Seven Governors Reject Stimulus Money

So, the governors of South Carolina, Georgia, Mississippi, Texas, and Idaho have decided to help out Bobby Jindal and Sarah Palin to kick off their 2012 presidential campaigns this morning. These governors have stated that they will reject portions of the aid in the recent stimulus bill that has been allocated to their respective states. Governor Jindal has been picked to lead this insurgency against the efforts of the federal government to help out the little guy.

Governor Jindal has become the poster boy of how diverse the Republican Party can be. He is a bright, young, energetic force in the party. But I think he may have just crossed a line... Gov. Jindal has made a couple of critical errors in this decision.

First, the Gov has not rejected the money all together, nor has he rejected the bill. He is just refusing a large chunk of the money that was destined to expand the unemployment programs in his state. Louisiana is currently experiencing a 5.9% unemployment rate (BLS Dec 2008). This sounds modest when compared to states like Michigan and Florida, but it is still almost double the unemployment rate prior to the economic crisis. The number is still rising, and Gov Jindal doesn't feel that his citizens need federal relief.

Second, Gov Jindal has hedged. As I said before, he condemns the bill and has made headlines by rejecting some of the money.... But not all of it. If and when this stimulus begins to employ people and if/when money starts flowing from the banks again in the next few months, Jindal is sunk. What happens when the unemployed in his state run out of a state paycheck? What happens when federal programs don't hire people in Louisiana? Who will the people in the state blame for continued misfortune when there was a chance for help? (but he hedged, so he has an out, so he's ok.... right?)

Charlie Crist and Arnold Swarzenegger, prominent GOP governors of populous states by the way, have fully backed the stimulus plan. One of these governors is term limited and heading up a largely liberal state. The other is up for re-election in a state where he is largely unpopular and can't afford to screw up again and still look the people in the eye. Gov Crist said that now is not the time to think about party lines, now is the time for action. Although he has stated that he does not like everything in the bill, he will take all the help he can get for his ailing state.

Gov Jon Huntsman (R, UT) characterized the actions of the protesting governors as an irresponsible publicity stunt. He explicitly agreed with the President in that the arguments surrounding the bill revolve around 1%-3% of the spending outlined in the bill. Finally, Gov Huntsman indicated that a restructuring of taxes will ultimately be necessary to pay for everything, but now is not the time to worry about where the water comes from to put out this fire. Utah is one of the most traditionally conservative states in the union. Gov Huntsman has been elected twice now. The most recent election put him in the office with over 77% of the vote.

In my opinion, another misstep taken by Gov Jindal in today's press release was the misguided attack on the spending allocated to the National Endowment for the Arts and for the US Census.

Let's take a look at the $50M put into the bill for the NEA. Not for nothing, but art is big business in the US. Over $63B last year alone. And by providing money to the endowment, we aren’t just propping up beatniks in coffee shops writing bad poetry (although they MIGHT end up with VERY LITTLE of the money given to the NEA), this drop in the bucket being given to a big industry is going to pay for a bunch of real jobs too: curators, property managers, symphonic concerts (HUGE BUSINESS THERE!), US made products, zoos, aquariums, transportation, insurance of valuable works, marketing, construction, and on and on. In addition, all work and no play... After your bills are paid, what do you spend your money on? Ok, ok- after you pay your bar tab too.

Now, take a look at the census. First things first, it is required by the constitution to perform in the first place. After that, it is the same argument as the NEA. It is a big job to count all of the people in the country. One that will employ over one million people starting in 2009. (I know that there will be arguments that there is already a budget for the census... well get over it. If the senate can pay for the 2009 alternative minimum tax with the bill... we can pay for a few federal jobs with it).

To sum it up: when governors across the country were told of the firebrand decision made by seven of their counterparts... Many of them found the situation to be funny, stating- "more help for the rest of us." As a resident of a state with a semi-sane governor that has elected not to prevent help from reaching the public, I am relieved. I am relieved that there is an attempt by a few on both sides to work at bipartisanship. I am relieved that I might have a shot at a new job, I am relieved that I might have a shot at keeping my home, I am relieved to see an opportunity for some political healing to take place in this country, and I am especially relieved to see light on the horizon of this horrific time in the lives of so many people in our country.

This day and age is on the order of such times in our history as The Revolution, The Civil War/Reconstruction, The Great Depression, and World War II. In these rare times, more than anything, it is important to come together in action. There is no way to know for certain what will fix it now; but we have put into motion a potential solution that has a better than half chance of working. Let’s unite behind it and stop the petty squabbling over the small stuff... for now. Once we're trending up again, I'll be happy to Monday morning quarterback with you.