Arizona Politics

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The Libertarian Santa Claus

By Becky on | From girlinshortshorts.blogspot.com

Santa Claus is not exactly a libertarian icon.

How could he be? It's pretty obvious what the guy is all about. He dresses all in red, and every year gives away billions of dollars of stuff, manufactured in his workers' commune, using forced elf labor, located in an area that is in suspicious proximity to the old Soviet Union.

And now St. Nick is joining with every other corporation in asking Congress for a bailout:

But this week Santa did bring a small gift to libertarians, fiscal conservatives, small business owners and Arizona taxpayers. The Arizona Court of Appeals struck down a bit of corporate welfare that the City of Phoenix had conferred on the developer of an upscale mall.

Although, in this new age of nationalization of the economy and unbelievably massive government bailouts, a hundred million dollar municipal subsidy may not seem all that important—but these days we got to savor every tid bit of economic freedom and liberty that is dished out.

Long before the disturbing trillion dollar bailout, corporate welfare has been rampant at all levels of government.

Subsides, rebates, tax credits, guaranteed loans, and deductions are so prevalent we don't usually pay much attention. Wal-Mart is the recipient of over a billion dollars of tax refunds and rebates from various cities and towns every year.

The millionaires that play professional ball, and their multimillionaire owners, play in stadiums that are paid for with various taxes imposed by the local burghers. And if they don't pony up for the type of luxurious facility they so richly deserve, the athletes skip town in the middle of the night.

Just like we are characterized as heartless ignoramuses when we object to the recent, and coming, ineffective and counterproductive, government efforts to nationalize and bailout the economy, cranks, like myself, who have always objected to the business-as-usual corporate welfare, have been dismissed as no-growth ninnies. So it is nice that in Arizona there is an organization like the Goldwater Institute, which, since it was founded by one of the legendary homeboys, gets some begrudging respect.

The Goldwater Institute tries to keep tabs on the erosion of civil and economic liberties in Arizona, and the wasteful government handouts of our money. It is, of course, a never ending and losing battle.

Most recently the Institute got irritated about government paying the developers of a new mall in Phoenix a 97.4 million “incentive.” I was pleased it was being challenged. As much as I love the mall experience, this is just wrong—and it not only should be illegal-- it is!!!

The state constitution specifically prohibits corporate welfare. But when it comes to pork, never underestimate the politicians.

If the politicians of our great nation were as clever at dealing with the problems that face us, as they are at the distribution of pork, we would be living in a virtual utopia.

The city claims it is “renting” two hundred parking spaces at the new CityNorth Mall for drivers that carpool. They feel it is legitimate to lease parking spaces at the rate of $10,822 per year per space. After all, we all know how important it is that shoppers carpool when heading off to the mall.

Since the going rate for a parking space in Phoenix is an annual $684 this violates another provision of the state constitution which prohibits the government from paying more than market rate for goods and services.

However, even though the Goldwater Institute does have a little lingering respect in a state which used to be a bastion of libertarianism, the lawmakers aren't gonna budge on this one.

A lawsuit was filed by the Goldwater Institute and several small businesses.

And it is costing the city $10,000 a week in attorneys fees to defend their right to give handouts to some private developer.

With the state facing a budget shortfall of $1.2 billion ($20 million in Phoenix alone), one would think all of this might be pulled off the table. But no way—first things first.

And when it comes to government, the first thing is always the distribution of pork.

Anyway, the Institute lost at the trial level. Phoenix then tried to punish the whiners by asking the court to award them their attorneys fees. In a small victory for the First Amendment, the court refused to go along with that—even though everyone assumed the plaintiffs would lose on appeal.

But, on Tuesday the Arizona Court of Appeals issued a stunning reversal of the trial court's dismissal and ruled the payment unconstitutional:

“We think these payments are exactly what the gift clause was intended to prohibit.”

Clint Bolick, of the Goldwater Institute, gave due credit to the jolly old elf:

“Santa got a head start on Christmas this year...this ruling is an early present for the citizens of Phoenix. ... No longer will cities and towns be able to give away our tax dollars to pay private businesses to pursue a profit.”

However, I suspect the city will appeal and attempt to take back Santa's gift to the people.

After all, the court struck down one of the pillars of the government racket.