair shops the complete repair information and diagnostic tools currently only provided to franchised dealer service centers.

Supporters say the auto companies currently refuse to give the information to independent repair shops, and consumers are forced to have repairs done at the more expensive dealer service centers. They argue this pro-consumer bill would lower the cost of repairs for consumers by fostering competition and allowing them to go to independent repair shops.

Opponents say the proposal would force auto manufacturers to disclose trade secrets and other proprietary information to their competition. They argued the measure is a sneaky way for Pep Boys and other generic auto part manufacturers to obtain information that would allow them to manufacture cheap generic versions of the auto parts.

The legislation is stuck in the House Ways and Means Committee.

QUOTABLE QUOTES

"In the movie 'Conviction,' the Hollywood representation of the case of Kenneth Waters, there are important factual clarifications that should be made."

–– From a press release from Attorney General Martha Coakley listing several inaccuracies in the Boston-based movie. She warns viewers to be aware that it is a Hollywood version of the story, and not all of the details in the movie are accurate. The story is about a woman who goes to law school so she can help exonerate her brother who was wrongfully convicted of murder.

"Are you looking for eco-conscious apparel but unwilling to sacrifice comfort? Look no further than this 100 percent organic cotton t-shirt from Econscious. Soft against your skin yet durable enough for everyday wear, this earth-friendly tee looks great and helps save the planet."

–– One of the items for sale for $22.99 from the Official Charlie Baker for Governor Store on the GOP gubernatorial candidate's website.

“To avoid high shipping and handling charges and long shipping times, yard signs will be shipped to campaign headquarters and we will notify you when they are available for pickup ... One sign - $2.50, Ten signs - $20, 50 signs $87.50 and 100 signs - $150."

–– Gov. Patrick's website selling, rather than giving away, Patrick-Murray lawn signs with quantity discounts available.  

Editor's note: Beacon Hill Roll Call searched the websites of Independent candidate Tim Cahill and Green-Rainbow Party Jill Stein but was unable to find a store or any items for sale.

Beacon Hill Roll Call

Volume 36-Report No. 41

October 15, 2010

Copyright © 2010 Beacon Hill Roll Call. All Rights Reserved.