Category: Corporate subsidies


Minnesota State Capitol (rbw)

Good news and bad news: Bad news first

As part of the nationwide Republican efforts to undermine public education, Minnesota House Member Pat Garofalo (R-Farmington), who is Chair of the House Education Committee, plans to eliminate state funding for programs that promote racial integration in Minnesota schools. The programs, which in Minneapolis provide some $480 per year per student, are intended to close the achievement gap between racial minorities in the classroom. Worse, Garofalo’s plan would re-work the formulae used to determine funding levels in state schools. The results could end up taking money from under-funded schools and give that money to schools that are already well-funded.

MinnPost reports:

Speaker Kurt Zellers said House Republicans are working “hand in glove” on both the state’s $5 billion budget deficit and on a “fundamental change in how we deliver government.”

Republicans highlighted efforts to streamline state agencies, improve the use of technology and consolidate operations, but the only specific figure was a $172 million savings from a proposed 15 percent state workforce reduction.

Indeed. The Republicans in Minnesota, just as in many other states are seeking to end government’s ability to deliver services.

In fact, the Minnesota State Government has published its bi-annual Tax Incidence Report. It reports a heavily regressive tax burden within the state, even when compared with historical averages. According to the report, the effective state tax rate for a member of the top 1% of income earners within Minnesota was 9.7% in 2008. Meanwhile, the effective tax rate for the poor is 32.5%. Hence, the wealthy are not paying their fair share in taxes.

Yet, the Republicans are also looking to slash funding for the state Medicaid programs, especially programs geared toward the poor and the infirm.

But that is not all. The Republicans are waging all-out war on the poor. Representatitve Kurt Daudt (R-Crown) has introduced a bill that would prevent those who use government assistance EBT cards from withdrawing cash on the cards at ATMs above – get this – $20 per month. The bill, H.F. 171, would also create problems because one of the reasons that people are now able to use the cards to withdraw cash is that many stores are not connected to the state EBT system.

$20 is not even enough to purchase a Minnesota Drivers license (current price – $43). And there are already Republican proposals to require a photo-ID in voting.

In addition, the bill appears to make it illegal for people under the Minnesota Family Investment Program (MFIP) to carry cash at all! Nor could they put any money into a checking or savings account.

Crooks and Liars relates testimony of Angel Buechner, from the Welfare Rights Committee, referring to the efforts of the Republicans on the House Health and Human Services Reform Committee:

“We’ll leave you with this. It is not right to punish a whole group because of the supposed actions of a few. You in this room could have a pretty rough time if that was the case. It is not right to stigmatize and dehumanize women living the hard life of trying to raise children while living 60% below the poverty level. It is not right to use racist, bumper-sticker hate to inflict human misery for political gain.”

Where would the sort of thinking that would make it illegal for poor people to carry cash come from? Well, let’s take a look at a Republican strategy meeting that too place at the conservative Hudson Institute to find out. There, National Review editor Kate O’Beirne suggested that the parents of children on school lunch programs were “child abusers”, because they can not afford a meal. “What poor excuse for a parent can not put together a bowl of cereal and a banana?” as she puts it. She argues that despite the fact that more and more families across the nation are finding it difficult to make ends meet (due to conservative economic policies), that there is no national solution to the problem because it is not “in Washington’s interests” to solve the crisis of child poverty. Perhaps that is because for her, national interests are solely geared toward tax cuts for the wealthy and wars abroad to fight over resources.

Republicans discuss public education and decry school lunch programs (Crooks and Liars)

Another panelist at this hearing said that safety in schools could not be guaranteed because, despite the national scope of the problem, it should not fall under the purview of the federal government. Yes, he essentially makes those two very statements one right after the other. That is the sort of callous bastard that is driving the economic and educational policy of the Republican Party right now.

Some good news…

Luckily, the press is beginning to ask some pointed questions, because Republican Party policies are currently being driven by their corporate benefactors who believe that the sole reason for the existence of the government is to load their own coffers. That is precisely why Republicans would begrudge the poor of any money to spend and why they believe that school lunch programs as a waste of money, despite the fact that they have been shown to improve student performance and help to increase upward mobility in society. There is a way to prevent corporations from holding such a grip on the political process that the process would realign itself to work against the interests of citizens.

Minnesota Democrats have introduced bills in the House and the Senate to rectify the problem. The bills, S.F. 683 and H.F. 914 would amend the Minnesota Constitution to define “person” to mean a “natural person”.

The distinction between “person” and “natural person” is vitally important. British common law has always made a distinction between “natural persons” (meaning people) and “artificial persons” (meaning organizations like churchs, businesses, etc.). Well, the Citizens United decision effectively eliminated the many of those distinctions by allowing corporations to spend an unlimited amount of money on elections. And they did. Now we can see how that has effected the political process. We now have people cutting back on schools so that big companies – already earning record profits – can earn more in tax breaks.

Minnesota is no different in this regard than other parts of the country. A recent article by the Star Tribune highlights the largest lobbying efforts in Saint Paul for 2010. More than $3 million in big business lobbying expenses arose that year and $1.8 million (60%) was due to the Minnesota Chamber of Commerce alone. Big business is trying to buy the political process.

Author Thom Hartmann discusses corporate personhood (The Daily Take, RT)

So be sure to contact your Minnesota State Senators and House Representatives to give support to S.F. 683 and H.F. 914 in order to help the constitutional amendments to come to fruition. You had better believe that they will meet with strong resistance from the Republicans who currently hold majorities in the House and Senate.

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The next battle in Wisconsin will involve the Executive Budget itself, as opposed to the Budget “Repair” Bill. Governor Scott Walker is proposing deep cuts to education and the sale of public assets to companies, who will sell their services back to the state.

Click here for the Wisconsin State Legislature homepage.

Here is the Assembly version of the Executive Budget, AB-40.

Here is the Senate version of the Executive Budget, SB-27.

Be sure to peruse the different sections of the bills to see which public assets Governor Walker would like to sell off to corporations!

Oh, and Republican efforts to recall Democrats are just not as popular as Democratic efforts to recall Republicans. I wonder why?

The next battle in Wisconsin will involve the Executive Budget itself, as opposed to the Budget “Repair” Bill. Governor Scott Walker is proposing deep cuts to education and the sale of public assets to companies, who will sell their services back to the state.

Click here for the Wisconsin State Legislature homepage.

Here is the Assembly version of the Executive Budget, AB-40.

Here is the Senate version of the Executive Budget, SB-27.

Be sure to peruse the different sections of the bills to see which public assets Governor Walker would like to sell off to corporations!

Oh, and Republican efforts to recall Democrats are just not as popular as Democratic efforts to recall Republicans. I wonder why?

Wisconsin Republicans look on as Governor Walker signs their anti-worker bill (Dangerous Minds)

Though once quite self-contented after signing the provision to end collective bargaining rights for state employees, the state Republicans are facing a few new problems, even as they prepare for tonight’s big fundraising event in Washington D.C., where they hope to be rewarded by billionaires and corporate PACs for their efforts to undermine unions.

Huge Madison Protests, March 12, 2011 (Digby's Blog)

The Republicans plan to attend a fundraiser tonight that will be put on by the BGR Group, a bi-partisan lobbying group based in Washington and London that has (according to BGR) been “Dubbed a powerhouse by CNN and Newsweek” and they claim to be a leader in government affairs, strategic communications and investment banking. Senator Ron Johnson will be there, too (Russ Feingold would never go to this event!) The Republicans plan to fill their coffers at the $1,000 per plate dinner tonight. BGR has deep ties with Wisconsin. According to Digital Journal,

BGR has a long list of ties to the Republican Party. Bob Wood, a former aide to Tommy Thompson, the Republican governor of Wisconsin for 14 years is among BGR’s executives and BGR’s past client list includes Wisconsin Energies Corp. who provides electrical service to much of Wisconsin and Michigan’s Upper Peninsula. Wisconsin Energies Corp. also serves natural gas customers in Wisconsin.
The Public Campaign Action Fund, a nonprofit advocate for campaign finance reform, pointed out that Wisconsin Energies has spent $320,000 on lobbying with BGR since 2009, and that BGR executives donated at least $10,800 to Republican Wisconsin Governor Scott Walker’s campaign. Wisconsin Energies stands to benefit greatly from a provision in Walker’s budget that would privatize state-owned companies through no-bid contracts. Adding fuel to the controversy is the fact that Wisconsin Energies has ties to the Wisconsin’s State Senate caucus: Heather Liebham, who has worked for Wisconsin Energies state regulatory advocacy, is the wife of Republican Wisconsin State Senator Joe Liebham, who was one of the eighteen who illicitly pushed Walker’s “budget repair” bill through the Wisconsin Senate, producing a major conflict of interest.

Read more: http://www.digitaljournal.com/print/article/304654#ixzz1Gjdqlg8h

BGR also maintains an active client base with a number of foreign banks, governments and power companies,

The Center for Responsive Politics and the National Institute on Money in State Politics are two informative resources for people wanting to follow the money in politics. In addition to representing Wisconsin Energies Corp., BGR represents a significant number of foreign interests and governments including The Republic of India which paid BGR $1.2 million to represent its interests in Washington, India’s Reliance Industries which has paid BGR $1.52 million from 2009 and 2010, The American Chamber of Commerce in China and the American Chamber of Commerce in Shanghai, which paid a combined total of $280,000 to launder money into the U.S. political process, The Kurdistan Regional Government which paid BGR $1.13 million from 2009 to 2010, and Russia-based Alfa Bank which paid BGR $510,000 in 2010 to help subvert U.S. politics.

Read more: http://www.digitaljournal.com/print/article/304654#ixzz1Gjeyuy6A

Meanwhile, attempts to sell Wisconsin power stations have reappeared in Walker’s budget bill.

It was a weekend of record-breaking. Last Saturday, while the largest protests in the history of the Wisconsin took place, the largest protest in the history of Washburn, Wisconsin also took place. When Governor Walker arrived to give a speech to Republicans at a local steakhouse, governor Walker was met on location by up to 5,000 protesters. What is special about this is that the city of Washburn only has 2,280 residents! Here is a video from the huge protest in the little town:

Protests in Washburn, WI, March 12, 2011 (SunRidge Video)

Walker was also met the following evening by 4,000 protesters when he was to give a speech in Green Bay.

But that is not even half of it!

More legal problems are mounting on the Wisconsin Republicans. The International Commission for Labor Rights has declared Governor Walker’s anti-union provisions illegal, and so have the National Lawyers Guild. According to truth-out.org, statement by the ICLR says:

As workers in the thousands and hundreds of thousands in Wisconsin, Indiana and Ohio and around the country demonstrate to protect the right of public sector workers to collective bargaining, the political battle has overshadowed any reference to the legal rights to collective bargaining. The political battle to prevent the loss of collective bargaining is reinforced by the fact that stripping any collective bargaining rights is blatantly illegal. Courts and agencies around the world have uniformly held the right of collective bargaining in the public sector is an essential element of the right of Freedom of Association, which is a fundamental right under both International law and the United States Constitution.

There is more. State Senator Randy Hopper, already considered the least likely Senator to survive a recall election, has a new heap of trouble. When protesters showed up at his house in Fond du Lac to demonstrate, they were surprised when his wife came to the door and mentioned that they were now estranged. It seems that Hopper has been living in Madison for the past few months with a 25-year old lobbyist named Valerie Cass. Several reports mention that his former wife and maid were apparently happy to sign the petition for Hopper’s recall, though this is not confirmed.

He is in a lot more trouble, though. Madison, as it happens, is not technically inside his legislative district – if he has been living outside of his district, that would be a felony violation of elections law. So would be conspiring with lobbyists while acting in a state office. Ms. Cass no longer works for her former lobbying firm, Persuasion Partners of Madison, located one block from the State Capitol. The group touts itself for “Turning blue states into red states”. I have three screenshots, showing their “Candidate Clients” as well as their “Grassroots, Corporate and Third Party Clients”, shown here:

Persuasion Partners Inc. Candidate Clients, part 1 (Persuasion Partners Inc. Screenshot, March 15, 2011)

Persuasion Partners Candidate Clients, Part 2 (Persuasion Partners Inc. Screenshot, March 15, 2011)


Persuasion Partners Inc. Grassroots, Corporate and Third Party Clients (Persuasion Partners Inc. Screenshot, March 15, 2011)

There are a couple of interesting things to note here. First, the firm Persuasion Partners is involved with Koch-sponsored groups. It is also involved with the Minnesota Republican Party and the Republican Party of Tennessee and Republicans in both states are pushing for draconian cuts to state services and benefits for public workers just as they are in Wisconsin. The Kochs are apparently embedded with the Republicans quite deeply. Another surprise is that Attorney General J.B. Van Hollen is also a client, along with Scott Walker and Wisconsin Congressional Representative Paul Ryan – who gave the Republican address after the most recent State of the Union speech, in which he called for draconian cuts for federal services and public employee benefits. It seems as if there may be a connection…

Will the State Attorney General investigate whether Hopper has been living outside of his district and whether there are ethics violations involving his ex-lobbyist girlfriend? He should, a complaint has already been filed against him by a citizen, Dawn Meyer.

Remember when the Republicans put arrest warrants out for the Wisconsin 14? Well, that was a felony. Wisconsin State Senator Jon Erpenbach discusses this and very clearly explains what is happening in the video here.



Video streaming by Ustream

The recall efforts are progressing ahead of schedule as well – the recall of the Republicans, that is. A new poll indicates that at least three Republicans would lose in recall elections, by sizable margins. And mswsm at Daily Kos has found out that the Americans for Prosperity “Stand with Walker” Bus Tour must be faking its signatures. They had about 1,000 signatures when they left Green Bay, and after meeting 200 supporters in Wausau (pop 38,000), they somehow arrived in Rhinelander (pop 7,700) with 115,000 signatures! Someone on that bus has a very sore wrist!

Meanwhile, calls for boycotts are picking up steam. A “move your money” campaign has already begun to spread statewide with firefighters spontaneously closing their accounts with M&I Bank, conveniently located at the site of the Madison protests. It turns out that M&I bank is not in the best financial shape as it is. They gave out lots of bad loans and hold a high ratio of toxic assets. For information on companies that supported Scott Walker, check out my link as well as the list at Scott Walker Watch. Boycotts are the way to go:

Cenk Uygur discusses how to fight billionaires (MSNBC)

It is disappointing that the Obama Administration has not come out more strongly in favor of the workers in Wisconsin, however in his defense,
he is trying to manage negotiations with the Republican House of Representatives who would like to make all sorts of crazy cuts to everything that middle class people need to remain in the middle class. Standing firmly behind the crowds could inflame the his problems with the House is probably what he is thinking, but why not take control of the bully pulpit of the presidency and promote the idea of worker’s rights? Obama is running the show at the moment and he could really get a boost from people who are already fighting for their rights. Besides, President Obama should be concerned about his re-election prospects if labor chooses one of its own to run for the Presidency.

Other Democrats are helping a bit more. Ohio Rep. Dennis Kucinich gave a great speech last week at the Madison Worker’s Rights Rally. It pretty much sums up what is at stake and how to make sure that the U.S. remains a democracy, free from corporate control.

Cenk Dennis Kucinich in Madison, March 12, 2011 (Uptake)

And on one final note – more rallies are planned throughout Wisconsin! Keep up the great work! The schedule can be found at SEIU with information on free buses to the events.

“They are patriotic in time of war because it is to their interest to be so, but in time of peace they follow power and the dollar wherever they may lead.”
– Henry A. Wallace

The actions by the Republican Party in Wisconsin since January have been playing out across the country at the same time. In Wisconsin, the attack was led by stripping public unions, the strongest remaining unions, of their right to collectively bargain. Hidden in the budget bill are provisions to sell state assets so that they can be purchased by large companies and their services can be sold back to the state at a higher price. In Michigan, the Republicans are passing unconstitutional laws that can be used to eliminate elected local governments, fire all union staff and give control of the municipality over to large corporations under the guise of a fiscal crisis. Arizona sold their statehouse so that they can rent it for a higher price in perpetuity! The current political instability in the US is due to a coordinated attack on American public institutions and infrastructure by billionaires and the companies that they run. What is playing out is an attempt to replace representative democracy with corporate control of the like we have not seen since the time of the Robber Barrons during the Gilded Age. During the past few evenings, Rachel Maddow has aired a number of pieces that make an excellent primer to what is taking place, who is funding it, and what the outcomes are. These pieces are a must see for anyone in the middle class that cares about their own standard of living, the future for their children, access to education, and the rights of human beings.

Part I: The Koch Brothers – the billionaires who are funding the Tea Party and directing Republican policy.

The Koch Brothers are behind the Tea Party and they are pulling strings, 7 March, 2011 (The Rachel Maddow Show)

Part II: One of the things that the Right does when they receive hundreds of million dollars from billionaires is to hire people to misinform people on internet discussion sites and to place attack ads on air against popular causes and liberal politicians.

Rachel Maddow discusses Astroturf campaigns, 7 March, 2011 (The Rachel Maddow Show)

Part III: Despite the fact that all of the Republican Governors and Congressmen claim that the problem is one of fiscal insolvency, the actions that are taking place right now have very little to do with the budget and everything to due with taking political control from the people. All of the fiscal problems in the country are easily fixed by raising taxes on the wealthy (the people who created the problem) and state and national budgets are being used as a ruse.

Rachel Maddow on the Tea Party's use of financial crises to drive draconian legislation, 8 March, 2011 (The Rachel Maddow Show)

Part IV: Naomi Klein discusses how the Right uses the threat of disaster to gain control all…the…time. She describes how the current state and federal budget crises are no different.

Naomi Klein discusses Disaster Capitalism and Michigan's Financial Emergency Law with Rachel Maddow, 8 March, 2011 (The Rachel Maddow Show)

Part V: Rachel Maddow announces the Wisconsin State Senate’s illegal vote on collective bargaining rights.

9 March, 2011: Wisconsin Senate illegally votes to remove collective bargaining rights (The Rachel Maddow Show)

Part VI: How did this mess all begin? Remember when a group of billionaires collapsed the economy through their own financial irresponsibility and criminal behavior? Well, neither the irresponsibility nor the criminal behavior have stopped, but now the billionaires want control.

We should focus on the people who created the current economic crisis: The billionaires. 9 March, 2011 (The Rachel Maddow Show)

Part VII: Rachel Maddow announces the new Michigan law that allows the Governor to choose which local governments are in financial crisis… and to pick which corporation can run the town once he invalidates the local elected governments.

A new Michigan law gives the governor the power to overturn local elections and grant control of municipalities to corporations. 9 March, 2011 (The Rachel Maddow Show)

Part VIII: Michael Moore discusses the pro-labor and pro-democracy movements in Wisconsin and how people can rise up against the class war and the loss of democracy in their own state.

Michael Moore discusses the current attack on the Middle Class and what can be done about it. 9 March, 2011 (The Rachel Maddow Show)

Part IX: What is at stake and the need to act to stop the corporate takeover of the country.

Michael Moore: "We can win this, but we have to do something" 9 March, 2011 (The Rachel Maddow Show)

Michael Moore had a lot of very good and very important things to say regarding the budget battles that are sweeping the country at the moment. He came out with very strong support for the Middle Class, for Workers, and he pointed to tax cuts on the wealthy and corporations as the key problem facing American budgets.

Wisconsin State Capitol (rbw)

After a Dane County Court ruled that the State was violating a prior ruling to allow protesters into the State Capitol, the scene at the Capitol was quiet once protesters left peacefully in accordance with the part of the ruling that prohibits nighttime sleepovers in the building. However, the cynical action by the Governor was not finished. Members of the Walker Administration claimed that it may take as much as $7 million to repair the damage done during the 2-week sleepover in the building. Though when pressed by the media, the Walker Administration was forced to backtrack, indicating that there was no damage to the building and all that was necessary was a through cleaning, including removing signs taped to the marble interior.

That was not all. The police presence at the State Capitol remains strong, though many officers are working during the day, only to join the protests after their shifts are complete. Democratic Assemblyman Nick Milroy of South Range was tackled to the ground when he tried to enter his office to get his coat. Video of the incident can be seen on WISN.

Because of the lockdown earlier this week, Democratic Legislators moved their desks outside so that they could meet with their constituents. Republicans did not apparently want to meet their constituents, in contrast, because they kept their desks inside during the lockdown. The Dems have kept their desks outside, even after visitors could enter the Capitol again.

After .22 caliber bullets were found in several locations around the State Capitol Thursday, visitors to the Capitol were screened heavily for weapons. Because of the incredibly peaceful nature of the protests so far and because Governor Walker has already admitted to considering to bring thugs in to create trouble, the discovery of the bullets has prompted Wisconsin ex-Attorney General Peg Lautenschlager to say:

“For all we know somebody planted them there — we don’t know if it was a protester.”

Thanks to the 14 Democratic Senators who are still in Illinois on their own dime, under the threat of an unconstitutional arrest, more details of the Koch-supported Budget “Repair” bill are coming to light. The ramifications are profound, including a $1billion cut to education across the state, the budget could end interlibrary book loans, it would force local referendums in order to maintain services, and strip collective bargaining rights for union employees, as well as end their subsidized child care. In a nod to the insurance companies that backed his campaign financially, the bill would also gut the self-supporting Wisconsin State Insurance Fund. This is a crystal clear example of companies giving candidates contributions for political services.

It would not be the only corruption on the part of Scott Walker. The Milwaukee Magazine has outlined cronyism and corruption that occurred in the Milwaukee County pension system under Walker’s watch. He has violated a Dane County judge by refusing entry for demonstrators into the Capitol. He has apparently lied to the press, who are now suing, over the notion that he had received a large number of emails in favor of his budget proposal. He likely broke the law when he mentioned that he had considered sending thugs to create trouble to discredit the protests and he is clearly in the pocket of the Koch brothers, given his friendly relationship with them, and he has been threatening state workers with pink slips if he does not get his way, a form of political coercion. In addition to all of that, Walker likely broke state labor laws by refusing to negotiate with the unions. Laura Flanders discussed these legal issues with Lautenschlager.

With his legal exposure, the story gets worse for Walker. Recall efforts are underway for 8 Republican Senators and they are going swimmingly. The recall of three senators gives the Democrats a majority and the recall of all 8 gives them a 2/3 majority, which they could use to bring about impeachment hearings. Scott Walker’s window to pass his budget is closing and he knows it: Some Republicans may even break with the party if it comes up for a vote.

So do the mainstream media William Rivers Pitt discusses why the mainstream media has not been reporting the huge crowds in Madison, preferring to discuss Charlie Sheen instead. In short, he says “I think they’re scared.” More on media coverage later!

For those of you who are interested in perusing the draconian Wisconsin Budget “Repair” Bill, like all other bills under consideration, it can be found with a search on the Wisconsin Legislature website. Here is a hard link to the document itself: Wisconsin Budget “Repair” Bill, full text. Enjoy the reading, it is surreal.

Protesters in Madison (via Rossomando Report)

There is plenty of good news coming from Wisconsin. Wisconsin workers have filed recall petitions against the eight Republican State Senators who can be recalled immediately. The AFL-CIO piece quotes a Steelworker:

Gov. Walker and Senate Republicans are refusing to listen to the hundreds of thousands of working families who traveled to Madison to make their voices heard. He has refused to listen to the majority of the people of this state who disagree with them. So now it is time for us to make our voices heard in their districts. If they will not listen to “we the people” then the “we the people” are going to take our government back.

The independent media is shining in its coverage of the corporate takeover of Wisconsin. New information continues to be released indicating that corporations do not pay their fair share of taxes, of the criminal enterprises of the Koch brothers, and the Kochs are losing the battle of public opinion. Several recent polls indicate that Americans are roughly 60-30% against stripping unions of collective bargaining rights and Walker’s approval rating is in the 30s and sinking.

In other news, Democrat Tom Barrett would win in a recall election against Governor Walker – an even that is almost guaranteed considering that Rachel Maddow is now reporting that half of Wisconsin wants the Governor to be recalled. The Wisconsin Democratic Party is now funding the campaign to recall these officials. Wisconsin will have a different legislature and it will eventually have a new governor and the longer that the protests and the Democratic Senators hold out, the more likely Scott Walker can be found liable for a crime. Even the Republican Party is turning on Walker. According to The Progressive:

Since 1871, there has been a civil rights statute on the books entitled “Conspiracy Against Rights” (See TITLE 18 > PART I > CHAPTER 13 > § 241.)

It reads as follows:

“If two or more persons conspire to injure, oppress, threaten, or intimidate any person in any State, Territory, Commonwealth, Possession, or District in the free exercise or enjoyment of any right or privilege secured to him by the Constitution or laws of the United States, or because of his having so exercised the same . . . They shall be fined under this title or imprisoned not more than ten years, or both.”

So put pressure on Scott Walker. Write to the Attorney General and demand that he investigate the “phone call” and Walker’s connections to the Koch brothers. And when A.G. Van Hollen refuses, demand that he step down as well. When the Kochs, the Governor and his cronies are forced to defend themselves, the workers go on offense and then they can repair the damage that has been done to the state.

There is a lot of great news! Keep up the awesome work! Write your newspapers and TV stations, contact everyone you can. If we keep it up, we will win!

A full slate of protests are continuing as well. Check the SEIU and the Wisconsin AFL-CIO websites for detais, but here is a breakdown of locations for activities:

Thursday, 3 March, 2011
Burlington
Kenosha
Janesville
Jefferson
Juneau
Rhinelander
Superior
Whitewater

Friday, 4 March, 2011
Lake Delton
Milwaukee
Montello
Portage
Spooner
Wausau

Saturday, 5 March, 2011
Burlington
Columbus
Solon Springs

…and of course MADISON! More big protests likely on Saturday!

100,000 people showed up to rally against the GOP in Madison Saturday (John Hart, State Journal, via Madison Capitol Times)

After a weekend of protests that spread through all 50 states, the numbers continue to rise as rallies continue. The protests in Ohio are growing quite large as well. More that 20,000 people rallied in Columbus on Monday, protesting more Koch-supported union-busting Tea Party legislation passing through the legislature there.

One hiccup did occur as Governor Walker refused to allow protesters into the State Capitol Monday, though he was hit with a restraining order by a Dane Country judget. In addition, police refused to enforce the Governor’s order to clear the building, arguing that they “are not the Palace Guard”. It is public relations like these that explain why more than one million Wisconsinites are willing to sign a petition for Scott Walker’s recall. That is about 1 in 4 voters in the state asking for his recall, and that is only after one week.

Walker’s political future may be doomed, but he plans to continue to do damage before he leaves. The Governor, who was ousted from Marquette University for cheating while still only garnering a 2.4 GPA, is gutting the Wisconsin state educational system with cuts of up to $900 million in aid to schools. Meanwhile, the damage continues to build. Restaurants are leaving the Wisconsin Restaurant Association for its support of the Walker Budget “Repair” Bill.

As the national assault on education continues, including the Detroit school districts packing up to 60 pupils per classroom and all of the Providence teachers being fired in one swoop, more and more evidence of criminality and conspiracy begin to arise.

The Media are doing their part to aid Governor Walker’s disinformation program. Fox “News” has once again been caught lying,
when it turns out that a reporter who claimed to be punched by a protester – well, was not punched by a protester. They have been shouted down by protesters to the tune of “Fox News Lies” (because it does), but there has been no violence directed toward them. Fox’s response to “Fox News Lies” has been to argue that the protesters have a lot of “vitriol toward the media” and that the protesters want to shut down communication. Watch the link to see the worst, most dishonest reporting ever. Good Grief.

But Fox News is not the only complicit new organization helping the Tea Party out. The New York Times has once again taken to burying the lead. Oh, sure the real news is right there – on page 23 – but you have to get past the misleading headlines first. Keith Olbermann, now of Fok News, has exposed a piece in which a “regular union guy” from Janesville, WI argued against the teachers’ right to collectively bargain. Well, it turns out that the New York Times failed to report that the “regular union guy” was not actually a member of a union, the plant he supposedly worked for has been closed for years, and they misspelled his name. Oops.

Word is slowly getting out that Minnesota, with a bigger biennial budget deficit than Wisconsin, is closing its gap by taxing the rich. Wisconsin should do the same, since the wealthy and corporations in Wisconsin actually pay lower taxes than their fair share. And if those other companies are like Koch Industries, they have gotten rich by demanding bailouts and robbing from the states anyway.

The cyber-activist group, Anonymous, is also getting involved. They have taken down the Americans for Prosperity website as their first attack on a Koch-run organization. They say:

“[i]t has come to our attention that the brother, David and Charles Koch- the billionaire owners of Koch Industries-have long attempted to usurp American Democracy. Their actions to undermine the legitimate political process in Wisconsin are the final straw. Starting today we fight back.”

Budget Battle (Clay Bennett, Chattanooga Times Free Press)

This article is Part II in a series of articles regarding government spending. To read the other related pieces, go to my U.S. Federal Debt: Sources and Solutions page.

Current status

Buoyed by their 2010 election success, the Republicans (who ran on jobs and the economy) have come to Washington to take it down. House Majority Leader, John Boehner (R-OH), has called for $100 billion in cuts to discretionary spending. Ron Paul has suggested not raising the U.S. federal debt limit, which would precipitate a worldwide crisis as the nation defaults on $14.3 trillion in debt. The fervor does not end there: Iowa’s Steve King (R) even suggested we should “kill the government” should Obama fail to kill health care reform – a move that would add up to $1 trillion to the federal debt after 10 years. The cuts that are proposed are standard: Education, unemployment benefits, housing and (oddly) also cuts to entitlements that are not discretionary spending. Social security and Medicare have long raised the ire of Republicans who would love to privatize the systems and transfer the wealth they contain to the private sector. The largest portion of federal discretionary spending, the military, remains largely untouched through all of this.

So where do all of these cuts leave the jobs issue? Well, the “strange” unemployment numbers from January were not strange at all. The current situation is entirely consistent with the viewpoint in which so many people have been unemployed for so long that not only are they no longer eligible for unemployment benefits, but they are also giving up their jobs searches. That is prior to pending federal budget cuts. The forecasts for the currently proposed GOP cuts will involve the layoff of around 650,000 federal employees alone and the decrease in federal spending will bring the total to nearly 1 million jobs after 2011. This clearly does not jive with the Republican platform of helping jobs, but it is entirely consistent with the Republican mantra of “small government” that has been sweeping that nation and is most evident in the events taking place in Wisconsin.

We will take a look at the history of federal spending in order to find new methods to reduce the federal budget deficits in a what that will encourage growth in the national economy.

U.S. Federal Spending

Fig. 1: US Federal Outlays and GDP since 1901 (Wikipedia)

The U.S. Federal Government spent roughly $3.6 trillion in 2010. Big Government, you protest? Figure 1 shows the history of federal spending since the beginning of the 20th Century (please note that this is a logarithmic plot). The spending on the federal budget has grown in rough proportion to the growth of the economy since the time of FDR, though GDP numbers were not taken prior to that time and the rate of growth of government spending was much lower prior to 1900 because government undertook very few social spending initiatives before then. Also note the point of inflection at 1980. Prior to that time, the rate of GDP growth was accelerating as opposed to the deceleration we have seen since Reagan’s election.

Fig. 2: U.S. Spending and Revenue in %GDP (Bureau of Economic Analysis, via Carried Away)

Figure 2 shows the full level of spending by state and federal governments in the U.S. as a fraction of GDP since the beginning of the Great Depression. It clearly demonstrates that while there is growth in spending during the expansion of the military and programs such as Social Security, the overall spending per GDP by states has held roughly steady since the early 1970s and in the federal government since the election of Ronald Reagan in 1980. This essentially means that the cost per person of the federal government would have remained constant since the early 1980s, provided that middle class incomes would have tracked with the growth of the economy. This has not been the case. As a result, federal programs since the time of Reagan have become more expensive for the middle class while the middle class receives fewer services.

Fig. 3a: Total U.S. Spending, 2010 (Congressional Budget Office, via Wikipedia)

Fig. 3b: U.S. Discretionary Spending, 2010 (National Priorities Project)

That last point on the middle class receiving fewer services is doubly demonstrated by the proportion of military spending relative to total discretionary spending. I will discuss that in a moment, but I will first make a side observation. While researching U.S. discretionary spending, I noticed that the spending is usually displayed either of two ways. The first is the “Federal Pie Chart” in Figures 3a and 3b that show the relative sizes of various categories of total and discretionary spending respectively. The second form of presentation can be found in Figure 4. In short, the portrayal of discretionary spending in either mode is almost always the same and it has the effect of creating a politically expedient frame within which to understand the data.

Figures 3a and 3b represent to shares of total and discretionary spending (respectively) that are spent on a number of different budget categories. This is useful if you were concerned about how much money is spent on programs such as entitlements like Medicare, Medicaid and Social Security or how much is spent on paying off interest on the debt. But the pie charts do not indicate what fraction of the “Discretionary Budget” in Figure 3a are actually spent on Homeland Security or other non-Department of Defense national security areas however. So one gets the impression that defense spending is not so large relative to the entitlement programs shown in 3a.

Figure 3b show us a little more detail, essentially expanding the blue and orange sections from Figure 3a. Here we see just how much of the discretionary budget is taken up by the military but it does not include, say transportation programs that are geared to beefing up Homeland Security. This leads one to the conclusion that military spending is somewhat lower than it really is.

Furthermore, the pie charts only represent funding from a single year. It is impossible to tell how much spending might have changed either from the previous year or from a time several decades ago. And if the accounting is done right, then as I mentioned in the previous two paragraphs, it is easy to give the impression that everything is normal and there are no imbalances in the budget.

Nor would we get that that impression if we were to look at the other way in which the data is displayed: Historically. Figure 4 shows the relative proportions of military and non-military spending, with the caveat that the data is broken down in essentially the same way that it was in Figure 3b (the Department of Homeland Security is not part of the Department of Defense). However, the earliest date for the data is very important. It occurs at a time when the U.S. was in an arms race with the Soviet Union and at a time when it was becoming actively involved in the Vietnam War. The center panel of Figure 4 gives the strong impression that defense spending is under control, but only because it ignores the times prior to 1962 (the 1950s and prior to World War II when the fraction of military discretionary spending was about 30%) when spending on defense was much lower. And keep in mind that we are not including all national security spending in the defense sector – a trend that became worse and worse during the 2000’s. In fact current national security spending comprises nearly half of the “non-defense” discretionary outlays.

The bottom panel in Figure 4 drives home another convenient point that mandatory spending is out of control as well, but this is only due to the fact that defense spending has been considered a high priority among neo-conservatives. But the story behind Figures 3a, 3b and 4 is that even among discretionary spending, the military is consuming a larger and larger share even while spending on social discretionary programs becomes more expensive for the middle class and even while the middle class is expected to carry an increasing responsibility for funding these programs.

Fig. 4: U.S. Military and Non-military Discretionary Funding since 1962 (Office of Management and Budget, via Congressional Quarterly)

Another thing to consider is that all of the social programs that make life easier and demonstrably improve the quality of life for people who live in the United States (i.e. Education, Income & Labor Security, the EPA, Transportation and the Federal R&D) make up a very small fraction of the budget overall.

The take away message here is that despite the initial outward appearances, Figure 5 (the misspelling in the Figure is due to the Economist, not me, though the numbers are sound) shows that discretionary social spending has been very squeezed as a fraction of GDP over the past 40 years, ending with a brief and temporary counterpoint that corresponds to President Obama’s stimulus package. This overall decline has been due to the tax cuts that we will discuss later on which have limited the amount of money that can be spent on social discretionary programs, out of deference to mandatory spending and defense and national security.

Fig. 5: Non-defense Discretionary Spending as a function of GDP (The Economist)

Things are no different in either the current Republican or Democratic proposals for the upcoming budget deal. Social discretionary spending, comprising a small fraction of the total budget, will take the biggest lumps in upcoming budget cuts. That means housing programs, unemployment benefits, research and development, infrastructure investments, clean energy and environmental protection are going to lose funding relative to continued spending on the U.S. Military. The Republicans are aiming for broad cuts of $100 billion to the $660 billion non-military discretionary budget but the cuts are not planned to go toward the national security components of that budget.
The Minnesota Independent has a brief summary of some of the expected cuts which correspond to a roughly 30-50% hit to social programs that are used by everyone in the country and the regulatory agencies that protect our physical and fiscal environments, while the military budget of $689 billion will remain virtually untouched even though the U.S. spends the same amount on its military as the rest of the world combined (Figure 6). Feeling safe yet?

Every gun that is made, every warship launched, every rocket fired signifies, in the final sense, a theft from those who hunger and are not fed, those who are cold and not clothed. This world in arms is not spending money alone. It is spending the sweat of its laborers, the genius of its scientists, the hopes of its children. This is not a way of life at all in any true sense. Under the cloud of threatening war, it is humanity hanging from a cross of iron.

–President and Five-Star General Dwight D. Eisenhower, From a speech before the American Society of Newspaper Editors, April 16, 1953

Fig. 6: World military expenditures of every nation in the world, 2009. The tall bar on the far left is the United States, which spends more than 6 times as much as its nearest rival, China. Click to access a larger version. (Global Security, via Think or Thwim)

Impacts of Federal Spending on the Economy

Despite conservative beliefs and mantras, government spending has a legitimate place in the national economy if for no other reason than the fact that, according to the U.S. Census, the U.S. federal government has 2.5 million employees in addition to the military which has 1.5 million active and 1.5 million reserve personnel. That corresponds to nearly 5.5 million total employees, not including part time civilian staff, and that corresponds to more than 3% of the U.S. workforce.

More importantly, Figure 1 shows that current federal spending is at a level of roughly 20% of GDP so it can act as a strong lever arm to encourage economic growth, industrial development, support workers wages and to develop public infrastructure, especially in concert with the government’s regulatory powers. Yet here is what House Speaker John Boehner (R) says about spending:

“This is where cutting spending will create jobs because it is going to bring greater fiscal responsibility here in Washington, DC, end some of the uncertainty, and allow jobs to be created in America.”

Even Cliffs notes will tell you that decreased government spending shrinks the demand for labor in the economy. During times of economic crisis, this can lead to a downward spiral because a smaller workforce leads less consumer purchasing that, in turn, leads to lower corporate profits and less investment and possibly more layoffs which feed back into the system. The Keynesian economic view argues that the Government can borrow money maintain spending levels despite a drop in tax revenue in order make up for the consumer demand that is lost to unemployment.

One could in principle spend money on just about anything, but the most effective approach is to make investments into public infrastructure that essentially build new efficiencies into the national economy that everyone can share in the future. This is the idea behind financial stimulus, but some forms of stimulus are better than others because some forms of spending allow the money to pass through more hands in the economy in a relatively short period of time and that encourages economic growth.

Mark Zandi, Chief Economist for Moody’s, published a study that modeled the effects of various forms of stimulus to see which would provide the greatest impact per dollar invested. You may find the results rather surprising in Figure 7.

Fig. 7: Effective rates of return on each dollar invested in various forms of stimulus (Moody's via Huffington Post)

Surprised? Perhaps it is because the best form of stimulus shown is investing in Food Stamps and Extending Unemployment Benefits! These are anathema to the laissez-faire Trickle Down Economics favored by the Republicans, who tend to be acolytes of Milton Friedman. The Bush Administration, in contrast, strongly favored Capital Gains Tax Cuts, Tax Rebates and Tax Cuts on the wealthy, in keeping with the notion of Trickle Down.

So why would food stamps be better stimulus than tax cuts on the wealthy? The reason is that poor people will spend the money as soon as they get it while wealthy individuals will typically save a windfall for a rainy day. In the latter case money is taken out of circulation so it does not typically provide a positive economic benefit. But there is another important benefit. When people become unemployed and can not feed themselves, they die. When that happens, not only does society lose their productivity, skills and knowledge that those people once had, but society also loses the investment it made to train and educate them. That was the situation in the United States during economic disasters like the Panic of 1893 and the early years of the Great Depression, before Roosevelt’s New Deal. Other forms of stimulus are not listed.

The military, for example returns roughly $0.40 on every dollar because every dollar spent on a bomb is a dollar spent on something that was designed to be wasted. Scientific research provides a quick infusion of cash with a return to the tune of approximately $1.60 on the dollar.

One is forced to wonder why the Bush Administration supported non-stimuli such as tax cuts because, despite the conservative propaganda, Friedmanian economics tends to lead to a reduction in tax revenues over the long term. (This is an indication that the middle class becomes poorer over time.) Nevertheless, the Friedmanians do (rarely) have a point. In the event of too much borrowing, there can be a set of diminishing returns. If the federal debt levels require steep payments on the debt, the government can respond by making money to pay it off. This results in depreciation, which if taken too far can drastically increase interest rates and lead to accelerated depreciation in the value of the dollar and a sticky mess for the economy: Stagflation. That was the situation during the 1970s during an economic slowdown that occurred while the U.S. was balancing the debt it racked up during the Vietnam War. War is expensive.

Another way of looking at this is that, as in Figure 8, various forms of stimulus act on the economy over differing lengths of time and some forms even have a longer lasting impact than others. These factors must be considered in preparing a viable stimulus package.

Fig. 8: Cumuluative Effects of Policy Options on Unemployment (Rachel Maddow Blog)

Obama’s stimulus package was considered by some economists such as Nobel Prize Laureate Paul Krugmanas too small to completely repair the economy, and the U.S. economy is still at risk for a double-dip recession as the stimulus has now worn off while unemployment remains quite high. Part of the reason for this is that the stimulus contained a combination of approaches including non-stimulative tax cuts due to political expediency. While enacting the stimulus package, Obama also failed to raise taxes on the wealthy, which would have given more budgetary cover for a larger stimulus package, but it is also unlikely that would have been accepted by Blue Dog Democrats who were already leery about the federal stimulus package.

Obama’s hands are now tied because of the size of the federal budget deficits due to the wars in Afghanistan and Iraq as well as the reduction in tax revenue due to the Bush tax cuts. Having missed his chance and having failed to include enough stimulus required to fix the economy, the U.S. labor force is now locked in a political game of prisoner’s dilemma. If Obama and the House Republicans can find a compromise, then everyone loses (in this version of the game, this is the best possible scenario), but everyone loses a lot if an agreement is not made soon or if Congress fails to increase the federal debt limit. In that case, the U.S. could eventually be forced to use money locked in the Social Security Trust Fund to pay off existing debt. This is considered a goal by some conservatives because it may force the privatization of Social Security.

What to expect from a short-term federal shutdown

Here we are: In a situation in which the recently elected representatives to Congress care far less about stimulus and investment into the economy than spending money on special interests – especially the anti-stimulative military – and ensuring that “Obama fails”.

So if the current budget impasse continues due to the stark divide between the emerging conservatism of the White House and the bottomless pit of nihilism of the Congressional Republicans, what are we likely to see in a short-term federal shutdown? The Minnesota Independent has summarized a 1999 Congressional Research Service report on past federal deadlocks. (Note, there is a typo in he Minnesota Independent report. The November 2005 shutdown should read November 1995.) A 5-day shutdown caused the furlough of 800,000 federal workers while a subsequent 21-day shutdown led to 284,000 furloughs and 475,000 others were forced to work in critical positions without pay. This of course means lost tax revenue for the government in addition to the extra costs that are incurred by the need to pay additional contract extensions and fees. (Cutting programs often results in similar additional costs.)

The Congressional Research Service also described the impact on the public:

“Health. New patients were not accepted into clinical research at the National Institutes of Health (NIH) Clinical Center; the Centers for Disease Control and Prevention ceased disease surveillance (information about the spread of diseases, such as AIDS and flu, were unavailable); hotline calls to NIH concerning diseases were not answered; and toxic waste clean-up work at 609 sites stopped, resulting in 2,400 “Superfund” workers being sent home.

Law Enforcement/Public Safety. Delays occurred in the processing of alcohol, tobacco, firearms, and explosives applications by the Bureau of Alcohol, Tobacco, and Firearms; work on more than 3,500 bankruptcy cases was suspended; cancellation of the recruitment and testing of federal law-enforcement officials occurred, including the hiring of 400 border patrol agents; and delinquent child-support cases were suspended.

Parks/Museums/Monuments. Closure of 368 National Park Service sites (loss of 7 million visitors) occurred, with local communities near national parks losing an estimated $14.2 million per day in tourism revenues; and closure of national museums and monuments (estimated loss of 2 million visitors) occurred.

Visas/Passports. 20,000-30,000 applications by foreigners for visas went unprocessed each day; 200,000 U.S. applications for passports went unprocessed; and U.S. tourist industries and airlines sustained millions of dollars in losses.

American Indian/other Native Americans. All 13,500 Department of Interior Bureau of Indian Affairs (BIA) employees were furloughed; general assistance payments for basic needs to 53,000 BIA benefit recipients were delayed; and estimated 25,000 American Indians did not receive timely payment of oil and gas royalties.

American Veterans. Major curtailment in services, ranging from health and welfare to finance and travel was experienced.

Federal Contractors. Of $18 billion in Washington area contracts, $3.7 billion (over 20%) were managed by agencies affected by the funding lapse; the National Institute of Standards, was unable to issue a new standard for lights and lamps, scheduled to be effective January 1, 1996; and employees of federal contractors were furloughed without pay.”

Some federal agencies such as those related to defense would continue to operate even under a government shutdown.

Coming soon

In the next segment, we will discuss tax policy in relation to the information that we have covered in Parts I and II. Stay tuned.

References and Links

The Economist: “Outrageous Cuts”

U.S. Census: Federal Government Civilian Employment

U.S. Department of Commerce Bureau of Economic Analysis National Income and Product Accounts

Wikipedia: List of countries by level of military equipment

Wikipedia: United States Federal Budget

Glenn Beck talks apocalypse porn (Rachel Maddow Show, via YouTube)

In new developments regarding Wisconsin, the Koch brothers, showing no small amount of irony or chutzpah, passed on this message to the public through the National Review:

“With the Left trying to intimidate the Koch brothers to back off of their support for freedom and signaling to others that this is what happens if you oppose the administration and its allies, we have no choice but to continue to fight,” says Richard Fink, the executive vice president of Koch Industries. “We will not step back at all. We firmly believe that economic freedom has benefited the overwhelming majority of society, including workers, who earn higher wages when you have open and free markets. When government grows as it has with the Bush and Obama administrations, that is what destroys prosperity.”

That is right, freedom is slavery. And not having the ability to bargain for wages apparently increases them…somehow. It is plainly apparent what is taking place here. Don’t you see? The billionaire Koch brothers are the real victims here. Just because they have simply paid a puppet to eliminate the jobs of those fat cat teachers and nurse’s aides, redact environmental regulations and curtail public health care so that they can pay a lower marginal tax rate, they are made out to be the bad guys. Oh, and buying state power plants so that they can sell power back to the state at a higher cost and hefty personal profit would be nice, too. Can you believe the insensitivity of those liberals out there? What does a billionaire have to do these days to make a living? Work?

True to form, their fight apparently continues: Governor Walker is now attacking state health programs, including programs for the disabled. Disabled rights activists protested inside the state GOP headquarters in Madison Friday. As we reported yesterday, Walker also has his sights on the state’s currently healthy employee insurance fund. And the attack on collective bargaining continues, even if the state is about to lose $46 million in federal money specifically because it is ending collective bargaining rights for workers! Now THAT is a way to balance a budget!

What we are seeing is a natural end of unbalanced conservatism. The United States is in a race to the 19th century, when the 20th was its greatest time and while other nations are aiming for the 22nd. The conservative movement has become so rapt with its regressive economic dogma that it hires people like Glenn Beck to spew his apocalyptic violence porn because teachers and nurses are marching to retain their rights to collectively bargain for their salaries – “IT IS THE APOCALYPSE I TELL YOU!” We now live in an age where a teacher who claims that he or she has the right to earn a living wage represents the ‘mark of the beast’. That is just how unbalanced the right is and that is why it must be stopped. If enough people march, protest, right representatives and demand investigations, they can be stopped.

Walker continues his assault on the Middle Class (AP Photo/Andy Manis)

When will the billionaires be asked to share in the burden? Hundreds are protesting outside Koch Industries’ new lobbying office that is located a block from the Capitol in Madison.

Governor Walker, not content to deprive teachers and nurses of their rights to collectively bargain for their salaries is now eager to raid the state employee insurance fund to balance the budget.

The first layoffs have been announced by Walker, including the wife of Wisconsin Democratic State Senator Scott Fitzgerald, Lisa, who is a teacher, in a fine case of political retribution.

In addition, Republican legislators will restrict access to their offices beginning pm Saturday because they are not really about free speech and democracy, unless one is talking about the “free speech” that Citizens United claimed comes in the form of corporate political donations. Vote such as the one last night come about when a political party no longer thinks it requires constituents (or when it really believes that corporations are people).

Democrats jeer at Republicans who leave immediately after an abrupt vote to deny workers the right to collective bargaining (AP via Yahoo News)

The Republicans in the Wisconsin State Assembly voted to deny collective bargaining rights to state employees as well as to begin the sale of state assets to private companies in no-bid contracts. The vote was as abrupt as the Republican departure from the Assembly chamber immediately after the vote. All the Republicans voted very quickly and the count was limited to a very short time so that not all Democrats were even given an opportunity to vote. The Republicans then left, single file under guard, greeted by the throngs of protesters still filling the Captiol Rotunda at that late hour. As the Democratic Assemblymen waved the Republicans off, the protesters greeted the Dems with shouts of “thank you” for continuing a 60-hour filibuster to slow the bill’s passage.

The vote tally is given here for you to see how your Assembly representatives voted. Remember, not all Dems were given a chance to vote, but they had been in unanimous disapproval of the bill. Republicans Kaufert (Neenah), Nerison (La Crosse), Spanbauer (Oshkosh) and Tranel (Cuba City) each voted no, joining the Democrats.

Wisconsin State Assembly Representatives can be contacted via their websites. Be sure to thank them appropriately.

David Koch (New Yorker)

In the aftermath of Wisconsin Governor’s phone call with a David Koch impersonator, we now know that Scott Walker is a puppet. The Koch’s have purchased his election, with a combination of both direct funding and indirect funding through the Kochs’ vast network of right-wing organizations. We can only speculate on the Kochs’ true motivations, but if the talking points listed on their think tank websites give any indication, it involves a dismantling and part and parcel sale of government assets to private interests as well as an assault on environmental regulations. The New Yorker published an excellent article about the Koch Brothers last August. This exposé is quite illuminating in that it brings up a number of issues, including the roots of their interest in the Libertarian movement, how they gained political influence, and how they have now been able to buy elections across the country.

New Yorker: Covert Operations, The billionaire brothers who are waging a war against Obama