Updated 5 p.m. Nov. 15 to clarify Austin no longer works for the Kansas Health Institute.
By NICK GOSNELL
Hutch Post
HUTCHINSON, Kan. — Republican candidate for Kansas State Treasurer and economist Michael Austin is pleased to see both parties supporting tax cuts on food, but the discussion shouldn't end there.
"I love seeing bipartisan efforts to lower taxes," Austin said. "Kansas has a history with tax cuts. Largely, it hasn't been positive. With its tendency to always raise the budget, I really think that this time around, we have to make sure that we lower taxes the right way. I think the only way to cut taxes is to find and cut wasteful spending."
Austin's hope is that state government looks deeper than today's bank balance in determining whether tax relief is sustainable.
"With this food sales tax cut, I think there's a current conversation that the state government can use its excess tax revenues as a partial pay for, for this food sales tax reduction," Austin said. "I'm here to say that I think that move is dangerous and I think it risks raising taxes in the future."
It's also important for policymakers not to use federal infrastructure dollars that are one-time use to make this happen.
"A fiscally responsible budget means before you make permanent changes to tax revenue, it has to be supported by permanent changes to spending," Austin said. "In the aftermath of the Great Recession, Kansas government did the exact opposite. Kansas coffers were flush with federal cash, so Democrat Governor Mark Parkinson used that one time money to support permanent budget expenditures. Guess what? When that federal money ended, his administration had to take a hatchet to the budget and then raised sales tax."
Austin has nearly a decade of experience as a free-market economist and scholar. He served as Chief Economist for two Republican Governors.
Cover image courtesy Pixabay