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1/23/2009
Rahmlow: First "jobs bills" are all style, not substance
Empowered with a mandate to socialize Wisconsin’s economy as quickly as possible, the initial proposals emerging from the Democrat-controlled legislature are downright scary.
As predicted, State Sen. Russ Decker (D-Wausau) officially introduced Healthy Wisconsin, a $15 billion tax hike dressed up as health care reform. So much for those who said Wisconsin’s $5.4 billion budget shortfall would stall legislation aimed at growing government. I stated early on that Democrats do not believe Healthy Wisconsin is a budgetary or tax burden because they actually think (incorrectly) it will save taxpayers money.
A freshman legislator from Baraboo, Democratic State Rep. Fred Clark introduced a proposal that will order state and local governments to establish “minimum purchasing goals from Wisconsin-based businesses”. No doubt Clark felt inspired by a bill from last session that ordered state government to buy U.S.-made American flags at higher prices.
The immediate problem with Clark’s proposal is that “minimum purchasing goals” translates into government quotas. State government will be required to purchase products from Wisconsin companies (a noble goal), but it will essentially be cherry picking winners and losers in Wisconsin industry. And that’s not even the best part. This proposal is being billed as a tool of job creation “ensuring that our tax dollars remain in state”.
Why not just place that ridiculous mandate on Wisconsin consumers right away? No longer will consumers shop for the best deals, the government will get to decide who has the best prices in Wisconsin. Memo to Wisconsin-based Walmarts: start stamping everything “Wisconsin made”. Clark’s “pro-job” legislation is scheduled for a vote early next week. Sadly, a number of moderate Republicans will support this feel good, do-nothing legislation.
In saying “Our government must lead by example,” Democrats like Clark do not understand government does not create jobs. Big and small businesses create jobs. With companies like Quad Graphics, Miles Kimball, Cummins and other poised to shed jobs in the coming months, it would be far better for legislative leaders to sit down with those “evil” corporate executives to find out what incentives are needed to keep workers employed.
In their opening act, Assembly Democrats have decided to showboat instead of offering serious proposals to help Wisconsin weather the storm. State Rep. Peter Barca (D-Kenosha) co-sponsored the Clark legislation and additional legislation aimed at awarding state contracts first to U.S. companies. “As we continue to see jobs sent overseas, I believe it is important that we take this first step towards protecting and supporting local commerce,” Barca said.
Apparently the Democratic solution to global competition entails placing restrictions on U.S. consumers instead of fostering an actual climate for job creation. It’s far better to pin America’s economic problems on China than address why jobs are going to China.
Last session, State Sen. Ted Kanavas drafted a proposal called Invest 2.0, which contained a host of capital gains and personal income tax cuts. Former Speaker Mike Huebsch (R-West Salem) allowed the bill to die in the Ways and Means committee without a floor vote. The capital gains reductions would have given Wisconsin’s businesses ample opportunity to grow. The income tax cut would have allowed consumers to spend.
An expanded economy is just what businesses and taxpayers want, but its unlikely majority Democrats will support efforts to achieve it. The first two “job” proposals will have virtually little impact on Wisconsin’s economic growth, and certainly do not put Wisconsin first.
Mark Rahmlow is a former field director for Tim Michels 2004 U.S. Senate campaign.
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| 2009 |
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