Friday, May 15, 2009

The Fifth Estate is one too many

By RON BROCHU

If journalism is the Fourth Estate, then legislative lobbyists are the fifth, which is one too many – according to Gov. Tim Pawlenty.

About $35 million in taxpayer money was paid by local units of government between 2003 and 2007 to pros who wander the capitol promoting parochial needs – everything from publicly financed civic projects to aid for cities, counties, colleges and school districts..

Facing budget deficits, Pawlenty believes, local government could save a lot of money by firing their lobbyists, Minnesota Public Radio reported April 20. He even has support from some Democrats.

"We just think it's an expense that doesn't have to be there," DFL State Rep. Michael Paymar of St. Paul told MPR. Paymar, a former Duluth city councilor, also would prohibit state agencies and departments from spending tax money to lobby the legislature.

His opinion differs sharply from DFL Rep. Thomas Huntley, who once served with Paymar on the Duluth city council. Huntley told KBJR-TV “When we're down here, we don't talk to senators, we don't have time, yet we have to coordinate our actions and it's basically the lobbyists that run back and fourth and keep us informed by what the other body's doing."

Did Huntley really intend to suggest taxpayers should pay lobbyists to function as couriers between the House and Senate? Hopefully not, for it would be difficult to find more expensive labor to shuttle notes among lawmakers.

But that’s a minor issue, and so is the taxpayer cost to hire lobbyists. At issue is the role of state legislators. Don’t taxpayers elect them to lobby local interests? Aren’t they paid rather well to seek aid for cities, counties and schools – to get funding for aquariums, theaters and other non-profits that live up to that description? The real question is why taxpayers must pay twice to get the same service.

Like a three-eyed toad, the political system has been poisoned, morphing into a troubling monster that would rattle our founding fathers. That’s not to say lobbyists are corrupt. After all, Duluth city lobbyist Kevin Walli is a Denfeld grad who carried the pigskin alongside good ‘ole West Duluth boys like Mark Bibeau and Ernie Conito. But he’s among the expensive professionals who essentially have added another layer of costs and complications to democracy.



Where does it end?

Throughout the winter, education lobbyists pleaded their case in a related by slightly different venue. Education Minnesota, which represents 70,000 educators, purchased television ads suggesting viewers should tell their legislators that their top priority should be to fund public schools.

The union-funded ads didn’t cost taxpayers a nickel – or did they?
Giving top priority to public schools, of course, would push some other entity down the funding ladder. One example might be cities, or law enforcement, which is funded by cities. Facing competition from the massive educators’ union, cities feel the need to hire their own lobbyists. After all, voters aren’t happy when crime rises, which tends to happen when police funding is reduced.

On another level, county board commissioners also have a stake in the game. For if state aid is reduced, who will pick up the tab for ever-growing social service costs? So counties also need their own lobbyist.

The University of Minnesota is a sprawling animal that affects every corner of Minnesota. It can’t afford to watch while scarce state money is allocated to other entities. So it sends chancellors and others to St. Paul to represent its interests.
And so on. Without some legislative restraint, the system will feed on itself and spread like wildfire.


High development costs

Don’t expect Pawlenty to address a parallel situation that also wastes taxpayer dollars. It’s unlikely a Republican would condemn the massive amount of public money that’s spent to lure companies from one community to another, one state to another, even one country to another.

The original intent of publicly funded business incentives was to create jobs in America’s worst poverty pockets. But over the years, every community has painted itself as developmentally impaired, in an economic sense. As a result, public economic development has become an industry, and it’s a sinkhole for tax money. Every time a city hands out tax breaks, tax credits, TIF financing and the like, taxpayers pick up the tab.

Today, every city and every state plays the game – even though private investors at times haven’t even sought assistance. It happened last year in Superior. To create a new TIF district, the first occupant was given TIF assistance it didn’t need and hadn’t requested.

Economic development agencies, however, have become the darling of mayors, governors and legislators. Every time politicians use tax breaks to lure private development or redevelopment, they use the occasion to pose before cameras with private executives and union officials – and later with contractors and trade union reps – claiming credit for creating jobs. Yet reporters seldom provide critical analysis of the tax incentives, even though the devil is in the details.
Essentially, they allow politicians to paint themselves as heros and perpetuate incumbancy – all on your dime.
This story first appeared in the May 1 Reader Weekly.

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