Burkablog

Friday, April 22, 2011

R.G.’s Take: Senate budget plan is still bad business

If you think of the two-year budget passed by the Texas House as a bankruptcy filing for the State of Texas, then the budget approved by the Senate Finance Committee yesterday is a reorganization plan that requires a substantial liquidation of assets.

Finance Chairman Steve Ogden (R-Bryan) and other senators who supported the plan bragged on how the Senate budget contains $12 billion more than the House budget, but the $176.5 billion Senate version still cuts $11 billion from current state services. It’s sort of like Dish Network saving Blockbuster Video from going completely out of business in bankruptcy court. Even in saving Blockbuster, Dish still plans to close hundreds of stores, putting an untold number of people out of work. It may be good for business, but not for all the employees or customers.

Senators were gleeful that they put $5.3 billion into public education over their base budget. That still is $4 billion short of paying for the current needs of Texas’ public schools. Wonder what that might mean to you and your children? The Texas Association of School Boards has run the numbers. Under the better-than-the-House Senate plan, Houston ISD will lose $224 million in state funding over the next two years; Dallas, $185 million; Austin, $108 million; and Northside in San Antonio, $100 million. As a single point of comparison, Dallas would lose almost $300 million under the House version.

Just glancing at a few of the school districts represented by finance committee senators who voted for the bill, we find these losses: Plano, $64 million; Conroe, $51.3 million; Bryan, $11.8 million; and Amarillo, $7.6 million. And, remember, funding public education was a priority for the Senate.

But it isn’t the only casualty. With almost $1 billion in cuts to higher education, you can expect tuition rates to rise and devalue your college savings plan for the kids. Will you feel safer knowing $141 million was cut from public safety and the criminal justice system? And a deferral of $3 billion in Medicaid spending to the next budget cycle means the Legislature that gathers in 2013 will have just that much less money to spend. It’s sort of the Texas balanced-budget version of deficit spending.

In the no-tax-increase world of the Legislature, however, this is the budget that a majority of the senators apparently are choosing to defend. “This bill keeps Texas government function and essential services available to Texans without doing harm to the private sector economy because it’s just sucking too much money out of the private sector through revenues and taxes,” Ogden told us reporters after the committee vote. “It doesn’t generously meet the essential needs of Texas, but I think it’s adequate and I think in these circumstances ‘adequate’ is a pretty big deal.”

Committee Vice Chairman Juan Hinojosa (D-McAllen) admitted the bill is a stinker. “It’s like having to choose between the good, the bad, and the ugly. House Bill 1 is ugly. Senate Bill 1 is bad, but sometimes you have to make hard choices,” he said.
Senator John Whitmire (D-Houston) was one of the committee members who voted against the bill. Whitmire told me the responsible course would have been to make cuts and raise taxes to balance the budget. He said most Texans don’t realize that the Parks and Wildlife Department will be cut by 29 percent or that there will be fewer state investigations of bad doctors and dentists. “We have put ourselves in a position to have the House budget as our measurement. The leadership here wants to sell the Senate version as much better than the House, and that’s a no-brainer,” Whitmire said. “But we shouldn’t have started with that as the floor.”

Senator Dan Patrick (R-Houston) also voted against the bill. He said he favors a responsible budget but thought it was irresponsible to draw an additional $3 billion from the rainy day fund to pay for it if Comptroller Susan Combs does not raise the revenue estimate. Patrick said he expects the state to enter the next budget cycle in 2013 with another shortfall of $10 billion to $15 billion. “We need to have every dollar in reserve that we can hold onto because we will have used a lot of tools out of the toolbox this time.” Patrick could join Democrats in blocking the budget bill from debate next week in the Senate, but he indicated to me he is unlikely to do that.

Regardless of what the Senate finally decides, it will still have to contend with the House. House Appropriations Chairman Jim Pitts told me, “I cannot sell the Senate budget in the House,” said House Appropriations Chairman Jim Pitts (R-Waxahachie). He thinks the House can close the gap with the Senate by about $4 billion to $5 billion based on some non-tax revenue raising measure, but that still would leave the chambers about $3 billion apart. And as to the Senate balancing its budget with a raid on the rainy day fund, that’s a non-starter. “We’re not getting into the rainy day fund,” he said. “I don’t think we could get a vote for the rainy day fund.”

Politicians like to say they want to run government like a business. In this case, the state is just like a business whose fixed costs exceed its revenues. To survive, it is either going to have to raise prices or short-change its customers. Right now, the customers should start preparing themselves for some bare shelves next fall.

By R.G. RATCLIFFE

Tagged: ,

151 Responses to “R.G.’s Take: Senate budget plan is still bad business”


  1. South Texan says:

    Indeed, the Senate’s awful alternative is better than the House’s horrific bill. Texans deserve better.

    Reply »

    Fiftycal Reply:

    YEAH! It’s horrible that ALL EDUKATION in Tejas is about to END! I mean if one “teachers assistant” is fired and we don’t have the “boycott big corporation” song taught to first graders on “earth day”, we have FAILED as a society.

    BRING ON THE INCOME TAX! YEAH! That works. Just look how successful all the other states are that have it. Kalipornia, Illinoise, New Yawk, hey they are all SWIMMING in money. And they pay their teachers MORE than the $75K our teachers get for 9 months of work.

    Don’t need to worry about SPENDING. We need to SPEND more! We can TAX THE RICHE for it. They have more than they NEED! And allah knows that the legislature is well suited to determine what every person NEEDS!

    FROM each according to their ability, TO each according to what the government gives them. Isn’t that what the Constitution sez?

    Reply »


  2. MT says:

    This could be the beginning of a death spiral. The state provides fewer and inadequate services; the voters conclude that “government” does not work, so resist further taxation; services, including schools and roads, continue to decline, etc.

    Luckily our neighbor to the South is declining even faster or soon you couldn’t have been able to tell the difference.

    Reply »


  3. JohnBernardBooks says:

    I wonder why there was no mention of San Jacinto day here till I saw this

    Reply »

    Vernon Reply:

    I read about the Battle of San Jacinto yesterday. Great stuff. Look up Sam Houston. That guy was incredible. None of us will ever be as awesome as he was.

    Reply »


  4. Kenneth D. Franks says:

    “The Bad and the Ugly,” just about sums up the two versions. Sad to me.

    Reply »


  5. Anonymous says:

    Pitts will do everything he can to obstruct the process…….It is his last chance to help his casino buddies

    Reply »

    Fiftycal Reply:

    Yah. WE gotta keep the EVIL GAMBLING out of Tejas (except of course the STATE gambling that funds skools) to keep the Baptist taliban happy. Otherwise they might start voting socialist.

    Reply »


  6. jpt51 says:

    Even if the Senate version becomes the final bill, you know the Lege hasn’t taken into account the repair costs to TPWD state parks. A 29% cut will mean they are going to be deep in the hole. Watch for half the parks to close if the House and Senate don’t have the guts to do better!

    Reply »


  7. Howie says:

    Shame, shame, shame on each and every one of them, ESPECIALLY the Democrats who vote for this piece of ****.

    Reply »


  8. North Texan says:

    Hooray for the Senate & House. They are doing everything just right to show how irresponsible, deceitfut, inept and short-sighted they really are. Perry and his cronies lied their way into office. When you and your neighbors are sitting unemployed, the schools are educating burger flippers at best and Texas essential services continue to deteriorate, people will see and feel the pain. Then they will crowd the voting booths for change, maybe good, maybe bad but they will know what they don’t want. I’m a conservative Republican and just can’t believe the stupidity going on in Austin.

    Reply »

    Russ Reply:

    So why did you vote those republican bums into office?

    Reply »

    Fiftycal Reply:

    Actually, the ones waiting on government handouts will unass the state and seek greener pastures. Maybe Kalipornia will see an increase in population over the next ten years. Ya think?

    Reply »


  9. Tellnitlikeitis says:

    Im with you, North Texan.

    They are going to save us a buck today that will cost us ten bucks next month.

    I respect and admire smart conservatives. Dumb conservatives are dangerous.

    If you want to see Texas in the out years….talk to Steve Murdock. He will show you.

    3 out of every 10 Texas workers will not have even a high school diploma by the year 2040, Murdock says – unless we address the trend line.

    The demographer (and U.S. Census director in the Bush Administration) says education is our only answer. For starters, he says Texas must increase high quality pre-K slots – and more TEXAS grants.

    Both are on the chopping block.

    Lawmakers are doing serious harm to education. They are avoiding the transportation crisis….and their game plan for the state’s future water supply? Pray for rain.

    This cast will go down in state history as among the worst we’ve ever had.

    Reply »

    Fiftycal Reply:

    The current lege will go down as the WORST for the socialists standing on the road waiting for their handout. Since skools are nothing more now than day care centers and indoctrination points, I doubt it will get much worse. “Head start” has been shown to be useless and a waste of money. Just like the DARE program. But socialists will fight tooth and nail to keep THEIR PAYCHECK for those boondoggles.

    Reply »

    Kenneth D. Franks Reply:

    Schools are much more than daycare. I taught for thirty years. It was not baby sitting in my class. My only problem with “Head Start” or pre-K is the children are too young to be on a bus and really should be with family instead of at what is the closest thing to day care in public schools. I don’t know any socialists. Teachers only want a fair day’s pay for a day’s work.

    Reply »


  10. ktsub says:

    @North Texan. Do you even believe your last sentence. I don’t.

    Reply »


  11. JohnBernardBooks says:

    @ktsub you don’t really believe anyone who starts off with I’m a republican but, I used to be a republican but, or the best yet I’m a conservative but, do you?

    Reply »


  12. longleaf says:

    Most of you are probably too young to remember Richard Nixon’s “Silent Majority” speeches. He was proven right when he landslid his way to reelection over George McGovern in ’72. The GOPers in Austin have no reason to believe that there is not a similar “great silent majority” out there in Bubba Land. The people who actually vote (and are not employed by “gubmint” in some way) are not all that unhappy about not having their taxes raised, IMO.

    Of course, by ’74 Nixon had resigned in disgrace, but that’s because there were actually two parties in D.C. In the caudillo politics of a one-party state, Goodhair(onfire) is safe.

    Reply »


  13. R.G. Ratcliffe says:

    I hate to say this, but when Pappy Lee O’Daniel was governor, he vetoed funding for state homes for “orphans, epileptics and the feebleminded”; he ordered cuts in state pension checks and he slashed the state highway department’s budget by half. Texas Rangers had to borrow bullets from the highway patrol.

    But O’Daniel also promised a state pension check to everyone in the state over age 65. And he won re-election by attacking legislators who refused to raise taxes to pay for the pension.

    That’s from George Norris Green’s The Establishment in Texas Politics.

    Reply »

    anonymouse2 Reply:

    why do you hate to say it?

    Reply »


  14. Russ says:

    For Legislature doing the right thing, “There’s not enough guts in the Capitol to draw a good flock of buzzards.” That’s the government the tea party pushed on us in Texas!!

    Reply »


  15. Karen says:

    It is going to be interesting to see how Texans react when the Ideology vs Reality of these budget cuts sinks in.

    Reply »


  16. JohnBernardBooks says:

    Karen, I already know how I’m gonna act. I’ve never taken a handout from the government and never will. Now if we can get democrats off the wagon, and start helping push we’ll be just fine.

    Reply »

    Karen Reply:

    Really? Do you own your own home or operate your own business? Did you go to college? Do you take advantage of all the tax cuts/credits/deductions on your personal and business income taxes?

    Reply »

    JohnBernardBooks Reply:

    @Karen
    A deduction for a legitimate expense is now a hand out? I believe you’re confusing a legitimated deduction with a waiver.

    Yep its true there are some Americans who aren’t on the dole.

    Reply »

    Anonymous Reply:

    A deduction for a legitimate expense is now a hand out?

    Ah, more of the wingnut mentality. “When I do it , it’s legitimate.”


  17. Kenneth D. Franks says:

    The Democrats are already off the wagon in state government right now but maybe not in the future when the full impact of this disastrous budget begins to be felt by all the citizens of Texas.

    Reply »

    Fiftycal Reply:

    Hey anonymouse, Is 0-BOMB-AH a wingnut? He ONLY paid 27% of his INCOME in taxes. And took DEDUCTIONS. Of course he wants to raise the tax on the RICHE to 39%. Yet he didn’t pay that, even thought HE IS ONE OF THEM!

    So, is he a wingnut or just a lying hypocrite?

    Reply »


  18. JohnBernardBooks says:

    @ Kenneth’s absurd comment “The Democrats are already off the wagon in state government right now”. When did this magically happen?

    Reply »

    Kenneth D. Franks Reply:

    One hundred and one Republicans in the Texas House of (150)right now and with all statewide elected officials being Republican, the disaster this session is going to be blamed on the Republicans. They can not protect 101 seats no matter how they gerrymander the lines. The 3.5 million people whose personal data was exposed doesn’t play well for Republicans either.

    Reply »


  19. Julie says:

    JohnBernardBooks,

    So you say you’ve never taken a government handout and that you’re never going to take a government handout.

    Your statement doesn’t ring true.

    Government handouts include Medicaid, Medicare, Social Security, stimulus tax refund checks, food stamps, tax breaks, unemployment benefits and homestead exemptions. In another handout, right now the U.S. government is either writing or guaranteeing well over 90 percent of all mortgages in the United States.

    And then there was the more than $700 billion stimulus program. The State of Texas received $14.4 billion of the stimulus money, which helped provide services through state and local governments. Everyone benefited from this stimulus program either directly or indirectly.

    Overall, households received $2.3 trillion in some kind of federal government support in 2010.

    Unless, you’re dead you have taken some kind of government handout, whether you want to admit it or not.

    Reply »

    Anonymous Reply:

    Unless, you’re dead you have taken some kind of government handout

    Does being brain dead count?

    Reply »

    JohnBernardBooks Reply:

    @ Karen
    “Government handouts include Medicaid, Medicare, Social Security, stimulus tax refund checks, food stamps, tax breaks, unemployment benefits and homestead exemptions.”
    tax breaks and homestead exemptions are handouts?

    lemme guess you’re a teacher in the union?

    Reply »

    Karen Reply:

    John,

    I believe your comment should have been directed at Julie. However, yes, tax breaks and exemptions are govt. handouts, subsidies, whatever you want to call them.

    People who rent and receive govt. subsidized housing helps the property owner pay their property taxes. Why do you seem to believe that the low income renter should not be given a subsidy yet the person who owns the property should? Tax breaks, grants, subsidy, tax abatements, etc.?

    Big money approved for Peconic apartments
    http://riverheadnewsreview.timesreview.com/2010/06/1331/big-money-approved-for-peconic-apartments/

    Reply »


  20. Karen says:

    Julie,

    Also, farm subsidies, grants to cities/towns to improve existing infrastructure or provide new infrastructure that benefits everyone, college scholarships, grants, loans. Agriculture exemptions and senior exemptions/freeze on property taxes. SBA and USDA loans. Tax abatements provided to businesses by cities/towns.

    Every single day everyone benefits from a govt. assisted program/handout–water supply, electricity, sewer, roads, schools, churches. The list is endless.

    Reply »

    david Reply:

    Where did the government get all of that money to ‘hand out’? Gee, I think they got it from us, or they printed more of it, thereby making the money we have left worth less.
    Talk about a visious cycle!

    Reply »

    Karen Reply:

    David,

    Gee, all the money the govt. gets comes back to us too at both the state and federal level.

    Reply »

    Fiftycal Reply:

    Not any more. A big chunk goes to China and Japan to service our DEBT. Not to mention the money GIVEN to other countrys becuz of ???? And then there are the TRILLIONS of dollars that have been spent to PROTECT other countrys so they didn’t have to build up their own armed forces. And useless “feel good” BS like money for the UN, Haiti, etc.


  21. Karen says:

    Rural Electrification Administration
    http://eh.net/encyclopedia/article/malone.electrification.administration.rural

    Hey John, Do you live in rural Texas?

    Reply »

    JohnBernardBooks Reply:

    nope

    Reply »


  22. Julie says:

    Anonymous,

    Yes, brain dead counts,but in Brooks case, I think he failed to give due consideration to what he was saying. Does that qualify as brain dead?

    Karen,
    Thanks for providing additional examples.

    David,
    The federal government gets the additional money by borrowing, which we know is bad business.

    Reply »

    Karen Reply:

    Julie,

    All borrowing is not bad business. It depends on what you borrow for. To borrow to provide tax cuts is bad business; however, to borrow for something that can generate increased revenues to pay back what you have borrowed and improve citizens lives is not bad business.

    Reply »

    JohnBernardBooks Reply:

    Julie the republican you agree with Karen the liberal that everyone is getting government handouts?

    Reply »


  23. JohnBernardBooks says:

    and folks that was todays lesson in liberalism 101. You only exist because of government handouts.

    thats funny I don’t how dumb you are.

    Reply »

    Karen Reply:

    John,

    As usual, the insults begin. Are you unable to get your point across without insults?

    Reply »


  24. JohnBernardBooks says:

    folks don’t stop Karen the liberal and Julie the republican they are on a roll.
    Next they’ll tell us that YOU need to be paying more taxes so the government can give YOU more!

    Reply »


  25. Karen says:

    Actually John, I’m not a “liberal.” I did not say that YOU need to be paying more taxes–I believe that EVERYONE including Corporations should pay their fair share of taxes. I don’t believe big Corporations should be allowed to hold Texans hostage if their “demands” aren’t met and do not consider this “healthy competition” but rather extortion. You might want to read this.

    South Carolina State Sen: Today’s Tea Party Should Go After Corporate Power Like Original Boston Tea Party Did
    http://thinkprogress.org/2011/04/23/south-carolina-state-sen-tea-party-should-go-after-corporations/

    Reply »


  26. Karen says:

    BTW John, you did not answer my question. Do you own your own home or business?

    Reply »


  27. JohnBernardBooks says:

    yes I own my home and I own a business. I’m the enemy. I’m penalized because I work hard. I have no intention of giving you liberals another penny of my money to buy votes with.

    from the Texas Dept Of Health Services web site:
    “WIC clients usually receive services in the county where they live. U.S. citizenship is not a requirement for eligibility.”

    If that doesn’t piss you off then you’re a brainwashed dumbazz liberal.
    Shall I make it any clearer?

    Reply »

    Karen Reply:

    John,

    I’m way more pissed off at what the Corporate welfare in America costs the taxpayers. Poor people don’t “buy votes”; Corporate America buys votes.

    We also own our home and have a business. I’d much rather provide WIC than neonatal intensive care for the premature babies that would result from lack of prenatal care/nutrition.(Penny wise and pound foolish) BTW, I am a registered nurse and no, I do not belong to a union.

    Reply »

    Fiftycal Reply:

    Why don’t you give us a list of “corporate welfare”? You mean like farm subsidys, ethanol subsidy, tariffs on importation of sugar, ethanol and other commoditys? How about how GE, whose CEO is on 0-BOMB-AH’s “employment commission”, paid ZERO taxes while making more than $5 billion in profit in the US?

    You mean THAT kind of “corporate welfare”?

    Reply »

    Anonymous Reply:

    “WIC clients usually receive services in the county where they live. U.S. citizenship is not a requirement for eligibility.”

    uh oh, illegals are making poor jbb wet the bed again.

    Reply »

    JohnBernardBooks Reply:

    “We also own our home and have a business. I’d much rather provide WIC than neonatal intensive care for the premature babies that would result from lack of prenatal care/nutrition.”

    You’d rather provide wic to illegals, that just about sums it up.
    As far as “lack of prenatal care/nutrition”, sometimes expecting parent make the hard decisions and choose wrong. Lemme see do we want cable this month or a needed drs visit oh what the heck lets do cable, and a movie and lets eat out. We as a society don’t deny adequate health coverage to anyone but some do make poor decisions and sometimes they’re costly.

    I have no compassion for bleeding heart liberals who tell me I’m not paying enough taxes, or the stupid who tell me any of my money I get back from Uncle Sam is a handout. What part of “its my money” did you miss?
    Taxed Enough Already Party.
    Mind your own business.

    Reply »

    Karen Reply:

    John,

    No, it is not your money if the law requires you to pay taxes. What does Jesus say about taxes?

    Yes, we as a society do deny adequate health coverage to people and that denial of adequate health coverage just increases health care costs for everyone. I’d much rather treat someone who cannot pay in a doctors office than the ER.

    I have no compassion for people who have no compassion for others and cannot engage in a civil discussion.


  28. Julie says:

    Books,

    The lesson was that you didn’t know what you were talking about when you said you’ve never taken a handout.

    As yet another example, if your bank fails, the FDIC guarantees deposits up to $250,000. Since you insist you won’t take a handout, if your bank fails, you won’t ask the FDIC to make you whole. Right?

    You say the lesson is that government handouts demonstrate that everyone only exists because of government handouts.

    Some of those handouts are corporate tax breaks that allow thousands of major corporations to pay no federal income taxes at all. If I take what you say as fact, then corporations that pay no taxes exist only because of handouts (corporate tax breaks).

    If that’s the case, then then these corporations aren’t making enough money to make a profit without tax breaks that allow them to pay no taxes.

    Logic would dictate that taxpayers should stop giving tax breaks to those corporations, since they’re not profitable.

    Of course, all of this is based on your twisted logic.

    The reality is that both Democrats and Republicans in Congress have spent trillions of dollars that we don’t have. The main reason that happens is lawmakers have to seek re-election, so they have a difficult time saying no to constituents on funding requests.

    That’s why we need an amendment to the U.S. Constitution requiring a balanced federal budget.

    Karen,

    It’s true that not all borrowing is bad business, but with a more than $14 trillion federal deficit, the government needs to get off the debt train.

    Corporations also need to stop looking at the federal government as their sugar daddy, both with 100 tax breaks and multi-trillion dollar low-interest loans. The government is in no position to continue to be a sugar daddy for big business.

    In late 2008, the Federal Reserve made $9 trillion in loans to major banks. All the loans were made at an annual rate of between 0.5% to 3.5%.

    Reply »

    Anonymous Reply:

    do you drink water jbb? Because guess where the funding for the Highland lakes dams came from.

    Reply »

    Anonymous Reply:

    “The reality is that both Democrats and Republicans in Congress have spent trillions of dollars that we don’t have”

    As a true Republican, Julie understands that Republicans and Democrats are equally at fault for the out of control federal spending.

    What bullshit. This the fig leaf that posers like Julie try to use to give liberals a pass on their enormous spending that dwarfs anything that Republicans ever thought about.

    In the last two years we have accumulated national debt at a rate more than 27 times as fast as during the rest of our entire nation’s history.

    As a Republican poser, Julie will never criticize Democrat out of control spending because she is a Democrat.

    Reply »


  29. Julie says:

    I mean 100% percent tax breaks in my last comment.

    Reply »


  30. Karen says:

    Julie,

    “In late 2008, the Federal Reserve made $9 trillion in loans to major banks. All the loans were made at an annual rate of between 0.5% to 3.5%.”

    My understanding was that the loans were 5% initially and increased to 7% in two years.(Texas banks) This was a win/win for both the govt. and the banks. The purpose was to capitalize the banks and as I recall, the prime rate was 4% at the time? We may not be referring to the same loans? Here is what you are referring to.

    http://money.cnn.com/2010/12/01/news/economy/fed_reserve_data_release/index.htm

    Reply »


  31. JohnBernardBooks says:

    @ Julie my liberal fiend
    I’m not sure what part of “I’ve never taken a handout” did you not get. I pay taxes and in turn I get government services, any reasonable person could understand thats not a handout.
    But if it makes you happy to say I get handouts, then say it anytime you choose. It just won’t be a true statement.

    Reply »


  32. Julie says:

    Julie,

    The federal Reserve also made over $26 billion in near zero interest loans to the Arab Banking Corporation, a bank that is primarily owned by the Central Bank of America.

    I don’t think we should have made those loans.

    Reply »


  33. JohnBernardBooks says:

    “do you drink water jbb? Because guess where the funding for the Highland lakes dams came from.”

    I know and my taxes paid for it. It just ain’t no frickin handout.

    I’m a “pay as I go conservative” who takes NO HANDOUTS” or wants to give one to illegals.

    Not taking a hnadout must be a foreign concept for some.

    Reply »

    Anonymous Reply:

    It’s called an investment you brain-dead moron. And no, your taxes didn’t pay for it. But it sure did generate a lot of income for both the state and federal government. Gee, what a concept.

    Reply »


  34. Julie says:

    John Bernard Book,

    You blame liberals for the Women, Infants and Children program. You point out that U.S. citizenship is not required to be eligible for the WIC program.

    Since you don’t like the WIC program, blame President Nixon. He signed the WIC program into law. Nixon is a Republican.

    The WIC program was created to serve American women but the law also requires states to extend the service to migrants, which includes those who live illegally in the country.

    You say the fact that illegal immigrants are eligible for the WIC program makes you mad and that anyone who thinks otherwise is a “brainwashed dumbazz liberal.”

    Gosh, I never thought of President Nixon as a “brainwashed dumazz liberal,” but he supported the program, so that must make him a “brainwashed dumazz liberal” by your definition.

    Your view that because you pay taxes, handouts you receive are “government services,” rather than “handouts” is okay with me. But you can’t argue against the many “handouts” received by the poor and unemployed, because those people have paid taxes, too, and that includes people in the WIC program.

    Reply »


  35. JohnBernardBooks says:

    “Julie says:
    John Bernard Book,
    You blame liberals for the Women, Infants and Children program. You point out that U.S. citizenship is not required to be eligible for the WIC program.
    Since you don’t like the WIC program, blame President Nixon. He signed the WIC program into law. Nixon is a Republican.”

    Julie you’ll never get. Nixon also signed into law the EPA. But he didn’t write either law a democrat congress did.
    Also, sometimes well meaning programs like WIC which was designed to help our servicemen out are hijacked by democrats and turned into vote buying scams. The gall of a government bureaucrat to actively recruit illegals by giving tax dollars is absurb. But why do they get away with it? Because gullible people like you want to blame people like me who say no to more taxes.

    Democrats politicized the budget by screaming about a deficit. So I say lets answer them with cuts to benefits to illegals, cuts to a bloated state government by eliminating un-needed state jobs, by cutting bloated school district budgets and any other waste. Cut back to bare essentials. Why that’s offensive to anyone other than a freeloading liberal escapes me.

    Here’s the deal no to freeloaders and no new taxes.

    Reply »

    Karen Reply:

    John,

    What part of “illegals and poor people pay taxes too” don’t you understand? Why do you seem to believe that you are entitled to govt. services and they aren’t?

    Why do you think illegals and the poor are freeloaders? Do you know all of them? The ones I know work very hard at two or three jobs and still cannot make ends meet.

    Reply »

    JohnBernardBooks Reply:

    @ Karen
    “Why do you think illegals and the poor are freeloaders?”
    yes, its called an entitlement attitude. For the first time since FDR the federal government has paid out more entitlements than taxes raised. Sheer insanity.
    You may give as much money as you feel obligated to, just don’t tell me I have too.

    Reply »


  36. Julie says:

    JohnBernardBrooks,

    Now you’re using the argument that it’s the Democrats fault that we have a WIC program.

    President Nixon gladly signed the WIC program into law, although as our Republican president he could have vetoed in. Republicans could have easily repealed WIC in 2003-2005 when they controlled both Congress and the White House, but they didn’t.

    You can blame WIC on Democrats all you want, but both parties favor the program.

    You wrongly claim that Democrats politicized the budget by screaming about a deficit. The truth is that both parties have screamed loudly about the deficit, but neither party has done anything about it.

    It’s beyond me why you pick on the WIC program which is being carried out in compliance with a federal law adopted by our elected leaders and signed into law by a Republican president.

    You talk in broad, general terms about cutting discretionary federal spending, when that’s not the area that shoulders most of the blame for the growing deficit.

    The key drivers are the huge Entitlement programs and wars initiated by both Republican and Democratic administrations over the years. Some examples:

    More than $1 trillion spent on wars in Afghanistan and Iraq. UNFUNDED

    More than $2 trillion due to Bush tax cuts. UNFUNDED

    $1 trillion due to Obama health care program. UNFUNDED

    $1 trillion due to Bush Medicare drug program
    UNFUNDED

    In the long term, Medicare and Medicaid are the single biggest drivers of the federal deficit and the federal debt by a huge margin

    While you pick on WIC, there’s not a peep from you about the need to make America’s corporate tax rate competitive.

    The corporate tax rate should be lowered by overhauling the U.S. Tax Code, which contains far too many tax breaks in its 17,000 pages and which has allowed thousands of major corporations to pay no federal income taxes. We need a fair tax system.

    Also, there’s not a word from you about the need to adopt a balanced budget amendment, something I support.

    But you go on with your broad, general brush strokes about cutting wasteful government spending, without offering any specifics on what the waste is. It seems you’re better suited using a brush that offers no details.

    Reply »

    JohnBernardBooks Reply:

    “Julie says:
    JohnBernardBrooks,

    Now you’re using the argument that it’s the Democrats fault that we have a WIC program.

    President Nixon gladly signed the WIC program into law, although as our Republican president he could have vetoed in. Republicans could have easily repealed WIC in 2003-2005 when they controlled both Congress and the White House, but they didn’t.”
    as previously stated it has been hijacked by liberals as an entitlement program for illegals.

    Reply »

    Anonymous Reply:

    $1 trillion due to Obama health care program. UNFUNDED

    According to the CBO that is an incorrect statement. The health care act that Obama signed is funded and actually will reduce the deficit by 100-200 billion over 10 years. For as much as jbb and his ilk scream about taxes I have never once heard them complain about the unpaid for wars in Afghanistan and Iraq that their wingnut hero Shrub jr. started. $3 trillion pissed down a hole and not a peep out of these jerks. But non-citizens getting WIC benefits is the cause of all the problems. Jesus, what a bunch of f*cking morons.

    Reply »


  37. Karen says:

    John,

    FYI:

    Undocumented Immigrants Paid $11.2 Billion In Taxes While GE Paid Nothing
    http://wonkroom.thinkprogress.org/2011/04/23/immigrants-taxes-general-electric/

    Reply »


  38. JohnBernardBooks says:

    @ Karen
    the GE not paying taxes was an april fool scam, intended to fool the gullible. It isn’t true.
    Stop hating corporations, they give jobs to people who want to work.
    OK kids I choose to close the JBB school for today. Most of you got an F.

    Reply »

    Karen Reply:

    John,

    False. This was the hoax.

    WHOOPS: AP Falls For Hoax Press Release Saying That GE Will Repay Government $3.8 Billion Tax Break
    http://www.businessinsider.com/ge-press-release-hoax-2011-4

    Reply »

    Karen Reply:

    John,

    I do not hate Corporations. And, yes, they give jobs to people who want to work–many times overseas because they want CHEAP labor and NO TAXES.

    I simply believe Corporations should pay their fair share of taxes. Is it their fault they don’t? Yes, because they lobby lawmakers and line lawmaker’s pockets to get their way: Tax cuts/breaks/subsidies/low or no taxes/loopholes/no regulations, etc.,etc. Profits/money is their master and they do not give a tinkers damn about America or Americans.

    Reply »


  39. Kenneth D. Franks says:

    Gos, this conversation has gotten pretty out there since I last looked at it. You will not change J.J.B.’s mind even if your arguments make sense. If G.E. does pay any taxes it will still be very small compared to its profits.
    We had an “Amnesty Program” under Reagan, “Saint Reagan,” the Republican President at the time and were promised the borders would be closely watched, and basically closed but the BIG and small business operators and others wanted CHEAP labor. When illegal workers couldn’t finally go back and forth they brought their families here and had more children HERE. It is a vexing problem no matter what side you are on. There are no easy solutions.

    Reply »

    Karen Reply:

    Kenneth,

    You might want to read this info regarding immigration. There is some really good factual information on this blog.

    http://www.seattleimmigrationlawyerblog.com/immigration-reform/

    Reply »


  40. Karen says:

    This is rather interesting regarding GE.

    GE has been an investor disaster under Jeff Immelt
    Commentary: CEO spends $200,000 on jets, $36,000 for car lease last year
    http://www.marketwatch.com/story/ge-has-been-an-investor-disaster-under-jeff-immelt-2010-03-08

    Reply »


  41. Julie says:

    John Bernard Books,

    You insist the WIC program has been hijacked by liberals as an entitlement program for illegals. Here’s a fact. Federal regulations provide only one percent of WIC funds for migrants. One percent does not constitute a hijacking in anyone’s mind except yours.

    You’ve gone off the deep end in insisting that stories about GE not paying federal income taxes was an April fools joke.

    GE filed a 10-K report with the Securities and Exchange Commission in February that states the company owed no federal income taxes in 2010 and 2008. That’s a fact, not some joke. I’ve read the report.

    Books, you need to get some rest. You’ve started recognizing things that aren’t true at all as fact.

    Reply »

    Anonymous Reply:

    You’ve started recognizing things that aren’t true at all as fact.

    That, I’m afraid, is the definition of WINGNUT!

    Reply »

    Nick Manning Reply:

    no, hes just willing to parrot any nonsense to attempt to make his lame points, while also trying to start fights.

    Reply »


  42. Karen says:

    John,

    Here is some more info regarding immigrants. Do you spread your hate around or are you focused just on just on Hispanics? I bet you think Leo Berman is a great guy, don’t you.

    Research shows that immigrants don’t steal jobs from Americans
    http://blogs.ajc.com/cynthia-tucker/2010/05/17/research-shows-that-immigrants-dont-steal-jobs-from-anericans/

    Reply »


  43. Karen says:

    Julie,

    Do you really believe that Texas has a “balanced budget” every year?

    Reply »


  44. JohnBernardBooks says:

    @Julie the Republican
    no one know how many illegals are in the US, but somehow you liberals know how much in taxes they pay and how little benefits they use? horse pucky. End the entitlement system, send illegals back and put liberals to work.
    Here’s the deal liberals, the grownups have said no. It doesn’t matter how many “facts” you make up to justify your position. We don’t care.

    Reply »

    Karen Reply:

    John,

    You consider yourself a “grownup?” The GOP are the ones who “make up facts”–do you recall Palin’s “death panels” and Kyle’s “planned parenthood fact?”

    Exactly what do you consider the “entitlement system?” Do you have a clue how much it will cost the taxpayers to “enforce and deport only?”

    You have a “political agenda” not a sound economic agenda.

    Utah’s New Immigration Law: A Model For America?
    http://www.scpr.org/news/2011/03/19/utahs-new-immigration-law-a-model-for-america/

    Reply »


  45. JohnBernardBooks says:

    “Karen says:
    John,
    FYI:
    Undocumented Immigrants Paid $11.2 Billion In Taxes While GE Paid Nothing”

    Julie says:
    John Bernard Books,
    You’ve gone off the deep end in insisting that stories about GE not paying federal income taxes was an April fools joke”

    GE paid more than 2.7 billion in taxes in 2010. You liberals need to get a job and quit read liberal blogs. Yes Jeff Imelt is a President Obama lapdog. But that doesn’t make a GE a dirty word. What makes you angry is GE makes a profit while employing Americans.

    Reply »


  46. Karen says:

    John,

    Please provide your source that GE paid more than 2.7 billion in taxes in 2010. Here is mine.

    Setting The Record Straight on GE’s Taxes
    excerpts
    “The company says that it’s not getting any refund for 2010 — validating Outslay’s analysis. Its 2010 tax situation? “We expect to have a small U.S. income tax liability for 2010,” GE chief spokesman Gary Sheffer told us. How big is small? GE declined to say. The number is unlikely to ever be disclosed unless GE goes public with it, or is forced to do so.

    One reason the Times got ensnared — and that it took us a while to figure things out — is that the material is confusing. Professor Outslay drew up 10 GE tax metrics [6] for us, and could have given us at least six more. None of them show what GE’s U.S. income tax bill is for a given year.

    We’re certainly not trying to denigrate the Times. (Full disclosure: Co-author Jeff Gerth worked there for 30 years; co-author Allan Sloan once aspired to work there; ProPublica articles sometimes appear there.) We’re certainly not siding with GE, which for decades has been an aggressive tax-minimizer, and could have averted this mess by explaining things simply and clearly to the Times and us and others. It either couldn’t or wouldn’t do so.”
    http://www.propublica.org/article/setting-the-record-straight-on-ges-taxes/single

    Reply »


  47. Julie says:

    Karen,

    The Texas Constitution requires a balanced state budget.

    Books & Karen,

    General Electric’s 10-K filing with the Securities and Exchange Commission shows the company paid $2.7 billion in federal income taxes in 2010. However, the GE report states that when the company’s losses were factored in, the company owned no federal income taxes at all in 2010. The company says it also owed no federal income taxes in 2008.

    Books,

    You suggest that we end Entitlements. Entitlements include Social Security, Medicaid, and Medicare. Most Americans want the Entitlements. Your view is in the minority.

    Now you can feel free to resume your trite approach that anyone who disagrees with you is a liberal.

    Reply »

    Karen Reply:

    Julie,

    I am well aware of what the Texas Constitution says but do you really believe that the budget is actually balanced each year?

    From this article:

    “And a deferral of $3 billion in Medicaid spending to the next budget cycle means the Legislature that gathers in 2013 will have just that much less money to spend. It’s sort of the Texas balanced-budget version of deficit spending.”

    Reply »


  48. JohnBernardBooks says:

    “Books,

    You suggest that we end Entitlements. Entitlements include Social Security, Medicaid, and Medicare. Most Americans want the Entitlements. Your view is in the minority.”

    there you have it, the liberal viewpoint.

    Reply »

    Karen Reply:

    Hey John,

    So the Tea Party is a liberal viewpoint?

    70% of Teaparty oppose cuts to Medicare
    http://www.marriedandflirtingchat.com/forums/showthread.php?p=2708649

    Reply »

    JohnBernardBooks Reply:

    oh yes marriedand flirting chat is highly recommended for you news. Just like Jon Stewart and Colbert are good sources.

    Reply »

    Anonymous Reply:

    Everyone knows only Fox and rush limpdick report REAL news.

    JohnBernardBooks Reply:

    “and rush limpdick”
    uh oh someone has a crush on Rush

    Karen Reply:

    Here is another source.

    http://www.slate.com/blogs/blogs/weigel/archive/2011/04/19/poll-70-percent-of-tea-party-supporters-oppose-medicare-cuts.aspx

    I’m pretty sure your source for news is False News. (Fox News)-Glen Beck

    Anonymous Reply:

    uh oh someone has a crush on Rush

    Only the twisted, hive mind of a wingnut cult member could come up with a statement like that.


  49. Karen says:

    More articles.

    WHO’S FULL OF CRAP? GE, The New York Times, And The Hazards Of “Tweeting The Record Straight”

    Read more: http://www.businessinsider.com/ge-taxes-2010#ixzz1KRhMqgb6

    Reply »

    JohnBernardBooks Reply:

    exactly, GE cannot talk about the special waiver granted to them by Rep Charlie Rangle.
    CEO Imelt an Obama croney got a “special favor” from his pals the democrats.
    All you have to do is get on the Obama waiver train baby. President Obama writes waivers every day exempting “friends” from Obamacare.
    Its the “chicagoway”.

    Reply »


  50. JohnBernardBooks says:

    “However, the GE report states that when the company’s losses were factored in, the company owned no federal income taxes at all in 2010.”

    exactly, GE was granted a special waiver by the most Honorable Rep Charlie Rangle, Chairman of the Ways and Means Committee. GE then donated millions to schools in NY, some of which was “donated” to Rep Rangle’s campaign fund.
    Now you’re getting close to why Rep Rangle was censured. Democrats circumvented the tax law with a waiver for an Obama crony. Democrats do it for their friends all the time.
    Instead of bashing companies, place the blame where it belongs, democrats granting favors to their cronies.

    Reply »


  51. Karen says:

    John,

    Actually, place the blame where it belongs–on both the GOP and Dems in Congress but has the thought ever crossed your mind that if these Corporations were not allowed to lobby and contribute generously to our elected officials campaigns, this would not happen? Laws that benefit big Corporations might not be passed by Congress? Perhaps we need to focus on campaign finance reform at both the state and federal level?

    Did you happen to catch the Defense spending that Boehner tried to get passed that was a earmark for his district that the pentagon did not even want?

    http://fredericacade.wordpress.com/2011/02/17/house-votes-down-f-35-jet-engine-program-and-john-boehner-fails-to-get-his-earmark/

    Reply »

    JohnBernardBooks Reply:

    I fail to see how Rep Boehner not getting an earmark and GE getting a waiver is the same. earmarks are shot down all the time. GE’s waiver was personally handled by the WH.
    Huge difference. Why pretend they the same?

    Reply »

    Karen Reply:

    John,

    Nope, it’s the same thing. Check to see who donated to Boehner’s campaign.

    Why don’t you ever provide sources for your claims?

    Here some info for you.

    http://www.redstate.com/tabithahale/2011/02/03/epa-issues-first-waiver-for-new-greenhouse-gas-regulations/
    excerpts

    “UPDATE:

    I received this information from GE Communications:

    Just wanted to clarify the issue on the EPA waiver issued to a power project in California, which the Washington Examiner reported was issued to GE. GE did not receive an exemption from EPA. The waiver was issued to the project developer. GE is not building the plant and did not advocate for the waiver.

    GE’s connection to the project is that we have submitted a bid for turbines. While GE would welcome the opportunity to provide our high-efficiency turbine technology for the proposed project, we have not been asked to provide any equipment to date.”

    Reply »

    JohnBernardBooks Reply:

    the GE waiver I referred to is from Charlie Rangel granting GE a waiver from paying federal taxes. GE then gave millions to schools in NY with about 11 million finding its way back to schools in Charlie district. Its how democrats do business. Its called the chicagoway.
    Here two facts for you democrats to deny:
    Rep Rangel was censured and
    President Clinton was impeached.

    Karen and Julie aren’t you proud you voted for Obama?

    Karen Reply:

    John,

    “the GE waiver I referred to is from Charlie Rangel granting GE a waiver from paying federal taxes. GE then gave millions to schools in NY with about 11 million finding its way back to schools in Charlie district. Its how democrats do business. Its called the chicagoway.”

    Please provide your source.


  52. JohnBernardBooks says:

    so back on topic.
    Democrats politicized the budget process by warning of the huge defict facing Texas.
    Democrats foolishly thought they could browbeat the republicans into new taxes. It backfired, much need, long overdue cuts are coming a budget near you soon.
    How sweet it is

    Reply »


  53. JohnBernardBooks says:

    There’s a reason democrats lost in Novemember. Spending is out of control, and the 1/2 of Americans who do pay taxes are tired of it.
    Its time to crush the democrats, and their taxNspend agenda.

    Reply »

    Karen Reply:

    John,

    Dems politicized the budget process? Here is something to think about. Our lawmakers have been aware of this “huge deficit” since 2006 and have done nothing to correct the problem. Doesn’t that bother you?

    It ain’t over until the fat lady sings.

    Reply »

    Karen Reply:

    John,

    Actually, you seem to be forgetting what got us into this mess in the first place. Bush and the GOP–BORROW AND SPEND! And now they want to make the Bush Tax cuts permanent on the backs of the elderly. Do you have any idea how much the Bush Tax cuts add to the deficit?

    Reply »

    JohnBernardBooks Reply:

    the democrats last line of defense “Bush did it”.

    Reply »

    Anonymous Reply:

    then prove the statement wrong with facts. that’s what a Grownup would do.

    JohnBernardBooks Reply:

    yes but could you recognize a fact?

    Kenneth D. Franks Reply:

    Bush was elected in 2000. We had a surplus. Solution, tax cuts for the wealthy. 2003 more tax cuts. The economy starts to lag, we need more tax cuts. Yes, Bush did a lot to get us into this mess.

    Anonymous Reply:

    well, we know you can’t

    JohnBernardBooks Reply:

    “Bush was elected in 2000. We had a surplus.”
    hahaha

    Karen Reply:

    John,

    Why don’t you provide some sources for your claims?

    During the Clinton administration was the federal budget balanced? Was the federal deficit erased?
    http://www.factcheck.org/askfactcheck/during_the_clinton_administration_was_the_federal.html

    Karen Reply:

    John can’t prove the statement wrong.


  54. Julie says:

    Karen,

    If the Legislature approves a budget that includes a $3 billion Medicaid deferral, it will be paid in a supplemental appropriation for the 2012-13 budget (the budget being discussed now), when the Legislature meets in the next regular session.

    At no time, will it be paid for by incurring debt, meaning the budget will be balanced.

    On General Electric, what I said stands. GE paid $2.7 billion in federal income taxes in 2010, but the company says it owes no taxes for the year when its losses are considered. The company has the option of getting a $2.7 billion refund, or the company can apply the $2.7 billion toward any federal income tax obligation the company may have on its 2011 income tax return.

    The company did not claim any special waiver in regard to its 2010 income tax return.

    GE has pubicly stated that it owed no taxes in 2010.

    Reply »


  55. Karen says:

    Julie,

    “If the Legislature approves a budget that includes a $3 billion Medicaid deferral, it will be paid in a supplemental appropriation for the 2012-13 budget (the budget being discussed now), when the Legislature meets in the next regular session.

    At no time, will it be paid for by incurring debt, meaning the budget will be balanced.”

    Well, I guess that is one way of looking at it. :)

    Reply »


  56. Julie says:

    Karen,

    That’s the only way to look at it, because that’s what will happen if the $3 billion is deferred.

    Reply »


  57. Karen says:

    Anybody keeping up with this problem?

    Texas Transportation Funding “In Crisis”
    http://dfw.cbslocal.com/2011/01/31/texas-transportation-funding-in-crisis/

    Reply »


  58. Julie says:

    Karen,

    Transporation funding is another issue the Legislature will have to properly address in a future session.

    Lt. Gov. Dewhurst had this to say earlier this year:

    http://www.dallasnews.com/news/state/headlines/20110123-lt.-gov.-david-dewhurst-to-push-texas-lawmakers-to-consider-fee-hike-to-pay-for-roads.ece

    Reply »


  59. Karen says:

    If this doesn’t piss you off, nothing will. Unbelievable!

    http://www.texasobserver.org/forrestforthetrees/on-tax-day-the-lege-contemplate-a-tax-break-for-yacht-owners-seriously

    Reply »


  60. Karen says:

    Julie,

    I don’t think the Texas legislature has properly addressed anything in this session, do you? Structural budget deficit fix being on the top of my list.

    Reply »


  61. Julie says:

    Karen,

    The Legislature is patching holes but as far as important fixes, no, it’s not doing that.

    The Legislature should fix the margins tax, so it doesn’t continue to fall short of replacing the revenue that school districts lost when their tax rates were cut in 2006.

    Transportation is another important fix, but I believe that has to wait until the next session.

    Medicaid is another important issue, but changes to help drive down costs will have to come from Congress, not the Legislature.

    Education and Medicaid, along with all the services provided by the Texas Health and Human Services Commission, chew up 90 percent of the state’s revenues in the current budget.

    The state eventually will have to come up with a new system of financing public schools. The margins tax — even if addressed — will be a short-term solution that will be good for a few years only.

    Reply »


  62. Karen says:

    Julie,

    Yet, the legislature has time to pass and/or consider bills like voter ID, mandatory sonograms before an abortion, birther bills, tax breaks for yacht owners, banning sharia law, unconstitutional anti-immigration bills.

    Until the margins tax is fixed, there will be an annual budget deficit.

    Then they propose this:

    http://www.texasobserver.org/floor-play/the-band-aid-for-a-the-business-tax-bullethole

    The GOP/Tea Party is putting their “political agenda” ahead of what is best for Texas and Texans.

    Reply »


  63. Karen says:

    Budget Cuts Could Prove Devastating to Disabled Texans
    http://srideout.blog.com/2011/03/21/budget-cuts-could-prove-devastating-to-disabled-texans/

    Reply »


  64. Julie says:

    Karen

    Your last sentence reflects what I’ve said over and over. Very few Republican legislators want to put what’s good for Texas ahead of what the Tea Party wants

    Reply »


  65. Karen says:

    Guess what the GOP is pushing for now? Deregulation with claims that this will create jobs. Yeah, right. Deregulation creates profits for Corporate America. Perhaps everyone needs some reminders of what deregulation has cost Americans?

    http://gbruce.com/thanx_republicans.html

    Reply »


  66. Karen says:

    So how has deregulation worked out for Texans so far?

    Report: $15.5 Billion in Excess Electric Costs under Texas Electric Deregulation
    http://rechargetexas.com/electric-deregulation/report-15-5-billion-in-excess-electric-costs-under-texas-electric-deregulation/

    Reply »


  67. Karen says:

    Another Tale of Deregulation Woe
    http://the-mound-of-sound.blogspot.com/2011/02/another-tale-of-deregulation-woe.html

    Reply »


  68. Karen says:

    From the Houston Chronicle: Just how stupid are Texans?
    http://bayareahouston.blogspot.com/2011/04/from-houston-chronicle-just-how-stupid.html

    Reply »


  69. Dominic says:

    Just one point to correct the blog post. The Texas Association of School Boards did not run those numbers. As you can see from the lower left margin of the linked document, it was the non-partisan Legislative Budget Board that ran the mumbers. This is an important distinction lest the numbers be dismissed as doomsday scenarios dreamt up by the education lobby to create a panic. Instead, they are the official numbers that the members rely on when voting on any school finance legislation.

    Reply »


  70. Karen says:

    More info on tax breaks for yacht owners. Instead of undercutting Florida, why doesn’t Texas set the same cap? What if Florida comes back and lowers their cap to 200K? Is Texas going to lower their cap to 150K? This is nuts. I’m sick and tired of big Corporations and the wealthy holding States hostage to their demands. What else would get capped in the future?

    In their defense, they claim that people are docking/purchasing their boats elsewhere, and it’s costing jobs and revenue.

    So the superwealthy (safe description for anyone who can afford a 20 million dollar yacht, I’d say) may get a 99% tax cut on their mega yachts, while the middle/upper middle class need to keep paying the same rate. They claim to have an economic study (but do not provide a link to their study)that claims to show Texas would glean an additional $36 million on revenue by keeping these boat sales in Texas with a sales tax cap of $15,625.

    The sale of just ONE 20,000,000 dollar yacht would have brought in $1,250,000 in revenue. Now that will drop to 15k.

    A tax break… not for teachers, the middle class, local businesses, the disabled… but for people who have over 20 million dollars to spare on a super yacht. I’m looking forward to bringing this one to peoples attention. Funny how they don’t mind hurting/possibly closing the private sector “nursing homes” when they are cutting evil Medicaid.

    excerpts
    “In response to the erroneous claim that the House Bill 2187 is to help “wealth yacht owners,” Ms. Juanita is sadly mistaken. The benefit to wealthy yacht owners is vastly over-shadowed by the benefits that Texas will gain for capping the Sales Tax on recreational boat purchases of $250,000 or more.

    Last year the state of Florida passed legislation unanimously to cap their sales tax on recreational boat purchases of $300,000 or more. And since this law has been in effect, Texas has seen their large boat purchases head to Florida to take advantage of this tax break. With those boat sales went fuel sales, retail sales, mooring fees, services fees, restaurant sales, and every other money-generated business sale associated with a yacht of this size.

    What’s happening is that those of us who work in a marine-related business are losing business. We are having to shrink our staffs and tighten our belts and close our doors because Florida is getting the business that should be staying in Texas.

    You may look at this as a benefit to the rich – we look at this as Saving Our Jobs in Texas.”
    http://bayareahouston.blogspot.com/2011/04/another-embarrassment-in-clear-lake.html

    Reply »

    Anonymous Reply:

    The race to the bottom

    Reply »


  71. Karen says:

    This is pretty interesting.

    Gov. Perry to “Fully Fund Business Capital”
    http://stateofthedivision.blogspot.com/2011/03/gov-perry-to-fully-fund-business.html

    Reply »


  72. JohnBernardBooks says:

    so back on topic.
    Democrats politicized the budget process by warning of the huge defict facing Texas.
    Democrats foolishly thought they could browbeat the republicans into new taxes. It backfired, much need, long overdue cuts are coming a budget near you soon.
    How sweet it is

    Reply »

    Anonymous Reply:

    So by your logic if someone points out that jumping off a tall building is a bad thing to do you would say they are politicizing gravity.

    Reply »


  73. R.G. Ratcliffe says:

    To put a little perspective on the state budget, if you made no cuts to health and human services or to education, then you would have to eliminate every other aspect of state government to make the budget balance. This is a serious shortfall.

    Smoke and mirror accounting games will help get the Legislature through this budget cycle on most aspects of human services. But those programs are a federal entitlement that the state has to pay a portion of. Ultimately, there is no escape, only the hope that in future budgets the economy will improve enough to cover the accounting game.

    Public education is required by the state Constitution. A federal court ruling requires the state to provide elementary and secondary education to all children living in the state, regardless of citizenship or residency status. You can repair an untended highway at a later date, and its still a highway. Ignore basic education for children, and you increase the odds that they eventually will drop out of school and end up either on the welfare system or in prison.

    Cuts are necessary. The state economy probably couldn’t stand the shock of a $25 billion tax increase. But it likewise may not be able to take the kind of cuts outlined in the House bill.

    So on that idea, what taxes do you folks think should be raised? Should we just revert the franchise tax, as Steve Ogden proposes.

    And on the personal note to Dominic, poor choice of words. I should have said the TASB “provided” the numbers. I was mostly trying to give your group credit as the source of my numbers.

    Reply »


  74. Karen says:

    R.G.,

    “This is a serious shortfall.”

    This is a serious self-inflicted(by Texas lawmakers)shortfall.

    I would support a state income tax–no loopholes.

    A state income tax is the long-term answer to Texas school funding
    http://www.star-telegram.com/2011/03/02/2891248/a-state-income-tax-is-the-long.html

    Reply »


  75. Julie says:

    RG,

    Adjust the margins tax to generate revenue lost by rollback in school district tax rates and adopt a temporary 3-year increase in the state sales tax.

    Reply »


  76. Karen says:

    R.G.,

    Make it harder to qualify for an ag exemption. Hint: Actually engage in a legitimate farm/ranch operation.

    http://news.yahoo.com/s/thenation/20110414/cm_thenation/159943

    Reply »


  77. JohnBernardBooks says:

    Karen wants to give the taxpayer another tax by installing a state income tax.

    Julie wants to raise the sales tax.

    JBB says stop spending.

    who will win the taxNspend democrats or poor ol JBB?

    Reply »

    Karen Reply:

    John,

    Your way will cost the taxpayers the most in the long run. Actually, I want to replace the margins tax with a state income tax with no tax loopholes.

    Reply »


  78. Karen says:

    FYI:

    Wildlife Tax Exemption
    http://www.texaswildlifemanagement.com/Wildlife%20Tax%20Exemption.htm

    Reply »


  79. Tim says:

    I’m amazed that Patrick represents CyFair school district and they’re projected to loose $300 million!
    This is pretty ballsy action at the state level. Voters may say this is what they want, but it’ll be interesting to see if the ledge still gets a thank you after the cuts actually get enacted. Taking 10% of the budget out of a white tea-party dominated district will definitely be the true test of the will of the tea-party to cut even when it affects their kids.

    Reply »


  80. Tim says:

    That said. I expect next biennium we might have a Democratic or moderate Republican majority and a strong mandate from the voters for a sales tax hike or an income tax.

    The politicians are messing with the voter’s kids.

    Reply »


  81. Karen says:

    Tim,

    I’m not convinced the voters fully grasp the reality vs the ideology of these budget cuts.

    Reply »


  82. bankruptcy court says:

    For as much as jbb and his ilk scream about taxes I have never once heard them complain about the unpaid for wars in Afghanistan and Iraq that their wingnut hero Shrub jr. started. $3 trillion pissed down a hole and not a peep out of these jerks. But non-citizens getting WIC benefits is the cause of all the problems. Jesus, what a bunch of f*cking morons.

    Reply »


  83. konkurs,konkurs as,konkurs nuf,personlig konkurs,konkurs informasjon says:

    Wow, superb weblog format! How long have you been blogging for? you made running a blog glance easy. The entire glance of your website is fantastic, as well as the content material!

    Reply »


  84. sugar land gymnastics says:

    I cherished up to you will obtain carried out proper here. The sketch is attractive, your authored subject matter stylish. however, you command get got an nervousness over that you wish be delivering the following. sick certainly come further before again as exactly the same just about very continuously inside case you defend this hike.

    Reply »


  85. Auction Goods says:

    We are a bunch of volunteers and opening a brand new scheme in our community. Your website provided us with useful info to paintings on. You’ve performed a formidable job and our entire neighborhood will likely be grateful to you.

    Reply »

Leave a Reply

E-mail

Password

Remember me

Forgot your password?

X (close)

Registering gets you access to online content, allows you to comment on stories, add your own reviews of restaurants and events, and join in the discussions in our community areas such as the Recipe Swap and other forums.

In addition, current TEXAS MONTHLY magazine subscribers will get access to the feature stories from the two most recent issues. If you are a current subscriber, please enter your name and address exactly as it appears on your mailing label (except zip, 5 digits only). Not a subscriber? Subscribe online now.

E-mail

Re-enter your E-mail address

Choose a password

Re-enter your password

Name

 
 

Address

Address 2

City

State

Zip (5 digits only)

Country

What year were you born?

Are you...

Male Female

Remember me

X (close)