Press Releases 2005
June 10, 2005:
Legislative Wrap Up and Look Ahead
September 8, 2005:
Response to "Why the Special Session?"
October 25, 2005:
Heading to Bankruptcy?
Legislative Wrap Up and Look Ahead
June 10, 2005
Now that I’ve finally taken a vacation after the 2005 legislative session, I
am writing a summary of what we did and did not accomplish, how that
compares to prior legislative sessions and what happens until we meet for
the 2006 session January 9, 2006.
When we were in the minority I wrote to you weekly during the session but
this is only the second article I’ve written this year. Since we became the
majority party for the first time since reconstruction (134 years) and I was
given a major responsibility ($11 billion health budgets) available time was
almost nil. This also meant I got further behind in my business so since
April 1st, I’ve spent most of my time catching it up.
Since the budget is the most important thing we do and it drives most of
state government let me start with it. If you’ve read my articles in prior
years you know I’ve been critical of the process. In our very first year we
took significant steps to look at the total budget versus just the new
expenditures as had been done in the past. In my area we held 5 public
hearings and heard from over 80 people/organizations. Further we had more
than 10 meetings with the departments and Governor’s staff.
The results included the elimination or reductions of questionable
programs. The savings were used to restore hospital cuts, give much needed
increases to facilities such as Twin Cedars and to restore dental codes for
Peachcare. We proved you can be compassionate conservatives while still
being fiscal conservatives; wish our federal government would practice
such. Also we significantly cut pork projects. Not bad considering I
didn’t even have a committee until day 3 and I had not previously served on
the Appropriations Committee.
I was pleased that my contacts, Appropriations Committee position, etc.
helped to secure a $6,400,000 bond for the relocation of the West Georgia
Technical College Campus.
The improving economy and tight budget controls such as the above should
result in a $150,000,000 to $200,000,000 surplus at the end of fiscal ‘05
which ends June 30, 2005. We will use this money to replenish our reserves
which were almost depleted by the two years of recession.
As you might recall, I asked for four committees and was appointed by the
Speaker, with input from the Committee on Assignments, to all four.
Appropriations spends the money. Another of my committees, Ways and Means,
raises the money through various taxes. Our most important piece of
legislation in this committee was a total rewrite of the corporate income
tax code. This will help us recruit businesses and reduce corporate taxes
but remove a number of loopholes.
Another committee I serve on is Rules which hears all bills that pass House
Committees. We decide which ones will come to the House Floor for debate
and vote. Being on this committee and working with the Chairman helped get
several pieces of legislation I was carrying for the Department of Community
Health to the floor for successful votes. These bills will allow the
department to implement care management for about 1,000,000 of our Medicaid
recipients and disease management for another 100,000. Based on our
research these should improve healthcare outcomes while saving taxpayer
dollars.
My fourth committee is Health and Human Services on which I’ve served for 11
years. Our most important and controversial bill was the smoking ban. We
had hours of testimony for and against it. Like the Governor, I had some
real reservations but voted for it because of overriding health concerns.
Additionally, I applied the principles of conservatism to it and was
comfortable that a yea vote didn’t violate these principles. These
principles are listed with my evaluation of how the bill impacted each:
1. Smaller government - smokers create bigger government
because of what it costs taxpayers who pay for Medicaid, Medicare, and state
health benefits for state employees and retirees (600,00 who only pay 25% of
the actual cost of their health insurance).
2. Lower taxes - see #1.
3. More freedom - your freedom stops when you infringe upon
the freedom of others. Smokers regularly do this.
4. More personal responsibility - Need I say more.
5. Empower the family - when is the last time you saw that
smoking empowered the family?
There were some major bills passed and signed into law by the Governor that
had been blocked by the Democrats for years including tort reform, ethics
reform and Women’s Right to Know. The last one levels the playing field by
requiring doctors to give the same type of information for an abortion as
for any other surgical procedure. Additionally, it requires a 24 hour
waiting period. Liberals kept saying the religious right would control our
session. I’m not sure who they are talking about in the Legislature but
this bill was as close as this amorphous group got.
There were over 200 other general bills (excludes local legislation and
resolutions) passed and signed into law by the Governor. They include
changes to child support, a bill to accelerate the acquisition of green
space and the Governor’s package on educational improvements; all in all a
very productive session.
There were three bills around the issue of secrecy which generated a lot of
negative press. In retrospect these could have been handled better. Also,
the use of “Hawks” (three House members who could vote in any committee)
received negative press. I never used them.
Some of the bills that didn’t pass include property tax relief. However,
this and about 19 other issues will be in study committees during the
interim. Also, there were about 800 other bills introduced in the 2005
session that are pending for the 2006 session.
While I will be spending a lot more time at my full time job between now and
the start of the ‘06 session handling constituent calls, committee meetings,
attending local meetings/events because I’m a legislator, etc. are ongoing.
Also I introduced several bills at the end of the session and intend to
introduce several more which require homework.
Contact me at jbrown@legis.state.ga.us
or call me at 706-884-3232 ext 203, or call 404-463-2247 if I am
unavailable.
Response to "Why the Special Session?"
September 8, 2005
The following is the question posed by one of my constituent newspaper
editors.
Obviously, we think the suspension of the gas tax is a good idea, too. BUT
as someone who is knowledgeable about technology, how about coming up with a
way to meet without having to come to Atlanta for 5 days - couldn't there be
an emergency provision for electronic voting in such situations?
My Response:
The two issues that constitute our special session appear to be
straightforward and doable via some form of technology as you suggest but
please consider:
1. The Ways & Means Committee, on which I serve, spent almost three hours
over two days discussing the bill to eliminate the state excise and sales
taxes on gasoline from September 2-31. We approved two amendments; one of
which came about because of the discussion that took place in the committee.
2. The Rules Committee, on which I serve, has already met twice and voted to
put this bill on the House calendar for Thursday. We will meet again on
Friday to consider the second bill coming over from the Senate.
3. There will be debate on the House Floor including whether we should make
a provision for the Governor to extend this 9/31 expiration if the situation
warrants. (Can now add the debated last three hours)
4. We will have a Caucus meeting on Friday.
5. We will have a meeting to be updated on the hearings on substituting
sales tax for property taxes.
6. My committee will meet for about four hours on Thursday. This meeting was
originally going to be toward the end of the month where everyone would have
had to receive travel expense and per diem.
7. A study committee on which I serve will be meeting during these five
days. Again, the state would incurred the per diem and expense of bringing
us to the Capitol at a different time.
8. The County Commissioners from Heard County are coming here Friday and I
will meet with them at the DOT headquarters.
9. A number of our members are volunteering time while they are here at
several facilities serving the refugees from Louisiana and Mississippi.
While I don't mean to dismiss the 30 plus thousand dollars a day it costs
the taxpayers for us to be here the net cost when you figure in the above
savings is less. Further it is only the third time a special session has
happened in my eleven years. Additionally, with only being in session 40
days a year (remember it was the same 40 days decades ago when the state was
a fraction of its present size and life was a lot less complicated) this
extra time certainly helps with some of our legislative responsibilities.
Finally there is probably a way around the Constitution to avoid this
session but I believe to maintain balance of power we need to be here to
discuss the two bills and then vote. Technology certainly makes some things
possible that weren't possible or at least more efficient than before but I
don't think it begins to substitute for the above.
Heading to Bankruptcy?
October 25, 2005
In the past few decades our country has gone from being the largest creditor
to nations around the world to the largest debtor nation! Every work day an
additional two billion dollars of our debt is financed by people and
countries other than ourselves. Why is this? Very simply because of the
budget and trade deficits.
The situation will only get worse as unfunded liabilities for Social
Security are no longer covered by cash flow from excess Social Security
premium payments versus current benefits payments. Presently, we are using
this excess to fund the budget and Medicare deficits that the sale of
treasury notes to the U.S. citizens and foreigners do not cover. However,
as the baby boomers soon start to retire in record numbers there will be a
negative cash flow.
The Social Security problem is exacerbated by a birth rate which is below
the replacement rate needed to maintain a stable number of citizens.
Additionally people are living much longer. When Social Security was
started in 1935 the average life expectancy for men was 58 and for women
62. Now it is 79. The retirement age for younger workers is being
increased, too slowly in my opinion, to age 67. Had the retirement age been
periodically indexed workers today would have to wait until age 73 to
collect full Social Security benefits. All three factors are typical of
most developed countries. So they too will increasingly need to dip into
their reserves which means they will need to cash in their U.S. Treasury
notes; yet another drain on our cash flow.
Medicare is a huge drain on our Treasury. At the time, it was started in
1965, President Johnson said, “an extra $500 million of new spending would
pose no problem”.
Well we now spend 294 BILLION yearly! Medicare is a major part of an out of
control explosion of healthcare costs (we spend 55% more on healthcare per
capita than any other country in the world). The most expensive component
of healthcare is our older population (the elderly represent 13% of our
population but consume 40% of the medical costs). Again, factors of baby
boomers reaching age 65, decreasing birth rates, and increasing life
expectancies are driving up the long term costs.
Retirees with reasonable incomes and/or savings who say they shouldn’t have
to pay school taxes because they no longer have school age children should
consider several facts. Do they forget that when their children were in
school retirees paid school taxes? Even more consequential is that those
working now will have to pay for the shortfall in contributions to cover the
costs of Social Security and Medicare for present retirees. Further it is
unlikely that younger Americans will ever collect anywhere near what today's
retirees will collect in terms of inflation adjusted dollars despite putting
far more into the funds.
These coalescing factors: trade deficits, budget deficits and unfunded
liabilities for Social Security and Medicare are documented in a very
troubling book entitled “Running on Empty”. It was written in 2004 by Pete
Peterson. I won’t take the space to list his credentials; suffice it to say
they are impressive.
What are our elected officials in Washington doing about this? Well, they
take pride that our projected budget deficit for fiscal ’05 (ended 9/30/05)
may be reduced from 427 billion to 333 billion! However, that was before
Hurricanes Katrina and Rita.
Federal government expenditures are up 8% which is twice the inflation rate
but we are reducing taxes! I can understand doing that as a temporary move
to help bring us out of a recession but we’ve been out of the recession for
several years. Now the President and Congress are pushing for the
elimination of estate taxes. I am a conservative and one of our basic
tenets is lower taxes. However, what my fellow conservatives (some really
are not conservatives when you look at their voting records) forget is that
a preceding tenet of conservatism is smaller government. Once you achieve
that then you reduce taxes. It’s like respect; it must be earned.
Some try to justify tax cuts while expenditures increase with terms such as
supply side economics or trickle down which were used during President
Reagan’s two terms. Opponents called it voodoo economics. Call it what you
will but during his eight years the national debt tripled and it’s share of
GDP (Gross Domestic Product) rose from 26% to 43%!
The 2002 Farm Bill is an example of why we have such deficits. The 1996
Farm Bill contained a plan to basically eliminate crop subsidies by 2002.
Instead the 2002 Farm Bill created a projected record 25 billion in
subsidies in fiscal ‘06; most of which go to large corporations vs. small
farmers.
Earlier in 2005 the Energy Bill was passed. In my opinion it had next to
nothing to do with reducing our dependency on foreign oil but much to do
with tax breaks to mega corporations.
Next, this summer Congress passed a transportation bill which contained 6300
“earmarks”, another word for pork, costing 24 billion!!
To his credit President Bush had the guts to propose an alternative to the
growing Social Security problem. Many politicians said nothing. The
Democrats criticized and some even deny there is a problem? Talk about
ignorance, pandering and/or abdication of duty!
However, all of this pales in comparison to the Medicare Prescription Drug
bill. Here we have a program, Medicare, that is at least several trillions
of dollars under funded, depending on which projection you use, but still
Congress passes a VERY expensive enhancement! At the time of the vote the
projected cost was approximately 400 billion for 10 years. One week later
it was calculated at over 500 billion. Now the projection is 720 billion!
I chaired a subcommittee in the Georgia House of Representatives on
prescription drugs for low income seniors and worked closely with the major
pharmaceutical manufacturers during that time so I know something about the
issue. The focus of my subcommittee should have been the only focus of the
Medicare Prescription bill. For this segment of the population a formulary
(only approved drugs can be used) should have been created and through
Patient Assistance Plans the pharmaceutical companies should have helped
with the cost. No one who truly needs a prescription should have to choose
between it and other necessities such as food and shelter. Instead our
federally elected officials included all Medicare recipients, created a
windfall for the pharmaceutical companies with no financial participation by
them of any significance and won’t even allow us to buy our prescriptions in
Canada; a concession to the pharmaceutical industry?
Are you concerned? Syndicated Columnist Charlie Reese says, that instead of
discussing serious problem, “most Americans like to talk about TV, Michael
Jackson and sports!” I tend to agree and suspect few who get this
particular newspaper have read this far. Some of you who have read this far
have probably dismissed me as an alarmist. Some may have found an error or
disagree with a statement and therefore dismissed the total article. I’ve
tried to minimize opinion and have used credible sources for my
information. I make no claim of being an expert but I do know more than
most because of my 11 years of involvement with such issues in the Georgia
House of Representatives including my present Chairmanship of 11 billion
dollars in the budget covering health issues.
While I am a sports fan the truth of the matter is that in the big scheme of
things regardless of the sport whether any team goes undefeated or loses
every game makes little if any difference. The same can be said about what
happens on the next episode of the television show Desperate Housewives or
whether or not there is another Harry Potter book. However if Pete
Peterson, Jeff Brown and increasing numbers of well informed/objective
thinkers (the footnoted version of this article quotes over 22 different
sources) who really care about this country are even partially correct it
could make a devastating difference!
If you’re with me so far what can we do? The good news is there are many,
many things we can do to make a difference.
First become aware of the issues. Reading Pete Peterson’s book is a good
start.
Almost daily there are respected columnists supplying proof statements of
the problems and suggesting remedies.
Second get righteously indignant!
Third, don’t get hung up on partisan politics because both parties are at
fault. The differences are the Republicans are in control so they can make
the corrections starting now. Also much of the problem is more government
than we can afford and lack of personal responsibility. If those who call
themselves conservatives would return to basic conservative principles of
less government and more personal responsibility, neither of which are
tenets of the Democrat party, this would help to reverse the dangerous
directions we are heading.
Fourth let your elected representatives in Washington know you disapprove of
how they are handling things. One way I do this is that when I receive
requests for contributions from these politicians or organizations I return
them saying that until I see a return to conservative principles I will not
contribute. Tell them to immediately delete all 6,300 earmarks from the
transportation bill. Ask them to have the courage that Congressman Lynn
Westmoreland and only 9 other Congressmen/Senators out of 535 had to vote no
on a 51 billion expenditure for victims of Hurricane Katrina because there
was no accountability; don’t fall for the liberal mantra that their votes
were a denial of benefits to the poor. All these 10 said is we know money
is needed but let’s account for how it is spent.
President Bush has the power to impound which means he can hold funds that
have passed in bills such as the energy bill. Much better known is the
President’s veto authority. However, in five years he has yet to use it.
Encourage him to impound and veto.
The largest savings, without draconian effects, would come from convincing
our elected officials to IMMEDIATELY stop the implementation of the Medicare
prescription drug bill. As previously stated the reality is that most
Medicare recipients can get by without it. For SUBSTANTIALLY less than 720
billion we can provide a plan for those who truly need it.
I haven’t even touched on needed Social Security changes, controlling
illegal immigration which is costing billions and reducing waste, fraud and
spending on fluff which will save billions. Zell Miller recently said that
there are 23 billion dollars unaccounted for in the 2003 budget. It’s too
bad for most of us that Congress isn’t governed by a balanced budget
requirement as the Constitution of Georgia requires.
Now I admit the above is a complex and lengthy list of needed corrective
actions and hard to deliver the message to an audience that will be
defensive because they’ve been part of the problems. Nonetheless push
forward with suggestion number five which is that whenever and however
deliver the message. In addition to direct correspondence, letters to the
editor, taking advantage of call in shows, spreading the word to friends,
etc. help to build the momentum needed to start to steer the ship of state
in a different direction. In every speech I give and in most meetings I
give an overview of what I’ve written here.
Finally there are things we can each do without trying to influence someone
else to do something. Buying products made in the USA begins to correct the
trade deficit. Two years ago I wrote an article entitled “Are We Our Own
Worst Enemy?”. It is posted on my website
www.repjbrown.org under issues. Reducing energy consumption also
improves our balance of payments. Another of countless examples is not to
be greedy like some middle income families who transfer mom and/or dad’s
assets thereby qualifying them for Medicaid so that when they go to a
nursing home you and I pay for it.
What you do, if anything, is obviously your choice. To do nothing may
negatively affect you but for almost certain your children’s future will be
seriously compromised. Is that the legacy you want to leave?
At other times in our illustrious past when we were faced with serious
problems we made sacrifices. Now at a time of immense problems, ie. 9-11,
wars in Afghanistan and Iraq, record trade deficits, the worst natural
disaster in our history, record energy prices, global warming, the looming
problems of Social Security and Medicare, globalization, and falling test
scores of our public school students versus much of the world we are
indulging in excesses such as the bills listed above, tax cuts, talks of
more tax cuts, etc. We are a nation of mostly good people who will respond
when lead by facts and an appeal to our greater good. We should have been
sacrificing at least since 9-11 but it is not too late to start now!
Are we heading to bankruptcy? What do you think?
Representative Jeffery W. Brown is serving
his sixth two year term in the Georgia House of Representatives. He chairs
the Health Appropriations Subcommittee with budgets exceeding 11 billion
dollars and also serves on the Rules, Ways and Means and Health and Human
Services committees. In 2005 five statewide organizations have named him
legislator of the year and three others have given him awards. His email
address is
jbrown@legis.state.ga.us and he has a website at
www.repjbrown.org.
