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    Who are the NERD fund donors Mr Snyder?

    Raise the curtain.

    Bishop Jumps the Shark


    By Angry White Male, Section News
    Posted on Sat May 26, 2007 at 01:48:26 PM EST
    Tags: (all tags)

    Mike Bishop said this week he will allow a $1.8 billion income tax hike to go through. Don't do it, Mike. Republicans who support tax hikes are like dead rat heads in Coke bottles - they damage the "brand."

    Senate Majority Leader Mike Bishop (R-Rochester) hinted yesterday that he will allow a massive 15 percent income tax hike to be imposed on Michigan's groaning taxpayers and economy. Sadly, Mike is in danger of becoming the latest "dead mouse head in the Coke bottle," to cite Grover Norquist's parable about Republicans who vote for tax increases, or in this case allow a vote a tax increase.

    Grover explains that Republicans' "brand name identity" is the party that opposes tax increases. In the same way that it damages the soft drink company's "brand" if a consumer find a dead rat head in a Coke bottle, so do tax-raising Republicans damage the party's brand. The worst imaginable dead rat head is an income tax hike.

    The Dems need two GOP votes in the Senate for this. Likely candidates include Jelenik, Kahn, Garcia, McManus and possibly several others (not Bishop himself, though.) If Mike protests that it's still a "Dem tax hike" because only two or three Repubs went along, fuhgettaboutit. Having even one Repub on board, much less two, will see this thing branded as a "bipartisan" tax hike. And there's your dead mouse head for the whole party.

    It's depressing, frankly. Mike has been doing a superlative job in holding his caucus in line. He's understood that politically it would be impossible for him to prevent some kind of tax hike, and has said he wouldn't try. That wouldn't be too bad if it meant raising less economically destructive taxes like imposing sales tax on pop and bottled water sales ($250 million), or a mildly damaging one like the $150 million garbage tax the House passed.

    Those add up to $400 million in new revenue, and if Republicans couldn't wrest from the other side enough real cuts and reforms to make up the difference in the current and 2008 budgets, well, they wouldn't be called the "Stupid Party" for nothing.

    But to allow a $1.8 billion income tax hike? In a state that has an unemployment rate pushing twice the national rate, has lost 362,000 jobs since 2000, has experienced an actual per capita personal income decline of 0.7 percent in real inflation-adjusted terms over the past six year (it's grown 4 percent nationwide), and has plummeting home values and a falling population?
    I hate to be a downer, but if this goes through it's hard to not start looking around for the light switch.

    < AGREEMENT REACHED: FY2007 deficit erased without raising taxes! | Enjoy your Memorial Day >


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    Not what he said at all (none / 0) (#1)
    by Nick on Sat May 26, 2007 at 02:29:51 PM EST
    He said he'd not block a vote on a tax hike procedurally.  He didn't gurauntee republican votes, only that he wouldn't prevent them the opportunity to stand or fall on their principles.

    But I agree with your premise that GOP votes for a tax increase damage their brand ID.  That's why it's important that we stay on the phones and stay on the email to tell our Reps and our Senators to vote NO on new taxes.

    ANGRY WHITE MALE... have you called Senator Garcia's office?  The others you mentioned?  Have you called Representatives Gaffney, Ball, Booher, Nofs and Wenke?

    Have you emailed each of them?

    "Procedural" won't spin income tax hike. (1.00 / 1) (#2)
    by Angry White Male on Sat May 26, 2007 at 02:42:13 PM EST
    I don't live in those senators district, so they don't care what I think (and I don't even blame them for that.)

    Nick, don't let yourself be sucked in to the Lansing spin. That "procedural vote" stuff is thin gruel. It's enough to provide covering spin for those lesser tax hikes I specified, but not not the Big Cahuna - an income tax hike. Bishop has to go to the wall on that one, or the GOP is dead meat in this state. I mean really to the wall - don't let it come up for a vote, and dare his caucus to oust him for it. They won't - they don't have the cajones. Especially not if he gives them the other $400 million worth of less harmful tax hikes I specified.

    doesn't matter where you live (5.00 / 1) (#3)
    by Nick on Sat May 26, 2007 at 02:50:19 PM EST
    Every call and every email tells them people are serious.

    No excuses.

    I'm not buying into any spin here... RightMichigan was the only blog in the state to take GOP members to task this week over rumors they were getting squishy on the tax issue.  This is about issues, not about party affiliation.

    But I am a realist.  You're always going to have to give something to get something.  Wish it weren't so but it is.  The Senate GOP avoided at tax hike and secured nearly a billion dollars in spending cuts and changes.  That doesn't come free.  They agreed to let their members VOTE on a tax hike in 2008.

    Didn't agree to supply any votes.  Didn't agree to pass a tax hike.  Only that it could come to a vote.  

    And yeah, it's up to members to do the right thing.  

    But it's also up to us to make sure Garcia and the others don't forget the reason they were elected in the first place.

    Sorry Nick, but you're dodging (1.00 / 1) (#4)
    by Angry White Male on Sat May 26, 2007 at 04:38:04 PM EST
    I acknowledged in the opening entry that accepting some tax hike was politically unavoidable, and suggested ones that if he allowed to pass, Bishop would deserve no criticism for.

    But an income tax is a different kettle of fish. It's not just a dead rat head in a coke bottle politically, it's rat poison economically, and every person on this site except the Dem trolls know it. You know it, and so does Mike Bishop. So if he's not willing to "go to the mattresses" on this of all things, then he isn't worth your time and energy to spin over.

    I like Mike, but he has to know that giving in on an income tax hike is not compromise, it's unconditional surrender, and will put the nail in the coffin of this state's economy. Rich people, entrepreneurs, investors - the people who would lead any economic turnaround - will all start rushing for the exits, to the extent they're not already. Mike and the GOP might as well start boning up on their French if they cave to that extent.

    Mike's wink-and-nod (1.00 / 1) (#5)
    by Angry White Male on Sat May 26, 2007 at 04:50:29 PM EST
    One more thing - If the Majority Leader is giving the wink-and-nod to squish caucus members, then it's doubly pointless for me or any other non-constit to write those people. That "no excuses, write them anyway" just won't wash. MIRS:  "It is not my responsibility to prohibit my members from voting," Bishop said.

    Well if it's not his, it's certainly not mine. If he can't stop them, it's silly to think any number of non-constit grass roots folks can. C'mon, Nick, and Saul, and everyone else - stop enabling, and start putting the heat on where it will do some good.

    Like I said, I like Mike and I'm not an unreasonable "slash and burn" extremist (despite the user name), but thing is radioactive.


    Hu-wha? (5.00 / 1) (#6)
    by Nick on Sat May 26, 2007 at 04:52:17 PM EST
    Now I'm an angry white male... geez louise...

    Just kidding.

    Seriously, though.  I'm not dodging, I'm not spinning and Lord knows I'm not trying to defend an income tax increase.  You're 100% right about how damaging that would be.

    My point is, there is no income tax increase at this point.  And the Senate GOP did not say they were going to vote for one.  They DID say they'd let the Dems vote YES if they want to.  

    Frankly, I'd go further than you... I don't think those "other" taxes you described are any MORE palatable.  All of them would push this state further over the edge.  We needn't raise taxes $.01.  Period.

    That's not spin.  That's one man's opinion based on an objective view of the state, the status quo and opportunities for reform.

    But hey, you don't want them to even allow a vote I can appreciate that.  I don't want them to either.

    Welcome to the site, by the way!  Glad to have you.

    I forgot an "acceptable" tax (none / 0) (#7)
    by Angry White Male on Sat May 26, 2007 at 05:01:19 PM EST
    Thanks for the welcome.

    I knew there was one other "OK" tax - the "amenities" tax. Throw that in and Bishop can allow up to $600 million in non-radioactive tax hikes.

    You're wrong about those other taxes being equivalent to an income tax in their economic destructiveness. No investor, entrepreneur, rich person or wealthy retiree will leave the state because the cost of soda pop goes up three-cents a can, or movies go up a quarter. They will leave if the income tax goes up 15 percent. Not just a few, either - a lot of them will.

    (PS. I didn't call you the AWM, I called me the AWM - but I'm not, really. Angry, that is.)

    Angry about nothing... (5.00 / 1) (#8)
    by John Galt on Sat May 26, 2007 at 09:04:49 PM EST
    A-W-M: It's absolutely your position to write and call other Representatives and Senators, even outside of your district.

    Using the "Well, if it's not Mike's job, then it's not mine" excuse is B-S.  The time you're spending on here, complaining to folks who can't affect it ... could better be spent complaining to Republicans who vote for that kind of thing.

    Heck.  Call Bishop, and yell at him for his violation.  

    I especially don't think pessimism solves much of anything.  If you really think the state was sold down river, that's fine.  You admit a tax increase was inevitable; so what's the problem allowing a vote on it?  Let's see what happens.

    As the most influential economist in my life, my Grandmother, used to say... "Don't count your chickens until they're hatched."  

    It's economic and political Kool-Aide (1.00 / 1) (#9)
    by Angry White Male on Sun May 27, 2007 at 12:51:31 AM EST
    John Galt, any Lansing insider will tell you that contacting legislators from a district outside your own is a waste of time. They don't care what you think unless you are a contributor. That's not a criticism, it's just a fact.

    Calling Bishop is another matter. He too primarily cares about his own constits, but his leadership position does give him a duty to take heed of what others say also, and I believe he's a conscientious person and will do so.

    I'm not pessimistic, I'm realistic: A big income tax hike is economic kool-aide for this state (Jonestown flavor.) It's a $1.8 billion tax hike, and it falls most heavily on those upon whom any potential turnaround depends. In contrast, the less-toxic consumption taxes I cited in the OP amount to only $600 million, and are more evenly distributed.

    One really cannot overestimate just how toxic an income tax hike would be, both economically and politically. Frankly, it's a mystery to me that Bishop is prepared to go down this path in spite of that. It's out of character.

    Bottom line: This is not an issue on which the Michigan Right can give the GOP a pass. It's political suicide for the Party, and economic suicide for the state. To not do everything his power to stop it is a dereliction of duty by Bishop, and he can't be cut any slack on that.


    Correction - it's a billion (5.00 / 1) (#10)
    by Angry White Male on Sun May 27, 2007 at 08:42:47 AM EST
    I said a $1.8 billion tax hike? That's what I get for listening to Jenny's pals. I think it's more like a billion from an income tax hike going from 3.9 percent to 4.6 percent. That doesn't change anything I've said about how toxic this is.

    Angry and Pessimistic (5.00 / 1) (#11)
    by John Galt on Sun May 27, 2007 at 08:50:06 AM EST
    I still think you're being pessimistic about Bishop letting a vote on a tax increase occur.

    I know I watched Big-Time Washington politics all the time.  So I'm willing to concede this small-time, hometown game in Lansing might be different.  

    In Washington, you keep things off the floor to avoid votes - and sink the bill.  But letting things to the floor doesn't guarantee their passage.  And in some cases, they would make agreements just to get a bill to the floor.

    So, I'm assuming you're a Lansing insider, and have the years of experience that say "If it goes to the floor, it's passing".  I doubt this pessimistic attitude, but I may just be naive about Lansing minor-league politics.

    And while I'm here... (5.00 / 1) (#12)
    by John Galt on Sun May 27, 2007 at 08:53:37 AM EST
    I might as well point out that I've never disagreed that any tax increase would be damaging to the state.

    I think it's inferred by most readers here when you talk about a Michigan tax increase.  Billions or millions, or two pennies.

    Allowing the entire Senate to vote (which can be voted yea or nay) on a tax increase plan is considerably different than what you're contending - allowing the Republicans to vote Yea.  

    Let them vote nay, but only if they will (none / 0) (#13)
    by Angry White Male on Sun May 27, 2007 at 10:25:57 AM EST
    Bishop has a duty and responsibility to the state and to his Party. He should allow a vote on an income tax only if he knows his caucus will unanimously oppose it. He could allow this to happen immediately after voting for the three less-toxic taxes I mentioned - garbage tax, amenities tax, and soda pop tax.

    Imagine the political effects. Presumaby most Dems vote for the income tax - THEY drink the polical kool-aide. Sure, they'll snark that Repubs voted for tax increases also, but those lesser taxes don't have the political (or economic) mo-jo that an income tax hike does. The snarks won't resonate.

    On their side, Repubs would look reasonable AND principled. There would be $600 million in revenue - sufficient to plug really gaping holes, but leaving enough of a gap that the other side would be forced to undertake some genuine reforms and restructuring. You give them an income tax and all your leverage on that disappears - reform's not needed anymore! Avoiding that is what all this tax push is really about.

    Oh, and don't think that you can trade reforms for the income tax hike, either. Did you see what they did to the school pension double-dipping bill this week? Gutted it, and still it was reported as a "reform." It leaves 80 percent of those double-dipping teachers right where they were before the bill.

    That's what will happen every time - our side will get cornholed, bet on it. The only other way the government establishment will reform is because they have to, because the money's not there to keep the current game going. Give them the money, and the reform goes out the window. You know I'm right.

    PS - vote for this story (1.00 / 1) (#14)
    by Angry White Male on Sun May 27, 2007 at 10:28:10 AM EST
    Now go vote to put this item on the news page, and demonstrate that this site isn't just a 'lets all say nice things about Republicans no matter what they do' site.

    ;-)

    More Pessimism (5.00 / 1) (#15)
    by John Galt on Sun May 27, 2007 at 10:30:01 AM EST
    Bishop, who has been holding strong (in words and actions) that we do not need a tax increase... and also understands the "branding problem" that Republicans face after the 2006 Election...

    You really think he doesn't expect his caucus members to vote it down?

    I keep seeing this pessimism from you.  I'm optimistic that our Senate Majority Leader is a little more principled than you think.

    nit-picky (5.00 / 1) (#16)
    by narphinugan on Tue May 29, 2007 at 02:02:17 PM EST
    Angry White Male: you might want to look up the definition of superlative before using it again.

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