As Frankfort politicians often do, they have been throwing budget deficit/shortfall/overspending figures around enough to make our heads spin. Of course, that's the idea. When they are finished and before the next election, we are just supposed to remember how nice and smart they look on television.
The truth is that you only need to know one number to understand Kentucky's overspending problem. It's $1,508,494,000. That's the one-point-five billion dollars in new bonded debt our representatives authorized for themselves in the current budget bill.
Too much government costs us too much money. It's going to be very difficult to "reform" much of anything until we come to grips with that simple fact.
Wednesday, June 10, 2009
Hoover warns of failed special session
Kentucky's House Minority Leader Jeff Hoover isn't crazy about the idea of going back to Frankfort for a June session of the legislature without properly planning their $60,000 a day activity.
Hoover said: "This is my thirteenth year (in the General Assembly.) We've had several special sessions. And the good special sessions are where we have at least a working agreement coming into the special session."
I like the part about spending cuts and no more tax increases, but it would be better if we could target the cuts toward waste instead of the across-the-board variety, leaving all the same players in place to come back next year for a bigger piece of the pie.
Hoover spoke Wednesday at the June meeting of the Women Republicans of Central Kentucky in Lexington.
Hoover said: "This is my thirteenth year (in the General Assembly.) We've had several special sessions. And the good special sessions are where we have at least a working agreement coming into the special session."
I like the part about spending cuts and no more tax increases, but it would be better if we could target the cuts toward waste instead of the across-the-board variety, leaving all the same players in place to come back next year for a bigger piece of the pie.
Hoover spoke Wednesday at the June meeting of the Women Republicans of Central Kentucky in Lexington.
We have lights and cameras, but no Skippy
Finance and Administration Cabinet Secretary Jonathan Miller should be eager to weigh in on Gov. Steve Beshear's scheduled butt-kicking on casino gambling coming up next week, shouldn't he?
Tuesday, June 09, 2009
Lexington official lies under oath
Corporal John Vest's federal whistleblower lawsuit in the Lexington jail inmate abuse scandal took an interesting turn last week when FCDC Director Ron Bishop declared in his sworn testimony that he was "paralyzed" by the FBI investigation into the jail and determined not to find out anything or ask any questions about any wrongdoing that may have occurred.
The following conversation between Vest's attorney Bill Jacobs and Bishop will certainly be contradicted by other witnesses in court:
Jacobs: Did you ever learn that some of your officers went to Mr. Vest's wife's
workplace and intimidated her?
Bishop: No.
Jacobs: You never learned that? Did FBI instruct anybody at your place
to not do that, if you know?
Bishop: I'm not aware of any instructions.
Jacobs: Did you ever learn that McQueen chased Mr. Vest around New Circle Road?
Bishop: No, I'm not aware of that.
Jacobs: Never heard about it?
Bishop: No.
Jacobs: Did you, or anybody at your direction, ask officers after they went to the FBI, Department of Justice, or the Grand Jury, what was asked of them or what they said?
Bishop: No.
Jacobs: You never did that?
Bishop: No.
Jacobs: No to all of those?
Bishop: No to all of those.
Jacobs: Do you know if anybody did ask them what they were asked by the FBI?
Bishop: I'm not aware of anyone who did that.
Jacobs: Did you instruct your staff that you were supervising not to ask those questions?
Bishop: Yes.
Jacobs: Who did you tell?
Bishop: Jim Kammer, Todd Eades, Mary Hester, and the Majors, Majors Hill, Korb, White.
This easy to disprove lie will prove particularly ill-timed given that defendants are now cooperating with prosecutors.
The following conversation between Vest's attorney Bill Jacobs and Bishop will certainly be contradicted by other witnesses in court:
Jacobs: Did you ever learn that some of your officers went to Mr. Vest's wife's
workplace and intimidated her?
Bishop: No.
Jacobs: You never learned that? Did FBI instruct anybody at your place
to not do that, if you know?
Bishop: I'm not aware of any instructions.
Jacobs: Did you ever learn that McQueen chased Mr. Vest around New Circle Road?
Bishop: No, I'm not aware of that.
Jacobs: Never heard about it?
Bishop: No.
Jacobs: Did you, or anybody at your direction, ask officers after they went to the FBI, Department of Justice, or the Grand Jury, what was asked of them or what they said?
Bishop: No.
Jacobs: You never did that?
Bishop: No.
Jacobs: No to all of those?
Bishop: No to all of those.
Jacobs: Do you know if anybody did ask them what they were asked by the FBI?
Bishop: I'm not aware of anyone who did that.
Jacobs: Did you instruct your staff that you were supervising not to ask those questions?
Bishop: Yes.
Jacobs: Who did you tell?
Bishop: Jim Kammer, Todd Eades, Mary Hester, and the Majors, Majors Hill, Korb, White.
This easy to disprove lie will prove particularly ill-timed given that defendants are now cooperating with prosecutors.
No time for more stupid Frankfort budget tricks
Stateline.org reports Kentucky's corporate tax receipts are growing faster than those of any other state in the nation.
Where would they get such a silly idea? From the National Association of State Budget Officers. And where did they get their information? Gov. Steve Beshear.
There is nothing to this. Beshear is just using the fake revenue projections in order to show a higher "shortfall" next year.
Go here for the Stateline story and here for the NASBO report.
Where would they get such a silly idea? From the National Association of State Budget Officers. And where did they get their information? Gov. Steve Beshear.
There is nothing to this. Beshear is just using the fake revenue projections in order to show a higher "shortfall" next year.
Go here for the Stateline story and here for the NASBO report.
Jack Conway still mum on casinos
The Kentucky Horse Racing Commission today voted in a resolution to express support for Gov. Steve Beshear's baby step to full-blown casinos in Kentucky. Attorney General Jack Conway's father is on the Kentucky Horse Racing Commission.
Does this mean we now know where Senate candidate Jack Conway stands on casinos?
Does this mean we now know where Senate candidate Jack Conway stands on casinos?
Monday, June 08, 2009
Biden sees no economic critics
Speaking today on a media conference call, Vice President Joe Biden dodged several questions about the Administration's bogus claims of saving or creating millions of American jobs.
"No one is out there saying our administration has come up with a phony way of measuring jobs," Biden said.
Right. No one but Harvard economist Greg Mankiw. UC Berkeley economist Brad DeLong and Princeton economist Paul Krugman (both huge Obama fans, except when they criticize him for not being Left enough) have been strangely silent on the subject:
"No one is out there saying our administration has come up with a phony way of measuring jobs," Biden said.
Right. No one but Harvard economist Greg Mankiw. UC Berkeley economist Brad DeLong and Princeton economist Paul Krugman (both huge Obama fans, except when they criticize him for not being Left enough) have been strangely silent on the subject:
When is a blog not a blog?
Why would Gov. Steve Beshear say he is starting a blog and then not allow comments on it?
And I'm a big UK basketball fan, too. But Gov. Beshear would do well to mix in to his inner circle some people who might help free Frankfort from its losing ways.
And I'm a big UK basketball fan, too. But Gov. Beshear would do well to mix in to his inner circle some people who might help free Frankfort from its losing ways.
Casino gambling not even a top five issue
Casino gambling is getting all the attention in Frankfort right now, but we have much bigger fish to fry.
Kentucky's unemployment benefits deficit of over $207 million is getting bigger every week. This isn't a smoke-and-mirrors "shortfall" game. This money will have to be paid back to the federal government in the next state budget.
Continuing to throw up across-the-board spending cuts as Gov. Steve Beshear does won't solve the persistent problems in jobless benefits, Medicaid, or public employee benefits.
Eliminating programs that don't work and improving spending accountability provide opportunities we can't continue to ignore. We should begin with stopping corporate welfare, repealing prevailing wage, ending certificate of need, and move quickly toward justifying every dollar of K-12 education spending. We are also still waiting for Gov. Steve Beshear's promised spending efficiency study, transparency web site, and a serious approach to the $30 billion public employee benefits underfunding.
Governor?
Kentucky's unemployment benefits deficit of over $207 million is getting bigger every week. This isn't a smoke-and-mirrors "shortfall" game. This money will have to be paid back to the federal government in the next state budget.
Continuing to throw up across-the-board spending cuts as Gov. Steve Beshear does won't solve the persistent problems in jobless benefits, Medicaid, or public employee benefits.
Eliminating programs that don't work and improving spending accountability provide opportunities we can't continue to ignore. We should begin with stopping corporate welfare, repealing prevailing wage, ending certificate of need, and move quickly toward justifying every dollar of K-12 education spending. We are also still waiting for Gov. Steve Beshear's promised spending efficiency study, transparency web site, and a serious approach to the $30 billion public employee benefits underfunding.
Governor?
Sunday, June 07, 2009
Karl Marx would love this
Ford Motor Company is about to pay the price for not bowing, scraping and begging to Obama.
ObamaCare weekend sales pitch
Put your boots on before venturing into Pres. Barack Obama's latest HopeyCam. Or just skip it; I picked out the highlights right here.
Obama said:
Given government's huge role in healthcare pricing in America, I'd like to see him point out what "unwarranted profiteering" he is talking about. If he means health insurers, he might urge Congress to allow people to buy health insurance across state lines before he kills off all the health insurers and forces us onto Medicare. Otherwise much of the variation in costs is caused by state certificate of need laws.
And then he started in on how he is going to "pay for" his big plans:
We've already seen how Obama does "rigorous spending reductions." And if you have seen any of his energy plans, you already have a good idea about how appropriate his "additional revenues" are going to be.
Here is the video if you want to see for yourself:
Obama said:
"We must attack the root causes of skyrocketing healthcare costs. Some of these costs are the result of unwarranted profiteering that has no place in our healthcare system."
Given government's huge role in healthcare pricing in America, I'd like to see him point out what "unwarranted profiteering" he is talking about. If he means health insurers, he might urge Congress to allow people to buy health insurance across state lines before he kills off all the health insurers and forces us onto Medicare. Otherwise much of the variation in costs is caused by state certificate of need laws.
And then he started in on how he is going to "pay for" his big plans:
"We must develop a plan that doesn't add to our budget deficit. My budget included a historic downpayment on reform and we'll work with Congress to fully cover the costs through rigorous spending reductions and appropriate additional revenues."
We've already seen how Obama does "rigorous spending reductions." And if you have seen any of his energy plans, you already have a good idea about how appropriate his "additional revenues" are going to be.
Here is the video if you want to see for yourself:
KY GOP needs Virginia's guts on schools
Kentucky could take a lesson from Virginia GOP gubernatorial nominee Bob McDonnell, who is pushing hard for school choice freedoms in his state. From his campaign web site:
Kentucky Democrats have been hesitant to cross the KEA on public charters. Our Republicans have nothing to lose and much to gain.
"Speaking about Virginia’s educational challenges, McDonnell said, "Our goal in Virginia must be to ensure equal opportunity for a quality education. But for thousands of students in the Commonwealth these opportunities are inadequate - limited by the zip code in which they live, or limited by decisions of local school systems. We will not tolerate failing or underperforming schools in a McDonnell administration."
"I agree with President Obama: we need more charter schools in America. That need is particularly pressing in Virginia, where we currently only have four charter schools, one of the lowest numbers in the country."
Kentucky Democrats have been hesitant to cross the KEA on public charters. Our Republicans have nothing to lose and much to gain.
Putting a real governor on Frankfort
The Wall Street Journal's Paris and Berlin writers quote themselves this weekend spreading the silly idea that their countries should be jettisoning "unchecked capitalism" during recession. Europeans are, instead, showing impatience for the problem that is actually occurring: unchecked socialism.
Meanwhile, Frankfort's fixers are coming together starting June 15 in special session purportedly to "nurture" business growth. Instead, the beneficiary is most likely to be big government.
Lunchtime citizen demonstrations Tuesday (6/16) in the Rotunda and Wednesday (6/17) on the Capitol front steps will seek to check our unchecked overspending and government growth.
Meanwhile, Frankfort's fixers are coming together starting June 15 in special session purportedly to "nurture" business growth. Instead, the beneficiary is most likely to be big government.
Lunchtime citizen demonstrations Tuesday (6/16) in the Rotunda and Wednesday (6/17) on the Capitol front steps will seek to check our unchecked overspending and government growth.
Mitch McConnell involved in primary again
Just pulled this comment off a message board for purposes of discussion:
How will Sen. McConnell's actions impact your vote in the 2010 U.S. Senate GOP primary?
"I received the same email from the Trey Grayson campaign."
"I had also read that Trey Grayson was a Bill Clinton delegate, and that does give me pause, but maybe that was a "youthful indiscretion". Clinton smoked but didn't inhale. Maybe Grayson was a Clinton delegate but didn't vote for Clinton. :-)"
"I have a more current issue with Trey Grayson."
"I think what's happening is Senator Mitch McConnell was twisting arms back in the Fall to get Republicans to vote for the TARP-1 bailout and while he was successful in that effort (and we still elected him!), Senator Jim Bunning went on TV and called the TARP-1 bailout what it was... SOCIALISM. That made McConnell mad, so McConnell has withdrawn the Republican Party of Kentucky support and the funds that Bunning needs to run have dried up. McConnell is forcing Bunning out of the Senate because he wouldn't fall in line and vote for the Republican flavor of Big Government socialism, and now McConnell has anointed Trey Grayson as his hand picked replacement for Bunning. Reading between the lines, I think that means that Trey Grayson is almost certainly going to vote the way McConnell tells him to, even if that means voting for socialist bailouts like TARP-1. Most Kentuckians did not want the socialist bailout. 93% of calls to Chandler's office opposed the TARP-1 bailout, but Mitch McConnell and Diane Feinstein convinced their parties to vote contrary to the will of their constituents. Mitch McConnell received $163,300 from commercial banks, including $17,500 from Goldman Sachs."
"I'm working on a radical new concept and in the words of Trey Grayson, I'd like your advice. Instead of party politicians telling us who we'll vote for, would anyone else like to overthrow the oligarchy and vote for the candidates who represent US for a change?"
"I hope my opinion on Trey Grayson is based on principle and I'm not just being petty, but I'm going to be against anyone who is picked by Mitch McConnell. I don't think party bosses should pick our candidates. I think we should pick our candidates."
How will Sen. McConnell's actions impact your vote in the 2010 U.S. Senate GOP primary?
Saturday, June 06, 2009
Where's our saving and creating?
Looks like big government economic voodoo is working out just about the same as it always does -- increasing dependency on politicians.
Friday, June 05, 2009
Fight for economic sanity is upon us
U.S. Senator Ted Kennedy on Friday afternoon was passing around a copy of a socialized medicine bill he has worked up that will force all employers to provide health insurance for their employees, force insurance companies to accept all applicants, and wreck our economy like nothing else the Beltway types have ever cooked up.
Prove me wrong.
Prove me wrong.
Distancing myself from Obama Motors
When I needed to buy a car recently, I went to my local Toyota dealership. Amid the auto bailout mania, the last thing I wanted was a Government Motors car.
I was surprised to find myself settling in on a used Saturn. I remember thinking, though, that when GM imploded another car company would come along and rescue the strong brand from its dying parent.
Enter, today, Penske, which is purchasing Saturn from GM.
It was funny just now watching Penske execs on ABC News talk about how they could run the company at a profit. That's something GM could never do, despite the face that Polk Research reports that 80% of the company's cars since its 1990 founding are still on the road.
The Penske guys said that among the main reasons they could make it work was the absence of GM's legacy labor costs. They didn't mention a word about alleged "atrocious marketing and production decisions."
I was surprised to find myself settling in on a used Saturn. I remember thinking, though, that when GM imploded another car company would come along and rescue the strong brand from its dying parent.
Enter, today, Penske, which is purchasing Saturn from GM.
It was funny just now watching Penske execs on ABC News talk about how they could run the company at a profit. That's something GM could never do, despite the face that Polk Research reports that 80% of the company's cars since its 1990 founding are still on the road.
The Penske guys said that among the main reasons they could make it work was the absence of GM's legacy labor costs. They didn't mention a word about alleged "atrocious marketing and production decisions."
Beshear's economic development lip service
In announcing today that he was expanding his special session call to include expansion of corporate welfare programs, Gov. Steve Beshear said he values existing Kentucky businesses:
We are never going to dramatically improve Kentucky's economic situation continuing to play this same game of taxing everyone too much and rebating money to a few companies. All Beshear wants to do is double down on the same losing hand.
Shutting down Kentucky's "Economic Development" Cabinet should be a top priority for anyone who calls Kentucky home.
"Our existing businesses are some of our most precious resources," Gov. Beshear said. "We must nurture them and help them, particularly when they’re looking to reinvest. We cannot continue to watch other states pirate them away."
We are never going to dramatically improve Kentucky's economic situation continuing to play this same game of taxing everyone too much and rebating money to a few companies. All Beshear wants to do is double down on the same losing hand.
Shutting down Kentucky's "Economic Development" Cabinet should be a top priority for anyone who calls Kentucky home.
Thursday, June 04, 2009
Rand Paul gets a boost
Not that this is a surprise, but Dr. Rand Paul's exploratory committee got a noteworthy shot in the arm today:
Dragging it out of Jack Conway
Attorney General Jack Conway has been able to slink along quietly while the rest of Frankfort wrestles over what to do about horse racing in Kentucky.
Conway is sitting on two requests for an AG opinion about expanded gambling at horse tracks. Rep. Jody Richards asked in May if slots at the tracks need a constitutional amendment. Sen. Damon Thayer asked in April if instant racing machines were permissible under current law.
Conway, a candidate for U.S. Senate, may be hesitant to take a position that damages his political aspirations in a tough primary contest.
So we are left with Gov. Steve Beshear's slots bill, Sen. David Williams' proposal that deserves credit as an interesting alternative, and the strong likelihood neither will pass in this month's special session.
Williams pointed out today that for slots at the tracks to generate $60 million for higher purses, more than $4.6 billion would have to be poured into the slot machines. By comparison, about $470 million is bet on horse racing at the tracks in Kentucky each year, about $489 million is bet in charitable gaming, about $778 million is bet on the Kentucky Lottery, and about $500 million is bet by Kentuckians at casinos in Indiana and Illinois.
Seems like a pretty safe bet that we don't have the money to gamble $4.6 billion in racetrack slot machines.
Sen. Thayer's idea may be worth a look, though. Instant racing machines allow users to place bets on video of one of 50,000 archived horse races given limited information about the horses in each particular race. This wouldn't open the door for out-of-state casino operators and just might provide the revenue the tracks need.
It seems to have worked well in Hot Springs, Arkansas.
In any event, someone needs to light a fire under Jack Conway. If he gives a thumbs up to instant racing, Kentucky tracks could start installing them right away and lawmakers could get back to work on the budget.
Conway is sitting on two requests for an AG opinion about expanded gambling at horse tracks. Rep. Jody Richards asked in May if slots at the tracks need a constitutional amendment. Sen. Damon Thayer asked in April if instant racing machines were permissible under current law.
Conway, a candidate for U.S. Senate, may be hesitant to take a position that damages his political aspirations in a tough primary contest.
So we are left with Gov. Steve Beshear's slots bill, Sen. David Williams' proposal that deserves credit as an interesting alternative, and the strong likelihood neither will pass in this month's special session.
Williams pointed out today that for slots at the tracks to generate $60 million for higher purses, more than $4.6 billion would have to be poured into the slot machines. By comparison, about $470 million is bet on horse racing at the tracks in Kentucky each year, about $489 million is bet in charitable gaming, about $778 million is bet on the Kentucky Lottery, and about $500 million is bet by Kentuckians at casinos in Indiana and Illinois.
Seems like a pretty safe bet that we don't have the money to gamble $4.6 billion in racetrack slot machines.
Sen. Thayer's idea may be worth a look, though. Instant racing machines allow users to place bets on video of one of 50,000 archived horse races given limited information about the horses in each particular race. This wouldn't open the door for out-of-state casino operators and just might provide the revenue the tracks need.
It seems to have worked well in Hot Springs, Arkansas.
In any event, someone needs to light a fire under Jack Conway. If he gives a thumbs up to instant racing, Kentucky tracks could start installing them right away and lawmakers could get back to work on the budget.
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