About Wanderings

Each week I will post my current syndicated newspaper column that focuses upon social issues, the media, pop culture and whatever might be interesting that week. During the week, I'll also post comments (a few words to a few paragraphs) about issues in the news. These are informal postings. Check out http://www.facebook.com/walterbrasch And, please go to http://www.greeleyandstone.com/ to learn about my latest book.



Showing posts with label taxes. Show all posts
Showing posts with label taxes. Show all posts

Saturday, January 14, 2017

Why the State Needs to Increase Taxes



by Walter Brasch

   Pennsylvanians are justifiably angry at paying the highest gas prices in the nation. The average price per gallon is $2.65, 27 cents higher than the highest price in the other 49 states. An additional eight cent tax was added this month. Until 2019, Pennsylvanians will be paying an additional $2.3 billion a year in taxes and fees—$11.5 billion total—to improve the state’s infrastructure. In addition to the increased tax on gas at the pumps, Pennsylvania motorists will also be spending more for license registrations, renewals, and title certificates.
    The primary reason for the highest gas price is because of fracking.
    The Tom Corbett administration and Republican legislature had welcomed gas drillers to the state and gave them benefits to drill into the Marcellus shale, using a technology that sacrificed health and the environment for what has proved to be short-term benefits.
    Fracking requires as many as 200 truck trips per day—each truck bringing water, chemicals, or heavy equipment—to each developing well site. Those trips cause severe damage to roads that were not built to sustain such traffic.
    The secondary reason for the increased cost of gas is that for far too many years, the state’s politicians of both major parties, preaching fiscal austerity—and hoping to be re-elected by taxpayers upset with government spending—neglected the roads, bridges, and other critical problems.
        Although corporations drilling into Pennsylvania have agreed to fund repairs of roads they travel that have less than two inches depth of asphalt on them, the fees don’t cover the full cost of repair.  Had the state imposed an extraction tax on each well, instead of a much-lower impact tax, there would have been enough money to fund road and bridge repair without additional taxes for motorists. Every state with shale gas but Pennsylvania has an extraction tax.
    Gov. Wolf, while supporting fracking, wants stronger regulation of gas extraction and higher fees from the industry to cover damage to the state’s infrastructure. But in the circle of economics, both taxpayers and politicians want to “hold the line” on spending.  At some point, there is so much deterioration of the infrastructure that raising taxes is required, leading taxpayers to complain about higher taxes.
    That time is now.
    [Dr. Brasch is an award-winning journalist who specializes in social issues. His latest book is Fracking America.]


Friday, August 29, 2014

Labor Day Assignment: Educating the Uninformed




      It’s Labor Day weekend, the schools have been in session about a week, and the disgruntled voices of a minority drone on. Their screeching refrain, often in letters to the editor and talk show call-ins, is familiar:
      --Teachers only work half a year.
      --Teachers are overpaid.
      --Local school districts and their taxpayers shouldn’t have to hold the burden of teacher salaries.
      Often, those who complain the most are those who were average or below-average students who blame teachers, not themselves, for their mediocrity. Although most claim to be strong free-market capitalists, they believe teachers should not have much higher wages and benefits than they do, a philosophy bordering on socialism.
      Let’s look at each of the claims.
      First, the work year. Public school teachers generally work a 180-day school year. Each day is about six hours. That leads the uninformed to believe teachers only work half a year. But, let’s do the math. There are 365 days in a year. Subtract two days a week, which the average worker does not work, and that leaves 261 days. Next, remove 10 days of vacation; some get as many as 20 days a year, but 10 days is the usual vacation time. That leaves 251 days. Next, there are state and federal holidays, bracketed by New Year’s Day and Christmas. Generally, most businesses accept the 10 federal holidays. That leaves 241 days.
      The critics may claim that teachers still work 61 days less than the average worker. But let’s look at the hours. Most public school teachers may be in class only six hours a day, but they have to be at work before classes, most stay after classes to assist in extracurricular activities and then, at home in evenings and weekends, grade papers, read current information about teaching practices and their own academic specialties, and prepare lesson plans for five to seven classes. With schools shoving more students into each class, teachers don’t have the option of working less—they still have to grade papers, talk with individual students and their parents about performance.
      Most teachers don’t spend the summers lying around beach houses. Summer is when most develop lesson plans for the coming academic year, attend professional conferences, and take additional college classes to keep their certification and improve their knowledge of teaching methods and their own academic disciplines. Now, let’s look at those “overpriced” teachers. The average wage of a teacher—who must have at least a college degree, and additional coursework, often a graduate degree—is about $56,000, according to the National Center for Education Statistics. The range is about $40,000 (South Dakota) to about $75,000 (New York). While this may seem generous to an overburdened taxpayer earning only $35,000 a year, it isn’t a wage that is comparable to those with similar education and work experience. The non-partisan Economic Policy Institute says public school teachers are paid about 19 percent less than professionals with similar education and experience. Some, especially in the sciences and math, may be paid less than half of what others with their backgrounds are paid.
      Finally, taxpayers do have a valid point about the burden on local school districts. Most school funding comes from local taxpayers. When the federal stimulus funds were eliminated, Pennsylvania Gov. Tom Corbett chose not to replace it. Corbett also cut about $500 million that was not federal stimulus money. Corbett did restore federal stimulus funds for corrections and certain areas of health care, but not to education. Further, while cutting education budgets and putting greater burdens on local districts, he generously gave out more than $3 billion in corporate tax breaks. Many politicians may say they believe in education, that the future of America is in the students of today, but the reality is their words are little more vacuous babbling.
      Because of Corbett’s low priority for education, about $350 million has not been restored, leading to about 30,000 layoffs, according to the Bureau of Labor Statistics. He is not unique. Other conservative administrations have also chosen not to increase educational funding. The layoffs have led to larger class sizes, significant cuts in arts and music programs (while not cutting athletics), and fewer critical programs, including those that target at-risk students from dropping out of school. Layoffs also mean that taxpayers are burdened with helping pay unemployment benefits and some welfare benefits. It also means that teachers, teaching assistants, and others who directly work with student are less able to financially contribute to local business and the economy or to pay the higher level of local, state, and federal taxes they contributed when fully employed.
      Inner city and rural areas do not have the property tax base as the affluent suburbs, but there are numerous costs that are fixed, including buses, and the physical plant. Thus, the burden on individuals is greater in the inner city and rural areas. Some of this is political—the impoverished don’t contribute as much to political campaigns as do the affluent. Because of the failure by the state to provide adequate assistance to local districts, in Pennsylvania the 50 poorest districts have seen a $475 per pupil cut this past year, while the 50 most affluent districts have seen only a $95 cut per pupil, according to data compiled by the Pennsylvania State Education Association (PSEA) from state documents. This disparity strongly affects the quality of education in the rural and inner city schools.
      The concept of school taxes based upon value of property is archaic and needs to be modified to allow students from the least affluent districts to have the same quality of education as those in the most affluent districts.
      Critics of teachers also wail about the high cost of pensions. In Pennsylvania, the problem is not the teachers, but the failure of the Tom Ridge, Ed Rendell, and Tom Corbett administrations to make the minimum payments to the pension system. Wythe Keever of the PSEA suggests that what the three administrations did was similar to consumers who max out their credit cards and refuse to make even the minimum payments.
      There are slackers in the education profession, those who do the minimum work, give high grades, and just shove students along. There are also incompetent teachers who can, and should, be terminated. Contrary to what many believe, tenured teachers can be fired for just cause, as long as their rights are protected. There are slackers and incompetents in every profession. Education isn’t unique.
And, there are some parents who do little to help their children learn as much as possible, who instill a hatred of teachers and education by constantly complaining about overpaid and underworked teachers.
      Starting this Labor Day, it would be nice if those who run a constant criticism would look at the facts—including facts that could suggest better ways to teach our children and to pay for their education. When they do, they will realize that teachers are not overpaid relative to others with the same education and experience, that they work more than the average workers—and only because of unions do teachers have the support to keep education from disintegrating into mediocrity.
     [In a 31-year career as a university professor, Dr. Brasch usually worked about 60 hours a week, as documented by reports mandated by the Pennsylvania legislature. He wasn’t unique. He is the author of 20 books, the most recent of which is the critically-acclaimed Fracking Pennsylvania: Flirting With Disaster.]


Friday, May 27, 2011

A Few Cutting Remarks




      
           by Walter Brasch

            Throughout the country, the taxpayers have been revolting. Shocked by the enormity of the taxpayer revolt, and the untimely retirement of several hundred politicians, today's current legislators, civil servants, and business executives have suddenly became the "people's champions." In a parallel universe, we can report the following, just since the latest election:
            ● Congress got the taxpayers' message, and cut tax-supported junkets to only 15 per member. "The people have spoken," said Rep. Horace Sludgepump from the Bahamas where he was on a fact-finding tour for the Maritime subcommittee. However, Rep. Sludgepump cautions that forcing Congressmen to stay at home and work for a living could bring chaos to the nation. Nevertheless, he promises to cut expenses even further three months before the next election.
            ● The Department of Defense was able to significantly reduce its budget by cutting back on the hours its golf courses and officers clubs were open. Complaining about the cuts were tax-reforming members of Congress whose districts were in the golf club re-appropriation. However, they were voted down by congressmen from Iowa, Kansas, Nebraska, and South Dakota who were pleased to tell their constituents there would be new naval bases in their states.
            ● The Governor's office announced that although the administration was forced to make severe cuts in education and human services, by strict cost-counting measures it was able to maintain staff salaries, and keep off the unemployment lines 125 administrative assistants, 265 executive assistants, 835 assistants to the administrative assistant, and 1,255 deputy special assistants.
            ● The budget cuts directly affect the nation's 200,000 homeless veterans. But, there's an upside to this. Sixty-three-year-old Cpl. Willie Joe Lumpkin, a veteran of the Vietnam and Persian Gulf wars, re-enlisted. "After being downsized three times in the past decade and having the bank foreclose on my mortgage," says Lumpkin, "at least I now have a bed and meals." Lumpkin is expected to have shelter in Afghanistan for at least the next year.
            ● The president of Mammoth State University said that it too will cut expenses. Beginning next semester, the university will eliminate the departments of history, journalism, and philosophy, recruit high school students with at least a "C–" average who are willing to pay the increased tuition rates, add low-paid graduate assistants to teach megasection classes formerly taught by full-time professors, and cut the library budget by 35 percent. When asked if those changes weren't severe, the President replied, "We tried to be as humane as possible. We allowed our 1,249 administrators to keep their jobs, have maintained our $6 million football program without restriction, and added three more PR people to better explain the mission of the university."
            ● Slagheap World Airlines announced that in the spirit of national cost cutting, it would cut back its cockpit crew to one pilot and eliminate flight attendants, meals, and life rafts. "This way," said the president, "we won't have to penalize our loyal stockholders by lowering our return on investment."
            ● The Association of American Landlords, which had lobbied extensively against annual safety inspections and property tax increases because they would be unfair to their tenants who would be required to pay higher rents, has also made concessions. Beginning September, in the spirit of tax reform, the landlords will sub-divide all apartments, and raise rents only 10 percent. "Sharing a bathroom and kitchen will bring people closer together," said the Association president from his McMansion Media Room.
            ● Newspapers have been swept up in the spirit of reform. At the Daily Bugle, publisher Ben "Cash" Fleaux, from his villa in Bermuda, announced that his newspaper was forced to eliminate stories about local government, consumer and environmental reporting, and news of the courts when it cut its editorial staff by half in order to maximize profits during the Recession. To compensate, the Bugle is running more PR releases and added more stories about celebrities in rehab.
            ● The medical insurance industry, in keeping with the spirit of cost cutting, today announced it was cancelling coverage for 25 percent of its subscribers. "We hated to do it," said an insurance spokesperson, "but some people insist on getting catastrophic illnesses, and that's unfair to the rest who are healthy and don't apply for benefits."
            ● Finally, Dr. Guy Nacologist, the state's richest obstetrician, announced that in keeping with the spirit of tax reform, he was now requiring all his patients to deliver their babies in eight months, thus saving a full month. When asked if he had also considered lowering his fees, he looked at the reporter, and then pointedly proclaimed that with the increase in country club fees, his patients were lucky he didn't raise their costs by a similar amount.

            [Walter Brasch says that since columnists are the soul of a newspaper, they should be downsized only after the last editor shuts off the lights in the newsroom. He reminds his readers that without their support, he's likely to become unemployed and a burden on their hard-earned tax dollars. His next book is Before the First Snow: Stories from the Revolution, available at amazon.com and other stores after June 20.]