Yesterday I was contacted by the Horner campaign asking me to put down in words why I am supporting Tom Horner for Governor. Below is my response:
I can’t recall a time in recent Minnesota history when so much was riding on the outcome of a gubernatorial election. While our state economy is finally in a somewhat steady but tepid recovery, we face a massive budget deficit. And if that is not enough of a challenge, the long-term demographics of an aging and ethically changing population will tax our public services, our current and future workforce and our public infrastructure. To say that we need a governor with real vision, leadership and a record of accomplishment seems like an understatement. For the truth is that in spite of what Garrison Keillor may tell his national audience each week, we Minnesotans know that our state has been slipping on many key parameters for some time. Can we really call ourselves “above average” anymore? I’m not so sure.
For most of the past decade we seamlessly transitioned from one budget deficit to the next, with no effort to truly or honestly balance the budget. Remember when we used to have a substantial budget reserve; a massive tobacco endowment; or a sizable surplus in the health care access fund? It really wasn’t that many years ago, but they are all gone because our state officials and legislators chose to throw one-time money at recurring budget problems. Instead of honestly addressing our needs with real budget cuts and/or real revenue enhancements, they chose to take the politically easy route with the use of one-time funds, accounting gimmicks and shifts. Who in their right mind would call that sound political or fiscal stewardship?
To be honest, I don’t envy our next Governor as it is not going to be easy. We are going to need a Governor who is willing to make very difficult decisions and ask us all to sacrifice a bit to successfully get through this mess. And I mean all of us. Not just the wealthy through higher taxes and not just the poor through draconian cuts in service. Not just the struggling rural communities through cuts in police, fire and essential services; and not just the local taxpayer through higher school levies. But all of us together.
Benjamin Franklin was famously quoted as saying at the signing of the Declaration of Independence, “We must all hang together, or assuredly we shall all hang separately.” It is time for a new kind of leader to bring Minnesotans together; a leader with creative vision and skills. We need a leader who is more interested in pragmatically solving our problems than simply getting elected. And I believe that Tom Horner is that kind of leader. I have known Tom Horner for several years and have always admired his creativity, his leadership and his ability to bring diverse views to consensus. Equally important, I do not believe that at this critical point in our state’s history that we can rationally expect the representatives of the two parties that made this mess to fix it; they are simply too polarized. That is why centrist Democrats, Republicans and Independents who deeply care about the future of this state are standing up for Tom Horner. I am pleased to be one of them.
Wednesday, September 22, 2010
Saturday, September 11, 2010
The best Subway in Minnesota
As some know, I spend a heck of a lot of time in my car, clocking around 48,000 miles per year. From Crookston to Duluth, to Slayton and Zumbrota. It's an incredibly big state and I love it all. As a result, I've probably stopped at more than 50 different Subway sandwich shops all across the state. Some have been stand alone shops, while others are in in truck stops, gas stations or strip malls. But there is little doubt that Subway is my favorite when I'm on the road, as I find it quick and easy; and if you leave off the lettuce, it's pretty easy to eat at 70 mph without making a mess.
While my intent was never to become a Subway sandwich aficionado, in many ways that's exactly what I have become. So with that in mind, I want to tell you that I have designated the Subway in Ada, MN along State Highway 9 as the best Subway in Minnesota. I've must have stopped there at least 15 times and the bread is always fresh, the store is always clean, the tuna is the best I have ever tasted and the cookies (a must!) are always soft and fresh.
So congrats Ada! You have a great Subway store.
While my intent was never to become a Subway sandwich aficionado, in many ways that's exactly what I have become. So with that in mind, I want to tell you that I have designated the Subway in Ada, MN along State Highway 9 as the best Subway in Minnesota. I've must have stopped there at least 15 times and the bread is always fresh, the store is always clean, the tuna is the best I have ever tasted and the cookies (a must!) are always soft and fresh.
So congrats Ada! You have a great Subway store.
Wednesday, September 8, 2010
A Turning Point for the Minnesota Economy?
As we look back it just may turn out that July marked a real turning point for the Minnesota economy. As we all know, for the past few years the Minnesota economy and its job outlook has been in retrenchment, or at best going sideways. But beginning in mid-2009 some signs of recovery began to emerge, with job growth one month and retrenchment the next. Temporary workers were showing up on payrolls and the signs of a recovery taking hold were there.
Then came the month of July when the Department of Employment and Economic Development reported that Minnesota had a net gain of 9,800 jobs. Pretty impressive in itself, until you realize that during the same month we also lost 9,100 government jobs. Many of these government jobs were temporary census workers, but clearly not the majority. So for a net gain of 9,800 jobs to occur, this actually meant that the private sector created almost 19,000 jobs in July. Now that’s a pretty good month! In fact, Minnesota has now gained almost 30,000 jobs in the past 12 months; a pace not matched in almost 4 years.
If you currently examine our economy within the national context, you’d have to come to the conclusion that while the recovery is slower than we would like, it’s really not doing too bad. We’ve now recovered more than 25 percent of the jobs lost in the recession and our unemployment rate of 6.8 percent is almost 3 percentage points lower than the national rate of 9.6 percent. And while a 6.8% unemployment rate is still high, let’s remember that several other states are still stuck in double-digits. And of course, it wasn’t that long ago when a 4-5% unemployment rate was viewed by many as “full employment.”
Of course, you’d never know that the economic recovery is on track if you listen to our politicians and public officials. With a substantial budget deficit at the state level, it’s easy to blame the economy for this situation. But the reality is that the Minnesota economy and the Minnesota state budget are two entirely different things. The economy of course is a reflection of the production, sale and distribution of goods and services continuously circulating throughout a global marketplace. As much as government tries, it really cannot make an impact on the economy as quickly or as comprehensively as politicians would have you believe.
The state budget on the other hand is a political instrument, reflecting the culmination of dozens and dozens of political decisions and compromises; some good – some bad. But unlike the economy, a small group of political leaders can make a huge impact on the state budget. Choices to raise taxes, lower taxes, use one-time funds to temporarily resolve recurring problems, or shift expenses into the next budget cycle are all political decisions. So the next time your local legislator or public official wants to blame the economy for our budget woes don’t let them off so easy.
In the end no one knows for certain what the remainder of 2010 will bring, but my guess is that the economy and the job outlook will continue to incrementally improve until we reach a full recovery. But when we are fully recovered, don’t expect everything to look like it did prior to the recession. The reality is that some of our business sectors will never fully recover and the overall employment composition in Minnesota will have changed. This may be especially true within some regional areas across the state. And looking a bit further out, demographic shifts, educational attainment and other socio-economic characteristics of the workforce, along with the integrity of our regional and state infrastructure will all influence the future economic and employment outlook for Minnesota.
Many economists and pundits are now calling this emerging economic configuration the “New Normal.” I think they are on to something.
Then came the month of July when the Department of Employment and Economic Development reported that Minnesota had a net gain of 9,800 jobs. Pretty impressive in itself, until you realize that during the same month we also lost 9,100 government jobs. Many of these government jobs were temporary census workers, but clearly not the majority. So for a net gain of 9,800 jobs to occur, this actually meant that the private sector created almost 19,000 jobs in July. Now that’s a pretty good month! In fact, Minnesota has now gained almost 30,000 jobs in the past 12 months; a pace not matched in almost 4 years.
If you currently examine our economy within the national context, you’d have to come to the conclusion that while the recovery is slower than we would like, it’s really not doing too bad. We’ve now recovered more than 25 percent of the jobs lost in the recession and our unemployment rate of 6.8 percent is almost 3 percentage points lower than the national rate of 9.6 percent. And while a 6.8% unemployment rate is still high, let’s remember that several other states are still stuck in double-digits. And of course, it wasn’t that long ago when a 4-5% unemployment rate was viewed by many as “full employment.”
Of course, you’d never know that the economic recovery is on track if you listen to our politicians and public officials. With a substantial budget deficit at the state level, it’s easy to blame the economy for this situation. But the reality is that the Minnesota economy and the Minnesota state budget are two entirely different things. The economy of course is a reflection of the production, sale and distribution of goods and services continuously circulating throughout a global marketplace. As much as government tries, it really cannot make an impact on the economy as quickly or as comprehensively as politicians would have you believe.
The state budget on the other hand is a political instrument, reflecting the culmination of dozens and dozens of political decisions and compromises; some good – some bad. But unlike the economy, a small group of political leaders can make a huge impact on the state budget. Choices to raise taxes, lower taxes, use one-time funds to temporarily resolve recurring problems, or shift expenses into the next budget cycle are all political decisions. So the next time your local legislator or public official wants to blame the economy for our budget woes don’t let them off so easy.
In the end no one knows for certain what the remainder of 2010 will bring, but my guess is that the economy and the job outlook will continue to incrementally improve until we reach a full recovery. But when we are fully recovered, don’t expect everything to look like it did prior to the recession. The reality is that some of our business sectors will never fully recover and the overall employment composition in Minnesota will have changed. This may be especially true within some regional areas across the state. And looking a bit further out, demographic shifts, educational attainment and other socio-economic characteristics of the workforce, along with the integrity of our regional and state infrastructure will all influence the future economic and employment outlook for Minnesota.
Many economists and pundits are now calling this emerging economic configuration the “New Normal.” I think they are on to something.
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