Rent Seeking

All the Other Stuff, Conservative News, Cronyism, Detroit, Michigan, Michigan Politics, Opinion, Philosophy, Rent Seeking, Republicans

Want to see what a Michigan republican party-backed $195-million Taxpayer funded bailout of Detroit gets you?

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Just to be on the level, I’m not going to bring back stories about grossly overpaid art museum CEO’s and their boards, not-so secret loans to art museum CEO’s, and art millage scams promoted against Tri-County Taxpayers.

Feel free to use that search window in the upper-right corner if you’re inclined to read more about it.

No, I’m going to talk about what the good people in the Snyder/Calley/Weiser/et al republican machine are in effect helping to promote with your own hard-earned tax dollars.

Just a quick warning to those who wish to continue: The remainder of this post does contain some graphic and disturbing descriptions.

Consider yourselves warned!

{Continued after the fold}

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All the Other Stuff, Conservative News, Cronyism, Detroit, Michigan, Michigan Politics, Opinion, Philosophy, Rent Seeking, Republicans

Maybe A little Mis-Read?

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A Traverse City Retailer might well feel the pain of his misplaced good cents.

There will be more than a few legislators regretting their turkey moves of additional regulatory rules during the ‘lame duck’ session.

But its not just the legislators. ‘Exhibit A,’ might well be a story that ‘celebrates’ the “early Christmas present” that Front Street Traverse City business received via SB 569 and SB 658 on Friday Morning. Demonstrating that the lobbying efforts of a few rent seeking business interests are not at all in line with taxpayer interests, the piece on Saturday’s TC Ticker starts with the ‘celebration’ of the “main-street fairness” law:

“It’s been years in the making, but state lawmakers have handed brick-and-mortar retailers like Bill Golden and others throughout Traverse City and Michigan a welcome Christmas present. Starting in October, more online retailers will have to add on Michigan’s sales tax to customer purchases — just like Michigan retailers have always had to do.”

Of course, folks around here (and very likely in all other places) understand that what is sold as fairness is usually anything but fair.

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All the Other Stuff, Conservative News, Cronyism, Democrats, Detroit, Elections, Michigan, Michigan Politics, Opinion, Philosophy, Proposal 15-1, Rent Seeking, Republicans

Why wait?

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It's time for the creation a statewide "Tax Me More" Fund. Just think of the possibilities.

When I got back in range of Michigan radio stations this morning and caught the diabetes-inducing, sugar-coating that Gov. Snyder and the proponents of this road funding sham were trying to spoon-feed Michigan Taxpayers, several things came to mind.

Take a sip…you’ll enjoy it!!!

 

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All the Other Stuff, Conservative News, Cronyism, Democrats, Detroit, Elections, Michigan, Michigan Politics, Opinion, Philosophy, Proposal 15-1, Rent Seeking, Republicans

Stop The 16.7% Tax Increase

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Stop the sixteen point seven percent tax increase May 5th.

Higher taxes, and the return of redistribution aided advanced by Republicans in Lansing last night.

A May 5th special election will have poor voters deciding if they will be getting more cheese.  The corporate abusers will get their pie, and the rest of us in the middle will get the bill.  Pandering welfare gimmicks, corporate cronyism on steroids and a blanket party for the working class.  Whats not to love?

STOP-167

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Cronyism, Michigan, Michigan Politics, Opinion, Proposal 15-1, Rent Seeking, Republicans

Snyder’s Not A Political Guy

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Certainly, 'politics' has been the buzzword for what should be completely accepted as simple coincidence.

gas-tax-hike-snyderRight?

Some amazing things have happened over the last couple of years.  A transparency bill that had 100% support in both houses was vetoed; likely because of its implication of deals going down with Canada on the international trade crossing.  The only other way besides political pressure to stop an override of the veto would literally be a gun to the head of our legislative leaders; and we know that didn’t happen did it?

Somehow, his legislative lapdogs (Bolger and Richardville) still pushed through (against caucus desire) the medicaid expansion which has an even more threatening effect on Michigan’s treasury.  Again, seeing no open coercion, it seems he was able to get his way quite easily.

Now in lame duck, all bets are off for a couple of moves that are sure to keep the crony friends of Rick Snyder rolling in dough.  Randy Richardville has moved forward on a monster GAS-TAX increase that will stuff the wallets of a lot of contractors, put steam in train engines, and make all the bike riders ‘complete’ly happy.  I don’t even need to drop the links on those; you know we’ve talked about it before.

But what pray tell might be the payoff for Richardville?  What might he see for his part in sticking it to the taxpayer of Michigan? Well certainly he has been shtooping us for the love of shtooping, right? But I would wager that if the interviews for the following happened last Wednesday as they were supposed to, I’ll bet you can guess what happens next.

Lets lay it out there.   There is an open district judge position in Novi. Over 30 people applied for the gubernatorial appointment, which is expected this month. On Wednesday the governor’s office was interviewing the five finalists. They are:

  • Marsha Kosmatka
  • Beth Hand
  • Gary Klein
  • Lori Fitzpatrick Timar
  • Margaret Scott
Guess which one is Randy Richardvilles special friend?  Here is a clue: It AINT the guy, and she doesn’t even live in the judicial district (psst ..I think she lives over in Birmingham)
Of course..  I could be proven wrong. The clock is a ticking, and there are so many more Michiganites waiting to be screwed.

 

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Michigan, Michigan Politics, Opinion, Rent Seeking, Republicans

So You Want To Buy Something?

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So far, second thoughts might keep the additional burdens of doing business in Michigan at bay.

I have lost some big sales in other states because of ‘Amazon Laws’ in the past few years.

Its an amazing thing that happens when your cost of doing business in a state goes up by 10%. (Michigan will be 6%) You lose customers, they pay more, or you eat the costs.  The first option is of course the worst of the three, but when profit margins range between 15-20%, 10 points represents at least HALF the profits, and can be discouraging to even attempting to sell.

California has some of the most used shipping ports, so its natural that many warehouses are located there. It also has quite a large population.  Our business has historically sold more to California customers, than those in Michigan. But a few years ago, I was notified by one of my suppliers who drop ships for me in that state, that unless they had an exemption form on file for the customers, they would have to charge an additional 10% for the product to cover THEIR tax liability; CA Sales tax being 8% and an additional 25% tax for assumed mark-up.

I had a choice.  I could in some cases ship product all the way here, then ship all the way back, and salvage a few pennies, OR I could simply find a supplier for similar product in other state warehouses willing to ship to California.  The unnatural commerce that had to evolve (and quickly), wound up raising the cost of doing business.  It raised the cost and in some cases slowed service for the customers in California who were STILL expected to report their ‘USE tax.’

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Michigan, Michigan Politics, Rent Seeking

Crush The Little Guy.

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Kowall and Verheulen play along with monster rent seeking bills.

Bills 4202 and 4303 are designed to do just that.

Every layer of regulation has a time cost.  Never mind that (PER THE LAW) our business already collects sales tax from those who buy retail in Michigan. The big box stores want us to go through enhanced reporting requirements and spend additional time in the entire process of collecting tax as a service to the state.  This form of rent seek is commonly used to suppress competition.

Kowall and Verheulen or anyone who votes for this are the enemy of the ‘small e-tailer.’

Period.

Kowall-Verheulen-Taxers

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All the Other Stuff, Conservative News, Cronyism, Michigan, Michigan Politics, Opinion, Rent Seeking, Republicans

Kowall & VerHeulen Pushing MORE Regulation On Michigan

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Big Box retailers have found foot soldiers willing to do bidding in HUGE rent seek.

Kowall-Verheulen-TaxersHeads up!

Word on the street is that HB 4202 and HB 4203 are on the schedule for second reading today in the Michigan House of Representatives. That means it would be up for FINAL PASSAGE tomorrow. You can read below all the details about the bills. Bottom line, if they are enacted, you will be paying MORE taxes.

Please take a moment and contact your representative today. Let your opinion be known! These phone calls and emails do matter. They do affect how a representative votes.

Find your representative’s contact information here.

We will keep you posted of the progress (or lack therof) of these bills tomorrow.

House Bills 4202 (Kowall-R), and 4203 (VerHeulen-R), will impose new taxes on consumers in Michigan and will further burden online sellers, especially the mom and pop shops that operate out of a small store front office or the business owners home. They will be subjected by government to an abundance of new compliance requirements. It will stifle competition as many smaller competitors to the big guys (like Amazon) will likely be forced to downsize or worse yet, go out of business.

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Cronyism, Detroit, Michigan, Rent Seeking, Republicans

Seems About Right

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The Michigan Senate Majority Leader gives 'honest cops' a good name.

And we haven’t even started the ‘Cotton’ picking.

When we start wondering about the passage of hospital related legislation in the state senate, perhaps we simply consider the source of the new legislation to be only as old as government itself. Something as simple as power brokering through backroom deals and a few well placed donations can alter public policy.  We have seen how the $100,000 given to Jase Bolger has brought about the threat of the unthinkable changes to the Elliot Larsen Civil Rights Act.  Even now we should be looking at the reasons for our gas taxes being raised as well.

Though I disagree with bed counts and certificates of need, pushing legislation for ‘good friends’ specific projects violates the spirit of equal opportunity under the law.  Specific legislation that benefits donors as a result of donations offered, ought to be considered criminal if not already.

So when we see 2014 Senate Bill 1073 (Granting medical facility rationing exception to McLaren Health Systems Introduced by Sen. Randy Richardville (R) on September 11, 2014)  to authorize a special exception to the health care facility rationing imposed by the state’s “Certificate of Need” law?  We should be concerned.

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Conservative News, Cronyism, Michigan, Michigan Politics, Rent Seeking

Cuban and Gilbert On HB5606

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Perhaps it takes a rent seeker to know a rent seeker?

I have spoken to a couple of representatives about the passage of HB5606, disappointed with the way that they voted.

One says “It was not at all presented to us in this way,” remarking that he would have voted differently if he had only fully understood it.  This of course revealing that sleight of hand, obfuscation, and maybe a little laziness by representatives is easily exploited in Lansing. Should there be any wonder why a certain amount of time must pass before bills are voted on in their finality?

This competition limiting act is perhaps a little rent seeking at its best, and flat out corruption by those who designed the changes.

Two folks whom I regard as rent seekers in their own right are correct in this video; Dan Gilbert in particular. But when he says “Man up and compete” with regard to the automakers? 

Woof.

Oh, and thank you Representative Tom McMillin for actually paying attention.

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