Kentucky lawmakers continue to ignore the real issue surrounding the unsustainable pensions being paid out to government workers, which is taxpayers can't afford the "generosity" given to them at our expense, and which the private sector doesn't come close to receiving.
So instead of making government workers pay more for their own pensions, House Democrats are going the "sin" tax route, starting with taxing cigarettes to raise retirement contributions.
While most of us don't like cigarettes, why should smokers be forced to pay for government workers? They're already paying more for them than they should have to already.
At this time the proposed tax would be a 40-cent increase over the already high tax imposed on cigarettes. That would raise about $110 million in the first year, although over time, the weakness of the proposal is it would be a short-term fix because expectations are there will be less cigarette sales going forward, which would lower the revenue stream in the years ahead.
Over the next 20 years or so, the tax would generate about $100 million annually before dropping in revenue.
None of this will matter or will work until the over-compensated government workers are made to pay more into their own plan. The refusal to do this is cowardly and irresponsible, but has been shown to work by Wisconsin Governor Scott Walker.
Kentucky taxpayers shouldn't and won't put up with this outrage, where the government extracts from their wages in order to pay extravagant benefits to its own.
February 13, 2013
Florida Crushes Kentucky, Wildcats Lose Noel
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| Photo Credit: Joshua C. Cruey/Landov |
The news got worse for Kentucky, as the leading shot-blocker in the nation, Nerlens Noel, got injured after hustling to block a layup, when he fell and landed in an odd position on his left leg. He was in agony after the play, where he began to scream from the pain. He could be out for the rest of the year, although confirmation on the extent of his injury has yet to be made.
"I'm physically sick right now for him," Kentucky coach John Calipari said. "What I'm hoping is it's not the extreme. I'm hoping it's some sort of twist, but we don't know."
While the injury would be a blow to the Wildcats if it's for the remainder of the season, it wasn't the reason for the domination of the Gators over Kentucky, as they jumped to a 31-19 lead in the first half, as Florida hit several 3-pointers in a row.
The play which led to the injury also resulted in the biggest lead for Florida for the night of 16 points, and also represented the most Kentucky has trailed a team all season as of that moment in the game.
In what may be an understatement, Calipari concluded, "Our young guys looked like deer in headlights tonight."
That's not only true of this game, but for a number of games throughout the challenging season for Kentucky men's basketball.
February 12, 2013
Rand Paul's Response to Obama's SOTU
Kentucky Republican Senator Rand Paul's response to Obama's State of the Union address.
I speak to you tonight from Washington, D.C. The state of our economy is tenuous but our people remain the greatest example of freedom and prosperity the world has ever known.
People say America is exceptional. I agree, but it’s not the complexion of our skin or the twists in our DNA that make us unique. America is exceptional because we were founded upon the notion that everyone should be free to pursue life, liberty, and happiness.
For the first time in history, men and women were guaranteed a chance to succeed based NOT on who your parents were but on your own initiative and desire to work.
We are in danger, though, of forgetting what made us great. The President seems to think the country can continue to borrow $50,000 per second. The President believes that we should just squeeze more money out of those who are working.
The path we are on is not sustainable, but few in Congress or in this Administration seem to recognize that their actions are endangering the prosperity of this great nation.
Ronald Reagan said, government is not the answer to the problem, government is the problem.
Tonight, the President told the nation he disagrees. President Obama believes government is the solution: More government, more taxes, more debt.
What the President fails to grasp is that the American system that rewards hard work is what made America so prosperous.
What America needs is not Robin Hood but Adam Smith. In the year we won our independence, Adam Smith described what creates the Wealth of Nations.
He described a limited government that largely did not interfere with individuals and their pursuit of happiness.
All that we are, all that we wish to be is now threatened by the notion that you can have something for nothing, that you can have your cake and eat it too, that you can spend a trillion dollars every year that you don’t have.
I was elected to the Senate in 2010 by people worried about our country, worried about our kids and their future. I thought I knew how bad it was in Washington. But it is worse than I ever imagined.
Congress is debating the wrong things.
Every debate in Washington is about how much to increase spending – a little or a lot.
About how much to increase taxes – a little or a lot.
The President does a big “woe is me” over the $1.2 trillion sequester that he endorsed and signed into law. Some Republicans are joining him. Few people understand that the sequester doesn’t even cut any spending. It just slows the rate of growth. Even with the sequester, government will grow over $7 trillion over the next decade.
Only in Washington could an increase of $7 trillion in spending over a decade be called a cut.
So, what is the President’s answer? Over the past four years he has added over $6 trillion in new debt and may well do the same in a second term. What solutions does he offer? He takes entitlement reform off the table and seeks to squeeze more money out of the private sector.
I speak to you tonight from Washington, D.C. The state of our economy is tenuous but our people remain the greatest example of freedom and prosperity the world has ever known.
People say America is exceptional. I agree, but it’s not the complexion of our skin or the twists in our DNA that make us unique. America is exceptional because we were founded upon the notion that everyone should be free to pursue life, liberty, and happiness.
For the first time in history, men and women were guaranteed a chance to succeed based NOT on who your parents were but on your own initiative and desire to work.
We are in danger, though, of forgetting what made us great. The President seems to think the country can continue to borrow $50,000 per second. The President believes that we should just squeeze more money out of those who are working.
The path we are on is not sustainable, but few in Congress or in this Administration seem to recognize that their actions are endangering the prosperity of this great nation.
Ronald Reagan said, government is not the answer to the problem, government is the problem.
Tonight, the President told the nation he disagrees. President Obama believes government is the solution: More government, more taxes, more debt.
What the President fails to grasp is that the American system that rewards hard work is what made America so prosperous.
What America needs is not Robin Hood but Adam Smith. In the year we won our independence, Adam Smith described what creates the Wealth of Nations.
He described a limited government that largely did not interfere with individuals and their pursuit of happiness.
All that we are, all that we wish to be is now threatened by the notion that you can have something for nothing, that you can have your cake and eat it too, that you can spend a trillion dollars every year that you don’t have.
I was elected to the Senate in 2010 by people worried about our country, worried about our kids and their future. I thought I knew how bad it was in Washington. But it is worse than I ever imagined.
Congress is debating the wrong things.
Every debate in Washington is about how much to increase spending – a little or a lot.
About how much to increase taxes – a little or a lot.
The President does a big “woe is me” over the $1.2 trillion sequester that he endorsed and signed into law. Some Republicans are joining him. Few people understand that the sequester doesn’t even cut any spending. It just slows the rate of growth. Even with the sequester, government will grow over $7 trillion over the next decade.
Only in Washington could an increase of $7 trillion in spending over a decade be called a cut.
So, what is the President’s answer? Over the past four years he has added over $6 trillion in new debt and may well do the same in a second term. What solutions does he offer? He takes entitlement reform off the table and seeks to squeeze more money out of the private sector.
Obama's State of the Union Speech a Disaster
In one of the weakest and disastrous SOTU addresses in recent history, Barack Obama bizarrely and irresponsibly stated that cuts to government spending for domestic and military purposes would be a "really bad idea."
Huh? A bad idea? The most important issue facing the United States at this time is to cut back on government spending across the board. Out of control spending and promises by the U.S. government has brought America to the brink of economic ruin, and the idea of dealing with it being called "bad" by Obama only points to his no longer being able to discern reality. He's living in a make believe world that doesn't exist. Wonderland looks more real than statements like he made about spending.
Also strange was Obama's disconnect concerning the ongoing murder of living children in the womb, while calling children killed by deranged killers "our most precious resource." If that's the case, then why isn't Obama 100 percent behind the repeal of Roe Vs. Wade and working to eliminate the financing of death organizations like Planned Parenthood? It's not okay for a few children to be killed, but it is okay to have thousands killed in America annually?
Every stupid and meaningless fake issue was raised by Obama, such as the fictitious global warming lie, so-called clean energy, raising the minimum wage, and gun control, among a number of others.
In other words, he blabbed about nothing of substance, simply reiterating talking points to make his base feel good.
Kentucky voters need to remember this next election when the Democrats try to distance themselves from this renegade president who is being propped up by his party.
Huh? A bad idea? The most important issue facing the United States at this time is to cut back on government spending across the board. Out of control spending and promises by the U.S. government has brought America to the brink of economic ruin, and the idea of dealing with it being called "bad" by Obama only points to his no longer being able to discern reality. He's living in a make believe world that doesn't exist. Wonderland looks more real than statements like he made about spending.
Also strange was Obama's disconnect concerning the ongoing murder of living children in the womb, while calling children killed by deranged killers "our most precious resource." If that's the case, then why isn't Obama 100 percent behind the repeal of Roe Vs. Wade and working to eliminate the financing of death organizations like Planned Parenthood? It's not okay for a few children to be killed, but it is okay to have thousands killed in America annually?
Every stupid and meaningless fake issue was raised by Obama, such as the fictitious global warming lie, so-called clean energy, raising the minimum wage, and gun control, among a number of others.
In other words, he blabbed about nothing of substance, simply reiterating talking points to make his base feel good.
Kentucky voters need to remember this next election when the Democrats try to distance themselves from this renegade president who is being propped up by his party.
Hopkinsville, Ky's Heritage Bank Parent Acquires Sumner Bank & Trust
Sumner Bank & Trust of Gallatin was acquired by the parent company of Heritage Bank in Hopkinsville, Kentucky for $14.3 million.
In a press release, HopFed Bancorp Inc. (Nasdaq: HFBC) said it agreed to pay $10.04 a share for common stock and equivalents for the bank. The deal is subject to regulatory and shareholder approval.
"We are excited about the opportunity to partner with Sumner," said John Peck, president and CEO of
HopFed and Heritage. "This partnership is an important addition for our company as it provides us
entry into the attractive communities of Sumner, Wilson and Williamson counties in Middle Tennessee
and Madison County in West Tennessee."
Mike Cook, president and CEO of Sumner Bank & Trust, added, "The opportunity to partner with a strong
publicly traded community bank will enhance our relationship opportunities and allow us to continue to
provide the highest quality of service to our communities. By partnering with Heritage, we can enjoy
the benefits provided by a larger institution while keeping the community bank focus that we enjoy
today."
If approved, the deal will close in the third quarter. HopFed would have consolidated assets over $1.1 billion afterwards, and deposits over $900 million.
In a press release, HopFed Bancorp Inc. (Nasdaq: HFBC) said it agreed to pay $10.04 a share for common stock and equivalents for the bank. The deal is subject to regulatory and shareholder approval.
"We are excited about the opportunity to partner with Sumner," said John Peck, president and CEO of
HopFed and Heritage. "This partnership is an important addition for our company as it provides us
entry into the attractive communities of Sumner, Wilson and Williamson counties in Middle Tennessee
and Madison County in West Tennessee."
Mike Cook, president and CEO of Sumner Bank & Trust, added, "The opportunity to partner with a strong
publicly traded community bank will enhance our relationship opportunities and allow us to continue to
provide the highest quality of service to our communities. By partnering with Heritage, we can enjoy
the benefits provided by a larger institution while keeping the community bank focus that we enjoy
today."
If approved, the deal will close in the third quarter. HopFed would have consolidated assets over $1.1 billion afterwards, and deposits over $900 million.
Kentucky Drought Loan Deadline is March 12
ATLANTA, Feb. 12, 2013 /PRNewswire-USNewswire/ -- The U.S. Small Business Administration is reminding small businesses, small agricultural cooperatives, small businesses engaged in aquaculture and most private non-profit organizations of all sizes that March 12 is the filing deadline for federal economic injury disaster loans available in Kentucky as a result of the drought that began June 19, 2012.
The SBA's disaster declaration includes the following counties: Ballard, Breckinridge, Butler, Caldwell, Calloway, Carlisle, Christian, Crittenden, Daviess, Edmonson, Fulton, Graves, Grayson, Hancock, Henderson, Hickman, Hopkins, Livingston, Logan, Lyon, Marshall, McCracken, McLean, Muhlenberg, Ohio, Simpson, Todd, Trigg, Union, Webster and Warren in Kentucky and; Mississippi and New Madrid counties in Missouri.
"When the Secretary of Agriculture issues a disaster declaration to help farmers recover from damages and losses to crops, the Small Business Administration issues a declaration to eligible entities affected by the same disaster," said Frank Skaggs, director of SBA's Field Operations Center East in Atlanta.
Under this declaration, the SBA's Economic Injury Disaster Loan program is available to eligible
farm-related and nonfarm-related entities that suffered financial losses as a direct result of this disaster. With the exception of aquaculture enterprises, SBA cannot provide disaster loans to agricultural producers, farmers, or ranchers. Nurseries are eligible to apply for economic injury disaster loans for losses caused by drought conditions.
The loan amount can be up to $2 million with interest rates as low as 4 percent for eligible small businesses and 3 percent for non-profit organizations with terms up to 30 years. The SBA determines eligibility based on the size of the applicant, type of activity and its financial resources. Loan amounts and terms are set by the SBA and are based on each applicant's financial condition. These working capital loans may be used to pay fixed debts, payroll, accounts payable, and other bills that could have been paid had the disaster not occurred. The loans are not intended to replace lost sales or profits.
Applicants may apply online using the Electronic Loan Application (ELA) via SBA's secure website at https://disasterloan.sba.gov/ela.
Disaster loan information and application forms may also be obtained by calling the SBA's Customer Service Center at 800-659-2955 (800-877-8339 for the deaf and hard-of-hearing) or by sending an email to disastercustomerservice@sba.gov. Loan applications can be downloaded from the SBA's website at www.sba.gov. Completed applications should be mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
Completed loan applications must be returned to SBA no later than March 12, 2013.
For more information about the SBA's Disaster Loan Program, visit our website atwww.sba.gov.
Release Number: 13-279, KY 13127
Contact: Michael Lampton
Phone: 404-331-0333
SOURCE U.S. Small Business Administration
Home Loans on the Rise Again
Across America people are again tapping into their homes for cash by using them to secure a loan. Called a HELOC, or home equity line of credit, this is part of the reason so many Americans suffered during the mortgage crisis.
It is highly recommended that people don't go this route, as it puts you in a place that will lock you into the home for a long period of time.
One major reason is because if the price of the home falls again, as it did during the mortgage crisis, you won't be able to sell your home if you want to because you will owe more on it than someone wanting to buy the house could secure a loan for if the value of the home falls.
The other obvious reason is you lock yourself into a higher mortgage payment for a significant period of time. If the economy falters, as it has for several years, you could easily lose a job or hours, which would make it difficult, if not impossible, to make your payments.
Even though there is some relief, setting yourself up failure concerning your home isn't a good financial move.
It's best to be content and live within your means than to use your home to access capital you can barely afford.
It is highly recommended that people don't go this route, as it puts you in a place that will lock you into the home for a long period of time.
One major reason is because if the price of the home falls again, as it did during the mortgage crisis, you won't be able to sell your home if you want to because you will owe more on it than someone wanting to buy the house could secure a loan for if the value of the home falls.
The other obvious reason is you lock yourself into a higher mortgage payment for a significant period of time. If the economy falters, as it has for several years, you could easily lose a job or hours, which would make it difficult, if not impossible, to make your payments.
Even though there is some relief, setting yourself up failure concerning your home isn't a good financial move.
It's best to be content and live within your means than to use your home to access capital you can barely afford.
Coventry's (CVH) Kentucky Medicaid Program Gets Rate Increase
Kentucky awarded Coventry Health Care Inc. (CVH) a requested rate increase for its Medicaid program in the state, as costs for serving the state's poor have been higher than expected when Coventry, along with WellCare Health Plans Inc. (WCG) and Centene Corp. (CNC), began covering Kentucky Medicaid patients in 2011.
Terms of the agreement are Coventry will get a rate increase of 7 percent for each year of the contract through the latter part of 2014 when it ends. The increase is effective as of January 1, 2013.
In a filing with the Securities and Exchange Commission, Coventry said a rate increase already in place for the last year of the contract will be put in effect three months earlier than the original contract specified.
Aetna Inc. (AET), a planned carrier, should benefit from the deal, as shares of the insurer jumped over 1 percent on the news. That's because Aetna is in the process of acquiring Conventry for $5.7 in cash and stock.
While there has been no reports on WellCare, the assumption is the company is in negotiations with the state of Kentucky for a deal similar to that reached with Conventry. Shares of the company jumped to $54.57 in early Tuesday trading, a gain of 3.2 percent.
It is more murky concerning Centene, which plans to leave Kentucky in July 2014, as Centene CEO Michael Neidorff said in the latest earnings call of the company that the Kentucky Medicaid program was "not sustainable in its current form."
Kentucky continues to be hampered by poor leadership, as has refused to take the necessary steps to get its fiscal house in order, including making government employees pay more for the outrageous benefits they receive at the expense of the taxpayers of the state.
Terms of the agreement are Coventry will get a rate increase of 7 percent for each year of the contract through the latter part of 2014 when it ends. The increase is effective as of January 1, 2013.
In a filing with the Securities and Exchange Commission, Coventry said a rate increase already in place for the last year of the contract will be put in effect three months earlier than the original contract specified.
Aetna Inc. (AET), a planned carrier, should benefit from the deal, as shares of the insurer jumped over 1 percent on the news. That's because Aetna is in the process of acquiring Conventry for $5.7 in cash and stock.
While there has been no reports on WellCare, the assumption is the company is in negotiations with the state of Kentucky for a deal similar to that reached with Conventry. Shares of the company jumped to $54.57 in early Tuesday trading, a gain of 3.2 percent.
It is more murky concerning Centene, which plans to leave Kentucky in July 2014, as Centene CEO Michael Neidorff said in the latest earnings call of the company that the Kentucky Medicaid program was "not sustainable in its current form."
Kentucky continues to be hampered by poor leadership, as has refused to take the necessary steps to get its fiscal house in order, including making government employees pay more for the outrageous benefits they receive at the expense of the taxpayers of the state.
Kentucky Reaches Settlement with Victory Pharma Over Kickbacks
Kentucky and other states, along with the federal government have reached a settlement with Victory Pharma, Inc. (VPI) for $12.2 million. Victory Pharma was accused of participating in an illegal kickback scheme.
The $12.2 million was in civil damages, which will be paid to Medicaid, Medicare, and other programs that were affected by the actions of the company.
VPI was accused of using illegal marketing tactics involving four of the drugs it offers, Naprelan, Xodol, Fexmid and Dolgic.
Kentucky Attorney General Jack Conway said, “Drug companies that engage in illegal marketing tactics to sell their products will be held accountable. Illegal kickback schemes waste taxpayer money, undermine the integrity of medical decisions and put the public’s health at risk.”
Among the kickbacks used to get physicians to prescribe the drugs were cash, cash disguised as speaker fees, tickets for events, meals, gifts, entertainment, and numerous other products or services.
Kentucky will receive $426,843 from the settlement with VPI, with about $120,000 of that being retained after payment is made to the federal government for the share it holds in the settlement.
Nothing was mentioned concerning why the physicians were allowed to get away with it.
The $12.2 million was in civil damages, which will be paid to Medicaid, Medicare, and other programs that were affected by the actions of the company.
VPI was accused of using illegal marketing tactics involving four of the drugs it offers, Naprelan, Xodol, Fexmid and Dolgic.
Kentucky Attorney General Jack Conway said, “Drug companies that engage in illegal marketing tactics to sell their products will be held accountable. Illegal kickback schemes waste taxpayer money, undermine the integrity of medical decisions and put the public’s health at risk.”
Among the kickbacks used to get physicians to prescribe the drugs were cash, cash disguised as speaker fees, tickets for events, meals, gifts, entertainment, and numerous other products or services.
Kentucky will receive $426,843 from the settlement with VPI, with about $120,000 of that being retained after payment is made to the federal government for the share it holds in the settlement.
Nothing was mentioned concerning why the physicians were allowed to get away with it.
Kentucky Police Chief Shoots Dog
Saying he was driving along when coming upon a dog attacking a man, Covington Police Chief Spike Jones pulled his gun and shot the animal as it came at him.
According to Jones, he attempted to scare the dog off by driving at the dog with his vehicle. That didn't work, so Jones said he left the car to help the man being attacked, and the dog came at him. At that time he took his gun and killed the dog.
One witness said the dog belonged to neighbors that had just moved into the area. At the time the attack occurred it apparently still had a leash around its neck.
Some people living in the area said it could have been worse because a lot of people walk in the area of the attack, including elderly women and children.
According to Jones, he attempted to scare the dog off by driving at the dog with his vehicle. That didn't work, so Jones said he left the car to help the man being attacked, and the dog came at him. At that time he took his gun and killed the dog.
One witness said the dog belonged to neighbors that had just moved into the area. At the time the attack occurred it apparently still had a leash around its neck.
Some people living in the area said it could have been worse because a lot of people walk in the area of the attack, including elderly women and children.
February 11, 2013
Kentucky General Fund Revenues Jump 3.8 Percent over Last January
State Budget Director Jane Driskell said tax revenues for the Kentucky General Fund climbed 3.8 percent in January over January 2012.
For the first seven months of the fiscal year, revenue growth for the General Fund has grown at the same 3.8 percent that January grew at. Allegedly the current budget requires a growth rate of 2.4 percent to be kept in balance.
Driskell said, “January receipts are consistent with the latest internal revenue projections.”
The state income tax itself, which is the largest source of revenue, has soared 8.8 percent in the first seven months of the fiscal year.
Unsurprisingly, the revenues from the Road Fund grew at a 2.1 percent rate in January, as higher gas prices kept travelers closer to home. The road fund could fall short if it continues at the 3.2 percent pace it's at for the first seven months of the fiscal year, as projections are it needs about 3.9 percent growth to meet project demands. Of course that's not hard to deal with as all that has to be done is for the projects to be put on hold if the money isn't there.
Also related to the economy are the weaker sales and use tax receipts, which are flat so far this year.
These numbers are somewhat disingenuous because of the refusal of Kentucky lawmakers to require government employees, who are paid and given benefits far above the market and private sector, to pay more into their own pensions and benefit packages. Until that happens, it won't matter what pace the tax revenues grow at, which are already too high.
For the first seven months of the fiscal year, revenue growth for the General Fund has grown at the same 3.8 percent that January grew at. Allegedly the current budget requires a growth rate of 2.4 percent to be kept in balance.
Driskell said, “January receipts are consistent with the latest internal revenue projections.”
The state income tax itself, which is the largest source of revenue, has soared 8.8 percent in the first seven months of the fiscal year.
Unsurprisingly, the revenues from the Road Fund grew at a 2.1 percent rate in January, as higher gas prices kept travelers closer to home. The road fund could fall short if it continues at the 3.2 percent pace it's at for the first seven months of the fiscal year, as projections are it needs about 3.9 percent growth to meet project demands. Of course that's not hard to deal with as all that has to be done is for the projects to be put on hold if the money isn't there.
Also related to the economy are the weaker sales and use tax receipts, which are flat so far this year.
These numbers are somewhat disingenuous because of the refusal of Kentucky lawmakers to require government employees, who are paid and given benefits far above the market and private sector, to pay more into their own pensions and benefit packages. Until that happens, it won't matter what pace the tax revenues grow at, which are already too high.
Russian Bottling Company Investing Over $4 Million in Covington Business
Covington is experiencing a little of what it means "from Russia with love," as a Russian bottling and labeling company has agreed to invest about $4.5 million to ready a factory in order to provide labeling and design for alcohol bottles.
The bourbon industry in Kentucky was the main impetus for the company decision to locate in Covington.
"There are several processes, all automated. The clear bottles come to our plant and go through processes. some require a coating of certain colors, or hot stamping or any kind of labeling, mostly paperless labeling will be applied on the bottles, and then the bottles will go to the bottling facility and will be filled with whatever drink will be in it," said Sam Popianski from Westpack.
Westpack, the Russian company, will offer residents of Covington the first opportunity for the new jobs created from the endeavor. Approximately 63 jobs are expected to be produced by the company in the area.
About $1.5 million in tax incentives were offered Westpack in return for coming to Kentucky.
The bourbon industry in Kentucky was the main impetus for the company decision to locate in Covington.
"There are several processes, all automated. The clear bottles come to our plant and go through processes. some require a coating of certain colors, or hot stamping or any kind of labeling, mostly paperless labeling will be applied on the bottles, and then the bottles will go to the bottling facility and will be filled with whatever drink will be in it," said Sam Popianski from Westpack.
Westpack, the Russian company, will offer residents of Covington the first opportunity for the new jobs created from the endeavor. Approximately 63 jobs are expected to be produced by the company in the area.
About $1.5 million in tax incentives were offered Westpack in return for coming to Kentucky.
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