The New Congress Encourages Automatic Tax Increases to Pay for Unlimited Spending Increases

By Carroll Andrew Morse | January 9, 2007 |
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The new Democratic-led Congress has passed so-called pay-as-you-go (PAYGO) rules that require new spending or new tax-cut legislation to be approved by a 3/5 majority, if the Federal budget deficit is projected to increase because of it. Pay-as-you-go, however, is a misnomer. The Federal budget will continue to increase on autopilot under the House’s version of PAYGO rules. The trick is hidden in the dense prose of this amendment to House rule XXI…

7. It shall not be in order to consider a concurrent resolution on the budget, or an amendment thereto, or a conference report thereon that contains reconciliation directives under section 310 of the Congressional Budget Act of 1974 that specify changes in law reducing the surplus or increasing the deficit for either the period comprising the current fiscal year and the five fiscal years beginning with the fiscal year that ends in the following calendar year or the period comprising the current fiscal year and the ten fiscal years beginning with the fiscal year that ends in the following calendar year.
The problem is that annual spending increases in programs like Social security, Medicare, and Medicaid — the programs at the heart of the American fiscal crisis — are approved in a concurrent resolution on the budget that does not make any “changes in law”. Amounts spent on these programs are determined by formulas written into already-passed laws. Entitlement spending will thus continue to grow without limit under PAYGO rules.
PAYGO is not about fiscal responsibility. It is about political cover, intended to allow Congressional Democrats (and the 48 Republicans who voted with them) to say they have no choice under House rules but to vote for individual pieces of legislation that increase taxes. Don’t believe it. Congress had a choice when it voted for PAYGO and it chose a fiscally profligate set of operating rules.
What could have been done instead? Well, if Congress was truly in a fiscally conservative mood, they could have done the obvious — amend PAYGO to include automatic entitlement increases. Brian Riedl and Alison Acosta Fraser of the Heritage Foundation suggest this extension to PAYGO …
Congress would set multi-year spending targets for entitlement programs covered by PAYGO. If OMB projects that spending will exceed these targets, the president would have to submit reform proposals as part of the annual budget request, and Congress would have to act on those proposals. A similar trigger for Medicare spending was included in the 2003 Medicare prescription drug legislation, and expanding the concept could help Congress address current entitlement spending growth.
Finally, Mr. Riedl and Ms. Fraser also serve reminder that PAYGO-syle rules of any form can only go so far in promoting fiscal responsibility, because fiscal responsibility is more than reducing deficits; it is also choosing to control spending…
PAYGO also focuses on only the budget deficit, rather than the size of government. A strong PAYGO would ensure that new or expanded programs are balanced with other spending cuts or tax increases, but it would not prevent the government from taking a steadily larger share of citizens’ paychecks. PAYGO would allow escalating entitlement program costs to push the size of the federal government to nearly 50 percent of GDP by 2050. PAYGO would also promote the expiration of all Bush tax cuts and force millions of Americans to pay the Alternative Minimum Tax. As a result, tax revenues would rise from the historical average of 18.3 percent of GDP to a record 23.7 percent by 2050.

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James Davey: Life Does Go On, Even When You’re Not Being Taxed to Death

By Carroll Andrew Morse | January 9, 2007 |
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Former State Representative James Davey sends Rhode Islanders a civic-postcard (actually a letter-to-the-editor in the Projo) from his new home in North Carolina…

In a Jan. 3 story, Cranston Fire Chief Richard Delgado was quoted as saying, in response to Mayor Michael Napolitano’s possible proposal to cut all departments’ spending by 5 percent, that: “It’d be very difficult. We’re down to bare bones.”
I suggest Chief Delgado contact the Cary, N.C., fire chief for suggested cost-saving measures. Cary has a population of 110,000 compared with Cranston’s 80,000, yet Cary’s fire department budget is 60 percent less, at $15.4 million, compared with Cranston’s $24.6 million.
Of course, the fact that there are no public-sector unions in North Carolina is a major reason Cary’s costs — and taxes — are much lower than Cranston’s….I also compared the police budgets. Cranston’s, including the animal control function, is $17.7 million. Cary’s, including the animal control function, is 15 percent less, at $15.4 million. How does Cary do it and still be acclaimed as one of the 10 safest cities in America for six years in a row?
Projo columnist Edward Achorn gives his thoughts on Representative Davey’s letter in today’s paper…
Which state is more interested in serving the common interest, rather than the special interests? Which state is drawing in the middle class? Which is losing middle-class taxpayers? Which state is creating more jobs? Which is attracting more tax-paying retirees?
One doesn’t require an advanced degree in economics to answer those questions.
The problem with Rhode Island government has never been a lack of tax dollars. It’s governance. Until the state is better governed, its middle-class citizens will confront strong incentives to leave, in spite of all the things they love about this delightful and beautiful state.

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Canada Makes it Official: Heather Can (legally) have 2 Mommies and a Daddy

By Marc Comtois | January 8, 2007 |
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Back in October, I posted, and Justin elaborated (and I further elaborated) about a NY Times story (“Gay Donor or Gay Dad“)on the the inherent difficulties and consequences of having 2 lesbian women and a male sperm donor (and possibly his partner) all seeking to press a claim on the parenthood of a child. Yet, these were informal (ie; not legally recognized) relationships. Canada has taken the next logical step from legalizing same-sex marriage to sanctioning a legalizing tripartite parental scheme. Now, in Canada, Tommy has two mommies and a daddy–the judges said so. As Stanley Kurtz writes:

I don’t think it’s a coincidence that the court held its ruling until just after Canada’s conservatives failed to reverse judicially imposed same-sex marriage in parliament. Now we know how long after the secure nationalization of same-sex marriage it can take for further radical changes to emerge: about a month…We’ve got a clear instantiation of the slippery slope here.

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Seems to Me that Mrs. P Ought to Take Her Husband Aside and Explain to Him What a Fool He Is.

By Justin Katz | January 6, 2007 |
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Via (“beautifully put”) Andrew Stuttaford, from the Pub Philosopher (emphasis added):

Having a history degree, she also knows that the world could not have been made in 4004 BC and she has studied enough science to know that much of what is written in the Bible cannot possibly be true.
We are drawn to religion by our feelings rather than our thoughts. The sense that, for all our clever inventions, there may still be things that humans will never know and the desire to hedge our bets just in case keeps many of us from declaring ourselves to be atheists.

With respect to the phrase I’ve italicized: has this guy no clue what God’s capabilities are supposed to be? Has he no ability to see beyond his modernist filter?
With respect to the second quoted paragraph, I can only say, “uh, no.” Mr. Philosopher has apparently not met any of those many converts (usually to Catholicism, to my experience) for whom religion is, above all, an intellectual exercise. (Personally, if I may confess it, here, it is more often my intellect that corrects my feelings toward religion.)
And as for the “hedging bets” thing, what sort of God does this fellow think us to believe in? Apparently one who rewards superficial fealty to Him, rather than frank openness — a strange preference for a God who is reputed to know our every thought.
But I suppose all may be forgiven when one’s audience is mainly looking for folksy confirmation of its superiority.

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Slot Revenue Keeps Going Down, but Budget Never Does

By Marc Comtois | January 6, 2007 |
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Looks like the slot-machine revenue panacea isn’t working out too well.

For the first time since video-slot machines were introduced in 1993, both Lincoln Park and Newport Grand are taking in substantially less money than they did the year before.
This could have dramatic consequences for the state, which is already struggling with a $105.1-million shortfall this year and a potential $254-million deficit next year. The state gets about 60 percent of every dollar gamblers lose at the two slot parlors. Only the sales and personal income taxes bring in more revenue.

Apparently, Senate President Montalbano realizes it’s time to look elswhere for budget relief:

“We’re always looking for new revenue by way of economic development. But I don’t think it’s anybody’s agenda to expand gambling in Rhode Island,” Montalbano said. “The less we rely on it, the better it is for us. But it’s a fact of being able to fund all of the programs we need to fund. It is our third-largest source [of income] right now.”

I suppose we could try to solve the problem by finding a way to raise more “revenue.” But how come no one talks about reducing the the need for more money…you know, budget cuts?

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RE: Scrap the Middle Schools?

By Marc Comtois | January 6, 2007 |
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A couple days ago I mentioned about how–and why–many urban school districts are doing away with middle schools and going to a K-8 model. Apparently, Providence is looking to head in the same direction, as indicated by Mayor Cicilline:

Addressing the challenges facing the Providence School District will not be easy, [Mayor Cicilline] said, and will require a commitment from the entire community on behalf of Providence’s youth…the City is about to embark on a plan to transform Providence schools into 21st-century learning environments, with recommendations imminent for a district-wide facilities plan that features K through 8th grade neighborhood schools and smaller, more personalized high schools.

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Foreshadow of Serious Earmark Reform?

By Carroll Andrew Morse | January 5, 2007 |
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I may have to give the new Congressional Democrats some credit. During the past election, I commented several times on this June 2006 statement by Congressman Jim Moran of Virginia…

”When I become chairman [of a House appropriations subcommittee], I’m going to earmark the sh** out of it,” Moran buoyantly told a crowd of 450 attending the event.
Well, according to Andy Roth of the Club for Growth, Congressman Moran’s Democratic peers have denied him his anticipated chairmanship (h/t Instapundit). According to the new House Appropriations Committee website, Congressman Moran was 10th in Appropriations seniority, while 12 subcommittee chairmanships were available, indicating that the Democratic leadership actively decided to skip him over. Marcy Kaptur of Ohio (5th in seniority) and Ed Pastor of Arizona (12th in seniority) were also passed over, and Robert Kramer of Alabama (15th in seniority) would have been next-in-line for a subcommittee chairmanship, had not one been given to the very junior Debbie Wasserman-Schultz of Florida (36th in seniority).
For those Rhode Islanders who are curious, Congressman Patrick Kennedy ranks 16th in Appropriations seniority.

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Needed: A Eugenics Program for Public Policies

By Justin Katz | January 4, 2007 |
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You’ve likely come across the notion that a society that rejects a governing morality will require laws to fill the void. Well, have you noticed that those whose societal aspirations run against the grain of traditional morality are often quick to treat all objections — even mere expressions of concern — as if they are arguments for government restrictions? Two nights ago, for example, I posted a response to John Derbyshire’s thoughts on eugenics in which I did not presume to suggest how the tricky circumstances of the future ought to be handled, and somehow I’ve apparently taken a leadership role in a movement to ban “genetic-intervention procedures.”
As much as I’m kindly inclined toward some of those who make such arguments, it seems to me that there’s a petulantly played rhetorical trick involved. Paraphrasing: “You have moral objections to eugenics? You’re going to be isolated on this one. Good luck making it illegal! And if you do, good luck hunting down those who seek treatments in other countries! I’ll choose freedom, you autocratic moralist!”
There’s some irony in the fact that my leading concern was that government involvement in eugenics is inevitable to the extent that the technology is successful. It’s mighty big of Mr. Derbyshire to accept “a permanent underclass [as] the price of liberty” — as if he’ll be the one paying it — but there are surely not enough voters of similar mind to make Derbyshire’s acceptance more than just symbolic. The post of his to which I initially responded treated “***STATE-SPONSORED*** eugenics programs” as a legitimate concern, and my point has been that such programs will have too much moral and practical gravity for state sponsorship to remain in distant orbit.
I’d also note that I don’t use “underclass” as a marker of moral stain on a society (as do liberals), but as an actual and threatening category within that society. I would, in fact, concede that we would have a moral responsibility to help those whose families are under threat of perpetual deficiency, but there would also be a strong public interest case to be made for doing so. Arguably, those unable to afford, or comprehend the benefit of, eugenic technology are precisely those whose children require it most — and with respect to whose children society would benefit from it most. More extremely, would Derbyshire be willing to pay the price of liberty if it were the underclass’s violent rejection of a system that is rapidly and inexorably locking them out? And once the public interest is ceded in such a matter, we’ve opened the door to creeping micromanagement.
That is not to say that I believe invidious government involvement to be the only peril of eugenics; as a society, we ought to fully vet various other aspects before advancing, or choosing not to do so (a process that is not well served by quick resort to heated anti-theocrat rhetoric). Consider an argument of which Derbyshire and others seem fond: that “the ordinary kind of mate selection we humans have been engaging in for the past 100,000 years” is not substantially different from eugenics. One needn’t delve into the various ways of differentiating between the two to unearth a difficulty: Characterizing mating (for most intents and purposes, marriage) in these terms, it’s possible to see divorce as the remedy for errors in judgment. What would be the remedy when parents feel they’ve erred in concocting their children’s qualities? If we’re in the realm of consumer freedoms, how do we translate the well-understood concepts of returns, exchanges, and customer service? Would government involvement be justifiable — even necessary — in that area?
As is observable in the comments to my previous post, proponents of science’s march into the realm of science fiction aren’t shy about acknowledging the possibility of unintended consequences… and passing them right by. Morality serves a purpose, however, and through discussion of its implications, we can address unpleasant complexities before we rush headlong into the brier patch.
ADDENDUM:
In his own follow-up to John Derbyshire, Ramesh Ponnuru writes:

It is nice to see Derbyshire setting aside his admonitions against attempting to apply logic to human affairs, even if he is only setting them aside selectively. (That’s why he’s in a stand-off with Justin Katz. Derbyshire suggests that it’s pointless for Katz to raise objections to eugenics, since people are going to practice it whatever he says. When Katz points out that people are going to practice it collectively, too, Derbyshire falls back on . . . the force of the arguments he will make when that day comes.)

Here’s the relevant paragraph from Derbyshire:

Speaking as a small-government conservative, I’d like to think that we—we, the people—are able, through our democratic process, to deny the invention of bogus “rights” and new kinds of government transfer payments. I would certainly agree we have not been very successful at such denying in recent years. That, however, is a negative phenomenon that I deplore. To premiss public policy on the worst expectations of our political processes is to abandon all hope. If some technological advance leads to demands for new “rights,” let’s resist those demands, as conservatives should. That’s what we’re here for. That’s one of the fights we fight.

Perhaps I’m stabbing at subtleties, but I’m not so sure that Derbyshire believes that his future arguments will have much practical force. If memory serves, he sees these battles more as categorical necessities for conservatives than as strategies for optimal outcomes. In short, unless I’m misreading him, all he’s really pledged is his intention to voice futile opposition.

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Road Trippin’ With the Rhode Island Statehouse

By Carroll Andrew Morse | January 4, 2007 |
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Here’s an interesting idea proposed by Rhode Island House Speaker William Murphy in his opening address to the 2007 legislative session…

Transparent process, open inquiry, public debate. That is what marked this body’s earliest beginnings, and let me close by sharing a plan for restoring that reputation to the House of Representatives as it exists today.
The fact is, for many Rhode Islanders, the State House can be perceived as an intimidating or inaccessible place and its workings can seem confusing.
To ensure that we are bringing as many voices as possible into government, and creating a legacy of openness, transparency, and responsiveness, I am announcing today an initiative to break down the barriers for every-day Rhode Islanders to make their voices heard, participate in government debate, and better understand what we do.
We call it “Project Open House.”
Through “Project Open House,” every standing committee of the House of Representatives will hold a hearing at a site around the state during their normal course of legislative business.
The bills before the committee will be posted in advance, as they are now, and citizens with interest or concerns will be encouraged to come testify, or simply listen and learn.
“Project Open House” will turn community centers, libraries and public schools into mini State Houses for the day. I look forward to officially opening the first hearing next month, and to making these field hearings an important part of the House of Representatives’ next chapter.
Though Project Open House is mostly symbolic in nature, it does represent a step in the right direction. A more far reaching step, however, would be to have House committees post their minutes, especially amendments to bills and vote tallies, in a publicly available electronic format.
The staff people at the Rhode Island General Assembly already do an excellent job of providing timely, online information about floor actions. It shouldn’t be difficult to extend the systems and processes they’ve already developed to include committee activity too.

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In praise of the inherent conservatism of Motherhood

By Marc Comtois | January 4, 2007 |
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With all that has been going on here in Warwick regarding the mycoplasma outbreak, I need to give public recognition to my wife. When we were informed that the schools throughout the city were shutting down for the rest of the week, my gracious spouse refrained from telling me, “I told you so,” though she had every right to do so.
You see, she had kept our own kids out of school since Tuesday, reasoning that it was better to be safe than sorry. She figured that, given the rather ambiguous nature of the assurances uttered by our public health officials, that the conservative (and safe) course of action would be to wait a week for “them” (government officials) to figure out what exactly was going on. I, on the other hand, thought she was overreacting, based on what those very same officials were saying and some of my own “expert” research at WebMD, eMedicine and Wikipedia (heh).
Nonetheless, I did defer to her based on the well-established and scientifically proven fact that wives–especially those who are also mothers–are always right. Whether you want to call it mother’s intuition or the she-bear protective instinct, events have borne out her intial suspicions. Never again will I question her instincts when it comes to the safety of our children. “The hand that rocks the cradle; Is the hand that rules the world“?
Yes. And my wife definitely has “hand.”

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