Tag Archives: economy

May 31, 2013 · 1:04 pm

Fooling The People, It’s A Government Job

 

When it comes to the Connecticut State Budget it does not matter which party the Governor is a member of if, the majority in the General Assembly can override any budget veto.  What really matters is the financial views and the political courage of the elected members of the General Assembly.

Unfortunately for two long under both Republican and Democratic Governors we have had too many members of the legislature that were either ignorant of economic reality or woefully short of character and courage to act responsibly.  Instead of dealing with a budget under generally accepted accounting practices they have turned to gimmickry with smoke and mirrors.  They have kicked the can of responsibility down the path to our future and they have gotten away with it. 

The people have been placated, with words of assurance as the financial foundation of our State has eroded and with it our employment opportunities.  The spinning of numbers and facts has confused and confounded the average voter into a false sense of security.

Today State officials tell us the job market is improving.  Should we believe it?  History is a great teacher.  In the past they told us the budgets were balanced while all the while the budgets were wrought with gimmicks and reflected more a fictional best seller than a truly accountable budget.

It is a fact that the unemployment rate in Connecticut has come down BUT and that is a big but, but it is not the end of the factual story.  There needs to be a more complete disclosure of facts so that we understand the real situation.

According to Connecticut labor statistics from March of 2011 through April 2013 the number of people working has continually decreased with Connecticut losing over 36,000 jobs.   There are now 67,700 less people working or looking for work than there were in May of 2010.  Some people have just given up looking for work, some have left the state, and some have retired without their positions being filled.

Lower unemployment should mean more employment opportunities but that is not always the case.  When you employ the smoke and mirror lessons of budgeting to unemployment numbers you hiding lost opportunities and denying reality. 

Doing business the same way we have done in the past and expecting different results is lunacy.  Kicking the can of responsibility forward will only continue to lessen opportunities and bring us closer to financial hardship.  It is time to make a change in the political balance of the General Assembly.

Being elected to the General Assembly is a government job but fooling the people should never be part of the job description.  It is time for a major change in Connecticut.  It is time to remove the agents of trickery, deception and gimmicks from office. 

It is time that Connecticut voters elected a legislature that more closely reflects the diverse opinions of our State.  A legislature constituted with a diversity of opinion that would provide for more open discussion, compromise and checks and balances.

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February 23, 2013 · 9:22 am

An Eye On Ackert, Part 4 Politics And Special Education

ackertState Representative Tim Ackert as a Ranking Member of the General Assembly’s Joint Education Committee has educational issues on his mind.  One of those issues is the problem of funding for mandated State services added after a local budget has been approved.

Every year in Coventry and many other towns across Connecticut, funding for local education consumes more than 75% of the annual town budget.  A significant expenditure in the education budget is the allocation of limited resources for our investment into special education services.  The addition of one or more students can make a significant impact in many budgets.

Special education services are mandated by the State with only a portion of the cost being funded by the State.  This can create a financial hurdle when one or more students are added after the budget approval.  The financial impact can be multiple times higher for a single special education student than a student not requiring such services.

Representative Ackert has not only identified this as a problem, he is proposing something be done to address the problem.  Ackert is proposing in HB-5399 that the state be required to reimburse school districts one hundred per cent of the cost of special education for a student who enrolls in the school district in the middle of the school year.

The problem however occurs once a student enrolls after a budget is passed and not just by enrolling after the school year is half over.  The proposal will not totally fix the problem but it is a step in the right direction and may be a compromise to gain support for serious consideration.

In the present form the proposal represents a compromise of fairness between the State and local or regional school districts.  In proposing legislation, it is sometimes wise politics to take small steps to the greater goal than attempting to leap frog over the goal line.

This proposal should receive wide support from every Board of Education and they would be prudent to alert their own Representatives to strongly support HB-5399.  It would be equally sensible for taxpayers to pass this information along to friends across the State of Connecticut.  Activating support from every Board Of Education would be the right thing to do for every student of special needs and every Connecticut taxpayer.

Representative Ackert has voiced concern in the past for the financial burdens State mandates place on local budgets.  This proposal clearly shows he is not only thinking about it, but he is trying to do something about it.

Tim’s concern for taxpayers and the burden of state mandates is also reflecting in his proposal HJ-18 calling for a resolution to amend the State Constitution.  This amendment would require a vote of two-thirds of the General Assembly for municipal mandates.  The proposal would have major political impact and therefore will have little chance of passage at this time.  That does not however, diminish the value of the idea or character of the man making the proposal.

Standing up for your constituents is always the right thing to do; getting things done is not always so easy.  A good politician is the one that can get what he wants for the people he represents.

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February 15, 2013 · 11:29 am

Who Is Elizabeth Ritter And Why Is She Dangerous

(D) Representative Elizabeth Ritter

(D) Representative
Elizabeth Ritter

Elizabeth Ritter better known as “Betsy Ritter” is the Democratic State Representative from the 38th Assembly District representing citizens of Montville and Waterford.  She may also be considered a Four Star General in a battle against Connecticut business; with her deceptively titled heinous bill she calls An Act Concerning A “hoarders’ tax”.

Betsy Ritter was recently asked by Speaker of the House Brendan Sharkey (D-Hamden) to serve as his Deputy Speaker, the person who presides over the House of Representatives when Rep. Sharkey is not in the chamber.   Rep. Ritter also serves as a member of the legislature’s Appropriations, Human Services and Energy and Technology committees.

Her Proposed Bill No. 5595 calls for “the [Connecticut] General Statues to be amended to institute a small tax on companies’ liquid assets”.  This is more than a “small tax” this is full frontal assault on every business in Connecticut.

In leading the charge “General Ritter” first planned a move of deception with the title of her bill.  It is accepted knowledge that a “hoarder” is a saver, collector, accumulator or even a stasher.  The dictionary gives us a meaning of a hoarder as one that collects or stores often secretly, large amounts of things such as food or money for future use.

“General Ritter” is actually proposing to tax operating cash of a business, the money they need to have available for day to day activities and to meet financial obligations.  This is money that was already considered and calculated when other taxes were paid.  This is any money that may remain in the hands of business, after sales tax, business entity tax, income tax, fica taxes and the list of taxes goes on and on.

This money is not hoarded and hidden; these are necessary funds with which to operate a business.  This akin to telling a family, you legally paid all your taxes, you put some money in the bank and we taxed that income and now we found some in your pocket so we want some of the spending money you have.

This proposal is not only an attack on business but would also reduce job opportunities.  There are far too many businesses in Connecticut operating on the edge of financial extinction; we have seen too many businesses close their doors.  This proposal is worse than dreadful it is evil.

Betsy Ritter is in a position of power, and has considerable experience in the world of politics but her understanding and empathy of the business world is appalling.  I would like to think Betsy Ritter is a well-educated leader of distinction and in this case just ignorant of business operations, because the alternative is to think she honestly desires to attack our business climate and job opportunities in Connecticut.

We only need to look at our history and “small taxes”, President Roosevelt proposed a small limited tax, it was a “small step”, and today we call it our “Income Tax”.  “General Ritter” may understand the strategy of politics but we don’t need a charge up San Juan Hill on Connecticut business.

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January 29, 2013 · 8:56 am

It’s Time To Pick Up “The Can” And Get In The Game

Kick-the-CanThe problem of illegal immigration has been kicked down the street so far it can no longer be avoided.  Political pundits rightly point out that the law breaking Latinos have become a political liability for Republican politicians.  Actually the numbers make it an issue for both parties.

For decades American politicians from both parties have failed to properly secure our borders, particularly our border with Mexico. Our elected representatives in Congress have kicked the can of responsible government down the street when it came to the issue of illegal immigration.  Now the number of people in this country illegally has become a major issue, it can no longer be ignored.

For the politicians it is not about people, it is all about numbers, after letting so many people violate the law for so long and failing to enforce regulations and law we are now overwhelmed with the problem.  Unfortunately it is a political pattern we are repeating.

We have become a country of lazy citizens abdicating our responsibility to elected leaders and putting our heads in the sand to ignore their activities.  We listen to their rhetoric and blindly follow, lacking the education or the will to understand and participate in our own government.

Our problem is not illegal immigration, our problem is poor political leadership weak of character and strength in the skills of real leadership.  Our leaders are afraid of the voters, with spines of wet noodles they pander and placate when faced with real responsibility.

They could not say, “no” to illegal immigration instead they turned away and failed to act responsibly.  Now a price will be paid as they pick up “the can” they have kicked down the street.  But the game goes on and this time the stakes are even higher.

We are kicking “the can” of fiscal responsibility so far down the street we a placing our nation at risk financially.  We are risking the future for instant gratification we expand government to answer our needs and willfully remove our own responsibility.

Our leaders bury us in a mountain of debt as we sit silently by ignoring the problem and trusting that what they do will be right.  We have allowed our country to be run without a budget, surpassed our limits for debt and we have kicked “the can” of financial responsibility down the street.

The day is coming when we must pick up “the can”, the game will be over.  We will have a choice to make, either we will hear the word “no” or we will have gone so far down the road of self-destruction as a nation, we will not recognize American as the land of the free, full of economic opportunity.

We as citizens allowed illegal immigration, and we have allowed financial irresponsibility. The only question that remains is how much longer we will vote to continue down the path to our own national destruction.  Our rights as citizens are being eroded, our financial future is at risk and our very foundations of government are being questioned.

It is time to pick up “the can”.  America, it is time to get in the game.  Citizen participation in a Republic is a responsibility; apathy is the road to destruction.

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January 20, 2013 · 10:30 pm

Town Meeting Tuesday To Approve Sale of Old Public Works Property

coventry-old-public-works--roxanne-pandolfi-photoTuesday January 22, 2013 at 7:00 pm there will be a Special Town Meeting to consider for approval the sale of the former Department of Public Works Facility located at 46 Bradbury Lane.   There will be a vote to approve the sale at the meeting.

The proposal is to sell the property to Earth Dynamics, LLC for $40,000.00 in cash and $20,000 in site improvements on adjacent Town property.  It is anticipated that time will be allotted for information and questions prior to the vote.

While Earth Dynamics does not yet own the property the Town Council has already voted to approve tax abatements for the firm.   According to the minutes of the Town Council meeting of January 7th Earth Dynamics would be granted tax abatements in the amount of 50% for a period of two years.  The motion was made by Joan Lewis and seconded by Lisa Thomas with Council member Julie abstaining from the vote while all others voted for approval.

There has been some difficulty with environmental issues concerning the sale and all details were not complete at the time the Town Council voted to forward the sale to a Special Town Meeting for approval.  In the words of the meeting minutes “We can continue to try to resolve, or we could proceed with the sale regardless of the consequences.”

To go forward, Earth Dynamics has requested the Town do the permit application for the Transfer Act, which would cost $1500.  According to the meeting minutes, “Jeff Shorts asked if we do the filing for the $1500 if it limits our exposure. John Elsesser replied it is not that simple. DEEP could always go after past owners but we anticipate the primary exposure would be Earth Dynamic’s.”

Lawsuits can be costly to defend and resolve and parties consider to have “deep pockets” are good targets.  This meeting will be your opportunity to ask questions and vote on the issue.

 

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December 8, 2012 · 7:46 pm

Disgusting Politics

It was Martin Luther King that said he wanted to be judged by the content of his character, have we forgotten those words?  Dr. King never said anything about the content of his pocketbook.

We are slipping into an abyss of inequality pushed by governmental politicians so hungry to maintain their own political power that they now divide our nation into a societal class willing to financial punish our neighbors because of their success.  Is America better off when politics divides our people into a nation angry at one another looking to redistribute the assets of one in the name of another?

Today we have politicians that have made a career out of becoming a member of what can only be called the “government class”.  Yes, they are the ones that make the laws, from which they exempt themselves and lavish themselves with personal benefits, paid for with the hard earned tax dollars taken from average American workers.

I am disgusted with candidates in any election using divisive attacks telling us they are fighting for the “middle class”.  The truth is most of them are fighting to remain a career politician so they will never have to earn their working in the real world with the income and benefits like an average American worker.  Too many elected leaders promote class warfare, as long it does not identify them as a member of the “government class”.

The schism created within our nation is detrimental for all Americans and fosters an atmosphere of delusion and distrust within our society.  It has become fashionable for politicians to vilify success as an enemy.  Far too often we have heard a politician claim they are fighting for the “middle class”, just who is the enemy?  If they win this mythical battle how will it change our nation and what will the so called “middle class” look like when they get done?

Having a “middle class” dependent on government for equality, income, and essentials of life protected by elected politicians does not bode well for our future as a nation.  When the people depend on government for essentials it nurtures a voting pattern that is self-serving based on promises for government support.

History has shown that the weight of dependency on government exceeds the ability to deliver on the promises and the people of dependency soon become the peasants of politicians.  The incentives and ability to prosper within our society is eroding and are at risk for future generations.  Our historical work ethos is being destroyed by ego driven self-serving politicians more interested in a career and power than on public service.

The so called “middle class” as we think of it today may one day be a footnote in American history if we do not change our views on the role of government and our relationship to it.  Our path as a nation must lead to long term solutions to our economic woes and debt.  We must reject quick fix politically popular rhetoric in favor of policies that will preserve the ethos, morals and opportunities for future generations.

 

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November 25, 2012 · 11:22 am

You Can Bury The Man But Not The Memory

Today our nation stands poised on a fiscal cliff.  Today we are faced with extreme economic challenges and yet our leaders on both sides of the aisle in Washington are blinded by political ambition and self-preservation.

Economics is not an easy subject to master; there are many opinions on the philosophy of any economic planning.  The prognosticators analyzing any budget priorities or economic plan have a history of reflecting personal bias supported by twisted statistics to render their own position valid.

So it is on this day that I turn back the hands of time and apply some of the teachings of another man to look forward as we face economic peril fostered on us from our elected leaders in Washington.  I also remember that the study of economics comes from a family tree with the roots of basic mathematics.  In other words the numbers have to add up to make sense.

“Our present tax system … exerts too heavy a drag on growth … It reduces the financial incentives for personal effort, investment, and risk-taking … The present tax load … distorts economic judgments and channels an undue amount of energy into efforts to avoid tax liabilities.”1 There is no doubt we have seen investments and jobs driven overseas by our own tax policies.

“Our tax system still siphons out of the private economy too large a share of personal and business purchasing power and reduces the incentive for risk, investment and effort – thereby aborting our recoveries and stifling our national growth rate.”2 More taxes on your neighbor while politically popular are not the answer.

“In short, it is a paradoxical truth that … the soundest way to raise the revenues in the long run is to cut the rates now. And the reason is that only full employment can balance the budget, and tax reduction can pave the way to that employment. The purpose of cutting taxes now is not to incur a budget deficit, but to achieve the more prosperous, expanding economy which can bring a budget surplus.”3Taxing the rich as an economic solution to our federal deficit is mathematically folly; there simple are not enough rich people to accomplish the goal.

We need more people working and paying taxes to enable our economy to pay off our debt. “The largest single barrier to full employment of our manpower and resources and to a higher rate of economic growth is the unrealistically heavy drag of federal income taxes on private purchasing power, initiative and incentive.”4There is a solution, “Expansion and modernization of the nation’s productive plant is essential to accelerate economic growth and to improve the international competitive position of American industry … An early stimulus to business investment will promote recovery and increase employment.”5

On this date in history November 25, 1963 we laid to rest President John F. Kennedy.   His memory is recalled in the above words on economic policy.  They were words of wisdom and a proper solution for our economic woes.

It is time for the Republicans in Congress to embrace the words and economic philosophy of an icon Democrat and it is time for the Democrats to abandon political rhetoric and join together to solve our economic woes.  It is time our leaders set aside personal political posturing and pandering to “ask not what your country can do for you—ask what you can do for your country”6.

Our nation buried the man but let us not fail to honor his memory.  It is time to enact his message.

 

  1. John F. Kennedy, Nov. 20, 1962, press conference
  2. John F. Kennedy, Jan. 24, 1963, message to Congress on tax reduction and reform, House Doc. 43, 88th Congress, 1st Session.
  3. John F. Kennedy, Nov. 20, 1962, news conference
  4. John F. Kennedy, Jan. 24, 1963, special message to Congress on tax reduction and reform
  5. John F. Kennedy, Feb. 2, 1961, message on economic recovery
  6. John F. Kennedy, Jan. 20, 1961, Inaugural Address

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November 19, 2012 · 3:51 pm

Party Ends With Blow Up, Clean Up Costly, Hostess At Risk

It was a great party, what a time, what a place.  Remember it well, for you may never see anything like it again.  It was a gala of great promise, hope and expectations and like any party some enjoyed it more than others.

Why is this party winding down after more than 60 years?  The answer to that in a moment but first let us take a look at Hostess, yes I mean those wonderful bakers of bread and Twinkies.  What is happening to the company baking bread that “helps build strong bodies 12 ways”?

Last week after 82 years in business they have decided to close their doors after union bakery employees decided to reject a company offer that would reduce the employee’s overall salary and benefit package.  Prior to the new union employment offer some of management received an increase to their overall employment compensation package.

Both sides blame the other for the demise of what was once a leading American brand name.  The total liquidation of the company is however a symptom of a greater disease.  What has happened at Hostess in many was reflects what has been happening to American culture over the last sixty plus years.

Turning time back to 1948 American was full of hope, and dreams.  The war was over and men that had put their lives on hold to fight for their nation had returned home.  They matured on the warfront and returned with drive and initiative to build new lives centered on family values.  The 1950’s saw unprecedented growth in home ownership and new products.

The expansion of our economy brought new opportunities to a wider spectrum of American families.  For the first time more average Americans headed off to college and earned a degree.  Yes, the American dream was expanding for many, but not for all.   Some did better than others.  That is not necessarily bad, but is the reality of life.

Over the years the things changed, society expanded government social programs to help fellow citizens that had not done as well.  Initially like the early union demands at Hostess these programs were modest and filled a significant need.

The economy was healthy and years went by as the expansion of government services increased so did the burden to those taxpayers contributing to finance the expansion.  Almost unnoticed the expansion of the role of good intentioned government ballooned and with it the debt to pay for it.

The burden of cost increased at Hostess just as it has with the federal government.  When the harshness of reality hit Hostess the special interest groups involved could not join together to solve the problem because each would have to sacrifice for the good of the whole.  The collective groups of union labor and management failed to have the inner character and strength to act in such a manner as to accept personal sacrifice for the interest of the whole.

Unfortunately, the Hostess situation is a micro-reflection of the developing divide within our general society.  A divide currently being exacerbated by political leaders to expand their role and foundation of voter support that will lead to more economic peril and perhaps worse.

Dividing Americans into special interest groups for political support, unwilling to yield in their demands with little incentive to compromise for the good of our nation will bring this nation not to new heights but to our knees.  We must reject as a nation the promise of government as our provider.

Like parasites killing their host we will see the demise of our nation when we cannot constrain our spending with personal sacrifice for the overall strength of our society.  We cannot continue the path of demanding a larger share from the public trough for our own special interest no matter how deserving it may be.

The party is over, it’s time to clean up the mess that has been left behind.  It is time to pay down our debt and accept some personal responsibility.  It is time for political leaders to stop acting like Twinkies and to start acting with courage and character.  It is time for reasonable mediation for Hostess they have a last chance let’s hope all act wisely.

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October 7, 2012 · 1:07 pm

Feeling Sick Feel For Your Wallet You May Be A Victim

You can’t judge a book by its’ cover and you can’t judge a law by its’ title.  Do you know what is coming in 2013 and why?

December 31, will not only be New Year’s Eve it will be the “Eve of Change”.  Four years ago at this time the American voter was promised change and it is coming in a big way in 2013.  We now have a form of universal health care but what do we know about it?

You can be sure the cost of medical care in some areas will go up, for example medical device manufactures will begin to pay a 2.3% tax on gross sales even if the company is not profitable.  No doubt this will drive up the cost for wheelchairs, prosthetics and even pacemakers.

Here’s another tax increase in 2013 that hurts the taxpayers that already have hardship and pain in their lives due to high medical expenses.  Currently, under the tax code taxpayers are allowed a deduction for medical expenses that exceed 7.5% of their adjusted gross income.  That threshold will be raised to 10% next year thereby increasing taxes on those with high medical bills.

Why you may ask, are we as a nation increasing taxes on those that need medical care?  Why are we looking to those friends and neighbors most in need of compassion and care to pay higher taxes?  What about the voices we hear in our political campaigns that say we need fairness?  How did this happen?

Well folks, it is about needed change in America.  These new taxes are all in place due to The Patient Protection and Affordable Care Act.  Yes, this is part of patient protection but it raises the affordable care cost.  Probably, a cost increase for the sick was not what you expected when you read the title, not when it includes “affordable care” as part of a defining title for a tax increase on the sick.

Oh you say you are not familiar with this legislation well neither were the people that voted for it.  Nope, this was the legislation that the Speaker of the House Representatives, Democrat, Nancy Pelosi commented on when she said, “We have to pass the bill so that we can find out what is in it”.  Then in the dark of night without reading it your Congressman Joe Courtney joined other members of Congress and voted for it without reading it first.

These tax increases impact all taxpayers not just high income taxpayers; these are just of couple of new taxes you will see.  Hidden taxes in healthcare are like the gross receipts tax on gasoline they are passed on to consumers and taxpayer hidden in the cost of the product.  Then we hear from the same politicians how it is the corporations that are taking advantage of the people and must somehow be restricted and punished for their perceived evil acts.

It seems to me the greater evil is selling the American people a universal health plan as affordable patient protection and then financing the plan by asking those most in need of care to pay for it with hidden tax increases.  Honesty would have been a far better way to approach the problem but then those same politicians would have had to stand tall, look the American voter straight in the eye and tell the truth.

In this case we got what we voted for, dishonest politicians willing to punish the weak and sick during their illness and we have a President and Congressman that are proud to say they did it.  They see no reason to alter or improve the plan but the President just the other night said he now likes the idea it is called “Obamacare”.

I hope for his sake the President’s shoulder doesn’t come out of joint when he is patting himself on the back, but then again he has no worry he is exempt from the plan and you and I will pay his bill.   To those that are sick, the only advice is to pay as much as you can this year because next year you will lose some of your deduction.

Oh, one more thing, please remember to vote in November then visit your tax advisor for 2013 planning.  Taxes are changing and you need to know.

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October 4, 2012 · 10:21 am

Presidential Debate Review – Winner No Doubt

Presidential debate Mitt Romney vs An Empty Suit

There was a big uproar when Clint Eastwood used an empty chair to represent President Barack Obama at the Republican National Convention.  Now it seems he may have been on to something.

The long anticipated first Presidential debate in this election cycle was held in Denver, last night.  It’s over, the first Presidential debate is over, and even the casual observer couldn’t help but notice Mitt Romney was debating an empty suit.

There for the entire world to see stood a man that looked out of touch, confused and bewildered an empty suit if you will.  The suit stood behind a podium listening to Mitt Romney presenting a full explanation and multi-point plan for every situation and every question.  Romney looked every bit like a leader you could trust.

The debate opened with a discussion on the economy and it quickly became apparent the empty suit was not in the same league with Mr. Romney.  The first round discussion came to an end when “the suit” tossed in his towel and asked the moderator if he wanted to move on.

As with any national television event there were instant polls and analysis after the viewing and it is clear in this case there is a winner.  CBS reports the winner of the debate among undecided voters as Romney with 46% Obama 22% and 32% still undecided.  The CNN survey had 67% declare Romney the winner and 25% favoring Obama with 35% saying they were more likely to vote for Romney after the debate and 18% saying Obama with 47% still undecided.

In what may be the most revealing poll a Democratic firm; Democracy Corps conducted a debate group with independent voters in Denver.  In this group Romney was declared the winner by a 2 to 1 margin.  Romney’s gain was impressive as 42% said they would back Romney, compared to only 27% before the debate.  Romney’s favorability rating went up by 41 percentage points to 77% while Obama’s favorability rose by only 3 percentage points.

Many in the Obama corner were disappointed with their candidate for example Michael Moore saying “Obama spoke FOUR minutes longer than Romney did tonight! Didn’t feel that way, did it? That sorta says it all.” Over at MSNBC, commentator Rachel Maddow said that Romney “spent much of the night battling not just President Obama, but also the moderator of the debate, Jim Lehrer. And Mr. Romney won every exchange.”

There can be only one conclusion for President Obama, when Rachel Maddow declares Romney the winner of “every exchange” you know you lost.  There is no television commentator more vocal in support of President Obama than Rachel Maddow but last night even she saw an empty suit at the podium.

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