WSJ: BOUNTIFUL HARVEST: Farm Lobby Beats Back Assault On Subsidies
I really have concerns for our farmers that while the special interest groups may have won this battle today the resulting backlash could be a war that goes badly in the future.
The intent of the farm bill should be to provide a basic safety net while addressing the regulations and policies that inhibit competitive, free, and fair trade.
The bill has wandered all over the place picking up new areas of bad policy and economics that could come back in the future to hurt our agricultural community. I think everyone needs to look at any special interest group (even if you have agreed with it in the past) to ensure it still is a proponent of your values.
I know I continue to be shocked and disappointed with conservative groups here in Minnesota at times that espouse my beliefs. Even good groups are capable of poor leadership and bad ideas.
Food for thought........subsidy free!!
Monday, March 31, 2008
Entitlement Mentality Is Wrecking Economy
FROM WELFARE TO food stamps to Medicare, Medicaid and Social Security, our country now marshals a massive network of trillion-dollar entitlement programs colloquially known as the "social safety net." Many Americans, including a few of those running for president, see these bureaucracies as defining achievements of a nation where "nobody is left behind."
Forget the fact that the entitlements, many of which began with the goal of providing "basic minimum benefits" have grown into a gargantuan burden costing over $1.5 trillion a year and careening toward total collapse. For example, payouts will begin to exceed the revenues into Social Security in just nine years and current estimates have the entire system going belly up in 2041.
The fundamental problem with the social safety net, however, isn't bankrupt economics but bad philosophy.
A government can only provide a safety net insofar as the wealth that net consists of — food, clothing, shelter, medical services — has been created by productive individuals. The freebies government is so eager to expropriate don't grow from the ground, but must be produced by entrepreneurial individuals who create corporations, raise cattle, invest in financial markets, run restaurants, develop pharmaceuticals, and so on. From the creation of kidney dialysis to the transportation of affordable food, it's the reasoning mind that produces the wealth that makes our lives secure, not a bloated government bureaucracy.
As I've written before, it is America's historical commitment to capitalism and individual rights that has differentiated our prosperous economy from the socialist basket cases of North Korea, China and communist Cuba. When economic freedom is protected, societies see vast increases in productivity that result in higher-quality, lower-cost products.
One only need look at the least-regulated sectors of our economy — electronics, computers and food, all of which have declined in price — to see that phenomenon occur. Yesterday's luxuries, like huge flat-panel TVs from Best Buy (BBY: 41.54, +0.98, +2.41%), become affordable mass-market items in just a few years.
This is true even in health care, which proponents of the entitlement safety net argue is uniquely vital enough to require governmental interference. Procedures like laser eye surgery that are not part of the government safety net have dropped in price and improved in quality in a short period of time. This is precisely what would happen if our entitlements were eliminated: Less-wealthy individuals would not go without care, but would become the eager focus of entrepreneurial businessmen competing to offer them cheap, quality health care...or education...or anything else.
In reality, skyrocketing health-care costs are a government-created phenomenon, where someone besides the patient (usually the government) pays the bills and insurance is assumed to be infinite. So there's no need for the producers of advanced medical devices to cut costs because such treatments quickly become a "right" under government-regulated health plans. If an innovative chemotherapy or AIDS treatment immediately has a huge, state-provided market, why focus on cutting costs? You'll note that the producers of notebook computers or hamburgers have no such disincentive.
Most disturbing is the reality that the "security" promised by the safety net is anything but secure. Unlike a mutual fund or checking account, there's no actual investment or savings when it comes to Social Security. It is, at its core, a Ponzi scheme in which the government loots your money today for the benefit of retirees and promises to do the same to future generations on your behalf.
So there is no real account with your name on it. In fact, the Supreme Court has ruled that the government does not owe us Social Security benefits by law, meaning that Congress is perfectly able to modify or cut benefits, which it has already done well over a dozen times since the program began.
At the heart of the social safety net is the moral belief that the government is responsible for our lives, and that, as Barack Obama has often said, "We are our brothers' keeper." Under this altruist sensibility, we are duty-bound to serve the needs of others, meaning that anyone needy has an inherent claim on anyone better off. The wealthy aren't merely able to deal charitably with those in need, but are legally obligated to sacrifice their earnings for the benefit of those they might not voluntarily wish to support.
As entitlements grow, so does regulatory authority. As I wrote a few weeks back, the Federal Reserve is now getting explicitly in the business of being the de facto risk manager of the nation's largest banks. Treasury Secretary Henry Paulson's new mandate to overhaul oversight of U.S. financial markets moves us more toward a controlled society where individual choice is subordinate to "the public good," whatever the ruling class believes that to be at the time.
Moral bankruptcy eventually leads to financial collapse as well, and the evidence is growing more obvious with each passing day. As noted in Barron's over the weekend, the future obligations of Medicare are now so staggering that liquidating all the residential real estate in the country — a sum of almost $12 trillion dollars — wouldn't even cover the costs. The Social Security tax rate, which began at 2% in 1935, has been raised consistently since, with the system's trustees suggesting the payroll tax will need to be increased to 16% by 2041 in order to maintain benefits — higher if life expectancy rates continue to climb. The same suffocating scenario will inevitably play out for insurance, health care, housing or any other government-controlled efforts to redistribute wealth from those who've earned it to those who haven't.
It's more than evident that a government "safety net" is anything but safe. Instead of the altruist philosophy that only the needy matter, our country desperately needs to return to the notion of rugged individualism under which we are each responsible for and capable of achieving our own security without the immoral coercion of publicity-seeking politicians. Any alternative leads to dependency, stagnation and economic despair.
Jonathan Hoenig is managing member at Capitalistpig Hedge Fund LLC.
Published: March 31, 2008
Forget the fact that the entitlements, many of which began with the goal of providing "basic minimum benefits" have grown into a gargantuan burden costing over $1.5 trillion a year and careening toward total collapse. For example, payouts will begin to exceed the revenues into Social Security in just nine years and current estimates have the entire system going belly up in 2041.
The fundamental problem with the social safety net, however, isn't bankrupt economics but bad philosophy.
A government can only provide a safety net insofar as the wealth that net consists of — food, clothing, shelter, medical services — has been created by productive individuals. The freebies government is so eager to expropriate don't grow from the ground, but must be produced by entrepreneurial individuals who create corporations, raise cattle, invest in financial markets, run restaurants, develop pharmaceuticals, and so on. From the creation of kidney dialysis to the transportation of affordable food, it's the reasoning mind that produces the wealth that makes our lives secure, not a bloated government bureaucracy.
As I've written before, it is America's historical commitment to capitalism and individual rights that has differentiated our prosperous economy from the socialist basket cases of North Korea, China and communist Cuba. When economic freedom is protected, societies see vast increases in productivity that result in higher-quality, lower-cost products.
One only need look at the least-regulated sectors of our economy — electronics, computers and food, all of which have declined in price — to see that phenomenon occur. Yesterday's luxuries, like huge flat-panel TVs from Best Buy (BBY: 41.54, +0.98, +2.41%), become affordable mass-market items in just a few years.
This is true even in health care, which proponents of the entitlement safety net argue is uniquely vital enough to require governmental interference. Procedures like laser eye surgery that are not part of the government safety net have dropped in price and improved in quality in a short period of time. This is precisely what would happen if our entitlements were eliminated: Less-wealthy individuals would not go without care, but would become the eager focus of entrepreneurial businessmen competing to offer them cheap, quality health care...or education...or anything else.
In reality, skyrocketing health-care costs are a government-created phenomenon, where someone besides the patient (usually the government) pays the bills and insurance is assumed to be infinite. So there's no need for the producers of advanced medical devices to cut costs because such treatments quickly become a "right" under government-regulated health plans. If an innovative chemotherapy or AIDS treatment immediately has a huge, state-provided market, why focus on cutting costs? You'll note that the producers of notebook computers or hamburgers have no such disincentive.
Most disturbing is the reality that the "security" promised by the safety net is anything but secure. Unlike a mutual fund or checking account, there's no actual investment or savings when it comes to Social Security. It is, at its core, a Ponzi scheme in which the government loots your money today for the benefit of retirees and promises to do the same to future generations on your behalf.
So there is no real account with your name on it. In fact, the Supreme Court has ruled that the government does not owe us Social Security benefits by law, meaning that Congress is perfectly able to modify or cut benefits, which it has already done well over a dozen times since the program began.
At the heart of the social safety net is the moral belief that the government is responsible for our lives, and that, as Barack Obama has often said, "We are our brothers' keeper." Under this altruist sensibility, we are duty-bound to serve the needs of others, meaning that anyone needy has an inherent claim on anyone better off. The wealthy aren't merely able to deal charitably with those in need, but are legally obligated to sacrifice their earnings for the benefit of those they might not voluntarily wish to support.
As entitlements grow, so does regulatory authority. As I wrote a few weeks back, the Federal Reserve is now getting explicitly in the business of being the de facto risk manager of the nation's largest banks. Treasury Secretary Henry Paulson's new mandate to overhaul oversight of U.S. financial markets moves us more toward a controlled society where individual choice is subordinate to "the public good," whatever the ruling class believes that to be at the time.
Moral bankruptcy eventually leads to financial collapse as well, and the evidence is growing more obvious with each passing day. As noted in Barron's over the weekend, the future obligations of Medicare are now so staggering that liquidating all the residential real estate in the country — a sum of almost $12 trillion dollars — wouldn't even cover the costs. The Social Security tax rate, which began at 2% in 1935, has been raised consistently since, with the system's trustees suggesting the payroll tax will need to be increased to 16% by 2041 in order to maintain benefits — higher if life expectancy rates continue to climb. The same suffocating scenario will inevitably play out for insurance, health care, housing or any other government-controlled efforts to redistribute wealth from those who've earned it to those who haven't.
It's more than evident that a government "safety net" is anything but safe. Instead of the altruist philosophy that only the needy matter, our country desperately needs to return to the notion of rugged individualism under which we are each responsible for and capable of achieving our own security without the immoral coercion of publicity-seeking politicians. Any alternative leads to dependency, stagnation and economic despair.
Jonathan Hoenig is managing member at Capitalistpig Hedge Fund LLC.
Published: March 31, 2008
Minnesota Senate File 3099: Health Care Reform Bill
Click: S.F. File 3099 Health Care Reform Bill
I thought I would just attach the link to the bill for everyone to read if they have time. I have read portions but not all of it. Thanks to Senator Ingebrigtsen's Office for getting me the latest version. This bill is in it's 8th engrossment which is close to a record.
I thought I would just attach the link to the bill for everyone to read if they have time. I have read portions but not all of it. Thanks to Senator Ingebrigtsen's Office for getting me the latest version. This bill is in it's 8th engrossment which is close to a record.
Definition of a Small City
Many have written asking what is the definition I use in determining what is a small city and what is not. I thought I would give a fun and unique visual definition right here.
If you have to publish this in your city you officially qualify as a small city. I will be adding other's soon and if you have some you would like to share send them along.
Still Minnesota's almost..most Influential Blog!!
Minnesota's Most Influential Political blogs
13 America's Small City Mayor - Lucky #13 (Thanks again!!)
BlogNetNews' Blogosphere Influence Rating combines a variety of data sets to determine which blogs are most powerfully influencing the direction of the Minnesota political blogosphere. The exact method BNN uses to calculate influence scores must remain proprietary in order to prevent attempts to game the system. BNN's methodology takes into account the fact that all Internet data is profoundly limited in its reliability by using multiple data sets that, when combined, reveal a fair picture of activity in the blogosphere.
13 America's Small City Mayor - Lucky #13 (Thanks again!!)
BlogNetNews' Blogosphere Influence Rating combines a variety of data sets to determine which blogs are most powerfully influencing the direction of the Minnesota political blogosphere. The exact method BNN uses to calculate influence scores must remain proprietary in order to prevent attempts to game the system. BNN's methodology takes into account the fact that all Internet data is profoundly limited in its reliability by using multiple data sets that, when combined, reveal a fair picture of activity in the blogosphere.
Friday, March 28, 2008
Hell Freezes Over: Pogemiller & Pawlenty oppose the same Confusing Health Care Bill
I will do more research on this and report what I find. The bill has changed so much I do not know if I support or oppose it. In fact, the reason Pogemiller & Pawlenty oppose the same bill I imagine is for completely different reasons. I think the Governor and Legislature need to inform the public on major policy items like health care before voting them into law.
Click here for the vote breakdown
State health care bill passes key hurdle
A measure that would radically alter the health scene got the state Senate's preliminary OK but faces a rough road.
By PATRICIA LOPEZ, Star Tribune
Last update: March 27, 2008 - 9:27 PM
A bill that would make major changes in health care gained preliminary approval in the state Senate on a 41-22 vote Thursday, but a deep divide became evident among Senate DFLers that could make for rough negotiations ahead.
In a tense debate that dragged on through the evening, some of the staunchest DFL supporters of health care found themselves opposing the bill, warning of unintended consequences, while some Republicans defended the changes.
"This could be the No Child Left Behind of health care," said Sen. John Marty, DFL-Roseville. "Some things are out of whack in this bill."
The measure, sponsored by Sen. Linda Berglin, DFL-Minneapolis, would vastly change the health scene in Minnesota. Providers would make their fees public. Standard benefit sets would allow consumers to compare care and prices. The state would monitor children's obesity levels, and chronic diseases could be managed through nurse phone calls as well as doctor visits.
Projected long-range cost savings would extend health coverage to 47,000 Minnesotans and allow small-business employees to buy policies with tax-free dollars.
The intent of the reforms, Berglin said, was to take the emphasis off the "10-minute office visit" and put it on effective care management, which could take multiple forms.
An amendment by Marty to remove a controversial payment mechanism failed on a 32-33 vote, with DFLers and Republicans alike saying the bill was confusing and ill-formed, with promises -- but no clear path -- to its projected savings.
'Minnesota health care at risk'
"This is all very confusing," said Sen. Sharon Erickson Ropes, DFL-Winona, who is a registered nurse. "If a lot of us are real honest, we would admit there are huge sections of this bill we don't understand." The bill, she said, risked "committing Minnesotans to a path that's untested, unmeasured ... that puts Minnesota health care at risk." While she praised some elements of the bill, she said, "it's too large and unwieldy to pass."
Earlier in the day, Gov. Tim Pawlenty said the bill expanded care with no guarantee of savings. "They know that the bill they have is unacceptable to me," he said. "I think it's fixable, but we'll see. We'll know more in the next few days."
Sen. Julie Rosen, R-Fairmont, defended the bill against DFL and GOP attacks. The proposals, she said, were the product of months of work by players in health care at all levels. "Reform is tough," she said. "We're going to have to be brave on this. It's going to hurt."
Sen. David Hann, R-Eden Prairie, criticized much of the bill, especially the monitoring of children's obesity levels. "This kind of active intrusion in people's lives goes way beyond what's necessary," he said.
A final Senate vote on the bill is likely next week. A House bill has yet to be voted on.
Click here for the vote breakdown
State health care bill passes key hurdle
A measure that would radically alter the health scene got the state Senate's preliminary OK but faces a rough road.
By PATRICIA LOPEZ, Star Tribune
Last update: March 27, 2008 - 9:27 PM
A bill that would make major changes in health care gained preliminary approval in the state Senate on a 41-22 vote Thursday, but a deep divide became evident among Senate DFLers that could make for rough negotiations ahead.
In a tense debate that dragged on through the evening, some of the staunchest DFL supporters of health care found themselves opposing the bill, warning of unintended consequences, while some Republicans defended the changes.
"This could be the No Child Left Behind of health care," said Sen. John Marty, DFL-Roseville. "Some things are out of whack in this bill."
The measure, sponsored by Sen. Linda Berglin, DFL-Minneapolis, would vastly change the health scene in Minnesota. Providers would make their fees public. Standard benefit sets would allow consumers to compare care and prices. The state would monitor children's obesity levels, and chronic diseases could be managed through nurse phone calls as well as doctor visits.
Projected long-range cost savings would extend health coverage to 47,000 Minnesotans and allow small-business employees to buy policies with tax-free dollars.
The intent of the reforms, Berglin said, was to take the emphasis off the "10-minute office visit" and put it on effective care management, which could take multiple forms.
An amendment by Marty to remove a controversial payment mechanism failed on a 32-33 vote, with DFLers and Republicans alike saying the bill was confusing and ill-formed, with promises -- but no clear path -- to its projected savings.
'Minnesota health care at risk'
"This is all very confusing," said Sen. Sharon Erickson Ropes, DFL-Winona, who is a registered nurse. "If a lot of us are real honest, we would admit there are huge sections of this bill we don't understand." The bill, she said, risked "committing Minnesotans to a path that's untested, unmeasured ... that puts Minnesota health care at risk." While she praised some elements of the bill, she said, "it's too large and unwieldy to pass."
Earlier in the day, Gov. Tim Pawlenty said the bill expanded care with no guarantee of savings. "They know that the bill they have is unacceptable to me," he said. "I think it's fixable, but we'll see. We'll know more in the next few days."
Sen. Julie Rosen, R-Fairmont, defended the bill against DFL and GOP attacks. The proposals, she said, were the product of months of work by players in health care at all levels. "Reform is tough," she said. "We're going to have to be brave on this. It's going to hurt."
Sen. David Hann, R-Eden Prairie, criticized much of the bill, especially the monitoring of children's obesity levels. "This kind of active intrusion in people's lives goes way beyond what's necessary," he said.
A final Senate vote on the bill is likely next week. A House bill has yet to be voted on.
Mary Ellen Otremba: The 2nd Amendment Vote
I have had a number of people forward me the St. Cloud Times article that Mary Ellen Otremba voted against an amendment supporting of our right to bear arms. I have always believed in giving credit when credit is due and the article is incorrect.
To be clear the vote was on a motion to table the amendment bill by DFLer Tony Sertich. In other words the DFL wanted to not vote on the amendment because they feared it would pass. The motion did pass and the bill did not make it to the floor.
Mary Ellen did not vote to table the bill and did support the amendment. Mary Ellen did make the correct vote in my opinion, and I would have voted the same way.
In addition, a few days ago I did contact the reporter at the St. Cloud Times. He said once he verified I was correct he would run a retraction and correct the record online.
To be clear the vote was on a motion to table the amendment bill by DFLer Tony Sertich. In other words the DFL wanted to not vote on the amendment because they feared it would pass. The motion did pass and the bill did not make it to the floor.
Mary Ellen did not vote to table the bill and did support the amendment. Mary Ellen did make the correct vote in my opinion, and I would have voted the same way.
In addition, a few days ago I did contact the reporter at the St. Cloud Times. He said once he verified I was correct he would run a retraction and correct the record online.
Thursday, March 27, 2008
JOBZ Update: An importnat issue for Rural Minnesota!!
My past posts and editorials explain my position on JOBZ. It should be reformed and not discontinued because of the restructuring in the manufacturing sector of our economy. We need to keep the promises made to current participants at a minimum.
Panel backs bill slashing tax breaks under JOBZ
Gov. Tim Pawlenty hasn't answered criticism that his pet job program is too costly and misdirects benefits, the Senate Taxes Committee chairman said.
By PAT DOYLE, Star Tribune
Last update: March 27, 2008 - 8:53 PM
Gov. Tim Pawlenty's leading job-creation program, criticized for giving tax breaks to companies that don't need them, would be curtailed under a tax bill passed Thursday by a Senate committee.
The bill says that, after May 1, firms could not apply for new tax exemptions under the Job Opportunity Building Zones (JOBZ) program. The 350 firms now receiving the breaks would continue to do so through 2015, when the program is set to expire.
Pawlenty had proposed allowing additional firms to join the program and continuing their benefits after 2015.
Sen. Tom Bakk, DFL-Cook, chairman of the Senate Taxes Committee, said the program should be curtailed because the Pawlenty administration has not adequately responded to criticism of it from Legislative Auditor Jim Nobles.
Nobles said in a recent report that JOBZ gives tax breaks where they aren't needed to create jobs while overstating its accomplishments and understating its costs. He recommended better oversight and capping the program's size.
But efforts to curb the JOBZ program are likely to face opposition when the tax bill comes before the full Senate.
Senate Minority Leader David Senjem, R-Rochester, called JOBZ "vitally important" and something "we need to hang onto."
He received assurances from Bakk that the Senate would consider a bill by Sen. Julie Rosen, R-Fairmont, that would continue the program with corrections of problems cited by Nobles.
The program began in 2004, and the 350 firms have received more than $50 million in tax exemptions of all types.
"I'm not sure how we fix it," Bakk said of JOBZ. "The auditor's report showed a lot of deficiencies. I would have thought the administration would have taken the auditor's report more seriously."
Also in the tax bill
The tax bill passed by the committee Thursday also rejects Pawlenty's recommendation to cut the state sales tax by one-eighth of 1 percent and instead pushes for an additional $116 million in state aid for cities, counties and townships in 2009. Bakk said that approach would effectively relieve pressure on cities and counties to raise property taxes.
The bill also includes a provision that would use property tax dollars from the Mall of America's Bloomington site to pay for roads, sewers and parking needed for a large expansion.
It could earmark $186 million in tax money to help finance the improvements associated with the mall expansion. A similar proposal failed last year.
Panel backs bill slashing tax breaks under JOBZ
Gov. Tim Pawlenty hasn't answered criticism that his pet job program is too costly and misdirects benefits, the Senate Taxes Committee chairman said.
By PAT DOYLE, Star Tribune
Last update: March 27, 2008 - 8:53 PM
Gov. Tim Pawlenty's leading job-creation program, criticized for giving tax breaks to companies that don't need them, would be curtailed under a tax bill passed Thursday by a Senate committee.
The bill says that, after May 1, firms could not apply for new tax exemptions under the Job Opportunity Building Zones (JOBZ) program. The 350 firms now receiving the breaks would continue to do so through 2015, when the program is set to expire.
Pawlenty had proposed allowing additional firms to join the program and continuing their benefits after 2015.
Sen. Tom Bakk, DFL-Cook, chairman of the Senate Taxes Committee, said the program should be curtailed because the Pawlenty administration has not adequately responded to criticism of it from Legislative Auditor Jim Nobles.
Nobles said in a recent report that JOBZ gives tax breaks where they aren't needed to create jobs while overstating its accomplishments and understating its costs. He recommended better oversight and capping the program's size.
But efforts to curb the JOBZ program are likely to face opposition when the tax bill comes before the full Senate.
Senate Minority Leader David Senjem, R-Rochester, called JOBZ "vitally important" and something "we need to hang onto."
He received assurances from Bakk that the Senate would consider a bill by Sen. Julie Rosen, R-Fairmont, that would continue the program with corrections of problems cited by Nobles.
The program began in 2004, and the 350 firms have received more than $50 million in tax exemptions of all types.
"I'm not sure how we fix it," Bakk said of JOBZ. "The auditor's report showed a lot of deficiencies. I would have thought the administration would have taken the auditor's report more seriously."
Also in the tax bill
The tax bill passed by the committee Thursday also rejects Pawlenty's recommendation to cut the state sales tax by one-eighth of 1 percent and instead pushes for an additional $116 million in state aid for cities, counties and townships in 2009. Bakk said that approach would effectively relieve pressure on cities and counties to raise property taxes.
The bill also includes a provision that would use property tax dollars from the Mall of America's Bloomington site to pay for roads, sewers and parking needed for a large expansion.
It could earmark $186 million in tax money to help finance the improvements associated with the mall expansion. A similar proposal failed last year.
Coleman Campaign Kickoff: Alexandira Minnesota
My wife and I, along with our five year old son, just returned from the kickoff event in Alexandria.
It was packed with great turnout and enthusiasm!! Senator Coleman has a lot of support here in West Central Minnesota. I think he will win convincingly in the area with better margins than the first election. There is not great enthusiasm among conservative Democrats for Al Franken. I think many DFLers had hoped for Ciresi from what I have heard.
Coleman gave a great heartfelt speech. A couple introduced him and told a story about their efforts to adopt a son from Guatemala. It was an emotional speech on how Senator Coleman traveled down to Guatemala, personally, and spoke with the leaders to help parents finish up the adoption process. If not for Senator Coleman the parents were going to become victim's of international law changes, and their dreams of bringing the children home would have been dashed.
I am not sure there was a dry eye in the building including Senator Coleman. He then talked about the loss of his own children and how personal this issue was to him.
I have seen both men now, and I am biased, but there is no comparison that Senator Coleman has been right on most agricultural issues and good for rural Minnesota. He realized that cities, like Clarissa, do not have the tax base to cover all of the federally mandated programs we have thrown at us and why the Small City Development Funds are necessary.
As an economist I would be in favor of eliminating those programs if it came with the same reduction in taxes and unfunded mandates.
I do not think we need to send a gifted talker and joke teller, like Al Franken, to Washington. We have enough people in Washington who are gifted talkers, and I would argue that is probably part of Washington's problem.
We need a Senator like Norm Coleman who will do what is right for Minnesota, and is willing to disagree with his own party and urban Democrats on issues important to agriculture and rural cities and towns.
Wednesday, March 26, 2008
BOOMTOWNUSA: Rural Broadband
Below, in my opinion, is one of the most pressing issues that small cities and rural areas MUST deal with if they are interested in economic development and sustainability. It should be on the front burner of every county and city in Minnesota. The technology changes fast and a city's competitive advantage can become obsolete or quickly behind the curve if we do not consistently asses our technological position.
A smart public relations strategy with the right service equals a brighter future than has been possible in the past for rural Minnesota.
Rural Broadband
Wednesday’s blog on info from the National Lieutenant Governor’s Winter Meetings drew an interesting email from Roger Hahn, Executive Director of the Nebraska Information Network. He sent me statistics and info on the broadband penetration in his state, telling me, “In Nebraska 81% (instead of 31%) of rural residents have access to broadband. In Nebraska 99.98% (instead of 52%) of the urban residents have access available for broadband.
And we have been at near these levels for three or four years….and most if not all of the rest of the States are catching up..look at the big push in Kentucky to catch-up.”He provided me with data on availability by population center and competition within each of those centers, showing that any town over 300 in population had 100% coverage and 98.35% of those under 300 had the same broadband coverage.
Fremont, Grand Island and North Platte (populations of from 23,000 to 43,000) each had 15 broadband suppliers, the same as Omaha and one more than Lincoln. Even tiny Raymond (population 186) had 9 suppliers.Hahn also pointed out to me that while Japan and the EU might have faster bandwidth, their usage per unit of population is much lower than here in the USA.I’m convinced that broadband is a necessity for economic development, as important as water, sewer and electricity.
I’ve yet to have an industrial client show up on a site visit and ask me, “Do they have electricity here?” Broadband is already as important as the three other infrastructures and most rural communities that I know have the type of coverage that Roger Hahn emailed me.Roger: Thanks for sending me the information on NE’s broadband coverage.
A smart public relations strategy with the right service equals a brighter future than has been possible in the past for rural Minnesota.
Rural Broadband
Wednesday’s blog on info from the National Lieutenant Governor’s Winter Meetings drew an interesting email from Roger Hahn, Executive Director of the Nebraska Information Network. He sent me statistics and info on the broadband penetration in his state, telling me, “In Nebraska 81% (instead of 31%) of rural residents have access to broadband. In Nebraska 99.98% (instead of 52%) of the urban residents have access available for broadband.
And we have been at near these levels for three or four years….and most if not all of the rest of the States are catching up..look at the big push in Kentucky to catch-up.”He provided me with data on availability by population center and competition within each of those centers, showing that any town over 300 in population had 100% coverage and 98.35% of those under 300 had the same broadband coverage.
Fremont, Grand Island and North Platte (populations of from 23,000 to 43,000) each had 15 broadband suppliers, the same as Omaha and one more than Lincoln. Even tiny Raymond (population 186) had 9 suppliers.Hahn also pointed out to me that while Japan and the EU might have faster bandwidth, their usage per unit of population is much lower than here in the USA.I’m convinced that broadband is a necessity for economic development, as important as water, sewer and electricity.
I’ve yet to have an industrial client show up on a site visit and ask me, “Do they have electricity here?” Broadband is already as important as the three other infrastructures and most rural communities that I know have the type of coverage that Roger Hahn emailed me.Roger: Thanks for sending me the information on NE’s broadband coverage.
Forest Lake High School:
Another perspective:
I do want to thank the student and teacher from Forest Lake for commenting. I am going to concede that Mr. Massey is probably not a professional spokesperson, but is an educator. I understand how hard it is to have media show up and start trying to portray the area you love in a lesser light. I also understand the potential threat a situation like this poses to the reputation of a community.
NOTE: If you are a public official you need to read up and be prepared for a media situation like this because it will get out of hand quickly and come out of nowhere.
My dismay after reading the StarTribune article was with two words he used referring to our veterans--They were “Political” and not “Educational” because protesters were threatening to protest. I had hoped yesterday on the evening news Mr. Massey would have come out and said: “I blew it, it was a poor choice of words, and I am sorry." He could have said: "We had a concern for public safety, .......etc.” Mr. Massey did not from the interviews I read. If he did please forward it and I will gladly help in setting the record straight.
I remain confident that while the Forest Lake name is used, the public is smart enough to not lump everyone together. I think if Mr. Massey would come out and restate what he meant all of this would blow over. We have a volunteer army and the passions on both sides are very high. Extra care needs to be given when canceling such an event especially when one of the presenters is an alumni from the school.
Majority Leader Sertich releases budget deficit plan: Snarkyness!!
I think the word Snarky is a good word to define how Majority Leader Sertich reacts to most anything coming from Governor Pawlenty. It is becoming odd!
Rather than coming up with direct alternatives after viewing the Governor's recommendations for weeks. We will apparently see Snarkyness continue to be the only real plan Sertich offers for discussion.
The Democrats could have come up with a plan, however, they chose to wait for the Governor to show leadership. Agree or disagree with the Governor; Minnesotans have never been disappointed in his ability to offer up possible solutions for discussion.
I continue to be stunned at the tunnel vision Democrats continue to have on business and economic development policy. The "Best" way to attract business has nothing to do with old fashioned free market economic environment or tax policy?
For those keeping track:
American Heritage Dictionary - Cite This Source - Share This
snark·y (snär'kē) Pronunciation Key adj. snark·i·er, snark·i·est
- Rudely sarcastic or disrespectful; snide.
- Irritable or short-tempered; irascible.
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By: Majority Leader Tony Sertich
Posted: MNPublius (Linked Below)
Gov. Wants to Balance Budget by Pricing College - and the American Dream - Out of Reach
"More than anything, this is hurting our competitive advantage. Minnesota has succeeded over the years because of our willingness to invest in each other. That resulted in one of the most educated and skilled workforces in the country.
The best way to attract businesses and employers is to offer them smart, hard-working and skilled employees. Our kids are willing to put in the work. We need to step up and help them acquire the skills they need to be successful in the 21st. Century."
Tuesday, March 25, 2008
Sen. Ingebrigtsen proposal offers tax relief for small resorts
A common sense piece of legislation for our area that encourages our business and tourism environment. It also shows what property tax legislation and policy left unchecked over a period of time can do to to an industry.
The Osakis Review
Published Tuesday March 11, 2008
A proposal to help “mom and pop” resorts in Minnesota has been revived at the state Capitol and was included in a larger tax bill passed by the state Senate last week.
The plan was introduced by Senator Bill Ingebrigtsen, R-Alexandria last year, but was part of a tax bill vetoed by Governor Tim Pawlenty.
The bill reduces the tax rate and expands the market value threshold so that more smaller resorts can take advantage of the tax relief.
While Ingebrigtsen hoped to expand the value limitation to $1 million, other lawmakers agreed to $600,000. Tax relief on the first $500,000 valuation was passed in 2005, but the expansion has been sought since then.
“Tourism is the economic lifeblood of central Minnesota, but our small, traditional resorts are endangered,” Ingebrigtsen said.
Only 900 resorts survive from the estimated 36,000 of the early 1970s, noted the senator who represents Douglas, Todd, Grant and Stevens counties.
The larger bill also includes tax relief for disabled veterans, elimination of tax loopholes for some non-resident wage earners, and compliance with federal tax law changes, otherwise known as “federal conformity,” which also resulted in tax relief for many Minnesotans.
Ingebrigtsen can be reached at (651) 297-8063, by mail at 123 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155, or via e-mail at sen.bill.ingebrigtsen@senate.mn.
The Osakis Review
Published Tuesday March 11, 2008
A proposal to help “mom and pop” resorts in Minnesota has been revived at the state Capitol and was included in a larger tax bill passed by the state Senate last week.
The plan was introduced by Senator Bill Ingebrigtsen, R-Alexandria last year, but was part of a tax bill vetoed by Governor Tim Pawlenty.
The bill reduces the tax rate and expands the market value threshold so that more smaller resorts can take advantage of the tax relief.
While Ingebrigtsen hoped to expand the value limitation to $1 million, other lawmakers agreed to $600,000. Tax relief on the first $500,000 valuation was passed in 2005, but the expansion has been sought since then.
“Tourism is the economic lifeblood of central Minnesota, but our small, traditional resorts are endangered,” Ingebrigtsen said.
Only 900 resorts survive from the estimated 36,000 of the early 1970s, noted the senator who represents Douglas, Todd, Grant and Stevens counties.
The larger bill also includes tax relief for disabled veterans, elimination of tax loopholes for some non-resident wage earners, and compliance with federal tax law changes, otherwise known as “federal conformity,” which also resulted in tax relief for many Minnesotans.
Ingebrigtsen can be reached at (651) 297-8063, by mail at 123 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155, or via e-mail at sen.bill.ingebrigtsen@senate.mn.
Rep. Tingelstad (Override Six) will not seek reelection
I wonder what the implications will be for Mary Ellen Otremba given the override six have all been run out of town. Otremba's reversal on this issue was not a surprise to local Republicans because she will always vote the party line when she ABSOLUTELY has too.
I wonder if the independents in this area will hold her accountable for what was quite a audacious political flip-flop. It should be an interesting election. ----The Mayor
The six-term House member was one of six Republicans who helped DFLers override Gov. Tim Pawlenty's veto of a $6.6 billion transportation bill.
Last update: March 24, 2008
MARK BRUNSWICK
State Rep. Kathy Tingelstad, one of six House Republicans who bucked their caucus and voted to override a veto of the state's transportation bill, announced today that she will not seek re-election.
Tingelstad, who represents portions of Anoka County, found her party endorsement for re-election delayed after she voted for the bill and before she voted for the override.
Several others among the six have been denied endorsements, as delegates, caucus leaders and party officials showed their criticism for the vote, which overrode a veto by Gov. Tim Pawlenty of a $6.6 billion transportation bill that includes a gas tax increase.
"While the endorsement process has been a small factor in my decision not to seek re-election, it was one indicator to me that it is time for me to pursue other opportunities," Tingelstad said in a prepared statement.
Tingelstad, of Andover, has served in the House for six terms and is chief House author of legislation giving the go-ahead to state funding for the proposed Northstar Commuter Rail line between Minneapolis and Big Lake.
Tingelstad said her decision not to seek re-election also was motivated by a need to focus on putting two sons through college.
I wonder if the independents in this area will hold her accountable for what was quite a audacious political flip-flop. It should be an interesting election. ----The Mayor
The six-term House member was one of six Republicans who helped DFLers override Gov. Tim Pawlenty's veto of a $6.6 billion transportation bill.
Last update: March 24, 2008
MARK BRUNSWICK
State Rep. Kathy Tingelstad, one of six House Republicans who bucked their caucus and voted to override a veto of the state's transportation bill, announced today that she will not seek re-election.
Tingelstad, who represents portions of Anoka County, found her party endorsement for re-election delayed after she voted for the bill and before she voted for the override.
Several others among the six have been denied endorsements, as delegates, caucus leaders and party officials showed their criticism for the vote, which overrode a veto by Gov. Tim Pawlenty of a $6.6 billion transportation bill that includes a gas tax increase.
"While the endorsement process has been a small factor in my decision not to seek re-election, it was one indicator to me that it is time for me to pursue other opportunities," Tingelstad said in a prepared statement.
Tingelstad, of Andover, has served in the House for six terms and is chief House author of legislation giving the go-ahead to state funding for the proposed Northstar Commuter Rail line between Minneapolis and Big Lake.
Tingelstad said her decision not to seek re-election also was motivated by a need to focus on putting two sons through college.
Minnesota Forest Lake High School: Cancels visit by Iraq & Afghanistan Veteran's......to controversial??
I am usually not outraged very easily.
However, we have one person from my city currently serving in Iraq. We also have many from this immediate area that are serving, or have served in both Iraq and Afghanistan. Shame on Steve Massey and Forest Lake High school for denying our men and women in combat the honor of being honored, and coming to share about what it means to be a soldier serving your country.
Maybe the people of Forest Lake should refuse to send their property taxes for a year to show Mr. Massey and the Forest Lake Administration what controversy and political pressure really is.
Forest Lake event canceled; too political
Forest Lake High's principal said the decision was spurred by concerns that the presentation was more political than educational.
A national tour featuring decorated veterans from the wars in Iraq and Afghanistan won't be stopping at Forest Lake Area High School today as planned, after school leaders abruptly canceled the visit.
Steve Massey, the school principal, said the decision to cancel was prompted by concerns that the event was becoming political rather than educational and therefore was not suitable for a public school.
He said the school had received several phone calls from parents and others, some of whom indicated that they may stage a protest if the event took place.
"The event was structured to be an academic classroom discussion around military service. We thought we'd provide an opportunity for kids to learn about service in the context of our history classes," Massey said. "As the day progressed, it became clear that this was becoming a political event ... which would be inappropriate in a public setting.
"We decided to cancel," Massey said. Organizers of the National Heroes Tour then scrambled to relocate the event to the American Legion building in Forest Lake. The visit, which U.S. Rep. Michele Bachmann, R-Stillwater, had been scheduled to attend, is sponsored by Vets for Freedom, a national organization run by Pete Hegseth, a 1999graduate of Forest Lake Area High School who served with the 101st Airborne in Iraq in 2005-06.
"I think it's extremely unfortunate that a school would bow to the political pressure of outside groups and not bring in a veterans organization," Hegseth said. "Are we saying that patriotism and duty and honor have no place in our public schools?" So far, the tour has visited one school, albeit a private school.
The stop in Forest Lake was supposed to involve about 150 social studies students and was going to be closed to the public but open to the media. But the last-minute venue change left Hegseth wondering how many people would actually show up today.
"I don't know if we'll have a crowd," he said. "We changed venues, but we don't have the ability to publicize it." He said he had talked with school officials ahead of time and assured them that the presenters would not make any political statements.
"We had a number of conversations at the beginning of this to make sure our message was in keeping with the traditions of a public school," Hegseth said.
"We have not endorsed a presidential candidate. We're not in the business of doing that." According to the Veterans for Freedom website, the national tour "is about supporting our troops, honoring their commitment and rallying the country to complete the missions in Iraq and Afghanistan.
At this critical juncture in our country, we need Americans, lawmakers and the media to fully recognize -- and appreciate -- the sacrifice of our brave military and the dramatic success they have achieved, especially in Iraq with the new counterinsurgency strategy."
When asked whether the part about "rallying the country to complete the missions in Iraq and Afghanistan" could indeed be construed as political, Hegseth said that the group agreed not to advocate about the "progress made in Iraq and Afghanistan."
"It's Iraq and Afghan veterans talking about what they saw and what they did there, and about what it means to put on the uniform of your country," he said. The veterans started their bus tour in San Diego on March 14 and will end April 9 in New York City.
However, we have one person from my city currently serving in Iraq. We also have many from this immediate area that are serving, or have served in both Iraq and Afghanistan. Shame on Steve Massey and Forest Lake High school for denying our men and women in combat the honor of being honored, and coming to share about what it means to be a soldier serving your country.
Maybe the people of Forest Lake should refuse to send their property taxes for a year to show Mr. Massey and the Forest Lake Administration what controversy and political pressure really is.
Forest Lake event canceled; too political
Forest Lake High's principal said the decision was spurred by concerns that the presentation was more political than educational.
A national tour featuring decorated veterans from the wars in Iraq and Afghanistan won't be stopping at Forest Lake Area High School today as planned, after school leaders abruptly canceled the visit.
Steve Massey, the school principal, said the decision to cancel was prompted by concerns that the event was becoming political rather than educational and therefore was not suitable for a public school.
He said the school had received several phone calls from parents and others, some of whom indicated that they may stage a protest if the event took place.
"The event was structured to be an academic classroom discussion around military service. We thought we'd provide an opportunity for kids to learn about service in the context of our history classes," Massey said. "As the day progressed, it became clear that this was becoming a political event ... which would be inappropriate in a public setting.
"We decided to cancel," Massey said. Organizers of the National Heroes Tour then scrambled to relocate the event to the American Legion building in Forest Lake. The visit, which U.S. Rep. Michele Bachmann, R-Stillwater, had been scheduled to attend, is sponsored by Vets for Freedom, a national organization run by Pete Hegseth, a 1999graduate of Forest Lake Area High School who served with the 101st Airborne in Iraq in 2005-06.
"I think it's extremely unfortunate that a school would bow to the political pressure of outside groups and not bring in a veterans organization," Hegseth said. "Are we saying that patriotism and duty and honor have no place in our public schools?" So far, the tour has visited one school, albeit a private school.
The stop in Forest Lake was supposed to involve about 150 social studies students and was going to be closed to the public but open to the media. But the last-minute venue change left Hegseth wondering how many people would actually show up today.
"I don't know if we'll have a crowd," he said. "We changed venues, but we don't have the ability to publicize it." He said he had talked with school officials ahead of time and assured them that the presenters would not make any political statements.
"We had a number of conversations at the beginning of this to make sure our message was in keeping with the traditions of a public school," Hegseth said.
"We have not endorsed a presidential candidate. We're not in the business of doing that." According to the Veterans for Freedom website, the national tour "is about supporting our troops, honoring their commitment and rallying the country to complete the missions in Iraq and Afghanistan.
At this critical juncture in our country, we need Americans, lawmakers and the media to fully recognize -- and appreciate -- the sacrifice of our brave military and the dramatic success they have achieved, especially in Iraq with the new counterinsurgency strategy."
When asked whether the part about "rallying the country to complete the missions in Iraq and Afghanistan" could indeed be construed as political, Hegseth said that the group agreed not to advocate about the "progress made in Iraq and Afghanistan."
"It's Iraq and Afghan veterans talking about what they saw and what they did there, and about what it means to put on the uniform of your country," he said. The veterans started their bus tour in San Diego on March 14 and will end April 9 in New York City.
Minnesota's almost..most Influential Blog!!
Thank you......... so much to all of you who continue to visit and comment on my posts.
You can see I am now the 13th "most Influential blogger" in Minnesota.
My attorney's are already in the process of demanding recounts of the 12 blogs currently ahead of me, so I can take my rightful place at #1.
Seriously.........Thanks so much!!
Minnesota's Most Influential Political blogs
1 Minnesota Monitor 1
2 A Bluestem Prairie 4
3 Shot in the Dark 2
4 Minnesota Democrats Exposed 3
5 mnblue 6
6 Minnesota Campaign Report 13
7 Residual Forces 8
8 Anti-Strib 7
9 Lake Minnetonka Liberty 10
10 True North 11
11 Truth v. The Machine 17
12 Dump Michele Bachmann 14
13 America's Small City Mayor - Lucky #13
14 MNpublius.com 16
15 The Kool Aid Report 18
16 Twin Cities Daily Planet -
17 Mercury Rising 12
18 Blue man in a Red district 5
19 MinnesotaBrown -
20 Centrisity -
BlogNetNews' Blogosphere Influence Rating combines a variety of data sets to determine which blogs are most powerfully influencing the direction of the Minnesota political blogosphere. The exact method BNN uses to calculate influence scores must remain proprietary in order to prevent attempts to game the system. BNN's methodology takes into account the fact that all Internet data is profoundly limited in its reliability by using multiple data sets that, when combined, reveal a fair picture of activity in the blogosphere.
You can see I am now the 13th "most Influential blogger" in Minnesota.
My attorney's are already in the process of demanding recounts of the 12 blogs currently ahead of me, so I can take my rightful place at #1.
Seriously.........Thanks so much!!
Minnesota's Most Influential Political blogs
1 Minnesota Monitor 1
2 A Bluestem Prairie 4
3 Shot in the Dark 2
4 Minnesota Democrats Exposed 3
5 mnblue 6
6 Minnesota Campaign Report 13
7 Residual Forces 8
8 Anti-Strib 7
9 Lake Minnetonka Liberty 10
10 True North 11
11 Truth v. The Machine 17
12 Dump Michele Bachmann 14
13 America's Small City Mayor - Lucky #13
14 MNpublius.com 16
15 The Kool Aid Report 18
16 Twin Cities Daily Planet -
17 Mercury Rising 12
18 Blue man in a Red district 5
19 MinnesotaBrown -
20 Centrisity -
BlogNetNews' Blogosphere Influence Rating combines a variety of data sets to determine which blogs are most powerfully influencing the direction of the Minnesota political blogosphere. The exact method BNN uses to calculate influence scores must remain proprietary in order to prevent attempts to game the system. BNN's methodology takes into account the fact that all Internet data is profoundly limited in its reliability by using multiple data sets that, when combined, reveal a fair picture of activity in the blogosphere.
Monday, March 24, 2008
Sen. Bill Ingebrigtsen: Unanswered Questions on why!!
I am disappointed and perplexed with Republican Senate Leadership. I am equally disappointed with Senator Ingebrigtsen on this particular vote.
This was not a new issue, and it has been out there for years. I think on the campaign trail he never mentioned he was in favor of it. He was adamantly against taxes and increased government bureaucracy.
The bonding bill is over the governor's recommendations by 250 million dollars and was supported by Senate Minority Leader Senjem and Senate Republicans. The tax increase was supported by Senator Ingebrightsen. It is not just a tax increase either...... it is a constitutionally mandated tax increase!!
I have never yet received a return response explaining why, and I wanted to give the Senator a chance to respond.
The Senator talked about the bi-partisanship down in the Senate at our Republican Convention. It gives me a lot of concern that maybe we have inexperienced Republican Leadership and Senators trying to get along to much
........meanwhile our pocket books continue to get picked. It makes you very nervous on the Health Care bills and what level of bi-partisanship exists in that area as well.
A side note: Even Mary Ellen Otremba voted "NO".
Outdoor, arts measure draws support here
By Celeste Beam, Staff Reporter
Alexandria Echo PressPublished
Friday, March 07, 2008
In November, Minnesota voters have a big decision to make – not only to decide who will be the 43rd president of the United States, but whether to approve a proposal to send a portion of state sales tax to outdoors, environment and arts programs.
In February, Minnesota legislators passed a constitutional amendment to increase taxes by .375 percent. The new revenue would be spent on a variety of outdoor programs, including improving wetlands, cleaning the state’s water, funding parks and trails, along with arts and history programs.
The amendment, if approved by voters November 4, would increase the sales tax for 25 years before it expires. Estimates of what the average Minnesota family would pay vary, but supporters say it probably would cost $56 a year.
Local state representatives Mary Ellen Otremba, DFL-Long Prairie and Torrey Westrom, R-Elbow Lake, both voted against the amendment, while Senator Bill Ingebrigtsen, R-Alexandria, voted to approve it.
This was not a new issue, and it has been out there for years. I think on the campaign trail he never mentioned he was in favor of it. He was adamantly against taxes and increased government bureaucracy.
The bonding bill is over the governor's recommendations by 250 million dollars and was supported by Senate Minority Leader Senjem and Senate Republicans. The tax increase was supported by Senator Ingebrightsen. It is not just a tax increase either...... it is a constitutionally mandated tax increase!!
I have never yet received a return response explaining why, and I wanted to give the Senator a chance to respond.
The Senator talked about the bi-partisanship down in the Senate at our Republican Convention. It gives me a lot of concern that maybe we have inexperienced Republican Leadership and Senators trying to get along to much
........meanwhile our pocket books continue to get picked. It makes you very nervous on the Health Care bills and what level of bi-partisanship exists in that area as well.
A side note: Even Mary Ellen Otremba voted "NO".
Outdoor, arts measure draws support here
By Celeste Beam, Staff Reporter
Alexandria Echo PressPublished
Friday, March 07, 2008
In November, Minnesota voters have a big decision to make – not only to decide who will be the 43rd president of the United States, but whether to approve a proposal to send a portion of state sales tax to outdoors, environment and arts programs.
In February, Minnesota legislators passed a constitutional amendment to increase taxes by .375 percent. The new revenue would be spent on a variety of outdoor programs, including improving wetlands, cleaning the state’s water, funding parks and trails, along with arts and history programs.
The amendment, if approved by voters November 4, would increase the sales tax for 25 years before it expires. Estimates of what the average Minnesota family would pay vary, but supporters say it probably would cost $56 a year.
Local state representatives Mary Ellen Otremba, DFL-Long Prairie and Torrey Westrom, R-Elbow Lake, both voted against the amendment, while Senator Bill Ingebrigtsen, R-Alexandria, voted to approve it.
On the lighter side...........
Small town truths
In a trial, a Southern small town prosecuting attorney called his first witness to the stand. A grandmotherly, elderly woman. He approached her and asked, "Mrs. Jones, do you know me?" She responded, "Why, yes I do know you, Mr. Williams. I've known you since you were a young boy, and frankly, you've been a big disappointment to me. You lie, you cheat on your wife, you manipulate people and talk about them behind their backs. You think you're a big shot when you haven't the brains to realize you never will amount to anything more than a two-bit paper pusher. Yes, I know you." The Lawyer was stunned.
Not knowing what else to do, he pointed across the room and asked, "Mrs. Jones, do you know the defence attorney? "She again replied, "Why yes, I do I've known Mr. Bradley since he was a youngster, too. He's lazy, bigoted, and he has a drinking problem. He can't build a normal relationship with anyone and his law practice is one of the worst in the entire state. Not to mention he cheated on his wife with three different women and one of them was your wife. Yes, I know him." The defence attorney almost died.
The judge told both counsellors to approach the bench, and in a very quiet voice, said, "If either of you asks that ($!&$!) if she knows me, I'll throw your sorry rear-ends in jail for contempt."
In a trial, a Southern small town prosecuting attorney called his first witness to the stand. A grandmotherly, elderly woman. He approached her and asked, "Mrs. Jones, do you know me?" She responded, "Why, yes I do know you, Mr. Williams. I've known you since you were a young boy, and frankly, you've been a big disappointment to me. You lie, you cheat on your wife, you manipulate people and talk about them behind their backs. You think you're a big shot when you haven't the brains to realize you never will amount to anything more than a two-bit paper pusher. Yes, I know you." The Lawyer was stunned.
Not knowing what else to do, he pointed across the room and asked, "Mrs. Jones, do you know the defence attorney? "She again replied, "Why yes, I do I've known Mr. Bradley since he was a youngster, too. He's lazy, bigoted, and he has a drinking problem. He can't build a normal relationship with anyone and his law practice is one of the worst in the entire state. Not to mention he cheated on his wife with three different women and one of them was your wife. Yes, I know him." The defence attorney almost died.
The judge told both counsellors to approach the bench, and in a very quiet voice, said, "If either of you asks that ($!&$!) if she knows me, I'll throw your sorry rear-ends in jail for contempt."
New Minnesota Politics (continued)
My article:
New Minnesota Politics talked about party vs. principle from a different perspective based on what occurred with the GOP in Alaska.
This weekend I had the chance to read a post on Rejecting party & principle alike by Craig Westover. In particular, I was impressed with one paragraph by Mr. Westover.
I would encourage you read this well written article. (I hope one day to match his writing ability) It sums up the philosophical struggle many are having in the younger generations. It brings another helpful dimension for those witnessing the changes within state and national politics.
Rejecting party and principle alike
by Craig Westover
I am a strong believer in voting principle over party. But one joins a political party because of common principles. When one opposes his party, it had better be because the party has wandered away from those principles, not because common sense and popular opinion make it expedient for the legislator to waver.
New Minnesota Politics talked about party vs. principle from a different perspective based on what occurred with the GOP in Alaska.
This weekend I had the chance to read a post on Rejecting party & principle alike by Craig Westover. In particular, I was impressed with one paragraph by Mr. Westover.
I would encourage you read this well written article. (I hope one day to match his writing ability) It sums up the philosophical struggle many are having in the younger generations. It brings another helpful dimension for those witnessing the changes within state and national politics.
Rejecting party and principle alike
by Craig Westover
I am a strong believer in voting principle over party. But one joins a political party because of common principles. When one opposes his party, it had better be because the party has wandered away from those principles, not because common sense and popular opinion make it expedient for the legislator to waver.
Downtown Market Analysis
It is so important to have realistic expectations of what your area is capable of. I would encourage all leaders to get citizen input. However, it is important to bring in some outside analysis so that your goals are achievable. You need some short-term success that can happen quickly.
Center for Community and Economic Development
© 2001-2006 Board of Regents of the University of Wisconsin System, doing business as the Division of Cooperative Extension of University of Wisconsin-Extension. For more information, questions and comments, please contact the web manager at: cced@uwex.edu
Center for Community and Economic Development
© 2001-2006 Board of Regents of the University of Wisconsin System, doing business as the Division of Cooperative Extension of University of Wisconsin-Extension. For more information, questions and comments, please contact the web manager at: cced@uwex.edu
Saturday, March 22, 2008
Minnesota Health Care Transformation Task Force: The devil's not in the details, but sitting in plain sight
I want to leave you this weekend with two great posts.
The one we have right here and Craig Westover's post: A sows ear of corporate socialism. The Republicans and Conservative Democrats need to understand this is one of the most dangerous pieces of legislation in front of the legislature right now. Let Mary Ellen Otremba and Bill Ingebrigtsen know these attempts at Health Care reform need to be defeated.
Posted by Craig Westover
Among the pressing issues facing the Minnesota Legislature this session are some very real problems with the health care system:
My disagreement with the Transformation Task Force recommendations is not simply my preference for free-market solutions over government-run programs, nor even that I question the potential efficacy of task force recommendations (many of which are embedded in bills being rushed through the legislative process). My objection is more basic.
The devil is not in the details of the report, he's sitting in plain sight: The task force recommendations are a giant leap toward classical corporate socialism, a "friendly fascism," but fascism nonetheless.
Some things need to be called what they are. "Fascism" is a perfectly good word when used not as an insult but as an academic description. The task force recommendations are an integration of government and private corporations that destroys the distinction and endangers individual liberty and the quality of health care. It is the task force recommendations, not the task force members, to which the "fascist" label can be justly applied.
If the task force members are to be faulted, it is for letting their good intentions blind them to the unhealthy consequences of what they propose. Their report is the result of good people succumbing to the conceit that they, or any central committee, have the knowledge and authority to manage the health care system and make life-and-death health care decisions for others.
"Successful transformation of Minnesota's health care system will require active participation and engagement from consumers, employers, health care providers, health plans and government," declares the Task Force Report. The obligations the Task Force envisions for the first four groups require fundamental behavior change; government's obligation is to "enact the necessary changes to law to implement the transformation plan." In other words, supply the muscle, the force, the coercion.
The Task Force explicitly states that its report must be taken in its totality to be effective. Implied in that attitude are certain core beliefs:
My intent here is not to discredit the 70-plus page report by killing trees; it is to point out a forest of recommendations fundamentally opposed to proven free-market principles and toxic to a robust health care system.
The Health Care Transformation Task Force was charged by the Legislature with proposing a plan to reduce Minnesota's health care expenditures 20 percent by January 2011 while increasing access to health care and improving quality. Cost reduction is the driving force of the Task Force recommendations. The Task Force report is a blueprint for the most nefarious kind of health care rationing.
Let's be clear — cost, quality and access to health care necessitate trade-offs. That is true in the managed care system we have today, in the totalitarian managed care system proposed by the Transformation Task Force, and in the purest of free-market systems.
Health care is a limited economic resource that will be rationed. The question is, "Will you manage your consumption of health care, or will someone else manage it for you?"
In a managed care system, health care is rationed for you; someone controls the supply of health care irrespective of demand; the pie is fixed and everybody more or less receives an equal share of the fixed amount. In a free-market system, you ration your own health care by making choices; choice, your slice of the pie, is always growing, albeit with some people having more choices than you and others fewer.
In a free-market system, health care is rationed by the relationship between price and the demand for service at that price, not by a central committee fixing supply and price. The contrast of these two systems is stark. It is the difference between a managed health care system in which patients queue up for a 38-week wait for a hip replacement and an expanding market of competing Lasik surgery centers offering steadily declining prices and higher levels of quality to greater numbers of people.
The necessity to reduce costs steered the Transformation Task Force away from broad examination of macroeconomic factors like supply and demand.
Instead, the task force pursued "culprit economics" — leaping to the narrow assumption that the culprits creating rising costs are physicians who provide "uneven health care below the levels we should expect for the money we are spending" and the rest of us for driving up health care costs with our "unhealthy behaviors."
Thus, changing behavior — the way doctors practice medicine and the way people live their lives
— becomes the one best path to reducing health care costs, as if the laws of supply and demand could be eliminated.
It is said only two things in life are certain — death and taxes. If the Transformation Task Force recommendations are implemented, Minnesota government will have way too much control of both.
The one we have right here and Craig Westover's post: A sows ear of corporate socialism. The Republicans and Conservative Democrats need to understand this is one of the most dangerous pieces of legislation in front of the legislature right now. Let Mary Ellen Otremba and Bill Ingebrigtsen know these attempts at Health Care reform need to be defeated.
Posted by Craig Westover
Among the pressing issues facing the Minnesota Legislature this session are some very real problems with the health care system:
- Health insurance premiums are rising, and many employers are reducing or dropping health care coverage.
- Individuals without employer coverage are finding it difficult to obtain health insurance.
- Increased costs and reduced reimbursements from health plans, especially those administered through Medicare and Medicaid, are squeezing physicians.
- Large medical groups are swallowing up independent physicians and clinics.
Consumers are finding fewer coverage and care options, and what is available is costly. The polite line that might follow that list is that "reasonable people can disagree on how the state should address health care issues, but it is obvious something must be done." The Governor's Health Care Transformation Task Force is the centerpiece among several public-private committees that met between legislative sessions to "do something" about health care.
My disagreement with the Transformation Task Force recommendations is not simply my preference for free-market solutions over government-run programs, nor even that I question the potential efficacy of task force recommendations (many of which are embedded in bills being rushed through the legislative process). My objection is more basic.
The devil is not in the details of the report, he's sitting in plain sight: The task force recommendations are a giant leap toward classical corporate socialism, a "friendly fascism," but fascism nonetheless.
Some things need to be called what they are. "Fascism" is a perfectly good word when used not as an insult but as an academic description. The task force recommendations are an integration of government and private corporations that destroys the distinction and endangers individual liberty and the quality of health care. It is the task force recommendations, not the task force members, to which the "fascist" label can be justly applied.
If the task force members are to be faulted, it is for letting their good intentions blind them to the unhealthy consequences of what they propose. Their report is the result of good people succumbing to the conceit that they, or any central committee, have the knowledge and authority to manage the health care system and make life-and-death health care decisions for others.
"Successful transformation of Minnesota's health care system will require active participation and engagement from consumers, employers, health care providers, health plans and government," declares the Task Force Report. The obligations the Task Force envisions for the first four groups require fundamental behavior change; government's obligation is to "enact the necessary changes to law to implement the transformation plan." In other words, supply the muscle, the force, the coercion.
The Task Force explicitly states that its report must be taken in its totality to be effective. Implied in that attitude are certain core beliefs:
- The state should have a vision defined by a central committee to which every Minnesotan is mobilized and committed.
- The state is ultimately responsible for the healthy behavior of its citizens; if "encouragement" and "influence" are inadequate, "mandate" and "requirement" are necessary.
- The individual must live for the good of the collective.
- The state, not individual demand, should determine how much health care is needed, and the state should control the size of the health care system.
- There is no segment of society the state cannot command into action.
My intent here is not to discredit the 70-plus page report by killing trees; it is to point out a forest of recommendations fundamentally opposed to proven free-market principles and toxic to a robust health care system.
The Health Care Transformation Task Force was charged by the Legislature with proposing a plan to reduce Minnesota's health care expenditures 20 percent by January 2011 while increasing access to health care and improving quality. Cost reduction is the driving force of the Task Force recommendations. The Task Force report is a blueprint for the most nefarious kind of health care rationing.
Let's be clear — cost, quality and access to health care necessitate trade-offs. That is true in the managed care system we have today, in the totalitarian managed care system proposed by the Transformation Task Force, and in the purest of free-market systems.
Health care is a limited economic resource that will be rationed. The question is, "Will you manage your consumption of health care, or will someone else manage it for you?"
In a managed care system, health care is rationed for you; someone controls the supply of health care irrespective of demand; the pie is fixed and everybody more or less receives an equal share of the fixed amount. In a free-market system, you ration your own health care by making choices; choice, your slice of the pie, is always growing, albeit with some people having more choices than you and others fewer.
In a free-market system, health care is rationed by the relationship between price and the demand for service at that price, not by a central committee fixing supply and price. The contrast of these two systems is stark. It is the difference between a managed health care system in which patients queue up for a 38-week wait for a hip replacement and an expanding market of competing Lasik surgery centers offering steadily declining prices and higher levels of quality to greater numbers of people.
The necessity to reduce costs steered the Transformation Task Force away from broad examination of macroeconomic factors like supply and demand.
Instead, the task force pursued "culprit economics" — leaping to the narrow assumption that the culprits creating rising costs are physicians who provide "uneven health care below the levels we should expect for the money we are spending" and the rest of us for driving up health care costs with our "unhealthy behaviors."
Thus, changing behavior — the way doctors practice medicine and the way people live their lives
— becomes the one best path to reducing health care costs, as if the laws of supply and demand could be eliminated.
It is said only two things in life are certain — death and taxes. If the Transformation Task Force recommendations are implemented, Minnesota government will have way too much control of both.
Economics: Proving it is OK to buy that Hummer!!
Lifetime Energy Cost Per Mile: Prius v. Hummer H3
2005 Hummer H3: $1.949 per mile
Top 5 most energy efficient 2005 vehicles, over their lifetimes:
1. Scion xB: $0.48 per mile
2. Ford Escort: $0.57 per mile
3. Jeep Wrangler: $0.60 per mile
4. Chevrolet Tracker: $0.69 per mile
5. Toyota Echo: $0.70 per mile
Top 5 least energy efficient 2005 vehicles, over their lifetimes:
1. Mercedes Benz produced Maybach: $11.58 per mile
2. Volkswagen Phaeton: $11.21 per mile
3. Rolls-Royce: $10.66 per mile
4. Bentley: $10.56 per mile
5. Audi Allroad Quattro: $5.59 per mile
2005 Hybrid Vehicle energy efficiency over their lifetimes:
1. Honda Insight: $2.94 per mile
2. Ford Escape Hybrid: $3.18 per mile
3. Honda Civic Hybrid: $3.24 per mile
4. Toyota Prius: $3.25 per mile
5. Honda Accord Hybrid: $3.30 per mile
From the study "Dust to Dust: The Energy Cost of New Vehicles From Concept to Disposal" by CNW Research.
SOURCE: CARPE DIEM
2005 Hummer H3: $1.949 per mile
Top 5 most energy efficient 2005 vehicles, over their lifetimes:
1. Scion xB: $0.48 per mile
2. Ford Escort: $0.57 per mile
3. Jeep Wrangler: $0.60 per mile
4. Chevrolet Tracker: $0.69 per mile
5. Toyota Echo: $0.70 per mile
Top 5 least energy efficient 2005 vehicles, over their lifetimes:
1. Mercedes Benz produced Maybach: $11.58 per mile
2. Volkswagen Phaeton: $11.21 per mile
3. Rolls-Royce: $10.66 per mile
4. Bentley: $10.56 per mile
5. Audi Allroad Quattro: $5.59 per mile
2005 Hybrid Vehicle energy efficiency over their lifetimes:
1. Honda Insight: $2.94 per mile
2. Ford Escape Hybrid: $3.18 per mile
3. Honda Civic Hybrid: $3.24 per mile
4. Toyota Prius: $3.25 per mile
5. Honda Accord Hybrid: $3.30 per mile
From the study "Dust to Dust: The Energy Cost of New Vehicles From Concept to Disposal" by CNW Research.
SOURCE: CARPE DIEM
The End of the Crisis in Mortgage Credit Markets?
The ailing U.S. mortgage credit market and housing market is poised to get a lift from a significant potential boost in lending activity by the GSEs (Fannie Mae and Freddie Mac). The ability of the GSEs to respond to the severe housing downturn had been severely constrained by: a) caps that have been placed on the overall growth of their retained lending portfolio; b) the conforming loan limit of $417,000—which effectively had frozen these lending entities out of the jumbo mortgage loan market; and c) the requirement from OFHEO (Office of Federal Housing Enterprise Oversight) to hold a 30% capital cushion over and above their usual capital minimum.
The reduction of the required surplus from 30% to 20% would unlock about $7.1 billion in capital in the case of Fannie Mae, and about $6.1 billion in the case of Freddie Mac. Given that total new mortgage credit was about $743.3 billion in 2007, the GSEs could make a significant positive impact on the flow of mortgage credit to the housing market in 2008.
A modest reduction of about 50 basis points in the risk premium on 30-year conventional mortgages, to near 200–210 basis points, would bring 30-year mortgage rates back down to a range of 5.30% to 5.50%. That could stimulate significantly more demand for mortgage loans, and the GSEs are now in a good position to meet that demand.
The big question is, can the recent Fed moves to provide significant new liquidity, unlock the credit markets, and lower benchmark borrowing costs lead to such a reduction in the risk premium? We believe they can. If we pass that important watershed in the next few weeks, it perhaps could mark the beginning of the end of the crisis in the mortgage credit markets.
CARPE DIEM & GLOBAL INSIGHT
The reduction of the required surplus from 30% to 20% would unlock about $7.1 billion in capital in the case of Fannie Mae, and about $6.1 billion in the case of Freddie Mac. Given that total new mortgage credit was about $743.3 billion in 2007, the GSEs could make a significant positive impact on the flow of mortgage credit to the housing market in 2008.
A modest reduction of about 50 basis points in the risk premium on 30-year conventional mortgages, to near 200–210 basis points, would bring 30-year mortgage rates back down to a range of 5.30% to 5.50%. That could stimulate significantly more demand for mortgage loans, and the GSEs are now in a good position to meet that demand.
The big question is, can the recent Fed moves to provide significant new liquidity, unlock the credit markets, and lower benchmark borrowing costs lead to such a reduction in the risk premium? We believe they can. If we pass that important watershed in the next few weeks, it perhaps could mark the beginning of the end of the crisis in the mortgage credit markets.
CARPE DIEM & GLOBAL INSIGHT
$670,452Friday, March 21, 2008
The Policy Bubble
Federal, State Government & The Federal Reserve
We appear to be a nation of bubbles. The DOT COM bubble blew most retirement accounts out of the water for years. The dramatic losses still make inexperienced investors nervous about returning to those same waters today.
The recent market volatility and violent swings have pushed consumer confidence down and brought true uncertainty to many areas of our economy. The housing bubble was next, and we are still looking for a bottom on home prices hoping it does not drag us into a recession. Please do not get me started on the falling dollar, inflation concerns, and litany of other economic items.
In the Mayor's view there now appears to be a commodity bubble building on gold, oil, agricultural commodities, and minerals. It seems one bubble has only lead to another, and no lesson seems to have been learned except from policy "wonks" and those crafty politicians. Unfortunately, this has created the start of the most dangerous bubble of all; The Policy Bubble.
In reviewing recent months the government and Federal Reserve policy changes have been extraordinary. Today the Federal Reserve is expected to cut rates by 50 to 100 basis points. Go back and look at the last time some of these steep one-time reductions were even considered. It culminated this weekend with an extraordinary event. A multi-billion dollar bank simply vanished.
We saw the Federal Reserve this weekend require the sale of a 3.5 billion dollar bank, Bear Stearns, for about $250 million dollars. To give you an idea the stock was over $100 dollars a share just a year ago, and was sold this weekend for $2 dollars a share. If you held their common stock....... I am VERY sad for you today!! Why should we the rest of us care though? Well, I will point out the major problem as I see it. It is not the only problem by any means but is the eight-hundred pound gorilla in the bank vault.
If you own stock in any bank what is the value of their assets that help in determining the stock price? This weekend we were just told by the Federal Reserve that any bank's assets are really unknown and their books are meaningless. How are we to understand here in Small City America what to do if the people holding doctorates in Washington and Wall Street do not know what Bear Stearns is really worth? Scary stuff!!
If you pay attention to the housing market you will assume there is a magic bullet for our beleaguered housing market. McCain, Clinton, Obama all have plans to rescue us from the market. I know here at our state level we have bills going all over the place trying to do things they think will help.
I am not against planning, doing things that really help families, and I certainly understand the need for the Federal Reserve. However, I think if you look at the 24/7 news cycle it has contributed to putting pressure on leaders to start reacting to every real and perceived crisis that rears its ugly head.
This is dangerous for our markets and political system. In the Mayor's view the best thing most people in power can show at this time is RESTRAINT. Our markets are working but they need time. We need The Policy Bubble to deflate, and the only people that can bring it about are our Federal Reserve, Federal, and State leaders.
Ending on a brighter note please notice I am still not convinced we are in a recession. Given we are not yet in one is a tremendous testament to our resilient free market system given the shocks of war, terrorism, credit & housing, ....etc. We have a great free market system and let us give it time to work and bring greater prosperity to all Americans helping only minimally with policy and economic tinkering.
Policy Bubble Update: Kudlow please refrain from economic tinkering
From the Mayor's Desk: I admire and almost always agree with Larry Kudlow. He is a true champion of free markets, and this is why I hope he would refrain at this point in time from encouraging more short term policy tinkering. Given all that has occurred over the last few weeks let us let those markets work. I love his post on "Optimism" and I believe the President could go out and accomplish the same thing with just the RIGHT words.
Thursday, March 20, 2008
Time for Some Treasury Dollar-Defense
With the dollar rising all of a sudden, and commodity prices plunging, this would be a great time for the Treasury to get out there and buy dollars. Totally squeeze the short sellers. Right now. Send a clear statement that the U.S. wants a stronger dollar. It would do a lot to reduce inflation expectations. And it would drive gold prices down $200 from here. On the fifth anniversary of the Battle of Iraq, this kind of dollar defense would be a definitive statement that neither the United States nor its currency is weak. Folks betting against America would be proven wrong.
This would also be a great time for Sen. McCain, who is traveling overseas, to talk about a strong dollar — both for financial reasons and to promote American prestige. It would underscore that the U.S., despite its temporary economic slowdown, is not weak in any way. The Fed helped the dollar and hurt commodities by its “less is more” policy decision Tuesday, where they cut the fed funds rate by 75 basis points instead of 100.
They also devoted more attention to the inflation threat in their policy statement. Meanwhile, two Reserve Bank presidents — Dick Fisher in Dallas and Charlie Plosser in Philadelphia — dissented from the 75 basis point cut due to their concerns over inflation. The Fed is coming to the end of the easing road. They are laying the groundwork for a sounder greenback. Now’s the time for the Treasury to come in and punctuate the change in Fed policy and commodity- and currency-market sentiment.
Thursday, March 20, 2008
Time for Some Treasury Dollar-Defense
With the dollar rising all of a sudden, and commodity prices plunging, this would be a great time for the Treasury to get out there and buy dollars. Totally squeeze the short sellers. Right now. Send a clear statement that the U.S. wants a stronger dollar. It would do a lot to reduce inflation expectations. And it would drive gold prices down $200 from here. On the fifth anniversary of the Battle of Iraq, this kind of dollar defense would be a definitive statement that neither the United States nor its currency is weak. Folks betting against America would be proven wrong.
This would also be a great time for Sen. McCain, who is traveling overseas, to talk about a strong dollar — both for financial reasons and to promote American prestige. It would underscore that the U.S., despite its temporary economic slowdown, is not weak in any way. The Fed helped the dollar and hurt commodities by its “less is more” policy decision Tuesday, where they cut the fed funds rate by 75 basis points instead of 100.
They also devoted more attention to the inflation threat in their policy statement. Meanwhile, two Reserve Bank presidents — Dick Fisher in Dallas and Charlie Plosser in Philadelphia — dissented from the 75 basis point cut due to their concerns over inflation. The Fed is coming to the end of the easing road. They are laying the groundwork for a sounder greenback. Now’s the time for the Treasury to come in and punctuate the change in Fed policy and commodity- and currency-market sentiment.
"Public Works Bill" equals Todd County "Pubic Working HARDER" to pay the 6.6 Billion in taxes with little direct benefit!
The press release was missing important points which I have graciously volunteered to add. I feel it really makes it more understandable and brings the progress made by the legislature thus far to a concise statement. It is just another vital public service I am providing to you my reader. I hope you enjoy it, and pass my blog along to your friends. I will make it a point in the future to treat all Democrat press releases in this fashion.
They love to say what they say. However, they never say what they mean.
Capital Investment Bill & (6.6Billion Tax Increase Transportation Bill)Will Help Jump Start Minnesota's Economy
by: Representative Mary Ellen Otremba
This past week, the Minnesota House passed a (6.6 Billion Dollar Tax Increase) public works bill, a primary task of this legislative session and one that comes just when it's needed most. The bill will put a lot of people to work (In areas other than Todd County)- creating more than 10,000 jobs - (In Metro areas) something that's even more important this year than in past years.
Minnesota's unemployment rate has climbed during the last six months, leading to a sequence of job losses of more than 23,000. That's the worst string of jobs numbers since the 2001 U.S. economic downturn and according to state economist Tom Stinson puts Minnesota in a recession. (Even Democrat economists do not suggest tax increases during economic downturns.)
By focusing on (Higher gas taxes, vehicle taxes, etc) stimulating the (Metro) economy, the bill provides the kind of much-needed boost that Minnesota urgently needs to brighten our declining economic outlook.
Also known as the capital investment or "bonding bill", (which includes 11 million dollars for a gorilla exhibit) this important legislation will repair and replace state college and university buildings (Not in Todd County), maintain rural drinking water facilities (Not aware of any in Todd County), and fund many projects with statewide and regional significance. (Name a project that benefits your district. The point being District 11B residents will be contributing more to projects outside of this area than they are receiving.)
Throughout the fall and winter, the Capital Investment Committee toured the state to craft a bonding bill that would serve the (Metro Democrat) public interest. They developed a ranking system to evaluate each project and placed the highest priority on projects that clearly protect (Democrat politician chances for reelection) or improve lives, property, or public health and safety. Many of the projects use other funding sources such as federal matching funds, and most will be ready to begin by this spring to get people back to work. (Which is great if they are able to walk there because their cars will be so expensive to operate.)
Minnesota's competitive advantage (is slipping because of our high national tax rates yet) has always been (able to survive because of) the quality of its workforce. This bill makes long-overdue investments in the public colleges that will train so many of our young people to fill out the 21st century workforce. Several other projects (Minneapolis Museums) important to our area are in this year's bill as well, including funds for the Law Enforcement Center addition at Alexandria Technical College (I agree on this one) and money to improve rural waste water treatment facilities.
This year's bonding bill will protect the public safety and economic security of Minnesota. It will invest in new classrooms at our state colleges and universities, increase our ability to produce skilled workers and clean up the state's waters. (Once we agree to raise our sales taxes this fall in a referendum)
Most of all it will put people to work all over the state (just not here in any significant fashion) and is an essential part of our future success. (Representative Otremba really, really hopes.)
They love to say what they say. However, they never say what they mean.
Capital Investment Bill & (6.6Billion Tax Increase Transportation Bill)Will Help Jump Start Minnesota's Economy
by: Representative Mary Ellen Otremba
This past week, the Minnesota House passed a (6.6 Billion Dollar Tax Increase) public works bill, a primary task of this legislative session and one that comes just when it's needed most. The bill will put a lot of people to work (In areas other than Todd County)- creating more than 10,000 jobs - (In Metro areas) something that's even more important this year than in past years.
Minnesota's unemployment rate has climbed during the last six months, leading to a sequence of job losses of more than 23,000. That's the worst string of jobs numbers since the 2001 U.S. economic downturn and according to state economist Tom Stinson puts Minnesota in a recession. (Even Democrat economists do not suggest tax increases during economic downturns.)
By focusing on (Higher gas taxes, vehicle taxes, etc) stimulating the (Metro) economy, the bill provides the kind of much-needed boost that Minnesota urgently needs to brighten our declining economic outlook.
Also known as the capital investment or "bonding bill", (which includes 11 million dollars for a gorilla exhibit) this important legislation will repair and replace state college and university buildings (Not in Todd County), maintain rural drinking water facilities (Not aware of any in Todd County), and fund many projects with statewide and regional significance. (Name a project that benefits your district. The point being District 11B residents will be contributing more to projects outside of this area than they are receiving.)
Throughout the fall and winter, the Capital Investment Committee toured the state to craft a bonding bill that would serve the (Metro Democrat) public interest. They developed a ranking system to evaluate each project and placed the highest priority on projects that clearly protect (Democrat politician chances for reelection) or improve lives, property, or public health and safety. Many of the projects use other funding sources such as federal matching funds, and most will be ready to begin by this spring to get people back to work. (Which is great if they are able to walk there because their cars will be so expensive to operate.)
Minnesota's competitive advantage (is slipping because of our high national tax rates yet) has always been (able to survive because of) the quality of its workforce. This bill makes long-overdue investments in the public colleges that will train so many of our young people to fill out the 21st century workforce. Several other projects (Minneapolis Museums) important to our area are in this year's bill as well, including funds for the Law Enforcement Center addition at Alexandria Technical College (I agree on this one) and money to improve rural waste water treatment facilities.
This year's bonding bill will protect the public safety and economic security of Minnesota. It will invest in new classrooms at our state colleges and universities, increase our ability to produce skilled workers and clean up the state's waters. (Once we agree to raise our sales taxes this fall in a referendum)
Most of all it will put people to work all over the state (just not here in any significant fashion) and is an essential part of our future success. (Representative Otremba really, really hopes.)
Congressman Collin Peterson DFL (MN-7) to sponsor a conference for DUMB PEOPLE.
I am sure there is still time to sign-up.
Collin Peterson, chairman of the House of Representatives agricultural committee, says the farm sector that raises organic produce and grass-fed beef for local consumers needs little federal help.
Connecting local foods and economic opportunity is the theme of a conference and showcase to be held Sunday, March 30 and Monday, March 31 at the University of Minnesota, Crookston.The Home Grown Economy Conference is sponsored by Seventh District Congressman Collin Peterson.
Collin Peterson
Collin Peterson, chairman of the House of Representatives agricultural committee, says the farm sector that raises organic produce and grass-fed beef for local consumers needs little federal help.
"It is growing, and it has nothing to do with the government, and that is good," he told the FT. "For whatever reason, people are willing to pay two or three times as much for something that says 'organic' or 'local'. Far be it from me to understand what that's about, but that's reality. And if people are dumb enough to pay that much then hallelujah."
'Home Grown' conference March 30-31 at UMC
By Times StaffPublished:
By Times StaffPublished:
Wednesday, March 12, 2008
Connecting local foods and economic opportunity is the theme of a conference and showcase to be held Sunday, March 30 and Monday, March 31 at the University of Minnesota, Crookston.The Home Grown Economy Conference is sponsored by Seventh District Congressman Collin Peterson.
There is still space available for those looking to register.Here's how the event will play out:
March 30, Local Food & Wine Sampler Showcase from 5-8 p.m.
- Presentation by Peterson and short films along with local foods and wine from area wineries
March 31, Home Grown Economy Conference from 8 a.m.-4 p.m.
- Featuring Dr. Kate Clancy, senior policy analyst for Union of Concerned Scientists; Ken Meter, MPA, Crossroads Resource Center and more. Exhibits, panel discussions and lunch featuring locally grown foods.
Register at http://www.regionalpartnerships.umn.edu/ or contact the Crookston Regional Center at 281-8027 (mleblanc@umn.edu).
Collin Peterson
Thursday, March 20, 2008
Volatility is bad for Minnesota!
I am not talking about stocks, rather, the surplus & deficits here in Minnesota.
I have been watching my stock portfolio go up and down over the past few months. Up 400 points....Down 300 points.....Up 200 points.....UGH! That is just a highlight of a few days this week if you have had the stomach to watch the market.
Watching the Minnesota budget projections over the past decade have resulted in the same experience. Down 4 billion... Up 2 billion... Down 1 billion. As the old saying goes: "A billion here; a billion there, and soon your talking about real money ."
The results of the massive swings in budget numbers illustrates what is occurring right now in the stock market. Overreaction, uncertainty, and not much good occurring in the short-run. The only cure in this type of market or government environment is for someone to show LEADERSHIP.
Instead, leadership, has been replaced by the "Rainy-Day Fund" down at the capital. Taxpayers should be upset about what the "Rainy-Day Fund" has morphed into over the past decade. It has become a way to shirk responsibility, avoid talking about real issues, and Minnesotans are the real losers because legislators are continually "fixing" what can, in large part, be solved with LEADERSHIP.
A number of the Governor's commissions have begun to concern me. Commissions have a place, and pulling the "hot button" issues out of a politically charged process is appropriate at times. However, I just posted the real disappointing Health Care Task Force recommendations racing through the Minnesota Legislature on my blog. I worry about the State Budget Trends Study Commission, and what might be coming at taxpayers without much advanced warning.
The quote: “The opposite of courage in our society is not cowardice, it is conformity.” really starts to ring true in the Mayor's mind after reading a quote from a member of that commission.
I am disappointed because I think the commission in some respects has taken the place of bold leadership. The commission, as posted below, admits they are not going to show leadership by "recommending specific funding levels". Instead they are going to practice conformity and present what appears to be tax and spending shifts. Neutral always equals nowhere!!
We obviously do not have a report yet, and I will be pleased to have been proved incorrect.
In the hubbub of the closing days of the 2007 session, you may have missed that the legislature created a State Budget Trends Study Commission, made up of economics experts of various sorts and tasked with figuring out the key factors that cause instability in Minnesota’s state budget. By January 15, 2009, they will recommend changes to Minnesota’s tax and budget system to reduce that budget volatility. This could mean an expanded sales tax, for example. It’s a very important topic with far-reaching implications. I should note that the Commission has made it clear it wants to stay away from recommending specific funding levels for programs - they will leave that to the state legislature.Katherine Blauvelt: Minnesota Budget Bites
If we are going to reduce the year to year volatility in our budget process we must address the most volatile areas from a tax and spend perspective. Look at the 2002 Minnesota Department of Finance Report. It is certainly comparable to today, so we know what the problems are and can reasonably deduct how to correct them. I understand that it will result in a political fight, but again, we have a winning issue once it is explained CLEARLY and REPEATEDLY.
I even agree with former DFL appointed Commissioner Jay Kiedrowski below:
He (Pawlenty) needs to lead the Legislature to put in place the recommended permanent tax and spending reforms to reduce the volatility of state finances. Many of our current legislators have been in office through the ups and downs and should be willing to address this volatility.
Let's end the seemingly perpetual budget forecast revisions. Let's get off Minnesota's financial roller coaster. Let's focus on more-important public issues.
Jay Kiedrowski: Commissioner of finance under DFL Gov. Rudy Perpich
We need to have a tax structure that does not rely on corporate taxes. Having a more competitive corporate tax structure would make the Minnesota financial "pie" bigger. I think Democrats are to static when they talk about taxes and spending and maybe we need to explain basic economics to them first.
Second, we should reform the welfare and health care systems during this same period (with free market reforms) so that permanent savings can be used to reduce the temptation for tax increases or shifts to our small businesses and families. I understand the political challenge this point presents.
Governor's Health Care Task Force: Wrong, Wrong, Wrong!!!
| A sow's ear of corporate socialism |  |  |  |
Written by Craig Westover | |
Thursday, 20 March 2008 08:30
| |
St. Paul Pioneer Press by Craig Westover Driven by cost reduction, the recommendations of the Governor's Health Care Transformation Task Force, many of which are rapidly moving through the Legislature in health care reform bills, are, as I discussed in Wednesday's column, a fundamentally flawed approach to health care reform. The Legislature charged the Transformation Task Force with reducing the cost of Minnesota's health care system by 20 percent by the year 2011, while increasing access to health care and improving quality. Should task force recommendations become law, state government and corporate health plans will make decisions about your medical care and set standards by which you conduct your everyday life. The task force ignored economic factors affecting health care costs (including government policies) and instead focused on the very narrow assumption that the "culprits" creating rising health care costs are physicians who perform too many expensive procedures and the rest of us who live unhealthy lifestyles. To control our doctors' and our personal behaviors, the Transformation Task Force would: -- Expand the concept of "public health" so virtually no behavior would be exempt from regulatory oversight. -- Radically reform health care provider pay by shifting "accountability for the total cost of care" from health plans to providers. -- Radically overhaul the insurance market by creating a nonprofit health insurance exchange that would de facto control the price and variety of insurance available in Minnesota. For the layman, the most disturbing sections of the Transformation Task Force report are those that expand the concept of "public health" to include virtually any behavior with an impact on the cost of health care. Sure, Minnesotans would be better off if we were all a little skinnier, exercised a little more, smoked and drank a little less, and never strayed one toke over the line. Good health habits can prevent chronic diseases, and chronic diseases raise the cost of health care. But do Minnesotans really want to live in a state that requires "the active engagement of employers, schools, communities and the health care system" to enforce healthy behavior? Is the body mass index of your children a matter of public health? Is it the legitimate responsibility of the Department of Education to "ensure that schools are held accountable for making progress on health improvement goals" (A No Child's Behind Left Behind Act)? Does recommending the Legislature "encourage and/or require employers, schools, communities and health care organizations to adopt age-specific goals" for certain health conditions and diseases portend any consequences we ought to fear? (My emphasis added.) "If we want to control costs, we need to stop adding more people with preventable chronic disease to the health care system," the task force declares. That idea is common to every resurgence of eugenics from Margaret Sanger to the Third Reich to the forced sterilization of 1,200 "feeble-minded" patients in Minnesota during the 1920s. For now, the Task Force offers the unhealthy among us the opportunity for re-education and repentance — but what will Minnesota do with those who can't kick their unhealthy habits or the heretics who refuse to turn in their Milky Ways? What will Minnesota do with those who persistently, as Justice Oliver Wendell Holmes wrote upholding a forced sterilization law, "sap the strength of the State"? Cost reduction also drives the way the Transformation Task Force misconstrues the meaning of common words. The task force defines words in terms of costs to the health care system, not their meaning to an individual. Thus, it makes perfect sense for the task force to believe a board of experts should determine if new medical technology has enough "value" to be included in the system. An example of this attitude is the reaction of Sen. Linda Berglin to a proposed private cancer radiation treatment center in Woodbury. Berglin served on the Transformation Task Force and is chief sponsor of the Senate health care bill. Berglin and other legislators supported a moratorium on radiation therapy centers to limit duplication of costly facilities and protect hospitals from competition for lucrative outpatient cancer services. How can that be — when the Transformation Task Force report promotes "competition" and "patient-centeredness"? "Competition" logically means individual health care providers competing for individual patients on quality and price based on the individual's conception of value — much like Lasik surgery works today. Independent Lasik surgeons have had to innovate, improve their procedures, upgrade their technology and lower their prices to attract patients. Lasik surgeons operate outside the managed care payment system. In the task force world, "competition" is "managed." Under the task force payment reform plan, health care providers must bid as low as possible for a contract to serve a population of patients offered by a managed care organization. Think of it like putting out a bid to provide computer maintenance: The task force approach is health care on an industrial model where we carbon-based units are maintained and repaired according to the manual. Unfortunately, we are not all the same make and model. In the task force health care system, a provider's profit depends on how "efficiently" it provides medical treatment. The provider can be "efficient" by developing innovative treatment methods or by rationing the treatment it provides. Which method the provider chooses has great consequences for the patient, but from the task force's perspective of keeping costs down, either approach would yield "high value health care." And, lest the Transformation Task Force leave any minor detail of your life untouched, it would require every Minnesotan to have a minimum amount of health insurance, dictate to health plans whom they must cover for what at what price, and create a health insurance exchange that effectively would eliminate the role of private insurance brokers. Wednesday's and today's columns have scratched the surface of the Transformation Task Force recommendations. They haven't touched the report's bureaucratic proposals, data privacy issues, the true costs of implementation or the biases of the organizations that guided the task force's process. Those are not minor issues, but as noted Wednesday, the devil is not in the details of the Transformation Task Force report — he is sitting in plain sight. While claiming to be "market-driven" and "patient-centered," "competitive" and "focused on outcomes" and structured around "quality," "price transparency" and "value," the Transformation Task Force report is none of these. From the sow's ear of corporate socialism, one cannot stitch a silk purse "market-driven," "patient-centered" health care system. The Health Care Transformation Task Force is not a starting point for reform; it is a dead end. Craig Westover is a contributing columnist to the Pioneer Press Opinion page and a senior policy fellow at the Minnesota Free Market Institute (www.mnfmi.org). His e-mail address is westover4@yahoo.com. |
Coleman 2008 Re-election Campaign Starts Now!!
Greetings Coleman Supporters!
Senator Coleman is going to be officially kicking off his re-election campaign in Alexandria next week, and we want to invite you to this important event!
Here's the info:
Thursday, march 27th - 11:00 AM
Traveler's Inn Restaurant Alexandria
511 Broadway Street.
If you would like to RSVP or need more information about the event, send an e-mail to mailto:kfuzer@colemanforsenate.com or contact our office at (651) 645-0766.
We hope you'll have an opportunity to come to this exciting event and help us kick off Senator Coleman's 2008 campaign!
Sincerely,
Team Coleman
Wednesday, March 19, 2008
Senator Coleman: Prudent action on Bovine TB
Coleman Seeks Immediate Action on Bovine TB
Staff Report
Grand Forks Herald
Sen. Norm Coleman, R-Minn., said Friday he is seeking immediate emergency funding to halt the spread of bovine tuberculosis. His office said he’s sent a letter to the Office of Management and Budget Director Jim Nussle asking him to approve U.S. Department of Agriculture funds as soon as possible. The money would allow affected farmers to destroy their herds and receive compensation. Read the Full Article
Please visit Senator Coleman's website and DONATE to his campaign. He is the right candidate for rural Minnesota. His leadership on many area's relating to our agricultural industry and rural economy have been steady, helpful, and beneficial.
Just a polite jab at Collin Peterson: Please note Senator Coleman's response does not include a Mandatory National Animal ID system run by the government.
JOBZ on Minnesota DFL chopping block.
I have long been been a proponent of reforming the JOBZ program. The DFL, again, seeks to eliminate what has been a good program for businesses here in Clarissa. It certainly has its problems, but I think reforming some aspects of it rather than eliminating it is the responsible way to go.
The DFL needs to ensure they are honoring the commitments that have been made to these JOBZ businesses. I believe what they are proposing is pulling the rug out from under the businesses and actually not honoring the multi-year commitment.
I wish the DFL would show this kind of zeal to eliminate other government programs that are more dysfunctional and wasteful when there are problems. We could solve this deficit very quickly and lower every one's taxes.
Bill to reduce state deficit gets a hearing
Last update: March 19, 2008 - 1:19 PM
Last update: March 19, 2008 - 1:19 PM
KEVIN DUCHSCHERE
A bill designed to help close the state's nearly $1 billion projected deficit by eliminating most corporate subsidies received its first hearing this morning from wary but intrigued members of the House Taxes Committee.
The bill, sponsored by committee chair Rep. Ann Lenczewski, DFL-Bloomington, would repeal tax exemptions for foreign operating corporations, foreign royalties and Metropolitan Airport Commission property, and remove tax incentives for research and development and bovine testing.
It also would end the state JOBZ program, which provides tax breaks for businesses to open and operate in designated economic districts across the state. The program long has been championed by Gov. Tim Pawlenty.
But the bill as proposed by Lenczewski also includes some good news for business: it would lower the state's corporate tax rate by one percentage point, from 9.8 percent to 8.8 percent. (The Mayor will tip is hat for the DFL to propose this! I would love to see which party can best the other on cutting taxes!!)
Including new revenue from the eliminated corporate tax breaks and lost revenue from the tax cut, the state Revenue Department estimated that the bill would add $171 million to the general fund next year, $135 million in 2010 and $153 million in 2011.
The bill was introduced Tuesday. No companion bill has been introduced yet in the Senate.
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