JACKSON - Economic ups and downs have played havoc with Mississippi legislative sessions over the past four decades. But nothing compares to what lawmakers face when the 2003 session convenes Jan. 7, they say.
"We're going to have to really look at programs and we're going to have to prioritize," said Rep. Joe Warren, D-Mount Olive, chairman of the House Education Committee.
Spending recommendations from the governor and the Legislature are only about 2 percent to 3 percent higher than the $3.47 billion in revenues projected for the present fiscal year that began June 1.
The bulk of that $104 million increase in revenue gets taken up by the third year of the five-year teachers salary increase package at a cost of $74 million; a full year of raises for senior and junior colleges, $10.3 million; and a full year of higher pay for state employees, $12.2 million.
"That's all we're going to be able to do," Senate Appropriations Committee Chairman Jack Gordon, D-Okolona said. "Everything we do this time will be tied to dollars."
Gordon said revenue collections this year are trailing projects by $50 million through November. He said any continued decline will affect how much money lawmakers can spend in fiscal 2004, which begins July 1.
Rep. George Flaggs, D-Vicksburg, describes the economic problems as an opportunity for an election-year Legislature to show some restraint and make some challenging decisions.
"The budget will determine the policy of this state for next year," Flaggs said.
Warren said this is an opportune time to put education first although others may disagree.
Education programs from kindergarten to universities benefited this year from $119 million lawmakers scrounged for idle funds elsewhere in state government, Warren said.
"We're not going to have that this year," Warren said. "It's going to take some creative thinking.
"It'll be interesting. It won't be boring," Warren said of the upcoming session.
House Speaker Tim Ford said the situation is simply bad.
Ford announced this week that he won't seek re-election next year ending six terms in the House and four terms as House leader.
Ford said budget considerations will dominate the Legislature's work.
"You're not going to see any new initiatives or new proposals. You're not going to see anything but us trying to patch the budget and make it another year," Ford said.
The Joint Legislative Budget Committee spending plan reflects only a $1.2 million increase in general fund money between fiscal years 2003 and 2004, Ford said.
Ford said lawmakers have got to shore up a Medicaid program, restructured a year ago with a reduction in some benefits as a cost savings.
The Department of Human Services has said it needs a $19 million deficit appropriation and more money next year.
DHS officials say the $19.8 million shortfall threatens the agency's ability to operate by the end of February or mid-March.
Lt. Gov. Amy Tuck said the commitment to teachers for higher salaries will be kept.
Tuck said lawmakers also must commit to making other needs in education, health care and economic development on the front burner.
Tuck said Senate members may have other issues to raise during the session and those, too, will be considered.
Tuck wants the Legislature to take a more active posture in dealing with early childhood education. She said the JLBC has recommended $1 million to determine what pre-kindergarten programs are needed in Mississippi.
"You can ask almost any first-grade teacher and they can tell you after a brief time which child has had an early childhood education opportunity and which child has not," the lieutenant governor said.
Both the Musgrove and JLBC budgets propose diverting the $102 million payment in December from the tobacco settlement to the treasury to maintain budgets in several agencies.
Musgrove has proposed using borrowing money through issuance of bonds to help agencies - a plan generally criticized by lawmakers.
What is missing from the debate is the mention of higher taxes.
Warren said he will again propose higher casino taxes with funds earmarked for education. He is not hopeful.
"In an election year, it's always hard to get any kind of revenue enhancement passed," Warren said. "I've gone on record as saying even if it's just for some limited time maybe we ought to ask our casinos to pay a little more."
Ford said while other states are looking at small tax increases, the 2003 election year makes that unlikely in Mississippi.
"I think it might be time to look at a tobacco tax or something of that nature, but I don't think it's going to get done during an election year," Ford said.
A coalition of health groups is proposing a 50-cent per pack increase in the cigarette with proceeds going to health care programs.
A proposal failed in the 2002 session.
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