Nixon budget plan includes 800 jobs cut
College, university budgets to be cut 12 percent
Missouri Gov. Jay Nixon, left, touted an increase in funding to schools during his annual State of the State address to the Missouri Legislature. Photo by The Associated Press.
Tuesday, January 17, 2012
Gov. Jay Nixon's budget plan for the state's next business year cuts another 800 jobs from the state's workforce and trims college and university budgets by more than 12 percent.
But Nixon proposed a 2 percent across-the-board pay raise for all state employees, beginning next Jan. 1.
During his 53-minute State of the State address Tuesday night, Nixon told a joint session of Missouri's Legislature that his balanced budget will help "keep moving Missouri forward."
But Senate Appropriations Chairman Kurt Schaefer, R-Columbia, and President Pro Tem Rob Mayer, R-Dexter, questioned the governor's claim his budget proposal is balanced.
Schaefer said lawmakers would have to go through Nixon's plan, "line-by-line," to see where they can agree with Nixon and where they'll change the budget.
Schaefer also said the higher education cuts are too deep, if Missouri wants to rely on education to help the state move forward. And he wants to know more about where the state job cuts will come from before deciding if they're needed.
For expanded coverage, see our newspaper or e-Edition for Wednesday, Jan. 18, 2012.
Online:
Archived video of Gov. Nixon's 2012 State of the State address
Earlier online coverage:
Nixon proposes higher ed cut, touts economy


Comments
cmnsense 1 year, 4 months ago
"And he wants to know more about where the state job cuts will come from before deciding if they're needed."
There's no doubt they're needed, just start at the top.
JCLifer 1 year, 4 months ago
Once again the Central Missouri economy will bear the brunt of having all these 800 citizens added to the unemployment rolls. 800 less families to build houses, buy cars, live their lives and spend their money in Jefferson City.
The JC Council and Mayor, as well as the local Chamber's response is to raise the sales tax and start building Taj Mahal Convention Center, expensive Mud Tunnels, and Uptown advertising apps for their smartphones. Maybe the unemployed can ride the Trolley all day if they can afford the fare.
thatguyagain 1 year, 4 months ago
I'm glad some people in the community have had the foresight to proactively attempt to shift the Central Missouri economy from dependant on state government to putting it in our own hands. That's precisely what Transformation does, invest tax revenues from Jefferson Citians (and visitors) into Jefferson City projects. If one steps back and looks at the big picture of what Transformation does and can comprehend all 30 projects it really changes the feel and business dynamic of Jefferson City. Do taxes suck? Absolutely. But, I'd much rather control our own destiny with projects designed, funded, and implemented by the citizens of this city. As we've seen, we can't just sit back and let "800 less families to build houses, buy cars, live their lives and spend their money in Jefferson City" happen to us again.
JCLifer 1 year, 4 months ago
Minimum wage jobs as janitors and catering prep jobs for a convention center? That sounds like some real transformation...(NOT).
How about some bio science jobs?
How about some IT / data warehousing jobs?
No advanced manufacturing?
No high wage/ high skill jobs resulting from these millions of tax dollars invested.
Nothing here to benefit anyone except a few Chamber members who are caterers or janitorial firms.
Convention Center will just put Truman Hotel and a few others completely out of business as the other hotels fight for the leftovers. There is nothing to do in this town but drink. No reason for anyone to want to have a convention here as compared to Lake Ozark, Springfield, Branson, Columbia- towns that have things to do for visitors.
Jefferson City needs growth, Transformation, and improvement for sure. Not a high tax that just benefits a few. We need some good paying jobs- not more minimum wage temporary/transient jobs. We need some attractions. We need some infrastructure. We need to fight the drugs and violent crimes. We need to tear down all these old vacant houses and commercial buildings and landscape what is left. We need better schools.
The Chamber is really puttiing the screws on the taxpayers, and the Council and Mayor are in on it.
thatguyagain 1 year, 4 months ago
The economy is changing and the criteria businesses consider when looking for a place to either locate, relocate, or expand is as well. Tax abatement incentives and free land for businesses to relocate are commonplace so businesses are looking for a community with a high "quality of place" which is largely what the sales tax addresses.
Will the convention center employ the positions you mention? Absolutely, but the end result will not be just a few low paying jobs. You need to look beyond the immediate impact and realize utilizing the resources in our town will make it attractive for companies to come here. I've researched Economic Development Sales Taxes and discovered other communities have done it and it's worked (Oklahoma City & Springfield, MO are great examples). If anything, this tax benefits everyone more than a select few. The convention center makes a lot of sense given the amount of associations housed in JC currently holding conventions outside of our city since we don't have a place for them. But, the convention center is a portion of the pie - not the whole plan so don't throw the baby out with the bath water. The whole plan makes sense if you can grasp its enormity. The tax will benefit everyone, not just a few, by way of greater attractions, infrastructure, and attractiveness to procure goog paying jobs. Please do some research and fully understand the opportunity laid before you prior to coming back with an uninformed argument as it appears you want many of the same things the sales tax is designed to address.
JCLifer 1 year, 4 months ago
"Beyond the immediate impact" of the tax will just be more infrastructure that we will be saddled with on-going costs to maintain, repair, and update. I cannot support the building of more infrastructure when much of the current infrastructure in this town is crumbling through lack of proper maintenance and repair, most of which is deferred because the town doesn't have the money to keep things in proper condition.
Since we cannot take care of what we have, we certainly do not need to choke what is remaining of a piddly local economy with high taxes during the recession to build even more stuff we won't be able to take care of. Just what I do not want for our town is a bunch more crumbling infrastructure, very high taxes, no jobs, and everyone is deep in debt trying to stay afloat.
Our community is being run by a bunch of wild-spending liberals. As pointe out by JC1234 they are also very arrogant liberals who assume that anyone who does not agree with their liberal ways must be uneducated and uninformed. Thank you for the insults. We will remember this when we vote.
thatguyagain 1 year, 4 months ago
I'm not sure why you thought I think you're uneducated but my point was simply that you're argument doesn't address the entire Transformation package. I can't judge your intellect since I don't know you at all. However, I can read your comment and know the argument is your perception of a few components (of which you're certainly entitled) whereas I like to examine the whole project. There are parts of Transformation I don't agree with; but, on the whole think it's a lot better than sitting back and not doing anything. Moreover, I don't think 50 cents on a $100 purchase will be a deterrent to growth. I do believe infrastructure, amenities, and the pride of accomplishing these projects that will permeate our population will attract people to our city and be a catalyst for growth. When people come here for conventions they will shop at our stores, eat at our restaurants, buy our gas, maybe even drink in our bars if that's their thing. When the old St. Mary's expands to include educational offerings like a culinary school and nursing expansion which currently has a waiting list those students and instructors will similarly bring revenue to the area - not to mention the other private investment opportunities that exist at that site. By the way, I'm far from liberal, have never voted for a tax increase in my life, and am extremely conservative in every manner; but, believe in making tangible investments to identified projects which is what Transformation does. Let's make one thing clear. I absolutely HATE taxes but I strongly believe in taking action to make our community a better place. We have the privilege to vote for what we believe is right and I believe putting our foot forward to create a community we can all be proud of is the right thing to do so I will vote yes without hostility towards anyone voting no. My sincere apologies you felt insulted - that certainly wasn't the intent. Perhaps instead of the pronoun "you" I should have used the more appropriate "one" to avoid confusion.
JC1234 1 year, 4 months ago
@thatguyagain -- I do agree that many of those opposing the Transformation Tax simply do not want to pay more taxes and are not fully informed of what the tax will provide. But those people are entitled to their opinion to simply not want more taxes. Those people don't need a reason. And I understand their sentiment.....we're taxed to death at this point. But you have to give credit to the people who have truly tried to get behind this project, such as myself, for trying to justify the increase at a time when the average citizen is not up to par with the purchasing and spending power they once had. Do I think portions of the proposed projects (say that five times fast!!) are great and should be presented at a time in the future, yes wholeheartedly!! But I think right now there's a big elephant in the room and it's called "bad timing". I also have to agree with JCLifer that until we can take care of what we already have, we shouldn't proceed to add more. Thank you for responding though...I think it's good that everybody gets to see both sides!
melbrooks 1 year, 4 months ago
Lifer, what specific infrastructure is "crumbling"? You say this over and over in your posts, but fail to provide specifics.
Much of the proposed Transformation infrastructure is geared toward enabling private investment. I would think that would be perceived as a good thing.
I will once again implore you: if you believe the city is on the wrong track, run by a bunch of "arrogant liberals" (I guess it's ok for you to insult)--run for city council in order to give everyone the benefit of your leadership.
tonto_goldberg 1 year, 4 months ago
I believe the initial buzz-phrase from the consultants was "sense of place" which was probably meant to be obscure enough to avoid nosy questions about the details. Your "quality of place" phrase is probably better but leads to a set of obvious questions.
What is it about the projects that will give us a better quality of place? Specifics would be good here. If you answer with vague things like ambiance we aren't getting anywhere.
What kind of "quality of place" are we looking for? Do we have some sort of a "model city" we want to be more like? We already know we don't want the look of the empty hulks the Housing Authority owns on West McCarty, and elsewhere.
lulu 1 year, 4 months ago
AMEN JCLifer! You hit the nail on the head!!!
lovemykids 1 year, 4 months ago
It is painfully clear to me today, that even here in little old Missouri, politics are so corrupt that it is KILLING our country. While we have staggering numbers of people who can't find jobs, our politicians are more worried about squeezing the last $2.00 from my family to spend on some pet-project (Convention Center for example) than they are about getting manufacturing jobs back. Our richest people have found ways to pay 15% taxes while the rest of us get to foot the bill at 35%. The United States of America, once a shining beacon of hope and prosperity to the world, is now nothing more than a broken shell of its former glory. It has been ingrained in me for the last 30 years that America is a place to be proud of, a place where anyone has a chance to succeed, a place where even a woman can vote gasp, a place where no one is above the law. With a mournful and down-trodden heart, I must admit what I see. This place no longer exists. She has been written into extinction.
JMO 1 year, 4 months ago
I'd gladly forego my 2% raise than see another person lose their job in this already tough economy! Most of my co-workers feel the same. Seriously, hasn't he put enough people out of work?
lulu 1 year, 4 months ago
He has NO plans on giving the state workers a 2% raise! He makes this effective January 2013; however, raises always go into effect in July.
Now, after election he can say there is no money in January. Amazing...
JC1234 1 year, 4 months ago
@thatguyagain -- Why do you assume that people who oppose the Transformation Tax are uniformed and haven't done their research? That's extremely presumptious on your part and highlights the mentality of many of those promoting this tax increase. If somebody doesn't agree with you it must be because they're uneducated, uninformed, or haven't researched the issue. EVERY SINGLE PERSON that has debated with me on this issue has made one or all of those critical statements. You sir made two of those assumptions in your post above. Well I'm very educated, well informed of the goings on in this community and I've also researched this proposed tax (along with many other proposed taxes in the past few years). Even with all of that I am still 100% OPPOSED to the increased Sales Tax. Regardless of what you believe, even well informed people think raising taxes during a recession is a ridiculous idea. I highly doubt that driving down Capital Ave and seeing the new streetlights that my money paid for will really make me feel any better when I'm paying more at the cash register.
tonto_goldberg 1 year, 4 months ago
Actually, what you write tells a lot more about you than you may want. Those assumptions seem pretty accurate. The comments most of the "aginners" have about the program make it obvious that they don't care about the projects and the fact that the city and county have a pretty decent record of delivering what they promise. If all you can think about is that extra half-percent sales tax and you just don't want to pay it, be decent enough to leave it at that. Don't blow any more smoke at us.
JC1234 1 year, 4 months ago
@tonto_goldberg -- Thank you for proving what I stated above which is that anybody who is promoting the Transformation Tax seems to think that anybody who opposes it doesn't understand or is somehow misinformed about what the tax is going to achieve. Did you ever think that maybe the people who oppose the tax actually DO understand what the tax is for and STILL don't agree with it? I'm not going to mud sling as you just did....because whether you know it or not, your words just spoke volumes about you as well. Moving on....I by no means think that the proposed projects are bad ideas. Making Capital Avenue look nicer isn't a bad thing....neither is working towards increasing foot traffic at the Capital Mall......neither are many of the other projects that the Transformation Tax may/will accomplish. But the question is, do you honestly think that right now is a good time to raise taxes? Honestly? The best thing that Jefferson City can do right now is let the citizens breathe for a minute. No more proposed tax increases. No more rate hikes on their sewer and basic utilities. Can the powers that be just let everybody catch up and get back on their feet to where the majority of citizens are back at the spending power that they used to be? That's when you're going to see business revenues increase.....
tonto_goldberg 1 year, 4 months ago
Probably not. There is never a "good time" to raise taxes. We are way behind the curve and we need to start sprucing up the area if we want to attract anyone, let alone the young professionals. If you had posted your second set of comments first, I would have written something completely different. Have a good day.
mm59ss71 1 year, 4 months ago
So are you saying that raising the taxes will help? As I see it with so many losing jobs and so many still without jobs raising taxes will not get the added benefit that is being predicted. When you have so many without jobs and so many more not even making it pay day to pay day what do you think this tax will do to those people. Yes people may agree it would be nice for the updates but at what cost? For some this tax can mean them not having the money for other things let alone food. You may not agree and that is fine but when we have so many on welfare increasing taxes is not the answer. Because truly seeing lights along a street means so little to me if I am fighting to feed my children or keep my home because jobs are being cut. Just something to think about from those say NO to this and why they are saying NO.
tonto_goldberg 1 year, 4 months ago
Let's put this plainly. How satisfied are you with how things are going? People are saying NO because they can only see the "I spent it so I don't have it." part. If you and a bunch of your friends and neighbors would spend a little extra money, someone else would get to make a living.
That's how it really works - the money never really gets lost, it keeps moving. We should be trying to make money move a little faster but we have been slowing it down. We have been holding down taxes, cutting budgets, and ditching employees for quite a few years. In my opinion that is what keeps things from getting better. The public, that's you and me and the city and the county and the state, has to invest some money to try and make something better happen.
Or maybe not. It was good enough for Grandpa, right?
mm59ss71 1 year, 4 months ago
How can you tell a person who has lost a job or maybe one getting ready to lose a job that they need to vote for this? How do you tell that person if they spend more it makes more jobs? How can we say yes to this when jobs are being lost, gas is costing more, food is costing more, housing is costing more and salaries are less? No i will still be voting NO on this as it is not a benefit for my family.
mm59ss71 1 year, 4 months ago
Let's see they are saying 800 jobs does that already include the proposed job cuts to MoDot and Economic Development? If so then they need to express the true amount of people that will be losing jobs its well over 800. And what will these cuts mean? They will mean roads not worked on in a timely manner when snow/ice comes. It means less people to get jobs done when you have a bad area on the road. It means vehicles not being worked on because the mechanics are being let go. Now lets talk about Education and cuts there who does this harm our children and their future. When these people lose their jobs it means they will not be spending at our local businesses not just buying homes, cars, but every day stuff from food, gas, clothing. When this happens it effects local businesses by having less profits which means they end up laying off personal as well. So it ends up with more jobs lost. Then it means more on state welfare and on unemployment. Tax increases will be to those working which takes away from the amount that they can then spend on other products. So yes start at the top and cut our Gov Nixon's pay in half, make him pay for his insurance and his own retirement. Wow we can save at minimum 10-20 jobs right there. See how easy it is to save jobs!
sasire 1 year, 4 months ago
Economic recovery is supposed to be about creating jobs, not taking them away! Additionally, how is a proposed 2% raise for state workers beneficial? This means the lower paid workers, receive less of a raise than the higher paid. Aren't they the ones who desperately need more money? If a pay raise is in the future for state workers, the state should determine how much they can spend and split it equally amongst all employees. Do they consider the fact that no matter what your salary is, each employee has to pay the same rate for health insurance? Many lower paid workers pass on health insurance because they can't afford the premiums and costs to use the insurance since the recent increases. That means more families on state sponsored insurance costing the state more money. Maybe I've missed the boat, but to me, fair is fair when everyone receives the same amount, regardless of what job you do and how much you are paid.
eileen10 1 year, 4 months ago
I've read what everyone has said and I can't help but wonder why someone like Nixon and his people are in office.Two people I can fully relate to are lovemykids and sasire but everyone has made valid points.I'ts very clear that we have ineffectual leaders. People that don't care about the little guy. I believe I read a few days ago that Nixon has raised a few million for re-election.Gag me with a spoon.He certainly won't get my vote.I live here but I'm not a native and I'm pretty much in the dark about the people who run for office which is why I'll be watching what all of you have to say because I feel this is where I'll know who the good guys are versus the bad guys because as we all know, people running for office pretty much talk alot of caca.What I read here is upfront with honesty and it's where i find out whats really going on.A few of you have had some very heated discussions but thats good.I'ts something that hasn't been taken away from us which is the freedom to bash the government and in some cases each other but it's not like people always see eye to eye. If that were the case everything would run smoothly and we wouldn't have any complaints.The world isn't perfect but I'd much rather be here than in a country where freedom and hope is merely a dream.
asb 1 year, 4 months ago
Nixon's budget and staff cuts reflect a lack of state revenue, not incompetence. Missouri has a very good reputation of living within its means and this budget continues that practice. The 2% across the board raise is indeed unfair to the lower paid employees. There should be a minimum raise, above which a 1 or 1.5% raise for higher paid workers would kick in to produce a 2% overall, not across the board, salary increase. All inequities and patronage abuses aside, recruitment and retention is more important at the higher levels of any organization, government or corporate. The real issue is overall worker pay and low revenue. The Missouri public seems sold on the No-Tax-Low-Tax message being written by business and shouted at Tea Party meetings and caucauses. Workers always suffer the most during bad economic times and government can only soften the blow. It's even harder in times when we're taught by the Right that government is bad and out to get us. Missouri has cut worker investment and staff for over a decade now and can hardly be considered a bloated wasteful provincial trough. If no tax increases are acceptable then some tax breaks and loopholes and incentives need to be removed, Missouri needs more revenue to be an effect provider of public service.
JCLifer 1 year, 4 months ago
I cannot understand why they don't want to raise the "sin" taxes. Tobacco, alcohol, beer, lottery, casinos, fast food, pro sports, rock concerts, etc. None of these are neccessities for anyone, and many of them create costly problems that the government has to deal with anyway. We should tax these things at rates that put Missouri at least in the top 15 states for sin taxes.
All I can figure is that the Big Tobacco and Big Alcohol lobbies must really have a tight noose around the governor's and each legislator's necks. There is no valid reason for letting these things be so cheap in our state.
sasire 1 year, 4 months ago
Perhaps it is because the "Capitol" building is the only building where you can smoke and drink?
spelchek 1 year, 4 months ago
All the Democrats have to run on this year are smears of their opponents because they have zero policies created to brag about. I'd still like to see an article or news story about how many people have jumped on food stamps, WIC....gov't assistance in Missouri since 2008. Moreover, how many of those are Mr. Nixon's employees. Perhaps getting rid of 800 more positions can clear the way for a few more $100K / yr crony jobs.
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