Connect with us

Mississippi

Senate Plan Reduces Income and Grocery Taxes, Raises Gas Tax

Published

on

Senate Plan Reduces Income and Grocery Taxes, Raises Gas Tax


Mississippians may soon have lower grocery and income tax rates while paying more for gas under a bill the Mississippi Senate passed on Monday.

In total, the tax reductions would add up to a net income and grocery tax cut of $538 million over five years while bringing in about $212 million yearly in revenue from the additional gas tax if Senate Bill 3095 becomes law.

“I think we’re lowering the burden on Mississippi families. We’re creating a scenario where they’re going to be able to keep more of their hard-earned money, and they’ll be able to choose how they spend it,” the bill’s author, Sen. Josh Harkins, R-Flowood, told reporters on Monday after senators passed S.B. 3095. 

Mississippians who make more than $10,000 a year could see their income tax rate go from 4.7% in 2024 to 2.99% in 2030, declining by 0.25% each year until 2030 under the legislation. The Senate’s tax-reform plan says the Legislature would have to review the income tax plan before 2030 to decide whether to adjust the tax rate further.

Advertisement

Mississippi has the highest grocery tax in the nation among the 12 states that place a sales tax on groceries; the state’s grocery tax rate would go from 7% to 5% starting July 1, 2025, if the legislation becomes law. 

The state’s grocery tax revenue goes to municipalities, education, infrastructure and the State’s general fund. The Legislature would increase diversions from the grocery tax to these areas, so agencies’ budgets would not decrease if the bill becomes law, Harkins said. Municipalities currently get 18.5% of the general sales tax revenue and would also get 25.9% of the grocery tax revenue under Section 11 of S.B. 3095.

“No budget takes a cut from the reduction of grocery tax,” Harkins said on the Senate floor on Monday.

Any municipality that has more than 150,000 residents can impose a “special sales tax” of no more than 1% of the “gross proceeds of sales or gross income of the business” for any activities that have a tax rate of 7% or more under the Mississippi sales tax law, Section 3 of S.B. 3095 says. The capital city, Jackson, is the only Mississippi municipality with more than 150,000 residents.

But before Jackson could implement the special tax, the legislation says the mayor and City Council would have to adopt a resolution stating the City’s intent to enact a special tax, set the amount of the tax imposed, explain how the City would use the tax revenue, set the start and repeal dates for the tax, and host an election for voters to affirm or deny the new local sales tax.

Advertisement

Adding To The Gas Tax

The gas tax would increase under S.B. 3095 from the current 18 cents per gallon to 21 cents per gallon on July 1, 2025, and would go up by three cents per gallon yearly until reaching 27 cents per gallon in 2027. Under the legislation, Mississippi would adjust its gas tax every other year to reflect the percentage change in the yearly average of the U.S. Federal Highway Administration’s National Highway Construction Cost Index starting on July 1, 2029, and the tax increase would not be above one cent per gallon of gas every other year. The same taxes would apply for dyed and undyed diesel fuel, the bill says.

“People that use (the roads) pay for it,” Sen. Josh Harkins said on the Senate floor on Monday. “If you live in a community where you ride your bike or you walk to work, you walk to church, you walk to the grocery store and you live within that area, why should you pay for the roads? You’re not using them. But if you’re driving your car everywhere, shouldn’t those be the people who pay for the roads?”

The Office of State Aid Road Construction and the State Highway Fund would continue to split revenue from the first 18 cents of the gas tax, with 16 cents per gallon going to the Office of State Aid Road Construction and two cents per gallon of the gas tax going to the State Highway Fund “to be used exclusively for the construction, reconstruction and maintenance” of Mississippi highways,” S.B. 3095 says.

Revenue garnered from the gas tax over 18 cents per gallon would go to the Office of State Aid Road Construction, the Strategic Multi-Modal Investments Fund and the Mississippi Department of Transportation, the legislation says. MDOT would get 74% of the amount for improving highways and bridges; the investments fund would get 2.75% and the road construction office would get 23.25% of the proceeds under S.B. 3095.

Sen. Derrick Simmons, D-Greenville, said that totally eliminating the grocery tax would benefit the most Mississippians, noting that 33 states and Washington, D.C., already do not tax groceries. Photo courtesy Mississippi Legislature

Harkins told reporters that the constituents he had spoken to were supportive of raising the gas tax if the Legislature cut taxes in other places.

Advertisement

“I think the price of gas has been all over the board. I know when President Trump left office (in 2020), it was around $1.85 (in Mississippi). It has crept up over the last four years. Hopefully, (because of) the president’s position on drilling and opening up drilling across the country and energy independence, I hope the gas will get back down to where it was in his first term,” Harkins told reporters on Monday.

In separate speeches on the Senate floor, Sen. Derrick Simmons, D-Greenville, and Sen. Hob Bryan, D-Amory, criticized the additional gas tax in S.B. 3095 and said the Legislature should have a funding plan for roads and bridges that is not reliant on taking more tax dollars from Mississippians.

“I just think that what we are doing in this proposal, though, will be a tax increase to everyday working Mississippians at the pump, and philosophically, I believe that government, we should actually have a comprehensive plan to repair our roads and bridges and fund roads and bridges like other vital functions of government,” Simmons said on the Senate floor on Monday.

The Senate passed S.B. 3095 on Monday by a 34-15 vote.

Simmons, Bryan: Let’s Fully Eliminate Grocery Tax

Sen. Derrick Simmons, D-Greenville, noted that Mississippi has already cut $1.3 billion from the State’s general fund between the Legislature’s 2016 and 2022 tax cuts. He said completely eliminating the grocery tax would benefit the most Mississippians, noting that 33 states and Washington, D.C., already do not tax groceries. He proposed a strike-all amendment to S.B. 3095 that would eliminate the grocery tax while increasing general sales tax diversions to municipalities “to avoid any loss to our cities.”

Advertisement

“As opposed to eliminating the income tax or reducing the personal income tax, there are a number of senators in this body who believe a fair and equitable way will be to have more of a reduction on the actual sales tax on groceries,” Simmons said on the Senate floor on Monday.

Harkins told Simmons he would support Simmons’ move to eliminate the grocery tax. But Harkins voted against the amendment, and it ultimately failed.

“I’m for lowering the grocery tax, but if you take away consumption as a basis of how we’re going to raise revenue, I think you’d agree with me that not everybody files taxes—not everybody pays taxes—but generally, it’s harder to get out of paying sales tax when you go to the store or buy gas,” Harkins told Simmons “… It catches everybody in the system whenever you’re paying sales tax, so it’s a fair way of collecting. But the level at which you tax, I’d like for all of it to be low—as low as possible.”

Sen. Hob Bryan, D-Amory, said he strongly opposes abolishing the income tax because there is “zero evidence to support” the idea that cutting the income tax would benefit the state. He proposed an amendment that would have cut the grocery tax in half and doubled the diversions to municipalities. His amendment failed. Photo by Imani Khayyam

Sen. Hob Bryan, D-Amory, said he strongly opposes abolishing the income tax because there is “zero evidence to support” the idea that cutting the income tax is beneficial. He proposed an amendment that would have cut the grocery tax in half and doubled the diversions to municipalities.

“I am perplexed that those who are so obsessed with cutting income taxes that they can’t figure out a way to do it without raising taxes elsewhere,” the senator said on the Senate floor on Monday. “The bill that’s before you has a completely unnecessary increase in the gasoline tax, and the House bill has so many tax increases in it I wouldn’t even know where to stop counting.” He was referring to a competing tax cut plan the Mississippi House passed in January.

Advertisement

Bryan said he does not want to raise the cents-per-gallon gas tax because inflation has “eaten up” the tax revenue and that the cost of constructing roads has “gone through the roof” since Mississippi did not invest money in its road infrastructure years ago. His amendment would have sent $100 million extra annually to the highway departments and municipalities.

Harkins said he and the bill’s cosponsors had “looked at various options” on how to lower grocery costs, “provide an incentive” to “reward work” and dedicate funding for maintaining the state’s infrastructure system—which he called “the lifeblood of our state.” He did not support Bryan’s amendment, and the amendment failed.

Blount: Focus On Funding PERS

Sen. David Blount, D-Jackson, proposed an amendment that would have allowed the tax reform plan to go into effect only after an independent actuary ensured that the Public Employees’ Retirement System’s unfunded liability was less than 20%. PERS’s unfunded liability is currently at 44%.

Mississippi Sen. David Blount, D-Jackson, proposed an amendment to Senate Bill 3095 that would have said the tax reform plan would only go into effect after an independent actuary ensured that the Public Employees’ Retirement System’s unfunded liability was less than 20%. Photo by Imani Khayyam

One of the bill’s cosponsors, Sen. Daniel Sparks, R-Belmont, said the Senate has already filed four bills that would give about $200 million to PERS. He noted that the House’s tax-reform plan, House Bill 1, has “wiggle room in enough areas to get attention” but did not dedicate enough funding to fix PERS’s issues. 

“What’s a good deal for PERS is listening to the PERS board (members) who asked us to create a Tier 5, which we have passed, which will be beneficial in the future,” Sparks said on the Senate floor on Monday.

Advertisement

Blount’s amendment failed.





Source link

Advertisement

Mississippi

NCAA Asks State Supreme Court to End Chambliss’ Ole Miss Career

Published

on

NCAA Asks State Supreme Court to End Chambliss’ Ole Miss Career


Ole Miss shouldn’t have starting quarterback Trinidad Chambliss on its roster this fall, the NCAA asserts in an appeal filed with the Supreme Court of Mississippi on Thursday. 

In a petition authored by J. Douglas Minor, Jr. and other attorneys from Holland & Knight, the NCAA warns that unless the state Supreme Court intervenes, there could be a “flood of litigation” involving college athletes whose schools are denied medical waivers to let them keep playing. The NCAA also says the appeal needs to be adjudicated prior to April 23 so that Chambliss—if the NCAA can enforce its eligibility rules to render him ineligible—would “have the opportunity to participate in the upcoming NFL draft.”

The appeal faces hurdles. For starters, it is an interlocutory appeal, meaning an appeal before a final judgment in a case and one where the appellate court can decline. Interlocutory appeals are disfavored because appellate courts prefer to review cases only after a final judgment on the merits—i.e., after a trial verdict—because the record is complete by that point. An interlocutory appeal concerns only a preliminary or incomplete matter. Interlocutory appeals are ordinarily denied unless the petitioner can persuasively explain that an injustice would otherwise occur.

Last month Judge Robert Whitwell of the Lafayette County (Miss.) Chancery Court granted Chambliss—who will enter his sixth year of college this fall—a preliminary injunction to bar the NCAA from rendering Chambliss ineligible in the coming season. The NCAA limits eligibility to four seasons of intercollegiate competition, including junior college and Division II competition, within a five-year period. Chambliss exhausted his NCAA eligibility in 2025–26.

Advertisement

The center of the dispute concerns the 2022 season, when Chambliss, now 23, was on the roster of D-II Ferris State but didn’t accumulate passing or rushing statistics. 

During that season, Chambliss suffered from post-COVID complications including chronic tonsillitis and adenoiditis. The NCAA maintains that a waiver application filed by Ole Miss on Chambliss’ behalf failed to include sufficient medical documentation establishing that Chambliss couldn’t play in 2022. The association insists it consistently applies a standard for waivers that requires contemporaneous medical records from health care professionals unambiguously establishing an athlete can’t play due to health reasons.

The NCAA says Ole Miss came up short on that front. 

As the NCAA tells it, although the Ole Miss application “was voluminous,” it offered only limited contemporaneous medical documents. The NCAA says that the treatment notes of one doctor recommended that Chambliss not have surgery and that medication, including Flonase, “was prescribed to enable [Chambliss] to participate in football.” That narrative suggests that Chambliss was healthy enough to play.

To be clear, Chambliss’ legal team contests this account and argues the medical documentation was sufficient to show he was unable to play in 2022. The appeal, as the NCAA acknowledges, also doesn’t call for a review of the findings of fact, which Whitwell found persuasive enough to grant the injunction.

Advertisement

In its petition to the state Supreme Court, the NCAA argues that Chambliss—who is represented by attorneys Tom Mars, William Liston III and W. Lawrence Deas—tried to “circumvent” case precedent in Mississippi. That precedent, the NCAA maintains, holds that judicial review of athletic association decisions is highly deferential to the association. Chambliss allegedly “circumvented” this precedent by insisting he is a third-party beneficiary of the contractual relationship between the NCAA and Ole Miss as a member institution.

A third-party beneficiary enjoys enforceable legal interest in the contract being performed, and Chambliss asserts the NCAA harmed him by how it reviewed the “total circumstances” of Ole Miss’ application. He used that theory to claim the NCAA breached the implied covenant of good faith and fair dealing, which collectively require parties to treat other contracting parties’ situations in a fair and honest way.

The NCAA maintains that the applicable standard of review under Mississippi law for review of an athletic association’s eligibility decision is arbitrary and capricious. This standard, which was established in the state Supreme Court case Mississippi High School Activities Association v. Hattiesburg High School (2015), is extremely favorable to the association. Per this precedent, an athletic association’s eligibility decision can be upheld even if it is unreasonable and arguably wrong so long as it is not arbitrary and capricious. As the NCAA tells it, Whitwell—a University of Mississippi School of Law graduate and an elected official—failed to apply the standard as it was intended.

Mindful that interlocutory appeals are disfavored since the record is incomplete, the NCAA insists that the Supreme Court ought to review the matter because of the case’s broader implications and the timing of the situation.

The NCAA explains that, as a membership organization, it has a contractual duty to “ensure a level playing field among” all competing schools. The NCAA suggests it must seek appeals to block courts from “intervening in NCAA eligibility decisions to provide special treatment to favored athletes.” If trial judges meddle with the NCAA’s administration of eligibility rules, the NCAA’s petition argues, that meddling poses an “existential threat to the NCAA’s administration of collegiate sports.”

Advertisement

To corroborate that point, the NCAA warns that unless Chambliss is deemed ineligible, there will be a “flood of litigation” involving athletes whose schools are denied medical waivers. The NCAA points out that UVA quarterback Chandler Morris recently sued the NCAA in Virginia in hopes of obtaining a seventh year of eligibility, and the basis of his case is the denial of a medical waiver.

The NCAA also advises the state Supreme Court that the risk of “spillover effect” has been borne out through the aftermath of former Vanderbilt quarterback Diego Pavia’s eligibility litigation against the NCAA to play a sixth season of college football.

“Since Pavia,” the NCAA writes, “over 60 lawsuits by over 100 student-athletes have raised similar challenges.” This litigation, the NCAA maintains, has caused “uncertainty” as to NCAA eligibility.

The NCAA knows that if Whitwell’s injunction isn’t lifted, the case is effectively over: The injunction will let Chambliss play for Ole Miss in 2026 and then he’ll move on to the NFL or other pursuits. Whether Chambliss would prevail in a trial, which might not be scheduled until 2027 or beyond, could be rendered irrelevant if Chambliss decides to drop the case after the 2026 season.

Chambliss v. NCAA is a reminder of the unique features of the post-House settlement world. It now pays to stay in school, given that athletes can receive full athletic scholarships, NIL deals and direct payments from their schools through revenue shares. According to ESPN, Chambliss could earn about $6 million at Ole Miss if he plays there this fall.

Advertisement



Source link

Continue Reading

Mississippi

Leaders throughout Mississippi remember JSU’s Elayne Hayes-Anthony

Published

on

Leaders throughout Mississippi remember JSU’s Elayne Hayes-Anthony


play

  • Dr. Elayne Hayes-Anthony, a trailblazing journalist and educator, has died at the age of 72.
  • She served as a longtime professor at Jackson State University and was its acting president in 2023.
  • Hayes-Anthony broke barriers as the first Black woman to be an anchor, producer, and reporter at WJTV in Jackson.
  • Mississippi leaders, including the governor and Jackson’s mayor, are remembering her significant contributions to education and media.

Mississippi leaders and educators are remembering Dr. Elayne Hayes-Anthony as a trailblazing journalist, educator and public servant following news of her death Thursday, March 5.

Hayes-Anthony, a longtime professor and chair of the Department of Journalism and Media Studies at Jackson State University and former acting president of the university, spent decades mentoring students and shaping communications education throughout Mississippi.

Advertisement

Jackson State University officials announced her passing in a statement Thursday morning. She was 72. A cause of death was not provided.

Hayes-Anthony served as interim president for eight months in 2023, between former President Thomas Hudson and Marcus Thompson. She became the first Black woman to work as an anchor, producer and reporter at WJTV in Jackson and later spent 17 years as chair of the communications department at Belhaven University. Hayes-Anthony also served as assistant superintendent of communications for Jackson Public Schools and served as the first Black woman and journalism educator to become president of the Mississippi Association of Broadcasters.

Jackson Mayor John Horhn praised Hayes-Anthony in a statement as a “proud daughter of Jackson and a distinguished graduate of Jackson State University who returned home to pour her knowledge back into this community.” Horhn also extended condolences to Hayes-Anthony’s husband, family, colleagues and former students.

“Our city mourns the loss of a trailblazer whose life’s work helped shape generations of communicators, educators, and leaders,” Horhn said in a statement. “As a pioneering journalist and the first African American woman to serve as anchor, producer, and reporter at WJTV-12, she broke barriers in Mississippi media and opened doors for countless Black journalists. Her leadership at Jackson State, from the classroom to the president’s office, reflected her commitment to excellence. Jackson is better because she chose to live, work, and lead here. We honor her legacy, celebrate her remarkable life, and pray for comfort and strength for all who are grieving this tremendous loss.”

Advertisement

Ward 4 Councilman and Jackson City Council President Brian Grizzell, a long time educator and alumnus of JSU, said he remembered Hayes-Anthony from several points in her life and career.

“I remember Dr. Elayne Hayes-Anthony from several stages of her remarkable journey,” Grizzell said. “I first knew her as a student in Jackson Public Schools, later as a student at Jackson State University, and we reconnected years later during her time serving as acting president of Jackson State University.”

Grizzell called Hayes-Anthony a pioneer in education whose work helped shape the lives of many students across the community.

Advertisement

Longtime Mississippi Congressman Bennie Thompson, also a JSU alum, honored Hayes-Anthony as a “a trailblazer in every sense of the word.”

See his post on Facebook below:

Mississippi Governor Tate Reeves also offered condolences Thursday via X, formerly known as Twitter.

U.S. Sen. Roger Wicker also shared the following statement on Hayes-Anthony passing:

“Mississippi has lost a leader and pioneer, my friend Dr. Elayne Anthony. Jackson State benefited from her steady hand during a time of transition. She was revered by its students. The Mississippi Association of Broadcasters recognized her leadership by electing her chair. Elayne’s legacy of kindness, servant-leadership, and community service will impact generations to come.”

Advertisement

Investigative journalist Jerry Mitchell reflected on Hayes-Anthony’s impact on journalism in Mississippi.

“What a loss. Dr. Anthony was truly a champion for journalism. Her work produced so many talented journalists we have today in Mississippi and beyond,” Mitchell said.

State Rep. Zakiya Summers and Sen. David Blount, both of whom represent parts of Jackson in the Mississippi Legislature, also paid tribute to Hayes-Anthony.

Advertisement

Officials with the Mississippi State Department of Health and the Mississippi State Board of Health also shared condolences, noting Hayes-Anthony served on the Board of Health for nearly two decades.

“I personally grieve the loss of a very important Mississippian who cared deeply about education at all levels, public health, and very importantly the need for the health of our population to improve,” said Dan Edney, state health officer and executive director of the Mississippi State Department of Health. “She was a strong supporter of MSDH and for my work as State Health Officer and was one of our greatest cheerleaders. Her passing is a loss to public health and higher education leadership, but her service has helped to make our state a better place.”

Lucius Lampton, chairman of the Board of Health, said Hayes-Anthony’s service on the board began in 2007.

“Dr. Elayne Anthony’s long service on the Board of Health, which began in 2007, was exceptional and benefited the public’s health in countless ways. She led always with intellect, creativity and integrity. The Board of Health and our agency will so miss her gracious presence. I also will miss her dear friendship.”

Charlie Drape is the Jackson beat reporter. You can contact him at cdrape@gannett.com.

Advertisement



Source link

Continue Reading

Mississippi

Gas prices on Mississippi Gulf Coast jump nearly 60 cents in one day

Published

on

Gas prices on Mississippi Gulf Coast jump nearly 60 cents in one day


BILOXI, Miss. (WLOX) — Gas prices along the Mississippi Gulf Coast have jumped to nearly $3 a gallon, up from $2.41 just two days ago, according to AAA.

AAA said the increase is driven by two factors: the U.S.-Iran conflict, which has shut down a key Middle East oil route and prompted attacks on refineries, and a seasonal fuel blend switch that adds up to 15 cents a gallon on its own.

AAA said the increase is driven by two factors: the U.S.-Iran conflict, which has shut down a key Middle East oil route and prompted attacks on refineries, and a seasonal fuel blend switch that adds up to 15 cents a gallon on its own.(WLOX)

Uber Eats driver James Adams said he noticed the increase immediately.

“It actually jumped like 50 to 60 cents in one day,” Adams said.

Advertisement

Adams said the higher cost to fill his tank cuts directly into his delivery earnings.

“We’re working basically for pennies on the dollar already — and once you factor that in with traffic and the mileage you have to go — the gas is outrageous,” Adams said.

DoorDash driver Daniel Yelle said the spike will strain his weekly budget.

“I fill up about twice a week going to and from work and DoorDash — and that’s going to hurt my budget,” Yelle said.

FedEx driver Cecil Banks said there is little that workers can do about the rise in prices.

Advertisement

“As long as there is wars — the price of gas is going to go up for everybody — so it’s just an unfortunate situation,” Banks said.

Banks noted that even though Mississippi’s prices remain below the national average, not driving is not an option for working families.

“What can you do? A lot of people have families — they have to go get their kids — they have to go back and forth to work,” Banks said.

Yelle echoed that sentiment.

“They don’t pay us enough for the higher gas prices,” Yelle said.

Advertisement

See a spelling or grammar error in this story? Report it to our team HERE.



Source link

Continue Reading

Trending