Nevada County Picayune and Gurdon Times Newspaper Archive

Welfare Reform, School Funding On Agenda

Welfare reform, school funding and tax cuts will be three of the biggest issues facing the 81st General Assembly.

The Arkansas Legislature convened Monday, Jan. 13 at noon, with several issues vital to the state's citizens to be discussed and voted on.

According to State Rep. Percy Malone, school funding, welfare reform and tax cuts are three major headaches the assembly must address.

Malone, who has been attending meetings in Little Rock three and four days a week, said school funding will be on the minds of everyone during this assembly.

He said the important thing will be to keep the courts out of the issue as much as possible, while making sure the rural schools get their fair share of funding from the state.

Welfare reform, Malone said, will be a challenge, because the system needs to be reworked so able-bodied people can get out and work.

The big debate in tax cuts, he said, will be what they will be. Gov. Mike Huckabee's proposed $25 rebate will be heavily discussed.

Malone said there is another plan to reduce the state's income tax, while a third would raise the tax levels and take more low income people from the tax rolls.

Additionally, he said, the assembly is examining removing the marriage penalty from the state income tax forms.

There is also support from many legislators to raise the minimum on the used car tax, which is currently $2,000.

"I think we can have tax relief," he said. But I want to see us (the legislature) put the money into the industrial access road program."

This, Malone said, would help the state's infrastructure and make it easier to attract business and industry to Arkansas.

Legislation has already been proposed, and needs to be amended, which would make it easier for people to get investment capital to start up business and industry. This, he said, will increase the number of people in the workplace who have children.

Malone said the assembly needs to make sure there are loan guarantees available for people building day care centers. "This would be a benefit to the parents," he said, "It would give people their own business which helps recruit industry."

While tax cuts will be on the minds of the state's lawmakers, Malone said they will also have to address the topic of infrastructure.

He favors using the state's funds to invest back into the state by improving roads, working on water and sewer projects and bridges. By making these improvements, Malone said, Arkansas will become even more attractive to business and industry, along with making it easier for existing industry to expand.

Malone said he wants the state to invest in job training, education, water and sewer project, roads and bridges. By doing this, he continued, it will bring higher paying jobs to Arkansas.

In listening to the people, Malone said the main topic he's heard about is using tax money wisely and not frivolously wasting it.

There are two areas the legislature plans to make very few changes -- helping senior citizens and funding Medicaid for babies and children.

"We want to protect the most vulnerable," he said. "I don't think there will be any changes in Medicaid for babies, children or senior citizens.

"I'm working with a group to develop funds for rural areas so more grant money will be available for smaller communities and their volunteer fire departments."

This, he said, is because there are no plans by the government to increase turnback funds to cities and counties. "I've tried to get it (turnback funds) increased. Small rural areas are hurting. They're getting further behind, though they're taxed as much as they can."

Malone said the turnback funds are less than 2 percent currently from the state's general funds. In the past, the state funded 5 percent of community general funds.

However, with the reduction of funding from the state, while unfunded mandates still occur, cities are unable to keep up with inflation and provide services needed by the people.

Local funding, Malone said, is not growing while the state's funds do. The state coffers, he continued, are being filled by a broadening tax base, not an increase in taxes. He suggested the state could share the wealth with cities and counties to help everyone.

Another project Malone is involved in is working to get legislation to increase scholarship opportunities for students. He said it's important for those in need to get all the help they can so they will be able to further their education.

Gov. Huckabee, Malone said, has plans to simplify getting vehicles licensed by doing away with inspection stickers and being able to get tags without showing proof of insurance or tax assessment.

According to Malone, Huckabee's plan is to have motorists get stickers for their vehicles when they assess their property annually, while increasing the cost of tags to make up for the loss of revenue from inspection fees.