Sunday, August 31, 2008

Would Barack Obama feed the bears?

Politicians and pundits seem to have difficulty sometimes telling the difference between government budgets and the overall economy. This is apparent in two instances this weekend.

First, Sen. Barack Obama's economic "plan" has as one of its main action items a $50 billion transfer to the states to "jumpstart the economy."



Aiding and abetting is Stateline.org, with its unattributed claim that state budget problems are the result of "falling revenues triggered by the housing and mortgage crisis," marring an otherwise very informative article.

They should have talked to Kentucky Sen. Julian Carroll(D), whose recent statement seems to indicate he understands that giving legislators more money to play with may not be the best use of our resources.

Another excuse to get Sarah Palin to Kentucky

Kentucky politicians of both parties need help understanding that artificially limiting the supply of healthcare services keeps prices artificially high.

Fortunately, Alaska Governor Sarah Palin gets it. Senate President David Williams is Sen. John McCain's campaign chairman for Kentucky. Maybe he can get Palin to come here and explain it to him like she did to the Anchorage (Alaska) Daily News back in February:

"The Certificate of Need is being used by lobbyists and health-care organizations to limit competition -- through appeal of other's certificate awards or by filing suit against the state for those awards. As one member of a citizen committee studying CON in 2007 put it: "the only voices heard (testifying for continuing CON even more stringently) were from the financially vested physicians and hospitals." Currently, there are seven active Certificate of Need lawsuits involving the state and private sector health-care providers."

"As I said recently in my State of the State Address to the Legislature, "Under our present Certificate of Need process, costs and needs don't drive health-care choices -- bureaucracy does. Our system is broken and expensive." Eliminating the CON program, with certain exceptions, will allow free-market competition and reduce onerous government regulation."


After Palin comes here and sets us straight, then she could go talk to officials in Pennsylvania, Florida, and Michigan and show them how to lower their healthcare costs.

Saturday, August 30, 2008

What Beshear could learn from Sarah Palin

Early this year, Alaska Gov. Sarah Palin implemented Alaska's Checkbook Online program through her Department of Administration. It is more comprehensive than that proposed by Kentucky Rep. Jim DeCesare last year or the one he has already filed for next year.

If Beshear wants to hurry up making good on his campaign promise to make Kentucky government spending less secretive to help cut down on corruption, perhaps he should follow the example of Sen. John McCain's vice-presidential pick.

Friday, August 29, 2008

Putting persistent pain in perspective

Very few people are really trying to portray the Massachusetts universal health insurance fiasco as something other than a really bad disaster that just hasn't worked out at all.

Usually when such spin is attempted, the spinner just winds up looking goofy and in need of being set straight.

Kentucky's big government health scheme supporters would do very well not to bark up this tree.

Kentucky Math Instruction Takes Another Hit!

Kentucky looks bad in a new report from Achieve, Inc. on the first results from the American Diploma Projects new Algebra II End-of-Course Exam.

 Among the 12 states participating, Kentucky’s student sample got the fewest number of multiple-choice questions correct.

 In an even bigger surprise, only one state got lower scores on the open-response questions on this new exam. Given all the emphasis on CATS open-response questions, our kids should have murdered this part of the test – IF they had any math knowledge. Instead, they got blitzed.

 Overall, no state got a lower number of correct points than Kentucky.

The report takes pains to point out that the percentages of students tested in each state varied, making state-to-state comparisons from this first testing year somewhat difficult. However,

 While only 3 percent of the kids taking Algebra II in Kentucky were tested, Arkansas tested a whopping 92 percent of their kids. But, Arkansas got more total points correct, more open-response questions correct, and more correct points even on open-response questions. With so many Arkansas kids tested, and given the near certainty that the Kentucky Department of Education didn’t select its very worst schools for testing, there is no doubt that we got spanked by Arkansas – another Southern state.

This just adds more evidence to what we already know from Kentucky’s deplorably high college math remediation rates and the importance of algebra from the National Mathematics Advisory Panel. The panel found that algebra is the key to higher level math, but it must be taught properly. Math instruction in earlier grades must be coordinated to get kids ready for algebra.

It is really a straight-forward lesson, but sadly one our agenda-driven educators have yet to learn.

The conversion process is a beautiful thing

Earlier this year, Sen. Julian Carroll complained about spending "cuts" in the state budget. But Wednesday, in a legislative committee meeting, he sang a different tune.

In fact, he now describes our problem as one of overspending and says we have been borrowing too much. Wonder where he got an idea like that?

Be warned, though. As exciting as it may be to see someone start to come around, conversion to fiscal sanity can be a slow, painful process. And elections have a powerful impact on politicians, even those without opponents. Let's see where he is in January.

Thursday, August 28, 2008

Herald Leader still spinning pension "fix"


It's hardly newsworthy anymore to see the truth die a painful death on the editorial page of the Lexington Herald Leader. But to see reporters make multi-billion dollar misstatements is more than a little disappointing.

Even Gov. Steve Beshear backed off his early puffery about the pension special session fiasco earlier this summer. Slowing down the growth rate of the underfundedness of the public employee benefits plans very clearly means that the hole will be larger in 2025 than it is now. And that is assuming future lawmakers follow through on all the suggestions in HB 1.

It's going to be very difficult to get anyone in the House to take pension reform seriously with this kind of misinformation still floating around out there.

State AP exam performance – Really rising dramatically?

Two days ago the Kentucky Department of Education (KDE) released new information on Advanced Placement (AP) performance and SAT college entrance test results. The news about the AP in particular was really good – spectacularly good, in fact – actually, far too good to be true.

The racial breakout in the report indicated that between 2007 and 2008 the total umber of public school students taking at least one AP course had gone up from 13,246 to 14,687.

Meanwhile the total number of students scoring a 3, 4 or 5 (scores generally acceptable for college credit) had absolutely skyrocketed from 6,586 to 10,941, an incredible jump – 66 percent – in just one year. This indicated an astounding 74.5 percent of the 2008 AP takers had scored high enough to receive college credit, a huge jump from the 2007 percentage of 49.7 percent.

Well, it didn’t happen

I questioned the department right away about this unbelievable one-year change.

Within two hours the KDE press release was revised.

The revision now says the total number of public school students scoring in the magic 3-4-5 range in 2008 was only 7,144, not 10,941. Thus, the real rise in the total number of students getting college-accepted scores was only 8.5 percent, not 66 percent. The percentage of all students who took the AP in 2008 and got at least a three score was only 48.6 percent, not even as high as last year’s figure. Talk about a dramatic difference!

This gets more interesting

The revised KDE news release changes all the 2008 numbers for all the racial groups scoring 3-4-5. Instead of 9,246 whites scoring a three or more in 2008, the revised number is only 6,103. The number is up very slightly from 2007, but the number of whites taking the AP rose even faster from 2007 to 2008. As a consequence, 49.7 percent of Kentucky’s whites in public schools had a score of 3 or higher on the AP in 2007, but this dropped slightly to 48.6 percent in 2008. If the original release’s figures had snuck by us, you would be getting told about a dramatic rise from that 49.7 percent figure in 2007 to 73.8 percent in 2008.

That is a huge difference – slight decline in the percentage of whites getting college acceptable scores versus a very large increase.

For African-Americans, once the corrected scores came available, the original percentage of students scoring 3 or more shrank from 39 percent to only 29.6 percent for 2008, lower than the African-American success rate of 30.1 percent in 2007.

Then it gets strange

The KDE changed their numbers, but they forgot to change one of their lead sentences which says, “Since 2004, the number of Kentucky public high school students taking AP examinations and scoring 3, 4 or 5 has increased by more than 50 percent.” The truth is that between 2004 and 2008 the percentage increase is somewhat less at only 47 percent. However, using the numbers from the original news release, the claim should have been that the increase was 125 percent. I don’t know what the department was looking at when it assembled the first news release and came up with the slightly more than 50 percent figure. How did all these numbers get so messed up?

I have some additional questions about the data, even in the revised release. I’ll save that for a later post, once I learn more. But, one thing is certain; if you read any recent news articles claiming dramatic progress on AP participation and scores from last year – forget them. It didn’t happen. In fact, while the participation rates are up slightly, the percentages of success are down, which isn’t exactly that “great education progress” you’ve been hearing about.

Big government is not a "great deal"

The Lexington Herald Leader editorial board still doesn't understand the role of basic economics in the health insurance marketplace. This leads them to promote a conclusion they can't justify and a solution that hasn't worked despite its repeated application over the last half-century.

"Money remains the biggest obstacle to Gov. Steve Beshear's campaign promise to insure all Kentucky children. It would require an additional $40 million from the state to cover all eligible kids."

"The federal government would pick up the rest."

"It's a great deal for states."

"Kentucky could spend $440 to cover a child in KCHIP, and the federal government would pay $1,560. The match is not quite that favorable for Medicaid, but it's close."

The implication is obvious: raise taxes, spend the money, and everything will be fine. Or the modern version, which involves simply borrowing the money first.

Americans are slowly coming to understand the economics of gas prices. If we subsidized $2 for every gallon of gas, that soon wouldn't be enough and we know it. Healthcare is no different.

The answer is less government spending on healthcare -- and less cost-increasing regulation. Not more.

Wednesday, August 27, 2008

While they were sleeping...

KRS Executive Director Mike Burnside addressed a half-empty room of mostly sleepy-looking legislators -- see the video below -- and dropped a bomb that might otherwise have been big news. The changes to the public employee benefits plan in HB 1, which really do nothing to fix the financial problems of the system, caused the state to spend $20 million upgrading computers.

How's that belt-tightening going, Ferris Bueller? Bueller? Bueller?

CATS Task Force Notes – 26 Aug 08 Meeting

Once again, major media reporters were absent, so this may be the only eye-witness account you will see of second meeting of the CATS Assessment and Accountability Task Force in Frankfort.

Education Commissioner Jon Draud opened the meeting by emphasizing – again – that he was not looking for this group to suggest dramatic changes in CATS. He wants to put off any substantial changes until after 2014.

Draud’s position clearly didn’t sit well with Kentucky State Senator Dan Kelly. Kelly challenged Draud’s statement that putting off changes until after 2014 was a consensus position. Kelly correctly pointed out that the committee so far has taken no votes on any positions and has not reached any consensus about direction.

The meeting’s biggest surprise – a disappointing note – was Jim Applegate’s announcement that he is leaving his position as Vice President for Academic Affairs at the Kentucky Council on Postsecondary Education. As a consequence, Jim is also resigning from the CATS task force.

Applegate took a few minutes to share departure comments about what the task force needs to do regarding the CATS assessments. In a key part of his statement, Applegate said:

“If out of all of this we don’t end up with an assessment system that allows us at every step of the way to understand where the individual child is on the road to the next step after high school, on to college, on to the skilled workplace, whether they’re behind, they’re ahead, they’re on track – and, it’ll help us understand how to intervene with that child to do the right thing and then allows us longitudinally to reassess at a point in the future to know whether our interventions work or not – then, I don’t know why we’re even bothering to assess. You know, uh, I don’t know what the point is.

It’s all well and good to say this school’s doing good by some standard, and that school’s doing good by some standard, but if the students aren’t moving on to the next levels successfully – if that’s not what our focus is – then I don’t know why we even bother. I don’t care that school X is hitting better at some measure than school Y. I don’t. I care whether the kids that come out of that school are ready to move to the next level.”


I couldn’t have said it better, and Applegate’s well-directed focus will be missed both on the task force and throughout Kentucky. He has been remarkably forthright with the citizens of the commonwealth, a quality too often lacking in Frankfort.

Applegate’s departure leaves one lone postsecondary education voice on the task force, rendering the group more dominated by K to 12 professionals than ever. That will make it harder still for this group to overcome a self-interested inward focus that might not lead to the best answers for CATS and, ultimately, for the children of Kentucky – a situation that might not be lost on Applegate who summarily left the meeting right after his short presentation.

There was a considerable amount of discussion about writing portfolios in CATS. While there is wide agreement that portfolios are a good instructional aid to teaching writing, there is tremendous controversy within the group about whether the portfolios should stay in the CATS and whether teachers will drop portfolios – even abandon writing instruction in general – if portfolios are taken out of the assessment.

One surprisingly candid comment came from a somewhat unexpected source, Jon Draud’s hand-picked testing expert Doris Redfield, the only testing expert in this entire group.

Dr. Redfield said:
“If you are going to do an assessment of learning – an accountability assessment, an achievement assessment – what you want are the students’ very best possible products – that’s probably measured on-demand because of the reliability and validity factors.”


In other words, measuring writing on an assessment is most properly done with on-demand writing prompts such as those already given during the CATS tests. In contrast, writing portfolios do not provide the same level of reliable and valid scores.

There isn’t anything new in Redfield’s statement, but it was refreshing to hear her echo this, anyway.

Unfortunately, one of the best questions placed before the committee regarding portfolios came at the very end of the meeting. That’s when Steve Stevens, the President of the Northern Kentucky Chamber of Commerce, asked how we can be so sure portfolios belong in our assessment when Tennessee outscored us on the recent National Assessment of Educational Progress on-demand writing assessment and that state does not use them in its assessment program (If you want to know how Tennessee did on writing [they ‘whupped’ us], just click here).

Tennessee’s writing performance was added to the agenda for the next task force meeting, and it will be interesting to see what develops. I hope there is also a discussion of how Tennessee beat us without having any open-response questions on their other academic tests, as well.

I also hope, as Jim Applegate implored, that the committee keeps their eye on the real ball. The CATS is a hugely expensive program. We should get a lot more for our money from this exam, but as Applegate hinted, we don’t get anything reliable about individual students and their performance over time. We don’t really get much we can trust about teachers and the education programs they are using, either.

If we can get away from a lot of 20-year-old, out-of-date thinking about testing, we probably can run CATS more efficiently and effectively while we do a much better job of helping students.

And, I don’t think Kentuckians want to wait until after 2014 before making that happen.

Another screaming need for transparency

The Interim Joint Committee on State Government is discussing how horrible Kentucky's retirement plan investment performance has been for the last ten years.

I wish someone would explain to me why we shouldn't open up that investment process to the public rather than keeping it shrouded in secrecy and, I might add, something less than mediocrity.

We could set up a website and let interested citizens vote on investment opportunities and do better than the "professionals" we are paying big bucks to manage our money. Heck, we could feed a couple of monkeys a half dozen bananas and let them throw darts at the Wall Street Journal and get better returns.

Magic cigarette tax increase strikes again

Repeatedly this year, we have heard from various Frankfort figures about how a seventy cents a pack cigarette tax increase would provide health insurance and better schools for children, cut smoking, build roads, and save the state.

Not one to be one-upped in a tax-hiking, big-spender bidding war, Rep. Kathy Stein (D-Lexington) added one to the list by claiming that this same tax increase would help pay for overspending on public employee healthcare.

That deficit is nearly $30 billion dollars. Smoke up!

Bad news for educrats, good news for Kentucky

The John Locke Foundation has a great catch on the growing Democratic Party schism on school choice. The mainstream media is even picking up on this.

""It's embarrassing to be a Democrat when you hear Democrats talk about education," she says. "The Democratic Party is supposed to be the party that looks out for poor black kids, yet the kind of rhetoric they spew about … [how the Bush administration's No Child Left Behind law is] 'sucking the life out of our teachers'—come on. Get real. I believe that until the Democratic Party breaks ties with the teachers unions, we are not going to see the true reform in this country that we need.""

The Bluegrass Institute has already shown how popular school choice is when parents understand what it is. The point of this isn't to launch a partisan attack. Republicans as a whole have been little better than Democrats on education. But the symbiotic relationship between Democratic party politicians and teachers union activists has extended the lives of too many bad policies. These developments bear watching.

Honest Graduation Rates – Michigan Getting What Kentucky Still Doesn’t

Michigan joins a growing number of states that are finally coming honest about the real graduation rates in their high schools.

According to Ann Arbor News, getting honest resulted in a notable reduction from Michigan’s former, inflated rates. Michigan now reports that only 75 percent actually graduate. Last year, thanks to an inflated system (similar to the one STILL in use in Kentucky), the newspaper says the graduation rate was about 10 points higher.

Michigan’s new, and honest, system also reports nearly a 400 percent increase in the state’s dropout rates. Thanks to their honesty, Michigan now has a much better chance of identifying and rectifying their graduation rate problems.

Meanwhile, Kentucky could switch to a more honest graduation rate system right now with a formula called the “Averaged Freshman Graduation Rate.” This formula has already been scientifically investigated by the US Department of Education and found to be a reasonably accurate interim solution while states get high quality student tracking systems on line. We don’t have to wait at least four more years for our student tracking system to come on line (it still isn’t fully operational) to provide the minimum of four years of data required for an accurate graduation rate calculation.

Why does our state board of education steadfastly refuse to provide us, and our CATS school accountability system, with honest data almost two years after an official state audit found our present numbers are hopelessly inaccurate?

The board knows about this problem – why do they continue to drag their heels on this important step to improve transparency in government?

Tuesday, August 26, 2008

More fun with poverty numbers

The U.S. Census Bureau put out its latest income and poverty survey data today. In short order, the Lexington Herald Leader had done its analysis and put out its call for bigger government.

The Kentucky Youth Advocates spin is predictable, but highly suspect. Too bad the reporter didn't seek another point of view.

In the same amount of time that the number of people in poverty rose 20,000, the population in the state rose 36,000.

So rather than pushing for new "serious anti-poverty measures" in the state, we could just as legitimately urge a change in policy to stop attracting so many poverty-stricken citizens to come here from other states.

In any event, it is a stretch to use the latest survey as an excuse for more government intervention.

Will Lexington soak its homeowners?

Why don't governments ever view overspending as an issue they can fix by spending less?

From the Lexington Herald Leader:

"Mayor Jim Newberry's administration has presented the council with three options: Setting the rates at the same level as last year, which would leave the city short $586,190; increasing the rates just enough to balance the budget; or raising the rates by 4 percent, the maximum level allowed by law."
"Newberry has not said which option he prefers."

There is another option: get rid of taxpayer-provided city employee cars and Mayor Newberry's armed bodyguards.

Is it bad news or could it really be good?

The latest number reaching talking-point status is $30 billion. That's the amount that Americans without health insurance supposedly pay annually for health care.

The implication is obvious: such an enormous number is a tragedy and another sign that our health system is broken and needs to be taken over by the government.

But, as InsureBlog points out, if there are 47 million uninsured Americans paying $30 billion for care, that is less than $630 a person. Per year.

That's a statistic that would almost entice people with a choice -- and a monthly premium -- to join the ranks of the uninsured.

Or, at the very least, it suggests the political effort to grant victim status to those who are "underinsured" is way off base.

Monday, August 25, 2008

Eating their own; anyone else hungry?


Teachers union poobahs are shocked Newark Mayor Corey Booker(D) keeps pushing for school choice and that their efforts to keep him quiet are meeting resistance from Democrats.

In fact, at an event last night in Denver he went on the attack against teachers unions and received applause from the 500 Democrats in attendance.

School choice means giving parents and students the ability to choose how the tax money dedicated to each student is used, whether that means at a school outside of the assigned district or at a private school. Big-government supporters generally hate such market-based competition.

Republicans who are looking for a good issue to run on this year couldn't find a much better one than this to separate opponents funded by the teachers unions from their base of voter support.

Kentucky's Certificate of Greed

With the current gas price brouhaha underway, more people are gaining a basic understanding of the relationship between supply and demand on one hand and prices on the other.

It's pretty simple, really. If growing demand outstrips supply, prices go up. More supply than demand forces prices down. Various groups of people, however, have pretty transparent reasons for not wanting to understand this.

Given that government is paying more than ever for health care, however, it seems odd that one organization that would be trying hard not to understand this most basic economic concept would be Kentucky's Cabinet for Health and Human Services. They have become cheerleaders for economic illiteracy with the odd claim that limiting the quantity of healthcare providers "prevents the proliferation of health care facilities, health services and major medical equipment which increases the cost of quality health care in the commonwealth."

This ridiculous policy is called Certificate of Need or, more appropriately, CON.

The CON'ers would do well to read this.

Gov. Steve Beshear's thug appeal

Fred Mudge has been a consistent voice against labor union abuses for many years. Today, he hits the editorial page of the Lexington Herald Leader with criticism of an effort to end private union elections:

"Our American way has its basis in the individual’s freedom to privately choose."

"These card sign-up drives are typically carried out by union organizers, who can intimidate, pressure, and coerce employees into signing up, since there is no privacy like in a voting booth."

"By throwing out the private vote, the union organizers can harass the employees until the contract is signed, which means organizers could confront employees at their homes or intimidate them in front of other employees."

This last-ditch effort to revitalize unions comes as Kentucky politicians continue to justify spending too much on wasteful prevailing wage policies.

Sunday, August 24, 2008

Paying kids to go "outside the system"

An extraordinary article in the Wall Street Journal this weekend describes waves of fiscal conservatism sweeping over, of all places, Connecticut.

Read the whole thing here if you can. In any event, here is my favorite part:

"In Chester, First Selectman (Mayor) Tom Marsh proposes to pay students not to attend public school. He wants to give $1,500 a year to families who send a child to vocational school, $3,000 to families who homeschool, and to put $5,000 in a college scholarship fund for anyone transferring to a private high school."

"Mr. Marsh also wants to give a full two-year community college scholarship worth $5,000 to students who graduate from public high school in three years. "If we can persuade families to consider options outside the system," he says, "we have the potential to save significantly long term.""

The efforts to lower taxes and the cost of government in a big-government state like Connecticut is very likely to provide interesting data for us to ponder here in Kentucky. I'll keep you posted.

Is Kentucky’s On-Line Public School Student Data Going to Be Safe?

The Dallas Morning News reports that personal student data and test scores in Florida and Virginia were accidentally disclosed recently by a computer-based testing company. Texas also has a contract with the firm and is now anxiously checking to see if their student data will receive better protection.

Does this matter to us in Kentucky? You Bet!

I don’t think that Kentucky has any contracts with the firm that messed up in Florida and Virginia, but that does not mean we have no worries.

In early August, two separate legislative committees heard reports on a pair of massive education databases that are being assembled by the Kentucky Department of Education. The first of these, known as “Infinite Campus,” will make all sorts of student data available on line. Teachers will be able to access and update electronic grade books from home (or anywhere else), and parents will be able to see those grades and information about their child’s attendance, as well. Infinite Campus is also supposed to integrate with the folks who run Kentucky’s KEES Scholarship program, facilitating rapid transfers of ACT scores and high school grades to speed up the process of awarding these state-funded scholarships.

A second database effort sounds even more far-reaching. Called the Kentucky Instructional Data System (KIDS), this data management octopus will reach into many other computers located in various state agencies that nominally have little direct contact with education. Areas that may get linked include medical files and student drivers' licenses (to insure students who are failing don’t get/keep them).

Proponents of these systems, which include many state leaders from the governor on down, paint glowing pictures of how these systems will help improve the information available to policy makers and ultimately improve state efficiency. They make a convincing argument, one the Bluegrass Institute might ordinarily be happy to bandwagon.

But, on this monster effort, we see the chance for serious troubles ahead. There are shades of George Orwell’s “1984” all over this. Here are some quick thoughts:

1) The education department will be storing student social security numbers along side their own student identification numbers because the KEES Scholarship database can’t use the student numbers. There may also be plans to store a lot of sensitive data about parents – possibly including their social security numbers and income information – to determine eligibility for free and reduced cost lunches.

In this day and age of identity theft, any database that stores social security information is ripe for criminal hacking. When income information, home addresses, and telephone numbers are also available, the chance of identity theft undoubtedly becomes far worse.

2) How much student and parent data does the department of education really need? When is the amount of data kept in the hands of just a few too much information? Who decides? What are the qualifications of those who decide who gets access to what?

3) With such a hugely valuable database in hand – one that contains a tremendous amount of information about each child (information about learning disabilities, behavior, and maybe even a picture as well as age, sex, phone number and address), and which may allow access to other databases that contain an even more enormous amount of information about all of us – are there any requirements for those who have broad access to pass criminal background checks? Were any criminal background checks run on the computer programmers and the contractors who are assembling Infinite Campus and KIDS? Certainly, access to this data would be a child molester’s dream.

After all, if a parent wants to help out at school, they have to pass an investigation. Do we have lower requirements for the people controlling information that could be very valuable to the criminal element?

In any event, we are hearing lots of promises from our state leaders about security for this information. I’ll bet folks in Florida and Virginia heard the same – before their data compromise happened.

But, the mistake happened, anyway.

And, last year, a school finance person was able to manipulate the Kentucky Department of Education’s MUNIS financial accounting system in an attempt to hide illegal payments, as well. If the department can’t protect money, how confident can we be that they will successfully protect your child’s social security number – or yours?

Opposing "card check" isn't just an attack

Louisville Courier Journal columnist Al Cross strikes a blow for labor unions today by claiming an advertisement campaign against their very real effort to replace secret ballots with intimidation campaigns is just some kind of political spin:

"...overcome the distaste created by the candidates' silly attack ads -- and the so-called "issue ads" from business interests that attack Lunsford for supporting labor unions' current priority, legislation that would let them organize workplaces only with employee signatures on cards rather than a secret-ballot election."

"With their phrasing and images, those ads seem intended to mislead casual viewers and listeners into thinking that secret ballots in elections for public office are at risk if they vote for Lunsford."

The truth is Lunsford and his big union supporters should have to explain why they want to do away with secret ballots in the workplace and why we should believe that if they are successful there that they won't seek to run public elections the same way.

Saturday, August 23, 2008

Gov. Beshear doesn't want you to see this

The consumer electronics industry in Kentucky employs over 180,000 people despite state policies hostile to business growth such as high taxes and closed shop unions.

In recognition of this multi-billion dollar export industry and its successes despite official efforts to tax and regulate it into oblivion, the America Wins With Trade tour bus will be making a scheduled stop in Lexington on September 5th.

A presentation and discussion of free trade and its many benefits will take place at 9 am that morning. The location is Thiel Audio, 1026 Nandino Blvd.

Kentucky big spender alert

With mounting evidence that red light cameras are dangerous but raise revenue, how long will it be before Kentucky's revenue seekers mandate them at every intersection?

Friday, August 22, 2008

Alabama's "pompous, poisonous disrespect"

Obesity is a big problem in Kentucky. In Alabama it is worse. That state has responded by working up a plan to charge overweight state employees $25 extra a month for their health coverage.

The move has brought the nuts down out of the trees:

"E-K. Daufin of Montgomery, a college professor and founder of Love Your Body, Love Yourself, which holds body acceptance workshops, said the new policy will be stressful for people like her."

""I'm big and beautiful and doing my best to keep my stress levels down so I can stay healthy," Daufin said. "That's big, not lazy, not a glutton and certainly not deserving of the pompous, poisonous disrespect served up daily to those of us with more bounce to the ounce.""

I'm speechless.

Talking transparency today

I will be on the Leland Conway Show on WLAP 630 AM in Lexington this morning at 10 AM. The call-in number is 859-280-2287. You can also listen on wlap.com.

Thursday, August 21, 2008

Less spending is better than more revenue

KyPolitics.org excerpts Paducah Sun coverage of First Lady Jane Beshear on a big government rant:

"If you want programs to continue and grow instead of being cut back, the only way to make that happen is to get more revenue," she said Wednesday night during a Paducah forum. "You need to talk to your legislators."

But Jane, most of us don't want programs to continue and grow. We want them to solve the problem they were created to solve and go away.

With this mentality, we will never get off the endless "revenue shortfall" merry-go-round. But then I suspect Jane and her husband know that.

Maybe they will raise the cost of popcorn

Sen. Ray Jones pre-filed a bill today to put the Commission on Human Rights in charge of making movie theater owners install closed captioning systems in their theaters.

New Jersey's debt is news, but ours isn't

New Jersey's politicians have been saying they are cutting government spending to the bone, just like we hear in Kentucky.

Even so, no one should be surprised to learn that those same politicians overshot the mark last year by $2.2 billion and have merely thrown it on the taxpayers' credit card. What is interesting is that this fact made the newspaper up there.

Meanwhile in Kentucky, we are adding in more than $1.5 billion to our debt load over the next two years and you don't hear a peep from our media watchdogs.

For a little context, New Jersey has more than double the population of Kentucky.

A necessary clarification

After receiving several emails and one phone call about yesterday's post on the Kenton County Public Library's online financial disclosure, I agree that a clarification is in order.

A tab at the bottom of the spreadsheet on the library's site shows a proposed line-item spending plan. I didn't mention this in the post, which caused several readers to contact me to inquire about the oversight.

My contention is that a government entity telling us how it intends to spend money is not transparency. It's nice to have an idea of the library's spending priorities, but transparency means showing us how the money is actually spent.

I'm glad the Kenton County Public Library made some kind of effort to address the public's right to know. In doing so, however, they opened themselves up as well to criticism that making the information difficult to find displayed contempt for the spirit of the transparency movement.

By this, I don't mean that the perfect is the enemy of the good. But half measures just don't get it done when it comes to showing taxpayers where their money is going.

If government entities want credit for being transparent with their spending, they should make the information easy to find and they should make the information available as the spending occurs.

Intimidation, protectionism, higher taxes

If you agree with any of the policy statements expressed in this video, please let me know.

Wednesday, August 20, 2008

Hoping we stay a little less stupid than Ohio

Louisville may be getting 12,000 new jobs if shipping company DHL flees Ohio. If it happens, feel free to ignore the inevitable chest thumping in the Beshear Administration.

At issue is a ballot initiative in the Buckeye state that would require small businesses in the state to give paid sick leave to all their employees. If we can just keep our noses relatively clean for a while, Kentucky could become a major beneficiary of this nonsense.

Thanks to Americans for Tax Reform for passing this one along.

Lots more work to do on transparency

Kentucky's need for spending transparency is best demonstrated by the opposition to it by politicians of both parties and at all levels of government.

Take, for instance, the Kenton County Public Library. After Secretary of State Trey Grayson lit a fire under Gov. Steve Beshear to at least pretend to think about opening up the books, the library's board had a discussion about following suit.

They decided to follow Beshear.

If you go to the Kenton County Public Library site, then click on "About Us" near the top of the page, click on "Administration," then click on "Board of Trustees," and then go down to the bottom of that page and click on "2008-2009 Budget," you come to a spreadsheet that lists where the library's $10.04 million in income comes from.

That's not spending -- though I assume they spend it all -- and that's not transparency.

Library Director Dave Schroeder said he doesn't think the Board is inclined to do any more than they already have on providing spending transparency for taxpayers.

We have a lot of work to do to change the way our state operates.

"Good grief!" Alert

Rep. Ben Chandler (D-Versailles), speaking on the Jack Pattie Show on WVLK AM 590 in Lexington, repeated his line about oil companies "making obscene profits at the expense of the consumers."

His apparent lack of understanding of capitalism is a perfect example of why government needs less of our money and less control over our nation.

Barack and Steve are running the wrong way

The Tax Foundation is shining a light on America's too-high corporate taxes with a compelling new website. The Tax Prof weighs in with this:

And look, there's even a funny video:

Meanwhile, in Kentucky, we need to do more than just change the names of our taxes:

Tuesday, August 19, 2008

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A new way to push an old agenda

If the Beshear administration starts refusing to hear consumer complaints against health insurance companies from people without high-priced full coverage, we will know where they got the idea from: Ohio.

We will keep an eye out for this and loudly protest any effort to follow the Buckeyes in refusing to assist insureds selectively. People with HSA's and high-deductible plans are not only more likely to have thought through the wisdom of buying insurance coverage for small items they can easily afford, they probably are also somewhat less likely to join the clamoring for more government control of healthcare market.

KERA Flunks Minorities – Again

There’s dramatic further evidence of KERA’s failure to meet the needs of the state’s African-American population. It lies hidden beneath a Herald-Leader report that some of the state’s colleges want to change the rules for how their minority enrollment percentages are calculated. These colleges want to be able to include out-of-state minority students.

Obviously, KERA isn’t producing enough qualified in-state minority students for our colleges to admit. Now, our universities want credit for tapping into the pool of students of color from other states, students who clearly get better public educations than our own kids receive.

Recently, Education Commissioner Jon Draud said he will be traveling around the state to push claims of great progress in Kentucky’s public schools. Sadly, at least for African-Americans, any real improvement is obviously very small indeed because Kentucky’s college system still can’t find enough qualified minority kids from our public schools and must search elsewhere for them.

What a sad commentary on our bloated, under-performing public school system. And, what a stake in the heart of the inflated claims of progress under KERA.

Was Education Commissioner Draud Doing Us a Favor?

The news about the excessive cost of Education Commissioner Jon Draud’s car has been all over the blogs and in the news. Still, compared to the vehicle costs for what the school bus garage manager in one school district is reported to be driving – at taxpayer expense – maybe Draud was being relatively kind to us (Check out the second reader comment to this news article).

Or, maybe, the Draud experience is typical of a school system that considers it quite OK to make flagrant misuse of tax money. Thanks to the fiscal coding chaos in our MUNIS education financial system, which remains unfixed almost two years after the problems were identified in this report, who can tell?

Ping pong strike begins in Louisville

The Louisville Courier Journal reports this morning that car hauler union workers at Ford in Louisville have gone on strike after rejecting a three-year contract over job security issues.

This means management and the union worked out an agreement, but a majority of the workers weren't ready to face reality.

Here is the key passage from the news story:

"The strike, which involves about 435 workers, is not affecting production at the plants, said Ford spokeswoman Angie Kozleski. She said the auto company had contingency plans in place but declined to describe the measures."

Our U.S. Senate candidates should probably weigh in on this one.

Monday, August 18, 2008

Bluegrass Policy Roundup

The last week has been a big one for the Bluegrass Institute. Here are some of the highlights from the blog:

Doing more with less: getting more bang for our higher education bucks.

I feel richer already -- or at least less poor: celebrating a slowing pace for Kentucky's corporate welfare. But not expecting it to last.

Bob Damron, call your office: expanding gun rights to help keep people safe.

KERA? One state leader knows the truth: An unusual suspect gets props for going against the usual Big Ed spin.

Kentucky can't afford more union fraud: George McGovern said what?!?

Smell of success in Kentucky: Officials in both parties are starting to see that the transparency movement won't be stopped.

And here's one from Jim Waters --
Wal-Mart myths come cheaper than its prices.

Spending $85 million a year you don't have

Everyone is talking about the high-three window closing for Kentucky state government employees, 2800 employees retiring and the fact that so many people were expected to retire the legislature wrote $85 million in annual savings into the budget earlier this year.

What must be made clear is that it isn't working. This means we are spending some of that money twice.

Since we will spend the money anyway, we really need to find a way to save elsewhere. How about eliminating health insurance benefits for county magistrates who only work part-time?

The next big-government cause celebre

What does it say about us that some Kentuckians think it is a tragedy when parents of more than 60,000 kids could sign them up for government health coverage but don't?

Well, Kentucky Voices for Health is alarmed and, not surprisingly, their solution is to increase eligibility for KCHIP.

1. Simplifying the KCHIP enrollment and renewal
process;
2. Increasing KCHIP income eligibility from 200%
to 250% of the federal poverty level; and
3. Raising the age limit for participation in
KCHIP from 18 to 20 ( federal law currently allows
participation through age 19).

And of course, the proposal involves expanded costs of $40 million a year, according to Kentucky Voices for Health.

Sunday, August 17, 2008

Medical Tourism could save us big bucks

Kentucky is not likely to become a destination for patients from other states looking to save money on healthcare, given our insistence on wasteful Certificate of Need policies.

Failing that kind of commonsense change, we should quickly encourage our health insurance companies to cover medical services Kentuckians can get in other countries:

"Apollo Hospital in New Delhi, India, charges $4,000 for cardiac surgery, compared to about $30,000 in the United States."
"A rhinoplasty (nose reconstruction) procedure that costs only $850 in India would cost $4,500 in the United States."
"An MRI in Brazil, Costa Rica, India, Mexico, Singapore or Thailand costs from $200 to $300, compared to more than $1,000 in the United States."

As the 2009 General Assembly draws closer, we really need some healthcare reform. Unfortunately for us, too many Kentucky politicians only see that in terms of spending more tax dollars.

Where is Kentucky's version of Sal Grasso?

Paul Jacob at the Sam Adams Alliance has written a fascinating account of a modern-day hero, Sal Grasso, in Cape Coral, FL. He started out trying to help the city solve a problem and wound up as the Mayor's worst nightmare.

Surely Sal has potential soul mates in towns and burgs throughout Kentucky. If you know of any, please let me know!

Doing more with less

The Lexington Herald Leader is at it again: pushing tax increases in order to make higher education "more affordable" for people with low incomes.

"Chamber president David Adkisson presented the plan to a legislative committee last week without any cost estimates or proposals for paying for it."

"The chamber is on record favoring an increase in the state's cigarette tax while opposing more general tax increases."

"Barring an astounding economic turnaround, it's hard to see how Kentucky could afford this good idea without some kind of tax increase, restructuring KEES or both."

Politicians with an interest in free-market solutions to the supply-and-demand issues in energy would be totally consistent in seeking to tamp down demand for the college experience in Kentucky. More than half of our college students enter unprepared to do college work. Very few of them survive long enough to do more than artificially inflate the cost of going to school.

If we really want to make college more affordable, rather than just to raise taxes for another well-intended project, we need to raise standards in high school and graduate better-prepared students.

Saturday, August 16, 2008

I feel richer already -- or at least less poor

Kentucky's Economic Development Cabinet reported zero dollars committed to new corporate welfare schemes in the week ending yesterday. Kentucky taxpayers and the businesses they own, work for, or patronize can breathe a little easier knowing that no new agreements (final or preliminary) were forged by their state government to compete against them with their own money.

At least for one more week.

Friday, August 15, 2008

Bob Damron, call your office

A small Texas town may become the only school district in the country to allow teachers to carry guns in classes.

"Superintendent David Thweatt said the small community is a 30-minute drive from the sheriff's office, leaving students and teachers without protection. He said the district's lone campus sits 500 feet from heavily trafficked U.S. 287, which could make it a target."

""When the federal government started making schools gun-free zones, that's when all of these shootings started. Why would you put it out there that a group of people can't defend themselves? That's like saying 'sic 'em' to a dog," Thweatt said in Friday's online edition of the Fort Worth Star-Telegram."

Rep. Bob Damron created a stir earlier this year with his bill to allow firearms on college campuses.

KERA? One State Leader Knows the Truth

In his presentation to the Northern Kentucky Chamber of Commerce yesterday, Kentucky Lieutenant Governor Daniel Mongiardo spoke about the real condition of education in Kentucky. He admitted Kentucky is “not going to meet 2014 goals in KERA” and went on to say our education system needs redesign.

After looking at the disastrously low levels of college preparation in the new ACT results that came out on Wednesday, anyone who would dispute the Lieutenant Governor on KERA’s failure hasn’t a leg to stand on.

And, anyone foolish enough to claim great progress for KERA clearly will get a highly informed argument not just from the Bluegrass Institute, but also from the number two leader in this state.

Who should we cover?

California and New York are having serious discussions about how to handle Medicaid spending. Kentucky must do the same -- and quickly -- before we face an actual decline in revenues.

"There is more flexibility in Medicaid than education," says Ann Kohler, director of the National Association of State Medicaid Directors in Washington. D.C. "You can define who to cover and how to set rates."

Now that Gov. Steve Beshear has come out of the closet in favor of avoiding prioritization on spending issues, we can only hope cooler heads might prevail upon him to start making the hard decisions instead of pushing tax increases.

Thursday, August 14, 2008

Kentucky can't afford more union fraud

Fiscal conservatives have an unexpected ally in the battle to hold union abuse in check: George McGovern.

From The Club for Growth:

Beshear misreads tax "holiday" resistance

Speaking in Winchester last month, Gov. Steve Beshear expressed support for the warmed-over "sales tax holiday" scheme that comes up every year at this time.

The question that never gets answered on this thing is: if taxes are too high, why don't we just lower them across the board?

Indeed, Beshear perpetuates the myth that the state is short of money because taxes aren't high enough at the end of the following video when he said "I think it probably didn't pass this time because of the financial crunch that we were in and what it might take out of the revenue stream, but I think it is a good idea and I think it will be back."

Here is the 2008 bill.

If transparency were basketball...

If the University of Missouri basketball team whipped up on our beloved Kentucky Wildcats over and over, heads would surely roll. Getting the public involved in taking corrective action would take no effort at all.

So what are we going to do about the Show Me State running rings around us in the "people's right to know" arena?

Good government isn't basketball, I know, but if only the people who claim to be interested in protecting taxpayers got to work calling their lawmakers to support transparency, we could get it done quickly.

Wednesday, August 13, 2008

Smell of success in Kentucky

The effort to get Kentucky's government spending posted to the internet has been quite interesting. The mainstream media, whose legal staffs regularly do battle to protect their own right to information, have been largely silent on this effort.

And despite politicians of both the Republican and Democratic parties claiming to favor rooting out corruption and waste, until a couple of months ago there were only two legislative bills to post spending online. In the 2008 session, there was a decent effort by Rep. Jim DeCesare to start toward open government, and a pitiful joke of a bill by Rep. Don Pasley that made a mockery of the idea.

So it is interesting now to see some indication of a slowly-developing partisan battle to be more transparent than the other guys in Frankfort.

Just pick up the pace, okay guys?

Governor Tax You More

Gov. Steve Beshear is a rich guy with a bunch of rich friends. Rather than fly across the state trying to raise taxes on everyone else, maybe he and his friends need one of these.

The Rest of the 2008 ACT Story

Well, the 2008 ACT college entrance test results are out, and the Kentucky Department of Education is spinning the story faster than a jet engine. Here are some facts to throttle that noise back a bit.

First, in the “Who ya gonna trust?” department about the new ACT score release, the Kentucky Enquirer today quotes one education source as saying, "The news isn't good, but it's probably too soon to see any of the results of the initiatives we've put in place over the last few years." Meanwhile, the Lexington Herald-Leader writes that an education source told them, “…the latest results are encouraging.”

It turns out both papers reference the same source, Lisa Gross from the Kentucky Department of Education. Check out the Enquirer’s take in “Students not ready for college” and the Herald-Leaders obviously more optimistic “State’s ACT news is good.”

Here are some more facts to help you decide what the news really is.

The number of students taking the ACT in Kentucky is up again in 2008, and the overall Composite score is up another 0.2 point, as well.

That is good news – for someone. However, no-one can tell from this report if the increase in scores and participation comes from public schools, private schools, or home schools. You see, this is an overall report covering all students. There is no way to tell from this report how much, if any, of the improvement is due to KERA.

Never the less, Education Commissioner Jon Draud lost no time in yesterday’s Education Assessment and Accountability Review Subcommittee meeting to crow a bit about the higher scores as though they were definitely a plus for KERA (I attended – In the process, Draud probably broke the embargo on releasing these scores in public until this morning. I suppose rules are for other people). Regardless, we won’t know for some time how our KERA-influenced public schools did statewide, but scattered reports in the news articles above and in the Courier-Journal indicate that the Kentucky Enquirer’s take that “students are not ready for college” is a good summation of our current situation. Despite some small progress, only 19 percent of our kids are really ready for their freshman year.

Here are some more things of interest.

Both the Courier and the Herald-Leader articles provide evidence that African-Americans lost more ground in the new 2008 ACT report. Sadly, that is absolutely correct. For example, our analysis of Table 1.5 in the ACT High School Profile Report for Kentucky for 2008 shows that in 2004 the gap between the Composite score for whites and African-Americans was 3.7 points. In 2008 that increased to 3.9 points. This is not progress.

Perhaps the most depressing part of the entire ACT report is found on page 20, which summarizes the percentages of students who fully meet all the ACT’s individual subject benchmark scores for college success.

Only three percent – yes, just three out of 100 African-American high school grads in Kentucky in 2008 – were fully ready for college! In contrast, 20 percent of the white students were fully ready. Those figures are based on the ACT’s very carefully researched benchmark scoring program, which provides a 75 percent chance of earning a “C” or a 50 percent chance of a “B” in first-year college courses. For all the rest of the students, college is going to be a real challenge, a fact reflected in our low college graduation rates in Kentucky.

We pulled up last year’s ACT High School Profile Report for Kentucky for 2007 and found on page 19 that last year four percent of the African-Americans and 19 percent of whites were ready for college. Thus, the fully-ready-for-college gap for African-Americans versus whites got notably worse this year. For African-Americans, the drop from four to three percent readiness isn’t progress. I guess the education commissioner just ignores these students when he talks about great progress in Kentucky.

There is also a big difference in the proportions of Kentucky males and females in the 2008 ACT test sample. Only 44 percent of ACT takers in the class of 2008 were males, while 55 percent were females.

One wonders where those females are going to find life partners in the future. On the other hand, it looks like college is going to be heaven for the few males fortunate enough to get there. Why do our schools so noticeably under-serve male students? Why does the commissioner think this rather disturbing evidence of a sexist effect in KERA is progress?

On another sad note, the ACT reports the proportion of graduating seniors that took their assessment declined from 77 percent in 2007 to 72 percent this year. That is an attention-getting decline. (Find the 2007 test taking percentage data here and the 2008 data here) This could mean that the 0.2 point score rise came only because fewer weak students took the ACT this year.

To be fair, I must mention that there are some questions about the accuracy of those 77 and 72 percent figures, but there is also evidence in the ACT Score Distributions Table 2.1 in the 2008 report that fewer weak students indeed were in the tested group in 2008. The numbers of students receiving lower scores are below the numbers from a year ago in the corresponding 2007 table. With an overall rise in the number of students tested in 2008, this unbalanced situation would be likely unless there actually was a real decline in the proportion of potentially low-scoring graduates who took the ACT in 2008.

As the Enquirer’s article points out, Kentucky’s endemic problems with math also showed up in the new ACT scores. While across the nation 43 percent of the Class of 2008 was ready for college algebra, in Kentucky only 35 percent were. Overall, just 19 percent of Kentucky’s Class of 2008 was fully ready for college across the four key subjects of English, math, reading and science. After all the noise we are hearing about great progress in Kentucky education, that chilling statistic says someone in education simply does not have the big picture.

That certainly includes Kentucky’s education commissioner, who again stated at yesterday’s legislative meeting that we are making great progress in Kentucky education. I cannot fathom how, after nearly 20 years of KERA, getting less than one out of five of our best students ready for college and life can possibly be evidence of great progress. At this snails pace rate, we are looking at something on the order of at least another half a century to make it to where a reasonably high proportion of our high school graduates are ready for their next step in life. And, this says nothing about the clearly less impressive progress with the lower performing graduates who don’t go on to college and the roughly three out of ten students who don’t graduate at all.

In the end, we have made a small amount of progress, but only a very modest improvement, at best. And, we still don’t know if the small amount of the latest ACT progress came from our KERA-impacted public school system.

Tuesday, August 12, 2008

The “Commish” Tells It Like It Isn’t

The Kentucky School News and Commentary Blog has an article “The Commish Tells It Like It Is” based on an Op-Ed from Business First in Louisville. The Op-Ed is written by Kentucky Commissioner of Education Jon Draud. In his doom and gloom piece, Draud once again makes an erroneous attribution for bogus data. He claims the US Census Bureau says Kentucky ranked dead last for education funding in the 2003-04 school year.

NOT SO!

That bogus ranking actually comes from a report from the National Education Association – not exactly an unbiased source, and certainly not in the same league as the US Census Bureau.

If you want to see real US Census Bureau state education fiscal rankings, look at Tables 11 and 12 in the latest “Public Education Finances” which IS a report from the US Census Bureau. You won’t find Kentucky ranking last anywhere in this real Census Bureau analysis.

Does anyone know what our teachers do to kids who make false citations in a paper? It apparently does not work for our Department of Education, unfortunately. I’ve been through this “it isn’t from the US Census” discussion with the department before, but as of the August 8 edition of Business First, the lesson that it’s not nice to mislead the public apparently has not taken.

Will internet kill mainstream media's star?

MTV rocked radio when it debuted with a video called "Video Killed the Radio Star." Radio isn't dead, of course, but it never was as sick as the traditional news media is now.

Expect to see more of this as people continue to get a larger share of their news online.

Either way, I'm not buying this.

You may also find this interesting, which looks pretty good for the Courier Journal and somewhat less good for the Herald Leader.

Calling Steve Beshear's bluff

Gov. Steve Beshear was in Owensboro Monday night talking about raising government revenues. From The Lexington Herald Leader:

"Beshear again said expanded gambling and an increase in the cigarette tax — two proposals that failed in the legislature this spring — have the most potential to boost state revenues."
...
"”If you don't agree with this particular source, let's find some other source,“ he said. ”We need to hear from the people what they're willing to do.“"
"Beshear said he hadn't decided whether he would reconvene the legislature for a special session to deal with a new revenue measure before the end of the year."

Actually, the most efficient way to boost state revenues is to make the most of what we already have. Cutting out corporate welfare, repealing prevailing wage, and repealing Certificate of Need would provide a nice start to paying off our unfunded public employee benefits. We should focus on paying for the government we have already committed to, Governor, before we go looking for ways to make government bigger.

Monday, August 11, 2008

Make Beshear mad, buy smokes online

I don't smoke. But if I did, I would probably go here for my nicotine fix to help convince the big-government types in Kentucky to get serious about prioritizing and cutting spending rather than frittering away the last days of summer dreaming about ways to save the state with increased tobacco taxes.

The Frankfort Spin Machine is working overtime on making the case for tax hikes. They should have to be more persuasive than they have been so far.

Blog post of the day

From North Carolina, no less:

"Alvin Rabushka has a good idea for the next round of Congressional hearings - have the members explain why gas and oil prices are falling despite speculators and greedy oil companies."

A reprieve for Kentucky taxpayers

According to the Kentucky Cabinet for Economic Development website, no corporate welfare projects have been authorized yet in the month of August.

Saturday, August 9, 2008

Tennessee has more ‘Write Stuff’ than Kentucky

There are huge amounts of time and effort placed on writing in our CATS public school assessment program. CATS has all year long writing portfolios, on-demand writing tests, open-response written answers in all the academic CATS tests, practicing for same, and so forth. Our kids never get a break from it.

Anyway, after all this writing, you might think our kids would ‘cream’ students in a state like Tennessee that only takes an on-demand writing sample once at each school level and has no open-response questions at all in its academic tests.

Well, guess again, and check this out:

Who is in charge of education in Kentucky and is this a good choice?

I don’t think there is much doubt about who is in charge of public school education in Kentucky. It certainly isn’t parents, and it isn’t local school boards (who lost almost all authority for school operations under KERA). It isn’t even legislators, who are supposed to be in ultimate control according to the landmark 1989 Kentucky Supreme Court decision that led to KERA.

It is our educators.

Teachers dominate local school councils, which are now the ultimate local arbiters of what goes on in schools (local school boards lost this power with KERA).

Teachers dominate the legislature through their union. Teachers say “Jump,” and the Kentucky House just asks, “How High?” Any legislative action the teachers don’t want is impossible.

And, teachers and other professional educators (who almost always start out as teachers) dominate state-level groups that control public education activities such as setting testing standards, setting teaching standards, and setting just about everything else, too.

A very recent example of this is the Assessment and Accountability Task Force (which everyone is calling the CATS Task Force), which the Kentucky Department of Education set up to recommend changes to the CATS assessments. Educators dominate the panel (Find the list of members and their affiliations here).

In fact, to be more specific, K to 12 educators and their close fellow travelers like Bob Sexton of the Prichard Committee dominate the panel. Only two representatives from the state’s postsecondary system are involved, and neither has recent classroom experience in our colleges. Business and industry’s only representation is by two chamber of commerce people. There are a number of legislators, but the ones from the House are unlikely to do anything teachers don’t want.

So, once again, K to 12 teachers are in control.

But, is this a good idea? Do K to 12 teachers really know what kids need to succeed in the new economy? How could they know that, as very few have ever been outside of a classroom for anything other than a part-time summer job. In fact, do K to 12 teachers really know what kids need to go on to postsecondary education?

For an answer to that, check this out:

Friday, August 8, 2008

Sky continues to not fall

Kentucky State Budget Director Mary Lassiter reported at 8:15 am today that total General Fund receipts for July were $646,572,028. That is $12,334,025 more than was collected in July of 2007.

This is just more evidence that we have a spending problem and not a revenue problem.

Paying for the junk in Beshear's trunk

The Frankfort State Journal reports today that Gov. Steve Beshear spent $86,000 on his recent junket to Japan. Beshear spokesman Jay Blanton says we should be happy about it:

"Despite the high price tag, Jay Blanton, a spokesman for the governor, said the trip to Japan was a good investment."

""You have got to spend dollars and time and effort to get the payoff," he said. "When the economy is tight we need to pay more attention to job recruitment efforts. The people of Kentucky expect the governor to aggressively recruit investments that result in jobs.""

That kind of effort, expense, and the tax dollar giveaways that seal the "economic development" deals politicians tout may continue to be the best we can do as long as the state keeps taxes too high for everyone else.

Or we could get rid of taxes on income altogether and see how much more competitive and productive that makes us.

Barack Obama's class warfare "surge"

Sen. John McCain supports an effort in his home state of Arizona to repeal Affirmative Action laws after opposing it in the past. But Sen. Barack Obama's approach to the program is really, uh, interesting:

"Weighing in from the presidential campaign trail, Republican Arizona Sen. John McCain said he supports his state’s anti-affirmative action ballot, leading to charges of flip-flopping, because a decade ago, McCain opposed a similar plan in the Legislature. Democrat Sen. Barack Obama, whose father is African and mother is white, said he opposes the measures, but said he does not consider affirmative action a long-term solution. He suggested that such programs should eventually focus on class, not race."

How are you gonna do that, Senator?

Thursday, August 7, 2008

Honky-tonking...on the taxpayer's money

Speaking at a forum in Richmond Thursday night, Rep. Lonnie Napier brought up the effort to remove welfare benefits from people who abuse illegal drugs. He said he may co-sponsor Rep. Melvin Henley's bill in the 2009 session.

Dragging Kentucky lawmakers out of shadows

Last spring, Kentucky's legislature went through closed-door budget negotiations, again. When budget conferees emerged from behind the armed guards at the last minute, it was too late for citizen input. As a result, we got a spending plan for more government than we can afford.

Rep. Jim DeCesare has pre-filed a bill that would give everyone 24 hours to examine any bills relating to revenue or spending.

The smoke-filled room crowd won't be happy with this, but the battle to open up the process will only continue to gain supporters.

Wednesday, August 6, 2008

BIPPS TV rocks

Got six minutes to watch a hilarious school choice video?

Thanks to Andy Roth at Club for Growth for passing this along.

Drug testing welfare recipients, take two

Rep. Melvin Henley pre-filed a bill today that would set up two pilot programs -- one each in the eastern and western parts of the state -- to require drug testing of public assistance recipients and require revocation of benefits from anyone who fails the test or refuses to take one.

The bill requires testing to be limited to cases in which officials have probable cause to believe an adult recipient is using illegal drugs. This provision had to be added to last year's version to avoid prevent the bill from being found unconstitutional. He said back in June that he would file this bill.

This bill generated wide public support last session, only to be killed in the House. Figuring out some way to cut back on abuse of the welfare system is probably a good idea. Fiscally responsible legislators may want to weigh in on this one.

More reasons to lower taxes in Kentucky

Supporters of lower taxes in Kentucky got more ammunition yesterday with news of a 50 state report card rating states on how they treat their manufacturing and logistics companies.

Kentucky got one of seven F's in the nation, ranking 45th overall. Low grades in education attainment and corporate and unemployment taxes dragged the state down. High grades in sales taxes and manufacturing's percentage of the economy kept us from from joining West Virginia at the bottom of the rankings.

The report was prepared by the Bureau of Business Research at Ball State University.

Very interesting comments from the man responsible for the report:

"Mike Hicks, director of the Bureau of Business Research, notes that manufacturing and logistics industries in most of the nation are actually expanding, despite a general belief these sectors are declining.
"The condition of manufacturing and logistics remains remarkably misunderstood," he said. "Despite record production levels, expanded investment and growth in both wages and productivity, the shrinking or static demand for workers results
in a mistaken caricature of these industries as dying. Nothing could be further from the truth."
The 2008 State of the Industry Report found that 2007 was a record year for American manufacturers, with inflation-adjusted values higher than in any previous year. Nationally, growth in the production of goods continues to be robust."

Probably won't see any of this in the mainstream media.

Tuesday, August 5, 2008

CATS Task Force Starts

Education Commissioner Jon Draud’s “Task Force on Assessment and Accountability” got started in Frankfort today. I was in the audience, which seemed to lack even one reporter (I think they are all still busy trying to sort through the new No Child Left Behind report that came out today).

Anyway, there were three hours of discussions, starting with the ‘commish’s’ comments that he really wasn’t interested in making lots of changes to CATS. He basically indicated he just wants to get legislators and the public more comfortable with the CATS assessment we have now.

My impression of the committee’s reaction to that idea – Good Luck – even with this hand-picked committee, which is heavy on K to 12 educators.

It’s clear that people are concerned about a large list of items such as slow score turn-around times that mean schools can’t use CATS to help plan curriculum (great point from committee member Steve Stevens), issues with whether writing portfolios help or hurt writing instruction, questions about how to make individual students accountable (probably impossible with the current “matrixed” form of CATS where different students get tested on different subsections of the overall curriculum) and so forth.

There were no main decisions reached at this meeting (a laundry list of items for further discussion was not finalized and will have to be assembled and sent out later) – with one notable exception. When the ‘commish’ and his workers tried to set up a task force schedule with just one meeting a month between now and November, that got shot down in a hurry. It seems the people appointed to this group are less malleable and a bit more interested in giving this a good “college try” than the department of education anticipated. And, when I found myself in agreement with some of the comments from the Kentucky Education Association president about problems with writing instruction interference from CATS, there may indeed be some hope that what the department wanted to be a low key sort of white-wash might just turn out to be something much better.

A New NCLB 'Stat' You Probably Won’t Find in the Papers

Kentucky’s new NCLB report for 2008 just came out, and the newspapers are doing all sorts of analyses. But, here is one “stat” they might miss.

We took a look at the White to African-American proficiency gaps in 2007 and 2008 which have to be calculated from the huge amount of data in the Excel spreadsheets for the 2008 results. The table tells the tale.



Both the gaps in reading and math got worse.

It's more of that great KERA success we hear so much about. Of course, our CATS assessment doesn't have any penalty for leaving small groups of students behind because it only looks at overall scores, which can effectively hide the performance of small student subgroups. Only NCLB gives us this sort of data and hits schools that don't perform.

Make-believe news day for Whiner Nation

The Louisville Courier Journal was silent a month ago when the state issued real statistics indicating that revenues for the just-ended fiscal year represented an increase over the previous year.

This didn't fit with the "we need tax increases" story, so it never saw the light of day.

But now the same newspaper is jumping on similar speculation in the new fiscal year to suggest that the evidence for new revenues is just around the corner:

"This report is a preliminary review based on no actual receipts data. It's based on national economic indications that anticipate a continuing decline in economic activity," said Budget Director Mary Lassiter. "It causes us concern, but it's way too early to translate that into a revenue shortfall. We're hoping things turn around."

Now if we could just prioritize our spending by category and drop programs we can't afford instead of angering all the constituency groups and spurring on their lobbying efforts, we might be able to break out of our tired old boom-and-bust cycle.

No one dies with transparency or accountability

Thanks to an executive order signed by Gov. Steve Beshear today, Kentuckians will soon be able to drive glorified golf cars at low speeds on some streets.

Let's pray casualties are kept to a minimum.

Meanwhile, Beshear hasn't quite managed to pull the trigger on letting people see how their money is being spent or requiring education bureaucrats to be more honest in reporting education statistics. He could do both -- or either one -- by executive order also.

More on magical cigarette tax

We heard a lot earlier this year about how great things would be if we only raised the cigarette tax in Kentucky.

The Lexington Herald Leader continues the charade today with an editorial comparing us, unfavorably, to Massachusetts:

"Kentucky has fewer teachers than a year ago. Massachusetts has fewer smokers."

"Why, you ask, would these two items show up in the same thought?"

"Here's why: The legislature in Massachusetts is driving the decline in smoking by, among other things, raising the cigarette tax."

"The legislature in Kentucky is driving the decline in the education work force by not raising the cigarette tax."

The same editorial also repeats the fantasy that the tax increase would have "raised more than $200 million". They really need to have a talk with cigarette retailers along our borders with other states about the real impact on net tax revenues caused by a cigarette tax increase.

Monday, August 4, 2008

The coming battle for your education dollars

Georgia is ahead of Kentucky in providing educational options to students and parents. That state's Governor signed into law last year a bill to allow special-needs students to escape public schools in which they were poorly served in order to attend private schools with the money that would have otherwise gone to the failing schools.

This has, needless to say, made a few people mad.

The Athens (Ga.) Banner Herald said today in an editorial:

"If it wasn't perfectly clear when he introduced a measure calling for vouchers for special-needs students in the 2007 state legislative session, it is now: State Sen. Eric Johnson, R-Savannah, is intent on leading the charge to dismantle Georgia's public schools."

While the 900 families that have joined the new special-needs scholarship program are glad to no longer be political footballs, the newspaper quotes an Insider Advantage/Majority Opinion Resarch poll which found that 68 percent of Georgians want the program spread to all children. There is no reason to imagine less pent-up demand exists in Kentucky.

Kentucky's House Education Committee remains the place where education innovation dies. That is where you can still find what is left of Kentucky's special-needs scholarship bill.

Kentucky Versus California In Writing

After all the hype about writing improvement in Kentucky’s public schools, you would think we should easily outscore a state where one out of five kids doesn’t even speak English as his or her primary language. But, check this out:

New pension scandal may wake us up here

Unions have used unsustainable pension benefits as a weapon against corporations and governments for decades. In most cases, both sides spent much of that time unconcerned about the damage their game would do to their successors and, primarily, to the people paying the bills -- shareholders and taxpayers.

Most corporations and many governments have figured this out. Kentucky's politicians remain largely oblivious.

This, from WSJ.com, may help:

"Normally, companies can deduct the cost of deferred comp only when they actually pay it, often many years after the obligation is incurred. But Intel's contribution to the pension plan was deductible immediately. Its tax saving: $65 million in the first year. In other words, taxpayers helped finance Intel's executive compensation."


Taxpayer-financed executive pay will be red meat for the anti-corporate types. If it wakes them up to Kentucky legislators' pension scam, perhaps we will be on the way to really repairing our own unsustainable public employee benefits system.