BY JULIE BISBEE Oklahoman, NewsOK
Published: September 8, 2010

A state question that would mandate how much money is spent on common education would make it extremely difficult to balance the budget without a tax increase, top economists said Tuesday.

During a news conference at the state Capitol on Tuesday, economists working with the One Oklahoma Coalition said SQ 744 is flawed and could do more harm than good for the state.

"It's hubris to suggest that you now know, here, today in 2010, exactly how it is that money should best be spent for all time perpetuity," said Alexander Holmes, chair of the department of economics at the University of Oklahoma and a former state budget official. "The constitution needs to have in it fundamental principles. It should not have in it mathematical formulas."

Under former Gov. Henry Bellmon, Holmes worked with other lawmakers to come up with a plan to increase funding for education in the historic House Bill 1017... FULL ARTICLE

DESPERATION wafts from President Obama's new proposals to jump-start the economy — $50 billion in infrastructure spending and $300 billion in tax breaks for business. Coming as they do less than two months before the midterm congressional election, it's hard not to chalk them up to politics.

With an ABC News/Washington Post poll showing 92 percent of Americans think the economy is in bad shape and more people (33 percent to 30 percent) believing Obama has made things worse than those who think he has improved them, the president is proposing more government spending and targeted tax cuts, hoping to at least be seen as trying to fix low growth and high unemployment.

Obama wants to spend $50 billion to launch a multiyear infrastructure improvement campaign that would start with 150,000 miles of roads, 4,000 miles of rail lines and 150 miles of airport runways. The White House would pay for the spending by eliminating tax breaks to the oil and gas industry... FULL ARTICLE

NewsOK

BY MICHAEL MCNUTT Oklahoman
Published: September 8, 2010

Oklahoma will be ready with projects if President Barack Obama gets Congress to pass a $50 billion plan to rebuild roads, state Transportation Department Director Gary Ridley said Tuesday.

"We will be prepared to act," Ridley told members of the Oklahoma Transportation Commission.

Ridley held a meeting later in the day with field division engineers and designers to go over projects in the state's eight-year construction work plan, which the commission approved last month, to make sure the state can act quickly "if additional funds were made available to Oklahoma."

"If you get additional money then you're ready to go," he said. "If you don't, there's no harm because you're designing projects you intend to do anyhow." FULL ARTICLE

NewsOK

BY MICHAEL MCNUTT Oklahoman
Published: September 8, 2010

A second paving contract for the new Interstate 40 Crosstown was approved Tuesday, with transportation officials saying the roadway is still on track to be open to motorists by late 2012.

The Oklahoma Transportation Commission approved a $29.3 million contract with Duit Construction Co. Inc. and TTK Construction Co. Inc., both of Edmond, to pave 2.3 miles from just west of May Avenue east to Classen Boulevard. The two companies are working together on the project.

The work is expected to start in about two months and should take about a year.

The bid was the lowest of four bids; all came in under the $36.2 million estimate.

The commission approved the first paving contract last month. It covered the I-35/I-40 junction west to Lincoln Boulevard. Work should start in about a month... FULL ARTICLE

President wants passenger rail program on “equal footing” in transport legislation

President Obama said he wants long-term transportation legislation to include a permanent infrastructure bank that can make investments outside regular state formulas, and to put his passenger rail program "on an equal footing" to guarantee its support.

Those were among the features that the White House said should be part of a long-term transportation policy, along with $50 billion for "up-front investment in our nation's infrastructure" while the other policies play out.

The president's plan would pair that initial funding with a broad, six-year strategy for transport infrastructure, to replace expiring legislation for federal spending on highways and other facilities. "If we are to enjoy the benefits that come from a world-class transportation system, Congress must enact a long-term reauthorization that expands and reforms our infrastructure investments and returns the transportation trust fund to solvency," said a White House briefing paper.

The administration outline drew praise from House Transportation and Infrastructure Committee Chairman James L. Oberstar, D-Minn., who said Obama's principles are in line with those the committee previously offered... FULL ARTICLE

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NewsOK
By The Associated Press
Published: September 7, 2010

A proposed Oklahoma ballot measure to increase education funding would tie lawmakers' hands during fiscal emergencies and decimate funding for other state services, economists from the state's top two public universities said Tuesday.

The two professors joined fiscal analysts from a pair of Oklahoma think tanks during a press conference at the Capitol to oppose State Question 744, one of 11 questions on the November ballot. If approved, it would amend the state's constitution to require Oklahoma to meet surrounding states' average per-student spending within three years.

Oklahoma ranked 49th among the 50 states and the District of Columbia in per-pupil expenditures in 2008, according to a recent report by the National Center for Education Statistics. Only Utah and Idaho ranked lower.

Retired Oklahoma State University economics professor Larkin Warner said he's a strong supporter of public education, but decried the "unintended consequences" the initiative would impose on other state services by forcing lawmakers to divert state revenue to education... FULL ARTICLE

FOR IMMEDIATE RELEASE
September 7, 2010
Contact: Crystal Drwenski
405.410.7668
Cdrwenski@me.com

OKLAHOMA CITY (Sept 7) – A politically diverse group of Oklahoma economists and fiscal policy experts gathered today at the State Capitol in opposition to State Question 744. The group cited massive tax increases, irresponsible cuts to vital state services and a loss of representative democracy as the united concerns.
Economists appearing at the press conference were adamant Oklahoma taxpayers will be faced with two options to pay for the estimated $1.7 billion spending increases mandated by SQ 744 – a combination of massive tax hikes in income, sales and property taxes coupled with cuts to state services outside of common education – such as Medicaid funding, road and bridge repairs and funding for state prisons.
Dr. Larkin Warner, a regents professor emeritus of economics at Oklahoma State University said, “It is a mathematical certainty passage of SQ 744 will take tax dollars away from vital state services, such as Medicaid spending and road and bridge repairs to satisfy the spending mandate.”
Michael Carnuccio, president of the Oklahoma Council of Public Affairs said, "In addition to the alarming consequences of SQ 744, there are two facts that prove such a measure is dangerous. More money does not correlate to increased student performance, and if Oklahoma calculated our education spending the same as the states we are compared to, we would already be spending more than the regional average."
David Blatt, director of Oklahoma Policy Institute said, “We have run a detailed analysis of the what the anticipated cost of SQ 744 will be. Our best guess is initially we are looking at spending increases of $1.7 billion for common education over three years with no source identified to pay for it. We believe that we must boost funding for our schools, but not at the expense of services for children with mental health issues or kids in foster care or students in our colleges and universities. Tax revenue comes from one place and one place alone: the taxpayer. So whether we cut other state services or increase taxes, we must face the reality those are our only two options.”

Dr. Alexander Holmes chair of the department of economics at the University of Oklahoma, and former state secretary of finance and a former revenue and budget director of the Office of State Finance said, “This is an irresponsible measure at best with catastrophic results at worst. Because Oklahoma law doesn’t allow an increase in taxes without a vote of the people or three-fourths majority of the legislature, it is impossible to fund this spending increase without cutting other government services.”
Jeff Wilson, campaign manager of One Oklahoma said, “We have heard from a diversity of economists and policy experts on the impact of SQ 744. One Oklahoma requests an opportunity to join the Yes on 744 campaign in a public forum in order for them to provide the people of Oklahoma a detailed budget that answers two simple questions: How much will SQ 744 cost? Where will the money come from?”

The Hill
By Darren Goode - 09/06/10 03:10 PM ET

President Obama on Monday called for an upfront investment of $50 billion to improve roads, railways and runways as part of a larger six-year strategy to update the nation’s aging infrastructure.

Obama announced the strategy at the Milwaukee Laborfest in Wisconsin hosted by the AFL-CIO and Milwaukee Area Labor Council and was joined by Labor Secretary Hilda Solis and Transportation Secretary Ray LaHood.

The president wants Congress to approve this first-year $50 billion “as soon as possible” and pay for it by scaling back oil and gas industry tax incentives, a senior administration official said.

“Over the next six years, we are going to rebuild 150,000 miles of our roads — enough to circle the world six times,” Obama said, according to remarks prepared for delivery the White House released ahead of his speech Monday afternoon. “We’re going to lay and maintain 4,000 miles of our railways — enough to stretch coast-to-coast... FULL ARTICLE

Tulsa World
By JIM MYERS World Washington Bureau
Published: 9/6/20103:20 PM
Last Modified: 9/6/20103:27 PM

WASHINGTON — U.S. Sen. Jim Inhofe on Monday predicted President Obama’s latest proposal to spend billions more on transportation and revamp the way certain projects are selected will go nowhere in Congress.

Even Democrats will be outraged and view Obama’s approach as an attempt to strip authority away from Congress, the Oklahoma Republican said.

Inhofe dismissed the significance of the president’s announcement, pointing to its timing. “It is all show for the election,” he said.

As the top Republican on the Senate Environment and Public Works Committee, Inhofe is a major player on transportation issues in Congress.

Senior administration officials, speaking to reporters several hours before Obama’s announcement, emphasized the bipartisan approach that will be needed to get a new transportation bill passed.

Inhofe played a key role in putting together the current law and presumably would be a part of any bipartisan effort in the future... FULL ARTICLE

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WASHINGTON — President Barack Obama is asking Congress to approve at least $50 billion in long-term investments in the nation's roads, railways and runways in a pre-election effort to show he's trying to stimulate the sputtering economy.

The infrastructure investments are part of a package of targeted proposals the White House announced on Monday. With November's elections for control of Congress approaching, Obama planned to discuss the proposal later Monday at a Labor Day event in Milwaukee.

The proposals would require congressional approval, which is highly uncertain at a time when many legislators and voters are worried about adding to federal deficits that are already sky-high.

Even if lawmakers could pass a bill in the short window between their return to Capitol Hill in mid-September and the elections, it's unlikely the spending would give the economy a significant boost by the time voters head to the polls... FULL ARTICLE

At the northern end of a path that may one day be Interstate 49 through Chaffee Crossing lies a forbidding subject.

“It’s the elephant no one wants to talk about,” said Ken O’Donnell, a former transportation planner with the Western Arkansas Planning and Development District.

His “elephant” is a proposed $100 million bridge that would be north of Arkansas 22, span the Arkansas River then connect to I-540 north of Interstate 40.

Until the bridge is finished, I-40 and proposed I-49 cannot cross to form what could one day be the most economically important intersection in the region — one that brings together one major highway that spans the United States from east to west and another that reaches from Winnipeg, Canada, to New Orleans.

What makes the bridge a forbidding subject may be its cost... FULL ARTICLE

GAME-changing state questions were put on the Nov. 2 ballot, measures that supporters touted as way to dramatically increase spending for schools and health care.

The year was 2004. Brad Henry was ending his second year in the governor's office. This Nov. 2, as Henry nears the end of his eighth and final year in office, another game-changing state question is on the ballot. Again, education funding is front and center.

Henry opposes State Question 744, which would cripple noneducation state services. Six years ago, he supported three state questions that dominated Oklahoma news during a presidential election season.

They were the controversial measures creating a state lottery, establishing the "racino” concept and significantly raising the tobacco tax. All three questions passed, two of them having been sold as a way to increase education funding without a general tax increase.

How much have these new "sin taxes” benefited the state? FULL ARTICLE

NewsOK
BY CHRIS CASTEEL
Published: September 5, 2010

WASHINGTON — The federal government spent $37.5 billion in Oklahoma in the 2009 budget year, more than $10,000 per person, according to a new Census Bureau report.

The spending in Oklahoma was 18 percent higher than the previous year as stimulus money started to flow to a variety of programs, including social aid.

Unemployment compensation alone rose 206 percent in the state, from $178 million in fiscal year 2008 to $545 million in 2009, as Congress extended the period for eligibility.

Federal grants, including money for education and transportation, rose from $6.2 billion in 2008 to $8.5 billion in 2009. And direct payments to individuals, including everything from Medicare to farm subsidies and housing assistance, increased by $1.3 billion over the year... FULL ARTICLE

NewsOK
BY MICHAEL MCNUTT
Published: September 5, 2010

New Pikepass windshield sticker tags should be available after the first of the year, with plans to get them distributed to all account holders in two years, a spokesman for Oklahoma's turnpike agency says.

A second round of field-testing the stickers is scheduled to begin this week, Jack Damrill, Oklahoma Turnpike Authority spokesman, said.

No serious glitches were reported during an initial test of placing the sticker tags on about 500 passenger cars, Damrill said.

"We saw a few things that we needed to look at but nothing major," he said. "Mostly people getting confused about how to put the sticker tag on."

The sticker tags will be placed on another 25,000 vehicles, including 15,000 commercial trucks, he said. This will be the first time the stickers will be used by commercial account holders... FULL ARTICLE

11A A complaint has been filed with the state Ethics Commission claiming more than $1.5 million in contributions from the National Education Association to a committee supporting the passage of State Question 744 is illegal and should be returned. A spokesman for the group, Yes on 744, said the teachers group money is legal because it did not come from a political action committee. Yes on 744 intends to keep the money, he said. The Ethics Commission, which called a special meeting Friday to clarify whether ballot measure committees may accept money from political action committees, took no action. Voters will decide the measure Nov. 2.

MICHAEL MCNUTT, CAPITOL BUREAU

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NewsOK
BY MICHAEL MCNUTT
Published: September 3, 2010
Modified: September 4, 2010 at 1:12 am

A committee backing an educational spending measure on November's ballot intends to keep more than $1.5 million contributed from outside Oklahoma by a national teachers group despite the other side's filing a complaint with a state agency that the contribution is illegal and should be returned.

The state Ethics Commission took no action Friday concerning a rule that bans ballot measure committees from receiving money from political action committees.

Before commissioners met, a complaint was filed questioning whether the National Education Association could give contributions to a committee supporting State Question 744. The measure, if passed, would require Oklahoma to increase education spending per pupil to match that of surrounding states.

The commission's failure to take action keeps in place a prohibition against political action committees giving money to ballot measure committees... FULL ARTICLE

NewsOK
BY STEVE LACKMEYER
Published: September 4, 2010

The state's top highway official this week promised that a boulevard intended to replace Interstate 40 south of downtown can be narrowed from its current plan of six lanes if that is the wish of Oklahoma City leaders.

Gary Ridley, director of the Oklahoma Department of Transportation, also said the $85 million allocated in the agency's latest eight-year plan should allow for complete construction of the highway and boulevard by 2014.

The boulevard's proposed six-lane width — wider than a section of Northwest Expressway in far northwest Oklahoma City — have concerned city leaders who want to see the area developed as a new mixed-use downtown neighborhood.

"We're not going to build something the city doesn't want,” Ridley said in an interview Wednesday following a presentation at the Skirvin Hilton Hotel... FULL ARTICLE

Sept. 3, 2010
By Richard Schlesinger
CBS News

(CBS) In its "Where America Stands" series, CBS News is looking at a broad spectrum of issues facing this country in the new decade.

Deliveryman Mike Sweeney used to just drive over the Lake Champlain Bridge to get to work. But it closed suddenly last fall with almost no warning. Now, Sweeney has to row to work.

CBS News correspondent Richard Schlesinger reports the American Society of Civil Engineers issues a report card every 4 years on the state of America's infrastructure. The last one in 2009 was not good at all. The overall grade was a "D."

"Back in 2005, we also did a report card and it was still a "D" there, so we haven't gained any ground," said Andrew Herrmann who helped write the report card. It examined every aspect the country's infrastructure. Bridges got a "C" - but even with that average grade, 12 percent of the more than 72 thousand bridges are too old or what's politely called structurally deficient.

"We've been ignoring our infrastructure for decades," Herrmann said. "We've been under-investing in what we have." FULL ARTICLE

Ethics Commission to discuss out-of-state donation to ballot measure campaign

By MICHAEL MCNUTT and JULIE BISBEE, Published: September 3, 2010
NewsOK

Opponents of State Question 744 said Thursday that supporters should have to return a $1.5 million contribution from a national teachers' group.

The One Oklahoma Coalition, which opposes the proposal to increase funding for education, said the contribution violated state law banning contributions from an out-of-state political action committee to an Oklahoma political action committee.

The National Education Association contributed $1.5 million to the Yes on 744 campaign on July 15, according to filings with the state Ethics Commission. The national education advocacy group had publicly pledged to give up to $3 million to the campaign to get a state constitutional amendment passed that would require the state to fund public education up to the regional average... FULL ARTICLE

The Washington Post
By Lori Montgomery
Thursday, September 2, 2010

Departing White House chief economist Christina Romer urged Congress on Wednesday to "finish the job of economic recovery" by pumping more cash into the economy through additional tax cuts for businesses and middle-class families, as well as fresh investments in the nation's infrastructure.

Her remarks at the National Press Club came as President Obama's economic team is working on additional measures to combat an unemployment rate stuck at 9.5 percent. Any new package is likely to include more tax breaks for business - possibly including another temporary reduction in payroll taxes for new hires - as well as more spending on roads, bridges and other transportation projects, according to people with knowledge of the talks.

But administration officials said the talks are very preliminary, and they acknowledged that any new proposal is likely to be relatively small.

Romer did not say how much more she thinks Congress should spend. But in a farewell speech before returning to academia, she said election-year anxiety about the deficit that has blocked much of the president's jobs agenda this year "cannot be an excuse for leaving unemployed workers to suffer." FULL ARTICLE