Markets not looking too kindly on Louisiana
http://theadvocate.com/news/opinion/15072709-55/jeff-sadow-markets-not-looking-kindly-on-louisiana
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3.3.16
Bill challenging sanctuary also challenges Edwards
As Louisiana’s majoritarian branches
of government struggle within their bubble in dealing with budgetary deficits,
out in the larger world other things still happen that require their attention,
and one flare-up may portend a coming struggle in the next state elections.
Encouraged by the Pres. Barack Obama
Administration that wishes to leave no illegal alien behind, New
Orleans has joined Orleans Parish in taking on the mantle as a “sanctuary city”
– meaning that its public safety forces will make no effort to facilitate the enforcement
of national immigration laws. Indeed, the city bans the police department from
even trying to accomplish this.
As
previously noted, federal law requires this cooperation but the Obama
Administration has signaled it will turn a blind eye toward that. Without this
oversight, the state can’t do much at present to ensure this necessary working
together except possibly to withhold policing grant money that does not amount
to much. Even an executive order doing this from Democrat Gov. John Bel Edwards
might not legally get the job done – assuming he would do something like that,
which seems doubtful given his party’s position on this issue.
2.3.16
House must prevent institutionalization of big govt
The attempt to normalize
Louisiana’s higher rate of spending into permanency and taxation to support it
continued with Senate action in the Legislature’s special session, begging for
a counter-reaction to stop this unsavory development.
HB 62 by
state Rep. Katrina
Jackson in normal times would be regarded as a detestable standalone tax
increase. But with a budgetary gap in the neighborhood of $900 million needing
closing prior to the end of June, these abnormal times sanitize it for
swallowing. Understand that it only exacerbates the problem of state government
overspending in Louisiana, as the state ranks 18th
highest among them in that per capita
spending (using estimated 2015 expenditures)
Ideally, Louisiana would adjust
down its level of spending, as well as allocate revenues so that they more
likely get to priority areas, in response to stagnant revenues and escalating
expenditures as a means to right-size bloated government. The short term makes this
impractical for the remainder of the fiscal year, but entirely realistic for
the longer term. Thus, any tax hikes now proposed must last as brief a time as
possible – apparently through Jun. 30, 2018 given the need to use the funds for
recurring expenses while adhering to statute and the Constitution.
1.3.16
Electoral lesson proves fleeting for LA Democrats
It’s official: Louisiana Democrats have cracked up, drawing exactly the wrong lessons from last fall’s unforeseen victory of Gov. John Bel Edwards that make the most likely outcome of this fall’s U.S. Senate contest electing the Republican they least desire.
With north Louisiana’s Public
Service Commissioner Foster Campbell joining
his fellow partisan Democrat Caroline
Fayard in the contest, that puts two committed and independently wealthy
liberal Democrats into the field. Republicans Reps. Charles Boustany and John Fleming, former Rep. Anh “Joseph”
Cao, Treasurer John Kennedy, and
former Senate candidate Rob Maness
also have taken the plunge.
It also highlights a battle
between different wings of the party demonstrating some delusion among its
elites. Fayard represents the extremist left that controls the state party,
while Campbell comes from the hard left wing that occupies the Governor’s
mansion. They differ on social issues with the extremists further away from the
center.
29.2.16
Hypocritical LA Democrats want tax to grow govt
Democrat Gov. John Bel Edwards’ administration
and Democrats in the Louisiana Senate seem so desperate to grow government that
they have resorted hypocrisy, if not outright fibbing, about the temporal length
of a tax for the use of its proceeds for operating expenses of government –
adding to the lack of logic behind justification of their preferred time span.
Last week, the House passed HB 62 by state Rep. Katrina Jackson that
would raise the sales tax a cent for the next 18 months. This limit displeased
Edwards, who, despite saying the increase should serve as a “bridge” until the
state reaches more secure revenue-raising footing, behind the scenes wants to
keep as much tax revenue rolling in as possible to support larger government
and buying time to empower constituencies to pressure policy-makers into keeping
the higher spending levels. His Administration therefore said it should last five
years – conveniently removing the necessity of a vote to retain higher taxation
levels prior to an anticipated reelection bid by him.
The Senate’s Revenue and Fiscal
Affairs Committee, with supporting testimony from the Administration, went
along with that, and produced a fig leaf for cover: R.S. 39:2(27), which
deserves full rendering: “’Nonrecurring revenue’ means revenue received by the
state from a source identified by the Revenue Estimating Conference as being of
a nonrecurring nature. ‘Nonrecurring revenue’ does not include revenues
received by the state from any source which has been available for the preceding
two fiscal years or which will be available for the succeeding two fiscal
years.”
28.2.16
25.2.16
House takes tentative steps to right-size LA govt
At least House Republicans have
tried to stand
on their own two legs to face Democrat Gov. John Bel Edwards.
Now let’s see if they actually can get upright and stay there.
Whether they can depends on what
happens later today, when the entire chamber considers tax bills forwarded by
the Ways and Means
Committee. Rather than bottle up bills by declaring the unseemly ones
involuntarily deferred, the committee allowed everything to proceed to the
floor by the usual favorable passage for ones liked but also by signaling
lukewarm interest in some that went through “without action” and hostility
towards others passed “unfavorably.”
And that duel also will play out
in the days to come with the House Appropriations
Committee forwarding
about $87 million more in cuts, encapsulated in state Rep. Cameron Henry’s
HB 122, beyond
the $190 million Edwards said they could pry from his hands. The mix and form
of the tax bills and the final shape of HB 122 will determine the strength of
the House GOP’s commitment to right-sizing government.
24.2.16
Inefficient EITC needs to go to cut LA spending
Concerning the dueling between
bills to double or to eliminate Louisiana’s Earned Income Tax Credit, the
state’s dire budget situation strengthens the already-compelling case to repeal
it.
HB 4 by
state Rep. Tony
Bacala would end it for next tax year, while next-door HB 5 by
state Rep. Walt
Leger would send it to seven percent of federal adjusted gross income for
next tax year. A House
panel heard the bills together last week.
The program, estimated to give
out $47 million to Louisianans claiming it this year with about half
of that in nonrefundable form, at best represents a crude and inefficient
way to alleviate poverty that in theory might work but finds itself in the
scope of poverty programs working at cross-purposes. Its wastefulness comes
from both inappropriate payouts and treating a symptom rather than the disease.
23.2.16
Will Democrats contest or satisfice in LA CD 4?
It’s early in the year for
showers to bring flowers, but not too early for elections to spring forth
candidates, as a population explosion of them has come in Louisiana’s Fourth
Congressional District for its contesting in the fall.
Within the past month no fewer
than five Republicans have announced and/or filed paperwork to organize their
candidacies for the open seat. They include physician Dr. Trey Baucum, former state Sen. Elbert Guillory, Shreveport City
Councilman Oliver Jenkins, lawyer Rick John, and state Rep. Mike Johnson.
Guillory perhaps has the highest
profile, having recently run for lieutenant governor and of some renown as the
only black Republican legislator in the state for over a century when he made
the switch from Democrat a few years ago. However, he ran an underwhelming race
for the state’s second spot, gathering only eight percent of the vote. Then
again, he spent just around $56,000 when his opponents far more than he. This
demonstrated either or both that he has a core of support, likely proportionally
higher in the district than statewide, and that he did not do much to have potential
donors take him seriously.
22.2.16
Meatless prison menu ploy provokes comic relief
As a columnist, sometimes there’s
just no way to swing and miss with some ideas that present an irresistible mix
of incredulity and ridiculousness. Such came our way when Hollywood personality
Pamela Anderson made
cuisine recommendations to the Louisiana Department of Corrections.
People
for Ethical Treatment of Animals spokeswoman Anderson, who now eschews meat
but some
years ago didn’t mind a helping or two of it, with her organization apparently
got wind of the state’s budgetary difficulties and magnanimously informed Gov. John Bel Edwards
that he the state could save some dough by having its imprisoned population go
vegan. No doubt the governor’s eyes popped out more than usual when he saw the
estimated savings in the neighborhood of $620,000 and, perhaps had not the DOC
counseled otherwise, he would have gone scurrying to legislative leaders
proclaiming this bonanza would end all difficulties.
In fact, according to the DOC, “While
there may be some offenders who wouldn’t mind the change, let’s just say that
any savings realized from the switch to vegan would easily be surpassed by the
extensive damage caused to our facilities by those not so appreciative of the
idea,” with that response thereby throwing cold water on her gracious idea to
come and cook a vegan meal herself for the guys and gals behind bars. Just as
well; the response made no mention of the inevitable rioting that would occur should
she do that, for example at Angola, given the relative deprivation in the air,
with most if not all of Angola’s male inmates having not seen a female of her
physique in some time, if ever in their lives.
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