Wednesday, March 31, 2010

Cities That Lose Their Natural Competitive Advantage

The City of New Orleans and its business partners sit on one of the leading Ports in the United States for import and export traffic that moves through the Port of New Orleans. Because of this location, manufacturing companies enjoy a lower transportation cost to move their raw and finished products due to water, rail and truck transportation available at their fingertips. That is a huge advantage over inland manufacturing plants that have no access to cheap water transportation and must pay higher rates for rail and truck service.

Yet, some companies that are here and want to expand and other who might express interest in locating here look for handouts from the government in the form of tax rebates, financing and other incentives. The latest is Folger's Coffee Company who announced they will expand production and capacity at its New Orleans manufacturing plants and distribution located on old Gentilly road and Chef Menteur highway. In an article by Jaquetta White, business writer in the Times Picayune of March 25 reported as follows.

The company will receive almost $6 million in incentives from the state as part of its plan, that includes a $2.1 million refundable state tax credit for capital investment. The performance based incentives would require that the company retain both its 450 current jobs and the 120 additional jobs it is projecting and increase its payroll from $26.1 million in 2011 to $31.2 million in 2020. Folgers must also make its capital improvements by December 31, 2012.

The parent company of Folgers, the J.M. Smuker Company said the move to expand in New Orleans was part of a plan to cut cost and improve long term efficiency nationwide. Plant closures would take place in Sherman, Texas and Kansas City, Mo. Maribeth Badertscher, Smucker spokeswoman said, the Missouri plant is located in multistoried downtown Kansas City, a landlocked area, while the Texas location just does not have the desired supply chain benefits.

Badertscher also said, because New Orleans is where the coffee beans come in there's significant supply chain savings in having our manufacturing factory there instead of transporting beans for manufacturing. New Orleans also has our largest facilities that can accommodate future growth. There are expansion opportunities.

So here we have a spokeswoman for the parent company of Folgers talking about the natural advantage their plant at New Orleans has over their other facilities and that New Orleans is the place to be. Expansion is no problem at the facility here and there is significant supply chain savings in having their plant here. Yet, they will receive from the state $6 million in incentives. All at a time when the governor is cutting health care, higher education and other area's because of a short fall in state revenues. Another give away to business at a time of state budget deficits, loss revenue, increases in college tuition and other fees. And $6 million of tax payers money for a company who is logistically and economically situated in an area where they should be.

The give away makes no sense concerning this particular expansion. Our political leaders and Folgers leaders should be ashamed of themselves. Is there any wonder why the $1 billion surplus left by the previous administration has vanished.

Sunday, March 28, 2010

The Health Care Conversation The News Media Failed To Have

The democratic health care legislation that was introduced and passed by congress was debated for over a year. It was debated in congress, in town hall meetings, at tea party's, on T.V., Radio, the printed news media and every which way you can think of. The republicans said they read every page.

Yet with all the debates and questions, the news media failed to ask the most important questions to those who oppose the legislation, especially the republicans in congress and the nations governors. The governors who opposed the legislation based on states rights were never asked what they were doing to insure the uninsured in their state. For instance, Louisiana Governor Jindal who opposed the plan was never asked what he was doing for his state to insure those uninsured. Per Families U.S.A. Louisiana had 823,000 uninsured in the 2007-2008 year and it was estimated at the time, the U.S. Senate passed bill would insure 554,000 of the uninsured in Louisiana. As a native of Louisiana I know of no Jindal plan to insure those uninsured but those questions were never asked.

Those republicans in congress who opposed were also not asked the question when they invoked states rights. The truth of the matter is if the governors themselves would take care of the problem of their own states uninsured they would have to raise taxes and or fees to do so but do not have the character or courage to bite the bullet. They want some one else to do that and then they are in opposition. There is good reason why the federal government is so large, state governors have failed to take care of their own states problems.

Now after health care has passed congress the republicans are urging state governors to go to court to oppose health care and repeal same. So far 13 governors said they would do so because states rights are involved. It is ironic that it is republicans who always want to curtail lawsuits but are the first ones to go that route. When you are a hypocrite, you are a hypocrite through and through.

Perhaps we are at a time in history when a President needs to tell governors to put up or shut up. Let the governors lead their state and introduce and pass legislation that the states should be involved with. I don't look for any governors to volunteer any time soon.

Saturday, March 27, 2010

Conservatism: The UnAmerican Ideology Continues

The leaders of the republican party in the U.S. Senate and U.S. House have once again showed the conservatism UnAmerican ideology they preach and it has vibrated through their ranks. This time over health care legislation and their rhetoric has been vile, threatening and incendiary. That was all those who fit the description of cowards in the "tea party" needed to hurl insults and other vile language at democrats while they were on their way to the Capitol to vote. Some even were exposed to property damage.

History is repeating the conservative mindset of being elite and their attitude that they can do what they please to interrupt the civility that is so important to democracy and a debate of the issues. It is a result of their phony ideology that has crippled their ability to accomplish any thing meaningful for the country and its people. They have no record of accomplishment to run on so they want to destroy any chance of democratic success, even though it is the people who pay the price for their phony ideology and action.

To make things worse for the country and its people, the same conservative UnAmerican ideology is being preached by some cable outlets like Fox News and other journalists who have no problem of wanting to see America fail. Lies become their method of operation and the great majority of their guests are conservatives who have failed their country long ago.

Presidents Eisenhower, Nixon and Ford, all conservatives but they did not govern by ideology. They were able to move the country forward and the republicans in congress during those administrations were not ditto heads. In fact they stood tall when Nixon got in trouble and came down on the side of what was right during a painful time in our history.

Senator John McCain stood on the U.S. Senate floor this week and said he would not work with the Obama administration the rest of the year. (Like what's new?) In other words he would pick up his marbles like a little kid and fail to do the job he was elected to do. This was another example how conservatives can not compete and debate in an open society in a civil way. The health care issue has really defined how conservatism that is preached today by the republican party is truly UnAmerican.

President Obama and the democratic party should continue to lead the way since that is the hand they have been dealt and continue to do those things that really matter and make a difference for the American people and the country. If every piece of legislation has to be passed by reconciliation because of the ditto head republicans, so be it. The President needs to continue to frame the debate.

Thursday, March 25, 2010

The Democratic Congress: A Real Voice For America

Thirty four Democracts in the U.S. House voted against their own party's health care plan Sunday night. Unlike the ditto head republicans who all opposed and voted no against the plan and used the same old sad talking points, the democratic party once again proved their members can think for themselves and do not have to toe the party line.

In the future some democratic sponsored legislation could be defeated by their own members and the news media and republicans will say the democratic party does not know how to govern. That is what politics has become, but it will not wash. I hope the democratic party continues to think for itself and that each individual democrat introduces his own ideas in debate on all the issues facing the country and its people. I would prefer to have that kind of democracy than the ditto head republican ideology of talking points for their members to act like robots and all vote the same way because of that unAmerican ideology.

President Truman, that great democrat who was noted for giving the republicans hell once said:
when you have an efficient government, you have a dictatorship. That is the type of government the republicans want and what is behind their ideology of being ditto head voters.

Our democratic system in congress is not perfect, but the democratic party represents the American people and their interest much better in debating the real issues than the republican party. The final 3 years of the Obama administration will be met with continued ditto head opposition on all fronts and their personal attacks will become even more bitter. This sad story will continue because they have no record to compete and stand on.

Hang in there Mr. President. You have the party that will do right for the people and the country. The democratic party may disagree some times but they will end up doing what is best for America.

Tuesday, March 23, 2010

Health Care Legislation: Lets Do Some Comparison

The U.S. House on 3/19 passed and adopted the Senate's health care plan that chamber passed not so long ago. The vote was 219-212 in favor. All republicans voted no and 34 democrats voted no. The measure went to President Obama for his signature. The legislation is said to cover approximately 32 million Americans who are now uninsured.

The republican response was the same after passage. They intend to take it to court and try to get the state governments to do the same. They will continue to do all in their power to kill the bill. They will continue to work to defeat the democrats in the November elections and make sure the public knows how they voted. The cost is to great and will increase the federal deficit. Plus the other usual so called conservative mumbo jumbo.

Lets do some comparison: The republican controlled congress under President Bush passed a prescription drug benefit program that the Congressional Budget Office (CBO) says was financed by deficit spending by the Bush administration at a cost of $1.2 trillion over a 10 year period. That deficit spending is still being paid by the Obama administration and the American people. That benefit also gave the people the donut hole.

The Iraq war on the 7th anniversary this month cost the taxpayers $747 billion and was financed by deficit spending by the Bush administration and the Obama administration and the people are still saddled with and paying for. The cost will hit a trillion dollars if the U.S. stays till the end of 2011 as planned. That unnecessary war over WMD that did not exist took over 4400 American lives, over 30,000 wounded and no one really knows how many innocent men, women and Iraqi children have been killed who only wanted to raise a family.

The bailout of the financial industry by the Bush administration to the tune of $700 billion was financed by deficit spending and now the Obama administration and the people are paying for it until the financial industry pays it all back. When it comes to deficit spending the so called conservative republicans are the biggest hypocrites alive. They have no shame with their ditto head lies to the American people.

The health care plan that just passed the U.S. House will cost approximately $950 Billion over 10 years and reduce the federal deficit over $100 billion says the CBO. The CBO also says during the next 10 years the deficit will be reduced over $1 trillion. The plan is paid for by taxes and other means. The plan will also eliminate the donut hole in the prescription drug plan.

There is one way to measure the cost of the health care plan. That is, will the cost be reasonable compared to the status quo of increased premiums, less coverage, more uninsured, more canceled policies, more businesses going out of business and etc. If the cost is reasonable in relation to the status quo, and does accomplish what it is intended to do and does indeed reduce the federal deficit like the CBO says, then it is good legislation.

The health care issue was proper to be addressed by the Obama administration and as long as they are in power they also have the responsibility to make it come out right for the country and its people and not add to the federal deficit. Democrats should remember one of President Truman's famous statements when he said: You can always amend a big plan, but you can never expand a little one. I don't believe in little plans. I believe in plans big enough to meet a situation which we can't possible foresee now.

The democrats should act accordingly and make any adjustments necessary to insure the legislation does what it was intended to do.

Monday, March 22, 2010

Louisiana's Budget Problem Continues To Escalate

The present Louisiana budget that ends June 30 has already been cut by millions of dollars and now Commissioner of Administration Angele Davis said the budget could still be short between 250 and 400 million dollars for the current fiscal year. That would depend on a review of revenue at the end of March which is down from previous projections.

The Jindal administration inherited a billion dollar surplus from the previous administration and has quickly vanished. Jindal and his people have a conservative ideology toward the budget so they have no original thought. There mantra is cut the budget, give tax breaks and incentive's to business and reduce taxes by eliminating the Stelly plan even though they knew of the short fall in revenue. What has happened is college tuition increases with more to come that hits the middle class the hardest, a 70% increase in driving license fee and now a new announcement there will be no merit pay raise for thousand of civil service workers, the first time that has happened in 20 years.

Conservatives have mastered how to keep the business community from paying their fair share and sticking it to the average tax payers in so many different ways. Make no mistake, college tuition will continue to rise for the average citizen and more fees will increase on various services. Conservatives do not like to use the word taxes.

Jindal likes to have it both ways, he says Louisiana has done better with the economy than most states, however, unemployment is going up on Jindal's watch. January unemployment rate was 7.4% compared to 5.7% in January 2009. Greg Albrecht, an economist with the Legislative Fiscal Office said Louisiana is not hiring. Albrecht also said as of February, revenue from sales taxes and income taxes were indicating a 20% decrease for the year instead of the 15% and 13% decrease earlier forecast.

If it were not for Federal Stimulus dollars Jindal would be a basket case. The governor has proven over and over his lack of courage in leading the state to solve its own problems. He is just waiting for the national economy to revive Louisiana's economy so he can run for a higher office. The fast talker is way out in front of himself.

Friday, March 12, 2010

Female WWII Aviators

Known as "Women Airforce Service Pilots" or WASP, they were the first women to fly U.S. military planes. Their orders were to fly noncombat missions to free up male pilots to fly overseas during WWII. Thirty eight WASP were killed in service.

Those brave women went unrecognized for many, many years and long considered civilians, not members of the military and were not entitled to pay and benefits given to the men in uniform. They were finally afforded veteran status in 1977 after a long fight. On Wednesday March 10 a few hundred, now in their 80's and 90's were in Washington at the Capitol to receive the Congressional Gold Medal for their service, the highest civilian honor bestowed by Congress. Speaker of the House, Nancy Pelosi remarked, "we are all your daughters, you taught us how to fly."

Deanie Parrish, a WASP pilot said the women had volunteered to fly the planes without expectation that they would ever be thanked. Over 65 years ago we each served our country without any expectation of recognition or glory, and we did it without compromising the values that we were taught growing up. We did it because our country needed us.

This is truly an American story of brave and courageous women aviators who wanted to serve their country in time of need and never expected any thing in return. That is in great contrast to those political "hawks" who love to see other people's children march off to war while they themselves stay safe at home.

Although honoring the WASP's was long over due, America did what was required and America is a better country today, thanks to the female aviators of WWII. May God bless them all.

Note: Some excerpts taken from the Associated Press.

Thursday, March 11, 2010

Karl Rove: The Nobody Of Conservatism

I wrote a post in 2008 after Karl Rove left the Bush Administration and announced his resignation. I wrote that Rove was resigning so he could write a book in order to rewrite the history of the Bush administration. And now, sure enough, that book has been released titled, "Courage and Consequence: My Life As A Conservative In The Fight." What has been learned so far from the book is that Rove indeed wrote this book to rewrite the history of the war in Iraq and the Katrina aftermath.

The title of the book does not fit the author because Rove has no courage. Also he has the same problem as most political conservatives who put their warped ideology first and never talk about being an American. The details of Rove's comments on Iraq and Katrina do not have to be repeated here because the true facts were exposed long ago about Iraq and Katrina.

I have often noted Rove's tactic of repeating the same lies over and over again, mis-statements over and over again with the idea that if Americans hear the same thing over and over it will become the truth. That is the idea behind republican talking points and the book itself in trying to make the public believe what really happened never did.

Former Louisiana governor Kathleen Blanco said it best when she said in reference to Rove's book. It's very obvious to me that he was in some other world. It's just hard for his book to be taken seriously, it is not a historical piece." Former Governor Blanco showed her courage when she put the state and people first and decided not to seek re-election. She did so and one of the reasons why was she knew politics would make Katrina a political football during the campaign and she thought the state and people deserved better.

Conservatism as practiced by many who are in the political arena can best be described as anti-American. Rove's rewrite of the facts concerning the Iraq war and Katrina shows just how pitiful a person he really is.

Note: See my two part series: The Rosetta Stone to The Iraq War dated 12/8 and 12/11 of 2007.

Monday, March 8, 2010

The Iraq War: Time To End The United States Presence

This month will start the eighth year of war in Iraq and the U.S. presence there. Six years and nine months after President Bush announced "mission accomplished." We are following a schedule to have all combat troops out of Iraq by this summer and all U.S. personnel out by the end of 2011. The wars end would come eight years and nine months after the invasion if that schedule is maintained.

That schedule should be shortened and all Americans should be brought home this year and the sooner the better. The Iraq government held its elections this week end and every American general who has been questioned on TV this weekend still say school is out on what will actually take place after the elections are all over. In other words seven years later we are still in the dark as we were the day of the invasion when many so called hawks in the Bush administration said the war would be a cake walk. The problem fell to the boots on the ground, while the hawks stayed home.

The various factions in Iraq and their neighbors will decide what kind of country Iraq will be, with or without our presence. The people in Iraq who want to cause trouble can do so anytime they please and proved that during the week before the elections with many bombings and killings. They have that capabilities regardless if our troops are there or not.

The war has taken an awesome toll on our men and women in uniform who have been deployed multiple times, over 4300 American deaths, over 30,000 Americans wounded and billions of dollars. Those in Iraq who are still performing terror acts maintain the ability to still kill Americans there even though they have been withdrawn from the cities. One more American casualty in Iraq is too much. 2011 is a long, long way off. Our troops and personnel should be brought home this year.

Lift The Cuban Embargo

The Obama administration should quickly try and engage the Cuban government in diplomacy and set up a working agreement to end the economic embargo of Cuba. This should be done as soon as possible. There are strategic reasons for this. Cuba is a member of our hemisphere and as such, should be a close trading partner, friend and ally. The forty plus years of embargo has not resulted in reversing Cuba's human rights problem nor has it changed their communist form of government.

The U.S. trades with Russia and China and has diplomatic relations with those two countries. They have their own human rights problems and are not even close to being in our hemisphere so our chances of influence on their human rights problem are nill. On the other hand, Cuba being only 90 miles from our shore and within our hemisphere would be in a more reasonable position to be influenced. I don't mean being influenced in a colonial way but the normal influence that neighbors are exposed too.

Cuba and the U.S. could help each others economy in a meaningful way and especially for the mid continent region of the U.S. The embargo has left the Cuban people with only the bare necessities. Cuba is no military threat to the U.S. or its neighbors. Being an island is not a strategic position for Cuba to be in militarily. Plus the U.S. has a military presence on that island at Guantanamo Bay.

The U.S. has missed many years of opportunity with Cuba because of an embargo that has never accomplished what it set out to do and all those years, lost what could have been a partner. The time to move is now and the U.S. should make the first move.

Monday, March 1, 2010

Louisiana Governor Bobby Jindal: Another Flip Flop

As noted in the Times Picayune of 2/28 Governor Jindal for the past year has been calling the Medicaid financing formula known as FMAP "faulty" and asked congress to fix the problem. Well it is no longer a "faulty formula" but a "Katrina tax." There was no explanation why the change. Could it be to change the subject with U.S. Senator Mary Landrieu who has actually obtained a partial fix to the problem that is included in health-care reform that the governor opposes.

It was also noted the government unveiled Jindal's Louisiana GRAD plan which would give public colleges and universities more flexibility to raise tuition provided they agree to raise admission standards, raise graduation rates and other performance measures. Public institutions would like to raise tuition again because of all the budget cuts to higher education but first have to seek approval from the legislature. This would free them to do so. It amounts to the buck being passed by Jindal because he still does not have a handle on the budget.

In another announcement Louisiana will receive an additional $77 million in federal economic stimulus money to help cover cost in its Medicaid program. The same stimulus that Jindal says he opposes. Health and hospital secretary Alan Levine said he would like to plug nearly half of it, about $32 million into the current year budget to cover a Medicaid shortfall. The rest of the money will be shifted into the 2010/2011 health care budget. The stimulus money has allowed governor Jindal an opportunity to dodge the hard decision as to what he would do if there were no help from the federal government. It should be noted Florida Republican governor Charlie Crist disagrees with Jindal and said the stimulus created or maintained 87,000 jobs in Florida including those of many teachers.

Jindal is writing an autobiography according to reports. The title of which is "On Solid Ground: Returning to America's Core Values." The term core values is a conservative catch word to indicate some thing is wrong with America and its people. Well, prior to Obama's election as President the Republicans ran the country 20 of the last 28 years so it is obvious American's must have lost its core values on their watch. More ironic is the fact that Jindal served in congress for 4 years during the Bush administration who reversed the balanced budgets and surpluses of the Clinton administration and gave the country a collapsed economy and record job losses. The conservative elite have no shame.