They made it: With days to spare before Friday's scheduledadjournment, Gov. Ryan and legislative leaders reached a budget dealthat includes $350 million in tax cuts and $260 million for localspending projects. There is something for everyone. But lawmakersshould not be too pleased with themselves as they head home to startcampaigning for the November elections. Most voters should recognizethis budget for what it is: an election-year gimmick designed to buyvotes.
Consider: The $46.5 billion spending package includes a first-ever property tax rebate. Homeowners will receive a check for up to$300, timed to arrive sometime before Election Day. Paid for withmoney from the tobacco suit settlement, this provides no meaningfullong-term tax relief.
More positively, the measure does include an earned income taxcredit for the working poor, modeled after the popular federalprogram. The state credit will amount to 5 percent of the federal taxcredit, or about $58 for a parent earning $25,000 a year with onechild. And for senior citizens, the budget includes a $35 millionexpansion of the Circuit Breaker program to help the elderly poor buymedicine and get their license plates at a discount.
We are all for tax cuts, especially in boom times like these.Property owners deserve tax relief, but the responsible way toprovide it is through a tax system that spreads the burden forsupporting public schools.
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