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Archive for the ‘Economy’ Category

First of all, an explanation is in order for our lack of diligence over the past two months.

We have been under contract to edit a lengthy book manuscript for a publishing company. By lengthy, we mean 250,000 words that had to be boiled down to 130,000 while leaving the story intact. To give some perspective to word count, the 130,000 would translate to about 350 pages of book text.

Now to the issue at hand.

Gov. Bobby Jindal seems to be a virtual lock for re-election. (Still, the Boston Red Sox went into September with a nine-game lead for the wild card spot in the playoffs and promptly went 7-20 and lost the wild card to Tampa on the final day of the season, so in the words of the old Fats Waller song, One Never Know, Do One?)

A similar scenario is not likely in the October 22 election for several reasons. First, and let’s go ahead and get this out of the way: Jindal is smart, as in politically savvy. Never forget that. He’s also brilliant at remembering numbers and statistics and can recite them with little prompting. That also makes him intelligent. No argument there.

Second, he has a commanding advantage in campaign funds—something like $9 million to about $5,000 for Haynesville schoolteacher Tara Hollis, his nearest competitor.

But intelligence, political smarts and money do not a good governor make.

His biggest asset appears to be the manner in which he twists and distorts numbers and cons Protestant church members in north Louisiana when he sets down in his helicopter on Sunday mornings to dispense federal stimulus checks that he was against before he was apparently for them.

And don’t overlook that clever ploy he pulled off awhile back when he duped the legislature into approving the awarding of special pins to Louisiana military veterans. Legislators thought they were going to get in on the act of handing out the medals in their districts but it wasn’t to be. Jindal very politely hijacked that idea, pre-empted the lawmakers and went around the state handing them out to grateful veterans himself.

As if that weren’t enough, now he is exploiting that seemingly magnanimous gesture by incorporating it into his campaign ads. That’s a new low in campaign tactics, if you ask us. If you’re going to recognize our military veterans, governor, then it should be done in a more dignified manner and certainly should not be used for political gain. But then Jindal has shown he is not above any action so long as it reaps political benefits.

He even has one ad that shamelessly sucks up to the NRA, the robust outdoorsman that he is. But we won’t wade off into those murky waters.

Our personal favorite among his TV campaign ads (we can only surmise he has to spend some of that campaign money for appearance sake) is the one in which he touts all the job gains for the state under his administration. Where he plucked his numbers from is literally beyond the scope of our admittedly limited imagination.

In rapid-fire order, the ad flashes names of companies and the number of jobs “created” by his administration. To get all the numbers, one must constantly stop and restart the Youtube video. So we did. In all, the ad names 17 companies across the state, giving the impression that each one is a new company to Louisiana when in fact many are simply companies already domiciled in the state which announced expansions that they quite likely already had on the planning board. Nothing the governor did had any bearing on those expansions. Not that Jindal had any compunction about claiming full credit, mind you.

But it’s the numbers flashed on the screen that bear closer scrutiny. To verify Jindal’s numbers, we simply went online to the companies’ own web pages, the Louisiana Department of Economic Development web page, or online news accounts.

Let’s start with the chicken plant in Farmerville, way up in Union Parish. Farmerville is only a few miles from the Arkansas border as the pullet flies. Jindal’s ad says the $50 million plant (run by one of his campaign contributors, by the way) is responsible for 3,970 jobs. Does Farmerville even have 3,970 people? Probably more but it’s unlikely they all pluck chickens. In fact, Foster Farms’ own web page puts the employment number at only 1,060. That’s about 2,910 short of Jindal’s inflated number. But perhaps he is counting the owners of the broiler houses where the chickens are raised to maturity. Maybe he’s even including the truck drivers who take the birds to the plucking plant. Of course, there’s the U-Fill-Um convenience store where the truckers purchase their diesel fuel. There must be at least three or four employees in that store. And those truck drivers have to eat on the road sometimes, so add the burger flippers at the hamburger joints to the number. Or would that be the servers at the local Foster Farms Crispy Fried Chicken Shack, Used Lumber Emporium, House of Prayer and Snake Farm?

But here’s the real kicker about that chicken plant: no matter what the actual number is, we’re told on pretty good authority that about 60 percent of the plant’s employees reside in Arkansas and drive in the 10 or 15 miles each day.

Here are some others:

• Nucor Steel in St. James Parish—Jindal’s TV ad says 6,050 jobs. The Nucor website says 650. Whoa. A spread of 5,400 is pretty big, even in gut bucket politics;

• Blade Dynamics in New Orleans—Jindal claims 1,570 jobs. Blade Dynamics says 600 on its website;

• Globalstar moving to Covington—Jindal’s ad says 1,300 jobs. Globalstar says the number is closer to 500;

• LaShip in Terrebonne Parish—Jindal says there will be 2,282 new jobs but news accounts put the number at only 1,000. Moreover, LaShip is owned by the Chouest family and the company was the direct beneficiary of Jindal’s $10 million investment of state funds for the Port of Terrebonne in 2008. Jindal received 18 campaign contributions totaling $85,000 from Chouest family members and Chouest businesses;

• DG Foods in Bastrop—was supposed to produce 1,253 jobs instead of 317 actually realized;

• National Electric Warranty—298 jobs touted were unverified;

• CenturyLink—Monroe company simply expanded, producing 1,150 new jobs, not the 1,970 claimed;

• ConAgra—Sweet potato processing plant in Delhi created 500 jobs which was not nearly as sweet as the 1,920 claimed by Jindal;

• Schlumberger—Shreveport oilfield equipment company expanded operations, which only “secured” 120 existing jobs, far short of the 650 new jobs claimed;

• Ronpak—Shreveport fast food packaging company produced 175 jobs, 500 short of Jindal’s boast of 675;

• Northwest Pipe—446 new jobs claimed by Jindal far exceeded 120 actually realized;

• ADA-ES—Red River Parish activated carbon processing facility announcement made no mention of Jindal’s claim of 280 new jobs;

• Zagis USA—Jefferson Davis Parish cotton yarn company claims it will have one of the lowest production costs (read salaries) in America and its 161 jobs is far short of the 805 claimed by Jindal;

• Aeroframe—Expansion of this Chennault Airport facility in Lake Charles will add 300 new jobs, not the 880 hyped in the TV spot;

• Cheniere Energy—Sabine Pass terminal in Cameron Parish produced 148 new jobs and retained 77 as opposed to new 737 jobs claimed by Jindal.

• Northrop Grumman—This donor to Jindal’s wife’s foundation was supposed to produce 339 new jobs with its Lake Charles expansion but in fact created only 80 while retaining the existing 217 positions. Moreover, those numbers were offset with the June announcement that the company had to refund $35 million in economic incentive money to the state when it failed to meet minimum employment totals at its Avondale facility near New Orleans. Somehow, that little factoid didn’t make it into the TV ad.

Bottom line: the ad claims the Jindal administration created 25,425 new jobs through his Department of Economic Development when in fact only 6,729 new jobs were actually created by the 17 new or expanding industries. That number is a whopping 18,696 shortfall from the number claimed in Jindal’s ad–delivered in typical staccato fashion–and only 26.5 percent of the total claimed.

A quarterback who completes only 26.5 percent of his passes quickly finds himself on the bench.

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“The Louisiana Way Forward means that during these tough economic times, we’re pursuing reforms and efficiencies that make govenment do more with less.”

Gov.Bobby Jindal, in a May 23, 2010 speech to the Louisiana Gas and Oil Association annual meeting in Lake Charles.

“We don’t need whining, we don’t need complaining. We need leaders to provide vision.”

Gov. Bobby Jindal on Oct. 22, 2010, as he cut $35 million from the higher education, $21 million from health cae, and $12 million from social services budgets.

“My number one job is creating jobs. That’s why we’re forcing government to do more with less.”

Gov. Bobby Jindal, in his first re-election ad, in March of this year.

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BATON ROUGE (CNS)—A few random notes worth sharing in the wake of the most recent legislative session and Gov. Jindal’s ongoing love affair with north Louisiana:

Because Jindal and the legislature have seen fit to play fiscal shell games with education in Louisiana, considerable but unnecessary—and certainly unfair—financial strain has been placed on local school boards around the state.

Even as Jindal, when he was not drumming up campaign contributions in other states by telling Republican supporters in Wisconsin, Illinois and elsewhere what a fine job he has done in Louisiana, was telling actual constituents and state workers they would have to “do more with less.”

Except when it came to golf courses.

Ah, yes, the golf courses, that old bugaboo we talked about last year.

And let’s not forget the other sports venues and pet projects that took priority over education in Priority 1 capital outlay appropriations this year:

• City Park Golf Complex improvements in New Orleans—$6.6 million;

• Junior Golf training facilities for Jerry Tim Brooks Lakeside Golf Course in Caddo Parish—$200,000;

• Golf course development in Calcasieu Parish—$6.1 million;

• Zephyrs baseball facilities in Jefferson Parish—$1.2 million;

• Professional sports facilities and lease hold improvements in Jefferson Parish (provided that $8.5 million is used to improve the New Orleans Hornets’ training center—$17.5 million;

• Recreational complex in Iberia Parish—$1 million;

• Baseball stadium Improvements in Baton Rouge (which has no baseball team)—$1.4 million;

• Louisiana Sports Hall of Fame/Natchitoches State Museum—$7.7 million;

• Bayou Segnette sports complex improvements in Jefferson Parish—$9.2 million;

• West Ouachita Youth Sports Association site renovations—$25,000;

• Poverty Point Reservoir State Park conference center in Richland Parish—$250,000;

• Poverty Point Reservoir (real estate acquisition)—$1.7 million;

• Washington Parish reservoir feasibility study—$2.6 million.

Meanwhile, in Livingston Parish, the local school board has found it necessary to freeze all salaries and to eliminate three work days from the 2011-12 school year in an effort to cut costs.

Three days may not seem like much but why would we want to cheat our kids out of even 10 minutes?

Union Parish schools operated on a four-day week last year and at least one school district, Caldwell Parish, will follow suit this year.

But the state somehow found the money for $50 million in projects for golf courses, reservoirs and recreational facilities.

And we barely scratched the surface. Local projects were down from last year, but they still could be found crammed into this year’s budget.

Jindal, meanwhile, makes use of the tax-supported state web page to post what comes dangerously close to being a political ad for his re-election.

Go to http://www.louisiana.gov and then move your cursor to “Government,” click first on “Executive Branch,” and then on “Governor,” and voila! Up pops a series of photos of Jindal shaking hands with truck drivers, construction workers, National Guardsmen, etc. The accompanying text to the side reads:

“More than 39,500 new direct and indirect jobs will be created from the economic development wins we have announced since taking office in 2008, along with more than $8.5 billion in capital investment in our state. These figures represent thousands of opportunities for generations of Louisianians—Louisianians who will not have to leave our state to secure a great education or find a rewarding career.”

Like plucking chickens in Farmerville, perhaps?

Not that we have anything against chicken pluckers but it seems the really good jobs were handed out by Jindal to folks from out of state—including his Deputy Commissioner of Administration (New Hampshire), his press secretary (New Jersey), the Secretary of Health and Hospitals (Washington State).

Well, you get the picture.

Of course, it’s going to be rather difficult to remain in the state when programs of study at colleges and universities have been cut to the bone, college tuition increased, teacher pay cut, and state agencies privatized, forcing state workers into a virtually non-existent job market.

Our friend Don Whittinghill observed recently that Jindal convinced local school boards that the 2.75 percent growth factor of the Minimum Foundation Program (MFP—the formula used to fund public education in Louisiana)—would not be funded for the third straight year; that the state passed to the local school boards the cost of transporting private and church school students; that the state-promised $5,000 stipend for teachers who achieve the rigorous National Board Certification would have to be absorbed by the already-shrunken MFP, and that local school boards’ state retirement system contributions would jump to 22 percent.

But, hey! We got our golf courses and Baton Rouge has its baseball park improvements, just no team to play on it.

And Jindal continues to commandeer the state helicopter to fly to north Louisiana churches to give testimonials that are really little more than thinly-disguised efforts to raise still more campaign funds.

In something like five months, Whittinghill tells us, Jindal spent more than $45,000 flying to exotic places like Downsville, Dry Prong, and Shongaloo to give witness to adoring Protestant congregations.

As recently as Friday, July 8, he boarded that helicopter and flew north to the First Baptist Church of West Monroe. There, he took the occasion of signing into law HB-636 by Rep. Frank Hoffmann (R-West Monroe).

If something as blatantly political as that single action doesn’t cost the First Baptist Church of West Monroe its IRS tax-exempt status, nothing should.

How the governor could do something so ill-advised as to put the church’s tax-exempt status in jeopardy or why the church officials would allow it is a mystery.

Moreover, it’s another of those mindless laws that is almost certain to be contested in the courts at considerable cost to the taxpayers of Louisiana and it’s just as certain that the state ultimately will lose the case.

What is this bill? It’s a measure that would require women to be informed of their specific legal rights and options before they undergo an abortion procedure.

Whatever your position on this emotional issue, a church is no place to be holding a ceremony signing it—or any other bill, for that matter—into law.

Abortion providers will be required to post signs around their clinics stating that “it is illegal to coerce a woman into getting an abortion, that the child’s father must provide child support, that certain agencies can assist them during and after the pregnancy, and that adoptive parents can pay some of the medical costs.”

The law also creates a Department of Health and Hospitals (DHH) website and a mobile platform to deliver information “about public and private pregnancy resources” for avoiding abortions.

The first question that comes to mind is how are fathers going to be forced into providing child support given the current deadbeat dad caseload backlog?

Second, just who is going to be around to enforce the child support laws after Jindal gets through gutting DHH as part of his far-reaching obsession with privatization of state agencies?

The most bizarre statement yet was uttered by Jindal while signing the bill into law when he compared women who receive abortions to criminals:

“Now if we’re giving criminals their basic rights and they have to be informed of those rights, it seems to me only common sense (that) we would have to do the same thing for women before they make the choice about whether to get an abortion,” he said.

Common sense?

Indeed.

That would seem to be the rarest of commodities with this governor.

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“The loss of even one Louisiana job in this national economic recession is one too many.”

Gov. Bobby Jindal, on Sept. 16, 2010, criticizing President Obama’s six-month Deepwater Drilling Moratorium in the Gulf of Mexico.

“Our commitment to retaining and growing businesses is a crucial part of our work to create more opportunity for our people and build a better Louisiana for our children.”

Gov. Bobby Jindal on Sept. 22, 2010, during groundbreaking ceremonies for a Folgers Coffee facility in New Orleans.

“So it would seem that the No. 1 priority for the elected leader of Louisiana would be to create jobs—and that’s just what Gov. Bobby Jindal has done. But it starts at the top with the governor. For more than three years, Jindal has focused on creating jobs….”

Gov. Bobby Jindal’s No. 1 fan, Rolfe McCollister, editor and publisher, in May 28, 2011, editorial column in the Baton Rouge Business Report.

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Gov. Bobby Jindal has outlined an ambitious program for his second term of office, including the privatization of the Louisiana Legislature, state colleges and universities, the sale of all state roads and highways and bridges to private concerns, and rapid expansion of the state’s charter school system, all to be controlled by private entities.

His plans for the state, which he calls the “Piyush Push,” were revealed by WikiLeaks which published a series of emails between Jindal and corporate campaign supporters who have contributed millions of dollars to Jindal’s wife’s charity, the Supriya Jindal Foundation for Louisiana’s Children. Upon learning of the WikiLeaks report, the governor called a press conference to explain his programs.

The privatization plan calls for the takeover of the Louisiana Legislature by a corporate board made up of the CEOs of Louisiana’s larger corporations and Wall Street bankers, including AT&T and Goldman Sachs.

The operating boards of state colleges and universities would be merged into a single governing board with board members serving at Jindal’s pleasure. An obscure clause in his plan would allow him to retain control of appointments even after he leaves office. The so-called super board would be comprised of major contributors who would purchase stock shares in the universities. Board members would be allowed to send their elementary- and high school-age children and grandchildren to state charter schools.

“We are not going to raise taxes on the people of Louisiana,” Jindal said at the hastily called press conference attended only by reporters from the Baton Rouge Business Report. “We are going to run these universities like a business. Tuition will be adjusted to a level comparable to that of our nation’s finest institutions, the Ivy League schools, of which I am an alumnus. The board members will not draw per diem or salaries for their services but we anticipate they will profit from their sacrifice and hard work through stock ownership and lucrative stock options in the universities,” the governor said.

“Again, I want to reiterate that we are not going to increase taxes but the new owners of state roads, highways, and bridges will certainly be free to charge a modest usage fee for travel on their byways and bridges,” Jindal said. “People who drive cars should understand that use of roads and bridges is a privilege, not a right and that a usage fee is not the same as a tax; it’s a fee. We believe that these usage fees will offset the need for any increase in gasoline taxes.”

As for the future of the legislature, Jindal said it will be downsized from the current membership of 144 to 12 white males who will inherit all current campaign contributions remaining and accruing to the 144 outgoing legislators. The only way an African-American would be appointed would be in the event of a class action lawsuit by representatives of minority groups. “It almost worked with the Board of Regents,” the governor said in defending his legislative plan.

A few legislators voiced reservations with the manner in which Jindal is moving to privatize their institution, but after having gone along with the governor in other privatization endeavors, most indicated they would not resist the new austerity moves by the governor. Nor was there any immediate indication that legislators would attempt to invoke the separation of powers doctrine under which the legislature has heretofore been largely independent of the governor’s office.

Sen. Carl Spackler of Bushwood, however, was one who vowed he will not vote in favor of privatization of the legislature. “I believe the legislative branch of government is protected in the Constitution somewhere and I’m going to read up on that,” Spackler said. “If I’m correct, I’m not going to sit still for him putting me out of a job. Who does Jindal think we are, state employees? I worked hard for my GED.”

But Jindal was emphatic about pushing for complete passage of his austerity package, saying there would be no compromise. “I want to emphasize that these moves are in keeping with my ‘more is less’ philosophy for all government,” he said. “For those who may question these actions, I would say to them, ‘Quit whining and work smarter.”

Neither is Jindal considering an increase in tobacco taxes. “Smoking is a private decision, an individual right, and smokers should not be penalized for exercising that right,” he said. “We are, however, imposing a significant surcharge for abortions to encourage the notion that life is sacred and women should not make such decisions too lightly. Again, I want to emphasize this is not a tax.”

He said he is also planning to sharply reduce the number of state employees. One example of his layoff plan would require every Louisiana citizen who is unwilling or unable to complete the process on-line to appear at a central location in Baton Rouge, Shreveport, Monroe, New Orleans, Alexandria, Lafayette, or Lake Charles for driver’s license applications and license renewals. “I don’t see why we can’t get by in each office with one or two persons,” he said. “How difficult can it be to issue a driver’s license?”

He also announced plans to double the size and the salaries of the state’s Homeland Security Office while at the same time saying he would cut staff at state hospitals to a single physician and nurse per specialty at each facility. “I believe with fewer doctors, people will find a way to stay healthier,” Jindal said.

“Again, I want to say we are not going to raise taxes,” he said. “That is not an option. We are, however, going to raise the annual deductible on medical care to $12,500 per year, increase co-payments to $50, and at the same time, we’re asking state workers to kick in another 75 percent on employee premiums on health care coverage and retirement benefits.”

Jindal used the press conference to take yet another swipe at big government in general and President Obama in particular. “The bloated federal government should take a look at Louisiana and say, “That’s how things should be done,” he said. “We’re proving in our open and transparent administration that our ethics are above reproach and we’re wiping out our deficit with good, open and honest government,” he said as the CEOs of AT&T, Northrop Grumman, Worley Catastrophe Response, and Blue Cross/Blue Shield stood behind him.

“I would once again call upon the Obama administration to repeal its drilling moratorium in the Gulf of Mexico so that our oil companies can make a decent living,” Jindal said.

Jindal said he would sell all public schools to private entities so that they could be converted to charter schools. He said the move would be a model of efficiency for the rest of the nation. “I believe the 25 percent loss in Detroit’s population over the past decade, for example, could be reversed simply by converting to my proposed system for Louisiana schools,” he said.

“I fully anticipate there will be a bidding war for acquisition of schools as public finance will guarantee a solid return for investors,” Jindal said. “Of course my administration will invest the funds derived from the sale so that cash flow will support scholarships to the schools or such other General Fund needs as might arise in the budget balancing process.”

He said those children unable to take advantage of the improved educational opportunities will be housed in dormitories near the Nucor Steel Mill in St. James Parish, the Tournament Players Club golf course in Jefferson Parish, and the Foster Farms chicken processing plant in Union Parish. “There, they will be given hands-on training to meet the plants’ needs,” he said. “If all else fails, they would certainly be qualified to become slag haulers, caddies at state-run golf clubs, or chicken pluckers.”

To insure that the schools will succeed and will demonstrate high test scores, students will be carefully pre-screened before being accepted for enrollment, Jindal said. The schools will be run by boards comprised of members selected by the owners. Owners and board members, along with the college and university Super Board members, will be given first choice of the available seats in the school for their children, as will those of select employees.

“I am fully aware that all this will require Constitutional amendments but I fully expect the voters of Louisiana to continue to support our programs. But just in case, beginning here and now, I am stepping up my schedule of visiting churches to garner popular support for my proposals. Beginning Sunday and continuing through Election Day, I will be visiting churches all over north Louisiana. My agenda will consist of three things: Sunday morning and Sunday evening services as well as Wednesday night prayer meetings.”

And that’s the way it is on Friday, April 1, 2011.

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