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By KEVIN FLAHERTY
Posted Nov 07, 2009 @ 12:03 AM

When state revenues drop, it affects almost everything that the state does.
Shortly after hearing that Kansas Gov. Mark Parkinson would likely have to make an additional $259 million in cuts, Martin Hawver, editor and publisher of Hawver’s Capital Report, spread that message to attendees of the First Friday Coffee Friday morning.
Hawver, brought in by the Pittsburg Area Chamber of Commerce to speak about the upcoming session, said the funding gap would likely result in changes to education, a potential highway plan and just about everything in-between.
“It’s a really big deal,” Hawver said. “It’s not going to be a good year with revenues continuing to be down.”
Hawver said that the schools could be spared further cuts if Parkinson somehow found an additional $150 million or so in cuts, but said that he didn’t think that would happen.
“You’re going to see less money to schools again,” Hawver said. “You’re going to probably have a few more kids in class and see a decline in staff.”
Hawver said the lack of revenue also affected a potential Comprehensive Transportation Plan. He said the best way to finance the projects would be through bonding, but added that many people seemed to want to shy away from bonding and only spend what the government could pay for in cash.
“In an ideal world, that’s great, if you can do that,” Hawver said. “But I don’t think this is an ideal situation.”
That means the session could be set up for a battle between the haves and the have-nots, Hawver said.
“You have this one group of people, who have more roads than they know what to do with, and they just want to maintain what they have,” Hawver said. “And then you have another group ... like you guys down here ... with needs for (new construction).”
Hawver also discussed upcoming elections, the death penalty and gaming. But for the most part, all of those subjects came back to the money issue.
Blake Benson, Pittsburg Area Chamber of Commerce president, said he thought Pittsburg could help return the state’s investment in the area if U.S. Highway 69 was completed.
“I realize, at this point, that southeast Kansas takes in more tax money than we put in,” Benson said. “And that’s part of the argument of some places that, as an economic engine that puts in more, they should receive more money per capita in return.
“But we want to become one of those areas that gives more to the state,” Benson said. “We can do that, if we can take the steps toward becoming an engine ourselves.”

Kevin Flaherty can be reached at kevin.flaherty@morningsun.net or by calling 231-2600 Ext. 134

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