Burgoyne, who won a hotly-contested election against Republican Ralph Perez earlier this month, wants to sell a piece of property that was given to the state of Idaho as a gift, but may soon become a burr under the Gem State’s saddle.

“I intend to introduce legislation to sell the governor’s mansion if I am re-elected,” said Burgoyne in an Oct. 28 debate with Perez.  Lest anyone think Burgoyne has a beef with the governor and wants to sell his dwelling, the home to which the Boise Democrat referred is the Simplot Mansion, an unused home owned by the state intended for habitation by the state’s top executive.

The property is prime real estate with a hilltop home donated to the state in 2004 by self-made billionaire J.R. Simplot.  The home boasts a nice view of Boise and was valued at $2.8 million when the gift was given.  Simplot, who passed away in 2008, said at the time that he wanted governors for years to come to enjoy the abode.

“I just think the world of Idaho, and I’m just pleased to let someone have it like the governor,” Simplot said at a ceremony announcing his donation to the state.  “As governors come and go, they’ll enjoy it, I hope.”

But governors haven’t enjoyed it – at least not for dwelling purposes.  Gov. Butch Otter doesn’t live in the home and neither did then-Gov. Jim Risch during his stint in the state’s top job.  Even Gov. Dirk Kempthorne, in office when the property was donated, didn’t packs his bags and establish residency in the hilltop dwelling.

The state has realized the property is an expensive investment and the fund paying for upkeep of the house on the hill – mowing, watering, and electricity – is running out.  The fund, money saved from the sale of a previous governor’s mansion, began with $1.5 million in the coffers, but has since dwindled to a little more than $1 million, according to recent reports.

The head of the Governor’s Housing Committee, Senate Pro Tem Bob Geddes, R-Soda Springs, doesn’t expect the money to last much longer.  “We can only maintain the property and the home for the next five years before that fund will be depleted,” Geddes told the Associated Press earlier this year.

Burgoyne says if the sale of the mansion is forced, the money in the upkeep fund could be used to bring in additional tax revenue to the state.  “There are better ways to use that money and one of those ways is to hire tax auditors,” Burgoyne explained, adding that hiring more auditors is a proven method for increase tax revenue.

Earlier this year, Geddes told IdahoReporter.com that he had discussed various cost-savings options with officials from the J.R. Simplot Company, including asking the corporation to take on more of the burden of upkeep for the property.

Monday, Geddes said that anyone working on legislation to sell the mansion should be respectful to the Simplot family. “Is it an option to sell it?” asked Geddes.  “Yes, I think that’s an option, but we need to extend courtesy to the Simplot family and ask them about it. Maybe even offer it back to them.”

Burgoyne told IdahoReporter.com that in crafting the legislation, he will be mindful of the wishes of the family.  The legislation is still under construction and won’t be release until the legislative session.

The housing committee hasn’t yet met in 2010, but may gather before the end of the year to consider options in dealing with the home prior to the next legislative session.

Former Democratic Gov. Cecil Andrus actively campaigned for Minnick during the 2008 election.

During the GOP primary, Kempthorne spoke on behalf of Vaughn Ward, who ran against Labrador.

Read Labrador’s news release below.

LABRADOR RECEIVES KEMPTHORNE ENDORSEMENT

FORMER US SECRETARY OF THE INTERIOR, GOVERNOR, US SENATOR AND BOISE MAYOR SAYS:

“Labrador will reflect the concerns and values of Idaho’s citizens”

October 25, Boise. The Labrador for Idaho campaign is pleased to announce the endorsement of Raul Labrador by former U.S. Secretary of the Interior, Dirk A. Kempthorne. Secretary Kempthorne was Idaho’s 30th Governor and a United States Senator. He was first elected to public office in 1985 as Mayor of Boise.

Following is the text of the endorsement from Sec. Kempthorne:

“The people of Idaho have been well-served by their Republican team of elected officials in the Congress and our State Capitol. Raul Labrador will be a fine addition to that successful team when he is elected as the next Representative from Idaho’s first Congressional district. Raul Labrador’s experience in the Idaho State Legislature proves he will effectively reflect the concerns and the values of Idaho citizens as he tackles the monumental problems facing the next Congress. I urge my fellow Idahoans to vote for Raul Labrador and the entire Idaho Republican team.”

On receiving the endorsement Raul Labrador said:

“I am very grateful to Secretary Dirk Kempthorne for this endorsement. His long and valued service to the people of Idaho and America is a great example for all men and women in public life. Secretary Kempthorne was esteemed by his colleagues and always represented Idahoans respectfully and with strength. I hope to serve the people of Idaho in the same manner.”

Idaho loses roughly $30 million a year in Internet sales, and Idaho Sen. Mike Jorgenson, R-Hayden, wants the state to take steps to recapture some of that money and help brick-and-mortar stores in Idaho. He’s proposing that Idaho join the Streamlined Sales Tax Compact, a multi-state effort to simplify sales taxes and collect from businesses located out of state. Gov. Dirk Kempthorne signed an executive order in 2005 to participate in the program, but that expired last year.

“The ultimate purpose of this bill is to begin to close a giant tax loophole,” Jorgenson said. He said collecting Internet sales tax would help main street businesses, which have become demonstration spots for products that people test out before buying online for a cheaper price. “Right now, Idaho is in a condition that it needs to consider something like this.” Under current law, Idahoans should be paying sales tax for Internet purchases – there’s a line on state tax forms for people to declare such items – but the State Tax Commission has no clear way to enforce the requirement.

Most of the Senate committee members approved the measure. “There’s value in this for Idaho businesses,” said Sen. Joe Stegner, R-Lewiston. “I’ve never considered this to be a tax generation issue as much as a fairness issue.”

Only Sen. Shirley McKague, R-Meridian, opposed the plan. “To me this is an additional tax and I don’t think it’s the right time to do this,” she said. However, the effort could face more opposition in the House. That’s because, under the Idaho Constitution, all new revenue laws must start in the House, not the Senate.

“Why should we continue to do this if we know that the [House] is going to think that we’re going to push this constitutional issue,” said Sen. Tim Corder, R-Mountain Home, who voted for the plan. Jorgenson said he’s fine with moving on the plan in the Senate because he doesn’t consider it a new tax, and said he hasn’t heard of a similar proposal that would get a hearing in the House this session. Other lawmakers understood the constitutional issue, but still supported the measure.

“I’m not particularly troubled by what the body across the rotunda will do at this point,” Stegner said.
 
Another proposal coming out of the committee would require lawmakers to look at all the state sales tax exemptions once every five years. The legislation from Sen. Chuck Winder, R-Boise, would give every exemption a five-year time limit unless the Legislature approved an extension. Sales taxes exemptions account for $1.7 billion in potential tax revenue this year, according to the Legislature’s Fiscal Facts. The sales tax brings in $1.2 billion. Most of the exemptions are for services. It’s unclear whether lawmakers would repeal some of the biggest exemptions, including those on health and medical services, construction, or production equipment.

Winder said it would be a good idea to dust off every exemption every five years to make sure it serves a purpose. “This does need to be looked at,” he said. “I think the public expects it to be looked at.”

The Senate committee unanimously approved sending the legislation to the floor for a full vote, though Stegner said it may not be the right way to examine exemptions. He said that looking at all the exemptions at once would be the best policy. “I am convinced that it needs to be done with a broad brush,” he said. He said he favors reducing the number of exemptions to broaden the tax base and then lower tax rates.

Sales tax exemptions have been a common topic this legislative session as lawmakers look to find alternative revenues to compensate for lagging tax collections. A proposal in the House from Rep. Wendy Jaquet, D-Ketchum, would create a 16-member Tax Review Commission to study exemptions. Jaquet introduced that plan in January but it hasn’t made it out of House committee.

Read Jorgenson’s Streamlined Sales Tax legislation here and Winder’s tax exemption legislation here.

Part 1:

Part 2:

Ward worked as a constituent services officer under Kempthorne during the former governor’s days in the United States Senate.

Superintendent Tom Luna’s speech:

Former Idaho Governor Dirk Kempthorne:


Ward will face state Rep. Raul Labrador, R-Eagle, in the May GOP primary and the winner of that contest will face Democrat Walt Minnick in the general election in November.

(Note: Superintendent Tom Luna had a busy day Tuesday.  Click here to read Luna’s response to Idaho businessmen Ron Nilson and Doug Sayer or here to read about Luna’s speech to South Junior High students in Boise.)

Here is the full text of the release:

Eagle, ID – On Monday, 1st Congressional candidate Vaughn Ward announced that Former Idaho Governor and Interior Secretary Dirk Kempthorne and Idaho Superintendent of Public Instruction Tom Luna would chair his campaign.

“I understand how important it is to have someone in Congress who will stand up for our conservative values. Vaughn is the leader we need representing our values in Congress. Vaughn has the courage, leadership and experience to help put our country back on the right track. I know Vaughn will go to Washington, DC and fight to reduce spending, lower taxes, and put Idahoans back to work. I have no doubt that Vaughn will be a true advocate for the people of Idaho,” Kempthorne said.

“Vaughn is a dedicated Republican and an outstanding leader who possesses an impressive record of service to our state and country. He will usher in a new era of Republican leaders in our state and nation. Vaughn has my faith and confidence that he will represent my family and all Idahoans well in Congress and work tirelessly to bring some Idaho common sense to Washington, DC.” Luna said.

“I’m honored to have Secretary Kempthorne and Superintendent Luna’s support,” said Ward. “They both have proven that Republicans are the party of ideas and common sense solutions, while showing a remarkable ability to put these traits to work on behalf of Idaho’s taxpayers,” concluded Ward.

Ward will face state Rep. Raul Labrador, R-Eagle, in the Republican primary election on May.  The winner of that contest will face Democrat Walt Minnick in the general election in November.

Ryan O’Barto, Ward’s campaign manager said, in an email to IdahoReporter.com, the campaign chairman will be announced within days.

Here is the list of Ward’s stops on his announcement tour:

Tuesday – January 26th

8:00 am – Emmett
Cold Mountain Creek Restaurant
1825 Hwy 16

12:00 Noon – Meridian
Louie’s Meridian
2500 East Fairview Avenue

3:00 pm  - Boise Press Conference
With Special Guests
Secretary Dirk Kempthorne and
Superintendent Tom Luna
State Capital Steps

Wednesday – January 27th

7:30 am – Bonners Ferry
Chic and Chop
6421 Main Street

11:30 am – Sandpoint
Ivano’s Ristorante & Café
102 South First Street

2:00 pm – Coeur d’Alene Press Conference
Ground Force Manufacturing
5650 East Seltice Way, Post Falls, ID

4:00 pm – Wallace
Wallace Inn
100 Front Street

6:30 pm – Post Falls
G.W. Hunter’s Restaurant
615 North Spokane Street

Thursday – January 28th

7:30 am – St. Maries
Saint Maries Golf Course
900 Golf Course Rd

10:00 am – Moscow
Eastside Marketplace
1420 South Blain Street

12:00 noon – Lewiston
Red Lion
621 21st Street

5:00 pm – Grangeville
Oscar’s Restaurant
101 East Main Street

Friday – January 29th

2:00 pm – Wilder
Alejandro’s Restaurant
308 A Avenue

3:00 pm – Homedale
Idaho Pizza Company
138 East Idaho Avenue

5:00 pm – Caldwell
Orphan Annie’s Bar and Grill
801 Everett Street