The governor maintained his unblemished veto record last week as the Senate failed to override his veto once again.  On a 30-21 mostly partisan vote, 21 Republican Senators voted to do as the governor asked and uphold his veto of a compromise bill that was set to return $79 Million previously cut from the 2010 budget.  Despite the full court press from educators back home, 21 Senators responded once again to Governor Barbour’s marching orders.  “Lame Duck” is not the proper name for this term-limited governor.  Amazingly, Governor Barbour continues to be able to reign in wayward Senators when they attempt to exercise independent legislative action. However, this had to be an excruciating decision for the 21 Senators as they will now have to explain why they felt it would be a bad idea to restore over $58 Million of the cuts to the 2010 education budget.

Two big bond bills were also passed last week.  Our passage of Senate Bill 3184 will provide $59.5 million for repairs and upgrades at universities and the IHL Education and Research Center, $70.9 million for repairs to state agency buildings, including $25 million to the Department of Public Safety for constructing and equipping a new headquarters in Rankin County and for equipping a substation in Meridian. The bond money will also fix the roof and ventilation system on Veterans Homes in Collins, Jackson and Oxford.

Senate Bill 3181, provides $80 million for repair or replacement of 95 of the worst bridges located on state maintained highways. It includes $20 million for the repair of state aid roads. The bill will also spend $90 million on Vision 21 High Priority Projects, and also:

* Finances a $90 million upgrade of 10 miles of road near the Toyota plant in Blue Springs, which has yet to open.

* Places $20 million in the Local System Bridge Replacement and Rehabilitation Program.

The Senate also passed Senate Bill 3189 creating incentives for a $132 million solar panel production company that would employ 500 workers within five years at an average annual wage of $34,000.  Though the Mississippi Development Authority is still working with the company whose location has yet to be announced, the legislature decided to loan $50 million to the county in which it locates to assist with infrastructure costs.  The announcement that such a company will locate in Mississippi dovetails nicely with my tax credit bill awaiting approval in the House, which will provide incentives for the use of solar power. 

One of the more controversial matters debated last week was Senate Bill 3027.  This bill seeks to gradually eliminate the state’s inventory tax, which is seen as an impediment to business recruitment. Though the state would lose $140 Million in tax revenue, it is thought that the bill would make Mississippi a more attractive place for businesses to locate.  However, while I agree generally with the idea, I voted against the bill because of the timing.  I simply cannot explain how we can take $140 Million out of the revenue stream when we are cutting jobs in education, mental health services, and law enforcement, and discussing releasing felons from jails.

In other important Senate action: Senate Bill 2327 would give a $1,000 tax credit to first time home buyers in an effort to increase home ownership; and Senate Bill 3178 would allow the Mississippi Development Authority to administer a loan program specifically designed to help small businesses. Borrowers who qualified under the program would pay 1-percent above the Prime Interest Rate.