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Logistics & Logic PDF Print E-mail
Thursday, 22 October 2009 11:21

I generally do not directly comment on specific issues at our local level without trying to tie the issue in with something that affects small cities everywhere.  I do this with some frustration expressed by residents who follow my blog, but I have tried to widen my views given the broad audience that follows America's Small City Mayor around the United States.

However, I read our Eagle Valley Education Board will be deciding on the fate of either the High School (located in Eagle Bend) or the Elementary School (located in Clarissa) on November 2nd as reported in the Independent News Herald.  Obviously you can imagine which building each mayor would cheer for, and it is sad that two communities have to see such a decision take place at all.  Our school system continues to see declining enrollment and a large percentage of resident's that open-enroll to surrounding schools.

However, the day after the apparent decision is made the EV Education Board set the levy referendum vote for November 3rd which moves the levy from $800.00 to around $1100.00. (pardon the lack of specificity I just do not have the numbers handy.)

The decision on which building will likely infuriate either town.  In my opinion, it will create an impossible climate for such a referendum to pass.  The referendums in this area have never passed by a wide margin when they have passed.  This vote will be a key test on the public's satisfaction with the direction of the school.

 



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A Good Defense Will Be The DFL Offense PDF Print E-mail
Friday, 09 October 2009 13:26

It will soon be time for another election season here in Minnesota.  With 2009 ending in a few months potential candidates for state and federal offices will need to make decisions and file paperwork.

My sources around the capital; and in talking with those "in the know" all say the current DFL thinking regarding the MN House & Senate is going to be focused on a strong defense.  By this I mean the DFL will be looking to reinforce and lose fewer seats by using their funds and special interest money to defend soft DFL seats.

Here in 11B it is my understanding that Rep. Mary Ellen Otremba will be given State DFL support and financing if she remains in-line with the votes and positions of her party in the upcoming session.  The Stick and Carrot strategy I guess used to honor the "F" for farmers in the DFL Party?

Anyways.....the DFL leadership has mixed feelings about Otremba, but look for a lot of special interest money flowing into our district this time around.

I have not heard if David Kircher is planning to run against Mary Ellen for a second time.  His term as commissioner is now up for re-election, and so he will need to decide if he's running for either seat or none at all.  He certainly has not done any fundraising in the off year, or made efforts to position himself for another shot at a Representative run thus far.

No other names have surfaced for a run at this time that I am aware of.  If you know of names or speculation send me an email.  As always happens my name gets tossed around, so I'll link you over to a favorite line used by Stephen Colbert:

 “Today, I, Mayor Nathan McLaughlin, am officially announcing, that I have decided to officially consider, whether or not I will announce, that I am officially running for Mayor of Clarissa or The Minnesota House of Representatives in 11B, or some other office of some type . . .

 

“Yes! And, I will be making an official announcement of that official decision very soon. Preferably, on a more prestigious show, newspaper, or blog.

 

 



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Pawlenty On Fox Business PDF Print E-mail
Thursday, 08 October 2009 14:30



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Sen. Ingebrigtsen Criticizes Cap & Trade Tax On Farmers And Middle Class PDF Print E-mail
Wednesday, 30 September 2009 08:26

SEPTEMBER 29, 2009

“CAP AND TAX” LEGISLATION HAS DIRE CONSEQUENCES ON MINNESOTA ECONOMY

With all the recent media coverage given to the healthcare debate, I hope we do not forget about the American Clean Energy and Security Act of 2009 (H.R. 2454) “Cap and Trade” bill that passed the U.S. House of Representatives in June and awaits a vote in the Senate this fall.

This legislation is nothing more than a giant tax placed on the American family that will kill jobs, disproportionately affect low-income families and deeply hurt farmers. Locally, we have already seen some of the consequences this legislation will have on our economy. Recently, Otter Tail Power Company announced that it was pulling out of Big Stone II over fears of new federal energy taxes, putting serious doubt about the project’s future.

Thousands of construction jobs are now in jeopardy. Also, without the construction of the power plant, future businesses might be hesitant to invest in our area over fear of energy limitations. The bill aims to limit pollution by requiring businesses that emit gases to purchase permits.

Businesses that produce fewer emissions than expected are able to trade or sell their remaining permits to businesses that go over their allotted total. This whole process is expected to reduce emissions by making it expensive to produce greenhouse gases and force businesses to look for other sources of energy. Unfortunately, there are no practical alternatives available in the near future.

This legislation will act strictly as an energy tax that will increase the price of everything that needs energy to produce, hitting the pocketbook of every American family, but do little to actually limit greenhouse gases. A Washington, D.C. public policy think tank, the Heritage Foundation, recently did a study on the effects H.R.2454 will have on our economy, and the numbers are astounding.

It has been predicted that job losses will approach 1.9 million in 2012 and could approach 2.5 million by 2035 while destroying nearly 23,000 Minnesotan jobs. These losses occur due to the higher expense of producing and manufacturing goods in the United States. It will also encourage businesses to move to India or China, which have no intention of adopting any type of energy tax.

The typical American family of four will pay an additional $1,700 each year for energy-based utility costs on average. Sharp increases in gasoline will occur with prices predicted to rise to $4.74 a gallon by 2035, with $1.38 attributed to the energy tax. That’s nearly a 41% increase in the price of gasoline.

Since people with lower income spend more of their earnings on energy, this legislation disproportionately targets them. While Congressman Colin Peterson praised himself for saving the farmer by creating exemptions for them, he really only made a bad bill slightly better. Also, without his vote and consent this legislation would not have passed, so his notion that he saved the farmer from an inevitable bill is an entirely artificial creation.

However, the farmer is still hit very hard with this bill. Higher gasoline and diesel fuel prices, higher electricity costs, and higher natural-gas-derived fertilizer costs all erode farm profits, which are expected to decline by 28 percent in 2012 and average 57 percent lower through 2035 based on the Heritage Foundation’s study. Several farm advocacy agencies saw these consequences, including the American Farm Bureau Federation, and opposed the bill even after Peterson’s amendments.

Our economy is finally showing some signs of recovery but this legislation, if passed, will hurt hard working families, kill manufacturing jobs, and make it even tougher for the farmer to survive. I will be sending letters to Senator Franken and Klobuchar urging them to vote “no” on this harmful legislation. I urge concerned citizens to do the same.

I will also be introducing a resolution when the legislative session starts again in February asking Congress not to pass this bill due to the burden it places on the citizens of my district and to the state of Minnesota. Otter Tail Power Company’s withdrawal from the Big Stone II project is the tip of the iceberg in terms of economic ramifications this bill will have on our economy.

This is nothing more than a massive tax increase and the citizens of my district, and working Minnesota families cannot afford it. State Senator Bill Ingebrigtsen encourages and appreciates constituent input, and can be reached at 651-297-8063, by mail at 123 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155, or via email at sen.bill.ingebrigtsen@senate.mn.

Bill Ingebrigtsen

State Senator District 11

Office Phone Number 651-297-8063



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That Specious, Erroneous Sense Of Inevitability PDF Print E-mail
Friday, 25 September 2009 09:10


Written by Mitch Berg   
Wednesday, 23 September 2009 13:06

The primary mission of society is to keep goverment at all levels supplied to its satisfaction.

Well, no, that's absurd.  Or at least, so think most of us.

But to Jeff Van Wychen of MN2020 - writing an "op-ed" at the MinnPost?  Maybe not so much:

Since last December, Gov. Tim Pawlenty has unilaterally cut state investment in Minnesota's counties by $144 million using his unallotment authority.

Let's strive for accuracy here; Governor Pawlenty has cut spending.  Government doesn't "invest", except in the most gauzy, metaphorical sense of the term. 

After the 2010 unallotment announced in June, general purpose state aid to counties in 2010 will be nearly 20 percent less than the amount certified to counties in 2008 and nearly 29 percent less than the 2002 aid amount. And this is before taking into account inflation and growth in county population.

Which, depending on your point of view, means one of two things:

  1. Counties are getting screwed
  2. Given inflation (which is another word for "increases in salaries and costs of living") and population growth, counties' abilities to raise their own money for their own spending has risen.

But in Minnesota, we are saddled with a fuzzy, soft-focus myth; the "Minnesota Miracle".

In the late sixties, Minnesota was a sleeping giant whose alarm clock was ticking toward "wakey-wakey" any way you sliced it; while outstate Minnesota was poor and underperforming, we had a highly-educated, stable, hard-working population, a top-flight university, immense natural resources, and a powerful industrial, manufacturing, technological and management culture (centered in the thriving Twin Cities metro area, in which much of the state's wealth was concentrated).   Minnesota was poised for growth, and would likely have grown immensely without government intervention.

And so the state embarked on an epic program of social engineering, redistributing money from the Twin Cities (which at the time were the state's success stories) to Greater Minnesota.  "Local Government Aid" was the vehicle of this redistribution; it set government - led, we must point out, by a coalition of gigantistic DFLers and a Republican minority even more cowed by decades of post-New-Deal politics than the GOP in the rest of the nation - up as the regulator for a massive money shift...

...which was coupled by the establishment of almost unfettered power in the state's urban cores, the Twin Cities and Duluth.  DFL leveraged their immense power, and the financial oomph of immense money-laundering, accountability-obscuring engine that was LGA, to turn the state's major cities into spending engines and social engineering laboratories; the Twin Cities became warehouses for the poor, and welfare-state hothouses that, inside a generation, because net consumers of resources, even given the frequent booms - the sixties, the eighties, the nineties - that swept the region.

During that time, successful feckless DFL administrations used the LGA shell game to jack up spending to unprecedented levels, without having to be accountable via directly taxing their own (few remaining taxpaying) constituents to pay for it.

And then, to balance a budget knocked askew by generations of DFL profligacy, Governor Pawlenty told the counties "start passing your costs directly to your consumers, rather than laundering it through the state".

Which brings us back to Van Wychen:

While some reduction in county aid was inevitable given the size of the state's budget deficit during the FY 2004-05 biennium, the scale of the cuts forced deeper budget cuts on counties than state government made. Thus began a trend by which Pawlenty shifted the state's budget problems disproportionately to counties (along with cities and towns) and property taxpayers.

"Disproportionately?"

What would be "proportionate"?  The obvious answer - to those not cursed with a Democrat's innumeracy - is for a county to provide 100% of what it spends.

Minnesota politicians have been bred out of the "local accountability" business, though.

There have been two major effects of the cuts in county revenue imposed by the state over the last eight years. First, county budgets have shrunk. Total real per capita county revenue is projected to drop by 7.1 percent from 2002 to 2009, which is greater than the decline in state revenue net of transfers to local governments. This is an indication that the budget balancing measures taken by the state have hit counties harder than they have hit state government.

Alternate explanation, for those who don't believe "funding government no matter what the consequences" is the proper mission of government; counties have had to adjust their spending to account for reality - that they are less able to fob their profligacy off on the state.

A disproportionate share of the state's budget problems have been shifted on to local governments, causing property taxes to increase at the same time that funding for local services and infrastructure falls.

No, Jeff Van Wychen; a disproportionate share of the counties' budgets were pushed up to the state to finance an epic DFL power grab; the curtain's been cast aside, and the counties are having to deal with reality.

Responsible state leadership is needed to honestly deal with the state's fiscal mess rather than merely shifting the problem to counties, cities, and schools.

Better idea;  responsible leadership is needed at all levels - especially the gabbling, spendthrift State Legislative level, but also at the counties, cities and schools - to stop treating the taxpayers' wallets as entitlements.  Keeping government running is not the primary goal of a free people..

Cross-posted at Shot In The Dark, where comments are solicited.



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