Author Archives: Editor

Economic Trends, What Do They Mean?

By Daniel Downs

The latest economic trends report by the Federal Reserve Bank of St. Louis reveals why City of Xenia officials think they need more of taxpayer’s scarce financial resources. In 2009, the report shows a 3 percent increase in GDP, which means total revenue produces by all our work as a nation. That figure reminds me of pre-industrial era economic growth when governments and citizens lived within their means most of the time.

Coinciding with the low GDP was low industrial output reflected by a significant decline in payroll and sharp increase in unemployment. During 2009, industrial production increased by a meager 6 percent. At the same time, payroll declined by $5 million and unemployment rose from 7 percent to around 10 percent.

The loss of jobs and income resulted in the loss of homes, which in turn meant a loss of tax revenue for municipal governments including Xenia. The rise in the cost of gas that contributed to the rise of costs of food and other goods as well as services has made matters worse–not to mention Wall Street’s short, like Soros, gleefully stuffing their pockets with our GDP revenue.

Nevertheless, long term government bonds have maintained their value while short term bond rates dropped to near zero. If that is also true of municipal bonds, then local governments are still giving our tax dollars at the same or possible higher dividend rates. This means less tax revenue for actual operating costs like paying police, fire, and street maintenance personnel.

While officials also claim higher costs for goods and services require higher taxes, the report shows the total increase of good and services represented by the Consumer Price Index (CPI) to be around 2.4 percent for 2009. That is quit low. The last quarter of 2008, inflation dipped to minus 2.5 percent. This could be interpreted as rendering overall inflation as near zero. As such, local governments use of higher costs to justify raising taxes does not appear to be warranted.

The best course of action by both government and taxpayers is one of fiscal restraint. Governments should decrease spending and tighten their budgetary belts. Taxpayers should restrain themselves from giving government tax increases until the economic trends show declines in unemployment to less than 6 percent, consistent payroll increases, and increased production figures i.e., industrial production, GDP, GDI, and the like.

Supreme Court Uses U.N. Convention on Rights of the Child to Justify Overriding American Law

By Daniel Downs

The Supreme Court issued its ruling in the case of Graham v. Florida. Justice Kennedy, who wrote the majority opinion, based the decision on the 8th amendment clause, which prohibits “cruel and unusual punishment.” Florida law does not permit the possibility of parole for those sentenced to life in prison. To sentence a juvenile to life imprisonment without parole for non-homicide crimes does seem unusually cruel.

The controversy over the decision, however, is with the Court’s use of the U.N. Convention on Rights of the Child (CRC). According to the Catholic Family and Human Rights Institute (C-FAM), the Kennedy opinion echoes his opinion issued in the 2005 Roper v. Simmons case.

“That case involved the imposition of the death penalty on juveniles, which the majority ruled was unconstitutional under the 8th Amendment under their ‘evolving standards of decency’ test. Roper was perhaps most noteworthy for its numerous citations of international law and foreign sources in helping to determine what modern standards of decency should be.”

In Graham v. Florida, the Court, the evolving standards of decency were also justified based on CRC and other foreign national law that also held the same alleged standard of decency. As cited by C-FAM, the dissenting opinion of Justice Scalia in Roper v. Simmons still applies.

“The Court thus proclaims itself sole arbiter of our Nation’s moral standards—and in the course of discharging that awesome responsibility purports to take guidance from the views of foreign courts and legislatures. Because I do not believe that the meaning of our Eighth Amendment, any more than the meaning of other provisions of our Constitution, should be determined by the subjective views of five Members of this Court and like-minded foreigners, I dissent.”

Michael Farris, President of Parental Rights, represented 16 members of Congress in the case. He sees the courts reliance on the U.N. Convention on the Rights of the Child as first steps to the certain erosion of the sovereignty of American law over issues of parents and children.

http://parentalrights.org/index.asp?Type=B_BASIC&SEC={F94AE58A-9D7E-44BA-A40A-5E3DF0D2D851}Farris also noted that along “with recent statements by groups dedicated to the ratification of the U.N. CRC, today’s ruling signals that we must stop the ratification of the CRC before it gains momentum in the Senate.” He urges all Americans to contact their representatives in Congress asking them to oppose the ratification of the Convention on the Rights of the Child by supporting both Senator DeMint’s bill S.R.519 and the Parental Rights Amendment.

Dayton Daily News Fronting For Self-Absorbed Politicians

By John Mitchel

RE: “ Springfield base gets missions”, Dayton Daily News, May 8, 2010

Propaganda artists Jack Torry and John Nolan couldn’t have written a more one-sided piece on the recent Pentagon announcement that the MQ-1 Predator aircraft is on its way to the Springfield Air National Guard. This article is nothing more than stroking whiny politicians from both parties looking for top cover as the November election approaches.

First, Torry and Nolan either didn’t get their facts straight or were lied to by Sherrod Brown, Ted Strickland, John Boehner and Steve Austria. They wrote that moving the MQ-1 (Predator) mission to Springfield “will shift the base’s mission to unmanned aircraft and retain 866 jobs.” At the Miami Valley Military Affairs Association luncheon in Springfield on May 3, 2010 (one day before the primary), Col. Craig Wallace, Vice-Commander for the 178th Fighter Wing, stated there were never more than 360 jobs at the Springfield location. You may agree it’s largely disingenuous that the article claims to “retain” over 500 jobs that never existed in the first place. That’s nothing new for career politicians like Brown, Strickland, Boehner, and Austria , but it’s very disappointing coming from journalists who should be reporting the facts accurately.

Actually there’s good reason to base Predators returning from Afghanistan and Iraq in Springfield , but when career politicians from both parties knock themselves out to take credit for those jobs, we should ask the question, “What’s driving the train here, support for the warfighter or the November election?” You don’t have to go far to answer that question. Not once in Torry and Nolan’s front page article, nor in another piece on page A6 was there any mention of how the Predators coming to Springfield helps the warfighter or saves scarce taxpayer dollars. Instead career politicians from both parties persist with their “it’s-all-about-jobs” mantra while the troops and taxpayers remain an afterthought in both theory and practice.

It’s important that we review history within the context of the announcement. Earlier BRACs that took jobs away from Wright Patt were forgotten long ago. The 906th F-16 Tactical Fighter Group and 4950th Test Wing were both national treasures in providing warfighting capability, and those departures lost more jobs than the 178th in Springfield could ever hope to create, but it did help Springfield’s favorite son Dave Hobson get re-elected at least six times. And what about NAFTA, pushed by Republicans and signed into law by Bill Clinton that sent hundreds of thousands of Ohio jobs offshore? Republicans Portman, Kasich and Austria , and Democrats Strickland and Brown all seem to lose their memory when it comes to accountability for those one-sided trade deals except when it comes to blaming the other side.

It’s hard to tell who screams loudest when the Obama administration bails out banks, financial institutions and automobile manufacturers, but of course it’s a different story when Obama borrows and sends the proceeds to career politicians and their special interests who have caused the mess in the first place and now desperately need talking points as the 2010 election approaches. It’s tragic that the Dayton Daily News continues to sacrifice its journalistic integrity by enabling the same bad-actor politicians to systematically dismantle freedom and economic opportunity for future generations of Americans.

The Ohio Project at Clark County Fair

What is the Ohio Project? I’m glad you asked.

The Ohio Project is a grass root initiative opposing recently passed federal health care reform legislation mandates. The initiative seeks to introduce a state constitutional amendment giving Ohioans the legal to oppose those mandates that extend beyond the Constitutional authority of the federal government. It will make the 9th and 10th amendments to the U.S. Constitution enforcement for this specific set of issues.

The central region coordinator, Nancy Channell, has arranged for a petition signing booth at the Springfield Antique Show and Flea Market.
All are invited to enjoy the many unique displays of antique collector items, booths offering consumer goods, information about area service organizations, and political efforts of organizations like The Ohio Project. At the same time, you can help the Ohio Project succeed by signing the petition.

Supporting the Ohio Project means enforcing your constitutional rights to government limited to the rule of law under the Constitution.

For more information, go to the Ohio Project website. You can also find out more about the Springfield Antique show by going here.

State (& Local) Tax Revenue Decline : A Perspective

By Daniel Downs

A new state revenue report by the Tax Foundation came our yesterday. The report entitled “State Revenue Changes from 2008 to 2009” reveals Ohio tax revenues declined 8.7 percent the period assessed. Ohio ranked 28 which amounted to 2/10 of a percent below the national average of 8.9 percent.

Alaska suffered the highest percent of revenue decline at 51.9 percent. The next highest was Arizona at 19.7 percent, followed by California at 15 percent, and then Idaho at 14.1 percent. The state with the highest percent of tax revenue gain was Wyoming at 13.9 percent, followed by North Dakota at 4.3 percent, and then by Oregon at 1.9 percent.

The report also broke out the tax revenue losses by tax category i.e., property tax, individual income tax, corporate income tax, general sales tax, and selective other taxes. Ohio didn’t report property taxes collected. However, the report did show that the greatest loss of tax revenue in Ohio originated from corporate income declines. The percent of corporate income tax revenue decline was 36.6 percent, whereas individual income tax revenue decline only 16.8 percent. Sales tax revenue declined a mere 7.1 percent.

The high level of corporate income tax loss is due to the closing of both large and small businesses throughout the Ohio as a result of the great recession. Both greedy investors and power-mongering politicians must be thanked for the losses.

As mentioned in previous posts, the loss of tax revenues by Ohio government came after consistent increases in tax revenue and increased spending. The report brings this out very clearly in its historical statistics. When those national statistics are added up, the total percent of tax revenue increase was 19.7 percent, that is the total average increase for the nation from 2000 through 2007. The total decline from 2008 through 2009 was 9.2 percent.

The last paragraph of the report puts these above figures in proper perspective:

“Although state tax revenue decreased significantly during fiscal year 2009, the decrease is almost exactly matched by earlier years of major increases. Over the last decade, adjusting for inflation, state tax revenues have increased by 6.1 percent. When controlling for population, tax revenues are down about one percent.”

Like Xenia, many local communities are getting less money from the State because of the decline in tax revenues collected. As the report indicates, the real loss is only about 1 percent. That is why during times such as these taxpayers should not allow government officials to raise taxes to cover short-term fiscal problems is wrong. it is simply wrong to fix short-term financial problems with permanent taxes. The right thing is to assure that public officials practice fiscal and budgetary restraint. If necessary, they can always dip into the million dollar plus reserve fund until the economy actually recovers.

Kasich and Taylor Event at Shawnee Park Thursday May 13 Noontime

Join with State Representative Jarrod Martin to welcome John Kasich and Mary Taylor to Greene County on Thursday May 13th. Gates open at Shawnee Park in Xenia at 11:30AM. Event will begin at 12:15 PM.

DeMint Resolution Challenges Child Rights Convention

Washington, D.C. – Senator Jim DeMint (R-SC) today introduced S.R. 519, a resolution opposing ratification of the United Nations’ Convention on the Rights of the Child (Convention, or CRC) in an effort to discourage the State Department and the Obama administration from submitting it to the Senate. Citing dangers posed to American families and to State and federal sovereignty if the treaty were ratified, the measure resolves that “the president should not submit it to the Senate for its advice and consent.”

In Washington’s current political climate, the resolution has little chance of gaining 51 votes for adoption, but its proponents say that is not the point. Since ratification of the Convention requires a 2/3 majority of the Senate, or 67 favorable votes, S.R. 519 needs only 34 cosponsors to prevent that vote and effectively end any chance of ratifying the treaty in the immediate future.

Opponents of the CRC warn that under Article VI of the U.S. Constitution the treaty’s ratification would render it “the Supreme law of the land,” superseding all state constitutions or laws as well as pre-existing federal law. The only legal authority higher than a ratified treaty is the actual text of the U.S. Constitution. According to Sen. John Ensign (R-NV), ratification of the Convention would “undermine the U.S. system of federalism, a system on which this nation was founded.” All family law, the vast majority of which is currently set at the state level, would be federalized as a treaty obligation of the national government.

“We want to see the CRC taken off the table for this Congress, and this resolution will do that. But I am also aware that the only permanent solution to this threat to our families is a parental rights amendment to the Constitution,” DeMint said, referring to another resolution he champions, S.J. Res. 16, which proposes just such an amendment.

Constitutional lawyer Michael Farris, president of ParentalRights.org, agrees. “The Amendment is what we really need, but this resolution is a good temporary fix in the meantime.”

Poll: Independent Voters Wary of Anti-Family Government Agenda

Independent voters report a growing skepticism toward the long-term positive impact of current government policies, according to a survey released by the Ohio Right to Life Society. In the final installment of its Ohio Cultural Index, the group found independent and Republican voters share many of the same views on the direction of the state and the corresponding impact to its culture. Also, the survey found a majority of Ohioans continue to have a strong faith in God, oppose taxpayer funding for abortion and believe abortions have a negative impact on the women who have the procedure.

“As Democratic leaders in Washington and Columbus march in lock-step with many anti-family groups, independent voters are growing uneasy,” said Ohio Right to Life Executive Director Mike Gonidakis. “Our leaders seem to forget Ohio is a center-right state and its people hold traditional Midwestern values. Missteps like including federal funding for abortion in the recently passed national health care law will cost Democrats dearly among independent voters.”

The survey found significant negative movement in the responses of self-identified independent voters toward issues such as government funding for abortion. Seventy-eight percent of independents surveyed opposed using tax dollars to fund abortions, 83 percent of Republicans and 53 percent of Democrats also opposed the policy.

Sixty-two percent of independents said they believe public schools undermine moral and religious teachings children receive at home, 77 percent of Republicans and 32 percent of Democrats agreed. Also, 46 percent of independents reported they perceive government policies in Ohio are causing harm to families. Among Republicans it was 58 percent, while only 28 percent of Democrats agreed.

Overall, 80 percent of respondents reported a strong belief in God, and 54 percent believe abortions have a negative impact on women who have them. And, over 51 percent of Ohioans surveyed oppose abortion.

“After a tumultuous year in which taxpayer funding for abortion was at the center of a national debate over health care, opposition to it has grown from 67 percent three months ago to 72 percent now,” said pollster Fritz Wenzel. “The political implications could be tremendous for those Ohio congressional representatives who voted for the federal health care bill, as their opponents will have a powerful issue to use on the campaign trail this fall.”

The index’s significant findings include:

* 80% of Ohioans surveyed strongly believe in God;
* 51% oppose abortion;
* 54% believe abortion has a negative effect on women who have them;
* 71% oppose use of taxpayer dollars to pay for abortion;
* 47% believe some elderly or very sick patients will be denied health    care because of cost factors;
* 48% believe entertainment today negatively impacts families;
* 44% believe government policies are harming traditional family values;
* 56% believe public schools undermine values taught at home; and
* 53% believe families do a worse job of developing character than a    generation ago.

This installment of the Ohio Cultural Index is the last of a four-part survey examining Ohioans’ views on important cultural issues. The complete poll crosstabs are available for download here. Charts tracking each quarterly response are available for review here. Lastly, a podcast on this latest round of polling is available here.

The index is calculated on a 100-point scale based on responses to 11 questions about different aspects of culture and character in Ohio. It is based on a quarterly public opinion survey of adults across the state. The Ohio Cultural Index rating is 61.7 on a 100-point scale. The score is half a point lower than the previous rating of 62.2, registered in January 2010.

The survey was conducted by Wenzel Strategies from April 16-18, 2010, and included 777 Ohio registered voters contacted by phone. The poll carries a margin of error of +/- 3.49 percentage points.

Source: Ohio Life Wire, May 3, 2010

Austria on Sustainable Economic Recovery

Right now is a critical time in our nation’s history. In March, unemployment in Ohio reached nearly 11 percent, a figure not seen in decades. Even in the wake of a nearly $800 billion stimulus bill, the unemployment rate continues to climb. Yet despite the continued financial pressure on small businesses and families, many lawmakers in Washington continue to promote costly, unsustainable policies, in an effort to spend our way out of this crisis.

Last year, the President released a budget that would amount to more accumulated debt than all the presidents from George Washington to George W. Bush combined. And this year’s deficit is anticipated to reach $1.5 trillion. Thus far, this year hasn’t been much different. The recently passed health care reform law will amount to $311 billion in additional spending on health care than would have otherwise been spent if no law existed, according to a new report released by the Centers for Medicare and Medicaid Services (CMS). And currently, the Senate is moving forward on a financial regulatory reform bill, aimed to reign in excesses on Wall Street. While I agree we need more oversight and transparency of the markets, I have concerns that the regulations included in the bill could further restrict credit for small businesses, working families and those who need it most.

Bringing our nation back on a path of economic recovery and sustainable growth, demands limited government and more focus on investment coming from the private sector. It means putting tax dollars back into the hands of the American people who know best how to invest them. It means cutting back on the wasteful government spending that is driving up our nation’s debt to nearly $13 trillion and jeopardizing the livelihoods of future generations. It means giving businesses and industry the right kind of incentives so as to generate certainty in the market place and promote long-term job creation.

These decisions are not easy, but it is clear that the current spending behavior we have witnessed in Washington must end. Be assured that I will continue to work with my colleagues in a bipartisan manner to develop sound solutions to meet the challenges we face.

Vote Yes On Issue 1?

A businessman from Central America responding to a post made a very enlightening observation about Ohio. He said Ohio is a like a third world country lacking adequate development. Almost all media outlets, business organizations, universities, as well as the mother, brother and sister of nearly everyone else, seems to agree; they are all promoting the renewal of the not-yet-ended Third Frontier funding for high tech development.

So, why not follow the crowd. Well, because crowds generally chant whatever smooth talking speakers claim. Like other dumb animals, we like sheep are easily led astray–also called the herd mentality.

It cannot be denied that 48,000 new jobs have been created as a result of the Third Frontier economic stimulus fund. Ohio taxpayer gave the state $500 million to help develop high tech industries and job. Each job created cost taxpayers over $10,400. SRI Intl. research claims it also produced a positive economic impact of $6.6 billion. (A must read is an article by Tom Breckenridge on Cleveland.com)

If we forget that politicians and big business sold off our low tech industrial job to China and other nations, we also forgot the much how much greater the Third Frontier has actually cost. And, did most Ohioans really benefit from the sale? I doubt it.

Yes, Third Frontier is a boondoggle for universities, big energy, drug companies, General Electric, and some new enterprising tech companies. They will create new jobs while eliminating old ones. The costs are likely higher for many individuals than politicians and big business concerns care to acknowledge. For example, many young Americans will end up having to compete with foreigners with Green Cards.

Yet, in spite of the young who will benefit from those new jobs, if foreigners are need to fill positions, those jobs will in the end not be such great paying jobs. Just asks those experienced in computer technologies.

Trusting the hype media, business leaders, and politicians is like believing FDR’s welfare program would be a temporary remedy for those affected by World War II. You can be certain that Third Frontier welfare for high tech corporations will be as temporary.

Who pays for corporate welfare? All of the middle class who supposedly benefit from all of the great new jobs. Remember, low-tech Wal-Mart and the factory farm.

Carrie Mihalick wrote an article in which she traces the fascist or progressive history of the Third Frontier movement across the world and to Ohio. Her research facts reminds of the Progressive results of Obama and progressive Congressional Democrats economic policy. Third Frontier may seem more discrete than Obama and Company in how it will eventually run tech business in partnership with big business but I doubt it. (Her article is another must read.

Allowing the Third Frontier to continue will the Ohio Constitution’s 5% cap on state debt service to be violated. (See the rest of the argument by a number previous Ohio legislators by going here.)

A better plan is to give venture capitalists bigger tax breaks for investing to create new high tech industries and jobs. Let big corporation reinvest in their own high tech developments. Make politicians stick to policies and funding initiatives that actually do benefit all citizens rather than the chosen few.