FreedomWorks

Unions and Free Market Activists Find Common Cause on Health Care, For Now

josh.eboch — Thu, 02 Jul 2009 11:21:49 -0400

President Obama has stepped up his rhetoric against the health care system, but fiscal deficiencies in his plan for a government take over have become increasingly apparent in recent weeks. Now, some on Capitol Hill are toying with the idea of taxing employee health benefits to subsidize the cost of government-provided care. But, as Americans learned during the collapse of GM, many union labor agreements provide extremely generous benefit packages to workers who are unlikely to support any proposal that might put their compensation at risk.

To voice their growing concern, 30 different groups, from the Air Line Pilots Association to the United Transportation Union, have signed an open letter urging Congress to consider alternative sources of funding. Unfortunately for President Obama, it seems to make a case for keeping or expanding the current employer tax exemption rather than reducing or eliminating it:

Over 160 million Americans receive their health coverage through the workplace either as an employee, dependant or retiree. Both Congress and the President have said health care reform will build on what works and have assured Americans they can keep the coverage they have if they like it. This makes good political and policy sense.

…

In 2009, a national survey done by Lake Research Partners shows that 80 percent of likely voters said they are opposed to taxing health benefits. The President campaigned against eliminating the tax exclusion of health care benefits and the public overwhelmingly agreed with his position. It’s obvious the American people want health care costs lowered, not increased. They expect the Congress to make coverage more affordable, not less. Any result to the contrary may undermine their support for the program.

Other groups, like the Laborers’ International Union of North America (LIUNA), have agreed to a temporary cease fire, but this issue may yet be the silver bullet that brings down President Obama’s socialized medicine scheme. Without the support of unions, it is unlikely that many in Congress will be comfortable raiding employee benefits, and without raiding employee benefits it is unlikely they can find the necessary funding for such a massive new entitlement.

However, though free market activists and unions have the same enemy at the moment, that probably will not remain the case. A grand bargain could still be struck between Congress and the unions to leave their benefits intact and just punish workers who lack the lobbying clout to defend themselves. If that happens and union membership is the only way to protect health benefits, it may prove to be an even more effective recruiting tool than card check.

Fight For Property Rights Advances: New York Appeals Court Accepts Atlantic Yards Case

Ben Strickberger — Thu, 02 Jul 2009 09:59:33 -0400

Some residents of Brooklyn felt like Padme in this scene of Star Wars Episode III this past May when four New York appellate judges, according to the New York Daily News, unanimously:

“ruled that Forest City Ratner’s use of eminent domain to take private property to build a new home for the Nets does not violate the state Constitution.”

Bruce Ratner’s Atlantic Yards real estate proposal is described by The New York Times as a

“giant development planned for 22 acres near Brooklyn’s downtown that will include 8 million square feet of apartments, offices, stores and an arena for the New Jersey Nets.”

A New York post analysis found that this enormous real estate proposal

“is boosted by so many sweetheart deals that the public stands to pay for more than half the cost of his controversial $4 billion plan…”

Furthermore, The New York Observer noted in February of 2008 that:

“Forest City Ratner paid former U.S. Senator Al D’Amato’s lobbying firm $400,000 in 2006 and 2007 to lobby federal legislators regarding eminent domain and other issues important to the developer of the $4 billion Atlantic Yards project in downtown Brooklyn.”

Apparently, Ratner is unhappy that the area he intends to develop is already inhabited by families who do not wish to sell their homes and other properties. Determined, Ratner considers this a surmountable obstacle.

Opposition to the plan has been primarily organized by Develop Don’t Destroy Brooklyn (DDDB). DDDB is a 501(c)(3) organization devoted to protecting the property rights of the owners of the businesses and homes targeted by Ratner.

Following the unanimous decision by the court that Ratner’s eminent domain maneuver does not violate state law, he stated

“this is really the last hurdle that we have and now we can do what our company does best and build an arena and houses.”

Ratner was mistaken. This past Monday, according to The New York Times, the New York Court of Appeals announced that it

“has agreed to hear a case challenging the state’s use of eminent domain on behalf of the Atlantic Yards project in Brooklyn.”

In response, Matthew Brinckerhoff, representing the appellants, declared:

“We are gratified that the State’s High Court will hear this important case about whether our State’s Constitution protects the homes of its citizens from the wrecking ball of greed wielded by influential developers and the public officials who do their bidding.”

The two cornerstones that form the legal foundation for capitalism are the enforcement of contracts and the protection of private property. When either of these fundamental principles is violated the integrity of the free market system is compromised. No doubt, the New York Court of Appeals must rule according to the New York State Constitution and any applicable laws.

But the moral issue at stake is whether the government should be able to forcibly confiscate private homes and businesses from owners who do not wish to sell and then transfer their properties to a new owner.

If the government fails to protect private property when it is politically inconvenient, then it is not a protected right but an inclination occasionally preferred. If the New York Court of Appeals rules in favor of Bruce Ratner, then New Yorkers should lobby to change the law.

Protest planned outside Wexler's Boca Raton office

abrandon — Wed, 01 Jul 2009 18:28:50 -0400

Demonstrators who oppose universal health care and the government-option in health-care reform plan to protest outside U.S. Rep. Robert Wexler’s office in Boca Raton on Thursday.

The protest is organized by FreedomWorks, a conservative political organization founded by former U.S. House Majority Leader Dick Armey. On its website, the group says it wants “lower taxes, less governement and more freedom.” Demonstrators will gather 3 p.m. to 6 p.m. outside Wexler’s office on Military Trail. They will ask the Boca Raton Democrat to oppose a “single-payer, government–run health care system.”

On Wexler’s congressional website, he outlines his support for universal health coverage and a government option.

“I strongly believe that a public option must be included in the larger reform package as it is the most effective way to ensure competition within the private health insurance market and provide access to the 47 million Americans without health care.”

FreedomWorks is staging similar events at offices of congressional members throughout the state.

Tea party sequel planned for Easton's Centre Square

abrandon — Wed, 01 Jul 2009 18:20:13 -0400

Political junkies now have their own summer sequel to ponder: Tea Parties 2, Independence Day.

Local conservative and libertarian political activists, who threw ”tea party” protests on April 15, will rally again Friday in Easton as part of hundreds of demonstrations across the nation this weekend.

While their numbers are smaller this time around, their target is again big government, in particular President Barack Obama’s cap and trade energy proposal and plan to overhaul health care.

Kim Schmidtner, one of the group’s leading local organizers, said she thinks more people are beginning to embrace the concerns her group raised more than two months ago.

”A lot of the language in Washington and some of the polls are showing more and more Americans are becoming concerned about the spending and the deficit,” said Schmidtner, of Lower Saucon Township.

The goal of Friday’s protest — to be held 7 p.m. in Easton’s Centre Square — is to remind politicians of that, she said.

How much political weight do the tea party activists wield? That remains to be seen, said political experts.

They evoke supporters of past third-party candidates such as John Anderson and H. Ross Perot, said G. Terry Madonna, director of the Center for Politics and Public Affairs at Franklin and Marshall College.

”It’s kind of an outlet for people who in the past might have congealed around a third party, and it’s not there,” Madonna said. ”There is no Ross Perot on the scene. You get the sense that its roots kind of lie in the Perot discontent.”

While Perot ultimately failed, his focus on federal deficits forced Democrat Bill Clinton and Republican President George H.W. Bush to address the issue in the 1992 campaign, he said.

As it looks to revive the party after a rough 2008, the GOP should heed the tea party protestors, said Harrisburg Republican consultant Charlie Gerow.

”I think these tea parties are a significant political movement, and anybody who fails to pay attention to them does so at their own political risk,” Gerow said.

Less sophisticated than Obama’s Organizing for America volunteer group, the networks the tea party protestors are building could be help the party in 2010 and 2012 elections, he said.

”It’s a movement that percolates underneath the radar screen,” Gerow said.

Nationally, the organizations promoting the events are a hodgepodge, ranging from Freedom Works, an advocacy group headed by former GOP House Majority Whip Dick Armey, to the Christian conservative American Family Association.

Local activists affiliate with a variety of efforts, from radio talker Glenn Beck’s ”9/12 Project” to local taxpayers associations.

Lehigh County Democratic Party Chairman Rich Daugherty said he appreciates the tea party protesters’ right to express their opinions and their focus on containing costs.

But he said some government programs are helpful. Some provide important protection to the environment, or regulate financial markets. Medicare, for example, makes it possible for senior citizens to afford medical care, he said.

”I think [the tea party protesters] tilt it in the other direction so far that it doesn’t make sense any more,” Daugherty said. ”In terms of socialism, I don’t see Obama doing anything in that realm.”

Schmidtner said she has an e-mail list of about 900 people and growing, and expects about 100 people at the Friday rally in Easton. The group has set up a page on the Meetup Web site and has a Facebook page with 44 members.

Members are involved in a variety of efforts, including researching politicians’ records.That doesn’t mean the group will be recommending its members get behind a particular politician.

”I don’t know if support is the right word, but we are trying to find them and give them an individual rating,” Schmidtner said. ”…one thing we are encouraging our members to do, if they feel so compelled to step up, is to run for office.”

It's that TEA time again

abrandon — Wed, 01 Jul 2009 17:59:16 -0400

Isn’t it funny how a string of good old fashioned, car-burning riots in the middle east has become a trendy global cause celebre for freedom, while peaceful protests against government waste and exorbitant taxes in America were dubbed “unhealthy” by the president’s top adviser and “racist” by some in the media?

In any event, somebody better warn Janeane Garofalo, because the TEA partiers have planned a sequel to their infamous tax day rallies. This time they chose Independence Day, and at websites like www.reteaparty.com and www.teapartypatriots.org, there are hundreds of July 4th protests advertised with more being added every day. For an interactive display of the planned party locations, FreedomWorks has brought back its popular map with the most comprehensive and helpful listing of all.

A number of the events are planned in the D.C. metro area, but those eager to maintain a non-partisan image should get ready for Republican politicians to try to highjack the TEA party image as a shortcut to populist credibility. Those inclined to credulity should remember that just because someone speaks at a rally and claims to be for individual liberty and small government does not mean they vote that way when the time comes.

But there are some who stand by their principles. On September 12th, FreedomWorks will be hosting a taxpayer protest featuring leaders from both sides of the aisle who have demonstrated a commitment to fiscal discipline and personal responsibility. More on that march later, but for those who choose to attend TEA parties over the 4th of July weekend, just remember that while America’s government spending may be out of control and its leaders shockingly arrogant, America is not yet Iran. It is up to you to make sure she never is.

Outcry Over Ballpark is Loud, Upset, Yet Resigned

abrandon — Wed, 01 Jul 2009 17:54:34 -0400

Nobody is happy that the city will have to pay an extra $15.7 million to finish the baseball stadium downtown, but cries of dismay yesterday were mixed with calls for stadium construction to continue.

The Winston-Salem City Council will meet at 5:30 p.m. Monday to discuss and possibly take action on a deal to finish the stadium.

“I’m still struggling with it,” said Council Member Robert Clark, who represents the city’s West ward. “It is very complicated, and there is no win-win answer. Every answer has terrible consequences.”

The choice is to go forward with the deal or have “a half-built stadium that sits there forever,” Clark said. “It has no market value. Nobody would buy it.”

Billy Prim, the owner of the Winston-Salem Dash, the city’s single-A affiliate of the Chicago White Sox, said Thursday that the collapse of his business partnership with Andrew “Flip” Filipowski and the global credit crunch has made it impossible for him to borrow enough money to go forward with stadium construction without the city’s help. The total cost of the stadium, which was initially expected to cost $22.6 million, is now estimated at $40.7 million.

The city has already given Prim $12 million to help build the stadium. Under the new deal, the city would take out a $12.7 million loan from BB&T and then turn the money over to Prim and the stadium developers. Prim’s stadium-development company would pay the city’s loan payments — principle and interest — over the next 25 years.

The city would also give the development company another $2 million from a federal grant. The city would give the money back to itself if the grant comes through. And the city would also finance the purchase of land for the second phase of the project, which would be a multi-use development with retail and office spaces. The company would pay the city $980,361 for that land over 5 years.

Under the proposed deal, the city would take ownership of the stadium in 25 years.

More than a hundred people — most of them angry about the deal — vented their feelings yesterday at JournalNow.com, the Web site of the Winston-Salem Journal.

While most of those who commented were against the deal, about 79 percent of the respondents to the site’s unscientific opinion poll were in favor of the city’s action.

Around town, people were talking about the deal.

Many were critical of the city’s leadership for getting into such a bind, but others questioned how else the stadium would get finished.

“It is really embarrassing in a city that wants to attract business and development to have a stadium sit empty for year,” said Heriberto Martinez, who lives in Ardmore.

“I guess the only other option is to cut your losses, let it die and bulldoze the site.”

Some residents said they didn’t like that the city has to be more involved in the deal, but others said that a new stadium would be good for the city when it is finished.

“It’s a little silly not to continue,” said Claudia Turner. But Turner said it may be hard for people to enjoy the stadium once it is finished because the project “has such a negative connotation.”

Ray Quesnel of Pfafftown said he was disappointed about the extra costs, but predicted the stadium would be a success.

“As soon as the stadium opens, people will flood the area,” he said.

The city has no choice but to move forward with the stadium for the good of the community, said Gayle Anderson, the president and chief executive officer of the Greater Winston-Salem Chamber of Commerce.

“We can’t afford to have a half-finished stadium sitting there and what it would say about this community and what it thinks about itself,” she said. “You can’t change the past and you can’t change the economy. We need to move forward and get some games played there.”

But Anderson said that the chamber is not going to mount a campaign to support the stadium deal. She said she will be talking with the chamber’s volunteer leadership, but that it would be up to individual members to make up their minds.

Anderson said she’s not surprised that Prim had trouble finding money in the private sector to finish the stadium.

“Certainly I have talked with business leaders, some of whom are people who might have considered investing, who said to me that their own personal portfolios are down considerably and that they have no funds to invest in anything right now,” Anderson said.

Prim’s getting a deal that most business people couldn’t get, said Joyce Krawiec of Kernersville. Krawiec is the North Carolina grassroots coordinator for Freedom Works, a group that works for lower taxes and smaller government.

“The small business owners of Winston-Salem are footing the bill for these guys,” Krawiec said. “If you are going to bail out one, when do you stop? Why do our elected officials pick and choose winners and losers in the business industry? It’s totally unfair.”

And the council shouldn’t handle the matter on such short notice, she added.

Forsyth County Commissioner Walter Marshall said that people he’s talked to are upset but see no way out for the city.

“I don’t know what else we can do,” Marshall said. “You can’t just let it sit there. Some people think (the deal) was bad, and some people are saying what options do you have left. Nobody likes it.”

The county has no money tied up in the stadium, but has promised tax incentives worth $12.5 million over 25 years for a second phase of stadium-area development that would include offices, stores and housing. No timeline has been set for that part of the project.

Forsyth Commissioner Debra Conrad, part of a 4-3 commission majority that approved the county’s involvement in the project’s second phase, said she is glad the county did not get involved in the stadium part of the deal.

“I don’t want the citizens to jump all over Billy Prim because Filipowski is the problem here and Billy is doing the best he can,” Conrad said. “I certainly don’t want to see the project fail. I don’t envy the mayor and city council having to make the decision during a recession. I don’t know how much more the public can take.”

Nathan Tabor, the chairman of the Forsyth County Republican Party, said that the city is giving stadium owners “a blank check.”

“They’re not even putting in any type of what I would consider stoppers, guarantees that a standard bank would put into any other deal,” Tabor said. “You make a bad investment, you pay for it. You don’t get bailed out. And this is a bad investment.”

Philip Mahan of Lexington said he grew up in Daytona Beach, Fla., and remembers how the local baseball team created a sense of community.

“”I think they should finish it,” he said. “However, I’m not happy about public funds going to a private industry.”

City Council Member Nelson Malloy said he supported the stadium in the beginning because of its potential to spur economic development. Now, he’s not sure how he will vote. “I haven’t changed my mind that much, but I will have to wait until Monday to see which way I am going with it,” he said.

Tea Party Group Co-Opts Communist Symbol

abrandon — Wed, 01 Jul 2009 17:42:32 -0400

FreedomWorks, the conservative organization that had a big hand in the Tea Party rallies this past April, is gearing up for a new “Taxpayer March On Washington” for September 12 — with a very interesting logo.

The intriguing thing here, as Ron Gunzburger pointed out, is that the logo makes use of left-handed fists, colored in red — a traditional symbol all around the world for communism and militant socialism.

In an interview with TPM, FreedomWorks press secretary Adam Brandon said the group is aware of this symbol’s traditional meaning. “Well, when you start working here at FreedomWorks, the first book you read is Saul Alinsky’s Rules For Radicals. We’re avid students of the political left,” he said. “I’ve spent years living in Eastern Europe. I’m aware of of it, but I guess the symbolism we’re going for is angry taxpayers as a group. So I guess the symbolism is kind of fun.”

If anything, the Tea Parties and similar events are efforts to tap into the energy of the left. “I’ve gone to a number of left rallies, and they tend to be fun,” said Brandon. “People go out protesting, and spend some time with some like-minded folks, and we’re looking to do that on our side.”

Hundreds of Gwinnett Residents Protest Proposed Tax Hike

abrandon — Wed, 01 Jul 2009 17:36:53 -0400

Close to 300 Gwinnett County residents gathered at Suwanee Town Center Park on Monday evening to increase pressure on the County Commission to balance its budget without raising property taxes.

The rally, sponsored by FreedomWorks and Atlanta Tea Party Patriots, featured an array of state and local officials, including state Insurance Commissioner John Oxendine, Rep. Melvin Everson (R-Snellville) and Secretary of State Karen Handel.

“Real Republicans cut spending at all levels,” said County Commissioner Mike Beaudreau, who has already spoken out against the proposal.

Beaudreau encouraged the crowd to go home and study their tax bills and examine all levels of tax increases from all levels of government.

Adopting a theme raised by other state officials and the three mayors who spoke at the rally, Oxendine said government needs to understand that families and businesses are struggling. He said taxpayers understand cutting services is difficult. He said his office has 20 percent fewer employees than it did 14 years ago.

“Smaller government means we all have to give something up,” he said.

Commission Chairman Charles Bannister told the crowd of his 34-year history in government as a conservative.

Among the crowd of predominantly Suwanee residents, Fred and Melissa Murphy of Lawrenceville said they came because they were alarmed at the size of the proposed rate hike.

The county plans to balance its 2009 budget with a 25 percent to 30 percent hike in its property tax rate.

“At what point do they raise taxes to where we have to move?” Fred Murphy asked. “At the same time, taxpayers from elsewhere won’t want to move here if the rate hits a certain point.”

County commissioners are expected to vote on the mill increase Tuesday following the third public hearing on the matter scheduled for 10:30 a.m. at the Gwinnett Justice and Administration Center in Lawrenceville.

At a news conference Thursday, Bannister said he would vote to postpone the rate increase and ask county agencies to come up with more cuts in the budget.

Beaudreau, who cast the only vote against the $1.7 billion budget when it was passed in March, says he likewise favors more cuts.

Bannister’s announcement came in the wake of strong protests at two public hearings held May 26 that drew about 400 people.

Complicating matters for the county is a state-mandated service agreement that will ultimately determine how much city residents can be assessed in county property taxes. The deadline for that agreement was March 1, but county and municipal leaders have not been able to hammer out a deal. Both sides are now under court order to continue mediation after talks broke off in mid-May.

Without an agreement, county officials cannot know precisely how much revenue to expect from about 20 percent of the population who live in one of Gwinnett’s 15 cities.

Mayors Rex Millsaps of Lawrenceville and Diana Preston of Lilburn met informally with Bannister on Monday to review the points of contention and see if a pact could be crafted. Millsaps said he was encouraged by the meeting and felt negotiations were back on track.

A third round of formal mediation is scheduled to resume at the beginning of next week.

Next Tea Party Steeped in Patriotism

abrandon — Wed, 01 Jul 2009 17:06:03 -0400

NAPLES — More tea, anyone? Organizers of the April 15 “tea party” protest at U.S. 41 and Pine Ridge Road are lining up a repeat performance, this time as part of Naples’ Fourth of July parade.

Barry Willoughby, one of the leaders of a loose confederation calling itself Naples Tea Party has received permission from the city to have a float in the parade, which will kick off at 10 a.m. on Fifth Avenue South.

The next thing to do is decide on a design. The working concept is a Washington-Crossing-the-Delaware theme with a borrowed truck pulling either an actual boat or a trailer made up to look like one, Willoughby said.

He hopes to include a Revolutionary War color guard with flags of the period and as many sign-carrying marchers as he can muster.

That’s where the July 4 event will split from the one of April 15.

The city’s parade rules require elements to carry a Fourth of July theme. On top of that, Willoughby says he wants signs to be positive. “I’m hoping I don’t see one sign with ‘Obama,”’ he said. Negative signs tend to give critics of the tea party movement ammunition.

With hundreds, perhaps thousands of people lining both sides of U.S. 41 on April 15, Willoughby said there was no way organizers could control the message that went out. One sign that sticks out in his memory stated simply “Obama Sucks.”

“I’m not going to allow that,” this time, he said.

It’s not about curbing free speech, he said, but rather of abiding by the parade rules and focusing the tea party group’s message. “I don’t want the other side to define what the movement is about.”

People who disagree with what the movement stands for are free to get their own spot in the parade. “I’m not going to deny ACORN marching in the parade. Get your own float.”

And what does the movement stand for? It’s pretty simple, Willoughby said. It’s about smaller government, reduced spending and following the Constitution. “We really don’t have a platform.”

There were at least three separate tea parties around Naples in April but Willoughby says as far as he knows, no other July 4 events are scheduled locally.

The next big tea party is brewing for Sept. 12 at the National Mall in Washington, D.C.

Sponsored by the National Taxpayers Union, the Club for Growth and the Ayn Rand Center for Individual Rights, among others, the 09.12.09 National Taxpayer Protest seeks to build on the momentum generated by the April tea parties.

So far, roughly 3,000 people have registered to attend, a far cry from the 500,000 estimated to have attended the more than 500 tea parties held April 15. But organizers are optimistic the number will grow as the date approaches.

“We have been inspired by your involvement in this cause, and we believe that we can work together to send a message to the politicians in Washington that we’ve had enough of the wasteful spending, trillion dollar deficits, bailouts, and taxes,” writes Matt Kibbe, president of FreedomWorks.org, one of the event sponsors.

Willoughby is interested in hearing from anyone wishing to take part in the July 4 parade with the tea party group. He can be reached at 498-8787.

For more information about the Sept. 12 event, go to http://912dc.org.

Reading Between the Health Care Spin

nswift — Wed, 01 Jul 2009 15:58:31 -0400

Confused by all the soundbites flying around the Hill on health care? Worry no longer. Writing at the Wall Street Journal George Newman succinctly (and simply) takes apart the heath care debate spin.

“Forty-five million people in the U.S. are uninsured.”

Even if this were true (many dispute it) should we risk destroying a system that works for the vast majority to help 15% of our population?

- “The cost of treating the 45 million uninsured is shifted to the rest of us.”

So on Monday, Wednesday and Friday we are harangued about the 45 million people lacking medical care, and on Tuesday and Thursday we are told we already pay for that care. Left-wing reformers think that if they split the two arguments we are too stupid to notice the contradiction. Furthermore, if cost shifting is bad, wait for the Mother of all Cost Shifting when suppliers have to overcharge the private plans to compensate for the depressed prices forced on them by the public plan.

- “A universal plan will reduce the cost of health care.”

Think a moment. Suppose you are in an apple market with 100 buyers and 100 sellers every day and apples sell for $1 a pound. Suddenly one day 120 buyers show up. Will the price of the apples go up or down?

Read the whole thing. Then print it and tape it above your desk or carry it around in your pocket. It’s one of the most useful guides health care policy pitfalls you’ll find anywhere. Red State gets a big h/t.

And if you have a few minutes left, John Stossel’s piece “‘Better’ Health Care?” over at Real Clear Politics is well worth it.