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>> Coming up next on "Arizona
Horizon," the temporary state
sales tax ends tomorrow.
What was the impact of the
three-year tax and what happens
when the tax revenue goes away?
>>> Also tonight, representative
Ann Kirkpatrick will talk about
congressional efforts to lower
student loan debts and other
issues.
>> And we'll find out about a
new cancer center being built in
downtown Phoenix.
>>> Those stories next, on
"Arizona Horizon."
>>>
>>> "Arizona Horizon" is made
possible by contributions from
the friends of eight.
Members of your Arizona PBS
station.
Thank you.
>>> Good evening and welcome to
"Arizona Horizon."
I'm Ted Simons.
>>> In 2010, Arizona voters
approved a three-year, one-cent
increase in the state sales tax.
Last year, voters refused to
make that tax permanent, which
means the tax goes away after
tomorrow.
Here toe talk about how the tax
impacted Arizona's economy and
what comes next is ASU economist
Dennis Hoffman.
Good to see you again.
>> Great to be here Ted.
>> Are we all ready for this end
of this temporary sales tax?
>> We're coming down --
Counting down the hours.
I think it's news that many
folks are unaware of, both on
the merchant side and the buyer
side.
But indeed it does come to an
end.
>> Where did the tax revenue go?
It.
>> was important.
It was a very much a stabilizing
force, fiscally in the state.
It went to the general fund.
And so the general fund --
And it was earmarked primarily
to stabilize education and stop
the freefall especially in K-12
education that had begun.
But it did --
It was general fund dollars.
So it --
If it went to education it might
have freed up other dollars in
the general fund.
And so it went to fund then
K-12, Universities, prisons,
indigent health care, our share
of indigent health care, those
general fund meets.
>> With those general fund needs
addressed by the tax, what
happens now that's tax goes
away?
>> The economy has continued to
improve.
I think partially because of the
stabilizing nature --
We sent a very clear signal that
Arizona got its fiscal act
together.
Cyclically we knew we were going
to improve, it's hard to predict
exactly at what trajectory.
But since the tax has been in
place, the pace of retail sales,
the transactions has picked up,
and it's not because of higher
taxes, of course.
But it's just --
It's a sign that a small
increase in the tax rate really
did not stifle any growth in
retail transactions.
>> so the theory back when the
tax was being proposed is that
it would have been a bridge.
It was supposed to be a bridge
for three years to get us out of
the worst times, get us to a
nicer shore over here.
Did we make the shore?
Are we on the other side of the
river?
>> We can debate that.
It clearly was the bridge of
stability.
I think you could argue it was a
catalyst to attracting federal
dollars.
It certainly put a support under
a number of the expenditures
that took place in the public
sector.
And I think it would have been
quite concerning I think among
many people to lose the kinds of
public services would you have
lost without that temporary tax.
>>> Critics of this and any tax
say that any tax hurts the
economy period.
Did this tax hurt Arizona's
economy?
>> My quibble is any tax hurts
the economy.
I just don't agree with that.
I do agree that taxes can stifle
an economy.
Overburden thanking a economy
with taxes is stifling.
But antioxidants are or small
margins, taking those receipts
and recycling them in areas of
the public sector where there's
clearly need, and look, we're
nearly last in K-12 expenditures
per student.
Despite the tax, we've sliced
universities on a per student
basis more than any other state
in the United States.
So there are clearly needs,
there's infrastructure needs,
there's indigent health care
needs, as we've talked on the
show.
So there's clearly needs.
On small margins you can take a
small amount of money in the
form of taxation that's not
distortionary, and this one is
clearly not.
And recycle it back to the
economy without doing severe
harm.
And I think this last three
years clearly illustrates that.
>> So with that said, for those
who say now that the tax is
gone, the economy will improve
that much more, again, veiled
argument?
>> I just don't see it.
I think --
Well, the data suggests the
spring has been very robust in
retail sales.
We've continued to accelerate in
march and April, I suspect
Ismail Haniyeh going to show
strong numbers as well.
I bet if you had retailers in
here they would tell you that it
was a pretty active weekend with
a memorial day sales.
They were shaving 20 and 30% off
prices for Memorial Day.
So were folks going to wait a
week and save 1% and forgo a 20
or 30% reduction?
I don't think so.
So the economy is going to
improve.
Revenue picture will continue to
get better.
With or without this tax.
It would have probably been
about the same trajectory had we
retained the tax.
>> Were you surprised a tax even
happened, that voters approved
this?
>> I was pleased.
It took leadership from the
governor's office, and I thought
that that was a very important
signal.
It's clear the governor --
The governor doesn't always
support tax increases, and she's
been very clear in that regard.
But when there was a need, when
the economy was in crisis, when
we needed a fiscal stabilizing
force, she took leadership
action and I think it was very
important.
>> Were you surprised that
voters said no to an extension?
>> Well, voters saying yes
originally and then voters
saying no, the yes vote was on
general fund, it was in a time
of crisis, people saw where
those dollars were going, and it
was very clear.
It had very widespread support.
Business community, all the
education establishment, and the
governor's office.
And the voters said yes.
I think the vote to extend was
really very different.
Those dollars were going in
different directions, they were
not going in the general fund.
They were setting up separate
spending initiatives.
People were concerned about
meeting the needs in the general
fund, and then at the same time
allocating some much those
dollars elsewhere.
>> Bottom line, last question,
did Arizona really need this
one-cent --
>> I think it really did.
I'm big into counter factuals.
For those people that thought it
didn't need it, I would really
like to see the tape if we can
play the tape, rerun the last
three years, without
that billion dollars a year
roughly that came in from the
temp tax.
Things would have been very,
very lean.
They're lean as it is.
Oh, my goodness, I can't imagine
what it would have been like.
>> It's good to have you here.
Thanks for joining us.
>> Thanks, Ted.
>>> We want to hear from you.
Summit your questions, comments,
and concerns Via email at
arizonahorizon@asu.edu.
>>> A backlog of V.A. claims, a
push to lower student-loan debt
and the continuing controversy
over a proposed copper mine near
superior.
Those are among the issues we
addressed to congresswoman Ann
Kirkpatrick in a conversation
earlier today.
Thank you for joining us.
Good to have you here.
>> Nice to be back.
>> Let's start with V.A. claims
and the backlog of V.A. claims.
This is kind of going a little
under the radar.
I know you've been interested in
this.
What is the concern here?
>> I have a caseworker in my
Casa Grande office dedicated to
helping veterans.
When he reported to me the vast
majority of his case load is
claims backlogged, some of them,
many of them more than two
years, he told me he's hearing
of people who died before their
claims processed.
So a ranking member on oversight
and investigations, we had a
hearing, we brought the V.A. in
and said, what's going on here?
And what came out of that
hearing is the great majority of
delay is in the department of
defense.
And so they're having trouble
transferring their records in
electronic format to the V.A.
So I and the chairman of the
committee mike coughman of
Colorado wrote legislation
that's called --
It's called a claims operation
records efficiency act.
And what it requires is that the
department of defense now has
metrics, they have to deliver to
the V.A. in a timely manner,
electronic format of their
records.
So we're really trying to
encouraging them to go into
electronic records keeping and
away from the inefficiency of
paper.
>> I think many would be
surprised that the department of
defense has trouble transferring
records electronically.
Is this true?
>> That's what came out of that
committee hearing we had.
The good news is we just had
another follow-up hearing out
of --
After we had that initial
hearing, the V.A. decided to
direct personnel to the oldest
claims.
And they reported to us that
they had been able to clear up
51% of that two-year and older
backlog.
But what they've done is shifted
people from new claim
processing, to the old claim.
So there's going to be some
tricks, but really those
veterans who have been waiting
so long should be processed as
quickly as possible.
>> And once they're processed,
is there further measurement?
I know the bill describes
efficient electronic fashion to
be delivered.
What is efficient?
How do we define efficient?
>> That's going to be up to the
department to defined the most
efficient way.
We'll keep oversight on that
whole process.
Because I say delayed care is
denied care for our veterans.
>> So department of defense and
the V.A., what kind of response
are you getting?
>> We're getting a good
response.
They say that they like the
legislation, the V.A. core act,
that that's the direction they
were moving in terms of reaching
a mutual agreement on how to
address this.
>> It's one of these moving the
battleship things where it's
going to take forever, or will
there be some movement?
>> There's been some movement.
>> Another issue I know affects
a lot of Arizonans is regards to
student loan debt.
I know the bill out in focused
on this, and another may not be
a bill yet, but there's an
effort to do something with Pell
grants and to get banks out of
the middle man process.
Let's start with what's already
out there.
Students are just being crushed,
some students, by student loan
debt.
What's happening with this?
>> If Congress doesn't do
anything by July 1st, the
interest rate on student loans
almost doubles.
There was a bill introduced by
the Republicans that makes it
even worse.
So it's hard to comprehend why
we wouldn't be trying to protect
our students.
And I hear from them all the
time.
Last night was in Flagstaff and
students were saying, we're
having a hard time finding jobs.
This is really going to
devastate us.
So it's a serious problem for
our students.
>> So right now if nothing is
done by July 1st you're
saying, the interest rate
doubles?
>> Right.
>> If something is done, the
only thing that's out there
right now is a bill that would
essentially triple?
>> Almost.
Almost.
Make it worse, certainly than
doing nothing.
>> Making it worse I guess
because the of of market
conditions?
>> The idea is these students
borrowed this money and they
need to pay it back market
rates.
But it's so *** our
students.
We still have a jobs deficit in
our state.
In the country.
And it's hitting really hard.
Those new graduates.
>> How do you address the issue
without hitting the banking
industry hard?
>> You know, we should keep in
place what we have right now.
We need to act and keep was in
place right now.
That's working for students,
they're not complaining about
it.
>> I know there's also an effort
to get banks out of the process
of loans and grants to students.
I know Pell grants, that's been
addressed as well, more money
into Pell grants, getting
government direct loans as
opposed to middleman with banks.
>> Pell grants are used
extensively by students in
Arizona especially in my
district.
Community college students
really rely on Pell grants.
I support Pell grants, I support
raising the amount of the grant.
Actually voted for legislation
that would --
Did that in my first term.
>> So this idea of maybe getting
rid of banks at the middle man
process, you think that's a good
idea.
>> You know, we have to look at
it.
There has to be something that's
fair and balanced.
And basically it has to be done
in a bipartisan manner.
So we can continue having those
conversation, but the important
thing is that we are able to get
these young people jobs,
good-paying jobs, and that's my
whole focus.
I've said before my goal for
Arizona is a diversified stable
economy.
And our young people coming out
of college and University with a
good education, really are part
of that vision.
>> Are you --
Last on the program we talked
about the superior copper mine,
boy did that spark all sorts of
conversation.
We had both sides coming on
after your appearance last time
to give their best argument.
What is the state of the land
swap that is involved with this
copper mine?
>> There was a hearing in the
natural resources committee and
all parties had a chance to have
their concerns heard.
And that was very important.
And then it just passed out of
that committee, so it's headed
to a vote on the full house
floor.
And then it will go to the
senate.
The bill in the house is not
perfect, and as you know I'm
cosponsoring it with congressman
Paul Gosar, which has been an
interesting story, because you
may remember he's the gentleman
who defeated me in 2010.
We've put that behind us and
we're working together on a
number of bills for Arizona that
are good for Arizonans.
But this is a major one, because
it creates jobs.
But the environmental concerns
of the people who live over
there are valid concerns, and
they need to be addressed.
So I'm now talking with members
of the senate about how we can
do that.
What kind of environmental
studies are fair, should be in
the process, I want it to be an
open transparent transaction
with community input, and
government-to-government input
from the tribes.
>> We heard from some folks in
the community up there, and they
had environmental concerns,
water usage concerns, but the
big thing was the environmental
studies issue.
They're saying do the
environmental studies before the
land swap as opposed to after.
Is that a valid argument?
>> It's a valid argument.
They deserve to know what's
going to happen.
And I introduced legislation my
first term that did exactly
that.
So it has the environmental
study prior.
And then another one afterwards.
But that's a very important part
of the process.
Those folks have lived in that
area for generations, it's
called the copper corridor.
That proposed mine is within --
Easy radius of six other copper
mines.
And so those families are
generations of miners.
But they live there and they
want a safe environment for
their children and
grandchildren.
>> Is that deal breaking ground
there regarding when this --
These environmental studies will
be done?
>> I think we're having good
conversations about that.
They understand to actually get
this signed into law, remember,
it has to go to the president.
So it's got to be fair and
reasonable.
And it's got to address some of
those concerns.
It won't be perfect and that's
the way legislation is.
There are goings to be people on
both sides who aren't happy, but
I think we can find a reasonable
and fair compromise.
>> Before you go, give us an
assessment of the atmosphere
back in Washington.
Because from a few thousand
miles away it sounds like if it
isn't gridlocked it's close to
it, especially in the house
where all sorts of things are
done and the senate completely
ignores.
What's going on?
>> It's so different from my
first term.
I feel more bipartisan action.
And so the fact that congressman
Gosar and I are working
together, our staffs are working
together, I've been approached
by other Congress on the
Republican side to cosponsor
legislation.
That didn't happen my first
term.
The freshman class has come in
and started a new caucus, it's
called united solution and they
really want to solve problems.
And people always ask me, why is
that?
It's because of the American
people.
In the last election they told
us they wanted to elect members
of Congress who could work
together, find solution and get
things done.
>> So why does it seem like from
a distance that's not happening?
I know you're having your caucus
and everything, but we --
All we're seeing is gridlock.
>> Yeah.
You are seeing that.
Especially on some of the major
issues.
That is still happening.
But I'm very hopeful that this
new trend will be able to
continue.
But you're right, we should have
been able to sit down and reach
a bipartisan deal on
sequestration, we should have
been able to do that on the
budget.
But that said, yes doing that
with immigration.
So there's a bipartisan effort
in the house and in the senate.
And I commend our two senators
for taking leadership in that
effort.
So you're seeing it in various
sectors.
It's not ideal yet, but we're
moving.
>> It's capitol hill.
>> Right.
>> It's always a pleasure.
Good to have you.
>> Thank you so much.
>>> Get the inside scoop on
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>>> The University of Arizona is
building a new comprehensive
cancer center at the biomedical
campus in downtown Phoenix.
Here to tell us more about the
center is --
M. Peter Lance, the chief cancer
and prevention control officer
for the center, and Marcia
Gruber, vice-president of
oncology services.
Thanks for joining us.
Why a new cancer center?
Why downtown Phoenix?
>> Very good questions and very
important.
I think it's first of all we
should understand the scope of
the cancer problem.
So over half a million people
die from cancer every year in
this country.
1,500 each day.
And in Arizona alone, over
11,000 people die every year
from cancer.
And beyond that, the number of
new cases of cancer is projected
to double between now and the
year 2050.
So we feel our mission is very
much deserved, the people of --
Is very much to serve the people
of Arizona, and much of what we
do has to do with clinical
research, and so we need to be
where the largest number of
patients is, and obviously
that's here in the valley with
the service area of 4 million
people.
>> What will this new cancer
center offer?
What services?
What treatments?
>> Comprehensive, absolutely.
It's --
We'll have lots of --
Many of the state of the art
diagnostic testing, we'll have
chemotherapy, interventional
radiology, radiation treatments,
we're going to have supportive
care and --
In the form of social work,
financial councilors, physical
therapists.
So we can really treat the whole
patient from diagnostic until
the point at which they are
declared a survivor.
>> How would that differ, I know
there are a variety of ways that
cancer patients can receive
treatment in the valley.
I know there are research
entities as well.
How will this differ?
>> Well, it will certainly be
the treatments will be available
closer to home.
The patients won't have to
travel to Tucson.
It --
It's that --
The word comprehensive.
They will be able to get all the
care they need right in one
place.
And also they will have access
to all the clinical trials.
>> Indeed the word
"comprehensive" is in a title of
a comprehensive --
That's only 41 of these quote
unquote comprehensive centers.
>> The national cancer
institute, the NCi, has 41
designated comprehensive cancer
centers in the country.
And which the University of
Arizona cancer center is one of
the oldest actually.
So we think that's very
important.
And just --
Also I think the sort of style
of the way that we provide the
care to our patients is in
multidisciplinary teams focusing
on a particular site.
So there's a breast team, a
prostate team, and so forth.
So that is the Hallmark of the
way we provide care.
>> More research than treatment,
or vice versa?
What would that ratio be do you
think?
>> Not --
>> potentially everything that
we do, whether it's basic --
Clinical trials, epidemiology,
where comprehensive and research
is involved, and the ideal would
be that every patient that we
treat would be taking part in
some form of trial, that's the
goal.
But in reality 10 to 20% of the
patients that receive that care
through a comprehensive cancer
center are in one form of a
trial or another.
>> Interesting.
There's an affiliation with
St. Joseph hospital.
Talk to us about that
arrangement, that coordination
and how that will build, grow,
change over the years.
>> The affiliation I think is
very fortunate for the area
because it really brings the
strengths of both organizations
together.
And should magnify the both the
compassionate care that
St. Joseph is known for, as well
as bring in the evidence-based
care and the access to clinical
trials.
The growth is going to occur
right now we're building the
programs at St. Joseph in the
medical office building next
door.
We are going to hire eight
physicians this year, all cancer
specialists.
We'll hire 15 the next year.
So when the new building opens
on the Phoenix biomedical campus
at seventh and fillmore, we will
move in there with about 35
cancer specialists.
Ultimately we will get to
somewhere around 70 to 74 cancer
specialists.
>> We're looking at the building
right now.
That's at 7th and fillmore on a
rapidly growing biomedical
campus.
Really taken shape.
>> Yes.
>> As far as the affiliation is
concerned, real quickly, when
this new building is
operational, will there be an
in-patient, outpatient dynamic
between this facility,
St. joe's --
>> The in-patient unit is at
St. joe's, and will stay there.
And there will still --
There will also still be some
ambulatory clinics that remain
on the St. joe's site, but the
majority of the clinics will be
on the downtown site.
>> Will there be other
affiliation as far as
coordination and --
>> yes, I think Dr. Lance can
speak to that.
>> Through the University of
Arizona in Tucson, and the
cancer center, we actually
already have an affiliation with
our colleagues in northern
Arizona, Verde Valley,
cottonwood and Sedona, and
there's an affiliation in the
eastern part of the state which
is on the cusp of being signed.
So we see ourselves as serving
the whole state.
>> As an oncologist, what is the
greatest need right now in
cancer research, in cancer
treatment?
>> Probably access to that care.
>> Interesting.
>> And screening, and prevention
as well.
>> And you mentioned more
numbers and so many more people
being diagnosed.
Is that a case of just folks
getting older, more cancer being
diagnosed --
Better diagnosis?
What's going on there?
>> Combination.
Both an older population, or
population that's aging, and age
is the number one risk factor
for cancer.
And then we also have lifestyle
changes --
Lifestyles that are not in the
best interests of preventing
cancer.
And then access to screening, so
that when people are diagnosed
they're diagnosed earlier so the
treatments can be more
effective.
>> Last question, when now is
this cancer center set to open?
>> In the summer of 2015.
So about two years from now the
building will be opening.
>> Very good.
>> It will be transitioning.
>> we'll keep an eye on you.
Good to have you both mere.
Thank you for joining us.
>>> And Friday on "Arizona
Horizon," it's "The Journalist''
Round Table."
We'll discuss efforts to put
Medicaid expansion on next
year's ballot.
And another Arizona abortion law
is challenged in court.
Those stories and more Friday on
"The Journalists' Round Table."
>>> That is it for now.
I'm Ted Simons.
Thank you so much for joining
us, you have a great evening.
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