Conlin releases strong fundraising numbers (updated)

Roxanne Conlin gave her U.S. Senate campaign $250,000 during the first quarter of 2010 and raised nearly $630,000 from other donors. From this morning’s press release:

Conlin Campaign Raises More than all of Grassley’s Past Challengers Combined

Has $1 Million in the Bank

Banked $879,615 in First Quarter with NO PAC or WASHINGTON LOBBYIST MONEY

Des Moines – Roxanne Conlin’s grassroots campaign for the US Senate has more than $1 million in the bank.  Iowans made up 81 percent of the campaign’s contributors and she has not accepted one penny from Washington lobbyists or PACs.

“I’m humbled by the outpouring of support for our campaign,” said Conlin. “Our grassroots effort has reached 93 counties and we will reach the remaining six this weekend.  Iowans keep telling me, Chuck Grassley is not the same man they sent to Washington decades ago.  We need a fighter who will stand up for Main Street and not bail out Wall Street.”

FACTS:

No PAC or Washington lobbyist funds.

81 percent of donors are Iowans.

78 percent of contributions are $100 or less.

Breakdown:

Campaign to date raised:                                    $1,483,191

First Quarter 2010 raised:                                   $629,615

Candidate contribution:                                      $250,000

First Quarter PAC Money:                                  $0

First Quarter Federal Lobbyist Money:               $0

First Quarter 2010 total:                                      $879,615

Cash on hand:                                                      $1,000,455

Those are impressive numbers for a challenger, especially since Grassley is not considered one of the most vulnerable Senate incumbents. Grassley’s last Democratic opponent, Art Small, only raised about $136,000 during the whole 2004 campaign, and about $70,000 of that total came from the candidate himself.

I haven’t seen Grassley’s latest fundraising numbers yet. He raised about $810,000 during the fourth quarter of last year and began 2010 with about $5 million on hand. While Grassley will surely have a big cash-on-hand edge over Conlin, she will have the resources to run a statewide campaign.

UPDATE: Grassley raised $613,577 in the first quarter and has about $5.3 million cash on hand. I am surprised that Conlin was able to out-raise the incumbent for the quarter even if you don’t count her own large contribution to the campaign.

I haven’t seen first-quarter numbers for the other Democratic candidates, Bob Krause and Tom Fiegen, but at year-end Fiegen had about $400 on hand, and Krause had about $3,500.

Jason Hancock covered a recent dustup among the Democratic candidates over debates before the June 8 primary. I hope we will see some debates in addition to candidate forums. I plan to vote for Conlin, whose work I have long admired and who is best positioned to make the race competitive. Not only has she raised money, she will have a strong volunteer base. Just in my own precinct I know several Democrats who are not inclined to volunteer for Governor Chet Culver but will knock on doors or make phone calls for Conlin. By next Monday she will have held campaign events in all 99 counties.

I respect the Democrats who prefer Krause or Fiegen, and I understand why some people were annoyed by Iowa Democratic Party chair Michael Kiernan’s apparent favoritism last year. Competitive primaries are often healthy for a party, and I particularly appreciate that Krause has kept his message focused on his good ideas and Grassley’s flaws as a public servant. I hope the final eight weeks of the primary campaign will not become too divisive.

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Tax day linkfest

Although most Americans say their income taxes are fair, today is “Christmas in April” for Republican politicians trying to stir up resentment about the tax burden. As I mentioned yesterday, last year’s stimulus bill contained tax cuts for 98 percent of American families and particularly helped lower and middle-income families. Gail Collins commented,

Thanks to the tax credits in President Obama’s stimulus plan and other programs aimed at helping working families, couples with two kids making up to $50,000 were generally off the hook this year.

Naturally, anti-tax groups held rallies to thank the president for doing so much to reduce the burden on the half of the country least able to pay. Not.

One of the biggest tax breaks in the stimulus bill reduces taxes owed by $400 for individual filers and $800 for married couples filing jointly, but reportedly this credit and the accompanying “Schedule M” have confused many taxpayers.

Here’s a truly disturbing trend mostly ignored by the media. Annie Lowrey reports that in recent years the IRS has shifted toward more audits of mom-and-pop businesses and less scrutiny of the big corporations that “can defraud the federal government for much more vast amounts than their smaller counterparts.”

At today’s anti-tax rallies, some speakers will argue for a “flat tax,” meaning that the income tax would be set at the same level regardless of your income. That’s a bad idea, which hasn’t worked in countries that have adopted it.

Other conservatives, such as Representative Steve King and presidential contender Mike Huckabee, will repeat their support for a “fair tax,” which would replace the income tax with a huge consumption tax. That’s a terrible, horrible, no-good very bad idea.

Speaking of conservative fantasy-land, Senator Chuck Grassley decided to make stuff up during a conference call with reporters yesterday:

Grassley spoke of his belief that America is sliding toward a European-style economy. Actually, he said the Obama adminstration is moving the country in that direction, so he envisions President Barack Obama will ask for a tax increase via a value-added tax, since he can’t politically backtrack and increase income taxes on middle income people.

“They are going to need European-type taxes to maintain it, and that’s where the value-added tax comes in,” Grassley said. “…They just can’t get enough money from taxing wealthy people, to do all the things that they want to do. So you can add a value-added tax, and it is a hidden tax, because it is built into the price of the commodity you’ll buy. So, they can increase taxes on middle income taxpayers, contrary to what they promised in the election.”

Riiiight.

Today’s rallies will surely generate a lot of media coverage, as well as some controversy over how significant the “tea party” movement is. Blog for Iowa cross-posted a piece from News Corpse casting doubt on the political strength of tea partiers.

I’m watching several upcoming Republican primaries as a test of the tea party in Iowa. If Dave Funk does surprisingly well in the third Congressional district, Chris Reed wins in the second district, or Mike La Coste or Jim Budde exceed expectations in the first district, that will be a sign of real grassroots power for the movement, but I expect candidates with more GOP establishment connections to win all three of those primaries.

Share any thoughts about taxes or tea partiers in this thread. I’ll be back later to comment, after waiting in line at the post office for who knows how long to mail my return (note to self: get this done earlier next year!).

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The stimulus was the biggest middle-class tax cut in history

I was disappointed by some compromises made to pass the stimulus (the American Recovery and Reinvestment Act) in February 2009. I felt President Obama made too many concessions in the fruitless pursuit of Republican votes, and that too much of the cost went toward tax cuts that would be slower-acting and less stimulative than certain forms of government spending.

That said, the tax cuts in the stimulus will help tens of millions of American families, particularly those with working-class or middle-class incomes. Citizens for Tax Justice has calculated that “the major tax cuts enacted in the 2009 economic stimulus bill actually reduced federal income taxes for tax year 2009 for 98 percent of all working families and individuals. ”

In terms of the number of Americans who benefited, the stimulus bill was the biggest tax cut in history. That is, “the estimated $282 billion in tax cuts [from the stimulus] over two years is more than either of the 2001-2002 or the 2004-2005 Bush tax cuts or the Kennedy or Reagan tax cuts.” George W. Bush’s tax cuts were more costly to the U.S. Treasury over a 10-year period, but as Anonymous Liberal noted last year,

The Bush tax cuts were skewed dramatically toward the wealthy. In 2004, 60% of the tax cuts went to the top 20 percent of income earners with over 25% going to the top 1% of income earners. Those numbers have increased since then as the cuts to the estate tax have taken effect.

Tomorrow is the deadline for most Americans to file their tax returns, and Republicans will try to harness the tea party movement’s anger at what they view as excessive taxes and spending. However, many ordinary people may be shocked to learn how large their refunds are this year. According to the White House, “the average tax refund is up nearly 10 percent this year.”

Democrats should not be afraid to vigorously defend the stimulus bill during this year’s Congressional campaigns. I wish the recovery act had been larger and better targeted, but the bottom line is that Republicans voted against the largest ever middle-class tax cut.

The White House website has this Recovery Act Tax Savings Tool to help people find benefits to which they are entitled. After the jump I’ve posted a fact sheet on this subject, which the White House press office released on April 12. Note: if you have already filed your taxes, you can amend them after April 15 to collect on any credits from the stimulus bill that you missed.

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New Supreme Court nominee speculation thread

MSNBC’s First Read reported today:

Per NBC’s Pete Williams and Savannah Guthrie, administration officials say at least eight names are on President Obama’s list of potential Supreme Court nominees. Six are women and two men. The names: U.S. Solicitor General Elena Kagan, Diane Wood of the 7th Circuit Court of Appeals, Merrick Garland of the DC Court of Appeals, Homeland Security Secretary Janet Napolitano, Michigan Gov. Jennifer Granholm, former George Supreme Court Chief Judge Leah Ward Sears, Sidney Thomas of the 9th Circuit, and Harvard Law School Dean Martha Minow. Of these names, people outside the government but familiar with White House thinking say the serious contenders are Kagan, Wood, Garland, Napolitano, and Granholm. Guthrie adds that Obama is likely to meet next week with key senators to discuss the vacancy. Many of the new additions are about interest group appeasement. And note the growing concern in the liberal/progressive blogosphere about Kagan.

One person who doesn’t sound concerned about Kagan is Republican Senator Lindsey Graham of South Carolina:

“I like her,” he said, quickly adding, “and that might hurt her chances.”

Graham, whose support for Justice Sonia Sotomayor last summer was a turning point in her confirmation process, said he liked Kagan’s answers about national security and the president’s broad authority to detain enemy combatants when she was going through her own Senate confirmation.

Both of President Bill Clinton’s Supreme Court nominees had received a private stamp of approval from key Republican Senator Orrin Hatch. My hunch is that Graham’s kind words for Kagan help her chances with President Obama. He loves to position himself as a moderate between the left and the right.

What do you think?

UPDATE: Chris Bowers made the case for Sears here.

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Wellmark customers will pay more starting May 1

Approximately 80,000 Iowans will face substantial health insurance premium hikes beginning May 1. An independent review has confirmed the “need” for Wellmark Blue Cross and Blue Shield to raise rates by an average of 18 percent. The higher rates were intended to go into effect on April 1, but last month Governor Chet Culver ordered a delay pending an review of the matter. The Des Moines Register reports today,

[Iowa Insurance Commissioner Susan] Voss said in a memo to Culver that Wellmark’s losses supported “the need for the rate increase” based on two separate actuarial analyses conducted by INS Consultants, a Philadelphia actuary. The group also found that the insurance division’s rate review process is actuarially “acceptable” and “reasonable” compared with INS’s methodology.

Birny Birnbaum, head of the Center for Economic Justice, a nonprofit consumer advocacy group in Texas, said it’s unlikely that INS would disagree with the rate increase.

“While INS is technically independent, there is no way the firm would contradict and embarrass the agency which hired the firm,” Birnbaum said Monday. “If INS were to contradict the insurance division, it would likely not be hired in the future by the Iowa Insurance Division or any other insurance regulator.”

Speaking to the Register, State Representative Janet Petersen touted legislation passed during the 2010 session, which is intended to give consumers more information and warning regarding health insurance premium increases. After the jump I’ve posted some key points from Senate File 2201 and Senate File 2356.

These bills contain a lot of good provisions but probably won’t solve this particular problem for many Iowans. Wellmark dominates the insurance market in this state. Giving people a few weeks to shop around won’t magically allow them to find a better deal. In addition, health insurers can still exclude coverage for pre-existing conditions until 2014. The only real choices Wellmark’s individual customers have are: 1) pay a lot more, like my family, or 2) downgrade to a policy that’s less comprehensive and/or involves higher out-of-pocket costs for medical care.

Iowa House Republican leader Kraig Paulsen showed his creative side yesterday, finding a way to blame Democrats for Wellmark’s rate hikes:

Paulsen pointed out that the Democrat-controlled Legislature has voted in recent years to impose several health insurance mandates, such as coverage of cancer clinical trials and prosthetics.

“It’s indisputable that those add to rates. That’s just the way it works,” he said.

Health insurance mandates drive up costs for Iowans, Paulsen said.

“Mandates aren’t necessarily requirements that insurance companies sell something. They’re requirements that purchasers buy something,” he said.

One legislative proposal would have allowed state-regulated health insurance companies to provide mandate-free coverage “for those who want a less comprehensive product,” Paulsen said.

That idea by House Republicans failed, as did a proposal to study allowing out-of-state insurers to offer policies in Iowa, which could help Iowans find cheaper policies, he said.

Come on, Mr. Paulsen, who ever anticipates needing prosthetics someday, or being in a position to benefit from a cancer clinical trial? Anyway, that cancer clinical trial bill passed both the Iowa House and Senate unanimously. Also, allowing out-of-state insurers to sell policies here would spark a “race to the bottom” in terms of consumer protection.

Share any relevant thoughts in the comments.

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Senate to extend unemployment benefits, but Grassley votes no (again)

The U.S. Senate defeated a Republican attempt to filibuster another month-long extension of unemployment benefits yesterday by a vote of 60 to 34. Four Republicans voted with all of the Democrats present on the cloture motion, but Iowa’s Senator Chuck Grassley supported the filibuster, as did most of his fellow Republicans (roll call here). Senator Tom Harkin was absent but would have voted to overcome the filibuster.

Republicans claim they simply want the unemployment benefits to be “paid for” (though they never objected when supplemental spending for the war in Iraq, or tax cuts for the wealthy, added to the deficit). Senator Chuck Schumer of New York countered,

“Unemployment extensions have always been considered emergency spending, and there’s a reason for that. […] Unemployment insurance is a form of stimulus, but offsetting the extension of this program would negate the stimulative impact. It would be robbing Peter to pay Paul.”

Governor Chet Culver had written to the entire Iowa delegation in Congress urging them to pass the benefits extension. Unlike Grassley, our governor understands how important these benefits are as economic stimulus:

The nonpartisan Iowa Fiscal Partnership released a study earlier this year showing the economic impacts of stimulus spending for unemployment benefits. Analysts found that direct spending for unemployment insurance included in the federal stimulus, along with ripple effects from that spending, produced $501.7 million increased economic activity and $112.1 million in income in 2009, creating or saving 3,727 jobs.

For the current year, the researchers also found direct and indirect benefits but in lower amounts, $314.6 million activity, $68.6 million income and 2,258 jobs.

So extending unemployment benefits doesn’t just help the jobless and their families, it helps businesses in virtually every community. The bad news is that the bill the Senate is poised to pass this week is not retroactive, meaning that unemployed Americans whose benefits expired on April 5 won’t get back the money they would have received this month had the Senate passed this bill before the Easter recess. It was a big mistake for Democrats to go home without taking care of this business in March.

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Yet another new campaign manager for Culver

Governor Chet Culver’s campaign has yet another new manager coming in on May 1. Donn Stanley will take a leave of absence from the Iowa Attorney General’s Office to run the governor’s re-election effort, as Abby Curran leaves for Washington. I posted the Culver campaign’s press release after the jump.

The turnover within the governor’s campaign during the past year is not an encouraging sign. Last year, John Kirincich joined Culver’s staff and was “expected to play a key role” in the campaign, but Kirincich “quietly left the governor’s office” after only a few months. Andrew Roos came in to run the campaign in September but resigned at the end of November. Curran became the new manager in January. Soon after that, deputy campaign manager Jesse Harris and finance director Grace Van Cleave left the campaign. Teresa Vilmain has been a senior consultant to the Culver campaign since last summer, but it’s not clear whether she will stay on beyond next month.

Let’s hope the current reshuffle is the last. Share any relevant thoughts in the comments.

P.S.- It turns out I am unable to complete this post without a reference to Spinal Tap drummers.

UPDATE: I learned something new in Tuesday’s Des Moines Register:

Stanley said staff turnover is common and pointed to the 1998 campaign of Culver’s predecessor, Tom Vilsack, who went through three managers before tapping John Cacciatore three months before his come-from-behind election.

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Funding for Clean Water - It's just common sense....

Nobody will dispute the fact that Iowa's distinct character and our quality of life are directly tied to our state's natural resources. Iowa's land is the most heavily altered in the nation. Agriculture plays an INCREDIBLY important role in the state's economy and clean water touches everyone – in the form of drinking water, water to recreate in, and water to feed our crops/livestock. Iowa's parks and lakes receive more than 25 million visits each year, and our fertile soil provides the backbone to our economy.

It's time to get engaged and start motivating the public about this important resource.

The issue goes “hand-in-hand” with progressive priorities such as:

Farm to School
Local Foods
Sustainable Agriculture
Clean Water
Outdoor Education/Recreation
Climate Change

And many others.  This is an opportunity to engage the public on a meat and potatoes prioritiy for ALL Iowans.

DONATE HERE

Also, you can text the word 'LAUNCH' to 97063 to sign up and learn more!

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Bar owner drops futile challenge against smoking ban

From the Des Moines Register’s blog:

A West Burlington bar owner won’t appeal an Iowa District Court ruling upholding the constitutionality of Iowa’s Smokefree Air Act, which bans smoking in most public places.

Larry Duncan, the owner of Otis Campbell’s bar, still strongly believes the smoking ban is unconstitutional, said Darwin Bunger, Duncan’s lawyer. But there was no guarantee Duncan would win an appeal, and losing an appeal would have resulted in two-year license revocation, he said. […]

District Judge Mary Ann Brown, in an April 1 ruling, affirmed the findings of state alcoholic beverage regulators who had revoked Otis Campbell’s liquor license. It was the first ruling on the constitutionality of the enforcement of Iowa’s Smokefree Air Act. Brown said there is no fundamental or protected right to smoke in public or to allow patrons to smoke in a public business.

State records showed that dozens of smoking complaints had been filed against Otis Campbell’s after the Smokefree Air Act took effect July 1, 2008. Visitors described an environment in which customers freely ate and drank and puffed cigarettes amid a haze of tobacco smoke. Ashtrays remained on the bar and tables, and tables and there were no no-smoking signs.

In a settlement, Duncan agreed to comply with the smoking ban. His bar’s liquor license will be restored after a 50-day suspension.

Duncan’s case was doomed from the start. No lawsuit has ever successfully overturned a local or state public smoking ban in this country. The only realistic legal challenge would have been against the unfair exemption Iowa lawmakers granted to casino owners. However, the remedy for that would be to toss out the casino exemption, not the smoking ban. Anyway, I’ve been told that a court would likely uphold the casino exemption, on the grounds that legislators had a “rational basis” for making exceptions in the law for some businesses. Judges considering this kind of appeal wouldn’t use the “strict scrutiny” standard that applies in civil rights cases.

UPDATE: The Burlington Hawk Eye covered the judge’s ruling against Duncan here.

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Weekend open thread: Iowans who should run for governor edition

The cover story in Cityview this week is the awkwardly-headlined “25 people not running for governor (but should)”. The list includes former Lieutenant Governor Sally Pederson, who would be outstanding, and activist LaVon Griffieon, a friend who has inspired me. I don’t agree with all the names on Cityview’s list, but the whole point of a feature like that is to provoke discussions and arguments. So, Bleeding Heartland readers, who should be running for governor of Iowa, and what do you think of the list Cityview compiled?

This thread is for anything that’s on your mind this weekend. I am horrified by the plane crash that wiped out so many influential past and present citizens of Poland. If you’re wondering why the Polish elite were flying on a Soviet aircraft, apparently it was faster than the planes other countries use for similar purposes.

Many prominent Iowa Republicans and candidates are attending Representative Steve King’s “Defenders of Freedom” dinner, featuring Representative Michele Bachmann. King grabbed the blogosphere’s attention this week by slamming the Humane Society as “vegetarians with an agenda.”

I’ve been reading some clips on the Southern Republican Leadership Conference this weekend. Although the event is in New Orleans, Hurricane Katrina was very much off the radar. Sarah Palin electrified the crowd yesterday, but the presidential straw poll ended up nearly tied between Mitt Romney and Ron Paul. I was amused to read this snapshot of Republican family values:

just overheard a mom tell her young daughter at #SRLC, “No, we don’t support Medicaid. Medicaid is for losers.”

At Drake University today, counter-protesters outnumbered the members of Fred Phelps’ clan “church.” I still lean toward not elevating the importance of those freaks by generating more media coverage of their rallies. Ignoring them seemed to work fine for the Des Moines area Jewish community last year.

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White House dumps Dawn Johnsen

Dawn Johnsen withdrew her nomination yesterday for head of the Office of Legal Counsel, saying in a statement,

Restoring OLC to its best nonpartisan traditions was my primary objective for my anticipated service in this administration. Unfortunately, my nomination has met with lengthy delays and political opposition that threaten that objective and prevent OLC from functioning at full strength. I hope that the withdrawal of my nomination will allow this important office to be filled promptly.

Sam Stein posted the full text of Johnsen’s statement and commented,

The withdrawal represents a major blow to progressive groups and civil liberties advocates who had pushed for Johnsen to end up in the office that previously housed, among others, John Yoo, the author of the infamous torture memos under George W. Bush.

But the votes, apparently, weren’t there. Johnsen had the support of Sen Richard Lugar (R-Ind.) but was regarded skeptically by Sen. Ben Nelson (D-Neb.) — primarily for her positions on torture and the investigation of previous administration actions. A filibuster, in the end, was likely sustainable. Faced with this calculus, the White House chose not to appoint Johnsen during Senate recess, which would have circumvented a likely filibuster but would have kept her in the position for less than two years.

A White House statement said the president is searching for a replacement nominee and will ask the Senate to confirm that person to head the Office of Legal Counsel quickly. I still think the Obama should have included Johnsen in a group of recess appointments he made last month. Jake Tapper quoted an unnamed Senate source as saying the White House “didn’t have the stomach for the debate” on her nomination. It doesn’t reflect well on Obama or on Senate Majority Leader Harry Reid that Johnsen never got a vote in the Senate, even after it was clear there were 60 votes in her favor last year (before the Massachusetts Senate special election).

UPDATE: From a must-read post by Glenn Greenwald:

What Johnsen insists must not be done reads like a manual of what Barack Obama ended up doing and continues to do — from supporting retroactive immunity to terminate FISA litigations to endless assertions of “state secrecy” in order to block courts from adjudicating Bush crimes to suppressing torture photos on the ground that “opennees will empower terrorists” to the overarching Obama dictate that we “simply move on.”  Could she have described any more perfectly what Obama would end up doing when she wrote, in March, 2008, what the next President “must not do”? […]

I don’t know why her nomination was left to die, but I do know that her beliefs are quite antithetical to what this administration is doing.

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Justice Stevens confirms plan to retire this year

Supreme Court Justice John Paul Stevens has confirmed that he will retire this June, as court observers have anticipated for some time. According to the Washington Post,

Aides and Democrats close to the process named three people as likely front-runners for the job: Solicitor General Elena Kagan, whom Obama appointed as the first woman to hold the post, and two appellate court judges, Diane Wood of Chicago and Merrick Garland of Washington.

I’m relieved to know that the Senate will be able to confirm Stevens’ successor while Democrats still have a sizable majority. We are likely to lose 3-8 Senate seats this November.

Whomever Obama appoints will probably get a lecture from Senator Chuck Grassley during confirmation hearings this summer. With any luck the person will turn out not to be “aggressive” and “obnoxious.”

Any comments or predictions about the upcoming Supreme Court nomination are welcome in this thread.

UPDATE: Chris Bowers makes the case for former Georgia Supreme Court Justice Leah Ward Sears.

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Is Larry Summers on the way out?

The Atlantic’s Joshua Green thinks so:

I think Summers is going to leave sooner rather than later, possibly before the mid-term elections, and if not then, soon afterward.

Why? Because Summers is frustrated by his role, and his colleagues are clearly frustrated with him. Alexis Simendinger had a devastating item in last week’s National Journal suggesting that Summers’s “legendary self-regard” and “ego the size of the national debt” had gotten out of control. Some of Summers’s frustration no doubt stems from his wanting to be Treasury secretary. When that plum went to Geithner, Summers cast his eye on the Fed chairmanship and agreed to bide his time until Ben Bernanke’s term ended at the NEC–a staff position well below his old job as Clinton’s Treasury secretary. Most administration officials tactfully avoid pointing this out, because Summers has a fragile ego. But that’s why Joe Biden is so great. “How many former Secretaries of the Treasury would come in not as Secretary of the Treasury?” Biden blurted out to the New Yorker’s Ryan Lizza last fall.

But Summers didn’t get the Fed job either. Apparently that didn’t sit well. Administration insiders told Simendinger that Summers demanded a series of perks as compensation, including cabinet status, golf dates with the president, and a personal car and driver. In the “No Drama” Obama administration, such behavior stands out.  […]

Summers always seemed a bad fit for NEC director because the job entails dispassionately presenting the president with the counsel of his competing economic advisers. Summers doesn’t do “dispassionate” and he didn’t want to limit himself to fielding others’ advice–he had plenty of his own to offer. In other words, he was supposed to be the referee, but he also wanted to play power forward.

Summers was one of President Obama’s worst appointments, in my opinion, but I wouldn’t expect the president to reshuffle his economic team unless a mostly-jobless recovery continues, or the worst-case scenario of a douple-dip recession develops. Anyway, Summers’ departure wouldn’t herald a real change in economic policy if Green is right about Timothy Geithner being “ever more secure at Treasury.”

What do you think, Bleeding Heartland readers?

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Democrats looking more likely to hold Iowa House district 21

First-term Democratic State Representative Kerry Burt announced yesterday that he won’t run for re-election in Iowa House district 21, which comprises part of Waterloo and some rural areas in southern Black Hawk County (map here). The state Attorney General’s Office filed charges against a group of parents including Burt, who allegedly gave false addresses to avoid paying higher tuition fees for their children to attend the Price Laboratory School in Cedar Falls. Burt said in a statement, “I look forward to my day in court.  I believe I am innocent and strongly believe my name will be vindicated once all of the relevant facts come to light. […] I am extremely grateful to the citizens of Waterloo for allowing me to serve and look forward to continuing my public service in the future.”

I wish Burt the best but won’t deny that I’m one of those relieved Democrats John Deeth mentioned here. I’ve been hoping for some time that Burt would not seek re-election, not only because of the tuition scandal but because of his drunk driving arrest in February 2009.

After the jump I cover the recent electoral history of House district 21 and reasons Democrats can feel optimistic about holding the seat.

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Republican debate and budget hypocrisy thread

At 1 pm today Terry Branstad, Bob Vander Plaats and Rod Roberts will face off in the first of three debates before the gubernatorial primary in June. I won’t be able to watch the live stream at KTIV’s site, so I’ll have to catch the repeat on Iowa Public Television, whenever that will be shown. I wanted to put up this thread so Bleeding Heartland readers can chat about the debate. I will update this post later with early write-ups about the event. Rod Roberts seems to have the most to gain from this debate, since he is the least-known candidate in the field.

The Republicans will throw around lots of numbers about taxes and spending, and those will need a lot of fact-checking. The truth is that Iowa doesn’t have a budget deficit, and the independent analysts who have given our state the highest bond rating recognize our relatively strong fiscal position. Like every other state, Iowa experienced a steep drop in revenues because of the recession, but unlike most other states, we have not fully depleted our cash reserves.

Which Republican candidate will come across as the most fiscally responsible person today? Will it be:

Terry Branstad, whose mismanagement was so legendary that a number of elected Republicans favored his primary challenger in 1994?

Bob Vander Plaats, whose management skills don’t seem to have helped his non-profit thrive financially, and who did a 180-degree turn on tax credits between March 2009 and January 2010?

Or Rod Roberts, who is so very serious about the governor’s responsibilities that he thinks adopting a state budget is of secondary importance to stopping same-sex marriage?

The floor is yours.

UPDATE: I still haven’t had a chance to watch the debate, but fortunately, Iowa Public Television will air it tonight at 8 pm. Over at Iowa Independent, Jason Hancock thought Vander Plaats won but “never achieved the game-changing moment his campaign needed.” Todd Dorman didn’t see a lot of substance or new ideas on display and partly blamed the debate format.

Beware of Republican fuzzy math on property taxes

Later today the three Republican candidates for governor will hold their first debate. When discussing state fiscal issues, they are likely to advance two contradictory arguments. First, they will criticize alleged “overspending” by Iowa Democrats, ignoring the good marks our state has received for fiscal management and the fact that severe state budget cuts would be a big drag on the economy. I will address those points in a future post.

Second, the Republican candidates for governor will criticize spending reductions Democrats included in next year’s budget, on the grounds that those cuts will force corresponding increases in property taxes statewide. It’s true that many Iowans will pay more in property taxes because of changes related to the “rollback” calculation, which “determines the percentage of a property’s actual value that will be taxable” in a given year. Former GOP gubernatorial candidate Chris Rants explained here why the rollback figure is on the rise. It has nothing to do with the tough choices Democrats made on the 2011 budget.

Rants and other Republicans are wrong to suggest that any cut in state spending will automatically lead to further property tax hikes. (They’ve been making that claim since Governor Chet Culver’s across-the-board budget cut last October.) Here’s just one example of why their assumptions are flawed. The Des Moines Register reported Tuesday on how Des Moines area school districts are coping with budget shortages. All of the districts will receive less from the state in the next fiscal year. Thankfully, the cuts are smaller than the worst-case scenarios floated in February, because Iowa House and Senate Democrats sought to protect K-12 education from severe budget cuts.

Anyway, all Iowa school districts are adapting to the reduction in state funding. But contrary to what Iowa Republicans are telling you, many districts, including the state’s largest in Des Moines, have ruled out property tax increases. Of the 10 central Iowa school districts mentioned in this article, only three are raising property taxes, and one more is considering that step. The others are cutting expenses and in some cases using money from cash reserves to cover the shortfalls in the coming fiscal year.

Some local governments in Iowa will raise property tax rates, but as with school districts, many will get by with spending or service cuts instead. I support additional federal fiscal aid to local and state governments, because the collapse in revenues is the most severe in six decades, and spending cuts could hamper the economic recovery. But naturally, the same Republicans who scream about property tax hikes are against using “one-time federal money” to help balance budgets.

Share any relevant thoughts in this thread.

Grassley still misleading Iowans on health reform

Senator Chuck Grassley is still misleading Iowans about what’s in the health insurance reform bill Congress passed last month. On April 1 he had this to say in Mason City:

Several residents were worried about what would happen to their health care premiums now that the president has signed the health care law. The mandate requiring everyone to purchase health insurance was also a worry.

“It’s questionable whether the federal government can require you to buy anything,” Grassley said.

One woman asked Grassley if federal funds connected to the health care law could be used to pay for abortions.

Grassley said he believes that the subsidies the poor will receive to purchase insurance could be used to pay for abortion. Democrats believe an executive order signed by President Obama at the insistence of Michigan Democratic Congressman Bart Stupak stops any federal funds from being used for to pay for abortions.

“I think he was sold a bill of goods that an executive order would take care of it,” Grassley said. “I am pro-life and that’s how I feel about it.”

Grassley conveniently failed to mention that he supported a health insurance mandate in 1993, in 2007 and even last summer. He only started questioning the legality of a mandate last fall. Contrary to what he told the Mason City crowd, legal scholars don’t think much of the constitutional arguments against health reform. It’s also ludicrous for Grassley to charge that federal funds will be used for abortions. On the contrary, Obama’s executive order is likely to end all private insurance coverage of abortion, even for women who don’t receive a dime in government subsidies.

Grassley is smart enough not to call health insurance reform “socialist”, but when someone in the Mason City audience asked about the government taking stock in General Motors and some large banks, Grassley drew applause by saying, “If you’re listed in the Yellow Pages, I guess the president thinks that the government ought to nationalize you.”

As far as I can tell, Grassley is no longer claiming that health insurance reform will let the government “pull the plug on grandma.” A poll taken in late February found that a majority of Iowans think Grassley “embarrassed” our state by making that allegation last summer. In the same poll, only 42 percent of respondents said Grassley should be re-elected. The poll results were released this week; Iowa Independent analyzed the results here, and Senate Guru did the same in this guest post at Bleeding Heartland.

The Senate race still looks like Grassley’s to lose, but Iowans are aware that the senator stretched the truth about end-of-life counseling. We need to call him out on his other distortions too, like his claims about student loan reform. According to Grassley’s pretzel logic, ending big federal subsidies to banks will somehow impose a “tax” on students.

I encourage all Iowa Democrats to get involved in supporting one of Grassley’s challengers: Roxanne Conlin, Tom Fiegen and Bob Krause.

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Events coming up during the next two weeks

This April is shaping up to be a relatively quiet month in Iowa politics, with the legislature already adjourned for the year. However, after the jump you’ll find details for many events coming up soon. Please post a comment or send me an e-mail (desmoinesdem AT yahoo.com) if you know of an event I’ve left out.

I have also posted information about an internship opportunity for women who would like to work on a sustainable farm, as well as a grant opportunity called “Iowa Sun4Schools.” It’s for Iowa schools that may want to install a solar array: “In addition to supplying electricity to the facility, the solar array will serve as an educational and research tool, and as a symbol of the schools commitment to saving energy and reducing their carbon footprint.”

UPDATE: Iowa nonprofit, charitable and government organizations have until April 16 to nominate people for the Governor’s Volunteer Award.

SECOND UPDATE: The Fred Phelps freak show is coming back to Des Moines on April 10 to protest a constitutional law symposium on same-sex marriage at Drake University. Click here for details about counter-protests being planned.

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High-ranking departures point to "full-scale bloodletting" at RNC

Republican National Committee Chairman Michael Steele has been under pressure lately. Since he took over in January 2009, the RNC has spent far more than it has raised, and the latest numbers show the Democratic National Committee ahead of the RNC in cash of hand (which is highly unusual). Major Republican donors have been fleeing the RNC for various reasons, including staffers’ embarrassing fundraising proposals and massive overspending on luxury hotels, limos and nightclubs. Today RNC Chief of Staff Ken McKay resigned, prompting one of Steele’s advisers to leave in what Jonathan Martin described as “a full-scale bloodletting”:

“Leadership requires that I can safely assure you, our donors, and the American people that our mission is what drives every dollar we spend, every phone call we make, every email we send and every event we organize,” Steele wrote in the email [sent to RNC members and donors on Monday], obtained by POLITICO. “Recent events have called that assurance into question and the buck stops with me. That is why I have made this change in my management team and why I am confident about going forward to November with renewed focus and energy.”

McKay didn’t immediately respond to an email requesting comment.

But his apparent firing has roiled the close-knit world of GOP operatives and Monday night longtime Republican strategist and Steele adviser Curt Anderson said his consulting firm would no longer be working with the RNC.

“Ken McKay’s departure is a huge loss for the Republican Party,” Anderson said in a statement to POLITICO. “Ken steered the party through very successful elections last fall that have given us tremendous momentum. He’s a great talent. Given our firm’s commitments to campaigns all over the country we have concluded it is best for us to step away from our advisory role at the RNC. We have high personal regard for the Chairman and always have; we wish him well.”

It’s hard to see how the turmoil at the RNC won’t end with Steele’s departure, although Josh Marshall argued today that Steele

can’t be fired, in significant measure, because he’s black. Because canning Steele now would only drive home the reality that Republicans were trying to paper over, fairly clumsily, when they hired him in the first place. So Republicans are stuck with his myriad goofs and #pressfails and incompetent management and all the rest because of a set of circumstances entirely of their own making.

Hey, don’t blame Iowa’s RNC members; they voted for Katon Dawson over Steele in January 2009. But I must say I doubt a guy who became a Republican because the government desegregated his high school, and more recently belonged to an all-white country club, would have been the right man to rebuild the GOP’s image.

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