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The Arkansas chapter of Americans for Prosperity released part one of its anticipated five year government spending overview for the state of Arkansas.

“You hear many elected officials talk about a balanced state budget, but very little is being said of how quickly Arkansas Government is growing and how uncompetitive our taxes are,” stated Teresa Oelke, State Director of AFP-Arkansas.

The study highlighted the following issues:

• The Murphy Commission was shocked to find that the state government’s employees grew by 228% from 1965 to 1998. Yet from 1998 to 2007 the state government has grown by an additional 171% in one-third of the time.
• Arkansas ranks 12th among states in its debt growth! Arkansas state and local debt works out to an astonishing $4305 owed for every man, woman and child in the state.
• Arkansas has the highest per capita state tax burden of any state in our region.
• Arkansas’ individual income tax has a top rate of 7% that kicks in at only $31,000 in income, tallying $2,170 per year or $181 per month!
• Americans for Prosperity’s five year review shows that total state spending after removing federal funds increased by 10.88%, 6.38%, 8.19%, 5.19% and 6.17%,
• If Arkansas had practiced “constrained spending” (allowing for inflation and population growth) $5.9 billion dollars would have been available to refund Arkansans taxpayers to create real economic stimulus.

Oelke noted that despite the continued problems with transparency, over-taxation and over-spending all is not lost. “This overview isn’t about what we do wrong, but offers ideas being used in other states to rein in government growth. Arkansas families have been tightening their belts and it’s time for State government to follow their example.”

Former Murphy Commission Member, J. French Hill, who chaired the Murphy Commission Tax Workgroup stated, “All budgets of public and private endeavors require periodic independent review. Such scrutiny often reveals significant opportunities for savings and increased productivity. I commend Americans for Prosperity for undertaking the hard work of a close review. Taxpayers deserve it.”

The Arkansas Chapter of Americans for Prosperity goal for Part One of the five year overview of Arkansas State Government spending renews the conversation among citizen leaders and elected officials on how to address excessive across the board government spending increases and the competitiveness of Arkansas’ tax climate. To be released later this year, Part two will be a five year agency by agency review and Part three will be a model budget that puts hard working Arkansas families as the top priority.

The study has been certified by CPA Steven J. Anderson, CPA, MBA; who is a research fellow at the Oklahoma Council of Public Affairs and served under former Gov. Frank Keating in the Oklahoma Office of State Finance. His firm conducts budget reviews across the country for Americans for Prosperity state chapters.

The Worst of Both Worlds

Just when you think the Congressional Health Care Bills can’t get any worse, President Obama post a new a bill which is the worst of both worlds. . .a Frankenstein like mix of both the House and Senate bills. More taxes, more subsidies and fewer cost controls. The following are key elements of the President’s plan: ·

• Cost: Costs $950 billion over a decade.
• Higher Premiums: The Congressional Budget Office has already confirmed that the Senate bill would raise individual health insurance premiums by an average $2,100 for every family, but the President’s proposal would likely raise that number even higher.
• Taxes: Discards the House's 5.4 percentage surtax on joint-filers earning more than $1 million a year, but it sneaks it back in by broadening the Senate's expansion of the 2.9 percent Medicare payroll tax to joint income about $250,000 and the White House would now apply that tax for the first time to income from "interest, dividends, annuities, royalties and rents," details to come.
• Abortion: Adopts the Senate language on abortion, which is less restrictive than the Stupak-Pitts Amendment.
• Unions: Delays the imposition of the controversial “Cadillac tax” on certain health plans until 2018. However, nowhere in the proposal did the Administration admit what a spokesman told Congress Daily that the White House’s “deal with unions to exempt collectively bargained plans [from the tax] is still in place.”

My dad would have called this, “spending money like it was burning a hole in your pocket,” all paid for by our children and grandchildren. Click HERE to send a letter to your Arkansas Representatives and let them know how you feel about almost a trillion dollar government run health care program.

The true disappointment is that we need to bring down cost in the health care system. Yet, instead of coming back with solutions that we can all support, like stopping jackpot jury awards and competition for insurance companies across state lines, the President and Congressional leaders have served up MORE taxes, MORE government and HIGHER prices for us.

Maybe that is why Rasmussen Reports show 63% believe it would be better for the country if most incumbents in Congress were defeated this November.

I believe in Arkansas of the people, by the people and for the people is still alive and well. If our Congressional members don’t understand this, it will become crystal clear to them on election day!

Click HERE to send a letter to your Arkansas Representatives and remind them Arkansans STILL oppose government run health care!