Showing posts with label Fair Share Act. Show all posts
Showing posts with label Fair Share Act. Show all posts

Tuesday, June 14, 2011

Dean Wormer and Freind: Corbett Has A 0.0 GPA

Who can forget the classic scene in Animal House when the boys from Delta fraternity were summoned by Dean Wormer?  As he looked over their grade point averages, he menacingly barked the hard truth:

Wormer (to a drunk Flounder): “0.2... Fat, drunk and stupid is no way to go through life, son.”

“Daniel Simpson Day... HAS no grade point average. All courses incomplete….”

And of course:

MR. BLUTARSKY... ZERO POINT ZERO.”
In the spirit of the legendary Dean, it’s now time to rate Governor Corbett and the Pennsylvania House and Senate.  Since all are Republican (with large GOP majorities in the legislature and the Governor a ten-point winner in November), it’s a no-brainer that Pennsylvania should be back on track, given the people’s mandate last year.

But as Blutarsky could tell you, being responsible and fulfilling your requirements feels so much like… work! And where’s the fun in that? 

While politics has always been more style over substance, this time it seemed different.  This time people had the legitimate sense that things would turn around, and life would get better in Pennsylvania….that they could actually trust their leaders to practice what they preached.

But opportunity after opportunity has been needlessly squandered, and those hopes are being dashed.  Not because fighting the good fight has left our politicians spent and exhausted, but because these “leaders” have run state government, as Dean Wormer so eloquently said, in a fat, drunk and stupid way.

*****

As a state agency, the Pennsylvania Council on the Arts (PCA) is funded by taxpayer dollars. While programs for the arts are certainly important, they are normally first on the budgetary chopping block, and for good reason.  Political leaders realize that when dollars are scarce, the funding of other initiatives with greater overall value is a better investment.

Even former Governor Ed Rendell understood this, as the budget for the PCA decreased 45 percent over the last several years, with additional money being allocated for education and infrastructure.

So it was quite a shock to many Republicans in the House last week when the Chair of the PCA, siding with Senate Democrats, criticized the GOP for its proposed cuts to the agency. “The arts budget is so small in comparison with the rest of the budget… I was disappointed to see House Republicans slash it by 70 percent,” she publicly said.

But it’s not the criticism of the cuts that has many in the GOP fuming.  It’s the fact that Governor Corbett has passed the buck, making them do the heavy lifting that he consistently promised to do, but on which he has failed to deliver.

How so?  In Corbett’s budget proposal, the PCA’s budget remains virtually unchanged, yet he wants to slash higher-ed spending by 52 percent. How is that remotely close to “everybody feels the pain?”  It’s not, which is why it’s an impossible sell.

Here’s the killer.  Not only does the Governor lose credibility for himself and his Party by not following through on his shared sacrifice mantra, but, specifically, guess why the PCA’s budget didn’t get cut?

Could it be that its Chair is none other than Sue Corbett, First Lady of Pennsylvania?  

So let’s get this straight. The Governor chose not to cut the budget of the agency his wife chairs --- forcing the House GOP to do it.  And now, because the First Lady doesn’t like that, she chastises the Republicans who are actually exercising the fiscal restraint championed by the Governor (but seemingly only during the campaign), making the House R’s out to be the bad guys.

Not exactly a smart way to endear yourself to the very people who have to pass your budget.

This momentum-killing message is echoing across Pennsylvania: the Governor only wants shared sacrifice so long as his family, friends and pet projects are exempt.

Maybe that’s why he has signed no significant legislation (unlike his counterparts in Indiana, Ohio and New Jersey) and remains rudderless, weighted down by a 30 percent approval rating and unable to extricate himself from a political quagmire of his own making.

Freindly Fire rarely makes political predictions three years out, given that in politics, three months can be a lifetime.  But Tom Corbett has thus far blazed a course for the history books, possibly destined to do what no Pennsylvania governor has ever done: lose after just one term.  And don’t think for a second that State Treasurer Rob McCord --- the Dem’s best shot --- isn’t reading the tea leaves.

Oh, we’ve heard all the rationales:

“He’s a prosecutor.” Hey, that’s great --- if you’re Attorney General.  But you are Governor, and timelines are not dictated by depositions and court dates.  They are initiated by the immediate need to correct the massive problems facing your constituents --- problems that, if not soon fixed, will send the state over the cliff.

 “He’s just trying to get the budget done, and after that’s done, things will roll.” Wrong.  One doesn’t just flip a switch and begin governing.  Ask any insider on either side of the aisle and he will tell you that the Administration is marked by two things: there are no adults running the show, and no one knows who’s in charge.

*****

Rating the House is easy, as it has done the job it promised to do.  It passed the home defense Castle Doctrine; the EITC educational tax credit (giving more parents school choice); restrictions on abortion clinics (in the wake of the horrendous Dr. Kermit Gosnell story); the Fair Share Act (limiting a defendant’s liability in a lawsuit to only his share of blame), welfare reform bills, and a gaming bill that would transform the Bureau of Investigations and Enforcement into its own police agency, free from the political influence by the Gaming Control Board.  And two bona fide school choice bills are being introduced by Rep. Curt Schroder. 
Not bad….even Dean Wormer would be impressed.  GRADE: B+

The Senate is just as easy to rate --- with opposite results.  Their sole achievement has been sitting on House-passed legislation.  In fact, it has become known as the DOA chamber since its members have repeatedly stated that House bills are “dead on arrival.”  The EITC (sponsored by Rep. Tom Quigley), Fair Share Act (Rep. Schroder) and gaming bill (Rep. Mike Vereb) are just a few of the victims. Of the bills the House has passed, NOT ONE has seen the light of day in the Senate. 

One sad result? It was just announced that a Catholic school is closing in Senate Majority Leader Dominic Pileggi’s Delaware County district. One has to wonder that if the Senate hadn’t played games with the EITC expansion bill --- which passed the House 191-7, and would have enabled parents to receive privately-funded scholarships via participating businesses --- maybe the school would still be open, and the taxpayers wouldn’t be on the hook for educating 100 more students in public schools.

And why was it held up?  So that Senate Bill 1, a low-income school choice bill with absolutely no chance of passing, could be kept alive in the Senate.  How Pileggi sells that to his constituents is anyone’s guess.

GRADE: F --- kind of like Flounder’s 0.2 GPA.

*****

But now we get to Tom Corbett --- the Blutarsky of Pennsylvania.  Thus far, he receives a 0.0 GPA because it’s been one failure of leadership after another. 

Consider:

-          Like Rendell, he used The People’s Money to bail out the private Philadelphia Shipyard so that it could build ships --- with no buyers!
-          Like Rendell, he decided to use $20 million of taxpayer money to renovate the Yankees’ minor league ballpark in Scranton --- yes, the same Yanks organization that is the wealthiest franchise in America
-          Told the media, “I've been down in Philadelphia a lot - you just don't know about it," begging the question of whether he is, in fact, the nation’s first Spy-Governor
NOTE: the last time a governor held secret meetings regarding Philadelphia, it was Rendell’s effort to bail out the Inquirer and Daily News.  Coverts ops are better left to the CIA
-          Raised the salaries of his staff, who now average $13,000/year more than counterparts under Rendell
-          Wants to raise the Lt. Governor’s budget by nearly 50 percent
-          Put forth no solution on his mega-campaign promise to privatize the state liquor stores--- providing huge momentum to the clerks’ union
-          Was perceived as untruthful concerning his state car. In responding to a media question, he  said he was still using Rendell’s former car, but failed to mention that he was taking delivery of four new SUV’s that same day--- at a cost of $187,000
-          Took elimination of collective bargaining off the table --- before negotiating with the state employee unions --- without getting anything in return
-          Has not addressed the ballooning pension bomb threatening Pennsylvania’s solvency
-          Made no attempt to stop the 25 percent toll increase at the Delaware River Port Authority
-          Stacked the DRPA and PRPA with contributors, lawyers, lobbyists and political insiders
-          Was silent on the controversy involving his Secretary of Health--- who didn’t like the eggs he was served at a longtime Harrisburg eatery --- and never responded to the owner’s request for justice after the Secretary abused his power
-           Did not fill his cabinet for months, despite the 11 weeks of transition time after the election, putting a hard stop to policy initiatives
-          Did not hold a press conference for a similar amount of time, becoming known as “Governor MIA”
-          Killed Right to Work legislation when a top aide stated that it could never pass in Pennsylvania --- infuriating GOP legislators who were circulating such legislation
-          Was absent on the school choice front, helping to throw that issue into complete disarray --- to the delight of the teachers’ unions, who didn’t have to lift a finger in opposition
-          Made no attempt to bring business and labor together in calling for a reduction in the nation’s second-highest corporate income tax --- a quantifiable job killer
-          Infuriated the press by locking them out of an event to which they were invited
-          Has made no attempt to increase demand for clean, low-cost natural gas to power state building and cars, instead establishing a “Blue Ribbon” commission to study the obvious.

In short, Tom Corbett has made former Governor Tom Ridge look like Chris Christie.  In refusing to use his office as a bully pulpit and barnstorm the state to sell his ideas, Corbett has allowed himself to be perceived as weak and disorganized.  And weakness invites aggression, nowhere more so than politics. So now he finds his agenda under attack not just by the Democrats, but his own Party.

As bleak as it is for the Governor, it’s not over yet. As Blutarsky said, “Nothing is over until we decide it is! Was it over when the Germans bombed Pearl Harbor? Hell no!”

It’s not too late for Tom Corbett to right his ship, though it will take massive political will from him to do so. But with every day that goes by without that leadership, his journey becomes that much more difficult. 

The fall usually sees a relatively light legislative calendar, so the window to push his vision will be narrow.  And forget 2012, as legislators are loathe to take up any controversial issue in an election year --- especially one that will see the Democrats, in all likelihood, take back five or more seats, even with the GOP’s redistricting advantages.  

A wise man once said: If you're afraid of getting a rotten apple, don't go to the barrel. Get it off the tree. The voters thought they did just that. 

The open question is what kind of apple they really picked.

Chris Freind is an independent columnist, television commentator, and investigative
reporter who operates his own news bureau, www.FreindlyFireZone.com

Readers of his column, “Freindly Fire,” hail from six continents, thirty countries
and all fifty states. His work has been referenced in numerous publications including
The Wall Street Journal, National Review Online, foreign newspapers, and in Dick
Morris' recent bestseller "Catastrophe."

Freind, whose column appears regularly in Philadelphia Magazine and nationally in
Newsmax, also serves as a frequent guest commentator on talk radio and state/national
television, most notably on FOX Philadelphia.  He can be reached at CF@FreindlyFireZone.com












 



Thursday, March 10, 2011

The REAL Pennsylvania Budget: Can Corbett Sell It?

Pennsylvania Governor Tom Corbett’s “day of reckoning” budget, containing substantial cuts and rolling back spending to 2008 levels, may well pass the GOP-dominated legislature without major changes. 
But just because the state constitution requires a balanced budget doesn’t mean it always happens that way.
Take the budgets of the last two years, which former Governor Ed Rendell championed, and were passed by a Democratic House and Republican Senate.
In 2009, $400 million in revenue was budgeted from the tolling of Interstate 80.  Except that the tolling never happened.  Put that in the debit column.
And last year, the budget was passed on federal Medicaid dollars that hadn’t yet been appropriated (and ended up being $255 million less than budgeted) and a Rendell-promised Marcellus Shale gas tax that would generate hundreds of millions --- but which never materialized.
And the forecasted general tax revenue was over a billion dollars short. 
But that’s not all.  The legislature and Rendell raided MCARE in 2009 --- the fund to offset Pennsylvania doctors’ skyrocketing medical malpractice insurance rates --- to the tune of $800 million.  A Commonwealth Court ordered the money repaid, but the Rendell Administration appealed.  Odds are the state Supreme Court will uphold that decision.  The hole deepens.
So despite some cuts last fall, we’re still looking at a $3 billion revenue gap which, by the way, is not factored into the acknowledged $4 billion deficit.   The fact that no one wants to talk about this is not surprising, since it’s not in the interest of the politicians, and most of the media doesn’t do its homework.
Let’s put this type of maneuvering into perspective.  What would happen if a publicly-traded pharmaceutical company, in an attempt to placate Wall Street, added billions to its books to reflect a medicine it hadn’t yet produced? 
People would go to jail.
But in Harrisburg, it’s called Business As Usual. Instead of solving the real problem, the state’s leaders have resorted to what they do best: bury their heads in the sand.
Just because you pretend a problem doesn’t exist, though, doesn’t mean it’s not there.  The can is being kicked, yet again, down the road.  But the road is quickly coming to an end.
*****
Overall, the budget rates a B-, assuming that you believe the numbers --- and that’s a big assumption.
There is nothing particularly special about this budget, since spending cuts were imminent after the federal stimulus money dried up.  It gets the job done at a basic level, and Pennsylvania will continue to limp along. 
While there were clearly some elements in the Governor’s address that could help Pennsylvania re-invent itself into an economic and industrial powerhouse, the speech lacked the break-out vision that is essential in selling those ideas to the public.  No one expects Corbett to have the jazz of New Jersey Governor Chris Christie, but Pennsylvanians need to be inspired if their state is to forge ahead.
A prime example would have been explaining why the Marcellus Shale holds such so much promise for Pennsylvania’s future, from the thousands of sustainable jobs it creates (and the accompanying houses bought and income spent in-state), to untold millions in tax revenue, to the manufacturing boom it can foster by providing extremely cheap energy.  
Corbett could have showcased manufacturing companies that drill wells on-site and, as a result, now realize incredible cost savings for what is always the largest line item: energy.  This directly translates into business expansion, more hiring, and a way to finally compete with China.
Or he could have decreed that from this moment, all future state vehicles will run on natural gas, currently about one-seventh the cost of gasoline, with zero emissions. This would be a win-win by increasing demand for natural gas --- and if that doesn’t happen soon, the industry will start packing up by next year --- and saving taxpayer money.  And what a boom to the entire economy if we had an alternative to $4/gallon gasoline.
But that didn’t happen.  So all the public knows is what they see in the headlines: “We’re Getting Drilled,” “How Corbett Fracked Pennsylvania’s Middle Class,” and “Big Budget Cuts?  We Smell Gas,” along with editorials about how much the industry contributed to the Governor’s campaign.
Reality is now setting in; what a Republican candidate said on the campaign trail in October 2010 --- a landslide election year for the GOP--- was easy.  Now the rubber meets road.
The question isn’t if Tom Corbett can get this budget passed, but whether can he sell it to the people, and at what cost to his agenda and Party, particularly since 2012 will prove a better year for the Democrats. His deliberate strategy to remain silent for four months has resulted in lost opportunities to earn much-needed political capital needed to sell his budget cuts to the public.
To reverse that, he must now barnstorm across the state, a la Christie, attending everything from natural gas forums, explaining why an extraction tax will hurt the state, to school board meetings, where he can push his idea of teacher salary concessions.  Time will tell whether he will effectively be that messenger.
There were a number of common sense proposals that, based on the legislature’s make-up, should come to fruition: the reduced spending and no new taxes; legal reform targeting frivolous lawsuits (the Fair Share Act); school choice in which competition and accountability would be injected into the educational system; the phase out of the Capital Stock and Franchise Tax, the elimination of pork-barrel walking around money (WAMs); and calls for pay freezes and give-backs by public workers.
Likewise, there are a number of problem areas:
-Eliminating 1,500 jobs is a good start, but since reports state that 1,000 of them aren’t filled, the real number is only 500 jobs, which isn’t a huge budgetary factor. So why the gimmick?
-The assumption that revenue will grow by 4.7 percent, while not impossible, is hugely optimistic.  Inflated revenue has been a hallmark of past budgets to make the numbers work on paper. In reality, they came up short, adding to rolling deficits.  Without substantial growth in Pennsylvania, that rosy figure will prove unattainable.
-Calling for cuts to higher education by 50 percent, while increasing welfare spending substantially, will also be an extremely hard sell, for two reasons. First, many will frame the issue simply as education versus welfare, and which provides the better return on investment. Second, state-related schools, such as Temple, Penn State, Pitt and Lincoln, have immensely powerful lobbying operations, including parents and students, who will deluge their elected officials in opposition.  Look for that figure to drop substantially, to be made up somewhere else.
-One item that is noticeably absent from the budget is the privatization of liquor stores, which is curious since it was the one issue on which the majority of Pennsylvanians agree.  Instead, a blue-ribbon commission was formed to study privatization.  Here’s a newsflash.  Voters elect politicians to solve the problems, not authorize more meaningless commissions.  A major chip in the fight has been shelved, shifting the momentum to the unions which support the status quo.
-Other areas left out but still mandatory for a healthy business climate were the reduction of the corporate net income tax (2nd highest in nation) and the looming pension issues, which may be addressed as public sector union contracts are negotiated this spring.  The Governor has taken the elimination of collective bargaining off the table though, a concession that simply didn’t have to be made this early. They received nothing in return from that move. Another head-scratcher.
-There are also several inconsistencies that the Governor must address.  While he advocated salary freezes and reductions, he raised the salaries of all his executive staff, and the budget of the Lieutenant Governor’s office increased 30 percent. And despite de-funding the adultBasic program, which provided healthcare to working poor on the premise that there was no more money, he found a way to bail out the Philadelphia Shipyard to build ships with no buyers. 
Saying all the right things about fiscal discipline, free enterprise and removing government from where it doesn’t belong rings a bit hollow in light of some recent Corbett Administration decisions.
*****
The Governor used the analogy of reviving an apple tree to explain why the cuts are necessary, stating that if the tree isn't tended, it will grow into a tangle of limbs and bear no fruit. The pruning (hard cutting) was needed so the tree could once again bear fruit.
In keeping with the theme, here’s a piece of advice: if you're afraid of getting a rotten apple, don't go to the barrel. Get it off the tree.
The Governor is right: we need to revive the tree.  But as of now, too much of this budget is coming from the same old barrel.

Chris Freind is an independent columnist, television commentator, and investigative
reporter who operates his own news bureau, www.FreindlyFireZone.com

Readers of his column, “Freindly Fire,” hail from six continents, thirty countries
and all fifty states. His work has been referenced in numerous publications including
The Wall Street Journal, National Review Online, foreign newspapers, and in Dick
Morris' recent bestseller "Catastrophe."

Freind, whose column appears regularly in Philadelphia Magazine and nationally in
Newsmax, also serves as a frequent guest commentator on talk radio and state/national
television, most notably on FOX Philadelphia.  He can be reached at CF@FreindlyFireZone.com