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July 16, 2008

Wednesday Update

July 16, 2008  Volume 2, Number 30  In This Issue:  Shakedown Smackdown, Thank God It's Thursday?
July 16, 2008
Volume 2, Number 30

The Wednesday Update

In This Issue:

1. Shakedown Smackdown

2. Thank God it's Thursday?

3. Shell Games with the
    Lottery Credit

4. Flooded by Fraud

 

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Shakedown Smackdown

Last week, the Wisconsin Supreme Court ruled in favor of the Menasha Corporation, agreeing that the state was improperly assessing a sales tax on specialized software the company had purchased. According to the Milwaukee Journal Sentinel the State Supreme Court ruling means Menasha and other Wisconsin companies are entitled to an estimated $265 million in sales tax refunds and interest.

The decision portrayed by dissenting Justice Abrahamson as “costing” the taxpayers money, was immediately followed by a call from the Doyle administration for a tax increase to make up for the lost revenue. Doyle’s secretary of Revenue, Roger Ervin, said he will give Doyle recommendations on ways to update the tax code. Translation? Higher taxes. 


Liberals, to no one's surprise, labeled the Court “corrupt” for siding with business and concluded that the only way the Court can be saved from “corruption” is to fund Supreme Court races with more tax money. 



Thank God It's Thursday?

  Are you concerned that our state workers
  are spending too much time in the office?
  Do you think employees funded by your
  tax dollars should have an extra day off to
  go golfing and shopping, making it that much harder for you to get drivers license or even pay your taxes?  Then you will be pleased with the news that  Wisconsin may consider moving to a four-day work week for state employees.

Of course, these employees won’t actually be paid any less – so no money will actually be saved.  Instead, Wisconsin might follow the lead of Utah and cut a day to “conserve energy.”  So when you’re at work on a Friday and state workers are all driving their cars to the movie theater, remember - it’s for the environment. 



Shell Games With the Lottery Credit

  In 1987, Wisconsin voters approved an
  amendment to the state constitution that
  allowed for a state lottery.  The constitutional
  provision allows the state to collect lottery
  funds, given that those funds are used for
 property tax relief.

A recent audit of the Wisconsin Lottery, however, has cast doubt on how the Doyle administration is using funds collected from lottery ticket sales. 

According to the Legislative Audit Bureau, the 2005 state budget required lottery funds be used for plugging a hole in the state budget, instead of for lowering property tax bills. All told, $208,000 was transferred to the general fund to pay off debt service and to plug holes in the general fund budget. 

This budget shift was deemed “immaterial noncompliance” by the Audit Bureau, and means you likely paid more on your property taxes so a few more state employees could hang on for an extra year.



Flooded by Fraud

  Several weeks ago, Wisconsin was ravaged
  by rampant flooding.  Now, it appears
  Wisconsin is being ravaged by rampant fraud
  in the wake of that flooding. 

A few weeks ago, a melee ensued in front of the Marcia Coggs building in downtown Milwaukee, when city residents found out they could get free flood assistance without showing any proof of damage to their home.

This week, Fox 6 TV in Milwaukee followed up on some of those aid recipients, to gauge whether any had, in fact, suffered any flood damage worthy of federal disaster aid.  As it turns out, the only disaster that hit the inner city of Milwaukee is the rampant fraud that sucked $8 million out of the pockets of taxpayers.

Of course, don’t look to your state government to do anything about this robbery in plain sight – Governor Doyle appears in the piece and defends the program, regardless of how much fraud and abuse is taking place. 


 


 


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