Tag: Kansas Policy Institute

  • Kansas and Wichita quick takes: Tuesday September 20, 2011

    Douglas Place value. The budget published by the city for the Douglas Place project, a downtown Wichita hotel, includes $2,600,000 for purchase of the existing building that will be turned into the hotel. According to Sedgwick County, the property has an appraised market value of $710,900. A good question for someone to ask is why the developers are paying so much more than that — or why the property is appraised so low if in fact it is worth $2,600,000. Or, does the fact that the city is offering subsidies drive up the value of property?

    Douglas Place vote delayed. Today the Wichita City Council delayed the vote on the second reading of the subsidy package for the Douglas Place project. Some of the subsidy programs require five votes, and with the mayor and council member Pete Meitzner absent, and with council member Michael O’Donnell opposed, there weren’t five votes to pass these measures.

    Solyndra unnoticed by some. As of last Friday, prime time programs on the MSNBC television network haven’t covered the scandal involving Solyndra, a solar energy company that received $535 million worth of loan guarantees from the Obama administration, reports Newsbusters.

    On Solyndra, the real lesson. Tim Carney gets it just right when he notices that Republicans are using the Solyndra scandal as a hammer against President Barack Obama in particular and Democrats in general. Instead, Carney writes that Solyndra is an example of “influence peddling, incompetence and waste that are inevitable whenever government becomes deeply entangled in industry.” Republicans do this too. Here in Wichita most Republican members of the city council vote for this. … Continues Carney: “If Republicans were willing to broaden their attack beyond criticizing this one loan deal, they could indict the whole practice of government-business collusion. The GOP could show how Solyndra is the inevitable consequence of Obama’s type of big-government policies. … The problem is that Obama’s stated agenda, which involves giving government a central role in the private sector, inevitably creates waste, gives benefits to the well-connected, and opens the door for cronyism and corruption. Obama promised to be the scourge of the lobbyists and the antidote to special-interest dominance in Washington, but he also promised an activist government role in the economy. The two are nearly mutually exclusive.” More by Carney in the Washington Examiner at Republicans dodge the real lesson of Solyndra.

    Spreading the wealth: the costs. Leslie Carbone writing in The Moral Case Against Spreading the Wealth: “There are two principal reasons why the federal government should not be in the business of wealth redistribution. First, government imposed wealth redistribution doesn’t work: It doesn’t create, or even spread prosperity, it dampens it.” On the moral case, Carbone writes: “Government imposed redistribution does moral harm as well. First, wealth redistribution discourages the virtuous behavior that creates wealth: hard work, saving, investment, personal responsibility. In the natural order, virtue and vice carry their own consequences. Virtue yields largely positive results. Hard work, patience, and orderliness, for example, tend to generate prosperity. Vice, on the other hand, brings negative consequences. Sloth, impatience, and recklessness lead to suffering. By taxing the fruits of the virtuous behavior that creates wealth, government redistribution discourages that behavior.” … Concluding, Carbone see cause for optimism: “[Millions] are rejecting what F.A. Hayek so aptly called the fatal conceit of paternalistic government. Decades of federal expansion have demonstrated what history, economics, philosophy, and common sense have told us all along: People, working through the market, are the engines of prosperity, both moral and financial — but only if we get government out of their way.

    Kansas schools to be topic. This week’s meeting (September 23rd) of the Wichita Pachyderm Club presents Dave Trabert, President of Kansas Policy Institute, speaking on the topic “Why Not Kansas: Getting every student an effective education.” … The public is welcome and encouraged to attend Wichita Pachyderm meetings. For more information click on Wichita Pachyderm Club … Upcoming speakers: On September 30, U.S. Representative Mike Pompeo of Wichita on “An update from Washington.” … On October 7, John Locke — reincarnated through the miracle of modern technology — speaking on “Life, Liberty, and Property.” … On October 14, Sedgwick County Commission Members Richard Ranzau and James Skelton, speaking on “What its like to be a new member of the Sedgwick County Board of County commissioners?” … On October 21, N. Trip Shawver, Attorney/Mediator, on “The magic of mediation, its uses and benefits.”

    Natural rights. From LearnLiberty.org, a project of Institute for Humane Studies: “Individuals have rights. But are they natural? And how do they compare and contrast with legal or constitutional rights? Are legal or constitutional rights similar to those inalienable rights mentioned in the Declaration of Independence? Professor Aeon Skoble distinguishes such constitutional rights, such as the right to vote, from the rights protected by governments and constitutions — natural rights not actually granted by governments themselves. He concludes that legal systems should create rights that are compatible with natural rights.”

  • Kansas and Wichita quick takes: Monday September 12, 2011

    TIF not good for everyone, it seems. One of the criticisms of tax increment financing (TIF) is that it diverts tax revenue away from the general operations of government and into the hands of private concerns. Supporters of TIF deny this, using a variety of arguments. But as always, actions speak louder than words. In this case, examination of city documents finds that the Wichita Downtown Development Corporation, which is funded by a special property tax district, is exempt from the TIF district. (Actually, it’s the SSMID that’s exempt, but the only reason the SSMID exists, and the only thing it spends its tax revenue on, is the WDDC.) In other words, the city is willing to use TIF to divert money from police, fire, and schools, but not from the Wichita Downtown Development Corporation.

    Wichita City Council. The Wichita City Council in its Tuesday meeting considers these items: The largest item is the Douglas Place project, a downtown Wichita hotel being considered for many layers of taxpayer subsidy. … The council will also have a public hearing on water rates, described as “Citizen input will assist in determining whether the enhanced revenue should come from across-the-board increases or if the current imbalance should be gradually phased out, beginning with cost-based rate structure changes in 2012.” No rate changes will be contemplated at this meeting. … The council will also consider changes to regulations involving slab-on-grade construction standards for one and two family dwellings. There have been high-profile news stories about the failure of some such homes’ foundations. … The council will consider approval of a grant for a Regional Air Quality Improvement Program. … As always, the agenda packet — all 691 pages for this week’s meeting — is available at Wichita city council agendas.

    Williams lecture not noticed. Last Thursday about 650 people attended a lecture by an economist in Wichita, and traditional news media didn’t notice. Fortunately there are other sources: Williams: Constitutional Principles the Source of Fairness and Justice (complete video included in this story), Walter Williams: Government must stick to its limited and legitimate role, and Walter Williams on doing good.

    Energy and politics to be topic. This week’s meeting (September 19th) of the Wichita Pachyderm Club features Merrill Eisenhower Atwater, President of Fox Fuels, speaking on “Infrastructure, energy, and politics.” Atwater is great grandson of President Dwight D. Eisenhower. The public is welcome and encouraged to attend Wichita Pachyderm meetings. For more information click on Wichita Pachyderm Club … Upcoming speakers: On September 23, Dave Trabert, President of Kansas Policy Institute, speaking on the topic “Why Not Kansas: Getting every student an effective education.” … On September 30, U.S. Representative Mike Pompeo of Wichita on “An update from Washington.” … On October 7, John Locke — reincarnated through the miracle of modern technology — speaking on “Life, Liberty, and Property.” … On October 14, Sedgwick County Commission Members Richard Ranzau and James Skelton, speaking on “What its like to be a new member of the Sedgwick County Board of County commissioners?” … On October 21, N. Trip Shawver, Attorney/Mediator, on “The magic of mediation, its uses and benefits.”

    Pompeo on ideological internships. Have you heard of a government program called Environmental Justice (EJ) eco-Ambassadors? U.S. Representative Mike Pompeo of Wichita has. According to a press release from his office, the application process is tilted along ideological lines: “The requirements outlined the EPA’s stated desire to recruit and hire, at taxpayer expense, only those college students who are ideologically in line with the Obama Administration’s radical environmental policies.” He has introduced legislation to prevent “any paid internships or other student recruitment programs that discriminate based on ideology or policy viewpoint.” Said Pompeo: “At a time when millions of Americans cannot find work and are saddled with record deficits and crippling environmental regulations, spending $6,000 of taxpayer money per student to act as tools of this Administration’s radical policies is clearly not acceptable — nor is it ever the role of the federal government to indoctrinate.” … The legislation Pompeo introduced is H.R. 2876: To prevent discrimination on the basis of political beliefs by the Environmental Protection Agency in its student programs.

    Spending to create jobs. Burton Folsom: “How are jobs created? In the last hundred years, the U.S. has seen tens of millions of jobs created by entrepreneurs like Henry Ford, who put a car in every garage, Willis Carrier, who gave us air conditioning, and Chester Carlson, who invented and marketed the Xerox machine. These men created products people wanted to use, and therefore millions of jobs came into existence to hire people to make those products as cheaply as possible. How do we encourage people like Henry Ford, Willis Carrier, and Chester Carlson to take the risks that might create those jobs? We do that by limiting government, protecting property rights, and allowing entrepreneurs to keep most of what they earn. In other words, do not overregulate, do not overtax, and do not allow the federal government to create instability by intrusive meddling. … Thus, we have President Obama, a disciple of FDR and John Maynard Keynes, frustrated because his stimulus package failed, his bailout of General Motors failed, and his cash for clunkers failed. His Obamacare overhaul is also in the process of failing. Alas, the U.S. has a stagnant economy and is mired in more than 9 percent unemployment. What to do? Why, more stimulus spending, of course! Only it will now be labeled ‘investment’ — along with more targeted spending for green jobs and more small targeted tax cuts.” More at The Sad Story of Presidents Who Think They Can Spend to Create Jobs.

    Kansas education summit. On Thursday September 15th, Kansas Policy Institute is holding a summit on education in Kansas. In its announcement, KPI writes: “Kansas can expand educational opportunities for students in need — even in our current economic climate. Join a “Who’s Who” of the nation’s education reformers in a discussion on how Kansas can give every student an effective education. … Invited participants include Gov. Sam Brownback, the Kansas Department of Education, Kansas National Education Association, Kansas Association of School Boards, state legislators, and other public education stakeholders.” … KPI notes that we increased total aid to Kansas public schools by $1.2 billion between 2005 and 2011, that 25 percent of Kansas students are unable to read at grade level. The event will be held at the Holiday Inn & Suites, Overland Park West. The cost is $35, which includes breakfast and lunch for the all-day event. … RSVPs are requested. For more information, click on Kansas Policy Institute Education Summit.

    Why should liberals like libertarian ideas? Last week we saw Dr. Stephen Davies explain why conservatives should consider libertarian ideas. Today, he explains why liberals, or progressives, should also consider libertarian ideas. The video is from LearnLiberty.org, a project of Institute for Humane Studies.

  • Kansas and Wichita quick takes: Friday September 9, 2011

    A citizen call to action. This month’s meeting of Americans for Prosperity, Kansas focuses on the Douglas Place project in downtown Wichita. Event organizers write: “On September 13, 2011 the Wichita City Council will be holding a public hearing to consider approval of millions of dollars of public incentives being offered to the downtown Douglas Place project developers. Monday’s meeting will have these topics: Learn about the incentive programs being offered. … Learn and consider getting involved in this issue as a citizen. … Consider testifying before the City Council. … Attend the council meeting to show your support for other speakers. … Please attend and participate in a group discussion to share ideas on how you can make a positive difference in local city government. … Presenters include Bob Weeks, Susan Estes, and John Todd.” This free event is Monday September 12th from 7:00 pm to 8:30 pm at the Lionel D. Alford Library located at 3447 S. Meridian in Wichita. The library is just north of the I-235 exit on Meridian. The event’s sponsor is Americans for Prosperity, Kansas. For more information on this event contact John Todd at john@johntodd.net or 316-312-7335, or Susan Estes, AFP Field Director at sestes@afphq.org or 316-681-4415.

    Troubles with Kansas City tax increment financing. I think the problems in Kansas City are larger than what we have in Wichita. But then, Wichita hasn’t relied on TIF as much as Kansas City has. But plans for the revitalization of downtown Wichita call for its expanded use. We need to be cautious, as Jon N. Hall explains in Creative Destruction in Kansas City?

    Effects of stimulus on hiring. A new paper from the Mercatus Center sheds light on the effects of American Recovery and Reinvestment Act of 2009, also known as ARRA, also known as the stimulus bill, and one of the first legislative initiatives by President Obama. “In an effort to boost hiring and job creation and to invest in a variety of domestic infrastructure programs, Congress passed and the president signed the American Recovery and Reinvestment Act (ARRA), commonly known as the economic stimulus package, in 2009. ARRA represented one of the largest peacetime fiscal stimulus packages in American history. But little is known about the ways in which organizations and workers responded to the incentives created by the bill.” Among the report’s findings: “Hiring isn’t the same as net job creation. In our survey, just 42.1 percent of the workers hired at ARRA-receiving organizations after January 31, 2009, were unemployed at the time they were hired (Appendix C). More were hired directly from other organizations (47.3 percent of post-ARRA workers), while a handful came from school (6.5%) or from outside the labor force (4.1%)(Figure 2). Thus, there was an almost even split between “job creating” and “job switching.” This suggests just how hard it is for Keynesian job creation to work in a modern, expertise-based economy: even in a weak economy, organizations hired the employed about as often as the unemployed.” See Did Stimulus Dollars Hire the Unemployed? for the full report.

    Kansas education summit. On Thursday September 15th, Kansas Policy Institute is holding a summit on education in Kansas. In its announcement, KPI writes: “Kansas can expand educational opportunities for students in need — even in our current economic climate. Join a “Who’s Who” of the nation’s education reformers in a discussion on how Kansas can give every student an effective education. … Invited participants include Gov. Sam Brownback, the Kansas Department of Education, Kansas National Education Association, Kansas Association of School Boards, state legislators, and other public education stakeholders.” … KPI notes that we increased total aid to Kansas public schools by $1.2 billion between 2005 and 2011, that 25 percent of Kansas students are unable to read at grade level. The event will be held at the Holiday Inn & Suites, Overland Park West. The cost is $35, which includes breakfast and lunch for the all-day event. … RSVPs are requested. For more information, click on Kansas Policy Institute Education Summit.

    Why should conservatives like libertarian ideas? From LearnLiberty.org, a project of Institute for Humane Studies: “Are you a conservative? If so, Dr. Stephen Davies provides a few compelling reasons to consider libertarianism. For instance, conservatives tend to prefer institutions that have been tried and trusted, and want to maintain and uphold a traditionally established way of life. They also typically believe in an established or correct moral code. However, it does not logically follow that government should enforce all of these things. In fact, government enforcement of morals and traditions is often detrimental to both.”

  • Kansas and Wichita quick takes: Tuesday September 6, 2011

    Live music example of overcriminilization, regulation in Wichita. The Wichita Eagle reports on examples of problems establishments have faced for not complying with Wichita’s requirement for a live music license, which costs $400 per year. In the story No entertainment license in Wichita? Live music is illegal, it is reported that city officials are working with art gallery and coffeehouse owners to revise the ordinance. I agree with Adam Hartke, who wonders why there should be any fees. Like the recently passed regulations on haunted houses, these regulations appear to be regulating something that’s not a problem.

    Tax reform in Kansas. In a nine-minute podcast from the Tax Foundation, Kansas Policy Institute president Dave Trabert discusses the prospects for substantive tax reform in the Sunflower State, including the possibility of both phasing out the individual income tax and cutting (or even abolishing) the corporate income tax. Trabert says: “We probably do right now have the 15th highest state and local tax burden in the country. … That is a serious problem, because we understand how the tax burden affects job creation.” In a recent editorial, Trabert noted lack of job growth in Kansas: “Kansas is the only state whose average annual private-sector employment is below its 2010 average. Part of the reason is that, unlike most states, Kansas chose to continue raising taxes last year. … We must reduce our tax burden to create jobs and economic growth. Gradually eliminating the state income tax will have the greatest impact.” … Click on Dave Trabert on the Fight for Tax Reform in Kansas.

    Downtown Wichita site launched. As part of an effort to provide information about the Douglas Place project, a proposed renovation of a downtown Wichita office building into a hotel, Americans for Prosperity, Kansas has created a website. The site is named Our Downtown Wichita, and it’s located at dtwichita.com.

    Juvenile justice system to be topic. This week’s meeting (September 9th) of the Wichita Pachyderm Club features Mark Masterson, Director, Sedgwick County Department of Corrections, on the topic “Juvenile Justice System in Sedgwick County.” Following, from 2:00 pm to 3:00 pm, Pachyderm Club members and guests are invited to tour the Sedgwick County Juvenile Detention Center located at 700 South Hydraulic, Wichita, Kansas. … Upcoming speakers: On September 16, Merrill Eisenhower Atwater, great grandson of President Dwight D. Eisenhower, will present a program with the topic to be determined. … On September 23, Dave Trabert, President of Kansas Policy Institute, speaking on the topic “Why Not Kansas: Getting every student an effective education.” … On September 30, U.S. Representative Mike Pompeo of Wichita on “An update from Washington.” … On October 7, John Locke — reincarnated through the miracle of modern technology — speaking on “Life, Liberty, and Property.” … On October 14, Sedgwick County Commission Members Richard Ranzau and James Skelton, speaking on “What its like to be a new member of the Sedgwick County Board of County commissioners?” … On October 21, N. Trip Shawver, Attorney/Mediator, on “The magic of mediation, its uses and benefits.”

    Campaign contributions flow to Wichita’s subsidy supporters. The Our Downtown Wichita website holds an article that details the campaign contributions made to Wichita’s mayor and several city council members by those who will be asking the city for money next week. The contributions by David Burk and Key Construction owners and affiliates are detailed in Wichita City Council campaign contributions and Douglas Place. … When the issue of campaign contributions was raised at a recent council meeting, several members became testy. Evidently, these contributions are not meant to be discussed in public.

    Organ events. This Wednesday (September 7th) sees the first organ recital by Wichita State University’s Lynne Davis as part of the “Wednesdays in Wiedemann” series. These recitals, which have no admission charge, start at 5:30 pm and last about 30 minutes. … The location is Wiedemann Recital Hall (map) on the campus of Wichita State University. For more about Davis and WSU’s Great Marcussen Organ, see my story from last year. … Later this month Davis hosts Jehan Alain, 1911-1940 — The American Festival, a three-day event celebrating the music of the French organist and composer, who died at the age of 29 fighting for his country against Germany in World War II. There will be several recitals that the public may attend.

    Urban planning in Wichita: an outside perspective. Randal O’Toole is a Senior Fellow at the Cato Institute and author of The Best-Laid Plans: How Government Planning Harms Your Quality of Life, Your Pocketbook, and Your Future. He visited Wichita last year and toured some of Wichita’s landmarks of government planning and taxpayer subsidy.

    O’Toole also appeared on the KPTS public affairs television program Kansas Week.

  • Kansas and Wichita quick takes: Monday August 29, 2011

    Wichita City Council. The Wichita City Council will not meet this week, as Tuesday is the fifth Tuesday of the month. The council will not meet on September 6th, as that is a Tuesday after a Monday holiday.

    Government and business. Today’s Wichita Eagle carries a letter to the editor that makes a comparison that would be humorous, if so many people didn’t believe it: that government can be, and should be, run like a business. Here’s part of the letter: “But government isn’t like a family. It’s a business — a business that provides the services we need and want. Things like courts, the financial system, the military, national parks, interstate highways and all the other things that the government does to make our life what it is today. And each of these services has costs. To stay in business, all businesses must make a profit, or have the potential to turn a profit in the near future.” … Government is nothing like a business, however, and failing to recognize this is dangerous. First, customers patronize businesses voluntarily because they like what they get for their money. We don’t have this voluntary relationship with government — we must pay whether we want to or not, and regardless of whether we use the services government provides. Government often becomes the sole source provider of many things, meaning that we must use government, even if we would like to get the service somewhere else. Thus, government is not often subject to competition, which characterizes markets that business operates in. Then, government has no ability to calculate profit, as it conscripts its capital. Finally, just because government currently provides a service, it doesn’t follow that government should provide it, or that government is the only way to provide it, or that government is the best way to provide it.

    Developer welfare shop opened. From Wichita Business Journal: “The Wichita Downtown Development Corp. on Friday opened its new Innovation Center. Designed as a one-stop shop for developers interested in building downtown projects, the new center is expected to be a place where ideas are both created and shared.” Should Wichitans be worried about centralized government planning?

    ‘Kansans United’ formed. The Kansas City Star notes the formation of a new group named Kansans United in Voice and Spirit. According to the group’s website: “Kansans United in Voice & Spirit are concerned citizens throughout the state of Kansas who are uniting to support, advocate for, and protect valuable State services, programs, and policies and to promote government by and for all Kansans.” … Judging by posts on its Facebook page, the group is a reaction to the policies of Kansas Governor Sam Brownback, and is in favor of the glorification of government.

    Kansas education summit. On Thursday September 15th, Kansas Policy Institute is holding a summit on education in Kansas. In its announcement, KPI writes: “Kansas can expand educational opportunities for students in need — even in our current economic climate. Join a “Who’s Who” of the nation’s education reformers in a discussion on how Kansas can give every student an effective education. … Invited participants include Gov. Sam Brownback, the Kansas Department of Education, Kansas National Education Association, Kansas Association of School Boards, state legislators, and other public education stakeholders.” … KPI notes that we increased total aid to Kansas public schools by $1.2 billion between 2005 and 2011, that 25 percent of Kansas students are unable to read at grade level. The event will be held at the Holiday Inn & Suites, Overland Park West. The cost is $35, which includes breakfast and lunch for the all-day event. … RSVPs are requested. For more information, click on Kansas Policy Institute Education Summit.

    No Wichita Pachyderm this week. The Wichita Pachyderm Club will not meet this week. Upcoming speakers: On September 9, Mark Masterson, Director, Sedgwick County Department of Corrections, on the topic “Juvenile Justice System in Sedgwick County.” Following, from 2:00 pm to 3:00 pm, Pachyderm Club members and guests are invited to tour the Sedgwick County Juvenile Detention Center located at 700 South Hydraulic, Wichita, Kansas. … On September 16, Merrill Eisenhower Atwater, great grandson of President Dwight D. Eisenhower, will present a program with the topic to be determined. … On September 23, Dave Trabert, President of Kansas Policy Institute, speaking on the topic “Why Not Kansas: Getting every student an effective education.” … On September 30, U.S. Representative Mike Pompeo of Wichita on “An update from Washington.” … On October 7, John Locke — reincarnated through the miracle of modern technology — speaking on “Life, Liberty, and Property.” … On October 14, Sedgwick County Commission Members Richard Ranzau and James Skelton, speaking on “What its like to be a new member of the Sedgwick County Board of County commissioners?” … On October 21, N. Trip Shawver, Attorney/Mediator, on “The magic of mediation, its uses and benefits.”

    Myths of capitalism. In a short video, Dr. Jeffrey Miron explains three common myths of capitalism. The first, and one we struggle with in Wichita as our city and state seek to be business-friendly, is the common perception that business and capitalism are one and the same. Miron says: “Nothing could be farther from the truth. The point of capitalism is to make sure that businesses have to compete vigorously against each other, and that benefits consumers. It’s not good for the businesses per se, because they have to work really hard. So many businesses understand this, and they hate capitalism. They are constantly trying to get government to erect various rules, restrictions, and regulations that help them, but they’re not in the interests of consumers.” … Miron also addresses the issue of income distribution, noting that capitalism rewards those who are productive and who come up with good ideas. Some people have very little skill, he notes, and so it is reasonable to support some antipoverty spending. But hampering capitalism to achieve this goal makes everyone worse off. … Also, capitalism is not responsible for the recent financial crisis. We didn’t have unbridled capitalism before the crisis, he says, and it is much more likely that government interference with capitalism causes crises like in 2008. TARP and other bailouts shielded risk-takers from paying the true price for the risk they undertook, and encourages people to take other risks, knowing they will not have to pay. … This video is from LearnLiberty.org, a project of Institute for Humane Studies, and many other informative videos are available.

  • KNEA: Let’s just raise taxes

    Recently Blake West, who is president of Kansas National Education Association (KNEA), our state’s teachers union, penned a piece defending his union and attacking critics of public school spending and results achieved in Kansas.

    Titled Fighting for education, it starts off with a reminder of what is wrong with public education in Kansas: It’s a government program. It’s funded through taxation. It’s managed by bureaucrats spending someone else’s money. It incubates the well-known problems that exist when there’s a disconnect between receiving something that other pay for. It caters to a union that pretends to still be the professional association it once was, but now has all the harmful characteristics of modern labor unions and the government employee unions modeled after them.

    In a civil society, we shouldn’t have to fight over the education of children. This is a matter that once was handled very well in America through markets, that is, through voluntary cooperation. But now, as Kansas Policy Institute’s Dave Trabert aptly notes, “KNEA wants to raise taxes.”

    Beyond that, KNEA and the public school spending machine block all attempts at reforms, except those that come from university colleges of education, and the evidence is that those don’t work very well.

    Interestingly, West criticizes accountability accomplished through “useless questions that oversimplify student achievement as a list of things that are easy to ask, easy to grade, easy to quantify.” Undoubtedly referring to the federal No Child Left Behind law, it’s confusing to see West criticize government at the same time he defends government schools. But the teachers unions and the school spending bureaucracy reject market-based accountability, too.

    West, in his piece, stands up for teachers and defends them against the criticism he says is leveled at them. But his defense is misplaced. Most critics of public schools criticize the system, of which the teachers union that West heads is part. And with the dismal results that schools turn in, year after year, West — his union machinery and the system he defends — justly deserves criticism.

    Kansas education officials refuse to discuss better learning opportunities

    By Dave Trabert, Kansas Policy Institute

    According to the U.S. Department of Education, only a third of Kansas students are proficient in reading and roughly one out of four are functionally illiterate. You might expect that education officials would welcome an opportunity to examine what other states are doing to address these unacceptably low achievement levels, but sadly they refuse to even have a discussion.

    Some are even deliberately mischaracterizing efforts to do so. A recent editorial by Kansas National Education Association president Blake West falsely described the premise of Kansas Policy Institute’s proposing public forums as: “Since we can’t afford great schools in tight budget times, what would you be most willing to cut from public education?”

    Mr. West and the KNEA know that’s not true. Earlier this year KPI asked KNEA, the Department of Education, State Board of Education and the Kansas Association of School Boards if they “… would be willing to participate in some type of open, public discussion of all the issues.” The invitation was prompted by their public ridicule of public forums KPI held to share Florida’s remarkable progress on raising achievement levels, which many attribute to a broad array of reforms.

    This group met but KPI couldn’t agree to their insistence on excluding education experts from outside the state, so we moved forward with our own event and invited them all to participate. The Why Not Kansas Education Summit is on September 15 in Overland Park. National experts on charter schools, vouchers and tax credit scholarships for the underprivileged and special needs students, expanding online learning and retaining and rewarding effective teachers will talk about how many states are using these learning opportunities to raise achievement levels. Kansas education officials are invited to participate in a panel discussion about these opportunities; most have declined, but the discussion will still be held with legislators.

    The KNEA solution is essentially “just spend more.” Mr. West writes, “The most important question is: ‘What educational opportunities for our children do we believe are so important that we WANT to pay taxes to fund our schools?’”

    And there you have it. KPI wants to talk about expanding learning opportunities. KNEA wants to raise taxes.

    We’ve already tried the “just spend more” solution but it’s been a miserable failure. Proficiency levels are relatively unchanged since 1998 while total funding for Kansas public schools increased by $2.5 billion. Thank goodness spending isn’t the answer, because if $2.5 billion barely moves the needle, we’d never have enough money to provide students with the effective education they deserve.

    This isn’t about hating kids, attempting to destroy public education or the other false accusations thrown at those who dare to question the status quo. We have to acknowledge the disappointing truth about student achievement levels and find new approaches. Some students certainly get a good education, but pretending most students have high achievement levels only hurts them in the long run.

    States all around the country are stepping up to the challenge and adopting a combination of student-focused reforms. We hope education officials reconsider our invitation and join us to discuss how new approaches can help more students reach their full potential.

    For more information on the event mentioned, click on Why Not Kansas Education Summit.

  • Kansas and Wichita quick takes: Friday July 22, 2011

    Republican populism. Timothy P. Carney writing in Washington Examiner: “President Obama, ignoring his own calls to leave rhetoric at the door, has relied on populist demagoguery throughout the debt-ceiling negotiations. But given the President’s record of bailouts, his dedication to corporate-welfare handouts, and his calendar filled with $35,800-a-plate fundraisers, Republicans ought to take the populist cudgel from Obama and use it against Democrats.” Carney recommends: “Instead of trying to defend themselves against Obama’s misleading populism, Republicans ought to return fire with some sincere populism in this debt battle.”

    Cost of space shuttle. It’s a difficult question to answer, writes Carl Bialik in As Shuttle Sails Through Space, Costs Are Tough to Pin Down for The Wall Street Journal: “Some media outlets have pegged the total cost of the shuttle program, and its 135 launches, at between $115 billion and nearly twice that amount, demonstrating the challenge of tallying a bill over such a long time span.” Even at the lowest figure, that’s nearly $1 billion, or $1,000 million, per launch. In the early days of the program, Bialik writes, the cost of a launch was estimated at $7 million, and it was thought there would be weekly launches. … Me, I’m still waiting for lemon-flavored Tang.

    Raj Goyle spotted. Some have been wondering what former Kansas fourth district Congressional candidate Raj Goyle is doing these days, and this photograph gives us a clue. In the caption, Goyle is identified as Executive Director of the United Nations Office of Global Partnerships.

    Media Mogul Charged with First Degree Murdoch. Ann Coulter reminds us that outrage is surely in the eyes of the beholder, as she looks back at a Florida couple who were caught taping cell phone conversations for political purposes.

    Authority to adjust KPERS benefits. From Kansas Policy Institute: “There is a mounting realization that the Kansas Public Employee Retirement System (KPERS) is facing a crisis and there is a need for immediate reform. Legal Authority to Adjust State Pension Plans, a paper released earlier this week by KPI, outlines the legal history of modifying public pension benefits. Ralph Benko, a senior economic policy advisor to American Principles in Action, authored the paper and participated in a media conference call on July 12 announcing the paper’s release. An audio recording of that conference call is available here. … “Exorbitant retirement benefits are threatening the ability of states and municipalities to deliver essential government services, and, in up to 20 states and hundreds of municipalities, are threatening their very solvency,” writes Benko. “There is a widespread misunderstanding in many states that the U.S. Constitution prohibits [adjusting pension obligations], but there is no such prohibition.” … A full copy of “Legal Authority to Adjust State Pension Plans” is available here. … KPI President Dave Trabert added the following, “The simple reality is that KPERS faces an unfunded liability well beyond $7.6 billion. KPERS acknowledges an additional $1.7 billion of losses that aren’t yet reported and a more likely rate of return puts the true liability well closer to $14 billion. Many states are faced with the same problem, but Kansas is one of the worst. We can’t solve this problem without having the full knowledge of the possible solutions and that means an understanding of the legal framework as well. Ralph does a terrific job of demonstrating that the U.S. Constitution allows state pension obligations to be changed for ‘significant’ purposes to remedy an ‘economic problem.’ If Kansas isn’t facing a significant economic problem right now, then that definition is meaningless.”

    Should Kansas establish a health insurance exchange? A big part of the new national health care legislation is health care exchanges. Are these a good idea? From Americans for Prosperity, Kansas: “Beverly Gossage, research fellow with the Show-Me Institute, has helped pioneer health savings account policies for businesses in Kansas and Missouri and has testified on health policy bills before the Kansas and Missouri legislatures. She has explored the possibilities of ‘health insurance exchanges’ — or government clearinghouses for health care funds and programs — and has written about the likely consequences of these exchanges in the Sunflower State. … According to Gossage, a health insurance exchange in Kansas would simply result in more bureaucracy and higher insurance premiums, and would be a threat to the free market. We agree and encourage you to review the document as this will be an issue discussed by the Kansas Legislature later this year in an interim committee and during the 2012 Legislature.” … Gossage’s paper is at Should Kansas Establish a Health Insurance Exchange?.”

    A new day in politics? John Stossel writes about the new book The Declaration of Independents: How Libertarian Politics Can Fix What’s Wrong with America by Nick Gillespie and Matt Welch, both of Reason, the libertarian magazine of “Free Minds and Free Markets.” Ssays Stossel: “‘Independence in politics means that you can actually dictate some of the terms to our overlords,’ Welch and Gillespie write, adding that we need independence not just in politics but from politics. Welch said, ‘When we look at the places where government either directly controls or heavily regulates things, like K-12 education, health care, retirement, things are going poorly.’ … It’s very different outside of government where — from culture to retail stores to the Internet — there’s been an explosion of choice. ‘(Y)ou were lucky … 20 years ago (if) you would see one eggplant in an exotic store,’ Welch continued. ‘Now in the crappiest supermarket in America you’ll see four or five or six varieties of eggplant, plus all types of different things. … (W)hen you get independent from politics, things are going great because people can experiment, they can innovate. … We should squeeze down the (number of) places where we need a consensus to the smallest area possible, because all the interesting stuff happens outside of that.’” … Now Stossel’s television show dedicated to this topic and the book authors is available on the free hulu service.

  • Wichita school district discusses unspent fund balances

    Last week the board of USD 259, the Wichita public school district provided another example of the attitude of the board towards those who have opinions that are not aligned with the policies of the district and public school spending advocates.

    In this example it was Dave Trabert who appeared to speak to the board. Trabert is president of Kansas Policy Institute. His purpose was to present to the board some options the district has, based on a new state law, for managing its finances so that it could proceed without laying off teachers or eliminating programs.

    Board president Connie Dietz made sure the speakers were aware there is a three minute time limit — now there is a timer on the display screens — and that the speakers would be excused after that time.

    Trabert told the board that based on new state law, the Wichita school district has $16.4 million available for it to use without restriction. These are funds that the district has in accounts, but did not spend in previous years. “The district can, if it chooses, use this option to avoid teacher layoffs and other program cuts,” Trabert said.

    Trabert recognized that the district needs some balances to help manage cash flow. He also mentioned the fact that school districts and school spending supporters don’t address: “The fact that these balances have increased significantly over the years, as some revenues were not spent, shows that the district has the ability to use this option if it chooses, and still have a lot of cash left over.”

    He also told the board that many school districts in Kansas are able to operate with lower ratios of cash balances, relative to their operating expenses, than the Wichita district does.

    Board member Lynn Rogers questioned Trabert, asking him how he felt about the federal government spending Social Security trust funds on things other than Social Security benefits. Trabert asked how that applied to the issue at hand.

    Rogers said the district’s fund balances are a similar concept, and that if the district spends fund balances on something other than originally intended, it’s like the government misapplying Social Security trust funds. But the two concepts are distinguishable.

    The idea behind the Social Security Trust Fund is that payroll taxes are collected from workers, and are then invested to earn interest over a long period of time in order to pay future benefits to retirees.

    The district’s funds, with the possible exception of a fund like capital improvement or textbooks, are not intended as long-term investment vehicles. Rather, they are designed to meet short-term needs and to manage cash flow.

    Despite the huge difference in the nature of the school funds and the Social Security Trust Fund, Rogers pressed Trabert to answer his question, trying to draw a comparison between the district’s health care fund and Social Security. But again, the comparison is not valid. The district’s self-insurance health care fund is for the anticipated costs of health care for the current year. It is not a long-term savings plan, as Social Security is intended to be.

    We saw recently how the Wichita school district treated someone who made a proposal that lied outside the school spending orthodoxy. Here again we see similar treatment: First, the speaker is sternly reminded of the short time limit. This is, remember, at school board meetings where vast expanses of time are wasted on “feel-good” measures that do nothing to advance public policy, or education, for that matter.

    After the speaker finishes, board members may then lecture the speaker, often in an attempt to divert attention away from the issues the speaker raised. At least in this meeting the board member gave the speaker a chance to respond. That may not happen again, as Rogers made nonsensical arguments in his attempt to back the speaker into a corner and avoid addressing the substance of the issue at hand.

    The issue of the fund balances, while important, is not the most serious issue facing Wichita and Kansas schools. Most people would be surprised — and shocked — to learn that only 26 percent of Kansas students that take the ACT test are ready for college-level coursework in all four areas that ACT considers. (See Most Kansas students not ready for college.) While this result was slightly better than the national average, it means that three-fourths of Kansas high school graduates need to take one or more remedial college courses.

    It is important that citizens understand the issue of the unspent fund balances. It’s also important that they are aware of the refusal of school districts and school spending advocates to deal forthrightly with the public on this issue. It provides insight into the nature of our public schools, and why reform is so difficult.

    The written material that Trabert presented to the board may be found at Unencumbered Carryover Cash Balance Facts (According to the Kansas Dept. of Education, school district budget documents, Kansas Legislative Research Department and basic accounting principles). For more articles on the fund balances, click on Kansas school fund balances.

  • Kansas job growth — or lack of it

    The lack of job growth in Kansas should be in the news, as the figures are quite startling and reveal a stagnant Kansas economy when compared to nearby states. It’s also the one-year anniversary of the increase in the state-wide sales tax of one cent per dollar.

    But some want to stick their heads in the sand when it comes to the harmful effect of tax increases and the dismal performance of the Kansas economy. An example is from yesterday, when Wichita Eagle opinion page chief Phillip Brownlee editorialized that “Apparently last year’s sales-tax increase didn’t wreck the Kansas economy, as some predicted.”

    Perhaps Brownlee hasn’t been listening to what others have said. The most startling fact, and one that should be a wake-up call to anyone who cares about the future of Kansas, is the uncovering by the Kansas Policy Institute that Kansas is the only state to have a loss in private sector jobs over the past year.

    All the spending on schools, highways, and other government programs that are supposed to spur our economy to greatness have lead to this: last place. The only state with private-sector job loss. We couldn’t have done worse.

    Here are some charts based on data from the Bureau of Labor Statistics that illustrate. First, here’s the trend in Kansas employment, using January 2009 as the base. Other months are indexed from that number. The chart separately shows the trends in government and private sector employment.

    The effect of the recession on private sector employment has been severe, while government employment has fared much better. But government employees don’t create the wealth necessary to create prosperity for Kansans. Instead, the government jobs are a burden to our economy as they drain resources from the productive private sector.

    Of particular interest is the relative flatness of the curve over the past year. Around that time we’re told the recovery was taking place — it was on June 17, 2010 that President Barack Obama announced the “Summer of Recovery.” But Kansas private sector employment has remained largely unchanged since then.

    Kansas employment trendsKansas employment trends, government and private sector

    Comparing Kansas private sector employment to other states near Kansas produces a grimmer picture. All these states suffered from the recession, but many of these states did not suffer job losses as large as Kansas (on a relative basis).

    Then about a year ago, the trend in most of these states started to improve. But not Kansas.

    Kansas private sector employment trendsKansas private sector employment trends, compared to other states

    Even if one believes that government jobs create prosperity, Kansas has lagged here, too. It should be noted that Kansas has a very large number of government employees compared to its population. Kansas has 717.4 public employees per 10,000 population, which is number 48 in the nation. Only two states have more government employees, compared to population, than Kansas.

    Starting from such a high level of government employment may explain the following chart, where Kansas, when compared to neighboring states, has lagged behind in the change in the number of government jobs.

    Kansas government sector employment trends, compared to other statesKansas government sector employment trends, compared to other states

    Last year supporters of the increase in the sales tax made the case that more government revenue was necessary to avoid decreases in government employment. Judging by the record since then, the cost of the sales tax has been a stagnant Kansas private sector economy at the same time our neighbors are starting to grow employment. This is a policy that must be reversed. We know how to do this — the Rich States, Poor States: The ALEC-Laffer Economic Competitiveness Index report has evidence of polices that work to produce economic growth and those that don’t work. We simply need the will to implement them.