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H/T: Grouchy Old Cripple
Why I'm Not Lining Up for Stimulus Handouts
We've been down the spending road, and the result is a state budget in terrible shape
By Milwaukee County Executive Scott Walker
Recently, a firestorm ignited in Wisconsin when I, as Milwaukee County executive, refused to submit a wish list to Gov. Jim Doyle for items in the federal "stimulus" package.
Gov. Doyle -- like other politicians -- had lined up at the federal trough begging for billions in "free money" to cover budget deficits and to fuel new spending. He and others simply couldn't understand and were outraged that I didn't join them, and that I didn't relent even after the president signed the stimulus bill into law.
My explanation is simple. First, this money isn't free. Second, under Gov. Doyle our state has borrowed vast sums of money and avoided making tough budget decisions while expanding government programs. In three biannual budgets since he took office in 2003, new state bonding exceeded new tax revenue collections by $2.1 billion. During good times, the governor had been borrowing money to underwrite expansions of health care, education and environmental programs. If he is bailed out now, the federal stimulus funds will only enable the governor and others to go on spending and even taking on new obligations that will lead to larger deficits down the road. Third, if we grow government rather than private-sector jobs, we will not help the economy. Strong leadership, honest budgeting and tax cuts would do a lot more.
This burst housing bubble that led to the recession was created when millions of people were allowed (or encouraged) to spend borrowed money on homes they couldn't afford and were later forced into foreclosure.
Apparently Washington politicians learned nothing from this process. They rushed to spend $787 billion of borrowed money on new government programs in the name of economic stimulus. But even this loan of taxpayer money -- essentially the largest mortgage in history -- will come due. When it does, our children and grandchildren will pay for this imprudence.
As popular as the federal "stimulus" package is with Washington politicians, it is more popular among state and local politicians who view federal money as a cure for their fiscal woes.
Wisconsin is afflicted with fiscal woes. In every budget he has signed, Gov. Doyle postponed difficult decisions using accounting gimmicks and excessive bonding to pay for ongoing operational costs. The most egregious example is the damage done to the transportation fund over the past six years, which uses state gas taxes and vehicle registration fees to fund road projects. The governor has raided the segregated fund for a total of $1.2 billion to cover ongoing operational costs for government programs. He's partially replaced the raided funds with $865.5 million in bonds.
As a result of borrowing against tomorrow to live for today, the governor left Wisconsin's budget vulnerable. So in the fall of 2008 when recession caused a sharp decline in tax revenue, the state was forced into the red.
Wisconsin now faces an unprecedented $5.75 billion budget deficit, fourth-largest in the nation. Many municipalities also face deficits. My county, however, finished fiscal year 2007 with a $7.9 million surplus and will break even for fiscal year 2008 when the books are closed next month. Why? Because we made tough budget decisions demanded by the taxpayers.
State and local officials who failed to do so are looking to the federal government for a bailout. But what happens when the stimulus money is gone? Is the federal government committed to funding the projects it will now underwrite forever? I'm not willing to bet on it.
The stimulus is a classic bait-and-switch. Once the highways are built and social-service case loads have increased, Wisconsin will be left with the bill to maintain the new roads and services. This will force Wisconsin to raise new taxes. Gov. Doyle and legislative Democrats are already discussing higher taxes on hospitals, retailers, employers and even Internet downloads to feed their spending addiction.
The stimulus is also a bait-and-switch on employment. While the stimulus package might create a few construction jobs, the federal money will run out and those workers will lose their jobs. Even worse, most of the money is actually spent on new government programs and on bailing out failed state and local governments.
For the vast majority of residents of my state, the stimulus funds will not help them pay the mortgage or replenish their depleted retirement savings as they worry about being laid off.
True economic stimulus creates sustainable private-sector jobs. The fastest, most effective way to create them is to reduce taxes and implement regulatory and fiscal policies that encourage job growth and economic investment. History has shown repeatedly from John F. Kennedy to Ronald Reagan that as taxes are cut, consumers spend more and investors put more money in the economy. This, in turn, creates jobs, and grows the economy.
Too many politicians confuse more government spending with economic recovery. I believe that's the wrong approach, and I will not submit a wish list for new government spending. Excessive spending will only lead to higher taxes, and that will drive jobs away when we need them the most.
We need to use these challenging times as an opportunity to streamline government and reduce the tax burden on working families. In 2002, during my first campaign for county executive, I promised to spend taxpayer money as if it were my own. If government -- at all levels -- were to do just that, we could reduce taxes and stimulate the economy. That would put people back to work again. And that is something on my wish list.
But I didn't think that either Jindal's substance or his style was right on Tuesday night, and I make no apologies for considering style important.
WASHINGTON — A $410 billion spending bill unveiled in Congress on Monday includes at least $3.8 billion worth of funding for the kinds of lawmakers' pet projects that President Obama has pledged to trim from future budgets.
The bill is meant to end a budget impasse left over from last year, after President
Bush threatened to veto the Democratic-controlled Congress' plan because of its cost. It would fund most federal agencies through the end of the current fiscal year, which ends Sept. 30. Those agencies are operating under a congressional extension of last year's budgets that expires next week. Congress approved full-year budgets last fall for only three departments: Defense, Homeland Security and Veterans Affairs.
Republicans from many state parties held their first national organizational meeting in Pittsburgh on February 22, 1856. Presiding over this preliminary session was former U.S. Senator Lawrence Brainerd (VT), a resolute anti-slavery activist.
The next day, delegates chose the first Republican National Committee. New York's Republican state Chairman, Edwin Morgan, was then elected the first Chairman of the RNC. He had the immense responsibility of organizing the first Republican National Convention, to be held just four months later in Philadelphia. Morgan would later be elected Governor of New York and U.S. Senator.
So, today is the 153rd anniversary of the RNC. We honor the patriots, the heroes, the visionaries who gave us our Grand Old Party.
From: Grand Old PartisanThis is not about protesting or marching on Washington, it is simply about saying a prayer each day starting this Wednesday and for the next 40 days after that.
The gift of life is so precious and there still so many willing to discard it and throw it away.
Thank you for contacting me about H.R. 1, the American Recovery and Reinvestment Act. I appreciate hearing from you.
The American Recovery and Reinvestment Act was passed by the United States House of Representatives on February 13, 2009, by a vote of 246-183, and passed by the Senate the same day by a vote of 60-38. It was signed into law by the President on February 17, 2009.
I supported the economic recovery package because with unemployment continuing to rise, including the highest levels Wisconsin has seen in twenty years, we need to act quickly and responsibly to create jobs and get our economy moving. Though not perfect, the economic recovery package does take important steps to create or save millions of jobs while addressing our country's energy and infrastructure challenges. It includes funding for highway and bridge construction, individual and business tax breaks, Medicaid, education and many other priorities
For more information on the economic recovery package you can visit www.recovery.gov. I will also have more information about how the recovery affects Wisconsin on my website, www.feingold.senate.gov/recovery.
Again, thank you for contacting me. Please feel free to do so on this or any other issue.
Tax Increase | FY 2010 | FY 2011 |
Adopt Combined Reporting | $75,600,000 | $111,700,000 |
Adopt Main Street Equity Act | 30,300,000 | 31,000,000 |
Extend Sales Tax to Digital Personal Property | 4,200,000 | 6,700,000 |
Cigarette Tax Increase | 127,400,000 | 130,300,000 |
Tobacco Products Tax Increase | 15,200,000 | 18,000,000 |
Very High Earner Income Tax Bracket | 175,563,000 | 136,194,000 |
Reduce Capital Gains Exclusion to 40% | 85,100,000 | 95,500,000 |
Nonresident Pass-Through Withholding | 38,500,000 | 0 |
Decouple from Federal Qualified Production Activities Deduction | 38,200,000 | 33,500,000 |
Affiliated Entities Sales Tax Treatment | 19,800,000 | 21,000,000 |
Fully Recognize Throwback Sales | 57,700,000 | 37,500,000 |
Air Carrier Definition | 4,000,000 | 4,000,000 |
Economic Nexus Standard for Internet Businesses | 1,500,000 | 1,500,000 |
Internal Revenue Code Updates | -40,560,000 | -5,490,000 |
Angel and Early Stage Seed Investment Credits Revisions | 0 | -7,000,000 |
Increased Research and Development Investment Credit | 0 | -5,000,000 |
Sunset Film Production Services Tax Credit | 5,000,000 | 5,000,000 |
Delay Credit for Medical Records Technology Investments | 4,500,000 | 10,000,000 |
Next Generation Farmer Tax Credit (effective 2011) | 0 | 0 |
Dairy Cooperative Tax Credit | -600,000 | -700,000 |
Meat Processing Facility Tax Credit | -300,000 | -700,000 |
GPR Total Tax Changes | $641,103,000 | $623,004,000 |
Hospital Assessment | $310,021,000 | $339,695,800 |
Oil Company Profits Tax | 100,324,900 | 171,490,300 |
SEG Total Tax Changes | $410,345,900 | $511,186,100 |
NET TOTAL ALL FUNDS | $1,051,448,900 | $1,134,190,100 |
Total 2010-11 | $2,185,639,000 |
The tax increases include: $540 million paid from oil company profits; $318 million by creating a new 7.75% tax rate for the richest 1% of taxpayers; $290 million in higher taxes on cigarette smokers; $215 million in higher corporate income taxes; and more than $85 million paid on capital gains.
The bill would:
• Tax parent companies and their subsidies as one entity. The rewrite of the corporate income tax code would cost businesses $215.7 million over three years.
• Tax hospital revenue to bring in more than $900 million in federal dollars, some of which will be used to pay for state health programs.
• Cut state spending by $125 million.
• Change tax laws to require online retailers to charge sales taxes for tangible products as well as Internet downloads of songs, video games and e-books.
• Authorize $300 million of federal stimulus funding for shovel-ready transportation
projects.
• Provide $3.6 million for worker training programs.
• Increase regulations to protect homeowners and tenants during foreclosure proceedings.
Recently, Governors Schwarzenegger, Crist, Douglas and Rell joined 14 Democratic governors in signing a letter to Mr. Obama lauding his economic plan.
I am with you, Governor Palin...
Obama should veto this piece of garbage
Oh, sorry...forgot to link to the original H/T Conservatives for Palin
Washington - The unfolding presidency of Barack Obama isn't the only big political drama in the nation's capital these days.
Another is the Republican Party's efforts to right itself after two woeful elections.
Among the more unlikely figures at the center of that process is a 36-year-old lawyer who flies to Washington from Wisconsin once a week to help manage the party's makeover.
Reince Priebus, the boosterish, workaholic chairman of the Wisconsin GOP, admits that even he is a little surprised by his new national role.
"It's a bit crazy," said Priebus last week in the midst of an economic stimulus debate that might go a long way toward defining the post-Bush GOP.
"I have a lot on my plate right now," he said.
Priebus joined the Republican National Committee in 2007. But last fall, he was among the first in the RNC to endorse former Maryland Lt. Gov. Michael Steele in a wide-open leadership race.
After Steele staged an upset last month to become the GOP's first African-African chairman, he asked Priebus to lead his ambitious transition effort within the party.
"I am going in an entirely different direction . . . new faces, new voices, new people," Steele said last week at RNC headquarters near the U.S. Capitol.
"This is the first time in a long time that the party can truly rebuild and reorganize itself in a way that the party leaders and the grass-roots members want it to be done," Priebus said in a separate interview, calling the party's lack of executive and legislative power in Madison and Washington both devastating and invigorating for Republicans.
"There is no president or governor telling the parties how they think things should be run," said Priebus, a native of Pleasant Prairie who climbed the party ranks in Wisconsin from local activist to congressional district chairman, state party treasurer, vice chairman and finally state chairman two years ago. He lost a bid for the state Senate in 2004.
'Instantaneous click'
The two did not know each other well when Priebus endorsed Steele for RNC chairman last fall. But there was "an instantaneous click," said Steele, who said he saw Priebus as someone who shared an interest in modernizing the party and shared the experience of promoting Republicans in a state where Democrats had the upper hand.
Priebus ended up managing Steele's underdog campaign for the chairmanship.
"It was hand-to-hand combat," Priebus said.
Six candidates were competing for the votes of 168 RNC members, a group that includes the party chairmen from every state. Priebus called it the "most fascinating political experience of my life." He and Steele spent a long weekend on a six-state fly-around, courting the votes of two or three committee members at a time on a circuit that included Topeka, Kan.; Bismarck, N.D.; and Omaha, Neb.
As did Obama, Steele won his campaign as the change candidate. He was seen by supporters as a skilled communicator who could freshen the image of a party increasingly defined by its Southern white male base.
"So many times, we've talked about minority outreach, outreach in the Northeast, the Midwest," Priebus said. "But we just talk about it. At some point, we have to have a person in a leadership post that can do it."
When Steele won, he singled out Priebus for his role in the contest. That relationship "will only bode well for Wisconsin," said Steve King, a former state chairman and current RNC member, referring to resources the national party can steer toward targeted states.
"We need all the help we can get in order to win an election here," said Mary Buestrin, who has served on the RNC from Wisconsin since the 1990s.
Courting the Midwest
"People understand the party is not a viable party with the current hole in the Midwest we have. Reince and others understand that," said Bob Wood, a party insider and D.C. lobbyist who served as a top aide to former Governor and Health Secretary Tommy Thompson.
The state and region were disaster areas for the GOP last year. More counties flipped from Republican to Democratic in Wisconsin, Minnesota, Michigan, Iowa and Illinois than in any other states. When a reporter called Priebus at the GOP's election-night party one minute after the polls closed to tell him Wisconsin had been called for Obama, he pleaded, "Can you at least let me have one beer?"
Steele said last week that the region is huge for the party's future.
"He knows we were a sliver away from turning the state red in '04 and in 2000," said Priebus, who traces his politics back to his passionately pro-American Greek Grandfather.
"Ronald Reagan, he was the man. He was looked up to and revered by all my relatives in Greece," said Priebus, who said his father, a union electrician, was a fan of Reagan as well.
Activists in the party describe Priebus as tireless and relentlessly upbeat, qualities some say are especially handy in down cycles.
"Reince is a driven man. I'm not sure by what, but he's driven. He's not a type A. He's not a double-A or even triple-A. He's a quadruple-A," King said. "Reince also has that youthful optimistic outlook on things. He inoculates everybody with it."
Looking to expand
Priebus took over the state party between two losing election cycles, but King said he would be re-elected with no trouble this year because activists think he's doing a good job and believe the party's problems in '08 were more national than local.
"It's tough to swim against the tide when your own party is messing up nationally," said Wisconsin congressman Paul Ryan, a good friend of Priebus'.
"He is a younger conservative who believes in expanding the base and making it more inclusive," said Ryan, a Janesville Republican.
Like Steele, Priebus says "we need to build bridges without compromising our principles."
They say the GOP needs to catch up to Democrats technologically and energize disillusioned conservatives while competing for young and minority voters and expanding a shrinking geographic base.
What that means in practice is not yet clear. Priebus says Republicans have to be a party of ideas, not just opposition. But any big rebound in 2010 will depend on Democratic failures. Pointing to the budget shortfall in Wisconsin, Priebus said Democratic Gov. Jim Doyle is "much more vulnerable than people realize."
"We're going to retake the state Senate" and "it's not going to take much" to flip the state Assembly, he said.
Nationally, the post-Bush Republican Party already has gone a long way toward defining itself with its almost unanimous opposition to the nearly $800 billion stimulus package. Critics say the GOP now has branded itself as the "no" party. Republicans say they are re-establishing themselves as the party of limited government and fiscal restraint after squandering that mantle during the Bush years.
"The elected officials have put us in a situation where we are having to rebuild our party and our credibility at the same time," said Priebus, referring to the GOP's years in power. "And if we can't admit that, we'd be pretty clueless."
The administration seemed to be laying the groundwork for a double-edged strategy in advance of the president’s trip, talking up the stimulative effects of the new bill while hedging on any promises of immediately noticeable relief.
Changes to tax laws that would result in more online retailers charging sales taxes - for both tangible products and Internet downloads of songs, video games and e-books.
A tax on hospital revenues, expected to bring an additional $900 million in federal funds over three years.
$125 million in cuts to state spending.
$3.6 million for worker training programs.
Increased oversight of child care programs, the administration of which was called into question in the recent Journal Sentinel investigation "Cashing in on Kids."
Increased regulations to protect homeowners and tenants during foreclosure
proceedings.
KEY POINTS:
· Tax relief to help middle class families and small businesses was sharply pared back in order to increase government spending. Public opinion over the last 4 weeks has shown that Americans overwhelming believe tax cuts, and not government spending, are a better way to stimulate the economy.
·
Approximately $75 billion in true tax relief was CUT from the Nelson-Collins package. So, while the overall size of the package may have gotten slightly smaller, the spending actually increased.
The likely targets are reducing Obama's "Make Work Pay" tax cut, from $500 a year for most individuals and $1,000 a year for most families, down to $400 and $800 respectively. Other reductions are likely in a $15,000 tax credit for all home purchases in the next year as well as a tax credit for the purchase of new cars, both of which were added to the Senate bill after little debate.
Once lawmakers solve the shortfall through cuts and tax and fee increases, they will have to begin the even tougher process of addressing a deficit of more than $5 billion that runs from mid-2009 though mid-2011. Doyle will unveil his plan for doing that Tuesday.
The American people do not care about reckless spending
see above video
At least according to Schumer.
From Michelle Malkin:
The “American people really don’t care” about all those “little tiny, yes,
porky amendments” that the “chattering classes” have exposed.
Just last night-Was Obama was lying to the American people stating there was no pork? Today, Schumer is admitting there is pork.
Really- do you care?
If so, tell them!
The porkulus bill passed the Senate a little while ago. America just doubled its debt with no end in sight for job losses and socialism
The mortgage support would be a major policy shift from the Bush
administration, which relied on voluntary, industry-led measures and did not want to commit taxpayer dollars to foreclosure prevention. The administration was still reviewing various proposals on exactly how the new anti-foreclosure efforts would be implemented.
But the biggest job the task force has created so far is a $248,000
consulting gig for a previously unemployed political type.
Under a no-bid contract, Gerard Randall is pulling down $12,000 a month
from the county tax levy to offer advice to the task force headed by Supervisor
Elizabeth Coggs.
Support for the economic recovery plan working its way through Congress has
fallen again this week. For the first time, a plurality of voters nationwide oppose the $800-billion-plus plan.
The Senate is expected to vote as early as TODAY on S.1, its version of the so-called “economic stimulus” package. I urge you in the strongest terms possible, before you do anything else today, send a powerful message to your U.S. Senators to oppose this bloated, ill-conceived plan!
We are right now locked in a pitched battle with the big-spending, liberal proponents of this massive government giveaway scheme. While CCAGW’s members and supporters like you have sent more than 40,000 e-mails to the Senate, groups like MoveOn.org are countering our efforts by flooding Senate offices with their own messages in support of the “stimulus.” We must not only match them e-mail for e-mail, but overwhelm the Senate with our call to vote against the borrow-and-spend American Recovery and Reinvestment Act of 2009.
I’m told that the Squishy Four are (no surprises
here):
Collins (202) 224-2523
Snowe (202) 224-5344
Voinovich (202) 224-3353
Specter (202) 224-4254
It also requires the governor to appoint, with the advice and consent of the senate, justices of the supreme court for ten−year terms. At the conclusion of their terms, the terms of justices would be automatically renewed unless they are rejected in a reaffirmation vote by a vote of at least 13 of the members of the senate.
If the senate does not reaffirm, the governor would be required to appoint a new justice. Previously elected justices whose terms expire two or more years after ratification will serve out the terms for which they were elected and may be reaffirmed for additional terms by the senate. Previously elected justices whose terms expire less than two years after ratification may stand for reelection in the final year of their terms.
The governor continues to express concerns first identified in a Jan. 7 letter
to the Alaska congressional delegation about the overall level of spending and
the hugely increased deficit our nation is growing. Under the legislation, the
U.S. would continue sending money to OPEC nations even as it continues to borrow
and miss opportunities to develop domestic supplies of energy.
DOWN -- Gov. Sarah: How ya gonna keep her down in Juneau after she's seen D.C.?
SarahPAC, Alfalfa Club dinner and rumors she'll appear with Springsteen at the
Super Bowl. The lady was Born to Run.DOWN -- Gov. Sarah: There's a little grumblin' that the Belle ain't really mindin' the store. And just what is it about the Alfalfa Club dinner that's good for Alaska?
“There were days when she walked around the building with (her daughter) Piper
handing out bagels. I think those days are gone,” he added with a touch of
wistfulness.
Rep. David Guttenberg, D-Fairbanks