Prepared for the 2008 Idaho Chamber Alliance Legislative Meetings By the Rexburg Area Chamber of Commerce Legislative Committee

LOCAL PRIORITIES AND CONCERNS:

1. Community Development Block Grant (CDBG)
   The Rexburg Area Chamber of Commerce supports efforts by the City of Rexburg to obtain a downtown CD BG to improve traffic flow and pedestrian safety along Main Street. We also support their efforts to secure a Public Facilities Grant from the Department of Commerce for street improvements adjacent to Trejo Street These requests are justified by the new jobs in the area. We are creating new high paying jobs in Rexburg and it is important that we have funding for necessary infrastructure to support this new employment.
2. Transportation Enhancement Grant
   The Rexburg Area Chamber of Commerce supports the City of Rexburg in its request for a Transportation Enhancement Grant from the Department of Transportation at the end of January. The Enhancement Grant would be used to beautify the entryways into Rexburg, including the South Interchange and the Main Street Interchange. Improving these areas would invite tourists into our community and would bring economic benefits to our local businesses.
3. Local Library Bonding Authority
   The Rexburg Area Chamber of Commerce is very concerned that our public libraries lack sufficient bonding authority to rebuild and expand existing facilities. As a result, our libraries have become too small and inadequate for our growing community. Appropriate amendments should be made to the law that will enable library districts to bond in a way that puts them on an equal footing with other taxing entities, like cities and school districts.

STATEWIDE ISSUES:

1. Tax Relief for Business: E1iminatinQ the Personal Property Tax
   The 2006 Legislature s increase in the homeowners property tax exemption was not really a property tax decrease, but actually a property tax shift. Idaho businesses now pay a larger share of property taxes. The Rexburg Area Chamber of Commerce believe s that an equitable an d fair adjustment, to compensate businesses for this increased burden, would be to eliminate personal property tax on business equipment, such as tools, machinery, furnishings, computers, etc. Similar adjustments have been made for farmers in the recent past, and it is time to extend the same benefit to other businesses.
2. Urban Renewal Districts (URDs)
   The Rexburg Area Chamber of Commerce joins with the City of Rexburg in opposing any legislation which would alter the governance structure of URDs. We support the Association of Idaho Cities position which opposes any changes that would dismantle or unduly constrain the effectiveness of URDs.
3. Ordinary and Necessary
   The Rexburg Area Chamber of Commerce favors amending the Idaho Constitution to resolve the problems created by the Idaho Supreme Court s decision in Frazier v. City of Boise. The amendment should eliminate the need for an emergency situation to occur before a government entity can undertake any form of debt. Local jurisdictions should have the freedom to carry a debt load pursuant to long-term planning and contractual obligations necessary for effective governance.
4. Sales Tax on Food: Increasing the Grocery Tax Credit
   adjustment in how the Idaho Sales Tax treats food purchases. We recognize that two competing proposals by Governor Otter (an income-based exemption) and Senator Hill (a flat exemption) could not be resolved before the end of the 2007 Session. We urge the Legislature and Governor to find some appropriate middle ground so that relief from this unfair tax may be achieved this year.
5. Legislative Redistricting
   The Rexburg Area Chamber of Commerce believes legislative and/or constitutional action is required to adjust the States method of redistricting the Legislature before 2012. The current system removed redistricting as a legislative responsibility, and passed the responsibility to a six member, bipartisan commission. In 2001-2002 this process resulted in an unfair plan that was ultimately found unconstitutional. The revised plan now in effect was not much better, resulting in over-representation for Northern Idaho, and under-represented and awkwardly drawn districts for Eastern Idaho. We continue to believe that the responsibility for redistricting should be returned to the Legislature. However, in the alternative, we believe a six member com miss ion is not large enough to provide adequate geographic diversity for all of the states diverse regions.
6. Water Law: Aquifer Management Issues
   The Rexburg Area Chamber of Commerce believes that the Legislature should be prepared to take steps to ensure that Eastern Idaho farmers are not put out of business in 2008. We urge the Legislature to consider purchasing certain water rights which are creating a negative impact on the States economy, while benefitting relatively few businesses.
7. Water Law: Dams, Flow Augmentation and Endangered Species Issues
   The Rexburg Area Chamber of Commerce opposes flow augmentation by using water from the Upper Snake River Valley system until a sound scientific basis exists for the practice. If required, augmentation should only be approved on a willing buyer/willing seller basis pursuant to state law. We also oppose dam breaching as an overly simplistic and ill-conceived response to a complicated problem, especially in light of recent Biological Opinions. We believe that oceanic environmental factors, predation and over-fishing are posing the greatest threats to Salmon and Steelhead recovery. We also favor recognition of hatchery fish, with identical genetic composition to wild fish, in making determinations concerning listing or de­listing species. We oppose listings based on arbitrary distinctions, such as so-called "Evolutionary Significant Units."
8. Pornography
   The Rexburg Area Chamber of Commerce believes that pornography is a plague that not only destroys families, but it also drains dollars from business owners as employees waste time accessing it at work. Recent medical research has documented the physical and developmental problems which occur from this scourge. We ask the Idaho Legislature to pass a concurrent resolution urging the United States Congress to review this issue and consider regulating access to indecent and obscene materials via the Internet, within the parameters of the First Amendment.
9. E-Commerce and Internet Sales Tax: We Support a Simple, Fair and Uniform Tax System
   The Rexburg Area Chamber of Commerce strongly supports the State of Idaho in participating in nationwide efforts to adopt a simple and uniform sales tax and use tax system to facilitate adoption of a sales tax on Internet sales ("streamlined sales tax"). We believe that fair and reasonable taxation of e-commerce is necessary to ensure that a level playing field is maintained for our local businesses.
10. Continued Strict Oversight of Highway Construction Through GARVEE Bonding
    The Rexburg Area Chamber of Commerce recognizes that improving Idaho's infrastructure, especially its highways, is essential for safety and continued economic development statewide. However, we urge the Legislature to be cautious about the ongoing use of the GARVEE bonding procedure. We are concerned that worthy projects in Eastern Idaho have been delayed in order to accommodate massive projects elsewhere. We support the Legislature in maintaining thorough and diligent oversight of GARVEE spending to ensure that all of Idaho's needs are met, rather than promoting projects that may benefit comparatively few.
11. Local Option Sales Tax for Roads and Transit Improvements
    The Rexburg Area Chamber of Commerce recognizes that there is a strong difference of opinion among the businesses we represent on the issue of local option taxes. There are a variety of approaches to this issue which could make such a tax more palatable to a majority of our board, such as making it a regional sales tax or excluding big ticket items. Therefore, we await further details on the specifics of any proposed legislation before taking a position for or against such a bill.
12. Fuel Tax Proposals to Fund Road Improvements
    The Rexburg Area Chamber of Commerce believes that a fuel tax increase alone is not a good long-term solution for improving our roads, but we recognize that it could be one of several tools the Legislature should consider. Such taxes may place a disproportionate burden on local farmers and other businesses already financially stressed due to rising fuel costs. We believe it is not wise to adopt a significant increase in fuel taxes during a time of record oil prices.
13. Anti-Methamphetamine Advertising Campaign
    The Rexburg Area Chamber of Commerce believes that the use of "meth" and other illicit drugs are a scourge on our society and cause a major burden on Idaho's financial resources. We recognize that efforts to prevent and eliminate the use of such substances are good investments that will ultimately payoff by reducing the cost of prisons and mental health programs. Therefore, we are in favor Governor Otter's proposals for an aggressive anti-methamphetamine campaign.
14. Idaho National Laboratory
    The Rexburg Area Chamber of Commerce supports the Idaho National Laboratory and encourages the Department of Energy to fund the Idaho National Laboratory’s research and development missions as well as its cleanup obligation.
15. Idaho International Dance and Music Festival
    The Rexburg Area Chamber of Commerce, as hosts of Idaho's greatest multi-cultural festival, continues its strong support of this important event. We encourage the Department of Commerce to continue its much appreciated support of the Festival, which not only promotes tourism statewide, but also promotes culture, international brotherhood, understanding and peace.