5 years ago

With the lottery, politicians are trying to trick Alabamians into paying for more government (opinion)

Lottery tickets (Photo: Flickr)
Lottery tickets (Photo: Flickr)

By Katherine Robertson and Caleb Crosby

There are a number of policies, particularly those that stimulate economic growth, that are proven solutions to poverty. Just as easily identifiable are policies that exacerbate poverty. Sometimes these policies have good intentions of serving the poor, but then the Law of Unintended Consequences strikes. Other times, policies are promoted and adopted with blatant disregard to their harmful impact by the very politicians who hold themselves out as champions of the poor. One such example comes to mind given the ongoing conversation surrounding a statewide lottery.

During the last legislative session, one Democratic legislator took to the microphone to deliver a searing indictment of Alabama’s system of taxation, invoking the word “regressive” repeatedly. What might have been a thoughtful debate on tax policy became, unfortunately, a farcical monologue. One moment the legislator was lambasting Republicans for the “regressive” tax increases that they were imposing on the downtrodden, including the “regressive” cigarette tax, which would “regressively” affect Alabama’s poorest citizens. The next moment (in fact, in the same breath) the legislator was haranguing Republicans for not supporting a statewide lottery, although the legislator peculiarly gave the term “regressive” a respite during this discussion. The incongruity of the two arguments–one against regressive taxation, one for regressive taxation–was apparently lost on the legislator.

Research clearly shows that lotteries take the most from the least–from the poor. This has been proven by national-level data, as well as by data from Southern states with lotteries such as Georgia and North Carolina. In Georgia, residents in the ten poorest counties spent 44% more on lottery tickets than residents in the ten wealthiest counties, yet the former received 36% less in the education dollars provided by the lottery. In North Carolina, poverty rates in counties with high lottery-ticket sales were, on average, 42% higher than the rest of the state.

Central to conservative philosophy is personal responsibility. Does opposition to a lottery undermine this by implying that people can’t be responsible? Giving individuals more direct access to a lottery (they can already buy tickets across state lines) does not sync with the ideals of personal responsibility when relying on get-rich-quick marketing pitches that devalue hard work. Consider, for example, the state-lottery slogans “Game-Changing, Life-Changing Fun” (Tennessee) and “Give Your Dream a Chance” (New Jersey).

Further, the proposal in question is a state-run lottery, the success of which depends on the participation of the poor and vulnerable. It is the state itself, incentivized by having more money to spend (or waste), that will market the false hope of a huge jackpot to the hopeless. A study from Duke University in the ’90s confirmed that lottery advertising is most aggressive in poor neighborhoods. It has even been suggested that some states time their lotto advertising with the monthly distribution of government benefits.

Exploiting the poor to pay for government would be a step backwards, economically and morally, in reducing Alabama’s poverty rates. A state-run lottery relies on the poor to feed government and attempts to justify it by promising–promising–that the proceeds will create government programs to serve the poor. But look at what’s happening in Illinois: lottery players, who are overwhelmingly poor, lined the state’s pockets, yet that didn’t solve the state’s abysmal fiscal situation. And, to make matters worse, Illinois can’t even afford to pay the winners of its lottery. The state making good on its promises–talk about slim odds!

Rather than tricking individuals into paying for more government, Alabama should prioritize policies that bring about real hope, not the false hope of striking it rich. Real hope, as Arthur Brooks wonderfully articulates in his new book, The Conservative Heart, “empowers people. It tells them that a happy life of meaningful work is within their reach–and that they personally can build it. This is the American Dream. This is the restless optimism that built our nation. This is the hope of generations of immigrants who came to America in search of a better life. This is the hope that animates the conservative heart.”

Indeed, this should be the hope that animates Alabama.

Katherine Green Robertson is Vice President and Caleb Crosby is President and CEO of the Alabama Policy Institute (API). API is an independent, nonpartisan, nonprofit research and educational organization dedicated to the preservation of free markets, limited government, and strong families. If you would like to speak with the authors, please e-mail communications@alabamapolicy.org or call (205) 870-9900.

55 mins ago

Ainsworth opts against 2022 U.S. Senate run

Lt. Governor Will Ainsworth (R-AL) on Friday announced he will not be a candidate in Alabama’s 2022 U.S. Senate contest.

The seat is being vacated by U.S. Senator Richard Shelby’s (R-AL) decision not to seek a seventh term.

Ainsworth, who is serving his first term as lieutenant governor, is the prohibitive favorite to be the Yellowhammer State’s next governor.

“After discussions with my wife, Kendall, and prayerful consideration, I have decided that I will not be a candidate for the U.S. Senate,” he wrote in a social media post. “Because our twin boys and daughter are young and need a father who is present and deeply involved in their lives, I feel strongly that God’s plan currently calls for me to continue leading on the state, not federal, level of government.”

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“The encouragement to run that I have received from every corner of the state is humbling, and the support of my fellow Alabamians is deeply appreciated,” Ainsworth continued. “Sen. Shelby has served Alabama well, and his shadow will loom large over all those who run to fill his seat. As lieutenant governor, I will continue seeking conservative solutions to the problems facing Alabama and will keep working each day to bring more jobs, hope, and opportunities to the citizens of our state.”

Lynda Blanchard is currently the only announced candidate in the 2022 U.S. Senate race.

Sean Ross is the editor of Yellowhammer News. You can follow him on Twitter @sean_yhn

1 hour ago

East Alabama’s Russel Medical receives ‘transformational’ $25M gift

Russell Medical, a hospital located in Alexander City that serves a large portion of East Alabama, announced a multi-facility expansion on Thursday that is being made possible by a $25 million gift.

Making the donation to the nonprofit hospital are Ben and Luanne Russell. Ben Russell is the CEO of Russell Lands, the company that has developed much of the area around Lake Martin. His grandfather, affectionately known as “Mr. Ben,” built the famous Russell clothing company.

The gift from the Russells is the largest in the history of Russell Medical. It will provide for the construction of a new large-scale project focused on providing care for the elderly.

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To be built on the hospital’s campus in Alexander City, the Russell Legacy Project will include 26 units of independent living single-family cottages, an assisted living facility with 32 units.

The Russells’ donation will also provide for the construction of the Benjamin Russell Center for Advanced Care, a new project for the hospital that will “provide comprehensive geriatric health care and specialty health care services,” per a release.

“Ben and Luanne’s extraordinary act of generosity reflects a caring family who are great supporters of Alexander City, the Lake Martin area, and the medical community in Alabama. The Russell Legacy Project allows us to grow services centered on the largest sector who are in need of healthcare services, those citizens 65 years and older,” stated Jim Peace, president and CEO of Russell Medical.

In addition to the new facility, the gift from the Russels will create the Benjamin Russell Endowed Chair in Geriatrics, pending approval by the University of Alabama System Board of Trustees. Russel Medical is a member of the UAB Health System.

“Each day for the next 20+ years, approximately 10,000 adults will turn 65, and with this trend, the demand for Geriatricians is expected to skyrocket,” remarked Dr. Cynthia Brown, director for the Division of Gerontology, Geriatrics, and Palliative Care at UAB.

The advanced care facility will be constructed in front of the hospital’s cancer center and will look out onto Highway 280. In addition to its primary focus on elder care, the center will house Women’s Health and other specialty clinics.

“As lifelong residents of Alexander City, Luanne and I have supported the Lake Martin area and this hospital and are pleased to be able to make this gift, honoring my grandfather, Benjamin Russell. Mr. Ben did much for this state and its people. This gift is one way Luanne and I can recognize his contributions,” said Ben Rusell.

Henry Thornton is a staff writer for Yellowhammer News. You can contact him by email: henry@yellowhammernews.com or on Twitter @HenryThornton95.

5 hours ago

7 Things: Alabama State Health Officer says to take any coronavirus vaccine, Alabama Democrats think all protesters are rioters, U.S. Capitol still faces threats and more …

7. Joe Reed: Keep straight-ticket voting in Alabama

  • Democratic Party leader Joe Reed has come out against a piece of legislation that would get rid of straight-ticket voting throughout Alabama. Reed asked that the 24 Democratic members of the House of Representatives who have decided to co-sponsor the bill remove their support.
  • Reed asked the question, “What is wrong with a person voting the straight-ticket?” He added that he doesn’t know of any “harm” straight-ticket voting does to the “Democratic process,” and he focused on how removing straight-ticket voting would ultimately hurt the Democratic Party as it would remove support from candidates with less name ID.

6. $15 minimum wage is out of the coronavirus stimulus bill

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  • Congressional Democrats’ attempts to force a minimum wage hike into a completely unrelated coronavirus stimulus bill were stymied by Elizabeth MacDonough, the Senate parliamentarian who declared the provision violated budgetary rules.
  • Democrats will now have to gain Republican support for the measure or do it by killing the filibuster, a move they probably can’t pull off. Democrats like U.S. Rep. Ro Khanna (D-CA) are not happy and expressed as such, saying, “I’m sorry — an unelected parliamentarian does not get to deprive 32 million Americans the raise they deserve. This is an advisory, not a ruling. VP Harris needs to disregard and rule a $15 minimum wage in order. We were elected to deliver for the people. It’s time we do our job.”

5. Equality Act passes in Congress, Alabama takes another path

  • With only three Republicans voting for the Equality Act, the U.S. House of Representatives passed the bill in a 224-206 vote. The bill provides protections for those in the LGBTQ+ community in a wide range, including allowing transgender people to participate in their chosen gender’s league for sports.
  • In Alabama, a bill was approved by a House committee that would forbid doctors from using puberty-blocking medications, hormones and surgeries on transgender minors.

4. Legislature taking their time with medical marijuana

  • Alabama House Speaker Mac McCutcheon (R-Monrovia) has said that in the House of Representatives, they’re going take their time with the medical marijuana bill by sending it through the Judiciary and Health Committees.
  • McCutcheon said, “We’re going to go through the bill page-by-page.” The medical marijuana bill has already passed the State Senate and has to be passed by the House before Governor Kay Ivey can sign it into law.

3. Threats against the U.S. Capitol ahead of State of the Union

  • It hasn’t been scheduled or announced when President Joe Biden will give his first State of the Union address, but acting Capitol Police Chief Yogananda Pittman has said that there are credible threats to “blow up” the U.S. Capitol during the address. Pittman said this is why it’s necessary for security measures, like National Guardsman and the barbed wire fence, to stay in place.
  • Meanwhile, U.S. Senator Tommy Tuberville (R-AL) wants a fair and balanced investigation into the riots at the U.S. Capitol. He will even testify under oath during it, and he may get it after all.

2. Bill targeting rioters is somehow aimed at peaceful protesters

  • The legislation brought by State Representative Allen Treadaway (R-Morris) that would make rioting or inciting a riot a felony has received some backlash from State Senator Rodger Smitherman (D-Birmingham), who claims that the bill will actually target peaceful protesters.
  • Smitherman said that this bill “seeks to take us back 60 years to where we were at that particular time,” referencing the 1960s and 1970s when protestors were arrested. He went on to assert that this bill would lead to those who are protesting being arrested, adding, “We can’t allow to go back 60 years in time to try to oppress people from being able to…speak out.”

1. State Health Officer: Take the coronavirus vaccine made available to you

  • State Health Officer Dr. Scott Harris is advising that people in Alabama should simply take whichever coronavirus vaccine that’s available to them. This came into question as it’s anticipated that the Johnson & Johnson vaccine will be approved by the Food and Drug Administration soon.
  • Dr. Harris stated, “This is a vaccine that prevents deaths and prevents even serious illness and hospitalization at the exact same rate as the other vaccines,” which doesn’t seem to be true.

6 hours ago

PSC President Cavanaugh: Measures implemented to protect Alabama against Texas-like widespread electric utility failures

Last week, the nation watched as Texas suffered electricity outages during an unprecedented winter storm that wreaked havoc on the Lone Star State.

Could that happen here in Alabama? Public Service Commission President Twinkle Cavanaugh said although no utility is completely invulnerable, measures have been taken to protect customers.

During an appearance on Mobile radio FM Talk 106.5’s “The Jeff Poor Show,” Cavanaugh elaborated on why Texas and Alabama are uniquely different and why Alabama may have fared differently under similar circumstances.

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“[I] did not know a whole lot about Texas until this started happening,” she said. “Since then, I have studied and tried to make sure we have covered all our bases here in Alabama, and that does not happen. Now, let me give this disclaimer — there is never 100% on any utility. Obviously, there are things utilities must do to be prepared. But there are things that can go wrong no matter how prepared you are. I always give that disclaimer.”

“However, Texas and Alabama are completely different in their setup,” Cavanaugh continued. “Alabama Power is the largest power utility in Alabama, and it is a regulated utility. The other utilities that produce electricity in Alabama are TVA, which is a federal-run utility — it is a quasi-government-run utility in North Alabama. We also have some cities that have their own system. They’re called municipals. And then, there are co-ops in some of your rural areas. In fact, I believe Baldwin County has some co-ops. And so, those are run by their members.”

“We regulate Alabama Power Company, which many of your listeners in Mobile have,” she added. “They are regulated. In Texas, 90% of their power is not regulated. In other words, they are deregulated, is what the industry calls it. And after reading this — I think the easiest way to put this is when you’re regulated, we look at everything as how do we protect the people, or how do we protect the customers. In a non-regulated arena, it is how do you protect the profits of these companies.”

According to Cavanaugh, the difference in governing utilities makes such a scenario that Texas faced less likely in Alabama.

“There’s just a completely different philosophy in the two,” she said. “And one of the things in a regulated environment like Alabama Power Company, we always want to weigh things on how it will affect customers. We do that through — is it reliable for consumers? And is it affordable? They have to present to us, I say, on a monthly basis, but it is actually a continual basis. They are audited. And we ensure they do what it takes to be able to handle the load, no matter what the load problems may be.”

Cavanaugh also explained how that given Texas is on its own grid, which covers 90% of that state, prevents it from bringing power in from other states, which is a protection that exists with Alabama’s electric utilities.

She added that there is also less of an incentive to undergo the expensive effort of winterizing in a deregulated environment like Texas.

@Jeff_Poor is a graduate of Auburn University and the University of South Alabama, the editor of Breitbart TV, a columnist for Mobile’s Lagniappe Weekly, and host of Mobile’s “The Jeff Poor Show” from 9 a.m.-12 p.m. on FM Talk 106.5.

7 hours ago

State Rep. Treadaway on anti-rioting bill: ‘This is not a race thing — This is a law and order thing’

State Rep. Allen Treadaway (R-Morris) on Thursday morning interviewed with Talk 99.5’s “Matt & Val Show” regarding his HB 445, which would create new crimes and penalties for individuals who incite or participate in riots.

His interview came the day after State Sen. Rodger Smitherman (D-Birmingham) took to the Senate floor to lambast the legislation — and those who support it — as wanting to “snatch” up Black Lives Matter protesters and “take us back 60 years.” Smitherman said the legislation was part of a general oppressive movement he compared to the killing of George Floyd.

Treadaway recently retired as Birmingham Police Department assistant chief following a 31-year career on the force; he was on the ground when protesting turned into violent and destructive rioting, looting and arson for one night in the Magic City this past summer. Speaking to co-hosts Matt Murphy and Valerie Vining, Treadaway reiterated his firsthand — and the city’s — experience was the genesis of his bill.

“We all saw what played out across the country last year,” Treadaway said. “And then it came to Birmingham — was actually brought to Birmingham.”

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“So, I’m just going to go over some facts for you real quick just to put a backdrop to this thing,” he outlined. “We know for a fact the night before the protest in Birmingham, folks came in and they planted incendiary devices, gasoline, bricks, and somebody’s funding that. So, there’s a very organized effort going on in this country to keep chaos up. And when they did that, the protesters came in, and — for the most part — our local protesters were peaceful.”

The career law enforcement officer noted that this protest was different than the many peaceful ones he had personally experienced beforehand in the city.

“In this instance, the outsiders that came in to the city of Birmingham were hell-bent on destruction. And that’s a fact,” Treadaway remarked. “Approximately 70 people were arrested. But out of that 70 people, probably 1/3 of them were local.”

He added that most of the locals were arrested for “minor offenses like failure to disperse and things like that.”

“But there was an element that was embedded into those protesters that came into the city of Birmingham and started rioting, started inciting a riot,” he continued. “And when that happened, they went to the shrubbery, the plants, that were around these buildings downtown where they had planted these devices. And they used them to try to destroy the city. Sledgehammers, the incendiary devices, gasoline.”

Treadaway stressed that this factual account was the motivation and basis for the bill.

“And the whole race issue that’s been coming up, I want to talk about that for just a second. Because many of the folks that were arrested from out of town were college-age white kids, OK. And the ones that were bashing windows in. So, this is not a race thing,” he stressed. “This is a law and order thing.”

“I knew when I brought the legislation it would be controversial — with some,” he acknowledged. “But I firmly believe that the masses of Americans — black, brown and white — that they don’t want this (rioting) in their city. They don’t want folks hijacking a cause. And they don’t want them hell-bent on trying to destroy and burn down their city.”

The fourth-term legislator from Jefferson County further highlighted that “law enforcement needs more protection.” He shared that an individual from outside the state was behind the jail the night of the rioting “with a sack full of cash.”

“And why is that? We have a $300 cash bond,” Treadaway explained, outlining that the individual was helping others bond out straight back onto the street to rejoin the rioting. His bill would prevent that by instituting a mandatory hold period for those arrested for rioting or inciting a riot.

“You can’t have a situation where we’re trying to put this type of riot down and people are bonding out and coming back in and joining the fray,” he underlined. “It just doesn’t work.”

Murphy then asked if the Birmingham rioting could have easily resulted in much worse property damage and physical bodily harm.

“There’s no doubt about it, we dodged a bullet,” Treadaway responded. “And then there was those who tried to hang around and reignite the situation.”

He praised the police department’s community policing emphasis for warding off a worse outcome.

“We dodged a bullet that day. They tried to reignite that situation,” he reiterated. “And I think we did a really good job in making sure that that did not happen.”

Treadaway shared that Mobile similarly had a problem with out-of-state people traveling to the city “trying to incite riots there.”

“These folks are sharing information with one another, and when there is a legitimate protest — a peaceful protest — being organized, there’s an element now that’s out there — a criminal element — that’s hell-bent on embedding themselves in those type of causes,” he advised. “That’s just a fact. So, the legislation is an attempt to address some of that.”

He subsequently went on to define what participating in or inciting a riot entails pursuant to HB 445, differentiating those activities from peaceful protesting.

“The First Amendment is something I believe in greatly,” Treadaway reaffirmed.

Sean Ross is the editor of Yellowhammer News. You can follow him on Twitter @sean_yhn