Travis County Taxpayers Union announces August 13th Moneybomb!!!

The ongoing saga of the Austin ISD lawsuit continues:

If we can take this case to the third Court of Appeal, we can win. The law is on our side. If we win we will, at a minimum, save taxpayers $500 million; this lawsuit, however, could restrict financial shenanigans that local governments can pull across the state of Texas.

Unfortunately, lawyers cost money; we need to raise $6000 to keep our guy out of the poorhouse as the appeal works through the system.

Normally, in politics, you need large sums of money to make things happen. Not this time. This $6000 investment on the front end could save taxpayers in Austin Hundreds of Millions of Dollars and (in a best case scenario) could save BILLIONS across the state.

 Pledge your support here.

Join the Facebook event here.

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Judge Tim Sulak Demands $15 Million Taxpayer Ransom

"Excessive bail shall not be required, nor excessive fines imposed, nor cruel and unusual punishments inflicted."
Eighth Amendment, United States Constitution

Cahnman's Musings spent the morning at the 353rd District Court of Travis County, Judge Tim Sulak presiding.  We were there to observe the Travis County Taxpayers Union's (TCTU) lawsuit against Austin Independent School district (AISD) we've discussed previously.  To quote Wendy Davis, we witnessed a raw abuse of power.

Judge Sulak ruled in favor of the district.  That wasn't surprising.  The outrageous part was the shackles Judge Sulak put on a potential appeal.

Judge Sulak ruled TCTU must post a $15 million bond ($15,000,000) to protect the district before an appeal could proceed.  Obviously, TCTU doesn't have that kind of money.  In other words, a Democrat judge made it prohibitively expensive for a citizens group to petition their government for redress of grievances.

On one level, this isn't surprising.  Judge Sulak and AISD are part of the Travis County's progressive mafia (Sidenote: This is the same progressive mafia that is protecting Rosemary Lehmberg).  On the other hand, demanding a fifteen million dollar ransom to allow a citizens lawsuit against a governmental entity to continue is (to our knowledge) unprecedented.

In announcing his ruling, Judge Sulak admitted that, even if he disagreed with it, TCTU made a reasonable case against the district.  Judge Sulak's ruling was designed to protect AISD from having the case heard in front of judges who aren't in the pocket of big education.  This isn't over....

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Readers can contact Judge Sulak via his campaign Facebook page.

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Update: More from Fox 7 Austin:

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On Texas Democrats favorite Abortion Talking Point

One of the Democrats favorite talking points during the current abortion debate is that the proposed legislation is opposed by the American Congress of Obstetricians and Gynecologists, the Texas Hospital Association, and the Texas Medical Association.

At first, it sounds important.  These are groups with 'credentials.'    The real story requires digging.

First up, the American Congress of Obstetricians and Gynecologists supported Obamacare:

The American Congress of Obstetricians and Gynecologists (ACOG) has long been a proponent of comprehensive health care reform and this weeks' enactment of the Patient Protection and Affordable Care for America Act extends health insurance coverage to an additional 32 million Americans. "Ob-gyns see first-hand the devastating effects that the lack of health insurance or underinsurance has on our patients," noted ACOG President Gerald F. Joseph, Jr, MD.

ACOG credits the President and House and Senate Democratic leaders for including many critical elements of ACOG's Health Care for Women, Health Care for All campaign that will greatly improve women's health, including guaranteed maternity coverage; eliminating pre-existing coverage exclusions for women who are pregnant, have had a previous cesarean, or are the victims of domestic violence; eliminating gender rating that causes women to pay more than men for the same insurance coverage; creating coordinated care centers for women and ensuring direct access to ob-gyns; expanding family planning services for low-income women; and providing access to vital preventive screenings including mammography and Pap tests.

This bill (HR 3590), however, leaves several critical issues unaddressed, including medical liability reform and repeal of the Sustainable Growth Rate (SGR) used to determine physician payments in the Medicare program. "As ACOG embraces the many positive features of this legislation that will improve the health and well-being of our patients, we will continue to press for national medical liability reform and repeal of the SGR," says Dr. Joseph.

In addition, during the 2009 debate over Obamacare, ACOG recommended rationing of Pap Smears.

Next, we have the Texas Hospital association, who support Medicaid expansion:

“Hospitals agree with the governor that the Medicaid program is flawed. Below-cost reimbursement to providers creates an access-to-care problem for the millions currently enrolled, and there have been legitimate concerns about whether the program can sustain the millions more who would be able to enroll under PPACA,” said Dan Stultz, M.D., FACP, FACHE, THA president chief executive officer. “However, without Medicaid expansion, many will remain uninsured and therefore will seek care in emergency rooms, shifting costs to the privately insured and increasing uncompensated care to health care providers.”

In addition, THA supported last fall's Hospital Tax Increase in Travis County. 

Moving on, Texas Medical Association ALSO supports Medicaid Expansion:

The Texas Medical Association, which represents physicians across the state, announced on Saturday that it would support the Medicaid expansion if lawmakers can devise a way to give Texas “the flexibility to change the plan as our needs and circumstances change.”

“You have the two major entities that represent the delivery of health care in Texas saying this is something that we definitely need to look at,” said Dr. Carlos Cardenas, vice president of the TMA board of trustees, adding the organization recognizes “there are issues within the present Medicaid program and that the Legislature is in a position to come up with some reforms to shore up the system.”

BOTTOM LINE: Three organizations with long histories of supporting progressive legislation are opposed to conservative legislation; sorry Texas Democrats, that's not news.

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URGENT: Update on the Austin School Bond Lawsuit

Shortly before last month's bond election Travis County Taxpayers Union sued the district over illegal ballot language.  The short version of the lawsuit is that the District lied about the magnitude of potential tax increases.  Last week, the Austin-American Statesman reported that the lawsuit may yet neuter the two bonds that passed; money quote:

The district hopes to hire architects as early as this fall to get project planning underway, but the taxpayer group’s lawsuit could prevent the district from issuing the bonds. The district needs approval from the Attorney General’s office, which typically doesn’t give the green light until any legal challenges of the bonds have been resolved, according to the petition filed by the district.

 Last night, we spoke with Don Zimmerman, Founder and Treasurer of TCTU.  Don thinks there's a respectable chance this lawsuit could prevail.  If it does, it would prevent the district from ever issuing the bonds that passed.

Right now, TCTU needs to raise a little bit of money to move the suit forward.  We're not talking large sums, 2 to 5 grand would go a long way.  Whatever small amount you contribute could help save taxpayer half a Billion dollars.

Cahnman's Musings has never asked readers for money before, but this is a special circumstance where your small contribution could make an outsized impact; donate here.

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Can Obama's Organizing Army Take Texas?!?

New information on Battleground Texas from the American Prospect

• Why Democrats should be extremely cautious:

 Republicans have continued to gain congressional and legislative seats over the past decade, even as Texas’s Latino population has swelled....Bird and Brown cite Colorado, New Mexico, and Nevada as models for turning out Latinos. But none of those states has more than 516,000 Latino citizens total—which is fewer than the number of Latino citizens in Houston’s Harris County alone.

•  Then, we get into nuts and bolts:

The initial focus will be to create a massive network of Democratic organizers and volunteers across the state....A full-scale plan for “getting that started” won’t be rolled out until this summer. But Jeremy Bird offers a few more details. In the next couple of election cycles, Battleground Texas will target “battleground zones”—races that organizers believe could either be winnable or could help Democrats build infrastructure by training new candidates and registering voters. A battleground zone could be a city council race with a promising young Latino candidate in Waco or a state House race in a heavily minority district in Houston. The idea is to seize every viable opportunity to build new Democratic networks around the state, creating new voters along the way.

•  Recent examples of when this sort of thing has worked(*):

The leaders of Battleground Texas say there’s reason for optimism—partly because there is some recent history of grassroots politics working in Texas. During the 2010 midterm elections, Austin Democratic Party Chair Andy Brown selected 21 largely black and Latino precincts where turnout had traditionally been low and pledged to run the type of hardcore turnout campaigns usually reserved for the wealthier, whiter parts of town. With a paid field staff organizing volunteers, the Travis County Democrats knocked on every registered voter’s door in those precincts two or three times and called each one at least twice. The effort paid off: Although 2010 was the worst year in history for Texas Democrats, 18 percent more ballots were cast in Travis County and the number of straight-ticket Democratic voters went up 54 percent. “There was nothing fancy about it,” Brown says. “It was a really well-run field program.”

A similar strategy has also worked wonders in Dallas. In 2006, Democrats in Texas’s oldest Republican stronghold bucked convention by spending as much on phone-banking and door-to-door campaigning as on media ads and mailers. The results were stunning: Democrats swept all 47 local offices, including 40 judgeships that had previously belonged to Republicans.

 (Author's Note: We were lived in Travis County during the 2010 election and it was not clean.)

• The Bottom Line for both parties:

If Democrats can galvanize Houston’s nonvoters, they will [Author's Note: could] be well on their way to turning Texas blue. But all those years of ignoring minorities will make it a formidable task. 

 The whole article is worth a read, but it doesn't change anything.  Conservatives across the state of Texas need to build up from the local level.  And we've already had some successes.

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Update (6/11/2013): Agendawise calls this a bluff.

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The Next Step: #AuditAISD

"I won." 
President Barack Obama
January 23, 2009

Several people have written to ask what comes next following conservatives' upset victory over Austin's progressive establishment Saturday night.  That the pro-bond campaign outspent us 45:1 and could only manage a draw illustrates voters unease with the district's stewardship of the people's money.  The citizens of Austin have spoken, and they gave a clear mandate to get to the bottom of the district's finances.

#AuditAISD.

Austin Independent School District needs a financial proctology exam.  This election raised a lot of questions about the district's finances.  It's now time for answers.

#AuditAISD

From questions about administrative bloat, to basic maintenance, to the cozy relationship between the district and special interest cronies, to countless others, the time has come to answer citizens' questions.  Obviously, the district lacks the credibility to examine its own finances.  An independent audit, with subpoena power, is the appropriate next step.

#AuditAISD

Once Austinites get to the bottom of the district's finances, then we can consider major policy changes.  For now, however, discussing its premature.  We need more information.  Let's get it.  #AUDITAISD.

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AISD Bond Props 1-4: Frequently Asked Questions

Austin ISD 2013 SCHOOL BOND ELECTION – Bond Basics

Frequently Asked Questions on $892 Million Bond

Haven’t debt and taxes already grown much faster than student enrollment in AISD and other Texas Districts?

Data compiled by the Texas Comptroller (chart on the right) illustrates the growth of spending vs. growth of student enrollment for Texas School Districts for the most recent decade such data is available.  AISD follows state trends.  AISD employment is also consistent with state trends:  only 49.4% of employees are teachers.

Didn’t voters just approve a 63% tax rate increase for the Travis Healthcare District, along with over $306 Million of new Austin Bonds, in November?

A Citizens’ Bond Advisory Committee (CBAC) was established and charged by AISD employees with making a recommendation on the scope and timing of the bond, and a pro-Bond PAC raised over $30,000 months before the Bond vote was approved.

Why is the Bond election being proposed in the middle of another lawsuit on Texas School Finance?  Can’t the Bond wait?

The District has $230 million of “authorized but unissued debt” that could be utilized more quickly than the new proposed debt, while waiting for a Texas Supreme Court decision on potential new school financing model that might relieve property taxpayers.  The current AISD outstanding debt (not including interest owed), as of the last official audit in Aug, 2012, is $878 million.

Why is the election being held in May, instead of a later date with higher voter turnout?

Last November Austin voters approved moving the traditional May city council election date to November; Austin City turnout at that November election was over 60%.  Last May, the Austin city turnout was just over 10%.  Because the AISD Bonds are the most significant items on this May ballot, the estimated turnout could drop below 5%.  The District chose the May election date.

Are there other alternatives to handle student enrollment growth besides increasing debt and increasing property taxes?

Charter schools, as well as private and home schools, educate Austin school children without adding Bond debt and higher property taxes.  The Austin KIPP charter school alone has 1,500 students on a waiting list; statewide over 100,000 students are on charter school waiting lists.  Senate Bill 2 (if passed in the current legislature) eliminates the arbitrary cap of 215 charter schools, which provides more Charter opportunities, while numerous other bills propose additional student choices not requiring more debt and taxes.  These bills won’t be decided until after the May Bond election.  The Austin ISD Board, with three recently elected trustees, just canceled an existing contract with a local Charter School (IDEA).

If economic growth and taxpayer income doesn’t increase as the District predicts, and if interest rates rise, could the district raise taxes high enough to cover the new Bond debt payments plus interest?

The Texas Education Code (45.003) could permit the District to raise property taxes that are “sufficient, without limit as to rate or amount, to pay the principal of and interest on the bonds”.  While AISD estimates an initial tax increase of $70 on a $200,000 home, there is legally no limit as to how high property taxes may be raised to repay Bonds, with unknown future interest rates.

Early Voting is APRIL 29^th – May 7;  election day is May 11^th(2013).  For more info in favor of Bonds, see www.austinisd.org/bond, opposed, see www.tctunion.com 

Citations can be viewed at: http://www.tctunion.com/?page_id=80

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Austin Chronicle Mischaracterizes Travis County Taxpayers Union

Those also who seek my life lay snares for me;
Those who seek my hurt speak of destruction,
And plan deception all the day long.

Psalm 38:12 

Perusing this story in the Austin Chronicle, by Richard Whittaker, about the strange timing of certain AISD personnel moves, Cahnman's Musings noticed this paragraph:

But opposition to the school bond cannot be written off solely to posturing by Repub­lican front groups. [Emphasis Mine] Last November's board elections became a community referendum on Carstarphen, and the 2013 bond election is shaping up the same way. If voters have too little faith in her ability to manage their funds, that could endanger dollars for essential investments.

 The antecedent to which the phrase "Republican front groups" refers is the Travis County Taxpayers Union, a local watchdog group (Full disclosure: Cahnman's Musings is loosely working with TCTU on the bond issue).  While Whittaker doesn't explain this designation, our educated guess is that is that Whittaker based his claim on the fact that TCTU president Don Zimmerman is a former member of the Texas State Republican Executive Committee.  Unfortunately, for Richard Whittaker, recent history belies the "Republican Front Group" allegation.

Last fall, the Travis County Taxpayers Union opposed Prop. 1, a hospital bond that Rick Perry supported; does Richard Whittaker honestly believe a "Republican front group" would oppose an initiative supported by Rick Perry?!?

This low-turnout May election deserves honest coverage, without reckless charges being thrown in the press; this sort of media coverage is yet another reason voters should slow this process down and vote AGAINST AISD props 1-4.

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Why won't AISD repair broken security cameras?!?

A must watch piece from KVUE Defenders details AISD's failure to replace broken security cameras at dozens of schools across Austin:

Highlights:

• Cameras "often take a month or more to replace."

• This Eric Mendez guy is making very lame excuses.

Bottom Line: If it takes AISD over a month to replace a $200 camera, then their logistics and procurement systems need structural repair.  Pouring another Billion dollars into this broken, top-down, system won't fix a thing.  Let's slow this process down, vote AGAINST AISD Props. 1-4.

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Separated at Birth?!?

On thing that's struck me as I've gotten deeper into studying AISD is the physical resemblance between AISD President Vincent Torres and a certain disgraced former Governor of Illinois.

Rod Blagojevich or Vincent Torres?!?

You be the Judge:

1.

2.

3.

4.

5.

6.

7.

Answer:
Rod Blagojevich: 1, 3, 6, 7
Vincent Torres: 2, 4, 5

Update: Dammit, picture #2 has his name at the bottom; didn't see that when I originally posted.

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Austin ISD lying about property tax increases?!?

The string of good local reporting on next month's bond election continues:



Highlights:

• AISD is using deceptive language to sell their tax increase.

• The potential tax hike could be twice what AISD claims.

• Stop buying toys when you can't pay your mortgage!!!

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Important Background Information on Austin Bond Elections

Local media in Austin has done a surprisingly good job covering the upcoming bond election:

On the shady nature of holding an election in May:



Highlights:

• The required approval of the voter is being circumvented.

• 6% turnout in 2006; 2.5% in 2010
• Less than 10,000 total votes.
• That many people work for the district.

• This is as close as you can get to rigging an election without having handcuffs put on your wrists.

On the horrid idea of using long-term debt for short term maintenance:



Highlights:

• This bond issue is the equivalent of taking out a second mortgage to fund maintainence.

• Property taxes WILL go up.

• This type of financial shenanigans would be illegal in Houston or Round Rock
• Author's Note: That's EXACTLY what New York City did in the 1970's.

AISD low-balling the tax hike



Highlights:

• The potential tax hike in this proposal could be twice what AISD says it could be, and that's on top of the tax hike last year.

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Early voting is next week; please take five minutes and vote no on this boondoggle.

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