Thursday, February 8, 2007

The Perpetrator's Pupils

Previously, cited Bluegrassreport.org. However, here is the actual video.

The Inconvenient Truth

Anne Northup’s the favorite? Two weeks into the campaign, she’s reinventing herself. She has fired her campaign manager. She’s hired the Republican party’s executive director.

She’s the favorite? She’s Kentucky’s Al Gore.

Abusing the System

From the Lexington Herald-Leader:

The chairman of the House elections committee said yesterday that the legislature should curb the governor's ability to appear in taxpayer-funded public service announcement ads during an election year.

That came as the campaign manager for Gov. Ernie Fletcher said the governor would no longer appear in any television or radio ads touting Kentucky's various tourist destinations. "The governor wants to be beyond reproach on these things," said Marty Ryall, Fletcher's campaign manager.

Fletcher had narrated radio ads and appeared in television spots for attractions such as Lake Barkley and the Louisville Slugger Museum since July. Ryall said state tourism officials sought to use Fletcher as a pitchman for tourism, not for any political reasons. But Fletcher now faces former U.S. Rep. Anne Northup of Louisville and Paducah businessman Billy Harper in the May 22 Republican primary election.

Still, Rep. Darryl T. Owens, a Louisville Democrat, said he is drafting a bill that would set a time frame in which an incumbent couldn't appear in a state advertising campaign during an election year. He said he hadn't decided how long that ban would be. "The goal is to make the playing field level," said Owens, who was named the head of the Elections, Constitutional Amendments and Intergovernmental Committee last month.

Owens said that incumbents will have some advantages -- but shouldn't be able to have the taxpayers fund ads during a campaign. "And we're in the campaign season," he said.

Randall Fiveash, the state's tourism commissioner, said Fletcher, as governor, was the best spokesman for the state. But the plan has since been revised and first lady Glenna Fletcher will be replacing Fletcher in the spots. "Our job is to promote tourism, but there is a contentious primary going on so things have changed," he said.

Senate Republican Floor Leader Dan Kelly of Springfield also said the legislature should look at whether to limit all statewide officials from appearing in such spots around an election, especially considering this is only the second time a governor has been able to seek a second consecutive term. "The fact that we're in new territory warrants some investigation," he said.

Another key Democratic House member, State Government Committee Chairman Mike Cherry, said he wanted to see how other states handle the matter. Some states, such as Maryland and Minnesota, have banned public officials from appearing in such ads.

Last year, Alabama lawmakers outlawed airing of such public service announcements featuring officials within six months of an election. House Speaker Jody Richards, one of seven Democrats running for governor, declined to comment "because of the unusual set of circumstances" of his presence in the race.

Replacing the Governor with his wife? This will prohibit free campaign advertising how?

Governor Fletcher desires being beyond reproach. His abuse of Kentucky’s taxpayers and ethics is beyond reason.

A Recipe For Disaster

From Conservative Edge:

Anne Coulter's weekly column dealt with the trial of I. Scooter Libby. In the column Coulter pointed out that Libby had gone to Washington as a conservative and had done the things that conservatives wanted to get done.

Coulter went on to describe the partisan political prosecution and resulting media bashing of Libby. As well, Coulter also noted that conservatives had abandoned Libby, and that if conservatives continue to abandon other conservatives who get falsely accused, eventually there will be no conservatives who will step into the vortex.

Coulter's point about Libby, is the point we have been making about Governor Fletcher for more than a year. Fletcher to was subjected to an unfair partisan prosecution, and the resulting "carpet bombing" by the liberals at the H-L and C-J. We believe that Kentucky Republicans should heed Coulter's advice.

If we don't stand with Fletcher now, no Republican is safe.

Conservative Edge, you are idiotic. We know you support Fletcher. However, your position is ridiculous. If we do not stand with Fletcher we will not be safe? If Republicans stand with Fletcher, we are all dead!

Fletcher’s Lying Eyes?

Bluegrassreport.org features job loss video.

Club For Growth Questions Another Fletcher Tax

From NKY Politics:

Brian Richmond, the head KY Club for Growth, released this statement on the state's AMC tax.

The Gross Receipts Tax - often referred to as the Alternative Minimum Calculation, or "AMC" for short - sounds fairly non-threatening at first blush, but in reality, every business owner, manager, employee and job-seeker is affected by this anti-growth tax on free-enterprise.

In 2005, the Kentucky General Assembly passed Governor Fletcher's "Tax Modernization" proposal, which, among other things, closed loopholes in Kentucky's Tax Code that had previously permitted pass-through entities such as Limited Liability Corporations and S corporations to largely escape corporate income taxes.

In addition, the plan instituted the ostensible Alternative Minimum Calculation, which required all businesses in Kentucky to calculate their tax bill three ways, and then pay the highest amount, with a minimum amount due of $175.

The three methods are as follows: (1) 7 percent of all net income, (2) 9.5 cents per every $100 of gross revenue, or (3) 75 cents per every $100 in gross profits.

Among those saddled with this new tax are single-owner businesses and small partnerships, whose income had previously been collected at the individual level. Also affected are high-volume, low-margin businesses such as grocery stores and service stations, since the new calculation is based in part on total revenue, which does not accurately reflect their actual profits.

Subsequently, due to significant public outcry, under a revised plan agreed to in a Special Session of the General Assembly called by Governor Fletcher in 2006, businesses with gross profits of less than $3 million became exempt from the alternative minimum calculation. Nonetheless, opponents of the new Gross Receipts Tax - such as the Kentucky Club for Growth, a non-partisan economic watchdog group - contend that the token exemption for Kentucky's smallest businesses merely serves to accentuate the punitive nature of the AMC, and are advocating for its immediate repeal.

"The new Gross Receipts AMC hurts the economy by hiding additional taxes and fees into the many products and services our economy relies on everyday," says Brian Richmond, Executive Director of the Kentucky Club for Growth. "This is not simply a tax on the profit a business earns, but on every transaction it makes with vendors and consumers. This means that the tax is in fact compounded and passed along to every consumer or company involved in billions of transactions made everyday."

Take for example fictional company ABC - perhaps an airline carrier or manufacturing firm - which actually suffered a significant financial loss in 2006, despite taking in gross receipts of $100 million. Even though the company has over 2800 employees, and is in the midst of cutting salaries and staff, they still will be forced to pay taxes on the $100 million in gross receipts. Does this seem like a winning economic proposal? Who do you think loses?

Alternatively, let's use the example of a small family-owned business we'll call the XYZ Company, which operates a small chain of grocery stores or service stations, In 2006 their gross receipts were $10 million, while there net income was $500,000. Under Kentucky's new gross receipts taxing paradox, they will be required to pay taxes not on their net income, but on their gross revenue. Guess who pays more for groceries, fuel and repairs?

The notion that the Gross Receipts Tax affects large businesses only is totally false, even if the Commonwealth continues to raise the ceiling on exempted revenues. Consumers and small business owners may not notice the additional price at the checkout immediately, but you can be sure that it will sorely impact their pocketbook. Worse than affecting a corporate bottom line, the gross receipts tax profoundly impacts the average citizen, employee and job-seeker through hidden fees and reduced capital investment. Perhaps that is why most state governments eliminated this tax in recent decades. What happened?

The Kentucky Club for Growth wants to know.
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