Thursday, June 9, 2011

Loss of Liberty – the 17th Amendment


In a little less than a month we will celebrate the founders of these united States independence from tyranny and oppression. This independence lasted until 1913 removal of the power of the states, the 17th amendment was passed.  
The 17th amendment modified Article 1 Section 3 of the Constitution. Originally the senate was chosen by the state legislatures rather than a vote. This allowed the states the ability to immediately recall senators who were not acting in the best interest of the people and the states.  As the Constitution read- “The Senate of the United States shall be composed of two Senators from each State, chosen by the Legislature thereof for six Years; and each Senator shall have one Vote.”  These two bodies were designed to provide checks and balances between the legislative branch and the executive branch while also providing checks and balances between the federal government and the states.
The 17th amendment changed to be “The Senate of the United States shall be composed of two Senators from each State, elected by the people thereof, for six years; and each Senator shall have one vote. The electors in each State shall have the qualifications requisite for electors of the most numerous branch of the State legislatures. 
When vacancies happen in the representation of any State in the Senate, the executive authority of such State shall issue writs of election to fill such vacancies: Provided, that the legislature of any State may empower the executive thereof to make temporary appointments until the people fill the vacancies by election as the legislature may direct. 
This amendment shall not be so construed as to affect the election or term of any Senator chosen before it becomes valid as part of the Constitution.” 
Notice that the states originally had the power to choose and select the federal senators thus giving the states a great deal of power in the legislative branch of government just as the constitution is clearly written to do.  By removing a great deal of the power of the states that power was then centralized in the federal legislative branch.  Today the power lies much more with the executive branch with the judicial as a watchdog for them usually, with a fairly impotent legislative branch at the bottom.  This is far from the original republic for which our forefathers and their families sacrificed and died. The independent republic of several states and a federal government made and powered by the states which are powered by the people that the founders envisioned and created has fallen to a national government that takes all from the states and the people and allows the states to act in accordance with the wills of the national body or the states will lose funding which is and was their rightfully.   
Why should the people not choose their own Senators? For starters, this amendment strips power from the states, which ultimately strengthens the federal government.  This Amendment removes an important check and balance between the federal government and the states. This Amendment completely removes the states from participation in the approval of federal legislation, approval of executive appointments for cabinet positions and federal judges, ratification of international treaties, and judgment in all matters of impeachment.
James Madison wrote in The Federalist #45 that “the powers delegated by the proposed Constitution to the Federal Government, are few and defined. Those which are to remain in the State Governments are numerous and indefinite. The former will be exercised principally on external objects, as war, peace, negociation, and foreign commerce; with which last the power of taxation will for the most part be connected. The powers reserved to the several States will extend to all the objects, which, in the ordinary course of affairs, concern the lives, liberties and properties of the people; and the internal order, improvement, and prosperity of the State.”
Read the first two sentence a few times. The powers of the States Governments are numerous and indefinite and the powers of the Federal Government few and defined. We have come a long way from the framers’ ideas on a Federal Government role. Additionally Madison wrote “The Senate will be elected absolutely and exclusively by the State legislatures.”
As Henry Lamb put it “The founders who fought tooth-and-nail for four months in Philadelphia did so because they loved freedom and hated despotism. They knew the only way to prevent a government from becoming despotic was to create multiple power sources and force them to compete, and to require eventual agreement before any new law could be imposed upon the people.
The purpose for having a bicameral legislature was to have two separate constituencies examine proposed legislation. The House of Representatives represented the people; the Senate – chosen by state legislatures – represented the states. These two sources of power had to agree on all legislation before it could go to the president. The president, another power source, had to agree before any proposal could become law.
The 17th Amendment obliterated this carefully designed system by removing the states from participation. What remained was a bicameral legislature representing a single constituency, divided only by party affiliation. Thus began the tug-of-war between two political persuasions for control of the power government possesses. Before the 17th Amendment, the purpose of government was to protect the inherent rights of its citizens and to defend them from all enemies foreign and domestic. After the 17th Amendment, the purpose of government evolved into the enforcement of political theories the ruling party believed to be most suitable for the people.”
It is too late to be concerned that a loss of liberty is imminent, rather it is time to lament that the republic has been subverted.  We see daily the fourth amendment being thrown aside with the aid of many federal judiciaries and even states judges as well. We have long seen the assault of first amendment rights with the right to exercise your religious faith compromised by rulings rather than laws as to avoid making a law that will prohibit the free exercise of religion.  This happens with speech and the freedom to peaceably assembly as well when we are forced to pay for a permit to exercise our rights or be fined and jailed with local rules rather than laws.
The positive outcome of the intrusions is that America is waking up and yearning for our God-given rights. We are reaching the point of demanding the liberties that has made this union of states in a federal government so great. As Alex Jones says (referring to the George Orwell novel and current state of affairs) “the answer to 1984 is 1776!”

Wednesday, June 1, 2011

Oklahoma Attorney General Pruitt Sues EPA over Regional Haze Rule

OKLAHOMA CITY – Attorney General Scott Pruitt today filed a lawsuit against the U.S. Environmental Protection Agency, challenging the agency’s denial of Oklahoma’s proposed implementation of a plan to reduce regional haze in the Wichita Mountains Wildlife Refuge. A copy of the court filing can be found here.
“According to The Clean Air Act, it is the responsibility of the state to create a plan to improve visibility and reduce regional haze in wildlife areas, and we are intent on preserving that right,” Pruitt said. “By ignoring Oklahoma’s plan, the EPA not only usurped the right of Oklahoma to set its own energy policy, but violated the process required by the Regional Haze Rule.”
The Regional Haze Rule requires agencies to work together to improve visibility at national parks and wilderness areas by 2064. Oklahoma’s industry leaders, elected officials, utility companies, consumer protection advocates and energy producers spent months creating a State Implementation Plan to address the requirements of the rule in multiple parts of the state, submitting it to the EPA more than a year ago. The plan accomplished the regional haze requirements by 2026.
In March, EPA Administrator Lisa Jackson informed the Oklahoma Department of Environmental Quality that the federal government planned to implement their own regional haze plan. Based on the latest estimates, the federal plan may increase Oklahoma utility rates 13 percent to 20 percent over three years.
“The EPA’s decision to disregard Oklahoma’s regional haze plan and implement their own is just the latest example of federal overreach,” Governor Mary Fallin said. “The Obama Administration has exhibited a pattern of support for policies that will hurt our families and businesses, destroy jobs and hamstring our state as it tries to emerge from the recession. I applaud Attorney General Pruitt for drawing this line in the sand and telling Washington that ‘enough is enough.’”
The complaint, which was filed in the U.S. District Court for the Western District of Oklahoma, outlines claims that the EPA did not meet the deadline to file a Federal Implementation Plan, nor follow the required approval process.
“I fully support the lawsuit filed today by Attorney General Pruitt, which seeks to stop the EPA from rejecting Oklahoma’s affordable state implementation plan to reduce regional haze and improve visibility in national parks in favor of a much more expensive federal plan,” U.S. Sen. Jim Inhofe said.
“The Oklahoma Department of Environmental Quality did the right thing: State officials worked with state utilities to construct a plan for regional haze that allows for fuel flexibility and balances environmental protection with the need for affordable energy. EPA’s decision, on the other hand, could cost state utilities $2 billion while providing less environmental benefits than the state plan — and Oklahoma families, farmers and manufacturers would undoubtedly foot the bill. I hope the outcome of the lawsuit will ensure that Oklahoma can provide affordable energy while continuing its progress on reducing emissions. We can certainly do it without the EPA.”

Governor Signs Law for Tax Hearings Outsourcing Tax Refund Payments

On May 26th 2011, Governor Fallin signed SB 123 into law. This bill includes provisions related to the Tax Commission for increased compliance for sales, use and income taxes. Included are initiatives for additional hearings related to issues regarding remittance of sales and use taxes, additional auditing personnel for sales and use tax enforcement and additional audits of corporate and partnership income tax returns. Additionally, the measure provides for the use of direct deposit and card-based disbursement systems in lieu of checks or warrants for the issuance of income tax refunds.
The Oklahoma Tax Commission may use a direct deposit system and card-based disbursement system in lieu of checks or warrants for the purposes of issuing refunds for overpayment of individual income taxes.  Notwithstanding the provisions of Section 205 of this title, the Tax Commission may enter into a contract with, and release taxpayer information to, entities deemed to be qualified by the Tax Commission to implement the card-based disbursement system.  The Tax Commission shall not release to any entity contracted with pursuant to this section the full social security number of taxpayers opting to receive a refund through the card-based disbursement system.
Estimates by the Tax Commission indicate the implementation of the initiative to increase tax compliance will result in an increase in collections. Specifically, the addition of sales and use tax auditors will increase collections by $3.5 million, the income tax audit effort will yield $4.0 million and the additional hearings for sales tax permit holders will result in collections of $11.8 million.
Implementation of the direct deposit and card-based refund system will result in estimated administrative and processing savings of $500,000.
There is concern that sending the information may cause unintended problems with our personal information as reported earlier.

Thursday, May 26, 2011

Taxes and Fees, Taxes and Fees, Haven’t We Had enough of These?

Each time we receive a paycheck we see that our earnings are taxed by federal and state governments. Actually any income we earn is subject to a tax. But it does not stop there.
The average tax rate on cell phones in the US is 16.26%. This amount includes federal and state taxes.  This is part of the reason your $69.00 monthly plan costs over $80.00 a month.  There is an $11.00 tax thrown for good measure. Here in Oklahoma your landline will have an 11% tax on the bill as well.
So you start to pay your utilities and notice that the gas and electric bills have a 4.2% tax on the amount of the bill. These are called City and state tax and sales tax respectively.
The cable bill also has another 11% add on average for taxes.
In 2010 the average combined sales tax bite rose by a full percentage point, reaching 9.64%. This increases the price we pay for virtually everything we purchase.
As you drive to spend that extra 10% on clothes and groceries, don’t forget the average federal and state taxes on gasoline. As of January 2011, the average state tax is $.26 per gallon. Here in Oklahoma it is $.17 per gallon of gas. Add that to the federal gas tax of $.18 per gallon and you have added $.44 per gallon of gas in taxes. That is an average of about $30.00 each month in taxes if you spend $250.00 each month.
So far we are spending $30.00 a month for gasoline taxes, $11.00 for the cell phone, and another $11.00 for the cable taxes. Add $4.00 in gas and electric taxes and you have $56.00 in taxes that do not include sales or income taxes each month.  If you spend $1000.00 each month for food, hygiene products and clothes, there is another $92.60 each month. We are now up to around $150.00 each month in these taxes.
If you decide to put your money in a savings account, the money in your savings account is not taxed, but any interest you earn on that money is added to your other income on your tax return. Your bank should mail you a statement, called a 1099INT, at the end of the year (or in January) of how much interest you have earned.
Given the low interest rates right now, it is probably not a lot in interest income, but it is still supposed to be reported and taxed.
The Declaration of Independence gives many reasons for the king “having in direct object the establishment of an absolute Tyranny over these States”, one of which is “For imposing Taxes on us without our Consent”.  Do you consent to these taxes?
The fact is many of these taxes go unnoticed. When you pay the bills online where the page simple shows you owe so much and never click the detail, the taxes are not seen. This is even more the case when you have the bills automatically paid. These taxes have been in place for many years, however. But we often look at the total on the bills and pay them. The receipt for gasoline does not detail the amount of tax you paid for filling the tank.  Assuming you can actually afford to fill the tank.
The taxes noted here do not even include the taxes on liquor and cigarettes that have been imposed.
Keep these taxes in mind when the government tells you they want to monitor all of your internet activity for you own safety.  There are billions in taxes waiting to be had on internet sales, usage and such.
This does not even detail the amount of property taxes you pay for your home. This is an average of $1132 per year or nearly $100 a month.
A partial list of taxes (direct or indirect) includes:
Accounts Receivable Tax
Building Permit Tax
Capital Gains Tax
CDL license Tax
Cigarette Tax
Corporate Income Tax
Court Fines (indirect taxes)
Deficit spending
Dog License Tax
Federal Income Tax
Federal Unemployment Tax (FUTA)
Fishing License Tax
Food License Tax
Fuel permit tax
Gasoline Tax
Hunting License Tax
Inflation
Inheritance Tax Interest expense (tax on the money)
Inventory tax IRS Interest Charges (tax on top of tax)
IRS Penalties (tax on top of tax)
Liquor Tax
Local Income Tax
Luxury Taxes
Marriage License Tax
Medicare Tax
Property Tax
Real Estate Tax
Septic Permit Tax
Service Charge Taxes
Social Security Tax
Road Usage Taxes (Truckers)
Sales Taxes
Recreational Vehicle Tax
Road Toll Booth Taxes
School Tax
State Income Tax
State Unemployment Tax (SUTA)
Telephone federal excise tax
Telephone federal universal service fee tax
Telephone federal, state and local surcharge taxes
Telephone minimum usage surcharge tax
Telephone recurring and non-recurring charges tax
Telephone state and local tax
Telephone usage charge tax
Toll Bridge Taxes
Toll Tunnel Taxes
Traffic Fines (indirect taxation)
Trailer Registration Tax
Utility Taxes
Vehicle License Registration Tax
Vehicle Sales Tax
Watercraft Registration Tax
Well Permit Tax
Workers Compensation Tax


We pay taxes to earn, taxes to spend and taxes to save. We pay taxes for marriage and taxes for divorce.  There are taxes for life and taxes for death.  There are fees or taxes to do work on your property and to stay in your property. How long before a tax on the taxes?
We have become complacent with regards to the endless barrage of taxes we incur on a daily basis.  It is estimated we spend over half of our gross income in taxation of these sorts. All the while we are told that we need to pay more taxes to support the functions of government.  It is time for governments to go back to the job originally detailed in the US Constitution. This is not a radically new idea; it has been our code of laws for a few hundred years. It is time for “We the people to demand less of our government and more of ourselves.  It is time for “We the People of the United States, in Order to reform a more perfect Union, establish Justice, insure domestic Tranquility, provide for the common defence, promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity” to demand our government stay within the bounds of the Constitution and reestablish this Constitution for the United States of America.

Tuesday, May 24, 2011

OK FY 2012 Budget

The budget for fiscal year 2012 is in excess of $6.5 billion dollars. The text if the 52 page bill can be found here.
The budget has just over $3.4 billion in total education (or about 52%), which includes Dept of Education, Higher Regents, Libraries, Educational TV and Arts Council. Of that amount $2.3 billion goes to the OK Department of Education for the support of public schools. This is approximately 4% less than 2011 budget or $138 million less in funding.
The Government and Transportation budget is just over $262 million which includes Office of Bond Advisor, Department of Central Services, OK Election board and the OK Department of Emergency Management to name a few. The Department of Transportation has the lion’s share of the appropriations in this category at just over $106 million or 40% of the amount allotted.
Next we see Public Health received $1.3 billion in appropriations. This represents about 20% of the total FY 2012 budget. The largest appropriation in this category is to the Oklahoma Health Care Authority at $983 million followed by the Department of Mental Health and Substance Abuse Services receiving $187 million.
The Human Services appropriations are next in the bill with an allotment just under $667 million. This goes to Department of Human Services, Juvenile Affairs, Indian Affairs and rehabilitative services. This represents a $56 million cut or about 8%.
The National Resources and Regulatory Services (which includes Department of Commerce, The Rural Economic Action Plan Fund, Department of Consumer Credit, and Oklahoma Department of Agriculture, Food, and Forestry) have been appropriated just over $143 million.
Public Safety has been appropriated $588 million for operations in fiscal year 2012. This group includes the OSBI and the Department of Public Safety to name a few.
Judiciary is the final group receiving $163 million in appropriations. This includes the Oklahoma Supreme Court, The Pardon and Parole Board, Attorney General’s Office and District Attorney’s Council.
This bill simply tells the sources ( such as General Revenue Fund, Special Cash Fund, and The Oklahoma Educational Lottery Trust fund) from which the appropriations will be made.
In a May 20 letter, Rep. James Lockhart of Heavener wrote of the budget "the Legislature has indebted the citizens of Oklahoma to the tune of $1.3 billion in bonds (borrowed money) that have not complied with the balanced budget requirement of the Constitution, nor been approved by a vote of the people.
"At this time our annual bond payment is in excess of $180 million a year. The amount we pay in interest alone is astronomical. These “borrow and spend” tactics are fiscally irresponsible and alarming in placing an albatross around the necks of future generations of Oklahomans.
"A myriad of bonds were proposed this year. One that received approval by both chambers is House Bill 2171, a $70 million, 15-year bond for the Oklahoma Department of Transportation. This bond was initiated to help offset the $100 million swiped from the Transportation Department’s revolving fund in order to shore up some of the $500 million shortfall in this year’s budget.
What we owe in bonds at this point represents over 20% of our entire state budget of $6 billion for this fiscal year!"
The money Lockhart refers to being swiped is detailed in the Governor’s Executive Summary on the budget in February of this year. The summary states “One component of the FY-2012 budget is a transfer of $100 million from the State Transportation Fund to the Special Cash Fund for appropriation to other critical government services. The Department of Transportation will be given authorization to issue a bond through OCIA for $100 million.”
In an interview with CapitolBeatOK, Jonathan Small, fiscal analyst the Oklahoma Council of Public Affairs, stated "“Overall, it seems that this year, lawmakers tried to approach development of the appropriated budget in a more prioritized fashion. This explains why some agencies received cuts of 0.5%, while others received cuts of 9.0%.  Some would say this is a better way to approach budgeting, because it starts the process of trying to focus spending on core functions, and eliminate spending on non-core functions.”
Small continued, “There has been discussion of the cumulative effect of appropriated cuts to agency budgets the last 3 years, with some putting those figures at 20%+, but those discussions should be made in the context of the rapid increase in government spending and in particular state appropriations, which grew 32% from FY-2005 to FY-2009.”
In appropriated dollars, this new budget is for $6,502,883,889 in Fiscal Year 2012. The total budget reduction is 3.2% from the FY 2011 budget of $6,720,837,226 or a reduction of $217,953,337 in actual dollars.
The Governor's Budget from February gives the estimated revenue at $6,425,694,917. Her proposed budget was written with $6,325,592,836 in appropriations or $177,291,053 less that the final budget. This revenue is still $77,188,972 less than the revised budget for FY 2012. However, the difference will be made up with $120 million in cash reserves, $100 million remaining in federal stimulus funds and about $20 million in various revolving funds.

Saturday, May 21, 2011

Erin Swezey Act one step away from becoming law

The Erin Swezey Act is on its way to Gov. Mary Fallin’s desk. Thursday both the House and Senate gave overwhelming support to Senate Bill 529, a measure named for a 20-year-old Oklahoma State University student from Edmond who was killed by a drunk driver in 2009.
Sen. Clark Jolley, R-Edmond, is principal author of SB 529. He authored the bill at the request of Erin’s parents, Keith and Dixie Swezey, who sought the greater use of mandatory interlock devices as a way to keep more drunk drivers off the road and reduce fatalities.
“I’m extremely proud of the Senate and the House for making this important commitment to public safety with the passage of the Erin Swezey Act,” said Jolley, R-Edmond. “Right now, Oklahoma is among the top six states in the nation in drunk driving fatalities. This gives us the tools we need to save lives.”
In the final version of the bill approved by lawmakers, an interlock device would be required on a first conviction for those with a blood alcohol content (BAC) of .15 or higher for 18 months. For a second or subsequent offense, the mandate would apply to those with a BAC of .08. The interlock device would be mandatory for four years on a second offense, and for five years for subsequent offenses. In addition, the individual’s driver license would have the designation “Interlock Required” as long as the device’s use is mandated.
“We know this will help us save lives from what we’ve seen in other states. Right now there are 13 that require interlock devices for those convicted of DUI, and it has resulted in at least a 30 percent drop in fatalities in those states. In Arizona, they’ve reduced drunk driving deaths by 46 percent.”
SB 529, authored by Rep. Jason Nelson in the House of Representatives, now goes to Gov. Fallin for her signature. Jolley expressed his thanks to Nelson for his work and to fellow lawmakers for supporting the bill and said he is hopeful Gov. Fallin will sign the measure into law. If approved, the Erin Swezey Act will be effective as of November 1, 2011.

OK Government Agency Consolidation Bill

Today the Oklahoma Senate passed House Bill 2140, authored by President Pro Tem Brian Bingman, R-Sapulpa and House Speaker Kris Steele. The measure will consolidate administrative processes and help to eliminate duplication of services.
“This legislation will reduce the size Oklahoma government through consolidation and increasing efficiencies,” said Bingman. “Our efforts have been focused on job creation and government right-sizing throughout this session because they are one and the same. The citizens of our state have spoken and they will no longer tolerate a bloated, inefficient and expensive government. Taking these steps to reduce wasteful government overhead will allow us to free up our resources for better use in things that produce a positive economic benefit such as education, transportation and public safety - all things that help to grow our economy.”
Under HB 2140, the following agencies will be consolidated under the Office of State Finance:
o Dept of Central Services
o Office of Personnel Management
o Oklahoma State Employees Benefits Council
o State and Education Employees Group Insurance Board
“If we can consolidate agencies where there is duplication in services in a way that saves taxpayer dollars, let’s do it,” Bingman said. “I am not willing to direct the hard earned dollars of our taxpayers to an inefficient and duplicative government apparatus at the expense of schools, roads and public safety. We will make Oklahoma stronger by investing wisely with taxpayer resources, this bill accomplishes that and anything less is unacceptable.”
The next step for HB 2140 is the governor’s desk for approval.
As noted above, HB 2140 consolidates several currently independent agencies into the Office of State Finance (OSF).  The agencies consolidated into the new OSF include: Department of Central Services, Office of Personnel Management, Oklahoma Merit Protection Commission, Oklahoma Department of Libraries, Oklahoma State Employees Benefit Council, and Oklahoma State and Education Employees Group Insurance Board.
The bill requires that by no later than December 31, 2011, the Director of the OSF shall consolidate the functions and demonstrate a 15% overall cost reduction as a result of the consolidation.
To determine what a 15% cost reduction from consolidation would be, House Fiscal Staff analysts gathered operating budgets from each of the agencies listed above including the OSF.  Taking into account state appropriations, federal dollars, and revolving funds as revenue sources, House Fiscal Staff determined the combined operating budgets of the agencies above to be $147,826,230.  Assuming a 15% cost savings from consolidation of the above agencies based on their total operating budget figure, the dollar amount of the cost savings from consolidation would be $22,173,934.
Where the specific cost savings will come from in the consolidation is left to the discretion of the Director of OSF who shall provide recommendations to the Legislature.