Post-election thoughts and upcoming hypocrisy

Unions, with significant out-of-state support, raised over $25 million to defeat Issue 2. They are probably looking at it as money well spent since the measure was soundly defeated 61% to 39). Of course, it was their livelihood (union - not individual member - livelihood) that was at stake.

But Issue 3, which opposes the individual mandate required as part of Obamacare, was passed by a margin that was larger than Issue 2's, winning 66% to 34%. And, Issue 3 passed in every single one of Ohio's 88 counties.

So what does this mean?

Some are saying that the failure of Issue 2 shows that Ohio is still a 'blue' state despite the election results of 2010. But Issue 3 debunks that theory.

If the defeat of Issue 2 was a 'strong message' to Gov. John Kasich, the passage of Issue 3 is an even stronger message to President Barack Obama and to all of the Ohio Congressional delegation.

The question now is whether or not Ohio's representatives in the U.S. House and Senate will heed the message of Ohio voters on Obamacare, as so many are saying Kasich must now do regarding collective bargaining reform.

Or, will those who supported Issue 2 employ a double standard and act like hypocrites by continuing to support Obamacare?

I could tell you what I expect but, considering my cynical nature on such things, I believe you already know.

Issue 2: 'mostly false' ad and latest 'honest look'

The Plain Dealer in Cleveland, through their PolitiFact Ohio, took a look at the We Are Ohio claim that "Says that politicians who approved collective bargaining restrictions for public employees "exploited a loophole exempting themselves from Senate Bill 5." They determined the claim is mostly false.

The claim in the ad does contain an element of truth -- legislators are exempted from several provisions of SB 5.

But the portion of the claim that they’ve exploited a loophole leaves out important details that would give a different impression. Those details include that lawmakers have long been exempt from Ohio’s collective bargaining law, that they already pay the same percentages for medical and pension benefits as SB 5 would require and that their wage is set by statute.

On the Truth-O-Meter, a statement that has an element of truth but ignores critical facts that would give a different impression rates one way: Mostly False.

Additionally, the fifth video in a series by GOHP Blog, "An Honest Look At Issue 2" is out. It examines some of the other erroneous claims by Issue 2 opponents (We Are Ohio) and provides the truth - especially in terms of job creation in Ohio since Gov. John Kasich took office.

Toledo Chamber and TASBA urge YES on Issue 2

Press Release:

Toledo Job Creators Support YES Vote on Issue 2

(Columbus) - The Toledo Regional Chamber of Commerce and the Toledo Area Small Business Association announced today their support for the reasonable reforms of State Issue 2. The organization, ranked in the top 5 percent of chambers nationwide, represents more than 2,800 job creators throughout northwest Ohio.

"For Ohio and its communities to be strong again, government costs must be realigned with tax revenue," the chamber's board of directors said in a statement. "The passage of State Issue 2 would give local government elected officials and management the flexibility required to more effectively and efficiently manage their workplaces on behalf of Ohio’s taxpayers."

The Building a Better Ohio campaign welcomed the endorsement.

"We're proud to stand with Ohio's job creators in this effort to move our state in a new direction," said campaign spokesman Jason Mauk. "The people leading Ohio's economic recovery know exactly what needs to be done to create jobs. They know from experience that we can't make Ohio a more affordable place to live, work and do business until we get the cost of government under control. That starts with the reasonable reforms of State Issue 2."

The Toledo Chamber of Commerce joins a growing coalition of respected civic leaders across Ohio who have endorsed a YES vote on State Issue 2. Other recent endorsements include:

* Ohio Manufacturers' Association
* Ohio Farm Bureau Federation
* Ohio Society of CPAs
* Associated Builders and Contractors of Ohio
* National Federation of Independent Business - Ohio
* Ohio Chamber of Commerce
* Columbus Chamber of Commerce
* Greater Cleveland Partnership
* Cincinnati USA Regional Chamber of Commerce
* Youngstown Chamber of Commerce
* Dayton Area Chamber of Commerce

These organizations jointly represent hundreds of thousands of hard-working Ohioans across the state.

Vol. 4: An honest look at Ohio Issue 2 - nurses

In their continuing effort to tell the truth about Ohio Issue 2, GOHP blog has released another video. This one examines the claims in the fourth ad from the campaign against Issue 2. In debunking the claims, the video points out that most of the current issues facing nurses stem from problems in the system - problems that Issue 2 would fix.

Save the Date: October 6th Taxpayer Town Hall on Issue 2

Via email from Americans for Prosperity - Ohio Chapter:

Americans for Prosperity-Ohio is continuing a statewide series of Taxpayer Town Halls on Thursday, October 6th in the Greater Toledo Area. Children of Liberty is partnering with us on this town hall which will explain what Issue 2 (Senate Bill 5) really does and why it it critical to moving Ohio toward a brighter future for all of us.

The town hall will feature Buckeye Institute President Matt Mayer and others as panelists and speakers, and will be moderated by former State Representative and AFP-Ohio Policy Director Seth Morgan.

We will focus on the financial crises faced by many of our cities, townships, villages, and schools, how these crises could affect Ohio's jobs and citizens, and how State Issue 2 (Senate Bill 5) can help solve these crises and help bring a strong and healthy economy back to Ohio.

Please join us and bring your friends, family, and neighbors to learn more and find out what you can do to take back your future.

What: Taxpayer Town Hall
When: Thursday, October 6th, 2011, 6:30pm
Where: Maumee Indoor Theater, 601 Conant St., Maumee, OH, 43537
Registration: Click here to register (although registration is appreciated, it is not required)

We've hosted town halls in Cincinnati-East, Troy, Tiffin, Zanesville, and Cincinnati-West. Over the next few weeks, we will partner with other liberty organizations to host Taxpayer Town halls in Norwalk, Mount Vernon, Canton, and additional locations to be announced. Click here to learn more.

A perfect example of Toledo Council's devotion to unions over taxpayers

Last night Toledo City Council decided to postpone the administration's proposal to implement the terms of a fact finder's report on the AFSCME contract with the city.

One of the things that struck me in the report on the meeting was this:

"Steven Steel accused the administration of trying to “bully” council to vote for the contract..."

But, according to several news reports, the audience for this meeting, and this vote in particular, consisted of "hundreds of angry union members..."

Does anyone else see the irony?

But that's not all. Council's action last night is a perfect example of our elected officials' devotion to unions over taxpayers.

Last night, multiple members of council decided that the city needed to go back to the table for more negotiations. They couldn't understand why the administration had declared an impasse if the union still wanted to negotiate.

But their idiocy - and their willingness to cater to and adopt the union position - was in full view.

They were being asked to implement a fact finder's report. And how, exactly, do you end up with a fact finder's report? Well, both sides must declare an impasse and agree to bring in a fact finder.

Obviously, a bunch of current and former union members would know this simple basic fact of negotiations. But they were intentionally ignoring it.

You see, the union, having agreed with the administration that they were at an impasse and needed to bring in a fact finder, decided they didn't like the report that resulted. So now they want more negotiations - after the fact. As a result, council members accused the mayor of not wanting to sit down and bargain. Talk about spin....

The administration is correct in submitting the report for council approval. Council is wrong to not support the administration in this regard. Apparently, they'd rather adopt the union position than do what is right for the taxpayers. But this goes back to what I've said in the past about the symbiotic relationship our elected officials have with the unions:

The public sector unions rely upon agreements negotiated with mayors, governors, etc. They then rely upon votes by elected council members, commissioners, trustees, school board members or legislatures. These same individuals who are actually deciding upon the terms of the contracts are the same people who beg for endorsements from those same unions.

Elected officials seek union endorsements - and the contributions and volunteers that come along with those endorsements. The people making the decision about the compensation and other working terms are often dependent upon the recipients for their elected position.

The taxpayer, the ones the elected officials are supposed to representing, is more often than not left out in the cold - consistently being expected to fork over more money in taxes and fees so the benefits can flow to both sides (government and union).

This is clearly a conflict of interest, but one that is never raised because it would result in the end of the mutually-beneficial arrangement.

So rather than think about the taxpayer, our elected members of council took the union's side in the dispute and insisted that the administration re-open negotiations - all to make the union members - the "angry" union members - happy.

Do you see now why we need to pass Issue 2?

Better Ohio's second Issue 2 ad and statewide leadership coalition

Building a Better Ohio has released a second pro-Issue 2 ad entitled "The Facts."



They also announced their state-wide leadership coalition, though conspicuously absent is anyone from the Toledo/Northwest Ohio area.

(Columbus) – The Building a Better Ohio campaign announced today its statewide leadership coalition at an event hosted by the Ohio Chamber of Commerce.

“These job-creator organizations standing with us know firsthand why passage of Issue 2 is crucial to the economic stability of our state,” said campaign spokesman Jason Mauk. “Representing hundreds of thousands of employers and employees, they believe that Ohioans deserve the facts on Issue 2. Unfortunately, opponents have made it clear that they want to talk about anything but what is actually in Issue 2. As members of our statewide leadership coalition, these organizations will help lead the charge to educate voters to ensure they know what Issue 2 is really about – fairness, accountability for taxpayers, and getting Ohio back on track.”

The following organizations and individuals participated in today’s event:

* Associated Builders and Contractors – Thaddeus Claggett, Chairman
* NFIB/Ohio - Roger Geiger, VP/Executive Director
* Ohio Chamber of Commerce - Linda Woggon, Executive VP of Government Affairs
* Ohio Farm Bureau Federation - Steve Hirsch, Farmer President
* Ohio Manufacturers’ Association – Eric Burkland, President
* Ohio Society of CPAs – Walt Eckert of Russell, Board Member
* Cincinnati USA Regional Chamber of Commerce – Matt Davis, VP of Government Affairs
* Columbus Chamber of Commerce – Mike Hartley, VP of Government Relations
* Dayton Chamber of Commerce – Chris Kershner, VP of Public Policy & Economic Development
* Greater Cleveland Partnership – Martin McGann, VP of State and Local Government Affairs

Issue 2 makes long overdue reforms to Ohio’s costly and unfair government employment practices. These reforms include asking government employees to earn pay raises in part based on job performance and to pay at least 15 percent of their health insurance premium and 10 percent of their pension contribution. They are estimated to save local communities millions of dollars annually, which will help save jobs, balance budgets and avoid the endless demand for local tax increases. Issue 2 also contains significant reforms to education by finally adopting policies that reward the best and brightest teachers, while making it harder for bad teachers to hide behind the protections of a union contract.

New video debunks second Issue 2 ad from 'We Are Ohio'

From GOHPBlog comes another analysis of the claims being made by the opponents of Issue 2 - primarily unions and the Ohio Democratic Party. The video dissects the 2nd ad paid for by We Are Ohio and puts truth the claims that Issue 2 somehow 'exempts' elected officials from the requirements.

The fact is that the elected officials are already in compliance with Issue 2 provisions! It's so blatantly wrong, I wonder how it doesn't earn a complaint with the Ohio Elections authorities.

Here is the video:

Mayor Mike Bell's ad in support of Ohio Issue 2

Here is the latest ad in support of Ohio Issue 2 (Senate Bill 5) featuring Toledo Mayor Mike Bell. The ad is from Building a Better Ohio.

An honest look at Issue 2 ad from 'We Are Ohio'

I found this video on YouTube and wanted to share it. It analyzes and debunks the claims of the most recent ad from opponents of Senate Bill 5, which is Issue 2 on the November ballot.

It contains good information for countering the distortions coming from the unions - distortions which would have you believe that if Issue 2 isn't defeated, then all hell will break loose and everyone will die. Yes, that's an exaggeration, but it's fitting considering the union claims.

And in case you're wondering why I keep calling it 'union' claims, it's because all the anti-reform people are unions. The group, called We Are Ohio, claims to be a " citizen-driven, community-based, bipartisan coalition." But as that hero points out:

Their populist banner exists to hide the fact that opposition to union reform is driven by the unions – predominantly from D.C. If We Are Ohio is not “a citizen-driven, community-based, bipartisan coalition,” nothing else they say carries much weight… and not merely because they’ve been proven liars right out of the chute.

There is also a great chart on the linked blog post which shows where all the money for We Are Ohio is coming from. It shows that of the over $6.3 million raised so far, less than 1% (it's actually .6%) comes from individuals. The rest comes from unions and the Ohio Democratic Party.

That, along with this video (courtesy of GOHP blog) puts their ad in a different light.

Ohio taxpayer contributions to public pensions higher than national averages

Press Release from the Buckeye Institute:

For more information, contact:
Matt Mayer, President
E-mail: mmayer@buckeyeinstitute.org
Phone: 614.224.4422

BUCKEYE INSTITUTE STUDY FINDS TAXPAYER CONTRIBUTIONS TO PUBLIC PENSIONS HIGHER THAN NATIONAL AVERAGES

September 2, 2011- Columbus, OH - The Buckeye Institute for Public Policy Solutions has released a report that finds that taxpayer funded employer contributions to most of the state pension plans exceeds both the national average and national median for comparable systems in other states.

The report, titled Taxpayers on the Hook, further finds that despite these generous contribution rates, none of the pensions are fully funded. In fact, the best-funded plan only has 75 cents in assets for every dollar in liabilities. This means that, ultimately, taxpayers would be on the hook to pony up additional dollars if pension investment returns decline.

By contrast, if the state were to simply pay a matching rate in line with the national median for the Ohio Public Employee Retirement System (OPERS), State Teacher Retirement System (STRS) and the Ohio Police and Fire Pension Fund (OP&F) it is estimated that $748 million in taxpayer dollars could be saved annually.

Breaking down the ranking, Ohio ranks 14 out of 50 states with a 14 percent of salary matching rate for its main state employee pension, OPERS. The national median is 11.94 percent and the average 12.17 percent.

For state's with separate teacher pension funds, Ohio ranks 9th in the nation with a 14 percent taxpayer contribution rate compared to a national median of 9.8 percent and an average of 11.85 percent.

For states with a specific state pension for police officers, Ohio ranks 10th in the nation with a 19.5 percent taxpayer contribution rate compared to the national median of 11.36 percent and average of 14.7 percent.

Ohio ranks 6th nationally when it comes to taxpayer funded pension contributions for firefighters, with a rate of 24 percent. The national median is 12 percent and average 15.61 percent.

The report also reaffirms that previous research done by the Buckeye Institute, the Impact of Shifting State Workers to Defined Contribution Plans, on the benefits of shifting from a defined benefit pension plan, as Ohio currently has for all state employees, to a defined contribution plan. Such a shift would eventually remove taxpayers from the hook of contributions above and beyond already high rates.

An appendix that includes all state contribution rates is also available.

###

The Buckeye Institute for Public Policy Solutions is Ohio's premier free market think tank. Based in Columbus, Ohio, the Buckeye Institute has provided the research and solutions to Ohio's toughest public policy challenges in economic freedom and competitiveness, job creation and entrepreneurship, and government transparency and accountability for over 21 years.

www.buckeyeinstitute.org

UPDATED! Ohio GOP calls for compromise on SB 5

UPDATE: See Update note at the bottom of the post. As a result of reading the actual letter from the GOP leadership and Governor, my original take on this has changed. My original post follows:

I received the following press release from the Ohio Republican Party. I don't know about you, but I've not heard any groundswell of support for 'compromise' on labor issues in Ohio. In fact, all I've heard from unions is that Senate Bill 5 needs to be repealed and business owners and conservatives saying it needs to stand.

While I can understand an interest in coming to agreement on reforms to the public union issues and the unsustainable obligations their contracts have, I can only wonder who is calling for 'compromise.' That's what we got with the debt ceiling and all that did was push the can down the road.

Perhaps the Republicans fear taking the issue to the ballot with the amount of money unions have to fight for a repeal? Perhaps Republicans fear that Ohioans will be swayed by fear tactics of the unions saying all our houses will burn down and there will be lawlessness because of no police or fire if SB 5 stands. Perhaps, the Republicans are acting too much like they have in the past, snatching defeat from the jaws of victory. I don't know... I just hope that this offer to talk isn't a capitulation before the fight has even begun.

Finding Common Ground In Order to Move Ohio Forward

Ohio Labor Leaders Should Accept the Invitation of Governor Kasich & State Legislative Leaders

Columbus - Ohio Republican Party Chairman Kevin DeWine released the following statement in response to this afternoon's press conference, where Governor John Kasich, House Speaker Bill Batchelder, and Senate President Tom Niehaus invited labor leaders to engage in discussion and compromise on reform legislation for Ohio:

"Our path forward as a state struggling under the weight of a sluggish economy begins with offering proposals to find common ground on reforms which place jobs and economic recovery before political point scoring," said Chairman DeWine.

"While the Ohio Republican Party stands solidly behind the reasonable reforms of Senate Bill 5, we urge Ohio labor leaders to join Governor John Kasich and our legislative leadership in heeding the public's calls for setting aside political differences in our shared desire to guide our state toward prosperity."

Background Information:

State Democratic officials and union leaders should listen to Ohioans' desire for compromise. That begins by offering concrete policy proposals for bipartisan consideration.

Senate Democratic leader Capri Cafaro of Hubbard said in a statement: "The time to negotiate was during the legislative process, not 197 days after Senate Bill 5 was first introduced in the Ohio Senate." (Julie Carr Smyth, "Ohio Gov Seeks to Stop Union Law Repeal Effort," AP, 8/17/11)

It's difficult to find common ground and negotiate when one side fails to offer any alternatives. Democrats failed to offer a single amendment, and one union leader said at a We Are Ohio news conference last week that they intentionally refused to do so for inherently "political" reasons:

"The Democrats were supportive of our position in its entirety," said Steve Loomis, president of the police patrolmen's union in Cleveland, during today's press conference. "The fact that they didn't offer any amendments is political in nature and they had their reasons for doing that," Loomis said. (Courtesy: Ohio Capital Blog, We Are Ohio Press Conference, 8/12/11)


###

UPDATE:

I received a copy of the actual letter sent to Ohio's unions requesting them to sit down and see if there can't be some agreement on reforms to Ohio's collective bargaining laws.

The letter is from Gov. Kasich, Senate President Thomas Niehaus and Speaker of the House William Batchelder. It says:

"In a matter of days Ohioans will be thrust into a costly political battle that will likely result in lasting scars and bitter divisions at one of the most fragile moments in our state's history. Outside observers, including Ohio's two largest newspapers, have rightly asked whether that recourse is our only option. It is not. They have called on us to "look for common ground, not battlegrounds" and to make a "serious effort to determine if compromise is possible."

While we passionately believe in the reforms of Senate Bill 5 and stand ready to vigorously - and successfully - defend them, we ask you to consider this option and join us in working with determination toward a compromise for the benefit of the taxpayers we all serve.

So it appears that this is not a case of snatching victory from the jaws of defeat as I feared above, but an appeal directly to the public sector unions only to work with the Republican leadership to see where they might be able to find common ground on reforming Ohio's collective bargaining laws. The Democrats weren't invited.

It will be interesting to see where this goes - and whether or not any common ground might be discovered. The unions fall back plan would be to just let the voters decide.

Here is the actual letter:

Taxpayer Town Halls

Press Release - (when a Toledo-area location for the Taxpayer Town Hall is announced, I'll add it):

AFP-Ohio announces Taxpayer Town Halls
-Town Halls to focus on financial crises many local governments are facing and how Senate Bill 5 can help-

COLUMBUS- Americans for Prosperity-Ohio kicks off a statewide series of Taxpayer Town Halls on August 16th in the Greater Cincinnati Area. AFP-Ohio is partnering with Tea Parties, 9-12 Groups, and other liberty organizations to host these town halls, which will focus on the financial crises many local governments across Ohio are facing, how those crises could affect citizens, jobs and our economy, what local governments can do to address their financial challenges, and how Senate Bill 5 can help.

"Now that Ohio has passed a budget that addresses Ohio’s financial crisis without raising taxes, we need to turn our focus to the financial struggles many of our local governments are facing," said AFP-Ohio State Director Rebecca Heimlich. "Ohio cannot continue on a path to jobs and prosperity if local governments increase taxes or are forced to layoff employees. Local governments need to use tools that will allow them to balance their budgets by more efficiently, effectively, and transparently managing taxpayer dollars."

Below is a list of Taxpayer Town Halls AFP-Ohio encourages citizens to attend so they can learn more and find out what they can do to help. Over the next few weeks, AFP-Ohio will announce more Taxpayer Town Halls across the state.

Greater Cincinnati Area - East
When: Tuesday, August 16, 2011, 7:00pm
Where: Connections Church, 7421 East Galbraith Road, Madeira, OH 45243*
Partner: Eastern Hills Community Tea Party

Geauga County
When: Wednesday, August 17, 2011, 7:00pm
Where: Orchard Hills Event Center, 11414 Caves Road, Chesterland, OH 44026
Partner: Chesterland Tea Party

Tiffin
When: Thursday, September 1, 2011, 6:30pm
Where: Camden Falls Conference Center, 2460 S. S.R. 231, Tiffin, OH 44883
Partner: North Central Ohio Conservatives

Troy
When: Tuesday, September 13, 2011, 7:00pm
Where: Crystal Room next to Club 55, 845 West Market Street, Troy, OH 45373
Partner: Miami County Liberty

Greater Cincinnati Area - West
When: Wednesday, September 14, 2011, 7:00pm (you can join your fellow patriots and purchase dinner at the Farm at 6:00pm)
Where: The Farm, 239 Anderson Ferry Road, Cincinnati, OH 45238
Partners: Southwest Cincinnati Tea Party, Northwest Hamilton County Tea Party

Norwalk
When: Monday, September 26, 2011, 7:00pm
Where: Norwalk High School, 350 Shady Lane Drive, Norwalk, OH 44857
Partner: If You Believe


To learn more about Americans for Prosperity-Ohio, please go to www.americansforprosperity.org/ohio.

Myths about collective bargaining and SB 5

Yesterday, Ohio unions filed over 1 million signatures to put a repeal of Senate Bill 5, the collective bargaining reform bill, on the ballot. There already has been, and will continue to be, distortions about what the bill contains and what its impact on Ohio, Ohio taxpayers and unions will be.

The Buckeye Institute has done some terrific work laying out the 'myths' and clarifying SB 5. Just recently, they released a short video that explains The Fifteen Myths of Collective Bargaining. These are from their works released over the past several weeks, Five More Myths About Collective Bargaining and Senate Bill 5 and the Top Ten Myths About Collective Bargaining and Senate Bill 5.

Please read and watch - and then share with family, friends and neighbors. It is likely, with over a million signatures, that the repeal will be on the ballot in November and we need every voter informed on the issue.

To view the video visit www.buckeyeinstitute.org.

To view the five new myths click here.

For the original ten myths click here.

Fully-funded public pensions could cost Ohioans $2,541 more per year

If states and local governments are going to pay pensions under current policies, contributions would have to immediately increase by a factor of 2.5, which represents a tax increase of $1,398 per U.S. household per year.

That's the finding of a new report from Northwestern University by Robert Novy-Marx (University of Rochester and NBER) and Joshua D. Rauh (Kellogg School of Management and NBER).

The report, The Revenue Demands of Public Employee Pension Promises, states:

We calculate the increases in state and local revenues required to achieve full funding of state and local pension systems in the U.S. over the next 30 years. Without policy changes, contributions to these systems would have to immediately increase by a factor of 2.5, reaching 14.2% of the total own-revenue generated by state and local governments (taxes, fees and charges). This represents a tax increase of $1,398 per U.S. household per year, above and beyond revenue generated by expected economic growth. In thirteen states the necessary increases are more than $1,500 per household per year, and in five states they are more than $2,000 per household per year. Shifting all new employees onto defined contribution plans and Social Security still leaves required increases at an average of $1,223 per household. Even with a hard freeze of all benefits at today’s levels, contributions still have to rise by more than $800 per U.S. household to achieve full funding in 30 years. (emphasis added)

According to the report, Ohio would require one of the largest increases relative to GSP (gross state product) and "would need the immediate increase to be several hundred dollars larger per household" than other states. Based upon their analysis, Ohio's required tax could be as high as $2,541 per household.

They also say:

At sufficiently high parameterizations there would be no level of taxation sufficient for Ohio or Oregon to amortize their legacy liabilities. The tax burdens and service cuts become so onerous on residents that decide to stay in the state that everyone immediately moves out.

Only New Jersey, New York, Oregon and Wyoming would require a higher tax per household than Ohio to fully fund the pensions, if there are no policy changes.

While some of the writing is technical, I hope you'll take the time to read the entire report and understand the dire situation Ohio is facing with its public pensions.

Buckeye Institute: analysis of S.B. 5 and statement on OEA indoctrination

Press Release:

BUCKEYE INSTITUTE RELEASES AN ANALYSIS OF SENATE BILL 5 AND ON OEA'S PLAN TO INDOCTRINATE OHIO'S KIDS

May 5, 2011-Columbus, Ohio - The Buckeye Institute for Public Policy Solutions today released its analysis of Senate Bill 5. This analysis looks at the details of the bill from the Ohio taxpayer's perspective and shows the savings to taxpayers by looking at three separate government entities: the State of Ohio, City of Eastlake, and Dublin City Schools. The analysis also moves to discredit several claims reported by the unions on the effects Senate Bill 5 will have on our government employees.

"The passage of Senate Bill 5 is a monumental step on behalf of our right as taxpayers to efficient government. From the moment Ohio's collective bargaining law was passed in 1983, the interest of taxpayers took an increasing backseat to the interest of labor unions," stated Matt Mayer, President of the Buckeye Institute. "SB5 ends that faulty and costly premise."

The full analysis can be found at: http://www.buckeyeinstitute.org/uploads/files/An%20Analysis%20of%20Senate%20Bill%205.pdf

The Buckeye Institute also released a short comment on the Ohio Education Association's push to indoctrinate Ohio's schools children with union propaganda. To see the report and example from the OEA monthly newsletter click here.

###

From the comment by Matt A. Mayer, President of the Buckeye Institute, referenced above:

"I will be the first to defend the right of Ohio's government workers to protest and to advocate for their position in the public arena. Such a right is among the foundational rights of our great Republic. The Ohio Education Association (OEA), however, believes teachers should carry their protest and advocacy into the classrooms all over Ohio. The OEA also believes teacher should not only be members of a labor union, but also should indoctrinate our children in unionism.

As the OEA dictates to teachers in their monthly newsletter, "it's essential that they not only be teacher unionists but teachers of unionism. We need to create a generation of students who support teachers and the movements of teachers for their rights." How about they focus on just teaching our kids the core skills they will need in math, reading, writing, and science? How about they leave their political ideology and unionism out of the classroom? As the National Assessment of Educational Progress results show, more than half of America's 8th graders fail basic civics tests. Clearly, our teachers have enough to do already."

I HIGHLY recommend you click on the link and read the entire document!

Why union members should love S.B.5 seniority provision

Yesterday the House passed Senate Bill 5, the collective bargaining bill, and shortly thereafter their version received approval in the Senate. The bill now sits on Gov. John Kasich's desk awaiting his signature.

One of the provisions in the bill deals with layoffs and seniority and contains language (in multiple places) stating:

When a reduction in force is necessary, the (governmental entity) shall not use an employee's length of service as the only factor to determine whether to lay off the employee.

This means that all public sector union employees will first be judged on their performance and value to an organization - not how long they've been employed - and if you're a newer employee who does a good job, you have a better chance of keeping your job now that S.B. 5 has passed.

Quite some time ago, as host of WSPD's Eye On Toledo show, I interviewed Toledo Police Patrolman's Association President Dan Wagner during a time when the city was considering laying off police. The city was asking for cuts and the TPPA was opposing them. I asked him: if it came down to layoffs for some of his members versus an across-the-board cut, which would his members choose? His reply was probably one of the most honest statements ever made by a union president: "Sadly, I think they'd choose the layoffs."

This, to me, goes against the entire 'one-for-all' attitude that I thought unions were supposed to embrace. They certainly tout the 'collective' nature of their organization and relationship, until it comes to certain issues like layoffs versus cuts. In the end, the people in the union who 'have' will sacrifice the newer members in order to keep what they've got. Dan told me later he knew I'd never let him forget that statement, but it's nothing he should be sorry for saying - though he might be sorry his members thought that way.

But with the passage of S.B. 5, that issue goes away. Now, public employees don't have to worry about how long they've been employed; they only have to worry about their performance and their value to the city. This, alone, is reason enough for union members to love S.B. 5.

The consequence of this change in decision-making cannot be overlooked. Without the guarantee of seniority, unions may find their members are more willing to consider across-the-board cuts than they were in the past. If the older members have no assurances that they will keep their jobs, they'll be less confident in risking actual layoffs, making them more amenable to other solutions such as concessions and cuts.

This is good for the taxpayer and it removes the ever-present gamesmanship of politicians who always threaten the most untenable of layoffs (in police and fire) when they face budgetary decisions they don't want to make or when they have tax increases on the ballot they want to pass.

Additionally, S.B. 5 makes the layoff process easier for cities. Since most unions have 'bumping' rights (a data entry person laid off, for example, in the police records bureau, has the right to 'bump' a less-senior person in the data entry section of the tax department), cities will no longer have to worry about the musical chairs and the headaches of such a process.

But this issue isn't final - yet. Democrats and unions are already mobilizing to take the matter to the voters by putting the law on the ballot as a referendum. They've got plenty of time to organize their supporters, but I don't know that they'll find much success on election day.

The state switched from Democrat control to Republican during the last election despite the spending by unions. The people in office now were put there with the expectation that they would address the out-of-control spending and the huge unfunded obligations the states have. A majority spoke last November and they're not likely to change their minds so quickly, especially if the state office holders continue to do what they were elected to do.

And not all union members are Democrats. I know, that's a hard fact to comprehend in light of the perception union leaders and Democrats advance, but it's true. And even some of the union members who are Democrats are not always in favor of the way their unions operate - especially if they're the new member who was at risk of losing their job simply because of a calendar.

While I won't underestimate the ability to get the matter on the ballot - or the mobilization of their supporters - I don't believe the unions have the support of the majority of Ohioans in this regard, otherwise, we wouldn't have the bill in the first place.

Ohio House passes Senate Bill 5

Press Release from Ohio House Republicans:

Ohio House Passes Senate Bill 5 to Benefit the Middle Class, Save Jobs

House Democrats offered no amendments and provided no constructive input during lengthy process

COLUMBUS—After more than 60 hours of testimony and more than 200 witnesses over a period of nearly two months, Senate Bill 5 today passed from the Ohio House of Representatives. This legislation restores fairness for Ohio’s taxpayers and helps prevent mass layoffs of dedicated public employees by giving local governments the flexibility to manage their own finances.

Senate Bill 5 wholly reinvents the relationship between public-sector unions, local governments and the taxpayers. With many local governments threatened by bankruptcy and unable to control their costs, many communities may suffer massive tax increases or widespread layoffs just to keep public services solvent. This legislation—which restores Ohioans’ influence over the government and its employees that they pay for—aims to save these vital jobs while also lowering the tax burden on the middle class.

“Today, this House has taken an unprecedented step toward public policy that respects all Ohioans, especially our taxpayers and our hardworking middle class,” said Speaker of the Ohio House William G. Batchelder (R-Medina). “Senate Bill 5 protects the collective bargaining rights of Ohioans while also giving local governments an additional tool in the toolbox as they balance their budgets. Truly the most important thing we can do is ensure that our public services remain of the highest quality and that we give employers the ability to maintain and reward their employees—rather than resorting to mass layoffs due to ironclad contracts.”

Despite 13 committee hearings on the legislation, the House Democrats offered no amendments to the bill. Furthermore, in Tuesday’s Commerce and Labor Committee, the minority caucus voted unanimously against an amendment that would allow public safety personnel to bargain for safety equipment.

In addition to the Republican amendment to permit bargaining for safety equipment, House modifications to Senate Bill 5 include provisions that permit communications between bargaining parties, clarify that death benefit amounts for spouses are not affected by changes in the bill, and eliminate jail time as a possible penalty for striking.

The House version also removes the use of ticket quotas to determine performance-based pay for law enforcement officials, eliminates automatic union deductions without written consent, and prohibits “fair share” fee penalties as a requirement to be a non-union member within an organization. Additionally, under certain conditions, labor disputes may be settled by voters at the ballot, with last best offers of each bargaining party considered and resolved by Ohio’s taxpayers.

“In this bill, we have successfully maintained the bargaining rights of our communities’ most important public workers—those who educate our children, protect our families and homes, and keep our neighborhoods clean and thriving,” said State Representative Joe Uecker (R-Loveland), who serves as chairman of the House Commerce and Labor Committee. “At the same time, we’ve updated Ohio’s collective bargaining law, which for nearly three decades has rampantly expanded and put an undue strain on our local governments. We have found a delicate balance that will respect the taxpayers, save state and local jobs, and improve the public services we rely on each day.”

To specifically advance the quality of education in Ohio’s classrooms and reward teachers, S.B. 5 establishes standard state guidelines to determine educators’ compensation and other terms of employment. While 50 percent of educator evaluations must be based on student performance as developed by the Ohio Department of Education, local school boards have the authority to establish objective measures related to quality of instructional practice, communication and professionalism, parent/student satisfaction, and other relevant factors.

As passed, S.B. 5 is expected to save local governments more than $1 billion while ensuring that public employees can still collectively bargain under a better system with negotiations, mediation and fairness.

“The economic reality is that here in Ohio, we are looking down the barrel of an $8 billion budget hole that—without prudent reforms and a commitment to reshaping the way Ohio does business—would simply not have disappeared on its own,” said Speaker Pro Tempore Lou Blessing (R-Cincinnati). “It requires difficult decisions, and we’ve taken a step toward sustainable changes that will benefit us today and our children tomorrow. As local governments fight to stay afloat amid this financial storm, we have protected our communities and the indispensible services that our public employees give us.”

S.B. 5 will now return to the Ohio Senate for a concurrence vote.

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Update on S.B. 5

The Ohio House is scheduled to vote on Senate Bill 5 today, the collective bargaining law, after amendments and discussion yesterday.

One of the amendments that was passed included this one relating to the automatic payroll deduction for political contributions:

No public employer shall agree to a provision that provides for the payroll deduction for any contributions to a political action committee using any other method than the method prescribed in sections 3517.082, 3517.09, and 3599.031 of the Revised Code.

This is good news for union members, but bad for the unions themselves. Currently, union members do not have to contribute to the political action committees of their unions, but some (not all) include that as part of the dues structure. Members who don't want to participate can request a refund of the amount of their dues not spent directly on their representation but, fortunately for the unions, many individual members do not realize this and don't ask for the refunds.

According to the 1851 Center for Constitutional Law, which supported the amendment:

Ohio previously prohibited such automatic payroll deductions. In 1998, a state court of appeals struck the prohibition on First Amendment grounds. However, in 2009, the U.S. Supreme Court explained that such scrutiny is not appropriate: "while in some contexts the government must accommodate expression, it is not required to assist others in funding the expression of particular ideas, including political ones."

Again, this is good news for union members who won't have to fund political candidates and causes they don't support.

FreedomWorks joins effort to pass S. B. 5

Press Release:

FreedomWorks, Statewide Tea Party Leaders to Support Senate Bill 5 and Governor Kasich

WHAT: FreedomWorks, Ohio Tea Party groups and limited-government activists will host a press conference at the state capitol to defend the taxpayers of Ohio and to offer support for Senate Bill 5 (SB5).

Following the press conference, grassroots leaders from across the state will deliver hundreds of letters of support from the citizens of Ohio, urging their state Representatives to vote YES on SB5. Senate Bill 5 is a piece of legislation that would remove automatic pay raises, introduce merit-based pay and reform the collective bargaining power of state and local employees.

WHEN: Tuesday, March 8, 2011 at 10a.m.

WHERE: Capitol steps on the North Plaza of the Ohio Statehouse, 1 Capitol Square, Columbus, Ohio 43215

WHY: FreedomWorks strongly believes that Senate Bill 5 is the first critical step to alleviating Ohio’s budget crisis and lay the foundation for future job growth. Currently, the state of Ohio has a $10 billion deficit for 2011, and shed over 600,000 private sector jobs in the last ten years.

Governor John Kasich will be the latest recipient of the FreedomWorks "Legislative Entrepreneur Award," for his dedication to restore economic competition in Ohio, rein in spending and shrink a bloated state budget.

As the debate picks up steam in the Ohio House, FreedomWorks will continue to mobilize members, along with conservative, limited-government activists in Ohio on FreedomConnector- a revolutionary, new online mobilization tool designed to quickly apply concerted pressure on elected officials- to call and email targeted Ohio House Members in support of SB5.

In addition, FreedomWorks will be organizing numerous events on the ground throughout Ohio in the weeks ahead to advocate the passage of SB5.

“Ohio is in a vicious cycle where the private sector shrinks and the public sector liabilities grow, forcing businesses, jobs, and citizens to become economic refugees to the Sunbelt states. We applaud Governor Kasich’s bold efforts to reverse nearly 50 years of economic stagnation and to build a foundation of growth and recovery in Ohio. It’s our mission to unite and mobilize a grassroots constituency in support of legislative entrepreneurs like Governor Kasich who look for long-term solutions instead of nearsighted gimmicky fixes.” – Matt Kibbe, President of FreedomWorks

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