NEWS FROM THE CAPITOL SYDNEY CARLIN State Representative 66 th District Rm. 451-S, State Capitol Topeka, Kansas 66612 785-296-7649 1650 Sunny Slope Lane Manhattan, Kansas 66502 785-539-6612 Kansas House Democrat Newsletter Week 2: January 22-25, 2013 In this issue: Tax Plan: Home Mortgage Deduction House Bill 2022 allows employers to withhold the final paycheck Conceal and Carry Kobach supports moving Spring elections to the Fall House Bill 2023 prohibiting voluntary payroll deduction by unions Tax Plan: Home Mortgage Deduction It was revealed this week that the administration is seeking to eliminate the ability of Kansas home owners to deduct their property taxes from their state income tax returns, which adds to the tax increases imposed on middle-class Kansas home owners and harm caused to the Kansas housing market by the administration s previously-revealed proposal to eliminate the mortgage interest deduction. According to the administration s
own fiscal note on their tax plan, the elimination of these two vitally-important middle-class tax breaks will increase the income tax burden on Kansas families by $1.04 billion from 2014 through 2018 in order to offset the loss of corporate income tax in the 2012 session. In 2014 alone, over 372,000 Kansas home owners will have their tax burden increased by $68.5 million (or $184 per family) by the loss of the property tax deduction, which is intended to help Kansas home owners offset the crushing burden of our state s extremely high state and local property taxes (some of the highest in the nation on both home owners and small businesses). With the additional loss of the mortgage interest deduction, over 315,000 Kansas home owners would have their tax burden increased by another $162.5 million, which would lead to another $515 tax increase on the average Kansas family claiming the mortgage interest deduction. If the top marginal income tax rate remains at the reduced rate of 4.9%, the average Kansas home owner claiming both the mortgage interest and property tax deductions would be forced to have their income tax burden increased back up by roughly $700 under the Governor s tax plan in tax year 2013 (compared to current law 2012 HB 2117). The above information is from the Kansas Department of Revenue entitled Fiscal Impact of Tax Reform 2013 and is available as an attachment to this newsletter. House Bill 2022 allows employers to retain $ s from final paycheck House Bill 2022 proposed that employers would be able to adjust the final paycheck of their employees in certain cases. In order for such a situation to be authorized, a proof of a written notice between the employer and employee must be present. Proponents argue the bill is designed to provide employer
leverage in the event that a former employee retains employer s assets, benefits or property. HB 2022 would allow employers to deduct from employee s paycheck any amount as long as it does not drop below the current minimum wage. The employer may hold that amount until the property had been recovered. Proponents also argue that this proposed change would benefit employees by allowing employers and employees a great degree of flexibility to resolve unique compensation needs. For example, the employer could advance pay needed by the employee, and recover the advance by deducting smaller amounts from the employee s following paychecks until the balance is returned. Finally, the bill would allow the employer to fix mistakes such as overpayments. The AFL-CIO expressed concern that said that the ability to manipulate an employee s paycheck could lead to greater abuses. In this event, a small claims suit against the employer may be required for the employee to recover their earned wages. HB 2022 was passed out of committee. Conceal and Carry in Kansas The Federal and State Affairs Committee were given a presentation on Concealed Carry and the Kansas Personal and Family Protection Act by Assistant Attorney General C.W. Klebe. Klebe reported that there has been a recent spike in Concealed Carry permits, saying that there are currently around 200+ applications each day. Klebe pointed out this rate is higher than past years, and that permits historically begin to peak in April. Secretary of State Kobach supports combining spring elections with the fall Secretary Kobach testified before the Elections Committee arguing to move spring municipal elections to the fall. Such a move will simplify the election calendar and reduce costs according to the Secretary.
Opponents of the proposal express concern that such a move would increase the partisanship of local elections. Most Kansas municipal elections are non-partisan and spring elections are insulated from the partisanship of fall elections. Local elected officials serve terms that correspond to the current election calendar. Opponents also expressed concern that the proposed move would create new reorganization costs to local units of government. House Bill 2023 prohibiting voluntary payroll deduction HB 2023 proposes to prohibit public union members from making elective payroll contributions to their organization s political action committee. This bill is designed to impede the ability of public union members to participate in political advocacy and exercise First Amendment rights. It would deny union members the right to speak out on issues that concern working families without jumping through contrived hoops aimed at weakening their voice. Contrary to the claims of the bill s proponents, an employee cannot be forced to fund a union s political and legislative activities. Union members choose whether to join the union, set their own dues, opt-in to an additional contribution to their political action committee, elect their own leaders and vote on how and where their money will be spent. Workers who don t support the political activism of their Union can choose to not make the voluntary contribution to their Union's PAC. Finally, Kansas is a right-to-work state; thus state workers have the right to not belong to the Union. Union political action is optional. Corporations, by contrast, don t give shareholders, employees or customers any say in their political activities. This bill muzzles the representatives of working families, but does nothing about the political influence of corporate special interests.
It singles out our most trusted public employees, such as teachers, nurses and firefighters, and denies them the freedom to use payroll deductions to make voluntary political donations. Keep in Touch It is a special honor to serve as your state representative. I value and need your input on the various issues facing state government. Please feel free to contact me with your comments and questions. My office address is Room 451-S, 300 SW 10th, Topeka, KS 66612. You can reach me at (785) 296-7649 or call the legislative hotline at 1-800-432-3924 to leave a message for me. Additionally, you can e-mail me at www.sydney.carlin@house.ks.gov. You can also follow the legislative session online at www.kslegislature.org.