Monday, March 19, 2012

Frankfort will tax your allergies and colds

Kentucky's House Judiciary Committee just voted in favor of the Snot Tax. The bill now needs the approval of the full House and Governor Steve Beshear and then some users of allergy medicines will be forced to get a doctor's prescription for a little nasal relief. For now.

Supporters of the measure claim that it will stop the manufacture of methamphetamine in Kentucky, which it absolutely will not do. Then they will come back next year and tighten the bill's restrictions.

If you didn't get hit by this year's version of the bill, breathe easy while you can. But remember that this is how big government always expands -- by lulling most of the people to sleep in the belief their restrictions only hurt someone else. They know there is plenty of time to come back and zap you next year.

These are the people we trust to write our state budget in secret. Then after they pass it, we get to find out what is in it. What could possibly go wrong with that?

Friday, March 16, 2012

Time for another Kentucky tea party rally



Some Kentuckians may think the Obama administration alone is making healthcare unreasonably expensive.

They would be wrong.

House Bill 458 effectively prohibits doctors from saving their patients money by performing more outpatient surgeries outside of expensive hospitals.

We can stop HB 458, but we need to move fast. Please make plans to attend a tea party rally and press conference focused on keeping healthcare costs down by introducing more competition to the system. It's Wednesday March 21 at 10:00 am ET at the Capitol Rotunda in Frankfort.

The big government anti-capitalism types in both parties are ready for a fight on this one as their power is at stake. Your voice is desperately needed now. Please spread the word.

Wednesday, March 14, 2012

Is your representative talking about this?

Frankfort politicians in both political parties have turned a blind eye to rampant corruption in the Kentucky Retirement Systems for too long, costing Kentuckians many millions of dollars. Cleaning up the mess should be a key issue in the 2012 elections, state Senate candidate Don Butler said.

"House Bill 300 would further enrich the very people who are bleeding our state pension system dry by keeping 'placement agents' in every dark corner of our state capital when we don't need them and can't afford them," Butler said.

"We are giving huge sums of money to these crooks who should all be run out on a rail rather than be left alone to buy up politicians with our money." "It should be common sense for those who understand the issue that we don't need to spend millions on placement agents," Butler said. "At any rate, we shouldn't legitimize them as HB 300 does. It may be better politics to wait and see if my opponent votes for this and then blast him, but if we miss this chance to fix this problem, we may not be able to do it next year. Please call your senator and demand a 'no' vote on House Bill 300."

Butler faces incumbent Republican Senator David Givens in the May 22 GOP primary.

Tuesday, March 13, 2012

Independent counsel blisters Crit Luallen

A national leader in the field of forensic investigations in the money management industry is criticizing former Kentucky state Auditor Crit Luallen for botching a pre-election audit of the state pension system last summer in an ongoing scandal that appears to involve tens if not hundreds of millions of dollars in losses on her watch.

Edward Siedle of Benchmark Financial Services in West Palm Beach, Florida expressed shock that Luallen could miss obvious "red flag" signs of corruption at Kentucky Retirement Systems (KRS).

"The entire investment management contracting process at KRS appears suspect at this time," Siedle said.

He said her audit was "remarkable in its failure to adequately address the most obviously troubling issues surrounding use of placement agents at KRS."

Placement agents are salespeople who connect investment firms with big money clients like the KRS in return for unjustifiably large fees paid by the firms. Large institutional investors like KRS should have no problem at all in negotiating away entirely these placement agent fees which, Siedle said, are so improperly accounted for that we still don't know how much we have paid or are paying in excessive fees.

Siedle cited some of the circumstances behind the placement agent "pay-for-play" activities, which read like a modern day, high tech Bluegrass Conspiracy tale with the penny loafers and cocaine traded in for wingtips and the cold-sweat desperation of a big government apparatchik realizing the gravy train is about to hit the wall. The common denominator, of course, is the politicians too dumb and too crooked to speak up before it all comes crashing down.

The good news, as Siedle sees it, is that at least some of the improperly spent funds may be recoverable. First step, though, is to end the cover-up and to start getting everyone talking about where the money is.

In what amounts to an interesting side note but should be instructive nonetheless given any future political aspirations Luallen may have was her published assessment of who ultimately pays placement fees. Luallen said in her audit "it was also determined that the payment of placement agent fees by investment managers did not correlate to an increase in the management fees paid by KRS or reduce the funds available to pay benefits to retirees."

Simply put, if Luallen had the last word on this, the millions in squandered funds wouldn't be recoverable in court because the most powerful woman in Frankfort for the last two decades doesn't think we were overcharged at all as she apparently doesn't understand how service providers pass increased costs along to consumers.

That's the same kind of reasoning that has allowed the Obama Administration to say they are going to give away free health insurance by just making the insurance companies pay for it.

Monday, March 12, 2012

Kentucky's official GOP stumbles over Bob Leeper

Tea Party Republicans in Kentucky attempting to make their voices heard within the GOP have experienced a different kind of March Madness this year. Republican officials across the state trying to slam the door shut on tea partiers seem to expect that a movement built on ideas neglected by the party and fueled energy and creativity absent in too many of its campaigns and officials is now populated by people who can't read.

At issue is the Republican Party of Kentucky's preamble, which states that party officials must exhibit "devotion to our party's principles and loyalty to its candidates."

Arbitrary application of the term "loyalty" inspired the Campbell County Republican Party to disenfranchise former Campbell County Tea Party president Erik Hermes on March 3. He has filed an appeal to RPK Chairman Steve Robertson.

If the Republican Party of Kentucky doesn't overturn this "loyalty pledge" nonsense on appeal it will be their Bill Clinton moment. Any active Republican who remembers the Clinton years remembers well his claim that it "depends on what your definition of 'is' is." Now the establishment GOP is playing the same game with the word loyalty. In 2010 the entire Kentucky GOP state Executive Committee voted not to support the Republican nominee in the state Senate's 2nd district. Is that not breaking their pretended "loyalty pledge?" And if not, why not? Did Senate President David Williams and U.S. Senate Minority Leader Mitch McConnell break the pretended "loyalty pledge in 1999 when they supported Democratic Gov. Paul Patton's re-election? How about in 2007 when they opposed Republican Gov. Ernie Fletcher's re-election bid? The ball is in their court. The GOP establishment should explain exactly why this bogus restriction applies only now and excludes people so arbitrarily.

The Republican Party of Kentucky's actions have amounted to an attempt to delegitimize itself and has already created a chilling effect for conservative Republicans who would like to make their voices heard within their own party. Damage has already been done and the time to start reversing that damage is now.

Saturday, March 10, 2012

Worse than a tax increase

Rep. Alecia Webb-Edgington announced her signing of the Taxpayer Protection Pledge by stating that the "national debt is over $15 trillion and growing because the federal government spends too much of our money, not because it collects too little in taxes."

If she understands that, though, how could Webb-Edgington have voted for six of seven debt-filled House Democrat budget bills prior to this year? Her vote against the current budget bill is a good one, but her track record leaves voters to wonder if it was just an election-year move and whether she would stand strong in Washington D.C. when she hasn't in Frankfort.

The key to winning the Republican party nomination in Kentucky's 4th congressional district this year will be successfully navigating the distance between tea party and establishment Republicans. Alecia already started off the campaign on the wrong foot.

As tea party activists continue to grow their influence in Northern Kentucky, it will be interesting to see what the candidates do to bridge this gap.

Thursday, March 08, 2012

Are you a Red Star Republican?

Current leadership of the Republican Party of Kentucky is now apparently excluding certain active Republicans from party activity with the use of a "Red Star" next to their names on voter lists.

There is nothing in party rules that allows such exclusion. Some insiders point to the preamble to party rules which states: "Devotion to our Party’s principles and loyalty to its candidates are and should be the only qualifications for holding any position in the Republican Party."


If that is what the establishment types are hanging their hat on to start kicking people out of the party, they are doing it arbitrarily. Repairing selective application of this "rule" would require expulsion of the entire GOP state Executive Committee, which voted in 2010 to not support the Republican nominee in the state Senate's 2nd district. If there is a specific statute of limitations on this imaginary "loyalty clause," it should be specified immediately. Otherwise, we might wonder if it applies to the state Senate President. A Republican, he supported Democratic Governor Paul Patton's re-election in 1999.


If you don't support such shenanigans used to personally attack fellow Republicans despite (and arguably because of "devotion to our Party's principles", you just might be a Red Star Republican.

Tuesday, March 06, 2012

Get this camel's nose out of Kentucky's tent

Governor Steve Beshear has been scrambling around since passage of ObamaCare trying to find a way to implement the federal takeover of health care in Kentucky.

He has found it and stopping him is up to you.

Buried at the bottom of the House budget bill is language to resurrect the Insurance Coverage, Affordability and Relief to Small Employers (ICARE) program, started under Governor Ernie Fletcher despite opposition from some conservatives at the time. Fortunately, the health insurance subsidy scheme was soon defunded by the legislature despite Gov. Beshear's campaign promise to expand it.

Beshear is back with an eye toward bigger spending. Much bigger spending.

If you happen to be combing through HB 265 looking for differences between the old and the new ICARE, there are several but one big one that jumps out if you are concerned about stopping ObamaCare from inching its way into our state.

On page 176 of the bill, under the label "Section 6(2)," you will find the following language: "The department shall work with the Office of Health Policy within the Cabinet for Health and Family Services to review the availability of federal funds for the ICARE Program."

The available federal funds mother lode is ObamaCare. Beshear has already telegraphed his interest in implementing ObamaCare administratively and this would open the door widely for him in the name of paying for bigger state government with federal funds.

ICARE should also be removed from the budget bill because we don't need another government redistribution racket making health insurance more "fair," but stopping ObamaCare is the reason with more zeros behind it.

Call your legislators.

They want more special sessions in Frankfort

Senate Bill 7, filed Monday by Senate President David Williams, would move the candidate filing deadline to late April and primary election day to late August. The supposed rationale is to increase accountability for legislators' actions in election year legislative sessions.

It won't work that way.

What this bill will do is push more real legislative action into special sessions in the summer months after the filing deadline. Look at how uneventful most sessions are through the month of January and how the current one remained so as the redistricting process dragged things out this year.

The filing deadline should happen at the same time we want legislators to start working. Move it to the first of January and we will stop the even year practice of legislators sitting on their hands in January. That way, they might even get to work on the budget earlier and take away much of the need for expensive special sessions. Otherwise, we will only move more lawmaking activity to later in the year.

Friday, March 02, 2012

Your next Kentucky sneeze may cost you

Kentucky's Senate Republicans passed a ridiculous Snot tax compromise bill that will require some people (not  many, they promise, and surely not you) to get a doctor's prescription before they can get all the allergy medicine they need.

They are already talking about needing to come back next year and to tighten the current restrictions so that even you will have to get a prescription.

Can't they just settle on letting Senator Stivers and Senator Williams travel around to WalMarts and yell at people who appear to have allergies? This bill doesn't change anything in terms of methamphetamine production and just encourages the nanny state inclinations of politicians with too much time on their hands.

Thursday, March 01, 2012

Let's keep the Snot tax dead

The Kentucky state Senate took their tweaked Snot Tax bill and attempted to bring it to a floor vote today but stop short when sufficient votes for passage could not be found.

The new bill would still send allergy sufferers to their doctor for expensive prescriptions. The only difference is that it would also set up a bureaucracy to monitor in state purchases in a ridiculous attempt to limit the production of methamphetamine.

A Senate Republican source who asked to remain anonymous to avoid punishment from leadership said the bill remained seven votes short of passage despite a full-court press.

They went through the same process last year with this effort. It's funny to watch Senate leadership try and fail repeatedly to browbeat members into going against their constituents on healthcare costs. When are they ever going to learn?

House panel votes to keep surgery expensive

Surgery in a hospital is much more expensive than surgery in a doctor's office and Kentucky's House Health and Welfare Committee wants to keep you going to the hospital.

The committee voted this afternoon to require doctor's seeking to establish outpatient "ambulatory surgical centers" in their office's to apply to the state's archaic and inefficient Certificate of Need department so the state can prevent them from providing these services in competition with hospitals.

If you know you don't want a Kentucky Snot Tax, then please understand this issue involves much more money than that.

Tuesday, February 28, 2012

Senate still wants to tax your allergies

Kentucky Senator Robert Stivers filed Senate Bill 3 today as part of the continuing effort to force allergy sufferers to get a doctor's prescription before they can buy allergy medicine containing pseudoephedrine.

"Snot tax" supporters claim that limiting access to allergy and cold medicine by innocent people will help with the drug problem in the state.

It might be interesting to see this come to a vote to learn where the players are on the issue.


Monday, February 27, 2012

Obama declares war on Tea Party

You may not want to hear anything Barack Obama has to say between now and election day. But Obama feels the same way about you -- and he controls the IRS, which gives him the upper hand in trying to shut you up.

And, of course, he is now abusing that power.

Obama is using the Internal Revenue Service to prevent citizen groups from forming 501(c)(4) corporations. This effectively limits individual citizens' ability to associate and petition the government for redress of grievances as guaranteed by the U.S. Constitution.

If you are a member of the Kentucky 912 Project, Obama has you in his crosshairs right now. The Kentucky 912 Project is comparing notes with other liberty groups across the country and have found dozens whose applications for 501(c)(4) status have been denied or revoked by the IRS.

In case you were looking for another reason to support dismantling the IRS, you can now include ending the ability of an out of control president using federal power to take your voice away.

This is a great example of an issue that you don't have to be directly affected by to understand that we must stand with our friends in their time of need before we find ourselves standing alone against such tyranny.

Please read up on this issue and tell everyone you know.

Thursday, February 23, 2012

Kentucky casino bill sleeps with fishes


It was pretty easy to see this coming.


Kentucky can't create a casino bill that generates income for the state and expands revenue at the racetracks sufficiently to gain the votes to pass the legislature.


And this afternoon, the bill they put up failed on the Senate floor.


Maybe next year they will try something different. But if they can't reconcile the vast differences between those who want most of the revenue to go to tracks and those who want most of the revenue to go to the state, then those who just oppose casinos don't have to do much other than sit back and watch the circus.


And now that it is over for 2012, let's hope we can do something serious about spending less in the budget than revenues will cover.

Tuesday, February 21, 2012

Tea Party rocks the rotunda

I will be on the Leland Conway radio show Tuesday at 3:50 pm ET talking about Wednesday's Tea Party rally in Frankfort.

You can listen online at wlap.com or on Lexington radio at 630 AM. The Facebook event page is here.

See you Wednesday at 10:30 am ET in the capitol rotunda.


Sunday, February 19, 2012

The Tea Party pulls it all together

We've had tea party events in Kentucky focused on federal issues and tea party events focused on state issues,  but on Wednesday we will have federal candidates drawing attention to a state issue.

The juxtaposition is creating significant interest.

On February 22 at 10:30 am ET at the state capitol's rotunda, confirmed speakers Alecia Webb-Edgington, Gary Moore and Thomas Massie, 4th district congressional candidates, and 6th district congressional candidate Andy Barr join state legislators and others to draw attention to state government overspending and debt.

Friday, February 17, 2012

Leland Conway rallies for debt ceiling

WLAP talk personality Leland Conway will speak to a tea party rally in support of a state debt ceiling in Frankfort next week.

The rally will be held at the Capitol Rotunda on Wednesday, February 22 at 10:30 am ET. The public is invited to attend.

The tea party has been pushing hard for a mandated limit on state debt since last fall. The state Senate has named this issue their highest priority with Senate Bill 1.

Please spread the word about this event. Click here to go the Facebook page.

Thursday, February 16, 2012

Left coast state bites Obama

Oregon hasn't voted for a Republican presidential candidate in almost thirty years. But earlier this week a bipartisan coalition of state House members turned on President Barack Obama by voting to refuse to set up a state-run health insurance exchange, a key component of ObamaCare.

If they can do that there, it stands to reason our guys and gals in Frankfort can figure it out, too.

The Oregonian reports, however, that some legislators there are determined to keep drinking the Kool-Aid.


"Democrats protested that the exchange would be funded by federal money as well as insurance fees, and would not affect the state budget."


This is just the latest example of politicians who haven't read something they are voting on that will cost taxpayers money. The bulk of the ObamaCare federal money goes away in 2016 and the impact on state budgets will be substantial. In any case, it is ridiculously false to claim that there will be no impact on state budgets. Even Nancy Pelosi isn't trying that one.

Kentucky politicians would do very well to get out in front of this one.




Wednesday, February 15, 2012

Big Tea Party advance today

Nine months ago, Kentucky's state Senate President openly mocked tea partiers who wanted to limit the state's debt. On Wednesday, the Senate's top priority -- Senate Bill 1 -- was announced as, you guessed it, a state debt ceiling bill.

The bill prohibits the accumulation of any additional general fund appropriation-supported debt when the ratio of that debt exceeds six percent of general fund appropriated revenues. An exception in the bill for "emergency" situations requires a request by the governor and approval of majorities of both chambers of the legislature.

The current debt ratio is over six percent.

I'd prefer to see the ratio set lower -- like five percent -- and I'd prefer to do without the "emergency" escape hatch. But if it takes giving some on these two points to get the bill through, it looks like a step in the right direction.

If we can keep them below six percent, we can go for five percent later. And get ready to resist any bogus "emergency" debt bills.

This is a great issue for House candidates to start making noise about right away.
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