State Sen Ogden: Texas financing is broken

Senate Finance Committee Chairman Steve Ogden says the state may need to go back to its old franchise tax, the problem is that bad:

He says state law now requires spending more money in some areas than the state is allowed to collect. He calls that situation unstable and a big problem for the foreseeable future.

Lawmakers revamped the state business tax in 2006 at the same time they moved to cut property taxes. Experts say that left the state with a structural shortfall of about $10 billion every two years.

He actually wants a bigger change than that.

He'd like a straight-up corporate income tax.
“Even if you lose your shirt, you still may be liable for paying the business tax because it isn’t an income tax,” Ogden said. “That business tax is a mess.”
It takes cojones for a Republican to propose that. And, the devil would be in the details. But, Ogden's right on the need for change, and the need for serious change. Rick Perry's tweaking of the franchise tax WAS lipstick on a pig.

Realistically, though, nothing will change without yet another lawsuit by school districts.