Let The Truth Be Told
The real culprit in the current financial crisis is the current administration and the previous democratic controlled Pelosi-Reid congress. Americans need to understand (and of course with no support or help from the press) that the current debt ceiling is only a trigger on the proverbial “gun”—the gun has been the enormous spending boom of the last three years under the complete control of Obama-Pelosi-Reid. What makes matters worse is that two of the these three players and the press lack the political will to reduce spending in years to come—and are simply doing everything in their power to focus away from spending and instead muddying the water with tax revenue promotion. What a crock!
Spending is the problem and in the last three years the Obama-Pelosi-Reid regime has had an extraordinary blowout. We have not seen anything like it since WWII. Nothing even close—and no, not even during Bush’s second term. The chart below gives a graphical depiction of what we are talking about—and this should be place on every news wire day after day after day until folks can understand what the real problem is.
This chart clearly tracks federal outlays as a share of Gross Domestic Product since 1960. The early peaks represent the Johnson “Great Society” spending and then the high of 23.5% with the recession of 1982 coincident with Reagan’s defense buildup.
From this point, spending declined mostly during the 90’s when Clinton radically cut back defense spending to 3% of GDP in 2000 from Reagan’s peak of 6.2% in 1986. During George W Bush’s years spending bounced back up to roughly 20% of GDP, but no more than 20.7% as recently as 2008!
Then the Obama “blowout” in concert with his team in Congress—Pelosi-Reid! The Democrats basically blew up the national balance sheet, lifting federal spending to 25% in 2009, the highest level since 1945. Though the supposed recession ended in 2009, spending in 2010 stayed high at nearly 24%, and this year, 2011, it is heading back toward 25%.
Federal debt held by the public as a share of GDP is another interesting perspective. In 2008, it was 40.3%, then 53.5% in 2009, 62.2% in 2010 and an estimated 72% this year, and is expected to continue rising in the future—driven of course by ObamaCare. These are heights not seen since the Korean War, and many analysts think the US debt will soon hit 90% or 100% of GDP—-think Greece boys and girls!
Now, Congress, under the leadership of Pelosi-Reid was responsible for the way so much spending was wasted, resulting in little job creation and the slowest economic recovery since 1930s. In the US system however, historically, President’s are supposed to be the fiscal watchdogs. When they fail to do so, the Congress if allowed spends like they are on steroids! This is exactly what has happened.
Now, what is all ironic about this is that all of a sudden, President Obama has got religion, and is claiming to now have found “fiscal virtue.” In fact, what he is really doing is using the debt-ceiling debate as a battering ram not to control spending but to command a tax increase! Why is the press not demanding specifics from Obama on the spending side of the equation! He has provided nothing—that is fact and what little he has said about cuts in spending are negligible. The only things that I have heard is his offer for immediate domestic nondefense discretionary cuts of $2BB—a drop in the proverbial bucket!
As for Obama’s proposed entitlement cuts—nada! His vague suggestions are nibbling around the edges of programs that are growing faster than inflation—and ObamaCare—is untouchable despite its $1 trillion in additional spending over the next several years and growing faster even afterwards!
So, now the showdown over the debt limit which has to be raised to accommodate all of “his” spending. And Obama of course instead of taking responsibility for the spending and focusing on reducing it is blaming the Republicans for being irresponsible because they won’t raise taxes in return for modest future spending restraints. And people are falling for this BS and the media does not have the guts to speak the truth! What a sad state of affairs!
A Night in the Gardens
We DO mean night – as it was 11:15pm when we left the Palm Beach Gardens City Council chamber and there were items yet to be discussed on the agenda,with a hard stop at 11:30 pm.
Our call to action covered two 2012 budget related items and one regarding the Inspector General. Although separated on the agenda, the council decided to take up Ordinance 13, 2011 and Resolution 33, 2011 in sequence.
Ordinance 13, 2011 was a proposal to raise the Local Communications Services Tax from it’s current 1.5% on all telephone, cellphone, cable and internet services, residential and commercial, to 5.22%. The rationale was 3-fold:
1) use this ‘new’ source of revenue in lieu of increasing the millage or taking out of reserves
2) improve the city’s bond rating from AA+ to AAA – as they have been advised a more diversified revenue stream would be advisable.
3) All the other cities do it – so Palm Beach Gardens should too!
Public comment was predominately against raising this tax; about 7 folks – all ‘regulars’ (including Mel Grossman, Fred Scheibl and Iris Scheibl) made it clear that we weren’t impressed by the ‘all the other cities do it’ argument! Only one spoke on behalf of the tax and he was on the Budget Advisory Committee that came up with the solution in the first place.
Vice Mayor Bert Premuroso spoke first and surprised the council by saying that he changed his mind, based on resident comment, and was now against raising the tax at all and wanted to hold millage flat and take the balance from reserves. Council members had expected him to be for the tax and the implication was that he had originally been an advocate for it. The other 4 were strongly for the tax increase. After lengthy debate, the ‘compromise’ was to raise the tax to 3.5% (a 133% increase instead of 248%), hold millage flat and take the remainder from reserves. That was going to mean an extra $800,000 on top of the $1.2 million targetted for capital expenditures or $2 million out of $20 million+ in reserves. The council vote was unanimous in favor of the new proposal. NOTE: while millage rates go up and down – what they voted for was a permanent increase in your communications bills. You still have a chance to overturn this on 2nd reading! We will have another call to action prior to the 2nd reading on August 11th.
Resolution 33, 2011: Discussion was brief since the debate had occurred on the prior item. The resolution was passed 5:0 and the first budget hearing was scheduled for September 8th, 2011.
Ordinance 14, 2011 was to insert definitions of Waste, Fraud, Abuse, Mismanagement and Misconduct into city ordinances. As was described in the call to action – to those involved in the development of the county Inspector General Ordinance – this was the subject of very complex and detailed and arduous debate for the 5 month life of the IG Ordinance Drafting Committee. By now it was after 11pm and very few people remained in the room.
Speaking strongly against the insertion of the definitions were Iris Scheibl, Fred Scheibl, Kevin Easton and Joe Doucette of the Office of the Inspector General. Sheryl Steckler, IG, was in the audience and the Council knew it. Both Iris and Fred referenced the Palm Beach Post editorial in that morning’s paper entitled Cities Committing a Fraud. Andrew Marra, Editor, got the issue exactly in his editorial. Ms. Steckler had also sent a letter to the City Council earlier in the day. While superficially – one can say ‘what is the matter with definitions?’ – those definitions can indeed limit either the Inspector General’s ability to investigate or can hinder the need for any action by those receiving her reports. The reaction to the comment by the Council and staff was enlightening. The Council chose to take the ‘innocent’ stance – definitions can only improve things. City Attorney Lohman was incensed at the public comment and the Inspector General’s letter and called her a liar. City Manager Ferris was spitting mad at the editorial and bashed the Palm Beach Post (which others have been wont to do on occasion ;-)). He said that he’d been managing for over 30 years and that these definitions would help him in implementing improvements and educating the employees. Which begs the question – what did he use for the last 30 years? The council vote 5:0 for passage on first reading.
So – did the public win or lose Tuesday evening. I’d say – we lost. We get the government we deserve. Think about it and next time – ACT!
Town of Jupiter property tax rate
On July 19, 2011 the Jupiter Town Council Approved the preliminary property tax rate for Fiscal Year 2012 that is equal to the current year rate (FY 2011) of 2.5142 mills (dollars per $1,000 of taxable property value).
UPDATED: America Supports Israel March on August 24th in PB Gardens
Details have been finalized – Note change in venue!
Many members have been looking for ways to show their support for Israel in a non-partisan way on August 24th. Here’s a local opportunity to do your part. Please note: No signs. This is not a political event or a demonstration. Just bring a small American or Israeli flag to wave.
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My Father’s Democrats
My father was a staunch democrat. In his day he believed the democrat party was for the working man. He believed in the unions. He believed in protecting the little guy. In his day maybe he was right. I know his values were right. I know he practiced those values in his everyday life. I know he looked for an opportunity to do his “Good Deed” for the day. It could be as simple as helping someone to fix a flat tire to bringing vegetables he grew to a neighbor.
He was a man that was proud of America. He was proud of his party. Today I know he would not only be upset with the whole process, he would be disgusted with the democrats. If he was able to see and read bill S679, Presidential Appointment Efficiency and Streamlining Act of 2011, he would be smart enough to realize this is a path to dictatorship. This bill has passed the senate. He would know both parties that sponsored this bill are NOT constitutionally minded patriots.
I hope everyone goes to govtrack and reads this bill and knows who voted yea and who voted nay.
Please note Marco Rubio voted nay. Thank God we have some freshmen in office who want to protect the American way.
To my Dad RIP, I love you.
Do we have election materials in Spanish to facilitate cheating?
A person must be a U.S. citizen to vote in U.S. elections.
An immigrant must know English to obtain U.S. citizenship.
So if all the eligible voters know English, why do we need the ballot and other election materials in both English and Spanish?
Are people cheating by bringing illegal immigrants to the polls to vote? It is hard to find another explanation for Spanish ballots.
We need to eliminate the Spanish ballots to reduce the cheating and save money.
The County has voted to increase the property tax rate because of a declining tax base and is looking for ways to save money.
How much do they spend on Spanish ballots?
They can reduce spending by eliminating all the Spanish voting materials. And while they are at it they can save more money by firing the people responsible for the un-American cheating-enabling Spanish ballots and firing all the people paid to prepare those materials.
Do you prefer having Spanish ballots or paying lower taxes?
We are spoiled brats
It looks like one reason the Congress is having trouble devising a debt limiting strategy is the electorate is a bunch of spoiled brats.
Almost everyone (especially the liberals, progressives and the half of the citizens who pay no income taxes) has adjusted quite well to the nanny state and has become dependent on all the goodies Uncle Sugar passes out.
When Congress and conservatives try to set spending priorities to reign in the unsustainable national debt, there is an uproar from the portion of the freeloading electorate that would lose some of their favorite booty. Every one of those spoiled brats has their hand in the proverbial cookie jar. We are becoming like a Western European country sliding into an abyss.
Can the slide be stopped or have we already passed the point of no return?
Redistricting affects you – come to the sole PBC legislative redistricting mtg
As a result of the census, reformulation of voting districts are underway from the municipality level up to Congressional districts. Various criteria are used to determine the size and makeup of all of those districts and readjust them based on the changes that occurred in population and demographics over the last 10 years.
This may mean that your current Congressional Representative no longer has a district, or you no longer live in his/her district. It may mean the same for your state Senator or Representative. There are redistricting public hearings in process throughout the state. The sole redistricting meeting for Palm Beach County Citizens will be at FAU Boca Raton on August 16 at 10am.
For the latest information check the calendar with meeting details at on the public hearing schedule. You can RSVP on their calendar, but it isn’t required.
You can use a tool on the same website to create your own districts and see how difficult it is to do at: the Florida Redistricting main website.
Here’s a Post on Politics article on potential impacts locally – both Allen West’s Congressional District 22 and Lizbeth Benacquisto’s Fl Senate District 27 are at risk. (note that the article says the meeting begins at 8am, however the Redistricting website says 10am). Check the redistricting website prior to going for schedule changes.
Palm Beach Gardens City Council Mtg 7/19 – a Call to Action
Palm Beach Gardens residents should be aware of several items on the Agenda (and one that no longer is):
Ordinance 11, 2011 – not on Agenda:
Second reading of Ordinance 11, 2011 was removed from the agenda. This was the ordinance that made the change, among other things, to the election run-off process – essentially eliminating run-off except in the case of a tie. Purportedly this would save between $10000 and $40000 or so per run-off. Changes to the charter require a referendum – and so too would this change. According to Max Lohman, City Attorney – this change will be considered for the upcoming charter review, changes to which will require citizen votes. Had it been on the agenda – it would have passed and parts of it would have not have been valid without referendum. What would that have cost the city?
Ordinance 13, 2011, Increasing the Local Communications Service Tax Rate – First Reading:
This 2012 budget related item would increase the Local Communications Service Tax from its current rate of 1.5% to the maximum allowed by state statutes to 5.22% effective January 1, 2012, “on all sales of communications services within the City. These services include telephone (including cellular), cable TV, and internet fees, both residential and commercial.” This is technically a 248% increase! But it will probably be described as ‘pennies a day’!
The effects of the proposed change on two sample residents with annual communication charges of $2,400 and $3,600 are illustrated in the table below:
| Average Annual Bill | Increase in Rate | Annual Increase | Monthly Increase |
| $2400 | 3.72% | $90 | $7.50 |
| $3600 | 3.72% | $135 | $11.25 |
The adoption of the 5.22% Local Communications Services Tax is an integral component of the fiscal year 2012 budget plan, and, if approved, will allow the City to maintain the same operating ad valorem tax rate of 5.7404 mills.
This TAX is expected to bring in $1.8 million in the next budget cycle and $2.4 million thereafter. Note that if your phone, cellular, internet and cable charges go up – so too will the city’s revenue be enhanced.
While I have not reviewed the proposed 2012 budget in detail, “The total budget for all funds of $108,580,228 is $3,140,160, or 3% more than the current year’s total of $105,440,068.”
Ordinance 14, 2011 -Amending Chapter 1, General Provisions, Section 1-2, Definitions of the City Code of Ordinances to Add Five (5) Definitions to be Compatible with the New Inspector General (IG) Ordinance. – First Reading
“The drafting committee failed to include certain crucial definitions within the IG ordinance. The City Attorney has advised that without defining the following terms it will be impossible to properly evaluate any potential findings of an Inspector General investigation. Accordingly, the City Attorney has drafted Ordinance 14,201 1 in order to adopt definitions for “abuse”, “fraud”, “misconduct”, “mismanagement”, and “waste” into the City’s Code of Ordinances. Clear and unambiguous definitions are an absolute necessity in order to preserve an objective standard for evaluating any potential wrongdoing. These definitions are being recommended to each of the other 38 municipalities in the county.”
Having attended each of the drafting committee meetings – these so called ‘crucial’ definitions were intentionally left out and the subject of several months of intense debate. I consulted with the Inspector General, Sheryl Steckler about the attempt by municipalities to insert these definitions into their city codes. She replied that it has no impact or relevance on her activities as Inspector General.
Why are we adding irrelevant definitions to our ordinance and what is it costing the taxpayer in staff time and effort if it is for nothing?
Resolution 33, 2011 Adopting a Proposed Maximum Millage Rate for Fiscal Year 2011/2012 and Setting the Date, Time, and Place for the First Budget Hearing.
I read this resolution first and was going to praise the City Council on holding the millage rate flat at 5.7404, 2.719% below the roll-back rate of 5.9008 mills. NOT. They should be holding the millage flat, cut spending and NOT implement the increase in the Communications TAX.
I have not studied the 2012 budget in detail yet – however:
“Please note the following significant items related to the use of reserves:
• The planned use of $1.1 million is less than total General Fund capital expenditures of $1.2 million, and adheres to the City’s policy of using reserves for one-time expenditures.
• The planned use of $1.1 million is predicated on the increase in the Local Communications Services Tax from 1.5% to 5.22%. This will generate approximately $1.9 million next fiscal year. Without this alternative revenue, or an equivalent tax increase, the reduction in reserves would be approximately $3 million.”
We are in bad economic times – this is the time for using reserves and NOT increasing a tax (the Communications tax) that will never go down. Hold the millage flat, do NOT approve Ordinance 13,2011 and cut spending further to minimize the hits to reserves!
Additional materials can be found:
Complete 7/19 Agenda with backup documents
Cover Letter to 2012 Proposed Budget
Shared Sacrifice (a.k.a. wealth redistribution)
President Obama told the National Governors Association in February 2011 that everybody, not just one group, must be ready to give up something to help push the U.S. economic recovery.
The President has repeated Shared Sacrifice recently in seeking to tax the rich to generate income to offset his wild spending.
Shared Sacrifice is euphemism for wealth distribution, the communist idea of confiscating from the rich.
Real Shared Sacrifice would exist when everyone shared the income tax burden. The Tax Policy Center estimated that
47% of all taxpayers would owe no federal income tax in 2009.
So why is there not a minimum tax rate, maybe 1%, for everyone so everyone has some skin in the game and everyone will care about what the federal government is spending?
