Tag Archives: Maryland

Horseshoe Arrives in Baltimore

By Barry Rascovar

Sept. 2, 2014–Baltimore’s first and only casino is open — a decade later than anticipated by city officials.

Horseshoe Baltimore, run by Caesar’s Entertainment, is a bright, cheery and decidedly friendly facility a short walk from Ravens stadium. It’s got a giant parking structure that allows direct access to the casino without venturing on to city streets.

Horseshoe Baltimore

Horseshoe Baltimore

With 2,500 brand-new slot machines, 122 gaming tables and 25 poker tables, the $442-million Horseshoe Baltimore fulfills the wishes of city leaders, though it should have happened years ago.

Former Mayor Kurt Schmoke had a deal with then-Gov. Parris Glendening in the late 1990s to allow a Baltimore casino for a struggling urban city in need of an economic boost.

But Glendening reneged and went on a moralistic anti-slots campaign. It may have been good politics for the governor but Schmoke regarded it as a stab in the back. Baltimore desperately needed the revenue and stimulus.

It still does.

New City Revenue

Granted, Horseshoe isn’t the answer to Baltimore’s woes. But proceeds from the casino will help Mayor Stephanie Rawlings-Blake slowly lower sky-high property taxes, make infrastructure improvements and eventually pour millions it now doesn’t have into community upgrades.

The current squabble over using some of the casino revenue to re-locate a stream pipeline serving downtown Baltimore businesses deflects from the fact that Baltimore should receive more than $10 million in the current fiscal year from Horseshoe operations, $15.5 million or more next year and $22.5 million in fiscal 2017.

That is a gift sorely needed by City Hall to help accelerate the downtown-living renaissance, deal with a serious crime problem and finally start to attack a glut of vacant housing.

For Baltimore, Horseshoe’s arrival is a ringer, a home run, a winner.

Horseshoe Baltimore casino

With 1,700 jobs — many filled by tax-paying city residents — Horseshoe is a new economic engine. Its location near the baseball and football stadiums means huge before-and-after crowds on game days and added revenue both for the casino and for Baltimore.

Under terms of the state casino law, Baltimore will split with Prince George’s and Anne Arundel counties 5.5 percent of the winning proceeds from their three gambling facilities — Horseshoe, Maryland Live! at Arundel Mills and MGM National Harbor now under construction.

This local impact revenue is a godsend for Baltimore.

It is a new, ongoing money source that will allow City Hall to undertake projects on the back burner for years (or decades) and to balance the annual budget without draconian cuts.

It’s no panacea, but it gives city officials breathing room.

Late Entry

Baltimore is late to the casino party, but probably not too late.

Gambling — legal or illegal — always has been popular in Charm City. A single casino will probably do well for years to come, even with a glut of gambling sites in New Jersey and Pennsylvania.

Horseshoe also provides a much-needed boost for local tourism and for Baltimore’s downtown hotels. It gives visitors another reason to extend their stay or to come to Baltimore in the first place. It’s a decided plus for drawing conventions, too.

Part of Horseshoe’s success will come at the expense of David Cordish’s highly profitable Maryland Live! casino.  But Horseshoe will draw a more urban clientele versus the suburbanites flocking to Maryland Live!

Maryland Live

Both casinos, though, will feel the squeeze when MGM National Harbor opens in a couple of years. It will translate into smaller profit margins for both, but  National Harbor’s main draw will be for gambling patrons south of the Potomac River in Virginia.

Six casinos in Maryland seems about the right number — three in rural locations and three in the Baltimore-Washington megalopolis.

Casinos are becoming established, middle-class entertainment options that offer substantial benefits for state and local governments for their relatively stable revenue — as long as the gambling is tightly regulated and the sites are limited in number.

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MD GOP Nightmare

By Barry Rascovar

August 18, 2014 — Just what the Maryland Republican Party didn’t need — a theocratic, paleo-conservative candidate who has renounced the General Assembly as ungodly and is deeply involved in a group advocating a white, Christian nation of the South.

Worst of all for the Maryland GOP, this 61-year-old, Bible-spouting secessionist with a bizarre view of government is the favorite to win the November election in Anne Arundel County’s Broadneck Peninsula-Severna Park-Arnold councilmanic district.

His name is Michael Peroutka, a smooth-talking, debt-collector attorney. He ran for president of the United States in 2004 on the Constitution Party ballot line. He got 150,000 votes out of 122,000,000 cast (0.1 percent).

Constitution Party logo

Yet in June, he shocked the GOP establishment by winning Anne Arundel’s District 5 council primary by a razor-thin 38 votes.

The Republican nominee for governor, Larry Hogan Jr., disassociated himself from Peroutka. So did the GOP’s nominee for county executive, Del. Steve Schuh. Annapolis Del. Herb McMillan isn’t supporting Peroutka, either, because his views “are the exact opposite of the Republican Party.”

Like the slick lawyer he is, Peroutka is trying to sweet-talk District 5 voters into believing he’s an ordinary conservative who rails against the misnamed “rain tax,” abhors all taxes and demands drastically limited government.

It’s a con.

Peroutka didn’t even belong to the Republican Party until this year.

Peroutka button 2004

He and a Christian Reconstructionist cohort, David Whitney, tried to hijack the District 5 election by seeking to win both the Republican and Democratic primaries.

That would have guaranteed a seat on the County Council for this oddball alliance, which centers around Peroutka’s extreme Christian Institute on the Constitution, which he runs out of his law office in a strip shopping center along Ritchie Highway.

Peroutka is out to re-create the Anne Arundel Republican Party, and eventually the Maryland GOP, in his image. His pseudo-conservative rhetoric masks a deep hatred for the Republican Party of Lincoln, Ronald Reagan and George W. Bush.

Here’s what he said last October about the GOP:

“Anyone, including those who identify with the ‘Tea Party,’ who loves America and desires real reform, would do well to disengage themselves from the Republican Party and their brand of worthless, Godless, unprincipled conservatism.”

Fifth-Column Action

Peroutka isn’t even following his own advice. Instead, he’s infiltrated the “Godless, unprincipled” GOP.

This fifth-column action is part of his campaign to turn the Republican Party into a Christian party that follows Peroutka’s “biblical view of law and government.”

To him, “the function of civil government is to obey God and to enforce God’s law — PERIOD.”

Any other government actions — what he calls “pretended laws” —  are heretical and should be ignored or resisted. No wonder he spoke at a radical Second American Revolution rally last November in Washington. He’s out to dismantle the entire American system of government.

Peroutka at Second American Revolution rally

Peroutka at Second American Revolution rally

How wacky is Peroutka?

He said last year the Maryland General Assemby is “no longer a valid legislative body” and its actions should be disregarded because they violate God’s law.

Of course, Peroutka is the one who decides what’s legitimate and what is “Godless.”

According to him, “It is not the role of civil government to house, feed, clothe, educate or give health care to . . . ANYBODY.” Government, Peroutka says, has no authority to take any role in education or alleviating poverty. Government must enforce only the word of God spelled out in the Bible.

Misleading Appearance

Peroutka doesn’t come across as a madman. He’s got a distinguished mane of white hair, a grandfatherly look and a soothing voice. How could someone so sincere and seemingly erudite promote such nonsense?

Peroutka is a board member of the League of the South, an Alabama group that openly advocates Southern secession and establishment of a white, Christian Reconstructionist society.

According to its website, the League of the South is “a Southern Nationalist organization whose ultimate goal is a free and independent Southern republic.”

At this group’s meeting last fall, Peroutka called “Dixie” the country’s national anthem.

Should Michael Peroutka win in November, he’s sure to use County Council sessions as a platform for bringing his theocratic notions of government into the proceedings. It will be his launching pad for an internal Republican Party revolution.

Just what the Maryland GOP didn’t need.

It already is struggling for relevancy in the state’s largest jurisdictions. Peroutka’s ravings as an elected Republican leader could be the nail in the coffin for the Republican Party’s hopes of winning over independents and conservative-leaning Democrats.

Can He Lose?

Stopping him will be difficult, but not impossible.

District 5 hasn’t elected a Democratic councilman in 24 years. It’s a wealthy, conservative part of the county stretching from Severna Park to the Broadneck Peninsula that ends at the Chesapeake Bay Bridge.

Yet there’s hope in the voter registration numbers: 25,800 Republicans live in the district against 21,100 Democrats and 11,600 independents. Given the GOP leadership defections already announced, Peroutka’s election isn’t a sure thing.

He’s got millions of his own money he can funnel into his campaign, though.

Democratic Foe

He’s also running against a political youngster, Patrick Armstrong, a 31-year-old retail store manager who entered the Democratic primary to prevent Peroutka’s theocratic collaborator, David Whitney, from furtively gaining the nomination.

Armstrong did better than okay in the primary. He trounced Whitney, gaining nearly two-thirds of the Democratic votes in June.

He’s also not, as he put it, “a liberal boogie man. I’m a reasonable person” who grew up in District 5, graduated from Anne Arundel Community College in the district, and lives with his parents in Cape St. Claire.

He’s smart enough to run in this district with a pledge to never vote for a new tax or fee increase but instead “come up with creative ways to find solutions to our problems.”

Being Responsible

Yet he’s also wise enough to recognize that opposing the “rain tax” isn’t going to win over district voters who care deeply about the well-being of the Chesapeake Bay and its tributaries, including the Magothy and Severn rivers that define District 5’s boundaries.

He calls the stormwater-runoff fee “the responsible thing to do.”

With strong backing from state Democratic leaders, Armstrong might give Peroutka all he can handle. But he’s got to get the word out about Peroutka’s dangerous views of government and the U.S. Constitution.

After all, Peroutka is advocating the dismemberment of the United States and turning what’s left into a society ruled by Biblical law.

The problem is that even if Peroutka’s Republican charade is unmasked in time and he loses in November, he will remain the Maryland GOP’s nightmare: In June, he also won for himself a seat on the Anne Arundel Republican Central Committee.

That gives him an opportunity to use the county’s GOP Central Committee as a launching pad for converting Republican governing bodies into advocates for Christian government.

As a central committee member, Peroutka also will attend statewide GOP meetings, where he can poison the well with radical resolutions and speeches meant to Christianize the state party. He’s leading God’s crusade against the Republican infidels.

Ignoring Godless Laws

On top of that, another Peroutka theocratic soulmate, Joe Delimater, was the lone GOP candidate to file for county sheriff.

Delimater will be on the November ballot against the incumbent sheriff, Democrat Ron Bateman, hoping to win the right to wreak havoc on Anne Arundel’s court and criminal justice system by ignoring laws and government orders he believes are Godless.

What a mess for the GOP.

Peroutka & Co. pose a serious challenge to the viability and future of the Maryland Republican Party.

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Uber and Out in MD

By Barry Rascovar

August 14, 2014 — Maryland’s Public Service Commission struck a blow for the rule of law this week when it declared the popular app-based, ride-sharing company Uber Technologies isn’t exempt from regulations other companies must follow if they want to transport paying customers.

It is “clear and unambiguous” that Uber is a passenger-carrying, for-profit, public transportation service, according to the PSC.

Uber logo

As such, Uber is not free to make its own rules and ignore Maryland law.

Just because Uber is using innovative Internet technologies to reinvent the taxicab industry doesn’t mean it can arrogantly write its own dictum and thumb its nose at statutes that govern the way other common carriers operate.

Companies like Uber seem to believe that because they are Internet-based, they can run their kingdoms according to their edicts and decrees.

Isn’t the Internet all about unfettered communication and freedom?

Brave, New World

Doesn’t a business based on Internet technologies have the right to do what it pleases, regardless of the consequences or existing statutes?

To follow that logic is to abandon all governance in favor of a libertarian society stripped of legal restraints.

Thankfully, the PSC wasn’t buying Uber’s scary vision of a brave, new fee-for-transport world. If we live in a country ruled by laws, then the laws must be applied across the board.

There’s no doubt Uber offers customers a good deal.

Uber smart phone app

Uber Smart Phone App

But huge dangers lurk as well.

Because Uber doesn’t want to play by the PSC’s rules, it sets its own customer charges. Unlike other cab companies, it applies higher “surge pricing” during busy times. It hasn’t bothered to apply for a common carrier license from the PSC, either.

Uber’s drivers don’t have Maryland passenger-for-hire licenses, which means its drivers haven’t undergone state criminal background checks or driver record checks.

Uber drivers don’t have passenger-for-hire vehicle insurance: If there’s an accident, the driver’s personal auto insurance won’t pay the passenger’s medical bills, or for damages.

No Safety Net?

(Uber claims on its website it has a “commercial insurance policy for rideshare drivers.” But it also claims “all UberBLACK, UberSUV, or uberTAXI rides are provided by commercially licensed and insured partners and drivers. Those transportation providers are covered by commercial insurance policies, in accordance with local and state requirements” — a statement that isn’t true in Maryland.)

Without a government-imposed safety net, passengers take their lives in their hands when they travel with Uber.

“Technology is not a substitute for regulatory oversight,” says Paula Carmody, the Maryland People’s Council, who usually is critical of PSC actions. This time, the official whose job is to look out for consumers applauded the regulatory commissioners. They “got it right.”

Paula Carmody, People's Counsel

Paula Carmody, People’s Counsel

The commissioners also recognized that the Internet riding-sharing revolution is transforming the passenger-for-hire industry. They directed their staff to come up with new regulations within 90 days reflecting evolutionary changes in transport services.

The staff will propose ways to make sure Uber-type companies and drivers have sufficient insurance; that their vehicles are safe and inspected; that drivers are qualified, and that new technologies affecting rates and pick-ups can be applied to all of the state’s taxi-style companies.

Uber, though, continues to act like a spoiled child caught trying to empty the cookie jar.

PSC logo

It railed against the “PSC’s attempt to take choice and competition away from Maryland residents.”

Uber said it will “continue to defend the rights of riders and drivers to have access to the safest, most reliable transportation alternatives on the road.”

“Safest”? Hardly.

The notion that Uber cannot compete if it plays by the state’s rules is buncombe.

What Uber really wants is a built-in advantage over traditional cab and sedan companies. That can only be accomplished by operating outside Maryland law that governs the cab industry.

Level Playing Field

Uber has opened the door for other companies to benefit from technology innovations it has brought to passenger-for-hire car service. That’s what the PSC wants to see in its new regulations.

In other states, Uber is getting its way. It can continue its outlaw-status with minimal state interference.

Not in Maryland, where Uber is being asked to recognize the importance of regulatory laws designed to ensure public safety.

That’s what government is supposed to do — even in an anarchic Internet Age.

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No MD Pension Panic This Year

By Barry Rascovar

August 4, 2014–Good news from the Maryland state retirement agency: investment earnings over the past year ending June 30 rose a strong 14.37 percent.

Maryland retirement agency logo

Don’t get too excited: The agency is still digging out of a deep financial hole caused by the Great Recession, poor decisions by former governors and legislators and poor advice from the agency’s consultant.

The retirement fund’s health, though, is showing solid improvement.

Positive Signs

Since the depths of the Great Recession, the value of its assets have risen over one-third, now topping $45.4 billion — a boost of over $5 billion in the past year alone.

Equally important, reforms to the system have kicked in: Increased employee payments, tighter eligibility rules, contributions from counties for teacher pensions and phasing out the ill-conceived Corridor Funding Methodology that let politicians reduce state payments while ignoring the retirement fund’s deterioration.

Combined, all this has kept the retirement fund on track to return to 80 percent of full funding by 2025 as planned. The corner may have been turned.

Index Fund Debate

Critics, especially conservatives and Republicans, continue to complain about fees paid to money managers — $273.8 million in fiscal year 2013 — rather than dumping all the state’s stock and bond investments into passive, low-fee index funds.

But the state agency recouped its payments to professional financial advisers many times over during the past two years with total gains of nearly 25 percent.

Moreover, fund managers already have shifted more of their assets into index funds: 63 percent of domestic equity investments are in these passive accounts; 47 percent of international equities are held in index funds, too.

Recent strong returns could well persist in upcoming annual reports as the nation’s economy finally starts to gain steam and enters a robust growth phase. It’s a good time to be a pension fund manager.

Two-Way Economic Cycle

But there will be dips and plunges along the way. There always are. Economic cycles flow in two directions — up some years, down in others.

To prepare for the down years and slower long-term growth, the state’s pension fund managers continue to re-channel investments into safer, less volatile financial instruments. The goal is long-term, stable growth, not flashy, short-term gains (or losses).

Some states get a bigger annual investment return than Maryland by placing riskier bets. But they are using retirement fund money for these gambles, which in some cases have backfired quite badly.

Long-Term Results Count

Still, we shouldn’t place too much importance in these annual profit-or-loss statements from government pension funds.

Everyone with stock portfolios knows the short-term picture can look terribly bleak (for example, last Thursday’s and Friday’s steep plunge in the Dow-Jones Average). But over the long haul — a decade or more — historic patterns are quite positive.

That’s what counts — the long-range results for pension funds. Harsh critiques of a fund’s 12-month performance can be misleading.

False Assumptions

Placing too much emphasis on the unfunded actuarial liability also can lead to false conclusions.

Yes, Maryland’s unfunded IOUs topped $19 billion as of last year. But there’s plenty of money in the retirement plan to write pension checks to 132,000 retirees and beneficiaries for years and decades to come.

Meanwhile, reforms taken over the past three years will continue narrowing the gap between what goes into the fund and what is drawn out to pay pensioners each year.

Eliminating the Deficit

The saving grace is that Maryland only pays out a fraction of the pension fund’s assets each year. Most of the 192,000 active participants in the program won’t start collecting retirement checks for another 20 or 30 years.

There’s plenty of time to gradually eliminate the unfunded liability.

That’s the stated objective of the retirement agency’s trustees.

They’ve made substantial progress in the last few years. If the nation’s economy continues on an upward trend, the agency’s financial picture could brighten faster than expected.

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Barry Rascovar’s blog is www.politcalmaryland.com. He can be reached via brascovar@hotmail.com

Child Immigration and MD — II

Sometimes an opinion article hits a nerve.

In this case, my column on Maryland Republican officials, child immigration from Central America, and what to do locally about these children, sent a number of the GOP faithful into conniptions.Contemplated immigration site in Westminster

Dan Bongino, the GOP candidate for Congress in the Montgomery County-Western Maryland district, called the column a “hate-filled, ignorant, one-sided piece. . .. so full of vitriol and emotion. . . . [it] should have never been published. There is already a movement growing, among a large group of grassroots activists, to respond.”

They did – along with many others.

Len Lazarick, who publishes MarylandReporter.com, an essential aggregator of news and commentary on Maryland politics and government, ran my column and later ran responses from Republican Congressman Andy Harris and Republican Del. Pat McDonough, among others.

MarylandReporter.com

Len also ran a lengthy defense of Republican immigration policy and a frontal attack on the Democrats’ immigration policy (and my “slanderous, outrageous” column) signed by Diana Waterman, chair of the state GOP.

Another former elected official sent me this response:

“Barry,

“This has got to be the most outrageously partisan[,] myopic, and uninformed column you have ever spewed out. I might try to respond but it would not be worth my time.

“Disgusted,

“Ellen Sauerbrey”

What follows are some of the other reactions.

From Billy Earl:

“Brilliant piece, spot on. . .”

From Jeff:

“[Y]ou were right when you said this: ‘The best way to stop this unwanted influx is to become involved in helping Honduras, El Salvador and Guatemala crack down on criminal activity, to bolster health and education opportunities and to encourage business development.’

“How could anyone disagree with this? It is shameful that Mr. Bongino called for your firing for an opinion piece. I am a life-long Republican and I have never found his presence comfortable. . . .

“I do not support the Governor’s actions or those who have spoken up on this issue because I find that both sides are just reading polls and trying to get attention. I find it classless all the way around.”

From Diane:

“Personally, I think [Rascovar is] full of s**t on this issue, but I am glad you posted it, and hope you keep it online, so people can form their own judgments on the issue and on Rascovar’s opinions. . . .”

“If the column reduces Rascovar’s readership or influence, or lowers public opinion of his value, so be it–he’s entitled to say what he thinks and we are entitled to draw whatever conclusions we wish about him. My personal opinion of him has taken a major hit.”

From Sarah:

“Yeah, I know you and Len took a lot of flak for it, and maybe you did paint with a broad brush, but I appreciated your opinion piece. . . . Someone had to say it.”

From AB:

“I’m a registered Republican and I thank you for this column.  Your courage and insight are appreciated always, at least by [my] family.”

 From Margaret:

“I’m not familiar with you or your column. . . . [P]eople want something for nothing and there are politicians in this country who are spreading the rumor in [C]entral and [S]outh American countries that they can get it here. Unfortunately WE Americans are sick to death of paying for the problems of non-residents. . .  It is not the American way.”

From Pete:

“That piece is really beneath you, filled with ad hominem vitriol. You have to ask yourself why nothing has been done on Immigration reform, and why these children are causing such a ruckus. For years, the ‘gentlemen’s agreement’ between the two sides of the aisle has been that the Democrats don’t do anything substantive about halting the flood of illegals since they generally partake of Democrat social programs, and so vote Democrat. Since they’re illegal, they get paid under the table, so Republican business interests can pay them as little as they like. So far, so good. Now, kids are coming in, whom the Democrats like, but who won’t be working for Republicans anytime soon. Oops.”

From Jack:

“I appreciate you trying to be a reporter of sorts but I would get your facts straight before posting. People will appreciate your views much better.”

“I didn’t bother reading all of your article because nothing seemed factual . . .

“Keep reporting Barry but at least research. Most of what I read isn’t true.”

From Mark:

“Usually your columns are very insightful. Not today. I suppose everyone deserves a vacation once in a while.

“First and foremost, you conflate legal and illegal immigration. . . .

“Second, since when is appropriate [to] use graffiti to characterize a political party’s position? . . .

“Third, you mischaracterize the historic position of the Republican Party on immigration. . .

“Finally, is there a more eloquent articulation of pro-immigration position than in Ronald Reagan’s Farewell Address? . . .”

 Jeff’s response:

“I suggest you pull this article immediately. It is so full of lies and misinformation and fabrications, that you better hope that you don’t get sued by the GOP.

“Pull it immediately until you have factual information.  And you know I can call you out on it being a blogger myself.  It’s horse**** ”

Finally, from Jerry:

“Wow!  What do you really think about the child immigrants? And our neo-Know Nothings in the Republican Party?  Well said!!”

*     *     *     *     *

One of the goals of column-writing is to stimulate discourse and discussion.

The column I wrote focused almost exclusively on how certain state Republican officials have reacted to the recent wave of child immigration. I avoided getting into the broader immigration issue that has tied national Republicans and Democrats in knots.

The central point of the column was this:

As Americans, we have an obligation to humanely care and shelter these children until their cases are resolved. Maryland Republican officials mentioned in the column opposed the “helping hand” approach proposed by local religious and government leaders.

I found that misguided, and that’s what it wrote.

Little, if any, of the responses from Maryland Republicans have offered sensible suggestions on how to humanely care for these children locally while they await their fate.

That’s unfortunate.

Maybe the next round of missives will return to that pivotal question and give us some thoughtful answers.

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Primary Differences: Women & Turnout

By Barry Rascovar

July 21, 2014 – In a primary election wrap-up message e-mailed to his supporters, former state Sen. Art Helton of Harford County listed reasons why he lost his latest effort to re-gain his seat in the General Assembly.

Art Helton

Art Helton

Poor turnout, especially among African American voters, he wrote, hurt him in his race against fellow Democrat Mary-Dulany James. (The Senate seat is now held by Republican Nancy Jacobs, who is retiring.)

The results: James, 4,705 votes (61 percent); Helton, 2,997 votes (39 percent).

Mary-Dulany James

Mary-Dulany James

The other reason Helton gave for his loss:  the dominance of female candidates in Democratic primaries.

He listed 10 female Harford Democrats who were victorious in the June 24 primary.

“[N]ot one woman lost unless challenged by another woman,” he wrote.

“The percentage of women voting in the Democratic [p]rimary was 63.4%. You can view the results and draw your own conclusions.”

Making a Difference

Women indeed are becoming a pivotal force in local and state elections in Maryland. They are more likely to go to the polls than men. Given the right candidate, it can make a difference.

Baltimore City ousted its incumbent state’s attorney and replaced him with a woman. After November, three of the four citywide elected offices in Baltimore will be held by women, all African Americans.

Also after the general election, four of the city’s six state senators will be women.

Women in the Senate

Half of Montgomery County’s eight state senators will be female, too.

As many as six new women could take seats in the Maryland Senate in January – Gail Bates of Howard County, Susan Lee and Cheryl Kagan of Montgomery County, Addie Eckardt from the Eastern Shore, Shirley Nathan-Pulliam from a joint Baltimore city-county district, and James from Harford County.

Susan Lee

Susan Lee

They aren’t neophyte politicians, either.

Combined, they have served 88 years in the General Assembly. They will enter the Senate as highly seasoned lawmakers.

Bates and Lee are concluding their third four-year terms in the House, James is finishing her fourth term. Eckardt and Nathan-Pulliam are 20-year legislative veterans. Kagan previously served two terms in the House.

Addie Eckardt

Addie Eckardt

Yet the “women are dominating Maryland politics” theme shouldn’t be oversold.

Only 11 of 47 state senators today are women. After the November election, the number may rise a tad in the Senate to 13.

Cheryl Kagan

Cheryl Kagan

Many counties have few women in elective offices.

Overall, the fair sex remains under-represented in elective positions, but not as voters.

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Turnout in Maryland’s primary election was, as predicted, abysmal.

It proved an embarrassment to leaders in Annapolis who devised the early June 24 primary schedule.

Voting booths

Only 20.7 of the state’s nearly 3.4 million registered voters cast an early, absentee or election-day ballot: 561,030 registered Marylanders voted; 2,831,570 didn’t.

Turnout proved truly terrible in the Washington suburbs – 18 percent in Prince George’s County, despite the fact the leading Democratic candidate for governor came from P.G.

In neighboring Montgomery County, total turnout was just 16 percent, even though two of the three Democratic gubernatorial hopefuls were local residents.

Best Turnouts

Baltimore County led the list of large jurisdictions with a turnout of just under 25 percent – still a terrible showing in a representative democracy.

The best results came from small, rural counties, such as Kent County (30.6 percent) and Garrett County (26.6 percent). Voting poster The highest vote totals came from Montgomery (84,100) and Baltimore County (82,900), followed by Prince George’s (69,800), Baltimore City (54,600) and Anne Arundel County (50,500).

Democrats far out-voted Republicans in the larger jurisdictions – a hint of what will follow in November.

One-Sided Figures

In Montgomery, 68,179 Democrats voted vs. 12,516 Republicans.

In Prince George’s, 64,982 Democrats cast ballots vs. 4,167 Republicans.

Baltimore County saw 59,980 Democrats vote vs. 22,906 Republicans.

In Baltimore City, the imbalance was far worse: 51,730 Democratic voters vs. 2,894 Republicans. Voting sign Howard County, once a toss-up jurisdiction, saw 19,193 Democrats cast ballots, vs. 8,967 Republicans.

The primary vote totals were close in Harford County – 11,795 Democrats vs. 14,935 Republicans.

In Anne Arundel County, voting numbers were almost even – 24,655 Democrats and 25,806 Republicans.

That could lead to a tight race for county executive in the fall between Republican state Del. Steve Schuh and the county’s former sheriff, Democrat George Johnson.

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Immigration Quandary

By Barry Rascovar

July 28, 2014 — Are Republicans poor spellers?

They might be, judging from the graffiti (“NO ILLEAGLES HERE”) spray painted on a former Carroll County military building. It briefly was under consideration as housing for immigrant children fleeing violence in Central America.

Contemplated immigration site in Westminster

Contemplated immigration site in Westminster

Or is it just that Republicans are narrow-minded bigots?

It seems they don’t want people entering this country unless immigrants are Anglo-Saxon Christians who believe the “G” in GOP stands for God.

Republican History

Hostility toward immigrants is in the Grand Old Party’s DNA.

The Republican Party started as a coalition of anti-slavery groups and the Know-Nothing Party (formally known in states as the American Party or the Native American Party).

The Know-Nothings’ near-hysterical hostility toward Irish-Catholics and Germans later turned into anti-Chinese venom.

Keeping “them” out of the U.S. of A. has morphed into today’s sweeping condemnation of 57,000 children from non-English-speaking, heavily Catholic nations in Central America who have crossed the border.

‘Combat Zone’

Frederick County’s arch-enemy of immigrants, Sheriff Chuck Jenkins, recently toured part of the Texas-Mexico border, declared it a “combat zone” and called for full militarization.

Sheriff Chuck Jenkins of Frederick County

Sheriff Chuck Jenkins of Frederick County

Fortress America, here we come!

“We’re being invaded by drug cartels, drug smugglers, human traffickers,” the sheriff railed.

Huh?

Unaccompanied children are crossing the border, not gun-toting thugs and narco terrorists.

And in Baltimore County. . .

You’d never know that by listening to Del. Wade Kach or Councilman Todd Huff of Baltimore County.

The two Republicans have joined the anti-immigrant mob.

They’re upset Catholic Charities wants to house 50 children from Central America at its secluded St. Vincent’s Villa that tends to children with severe emotional and behavioral problems — and which originally opened 174 years ago as an orphanage for immigrant children.

Meanwhile, Republican Baltimore County Del. Pat McDonough, who never misses a shot at outrageous publicity, is calling for the erection of tent cities along the border and immediate deportation of “them.”

Congressional Intervention

Then there’s the irrepressible Republican naysayer, Congressman Andy Harris.

He was quick to announce his bombastic opposition to Central American kids living temporarily at a former Army Reserve building in Westminster – a locale that is not in his district.

Harris, an anesthesiologist, cited among other reasons “the potential health risks to the community” — as though these kids were carrying the Bubonic Plague.

He wants the 57,000 children deported to their home country “and get back in line.”

Discrimination is alive and well in the Republican Party’s Maryland branch.

Christian Response

Catholic Charities’ proposal, thankfully, does not follow Republican Party dicta.

Instead, it follows Christian teachings that most Republicans ostensibly say they follow.

This is, as Pope Francis pointed out, a “humanitarian emergency” involving unaccompanied children in a foreign land. We must first protect and care for these children, the pope said.

Pope Francis

Pope Francis

Catholic Charities is extending the good work it does by undertaking this new mission at St. Vincent’s Villa in Timonium.

It’s not a permanent solution but rather a helping hand for 50 kids while their situations are sorted out. What’s wrong with that?

Governor’s Response

How does Maryland suffer from a local charity assisting some of the needy, regardless of their place of origin?

Gov. Martin O’Malley understands.

Gov. Martin O'Malley

Gov. Martin O’Malley

He first complained to the White House about placing kids at a Westminster facility lacking security or running water – not to mention the seething animus in Carroll County toward outsiders (especially Spanish-speaking “illeagals” who might pollute Carroll’s idyllic surroundings).

He was right to tell the White House it was a ridiculous idea.

There are far better ways to assist these kids — such as finding compatible settings near Washington, where there are large Hispanic communities (and proximity to Central American embassies) or in Baltimore City, with its own Spanish-speaking enclave and ample support services.

NIMBY Republicans

The Republican line is that this crisis is “a federal problem” created by the hated Obama administration, which should handle this matter itself.

Republican NIMBYism is alive and well: Let someone else care for these desperate kids, all 57,000 of them.

Just make sure the federal refugee camps are “not in my back yard.”

What’s confronting the United States is a major human dilemma. It won’t be solved solely by the White House. It will take a combined effort by sympathetic states, non-profit groups and the federal government.

Republicans, though, don’t want any part of extending charity to these kids.

The best way to stop this unwanted influx is to help Honduras, El Salvador and Guatemala curb criminal activity, bolster health and education opportunities and encourage business development that translates into jobs.

Republicans will have none of that.

They don’t want immigrants coming to this country and they don’t want to help other countries stem the tide, either.

Their only answer is stationing armed troops on our southern border.

Baltimore Archbishop William Lori calls this problem “a test of the moral character of our nation. This is not a time for political posturing. . .”

Sadly, Republicans aren’t listening.

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Politics Ahead of Budgets

By Barry Rascovar

July 7, 2014 — The $77 million in budget cuts approved last week by the Maryland Board of Public Works mark the first recognition there’s a price to be paid for placing election-year politics ahead of fiscal realities. It won’t be the last spending pullback, either. Budget balancing Maryland has a serious, ongoing imbalance between its high spending habits and its lower than expected revenue receipts. Everyone knew this was coming.

Winter’s Frigid Blow

Much of it is a result of the severe cold weather over the past winter, which devastated sectors of the economy, drove up heating and electric costs and put a severe crimp in job creation.

Yet early this year Gov. Martin O’Malley, with the support of Democratic legislators, introduced a budget for the current fiscal year that was wildly out of sync with prevailing economic conditions.

Gov. Martin O'Malley

Gov. Martin O’Malley

The larger problem, which O’Malley chose not to confront head-on, is that Maryland’s spending isn’t affordable without more rounds of tax increases — or sizable reductions in agency budgets.

The $77 million in cuts approved last week amounts to a small down payment on what is likely to come later.

Maryland’s economy remains stalled, as Comptroller Peter Franchot underlined at last week’s Board of Public Works meeting in the Annapolis State House.

Comptroller Peter Franchot

Comptroller Peter Franchot

Wage growth is near-zero. Sales tax growth is about one-fifth of what it should be in a recovery. Withholding taxes are about two-fifths of the norm for a recovery.

Making matters worse was O’Malley’s failure to use the Great Recession to assess government services and identify cost efficiencies on a grand scale.

Instead, O’Malley simply slowed state government’s rate of growth during hard times. He papered over the need to downsize, shift or reinvent the way non-essential services are delivered.

Troubling Imbalance

At the end of the 2014 General Assembly session in early April, legislative analysts predicted Maryland’s spending would exceed incoming revenue by $236 million for the fiscal year that started July 1.

Ominously, those analysts noted O’Malley’s budget anticipated a whopping 5.2 percent economic growth in this fiscal year and general fund revenue growth of 4.6 percent.

While recent national economic reports for June indicate a stronger recovery in the months ahead, it is doubtful Maryland can reach its rosy revenue projections for this fiscal year.

Expect more spending reductions this winter.

The key question is whether O’Malley confronts that issue or passes the buck to his likely successor, Lt. Gov. Anthony Brown.

Lt. Gov. Anthony Brown

Lieutenant Governor Anthony Brown

Even before Maryland’s revenue projections turned south, legislative analysts had warned Maryland faces a growing cash shortage that could reach $404 million in the next fiscal year.

It would take an imposing 7.1 percent surge in state tax revenue to wipe out that structural imbalance — or a major retrenchment in state spending, which is highly unlikely.

Growing Cash Shortage?

Given the discouraging outlook that prompted last week’s budget cuts, next fiscal year’s  projected cash shortage of $404 million could grow by leaps and bounds.

O’Malley, though, will continue to “spin” this story in a politically positive way.

Other states — New York New Jersey, Pennsylvania and North Carolina — he notes, are in far worse shape (though we don’t have a handle on how bad the situation really is in Maryland — and won’t till September at the earliest).

O’Malley’s Concerns

The governor wants to put a shine on his Maryland legacy as he moves toward a presidential campaign.

He also wants to keep Maryland’s budget woes on the back burner until Brown is safely elected governor in November.

Republican Larry Hogan Jr. will try to convince voters “the sky is falling.” But the worst news from last winter’s deep freeze is over and the national economy is showing encouraging signs of finally springing back to life.

Larry Hogan Jr.

Larry Hogan Jr.

That is good news for Brown in the short term.

But come December and January, Governor-elect Brown could be faced with an ugly reality — a far deeper state deficit, painful and immediate spending cuts and a budget for the following fiscal year that can’t deliver on his expensive campaign promises.

Read more from Barry Rascovar at www.politicalmaryland.com

Rushing Toward MD’s Primary

By Barry Rascovar for MarylandReporter.com WITH TWO WEEKS to go till Maryland’s June 24 primary for governor, here’s where we stand on the all-important Democratic side.

Televised debates, all three of them, are over, as is the one and only radio debate among Lt. Gov. Anthony Brown, Attorney General Doug Gansler and Del. Heather Mizeur.

Brown (left), Gansler, Mizeur

Anthony Brown (left), Doug Gansler, Heather Mizeur

The good news for Brown: he didn’t make any blunders – though he took a deserved  pounding for ducking the second debate. Brown came across best on the 90-minute WOLB-AM radio confrontation, heard mainly by an early-morning, African-American audience in both the Baltimore and Washington areas.

‘Cool’ vs. ‘Hot’

As Marshall McLuhan pointed out after the first presidential debates (Nixon vs. Kennedy in 1960), radio is a “cool” medium, while television is a “hot” medium.

On radio, people listen more closely and judge candidates on what they say; TV presents viewers with both a visual and an audio image that can be difficult for candidates to reconcile.

Brown clearly isn’t comfortable under harsh TV lights. He’s more at ease before a radio microphone.

WOLB Radio Debate

WOLB Radio Debate

In both the third TV debate and the lone radio debate, Brown harped on achievements of the past eight years and the need to continue progressive reforms. He repeated time and time again, “more work to do” and “we can do better.”

Gansler is separating himself as the lone critic of the O’Malley-Brown years: 40 new or expanded taxes, a machine-like party establishment of special interests seeking a Brown coronation and the need for change in Annapolis.

He won the third debate. He was much more fluent, more relaxed and less hesitant. He made contact directly with his studio audience. His theme: jobs, jobs, jobs.

Turning Negative

Gansler also was combative in trying to bring Brown, the apparent leader in this campaign, down a notch. On TV, he said Brown “has an uncomfortable relationship with the truth.”

On radio, he told listeners Brown and Gov. Martin O’Malley “failed you and failed Baltimore” while Brown “ran away” from Maryland’s embarrassing health exchange debacle.

Attorney General Doug Gansler

Attorney General Doug Gansler

Brown and his camp have not hesitated to make far nastier charges against Gansler in their statements and in their ads.

The third candidate, Mizeur, continues to promote a far-left agenda that appeals to segments of Maryland’s liberal Democratic Party. Her polite, demure attitude, a well-delivered summary of her goals and her refusal to join Brown and Gansler in tit-for-tat criticisms helped her immensely in these debates.

Mizeur: Pro and Con

Of the three, she is the most hostile to businesses and the wealthy. She has excoriated shale-oil fracking, millionaires, chicken farmers, a natural gas export plant in Southern Maryland and any thought of a tax cut for corporations or a reduced estate tax.

Del. Heather Mizeur

Del. Heather Mizeur

She’s in favor of legalized marijuana, universal pre-kindergarten for four-year-olds and three-year-olds, state subsidized child care, a living wage of $16.70 an hour, tax cuts for the middle class, tax breaks for small businesses, an end to income inequality and campaign finance reform.

How she pays for her proposals is an exercise in hype and gross exaggeration.

 

TV Advertising

Because the vast majority of voters don’t watch debates, much will depend on the impact of TV ads.

Brown has the most money to throw into a TV blitz, but Gansler isn’t far behind. Mizeur’s bankroll is dwarfed by the others and thus you won’t see many ads from her.

So far the best commercials belong to Gansler. His silent ad slamming Brown for his debate no-show was unusual and effective in getting viewer attention. His ad in which he casually reads from critical Brown editorial comments in the Washington Post about Brown’s failings in the health exchange disaster is another winner.

Brown’s numerous commercials, meanwhile, are slick and well conceived but lack potency. The ads avoid specifics and stick to feel-good generalities.

Lt. Gov. Anthony Brown

Lieutenant Governor Anthony Brown

While Gansler may be winning the ad war and gaining in later debates, he’s got an uphill road ahead of him.

Among Democrats, the governor remains fairly popular, which rubs off on his lieutenant governor. Gansler is bucking nearly the entire Democratic Party establishment at a time when the call for change is coming mainly from Republicans.

His hopes are further diminished by Mizeur’s presence. The anti-Brown, anti-O’Malley, “it’s time for a change” vote will be split between Gansler and Mizeur.

This is reflected in the latest poll (Baltimore Sun, June 8), with Brown’s two competitors making a close two-person race a runaway (Brown: 41 percent, Gansler: 20 percent, Mizeur: 15 percent.)

Attorney General’s Race

Meanwhile, in the other contested statewide Democratic race, state Sen. Brian Frosh is gaining momentum as state Del. Jon Cardin keeps slipping.

Attorney General candidates Jon Cardin (Left) and Brian Frosh

Del. Jon Cardin (left) and Sen. Brian Frosh

What Cardin has going for him is his last name. He’s counting on voter confusion and the popularity of his Uncle Ben, Maryland’s United States senator. But Jon Cardin is proving his own worst enemy. He missed 75 percent of committee votes in the legislature this year — an inexcusable act. Frosh is using this misstep to show that Jon C. is not ready for prime time.

More Criticism

An extraordinary coalition of former state senators and a councilwoman from Cardin’s own Jewish community in northwest Baltimore County and city condemned Jon C.’s failure to take his legislative duties seriously. They slammed his “lackluster career.”

Then Jon Cardin promoted an endorsement from a Baltimore-based rap artist — only to discover Ski Money is facing multiple charges of human trafficking. The candidate’s later denunciation and rejection of that endorsement just drew attention to Jon Cardin’s stumble.

Even worse, the No.1 Democrat in Maryland, Martin O’Malley, attended a Frosh event in Greenbelt and warmly endorsed the Montgomery County senator. The party’s big guns are lining up solidly behind Frosh.O'Malley endorses Frosh The state senator also has a growing advantage in fund-raising. He received strong endorsements from the Washington Post and the Baltimore Sun.

While early polls showed Cardin with a large lead, his odds of winning are rapidly diminishing.

Jon C. may yet gain the Democratic nomination, but only if people go to the polls believing they’re voting for the other Cardin.

Barry Rascovar’s writings can also be found at his blogsite, www.politicalmaryland.com.

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Racing: Green MD Industry

 

By Barry Rascovar

June 2, 2014 — Not far from my home, down a steep patch of Greenspring Avenue on the way to Glyndon, lies a glorious environmental sight — and a stark contrast between the past and present for Maryland’s horse industry.

Descending into the Worthington Valley, a broad, green panorama of horse farms reveals itself.  This is prime Maryland horse country.

As the $1.5 million Belmont Stakes approaches, with the best chance in decades to witness racing’s elusive Triple Crown for three-year-old thoroughbreds, it’s appropriate to review the state of Maryland racing.

Sagamore’s Renaissance

The vast 530-acre thoroughbred spread known as Sagamore Farm, restored to its earlier glory by UnderArmour founder Kevin Plank, dominates Worthington Valley, highlighted by Sagamore’s white painted fences and corporate training center mansion atop a distant ridge.

Sagamore Farm, training track

Sagamore Farm, training track

Far to the right lies Hunt Valley and the blueblood horse farms that have hosted the grueling, four-mile Maryland Hunt Cup timber race for 92 of its 118 years.

In the foreground, though, lies beautiful but empty barns on 100 acres of land. Their sad fate underlines the fragility of Maryland’s horse industry, just as Sagamore Farm and the Maryland Hunt Cup illustrate the strength of the industry’s future.

The empty barns used to have a sign on its gates that read “Maryland Stallion Station.” Prominent horse breeders joined together in 2003 to make the Worthington Valley once again famous for its thoroughbred champions.

Maryland Stallion Station

Maryland Stallion Station

What the owners didn’t count on was Maryland’s resistance to doing what neighboring states had done to resuscitate their horse industries: legalize slot machines and dedicate a small portion of the proceeds to rebuilding race  tracks and dramatically boosting purses — the lifeblood of the industry.

Horse owners quickly recognized there was money to be made in Delaware, West Virginia and Pennsylvania as purses soared at tracks in those states. They took their horses and left Maryland.

Meanwhile, politicians in Annapolis ignored the obvious trend and resisted legalizing slots.

Declining Racing Industry 

As a result, Maryland’s horse industry spiraled deeper and deeper into decline.

At its worst point, the state lost 80 percent of its stallions, mares and foals because of the poor business climate here.

Finally, the industry’s distress became so obvious Gov. Martin O’Malley asked his Labor Secretary, Tom Perez (now U.S. Secretary of Labor) to study the state of racing in 2007.

Tom Perez

Tom Perez

His impartial and persuasive report laid out the facts.

Citing a University of Maryland study, he wrote, “The horse racing and breeding industry in Maryland accounts for over 9,000 jobs, and has an economic impact of more than $600 million.”

“A decade ago Maryland led its neighbors in handles and purses — the amount bet on races and the prize money awarded to winners — and the number of horses being bred. These statistics are the lifeblood of the racing industry. But the introduction of slot machines in Delaware and West Virginia has resuscitated and revitalized the previously moribund horse racing and breeding industries in those states. As a result, Maryland’s horse racing and horse breeding industries have been placed at a distinct competitive disadvantage.”

Perez continued, “The economic impact of slots on the horse racing industries in surrounding states is undeniable. Slots have generated thousands of jobs in these areas, and are subsidizing other priorities, such as education and transportation. In fact, Marylanders playing slots in Delaware and West Virginia are subsidizing education and other priorities in these states to the tune of approximately $150 million per year.”

Out of State Competition

The fate of Maryland Stallion Station confirmed Perez’s findings. It couldn’t compete against breeding farms in neighboring states offering generous racing subsidies.

Who would want to breed valuable race horses in Maryland when the purses, coupled with large bonuses for locally bred thoroughbreds, were growing huge in nearby states, thanks to slots revenue?

Maryland Stallion Station barn, 2005

Maryland Stallion Station barn, 2005

The owners of Maryland Stallion Station made a valiant effort, but they couldn’t overcome the state’s lack of favorable business conditions.

They relocated their stud animals in 2008 and went out of business.

Revived By Slots

Eventually, with the booming success of Maryland Live! Casino at Arundel Mills, the state’s racing slowly started to rebound, just as Perez suggested.

Sagamore’s fortunes are proof that this formula — tying a percentage of slots revenue to the racing industry — works. Both Sagamore’s breeding and training businesses are on an upward track.

The optimism of horse owners, trainers and breeders on Preakness Day illustrated the turnaround that is taking place.

Most encouraging has been the breeding uptick at Sagamore Farm in Baltimore County, Bonita Farm and Country Life Farm in Harford County, the Rooney family’s Shamrock Farms in Carroll County and the impressive Northview Stallion Station in Cecil County.

Northview Stallion Station

Northview Stallion Station

But danger still lurks in Annapolis.

Politicians already are talking about reneging on their agreement with the racing industry and stripping away some of the slots money reviving the industry. They want the money for other, more politically appealing programs.

What these politicians ignore is the giant environmental benefits flowing from a strong racing industry. They should review Tom Perez’s findings:

Green Racing

“Horse farms occupy over 685,000 acres of land, roughly 10 percent of Maryland’s open space. Horse racing and horse breeding go hand in hand. Preserving a viable horse racing industry helps maintain horse farms and protect open space. . . .

“The importance of reviving horse racing and breeding in Maryland extends beyond merely supporting the industry. Every breeder that can’t sustain his or her business because of a declining industry means one more farm that might succumb to development pressures. Growth in Maryland will continue, and without a vibrant horse breeding sector those open spaces could become prime real estate for developers.”

Perez noted that Maryland’s agricultural land is disappearing. Between 1970 and 2005, the state lost one million acres of farms to development — one-third of the state’s farmland.

“Retaining Maryland’s agricultural land is critical to the environment, and particularly the health of the Chesapeake Bay,” he wrote.

Sprawl Buffer

“The key to keeping farmers on their land is ensuring their operations remain economically viable. . . . As Maryland’s population grows and development pressures force farmers out, protecting the state’s horse industry becomes more and more critical to sustaining the legacy of rural Maryland and maintaining a healthy environment.”

Perez concluded that the racing industry “is an important economic engine for Maryland, and provides an important buffer against sprawl development.”

The governor’s office reports that Maryland’s horse industry today is valued at $5.6 billion. The horses are worth $714 million. The farms employ 28,000 people.

It also notes this surprising fact: Maryland contains twice as many horses per square mile as Virginia, Texas, California or Kentucky.

This state’s racing traditions run deep as symbolized by the large crowds drawn annually to the Preakness and the Maryland Hunt Cup.

Maryland Hunt Cup timber race

Maryland Hunt Cup timber race

After Baltimore’s Horseshoe Casino opens late this summer, more slots dollars will flow into thoroughbred and standardbred racing purses. When the MGM Grand Casino opens in about two years at National Harbor, still more revenue will come racing’s way.

What lies ahead could turn into a grand revival for horse racing in Maryland.

Necessary Upgrades

Of course, that will depend on the ability of track owners to use slots revenue for major modernization upgrades that appeal to 21st century sports lovers.

The industry also must find a way to underwrite year-round racing. (There will be no Maryland racing at all this summer.)

Maryland’s political leaders have a responsibility to foster the growth of horse farms and high-quality racing in places like the Worthington Valley.

It’s great for the environmentl, strengthens an important agricultural business and is a sport worth saving.

Worthington Valley

Bucolic Worthington Valley

A prosperous racing industry is a decided plus for citizens of the Free State, one that politicians need to encourage, not discourage, in Annapolis.

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