Archive for May, 2010
Democracy Is Killing Our Republic
by KJ Kaufman on May.31, 2010, under Constitutional Matters
Yesterday, I went to a BBQ in the hopes of avoiding all political discussions and just enjoying the day. You see, I’ve gotten myself into trouble before talking about politics at family functions, so I had vowed to spend a day mute on all things political. I made it three hours. Then, while standing in the kitchen with my nephew and two of his friends, I was asked what I thought about SB1070 (Arizona’s illegal immigration bill). Damn, I thought, I can’t walk away from this discussion. So I asked the questioner if he had read the legislation. To which he responded that he had watched a lot of media coverage on the bill, and therefore, knew what it was about. So I said, “but you haven’t read the legislation, is that correct?” To which he replied, correct. So I said, “then, please let me educate you on what this bill is really about.” I subsequently shared the four goals of the legislation which I’ve written about here and here. I explained to him that if we were still allowed to have honest discussions in America, the Arizona citizens would be allowed to participate in an intellectual discussion on whether or not the goals the legislation attempts are worthy goals, just and in the best interest of Arizona citizens. His final reply on the subject was, “well we should have voted on the legislation.” And that is the crux of today’s piece, our youth think we are a democracy instead of a republic, and until we educate them on the differences, we have little hope of seeing the “Great American Experiment” survive.
First and foremost, it is imperative that all Americans understand that we are not and never have been a democracy. We are a Constitutional Republic, a nation bound by laws with the supreme law of the land being our U.S. Constitution. Our Founders knew, based on history, that democracies only succeed in small subsets, and have never succeeded on a grand scale; therefore, when setting up both our States and our U.S. Government, they did so as a republic and not as a democracy. We have representative government, which is supposed to represent the will of the people, but there is no democracy in this representative government. If our representatives fail to reflect our views, then we are to vote them out and put in their place representatives that will represent our views, but again this is not a democracy. It is a representative, Constitutional republic.
It isn’t difficult to understand why the youth, and especially the youth of Arizona, think that we are a democracy. Just a couple of weeks ago, we voted on a proposition in Arizona on whether or not to raise our own sales tax. Why did we do that? Because the State Legislature didn’t have the fortitude to make the hard choices on their own and figure out whether or not to raise sales taxes or decrease spending, so instead of acting like a representative mandated in upholding the Arizona State Constitution, they instead left it to a democratic vote of the Arizona registered voters. The sales tax passed the vote, primarily because 2 million dollars were spent in support of the measure by unions, especially the teachers’ union, and the university system because these special interest groups would benefit the most by this legislation passing. Meanwhile, the State Legislators know this is only a band aid and will not fix the budget crisis that the State of Arizona still faces in the years to come. As stimulus dollars dry up (which in large part have continued to fund the States’ over bloated budgets, and as Obamacare begins to go into effect substantially increasing the Medicaid budgets of the States, Arizona will continue to run deep deficits until it reigns in spending for its two highest budget sucking dollars (medical, i.e. Arizona’s version of Medicaid, and K-12 along with State University spending). At some point, these two expansive budgetary items are going to have be cut and cut substantially if Arizona is ever going to be in the black again. All passing the sales tax increase did was prolong these tough decisions another year (even though the tax is for three years), and a year from now the constituents of Arizona will see absolutely no positive affect of their uninformed vote to raise their own taxes. This represents democracy in action. It is a losing proposition. History has shown us that, and now the Arizona voter will be able to witness firsthand how their democratic actions will have no positive effect and will not solve the problem they hoped their vote would solve.
Let me give you another example of democracy in action that will absolutely kill this nation if the Constitutional Republic in which we live does not rectify the misguided democratic action. Obamacare passed earlier this year. Against the will of the people, our Congressional representation passed the law and President Obama signed it into law. Now many of you might argue, see our representative republic doesn’t work because the majority of the people didn’t want Obamacare, but it passed using our system of representative government. The problem with this argument is that it leaves out one important component of our republic and that is the rule of law. Obamacare is Un-Constitutional. I’ve written numerous times on how the individual mandate to purchase health insurance is Un-Constitutional. If you wish to see this argument in its detail, I encourage you to read Senator Hatch’s wonderful speech on the floor of the Senate as I summarized it here. So when Obamacare finally makes it to the Supreme Court, if our Constitutional Republic remains intact, it will be found to be Un-Constitutional and the legislation will enter the waste bin of history where it belongs, and will not become the law of the land.
These are just two small examples of how a majority vote (democratic in nature) does not solve the problems of our land. More importantly, it shows how ignoring our Constitutional Republic only brings us trouble providing no solutions to the problems we face. It is imperative for the sake of our country that we not only return to Constitutional governance and government, but that we also educate our youth as to why it is preferable and the system under which our Founders put in place. To do any less is to abdicate our responsibility to preserve our Nation and our freedoms.
I leave you with a few quotes from our Founders with respect to democracies and republics:
Yes, we did produce a near-perfect republic. But will they keep it? Or will they, in the enjoyment of plenty, lose the memory of freedom? Material abundance without character is the path of destruction. –Thomas Jefferson
Remember, democracy never lasts long. It soon wastes, exhausts, and murders itself. –John Adams
Democracy is two wolves and a lamb voting on what to have for lunch. Liberty is a well-armed lamb contesting the vote! –Benjamin Franklin
If a republican government fails to secure public prosperity and happiness, it must be because the citizens neglect the divine commands, and elect bad men to make and administer the laws. –Noah Webster
Hold on, my friends, to the Constitution and to the Republic for which it stands. Miracles do not cluster, and what has happened once in 6000 years, may not happen again. Hold on to the Constitution, for if the American Constitution should fail, there will be anarchy throughout the world. –Daniel Webster (technically not a Founding Father (born 1782)
Finally, I ask that you watch the following YouTube video with your children. The video describes the various forms of government and in particular compares and contrasts a democracy and a republic.
Housing Hypocrite Barney Frank Looks like an Orwellian Ministry of Truth Worker Re-writing History
by KJ Kaufman on May.21, 2010, under Politics
Representative Barney Frank (D-MA), the Chairman of the prestigious Finance Committee since 2006, has been spinning this idea that he was promoting the renting of affordable homes instead of promoting the purchasing of affordable homes. Representative Frank should have been the head of Orwell’s Ministry of Truth for all the re-writing of history he is currently engaged in. There is no better way to show you the hypocrisy of Barney Frank than simply letting him do so in his own words. First Frank’s latest lie that he was pushing renting homes not buying homes.
But what was Barney Frank really saying circa 2004 to 2007?
Barney Frank and the rest of the Democrats have been wrong time and time again regarding Fannie Mae, Freddie Mac and the housing crisis. They willing blocked regulatory investigations and further regulation of Fannie Mae and Freddi Mac. Here is a sampling of the Dems greatest hits in the housing crisis hypocrisy.
How long are the American people going to allow the Orwellian Democrats to re-write history and to outright lie to you before you say enough is enough? The Democratic party, after being usurped by the Progressive Movement, has destoyed this Country. It’s time to put an end to their lies, the progressive agenda, and their destructive ways. Make them accountable for their actions. Vote them out in November 2010.
The Last Straw — I’m Leaving Arizona
by KJ Kaufman on May.19, 2010, under Featured Posts
Yesterday, the voters of Arizona were asked to determine whether or not to increase their own taxes (a one cent “temporary” sales tax increase for three years) to bailout the Arizona State government’s irresponsible mismanagement of their tax dollars and fill a one billion dollar budget deficit. It wasn’t bad enough that the State took the prosperous times in the middle of the last decade and did nothing to ensure that they would have money during leaner economic times, but they had the audacity to support this tax increase watching special interest groups and unions pour 2 million dollars in advertising to shame Arizona voters into voting themselves a tax increase by claiming if we didn’t do it that schools and public safety would be irreparably harmed. The Arizona voter was made to feel that they would be a callous, insensitive, inhumane, completely selfish citizen if they dare vote not to increase their own taxes.
I’ve shared my story with many, but let me briefly share it with you again, so you can see what this new tax symbolizes to me, and the action I plan to take as a result of this tax. In the end, it now all comes down to economics for me. In January of 2008, I was laid off from my job. Having paid into the unemployment insurance system for more than 25 years, I could feel good about applying for and taking unemployment benefits. I didn’t do that. I never took a dime in unemployment benefits. Why? Not because I immediately found a job for I saw the writing on the wall in early 2008 that jobs would be scarce, and it would be difficult to find a job making enough money to support my monthly expenses. Instead of applying for unemployment benefits, I immediately started a business. For the first eighteen months, even in the best months of income for my business, I made a mere 25% of what I needed to pay my monthly personal expenditures (not including business expenditures). I took out a personal loan to make ends meet for 6 months. I traded in my car and reduced my monthly car payment by 30%. I poured through the meager savings that I had, and then I turned to my retirement savings and poured through 75% of that. Finally, in January of 2010, my business began to make enough money to support my monthly personal obligations. In other words, today I am breaking even. During the entire two years where I was upside down month after month after month, I paid for my own healthcare first through the exorbitant costs of COBRA and later by procuring my own personal health insurance policy. Not once in those two years of scraping by day after day did I take any money from the government. Not once in those two years did I take any money from my family. Not once in those two years was I late with any payment for any of my obligations including my mortgage, my car payment, my personal loan, my credit card, my utility bills, etc.
I purchased my home in January of 2006 at the height of prices for homes in the housing boom. Today my home is worth half what I paid for it. Over the past 2 ½ years, I have often thought of the economic impact to myself of having a home that I owe twice what it is worth, and I have thought of simply walking away from it either through a short sale or bankruptcy. The sole reason I have not pursued either of those is because I knew I was buying at the height of the market, and I signed a contract. As long as I could afford it, I felt that I must meet my obligation that I knowingly and willingly signed into. To add insult to injury, in 2009, the State of Arizona increased the property taxes for Arizona homeowners by 25%. Even though my home is worth ½ what I paid for it, I now am further insulted by the State by having to pay just as much in property taxes instead of my property taxes being lowered as a result of the devaluation of my home. The final straw came yesterday. After the passage of AZ Proposition 100 (the one cent sales tax increase), I’m not so sure I’m going to continue pursuing a life of personal responsibility when 2/3 of Arizona voters feel it’s perfectly fine to take more of my money. You see, when you don’t hold our elected officials accountable for their gross mismanagement of our money, and you simply let them off the hook by giving them more money, an additional expense that I simply can’t afford right now, I’m finding it hard to continue to hold myself personally accountable by continuing to meet my personal obligations when doing so certainly is no longer in my best economic interest.
The passage of Prop 100 represents the last straw for me. On Easter of this year, I went over to my sister’s house. What did I find in her front yard that day? a Yes on Prop 100 sign. When I asked my sister and brother-in-law why they were supporting Prop 100, they said so their two sons’ (who are attending Northern Arizona University) tuition would not increase. You see it never dawned on them that their sons, my nephews, could maybe work over the summer to make up the tuition increase. It never dawned on them that maybe someone like me who has struggled mightily to make ends meet over the past two years, simply doesn’t have the money to help keep tuition from increasing at NAU. Selfishness pure and simple, but not on my part, on the part of my family that thinks my taxes should rise just so her family doesn’t have to pay another $500 or so a year per kid to send their children to college. I’m sorry but in an economic crisis, we all have to sacrifice, and I’m tired of sacrificing while others simply will not.
So you can thank the passage of Proposition 100 for the following decision that I have made. I’m going to short sell my house and get out from under this economic burden. I’ve been personally responsible in the past, but no more. I’m tired, and I’m done. I’m going to move out the State of Arizona. You see, when I built my business, I built a business that can go anywhere. I’m not tied to Arizona for my business. I have customers all over the country. I’m going to go find the least taxed State, the most business friendly State that I can find, and move myself and my business to it. Arizona voters, you may have voted to increase the sales tax by one cent yesterday, but you certainly will not be getting another penny from me.
Why a One Cent Sales Tax Increase Will Never Solve Arizona’s Budget Woes
by KJ Kaufman on May.17, 2010, under Featured Posts
I implore all Arizona voters to please vote NO tomorrow on Arizona’s “temporary” one cent sales tax increase. Please note that whatever promises the government makes you, there is no such thing as a “temporary” tax. More importantly, I completely understand that many of you are afraid that if you don’t pass this increase that our schools and public safety departments will be severely cut. I’m here to tell you that your fears will not come to pass. The budget can easily be cut by a substantial amount and it is not going to affect the QUALITY of the education your child is receiving or your safety. The problem with Arizona is it spends way too much money on these services, and I am not talking about teachers’ or police and fire salaries. Let’s look at the numbers for a minute.
In 2009 and 2010, here is what our three universities received from the State of Arizona:
| University | 2009 AZ State Budget Dollars | 2010 AZ State Budget Dollars |
| Arizona State University | $679,739,117.00 | $658,342,241.00 |
| Northern Arizona University | $177,683,824.00 | $176,747,245.00 |
| University of Arizona | $491,778,307.00 | $495,315,824.00 |
| Totals | $1,349,201,248.00 | $1,330,405,310.00 |
The Arizona State total budget for fiscal year 2010 is $26,644,946,786.00. These three universities alone take up 5% of our State budget. While you have been cutting back and scraping to meet your monthly obligations, no significant cuts were made to the budgets of the Universities in 2009 or in 2010. In fact, the University of Arizona is actually receiving slightly more money in 2010 than it did in 2009. Doesn’t it seem to you that given this fiscal crisis that the Universities could maybe take a bit of a cut say maybe 5 or 10%? But let’s not stop here. Let’s look at more massive amounts of your money the State is spending.
Here is a list of the top 5 Arizona State budget items in 2010:
| Budget Item | 2010 AZ State Budget Dollars |
| AHCCCS (Arizona’s Medicaid Agency) | $8,217,333,432.10 |
| Department of Education (K-12) | $4,695,557,267.15 |
| Department of Economic Security (DES) | $2,722,199,136.48 |
| Department of Transportation | $2,261,124,427.15 |
| Department of Corrections | $840,529,041.66 |
The first thing we must acknowledge is that Medicaid spending is out of control. There is no way for States to continue support these programs without completely revamping the system. We all wish to help those who cannot afford health insurance to be provided with some type of medical coverage, but is the existing Medicaid program truly the best way to do this? If so, how long can it be sustained especially in light of the recent passage of Obamacare which substantially adds to the Medicaid roles. It will become completely unsustainable at some point by the States (if it isn’t already) if we continue down the current path.
In the top 5 State expenditures, how much do you think illegal immigrants are contributing to the costs especially in the areas of Medicaid, K-12 education and the Department of Corrections? Is it at least the 1 billion shortfall we find ourselves in that is spurring the push to raise the sales tax by one cent? Have you even looked at all of the money being spent in this State and questioned where all of this money going? Before you vote to raise everyone’s taxes, don’t you have a duty to evaluate the numbers? Don’t you have a duty to ensure that your legislature and other members of State government are making the tough decisions and being responsible with your money?
Mr. Dean Martin, our State Treasurer, who is also running for Governor stated the following (which you can find in your “Ballot Proposition Guide” for tomorrow’s special election):
“Arizonans are struggling to make ends meet. Consumer confidence is at all time lows, unemployment is high, and sales of big ticket items like cars and homes are down dramatically. Yet last September Governor Brewer used her line-item veto power to INCREASE spending by nearly half a billion dollars, after RAISING property taxes by a quarter billion dollars! (this is why many Arizonans saw their home values drop but property taxes increase). As a result, state spending hit historic highs last fall, with October being the second most expensive in state history, and November the HIGHEST IN STATE HISTORY!
Faced with the possibility of bouncing checks, in January the Governor SOLD the State Capitol and spent the cash in five days.
Now you are being asked to raise sales taxes by 18% to bailout the Government for continued fiscal mismanagement. You have been told this is the only way to solve this problem but there is another way. Half of next year’s $3 billion budget ‘deficit’ is just to maintain President Obama’s ‘stimulus’ spending levels. Arizona can get out of this fiscal mess by freezing spending and restructuring our existing debt.
Don’t take my word for it. Check it out for yourself. I put every dime the state collects and spends online at www.azcheckbook.com. Ignore the scare tactics, and make up your own mind; after all it is YOUR MONEY, not the government’s.
We must stabilize this economy by attracting people to move into these vacant homes, and attract economic investment to create jobs. We cannot do that by making it more expensive to live and work here.
We need to reduce spending, and create jobs, not take more from existing taxpayers.
Vote NO on this government bailout. If we have to live within our means, shouldn’t government?”
I think Dean Martin has summed up many of the arguments that I’ve made in this article. It’s up to you now, but please don’t believe the government’s lies that education and safety will be gutted if this tax increase doesn’t pass. The government is simply made up of spendaholics on a decade’s long binge. It’s time to take the “bottle” (money) away from them, and make them sober up (make the hard choices and cut spending).
A Chance Encounter with the Governor of AZ
by KJ Kaufman on May.08, 2010, under Editorial
I want to begin by letting the readers know that I did not hold much respect for Governor Brewer prior to AZ SB 1070 passing and subsequently being signed by the Governor. After SB 1070 passed, Governor Brewer made the rounds of several cable news network talk shows, and I happened to catch her interview with Greta Van Susteren. After watching this interview, my opinion of Governor Brewer changed, and I respected how well she represented her position and the position of our state with respect to illegal immigration.
The other night, on my way home from bowling, I happened to stop in my local drug store. Who should I see roaming the aisles of the drug store but none other than Governor Jan Brewer? At first, I wasn’t sure it was actually the Governor as she was fairly far away from me. As she got closer, I looked, and I was almost sure it was her. Then, I noticed an older gentlemen wearing a suit (please note that you rarely see suit wearers in the desert of Arizona; it’s hot here you know). He also had an ear piece, so all was confirmed for me that it had to be the Governor. I finished paying for my purchases, and as I turned to leave the store, the Governor was right there near me, so I couldn’t pass up the opportunity to speak to her, and when I say speak to her that’s exactly what I mean, speak to her as I didn’t much want to listen to her as much as I wanted her to hear the concerns of your average Arizona constituent.
I began my attempted soliloquy with Governor Brewer by shaking her hand and telling her that it was a pleasure to meet her. I sincerely thanked her for representing Arizona well in her public appearances since the passage of AZ SB 1070. She seemed both sincere and grateful in her responses of thank you. I then explained to her that I understood that her time was valuable and that I hated to intrude on her personal time, but that I had to know the answer to one question. I asked her if the public sector truly understood how devastated the private sector has been by the financial crisis and economy of the last three years to which she responded yes. I then said, really Governor Brewer? Let me share my personal story with you and see if you really understand just how devastated the private sector has been.
On December 31, 2007, I was laid off from my job. I immediately started my own business as I understood at the time that the economy was headed downward and finding another job at the salary required to pay my bills was not going to be easy. In the early days, while I attempted to grow my business, I also looked for work, but I found as the months went by that opportunities were continuing to dwindle, and I never found work as I had feared. It took me two years of perseverance to finally get my business to a point where it now pays my monthly bills both business related (which are very nominal) and my personal expenses: mortgage, car payment, utilities, food, etc. During that entire two years, I never took a dime from government. Even though I was eligible, I never filed for unemployment benefits. During those two years, I paid my own health care insurance first through COBRA (which was prohibitively expensive) and then later by acquiring my own personal health care insurance to which I still pay for every month to this day. I explained to Governor Brewer that through that time I had to completely decimate both my personal and retirement savings accounts of which I have only a small amount left of the retirement money. I then explained to her that no matter how much she thinks a one cent sales tax is necessary, I and many of my fellow Arizonians simply can’t afford her one cent sales tax. I told her until the public sector is willing to take a 10% pay cut, I find it impossible to have any empathy, or sympathy for public workers because they’ve spent the last two years receiving their paychecks while I and many others have been struggling just to survive.
To make a long story short, the Governor and I still don’t agree on the one cent sales tax proposal. I hope and pray, the voters of Arizona aren’t dumb enough to give the Arizona government more tax money to abuse and mismanage because quite frankly the private sector simply cannot afford it.
Governor Brewer explained that she inherited a mess from former Governor Napolitano, and all clear thinking Arizonians know that, but that doesn’t mean we can afford any more taxes. Governor Brewer explained that she has never before voted or supported a tax increase in her public service career, but that she must now because there is no other way to solve the problem. I’m sorry Governor Brewer, but there is another way. Like the rest of us in the private sector, you can cut spending further. I as a private citizen have had to do it as have many others in our state. I don’t get to go to my neighbor, and tell them, hey, I can’t make my mortgage payment this month, will you pay it for me? So Governor Brewer, I’m sorry, but you don’t get to ask us for more. WE SIMPLY CAN’T AFFORD THE ONE CENT SALES TAX. LIKE THE STATE OF ARIZONA, WE ARE FLAT BROKE!