Thursday, June 26, 2008

Edwards’s 2-to-1 Budget Law

From Chris Edwards, the Director of Tax Policy Studies at the Cato Institute:

How should government officials decide on whether to fund big projects such as fighter aircraft, highways, bridges, and other types of infrastructure? First, they should check the Constitution to see whether they are legally allowed to spend on the object in consideration. Second, they should assume that the item will cost at least twice as much as initial estimates indicate.

There should be a 2-to-1 hurdle when the price tag of a project is being considered.
Government purchases of military hardware, highways, energy projects, space equipment, and other items often cost 50% or 100%, or more (see here and here), above what politicians originally promise.

Let’s be conservative and say that a 50% cost overrun is typical, such that we can expect a new $1 billion project to actually cost taxpayers $1.5 billion. But as economists often point out, paying for $1.5 billion in government spending will cost taxpayers much more than $1.5 billion because of the “deadweight losses” or inefficiency costs created by extracting taxes from the private sector with a complex and high-rate system.

How much more? Harvard’s Martin Feldstein thinks deadweight losses might be $1 for each added dollar of taxes. But let’s be conservative and say it’s only 50 cents on the dollar. So government projects impose deadweight losses of 50% on costs that are likely to balloon at least 50%.

The bottom line is that when America’s taxpayers hear that politicians want to spend, say, $10 billion on a new scheme, they should assume that they will face an ultimate financial hit of $22.5 billion. And that’s conservative!"

Catching Up ~ Abeit Briefly

UPDATE: Arizona Federation of Taxpayers also came out against the Mason Solar Tax Credit bill. Mason has decided to hold the bill at this point.

Forgive my lack of posts over the last two days. We are more than knee-deep in garbage here at the Capitol and instead of pressing forward to negotiate a responsible budget we are passing out bills that without question will result in increased taxes.

Two of these bills I am referring to are provisions that were in the now defunct job stimulus package: Lucy Mason's Solar Tax Credit and Pima County's Cactus League~Spring Training Bill. Unfortunately for the taxpayer, both of these bills passed out of committee despite objections from such groups as the Arizona Free Enterprise Club, the D.C. based Taxpayer Foundation, and the Arizona Restaurant Association. The Mason Solar-Energy Tax Credit received a thorough beating during our recent republican caucus so perhaps there is a ray of hope (get it?) that it will go down in flames.

As you have probably read by now, the Senate passed out their horrific budget proposal last night ( or rather, at 5:33 this morning) that includes $2 BILLION DOLLARS IN NEW BORROWING besides the fact that we are currently facing a $2.3 BILLION DOLLAR SHORTFALL! Ugh! Props to my good friend and seatmate, Senator Ron Gould for seriously doing all he could to protect the citizens of Arizona and prevent the Senate from successfully passing the budget. Senator Gould got almost no assistance from his fellow republicans...it is a shame that he has to take heat from his colleagues for taking seriously his oath of office.

Oh, surprise, surprise...house leadership just put the APPALLING Senate Budget Feed Bill (HB 2209) on the "Board of Truth" and the bill passed with the assistance of the following republicans:

Lucy Mason
Jennifer Burns
Michelle Reagan
Pete Hershberger

Without these REPUBLICANS ( though now perhaps, RINOS), the outrageous Senate Budget Feed Bill would not have passed and we would have then had the opportunity to negotiate a more fiscally responsible budget on behalf of the taxpayers.

FYI, I will list the travesties of the Senate Budget in a later post...must pay attention to the bills as they are voted. Can you believe that I am receiving emails from district 3 AEA members pleading me to vote in favor of this Senate budget? Increased gambling, increased photo radar, increased borrowing...and AEA members believe this is prudent?

Tuesday, June 24, 2008

Jerry Weier's OHV Bill & the Perils of it's Passage

UPDATE: The Governor signed this bill into law on 6/27/08.

The Senate's passage of this Off-Highway Vehicle (ATV) bill is horrible news; now the bill goes straight to the Governor. I have voiced my opposition to this bill in the past and am inspired to do so again at this time after recievng an email praising the legislation from an otherwise well-informed constituent.

Though this bill has multiple provisions; the one mentioned most by the print media is a provision that creates a special designated fund to mark appropriate riding trails and allows a new licensing fee to be collected to fill the fund. I seriously doubt that the monies collected from the new licensing fee will ever be used for this purpose but intead will be stolen by members of the legislature and used to balance the budget. As you well know, in the past two budget cycles the legislature has robbed from almost every designated fund in existence and with the state of this economy, I do not see this practice coming to an end.

Another problem with this bill is the lack of definable terms. This bill will not only fine but also criminalize people who unknowingly damage desert landscape or impede riparian ways, without defining what “damage” means. (Impeding a riparian way is defined in other AZ statute as blocking it even 99 %.) Game and Fish officials admitted during committee testimony that they could not provide a definition of damage, but would know it when they see it. This is poorly drafted legislation…terms of abuse or damage should be defined. Without these definitions I fear that employees of government agencies will be instructed to pursue ticketing with giddy abandon in order to fulfill their empty coffers. Excuse my cynicism; it is a result of acknowledging the truth of the state of the government.

The intent of this bill is admirable; the execution of the bill is deplorable. I attempted to offer solutions to improve this bill including stripping all provisions with the exception of the new licensing fee. My thought was that at least Game and Fish could collect the monies for a time being until they had enough money to mark the trails. After this first step, then perhaps a fine for violations could be imposed. I strongly stand behind my judgment that this bill is bad for the citizens of Arizona and horrible for those in Mohave County…the intent of the measure I applaud but action on an issue is not enough. Something needs to be done to address the pillaging of our desert but this is not the answer.

New Law: The Teenage Driver Safey Act

The Teenage Driver Safety Act, passed in May of 2007, will go into effect on July 1, 2008. With the enactment of the legislation, Arizona is joining 45 other states that have established intermediate programs for new teen drivers. Under the new law, new teen drivers for the first six months of receiving their drivers’ license will have restrictions on nighttime driving, limiting the amount of teen passengers in a car, and adding more hours of instructional driving before an unrestricted driver’s license can be obtained.

Here are its key points:
• Establishes graduated driver license, where licensed drivers, ages 16-17, do not have full driving privileges until six months after licensing.
• Increases supervised training requirement from 25 to 30 hours, of which 10 must be at night.
• Prohibits driving from midnight to 5 a.m. for the first six months, with exemptions for job, religious or school activities or family emergencies.
• Limits number of non-family teenage passengers to one during first six months.
• Establishes fines and extensions of restrictions for non-compliance.

For more details on this legislation and for a list of frequently asked questions, please visit the Arizona AAA website by following this link:

http://www.aaaaz.com/news/documents/TDSAFAQs.pdf

Theme Park Measure Could Take State for a Ride

UPDATE: This measure passed out of the Senate, despite being poor policy, and is now headed to the Governor.

By Byron Schlomach, Commentary

In the Mel Brooks play, “The Producers,” a planned swindle would only succeed if a joke of a Broadway play was a monumental flop. The play, “Springtime for Hitler,” ended up being a success against all reason. Right now the Arizona Legislature is planning a similar heist: the Decades Music Theme Park.

The Legislature has proposed a law to create a “special attraction district” in Eloy that would only include the Decades park and give it quasi-governmental status. Why is this proposed law a scam? In essence, the law is designed to subsidize private companies that cannot raise the money or otherwise get financing without special government treatment. In this case, the special privilege is the ability to issue government bonds. The bill now being considered would allow the owners of Decades to issue $750 million in government bonds.

People who buy government bonds accept less interest than they would otherwise for two reasons. First, they don’t have to pay federal income tax on the interest earned. Second, government bonds are backed by the ability of a government entity to tax its citizens, so they are generally safe investments.

In the case of the proposed theme park, the bonds will be financed by sales taxes paid only by park visitors. That means these bonds are really every bit as speculative as corporate bonds, because they are entirely dependent on the ability of a company to attract customers.
There are very likely to be good-faith buyers of these special attraction district bonds who will have every reason to think the bonds are as safe as school district bonds.

Then, if the park doesn’t work out and goes out of business, widows, retirees and institutional investors could find their government-grade bonds worth pennies on the dollar at best. If this unfortunate scenario were to happen, disappointed investors would likely sue those responsible, including the state of Arizona. Even if there’s no lawsuit, Arizona’s bond ratings will suffer if the park goes belly-up. Future bond buyers, with no idea if they’re really buying speculative corporate bonds or genuine government bonds, might avoid buying Arizona bonds all together.
Not only could Arizonans lose financially if policymakers ultimately approve this highly speculative project, we could lose in other ways. The private sector sets a pretty high bar for potential enterprises to pass in order to get funding. That doesn’t mean there is always success when enterprises are privately funded, but it does mean the winners often win big. Who knows what kind of big winner this government-backed project might prevent from opening.

If a theme park comes to Arizona, it needs to stand on its own financial feet. The test any such proposal passes should come from the private sector school of hard work, not the political school of smooth talk.

Byron Schlomach is director of the Goldwater Institute Center for Economic Prosperity

Monday, June 23, 2008

JCCR Meeting Agenda for 6/25/08

JOINT COMMITTEE ON CAPITAL REVIEW
Wednesday, June 25, 2008
8:30 A.M.
House Hearing Room 4

MEETING NOTICE
Call to Order

Approval of Minutes of May 13, 2008.

DIRECTOR'S REPORT (if necessary).

1. ARIZONA DEPT. OF ADMINISTRATION - Review of Tucson Office Complex Renovation.

2. ARIZONA STATE UNIVERSITY - Review of Energy Services and Performance Contract.

3. NORTHERN ARIZONA UNIVERSITY

A. Review of Distance Learning and Arizona Universities Network Facility Bond Project.

B. Review of Recreation Field Expansion and Multipurpose Building.

The Chairman reserves the right to set the order of the agenda.
6/19/08
sls

People with disabilities may request accommodations such as interpreters, alternative formats, or assistance with physical accessibility. Requests for accommodations must be made with 72 hours prior notice. If you require accommodations, please contact the JLBC Office at (602) 926-5491.

House Schedule & The Plan of Action

Tomorrow the House goes to the floor at 10:00 to third read one bill and to vote on one final passage. Click the title of the post for additional information.

Wednesday I have a JCCR committee meeting at 8:30 in the morning (I will post a link to the agenda ~ state university projects to be discussed) and then 9:30 we have an Appropriations Committee meeting. The agenda of the committee will be compiled of all budget-related bills. The bills will be discussed and voted on in committee. With their passage, the House Democrats and Republicans will separately caucus the bills. After the bills are caucused, the bills will be COW'd and third read. All of this is expected to happen on this Wednesday. Tune in to the action via Capitol TV or watch via the Internet.

As usual, I will answer any of your questions on the process or the budget proposal, just email me at tgroe@azleg.gov. I look forward to hearing from you!

Hold on to Your Wallet!

UPDATE: Alright, I've had a bit of ice cream to soothe my nerves and refocus my perspective. I thought I would take a moment to mention that I am thankful we have not only one budget proposal (the House) but two, as the Senate just announced their bipartisan budget plan. As much as I might detest both of these measures I just wanted to acknowledge that at least there is a plan. And that ladies and gentlemen, is what you call an attitude adjustment!

A budget solution that robs from cities, counties, almost every designated fund, and still consists of more debt (borrowing) without real reform, without trimming any of the government waste and without addressing the $2.2 BILLION DOLLAR SHORTFALL and then the news that Jerry Weiers stink'n OHV bill passed out of the Senate today...can the day get any worse? Oy vay! What next...the passage of the GOP Economic Stimulus package? Tell me it isn't so!

Sunday, June 22, 2008

AZ Free Enterprise Club Press Release

UPDATE: As of today, June 24th, it looks like this proposal is dead in its tracks! The commerce committee hearing scheduled to hear the bill has been cancelled! Glory be...there is still a bit of reason left among my colleagues.

Arizona Legislature Should Reject Stimulus Package
Christmas Tree of goodies will hurt, not help, Arizona economy


Phoenix, AZ – The Arizona Free Enterprise Club, a pro-economic growth advocacy group, today announced its opposition to an “economic stimulus” package that reportedly consists of subsidies for a downtown entertainment district, solar production, and research and development. The package also intends to grant Pima County the authority to hold an election seeking a sales tax increase on restaurants, hotels and rental cars to enhance Tucson-area spring training facilities. The package, the details of which have not been released, is being formulated by a handful of special interest groups and lobbyists.

“There is no way a package larded down with this much pork should ever get off the ground,” said Steve Voeller, president of the Club. “not only is this not economic stimulus, it’s not even decent public policy. Tax credits and exemptions are exactly like spending items. Proponents of this package want to pay people for these activities. Do they need to be reminded that the state faces a $2.2 billion budget deficit?”

The plan does not address the looming statewide property tax increase set to occur next year.

“The state faces a $250 million tax hike next year since the governor vetoed a bill to prevent it from occurring. The notion that you can bestow tax subsidies on a few developers and companies and think you’re going to turn around the economy, all while ignoring a massive tax hike on millions of Arizona taxpayers, is sadly absurd. You want to create jobs? Let’s start by not raising taxes.”

In addition to the veto of the property tax repeal, the governor and some business leaders are pushing for a 17.8 percent statewide sales tax rate increase for roads, trains, light rail, open space, non-profit groups, and other endeavors.

“The policies coming out of the state legislature should scare everybody concerned about the status of the state’s economy.”

Legislature Approves Major CPS Reforms

(State Capitol, Phoenix) – Spurred by the tragic and unnecessary deaths of three Tucson children, Reps. Jonathan Paton and Kirk Adams set out to reform Child Protective Services.

Their efforts culminated in the passage of four bills Thursday. HB2453, HB2454, HB2455 and HB2159 are all on their way to the governor for her signature.

Most significant of the package, HB2454 opens the CPS records of those children who are killed or seriously injured. Currently, the public must sue CPS to obtain the records, a costly and sometimes prohibitive process.

Another important reform affects all state employees. HB2159 opens all disciplinary records of state employees. This reform came about because some CPS workers who had been disciplined escaped public scrutiny because the records were not available.

HB2453 opens some court proceedings to add another layer of accountability.

“These reforms are meant to do one thing: Protect children,” Paton, R-Tucson, said. “Only by shining the light on CPS can we hope to prevent further deaths.”

“The action, and sometimes the inaction, of CPS raised a lot of concerns and the agency only made changes after their failures came to light,” Adams said. “It clearly shows the more people know about CPS the safer our children will be.”

The reforms came about after the deaths of three children in the Tucson area even after contact with CPS. The bills are supported by open government advocates, the media and child advocacy groups.

Big Boondoggle Bill of 2008

The latest attempt to garner good press at the expense of good public policy, otherwise known as the Big Boondoggle Bill of 2008 is now posted on the AZLEG website in the form of an 81-page amendment to Senate Bill 1433. If you do not have the fortitude to read the entire amendment, I will touch on the 4 main ideas:

Solar Tax Credits - This would offer incentives for qualifying new businesses that manufacture solar energy components in Arizona.
Research and Development Tax Credits - This would enhance current corporate and income tax credits for new research and development projects.
Cactus League Baseball - This would allow Pima County voters to approve targeted taxes, proposed by a private Tucson-area group, to pay for improvements to new and existing Cactus League ballpark facilities, and is targeted at keeping teams in their southern Arizona location.
Urban Redevelopment Project - This would establish new entertainment districts, targeted at urban downtown areas.

Though these proposals may sound innocuous, the devil is in the details. The list of organizations opposed to this measure is growing and now includes:

Arizona Federation of Taxpayers

The Arizona Free Enterprise Club

Arizona Restaurant Association

New Law ~ SB 1238: Outdoor fires;Counties

The Governor recently signed the late Senator Jake Flake's bill to assist in the prevention of damaging and dangerous wildfires.

SB 1238 is an measure that expands the authority of counties to adopt and enforce ordinances prohibiting open fires and campfires in designated unincorporated areas when a determination of emergency is issued by the county emergency management officer and the Board of Supervisors deem it necessary to protect public health and safety on those lands.

Friday, June 20, 2008

Motor Home Meltdown

Okay, so I usually love living in the motorhome but right now it is 112 degrees outside and for some reason, I have lost all power to the RV. With Frank in California taking care of his mother, I am having my first MOTORHOME MELTDOWN!

More Opposition to the Big Boondoggle Bill of 2008

NOTE: The Cactus League Baseball Proposal is part of the bill that the Arizona Federation of Taxpayers is calling the Big Boondoggle Bill of 2008. Please call Speaker Jim Weier's office at 602-926-4173 and urge him to rethink his support of this measure. If you would prefer to email, his email address is jweiers@azleg.gov.
Re: Cactus League Baseball Proposal

Dear Representative,

On behalf of the Arizona Restaurant Association (ARA) I am writing to respectfully request that you oppose the Cactus League Baseball proposal which would create a 0.75% tax on restaurants, bars, hotels and rental car companies. As you know, this proposal is part of the Jobs Creation Package which is expected to be voted on very soon. As recently as today, there has been discussion on modifying this proposal but keeping the above mentioned entities as the tax revenue source, we oppose this recommendation as well. The ARA understands the importance of preserving and promoting the sport’s industry in Southern Arizona, however, imposing a tax on restaurants, bars, hotels and rental cars is not the answer.

Issues such as these are not taken lightly and as a member-based organization we contacted each of our Southern Arizona members to get their understanding and position on the proposed measure. We found that members are overwhelmingly opposed to any additional tax increase on our industry including a tax for Cactus League Baseball. Our members are in part against this measure because the revenue generated from sports in Southern Arizona is beneficial to all businesses and forcing a select few to shoulder the burden is not a fair or palatable solution to this problem.

Furthermore, restaurants generate 24% of their revenue from tourism while hotels and rental cars generate 2.5 to 3 times that amount from tourism…clearly the paradigm is different for restaurants in this case. We want to see baseball training thrive in Southern Arizona. However, we cannot support a measure that unfairly taxes an industry and thus forces a select few to pay for a measure that would benefit all Southern Arizona businesses.

On behalf of the Arizona Restaurant Association, I thank you for your consideration and urge you to oppose the Cactus League Baseball component of the Jobs Creation Package. As always, please feel free to contact me with any questions or comments.

Sincerely,

Steve Chucri
President and CEO
Arizona Restaurant Association

SpeakOut Radio Interview

Hey Guys! For those of you that missed it, my radio interview with Paul LaVoie went extremely well! He definitely asked some poignant questions and I look forward to further opportunities to be on his show.

Mark your calendars for my next appearance on SPEAKOUT ~ Friday, July 18th from 11:00 to noon!

* I have a standing appearance on the show scheduled for the third Friday of every month.

ROSE GROE

My precious Mother-in-Law Rose fell last night and broke her hip so Frank left for California to be by her side. I am still in Phoenix since the Legislature was suppose to work today though that did not come to fruition. Please pray for Rose, that she heals quickly and without complications.

SpeakOut Radio Interview Today

I am on KNTR radio today between 11:oo and noon with new SpeakOut radio host Paul LaVoie. This will be my first interview with Mr. LaVoie so tune in to hear us get to know each other as I answer some of his very pointed questions. Turn the dial to 980 AM or 97.1 FM or listen to the show via the Internet at www.kntram.com.

Big Boondoggle Bill of 2008

Dear Arizona Taxpayer:

As I wrote yesterday, the Arizona Senate is considering SB1450, a bill that would award a private company the privilege of issuing $750 million in tax-free bonds, so that it can build a rock music theme park in Eloy.

Proponents of SB1450 have contacted me, arguing that the bill's language removes any legal obligation for taxpayers to bail out the theme park district in the event that it cannot attract enough visitors to pay back the bond creditors.

That appears to be true about the legal obligation, but the legislation does not remove the political obligation to bail out the theme park district. If the Eloy theme park turns out to be a flop, future legislatures will be under intense pressure to bail out the theme park. If they do not, the failure of the district to pay back creditors will hurt Arizona's bond ratings, effectively raising the interest rates for revenue bonds for traditional public-private partnerships, such as road construction projects.

Again, the economic downsides of the Decades Theme Park deal are not nearly as important as the question of principle at stake: Should the government give special taxing privileges to chosen companies? Again, the answer to that question is, "NO." The government should not be in the business of picking winners and losers in the economy.

Further, if we let the Eloy deal pass, it will only encourage the rest of the sharks, who are already pestering the Legislature to pass the Big Boondoggle Bill of 2008, which includes special tax breaks for entertainment districts, ballparks, and other politically-favored industries, all in the name of "economic stimulus." Remember that every dollar given to a favored industry in a tax credit is a dollar that cannot be cut from the taxes of ordinary individuals, families, and businesses. Somehow, that does not seem very stimulating...

For emerging details on the Big Boondoggle Bill of 2008, see this story in the Republic:

http://www.azcentral.com/news/articles/2008/06/18/20080618stimulus0618.html

The tax credit handouts in the Big Boondoggle Bill of 2008 make the Eloy deal look almost innocent. It seems that our politicians just can't break the habit of picking winners and losers in the Arizona economy-no matter how many losers they pick. We will keep you posted on developments related to the Big Boondoggle Bill.

For Liberty,

Tom Jenney
Arizona Director
Americans for Prosperity
(Arizona Federation of Taxpayers)
http://www.aztaxpayers.org/
tjenney@afphq.org

Wednesday, June 18, 2008

No Budget In Sight...

No budget in sight...no rumor of a budget at all...no whispers, NO NOTHING!

On a more positive note, the House did vote on and pass the Partial Birth Abortion Ban and the bill is now headed to the Governor.

We are working tomorrow...the first time in about two months that we will be meeting on a Thursday. I expect to hear details of the monstrous "job stimulus" package that bears the name of the Speaker, Andy Tobin and Michelle Reagan. I am relieved to say that this proposal is not being received enthusiastically by my colleagues so perhaps there is another reason for hope.

I am exhausted, a bit emotionally drained and completely embarassed about all of the garbage that makes up these late days of session. I will post more tomorrow but for now, I am turning off the computer and turning in to bed.

G'night.

Tuesday, June 17, 2008

A Message from Arizona Federation of Taxpayers

Dear Arizona Taxpayer:

Right now, members of the Arizona Senate are considering whether or not to award a private company the privilege of issuing $750 million in tax-free bonds, so that it can build a rock music theme park in Eloy.

If the project turns out to be a flop, and if tourists fail to come to Eloy in sufficient numbers, the state could have to pay back creditors, or it could jeopardize its bond rating, making it more expensive in the future to borrow money for traditional projects, such as road construction.

But the economic downsides of the Decades Theme Park deal are not nearly as important as the question of principle at stake: whether or not the government should not be handing out special privileges to chosen companies. The answer to that question is clearly, “NO.” The government should not be in the business of picking winners and losers in business.

PLEASE CONTACT YOUR STATE SENATOR, AND ENCOURAGE HIM OR HER TO OPPOSE THIS BILL. WE ARE ESPECIALLY CONCERNED ABOUT ANY SENATOR WHO VOTED YES (“Y”) ON THE EARLIER VERSION OF THE BILL:
http://www.azleg.gov/FormatDocument.asp?inDoc=/legtext/48leg/2r/bills/sb1450.sthird.1.asp

In response to a query from the Senate, AFP Arizona hereby announces that the bill, SB1450, will be included in our 2008 Legislative Scorecard. Given the potential yearly fiscal impact, and the importance of the principle at stake, the bill will be a 50-point bill. In last year’s scorecard, that would have been just under 5 percent of the total, but there are fewer bills this year, so SB1450 could weigh as much as 10 percent of the overall score.

For more information about why SB1450 is a bad bill, see the pieces from the Goldwater Institute and the AZ Free Enterprise Club (pasted below).

For Liberty,

Tom Jenney
Arizona Director
Americans for Prosperity
(Arizona Federation of Taxpayers)
www.aztaxpayers.org
tjenney@afphq.org
(602) 478-0146


Springtime for Decades: Eloy theme park bill bad for Arizona
By Byron Schlomach, Ph.D., director of the Goldwater Institute Center for Economic Prosperity.

In the Mel Brooks play, The Producers, a planned swindle would only succeed if a joke of a Broadway play was a monumental flop. The play, Springtime for Hitler, ended up being a success against all reason. Right now the Arizona legislature is planning a similar heist: the Decades Music Theme Park.

The Arizona legislature has proposed a law to create a “special attraction district” in Eloy that would only include the Decades park and give it quasi-governmental status. Why is this proposed law a scam? In essence, the law is designed to subsidize private companies that cannot raise the money or otherwise get financing without special government treatment. In this case, the special privilege is the ability to issue government bonds. The bill now being considered would allow the owners of Decades to issue $750 million in government bonds.

People who buy government bonds accept less interest than they would otherwise for two reasons. First, they don’t have to pay federal income tax on the interest earned. Second, government bonds are backed by the ability of a government entity to tax its citizens, so they are generally safe investments.

In the case of the proposed theme park, the bonds will be financed by sales taxes paid only by park visitors. That means these bonds are really every bit as speculative as corporate bonds, because they are entirely dependent on the ability of a company to attract customers.

There are very likely to be good-faith buyers of these special attraction district bonds who will have every reason to think the bonds are as safe as school district bonds. Then, if the park doesn’t work out and goes out of business, widows, retirees, and institutional investors could find their government-grade bonds worth pennies on the dollar at best. If this unfortunate scenario were to happen, disappointed investors would likely sue those responsible, including the State of Arizona.

Even if there’s no lawsuit, Arizona’s bond ratings will suffer if the park goes belly-up. Future bond buyers, with no idea if they’re really buying speculative corporate bonds or genuine government bonds, might avoid buying Arizona bonds all together.

Not only could Arizonans lose financially if policymakers ultimately approve this highly speculative project, we could lose in other ways. The private sector sets a pretty high bar for potential enterprises to pass in order to get funding. That doesn’t mean there is always success when enterprises are privately funded, but it does mean the winners often win big. Who knows what kind of big winner this government-backed project might prevent from opening.

If a theme park comes to Arizona, it needs to stand on its own financial feet. The test any such proposal passes should come from the private sector school of hard work, not the political school of smooth talking.

Decades Music Theme Park Bill Strikes the Wrong Chord~
exempting income and property taxes is corporate and investor welfare
Phoenix, AZ – The Arizona Free Enterprise Club, a pro-economic growth advocacy group, today announced its opposition to SB1450, the Regional Attraction District, otherwise known as the Decades Music Theme Park. The legislation exempts for-profit companies within the district from paying income and property taxes.

During testimony on the bill in Senate Commerce, proponents claimed that without this legislation, the area in Eloy where the park is proposed would not be an internationally recognized music theme park. Proponents of the bill also stated that some of the private investment was contingent on the bill.

“What gets built in Eloy should not be determined by legislating corporate subsidies being pushed by those who stand to benefit financially,” said Steve Voeller, president of the Club. “When corporate welfare is needed so that the private investment pays off, you could say the role of government has been exceeded.”

The legislation exempts businesses who locate with the district from paying property or income taxes. The park’s supporters claim that because they are required to raise $100 million in private investment before the bonds can be issued, the state’s investment is a sound one.
“If building a music theme park in Eloy makes economic sense, so much so that the first $100 million can be raised privately, then the project should be financed like other large projects and the owners should pay taxes like everybody else.”

House to Vote on Partial Birth Abortion Ban

UPDATE: No vote on the partial birth abortion ban today as we do not have the votes to pass the bill. Konopnicki and Brown are not on the floor and are needed for the bill's passage.

Today we head to the floor at 10:00 to vote on three bills including the Partial Birth Abortion ban that passed out of the Senate yesterday. I expect the bill to pass (it passed once in the House already and was changed only slightly in the Senate) and get transmitted to the Governor. Click on the title of this post to the details of the bill.

Monday, June 16, 2008

Sheriff Sheahan Endorses...

NO ONE.

I heard last week that Mohave County Sheriff Tom Sheahan endorsed a candidate for State Representative, District III. I thought this a bit strange as the Sheriff has a campaign of his own to pursue and it just doesn't make sense for him to offer endorsements in this race while he is running for re-election.

What did I do when I heard this "news"? Well, I called and bluntly asked him if this bit of information was true. NOPE. UNTRUE.

I hope that when you hear "news" that doesn't sit well with you, that you will call me first thing to find out if indeed it is fact or fiction.

Thanks for your time!

Catching Up...and Sounding Off!

Today at the House we voted on the two bills mentioned below; both passed without pause. We also caucused two bills that will be COW'd tomorrow. I will link to those in a later post.

Russell Pearce had one of his bills die in the Senate...I am unsure what the subject but I think it had something to do with driver's licenses. You can find the information on the Senate website, if interested. The bill went down pretty hard though, with only 5 or 6 yes votes. Russell swears that it is a good bill...I think there might have been a problem with a way the bill was written, from what I am hearing.

Also in the Senate, Conservative Republican GOP activist Sylvia Allen was sworn in as the District 5 replacement for the late Jake Flake. I visited the Senate Floor briefly with in order to meet her and offer my encouragement as she makes the transition.

Tomorrow I have a House and Senate Joint Appropriations meeting that begins at 1:30 pm. You can watch this meeting live via the Internet.

http://azleg.granicus.com/MediaPlayer.php?view_id=&clip_id=&publish_id=13&event_id=

According to my colleague and House Appropriations Chairman Representative Pearce, he has asked various state agency directors to appear before the committee and testify on what impact government shut down would have on their agency. This is an ever apparent reality as we have 15 days to develop a budget proposal with no acceptable, responsible solution in sight. Not one of my colleagues in the House has an update of any progress though there is rumor that leadership, excluding the Approps Chairmen, are meeting with the Democrats.

How is that for a slap in the face, not only to rank and file republican lawmakers but to the people of Arizona?

Republicans are the majority in both the House and the Senate and their elected leadership has abandon them and are now pandering to the Dems!!!! I believe their plan is to put to a vote the "best" democrat budget they can negotiate. If this is indeed their plan we could have preserved a few precious individual liberties and avoided needless new legislation if they had just run the Governor's budget up the board in the first place.

As usual, I will keep attempt to keep you abreast of the news as it develops.

At your service,
RepGroe

Greater Phoenix Economic Council asks CEOs to Push State for Solar Incentives

...sounds great, huh? As usual, the devil is in the details! The whispering has started and I hear that this is something that the legislature is going to be asked to entertain before session ends in two weeks.

House Third Read for Today

SB1110-->funds; elimination; transfer

SB1235-->state expenditures; searchable database; transparency

Click on the bill number for further information on the proposals.

Catching Up ~ Abeit Briefly




Back and ready to blog!
I will be posting new legislative happenings later in the day...we go to the floor at 11:00 today to entertain a few bills and I plan to get the scoop on the budget proposal. I will share all I learn.
In the meantime, here are a few pictures from my weekend trip to Chattanooga, Tennessee where my youngest brother was married.

Friday, June 13, 2008

Traveling to Tennessee

I am on a brief jaunt to Chattanooga, Tennessee to celebrate my youngest brother's wedding tomorrow so posting will be extremely light until the start of the new work week. Tennessee is still humid, if anyone is wondering but being surrounded by family is keeping my mind off the sticky weather.

Click the title of this post to read an interesting article that highlights the difference in the definition of the words "endorsing" and "supporting".

Monday, June 9, 2008

In Leiu of Flowers

UPDATE: Senator Flake's Memorial service in Phoenix will be held Wednesday, June 11, 2008 at 1:30 pm at the LDS Stake on Missouri.

Please spred the word out that in leiu of flowers for Senator Jake Flake, his family would like people to send contributions to The Snowflake Academy Foundation. Contact information is below.

The Snowflake Academy Foundation
30 W. 2nd South
Snowflake, Arizona 85937
http://www.snowflakeacademy.com/

Arizona Agriculture Furious

"Arizona farmers are angry and considering legal action against their state government for pilfering grower-paid assessment dollars that support research and promotional efforts to balance the state budget.

The Arizona legislature this spring took more than $550,000 in agricultural funds to help offset a $1.2 billion budget shortfall. Included in that total was $161,400 debited from three agricultural councils funded by grower assessments for commodity research and other programs.

The three counts of larceny include $80,000 from the Arizona Grain Research and Promotion Council (AGRPC), $41,400 from the Arizona Iceberg Lettuce Research Council, and $40,000 from the Arizona Citrus Research Council. The councils operate under the auspices of the Arizona Department of Agriculture (ADA) which collects and banks funds from growers to support the work of the three councils.

“This is not taxpayer money,” said David Sharp, AGRPC chairman and a Roll, Ariz. wheat grower. “This is money raised by farmers. Farmers have entrusted the money to council leaders to fund research and promotion. The state of Arizona is to hold the dollars but not spend them.”"

Google Calendar ~ Upcoming Events

Dear Readers,

As the campaign season kicks into gear, please remember to access my upcoming event calendar via my website, http://www.trishgroe.com/.

If you know of an event not listed on my calendar or would like me to attend an event, please send me an email at tgroe@groe.org and I will do my best to add it to my schedule.

I look forward to seeing you as session comes to a close.

Trish Groe

Today's Calendar

Today's final passage is comprised of several bills that were to be voted on last week but for some reason, unknown to me, were not. Nothing controversial on the agenda for today. With Senator Flake's passing, I am sure that House and Senate activities will be curtailed.

There are no new announcements about services honoring Senator Flake; the general thought is that there will be a service in Snowflake on Saturday. There will probably be a service at the Capitol and as soon as I have any new information I will post it here.

In your service,

RepGroe

Sunday, June 8, 2008

Senator Flake's Obituary

From the Arizona Republic website you can view and sign a guestbook in honor of Senator Jake Flake.

Senator Jake Flake 1935-2008

Senator Jake Flake passed away unexpectedly this morning after sustaining injuries from an early morning fall. My prayers are with his wife, Mary Louise and their family.

Senator Flake had been absent from the Capitol in past days after being bucked off his horse, though he planned to return to work in time to vote on the budget.

Senator Flake, an old cowboy, had an easy-going, peaceful way about him and although passionate, especially about his district, water, agriculture, and cattle, he was slow to anger. A man of few words, he spoke quietly, without hurry. Those about him may not have always agreed with what he had to say, but still they gave respect to the man who said them.

Senator Flake will be missed and his absence will be felt strongly at the state legislature.

Battle on for Legislative Majority

NOTE: This is a brief exerpt from a AZCapitol Times article interview with Emily Bittner, Arizona Democrat spokesperson about their mission to gain control of the state legislature with victories in the upcoming election. This is a call to arms...every Republican should be doing their part to register Republicans to vote!

"Democrats, however, believe they can capitalize on gains made in 2006 and become the majority party in the House.
“We only have to pick up four (seats),” Bittner said.
District 3, which encompasses the state’s western border, is among the targets for Democrats. Pamela Durbin from Lake Havasu City is the only Democrat candidate in the district. She and the party hope to unseat conservative Republican Rep. Trish Groe, who was arrested and convicted last year of driving drunk."

Saturday, June 7, 2008

More HOBY Pictures...






HOBY Highschool Students at the Arizona Legislature






Yesterday I hosted a group of Arizona highschool students at the legislature, assisting them in some role-playing activities in order to familiarize them with the legislative process. I will blog more about the day in a later post but want to give you a glimps of the day through these pictures.

Friday, June 6, 2008

Lake Havasu Republican Forum

Don Bergen, former member of the City's blue ribbon panel on the zoning of Lake Havasu City's channel area, will be addressing the Republican Forum this Saturday at the Quality Inn.

The Forum meets the first Saturday of each month at 9:30 AM for coffee and invites those interested in issues specific to Lake Havasu City to attend the meeting which commences at 10:00 AM. No reservations are necessary. For further information call 928-680-0609.

Thursday, June 5, 2008

A Dark Day Indeed

Yesterday I purchased my first pair of reading glasses. Ugh! At least these offerings from COSTCO have a bit of sparkle to them.

Partisan Candidate List

From the Secretary of State's website, this link will allow you to view a complete list of candidates for the Arizona Legislature along with how many signatures they filed and a telephone number for their campaign.

Again, by God's great grace and your valuable assistance, I filed 817 signatures, which Frank tells me, is more than I have ever filed! Thank you!!!!

Wednesday, June 4, 2008

BAMN - Coalition to Defend Affirmative Action, Integration & Immigrant Rights, and Fight for Equality By Any Means Necessary

Take a look at the website of this organization BAMN (By Any Means Necessary) that has come to Arizona to fight for financial aid for illegals, affirmative action, and other dubious measures. Their website states they are trying to make California a Sanctuary State. Is Arizona next on their list? Let this be a wake-up call to motivate you into action to register and recruit Republican voters and Precinct Committeemen and women who will fight against these type shenanigans!

Final Passage Calendar for June 4,2008

HB2286 taxing jurisdiction; judgment; repayment

HB2371 critical infrastructure; pipelines; review

HB2633 children school activities; noninterference

HB2634 concealed weapons permit; felony convictions

Four bills on the calendar today...should finish voting on these about 15 minutes after we start, then we are off again until Monday. House Leadership is negotiating the budget with the Dems now. Rank and file Republicans could not be more dissatisfied with the lack of leadership. It is a sad state of affairs.

Tuesday, June 3, 2008

Price Rises to Secure Names for Ballot Petitions

Thought that I would provide another perspective on signature gathering by linking this story. Since the legislative sessions seem to get longer each year I wonder if we are going to see this type industry pop up in our district? I have considered hiring folks to assist in the signature gathering process though it has not come to that yet. I am hoping to succeed in getting the amount of signatures needed (450 minimum) with the help of family and friends. Let me know if you want to join Team Groe and be a part of this process.

2008 Groe Campaign Endorsements

As campaign season begins my 2008 endorsements are beginning to come in, though many will not be made until this legislative session has ended. Last week, though, Sheriff Joe Arpaio, "America's Toughest Sheriff" endorsed me, which is tremendously exciting. Also supporting my re-election are the following legislators. The list is not complete but I should have the support of the majority of my colleagues both in the House and Senate by the end of the week.

Representatives
Kirk Adams
Rich Crandall
Doug Clark
Judy Burges
Russell Pearce
Bob Stump
Andy Biggs
Eddie Farnsworth
Steve Yarbrough
John Kavanaugh
Andy Tobin
Rick Murphy

Senators
Ron Gould
Chuck Gray
Pamela Gorman
Jim Waring
Thayer Verschoor
Linda Gray
Karen Johnson
John Huppenthal
Robert Blendu
Jack Harper


NOTE: If you would like to add your name to this list, please use the comment section to do so. I will be updating the list as the season progresses.

Cap and Spend - WSJ.com

"As the Senate opens debate on its mammoth carbon regulation program this week, the phrase of the hour is 'cap and trade.' This sounds innocuous enough. But anyone who looks at the legislative details will quickly see that a better description is cap and spend. This is easily the largest income redistribution scheme since the income tax."

Read more of this article by clicking the title of this post. For more information about the proposed legislation and the "Cap and Trade" practice, see RepGroe's Reading Room for additional articles.

Sunday, June 1, 2008

IT IS FINISHED

By God’s abundant grace & your selfless effort, I currently have over 800 names ~ well enough to put my name on the ballot! Frank & I will turn them over to the Secretary of State’s Office on Tuesday, before the Wednesday deadline. I wish you all could be there that day…what a glorious picture that would be!

Senator Gould & I are headed back to Phoenix; both the House & the Senate go to floor tomorrow at 11:00. We have few bills still under consideration (see my blog for a tomorrow’s list) but the main focus now at the Arizona Legislature is addressing the $2.2 Billion dollar shortfall. Your prayers on this are needed as we fight for sound fiscal stewardship of your hard-earned money. With only one month left we must forge a solution to address the crisis, if we do not, on July 1st government shuts down. Pray that lawmakers put policy over politics & that “having to be right” does not get in the way of doing what is right.

Whatever the outcome of the budget process, Frank & I are looking forward to the end of session & the opportunity to spend time with friends & supporters. We are so grateful to all who continue to show mercy, love, & forgiveness. Each of you have touched us in ways that will forever impact our lives & we strive to do the same to all that we meet. It is our hope that during this time away from Phoenix, our friendships will continue to blossom…it is hard to grow roots while moving about so much!

I have a kitchen of dishes calling so I must end this note but I want to mention that as campaign season gears up, so does the rumor mill. Please feel free to call me if you hear something that doesn’t sound right & encourage others to do the same. I welcome the opportunity to address the gossip mills instead of facing unrestrained speculation.

With many thanks,
Trish Groe

California Marriage Decision Shows Constitutional Amendments Are Only Protection from Activist Courts

"The California Supreme Court’s decision Thursday to grant same-sex couples a fundamental right to marriage disregards voters’ 61 percent decision in favor of marriage as one man and one woman, a domestic partnership law already granting same-sex couples the benefits and privileges of marriage, and centuries of tradition and precedent–corroborated more recently by social science–that have set the union of one man and one woman apart from all other household forms"

NOTE: Please email Senate President Tim Bee and respectfully urge him to bring the marriage amendment measure to the vote of the Senate. The proposal is dead in the water without his action. Senator Bee can be reached at TBee@azleg.gov

Saturday, May 31, 2008

How Arizona Will Be Affected by the Lieberman-Warner Global Climate Change Legislation

"...The Lieberman-Warner legislation promises extraordinary perils for the American economy, should it become law... Implementing S. 2191 would be costly in Arizona, even given the most generous assumptions."

Read this short article about how the Lieberman-Warner legislation would effect Arizona, in particular.

LOOKING BACK: One Year Ago

NOTE: I was going through my archived emails and I found this email that I sent out one year ago tomorrow so I thought I would post it as a reminder of what I have been through and how far I have come. Praise God!!!

Good Morning to all!

(Writing to you from Lake Havasu…great to be home now more than in PHX as budget talks are winding down and session is almost over. Make a note that we can be reached more easily here in LHC for the remainder of the year.)

Just a quick note to let you know how much I love you guys and am very grateful for your prayers, cards, and emails with sweet words of encouragement. Frank and I are so thankful God has surrounded us with family and friends like you that are faithful and forgiving, focused on the future. By the grace of God, with your support I recently received my 60 day chip from AA and have just over 2 months sober!

I can honestly say that I am thankful that my struggles with alcohol are known to all for the publicity motivated me to seek help. Entering rehab at Calvary Center in Phoenix was one of the best decisions I have ever made. They offer a faith-based program for recovery from alcohol, drugs, and gambling addictions in addition to a more traditional tract. I expected the majority of people in rehab would be from the Phoenix area. Was I surprised to find out that it was exactly the opposite…people from all over the country made up the majority of the clients! Apparently Calvary Center has an outstanding reputation (including being praised on the Dr. Phil show) and costs only a fraction of the price of other 30 day programs. God is working there…what a wonderful place!

Click on this link http://wwwdev.psysolutions.com/facilities/calvary/site/ for more information.

I am sure that many of you are curious about my legal situation and so I will give you the straight dirt as opposed to the half-baked stuff you find when you “Google” my name. The truth is that I am in legal limbo. No charges have been filed as of yet, no prosecutor has this case, no court assigned, that is besides the court of public opinion. Some folks think that because of this lack of action that I am getting special treatment. I can tell you this, I would rather the process commence ASAP. I made a horrid decision to drink and drive and am not attempting to escape prosecution, not at all. The actions of the La Paz county prosecutor have caused the delay; he created a conflict of interest when he emailed me shortly after my arrest and now outside authorities are involved. Though I wish this consequence of my poor judgment behind me, I know for certain that my timing is no match for God’s timing and that my future is in His hands. It is unfathomable but Frank and I have great peace despite the unknown and that only comes from Him.

"Be anxious for nothing, but in everything by prayer and supplication, with thanksgiving, let your requests be made known to God; and the peace of God, which surpasses all understanding, will guard your hearts and minds through Christ Jesus" (Phil. 4:6-7).

From the Big Book of Alcoholics Anonymous, pp 83-84
"We are going to know a new freedom and a new happiness. We will not forget the past nor wish to shut the door on it. We will comprehend the word serenity and we will know peace. No matter how far down the scale we have gone, we will see how our experience can benefit others. That feeling of uselessness and self-pity will disappear. We will lose interest in selfish things and gain interest in our fellows. Self-seeking will slip away. Our whole attitude and out-look upon life will change. Fear of people and of economic insecurity will leave us. We will intuitively know how to handle situations which used to baffle us. We will suddenly realize that God is doing for us what we could not do for ourselves".

Again, thank you for your love and forgiveness,

Trish

AZ Citizens Defense League

This is a wonderful website with so much to offer, but the best feature offered, in my opinion is the past that categorizes 2008 proposed legislation along with the bill summary and status. WOW...though I do not agree with the League's position on a couple pieces of legislation mentioned, this is quite a useful tool for those trying to stay "in the know".

A Woman's Right to Light 

I found this petition online when surfing the Internet, attempting to stay abreast of all things Arizona. The proposal is called "A Woman's Right to Light" and no, it has nothing to do with smoking. The verbiage of the measure is as follows:

"We, the undersigned, call on the Arizona Legislature to pass a law that states that a woman has the right to drive to a lighted, populated area when being stopped by law enforcement at night, for her safety and that of the officer."

The woman would be required to signal the officer by turning on her hazard lights and reducing her speed to a specified limit to communicate her intention to stop in a lighted area.

QUESTION: Is this necessary?

Found on a Phoenix-based Real Estate Blog

"Here is the scam. The Arizona Legislature is mandating that the state’s power companies generate 15% of their power from renewable sources by 2025 (never mind for the moment that this will never happen once the consumer sees the price for being green). Now one of the power companies already generates 3% of its power from the hydro system we discussed and the environmental lobby feels like that gives it a head start on meeting its goal. Ergo, hydropower should be defined as a non-renewable resource. Go figure. You do the right thing and they don’t even say thanks. They just pile on a bit more.
I don’t want to get into a debate or write a rant about the whole global warming mania but this sort of logic shows how much this whole issue is about politics and power and how little it is about truly doing something about CO2...Whether or not a small utility in Arizona needs to up its commitment to renewable energy sources by 3% because it already gets 3% of its power from renewables will not make a bit of difference to the planet’s atmosphere. It will contribute mightily to the sense of cynicism the larger debate in engendering."

Final Passage Calendar for Monday, June 2, 2008

HB2064-->e-learning task force

HB2105-->tax refund check-off boxes

HB2470-->board of behavior analysts

HB2622-->exemption; preconstruction services

NOTE: "FINAL PASSAGE" for a House Bill means that a House Bill made it all the way through the process in the House and was sent to the Senate and got "AMENDED" or changed in the Senate. When a bill is amended in the Senate, the bill must come back to the House for a vote before the entire body. If the bill as amended passes then the bill is transmitted to the Governor. Senate bills amended in the House also go through a similar process.

Third Read Calendar for Monday, June 2, 2008

SB1117-->hospitals; single group licenses

SB1128->omnibus; occupational therapy board
(Usually, I am a "NO" on omnibus bills as inveriably they have a bunch of junk in them to make them paletable to all. In reality, they should probably be split into several different bills. That way, I can support the good proposals and vote against the bad. I cannot understand why members insist on running OMNIBUS bills.)

SB1153-->improvised explosive device; definition

SB1291-->towing companies; release of vehicles

SB1337-->centennial funding; capitol renovation
(Unless I change my mind, which is very doubtful, I will be a "NO" on this bill. With revenue shortfalls continuing to loom in the future and unrestrained spending both past and present...as much as we need a new capitol...I just believe this falls short in the list of priorities.)

AFT 2007 Legislative Ranking

Finally made it to CHAMPION OF THE TAXPAYER!

I would love to be recognized as HERO but it is a tough year for that, budget-wise. That is not going to stop me from trying though.

ATF 2006 Legislative Ranking

With the election coming up, I thought things like this chart of rankings from the Arizona Federation of Taxypayers might help you rate your legislators.

AFT 2005 Legislative Rankings

My first year in office, greener than green, and I still manage to rank as "FRIEND OF THE TAXPAYER". Click the title of the post to see how other legislators rank.

Goldwater Institute Legislators Report Card

This link will take you to 2005-2007 Scores for Gould, McLain, and myself. 2008 Report Cards will be out early fall, I believe.

State Tax Revenue Falling Short

This East Valley Tribune article provides a good synopsis our current fiscal situation and some potential short-term solutions. That the shortfall is approximately $2.2 Billion dollars comes as no surprize to me...the $1.8 Billion Dollar figure is just a figure that was agreed upon by the Governor and leadership earlier this year.

Friday, May 30, 2008

National Do Not Call Registry 

NOTE: Since Frank and I have been spending more time at home, we have noticed an increase in telemarketing calls. I thought it time to reregister our numbers on the National Do Not Call Registry. Any new numbers registered will not expire due to federal legislation that went into effect in February of this year.

From the website:

"The National Do Not Call Registry gives you a choice about whether to receive telemarketing calls at home. Most telemarketers should not call your number once it has been on the registry for 31 days. If they do, you can file a complaint at this Website. You can register your home or mobile phone for free."

Mercy and Grace ~ Another Great Example of Good in this World


KIRKLAND, Wash. -- "It will take thousands of dollars and several surgeries to reconstruct a local man's face. James O'Neal compares himself to the Elephant Man. A genetic disease left his face horribly disfigured, but that could soon change. O'Neal knows his deformity shocks people. He knows others with the same genetic disorder would rather hide than work, but for 7 years James has proudly worked the registers at the Kingsgate Safeway..."


This is a must-read inspirational true story of a brave man, determined woman and the power of Mercy and Grace! Kudos to Safeway and Kinkos for taking part in this grassroots effort to make a difference in a life of one in need.!



A Message From State Representative Russell Pearce

Avoiding Arizona’s Fiscal Train Wreck
By Bob Burns and Russell Pearce

Arizona has the largest budget deficit in the country, and the growing gap between state tax revenues and projected spending will soon force the state government into a gigantic fiscal train wreck.

For Fiscal Year 2009, which begins on July 1, Gov. Janet Napolitano and the liberal majority in the Legislature want to spend $11.4 billion. The amount of tax revenue available to spend is $9.4 billion. That leaves a gap of $2.0 billion.

The Governor has proposed a variety of approaches to the deficit, including a $500 million increase in unconstitutional debt, a $90 million increase in traffic-camera fines, and a $60 million shift in prison burdens to Arizona counties.

Combined with a $300 million K-12 rollover and a $200 million payment from the Rainy Day Fund, her approaches would reduce the deficit by roughly $1.2 billion—still nearly a billion dollars short of closing the gap. In the real world, there are only three possible solutions to the deficit:

1) Raise taxes.
This is the worst option. Arizona families and businesses already labor under heavy tax burdens, and a recession is a bad time to make those burdens worse. Even so, the Governor has already proposed increasing state property taxes by $250 million, and is heading up an effort (the TIME Coalition) to increase state sales taxes by 18 percent.

2) Increase (unconstitutional) debt.
This is another bad option. Increasing debt usually means increasing future taxes. Further, the debt service payments required for the Governor’s proposed debt schemes would soon be over $200 million a year—meaning that the fiscal holes in 2010 and beyond would be that much deeper. To climb out of those holes, Arizona would have to see spectacular economic growth, with revenue growth of over 15 percent per year for three years in a row.

3) Reduce spending.
According to the Governor’s budget office, state government spending now consumes 7.01 percent of the state’s economy—more than it has at any time since 1980. Our proposal is to reducing spending to more reasonable levels.

We have identified more than $1.5 billion in reductions to state agencies. Combined with the K-12 rollover and a payment from the Rainy Day Fund, those reductions would balance the budget without increasing debt or taxes.

Although it sounds like a lot, $1.5 billion in operating budget reductions to the Executive’s request would take us back to the overall spending levels we had in FY 2007—not exactly the end of the world. Government spending as a portion of the state economy would still be larger than it was in FY 2003, before the Governor and Legislature went on a five-year spending binge.

Further, many of the agency reductions we propose could be avoided if a majority in the Legislature would refer to the November ballot a measure (HCR 2044) by which the voters could give the Legislature emergency discretion to temporarily suspend voter-protected spending mandates. As it is, much of the state budget is on autopilot, with automatic spending increases of over $500 million a year.

Sadly, there may not be enough fiscal conservatives in the Legislature to get $1.8 billion in spending reductions to the Governor’s desk, or to refer HCR 2044 to the ballot. That means large increases in unconstitutional debt. And, if the fiscal train really goes off the tracks, it could mean large tax increases and heavy long-term damage to our economy.

As Americans for Prosperity (http://www.aztaxpayers.org/) has explained, the only good card fiscal conservatives hold in this year’s fiscal-policy poker game is the wild card of grassroots taxpayer activism. With strong grassroots pressure on liberal legislators from both parties, the Legislature would be able to bargain harder with the Governor for spending reductions and refer HCR 2044 to the ballot.

To avoid future fiscal train wrecks, voters must enact a firm constitutional spending limit that will keep the government from growing faster than the economy. As the current train wreck shows, the Governor and the liberal majority in the Legislature simply do not have the will to restrain themselves when it comes to spending our tax dollars.

Rep. Russell Pearce (R-Mesa) is the Appropriations Chairman of the Arizona House of Representative, Sen. Bob Burns (R-Peoria) is the Appropriations Chairman of the Arizona Senate.

Thursday, May 29, 2008

Action Alert: Your Help Needed

Firefighter Events is excited to announce that a portion of the ticket sales for their 2008 Yamaha Waverunner raffle will be allocated to assist Seth Kemp, a 10-year-old Lake Havasu City boy diagnosed with a rare form of lymphoma.

The raffle will be done in conjunction with the 8th Annual Firefighter Regatta & Poker Run weekend in Lake Havasu City, AZ. With three prizes offered, the winning ticket(s) will be drawn Saturday June 7th at 9 p.m. in the Nautical Inn Convention Center.

For more information you can contact Mike Kemp at 928-208-5759

Tickets are limited with only 500 available and the winner need NOT be present to win so don't miss out. Proceeds benefit various charities supported by Firefighter Events with the majority of proceeds going to the Firefighter Cancer Support Network.

PICK UP LOCATIONS: Stop by the locations listed below to purchase your ticket:
Walt's Motorsports & Marine 1551 S. Palo Verde- LHC
Car Toyz 512 N. Lake Havasu Ave.- LHC

For a purchase of a ticket you can get three chances of winning:
  • the Wave-runner,
  • a big screen TV (size 32" or bigger, but to be determined later)
  • a trip to Havasu (it will include a hotel stay, dinner and a gas card).
Along with the purchase of a ticket part of the proceeds will go to Jeff and his family as well as supporting the Fire Fighter Cancer Support Group.

14 Months Sober!

Today makes 14 months sober! I thank my God, my husband, my family and friends for their prayers, frustration, fury, and forgiveness. I thank my supporters for their mercy and their grace.

Luke 24:47
It was also written that this message would be proclaimed in the authority of his name to all the nations, beginning in Jerusalem: ‘There is forgiveness of sins for all who repent.’

Catching Up ~ Abeit Briefly




Just a short post for now as I am, as they say in the South, "plum tuckered out". It has been a long day of signature gathering capped off by a farewell party for local radio-show host Steve Cleverly given to him by his friends at the radio station. Steve is an intelligent man, a fair interviewer, and a friend. I will miss his questions, his insight, and point of view. I wish him and his beautiful and classy wife well on their next endeavor.

Between signature gathering stops I did visit Lake Havasu City Hall to see Charlie Cassens and catch him up on all that is happening (and not happening) with proceedings in Phoenix. Charlie is great about passing word to our local officials and then onto Kingman and Bullhead City and I appreciate the job that he performs. I do not know if he gets recognition for his services to the citizens of Lake Havasu though he surely deserves some.

Though I am thankful for the extra day off from the legislature and put it to good use by visiting local business owners, saying hello to sorely missed friends, I do regret the decision of House and Senate Leadership to adjourn until Monday. The adjournment does provide them with time to meet with the Governor's staff and hammer out key budget proposals, though but to me, it does not pass the "smell-test".

On Wednesday I did participate in a small budget meeting held by House leadership Boone and McComish and will post about the discussion that took place in my next post but for now I must return some work-related emails before calling it a day. Tomorrow morning is the sunrise Chamber mixer at La Fiesta on McCulloch Blvd. in Lake Havasu and I plan to be there to welcome the morning with some long-lost friends.

Arrivederci ;)

Court: Polygamist Sect Children Should Be Returned to Parents

"The Third Court of Appeals in Austin ruled last week that the state failed to show that any more than five of the teenage girls were being sexually abused, and had offered no evidence of sexual or physical abuse against the other children."

Mohave Republican Forum Meeting

5:30 Dinner Meeting
Kingman Elk's Club
Tuesday, June 10th

SPEAKERS: Mohave County Sheriff Candidates, Sheriff Tom Sheahan & Challenger Ron Weaver, in addition to Mohave County Attorney Matt Smith, who is seeking re-election.

This gathering, open to the public, includes dinner for $10 per person. For information, please call Shirley at 753-5183, or Donna at 692-9872, or Laurie at 753-5581.

Tuesday, May 27, 2008

Favorite Hillary Clinton You-Tube Video

Awakening: Here We Go


Many of you so faithfully prayed for my sister (and her husband) when she was pregnant with twins, a boy and a girl. Precious little baby boy had some heart problems and was with us only four short months after being born. His beautiful sister just turned two. Praise God! Well, as the title of my brother-in-law's post says it all and I am asking for your faithful prayers again.

UPDATE: My sister and her husband are expecting! Praise God!!!!

Good Friends, Good Times






Senator Gould's oldest son got married a couple weeks ago and these are just some of the beautiful pictures of the wedding held at Calvary Baptist Church here in Lake Havasu. The reception was held at Shugrue's Bridgeview Room which is the same place Frank and I got married. The first photo was taken right outside Shugrue's on their lush lawn, almost under the famous London Bridge. Congratulations to Senator Gould and the entire Gould family!

Monday, May 26, 2008

Subway sandwich contest: Homeschoolers not wanted

"Subway, the sandwich restaurant, wants to hear your child's story – unless he or she is homeschooled."

NO PURCHASE NECESSARY TO ENTER OR WIN. Contest is open only to legal residents of the Untied (sic) States who are currently over the age of 18 and have children who attend elementary, private or parochial schools that serve grades PreK-6. No home schools will be accepted.


Subway's website promotion not only misspells "United" States, but offers the grand prize winner a "Scholastic Gift Bastket (sic) for your home."

Memorial Day

" 'Greater love has no man than this, that he lay down his life for his friends.' "
— John 15:13

Today I give thanks to all of the brave men and women who have fought and those who continue to fight for our country.

Global Warming's New 'Consensus' - Opinion

"The Oregon Institute of Science and Medicine this week announced that 31,072 U.S. scientists signed a petition stating that '… There is no convincing scientific evidence that human release of carbon dioxide, methane or other greenhouse gases is causing, or will cause in the future, catastrophic heating of the Earth’s atmosphere and disruption of the Earth’s climate...'"

Legislators Need Fix for Budget Crisis

PHOENIX (AP) - Four months after starting their 2008 regular session back in January, Arizona legislators will return from the holiday weekend with plenty of work still on their plate.

Topping the to-do list: a new state budget, one that somehow erases $2 billion in red ink projected for what could be a $10 billion spending plan for the 2008-09 fiscal year that begins July 1.

Other topics awaiting action include meaty proposals on guest workers, child protection, gay marriage, drunken driving and a proposed rock 'n' roll theme park.

From the Detriot Free Press

"Janet Napolitano Another tough, Democratic woman in a Republican state, the Arizona governor, 50, won re-election in 2006 with 70% of the vote. Weathered criticism for vetoing tough anti-illegal immigration bills and proactively launched a state discount program for prescription drugs. But this maverick also has described Washington as a place where good ideas go to die."

Sunday, May 25, 2008

FreeRice

FreeRice has two goals:

1 Provide English vocabulary to everyone for free.

2 Help end world hunger by providing rice to hungry people for free.

Say Nice Things About McCain, Earn “Points”

Points for praise...? Wish I'd thought of that, I say to myself with just a touch of snark.

Saturday, May 24, 2008

Woman Wakes After Heart Stopped, Rigor Mortis Set In

Read this FOX NEWS article about a recent medical mystery/miracle involving 59 year old Val Thomas and hear why she states, “I know God has something in store for me, another purpose. I don’t know what it is, but I’m sure he’ll tell me.”

Timothy Lynch on Child Removal on National Review Online

"Protection Racket ~ They didn’t do it for the children"

By Timothy Lynch

Court proceedings are underway in Texas to sort out the controversial seizure of 465 children from the religious sect near Eldorado. A Texas appeals court ruled Thursday that Texas’s Child Protective Services (CPS) failed to justify the seizure of the very young children and teenage boys. The Court said there was simply “no evidence” of immediate danger to them. More legal challenges are expected to follow."

Click the title of this post to view entire article.