Cutting Taxes to the Limit

In the Johnson County Sun of February 11, 2009, Steve Rose, the publisher, wrote that, since 1995, the Kansas Legislature had cut taxes to the point that they don't have enough money to pay for the government's obligations. Legislative Research estimates that $7.6 billion dollars has been given up to tax cuts since 1995. In the current fiscal year, all the rax cuts will amount to $600 million. You can read Steve's Memo for yourself.

Back on January 26th, I discussed Kansas Budget Woes. Although I mentioned how nice it would be if our revenue had been greater so we'd have a reserve for times like these, I came to the conclusion that no matter how much revenue government collects, politicians will find a wsy to spend it. Too bad they don't have the courage to raise taxes or roll-back tax cuts when the money is needed for government's day-to-day obligations.

I personally can't see the harm in an increase in the income tax during a recession. Those that have incomes from still having employment can stand for a small part of their income to be diverted to state spending. The cost of collection won't go up and it will all be spent, rather than saved. There is a real mythology about the economic effect of taxes, mostly fostered by those who want to get reelected.

Colorado Plains Elevator

Another grain elevator ends up on paper. It's still used at harvest time . The quantity of grain that can be handled has been vastly expanded by the six large cylinders that flank and back-up the original building. It's typical to see an old elevator next to more modern structures, including large concrete silos. The new structures dwarf the original, whose function is altered from grain storage to equipment housing. A lot of scrap steel will be available when this early expansion is eventually replaced by a concrete one. Of course, that's true only if the price per ton makes salvage feasible. Otherwise, it will just sit there, oxidizing.

Registered Offender Branding

Mary Sanchez, KC Star columnist, in a commentary last Monday wrote about the new practice of the State of Kansas to add “Registered Offender” to the license to drive of persons convicted of sex, drug and violent crimes. She likened it to a “Scarlet Letter”. I believe that this “branding” is a violation of the “equal protection” clause of the U.S. Constitution. Persons who must have “Registered Offender” displayed on their licenses to drive are not treated equally under the law, because this marking has nothing whatsoever to do the privileges bestowed by a license to drive. No one is made safer by this branding. The only reason to attach such an appellation to a license to drive is to demean and, thereby, punish its holder, which the courts have already done.

Mary Sanchez ended her column by writing, “…it seems that human, or at least legislative, nature is to create pariahs out of ever-widening groups of people.” It should cease immediately by repealing the statute that permits it and order new licenses to be issued to replace the ones issued under this law. I urge you to contact your Kansas legislative representative to support repeal of this law for all offenders past and future.

Email to Congressman Dennis Moore

I was pleased to see a listing in the Sunday Kansas City Star of some of the "key elements" in the House-approved stimulus package. Frankly, I was skeptical about news media reports of GOP objections to the plan. I attributed the GOP complaints to their party line of tax cut, tax cut and more tax cuts. But, after reading the Star's partial list, I have to agree with the GOP House members who did not vote for the tomfoolery called a stimulus plan.

Too much of the plan that was adopted by the House appears to be money for pet projects, that perhaps have been neglected over the past 8 years, but won't have much immediate effect to stimulate the economy and would be better addressed through other means. For example, $6 billion for high-speed internet for rural and under-served areas. We are already paying a universal service fee on our telephone bills that should be used for this purpose without adding more debt-funded money. The reason a lot of rural areas don't have high-speed internet is that there are not enough users to make it cost-effective. Another example is $32 billion for a "smart" electric grid. Assuming the technology can be swiftly perfected, but knowing how difficult it is to get regulatory approval, acquire right-of-way for, and complete the construction of new transmission lines, this worthy goal will take too long for an immediate stimulus to the economy. Besides, a better source of revenue for this program would be electric service charges. Finally, to limit my examples to three, $20 billion to modernize health information technology systems will probably not be an immediate spur to employment, because I doubt if there are sufficient unemployed persons with skills in that area who would be put back to work.

All-in-all, the House-approved stimulus package is too grandiose and too complicated. I believe it should concentrate on tax relief, aid to the poor and unemployed and infrastructure spending for projects currently ready for bids. I can only shake my head at how such a spending spree could get through the House, but with the present Speaker, who wrongfully stuck her nose in the Turkish-Armenian dispute, it's no wonder that it passed. It's time House Democrats replaced Nancy Pelosi as speaker. A Congressional leader is needed who will focus on the real problems of this country and not use the present crisis to further pet projects of her supporters. How about some leadership in this area? As a senior house member, it's time to assert yourself for common sense measures that will provide immediate relief for the economy.