Thursday, September 6, 2012

Mo Tax Credit Program is unaccountable and excludes the true small businesses

 These programs eliminate the true small businesses (85% of Missouri businesses) by requiring recipients to create at least 20 new jobs to qualify. These credits need to be examined and adjusted according to merit. If they create a net benefit, keep them, if not, start collecting the revenue for education and other programs that have been slashed.

"[Missouri's]corporate welfare tally reached an all time high of $629 million. That’s an increase of more than 20 percent since the $523 million in tax credits Missouri offered business and industry in 2010, when the commission first met." Excerpt from Mo. Watchdog article posted August 30th, 2012.   

 The examination of these credits value to the state is something many legislators recognize as necessary. The thing that is entirely left out of the debate over these is that the program is exclusive by design and eliminates our true small businesses.

The root of that problem is that the true small businesses have no lobby. Even the so-called "small business" organizations are generally funded and work on behalf of small businesses that most people would call large corporations. The problem there is in the language. Small business being inclusive with 200 employee firms is silly and misleading language. 85% of the businesses in the nation have 20 or fewer employees to begin with. The idea that they would have to create a minimum of 20 jobs to qualify eliminates them entirely. This takes the largest part of our Missouri businesses out of play. 

"The much broader Quality Jobs Program lets small and expanding businesses keep 100 percent of withholdings up to five years as long as they create 20 new jobs in rural areas and 40 in urban areas. Technology firms retain withholdings up to 6 percent of new jobs payroll for five years, with some firms retaining 7 percent of new jobs payroll. Technology firms must employ 10 workers to qualify, while so-called “high-impact” firms — companies with high current employment and projected employment growth — must have 100 workers." Excerpt from Mo. Watchdog article. Click to read.

 Some of these incentives have worked. IE- The LMV plant in Liberty supplying Ford. But others are worthless except to special interests and corporate donors to campaigns. Instead of getting us the most bang for our bucks, legislators are getting themselves the most bucks for their campaigns.

 So far, simply not dealing with this has been the means of perpetuating the wrong priorities. The solution to this starts with an ongoing assessment of their value, and changes to make it inclusive of our largest group of Missouri businesses...the mom and pop shops, small partnerships, start ups and individually owned but small number of employee franchises.

 We can do this and it starts with an honest, coherent examination of the resources available and their return. The next step is to make it inclusive of the true small businesses because not to do so is missing a huge opportunity for job creation. After eliminating non-productive incentives, we need to collect the revenue and return it to vital programs like K-12 education that have been slashed because of misplaced priorities. 

-Kevin Morgan 

Saturday, July 7, 2012

Who will rule Missouri? United Citizens or Citizens United?

In 2010, politics in Missouri and the nation took a dramatic turn for the worse. Historically, state representative and state senate races were centered around issues that pertained to the office. But in 2010 the Missouri Republican party adopted the same talking points and strategy as used in the national office races. Democratic Missourians seeking office were suddenly featured on smear mails from their opponents as being "Nancy Pelosi liberals" and "President Obama clones." The strategy was for state Republicans to benefit from the national campaigns. But the result was to further divide Missourians and create an election environment that was devoid of informing voters about the real issues facing Missouri citizens. The strategy filled the Missouri House and Senate with Republican candidates promising to create jobs and oppose the "socialist agenda." Along the road to getting themselves elected, they adopted the over the top extreme agenda of their Washington sponsors. Two years later the now huge Republican majority in Missouri has been credited with the least productive sessions in our states history. At a time of widespread suffering that needed real attention, no serious jobs programs were created and the failed program they did create they lied about. Women's rights were trampled. They entertained reversing child labor laws.  The only discussion of health care was how to keep people from getting it. 
 The Republican majority in Missouri is now so large that they are fighting among themselves. Not over anything that will benefit people, but over which extreme agenda should be turned into law. They trampled the will of the voters by reversing a ballot referendum to make the minimum wage flexible with the cost of living. They froze the minimum wage at its outdated level while gas prices and the cost of getting by shot through the roof. It is the stuff that revolts are born from. But if you ask most people on the street what happened since 2012, they will talk about the national political scene. Missouri, for now, has a government that isn't functioning and isn't paying any price for their incompetence or lack of attention to the needs of citizens.
 In 2010, the Supreme Court ruled that corporations were people and should be able to anonymously donate as much money as they wanted to political campaigns. And they are. In the current political environment where people are more accustomed to getting their information from smear ads than news stories, it was a perfect fit for the Republican party to buy more seats and do the will of huge out of state PACs bent on giving corporations more money at peoples expense. Largely unaccountable for their failings, it allows Republicans to go on pointing the finger to Washington and avoid any backlash for their failure to serve the needs of the state. These corporations plan on buying more offices to further their agenda at the expense of people and the Missouri Republican party is happy to go on doing nothing for you to return the favor.
 There are now so many Republicans in the Missouri House that they can pass bills without a single Democrat voting with them. They can override the Governor's veto to destroy any checks or balances designed to protect our democracy from abuse. We are truly a state that is controlled by one party who owes the largest corporations their souls. How's that working out for us?
 There is a solution. It is for the many groups of citizens who are being neglected and attacked to unite and support each other in defending their rights. Women under attack need to support unions. Unions under attack need the support of non-union under payed workers. The gay and lesbian community needs to support the voters whose rights are under attack and the working poor need to start recognizing and supporting their right to justice. Teachers need to support voting rights and voters whose rights are threatened need to support education. We can do this. Our elections are not determined by huge corporate ad campaigns. The day after the election they are still the result of how we voted.

Kevin Morgan is a Democratic candidate for the Missouri House in the 38th District.

Saturday, May 12, 2012

Swimming Upstream

 About ten years ago on a spring day I went to a friends farm to hunt for artifacts. The crops weren't in yet but the ground had been turned and after a few days of rain the furrows of dirt had flattened leaving the stones at the surface glistening in the sunlight, washed and exposed. On the way into the field I crossed Fishing River by using rocks in the river bed as footing. After about four hours of surface hunting I was returning to the truck to go home when I noticed that the river had risen. Apparently, it had rained north of us and the water had made its way downstream to my location. I could no longer see the rocks I had used  but could tell where I had crossed by my own footprints in the sand on the bank leading to the river. Carefully, I began stepping into the water feeling for the large rocks with my feet. About halfway across the water was over my knees and rushing against my weight. I took one missed step and  the stream grabbed me dragging me into the water. I was pulled in and plunged under. The current quickly swept me along the bank. I surfaced for breath and saw the bank passing swiftly by as the current controlled me. But thank God I had a moment of clarity. The only way I was going to get any kind of control was to swim against the current. I turned in the water and began swimming hard.
The bank that had been hurling past was  suddenly within my grasp. Kicking and stroking I was able to grab a branch and pull myself out onto the bank. It was a lesson in living that applies today.
 Observing the Missouri House of Representatives and the way that process works I realize that the worst that could happen is to get sucked into the current. A process where the priorities are always seemingly designed by someone else. A system where the needs of people appear to be off the table because the trend is to follow the existing discussion where it leads. And then cast a vote.
 It doesn't have to be that way and the people I am talking to are incensed that "those politicians can't seem to get anything done". The system that we use to address problems in government is a result of the efforts from it's individual parts or ... our representatives. To submit to a dysfunctional process that leaves a majority following along in hopes of making a difference is never going to address our needs. We all see clearly where, day after day, the same ridiculous priorities fill the agenda of legislators who wait in the wings to decide which insignificant vote to cast for issues that never should have been on the table to begin with.
 We can change this but it requires the courage to go against the flow. A realization that the system is only as broken as we allow it to be. That resistance is the opportunity for balance and control. If it isn't working change direction. It's time to change the conversation in the Missouri House of Representatives. We can.
 Today I will be back on the street in the district. Door after door I will meet new faces and I will listen. People will tell me like they always do what their priorities in life are today. I can't imagine asking them to vote for me with the idea that I would go to Jefferson City and allow the current to decide representation for them. I can't imagine it for myself. From today to November I will listen to the needs of those I hope to represent. And in January of 2013 when I am sworn in I will make my presence there matter for the people who sent me.

Kevin Morgan- Candidate for Missouri House of Representatives District 38

Thursday, April 26, 2012

Real Issues from Real People #3

The problem that those supporting cheap labor don't want fixed...


 I spoke with a man the other day who I made contact with while going door to door in the district. He is a union foreman who also prepares bids for construction projects. He was concerned because he sees an abuse of our system that allows unscrupulous contractors to hire illegal workers to win bids against US workers who play by the rules.
 This is how it works. A project RFP is published and the qualified construction firms prepare their bids based on the job specifications. The Union companies are paying their workers the prevailing wage that is an assurance of the skill and quality of work from their organization. But some contractors who are registered and legitimate companies sub-contract aspects of the job to independent companies who use a loophole in hiring to replace qualified workers with illegal labor. They relegate finishing work for example to ACME (a fictitious example). ACME hires for the job using 1099 or self employment forms for the pay. These forms are issued to the illegal workers who may or may not ever file for taxes. They are employed at a much lower wage which of course translates into a lower bid for the ACME proposal. As a result of this ACME gets the job and the legitimate companies who played by the rules are out of work. If ACME is confronted or questioned about having used illegal labor, they simply default to the explanation that they used a sub-contractor who is responsible for the workers they hire. The subcontractor in turn falls back on the use of the 1099 form claiming that their responsibility ended when they issued the forms to workers.
 In the last 10 years we have watched while the illegal labor issue has been used to pass laws aimed at punishing immigrants. But at the same time that these laws are passed the motivation for the illegal labor is intentionally ignored.  Immigrants come to the US because they can find work. They can find work because the laws surrounding hiring have built in loopholes that not only allow them to be hired but encourage and depend on them breaking the law to acquire this work.
 The obvious question here is how are our elected representatives getting away with passing laws that seem tough on immigration violations but at the same time encourage illegal hiring? The answer is that they hide behind the idea that passing regulations that hold employers responsible makes doing business harder. But the truth is that it is left alone to accomodate cheap labor.
 There are only two ways this will ever be corrected. One would be for the contractors themselves who hire to be concerned about the fair hiring and illegal immigration. But they are not. They like it because it is making them money. They want the loophole so they can profit and they don't give a damn about lost jobs by US workers. Neither do the legislators supporting these practices. They will pass the most punitive laws to punish illegal workers while simultaneously protecting illegal hiring under the guise of avoiding "burdensome regulation".
 The solution to this problem was actually introduced by the majority in Missouri in their effort to disenfranchise voters. They need to make it law that anyone hiring using a 1099 must submit a current MO approved picture ID and a legitimate social security number for the worker before they can be approved to work. If it is not too much to ask for voters who have lived in the same house for 40 years and voted in the same precinct to produce a current photo ID, it shouldn't be an issue asking workers who are now assumed legitimate to produce identification for themselves and their employment. Otherwise, we are encouraging illegal labor and undermining workers who are trying to make a living. We either do the right thing because it is right, or we have rules. The current hiring practices of illegals show clearly that without a check system in place, some are NEVER going to willingly do the right thing.
 I believe most businesses who employee using 1099's would have no objection to running a check before hiring. We don't have to create a new agency to accomplish this. We simply need the courage to do what is right.

Saturday, April 14, 2012

Real Issues from Real People #2

 While out knocking on doors in Excelsior Springs today I was amazed at how many people were aware of the state Historic Preservation Tax Credit program and how important it has been in the redevelopment of the downtown area. Sonya and I went to the west side today and it is a beautiful area of town. Huge old Red Oaks and a variety of architecture with construction ranging from the teens to the late 50's.
 The state historic tax credit program was part of what enabled investment in the Oaks Hotel, a blighted property that is now apartments and a source of pride for the community. There used to be a distinct separation of identity in Excelsior with those living on the west side viewing the downtown like the wrong side of the tracks. However, this is improving as there was a nearly unanimous feeling that things were on the upswing in Excelsior and redevelopment in the downtown was cited in nearly every instance.

The Missouri Historic Preservation Tax Credit Program is currently under threat. Although this program creates skilled jobs and adds more revenue to the state than it costs it was reduced two years and and is on the chopping block.
Please read more about this vital program and my position on this important area issue by going here.
 ____________________________________________________________________
 I was stopping here to make a few notes while knocking on doors in Excelsior Springs. Photo by Sonya Morgan who went along with me today and is my great helper.  ____________________________________________________________________

 It was inspiring to me to hear the number of people I spoke with who's concerns were not for themselves but for others. I spoke with a young mother today who has a friend that is a single mother with two children. She works yet is unable to get any assistance such as food stamps. Although her employment is full time, her wage is too low to adequately keep up with the bills. This frustration with the way the system is structured is a common theme among people I speak with. It is almost as if it punishes those who are being responsible but under employed. It also points to the huge segment of our society whose needs are not being discussed in the Missouri House of Representatives. When it is discussed, the conversation centers around those who are already eligible. The huge swath of our society that is underemployed, uninsured and ineligible is simply left out of the discussion.
 In an election year and in the current economy, one would think that the problems directly impacting the lives of so many would be front and center. But instead the topics of focus are all centered around partisan issues that are designed to divide people and force them to chose a side. The deterioration of our political process has left people out of the equation. That isn't right and it is my intention to change this conversation. We need realistic talk not partisan talking points. The problems of the people in our area are not going to get closer to being solved by mimicking those in Washington DC. We can do better than this and it starts with putting people first.
 Please go to my website and sign up to receive my communication about people in the district, and my campaign to bring their issues to the table.

Wednesday, April 11, 2012

Real Issues from Real People #1

Yesterday while I was going door to door I spoke with many people who were more than willing to share their concerns about life in 2012. Between now and November I will continuing to talk with people in the district and I will share some of these things with you. Although I am not going to use the names of these individuals, I will share their concerns because they are as real as they get.

Yesterday I spoke with a woman in the the 38th District. When I asked her what concerns she had that were affecting her life she told me that she has a serious health concern that she had been advised was reason for her to stop working. She was told that she could go on disability and because of the seriousness of her health, she would be accepted quickly. She has 4 children and both she and her husband are working. Neither of them have health insurance through their employer.
Between the two of them, they are managing barely to pay the rent, utilities and provide food for their kids.
 Although her health problem is enough of a threat to potentially kill her, she is afraid to stop working now. She told me that because of the threat of benefits being slashed she was afraid that they would not be able to make it on disability. She said she had always worked and that she had no desire to be on assistance but that she knew her days were numbered at her job because of her health. One fear she had was that if she took her doctors advice and applied for disability, it would mark her as a health risk and she might never be able to work again. On the other hand, if her health continued to deteriorate, she might lose her ability to provide for her family.

 She is stuck between a rock and a hard place and for her there is no solution.
 In Missouri, problems like hers and the health needs of millions of other uninsured workers isn't even being discussed by our state legislature. They will tell you that the poorest of the poor are covered. But they avoid even addressing the estimated 900,000 + people who are not on assistance and cannot afford health insurance. They will work like the devil to defeat a national health care policy, but they haven't any solutions of their own. I think we owe it to ourselves and the people of Missouri to stop politicizing our problems and start talking about them realistically and working for real solutions. "I don't care" is not a solution and it is not responsible to Missouri. Regardless of how tough these problems are, there are too many people affected to ignore them.



-Kevin Morgan 
Candidate for State Representative 38th District Missouri