This session has seen a number of victories, and some still-pending battles, for conservatives.
We were successful in starting the process of reforming the executive branch of government, stiffened our DUI laws, eliminated the PACT exam, banished anonymous earmark spending, and even in a year with falling revenues, we approved a small tax cut.
This week, the House did something it has not done in more than a generation – approved a 50 cent increase in the tax on a pack of cigarettes. Unfortunately for conservatives, the debate is no longer whether or not to raise the cigarette tax. Many of even the most strident anti-tax conservatives have either made peace with the idea or perceived an inevitable tax hike.
What we are not split on is how to spend the money. When we first approved a cigarette tax hike last year, we did it with the understanding that it would be a tax swap. At that time, it went to eliminate the tax on groceries. At the end of last session, we were able to eliminate the tax on groceries without raising the cigarette tax, so we did so and killed the cigarette tax hike.
This year, the South Carolina Senate resurrected the cigarette tax hike issue, raised it by another 35 percent, and used all of the proceeds for a radical expansion of the government’s Medicaid program – another step in our slow march toward socialized, national healthcare. Cigarette tax hikes never raise the revenue projected by supporters and the General Assembly will now face further budget shortfalls in the future as we have to either pay for the new government expansion or reduce the scope of Medicaid.
Republican proposals to use the money to provide tax credits for small businesses that provide healthcare and to swap the cigarette tax increase for a decrease in the income tax were defeated.
I take some solace that we can turn this into a small victory for conservatives because Governor Sanford has said he will veto this tax hike and House conservatives should have enough votes to sustain the veto.
Here are a few updates on some issues I have written about before:
The House and Senate came to an agreement on the state budget. The budget will now go to Governor Sanford’s desk.
The House approved a bill that gives local governments a guide to do legal prayer before meetings. Local governments may elect a chaplain or allow each member of the board to pray on a rotating basis. They may also invite religious leaders to lead a prayer on a first-come, first-serve basis.
There was little action on illegal immigration this week, but several members of the House and the Senate are working to bridge the gap so we can get an illegal immigration plan before the end of the session – in two weeks.
Thank you for the privilege of serving you in Columbia. If I can ever be of assistance to you, or if you have ideas on these issues you want me to share with the rest of the General Assembly, please don’t hesitate to contact me at 963-0337 or in Columbia at (803) 734-3045. www.garrysmith.org