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February 06, 2008

Wednesday Update

Wisconsin Club for Growth  February 6, 2008 Volume 2, Number 6 The Wednesday Update  In This Issue 1. Big Corn Gets     Shucked  2. Taxing the     Economy to     Death 3. Smokin' 4. They've Got What     It Takes Make a Donation today! Keeping Free Marketers Current on the Issues   Thanks for your support of Wisconsin Club for Growth! We hope you enjoy the newsletter. Our goal is to be brief, informative and bit provocative. We welcome your feedback. Please feel free to contact us anytime by emailing staff@wicfg.com , or come visit us on the worldwide web. Wisconsin Club for Growth Website  Back to top Big Corn Lobby Gets Shucked Last week the State Senate rushed Senate Bill 380, which mandates ethanol use in Wisconsin auto fuel, to the Senate floor.  However, the bill was sent back to committee after talk radio ignited rabid opposition from taxpayers.  The delay will result in yet more billable hours for big corn lobbyists and more political contributions for key State Senators.  Supporters of the bill argue it's not a "mandate" because rather than requiring a certain percentage of ethanol at each pump, it mandates how much ethanol the wholesaler has to buy.  The mandate rises from 10% next year to 15%, 20% and, finally 25%.  Only the government could say forcing a gas wholesaler to buy ethanol is not a mandate to sell it.  Since the maximum that any engine (except a few E-85s) can burn is 10%, effectively forcing everyone to sell only fuel with 10% ethanol in it. That's a mandate. Oh sure, you can sell ethanol-free fuel, but you'll have to buy credits from big corn for the privilege.   The committee plans to "tweak" the bill before sending it back for another vote.  When it does hit the floor the vote will be close.   Reportedly, State Senator Jim Sullivan of Wauwatosa will be a key vote. Sullivan has given indications that he will vote for the mandate that harms large Milwaukee-area businesses like Briggs and Stratton and Harley Davidson (neither of which make engines that can take over 10% ethanol.) Sullivan is giving a whole new meaning to the term "constituent service." Back to top Taxing The Economy to Death Wisconsin Senate Democrats this week unveiled a new "economic development" package in the wake of news that the budget is expected to be short up to $400 million.  It appears news of the shortfall must have broken on a night that American Idol was on, as the Senate Democrats' plan spends $100 million in new money - at the same time tax revenues are declining.  And how do they pay for all their new spending --- anyone?  The plan increases taxes on businesses by $90 million.  Apparently the Democrats believe this will "stimulate" the economy - much in the same way getting fat "stimulates" people to run marathons for fun. The centerpiece of the Democrats' tax increase plan is the revival of the KRM rail line tax increase, which manages to cheat death more often than Britney Spears and Ted Kennedy combined.  The proposal includes a 650% increase on the car rental tax to fund the local portion of a $200 million dollar commuter rail system that few people will use.  The KRM plan appeared in the previous state budget, but was removed by the Legislature. As a side note, the press release which accompanied the plan also throws a gratuitous rock at Wal-Mart (one wonders how they neglected to work Exxon Mobil into the mix).  Anyone who has shopped at a Wal-Mart recently understands that the store serves mainly low income and working class families who need cheap goods to keep their families afloat, especially in tough economic times.  Punishing Wal-Mart punishes these (likely Democratic) voters - and shows how out of touch Democratic Senators really are. Back to top Smokin' State Senate Democrats are bent on restricting our freedom by enacting a statewide ban on smoking in all public places, including taverns.  But one member of their caucus isn't buying their rhetoric. During a press conference intended to roll out an "economic development" package, Senator Roger Breske ripped the proposed smoking ban, offering a damning critique of Democratic principles in general.  Breske bemoaned government "sticking its nose" in everyone's business, saying, "Why does the government have to tell everyone what to do all the time?" Breske continued, "I just can't believe this is what we're here for. We should be doing something decent ...instead of trying to put people out of business." Kudos to Senator Breske.  Here's hoping he shares whatever he's smoking with the rest of his caucus the next time they stick their noses into our business. . Back to top They've Got What it Takes to Take What You've Got In separate interviews this week, Democratic presidential candidate Barack Obama admitted he will have to raise taxes to pay for his Social Security plan, and candidate Hillary Clinton said she may have to "go after people's wages" to force compliance with her health plan. In related news, the sun is scheduled to come up tomorrow.  So be looking for that. Back to top