Beebe defers action on dubious tax break | Arkansas Blog

Thursday, March 13, 2014

Beebe defers action on dubious tax break

Posted By on Thu, Mar 13, 2014 at 11:41 AM

click to enlarge STUDYING: Beebe withholds action on one bill.
  • STUDYING: Beebe withholds action on one bill.
Gov. Mike Beebe has signed all the legislation from the fiscal session except HB 1048, which contains the almost certainly unconstitutional tax break for fracking sand added to the bill by fracking industry ally Sen. Jonathan Dismang. Could that mean a line-item veto is possible? Will the special interests stand for it if he does?

The amendment defines as "machinery or equipment" exempt from the sales tax:

(vi) Sand and other proppants used to complete a new oil or gas well or to recomplete, redrill, or expand an existing oil or gas  well." 

It's a whopping tax break adopted without the necessary super majority to consider non-budget items in a fiscal session. The state is planning to appeal a dubious circuit court ruling that has already held that sand is equipment. A lawsuit over Dismang's amendment is a virtual laydown on procedural grounds, though the legislature might presumably be of a mind to ratify it by more legal means in 2015. It's abusive use of special language, yet again, in the name of helping a special interest. Nothing to see here, in other words. Business as usual.

Will Beebe wield a line-item veto pen? Would the legislature, when it convened to adjourn next week muster a veto override, which requires only a simple majority? Is the fracking industry, already profiteering mightily in Arkansas thanks to a low severance tax, inadequate contribution to road repair and inadequate environmental oversight, really that powerful?

Don't answer.

Tags: , , , , , ,


Favorite

Comments

Showing 1-1 of 1

Add a comment

 
Subscribe to this thread:
Showing 1-1 of 1

Add a comment

More by Max Brantley

  • Frank Scott announces mayoral transition team

    Frank Scott Jr., who becomes Little Rock mayor Jan. 1, has announced a committee of people to help him plan the transition that includes a former opponent, financial backers and others.
    • Dec 17, 2018
  • World learns about rise in pistol-packing Arkansas teachers

    Voice of America, the government-funded source of worldwide distribution of news about America, has a feature up on the expansion of gun-carrying teachers in Arkansas public schools.
    • Dec 17, 2018
  • Obama goes to bat for the Affordable Care Act that Leslie Rutledge wants to kill

    Former President Barack Obama has been rallying people to continue to sign up for health insurance coverage although a federal court ruling in Texas, if upheld, could spell the end of his signature legislation. Most important is his recitation of what the law provides (what will be taken away from millions if the lawsuit decision sought by Arkansas Attorney General Leslie Rutledge is upheld.)
    • Dec 17, 2018
  • More »

Readers also liked…

  • Among the last words from Kenneth Williams: 'Finger Lickin' Good Fried Chicken'

    What's purported to be a final-words essay from condemned prisoner Kenneth Williams was distributed today by Deborah Robinson, a freelance journalist in Arkansas.  He reflects on his execution, his victims, reactions of inmates and big servings of fried chicken, which he says are given to all inmates on execution days.
    • Apr 27, 2017
  • The LR chamber does the public's business. Is it accountable? Blue Hog on the case.

    Matt Campbell, lawyer and Blue Hog Report blogger, has sent a Freedom of Information Act request to Jay Chessir, director of the Little Rock Regional Chamber of Commerce, and Mayor Mark Stodola related to the publicity stunt yesterday  built around withdrawing from the mayor's rash pronouncement that the city would seek an Amazon HQ2 project even though the city  didn't meet the company's criteria.
    • Oct 20, 2017
  • Presidential thriller, co-author Bill Clinton, coming to bookstores in 2018

    June 2018 is the expected publication date for a novel collaboration by former President Bill Clinton and crime writer James Patterson.
    • May 9, 2017

Slideshows

  • Arkansas vs Ole Miss at War Memorial stadium in Little Rock, Saturday, Oct. 13, 2018. After leading for much of the game, Arkansas lost 37-33 when Ole Miss scored the game winning Touchdown with less that 2 minutes left. 
  • Margaret Clark Adventure Park
    New sculptures, preschoolers play area dedicated in Riverfront Park in Little Rock.

Most Recent Comments

 

© 2018 Arkansas Times | 201 East Markham, Suite 200, Little Rock, AR 72201
Powered by Foundation