Tag: Americans For Prosperity

  • Kansas senate debate centers on free speech, transparency

    This afternoon the Kansas Senate debated for about 90 minutes on an amendment that would require more disclosure for “issue ads” or communications in favor of candidates by third parties.

    Senator Terrie Huntington, a Republican from Fairway, introduced the amendment to Senate Substitute for HB 2079. Its language, apparently identical to Senate Bill 418, states: “Any person who spends or contracts to spend an amount of $500 or more per calendar year for any electioneering communication” must file reports that disclose the identity of the donor and the amount of the contribution.

    At one point in the debate, Senator Terry Bruce, a Hutchinson Republican, asked Huntington why it is the government’s business who makes a contribution? Huntington replied the she didn’t know why the government has campaign finance laws, except that she has to file reports of her contributors.

    Bruce also objected to what he called “loose language” in the bill. Several times he asked about the use of the word “specifically,” saying that the bill was vague in who would be required to disclose contributions. He suggested that churches might have to disclose their donors if this amendment becomes law.

    Senator Anthony Hensley, a Topeka Democrat who is the long-time minority leader of the Senate, said that this amendment applies only to those who contribute over $500 for the purpose of electioneering communication. He added that this type of communication does not include communications made by membership organizations solely to their members. That would not be covered by this amendment, he said.

    Senator Susan Wagle, a Wichita Republican, made a case for anonymous free speech based on the Constitution. People should be allowed to state an opinion, she said. She referred to a series of “Snoop dog” ads used in recent elections that were, she said, traced back to abortion doctor Dr. George Tiller of Wichita. Noting that Tiller was murdered last year, she said “somebody got upset, and he was murdered. And that’s why we protect free speech, and that’s why we allow for anonymous free speech.”

    Senator Tim Huelskamp, a Republican from Fowler in southwest Kansas, raised the issue of how this amendment would affect unions and their communications. Huntington said that unions are not formed for the express purpose of campaign electioneering.

    Hensley said that unions typically form political action committees, which must disclose their contributors. If they don’t do that, they are treated the same as corporations.

    Huelskamp raised the question what if an organization sends out a communication to their members, but someone else — not a member — inadvertently receives the communication? This is important, as the language of the amendment says that communication solely to members is not covered. Huntington did not seem to have a satisfactory answer to this.

    What about editorials, Huelskamp asked? Huntington said that editorials printed in newspapers not controlled by the candidate are not covered by the proposed amendment. Huntington said that newspaper editorials are not written for the purposes of electioneering, which Huelskamp disputed, noting that editorialists “write all the time trying to influence elections.” He recognized the concern that some have for the wealthy influencing elections, and that some own newspapers and other outlets. Why do they get to editorialize and send out their opinions?

    Huntington noted that newspapers are covered under the freedom of the press guaranteed in the Constitution, and that we all know who owns the newspaper. Huelskamp said that ownership is not necessarily known in all cases. He asked about the distinction between an individual buying an ad in the newspaper versus an editorial writer saying the same thing. Would the ad buyer be subject to disclosure, but not the editorial writer? What is the reason for the distinction, he asked?

    Huntington replied that editorials are not included in the definition of electioneering communications in this amendment. Huelskamp pressed for the reason why this is so. Huntington replied that these do not expressly advocate for or against a particular candidate, so they were not included in the definition of electioneering communication.

    Huelskamp noted that express advocacy is the whole purpose of this amendment, so why are these exemptions in the amendment? Huntington was not able to give a specific answer.

    Huelskamp said that this amendment would create a situation where a newspaper editorial writer could write something, and then a private citizen could pay for an ad with the exact same language, and the citizen — not the editorial writer — would be subject to election reporting requirements. Why, he asked, should those who own a newspaper have more free speech than others?

    During the debate there seemed to be confusion on spending $500 or more on a communications piece versus contributing $500 or more to an organization.

    Huelskamp mentioned a case in 1958 Alabama, where that state tried to determine who were members of the NAACP. The Supreme Court ruled that there is a right to anonymous groups to get together and influence the political process, he said. Legislation like the proposed amendment, he told the Senate, would have prevented the NAACP from reporting on the action of the Alabama legislature.

    In closing, Huelskamp said that even ads that let citizens know what elected officials are doing are affected by laws like these. The purpose of this amendment, he said, is to limit and chill speech of those who might disagree.

    Hensley said this amendment is about the peoples’ right to know. He mentioned the organization Americans for Prosperity, saying he thinks it doesn’t want people to have the right to know about their contributions and expenditures. He said that AFP is, in fact, electioneering.

    Hensley contended again that all the amendment says is that if you contribute more than $500, you’re going to have to disclose. He said we know who writes newspaper editorials and letters to the editor.

    Hensley mentioned an award he received from Kansas Sunshine Coalition for Open Government, and that Huelskamp was also honored as a “friend of the public’s right to know. That’s what this is all about.”

    Joining the debate again, Bruce addressed the issue of whose information will be made public. He said that this amendment would require disclosure of anyone who has contributed $500 or more to an organization.

    Senator Jeff Colyer delivered a short lesson on American history, telling how founding fathers such as Benjamin Franklin, James Madison, Alexander Hamilton, John Jay, and Thomas Jefferson wrote anonymously — electioneering, Colyer contended.

    In a roll call vote, the amendment failed with 18 votes in favor, and 21 against.

    Analysis

    Hensley’s accusation of Americans for Prosperity reveals the true target of this amendment. It, along with a few other organizations, are being singled out in this proposed law. These organizations are largely conservative, although those on the political left have tried to hide large political contributions, as a Kansas Meadowlark investigation revealed.

    I believe that Hensley confuses government action with private action. Open records, which is an issue Huelskamp has been closely involved with, is concerned with citizens’ right to know what government is doing. This amendment addresses actions that private individuals may take. There’s a huge distinction between the two, and that’s one of the largest issues in this amendment.

    In making his remarks about knowing who writes newspaper editorials and letters to the editor, Hensley may have forgotten about unsigned editorials and features like the anonymous and popular Opinion Line in the Wichita Eagle. Most newspapers also allow comments to be left to articles on their online editions, and these are almost always an anonymous form of communication and commonly used for blatant electioneering.

    A problem with this amendment is that individuals may make contributions to organizations for general use, not earmarking the dollars for any specific use such as a political mailing. How would organizations decide whose contributions to disclose?

    In the end, the best solution is a government so small, so limited and powerless, that it doesn’t much matter who is in charge. Then campaign finance won’t be very important.

    This vote is part of the Kansas Economic Freedom Index.

  • Tea party impact to be topic of panel

    This Friday the Wichita Pachyderm Club features a panel discussion with panelists Susan Estes, Lynda Tyler, and Dion Lefler discussing the topic “What is the political impact, if any, of the Tea Party movement?” Estes is Field Director for Americans for Prosperity-Kansas, Tyler is head of Kansans for Liberty and organizer of the last two tea party events in Wichita, and Lefler is a Wichita Eagle reporter who covers politics at several levels.

    All are welcome to attend Pachyderm club meetings. The program costs $10, which includes a delicious buffet lunch including salad, soup, two main dishes, and ice tea and coffee. The meeting starts at noon, although it’s recommended to arrive fifteen minutes early to get your lunch before the program starts.

    The Wichita Petroleum Club is on the ninth floor of the Bank of America Building at 100 N. Broadway (north side of Douglas between Topeka and Broadway) in Wichita, Kansas (click for a map and directions). Park in the garage just across Broadway and use the sky walk to enter the Bank of America building. Bring your parking garage ticket to be stamped and your parking fee will be only $1.00. There is usually some metered and free street parking nearby.

  • Kansas gasoline tax increases possible

    Americans for Prosperity-Kansas reports on two bills that would increase the cost of gasoline in Kansas:

    There are two bills before the Senate Transportation Committee that would increase the cost of gas in Kansas by an estimated 15 to 20 cents per gallon.

    SB 515 would decrease the motor fuel tax rates by 5 cents starting Jan. 1, 2013. However, at that same time motor fuels would be subject to sales tax. With this change, it’s estimated the bill would result in a 15 cent per-gallon increase in the cost of gas.

    SB 498 would increase motor fuel taxes by 4 cents beginning Jan. 1, 2013 and by an additional 3 cents the following year. Additionally, the bill allows the Director of Taxation to adjust the tax rate based on the percentage change in the average of the consumer price index for the most recent 12-month period.

    Here is a SB 515. The fiscal note for this bill indicates that beginning in fiscal year 2011, an additional $300 million in revenue would be collected by the state each year.

    Here is SB 498. Its fiscal note indicates that it too will raise $300 million in revenue per year.

  • Tour of Register of Deeds office offered

    Americans for Prosperity-Kansas, Wichita Chapter, will hold an informational tour of the Sedgwick County Register of Deeds Office on Tuesday, March 9, 2010, at 11:30 am in the lobby of the
    Sedgwick County Courthouse at 525 N. Main in Wichita.

    The tour of the office will be presented by the Register of Deeds, Mr. Bill Meek.

    Then from 12:30 pm to 1:15 pm, participants may have lunch at the Sedgwick Court House Cafeteria, located in the basement of the Sedgwick County Court house. Attendees will need to pay for their own meal.

    Optional RSVP to John Todd, Wichita AFP volunteer coordinator at john@johntodd.net or 316-312-7335, or to Susan Estes, AFP-Kansas Field Director at sestes@afphq.org or 316-681-4415.

    The Register of Deeds is responsible for recording all transactions relating to real estate in Sedgwick County. This includes deeds, mortgages, oil and gas leases and platted additions to all cities in Sedgwick County. The Register of Deeds also files financing statements and security agreements on personal property under the Uniform Commercial Code; federal and state tax liens, corporation papers, powers of attorney, county school records, and military discharges. The Register of Deeds office plays a vital role in the protection of private property under our system of government.

  • AFP-Kansas launches website about tobacco taxes

    Following is a press release from Americans for Prosperity, Kansas chapter.

    TOPEKA, KAN. – The Kansas chapter of the grassroots group Americans for Prosperity is working to educate Kansans on the effects of tobacco tax increases on Kansas businesses by creating a new Web site, StopTheWarOnSmokers.Com.

    Gov. Mark Parkinson last month proposed a cigarette tax increase of 55 cents per pack, raising the rate from its current 79 cents per pack to $1.34 per pack.

    “History has shown us that raising the cigarette tax has not increased the revenues coming into the state over the long run,” said AFP-Kansas state director Derrick Sontag. “There may be an initial boost, but with nearby states like Missouri only adding a 17-cent tax per pack, more Kansas smokers are likely to cross the state line to purchase cigarettes.

    “This means Kansas retailers are losing out on those sales, as well as the sales of other items smokers may purchase when buying tobacco products.”

    Economist Patrick Fleenor of Fiscal Economics has prepared a study, “Masters of Tax Avoidance: Kansans and the Cigarette Excise, 1927-2009,” which outlines the state’s history of taxes on tobacco. It illustrates the problems the state runs into when taxes are raised too high on items such as cigarettes, and the lengths to which citizens will go to avoid paying that additional tax.

    “In looking at our state’s history with cigarette taxes, it is apparent raising these taxes does not serve as a deterrent from smoking,” Sontag said. “It also makes little sense to try to raise revenues from cigarettes when just yesterday the Kansas Legislature approved a ban on smoking in public places.

    “Additionally, we know the revenues have dwindled not long after the cigarette taxes increased in the past, so it’s simply unwise for our state government to depend on such an unreliable revenue stream.”

    For more information on Kansas cigarette/tobacco taxes, or to read Fleenor’s study, visit www.stopthewaronsmokers.com.

  • Americans for Prosperity model budget to be presented

    This Friday Derrick Sontag, Kansas State Director for Americans for Prosperity, will address members and guests of the Wichita Pachyderm Club. His topic is “An update on the budget shortfall in Kansas, how we got there through excessive spending, and how our state’s tax burden compares with neighboring states.”

    AFP’s model budget for Kansas is titled Commonsense Budget Proposal. It contains “a roadmap for legislators seeking to make Kansas government more efficient — and less costly — without turning to Kansas taxpayers,” according to Sontag.

    All are welcome to attend Pachyderm club meetings. The program costs $10, which includes a delicious buffet lunch including salad, soup, two main dishes, and ice tea and coffee. The meeting starts at noon, although it’s recommended to arrive fifteen minutes early to get your lunch before the program starts.

    The Wichita Petroleum Club is on the ninth floor of the Bank of America Building at 100 N. Broadway (north side of Douglas between Topeka and Broadway) in Wichita, Kansas (click for a map and directions). Park in the garage just across Broadway and use the sky walk to enter the Bank of America building. Bring your parking garage ticket to be stamped and your parking fee will be only $1.00. There is usually some metered and free street parking nearby.

  • Kansas news digest

    News from alternative media around Kansas for February 16, 2010.

    Supreme Court denies motion to reopen Montoy case

    (Kansas Liberty) “The Kansas Supreme Court decided today that it would not be reopening the Montoy school funding case. … Reopening the Montoy case would have saved the districts a significant amount of time and money.”

    Committee considers school consolidation

    (Kansas Liberty) “Small district complains that community economically relies on schools, Representative says towns should not solely rely on taxpayer dollars to function.”

    Groups launch government transparency Web page

    (Kansas Liberty) “Americans for Prosperity and the Kansas Policy Institute have teamed up to provide an online transparency tool that will allow Kansas residents to see exactly how the government uses their taxpayer dollars.”

    Joe the Plumber Campaigns For 4th Dist. Candidate Jim Anderson

    (State of the State KS) “Joe ‘The Plumber’ Wurzelbacher talks about his role in the 2008 Presidential election and why he is endorsing 4th Congressional District candidate Jim Anderson (R).”

    Senate Education Debates Catastrophic Aid For School Districts

    (State of the State KS) “The Senate Education Committee debated changes to catastrophic aid for school districts after claims jumped to $12 million in 2009 and are estimated to be $47 million this year.”

    Rep. Jim Ward Discusses Education Funding and Budget Solutions

    (State of the State KS) “Rep. Jim Ward (D) talks about budget options. He is the House Assistant Minority Leader.”

    House panel rejects proposed tax-break moratorium

    (Kansas Reporter) “TOPEKA, Kan. – Kansas House Taxation committee members rejected a state panel’s recommended three-year moratorium on new sales, property and other tax exemptions.”

    Sales tax plan hurts low income Kansans, critics say

    (Kansas Reporter) “TOPEKA, Kan. – A Kansas panel’s proposal to streamline sales tax exemptions in the state would hurt many of the state’s most fragile citizens, critics told state legislators.”

    Supreme Court denies schools’ bid to reopen funding suit

    (Kansas Reporter) “TOPEKA, Kan. – Kansas’ Supreme Court Friday rejected a request by 74 Kansas schools to reopen a landmark school financing case and allow the schools to seek a reversal of recent state school funding cuts.”

    House committee rejects moratorium on tax credits or exemptions

    (Kansas Health Institute news service) “TOPEKA – The House Taxation Committee concluded hearings Tuesday on a bill that would repeal sales tax exemptions for non-profits and charities and eliminate the state exemption on the sale of residential utilities.”

    People who lost state-funded social services tell their stories

    (Kansas Health Institute news service) “TOPEKA – Daniel Perez is a single parent. His 18-year-old son, Danny, is severely autistic. When left alone, Danny will spend hours crinkling cellophane. ‘It’s what he likes to do,’ his father said.”

    Government payrolls show continuing, long-term growth as private sector jobs decline

    (Kansas Watchdog) “Kansas continues to lose private sector jobs as it adds more taxpayer-funded government jobs, a trend mirrored at the national level. The private sector lost 57,900 jobs between December 2007 and December 2009 while government added 3,200 jobs in Kansas according to the U.S. Bureau of Labor Statistics (BLS).”

    Fuzzy “Facts” vs Freedom in Smoking Ban Debate

    (Kansas Watchdog) “There’s almost no debate that smoking is unhealthy, but there’s plenty of debate about whether and how to implement a statewide ban on smoking in public to reduce exposure to second-hand smoke. Interested citizens, lobbyists and speakers filled the Health and Human Services hearing room in the Docking building Wednesday.”

    LPA School Consolidation Audit Points the Way for Savings

    (Kansas Watchdog) “Monday’s Legislative Post Audit school consolidation report found the state could save as much as $138 million per year by consolidating smaller school districts. … Several district superintendents filed objections to the report, most citing a desire for local control of consolidation decisions and a desire to avoid the challenges of working with other districts. LPA auditors stated, ‘None of the issues they raised prohibit consolidation.’”

  • Regulation has not lessened, instead it has harmed us

    Last week’s Wichita Eagle featured an op-ed by Brad Beachy, who is co-chairman of Wichita Democracy for America. Several of the claims made by Beachy deserve examination. In particular, Beachy blames free markets as the cause of our current economic problems: “The Great Recession we’re in now started in late 2007, after several years of deep tax cuts and major repeals of government regulation in the financial market.”

    Let’s look at regulation. Not everyone agrees with Beachy’s claim of major repeals of regulation in recent years. The liberal Time Magazine wrote this assessment of George W. Bush’s regulatory legacy about a year ago:

    The only major piece of regulatory legislation enacted during the Bush years was the Sarbanes-Oxley Act, which dramatically increased regulation of corporate financial disclosures. The really big regulatory changes being pointed to now as possible culprits for the crisis date back to Bush’s predecessors: Bill Clinton, Ronald Reagan, even Jimmy Carter and Gerald Ford. So the popular Democratic refrain that “Bush-era deregulation” is to blame for our troubles is a little hard to square with the evidence. What is true is that most Bush-era financial regulators were less than enthusiastic about the very act of regulating, and that Bush’s “ownership society” push glossed over a lot of potential dangers. Bush didn’t cause the financial regulatory breakdown, but he didn’t jump in to fix it either.

    The housing crisis played a large, perhaps dominant role in the current recession. So let’s look at what were the causes of that to see if deregulation played a role.

    Last October John A. Allison, chairman and former CEO of BB&T Corporation, the nation’s 10th largest financial-holding company, presented a lecture at the 30th annual Economic Outlook Conference at Century II, produced by the Center for Economic Development and Business Research (CEDBR) at Wichita State University. His lecture, titled “The Financial Crisis: Causes and Possible Cures” provided valuable insight into the causes of the problem we’re in.

    Allison said “Only government can make a mistake of this magnitude possible.” Government and its regulators, in this case the Federal Reserve System, the Federal Deposit Insurance Corporation, the housing policymakers Freddie Mac and Fannie Mae, and the Securities and Exchange Commission, were the proximate cause of the problem, and prevented natural market corrective forces to work.

    At the Federal Reserve, management of our nations’ money supply is a problem. “The huge level of federal debt we have today would not be practical if the government did not own the monetary system,” Allison said.

    FDIC insurance of bank deposits leads people to invest in banks without regard to the risk the banks take. It also made the “pick-a-payment” mortgage possible, where each month a homeowner may owe more than the month before.

    Freddie Mac and Fannie Mae exist to promote housing ownership, and they promoted it far above the natural rate of home ownership. Their actions also made the subprime mortgage possible.

    The credit rating agencies sanctioned by the SEC — S&P, Moody’s, and Fitch — are given a monopoly over the issuance of ratings, and they failed in their duty.

    Before the innovations of Freddie Mac and Fannie Mae, savings and loan banks would originate mortgages locally and then hold them locally. Now, the model is “originate and sell,” Allison said. These government regulations made the mortgage broker origination model viable, and led to huge profits, until the bubble burst.

    So when Beachy asks “Why does the unseen hand of the marketplace, in its infinite wisdom, give million-dollar bonuses to the CEOs of mortgage institutions who drive their companies into bankruptcy” we have to answer it’s not the marketplace that did this. It was government policy and regulation, developed over the last few decades, that led to this situation. Our financial system operates in nothing resembling a free market environment.

    By the way, Beachy starts his op-ed questioning the motives of those he criticizes, in this case the Americans For Prosperity Foundation: “Billionaire David H. Koch presides on the foundation’s board of directors and has funded the organization with millions of dollars.” If motives are reason for criticism, we ought to note that Beachy — an employee at a government-owned and run institution — has a self-interest in keeping the government spending gravy train flowing.

  • Government spending does not create prosperity

    In his op-ed Don’t buy canard about spending, Alan Cobb of Americans for Prosperity writes about the illusion that government spending creates economic growth.

    It’s an important topic, as we’ve just been through nearly a year of Obama stimulus spending, and people are wondering if the effort has paid off. Locally in Kansas, spending advocates argue that reducing Kansas state spending will cause economic growth to suffer. Even more locally in Wichita, city council members and city hall bureaucrats argue that government is responsible for managing economic development in Wichita, some going so far to proclaim that free people and free markets have failed and can’t be trusted.

    In yesterday’s Wichita Eagle, Wichita businessman Fred Berry takes issue with Cobb, and this disagreement provides a useful illustration of the difference between government and private action.

    Cobb wrote this: “If I take $20,000 from my neighbor and hire a gardener, the economy certainly hasn’t grown by $20,000. It’s simply been a shift of money.” Cobb is illustrating the effect of government spending.

    Berry wrote: “But let me use Cobb’s example in a different way. Suppose he and his neighbor decided to share a gardener, because neither needed one full time. Because Cobb’s garden was twice as large as his neighbor’s, he agreed to pay two-thirds of the cost.”

    What’s the difference between the two examples? It’s simple: Cobb is illustrating a government-coerced transaction, while Berry uses a voluntary transaction.

    There’s a world of difference between the two. Voluntary transactions are the way that wealth and prosperity are generated. These transactions happen because both parties believe they will be better off if the transaction takes place.

    This leads to what John Stossel has termed the “weird double thank you moment” when people engage in voluntary trade: One party says “thank you,” and so does the other. This happens at the grocery store and nearly everywhere people are making voluntary exchanges that benefit both parties.

    But when you pay your taxes, do you say “thank you?”

    Milton Friedman has written and lectured extensively on the topic of free markets. Here’s an example from his monumental work Capitalism and Freedom:

    Fundamentally, there are only two ways of co-ordinating the economic activities of millions. One is central direction involving the use of coercion — the technique of the army and of the modern totalitarian state. The other is voluntary co-operation of individuals — the technique of the market place.

    The possibility of co-ordination through voluntary co-operation rests on the elementary — yet frequently denied — proposition that both parties to an economic transaction benefit from it, provided the transaction is bi-laterally voluntary and informed.

    Exchange can therefore bring about co-ordination without coercion. A working model of a society organized through voluntary exchange is a free private enterprise exchange economy — what we have been calling competitive capitalism.

    It’s surprising to me that a businessman — here I specifically do not use the word “capitalist” — like Fred Berry would fail to recognize the distinction between free markets and government coercion. I guess I should not be surprised, as Berry made large campaign contributions to the Wichita school bond campaign in 2008, and the public schools are definitely unfriendly to capitalism. In addition, he has made contributions to enemies of capitalism like Wichita Mayor Carl Brewer and city council member Janet Miller.

    For more explanation of how free markets work from Milton Friedman, view the video below.