Tag Archives: Debt

How governor Rick Scott created jobs and eliminated a $3.5 billion debt in Florida

This post at A View From The Right had the full transcript of the Florida governor’s recent speech at the recent “Defending the American Dream Summit”. I thought it was interesting to see what he was doing, since I have sort of been neglecting him and concentrating my attention on other Republican governors like Scott Walker, John Kasich, Bobby Jindal and Mike Pence.

He inherited a bad situation from his predecessor:

In 2010, our state was in a free fall. We had lost more than 800,000 jobs during the four years before I took office. Our real estate market had collapsed. Our state debt had grown by about a billion dollars a year for two decades. And, thousands of government regulations were killing job creation.

[…]DC’s spending addiction had spread to Florida. Hard decisions had been delayed and replaced with the shortsighted policies of more debt and more spending. Florida was in a hole, and for about four years the state just kept digging.

When I took office, the bill had come due.

It was time to stop digging and climb out of the hole. We knew the only way out was to create jobs. Taxes are primarily paid by successful companies and people with jobs. In Florida, it was time to make the hard decisions to: Right-size government. Reduce spending. And pay down debt.

Here’s some of what the Scott administration has done:

I took office with a projected $3.6 billion budget gap. As we made the hard decisions to live within our means during my first year in office, there was plenty of criticism to go around. We streamlined services and targeted reforms to help businesses compete. But, we heard from the critics when we turned down stimulus funds and balanced the budget. They said, federal money was “free.” I was told to grab all the free federal money I could.

As part of our effort to reduce fraud and help families, we also passed legislation requiring drug testing for welfare recipients. The critics were mad. They said that drug testing someone applying for welfare was a violation of their rights. I disagree. Welfare is designed to support children, and parents receiving government assistance should be drug free. Illegal drug use has no place in any family. Unfortunately, this reform is still stuck in the courts. But, we will keep fighting.

To further reduce government waste, we reformed our unemployment assistance program. Federal unemployment money was pouring out of DC, but there wasn’t enough oversight in place to limit waste and abuse. We passed a law to require people on unemployment to show they were actively seeking a job every week.

And more:

I have now been in office for more than two years and we are beginning to see the results of conservative, pro-growth solutions in Florida:

*  We have turned around a four-year record of 800,000 lost jobs before I took office, and the private sector in Florida has now created nearly 370,000 jobs over the last 2 1/2 years.

*  Our unemployment rate has dropped below the national average, and Florida’s rate has had the second biggest improvement in the country.

*  We have paid off $3.5 billion in state debt.

*  We have downsized our state government workforce to the lowest level in the history of Florida. Why? Because the private sector is the engine to job creation -– not government.

*  We have eliminated more than 2,600 state regulations on job creators.

*  We paid back $3.5 billion in federal loans for re-employment assistance.

*  And, we did all this while also cutting taxes five times in three years, including: The elimination of the sales tax on manufacturing equipment to help jump-start manufacturing investment. Continuing to roll back the business tax, so that today around 70 percent of our businesses no longer pay it. And, we cut property taxes for homeowners and businesses.

[…]*  After right-sizing government and cutting taxes, this year, we had our first budget surplus in six years. But, it gets better.

*  Just a few weeks ago, our State Revenue Estimating Conference announced that the general revenue now forecasted for 2014-2015 in Florida will be the highest ever. The highest ever.

How are they doing it? With big government spending on “stimulus” programs? No:

Working with the Florida Legislature, we have cut taxes year after year, even while forcing government to live within its means. This year, we are committed to returning even more money to the hard-working Florida families who earn it. I look forward to working with our friends in the Florida Legislature to make these tax cuts a reality.

They are cutting government spending and returning the taxes to the taxpayers. This is a good state to be in now, especially if you want to run your own business. What I liked about the speech is that he is passionate about pro-growth policies. While others seemed to be ashamed of low taxes and small government, Governor Scott is producing results and linking those good results to his conservative policies. I think that the next time we have an election, it should be about choosing the person who has proven that they know how to run an economy. Governor Scott should be in the mix. The best stimulus program is a job, and we should be picking people who have proven that they know how to create jobs.

Poland seizes bond investments in private pension plans

Amy sent me this story from Reuters.

Excerpt:

Poland said on Wednesday it will transfer to the state many of the assets held by private pension funds, slashing public debt but putting in doubt the future of the multi-billion-euro funds, many of them foreign-owned.

The changes went deeper than many in the market expected and could fuel investor concerns that the government is ditching some business-friendly policies to try to improve its flagging popularity with voters.

The Polish pension funds’ organisation said the changes may be unconstitutional because the government is taking private assets away from them without offering any compensation.

Announcing the long-awaited overhaul of state-guaranteed pensions, Prime Minister Donald Tusk said private funds within the state-guaranteed system would have their bond holdings transferred to a state pension vehicle, but keep their equity holdings.

He said that what remained in citizens’ pension pots in the private funds will be gradually transferred into the state vehicle over the last 10 years before savers hit retirement age.

The reform is “a decimation of the …(private pension fund) system to open up fiscal space for an easier life now for the government,” said Peter Attard Montalto of Nomura. “The government has an odd definition of private property given it claims this is not nationalisation.”

I was looking for someone who could take the spin off of this and found this article on Zero Hedge.

Excerpt:

While the world was glued to the developments in the Mediterranean in the past week, Poland took a page straight out of Rahm Emanuel’s playbook and in order to not let a crisis go to waste, announced quietly that it would transfer to the state – i.e., confiscate – the bulk of assets owned by the country’s private pension funds (many of them owned by such foreign firms as PIMCO parent Allianz, AXA, Generali, ING and Aviva), without offering any compensation. In effect, the state just nationalized roughly half of the private sector pension fund assets, although it had a more politically correct name for it: pension overhaul.

[…]By shifting some assets from the private funds into ZUS, the government can book those assets on the state balance sheet to offset public debt, giving it more scope to borrow and spend.

It is nationalization, and we should expect to see a lot more of it as spendthrift governments start to run of road to kick the can down. Maybe even here at home, some day. The United States is already up against the debt limit now, and our credit has been downgraded twice already. How soon until IRAs are nationalized into Social Security to prop it up?

Wisconsin abortions decline again by 4.4% after Governor Walker’s pro-life laws

Wisconsin Governor Scott Walker
Wisconsin Governor Scott Walker

Life News reports.

Excerpt:

Abortion are on the decline in Wisconsin and they are poised to drop further thanks to new pro-life laws signed by Governor Scott Walker. Abortions dropped 7.4 percent in Wisconsin in the prior report.

Last year, Walker added to his pro-life list of accomplishments today by signing bills the pro-life movement supported, including measures to stop abortion funding in Obamacare and webcam abortions.

Wisconsin Right to Life officials told LifeNews Wisconsin abortions have decreased 68% from their all-time high in 1980 and 60% since Wisconsin began requiring abortion reporting in 1987.

[…]According to an AP report, abortions declined 4.4 percent from 2011-2012:

The Department of Health Services reported Monday that there were 6,927 abortions in 2012. That is down from 7,249 in 2011 for a drop of 4.4 percent.

It marks the third year in a row that abortions have gone down. Prior to an increase between 2008 and 2009, abortions had dropped for five straight years.

The rate of women aged 15-44 who had an abortion in 2012 was 6.1 per 1,000, down from 6.3 per 1,000 the year before. That is well below the national rate of 15.1 per 1,000 as of the most recent data available from 2009.

State law requires any facility that provides abortions to report statistics to the state.

In July, Walker signed Senate Bill 206 (Sonya’s Law) into law.  This important new law requires that women seeking abortions in Wisconsin be given the opportunity to see their unborn children through ultrasound.

Just hours before Walker signed the law, the Planned Parenthood abortion business announced it would file a lawsuit seeking to stop women from seeing these ultrasounds.

[…]After Walker signed the bill, the Planned Parenthood abortion business shut down one clinic in Appleton and another facility end abortions at another center in Green Bay.

But he’s not just a social conservative, but a fiscal conservative, too.

Excerpt:

Wisconsin is living proof that elections have consequences. The last 10 years of public policy in the state proves this, providing a sharp contrast between Republicans and Democrats and highlighting the positive results of Republican leadership.

The previous Governor left Wisconsin with a $3.6 billion budget deficit and a bleak economic outlook. In fact, during Governor Jim Doyle’s last term, Wisconsin lost over 133,000 jobs, and only 10% of employers thought our state was headed in the right direction.

At the polls in 2010, Wisconsinites elected Scott Walker and Republican majorities in the Assembly and Senate. Since taking office, Republicans have turned things around. Unlike the Democrats, who in 2009 were debating over $3 billion in tax hikes, State Republicans have been cutting taxes and eliminating regulations to foster a pro-growth environment in Wisconsin. In fact, the current budget provides nearly $1 billion in tax relief for hard-working middle class families.

In a stunning reversal of Doyle-era job loss, Wisconsin created over 14,000 jobs in June alone. The budget is balanced, and 94% of employers say our state is headed in the right direction. Furthermore, a leading economic indicator from the Federal Reserve Bank of Philadelphia just ranked Wisconsin second in the nation in jobs outlook for the next six months.

What if he were to run in 2016? Well, Scott Walker is a favorite of social conservatives, but remember that this is the same Scott Walker who took on the labor unions to limit collective bargaining and he won. His law, which has produced an economic boom in Wisconsin, is still standing. He’s showing leadership on social AND fiscal issues. It’s not just talk, it’s action. I think he should be considered in 2016, along with governors Bobby Jindal (LA), Rick Perry (TX), John Kasich (OH), and Mike Pence (IN).

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