TAXPAYER BREAKING NEWS, January 2006, continued from MTA Home Page

January 31, 2006. National Taxpayers Union chief, John Berthoud, testified in favor of delegate Warren Miller's bill to restore competition at the gas pump. "The State of Maryland decided to involve itself in consumer matters, but in the case of gasoline, the regulation benefits the regulated industry (the vast bulk of gas retailers), while it harms consumers by keeping gas prices higher than they would otherwise be." NTU was joined by Americans for Tax Reform's Elizabeth Karasmeighan, and Richard Falknor and Jeff Levin of the Maryland Taxpayers Association. The Mid-Atlantic AAA also joined the three taxpayer groups in behalf of the consumer interest at the Maryland gas pump. All four organizations pushed for repeal of Comptroller William Donald Schaefer's power to prevent serious competition between gas retailers. Sen. Allan H. Kittleman has introduced a companion bill in the Maryland Senate.

January 31, 2006. Anti-gay union bill lights up hearing; Raucous debate ensues over marriage constitutional amendment, reports Kelly Brewington in the Sun. "With rumors swirling Tuesday that the Democrat-controlled House committee was considering voting on the amendment late Tuesday night -- killing it after advocates on both sides went home -- Ehrlich said he issued the statement because he didn't want public discussion truncated. 'This is an issue of over whelming public importance,' he said."

January 31, 2006. Hearing Today on Delegate Warren Miller's bill to restore price competition at the gas pump. TBN notes: After Hurricane Katrina, many consumers noticed that gas prices were much higher in Maryland than in neighboring states. One reason, as Tom Firey explained to TBN readers last year, is Maryland price controls: Free State dealers can't set their own prices. The current law, enacted in 2001, creates a minimum price; making it illegal for a dealer to offer gas below that price.... (more)

January 30, 2006. Costly change looming for retiree benefits, reports Bill Turque in the Washington Post. "Some state and local governments have started to calculate what they owe, and the numbers are enormous: $20 billion in Maryland, $5 billion in Virginia (which offers workers more modest post-employment benefits), $2 billion in Montgomery County and $826 million in Fairfax."

January 27, 2006. Higher wages to hit home; Minimum wage increase will cost employers $61M, reports Kevin J. Shay in the Gazette. "Goodwill Industries of the Chesapeake, a Baltimore-area job training and employment services company where Thomas is president and CEO, employed 300 people in 2004 and provided training to more than 4,000. Faced with having to pay many employees $1 more per hour, Thomas is not sure if she can keep up those numbers under Goodwill’s $25 million annual budget."

January 26, 2006. Support asserted for gay-union ban; GOP says it solidly backs marriage amendment, reports Kelly Brewington in the Baltimore Sun. "If the governor thinks we should wait, well, then I disagree with the governor," said Del. Herbert H. McMillan, an Anne Arundel County Republican. "This is an important issue. It would be nice if he were taking the lead on it. But if he won't, we will."

January 25, 2005. Conservative Canadian Prime Minister-elect Espouses Positive Change writes Paul M. Weyrich in a Free Congress Commentary. "As has been the case in the United States, Cultural Marxism largely has been foisted upon Canada by the Courts. If judges who respect the Constitution were to be appointed they would confirm that such rights are not to be found in that document. Sound familiar?

January 25, 2006. House Overrides Ehrlich's Veto of Montgomery Speed Cameras, report Matthew Mosk and Hamil R. Harris in the Washington Post."House leaders pushed through the measure despite objections from the governor, who vetoed the bill last year because he said it was an inappropriate intrusion into peoples' lives. The state Senate is expected to vote on the override later this week."

January 25, 2006. Democrats in Md. Try to Limit Fallout Of Gay Union Case Parties Try to Curb Ruling's Effect on Chance in Election, reports Matthew Mosk in the Washington Post."And some Republican lawmakers say they see no need to delay. "We have the ability to deal with this issue right now," said Del. Donald H. Dwyer Jr. (R-Anne Arundel)."

January 16, 2006. Ehrlich's Budget Plan May Exceed Guideline; Going Beyond 8.9% Growth Is Reckless, Critics Say, writes Ann E. Marimow in the Washington Post. "The Maryland Taxpayers Association -- a free-market, low-tax citizens group -- has applauded the governor's vetoes last year of legislation, such as a measure to increase the state's minimum wage. Executive Vice President Richard Falknor said the group is less satisfied with Ehrlich's record on spending. Instead of looking to expand the budget, Falknor said, the governor should do more to modernize state government. The taxpayer group has suggested converting the state's troubled pension system for state employees into a private 401(k)-style retirement plan. 'He certainly presides over the Maryland Nanny State with more restraint than likely alternative incumbents, and is less driven to extend its boundaries, 'Falknor wrote in a letter to The Washington Post. 'But this may not be enough to energize the Maryland center-right base. They might find such a recommendation tepid.'"

January 13, 2006. Maryland Legislature Votes to Eliminate Jobs, Raise Prices for Poor, writes the Heritage Foundation. Among the observations of Heritage analysts: "What national company wouldn't at least stop and weigh the possible consequences of expanding in the state now that Maryland's legislature has shown that it is willing to single out companies for political reasons? The legislature's move has little or nothing to do with healthcare--as a percentage, only marginally more Wal-Mart employees are without health coverage than the national average and a larger proportion of them have coverage than the employees of the state's independent retailers. Businesses that don't play well with unions are now especially on notice."

January 13, 2006. Wal-Mart bill passes, but doubts arise; How the law will work at heart of new questions, reports Douglas Tallman in the Gazette. "Wal-Mart bought the services of a number of top Annapolis lobbyists. Some lobbyists said privately they were hoping Ehrlich would have been more aggressive. His predecessor, Parris N. Glendening (D), would threaten projects and budget items in exchange for votes."

January 13, 2006. Ehrlich science adviser retracts statement on research funding, reports Jennifer Skalka in the Baltimore Sun. "Chris Foster, a top science adviser to Gov. Robert L. Ehrlich Jr., retracted yesterday a statement he made a day earlier that $20 million in state money proposed by the governor for stem cell research should be targeted for nonembryonic projects." Nancy Fortier, associate director for the Respect for Life Department of the Maryland Catholic Conference, said she disagrees with Ehrlich's support for embryonic stem cell research and believes the technology corporation will decide not to sponsor such proposals because they are "junk science." She called the group "skilled and well-versed at reviewing scientific proposals."

January 10, 2006. Ehrlich pressing for state tax cut; He asks localities to follow lead; foes allege election ploy, reports Andrew A. Green in the Baltimore Sun. "'Maybe he forgot he was the one who raised taxes,' said Anne Arundel County Executive Janet S. Owens, a conservative Democrat. Baltimore County Executive James T. Smith Jr. said the governor 'has no credibility on property tax relief. He introduced the largest property tax increase in the history of the state,'said Smith, also a Democrat. 'The governor is merely trying to rehabilitate his image on property taxes by shifting the focus to local governments. That's not going to fly in Baltimore County, where we haven't raised property taxes in 17 years.'"

January 10, 2006. Ehrlich floats plan to trim property-tax rate by 2 cents, reports S. A. Miller om the Washington Times. "He proposed reducing the property-tax rate by 2 cents, to 11.2 cents per $100 assessed value. In 2003, the Board of Public Works approved his plan to raise the property-tax rate by 5 cents, to 13.2 cents per $100 assessed value."

January 10, 2006. Pressure rises as Wal-Mart Vote Nears; Maryland Bill on Health Benefits Triggers a Deluge of Lobbying and Attention, reports John Wagner in the Washington Post. "'Unfortunately, Maryland's anti-jobs, anti-consumer lawmakers are putting our economic growth at risk and setting a dangerous precedent for the nation,' he said."

January 9, 2006. How the Kelo decision benefits the New York Times--report by David Lombino of the New York Sun. "More than three years after the New York Times and the state of New York used the power of eminent domain to clear the way for a 52-story new headquarters for the newspaper, nearly all the property owners and more than half the tenants who were displaced have not settled with the state over the amount of compensation they are due.... [T]he displaced tenants and owners said their experience over the last three and a half years serves as a warning to those who may be ousted by condemnation in the Atlantic Yards project in Brooklyn, the planned expansion of Columbia University in Harlem, or other projects that might now surface as a reaction to last year's U.S. Supreme Court ruling in Kelo v. New London, which allows a city to invoke eminent domain for the sake of private economic development." [emphasis TBN's]

January 9, 2006. Maryland, Virginia approach surpluses gingerly, report Ann E. Marimow and Michael D. Shear in the Washington Post. "A combination of ongoing budget commitments and the loss of capital gains revenue in Maryland led to the shortfall Ehrlich confronted after his 2002 election. In early 2003, he approved higher property tax rates -- a nearly 5-cent increase for every $100 of assessed value -- and cuts to higher education, which led to double-digit increases in college tuition for Maryland students. In the run-up to this year's 90-day session, Ehrlich has held events from Bethesda to the Eastern Shore to announce millions in new spending for the state's college and universities, crowded public schools and people with disabilities. Also, if the governor has his way, homeowners will see a 2-cent drop in the state's property tax rate of 13.2 cents on every $100 of assessed value."

January 9, 2006. On heels of Ehrlich, GOP plans Maryland ascent, reports Matthew Mosk in the Washington Post. "In addition to their focus on the Maryland governor's race, they believe the bid by Lt. Gov. Michael S. Steele (R) to capture an open U.S. Senate seat could provide inroads into the state's most reliable Democratic voters: African Americans. The GOP is targeting the state's populous blue-collar suburbs and fast-growing exurbs, where party leaders hope to pick up as many as 14 seats in the House of Delegates and seven in the Senate this November. And they're already contemplating 2010, when a win in the governor's column could give them control over redistricting and crack open a state where, just a few years ago, Republicans felt like foreigners."

January 9, 2005. Stem cell politics on tap as Assembly opens; Ehrlich, lawmakers to seek millions for institute, research--reports Jennifer Skalka in the Baltimore Sun. "Gov. Robert L. Ehrlich Jr. is to announce Wednesday a plan for a new institute for regenerative medicine at the University of Maryland, Baltimore, according to sources familiar with the proposal. A university source said the governor will promise about $20 million for the center and $5 million for operating costs."

January 6, 2006. Care bill focus of pitched battle; Wal-Mart, unions spar in ads before Assembly vote, reports Andrew A. Green in the Baltimore Sun. "Ehrlich, reacting to Sweeney's announcement, issued another call yesterday for lawmakers to sustain his veto, saying the bill is arbitrary, bad for business and a first step toward government-run health care in Maryland."

January 5, 2006. County Seeks Measures to Shift Some of the Costs of Development, reports Fredrick Kunkle in the Washington Post. "The board also endorsed, by a 3 to 2 majority, a proposal to amend the state constitution to prohibit government seizure of private property except when such takings, through the process known as eminent domain, are solely for public use. The aim of the measure is to counter a broad reading of 'public use' in last year's U.S. Supreme Court ruling in Kelo v. New London . That ruling endorsed a Connecticut town's decision to take property to clear the way for economic development."

January 5, 2006. Housing appraisals in Maryland rise 67 percent, reports Miranda S. Spivack in the Washington Post. "Lawmakers in many Maryland jurisdictions have signaled interest in providing some relief to taxpayers, which might not lower tax bills but could slow the rate of increase." For those TBN readers who wish to probe below the surface, we recommend a study summarized as "Manmade Scarcity Drives Up Housing Prices," appearing on the National Bureau of Economic Research website. A quote from this summary: "As a result, cities have changed from 'urban growth machines to homeowners' cooperatives,' the authors write in Why Have Housing Prices Gone Up?"

January 5, 2006. Howard County Delegation Considers 18 Bills, reports Miranda S. Spivack in the Washington Post. "One bill likely to provoke controversy in Annapolis is a proposal by state Sen. Allan H. Kittleman (R) to make it difficult for the county to take private property for economic development through eminent domain. In the wake a U.S. Supreme Court ruling last fall in a Connecticut case, Kittleman said he is concerned that local governments in Maryland have too much latitude to take property and resell it to a private entity -- vs. taking it for only government use -- to promote local economic development. The practice has been described as the 'reverse Robin Hood effect,' Kittleman said. He said it has been used often to condemn property in lower income areas and give the land to higher income people. Kittleman said his goal is to ensure that Howard restricts its use of eminent domain to property needed for government use."

January 4, 2005. Big-Ticket Transit, School Issues Top 2006 Agenda in Montgomery County, reports Tim Craig in the Washington Post. "Lawmakers will consider an amendment to the state constitution that could make it harder to use petitions to put a referendum onto the ballot in Montgomery. Under current law, 10,000 signatures are needed to place a question on the ballot. The delegation will consider a measure, sponsored by Barkley, to require at least 25,000 signatures. Barkley said the effort to reform the referendum process is aimed at thwarting anti-tax activist Robin Ficker, who has been petitioning questions onto the ballot since the 1970s. County leaders say Ficker's referendums, few of which voters have approved, are a distraction and are often costly to fight. Ficker, however, said the change Barkley proposes would 'give citizens the cold shoulder.' 'What they are trying to do is limit the right of citizens to petition the government,' said Ficker, a Republican candidate for county executive. 'It is really abhorrent to me and another reason why these people should not be in public office.'"

January 4, 2006. The President today gave Ellen Sauerbrey a recess appointment to be Assistant Secretary of State (Population, Refugees, and Migration). TBN comments: This is well-deserved appointment- - - Mrs. Sauerbrey once more brings honor to Maryland through her long-record of accomplished public service.

January 3, 2006. Sustain the Ehrlich vetos, urges the Washington Times. Issues include Wal-Mart, speed camera, and domestic partnerships."Perhaps no region of the state would be more damaged by the Wal-Mart bill than Somerset County, an economically troubled area on the lower Eastern Shore, where Wal-Mart may decide to build a new distribution center. The center would bring 800 jobs to Somerset, which has an employment rate more than 1 percentage point above the statewide 3.8 percent rate . (Aside from the Eastern Correctional Institution, a state prison, the Wal-Mart facility would be the largest employer in the county.)"

January 1, 2006, Ehrlich hopeful property tax cut will pass, reports S.A. Miller in the Washington Times."The governor has said he wants eventually to repeal the 4.8-cent property-tax increase he supported in 2003." TBN reminds faithful readers that the governor's refusal to affirm the Maryland no-new-taxes pledge brought him to this situation. The governor has spent his much of political capital on attempts to increase state revenue such as slots, not on ways seriously to reform state and local regulation, modernize state government, and curtail spending. TBN hopes the Ehrlich team will have a better fiscal mind in 2006.

January 1, 2005. Support traditional marriage in the Maryland General Assembly, urges the Christian Coaltion of Maryland. " Start contacting your Delegates now and let them know that you want them to co-sponsor the Maryland Marriage Amendment, pre-filed by Del. Don Dwyer. Use personal visit, letter, phone call, email. Also tell your Delegates and Senators to vote to uphold the Governor's veto of SB 796, Medical Decision Making Act or 2005, and HB 1298, Recordation and Transfer Tax - Exemptions - Domestic Partners. Both of these bills directly attack the institution of marriage in two ways, they recognize legal relationships (Life Partners and Domestic Partners) that are very much like marriage, then they give to unmarried people in such relationships some of the privileges that have historical been reserved for married couples.