Global Concerns, Leadership, Messaging, Views on News • June 10th, 2009

Budget blues

by Chris Lato

Once again, I waited far too long between posts – keeping very busy on the business side, which is always a good thing.

But reading today’s Journal Sentinel inspired/disheartened me.

The following comes directly from the article:

Both houses agree on taxing oil company revenue, but they differ on how to structure the tax. Doyle and Senate Democrats want to bar the oil companies from passing the tax on at the pump, but the oil industry is threatening to sue over that provision on the ground that it would violate constitutional protections on commerce.

Some Assembly Democrats said they didn’t want to wind up paying interest and legal fees on a case they were likely to lose. (emphasis added)

Wait what?

So, the Legislature and governor want to enact a tax that they know will get them sued, and some legislators even admit they will likely lose in court…but they still want to go ahead and run up a taxpayer tab.  Just how big is that state deficit again?

So, what is this, other than a feel-good shell game? (Get it? ‘Shell’ game!) I guess we’re expected to take comfort from the knowledge that Wisconsin is trying to punish Big Bad Oil, no matter how fruitless and expensive.

And, if we actually did win a lawsuit, it would mean higher prices at the gas pumps. Assuming this actually survived a legal challenge, does anyone honestly believe the cost to oil companies somehow wouldn’t be passed along to us? In the meantime, I wonder which law firms will benefit from the suit…

Another bit from the article that caught my eye:

The state budget faces a record $6.6 billion shortfall over two years. To close that gap, Democrats plan to cut state agencies and aid to local governments, spend federal economic stimulus cash and raise taxes and fees by about $1 billion a year. (emphasis added)

The budget is still in flux right now and the amount of that hike may well change. Still, just a little something to keep in mind next year when politicians are out looking for your vote, and they claim to be fiscally conservative types who oppose tax and fee increases - as they have been known to claim whether it’s true or not.

Give ‘em a little truth test - ask for detail on how they voted on the budget back in ’09.

This entry was posted on Wednesday, June 10th, 2009 at 4:12 pm and is filed under Global Concerns, Leadership, Messaging, Views on News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.