Hutch/Reno Co. Chamber of Commerce supports "rational revenue enhancements"

Here is an editorial from John Montgomery, Hutch News Editor, about the State Chamber of Commerce's agenda and how our local chamber and other influential chambers differ.

Narrow agenda


Hutch News
April 2, 2010

As the Kansas Chamber of Commerce has become increasingly active politically in recent years, it also has isolated itself from Main Street businesses. The organization's narrow political agenda now is alienating even local chambers of commerce.

Fourteen local chamber of commerce executives last month signed a letter to the governor and legislative leadership in the Statehouse urging a balanced approach to the state budget crisis, specifically "rational revenue enhancements" if necessary to avoid draconian cuts to education, transportation and state spending that affects quality of life.

That front-line chambers of commerce felt the need to speak up is not surprising. The state chamber doesn't reflect the viewpoint expressed in the letter.

The state chamber's legislative agenda mentions nothing about critical business issues such as education and transportation. Its message, rather, is don't raise taxes - cut them more - and cut government spending. The state chamber's political position reflects the narrow-minded view of many lawmakers who believe that any tax increase will hurt economic recovery when in reality some taxes have no impact on economic growth. And by taking this simplistic view, the chamber forgets that doing business isn't just about the tax environment. Savvy business leaders know when to invest: They invest in their workers, and they invest in their physical plant.

From a statewide perspective, that is why a quality education system is important. So is a quality transportation system. And, as the local chamber leaders' letter points out, so is quality of life for the working population.

The letter says nothing about the state chamber, and it wasn't meant to suggest a split between state and local chambers, said Hutchinson-Reno County chamber president Dave Kerr, who was "totally astonished by the state board's reaction and mischaracterization of it."

The purpose of the letter also was not to request a tax increase, Kerr said. "It was simply an effort to show we were willing to back legislators and show some flexibility knowing they have a tough situation. ... We're saying you might have to use a balanced approach."

Kerr is right. And the sentiment expressed by the local chambers should not be dismissed by the state chamber - or by legislators. These chambers are on the front lines, and they know what it takes to recruit and grow businesses. A favorable tax environment is helpful, but it isn't the only factor.

Kent Eckles, a Kansas chamber vice president, told the Associated Press that the letter wasn't from a majority of local chambers of commerce, making statements that confirm the state chamber's tunnel vision.

But these are big chambers of commerce, combined likely representing a majority of the state's population. To wit: Overland Park, Olathe, Northeast Johnson County, Greater Kansas City, Kansas City Kansas, Topeka, Salina, Hutchinson, Manhattan, Hays, Emporia, Dodge City, Arkansas City and Grant County.

One would think that a list of sizable chambers like that might get the attention of the state chamber. If not, this attitude probably explains why most businesses don't belong to the state chamber.

By John D. Montgomery/Hutchinson News editorial board