May 17-21, 2019

May 17 07:39 When LFR met Almanac

May 18 00:51 Chamberlain, Daudt vs. Winkler, Bakk
May 18 18:42 Another anti-transparency article
May 18 19:52 The DFL's dirty tricks tactics

May 19 18:51 Ryan Winkler's 'no free lunches' mantra

May 20 05:50 Gov. Walz, DFL got smoked
May 20 06:58 Negotiations winners & losers

May 21 15:35 Democrats' upfront Trump hatred
May 21 20:29 Liberal stupidity published

Prior Months: Jan Feb Mar Apr

Prior Years: 2006 2007 2008 2009 2010 2011 2012
2013 2014 2015 2016 2017 2018

When LFR met Almanac

Yesterday, I called Eric Eskola, the veteran co-host of TPT's Almanac, to find out what was happening (and not happening) at the Capitol. As always, Eric was well-informed and a gentleman. While I won't divulge what Eric said, it wasn't surprising that neither of us expect Gov. Walz and the legislature to finish their work on time. The only question left to answer is when the special session will be called and whether there will be a government shutdown.

During the conversation, I said that the biggest sticking point might be HCAF, aka the Health Care Access Fund. Recent reports suggest that the HCAF gets raided fairly often, with the excess money going into the general fund. I said that one way of bridging the divide is to cut the HCAF rate, put it off-limits to raids for the general fund and to keep these health care programs around.

Eric thought that sounded reasonable, saying that it sounded like the 2 of us had worked out a reasonable compromise that might avert a special session. I replied that it's easy doing this because there aren't partisans around, plus no lobbyists making special requests.

Your job, if you choose this assignment, is to guess a) when the special session will be and b) whether we'll have a real government shutdown. Post your guesses in the comments. The LFR reader who comes closest wins : hmm -- my praise in a future post. Good luck.

Posted Friday, May 17, 2019 7:39 AM

Comment 1 by Chad Q at 17-May-19 06:24 PM
June 17 and yes, we'll have a good ol' fashioned government shutdown that won't hurt anyone but the GOP even if they are right to shut it down.

Chamberlain, Daudt vs. Winkler, Bakk

Last night on Almanac, co-host Eric Eskola opened the show by explaining that Gov. Walz, Speaker Hortman and Sen. Gazelka wouldn't appear on the show due to last-minute budget negotiations. In their stead, the panel consisted of Ryan Winkler and Tom Bakk attempting to make the case for the DFL and House Minority Leader Kurt Daudt and Senate Taxes Committee Chairman Roger Chamberlain representing Republicans.

At the outset, Winkler tried a little humor, saying "Well, when you have the junior varsity on the field like you do on this couch today, that means that the A-Team is out doing the work that they need to do." Little did I know that Winkler was this prophetic. When Eskola asked whether Gov. Walz and the DFL overpromised, Winkler said "We know that there will be compromise with the GOP Senate but Gov. Walz and the DFL House also wanted to be clear about where we are headed." Later, he stated that "We want to make sure and do no harm to people." (It's a little late for that, Rep. Winkler.)

Kurt Daudt replied "I think Democrats have overpromised. I think that's pretty obvious at this point. We have a $1,000,000,000 surplus right now. We've got another half a billion dollars sitting there already collected over forecast that's waiting to be recognized in the November forecast and Democrats are still holding onto this dream of raising taxes by $12,000,000,000 on Minnesotans." Daudt then finished by saying "I just think that's way out of touch with where Minnesotans are at."

Here's the entire segment:
[Video no longer available]
Roger Chamberlain stated emphatically that if the DFL raised taxes by $12,000,000,000, "it will kill this state." He didn't mince words, which was the right thing to do. Winkler tried responding, saying that there's no such thing as a free lunch. That's when Kurt Daudt buried Winkler, saying "The DFL could increase spending by 7.3% without raising taxes."

That's what the DFL JV team looks like. How'd you like to be a DFL House member representing a swing district after voting for these massive tax increases? They'd better campaign wearing flack jackets after those votes. The DFL can kiss all those seats good-bye. Selling those legislators as moderates after those votes isn't possible.

Let's be clear. The DFL will get a significant portion of what they want because they control the governor's chair. Still, the DFL misread their mandate, which they do virtually reflexively.

Finally, Bakk and Winkler tried peddling the BS that Gov. Walz should get most of what he wants because he campaigned on this and he won with a record amount of votes. It's true that the DFL won with a record number of votes but it's an outright lie to say that Gov. Walz campaigned by stating specifically that he'd raise the gas tax by 20 cents-per-gallon and raise taxes overall by $12,000,000,000. That didn't happen so that argument is BS.

Posted Saturday, May 18, 2019 12:51 AM

Comment 1 by Chad Q at 18-May-19 06:05 PM
Let's be clear, the DFL will not stop until they have all of our money and can redistribute it how they see fit.

Also, if Winkler thinks they (DFL) should get what they want because they control the house and gov, why are he and his party fighting Pres. Trump every damn day?

Another anti-transparency article

Every year, newspapers across Minnesota write articles with headlines decrying the lack of transparency in final budget negotiations. This year, the first article I've seen on the subject was published by the Pi-Press .

The Pi-Press's article offers the headline "Secret budget talks at Capitol leave nearly everyone frustrated and in the dark, again" as though this is newsworthy. It isn't. It's as newsworthy as reporting that the sun is expected to set in the west -- again. The article opens by saying "It wasn't supposed to end this way - but they say that every year."

Then it continues, saying "Gov. Tim Walz, Republican Senate Leader Paul Gazelka and Democratic House Speaker Melissa Hortman have offered no real details of their plans and didn't have a budget deal Saturday afternoon. If they get one soon, politicians and staff will have to scramble to finish their work and will likely need a marathon special session to approve thousands of pages worth of budget bills."

Part of negotiating is trying to get the upper hand on the guys you're fighting with. That guarantees grandstanding in the early stages of the negotiations. Thanks to former Gov. Dayton, the end-of-session isn't considered the true end-of-session. It's usually thought of as the point when negotiations get serious. Thanks to Gov. Dayton, we can pretty much predict that the DFL will be utterly obstinate.

The DFL is still insisting on raising Minnesotans' taxes by a total of $12,000,000,000 over the next 4 years. They're frantically publishing tweets like this:


Here's another frantic, dishonest tweet, too:


Then there's this:


It's stunning that the DFL insists that they aren't listening to special interest organizations:


What else would you call a lengthy list of special interest organizations? The truth hurts. Deal with it. It isn't the GOP's fault that the DFL is the party of snow flakes.

Posted Saturday, May 18, 2019 6:42 PM

Comment 1 by J. Ewing at 18-May-19 08:08 PM
Here is an undeniable truth for you: Compromise is never the right solution to ANYTHING. One side is always closer to the right answer than the other, so anything in the middle is partly wrong. In this case, one side wants to tax and spend $12 billion more than the State currently has, and the other wants to spend only what we have. There is no compromise here! What would it be, $6 billion more in taxes and spending than what is needed to run the State and fund all the necessities? I hope the government shutdown gets blamed on Walz and the DFL, for a change. It is the only sane outcome.

Comment 2 by Chad Q at 19-May-19 08:37 AM
DFL compromise: Give us everything we want and you get nothing.



If government health care recipients are not "special interests", then businesses who come to lobby or protest for lower taxes should not be called "special interests" either. When healthcare becomes a right, no one will get health care. I'm not wealthy and have health care. I thought Obamacare was going to make health care more affordable and accessible yet we continue to spend more and more tax money paying for those who can't work or refuse to work, so they can get health care.

The DFL's dirty tricks tactics

Saying that the DFL won't use dirty tricks to win this year's budget negotiations is like saying that a Doberman won't attack a man holding a steak if he's hungry. Of course, the DFL will resort to their oversized bag of dirty tricks. Actually, this statement is kinda mild compared to some of the BS that Chairman Martin has thrown out in the past:

Democratic-Farmer-Labor (DFL) Party Chairman Ken Martin released the following statement in response to the latest budgetary stunt pulled by Minnesota Senate Republicans:

Senate Republicans just made reaching a budget agreement much harder. When Senate Republicans passed their entire wish list as an "insurance measure" in case negotiations fail, they gave themselves every incentive to sabotage those negotiations. This is a political stunt, not serious governing. "Minnesotans overwhelmingly voted for DFLers last November. It's time for Republicans to accept that, drop their gimmicks, and work with DFLers for the good of Minnesotans everywhere."

Minnesotans didn't vote overwhelmingly to raise taxes by $12,000,000,000 over the next 4 years. Show me the debate or campaign appearance when Gov. Walz or DFL candidate pledged to raise taxes by $12,000,000,000. Show me the debate or campaign stop where Gov. Walz or DFL legislative candidate pledged to raise the gas tax by 70%.

The DFL won't produce that video because it doesn't exist. Period. Further, Gov. Walz and the DFL seem intent on raising taxes at a time when President Trump's economic policies are producing record revenues across the nation, including Minnesota. Check out this chart:


That's a chart that the DFL doesn't want anyone to see. That's because it shows how much money the DFL has to work with for crafting a new budget. Right now, this year's budget surplus was $1,052,000,000. Since then, Minnesota took in $489,000,000 more dollars in April than was forecast. In fact, the year-to-date revenue total is $571,000,000 ahead of forecast. Who knows how much next November's forecast will change for the positive? I'm betting it'll change significantly.

If that's the case, why is the DFL still insisting on raising people's taxes by $12,000,000,000? That's economic foolishness. But that isn't the end to the DFL's foolishness. According the Gov. Walz's Department of Revenue, Minnesota's Rainy Day Fund is the biggest it's been in history at $2,523,000,000.

According to Kurt Daudt, "the DFL could raise spending by 7.3% this biennium without raising taxes." Apparently, the dishonest DFL thinks that raising spending by 7% isn't an adequate 'investment' in the DFL government's special interests.

For instance, the DFL insists that Republicans' Transportation budget will:

  1. underfund road repair

  2. underfund infrastructure in Greater Minnesota

  3. no aid for local governments

  4. no drivers licenses for all..


I didn't realize that supplying drivers licenses for all illegal immigrants was a high priority for Minnesota taxpayers. Further, I didn't think that a 7.3% increase in road and bridge repair equals underfunding road and bridge repairs. I didn't know that raising spending overall by 7.3% was hurting so many people.

Frankly, I don't think the Republicans' budget will hurt Minnesotans. Rather, I think the DFL is that far out of touch with Minnesota. Further, I think that 2018 was the aberration, not the truth. I suspect that 2020 will show a significant re-shifting back to what we had prior to 2018.

If the DFL legislature, from both the House and Senate, want to run on raising taxes by $12,000,000,000 at a time when there's a huge surplus and revenues streaming in well ahead of forecast, God bless them for gift-wrapping huge GOP gains in the House and Senate.

Posted Saturday, May 18, 2019 7:52 PM

Comment 1 by Chad Q at 19-May-19 08:44 AM
A) I take offense (not really) to the Doberman analogy as I own 2 and they'd never attack anyone if hungry. Whine sure but not attack.

B) We need an amendment to not increase spending more than inflation. Why does the budget get to go up 10 - 20% every budget cycle yet inflation is 1 - 3% during the same time? Need to stop pending on wants and spend only on needs and constitutional obligations.

I have my fingers crossed that I can leave this tax and spend state in 2 years.

Ryan Winkler's 'no free lunches' mantra

Friday night on Almanac and today on @ Issue With Tom Hauser, Ryan Winkler insisted that we needed to raise taxes, stating emphatically that "there's no such thing as a free lunch." By now, that chanting point is getting rather tiresome. When we spent $100,000,000 on MNLARS (with another $85,000,000 needed to fix Gov. Dayton's mess), we knew that there wasn't anything like a free lunch, at least not when the DFL ran things. Republicans knew that things were exceptionally expensive with the DFL in charge.

Further, when Fox9 News reported on the millions of dollars of fraud that went undetected in CCAP funding, we knew that there isn't anything called a free lunch in government. When we found out about the fraud committed by DFL activists and DFL legislators through Community Action of Minneapolis, we knew there wasn't such a thing as a free lunch (unless you were well-connected to the DFL in downtown Minneapolis.)

When we heard about the $7,200,000 renovation of the Goose Creek Rest Stop on I-35 near Harris, Minnesota, we knew that the lunches weren't just not free but downright expensive. I would've balked at a $2,000,000 bill for building a new rest stop. Remodeling an existing rest stop should've cost $500,000 or less. Further, it's been closed for 2+ years.

Minnesotans have seen enough of DFL administrations throwing money away or ignoring corruption, not to mention the fact that there've been too many examples of money foolishly spent. Now the DFL, aka the party of big government, wants more money to spend foolishly? I don't think so. They'll have to earn our trust. We've seen the DFL spend too much money recklessly to be trusted automatically again. First, WCCO-TV aired this report:
[Video no longer available]
Later last week, WCCO aired this follow-up report:
[Video no longer available]
Why should anyone trust the DFL to handle our money efficiently? I only know what I can prove. Right now, I can't prove that the DFL spends much time on oversight or ensuring product quality. I can prove that the DFL spent $7,200,000 on a facility so it complied with their environmentalist activist friends' wishes.

Posted Sunday, May 19, 2019 6:51 PM

No comments.

Gov. Walz, DFL got smoked

From where I'm sitting, it's pretty clear that the DFL got smoked in this year's budget negotiations . First, the DFL didn't get its 20-cent-a-gallon gas tax increase. Next, the DFL didn't get its $12,000,000,000 overall tax increase. Third, the DFL had to settle for a cut in the HCAF, aka Sick Tax, rate. Included in this agreement is a drop from 2% to 1.8% on the Sick Tax rate. Further, the final budget will spend approximately $48,000,000,000 instead of the $51,000,000,000 that Gov. Walz and the DFL wanted.

Finally and perhaps most surprising of all, Gov. Walz and the DFL got talked into dropping the middle class tax rate from 7.05% to 6.8%. I'm betting that the DFL didn't push that during negotiations. I'm betting that Sen. Gazelka pushed that tax cut.

Minnesota Gov. Tim Walz and legislative leaders announced a state budget agreement at a Capitol news conference Sunday night. "This is a budget that invests in education, health care and community prosperity in a fiscally responsible manner," Walz said just after 6:30 p.m. Sunday, joined by Republican Senate Majority Leader Paul Gazelka and Democratic House Speaker Melissa Hortman at a Capitol news conference. "Today we proved that divided government can work for the betterment of the people we serve."

Significantly, the deal does not include an increase in the state's gas tax. The total budget will be a little over $48 billion. Other provisions of the deal include:

  1. a 2 percent increase each year of the biennium for the E-12 education funding formula

  2. an income tax rate cut in the second bracket

  3. continuation of the medical provider tax at 1.8 percent instead of 2 percent

  4. $500 million in bonding, with a large portion of that going to housing projects


I found this part of MPR's article interesting:

The Senate on Saturday approved a Republican plan for preventing a state government shutdown if a stalemate persists, throwing down a challenge to House Democrats and Walz to either agree or take the blame for a shutdown when the current budget expires June 30. But Democrats had little to gain by taking a vote on the "lights on" proposal, given that Republicans would then have few incentives to keep negotiating.

The bill would fund government for up to two years at current projected levels assuming autopilot growth in the budget of about $1.9 billion. It just happens to be close to the Senate GOP's original budget proposal, with none of the tax increases sought by Walz and House Democrats to put more into education, health care, transportation and other programs.

Democratic House Minority Leader Tom Bakk dismissed the gambit as throwing in the towel and accused Republicans of bargaining in bad faith.

Isn't it interesting that, hours after Sen. Bakk "accused Republicans of bargaining in bad faith", a budget deal was reached? I'd say that Sen. Bakk's statement looks rather foolish at this point. Perhaps, Sen. Bakk felt stung by the fact that he wasn't an integral part of these negotiations. Notice who isn't part of this picture:


Whichever way you slice it, Gov. Walz and the DFL got smoked in his first negotiations.

Posted Monday, May 20, 2019 5:50 AM

Comment 1 by John W. Palmer at 20-May-19 01:11 PM
Minnesotans receive the benefits of divided government which our constitution enhances by the election of the two legislative bodies decoupled from the Governorship. If the voters are happy with this outcome they are sure to keep it going in the fall of 2020.

Comment 2 by Jeffrey Williams at 23-May-19 06:20 PM
Notice who was also missing from the negotiations - former Speaker and now House minority leader Kurt Daudt.

Response 2.1 by Gary Gross at 23-May-19 10:18 PM
I noticed. I think it was intentional, too. I think Gov. Walz & the DFL thought, rightly, that Kurt Daudt would clean their clocks in negotiations.

Negotiations winners & losers

These negotiations (which I wrote about here ) produced some of the biggest winners and losers in recent history. Let's start with the biggest losers.

It's impossible to imagine a bigger loser than Tim Walz. He lost on his tax increases, including the gas tax, the sick tax and the income tax increases. He and the DFL lost on spending, too. Another major loser was DFL Speaker Melissa Hortman. She was present throughout the negotiations but didn't seem to be an active participant in those negotiations. I'd give her a 'Potted Plant Award' for participation.

Another major loser throughout the negotiations was DFL House Majority Leader Ryan Winkler. Friday night on Almanac, his first time on the big stage, DFL Rep. Winkler was used like a whipping post, first by Sen. Roger Chamberlain, then by House Minority leader Kurt Daudt. (More on them later.)

The other major loser in these negotiations was Education Minnesota, the people most famous for owning the DFL:


The biggest winners in this negotiations are Minnesota's taxpayers. They didn't get hit with one of the biggest tax increases in Minnesota history. That alone makes them a big winner.

The next biggest winner was Roger Chamberlain. Throughout these negotiations, he fought for the taxpayers, reminding the politicians who they worked for, aka the people. He took Rep. Winkler to the proverbial wood shed multiple times. After Rep. Winkler spurted out that "there are no free lunches", Sen. Chamberlain reminded Rep. Winkler that the people not represented at the Capitol were "the people who pay the bills", aka the taxpayers.

It's hard to see how Kurt Daudt, the former and hopefully future GOP Speaker of the House, could've been more effective. He stated emphatically on Almanac that the DFL could raise spending by 7.3% without raising taxes a penny. That statement might've done more to finish the talks than anything else.

I'd be remiss if I didn't praise Senate Majority Leader Gazelka for his job in negotiating this budget. Let's remember that he won a significant tax cut by getting the 7.05% rate dropped to 6.8%. Rest assured that the DFL didn't fight to include that policy change in the budget agreement.

Finally, I'd have to apologize if I didn't include the House DFL legislators. They all voted for the Walz/DFL tax increases, which will hurt them in 2020, then saw Gov. Walz throw them under the proverbial bus in final negotiations. I can't imagine them being too happy with Gov. Walz and the DFL leadership for that 'favor'. That makes the DFL, especially the DFL House majority, a major loser in these negotiations.

Posted Monday, May 20, 2019 6:58 AM

Comment 1 by Chad Q at 20-May-19 05:41 PM
It's a great win for those who actually pay taxes but it's only a temporary setback for the DFL. They will never give up until they control all the money.

Comment 2 by Rex newman at 20-May-19 10:07 PM
Assuming the deal holds and Walz signs it, One Minnesota, $&@&#% yeah!

I can't help but wonder, though: was this planned? Surely Walz knew how wildly unpopular his gas tax would be, as did the DFL. Was it a ruse to get something else? Was continuing the Sick Tax so essential that the rest could go or wait for redistributing to boost their numbers?

Is Health Care the new cash cow for Democrats, pushing Education Minnesota aside? And why not? They have nowhere else to go.

Or did Amy lay down the law, not wanting to have explain or defend a huge regressive tax increase in her home state?

Democrats' upfront Trump hatred

This headline says it all:

Democrats wary of handing Trump a win on infrastructure

I get it that political parties don't like handing the other side a political victory heading into election season. What's most disturbing is that Democrats, aka the Resistance, has been operating like this for President Trump's presidency. Democrats have been hating on President Trump the entire time. When President Trump tried repealing and replacing the ACA, we knew that they'd put up a fight. Still, never offering a substantive alternative to the ACA was disgraceful.

When every Democrat in the House and Senate voted against the Tax Cuts and Jobs Act, it was a clear act of defiance. It wasn't about principles. It wasn't about doing what they thought was best for the nation. It was about doing everything possible to defeat President Trump. Hatred that runs that deep and cold isn't patriotic. It's the worst type of partisanship imaginable.

It's just my opinion but I can't imagine the voters voting for a political party that's most interested in hating rather than accomplishing. Democrats are about hating. If they're about accomplishing, they're worthless at accomplishing.
[Video no longer available]
It's indisputable that Democrats, especially from the AOC/Ilhan Omar/Rashid Tlaib wing of the Democrat Party, will do anything to thwart President Trump. Further, that trio of freshmen are just part of that wing of the Democrat Party. It isn't complete if you don't add Maxine Waters, Adam Schiff, Eric Swalwell, Jerry Nadler and other back-bench bomb-throwers to that list.

Finally, can you picture either political party doing this 15 years ago? I can't. That didn't exist 15-20 years ago.

Posted Tuesday, May 21, 2019 3:35 PM

No comments.

Liberal stupidity published

I don't have a problem with the SCTimes publishing this LTE . What I've got a problem with is the liberal stupidity in this LTE.

Liberal stupidity, aka DFL stupidity, is on full display when the author says the "problem with Jerry Relph and his Republican colleagues in the Minnesota Senate is that they completely ignore what income and wealth Minnesotans are creating and simply assume that none of us can afford to pay anything more in taxes."

That's BS. I wrote several articles over the weekend stating that it's difficult, if not impossible, to raise taxes when there's a surplus well in excess of $1,600,000,000 and there's $2,523,000,000 in Minnesota's Rainy Day Fund. Further, revenues are rapidly increasing. Further still, the DFL hasn't lifted a finger to look into the money that fraudsters have ripped off out of the CCAP program or that the idiots at MnDOT have pissed away on rest stops.

While it is true that many Minnesotans have not had a real increase [inflation-adjusted] in wages in many years, there are some that are reaping huge rewards from our collective efforts.

Some blatantly argue "tax the rich." I'm not saying that. I'm saying don't assume that no one has made money from our state when some have made a lot. Look at who is making money and make them pay their fair share in light of what they are making. When Republicans like Jerry Relph refuse to make wealthier Minnesotans pay their fair share, it unfairly burdens everyone else.

Clearly, this idiot was taught economics by Bernie Sanders or one of his stooges. Ronald Reagan's economy created tons of jobs, 22,000,000 to be precise. In Oct. of 1983, the economy created 1,100,000 jobs. Wage growth exploded. GDP that quarter jumped. President Reagan famously said that you can't be pro-jobs if you have employers. The DFL hates employers.

The DFL hates employers by imposing high taxes and unreasonable levels of regulations while suing pipeline companies that play by the rules. No wonder wages are stagnant. No wonder why manufacturers have left Minnesota. What idiot would put his/her capital at risk with such policies in place? The guy who wrote this idiotic LTE should've watched this video first:
[Video no longer available]
If he'd watched this video first, he might've prevented himself from making such a fool of himself. Then again, the odds of preventing DFL socialists from looking like DFL socialists are exceptionally high. DFL socialists are extraordinary economic illiterates.

Posted Tuesday, May 21, 2019 8:29 PM

No comments.

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