TALLAHASSEE | Thu Jan 31, 2013 6:40pm EST

TALLAHASSEE (Reuters) - Florida's Republican governor on Thursday proposed a hefty $4 billion hike in state spending in a budget plan that includes a $1.2 billion increase in school aid, cuts in business taxes, and relies on fatter state sales-tax collections.

Accompanied by teachers, business leaders and state employees, Gov. Rick Scott told reporters at the Capitol that his $74.2 billion spending plan for fiscal year 2013-14 illustrated economic recovery in Florida and tough budget decisions made by lawmakers over the last few years when revenues were faltering.

Buoyed by increases in sales-tax revenues, Scott's plan was the first since the 2008-09 budget cycle that did not include a sizeable revenue shortfall going into the legislative session set to begin in March.

Scott's proposal includes recommendations to lawmakers, who craft the state's spending plan ahead of the new budget year starting on July 1.

Florida's general revenue portion of the budget, a $27.1 billion pot used for discretionary spending, marks an increase of 4.7 percent over last year.

"This is further evidence that Florida's economy is back on track and growing again," Scott told reporters.

Other states, such as California, are also seeing increased revenues. Jerry Brown, California's Democratic governor, three weeks ago proposed a budget plan with the state's first surplus in a decade, but urged restraint in spending.

Some other governors are championing tax cuts, and in Texas on Tuesday, Republican Gov. Rick Perry recommended returning excess state revenue to taxpayers.

Florida's jobless rate stood at 8 percent in December, the best showing in four years for a state still battling back from the U.S. housing bust. But it still remains among the highest rates and above the national unemployment rate of 7.8 percent, according to federal government data. (For details, please see: here)

For business, Scott's plan calls for expanding the state sales-tax exemption on machinery and equipment used in manufacturing, a tax break expected to save 17,500 employers about $140 million a year.

On the education front, Scott seeks an across-the-board $2,500 raise for public school teachers as part of his proposed $1.2 billon of increases in K-12 education spending.

The plan drew praise from Florida's largest teachers union, whose members generally haven't seen raises in several years.

"We are happy the governor is recognizing and investing in Florida's high performing public schools," said Andy Ford, president of the Florida Education Association. "In most of Florida, our public schools are the largest employer."

The governor's proposal also includes $60 million for Everglades restoration and another $75 million for the state's environmental land buying program.

Scott sees a lean year for bonding. His budget blueprint includes about $750 million in transportation bonds, which are paid for by fuel tax revenues and do not affect the state's general revenue budget. The proposal does not include any bonding for school construction or environmental land purchases.

(Writing and additional reporting by Michael Connor in Miami; editing by Gunna Dickson)

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U.S. President Barack Obama shakes hands with Louisiana Governor Bobby Jindal after arriving at Louis Armstrong International Airport in New Orleans September 3, 2012.

NEW ORLEANS | Thu Jan 10, 2013 8:51pm EST

NEW ORLEANS (Reuters) - Republican Governor Bobby Jindal said on Thursday he wants to eliminate all Louisiana personal and corporate income taxes to simplify the state's tax code and make it more friendly to business.

The governor did not release details of his proposal, but his office released a statement confirming that the taxes are targets of a broader tax reform plan.

"Our goal is to eliminate all personal income tax and all corporate income tax in a revenue neutral manner," Jindal said in the statement.

He did not confirm reports that he will seek an increase in sales taxes in order to offset lost income tax revenue, but said: "We want to keep the sales tax as low and flat as possible."

Political analyst John Maginnis, who on Thursday reported in his email newsletter LaPolitics Weekly that Jindal will propose balancing the tax loss by raising the sales tax, now at 4 percent, said the strategy fits with the governor's interest in keeping a high national profile.

"Just proposing a plan on the scale being discussed would win Jindal acclaim among fiscal conservatives here and nationwide," Maginnis told Reuters.

Jindal is often mentioned for national office including the U.S. Senate and as a possible presidential candidate.

Louisiana's neighbor Texas has had no income tax for years, relying on a windfall from its rich energy resources and other forms of taxation. Other states in the region governed by Republicans are trying to copy Texas, including Oklahoma and Kansas, which have both considered lowering taxes.

But political analyst Maginnis questioned whether the Republican-majority Louisiana legislature would endorse Jindal's ambitious plan.

"Any tax increase (such as sales tax) or elimination of exemptions would require a two-thirds vote, a form of legislative approval that would require (Republican) solidarity and significant Democratic support," Maginnis said.

Jindal said his team will meet with lawmakers soon to discuss details of his tax reform plan.

"Eliminating personal income taxes will put more money back into the pockets of Louisiana families and will change a complex tax code into a more simple system that will make Louisiana more attractive to companies who want to invest here and create jobs," he said.

(Reporting by Greg McCune; Editing by Lisa Shumaker)

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HONOLULU | Wed Dec 26, 2012 9:37pm EST

HONOLULU (Reuters) - Hawaii Lieutenant Governor Brian Schatz was named on Wednesday to fill the U.S. Senate seat left vacant by the death of fellow Democrat Daniel Inouye.

Schatz, 40, was appointed by Governor Neil Abercrombie, also a Democrat, to succeed Inouye for the two years remaining in the term.

Because Schatz and Inouye are from the same party, the change does not alter the balance of power in the 100-member Senate, where Democrats are expected to maintain a 55-45 majority over Republicans in January.

"I make this decision with full confidence that Brian's appointment is in the best interest of the state of Hawaii and the nation," Abercrombie said in a statement announcing the appointment.

A White House official said Schatz would fly to Washington with President Barack Obama aboard Air Force One on Wednesday night.

Schatz is expected to be sworn in Thursday, the governor's spokesman, Keith DeMello, told Reuters.

Inouye, a decorated World War Two veteran who lost an arm in battle and represented Hawaii in Congress since its statehood more than a half century ago, died last week at age 88.

The veteran senator was chairman of the powerful Senate Appropriations Committee and third in the line of presidential succession as the Senate's senior member.

Schatz became Hawaii's 11th lieutenant governor two years ago. He previously served as head one of Hawaii's largest nonprofit community social services organizations.

He also was chairman of the state Democratic Party and chaired Obama's 2008 presidential campaign in Hawaii.

(Additional reporting by Jade Eckardt; Writing by Tim Gaynor; Editing by Steve Gorman and Stacey Joyce)

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Republican Florida Governor Rick Scott speaks at a meeting of the Latin Builders Association in Miami, Florida January 27, 2012.

MIAMI | Sat Dec 22, 2012 5:56pm EST

MIAMI (Reuters) - Florida's Republican governor wants President Barack Obama to invoke federal law and order a cooling-off period if nearly 15,000 longshoremen walk off the job in a looming strike that would be a big blow to the state's economy, according to a letter he sent the president this week.

The International Longshoremen's Association union and the U.S. Maritime Alliance grouping of shippers and ports have been bargaining since March but reportedly remain far from a deal covering cargo handling at 15 ports on the U.S. Gulf and eastern coasts.

In October, when a previous contract expired, the sides agreed to a 90-day extension of terms that runs out on December 29.

Florida ports in Miami and Fort Lauderdale would be directly hit by a strike or lockout but a stoppage would also rattle overall transport and trade, which accounts for 550,000 jobs in the state and $66 billion in economic activity, Florida Governor Rick Scott said in a letter dated Thursday.

"The threat to national safety and security that would result from mass closure of ports cannot be overstated," Scott told Obama.

Scott said Obama had the power under 1947's Taft-Hartley Act to prevent or interrupt a work stoppage at the ports. Presidents Richard Nixon and George W. Bush both used Taft-Hartley, which calls for 80-day cooling-off periods and mediation, Scott said.

"The Taft-Hartley Act provides your administration with tools that can help avoid this threat," Scott said. "On behalf of the State of Florida, I respectfully request that you invoke the act when the contract ... expires at the end of the month."

(Reporting By Michael Connor in Miami; Editing by Cynthia Johnston)

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Ohio Governor John Kasich speaks during the CERAWEEK world petrochemical conference in Houston March 7, 2012.

COLUMBUS, Ohio | Thu Dec 20, 2012 6:36pm EST

COLUMBUS, Ohio (Reuters) - Ohio's Republican Governor Johns Kasich on Thursday signed into law a measure that would slightly weaken the state's law on carrying concealed weapons, less than a week after a Connecticut school massacre focused national attention on gun control.

The bill would require Ohio residents demonstrate competency with the weapon only once rather than each time the concealed carry permit expires. It also would allow carrying concealed weapons in the parking garage of the State Capitol.

Kasich signed the bill along with 41 others and did not hold a signing ceremony. A press release summarizing his actions put the gun law near the bottom of list of those signed.

Kasich foreshadowed the action earlier in the week, telling reporters he would sign it: "Whatever we do, we don't want to erode the Second Amendment rights of law abiding citizens."

The Second Amendment to the U.S. Constitution gives American citizens the right to bear arms.

Democratic state Representative Tracy Maxwell Heard said Kasich should not have signed such a "divisive" bill less than a week after a national tragedy.

"Rather than rushing to sign legislation that weakens our gun laws, we must use this time for a full, inclusive reflection," Maxwell Heard said.

Last Friday, a gunman opened fire at an elementary school in Newtown, Connecticut, killing 20 children and six adults before shooting himself.

Michigan's Republican Governor Rick Snyder on Tuesday vetoed a proposed law that would have allowed some gun owners to bring concealed weapons into public places such as schools. Snyder said that the Connecticut shooting had influenced his decision.

(Editing by Greg McCune, desking by G Crosse)

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