Union Leader - Lynch, Kenney Spar on Business, Financial Issues

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Union Leader - Lynch, Kenney Spar on Business, Financial Issues

Stephen Beale

Gov. John Lynch and Republican challenger Joe Kenney aired their differences on spending, health care, and education funding at their first joint forum today.

Kenney said he was running to rein in state spending, calling for an across-the-board 5 percent cut in all agencies and departments. He warned that out-of-control spending was hurting New Hampshire' ability to attract businesses.

"We don't have a revenue problem in New Hampshire, we have a spending problem," Kenney said. "And it's become quite apparent that if we don't get the spending under control, we're going to kill the New Hampshire tax advantage."

Lynch defended the state budget as "responsible," saying it had increased by only 3 percent annually in the past two years, once nondiscretionary spending is factored out. "Certainly our low tax environment is very important and business people tell me all the time that that's one of the reasons they locate here," Lynch said.

The incumbent governor touted his achievements in creating tax credits for research and development and for businesses moving into Coos County, which he described as an "economically challenged" region of the state. Kenney dismissed those programs as "token" achievements which should be expanded.

Both candidates came out strongly against any statewide sales and income tax or increases in the business tax. Kenney said he would consider expansion of gambling operations as an alternative source of revenue for state education funding. Lynch also appeared open to gambling revenues but said he wanted to be sure there would not be an adverse effect on the quality of life in the state.

The forum was produced by the Business and Industry Association of New Hampshire in association with the New Hampshire Union Leader, New Hampshire Public Television and New Hampshire Public Radio. Lincoln Financial Group sponsored the event. NHPR's Laura Knoy moderated the forum. Denis Paiste of the Union Leader and Richard Ager of NHPTV were media panelists.

A forum featuring U.S. Sen. John Sununu and challenger Jeanne Shaheen is scheduled for Monday. While no tickets remain available, the Senate forum will be live-streamed via UnionLeader.com and other partners' web sites.

For more details on today's forum, see UnionLeader.com and tomorrow's edition of the New Hampshire Union Leader.

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