Republican Gov. Haley Barbour, who completes an eight-year run as governor next week, addressed a joint session of the Mississippi Legislature this morning for the final time as governor. Barbour will be replaced next week when Lt. Gov. Phil Bryant is sworn in as governor at noon on Jan. 10.
In introducing Barbour, Bryant heaped praise upon the departing governor for his attracting new industries to Mississippi and for his leadership through disasters of both the economic and natural variety.
"We did more than survive, we flourished," Bryant said.
Taking an opportunity to talk to legislators rather than addressing Mississippian citizens, Barbour's remarks centered on the rocky condition of the national and state economies.
In outlining the economic obstacles that face the new legislature which convened on Tuesday, Barbour carefully laid the foundation for an argument that he acknowledged seemed to run counter to his reputation as a small-government fiscal conservative.
"We need government regulations. Good, rational regulation is critical," he said.
While taxes should be kept as low as possible so people and businesses can keep more of what they earn, Barbour said, "Everybody should pay their fair share."
With that, Barbour continued beating a drum that he's been beating for the past few weeks and urged lawmakers in the room to consider whether sales tax exemptions are a benefit to the state.
In late November, Barbour wrote a letter to U.S. Sens. Mike Enzi and Lamar Alexander, Republicans from Wyoming and Tennessee, respectively, expressing support for a bill they authored that would allow states to collect sales tax on online purchases.
"Fifteen years ago, when e-commerce was still a nascent industry, it made sense to exempt startups like Amazon.com from collecting and remitting sales taxes in states where they had no facilities," Barbour wrote. "Today, e-commerce has grown, and there is simply no longer a compelling reason for government to continue giving online retailers special treatment over small businesses."
The suggestion met with very weak applause from members present this morning. Framing the issue as the federal government's usurping the state's authority to collect taxes from online purchases, Barbour said: "It's time for the federal government to allow Mississippi to enforce our laws and collect those taxes."
Although Bryant has said he opposes what he characterizes as a tax increase, some Republican lawmakers appear open to hearing a debate.
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