Marylands governor-elect Bob Ehrlich has a great
idea: sell off state-owned properties. The bad news is,
he wants to use the money to plug a $1.8 billion budget
shortfall rather than give it back to taxpayers and
reduce the size of state government.
Maryland is among the most socialistic states in the
Union. Like New York and California, it boasts a massive
welfare state and progressive gun control
(and one of the highest crime rates in the country, but
thats another story), and its representatives to
Congress are some of the most left-leaning in the
country. Not surprisingly, Marylands bloated
bureaucracies and myriad government programs are
suffering in the recent economic slowdown as state
leaders in Annapolis scramble to fill the coffers of a
$21 billion leviathan.
As a result, soon-to-be governor Ehrlich is taking
inventory of all state-owned assets, such as buildings
and land, to be considered for auction to raise the funds
needed to fill the gap between the states current
tax revenues and its expenditures. According to the
Washington Times, Ehrlich believes
hundreds of millions of dollars could be raised by
selling assets ranging from underused parcels of land to
the 28-story William Donald Schaefer Tower ... in downtown
Baltimore. All options are on the table once
the inventory is complete, said Henry Falwell,
Ehrlichs spokesman.
Not surprisingly, even the states Democrats appear
to be on board with the proposal. The Times
reports, Mr. Ehrlich has ruled out raising income
or sales taxes to address the shortfall, meaning he will
have to cut state programs drastically or find other
sources of revenue. At a time when many families
are struggling to make ends meet like never before, even
tax-happy leftists recognize a good thing when they see
it. The mean old Republican governor will take the blame
for auctioning off highly valuable property (Maryland
owns approximately 60 million square feet of office space
and tens of thousands of acres of land, which has many
potential developers salivating), while the welfare state
can remain intact without raising taxes or reducing
government spending. Its a win-win, if you like big
government.
The trouble is, a great idea is being used to the wrong
end. Without a doubt, the state of Maryland (like so many
others) could do without an overwhelming majority of its
current possessions, and in good times it would take a
very brave political leader indeed to talk about selling
off government-owned property. In trying times, however,
politicians are signing on to the idea just to preserve
the status quo of the welfare state.
Ehrlich ought to be using this as an opportunity to show
Marylanders the burden that socialistic ideals have
placed on their shoulders, which could be removed
precisely by eliminating welfare-state programs. Instead,
hes staving off the collapse of socialism in his
own state with a dose of political entrepreneurship,
which is kind of like the Soviet Unions use of
private farming to make up for the tragic failure of
collectivized agriculture. This behavior shouldnt
be applauded; it ought to be called what it is:
deceptive. If the economy continues to take a nosedive,
what does the governor intend to do then? Dont bet
hell take that opportunity to promote the
blessings of limited government, the free market, and
individual liberty. Then it will be time to raise taxes.
If political leaders want to talk about reducing the
amount of property owned by the government, Americans
should sit up and take notice, and give them 100 percent
support. That is an excellent way to reduce the size and
influence of government and to return tax dollars to the
people who pay them. But when the motive is to pay for
all the failed government programs that bleed and
drain taxpayers of their hard-earned cash, and worse,
when it is done with the explicit intention of
maintaining those programs, its just
another political ploy designed to fool the people long
enough to win the next election.
Selling off the state should be part of a larger strategy
designed to return as much property as possible to
private hands, remove government obstacles to economic
growth, reduce expenditures, and ultimately lower the tax
burden on the individual citizen. State property was paid
for by the people, and its sale should mean the return of
that money to their pockets. It should not be used to
cover the unpaid bills of the very welfare state that is
the source of so many of their ills.
Scott McPherson is policy advisor at The Future of Freedom Foundation in Fairfax, Va.
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