Monday, August 21, 2006
On this day:

Lucy Baxley's platform

Last week, Democratic gubernatorial nominee Lucy Baxley finally released the details of her campaign platform. Taking each element of her platform one by one:

PROPERTY TAX REAPPRAISALS

Lucy Baxley’s first act as Governor will overturn Bob Riley’s back-door tax increase on Alabama working families. The last five Governors operated under the same laws as today, and nothing in Alabama law requires annual property reappraisals. The legislature does not need to pass any new laws, and as soon as her hand leaves the bible after her swearing in ceremony for Governor, Baxley will sign an executive order overturning annual appraisals.
You may recognize this proposal from the primaries. It didn't come from Lucy Baxley, though. It was the brainchild of Judge Roy Moore, and it was even supported by Baxley's Democratic opponent, Don Siegelman. Until last week, however, Lucy Baxley had never taken a firm stance one way or the other on the issue.

Whether Baxley's recent epiphany was motivated by principle or posturing, it is still good politics. This would not be an issue at all if Governor Riley hadn't made it one. His defense of annual reappraisals is that they are required by state law. It's an argument that just doesn't hold water.

Alabama law says that property must be assessed at its "fair-market value," but it doesn't specify the period of time required between reappraisals. As Mrs. Baxley points out (along with Roy Moore and Don Siegelman), the law has never before been interpreted to require that the reappraisals be conducted yearly. This is clearly a judgment call for the Chief Executive to make.

In the Governor's defense, a decent argument can be made that more frequent appraisals provide a fairer, more accurate estimate of property values. This is especially true when real estate prices are rising (or falling) much more rapidly in some areas than they are in others. (Yearly appraisals also increase the opportunity for error - a point that opponents have made frequently.)

It is important to remember that when Gov. Riley came into office, he was faced with one of the most severe budget crises in recent memory. His real reason for shifting to annual reappraisals was to raise revenues, not to make property taxes fairer. So, in a sense, calling this a "back-door tax increase" is accurate, even though the amount of the increase was negligible. Property tax rates in Alabama are so low that yearly reappraisals simply won't make much difference dollar-wise for most taxpayers. I doubt it will make much difference at the ballot box, either.
MINIMUM WAGE

Lucy Baxley will lead the charge to increase Alabama’s minimum wage because people who put in an honest day’s work should earn enough to keep food on the table and a roof over their heads. It is morally unacceptable that anyone working 40 hours a week still earns $5,000 less than the federal poverty line for a family of four. Baxley will propose a bill to the legislature that increases the state minimum wage one dollar by 2007.
Another bad idea from the liberal playbook. I blogged on this last week, so there's not much left for me to say.
GET ALABAMA ONLINE

Lucy Baxley will develop a public-private partnership in the spirit of Alabama’s Rural Electric Administration to bring the internet into every Alabama home. According to a U.S. Census Bureau study, Alabama ranks 48th in percentage of households with a computer, and 46th in percentage of households with Internet access. Working with the federal government and top technology corporations like AOL, Dell, Apple, Microsoft, and local internet providers, Get Alabama Online would open the door to an electronic global economy and community with low-cost packages including a computer, printer, desktop software, and internet access.
Government as ISP? Hell, I have enough problems with BellSouth.

Seriously, though. Government has no business subsidizing citizens' computers, printers, software, and internet access. If people want a computer, they have every right to save up their money and go buy one. They don't need the help of Mother Lucy. As for internet access, the best way to get high-speed service into those areas where it is not currently available is for government to get out of the way and let the free market work its wonders. Patience, Lucy, patience.
INSPECTOR GENERAL

Lucy Baxley will create an independent, cabinet-level office to prevent, detect, identify, expose, and eliminate fraud, waste, corruption, and abuse in state government and government contracts. An independent board made up of law enforcement officers, community leaders in the private sector, and government officials would appoint an Inspector General for a term of six years. Other states have saved billions of tax dollars through the waste and fraud identified by their Inspectors General, with Georgia recovering $249,781,000 in the program’s first year.
Hiring a bureaucrat to help curb bureaucratic excess might sound like a good idea to some people, but I'll need a little more convincing. If politicians are truly interested in eliminating wasteful spending, they could start by eliminating those programs that are outside the scope of government's interests and competence. They might also think about not proposing wasteful programs to begin with. (See above: Mrs. Baxley's "Get Alabama Online" proposal is a perfect example.)
BANNING PAC-TO-PAC TRANSFERS

Lucy Baxley will put an end to PAC-to-PAC transfers, bringing the light of day into Alabama’s political process. These transfers feed public cynicism by disguising the source of a candidate’s support. PACs that “wash” money through multiple transfers contribute to the public perception of politics as an insider game rigged by special interests. Baxley will advocate a change to campaign finance laws that ban these PAC-to-PAC transfers.
I'm sure that Gov. Riley will be pleased to hear that Mrs. Baxley has endorsed one of his proposals. As for me, I'm all in favor keeping PAC-to-PAC transfers legal. (Although I am inclined to support stiffer public disclosure requirements.)

Political speech forms the core of the First Amendment's protection of free speech and free assembly. For these guarantees to mean anything, they must protect the right of individuals and organizations to raise and spend money on political advocacy. Transferring money is inseparable from raising and spending money. It seems absurd that government would place more limits on political speech than it does on pornographic "speech," but that's exactly what a ban on PAC-to-PAC transfers and similar campaign finance reforms would do. Another bad idea.
ILLEGAL IMMIGRATION

Lucy Baxley will fight illegal immigration with programs that are fair to taxpayers, tough, enforceable, and humane. Hard-working Alabamians should not bear the burden of costs associated with illegal immigrants. By integrating Alabama’s New Hire Act with the federal SAVE program, we will ensure that Alabama employers know the legal status of their employees, and punish those who knowingly hire illegal immigrants. In addition, we will be able to more accurately deny illegal immigrant access to state-funded benefit programs. Lucy Baxley will make it a felony for employers who continue to hire illegal aliens. Furthermore, employers must verify that they don’t hire illegal immigrants before they can receive economic development incentives.
Sounds good to me - and very similar to the policies supported by Gov. Riley. Now, if we could just get President Bush on the bandwagon, we'd be in business.
SMALL BUSINESS HEALTH INSURANCE POOLS

Lucy Baxley will help small businesses overcome skyrocketing healthcare costs by allowing them to band together into purchasing pools, giving them the same negotiating advantages enjoyed by large corporations. A study by the Kaiser Family Foundation in 2004 found that insurance premiums nationally jumped 15.5% for firms with three to 199 workers and only 13.2% for those with 200 or more. Small businesses are the backbone of Alabama’s economy, and their employees deserve the same health care coverage as their counterparts at larger corporations.

Increasing the number of market-based alternatives for health insurance is the best way to keep the cost of health care down, while continuing to improve overall quality. If that's what Mrs. Baxley has in mind here, then I think it's a sound proposal.
DISCIPLINE IN THE CLASSROOM

Lucy Baxley will ensure that one bad child does not ruin a class for twenty-five good ones. We hold teachers accountable for student performance, and we must also hold students accountable for their behavior. Baxley will institute programs that ensure all students have the right and ability to learn in a safe and distraction-free environment, including the enforcement of a zero-tolerance policy for students possessing weapons or drugs, additional training for effective classroom management and discipline, and a database of problem students so that strategies can be implemented to handle them.
As long as "additional training" includes instruction in the proper use of a wooden paddle, I'm all for it.

GAS PRICE GOUGING

Lucy Baxley will use every resource available to investigate consumer price gouging by big oil, and will encourage the legislature to create incentives for local production of renewable fuels. Renewable fuels like ethanol and biodiesel can be grown in Alabama, processed in Alabama, and used by Alabamians, reducing our dependence on foreign oil. This new industry would strengthen our economy while at the same time providing people in this state a consistently priced alternative to gasoline.
The oil and gas industry is reasonably competitive. (At least as far as refining, distribution, wholesaling, and retailing are concerned...the influence of the OPEC cartel on world crude oil prices is different matter altogether.) As in any other competitive market, price fluctuations are due primarily to shifts in supply and demand. As consumers, we should be aware that supply shocks and heightened risks tend to cause large price increases. The accusation of "price-gouging" is little more than a ruse cooked up by politicians to justify increasing their own power at the expense of the private sector.

If renewable fuels like ethanol and biodiesel happen to become competitive vis-a-vis fossil fuels in the coming years, without the support of wasteful taxpayer subsidies, then by all means, we should allow their production. We should also break down the barriers that prevent new companies from getting their piece of the action.

I recently read a report in the New York Times that sales of SUV's and light trucks have fallen off dramatically. That's the free market in action. Consumers have responded to increased gas prices, and auto manufacturers have similarly responded by shifting production to those vehicles that consumers want to buy. The market has adapted faster and more efficiently on its own than it would have under the influence of any government initiative. When Lucy Baxley says she wants "incentives" for alternative fuels, she means either taxpayer subsidies or favorable tax treatment for producers. Both approaches are wrong-headed, in my opinion, because they would substitute the inferior judgment of politicians and bureaucrats for the wisdom of the market.