However, board members want assurances that public education would benefit from any long-term revenue increases tax reform might achieve.

Huntsman attended a state board study session Thursday to talk about tax reform and the education summit he is planning for Sept. 12.

The governor said the summit will bring together lawmakers and educators, and will stress his primary education objectives for the upcoming legislative session: voluntary all-day kindergarten, reduced class sizes in early grades and attracting and retaining qualified math and science teachers in secondary schools.

Policies regarding Utah's high-stakes high school exit exam will be re-examined at the summit, too, Huntsman said, as will "leveling the playing field" for students with limited English language skills.

The main focus of the governor's Thursday remarks, however, was income tax reform - a touchy topic for educators, because Utah's income tax funds public and higher education.

Huntsman wants a tax cut funded by a $70 million surplus left on the table after the 2005 Legislature - but only as part of a tax reform plan designed to spur economic growth, not as a simple refund.

The governor said he favors a two-track plan that lets taxpayers choose between a slightly modified version of the existing system and a flat tax plan that would subject taxpayers to a single tax rate while eliminating many deductions. He has not endorsed any of several two-track plans under consideration by a legislative tax committee.

Moving toward a flat-tax system will make Utah a more competitive environment for business, increasing future revenue, Huntsman said.

"We either can embrace change, and recognize the need to create a competitive environment, or do nothing and lose jobs," Huntsman said.

Robert Spendlove, Huntsman's economist, said a move toward flattening Utah's income tax could create 25,000 new jobs by 2020 and generate an additional $2.6 billion per year of gross state product, creating increases in state revenue that would easily outbalance initial tax cuts.

State board member Tim Beagley said he worried about the effectiveness of the plan if a major economic downturn occurs. Spendlove said the targeted tax decreases Huntsman favors would decrease the volatility of tax revenue, lessening the impact of economic fluctuations.

Kim Burningham, state board chairman, told Huntsman he believes tax reform is necessary, but wonders if strictures are needed to direct the Legislature's use of the revenue. Burningham then called on the governor to advocate for such assurances. Perhaps a public referendum may be needed to allow voters to decide whether the state should have to guarantee education funding levels.

Huntsman left that door open.

"Who is to say that might not come out of our summit," he answered. "We are in an evolving environment."

cbaker@sltrib.com