Turn your speakers up! FIGHT BACK!

Wealth didn't trickle down, everybody's screwed now
Free ride, only for the biggest of the banks
They've made it well known, they don't want to pay for roads
Let me tell ya something bout' our friends B of A...

Dead beats, tax cheats, hiding money overseas
Take this piece of shit loan, rate it "Triple A" please
Tape off Wall Street, white collar crime scene
Shut down, marked out of business temporarily

We didn't start the fire
It was always burning, since the world's been turning
We didn't start the fire
No we didn't light it but we gotta fight it

Always jackin' up the rate, never give a man a break
Make the poor pay for the rich man's mistakes
Hedge fund fat cats, I propose a new tax
70 percent for being such huge douchebags

Next crisis that you face, don't ya come to us and beg
We ain't gonna bail you out, you can go to hell

And next time, by the way, people try to rob your bank
Don't you call on our cops, you can fuck yourself

And we ain't puttin out your fires
Cuz your greedy asses never paid your taxes
If companies didn't cheat, we could pave our streets
We could educate our kids, that's just what the fact is

Politicians want to cut pensions they should leave alone,
Privatize the profits, let the losses hit the old folks
When the stocks crash, what you saved gets bled dry
Funneled up to Wall Street & you ain't got a life line

Make em chop from the top, don't you cut another cop
Go to where the money is, don't you cut our services
Government we used to know, picked clean to the bone
Business big wigs aren't paying what they owe

"OUR EDUCATION IS UNDER ATTACK,
WHAT DO WE DO?
FIGHT BACK."


Lyrics by Chris Priest (except the first chorus)

Shared sacrifice? Bernie Sanders asks us to ACT

Dear Mr. President,

This is a pivotal moment in the history of our country. Decisions are being made about the national budget that will impact the lives of virtually every American for decades to come. As we address the issue of deficit reduction we must not ignore the painful economic reality of today - which is that the wealthiest people in our country and the largest corporations are doing phenomenally well while the middle class is collapsing and poverty is increasing.  In fact, the United States today has, by far, the most unequal distribution of wealth and income of any major country on earth.

Everyone understands that over the long-term we have got to reduce the deficit - a deficit that was caused mainly by Wall Street greed, tax breaks for the rich, two wars, and a prescription drug program written by the drug and insurance companies. It is absolutely imperative, however, that as we go forward with deficit reduction we completely reject the Republican approach that demands savage cuts in desperately-needed programs for working families, the elderly, the sick, our children and the poor, while not asking the wealthiest among us to contribute one penny.

Mr. President, please listen to the overwhelming majority of the American people who believe that deficit reduction must be about shared sacrifice. The wealthiest Americans and the most profitable corporations in this country must pay their fair share.  At least 50 percent of any deficit reduction package must come from revenue raised by ending tax breaks for the wealthy and eliminating tax loopholes that benefit large, profitable corporations and Wall Street financial institutions.  A sensible deficit reduction package must also include significant cuts to unnecessary and wasteful Pentagon spending.

Please do not yield to outrageous Republican demands that would greatly increase suffering for the weakest and most vulnerable members of our society.  Now is the time to stand with the tens of millions of Americans who are struggling to survive economically, not with the millionaires and billionaires who have never had it so good.    

Respectfully,

Sen. Bernie Sanders;
and Co-signers

Capitol rallies line up in face of government shutdown

by Briana Bierschbach
Published: June 28,2011
Time posted: 11:26 am
Tags: Mark Dayton, protest, Shutdown showdown

There will be no shortage of protests at the state Capitol in the coming days, as GOP legislative leaders and Gov. Mark Dayton remain at an impasse on the $5 billion budget deficit and face an end-of-the week government shutdown deadline.

Mostly union and left-leaning groups are lining up rally and parade permits that will likely span late into the evening on Thursday, as they try to put pressure on both sides to make a deal. Mental health advocates will kick off activities Tuesday evening on the Capitol steps, where they will sport glow sticks and signs to urge the governor and legislators to support mental health funding. Progressive group Take Action Minnesota will be collecting petitions calling for more revenue, and plan to deliver them to legislators on Wednesday.

Most of the action will happen on Thursday in St. Paul, a day before state government could shut down absent a budget deal. More than a half dozen groups have planned rallies on the Capitol lawn starting at 10 a.m., including the Minnesota Council of Nonprofits, MAPE, the Welfare Rights Committee, Council on Asian Pacific MN and Invest in Minnesota.

A new group, US Uncut Minnesota, is also planning an afternoon parade starting on Kellogg Boulevard and Wabasha Street that will eventually lead to the Capitol lawn and join other shutdown rallies. The group also plans to “deliver hundreds of pink slips to GOP legislators who are still collecting pay for not doing their jobs, which is to provide health and safety for all Minnesotans,” the group’s website reads. Permits allowing, some rally goers may camp out on the Capitol lawn to protest the closing of state parks.

AFSCME will also be on the Capitol lawn Thursday evening to hold a ceremony asking leaders to keep the “lights on” and continue working. The union is encouraging protesters to bring flashlights.

There have been few GOP-led events scheduled for the coming days. GOP Gretchen Hoffman, Rep. Mary Franson will hold a rally in support of the Republican budget bills Tuesday evening at a park in Fergus Falls. Republican Reps. Bud Nornes, Mark Murdock, Torrey Westrom and Sen. Bill Ingebrigtsenhave also been invited to speak at the rally.

Government Shutdown Activities Thursday

MINNESOTA ACTION: Government Shutdown Activities Thursday

There are several government shutdown events going on from 10 a.m. until midnight Thursday that ADAPT members (especially as informed Minnesota citizens) may wish to participate in as a show of solidarity and active citizen participation even though the events are not directly organized or sponsored by ADAPT...

1.      Invest in Minnesota Action at 10 a.m. [ More Information on the Web ] [More Information on Facebook ]

2.      Welfare Rights Committee Action at Noon [ More Information on Facebook ]

3.      USuncutMN FIGHT BACK!  Minnesota!  Shutdown Eve Parade and Rally at 1:30 p.m. [ More Information on the Web ] [ More Information on Facebook ]

4.      MAPE Pre-Vigil Cookout at 6:30 p.m. [ More Information on the Web ]

5.      AFSCME / MAPE Shutdown Eve Vigil at 9:00 p.m. [ Flyer from AFSCME ] [ More Information from MAPE ]

http://news.yahoo.com/special-report-little-house-secrets-great-plains-113759191.html

A little house of secrets

An unassuming home in Cheyenne, Wyoming serves as a little Cayman Island—serving as headquarters for some 2,000 companies. It belongs to a business-incorporation specialist that establishes firms which can be used as "shell" companies, paper entities able to hide assets.   Full Article 

• How two shell firms duped the military
• Video: Shells can hide shady dealings
• Deep End: Secrecy Inc. in the U.S.

In Defense of Good Government: John Marty

In Defense of Good Government
by Senator John Marty June 28, 2011
Why does one need to write in defense of good government? Because right wing politicians have vilified government. Under their relentless attacks, government is portrayed as evil - something Grover Norquist wants to reduce "to the size where I can drag it into the bathroom and drown it in the bathtub."  Norquist is not an insignificant figure. He founded Americans for Tax Reform, and is a key strategist behind the Republican Party attack on government. This assault on government is not a compassionate attempt to serve the public good. Norquist says, "Our goal is to inflict pain. It is not good enough to win; it has to be a painful and devastating defeat.... It is like when the king would take his opponent's head and spike it on a pole for everyone to see." Inflicting pain on others does not further the values of democracy. Contrary to the public's desire for civility, Norquist says, "We are trying to change the tones in the state capitals -- and turn them toward bitter nastiness and partisanship." Here in Minnesota, and next door in Wisconsin, it is obvious how successful Norquist and his allies have been in that battle.Let's step back from that. I want to speak in defense of goodgovernment. In Abraham Lincoln's words, our government was instituted "of the people, by the people, and for the people." Government is not them. It is us. Government is not inherently good or evil; it's how people choose to govern themselves.As society and the economy become more complex, we need government to create the infrastructure to establish justice and to promote the general welfare. In primitive societies, with smaller communities and simpler lives, government was also much smaller. Food and necessities were produced locally; labor was done by family or neighbors. There was no Wall Street. No corporate boards made decisions affecting the lives of truly anonymous workers and consumers. No need for air traffic control or a pollution control agency.In our increasingly complex society, we need to work together to give all children access to quality education, to ensure that products we buy are safe, to pay for roads and bridges and public safety, to protect the environment, and to help those who are sick and vulnerable and unable to fend for themselves. It is through government that we can effectively address these needs. It is also, almost always, less expensive to do so collectively - it's far cheaper to pay for a clean public water supply than to have each household drill their own well, and test and purify their own water. Yet right-wing politicians across the country have been signing Norquist's No New Taxes pledge; a pledge that allows no exceptions, whether for growing needs, for emergencies, or natural disasters. Under the anti-tax ideology, if children go hungry, that's tough. If bridges collapse, too bad. After the 35W bridge collapse, Governor Pawlenty supported a tax increase to fund bridge construction needs (his spokesman explained, "Yes, it's accurate to describe this as a breaking of the [no-tax] pledge," because of the "extraordinary circumstances"). However, when pressure from the anti-tax lobby became too strong, Pawlenty backed away. But the bridge collapse was real, and the need to address transportation safety didn't disappear. The only thing that changed was Pawlenty's decision to ignore the need in favor of an ideological pledge against taxes. Meeting the needs of society can be expensive. Back in 1941, the attack on Pearl Harbor did not come at a convenient time for the United States. Our nation was still struggling to recover from the Great Depression, and the federal government had no financial capacity to fund World War II. Yet all Americans sacrificed. In addition to the unmatched human sacrifice on the battlefield, there was an incredible economic sacrifice that needed to be paid for with higher taxes. Americans understood the need to work collectively to stop the brutal fascism that was taking over the world. As a nation, we pulled together to build a better future for the next generation. This is not a defense of all government. No one in the Minnesota legislature has been more outspoken than I in criticizing inappropriate spending, such as for corporate subsidies. No one has been more outspoken in fighting against government intrusion into private lives and decisions about whom one can marry. No one has been more outspoken against the corruption of special interest money in politics and the need for government reform.I'm speaking out in defense of good government, which includes criticism of bad, ineffective, and inappropriate government. But it also requires defending that which government needs to do, even if it means higher taxes. The people of Minnesota and our economy do better if we invest in early childhood education. We all benefit if everyone has access to preventive health care. We benefit if low-income workers have public transportation to get to their jobs and quality childcare to watch their children while they are at work. Failing to provide chemical dependency treatment to prisoners makes us less safe when they have served their time. Making college too expensive for students robs us all of their potential. The right-wing assault on government has been so brutal that there are times when few Democrats are willing to stand up and speak out. The rhetoric of Democrats from President Obama on down focuses on the need for cutting spending (yes, some of that focus is on inappropriate spending) but it feeds on the Republican frame that government is evil and less spending is better. A decade ago, even among DFLers, there were only a handful of votes against the huge Minnesota income tax cuts that led to our current budget crisis.Republican legislative leaders say we are spending too much and we need to cut back. Their budget makes deep cuts in services. But do we make Minnesota a better place by cutting the funds needed for investigation of child abuse? Or by denying health care to sick and disabled people? Much of the growth in government comes, ironically, from our failure to invest the funds needed to prevent those problems. If it requires more revenue to meet those needs, we should raise taxes rather than accept those cuts.When Republican legislators are voting, unanimously, for cruel cuts which affect the most vulnerable people in society, and some of those same politicians support tax increases for a publicly-funded stadium for a billionaire team owner, it is time to speak out. There is no better illustration that government is not inherently good or bad. I choose to speak out, not only in criticism of bad government, but also, in defense of good government.
To the Point!  is published by the Apple Pie Alliance.  www.apple-pie.org.  If you know others who would enjoy To the Point!, please forward this.

ERIC BLACK INK

Judge: State courts will remain open during shutdown

The state court system will remain open, even if the state government hits partial shutdown mode on Friday.

A retired judge, Bruce Christopherson, who had been specially appointed by the Supreme Court to handle that portion of the case, ruled that without a functioning court system  it would impossible to guarantee various constitutional rights that are guaranteed to Minnesotans. So he ordered that the judicial branch receive a continuation of its state funding at the same level as the current biennium, which expires June 30.

The question of which other state functions might stay open during a shutdown in under advisement before Kathleen Gearin, chief judge of Ramsey County District Court. Gearin recused herself from hearing the portion of the case that affects the judicial branch, perhaps because she is a member of that branch and her own salary and those of her staff would be at issue. Christopherson, as a retired judge, was paid by the day to handle that part of the case.

In his order, Chrisopherson acknowledged that the state constitution bans any money being spent without "an appropriation by law." But he said the constitutional harm of closing the court system was certain, while the question of whether spending that occurs under an a court order  might qualify as a kind of appropriation was less clear.

Posted by Eric Black

Camping permit DENIED. DENIED. DENIED. HELP!

To the friends of US Uncut Minnesota,

I will have to put out a new press release.  The one attached was a DRAFT release.

The camping permit is DENIED.  No official confirmation but by the St. Paul police.  No reason has been given and I was asked what I intend to do.  My intention is: to move forward with a much needed protest/rally/healing "ceremony" for those suffering under the hands of those who would take away our rights and our survival.  The doors of our Capitol and other government buildings being locked is a horrendous thing.

The shutdown is a DONE DEAL.  They have no time left to prevent it as they cannot write the legislation in time, print it and call a Special Session.  There is no "miracle" about to occur.  

Not giving the camping permit is an attempt to KEEP PEOPLE OUT OF TOWN or a cynical ploy to avoid taking responsibility for the citizens who come to Saint Paul to protest a very real outrage that has been given to them by forces from outside our state.   The right wing has PLENTY of money to come here and cause people trouble and they issue orders top down.  The problems created in Wisconsin and Michigan and other states should be avoided here. The price to do that is not very high.

Our first Amendment rights are being denied by the City of Saint Paul, supposedly by the Parks and Rec Department.  I was notified via the Saint Paul police department, Commander John Vomastek, 651-253-5644.

We need a very good lawyer right away and of course a FB, TWITTER, telephone campaign to ensure our concerns are heard every day of the shutdown.  Only a strategy of persistent resistance will end the violence and cold-bloodedness of a shutdown.  We totally stand behind OUR Governor and the Attorney General as well.  They have fought for our most vulnerable citizens.

We stand at a historic moment in Minnesota. The locking of the doors of OUR Statehouse.  When those doors reopen is not known.  In the meantime until we get our government back working at fulfilling their oaths of office I suggest we treat each with compassion and kindness.  We are closing 77 State parks Thursday.  We are leaving people without funds to pay rent and mortgages, our revenue stream into the state abruptly stops.

But thus far, the type of cynicism we are seeing about us being able to influence our government being denied.  It will be the death of democracy and the powers that be have played entirely into the Conservative right's hands by this action.

Giving out the "messenger's phone number" will not help us at this point:  We still have not been told WHO IS IN CHARGE here.  There will be NO state government in a matter of hours.  Their "war plans" should have included the possibilities I am suggesting since January in the Saint Paul police department.

I and those who have worked with me for many months, are not responsible for what happens when angry people come to the rally now nor in successive days. 

I am not their Commander - and the right wing works top down unlike our NONVIOLENT protestors who support Our Governor 100%.

Why can 500 canoeists be given a permit for Hidden Falls but we are denied one?

Perhaps a joint press conference by moveon, the other 98%, Vets for Peace, the IWW and other interested parties is in order for tomorrow?  We can announce our dissatisfaction and pitch our effort to get food in food banks as the SHUTDOWN occurs.  We have worked diligently and hard to build the most successful coalition in Minnesota history and continue to "drive the conversation.

May this shutdown be brief. Don't let the GOP have time to say "Oh, the numbers were wrong!  Let's "negotiate" some more.")

Solidarity,

Virginia Simson

(founder:  "Camp no State and/or City Parks")

Constitutional chicken: litigating the Minnesota shutdown

BY DAVID SCHULTZ, SCHULTZ'S TAKE

June 27, 2011

As kids we played chicken all the time, daring someone to do x or cross over a line. The same game of chicken is being played now with the Minnesota budget and economy. First it was between the Governor and the Republican legislature during session, now in Court and the participants have expanded to include the Attorney General, interest groups, and the courts themselves.

At Thursday’s hearing in Ramsey County (which I attended) Judge Gearin closed the day by indicating that all of the sides were playing chicken with the state. And numerous times she admonished that the stakes were high, the problems serious, and that no one should expect her to bail them out. In many ways, her threat too was one of chicken. Do not expect her to blink. See my first thoughts on the court proceeding on Fox 9 from Thursday, June 24, 2011.

The Stakes

There are numerous agendas at play here. Of course, there is the agenda to secure a budget by July 1, to avert a shutdown. There is also a broader agenda between contending and philosophical views on state spending and what role we view for the government in our society. But there are also significant other economic, political, and legal or separation of powers issues here.

Economic

The economic stakes are significant. I discuss them on Kare 11 on Thursday, June 23, 2011.

According to the Bureau of Labor Statistics the May unemployment rate in Minnesota was 6.6%. This is based on a state workforce of 2,977,400, with total employed being 2,781,000 and unemployed 196,300. Assume all 36,000 state workers given notice are furloughed. Using the May figures, this pushes the total unemployed to 233,300, yielding an unemployment rate of 7.8%. The economic consequences of the shutdown are apparent–nearly a 20% increase in the unemployment rate almost immediately.

Laying off state workers and cutting state services is only the beginning. There is also the multiplier effect. By that, for every dollar of state spending, it produces more down the line. Paying public employees means they will additionally purchase food or consume items, thereby resulting in more spending across the economy. Now some market fundamentalists claim the government adds no value and produces no multiplier. Yet they are often the same ones who claim that tax cuts for the wealthy trickle down to the poor.

Mainstream economists who have studied government spending verify that multiplier effects exist. University of California San Diego Professor Valerie Ramey is considered the leading expert. She indicates that the historical average for the United States government is 1.4. For every government dollar the ripple effect across the economy is $1.40. Money spent early in a recession has a larger multiplier than in a recovery. The multiplier effect varies with consumption. Government spending placed in the wallets of those who will consumer more of it will produce greater multipliers than those who do not. This is the concept of marginal propensity to consume.

Minnesota’s current gross state product (GSP) is about $275 billion. One estimate from the United States government is that Minnesota spending is $20 billion per year, or about 7% of the GSP. Assume a State multiplier of 1.4x; then total annual state spending produces additional effects equal to another $8 billion. Suddenly state spending accounts for over 10% of the GSP.

The shutdown will clearly have dramatic effects on the economy and unemployment rate beyond laying off state workers. The State recently informed 572,000 Minnesotans on cash welfare, food support and health care programs; 7,000 families receiving adoption assistance payments, and 26,000 families receiving child-care subsidies that they may not receive help after July 1. All these are individuals who will most likely consumer most money they receive from the government, thereby producing a higher multiplier effect. But the multiplier does not stop there.

Many private vendors and contractors doing business with the state–including those from the private and non-profit sectors–may not get paid and would stop work. Local governments too, facing uncertainly and a halt to payments, might also be forced to layoff. It is not inconceivable to see a partial or total shutdown of the state pushing the unemployment rate to over 8%.

Political

The political stakes here are significant. The GOP Legislature and the Governor are in a battle over who controls the state and the political agenda. But both are also battling with their bases.

If the GOP blink and compromise they have a better chance of winning re-election in 2012. But if they do they alienate their political base and Tony Sutton, facing challenges from the right. They are trapped by their own rhetoric.

Dayton so far has played it well with the cut spending and raise some taxes and then agreeing to cut more and reduce some taxes. Public opinion still supports him but recent polls show support for him is down to about 43%–approximately his vote last November. He is down to base politics in terms of support for his leadership. But support for the legislature is in the 25% range–even worse. Dayton can continue to use the 4/2 strategy to his advantage. He is up for election in 2014, the GOP next year 2012. An angered public takes it out on them first.

If Dayton forces the GOP to crumble because of public opinion and fears of 2012, he breaks the GOP’s back. He does that by pushing Tony Sutton and the TEA Party wing to challenge the already conservative state GOP, forcing a war within the party.

Dayton has to win this battle to retain support of his base, he appears to have lost support from all but that. If he gives in anymore he damages support to his core constituency. Thus the reasons or why Dayton added medical payments at the last minute to his list of core functions to be funded–better not alienate the grandma in the nursing home vote.

Legal

The legal battle here are amazing and reveal contrasting views of the State Constitution and political power.

AG Swanson has produced the best legal brief and arguments that build on past state law. She has argued for a more expansive notion of core functions, using her consumer advocate role to represent the people. Her brief argues for continued funding of federal mandates, the constitutional obligations, statutory requirements, and protection of vulnerable people in the event of a shutdown. This would result in a soft shutdown, less onerous than Dayton.

Dayton’s legal arguments are most fascinating. He first asks that Judge Gearin order mediation. She cannot do that since the legislature is not a named party and therefore cannot be brought into mediation. There also are constitutional problems (separation of powers) in issuing this order. not issue any orders until after July 1. Dayton’s second legal argument is that the issue is not ripe. He also opposes allowing the joining of additional parties, contending that there is no real dispute here yet. His attorney argues that once July 1, hits, then maybe one can go to Court to order certain action but until then there is no real legal issue. But more importantly, Dayton has suggested that he has inherent constitutional authority as governor to act on July 1, to keep core state functions going! This is an amazing argument based on separation of powers and the governor’s veto. His arguments remind me of Nixon during Watergate, Bush after 9/11, and Pawlenty when he acted to use unallotment to end the budget impasse. This is a significant assertion of authority. Dayton’s arguments for the funding of core functions by the court is far less than Swanson, but the legal implications of his arguments more extensive.

Now the GOP. First the four GOP senators who cannot shoot straight. First they go to the Supreme Court asking a halt to the Ramsey County proceeding. The basis of their claim is that they did not think they could win in district court so therefore they wanted to go to the Supremes. (They also mentioned in their brief that they did not want the court to intervene since it would change the balance of power in a political dispute). The Supreme Court correctly told them to go to district court. They reminded them they would take original jurisdiction only in emergencies and this was not one. Overall they instructed them on Civil Procedure and Law School 101–file complaints in the proper court and don’t venue shop.

Then on Thursday the same gang of four ask the judge to order Dayton to convene a special session. They somehow forgot the plain language of the state constitution textually commits this decision to the governor. Somehow all the language about the political question doctrine, separation of powers, and constitutional interpretation they developed in their Supreme Court brief was forgotten. This is also the gang that takes what they think is a literal reading of Article 11 of the State Constitution in contending (wrongly) that only the legislature can appropriate funds. Obviously they have forgotten about issues such as the Supremacy Clause and do not understand the difference between the state and federal constitution.

Then there is the House and Senate GOP. Their main legal strategy seemed to be to agree with Swanson and allow for more of the government to be run as core functions. If Swanson wins then the GOP get the minimal government they want.

Finally, the courts are a major player here. They too have filed to make sure they are funded. And then of course Gearin. She made clear her disgust with the whole process, threatening minimal action that will please no one.

Overall, everyone is playing chicken. But what are the real stakes here? Former AG Mike Hatch stole the show. He indicated he was representing a woman who received state medical assistance to breathe. He pointed out that she wanted to continue to do so after July 1. That summed it up.

Closing Thought

How long the shut down? Submit your answers to my blog. I do not know how long but am certain it better not go to State Fair time. Imagine 1.6 million angry Minnesotans talking to elected officials at the Fair.

David Schultz

David Schultz is a professor in the School of Business at Hamline University.

Minnesota shutdown: Budget talks back on

ST. PAUL — Minnesota’s top politicians resume talks today after Gov. Mark Dayton refused a chance to offer hope that state government will remain open when the budget runs out Friday.

By: Don Davis, Forum Communications

ST. PAUL — Minnesota’s top politicians resume talks today after Gov. Mark Dayton refused a chance to offer hope that state government will remain open when the budget runs out Friday.
“Either one is possible, either we will or we won’t,” Dayton said about a shutdown. “I’m not going to lay odds on that.”
The Democratic governor’s comments came after a Monday meeting of less than an hour with the top two Republican legislators. They emerged to say negotiations will continue this morning and Dayton’s office reported he could be involved most of the day.
Otherwise, the trio left their “cone of silence” intact and refused to discuss any budget negotiations specifics.
However, House Speaker Kurt Zellers, R-Maple Grove, and Senate Majority Leader Amy Koch, R-Buffalo, did speak out in a controversial email to state employees in which they agreed with an editorial about Dayton’s negotiations: “This is not a compromise. This is hostage taking.”
Dayton, Zellers, Koch and key aides met all day Friday and Saturday, but talks abruptly broke off Sunday after just over an hour, with no explanation.
The three are heading talks aimed at avoiding a government shutdown that will begin Friday if they do not agree on a new budget. Republicans want to spend $34 billion in the next two years, while Dayton’s budget calls for $35.8 billion, helped by a $1.8 billion tax increase on the state’s best earners.
Making the budget-writing exercise more difficult is the need to fill a $5 billion deficit at the same time.
Zellers and Dayton defended the pledge of silence about budget talks.
“We can have frank and honest conversations,” Zellers said.
Added Dayton: “We tried the other way, the public process, and you have seen the impasse. ... We are doing everything we can to resolve the impasse.”
Zellers and Koch asked “some very good questions,” Dayton said of their Monday meeting. He said he gave them some answers and told them he would have to think about other questions and get back to them.
The speaker could not give a real deadline for finishing the budget.
It would take time to do the technical work, such as rewriting and printing bills, but he has not asked when an agreement needs to be made for that budget bills still to pass by the end of Thursday. Many in the Capitol say it already is too late for the physical work to be done in time.
Zellers said Minnesotans understand why this year’s budget talks are taking longer than usual: “Because this is a very different legislative makeup, because these are tough economic times, these are difficult budget items to work through, it is taking us a little longer. I think most Minnesotans would say do it right, get it right the first time and if takes a little longer it is worth the while.”
Koch, who stood next to Dayton and Zellers after their meeting but did not talk, joined the speaker in a letter they sent to a state employees saying that they do not want a government shutdown.
The email promoted a Republican-passed budget while criticizing Dayton. Some employees did not like the message.
Executive Director Jim Monroe of the Minnesota Association of Professional Employees, state government’s second largest union, said, “Many of our members have termed it (an) inappropriate ‘political’ letter.”
In a statement, Monroe told Zellers and Koch that they support Dayton “and do not trust what tricks your party will pull during a legislative session. Leadership is about compromise and fairness for the common good, not ideology that allows the rich to get richer. You are jeopardizing our members’ livelihoods and financial well being by not compromising with Gov. Dayton.”
Zellers told reporters that he and Koch were just trying to express concern and tell employees “we don’t want a shutdown.”
He said it was supposed to go to all state workers, but his office does not have a complete email list.
While the speaker said that he has heard no complaints about the email, a Dayton spokeswoman said their office has received several.
GOP staffers provided the media with letters from Dayton commissioners that blamed Republicans for the budget problems.
Davis reports for Forum Communications Co., which owns the Herald.

A rose is a rose .. (are you sure, Arne?)

BY ARNE CARLSON, GOVERNOR ARNE CARLSON'S BLOG

June 24, 2011

As we head into the final days before a state government shutdown, there will be increased proposals for settlement and more speculation on what will likely transpire.  The June 22nd Star Tribune contained an interesting editorial essentially suggesting that the healthcare provider tax be increased and that this increase be regarded as a surcharge and not labeled a tax increase thereby saving face for legislative Republicans.   Ultimately, this surcharge would produce some $600 million in new revenue which would come from state providers and the federal government.  The benefit would not only be the additional money but, more importantly, the preservation of MinnesotaCare and keeping some 85,000 to 140,000 people on the insured rolls.  Further, it would prevent thousands more from being disenrolled from Medicaid.  Overall, it is a huge step forward.

However, relative to the overall settlement it still leaves the Republicans and the Governor approximately $1 billion apart.

In terms of politics, the editorial is disturbing.   Allowing disagreements to be settled in a way that saves face is as American as baseball and the hotdog.  But saving face is considerably different than the perpetuation of a fundamental untruth.

It has to be said once and for all that a variety of taxes were increased under Governor Pawlenty and no amount of camouflage can mask that realty.  As a matter of fact his “borrowing” of some $400 million from the health care access fund has helped precipitate this crisis.

In addition, the current Republican budget proposals contain some $400 million in property tax increases (http://www.scribd.com/doc/55548698/5-16-11-Compromise-Budget) on top of a variety of other cost increases.  It should also be noted that Republican legislators (Sen. Julie Rosen-Fairmont and Rep. Morrie Lanning-Moorhead) are the authors of legislation to provide public funding for the building of a Vikings stadium in Ramsey County.  This increase in the sales tax in Ramsey is a tax increase just as Pawlenty’s support for a Twins stadium was a tax increase in Hennepin County.

It should also be remembered that when oil company executives testified in Congress against the removal of public subsidies for oil, many Republican leaders declared that any withdrawal of subsidy funding would constitute a tax increase.  If that is to be the case, then what about the thousands of Minnesotans thrown out of healthcare and told to go on “vouchers” to pay for policies that are beyond the financial reach of low-income people?   Is that not a tax increase?  How about the student losing state support from institutions of higher learning and having to pay higher tuition?  And what about the rest of us who will pay higher healthcare premiums to accommodate the costs of the uninsured receiving emergency care?  One must also add to this list of growing tax increases the likely wage losses that would be suffered by public and private sector employees who are laid off as a result of the shutdown.

Frankly, this debate could use a lot more honesty and far less propaganda.  The bottom line is that both budget proposals contain revenue enhancements or tax increases.   It is not a question of labeling, it is a question of who pays and how

Arne Carlson

Arne Carlson served as governor of Minnesota from 1991-1999.

America’s Zany Economy: Money for Nothing and Your Crap for Cheap

Posted: 26 Jun 2011 10:25 AM PDT

We’re all familiar with the perplexing state of the jobless recovery. More and more Americans are unemployed, underemployed, medically uninsured, and facing foreclosure, while those in the banking and investment sector, whose criminal speculation and fiscal irresponsibility caused the mess we’re in, are making more money than ever before. But, many of us don’t realize the desperate lack of vision that limits the potential for any recovery.

The wealthiest in America produce nothing; they only make money. Banks, financial institutions, insurance companies, et al, make their money by either passing it from one place to the next and taking their middle-man cut, or by holding services such as health care for hostage unless you purchase their incredibly expensive product that does nothing more than prevent or allow you access to ‘some’ of the services you may require to save or maintain your life.

While the rest of the world is busy surpassing America in infrastructure, public transportation, green energy alternatives, public education, and health care, American’s have decided to skip meaningful investment in solar and wind power, high speed rail, education, health care, etc., and focus on how to stabilize the unstabilizing banks with money they don’t have while creating as many McJobs as are needed to replace the middle-class with a mass of working poor, and find new cheaper trinkets for them to continue their role in the consumer culture despite their ever-dwindling resources.

Introducing Zany Bandz. Silicone rubber bands in the shapes of animals used primarily by children as baubles on their arms. They’re taking the country by storm. Woo Hoo! They wear them by the dozens, of course. One piece of useless crap wrapped around one’s arm is practically un-American when you have the option of putting dozens of pieces of useless crap on your arm. The company has also branched out into silicone rubber watch bands that can be slapped against the wrist, causing the band to wrap around the wrist and hold the watch in place. You know, the kind of watch that is rapidly going out of use because everyone has a clock on their cell phone, iPad, or iPod.

Their main purpose seems for young people to be able to put them on their arms, by the dozens, and not have to take them off. Yay. They can withstand everything from salt water and deep sea diving, to hot ,dry, desert-like conditions. Yay. They’ll likely last forever. One day someone can make some money figuring out how to recycle the Mount Everest sized pile of them, that’s sure to end up in the land fill, into something equally as tacky and unimportant… like the jelly sandals Jeff Bridges wore in The Big Lebowski. What would the 90′s have been like without those? We wouldn’t want to miss another chance to recycle useless crap into more useless crap. All we need to do is fire up another toxic manufacturing process to break down and then reconstitute these things into more crap that will be recycled into yet other crap at a future date. Is this what’s meant when they say the economy is crap?

This company has been championed as the kind of American ingenuity and entrepreneurial spirit that makes America great and will rebuild the dangerously stagnant economy. People can be employed at a low wage in order to make useless crap that can be afforded by all their fellow citizens who are suffering under similarly scant wages but can’t quite quit the culture of consumerism for the sake of consumerism.

When useless products are created for no other purpose than the dollars they may generate, they are no less destructive to the economy than the money-for-nothing system that has turned Wall Street into the wealthiest bag of hot air in history. In fact, they have the added concern of being fodder for either landfills, or the massive island of consumer detritus floating in the Pacific Ocean. At least the only thing the Wall Street banksters are putting in the ocean are the yachts they bought with everyone else’s life savings.

America is saying no to high speed rail, meaningful investment in the education system, developing green energy, etc., but is ready to champion the genius of someone who found that they could sell a ton of crap to consumerism addicted Americans. This is new? Is this America’s road map for the future? It sounds more like how this mess got created in the first place.

fIf this is the example to be followed, what will the future hold? Will people be traveling to the bazaar with their functionally illiterate children, who suffer from untreated health problems, over poorly maintained roads – because it’s faster than the antiquated public transportation and rail system – in order to peddle useless crap to all the other peddlers that are trying sell their useless crap? It could simply be the worlds most useless swap meet, but I suppose that would take away all the fun of having a hand full of paper notes to make everyone feel as though they’ve done something of actual value.

After decades of an economy fueled by paying defense contractors obscene amounts of money so that they can hire people to build weapons and provide support services; and then equip the troops who are paid to put on a uniform and invade other countries so that their natural resources can be stolen and exploited; and then turn the citizens that didn’t manage to get themselves shot down or blown up into a cheap labor pool after their country has been destroyed and subjected to ‘nation building;’ and then use them to make cheap crap. to sell to Americans.. is it really any surprise that there’s a lack of imagination and forward thinking?

Are we really trying to fix the economy and establish a sustainable future with baubles? Literally? Is that the standard: it’s good as long as it makes a quick buck? These Zany Bandz will go the same route as pet rocks and Pokeman cards, and if Americans aren’t careful, so will their empire and economy. Charles De Gaulle once said”… Americans will commit all the stupidity they can think of, plus some that are beyond imagination.” Was he right? America certainly seems ‘beyond imagination,’ or at least it would seem that imagination is beyond Americans, at this point.

If the goal is to turn around a crappy and destructive economy, perhaps that economy should be based on less destruction ,and the production of less crap. America needs to look forward and make all necessary changes to build a socially, economically, and environmentally sustainable future. There is no alternative. Reworking past failures with a new improved zeal is not a solution. Stop wasting lives and spending money supporting military campaigns around the globe. Schools, roads, bridges, transportation and clean alternative energy solutions are what is needed for the future, not zany financial derivative products, and certainly not more zany trinkets and baubles.

Fix The Minnesota Budget Deficit: MNPOST

http://www.minnpost.com/fix_minnesota_deficit/?clid=CPLz3_GW0qkCFU3DKgodKCYq6A

You fix the Minnesota deficit

By Sharon Schmickle | Wednesday, Feb. 9, 2011

Your assignment is to close a gap of $5 billion for the fiscal years 2012 and 2013. The choices offered below are based on specific proposals by government officials, state agencies and independent experts. They do not represent a complete list of the options. And they represent estimates. But they do frame key tradeoffs.

As you select options, your total will update in the right-hand column. For more information on the Minnesota budget deficit, click here.

Now, get ready to make some decisions.

Go to the link above .. 

MN Tax Incidence Study

Nearly 60% of Minnesotans find themselves making the lowest quarter of incomes in the state.

Executive Summary

http://taxes.state.mn.us/legal_policy/Documents/other_supporting_content_2009_tax_incidence_study_links.pdf

This study reports the distribution of calendar year 2006 Minnesota state and local taxes in relation to taxpayer income, along with projections for calendar year 2011.  It answers the question, “Who pays Minnesota’s taxes?”  The major objective is to provide taxpayers and policymakers with important information on the equity or fairness of the overall distribution of Minnesota taxes.  

This is the tenth biennial tax incidence study prepared in response to the statutory requirement enacted in 1990.

The report estimates 1) how the total state and local tax burden on Minnesota households varies by income range, and 2) how the burden of each component of the overall state and local tax system is distributed across Minnesota households.   Aggregating the impact of each component yields an estimate of the distribution of the total tax burden.  The estimates include taxes with an initial impact on businesses, such as the corporate franchise tax and the sales tax on business purchases, as well as taxes imposed directly on households.  The initial impact of taxes imposed on Minnesota households and businesses is discussed first.  The analysis then proceeds to estimate the final incidence of taxes on Minnesota households, after taxes imposed on businesses have been shifted to those who 

bear the final burden.

The report:

 Analyzes  $22.1 billion in taxes collected in 2006, a total that represents over
99 percent of all state and local taxes.
 Identifies the shares paid initially by households (64.8 percent by Minnesota
residents and 2.8 percent by nonresidents) from the share paid initially by business
(32.5 percent).
 Estimates the extent to which the business taxes are shifted to consumers (in
higher prices) or labor (in lower wages), rather than being borne by owners of
capital (in lower rates of return).  Also estimates the extent to which the ultimate
burden is “exported” to nonresident owners of capital or nonresident consumers.
 Calculates average household tax burden by income range.  That burden consists
of taxes imposed directly on households, such as the income tax or consumer sales
tax, plus the household share of taxes initially imposed on business but shifted to
households, the ultimate payers.   Income is defined to include all forms of cash
income, both taxable and nontaxable.
 Presents results by population decile, each decile including one-tenth of all
households (the lowest-income 10 percent in decile 1 and highest-income
10 percent in decile 10).
 Projects the 2006 results forward to 2011, accounting for the effects of both law
changes and economic growth on the mix and level of state and local taxes.2

Conclusions of the research are:
 Of the total $22.1 billion in 2006 taxes, 83.9 percent of the burden ultimately falls on Minnesota residents ($18.5 billion).  The remaining $3.5 billion of the tax
burden is exported to nonresident consumers or nonresident owners of capital
 In 2006, the state and local tax burden on Minnesota households averaged
11.2 percent of income, down from 11.6 percent in 2004.  But half of that drop is
due to use of an expanded definition of income in this year’s study.
 The local tax share of tax revenue rose from 25.8 percent in 2004 to 26.7 percent
in 2006 and is projected to rise significantly to 31.7 percent in 2011.  The state tax
share fell from 74.2 percent in 2004 to 73.3 percent in 2006 and is projected to fall
to 68.3 percent in 2011.
 The share of state and local revenue derived from consumption taxes fell from
33.7 percent in 2004 to 31.8 percent in 2006 and is projected to fall to 30.3 percent
in 2011.  The share of income tax rises between 2004 and 2006, but falls in 2011.
The property tax share declines slightly between 2004 and 2006, but is projected
to increase substantially by 2011.
 The business tax share of total tax revenue falls from 33.2 percent in 2004 to 
32.5 percent in 2006 but is projected to rise to 32.7 percent in 2011.
 After allowing for the shifting of business taxes, the Minnesota tax system in 2006 was somewhat regressive (and significantly more so than in 2004).  In contrast to the results shown in recent studies, effective tax rates were above the 11.2 percent average for  all except the tenth decile. The Suits index, a measure of the progressivity or regressivity of a tax or tax system, fell from  -0.024 in 2004 to  -0.053 in 20061
. This change suggests a significant increase in overall regressivity,
in large part due to greater income inequality in the stronger economy.2
 Minnesota’s refundable income tax credits and property tax refunds for
homeowners and renters substantially reduce overall regressivity.  In their
absence, the 2006 Suits index would fall from -0.053 to -0.075.
 Incomes are expected to grow by only 15.5 percent between 2006 and 2011.  Tax receipts are forecast to grow at a slightly higher rate, raising the overall effective tax rate to 11.4 percent.
 The  population-decile  Suits index is projected to fall only slightly to -0.051 in
2011. Income growth is expected to outpace  tax  growth in  the  lowest three
deciles; the reverse is true in deciles 4 through 10

A prominent closed-door conservative conclave is set to begin this weekend in the Vail area, and liberal protesters are planning a rally in response.

The billionaire brothers Charles and David Koch of the privately held energy giant Koch Industries are playing host to a semiannual retreat near the resort town of Vail starting Sunday. The retreats are closed to the public and the press, but news of the meeting leaked out when Virginia's Republican governor, Gov. Bob McDonnell, listed the gathering on his schedule.

The full invitation list for the upcoming retreat hasn't been released. Previous guests at Koch retreats include Rush Limbaugh and South Carolina Sen. Jim DeMint. A retreat in Aspen last summer included conservative commentator Glenn Beck and Denver billionaire Phil Anschutz.

A spokeswoman for Koch Industries declined to tell The Associated Press on Friday who would be attending this year's retreat.

In an emailed statement from spokeswoman Nancy Pfotenhauer said "the purpose of this conference is to develop support for the kind of free market policies and initiatives that can get our country back on the path to economic prosperity and sustained job creation."

The gathering prompted several left-leaning groups in Denver to plan a protest rally in nearby Avon on the first day of the retreat. Organizers say they hope several dozen people will join to demonstrate against what they call undue influence on politics by deep-pocketed donors such as the Koch brothers, who are prominent funders of tea party efforts through their group Americans for Prosperity.

"We're protesting this mass infusion of millions of dollars into our political system without it being transparent," said Kjersten Forseth, executive director of ProgressNow Colorado.

A similar protest held near the last Koch retreat near Palm Springs, Calif., in February drew several hundred picketers.

Common Cause, the political watchdog group that organized that rally, later apologized after hateful comments made by some attendees were videotaped by a conservative activist and circulated online.

Common Cause Colorado director Jenny Flanagan promised her group's rally this weekend will be civil.

Colorado AFL-CIO sent members an email Thursday asking them to join to protest.

Another Koch brother with property in Western Colorado, William Koch, is not participating in the retreat. William Koch owns mining and energy company Oxbow Corp. and is a prominent donor to mostly Republican politicians, but does not participate in the political activities of his brothers.

Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2011/06/24/state/n125422D99.DTL#ixzz1QKO6hPqY

MUST READ: Michigan Lawsuit Seeks Injunction on Emergency Manager Law | Common Dreams

Michigan Lawsuit Seeks Injunction on Emergency Manager Law | Common Dreams

This is precisely the GOPs plan .. make sure there are no LGA "grants" (tax transfer funds) to small communities, then they appoint as receivers the very same people under Pawlenty who caused the fall in small town revenues ... When the SHUTDOWN occurs (as it strongly appears it shall) - -we get our first UNELECTED decision maker determining how tax dollars are spent.

If you look below, you will see how the City of Duluth is making emergency "cuts" known as layoffs to City Employees to prevent going bankrupt. This is Stage Two .. I spoke to Detroit activists at Netroots Nation and this is precisely what they suggested to me was the playbook being followed. The Chamber of Commerce has a hand in this, which is why if the SHUTDOWN comes down, we must start a persistent resistence to put the big lobbyists (CoC, being the biggest) and PACs held up to scrutiny.

The conservative right looney Capitalists have had decades to come up with the plan, remember that, and they are playing for "keeps" and we must, too.

Society is MORE than dollars on a spreadsheet - it is opportunity, culture, education, transportation, are of our children and the vulnerable - and democracy for ALL citizens, not just corporations and their bagmen and women. I repeat now, as I shall on Thursday, WE ARE NOT BROKE. They are manipulating figures, facts, data. Figures don't lie; but liars sure can figure. - Virginia

Published on Wednesday, June 22, 2011 by The Michigan Messenger

Michigan Lawsuit Seeks Injunction on Emergency Manager Law

Plaintiff: ‘This is not democracy, this is dictatorship'

by Eartha Jane Melzer

In a lawsuit filed Wednesday in Ingham County court, citizens from across the state are asking that Michigan’s Emergency Manager law be declared unconstitutional.

Republican Michigan Governor Rick Snyder in this file photo. The law sign by the governor is so extreme, the plaintiffs say, that it “establishes a new form of local government, previously unknown within the United States or the State of Michigan, where the people within local municipalities may be governed by an unelected official who establishes local law by decree.”The Local Government and School District Fiscal Accountability Act allows the governor to appoint Emergency Managers to take over local units of government, fire elected officials, sell off or privatize community assets and even dissolve whole cities.

The measure was rushed through the Republican-controlled legislature this spring as a move to protect against widespread municipal bankruptcies, with some of its supporters referring to it as “financial martial law.”

But in legal arguments filed in court this morning a group of 25 plaintiffs say the right of citizens to elect their local officials is guaranteed in the state Constitution and financial stress is not a legitimate ground for scrapping the democratic process.

“This is an infringement on basic democracy,” said plaintiffs attorney John Philo of the Sugar Law Center for Economic and Social Justice. “It really is an experiment in a new form of government — one person rule.”

The complaint alleges that the law “violates the rights of local voters by attempting to delegate law-making power and the power to adopt local acts to unelected emergency mangers, by suspending the rights of local electors to establish charters and to elect local officials, and by imposing substantial new costs and expenses upon local municipalities without providing new revenue,” the group argues.

The law is so extreme, the plaintiffs say, that it “establishes a new form of local government, previously unknown within the United States or the State of Michigan, where the people within local municipalities may be governed by an unelected official who establishes local law by decree.”

“Because it is such a radical change in how you govern a city it is untested waters legally,“ Philo said, “but if the Constitution is to have any meaning we think the law should be struck.”

“A financial emergency has never been found to be equivalent to invasion of a foreign government where you can make martial law and suspend the Constitution,” he added.

Philo said that according to the law’s criteria for state intervention 75 percent of Michigan communities could be subject to Emergency Managers.

Unfunded mandate

According to the law local communities are required to pay the salary, benefits and expenses of the appointed Emergency Manager and all costs of any employees or contractors hired by the Emergency Manager as well as legal costs and insurance.

These expenses have been substantial. In Benton Harbor Emergency Manger Joe Harris is paid $11,000 per month. Former Detroit Public Schools Emergency Financial Manager Robert Bobb made $425,000 during his final year on the job. The plaintiffs argue that requiring communities to pay these costs violates the 1978 Headlee amendment which requires the state to reimburse local governments for any new state mandated programs.

Plaintiff Emma Kinnard of Benton Harbor lost her elected officials when Emergency Manager Joe Harris used his new powers to strip the Benton Harbor City Commission of all decision making power in April.

Kinnard said that while she didn’t always agree with Benton Harbor’s local officials she was able to stay informed about city business and participate in city politics, but now there is no mechanism for public participation or oversight of local government, she said.

“This is not democracy this is dictatorship,” she said. “They talk about other communist countries … this is following the same things they were doing. How can this be democracy when there is no accountability … just one person in power?”

“Benton Harbor is a test center,” she said, “If it goes through in Benton Harbor they are going to start doing this all over the state.”

The suit names as defendants Gov. Rick Snyder and state Treasurer Andy Dillon.

There is also a federal suit challenging the Emergency Manager law, filed in April by Detroit’s city pension systems. That suit challenges the authority of Emergency Managers to change city charters and remove trustees from office.

Rep. John Conyers (D-Detroit) and others have argued that the Emergency Manager law violates Michigan and U.S. Constitutional prohibitions against laws that break contracts. Earlier this month the law was used by Pontiac’s Emergency Manager to void the city’s contract with its police dispatchers. A lawsuit over that action is also expected.

Press conferences are scheduled for several cities around the state — Lansing, Benton Harbor, Flint, Detroit and Monroe — to announce the lawsuit today. The plaintiffs have alsolaunched a website.

The full legal complaint here.

© 2011 The Michigan Messenger