Local legislators agree it’s time to end the sales tax on food.
But when it comes to expanding Medicaid, there’s no common ground.
Those differences spilled over Tuesday when local legislators gave Allen County commissioners an update on the coming legislative session.
But first, Reps. Kent Thompson and Ken Collins, and Sen. Caryn Tyson all spoke of their support to abolish a state sales tax on food, amid bipartisan support and new enthusiasm for the effort.
“This is a magic moment in time,” Thompson said. “I think it’s a good policy and I think we can afford it.”
He said estimates show it will cost the state about $545 million to end the 6.5% sales tax on food, but the state expects to have a large revenue surplus — as much as $2 billion — this year in part because of federal stimulus programs.
Exactly how such a measure will pass remains to be seen. The session is set to start on Jan. 10.
Thompson said he hopes lawmakers will resist the urge to pad the bill with other projects in an attempt to capitalize on its popularity.
“It sounds like a good idea in theory, but I want to see the bill. That’s where things get tripped up,” he said. “If we have a chance to get it done, it will be this year so let’s try to keep it a clean bill.”
Collins and Tyson also expressed concern as to what the final bill might look like.
Tyson pointed out there is some debate over what qualifies as a sales tax on food.
Does that mean anything edible, including fast food or meals prepared by a restaurant? Or does it just mean groceries?
“Anything we can get is going to be a win, but I’m going to push for food,” Tyson said. “I’m very excited about it.
I’ve been fighting for this for years.”
Collins said he also prefers to see an exemption for all food, including prepared meals. Some legislators also have discussed offering a tax rebate rather than doing away with the tax at the point of purchase, but Collins said he also hopes to keep it simple.
THE DISCUSSION turned a bit tense when Commission Chairman Bruce Symes asked the lawmakers if there was any chance to pass Medicaid expansion this year.
Not very likely, they said.
Kansas lawmakers have repeatedly refused to expand Medicaid, the health insurance program for the poor and disabled supported by the state and federal government.