Tolbert Report

The Tolbert Report

by Talk Business -

Arkansas Democrats Long For Clinton Days

Great column this weekend from the AP’s Andrew DeMillo, who seems to have his finger on the pulse of Arkansas politics as well as anyone else in the Arkansas mainstream media. He looks at the ClintonMania still felt as strong as ever among Arkansas Democrats. We saw this on parade this weekend as they celebrated the 20th anniversary of Clinton’s announcement that he was running for President.  Here is one key part

Democratic Congressman Mike Ross, who started in politics as a driver for Clinton, said the message is more about the future than trying to relive the Clinton days.

“It gives hope to those of us who are Democrats and hopefully serves as a reminder that the Democratic Party has a very diverse group of people within it…I think we can learn from that,” Ross said.

When asked whether Obama could live up to the Clinton standard, Ross responded: “I don’t know.”

“We’ve got record deficits and an economic recovery that is moving way too slow and leaving way too many people behind,” Ross said. “Is that all his fault? No, but he is the president of the United States, so he has to accept at least some responsibility for that.”

The truth is Arkansas Democrats want to pretend that the last two Presidents were Bill Clinton and Jed Bartlet.  Barack Obama? Never heard of him. 

I also find it quite comical that they are touting how bipartisan they are and highlighting any vote that makes them appear conservative.  They dismiss anything that makes them look liberal as some sort of cheap partisan trick that will drive Arkansas to become like Washington.

It seem like their new motto is – "Vote Democrat: because sometimes we vote like Republicans!"

For a preview of ads that Arkansas Republicians will likely run next year, see the ad below from the Republican Governor’s Association linking the Democratic candidate for governor in West Virgina to the implementation of ObamaCare.  Their special election is Tuesday.

by Talk Business -

Owner Turns Sprinklers On Pro-life Prayer Vigil

In July, I wrote about a new movement springing up in Arkansas that seeks to combat abortion not with violent protest, but with peaceful prayer demonstrations.  It is called "40 Days for Life" and it is having amazing success all over the country.

One of the cities where its impact has been profound is Fayetteville.  They first began demonstrating outside abortionist William Harrison’s clinic until he closed his business. They then moved to the Planned Parenthood clinic where abortions are being performed using the RU487 abortion pill.  This year, Planned Parenthood moved its clinic to a different location on Crossover Road.

The "40 Days for Life" kicked off their current prayer vigil at this new location on Tuesday.  Organizers were thrilled with the large turnout of around 100 people, including former State Sen. Jim Holt and former State Rep. Jim Bob Josh Duggar (son of Jim Bob.) They met to pray outside the clinic on the right of way by the street, but were soon greeted by an unexpected surprise.

As they began their meeting, the owner of the building turned on the newly installed sprinkler system which was pointed in their direction.  As the water sprayed them down, the owner came out and began shouting at them to go away.  He even called the police and demanded that they be arrested.

The "40 Days for Life" organizers explained to the police that they were on the public right of way and not the owner’s property.  Organizers had notified the police in advance of their plans and made sure they had everything in compliance with city ordinances.

But the owner of the building persisted.  According those outside the clinic, he is continuing to turn on the sprinklers as the 40 days of events continue.

"It will not deter us," said Tiffany, who is one the event’s coordinators. "We just show up in our ponchos, hats, and rainboots and carry on."

Tiffany says that they feel no ill will toward the owners and are praying for them along with the women going into the clinic.

"We hope that we can be a witness to them by our prayerful response," explained Tiffany.

You can find out more about the demonstrations in Fayetteville as well as the one in Little Rock on the "40 Days for Life" website.

by Talk Business -

Ross: Let’s Call A Time Out On The 2012 Elections

Congressman Mike Ross appeared with Talk Business editor Roby Brock this morning to take questions for viewers via email and twitter.  It was a very enlightening interview in which Ross seemed remarkably open, perhaps freed up by his decision to not seek re-election in the upcoming 2012 election.

In addressing his confidence in that decision, he mentioned something that at first blush reminded me of North Carolina Gov. Bev Perdue’s comments early this week where she said – "I think we ought to suspend, perhaps, elections for Congress for two years and just tell them we won’t hold it against them, whatever decisions they make, to just let them help this country recover. I really hope that someone can agree with me on that. You want people who don’t worry about the next election."

Perdue has since backtracked from that saying she was only being sarcastic.

Ross’ comment was in response to a question as to whether he regretted his decision not to run for re-election in 2012, which he said that he does not.

"Like a lot of people, I too am fed up with Congress largely because of what I have described to you about how partisan in nature everything is becoming," said Ross. "I was part of the group last week that called for a time out on the 2012 elections and said let’s put country before party for once."

I sent a text message to Brock asking him to follow-up if Ross was referring to something similar to what Perdue had suggested earlier this week.  He said that he was not familiar with Perdue’s comment, but clarified that he is not proposing any change to the current election system.

"When I first got to Congress, the odd years – the non-election years – there wasn’t so much political nonsense," explained Ross. There were people really trying to work to get the job done. It was bad enough that we were working one out of every two years. With the even year – the election year – pretty much everything was political, but now it is political year-round. I mean, we will cast lots of votes each week in the House and we may have one or two substantive votes each week in the House. The rest of those votes cast all week are what I call ‘gotcha votes’ and both parties do it in terms of trying to get a vote that get you on record on certain positions that often times have nothing to do with the bill and you know isn’t going anywhere. It’s simply to cause you to have to cast a vote that they can then take and twist and turn for a 30-second TV ad and attack you. I think the American people are fed up with that.  You know, I have been elected to do a job – not play politics."

Ross went on to say that he does not have a problem with the two-year terms in the House which he says are healthy.  Instead, he was referring to the members of Congress that focus too much on the upcoming election.

"That why I was part of a national press conference as co-chair of the Blue Dogs a few weeks ago to say let’s call a ‘time out’ on the 2012 elections and put country before party," said Ross.

Make sure to also check out Brock’s take on his interview with Ross.  One interesting part was Ross’ argument that the upcoming Presidential election will help Democrats in Arkansas and also that many in his district favor the $1.5 trillion tax increase proposed by President Obama.

by Talk Business -

O’keefe Says He Is Doing The Job The Media Refuses To Do

Arkansas’ left leaning blogs were quick to pile on the criticism for conservative film maker James O’Keefe as he made a visit to Arkansas today.  His appearance at the Argenta Community Theater in North Little Rock was sponsored by Americans for Prosperity Arkansas. 

Speaking to about 100 conservative activists, O’Keefe played numerous clips of videos he had made where he had exposed corruption within organizations such as ACORN, NPR, and the New Jersey Teachers Union.  He also played clips of the media reaction who – much like the liberal bloggers of Arkansas – focus on O’Keefe’s tactics rather than the corruption he ends up exposing.

 

The Daily Show With Jon Stewart Mon – Thurs 11p / 10c
The Audacity of Hos
www.thedailyshow.com
Daily Show Full Episodes Political Humor & Satire Blog The Daily Show on Facebook

One of the best clips he played was the above video from Comedy Central’s "The Daily Show," which was dumbfounded over O’Keefe’s ability to expose ACORN workers helping O’Keefe who was  disguised as a pimp covering up an underage prostitution ring.

"I am showing people a lot of our work – taking them on a journey through what we’ve done at Project Veritas. I’m showing the media reaction to what we’ve done – how they have tried to cover up some of the fraud and abuse that we have exposed. And just try to enlighten people about what goes on at their institutions and some of the problems with the media and why it is important for citizens to do the work that the media won’t do," said O’Keefe in an interview before the event.

Responding to the criticism from my blogger colleague Michael Cook as well as other media criticism, O’Keefe said, "They constantly try to call me a criminal and a felon because I walked into a Senator’s office under a pretense. I posed as something I was not. My enemies — or misguided opponents as I like to call them — they think that the people who occupied the Wisconsin capitol building are absolute heroes, but I am the worst person in the world for going into a politician’s office and asking a question."

He said he has had a positive reaction from people as he was able to present his work directly to them.

As for the role of a citizen journalist, he says it is "doing the work the media refused to do because the media doesn’t do it, so we’ve got do it."

by Talk Business -

Rankin Joins Cotton On Nrcc Young Gun List

The National Republican Congressional Committee announced this morning that Beth Anne Rankin will join Tom Cotton on their Young Gun’s "On the Radar" list.  Cotton was added to the list in August.

Last cycle, the Young Guns Program achieved great success in leading the way to return Republicans to the Majority in the U.S. House of Representatives. 62 out of 92 Young Guns won in 2010. Young Guns served as the model for both Member participation and support for Republican candidates, as well as a training program designed to assist candidates in developing aggressive campaigns. By Election Day, Young Gun Members raised $10.6 million for Young Gun candidates nationwide according to thier website.

“We look forward to working with Beth Anne Rankin, who has already proven herself by meeting rigorous benchmarks in the ‘Young Guns’ program that will position her campaign for victory,” said NRCC Chairman Pete Sessions (R-TX). “Beth Anne Rankin’s dedication and experience enables her to advocate effectively for pro-growth policies and fight the failed status quo in Washington. This will stand in stark contrast to the Obama-Pelosi record of spending, borrowing and taxing that Arkansas families and small businesses know has failed.”

By being added to the list, Rankin and Cotton had to meet certain criteria perhaps most notably raising over $100,000.  So far, there are only two other Congressional districts that have more than one candidate on the list – Connecticut’s 5th has 4 candidates and Arizona’s 6th has two candidates.

Having two Republican candidates on this list is just another sign that south Arkansas may soon join the rest of the state in turning red following Congressman Mike Ross’ term.

by Talk Business -

Republicans Express Opposition To Additional Health Care Grants

As reported yesterday, Gov. Mike Beebe sent Insurance Commissioner Jay Bradford to ask Arkansas legislators for some sort of permission slip to request a $3.8 million federal grant to plan for the implementation of the health care exchange grants.  Today, a group of Republicans sent a letter to Commissioner Bradford saying that the decision lies with the executive branch; however, they expressed opposition to the grant request.  The letter is signed by House Minority Leader John Burris, Rep. Bruce Westerman, Rep. Allen Kerr, Sen. Johnny Key, Sen. Cecile Bledsoe, and Sen. Missy Irvin.

"As members of the Legislative branch of government, we regret that our role in this decision cannot be more direct," states the letter. "As you know, only approval of the Executive branch is required to apply for a Level I Establishment Grant."

"At this time, we oppose the Governor moving forward with any additional spending as it relates to implementation of the HIE."

Here is the full letter submitted today to both the Insurance Commission and the Governor’s Office.  Gov. Beebe has stated that he will not move forward without an indication of support from both parties in the legislature.

by Talk Business -

Re-enter Huckabee?

In May, Mike Huckabee announced on his Fox talk show that he would not run for President saying "All the factors say go, but my heart says no."  However, if you look closely at his statement, he did leave himself a sliver of hope saying, "I can’t know or predict the future, but I know for now my answer is clear and firm. I will not seek the Republican nomination for President this year."

And with the Presidential field very murky and volatile, some in the Huckabee camp are chattering about the possibility that he might reconsider. The popular national blog RedState posted on this yesterday saying…

According to my sources, former Arkansas governer Mike Huckabee is seriously considering venturing back into the GOP 2012 presidential race. If he decides to do so, he’ll likely announce within the week.

by Talk Business -

Tyler Promotes Campaign Event Coordinated With Committee Meeting

I noticed the other day that this year the legislature has not scheduled a "hogville meeting" as they have in the past.  Normally, they have at least a couple weekends each fall where they schedule committee meetings in northwest Arkansas the same weekend as Razorback games to allow legislators to collect per diem for the trip. Not so this year – so good job.

However, it seems another practice is going on instead.  At least one legislator is planning a campaign event fundraiser in conjunction with a committee meeting in her hometown.  Rep. Linda Tyler (D-Conway) sent this email out to legislators last week:

Good morning,

by Talk Business -

Lawsuit Filed Over Legislative Reimbursements

My column for the Arkansas News Bureau on Sunday took a look at legislative pay and expense reimbursements.  I made the point that legislators make an extremely low salary of $15,869 — well below the per capita income level in Arkansas of $33,150.  At the same time, I pointed out that legislators compensate for this with a very generous legislative reimbursement system, many times higher than their salaries.  My solution is get rid of the dishonest legislative reimbursement system and pay legislators something closer to the average Arkansas salary level.

To my surprise, the next day I read that the Public Law Center – an outfit Arkansas Times blogger-in-chief Max Brantley is a part of – has filed a lawsuit challenging the reimbursements. From Brantley

The lawsuit names one Republican, Rep. Ann Clemmer, and one Democrat, Sen. Jerry Taylor, for the nearly universal legislative practice of submitting unitemized monthly expense claims, often in the name of personal "consulting businesses." As most legislators will admit, many rely on these payments as pay supplements that they say make public service affordable.

My question here is if this is a "nearly universal legislative practice," how did they decide upon these 2 out of 135 legislators?

"The suit named a representative and a senator and a Democrat and a Republican whose expense filings fit the pattern," explained Brantley. "We expect a successful lawsuit will apply to all legislators. Naming all as defendants would have increased discovery and pre-trial costs exponentially."

I would note that the Democrat is Sen. Taylor, a term-limited legislator who is arguably the most conservative Democrat in the state (he has a "Repeal ObamaCare" sticker displayed prominently on his Facebook page.)  Rep. Clemmer, on the other hand, is one of rising leaders within the Republican Party and is up for re-election in 2012 and probably heading for higher office.

Michael V. Lauro Jr., president of the Public Law Center, said in a press release that "the purpose of the lawsuit was not to deprive legislators of income, but to require the state to obey the Constitution and pay them straightforwardly. Legislators may and probably do deserve to be paid more for the work and for the sacrifices many of them make in their private businesses to serve, but it should be done transparently, by making the annual cost-of-living adjustments in their official salaries, seeking higher salary authorizations through a constitutional amendment or actually documenting their legitimate expenses. Legislators have sometimes foregone the annual cost-of-living adjustments with claims that they were being frugal with the taxpayers’ money while quietly drawing fatter expense checks."

Don’t get me wrong, the system is dishonest and legislators can certainly do as Sen. David Johnson has done and opt to not participate. But it is not an Ann Clemmer problem. It is a problem with the entire pay and reimbursement structure.  It is so institutionalized that the system is basically taught at orientation.

It needs to change. For this reason, I hope this lawsuit is not the selective application for political purpose.

by Talk Business -

Arkansas Republicans Raise Filing Fees

The Republican Party of Arkansas executive committee voted last week to raise the filing fees for candidates for the 2012 election cycle.

  • State Representative fees doubled from $1,500 in 2010 to $3,000 in 2012.
  • State Senate fees increased from $4,000 in 2010 to $7,500 in 2012.
  • Congressional filing fees increased from $7,500 in 2010 to $12,500 in 2012.

House Republican Minority Leader John Burris commented that he felt the increases would not hurt the party’s ability to still recruit top-notch candidates.

"The Democrats have never had any trouble recruiting and I don’t think we will either," said Burris. "You can pay $3,000 to run with Barack Obama or you can pay $3,000 to be on the ticket with the guy who is against Barack Obama."

by Talk Business -

Beebe Via Bradford Asks For Cover On Health Care Grant

Insurance Commissioner Jay Bradford returned to a panel of state legislators today to ask again for some sort of approval on applying for an additional grant for planning state health exchanges.  Bradford met with an informal gathering of legislators last week who asked him to return with a detailed budget as to how that grant would be spent and the amount of the grant.  This week, the meeting was under the organization of the Joint Committee on Advanced Communications and Information Technology; however; it is unclear what authority – if any – this committee has to give the executive branch authority to apply for the grant.

The budget presented to the committee was for a total of $3,793,213.  This is largely made up of $3,349,250 for consultant/contractors with $1.5 million earmarked for a "public education campaign."  Another $315,119 will go to salary expenses of insurance department employees working on the planning for the exchanges and $87,844 for travel and other administrative expenses.

A major point of discussion, particularly with Republican House Leader John Burris and Bradford, was who had authority to authorize the grant.  Burris insisted that the legislature could only express its opinion on the grant, while the sole authority to authorize the grant rests with Gov. Beebe.  However, Bradford insisted that the governor would not move forward without some sort of support from the legislature.

Rep. Mike Patterson (D-Piggott), who chaired the meeting, indicated that he was satisfied with the budget submitted by Bradford and felt they should move forward.  Later, he said this would not take place without "support from both sides."

It was difficult to follow actually who Bradford was appealing to in asking for approval.  Was he asking legislators to call, email, and write letters to the governor expressing their opinion? I asked Burris to clarify exactly whose approval the governor was seeking on the grant proposal – the legislature as a whole, certain committees, or individual legislators.

"I think he would be satisfied with a letter from me," responded Burris. "But this is the governor’s decision, not ours."

Spokesman for the governor’s office, Matt DeCample, tells me that Gov. Beebe feels like the state legislature indicated during the session they are opposed to the exchanges. However, he said Beebe was approached by leaders in the business community, including the state chamber of commerce, and asked to reconsider. But before he proceeds, he wants "some indication from the legislators who were adamant that Rep. Allen’s bill (setting up the state health care exchanges) not pass and held up the insurance commission budget" that they have changed their minds.

The governor’s office did not indicate exactly what they envisioned receiving from the legislature other than "a sturdy sign of conscience" and they particularly wanted to hear this from the House, since that is where the legislation stalled during the session.  DeCample said they were fine with receiving a letter, a group letter, meetings, or even emails from House leaders.

by Talk Business -

Republican Senate Races Round-up

I have gotten several State Senate announcements this week.  I am sure I am still missing some, but let me try to round up the latest….

  • Rep. Jon Woods (R-Springdale) announced today that he will seek the district 7 State Senate seat.  This seat is currently held by Sen. Bill Pritchard (R-Elkins) who plans to seek re-election – meaning this one will likely see a primary.  “As a House member, I’ve worked to lower the tax burden on families and businesses, and I’ve supported legislation that encourages job creation and economic growth. That will continue to be my priority in the State Senate,” said Woods in his announcement.
  • Former Rep. Jim Henden (R-Gravette) announced via Facebook that he will seek the district 2 State Senate seat currently held by his father who is term-limited. "I am excited about being part of the Republican team that finally captures control of the Arkansas Senate. Republicans will have a tremendous opportunity to move Arkansas forward to a position of national leadership," said Hendren in his announcement.  Rep. Jonathan Barnett (R-Siloam Springs) – of the "Jonathan Barnett Highway" – is also thinking about running.
  • Pulaski County JP Jim Sorvillo (R-Little Rock) announced on Wednesday that he plans to run for State Senate district 32. This seat is held by Sen. David Johnson (D-Little Rock) who plans to run for re-election.  Johnson is one of the most ethical (one of the few legislators to take no expense reimbursements) and also one of the most liberal members of the senate (one of three Senators to vote against the Partial-Birth Abortion Ban).
  • Cattle farmer and gas company owner Bill Coleman (R-Mountainburg) announced he will seek Senate district 5. “With a lifetime of running a business, I understand how critical the health of our economy is today. Small businesses are the job creators for our economy. We must have a government that encourages the development and growth of small businesses and therefore job creation, not a government that strangles our businesses and stifles job growth with unnecessary regulations and over taxation," said Coleman in his announcement. Incumbent Sen. Ruth Whitaker (R-Cedarville) is term-limited so this seat is open. Term-limited Rep. Bryan King (R-Green Forest) has also announced he will run.  It appears former Rep. Beverly Pyle will not.
  • Rumors abound in State Senate district 13 currently held by Sen. Mike Fletcher (D-Hot Springs).  The shape of this district has changed quite a bit and now includes a portion south of Benton in Saline County.  Rep. Kim Hammer (R-Benton) considered the race, but he tells me that he has decided to run for re-election to House district 28 instead.  Some have speculated that term-limited Rep. Johnnie Roebuck (D-Arkadelphia), who owns property in the district, may challenge Fletcher in a primary.  But perhaps the most interesting rumor is that former Rep. Mike Creekmore might switch parties (back to Republican) and run in this district, which now includes his home in Bauxite.  Garland County Republican chairman Alan Clark is also looking at running.
  • Rep. Gary Deffenbaugh (R-Van Buren) confirmed with me on Thursday evening that he will not run for State Senate district 9 but instead will run for re-election to House district 79.  Deffenbaugh was believed by many to be conservative Republicans best chance to beat moderate Republican former Rep. Rick Green (RINO-Van Buren.)  The incumbent in this district is Sen. Bruce "Fireball" Holland (R-Greenwood), who has been a consistent conservative vote in the senate but a lead foot behind the wheel making him vulnerable to losing to Green. Term-limited Rep. Tracy Pennartz (D-Fort Smith) also has announced she will seek this seat.
  • Rep. Jon Eubanks (R-Paris) announced he is running for re-election to house district 74 meaning he will not run for senate district 6 as once rumored.  This likely means Rep. Gary Stubblefield (R-Branch) will strongly consider running for district 6.  Former Rep. John Paul Wells (D-Paris) – who lost to Sen. Bruce Holland in 2010 when the district was quite different – is seeking this seat as well.

 Who am I missing?  Let me know at [email protected] and be sure to continue to check our list as we keep it updated.

by Talk Business -

The Jonathan Barnett Highway

The Herald Leader in Siloam Springs reports today that a section of U.S. Highway 412 will soon bear the name of their own State Rep. Jonathan Barnett.  Although the Highway Commssion voted to rename this strech in January, he tells the paper that he had no idea of the plans.

“The Highway Commission named that without my knowledge,” Barnett said.

Barnett served as an appointee of Gov. Mike Huckabee on the Highway Commission from January 1999 to January 2009, where he advocated improving this bypass along Highway 412 in his hometown just over the Oklahoma border.  Barnett owns Barnett Construction located on this same stretch of highway.

Barnett was elected to the House of Representative in 2008.  In the previous legislative session, he was the driving force behind the proposal to raise the state sales tax by half a cent to fund highway improvements.  The proposed highway tax increase will appear on the ballot 2012.

However, Barnett’s plans for 2012 are still unclear.  Republican Robin Lundstrum told the Tolbert Report last month that she is strongly considering challenging Barnett in the GOP primary next May.  In addition, Barnett has been mentioned as a possible candidate for the State Senate district where Sen. Kim Hendren is term-limited.  Hendren’s son, Jim Hendren, is also considering running has announced on Facebook he will seek the seat. 

Last month, Barnett told me, "I am keeping all my options open."

by Talk Business -

Republicans Have Amazing Opportunity

The latest round of poll numbers released today by Talk Business are so positive for Arkansas Republicans that I cannot help but warn that they should be taken with cautious optimism. The only concern is that Republicans will see this data and believe the election is already fought and won, when in fact, it has hardly begun.  But there can be no doubt that state Republicans have the most clear opportunity to win the state legislature than at any time in Arkansas history.

This election cycle, Republicans have finally gained the generic advantage that has always been held by the Democrats.  This means that all other things being equal, Arkansas voters are more likely to pull the lever for the Republican candidate over the Democratic candidate.  The six-point advantage is significant with a large group of undecided voters.

The key swing in this poll is the shift in independent voters where Republicans hold an almost three-to-one lead. With this group, 31 percent prefer the Republican state legislative candidate while only 13.5 percent prefer the Democratic candidate.  In fact with independents, the Democratic candidate only holds a one point advantage over a third party candidate.

The key to remember here is that with about 14 months before the election there remains a large group of undecided voters still up for grabs – 31 percent overall and 43 percent of independents.  The challenge for Democrats will be to separate themselves from national politics during a year in which the Presidential election will dominate the headlines.  As reported yesterday, Arkansans disapprove of President Obama by a two-to-one margin.  Among the two-thirds of the state that disapprove, Republican state legislative candidates are preferred by 51 percent versus 8 percent for the Democratic candidate – that is an unbelievable six-to-one advantage.

The other significant finding is that the Tea Party is very favorably viewed in Arkansas with 41 percent having a favorable opinion compared to 37 percent unfavorable.  Again, among the key group of independents, the Tea Party is viewed favorably by 50 percent compared to only 30 percent unfavorably. The attempt by Democrats to paint Tea Party members as extremists has failed.

Republicans should take this as a much like a pre-season ranking in football. Right now, Republicans are ranked number one, undecideds are ranked number two, and Democrats are number three.  But this is a long season. Right now, candidate recruitment is the key.  If Republicans recruit top-notch, common sense conservative candidates who are well respected in their districts and adequately fund these candidate’s campaigns, there is no doubt they will achieve their goal of taking majorities in both chambers of the state legislature.

by Talk Business -

Judge Rules In Favor Of School Districts On Property Tax Lawsuit

Pulaski County Circuit Judge Tim Fox ruled today in favor of the Fountain Lake and Eureka Springs School Districts who had challenged the Arkansas Department of Education’s (ADE) ability to withhold property tax collections from the local districts. The withholding of property tax collected in accordance with the 25-mils URT (uniform rate of tax) revenue by the state was occurring in districts in which property taxes were collected above the "foundation" funding requirement amount set on a per student basis.  This was occurring in areas such as Hot Springs Village and Eureka Springs, where a high number of retirees without school age children lived, and accounted for an estimated $2.5 million last year.

On Tuesday, Fox enjoined the state from continuing to withhold this portion of the property tax from the local districts.

"The policy decision by the ADE is both well intentioned and well-reasoned, but it is an unconstitutional encroachment by the executive branch of a power that belongs to the legislative branch," wrote Fox in his ruling.

"In the present matter, the ADE is prohibited by the separation of powers from undertaking its present action. By specific statutory directive, the General Assembly has occupied the field concerning the distribution of the 25-mill URT revenues," continued Fox. " A.C.A. § 26-80-101(b)(1)(A) requires the Treasurer to remit the URT revenues to the ‘county treasurer of each county for distribution to the school districts in that county as provided by subsection (c) of this section.’ Subsection (c) unambiguously requires each county treasurer to ‘remit the revenues from the uniform rate of tax to each local school district from which the revenues were derived.’ The General Assembly has retained control of distribution of the 25-mill URT revenues."

The districts first sought a legislative remedy through HB1435 introduced by their state representatives, Bruce Westerman (R-Hot Springs) and Bryan King (R-Green Forest).  However, after opposition from the ADE and the office of Attorney General Dustin McDaniel, they were unable to get the bill out of the House Education Committee.  In addition, McDaniel upheld that ADE should withhold this amount in an opinion requested by King.

The ADE has 30 days to appeal Fox’s decision at which point it will go to the Arkansas Court of Appeals, but for now, the local school districts are enjoying the victory.

"I agree with and applaud Judge Fox’s conclusions regarding the separation of powers and how the ADE and executive branch’s attempt to take property taxes from the school districts in which they were collected is an unconstitutional encroachment of the legislative branch," said Westerman. "Throughout this ordeal, the ADE has been aided in their unfounded policy efforts by opinions from the Attorney General’s office. I hope the executive branch will uphold their oath to abide by the Constitution and abandon their attempts to illegally take money from local public schools."

Read the full ruling here.

by Talk Business -

Obama’s Negatives Spell Trouble For Democrats

No matter what positive spin Democrats in Arkansas may try to put on it, President Obama’s overwhelming negative approval ratings are a tough hill for Democratic candidates to overcome.

In our latest Talk Business poll, more than twice as many people disapprove of Obama’s job performance than approve for a negative rating of -32 (31.5/63.5.)  Only 5 percent of those polled have no opinion.

These high negatives are seen statewide with over 60 percent disapproving in all four Congressional Districts (AR1 29/64.5 – AR2 35/61.5 – AR3 30/66 – AR4 31.5/61.)

Perhaps the toughest news for Democrats is the fact that Obama has lost independent voters.  Among this group, Obama has a negative rating of -51.5 (22/73.5.)  It is almost impossible to win elections without this important group of swing voters.  Democratic candidates’ only choice will be to hope independents will split tickets when it gets down to the local level.

If there is a bright spot for the President, it is that he has not completely lost his base within his own party in Arkansas with a favorability rating among Arkansas Democrats of +46.5 (68.5/22).  In states such as West Virginia, his favorable number has dipped under 50 percent within his own party.

With numbers like this, it is no suprise that the two leading Republican primary candidates are well ahead of Obama.  Texas Gov. Rick Perry does slightly better than Mitt Romney leading Obama by almost 20 points.  Obama attracts around 34 percent against either candidate, but Perry draws 53 percent compared to Romney’s 49.5 percent.

It is the safest of all assumptions to say that Arkansas will vote for the eventual Republican candidate over President Obama in 2012.  But the largest question remains: How will this affect local Democratic candidates?

by Talk Business -

Passailaigue Out As Lotto Director

As reported in numerous media outlets this morning, Arkansas Lottery Director Ernie Passailaigue tendered his resignation on Friday. The Commission met in a lengthy executive session this morning where they accepted his resignation effective October 7.  Passailaigue gave no explanation, but the numerous missteps over the first two years of the lottery’s start-up have to be factors.

Although Passailaigue managed to get the lottery going quickly, that seems to be the primary achievement he can hang his hat on.  His tenure began with his controversial high salary and the hire of two high-paid lieutenants from South Carolina — their combined salaries totaling three quarter of a million dollars.  Passailaigue’s term was marked by numerous high-profile missteps, including a scalding audit report on their financial problems in the first year of operations, and most recently, a controversial vendor contract based on a percentage of revenue.

Fellow columnist at Stephens Media, John Brummett astutely notes that Passailaigue was equipped and focused on a quick start-up.  On the other hand, the day-to-day management of a state agency handling millions of dollars was not his strength.

"We are so pleased to have been able to have (Passailaigue) for the past two and a half years," Dianne Lamberth, chair of the Arkansas Lottery Commission, tells content partner KUAR this morning. She also said that the Commission had voted Julie Baldridge, Director of Public Affairs and Legislative Relations, as interim director.  They will began searching for a new director in the coming days. Baldridge will not seek the position as she plans to retire at the end of next year.

As for having their controversial days behind them, Lamberth sounded doubtful.

"I think we will always be controversial," said Lamberth. "I don’t think we will ever have a clean start. I think we will always be controversial because we deal with a lot of money and we will always be scrutinized and we do like the scrutiny."

Here is video from Passailaigue after an executive session from the Lottery Commission in January when they discussed the future of the embattled director.