Political Monday with John DePetro: Cracks in the Wall of Corruption

My weekly call-in on John DePetro’s WNRI 1380 AM/95.1 FM show, for October 21, included talk about a political operative’s indictment, other political operatives’ hemp biz, Block’s complaint against government operatives, Wyatt protesters, and an unpopular governor.

Open post for full audio.

The Legislature Needs a Direct Intervention from Voters

Legislators’ relentless attack on Rhode Islanders’ rights may leave only recourse to a constitutional convention.

Is Government Over-Reacting With Vape Bans?

Are the decisions by the governors of Rhode Island and Massachusetts to halt the sale of vaping products (which will destroy jobs and small businesses) fueled by solid research or inspired by politically-correct activism?

While we recognize that this may be a sensitive topic to some people, there are many pro-liberty arguments that can be made on why these vape bans are wrong. It is deeply concerning that Governor Raimondo used her office to unilaterally ban a class of products.

An E-Cig Ban Throws Caution (and Liberty) to the Wind

Leaders contemplating a vaping ban to consider the data we have available, wait for more research to be conducted, and think of the long-term consequences of actions.

Unraveling Newport’s Liquor License Black Market

Newport has created an artificial market for alcohol licenses that is probably valued around $35 million, and the city should find a fair way to unwind it.

Fundamental Questions Vaped

Joanne Giannini’s essay in this space yesterday points in the direction of fundamental questions our society doesn’t seem interested in asking these days — much less answering.

A former state representative, Joanne was in office during a time when state government was cracking down on smoking.  She sees the rise of vaping as an as-bad-or-worse substitute cropping up and (one infers) probably deserving of the same response.

The first question is whether the rash of illnesses is actually an indication that vaping is truly dangerous.  Robert Verbruggen writes for NRO that reports of “the mystery vaping disease” merit investigation and concern, but indications are that they may be highlighting a tangential, not endemic, problem:

… while a lot remains to be learned about the illness, there are strong suggestions it’s caused by bad or counterfeit products, not by normal vaping. The cases cluster geographically, and in some states they have been found exclusively among those who vape cannabis products, not nicotine. Scott Gottlieb, the former FDA director who launched a crackdown on vaping when studies showed teen use on the uptick, told KHN he suspects the problem is counterfeit pods, both because of the clustering and because the FDA inspects the facilities of legitimate manufacturers to ensure the products aren’t contaminated.

This, in other words, may be less like cigarettes, which cause disease by their nature, than like food poisoning.  If that’s the case, then regulation should be less about limiting access as a way of discouraging use than about helping consumers differentiate between safer and riskier products.

Either way, the question remains what our society ought to do when the short- and long-term effects of a consumable are unknown or are known to be bad.  Limiting their use by minors, who are presumed to be unprepared to make informed decisions, is an obvious possibility.  But shouldn’t adults be permitted to balance the risks and rewards of these things for themselves?

Vaping… The New Substitute for Smoking

Lung illnesses that appear to be linked to vaping beg for a closer look and raise questions about whether chemicals in e-cigarettes make it safer substitute for smoking.

Questions That Can’t Be Asked on Gender ID?

Adding new genders to driver’s licenses is the latest illustration of our modern tendency to make policy based on political abstraction rather than facts or rational justifications.

Theft Is One Way to Get the Money Out of Politics

When I’ve objected to the ever-growing regulations imposed on anybody who tries to participate in state or local government, I’ve had in mind mainly the disincentive for people to get involved and the potential for political “Gotcha!” games.  Recent news out of the Board of Elections is a reminder that government isn’t just this neutral, flawless storing house for all of our rules and information:

The Rhode Island Board of Elections acknowledged Monday that its inadvertent disclosure of banking information might have opened the door to “fraudulent activity” involving the campaign finances of two 2018 political candidates, Cranston Mayor and candidate for governor Allan Fung and Secretary of State Nellie Gorbea — including the theft of money from Fung’s campaign account.

The board has learned that it mistakenly disclosed the routing numbers and account numbers of checks written by campaigns participating in the state’s Matching Public Funds program, according to a news release issued by Diane C. Mederos.

The Matching Public Funds program isn’t so substantial that every candidate or potential candidate in the state will even think about using it, but this is a warning.  The state now requires all candidates to have separate bank accounts and to provide statements to the Board of Elections.  These burdens have a way of expanding and becoming more detailed as they (inevitably) fail to stop the behavior they’re targeted toward stopping.

At the same time, being small and used only for the periodic purpose of elections, these accounts are easy for busy people to lose track of.

As long as I’ve been paying attention to politics, I’ve been hearing people say that we need to get the money out of it.  I’m not sure making it an easy target for theft is the right way to go about that.

Reading a Free Market Solution Between the Lines

Three items in this week’s Nesi’s Notes point to the conclusion that RI’s top-down economic development approach isn’t working and can’t work here.

Rhode Island’s Politicians Are Failing

For too long, the political class has failed the people of our state. At $888 per year for each of Rhode Island’s one million residents, a family of four is paying over $3,500 annually for excessive compensation deals for government workers, while the basic needs of their own families are being ignored by politicians.

With almost two-thirds of these excessive costs being heaped upon municipal taxpayers, our recent Public Union Excesses report further estimates that property taxes could be reduced by 25% if more reasonable, market-based collective bargaining agreements were negotiated.

Rhode Island: An OK Place to Live

Obviously, the more subjective the thing an index attempts to measure, the more subject it will be to interpretation, and WalletHub has made a cottage industry of cranking out subjective rankings.  That said, the Web site’s “Best States to Live in” ranking from June has some interesting considerations for the Ocean State.

Notably, the Ocean State is supposedly the 29th best state in which to live… which seems OK, considering Rhode Islanders’ expectation to come in at the very bottom of all rankings.  OK begins to look not so good, though, when one zooms out on the map.  WalletHub claims Massachusetts is #1 and New Hampshire #3.  Vermont and Maine are both in the teens, and Connecticut comes in at #20.

Looking at the subcategories, RI’s worst result was in “affordability,” which shouldn’t surprise anybody.  The Ocean State was the fourth least affordable state, after New York, California, and New Jersey.  But here’s the thing:  No New England states are very affordable.  Massachusetts, for example, is 43rd and New Hampshire is 42nd.

So what makes the difference?  Massachusetts is in the top 5 for everything else:  economy, education & health, quality of life, and safety.  New Hampshire only misses the top 5 in quality of life.  Meanwhile, Rhode Island only breaks the top 20 on the safety subcategory (at #5).  The conclusion is that Rhode Island might not be able to avoid being expensive, but that only means it can’t afford to be unattractive by other measures.

Here’s where the subjectivity of the index becomes important.  Quality of life includes things that Rhode Island can’t help, like the weather, and things that depend on one’s values and interests.  The importance of “miles of trails for bicycling and walking” will vary from person to person.

But quality of life also includes things like the quality of the roads, which is pretty universally valued.  Meanwhile, multiple criteria that the index uses center around leisure activities that cost money, which means disposable income is a factor, as is the ease with which businesses can pop up to answer the demand.

MIT’s Living Wage Calculator states that a single Rhode Islander needs to make $12.35 per hour over a 2,080-hour workyear.  However, $1.86 of that goes to taxes.  For comparison, in New Hampshire, only $1.50 per hour goes to taxes.

This all suggests an unsurprising solution for improving Rhode Island’s standing:  lower taxes, use the money that is collected for things that are of more universal value, and decrease regulations.  We’d all have more money to spend, we’d feel better about our day-to-day life, and we’d be better able to answer each other’s needs.

Hair Braider Freedom Passes GA: An Important Shrinking of Government

VICTORY! For years, our Center has worked, both publicly and behind the scenes, to secure an important and symbolic freedom for Rhode Island families. During the last moments of the 2019 General Assembly session, lawmakers voted to exempt natural hair braiders from the occupational licensing requirement for hairdressers and cosmeticians within the state.

Hair Braider Freedom and Keeping the Rules Small Positives in a Dark Session

Let’s take a moment to celebrate something positive out of the General Assembly: the passage of legislation that would free natural hair braiders of the need to become licensed as full beauticians:

“For centuries, natural hair braiding has been a common practice for African and African American women and men. Hair braiding skills and techniques are passed down from generation to generation and do not require formal training. Forcing natural hair braiders to meet the same licensing requirements as cosmetologists is a clear injustice. This bill rights a wrong and allows entrepreneurs — including a lot of women from low-income neighborhoods — to make a living,” said Representative Williams (D-Dist. 9, Providence). “Natural hair braiding is an art form, limited only by the braider’s creativity. The state does not require licenses to produce art, yet, that is in effect what is occurring now with natural hair braiders. Finally lifting this senseless requirement is a triumph for our community, not only freeing braiders from onerous regulations but also bringing about a bit of sorely needed cultural sensitivity.”

The bill (2019-H 5677A, 2019-S 0260A) defines natural hair braiding as “a service of twisting, wrapping, weaving, extending, locking, or braiding hair by hand or with mechanical devices.” The bill allows braiders to use natural or synthetic hair extensions, decorative beads and other hair accessories; to perform minor trimming of natural hair or hair extensions incidental to twisting, wrapping, weaving, extending, locking or braiding hair; and to use topical agents such as conditioners, gels, moisturizers, oils, pomades, and shampoos in conjunction with hair braiding as well as clips, combs, crochet hooks, curlers, curling irons, hairpins, rollers, scissors, blunt-tipped needles, thread, and hair binders. They may also make wigs from natural hair, natural fibers, synthetic fibers and hair extensions.

The RI Center for Freedom & Prosperity has been pushing for this legislation for years, now, so it’s good to see those efforts bear some fruit.  That said, it’s difficult not to see a dark lining to this silver cloud:  all that effort for this minor concession to freedom.  Observers must also wonder what the sponsors of this legislation had to vote for as the trade-off.

Similarly, it’s a positive development that House Minority Leader Blake Filippi (R, Block Island, Charlestown, Westerly, South Kingstown) forced the legislature to finish up without suspending its rules, but as we move on from the 2019 session, we should ponder whether “not as bad as it could have been” is good enough.

Plugging a Hole with Opposition

Rhode Island’s problems are pretty obvious, but it’s apparently more difficult than might be expected to tell who is actually trying to fix them.

PUC Decides RI Needs High Energy Prices

The proposed Burrillville power plant may not have been a good idea, but regulators’ finding that RI doesn’t need more energy production puts us all at risk.

Relentless Perpetuation of the “Equal Pay” Myth via Legislation

Helpful headlines notwithstanding, the Rhode Island Senate once again passed legislation to address the mythical “wage gap”:

A plan to close the gender wage gap in Rhode Island by adding new, sharper teeth to the state’s fair pay law and banning employers from asking job candidates their salary history sailed through the state Senate again Thursday.

“Rhode Island first passed an equal pay law in the 1950s, and I am sure it was revolutionary at the time, but we have not gone back and updated it unlike many other states,” said Sen. Gayle Goldin, lead sponsor of the pay equity legislation. “Passing this bill is not going to resolve the wage gap on its own, rather, this bill in combination with so many things we have worked on… is the way we will address the gender wage gap.”

And so it goes.  As long as progressives want to foster division and grievance, this legislation will keep appearing.  Maybe some year the gears of political necessity will get it over the finish line.  As that process plays on from year to year, opponents will tire of saying the same thing over and over again.  That’s the advantage of the left-wing approach to public “debate”:  When you refuse to acknowledge the other side’s arguments and just keep repeating the talking points, the other side moves to other topics, and the public just becomes used to the deception.

By way of a preventative measure, here’s my op-ed on the topic, from the Providence Journal last year around this time, which I published in more casual, expansive form in this space the month before:

Plainly put, this gives the government power to investigate just about any business and dictate changes to its pay policies, because the only pay differentials that wouldn’t have legal risks would be those between people of the same race, religion, sex, orientation, gender identity, disability, age, and nationality.  That is, for any two employees who aren’t more or less demographically identical, the lower-paid one could initiate a complaint with the state with the same treatment as complaints that the employer withheld pay, and the burden is on the employer to explain it and to prove that no other business practice could erase it.

Think about how much of an encroachment on private activity and interactions that is, as well as the presumption that government is some sort of neutral judge that can accurately assess every business decision.

If this legislation ever passes, I expect it will have some degree of the same effect as the ill-advised paid leave legislation which progressives did manage to pass last yearl.

Unfairness in RI Government’s Priorities

Mike Stenhouse’s recent op-ed in the Providence Journal puts the RI Center for Freedom & Prosperity’s Public Union Excesses report in a broader context:

Beyond these extreme financial costs, an even more corrosive impact from this political cronyism is at play. People have lost trust in their government and are fed up with betrayals from lawmakers who have forgotten them, who cater only to special-interest concerns. Lawmakers make it ever-harder for people to take care of their families and reside in Rhode Island.

For these reasons, Rhode Island is not keeping pace with the rest of the nation when it comes to jobs and population growth. After 10 years of perhaps the slowest economic recovery among all states, Rhode Island’s political leaders are failing on their promises to help the average family.

Instead, by heaping more privileges upon those who help get them elected, politicians continue to lose the trust of the people, who are also losing hope for their state. These tragic circumstances have conspired to make it a virtual certainty that the Ocean State will lose a prized U.S. congressional seat after the 2020 national census because of its stagnant population growth.

Rhode Island strangles its families and businesses with taxes and regulations, but often, the sheer unfairness of the system can be the real poison.  As a member of the Tiverton Town Council, yesterday I participated in a “business walk” hosted by the Newport County Chamber of Commerce, which involved stopping in to talk with some business owners around town.

Of course, we heard about the problem of taxes, but the subjects that really animated business owners would better be classified as injustice.  The cost of government labor was seen not only as a cause of high taxes, but also as a budget imbalance preventing infrastructure improvement.  Similarly, the capriciousness of enforcement, with the rules not seeming to apply fairly to every business and changing depending on which government inspector paid a visit, is irksome beyond the cost.

Even after figuring out how to overcome all the regulatory obstacles that the state throws in their way and even after building high taxes, regulation-driven energy costs, and government bungled healthcare expenses into their business models, they still never know when an inspector will find some new rule to enforce or the legislature will come up with some new fee or obstacle to impose.

Rhode Island Is Losing The Competition Between States – Look for Major Report by Center

Although the state’s rank stayed the same, this month was not a good month for the state on the Center’s Jobs & Opportunity Index. Rhode Island remains last in New England at 47th place in the country. Employment was down another 521 people from the first-reported number for February, and the labor force dropped 1,234.

The Employment Situation In Rhode Island Is Getting Worse – Bucking National Trend

Happy Easter from everyone at the Center to you and your family! We hope you had a great holiday weekend.

We wish we had better news to deliver. Unfortunately, the employment situation in Rhode Island is getting worse, bucking the national trend. While state politicians crow each year about not implementing broad new taxes, the unfortunate truth is that by nickle-and-diming residents and by not implementing aggressive reforms Rhode Island will continue to lose ground, nationally.

Rhode Island Needs A Freedom Agenda. (And It’s Coming This Week.)

The Ocean State is doomed to lose a US Congressional seat because of its hostile tax, educational, and business environment. The state’s current thinking chases away the wealth, families, and businesses that are needed for all of us to be truly prosperous. The far-left big government policies that have reigned in our state for far too long will continue to only make matters far worse. Instead, we need a change of direction.

Prove Us Wrong, Supporters of Abortion Bills 5125 & 5127: Exclude the Third Trimester

Sponsors and proponents of the two abortion bills pending on Smith Hill can easily prove their critics wrong. Just add one sentence to the bills.

Unrestricted Abortions Are NOT What Rhode Islanders Want – Hearing Tuesday

As the Rhode Island Center for Freedom and Prosperity finishes up coverage of the Progressive Bad Bill of the Week, the Rhode Island General Assembly is contemplating putting unrestricted abortions into law.

Loss of US Congressional Seat Underscores Need for Reform Agenda

The state of the State of Rhode Island is not good. Even as the rising national economic tide has lifted ships in all states, when compared with the rest of the nation, our Ocean State is severely lagging, and is in danger of sinking further behind if progressive policies continue to be implemented.

Perhaps no indicator more appropriately demonstrates the failure of the leftist status quo, than does the near-certainty that Rhode Island will lose one of its precious House seats in the U.S. Congress. The persistent jokes of family and friends “moving out of state” have now tragically manifested themselves into the harsh reality that our state is not competitive enough to see population growth on par with the rest of the country.

Governor Moves Toward Even More Restrictions On 2nd Amendment; Please Sign Petition

As the Rhode Island Center for Freedom and Prosperity wrote after the State of the State address, the assault on individual and Second Amendment constitutional rights under the Raimondo administration is worse than expected. Her new scheme is one more example of the Rhode Island political class giving into the far-left Progressive agenda. Rhode Island families deserve to be able to exercise their God given right to self-defense without excessive government interference.

Instead of protecting and preserving our individual freedoms, the Governor is expanding the attacks and infringements on those seeking to exercise their constitutional right to defend themselves. Now is the time to demand better government, not more restrictions on honest citizens. Click Here to sign a petition demanding exactly that from our elected officials.

This “crystal ball” approach of justifying government infringement because something “might” happen must end!

Unnecessary “Fair Housing” Bill is Unfair to Landlords!

House bill 5137, deceptively named the Fair Housing Practices bill, which mirrors leftist-inspired legislation introduced in other states, is completely unfair to landlords.

The legislation claims it seeks to end discriminatory housing practices because in the progressives’ land of social-equity, making a legitimate business decision should be a crime. Under the proposed law, any Section-8 lessee applicant (those whose rents are subsidized by the federal government) who are not accepted as a tenant, must have been discriminated against, and the landlord must be punished.

More Regulations During a Housing Shortage Is a Bad Idea

One always has to wonder something after reading an article like the one Madeleine List wrote about legislation to force landlords to take government housing vouchers and to block their ability to find out if potential tenants have appeared in housing court before.  Was the reporter absolutely unable to find anybody to offer a contrary view?

The first argument one hears as an opposing view is that tenants who aren’t paying their own rent might not feel as inclined to keep it up or stay on good terms with their landlords.  Although this might be a reasonable concern, in some cases, it may be more of a strawman, because it isn’t the best of the three most-obvious answers.

The most practical of the other two answers is that Section 8 isn’t simply a source of income.  Accepting Section 8 vouchers requires the landlord to accept regular government inspections and other impositions.  Even if we take as a given that the government will never make inspections more burdensome than the most basic health and safety concerns that all landlords should cover voluntarily, many may simply not want to deal with that extra layer of bureaucracy.

The third obvious answer is that accepting low-income tenants comes with some risk, whether the risk is that they won’t treat the property well, that they’re on the bordeline of being able to afford the rent at all, or that the government might decide that its vouchers give it more authority over your property than was initially the case.  And risk comes with a cost.

This gets to a point about unintended consequences that legislators really should keep in mind at all times.  Imposing risk effectively raises the cost of being a landlord, either by imposing an cost in stress or by forcing them to raise rates or lower profits in order to compensate when the risk goes bad.

Raise the cost of rentals, and we’ll have fewer.  Have fewer rentals, and the natural price of the market will go up.  Raise that price, and we’ll have fewer rentals.  Rinse.  Repeat.  Housing crisis.

Governor’s Regressive Budget – The Wrong Direction?

Is the Governor’s budget pointing our state in the right direction? On Monday, I attended the Martin Luther King Jr. Day breakfast hosted by the RI Ministers’ Alliance. At the breakfast, the Governor said that the country is moving backward, and that she is committed to moving RI ‘forward’ and in the opposite direction. What planet is the Governor living on?

Governor’s Budget: The “Rhode To Serfdom”

Instead of seeking to shape Rhode Island’s future with the proven ideals of a free-society, Governor Raimondo’s proposed 2019-2020 budget is a stunning departure from America’s core values and, instead, would put our state on a “Rhode to Serfdom.”

The Governor’s regressive budget points us 180 degrees in the opposite direction of where we need to head, and would stifle any opportunity for growth.

“Choice” is Clear in Upcoming Furious Healthcare Debate

A federal judge recently ruled that Obamacare is unconstitutional because the individual mandate, repealed in the 2017 federal Tax Cuts and Jobs Act, is no longer in force. Even though existing federal health-care laws will remain in effect during the appeals process, states should not panic and codify Obamacare into state law, as it is not certain how long federal subsidies will remain intact.

While the courts hear the appeals, and with Democrats winning back control of the U.S. House of Representatives largely on the health-care issue, another furious debate is about to unfold.

Democrats will probably introduce some kind of government-centric plan, while Republicans are poised to introduce their own free-enterprise solution. What we all want are simply more choices at lower net costs.

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