Fiscal epiphany for Ritter & Bennet?

Impending mortality tends to focus the mind, and looming elections tend to focus politicians' ears on vox populi. But just as theologians debate the sincerity of "deathbed conversions," voters should be skeptical of lawmakers who find religion as elections near. Although 15 months remain until the 2010 elections, Democrats are learning — just as Republicans discovered after their 2004 victory tour — how quickly the political winds can shift for the party in power.

In less than a year, Governor Bill Ritter has seen his favorable/unfavorable margin flip from plus-13 to minus-8, according to Public Policy Polling. Newly imposed vehicle licensing "fees," championed by Ritter, won't make Coloradans with cars or trucks any more charitable, either.

Ritter's beneficiary, appointed Senator Michael Bennet, hasn't impressed many outside his own party during his eight months in office. Bennet's approval/disapproval rating stands at minus-7 (34%-41%) among all voters, but even worse (minus-11) among unaffiliated voters.

Nationally, the trend is no more comforting for vulnerable Democrats: Rasmussen shows the generic congressional ballot favoring Republicans 43% to 38%, while Gallup says voters are souring on President Obama's health care push with 50% disapproving and 44% approving.

Not coincidentally, both Ritter and Bennet sought to induce a bit of voter amnesia recently with tough talk on taxing and spending.

Ritter told a gathering of municipal leaders that he won't ask for a tax hike in 2010. The AP report didn't mention whether Ritter's proclamation was met with audible laughter or just snickering.

Here's a governor who convinced the legislature and the state supreme court that legislation increasing property tax revenue isn't really a tax increase and therefore doesn't trigger the constitutional requirement for a public vote. As a result, property owners will pay some $200 million more this year than they would have without Ritter's "tax freeze."

In the wake of that ruling, Ritter and the Democrat legislature used a new loophole manufactured by the supreme court to enact an additional $125 million in tax increases — also without a vote of the people.

Just this year Ritter championed two new "fees" so large as to make taxes superfluous. First he enacted his famous vehicle fee to raise an estimated $250 million by increasing the cost of licensing almost every vehicle in the state by $41 to $51 annually. Then he signed a "hospital provider fee" that will, when fully implemented, raise $600 million a year from new charges on patient services.

With fees like that, who needs taxes?

Note that Ritter didn't vow to veto any tax increases sent to him by the legislature; he merely vowed not to ask for them.

Bennet's charade is pathetically weak, too, introducing the so-called Deficit Reduction Act of 2009 in an attempt to build credentials as a "fiscal hawk."

Remember that Bennet cut his senatorial teeth by voting for President Obama's $787 billion stimulus package — the one that stimulated very little and really costs $3.7 trillion, including $1 trillion in interest.

Bennet also helped kill a measure that simply sought to limit new federal debt over the next 10 years to no more than the old federal debt accumulated in the previous 220 years. That's right, the amendment would have allowed for a doubling of the federal debt but no more. Even that medicine was just too strong for Colorado's appointed junior senator.

Bennet's fiscal hawkishness is so feeble that he doesn't even bother to suggest that the federal budget should be balanced — only that overspending should be capped at 3% of GDP, not this year or next year or the year after that but by 2013. By that miserly standard, President Bush succeeded at least half the time.

No, Colorado's big spenders aren't changing their ways — just their words.

Mark Hillman served as Colorado senate majority leader and state treasurer. To read more or comment, go to www.MarkHillman.com.

How Ritter got my vote

John's Denver Post column 7/19(Salida – Nov. 15, 2010) What a year it’s been. Who knew my fellow Republicans would be so unforgiving? Here I am, exiled from Denver’s red suburbs and hiding out in Ed Quillen’s attic, merely for having endorsed Gov. Bill Ritter in the recent election. Where’s the sin in that? It was an unusual move for unusual times. Since the fall of the economy and the rise of Obama, ours have been unusual indeed. Ritter “grew in office,” as they say, but he grew rightward and became that rarity, an irresistible Democrat. Smitten, I signed up. The family disowning me was harsh.

Our governor’s reinvention of himself began in late 2009. Democrats everywhere were getting panicky as the recession dragged on, prolonged by Obama’s clumsy mixture of taxes, regulations, bureaucracy, and bailouts. Republicans won the governor’s races in Virginia and New Jersey. Ritter’s poll numbers and fundraising were anemic. He fled the state, ostensibly for some golf at Hilton Head.

Then came the confessional press conference. Boy Scout Bill wasn’t vacationing in South Carolina after all. He had followed his heart to Chile. Stolen hours at the mansion with an old college econ book had nerved him for the secret weekend in Santiago, tutoring with Chicago-trained free marketeers. “My soul mate is Milton Friedman,” he gushed. The YouTube video got a million hits in 48 hours.

Statehouse reaction was mixed. Adam Schrager of 9News said Ritter’s rift with the White House made him the new Ralph Carr, a profile in courage. GOP chairman Dick Wadhams voiced suspicion, but admitted he’d prefer a Ritter roaming right to a Schwarzenegger lurching left. Speaker Terrance Carroll, an ordained minister, offered the governor pastoral counseling.

But as the 2010 session began, legislators had their hands full with what Ritter called his “New Democratic agenda on old Democratic principles.” He called for a zero corporate tax to attract jobs, a rollback of the unpopular 2009 vehicle fees, and a drilling-friendly rewrite of oil and gas rules. Dems should take their cue from the frugal Grover Cleveland, the tax-cutting JFK, and the deregulating Jimmy Carter, the governor said.

The ex-president was furious, however, when Ritter remarked on “Meet the Press” that Carter’s warning about “inordinate fear of communism” was off base. “My party’s much bigger problem, including the current president,” asserted Ritter, “has been inordinate fear of capitalism. I’m out to change that.” The Coloradan’s popularity shot up when the Georgian angrily counter-attacked.

“Our QB calls his own plays,” boasted a Ritter campaign ad after he rescinded the executive order for labor unions in state government, redirected money from Planned Parenthood to crisis pregnancy centers, and urged voters to toss four activist justices off the state Supreme Court. New York Mayor Robert Wagner, who once ran for another term on a reform platform against his own previous term, had nothing on our Bill.

Is it any wonder some of us Republicans decided this fearless troublemaker was worth reelecting, if only to bedevil Obama, Huey Long-style? Ritter was on a roll. He put Bill Owens and Hank Brown on an economic recovery board with Charlie Ergen and Norm Brownstein. He named Lt. Gov. Barbara O’Brien his school voucher czar and replaced her on the ticket with GOP Rep. Amy Stephens, whom he called “Sarah Palin South.”

Politically written off not long ago, the Democratic incumbent led as election day approached, bucking a national trend of revulsion against his party that looked to rival 1994. At the end, though, Ritter’s better-funded and more credibly conservative Republican challenger surged past him, and Colorado went red again.

Tough luck for our gamecock Guv, but no great heartbreak for me. This was one election where good ideas couldn’t lose. Can I come home now, honey?

Ritter learning too slowly on budget

Grappling with declining state revenues makes for some very unpleasant budget choices, as Gov. Bill Ritter and the Democrat majorities in the state legislature learned over the past 12 months. It's fair to criticize those choices, including the governor last year denying for several months that a problem existed. Yet anyone who has shouldered the responsibility of balancing a budget during a recession understands that learning from your own mistakes is inevitable.

Learning, however, is essential - both to sound fiscal policy and to political credibility. That's why it was astonishing to hear Ritter and leading Democrats dismiss the need for a special session of the legislature on the very day they acknowledged that the state will start the new fiscal year nearly $400 million in the hole.

Anticipating further economic deterioration, legislators gave Ritter the authority to "borrow" up to $500 million from next year's budget to pay this year's bills. Based on new projections by Legislative Council economists, about half that amount will be needed.

Moreover, legislative economists forecast tax revenues for the new budget year, beginning July 1, to be $135 million less than budgeted and $874 million short over three years. Those economists prudently expect the recession to continue into 2010 in Colorado and foresee possible recovery "at least a year after that."

That's the point at which this scenario takes on an incredible aura of déjà vu.

Economists in the Governor's Office of State Planning and Budgeting (OSPB) paint a much brighter picture, forecasting a recovery later this year. That outlook enables OSPB to expect an additional $1.3 billion to spend over the same three-year period.

Last September, Legislative Council sounded the alarm early enough for the governor and legislature to call a special session just three months into the fiscal year - ample time to revise the budget and mitigate the shockwaves to affected programs and participants.

Instead, the governor boldly proclaimed, "One of (the forecasts) is pretty significantly wrong," and according to the Denver Post, he "made it clear" that the error wasn't in the projections from his office. Days later when the Wall Street financial crisis struck, Ritter ordered a "hiring freeze" which, it turns out, wasn't nearly as frigid as advertised.

In December, with half of the fiscal year passed, Legislative Council pegged the budget shortfall at $631 million. Ritter's OSPB forecast a mere $70 million deficit. Two weeks later, OSPB admitted it had used "outdated information" and issued a new estimate of $230 million in red ink.

By the time the legislature convened in January, the remaining choices were severe cuts, exacerbated by months of inaction, or accounting gimmicks that postponed the day of reckoning and made balancing the 2009-10 budget even more difficult.

Choosing to procrastinate, legislators tried yet another dodge by attempting to extort $500 million which employers had paid into the state's fund for injured workers. Then they wiped away budget caps that restrain spending in good years - as if that would somehow create more money amid a withering economy.

Finally, after raiding trust funds, re-imposing a property tax on senior citizens, and accepting a federal bailout, they proclaimed the budget balanced.

With prescience, Republican leader Sen. Josh Penry observed, "This budget will be out of balance on June 20."

And so it is.

Incredibly, Governor Ritter and Democrat legislators seem headed for another year of budgetary brinksmanship, placing all their bets on a quick economic recovery.

For five years, Democrats have controlled the legislature and for three years the governor's mansion. Colorado taxpayers are right to expect that, after blundering through a year of budgetary mayhem, Ritter and Company will learn from the past and make prudent choices this time.

Ritter policies mirror Obama's

Monday headlines in newspapers across the nation proclaimed, “Conservatives score big wins in European Union parliament voting in France, Germany and many other nations.” But this is the opposite of what is happening in the United States as our government appears to be rushing toward an ultra liberal, socialist (or dare we say Marxist agenda) faster than a soft ice cream cone drips onto the hands of a child on a 100 degree summer day in middle America.

And it doesn’t stop in Washington, D.C. Colorado Governor Bill Ritter in his 2006 campaign (and United States Senator Ken Salazar in his 2004 campaign, for that matter) “ran to the right” with a somewhat non-offensive, mild agenda. With no record to run on they both appeared to be palatable candidates to many. What followed in the ensuing years, by any definition and to their detriment, was a liberal, far left agenda and list of accomplishments that would make Marx, Joseph Stalin, Lenin and Hugo Chavez proud. One historical internet reference to socialism suggests that ‘Socialism, to Marxists, is simply the transitional phase between capitalism and a higher phase of communist society.’ Is that the direction you want our State or our Country pursue?

Early this year, and again last week, conservative radio talk show host Rush Limbaugh said that he hoped that President Obama would fail. Liberal members of Congress fell all over themselves rushing to open microphones provided by willing media and stating their outrage as to how Limbaugh could wish such a thing upon our President. But we know it was not a personal attack on our president but, rather, Rush’s opinion that President Obama’s policies will destroy this nation. He is entitled to his opinion.

The sad reality is that within his first twenty weeks as President, Mr. Obama’s actions have created a tectonic plate shift perhaps one hundred times greater than the history making 1989 Loma Prieta earthquake with regard to the long-lasting effect in will have on our nation’s economy. Additionally, more than one million lives were lost between the Shaanxi, China 8+ magnitude earthquake of 1556 A.D. (830,000) and the December 26, 2004 Sumatra 9.1 magnitude earthquake (227,898). Yet the economic disaster being crafted by current Administration policies and actions in Washington, D.C. will negatively affect the lives of tens of millions of U.S. citizens for generations to come.

The late Dr. Adrian Rogers (1931-2005) observed "You cannot legislate the poor into freedom by legislating the wealthy out of freedom. What one person receives without working for, another person must work for without receiving. The government cannot give to anybody anything that the government does not first take from somebody else. When half of the people get the idea that they do not have to work because the other half is going to take care of them, and when the other half gets the idea that it does no good to work because somebody else is going to get what they work for, that my dear friend, is about the end of any nation. You cannot multiply wealth by dividing it."

Americans voted for “the change we need,” and the change we have experienced in the last four months is more than enough to send our collective heads spinning…and more than enough for a Hollywood producer to consider a remake of “Poltergeist.”

In our own backyard, in Colorado, many are paraphrasing Mr. Limbaugh’s remarks by hoping that Governor Ritter, or to be clear his agenda, will fail. Running to the right in 2004, legislating from the left since, and now beginning his 2010 re-election efforts from the middle as a moderate, makes it quite clear that he is the consummate politician…speaking out of both sides of his mouth. While some would suggest this is fraud it is, in the very least, disingenuous. Governor Ritter’s movement on his political positions gives new meaning to "Where in the world is Waldo,” or more recently “Where in the world is Matt Lauer?” Where in the world is Governor Ritter?

Former Colorado State Senate leader Mark Hillman, in the June 8, 2009 edition of Capital Review observation of President Obama stated “His actions, as well as his words, betray him.” The same can be said for Governor Ritter and his cronies and their out-of-control, reckless and irresponsible spending habits.

In 2009: · Governor Ritter and his cronies eliminated the Senior Property Tax Exemption for approximately ten percent of the population, or 450,000 senior citizens. · Governor Ritter and his cronies created a brand new State Fee on Marriage License applications of $20, for NO services rendered; this to be added to the $10 fee a county office gets for providing the service. · Governor Ritter and his cronies created a brand new State Fee for late vehicle registrations. Previously counties could charge up to $10, one time, for late registrants. Now the State wants up to $90 more for late registrations. · Governor Ritter and his cronies raised motor vehicle fees for everyone. · Governor Ritter and his cronies have created a new surcharge for roads and another for bridges. · Governor Ritter and his cronies have forced through a green vehicle bill. I prefer white or silver vehicles. · Governor Ritter and his cronies have passed a bill to eliminate the ability of any vendor to retain any amount of state sales tax revenues to compensate for the vendor’s expenses incurred in the collection and remittance of the tax revenues to the state. · Governor Ritter and his cronies believe illegal immigrants are ‘entitled’ to in-state tuition, and · Governor Ritter and his cronies repealed the long-standing state measure which placed a 6 percent annual growth limit on appropriations to the state’s general fund with excess monies diverted to two spending areas. This, to many, destroys The Taxpayer’s Bill of Rights (TABOR), passed in the early 1990s, which took tax-increasing authority away from the Legislature and gave it to the voters. Voters down in El Paso County should note that Senator John Morse was the bill’s primary sponsor.

The list of irresponsible spending and fee happy legislation goes on and on.

It is also worth mentioning that Governor Ritter’s hand-picked Chairman of the 2008-2009 Election Reform Commission said in November 2006 that “access to the ballot for everyone is more important that determining their eligibility to vote.” Really? Really.

The fabric of our great nation is being destroyed in a matter of months as surely as the original American Flag by Betsy Ross has deteriorated over the last 233 years. Thankfully, our flag has been restored and now resides in the National Museum of American History, one of the Smithsonian museums on the National Mall in Washington, D.C. We can only hope that our nation, too, can be saved.

President Obama and Governor Ritter, your reckless spending spree and policies are killing us.

Pinnacol escapes, but lessons linger

Editor: The capitol gang's thieving intent toward Pinnacol shouldn't be forgotten, even though on April 15 (fittingly) they called off the heist. Mark Hillman draws exactly the right lesson. Stealing is wrong - even if government does it We allow government to tax and spend, recognizing that forcibly taking the fruits of someone else's labor would constitute theft if anyone else did it.

In turn, we expect our elected officials to remember that their responsibility is to represent taxpaying families and businesses - not to protect government at all costs.

Well, after three years of spending every available tax dollar, dismissing every opportunity to save for the next downturn, and surreptitiously raising taxes without voter approval, Colorado's Democrat lawmakers are now planning to steal - a term I don't use loosely - $500 million to balance this year's state budget.

Targets of the heist are Colorado businesses that protect their employees against workplace injuries by purchasing coverage from Pinnacol Assurance, a state-sanctioned insurance company.

Although created in state law, Pinnacol operates as a mutual insurance company for which the state assumes no liability. When Pinnacol suffers losses, Colorado employers pay higher premiums. If Pinnacol builds a surplus, employers receive rebates.

After years of financial distress, Pinnacol turned a $200 million deficit into a surplus reserve of some $700 million - from which Democrat leaders, Governor Ritter and (it gives me no pleasure to note) two Republican legislators now intend to beg, borrow or outright steal.

Inconveniently, Colorado law explicitly explains that state government "has no claim to nor any interest in (Pinnacol's) revenues, money, and assets and shall not borrow, appropriate, or direct payments . . . for any purpose."

If the constitution doesn't constrain these lawmakers, mere statutes won't either.

So this is what it's come to: lawmakers suggest that their only options are to steal money paid by Colorado employers to pay for workplace injuries or to cut $300 million from colleges and universities.

Perhaps if anytime in the past year those same lawmakers and Gov. Ritter had heeded warnings of a recession they wouldn't be in such a fix. Instead, they built a budget based on rosy economic projections, then ignored warnings from their own economists, then underestimated the magnitude of their earlier errors, and finally acted after their options were severely limited by their own intransigence.

Gov. Ritter conceded as much recently when he told listeners to KOA's Mike Rosen Show: "We already for next year's budget have cut $1.2 billion and have $300 million more to find."

Why is it necessary to cut so much from next year's budget when revenues fell far more in the current year ($1.1 billion) than from this year to next ($100 million)? Because statehouse leaders balanced this year's budget mostly with smoke and mirrors.

When business leaders objected to the proposed Pinnacol heist, lawmakers whined.

Sen. Suzanne Williams (D-Aurora) wanted car dealer John Medved, testifying at a committee hearing, to tell her how to balance the budget without stealing from the injured workers fund. Medved instead schooled Williams on budget balancing in the real world where theft is still illegal, explaining the tough choices he made to address a $500,000 a month shortfall.

Meanwhile, "enraged" college students rallied on the Capitol steps with clever signs - or so they thought - asking "WTF? Where's the funding?" As though they and their professors have an inherent right to taxpayer subsidies.

So long as colleges and universities offer a plethora of trivial degrees in professional victimology, rather than focusing scarce resources on genuine disciplines like medicine, engineering and physics, such pleas of poverty can't be taken seriously.

Unfortunately, Sen. Al White (R-Hayden) outrageously pandered to students, telling them Pinnacol has their funding. The obvious lesson is that a business that responsibly saves for hard times will be plundered by those that do not.

Gov. Ritter could have exhibited leadership by squelching the idea immediately. Instead, he needs the legislature's help to cover his dismal fiscal record and, therefore, can't afford confrontation.

"First, it's a legal question. Then it's a question of whether it's the right thing to do," he explained to a KOA caller.

Ritter has it backwards, forgetting a lesson his mother surely taught him: the first question is whether it's right or wrong. And stealing is wrong, even if a lawyer says it's legal.