Altman working on tax cuts, space support in budget negotiations


Monday, April 19, 2010

By Jim Ash Pensacola News-Journal

TALLAHASSEE—Struggling with a $3.2 billion budget shortfall and skyrocketing unemployment, House and Senate budget negotiators tentatively agreed Monday to spend $90 million on tax cuts and other incentives to kick-start the economy.

Brevard delegation members hope much of that will land in their districts, where the retirement of the space shuttle later this year is expected to cost 23,000 direct and indirect jobs.

“I feel like we’re in pretty good shape,” said Sen. Thad Altman, R-Melbourne, who chairs a finance and tax committee.

A formal budget conference began on Monday and economic development is one of the rare areas of agreement. Leaders in both chambers agreed to set aside about $25 million in various space and aerospace related incentive programs.

That figure includes $3.2 million for retraining space workers.

However, the Senate has about $3 million in a space-related business development fund. The House doesn’t. Industry boosters and economic development officials are pushing for at least $5 million more for space “infrastructure,” or bricks and mortar projects.

A stripped-down version of Altman’s “Space Transition and Revitalization Act,” or STAR, won unanimous approval Monday morning by the Transportation and Economic Development Appropriations Committee.

The proposal originally had a $26 million appropriation for Space Florida, the state’s quasi-public aerospace development arm. But those dollars were sprinkled throughout the budget and other bills.

“I can guarantee you that if that was in there, this bill wouldn’t be heard right now,” said committee chairman Mike Fasano, R-New Port Richey.

Much of the Senate’s space incentive money is in a massive “Jobs for Florida,” bill, SB 1752, by Sen. Don Gaetz, R-Niceville. It also includes tax incentive dollars for the film industry, as well as tax breaks for aircraft and boats.

Altman’s legislation is not without consequence, however. It gives Space Florida more flexibility to spend $10.8 million, the remainder of a $14.5 million appropriation that lawmakers granted in 2008 for refurbishing a launch complex.

Sen. Mike Haridopolos, a Republican from Merritt Island who is next in line to be Senate president, said he was confident that the Senate position on space funding will prevail by the time lawmakers are set to adjourn on April 30.

“I fully expect that the needs of Space Florida will be fully met,” Haridopolos said.

This article is reprinted from www.pnj.com