Search
Archives
Categories

Archive for the ‘Reforms’ Category

This article about President-Elect Trump’s deal with Carrier includes the obligatory ‘this sets a dangerous precedent’ quote. In this article, Steve Weitzner of Silverlode Consulting is quoted as saying “It’s a potentially dangerous policy where you reward a company that threatens to leave. It’s a dangerous precedent. Why wouldn’t every other company make the exact same pitch? In this case, you’re rewarding a company that is actually cutting a lot of jobs in the state.”

If this were done in a vacuum, Weitzner would’ve made a salient point. This isn’t happening in a vacuum, though. This was a stop-gap measure aimed at preventing a single company from leaving. The biggest thing that will incentivize other companies into staying is passing the Trump-Ryan tax simplification legislation. The other biggest thing that will incentivize companies to stay is Trump’s regulatory reforms.

What corporate CEO would have their job if they left a nation with low marginal corporate tax rates, a reasonable regulatory environment and a well-trained workforce? That’s a three-legged stool to build a vibrant economy around. That’s a foundation upon which a thriving economy is built.

Let’s be clear. The questions Weitzner asked are legitimate questions. If the Trump administration wasn’t intent on tax and regulatory reform, the Carrier deal wouldn’t be getting positive reviews. That’s why it’s important to look at this deal in its totality. It’s worth noting that companies will return to the US the minute it looks like President Trump’s tax and regulatory plans are becoming reality.

Finally, imagine a company CEO getting a call from President Trump telling them that their company would get hit with expensive tariffs if they left the US. I can’t imagine that being a pleasant conversation.

Technorati: , , , , , , , ,

After Donald Trump’s victory, there’s been a noticeable outbreak of bipartisanship from red-state Democratic senators.

For instance, “North Dakota Sen. Heidi Heitkamp (D-N.D.) is ready to work with Republicans on legislation to invest in ‘clean coal’ technologies. More broadly, she says she’s willing to work across the aisle on regulatory reform. ‘My priority is standing up for North Dakota, not party politics. The reason I’m in the U.S. Senate is to work with Republicans and Democrats to get things done,’ she told The Hill in a statement.”

Meanwhile, “Sen. Jon Tester (D-Mont.) hopes to work with Republicans to reduce the deficit, clean up Washington by stopping former lawmakers from becoming lobbyists and passing legislation to improve service at the Department of Veterans Affairs, a major Trump talking point during the campaign.”

Before you think the Democratic Party has changed into a principled political party, don’t. There’s an explanation for their sudden ‘appreciation’ for bipartisanship:

While outgoing Senate Democratic Leader Harry Reid (Nev.) didn’t want Democrats to work with vulnerable Republicans ahead of the 2016 elections, his heir apparent Sen. Charles Schumer (D-N.Y.) is signaling a willingness to let his members do what they need to do to survive in the next Congress.

TRANSLATION: Sen. Schumer has seen the 2018 electoral map. It frightens him. He’s willing to momentarily retreat if it’ll prevent a bloodbath for Senate Democrats.

The thing for Republicans to highlight is whether this cooperation leads to bills getting to President Trump’s desk for his signature. If Sen. Tester works with President Trump on the deficit but doesn’t work with Sen. Heitkamp on regulatory reform and on repealing Obamacare, then we know that Democrats are playing procedural games.

The litmus test for Republicans should be whether Democrats will work with President Trump on Obamacare’s replacement. If there aren’t blocks of Democrats willing to repeal and replace the ACA, then it’ll be clear that Democrats aren’t really interested in productive bipartisanship.

Technorati: , , , , , , , , , , , , , ,

Thursday, Senate Republicans voted to make Paul Gazelka the new Senate Majority Leader for the 2017-18 session. At his press conference after the vote, Sen. Gazelka said that “the Republican agenda for the 2017 session with include reduced government spending, tax relief and reduced healthcare costs.”

There’s certainly a mandate to fix MNsure and Minnesota’s health care system. Health insurance premiums have gone through the roof. Access is getting more limited each year. Options are dwindling each year, too. It’s worth noting that House and Senate Republicans ran on fixing MNsure and on skyrocketing health insurance premiums.

According to this article, Sen. Gazelka understands the situation they’re in, saying “We’re going to have to figure out a way to work together at some level. We’re going to work with the governor. We’re going to work with the House and we’re going to do good things for Minnesota.” It doesn’t take Nostradamus to predict that Gov. Dayton will pick lots of fights with Republicans.

Last year, when there was a DFL majority in the Senate, Gov. Dayton still threw a hissy fit pretty much each week. He campaigned hard for an all-DFL legislature, saying that was the only way they’d get things done, which I wrote about here, here, and here. It isn’t just that Gov. Dayton didn’t get an all-DFL legislature. It’s that Minnesotans gave us GOP majorities in the House and Senate.

This is the video of the Senate GOP announcement of Sen. Gazelka getting elected as the Senate Majority Leader-elect:

I hope I get to meet Dr. Darrell Downs someday, hopefully soon. Dr. Downs’ op-ed is the most thoughtful, yet provocative, op-eds I’ve ever read. Having written more than a few LTEs and op-eds myself, I know what goes into writing something of this length and quality.

First, I’d like to thank Dr. Downs for his avoidance of using euphemisms and sugarcoating. It was refreshing to read Dr. Downs say “Minnesota State College and University (MnSCU) or ‘Minnesota State,’ as it has recently renamed itself, is in need of real change. It does not need re-branding gimmicks, new statewide strategic planning, or re-alignments that ignore campus input. As Minnesota State’s June report on financial sustainability said, ‘Houston: the system has a problem’ – I would agree except I would clarify that the system ‘is’ the problem. It’s time to face the reality that the broad authority granted to it by the legislature in 1991 has left the Minnesota State trustees with little formal allegiance and no accountability to the campuses they were appointed to govern.”

This identifies MnSCU’s bad habits quickly. The structure was flawed from the start. It established a bureaucracy without establishing who was responsible for ensuring accountability to the taxpayers. That’s likely because accountability wasn’t that high of a priority. Then Dr. Downs cuts to the heart of the matter of what’s broken:

Minnesota State is led by 15 trustees appointed by the Governor and is run by a central bureaucracy comparable in size to the largest of our state universities. The trustees possess overall governing authority, as well as the authority to set academic policy. Bit by bit, this authority has imposed uniformity on how the campuses are managed and increasingly on how the courses are taught, with rare, if ever, meaningful input from campus communities.

Let’s examine this a bit. Let’s think of this from the standpoint that different communities and different regions of the state have different workforce requirements. Top-down bureaucracies don’t specialize in customization. They specialize (if that’s the right word) in one-size-fits-all ‘solutions’ that are frequently counterproductive.

Next, let’s examine this situation:

Minnesota State’s June report reflects the same tin ear to the value of campuses. It even takes aim on labor agreements so it can more easily create “dedicated administrative structures.” Campuses and their instructional spending are apparently viewed as the key cost drivers while the administrative side of the house is somehow in need of protection. Pardon me for complaining that a system devoted to education now views administration as a fixed cost, while spending on instruction is viewed as a variable cost. This is the same wrong-headedness that led to the MnSCU faculty rejecting the Chancellor’s Charting the Future plan in 2015, and the state university faculty’s votes of no confidence in his leadership.

Think about this. Colleges and universities are where students go to learn, at least theoretically. Based on MnSCU’s ‘business model’, it sounds like the Trustees’ highest priority is to provide administration without providing a great educational product. That’s as foolish as I’ve ever heard.

If you don’t take anything else from this post, highlight this:

It noted that while administrative spending per student was presented by MnSCU to be low compared to other states, the audit found that it depends on how you count administrative spending, and if all administrative supports are counted, MnSCU ranks well above other states in spending per student. So who among the trustees is charged with protecting the instructional priorities on the campuses?

Like I said earlier, there is a bureaucracy established. Its priorities, however, aren’t established, or, more to the point, their priorities aren’t the right priorities.

Dr. Downs is right. It’s time to kick down the doors. It’s time for real change within MnSCU. This isn’t just a warning to the bureaucrats. It’s putting legislators on notice that we aren’t satisfied with the product MnSCU has been producing and we’re not going to take it anymore.

Technorati: , , , , , , , , , , , , , ,

With the end of session approaching quickly, the DFL’s spin operations are definitely ramping up. Spearheading their effort this year is DFL Chairman Ken Martin, starting with this op-ed. Predictably, it’s his responsibility to spin things in the DFL’s favor whether they’re rooted in truth or not.

For instance, Chairman Martin isn’t telling the whole truth when he said “Gov. Mark Dayton and DFL legislators have thrown out some good pitches on education funding, compromising on a transportation fix and addressing racial and economic disparities.” The only pitch that Gov. Dayton and the DFL have thrown out on transportation has been to shrink the size of the DFL’s middle class tax increase. Further, it’s dishonest for Chairman Martin to say that “Republicans refuse to play ball.”

This article reports that negotiations have essentially started. David Montgomery’s reporting says that the DFL “proposed increasing the normal per-gallon gas tax by 12 cents, phased in over three years” while allowing “metro-area counties redirect some tax money currently going to transit to roads and bridges.”

Montgomery also reported this:

Republicans officially offered to consider a sales tax increase to pay for metro-area mass transit, though they want some concessions in return. In particular, they want to change the Metropolitan Council, which would spend that tax increase on mass transit, to require all its members be composed of local elected officials.

Changing the Met Council from an unaccountable entity into an accountable board, if it happens, is a big deal. The fact that the Met Council is still unaccountable is one of the great tragedies in Minnesota political history. The fact that the Met Council is still unaccountable and has taxing authority is possibly the biggest tragedy in recent Minnesota political history.

This article features a Trump quote that isn’t attached to reality. Campaigning in Wisconsin earlier this week, Trump said “if we win Wisconsin, it’s going to be pretty much over.” The thing is that Sen. Cruz will win the Wisconsin primary with a fairly solid margin.

Last night, Megyn Kelly asked conservative talk show host Charlie Sykes if the Walker endorsement would help Sen. Cruz. Sykes affirmed that it would, saying that Trump attacking Gov. Walker in a state where he’s still popular “is weapons-grade stupid.” Sykes said that Trump would lose “vote-rich southeastern Wisconsin” and lose it badly because he’s offended too many conservative women. That most likely means Trump will get hurt badly in the Milwaukee suburbs because that’s the source of Gov. Walker’s electoral strength and because Sen. Cruz does better with well-educated voters than with less-educated voters.

Trump simply couldn’t resist criticizing Gov. Walker. Trump’s been critical of Gov. Walker for months. During one of Trump’s rallies, he said “But you had a $2.2 billion budget deficit and the schools were going begging and everything and everything was going begging because he didn’t want to raise taxes because he was going to run for president.”

Campaigning in Janesville, WI, Trump said “Cruz likes to pretend he’s an outsider and in the meantime he gets all the establishment support, including your governor.” That’s quite the turnaround from what Trump said about Sen. Cruz in January:

“Look, the truth is, he’s a nasty guy. He was so nice to me. I mean, I knew it. I was watching. I kept saying, ‘Come on, Ted. Let’s go, OK.’ But he’s a nasty guy. Nobody likes him. Nobody in Congress likes him. Nobody likes him anywhere once they get to know him,” the real estate mogul said.

Apparently, Trump can’t decide whether Sen. Cruz “gets al the establishment support” or whether everyone hates him because he’s a nasty guy. While speaking out of both sides of his mouth won’t deprive Trump of the nomination by itself, it’s just another thing that’s getting in his way.

Sykes decimated Trump in this interview:

Here’s the pull quote worth noting:

SYKES: Donald Trump, I just don’t think of the term nuanced in terms of Donald Trump. I think he’s a bad mix for Wisconsin.
CHARLES PAYNE: Why is he a bad mix for Wisconsin? Is he not a conservative? Doesn’t he have some of your conservative principles? No?
SYKES: No. He’s not a conservative. He’s a narcissist — He’s a content-free narcissist and he’s an authoritarian who has not even take the time to learn about the issues he’s talking about. I think that, instead of articulating the kind of conservative values, for example the kind that Paul Ryan and Scott Walker have talked about, he’s essentially created a brand, which is Donald Trump and it’s a cult of personality.

Ouch. As I watched the interview, I kept waiting for Sykes to stop and say ‘Other than that, though, Trump’s a great guy.’ That line didn’t arrive. Unfortunately for Trump, this line arrived with a punch:

SYKES: I don’t think he’s gonna win in Wisconsin and I think you’re going to see that over the next week, that in fact, in southeastern Wisconsin, which is a very voter-rich area, he’s got an approval rating of about 25% and a disapproval rating of more than 60% because when voters start to pay attention to what he actually represents, it doesn’t resonate with voters.

Mathematically speaking, it’s difficult to picture how a candidate gets trounced in the most voter-rich part of the state, then makes it up in the rest of the state. That’s assuming that Trump is somewhat popular in the rest of Wisconsin.

It’s been reported that Gov. Kasich pulled his ads from Wisconsin. Sykes said that isn’t true, noting that he’s pulled his ads off of southeastern Wisconsin radio stations and putting them up in western Wisconsin.

Whether Trump wins the nomination is still too far out to predict. Still, Trump isn’t close to closing the deal with Republicans. It’s understatement to say he isn’t heading in the right direction.

Technorati: , , , , , , , , , , ,

This article by CNN’s Maeve Reston and Stephen Collinson is a worthwhile read. That doesn’t mean they don’t get some important things wrong, though.

It’s apparent that they think anyone calling themselves a TEA Party conservative agrees with Ted Cruz’s strategies 100% of the time. That’s apparent when they said “Despite the constitutional constraints on action in Washington and the presence of a Democratic President with a veto in the White House, they are furious that the GOP has failed to overturn Obamacare.”

Actually, I’m not upset with the GOP Congress for “fail[ing] to overturn Obamacare.” I’m furious with Mitch McConnell and John Boehner for not pushing the conservatives’ reform agenda. There’s no excuse for why they haven’t pushed Tom Price’s health care reforms. It’s filled with popular features that are infinitely more popular than the mandates in the ACA. There’s no excuse for not pushing Paul Ryan’s tax simplification legislation. Republicans and Democrats alike support tax simplification. Most importantly, it’s supported enthusiastically by small business entrepreneurs.

There’s no excuse for Mssrs. Boehner and McConnell haven’t pushed cutting government based on the GAO’s reports of duplicative programs. I’d love hearing Democrats defend programmatic duplication that runs into the tens of billions of dollars. (That isn’t a typo. It’s billions with a B.)

Finally, and I’m especially passionate about this, there’s no justification for not pushing Ron Johnson’s regulation reform. Sen. Johnson’s reforms aim to neuter something he calls “weaponized government.” When the EPA insists that a couple in Idaho can’t build their dream home on land they purchased because there’s a low spot somewhere on the property, that’s weaponized government. There’s nothing about that that lives up to “of, by and for the people.”

Though I’m upset with CNN, that’s nothing compared with how pissed off I am with Mssrs. Boehner and McConnell.

Prior to the start of Friday’s special session, Speaker Daudt, Rep. Thissen, Sen. Hann and Sen. Bakk signed an agreement with Gov. Dayton to pass the bills that they agreed to. Part of that agreement was that neither body would amend the bills that were pre-written and posted on the legislative website.

When Sen. Bakk couldn’t deliver enough votes to pass the Ag/Environment bill, the environmental activists pushed him to amend the bill to strip out 2 important reforms from the bill. The biggest reform was eliminating the Citizens Board, which can overturn decisions that the MPCA has made. When Sen. Bakk caved to the environmental activists demands, the bill went to the Senate floor, where it passed without Republican votes.

What happened next was that the House amended the amended Ag/Environment bill, putting the agreed-upon language back into the bill. The MacNamara Amendment passed by a 73-52 vote:


After the amendment passed, the House passed the bill by a 78-47 margin. Shortly thereafter, Speaker Daudt issued this statement:

“This is a responsible bill that meets the needs of our state agencies such as the Department of Natural Resources and the Minnesota Board of Water and Soil Resources,” said State Representative Denny McNamara (R-Hastings), who chairs the Minnesota House Environment and Natural Resources Policy and Finance Committee. “The bill also includes a number of policy reforms and initiatives that have bipartisan support.”

After the Senate changed the agreed-upon language of the legislation, the House moved to restore the original language. “By passing this legislation, we are honoring the commitment we made to Minnesotans with the four legislative leaders and the governor. Now the Senate has the opportunity to do the right thing and send this bill to the governor,” said House Speaker Kurt Daudt (R-Crown).

“When this bill becomes law, Minnesota will be able to continue to protect and preserve its food supply, make needed investments in research, and have the funds necessary to respond to the avian flu outbreak.” said State Representative Rod Hamilton (R-Mountain Lake), chair of the Minnesota House Agriculture Finance Committee.

The legislation funds state agencies such as the Department of Agriculture, the Agriculture Utilization Research Institute, the Board of Animal Health, Pollution Control Agency (MPCA), Minnesota Zoo, Department of Natural Resources (DNR), Metropolitan Council – Regional Parks, Minnesota Conservation Corps, Board of Soil and Water Resources (BWSR), and the Science Museum of Minnesota for the 2016-17 budget cycle.

Highlights of the omnibus agriculture, environment and natural resources finance bill include:

  1. Providing nearly $23 million to state agencies in order to better prevent and respond to the avian influenza outbreak that has devastated Minnesota turkey flocks
  2. Creating a new grant program for cities with a population of less than 45,000 in Greater Minnesota to incentivize single stream and other recycling programs.
  3. Increasing funding for Soil and Water Conservation districts to fund more “on the ground” projects.
  4. Providing much-needed reforms to the Wetland Conservation Act, which were developed over the past year and are a consensus of interested parties (such as groups representing farmers and environmentalists).
  5. Approving an initiative that builds on the successful example of counties and landowners that have used a voluntary and locally based process to install buffers to enhance water and soil protection.
  6. Repealing the current ‘Aquatic Invasive Species (AIS) Trailer Sticker/Decal’ law, and replacing it with a requirement that the boat owner sign an affirmation stating they will abide by AIS laws.

This has been a ‘session from hell’ for Sen. Bakk. In February, he ambushed Gov. Dayton over the commissioners pay raise bill that he voted for. That caused Gov. Dayton to accuse him of stabbing Gov. Dayton in the back, which is an accurate accusation. After that outburst (by Dayton), Kurt Daudt became the only man who Sen. Bakk and Gov. Dayton trusted.

Thanks to this Ag/Environment bill, the DFL special interest groups have put Sen. Bakk at the top of their hit list. They’re even calling for Sen. Bakk’s ouster as Senate Majority Leader. If this thing isn’t wrapped up soon, Bakk won’t have a friend left in St. Paul.

UPDATE: The Ag/Environment bill finally passed as originally drafted. After it passed the House 78-47, it went to the Senate. Sen. Marty made a motion not to concur with the House bill. That motion failed on a 39-28 vote. Sen. Tomassoni made a motion to concur with the House bill as amended. Sen. Tomassoni’s motion to concur passed 40-26. On final passage, the bill passed 38-29. The bill now heads to Gov. Dayton’s desk for his signature.

All of the bills that fund government have now passed. They await Gov. Dayton’s signature.

UPDATE II: This is what put it over the top:

Technorati: , , , , , , , , ,

Until recently, Rep. Gene Pelowski, (DFL-Winona), had a reputation of being a reformer of higher education systems. That reputation has slipped mightily in the last 3 years. I wrote this post to highlight how disengaged he’s been on higher education:

Chairman Pelowski hasn’t held a single hearing looking into any of these disgraceful events. Examining the minutes for the House Higher Ed Committee’s meetings shows that Chairman Pelowski didn’t devote a single minute on oversight. Chairman Pelowski didn’t ask Clarence Hightower where negotiations were at between the Board and Chancellor Rosenstone. He didn’t ask the MnSCU Board about contract negotiations between MnSCU and the IFO.

Rep. Pelowski’s inattention to detail is only surpassed by his willingness to insist on just throwing more money at the problem without providing proper oversight. Here’s something from his latest e-letter:

Rep. Gene Pelowski, the minority lead on the committee, issued the following statement after the vote:

“With a projected budget surplus of $1.9 billion, now isn’t the time to burden our college students with more debt. If enacted, the House Republican’s bill would lead to increased tuition for Minnesota’s students and more debt. Making higher education more accessible and affordable is part of Minnesota’s economic success that produced the $1.9 billion surplus.”

Again, Rep. Pelowski hasn’t demonstrated an attitude towards making sure MnSCU spends the taxpayers’ money wisely. Rep. Pelowski’s attention is solely focused on funding.

KEY QUESTION: Why isn’t Rep. Pelowski interested in efficiency?

Here’s what’s heartbreaking. Throwing good money into a dysfunctional system incentivizes corrupt officials to continue misspending money on unimportant initiatives. Nothing about that sounds right to a sane person. While I’m picking on Rep. Pelowski in this post, the truth is that other legislators have the same attitude.

In 2007, when higher ed funding was increased by $296,000,000, Sen. Sandy Pappas complained that we were “starving higher education.” Despite that increase in funding, students still got hit with major tuition increases. That $296,000,000 increase, BTW, represented an 11% increase in funding.

The point is that MnSCU received a major funding increase but didn’t lift a finger to limit tuition increases. Parents got hit twice, once for a funding increase, then with a tuition increase. There’s nothing equitable about that. In fact, it’s a rip-off to parents. That’s before talking about students who had to take out student loans to pay for MnSCU’s fiscal insanity.

Technorati: , , , , , , , ,

Brian Beutler is one of the left’s most prominent attack puppies. He didn’t even wait for Sen. Rubio to declare his intention to run for the White House before launching an intellectually feeble attack. If this is the Left’s best shot, they’re in trouble:

Senator Marco Rubio, who will announce his candidacy for president on Monday, was supposed to lead a GOP breakaway faction in support of comprehensive immigration reform, but was unable to persuade House Republicans to ignore the nativist right, and the whole thing blew up in his face. In regrouping, he’s determined that the key to restoring Republican viability in presidential elections is to woo middle class voters with fiscal policies that challenge conservative orthodoxy.

His new basic insight is correct. The GOP’s obsession with distributing resources up the income scale is the single biggest factor impeding it from reaching new constituencies, both because it reflects unpopular values and because it makes them unable to address emerging national needs that require spending money.

It also happens to be the raison d’être of the conservative establishment. Challenging the right’s commitment to lowering taxes on high earners, and reducing transfers to the poor and working classes, will encounter vast resistance. Where Paul can appeal to the moral and religious sensibilities of elderly whites who might otherwise oppose criminal justice reforms, a real challenge to GOP fiscal orthodoxy will get no quarter from GOP donors.

If Rubio were both serious and talented enough to move his party away from its most inhibiting orthodoxy, in defiance of those donors, his candidacy would represent a watershed. His appeal to constituencies outside of the GOP base would be both sincere and persuasive.

The first point worth making is that Mr. Beutler’s opinion is based on his belief that conservatism has been rejected. Starting from the perspective that a political philosophy is antiquated means the person thinks that philosophy isn’t viable. The next point worth making is that Mr. Beutler believes that the book John Judis co-wrote with Ruy Teixeira titled The Emerging Democratic Majority is still Gospel truth. It isn’t. Third, Mr. Beutler apparently thinks that Rand Paul appeals “to the moral and religious sensibilities of elderly whites.” That’s delusional thinking. Rand Paul has a following but it isn’t with Christian conservatives. Let’s examine Beutler’s opinions one at a time.

Conservatism wasn’t rejected by the public. It’s been rejected by politicians like John McCain, John Boehner, Mitt Romney and Lindsey Graham. These politicians have spent too much time listening to the DC Echochamber. When conservative principles are applied, like they’ve been applied in Wisconsin and Texas, they’ve produced fantastic results. Further proof that conservatism still resonates with people is that Marco Rubio repeatedly got standing ovations in his announcement speech and Scott Walker, supposedly a guy who was too boring to be a top tier candidate, got rave reviews for his speech in Iowa.

Next, The Emerging Democratic Majority worked for a couple of election cycles before failing the last 2 cycles. It’s even more pronounced during the midterms. The number of state legislative seats, not to mention the number of legislative majorities that flipped from blue to red, was nothing short of overwhelming.

Finally, Rand Paul isn’t, and never will be, beloved by Christian conservatives. I won’t say that libertarianism and Christian conservatism fit together like metric wrenches fit together with standard bolts. They’re not that incompatible. Rather, I’d say they aren’t a close fit and leave it at that.

There’s no question that the Clinton Machine will do its best to bloody the Republican nominee. It’s their only hope against young, attractive candidates like Gov. Walker and Sen. Rubio and their reform-centric agendas. If they can’t vilify these candidates, Hillary can’t win.

That’s why Hillary’s consultants are drinking Maalox like it was Gatorade on a hot summer’s day.

Technorati: , , , , , , , , ,