Transportation Funding

Ian Grant
11/24/2014

Transportation Funding

     An important aspect in society deals with the importance of investing in infrastructure. Although the Federal government has discussed the importance of infrastructure development, they have kept transportation funding at stagnant levels. In return, many states in 2013 decided to take matters into their own hands. Previous and current policies have/are being enacted to allow billions of dollars to be put forth towards transportation infrastructure. The importance of this issue will be heightened in 2014 as the MAP-21 reaches its expiration date.

     Though the details vary, Maryland, Massachusetts, Pennsylvania, Vermont, Virginia and Wyoming all enacted policies in 2013 that will mean billions of dollars of new funding for transportation infrastructure. More action can be expected this year, with Alaska, Iowa, New Mexico, Rhode Island and Wisconsin all examining the issue. Also, Texas will enter the polls in November to decide whether or not it should pump money from the state's rainy day funds into transportation projects. In Missouri, efforts to petition to hold a vote on a one-cent sales tax increase for infrastructure projects.

     This fall, MAP-21 - the federal legislation that decides how much the country will spend on transportation and where the money will come from - is set to expire. This means that many legislations that haven't been changed for years may be facing changes come the end of 2014. For example, the expiration happens at a time when the federal gas tax has remained the same for twenty years. Federal budget forecasters continue to warn that, the gas tax accounts that reimburse states and localities for transportation projects could soon run dry if actions aren't taken soon. The expiration of MAP-21 can pose exponential risks on policies if changes are implemented which could damage funding for those programs. In regards to infrastructure, funding for transportation could have a negative effect on states in provisions aren't made to continue funding for that program. On the other hand, the expiration of MAP-21 could allow for increases in funding for infrastructure depending on whether or not the expiration will allow for programs to increase funding limits.

     Buzz about the future of federal transportation decisions could help the issue gain traction at the state and local level. If it becomes clear Congress isn't going to do anything, it may light a fire under some of these states sparking intentions to place funding provisions in the states hands. It could encourage states to battle the Federal government upon the means of gaining similar or increased funding for for their state. 

Income Tax Revision

Ian Grant
11/23/2014

Income Tax Revision

     As states finally begin to stabilize in this post-recession economy, some of these states will look towards  making major changes to their current tax codes. One of these codes deals with income taxes. Many governors have made efforts to lower, limit, or eliminate completely the use of income taxes. We discuss previous actions made to lower income taxes and current plans to regulate or change income tax laws.

     Last year, ten governors made efforts to float tax cuts and devised proposals to lower or eliminate income taxes in their states in order to keep their states economically competitive with the rest of the nation. Three of the proposals planned to eradicate income taxes altogether. There are currently seven states that don't implement income tax. While none of the states joined those existing seven states that don't tax income, some reductions to income taxes were put forth and budget watchers expected those themes to leak into 2014 as a number of governors have again made plans to lower the income tax rates.

     Louisiana, Nebraska and North Carolina were the three states that devised proposals to eliminate their income taxes. Although they failed to eliminate their states income taxes, major efforts were made to cut down on tax rates. Nebraska established a commission to study the income tax issue. North Carolina Republicans were able to shift to a lower, flat income tax. The actions of North Carolina were watched by GOP legislators across the U.S., so further actions towards reducing/eliminating income taxes are expected in 2014.

     Economical constraints and tepid growth have caused increases in interstate competition. States compete for the lowest tax rates and as neighboring states reduce their rates. Others will attempt to match or reduce even further to stay ahead of their neighbors. This is a healthy competition that both lowers rates for citizens as well as aids in the rebuilding of a state's economy through competitive cuts on taxes.

Midterm Elections: Voter Turnout

Ian Grant
11/5/2014

Voter Turnout

     Voting in America is a civic duty for all citizens. It is our job to shape our futures and one way to do that is through voting. This allows for normal people to have a voice in government and to have a say in what laws and regulations get passed into office. Yesterday marked the day of the midterm elections in the U.S. and records show that this year has been one of the lowest midterm turnouts in history. The midterm elections were horrific for many states except for twelve in regard to turnout. Many expected a major decrease this year but the result were worse than expected.

     Voter turnout is has always been an issue for the U.S. around election time, particularly among the young adults ages from 18 through 30. Statistics from the Tuesday's elections show that amongst all of the voters, only 13% were under the age of 30. This is crippling voting results because the youth under 30 greatly outnumber those above the age of 30 yet less youth show up to vote. Another huge issue has to do with the non voters that didn't participate in the recent elections. According to the United States Elections Project:

"Nonvoters are also more racially diverse than the voting population and are less educated. More than 40 percent of likely nonvoters in the 2014 elections identified as Hispanic, black or other racial/ethnic minorities, compared with 22 percent of likely voters. While most voters (72 percent) have completed some college, nonvoters are more likely to have never attended college." 

http://www.usnews.com/news/blogs/data-mine/2014/11/05/midterm-turnout-decreased-in-all-but-12-states

Santa Clara county suffered a huge loss in turnout this year. An estimated 9.9% showed up at the polls on Tuesday and almost all that showed up were veteran voters above the age of thirty. Minority votes in Santa Clara were extremely lacking as well.

     The democratic party suffered heavy losses with the previous elections as well. Studies have shown that populations who are more likely avoid polls are those mostly likely to vote for a Democrat, which presents a challenge for the Democratic party and its candidates. The loss of turnout is said to have been one of the reasons why the Republicans gained control of the Senate. The loss of votes for the Democrats during the election far outweighed their gains and the Republican party pulled ahead with less loss due to more turnouts for their party.
     
     Compared to the 2010 midterm elections, turnout for this year makes much more sense in comparison to the presidential elections. The 2010 elections only had a voter turnout of 40.9% while in 2014 we only had a 36.6% of eligible voter show up for the polls (United States Elections Project). Turnout numbers in Washington, Delaware, Missouri, South Dakota, California and Indiana all dropped by more than ten percentage points between 2010 and 2014. Although some states made gains in voter turnout (Nebraska, Wisconsin, Louisiana, Maine, to name several), most states dropped. Only twelve states turned out a higher percentage of eligible voters this year than in the last midterms.