Kelo coming to Texas?
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Grassroots Texans Update : 
Texas Legislatur​e Sells Texas to the Highest Bidder 
From: Updates [email protected] 


  
THE GRASSROOTS TEXANS NETWORK
 
Fellow Grassroots Texans:
 
Please see below Terri Hall's analysis of the regular session of the 82nd Texas 
Legislature.
____
 
IMMEDIATE RELEASE 
CONTACT: Terri Hall, Founder, Texas TURF, (210) 275-0640, WEB: 
http://www.texasturf.org, EMAIL: [email protected]

It's a wrap: New laws sell Texas to the highest bidder
TURF analysis of 82nd regular session of the Texas Legislature

(Austin, TX, June 3, 2011) - Texans thought they sent a message to politicians 
of all political stripes last November -- we’re fed-up with out of control 
taxation, debt, spending, and big government and politicians who proceed on 
that course do so at their own peril. While Governor Rick Perry tried to 
convince tea partiers and grassroots conservatives that he took up the mantle 
of limited government and low taxes by declaring certain pet issues as 
“emergency items” in the 82nd regular legislative session, there’s plenty of 
evidence that the Governor and the Legislature’s priorities don’t remotely 
resemble those of the electorate (the water rights heist, making Texas the 
repository for the nation’s nuclear waste, and the original ‘loser pays’ tort 
reform bill are just a few examples, many more to follow).

Whether it was Voter ID, eminent domain reform, or the sonogram bill, such 
grassroots hot button issues got watered down demonstrating it was more about 
political pandering and serving up red herrings to distract the grassroots than 
about meaningful reform. Yet, bills that had massive grassroots support, like 
ending tolling existing roads, gas tax diversions, groping TSA patdowns, and 
naked body airport scanners, all failed to pass. With all the GOP talk of 
throwing off federal government interference in Texas, the Texas Senate 
cratered to threats from the Justice Departmentto make Texas a no-fly zone if 
it passed the patdown ban. Guess all that huffing and puffing amounted to mere 
election-year rhetoric.

Texas landowners need not apply

The author of SB 18, the eminent domain bill, Sen. Craig Estes called it a 
carefully brokered deal with special interests, brokered behind closed doors 
before the session even started, and Texas property owners weren’t invited. The 
bill does NOTHING to protect landowners from having their land taken and handed 
to another private party in the name of a laundry list of ‘public uses,’ the 
cornerstone of the landmark Kelo case from which Texans remain unprotected. SB 
18 also fails to protect property owners from eminent domain for economic 
development and blight, and that’s by design based on what the Legislature had 
in store later.

Name your price & they’ll sell you Texas

A steady stream of bills to sell-off Texas infrastructure to private 
corporations flooded the pipeline during the 82nd regular session, the key bill 
being SB 1048 to authorize state and local governments to privatize virtually 
every kind of public infrastructure (except roads) and charge user fees or 
lease payments for the public to access its own buildings: schools, hospitals, 
nursing homes, water supply facilities, ports, mass transit, libraries, even 
telecommunications and pipelines.

Chair of the House Transportation Committee Larry Phillips authored the most 
sweeping public private partnership (PPP) bill pertaining to roads (HB 3789 
that never even got a hearing in Committee when the grassroots got wind of it), 
with Rep. Bill Callegari (HB 2729 passed both chambers) and Rep. John Davis 
carrying bills (HB 2432 the companion to Sen. Mike Jackson's SB 1048) for other 
types of civil works projects. In total, more than 30 bills to privatize Texas 
infrastructure were filed this session.

Apparently Texas is for sale and SB 1048 will be Katie-Bar-the-Door on selling 
off virtually everything not nailed down. The priorities of this Legislature 
are crystal clear. It's not what the grassroots have been demanding like ending 
diversions of road taxes to non-road uses. It's not cleaning up the highway 
department (they voted for a status quo Transportation Commission despite 
repeated scathing audits and sunset reports). It's not getting all of Texans' 
gas taxes back to Texas (HB 3390that died in the Senate Transportation 
Committee). It's not reining-in the $31 billion in road debt (the House caved 
in conference committee adding $3 billion more in Prop 12 debt to the budget). 
It's selling off Texas to the highest bidder, which is the MOST expensive, 
anti-taxpayer method of funding infrastructure.

TURF along with over 100 grassroots groups delivered an Open Letter(note: this 
version of letter includes only the list of groups, not individuals, due to 
file size) with 2,000 signatures (collected in just one week) to Perry and 
every single legislator putting them on notice about PPPs and transportation 
issues, yet the Legislature ignored the public opposition.

The bill was written by British infrastructure firm, Balfour Beatty, which 
doesn't sit well with a plurality of Texans who don't like the idea of foreign 
ownership of our public infrastructure. Unlike the 52 year cap on road PPPs, SB 
1048 gives no limit on the length of time a PPP can last (one example given in 
Austin was for 100 YEARS) or whether such broad authority expires.

Two anti-taxpayer provisions in SB 1048 are the fact taxpayers secure the 
private entity's debt (2267.061 (f)) and it authorizes public subsidies for 
private profits by raiding taxpayers' money through loans from the State 
Infrastructure Bank, which is currently NOT authorized in law (Sec. 2267.060 
(2)). The House voted for Rep. Lois Kolkhorst's amendment to the TxDOT Sunset 
Bill, SB 1420, to ensure the Phillips' Amendment regarding the State 
Infrastructure Bank could not lend taxpayer money to private entities (both 
amendments were later stripped). Yet, no such protection is contained in SB 
1048.

Eminent domain for private gain
PPPs represent eminent domain for private gain, which is what caused much of 
the backlash to the Trans Texas Corridor, where PPPs were the financing 
mechanism that grants these private entities the control of not just the 
facility, but the right of way/surrounding property where private companies 
make a killing on concessions. SB 1048, in Sec. 2267.001 (10) (a), grants the 
private entity rights to apurtenance, which the legal definition given by 
Merriam-Webster's Dictionary of Law is “property (as an outbuilding or fixture) 
or a property right (as a right of way) that is incidental to a principal 
property and that passes with the principal property upon sale or transfer.”

In Sec. 2267.002, SB 1048 also uses the term ‘public purpose’ (which could mean 
a shopping mall) as opposed to the stricter ‘public use,’ to ensure the taking 
through eminent domain is for a legitimate public necessity). Texans hold 
private property rights sacred, and these bills will throw gasoline on the 
Trans Texas Corridor fire that lawmakers are attempting to convince 
constituents has been extinguished. Kolkhorst's TTC repeal bill, HB 1201, 
passed both chambers but will Perry sign it?

So Texas lawmakers are basically granting government a blank check to trample 
on property rights and pick winners and losers -- who will lose their land to 
benefit another, not for matters of public necessity. If the government can 
steal your land, it’s tantamount to stealing your wealth. Who said Republicans 
aren’t socialists? PPPs are just the sort of wealth redistribution they like -- 
giveaways to their cronies and special interest friends. Democrats also like 
PPPs because it gives government more power. PPPs are a BIG step in enacting 
the U.N.’s Agenda 21 policies whose stated goal is to abolish private property 
and restrict mobility.

Sweetheart deals, government-sanctioned monopolies
Michelle Malkin called PPPs corporate welfare. Fannie Mae and Freddie Mac were 
PPPs, which required massive taxpayer bailouts. PPPs socialize the losses and 
privatize the profits that amount to horrible public policy. Such contracts are 
sweetheart deals that eliminate competitive bidding and grant 
government-sanctioned monopolies (with guaranteed profits) to the 
well-connected.

Public interest not protected, kept secret 
These contracts can be negotiated in SECRET, without financial disclosures 
(like financing, the structure of the ‘user fees’ or lease payments, viability 
studies, public subsidies, or whether or not it contains non-compete clauses or 
other gotcha provisions). There is no meaningful public access to PPPs before 
they’re signed, and the few guidelines created simply exist to advise 
governmental entities outside the public purview.

Corporations granted power to tax
Sec. 2267.057 of SB 1048 allows a private entity “to collect lease payments, 
impose user fees." This means a private entity will have the power to levy a 
tax. Ditto for PPPs for highways.

The public cannot pressure nor hold accountable a private corporation if the 
'fee' or 'tax' is too high. PPPs are the marriage of the corporation with the 
state and grants monopolies to private entities for a private rather than a 
public benefit. Such deals also violate the public trust and the fiduciary duty 
of lawmakers to protect Texas taxpayers. It’s piracy of the public’s assets, 
and state lawmakers of BOTH parties passed these bills by huge margins, 
effectively selling off what doesn’t even belong to them -- our roads and 
infrastructure belong to the PEOPLE of Texas.
SB 1048 & HB 2729 include the sale of schools and public hospitals, and since 
PPPs grant private, even foreign, corporations a right to operate and maintain 
the “asset,” it grants authority to privatize the public sector workforce now 
in place. Now decisions will be made based on private profits, not the public 
interest.

Tolls in perpetuity comin’ your way
Tolling authorities got their every wish granted this session under the moniker 
of ‘local control.’ Two bills in particular, HB 1112 and SB 19, represent a 
huge policy shift away from traditional turnpikes where the toll comes off the 
road when it's paid for to granting authority to keep tolls in place to fund 
other projects. HB 1112 by Rep. Phillips allows toll entities, in effect, to 
toll in perpetuity and use borrowed money to secure more borrowed money, the 
same multi-leveraging methods that caused the subprime mortgage crisis.

It's like building roads with credit cards, and such risky multi-leveraged debt 
also means Texans will be tolled in perpetuity by un-elected boards (with the 
exception of El Paso’s tolling authority board), making it one of the most 
anti-taxpayer bills of the session.

SB 19 by Sen. Robert Nichols, known as the 'primacy' bill, gives toll entities 
the right of first refusal on all toll projects in its jurisdiction. However, 
when toll entities exercise a right of first refusal, under Nichols' bill, they 
also get development rights for ALL future segments of the project. SB 19 also 
grants toll entities ownership of the road in perpetuity. This virtually 
guarantees tolls will be charged in perpetuity and that these projects will be 
never become non-toll roads. These two bills effectively grant a limitless 
power to tax to UN-elected toll entities.

Robin Hood tax grab
Some have dubbed this practice known as 'system financing' as Robin Hood since 
it steals toll taxes from one corridor and pledges it to another corridor (that 
those same users may not use). It can also involve increasing the toll on one 
segment to gain 'surplus revenue' to pledge to another project and so on, 
making it impossible to take tolls off the original road. The Texas 
Constitution currently prohibits perpetuities in Art I, Sec. 26, though Sen. 
Chris Harris advanced a Constitutional amendment, SJR 13(which died in the 
Calendars Committee in the House), to change that.

Toll authorities even got the right to conduct their own environmental studies, 
which is like the fox guarding the henhouse, ensuring the preferred alternative 
is always a toll road, not a free road.

No sunset on what’s wrong at TxDOT
TxDOT and toll agencies didn’t get left behind in the PPP feeding frenzy. SB 
1420, the TxDOT sunset bill, will allow 15 Texas road projects (complete list 
below) to be sold off to foreign companies, a move Texans persistently and 
loudly object to. One of the worst parts of the bill aside from ending the ban 
on various forms of PPPs, are the sweeping changes to the environmental review 
process. It allows TxDOT to grant local toll authorities environmental 
clearance under certain circumstances (1- if the project is in a Metropolitan 
Planning Organization’s plan, 2 - if the Transportation Commission says the 
project is eligible, or 3 - if the toll entity pays TxDOT for the review), even 
projects requiring federal review.
The new terms allow TxDOT to enter into an agreement with local toll entities 
and the Federal Highway Administration (FHWA) where TxDOT does the 
environmental review on local toll projects, which essentially delegates the 
environmental clearance to TxDOT under terms of that agreement (Section 
201.753). While TxDOT's environmental decision still goes to the FHWA for final 
clearance, basically, the FHWA will simply rubber stamp the determination and 
review done by TxDOT.

Federal oversight has provided one of the few ways Texans have stopped unwanted 
toll projects, including the Trans Texas Corridor. TxDOT was caught doing 
grossly inadequate studies and even fraudulent environmental studies for which 
TxDOT was eventually prohibited by FHWA from conducting the new environmental 
review on US 281. So as such a bad actor, TxDOT is the LAST agency that should 
be given the right to grant environmental clearance for toll projects.
The great property tax heist...for ROADS!

The sunset bill also expands the use of Transportation Reinvestment Zones 
(TRZs) to heist property taxes to fund transportation projects. Local 
governments can designate any area it considers underdeveloped a TRZ and raid 
the anticipated property tax increases to pay for not only transportation, but 
also virtually anything else government wants to fund as well. TRZs expressly 
grant governmental authorities to get into the business of economic 
development, yet another property rights abuse. Don’t count on your property 
taxes ever being lowered when government can sell bonds dependent on ever 
increasing property taxes. A stand alone bill with similar language to expand 
TRZ authority also passed (HB 563 by Rep. Joe Pickett).

All this coupled with the fact that we ended up with a status quo 
Transportation Commission (NO CHANGE to the governing structure of this rogue 
agency at all) and few meaningful reforms to TxDOT were adopted (after multiple 
scathing sunset reviews and audits), the entire session was a 
transportation-taxpayer nightmare and a special interest dream.

Lawmakers ‘Just Say No’ to Lemonade Stands, Roadside Vendors
After a similar bill died in the Transportation Committee, local county 
governments lobbied to ensure passage of HB 1768 that gives counties with a 
population of 450,000 or more the power to regulate roadside vendors (think 
taxes or putting you out of business), including the sale of pets, and anything 
that collects money, even your kid’s lemonade stand! At a time when Texans are 
looking for additional sources of income to help make ends meet, this is big 
government overreach when Texans can least afford it. Yet Perry and our 
politicians keep trying to convince us that Texas is the last bastion of 
freedom, limited government, and lower taxes!

A few victories
Often a session is characterized more by the bad bills that were stopped versus 
the good ones that got passed. That’s definitely the case with the 82nd regular 
session. The revolving debt bills, HB 3218 and HB 2802 that were tacked onto 
the TxDOT sunset bill, were successfully stripped out in conference. While the 
final repeal of the Trans Texas Corridor finally made it to the Governor's desk 
(HB 1201), the passage of SB 1048, HB 2729, and SB 1420 essentially revive a 
Trans Texas Corridor-style sale of Texas infrastructure through public private 
partnerships.
Aside from halting the Constitutional Amendment that would have repealed the 
ban on perpetuities, a bill to install automatic license plate readers in DPS 
vehicles failed, along with bills to take away lanes open to both autos and 
bikes and make them bike-only lanes and one to establish police checkpoints to 
verify auto insurance (‘Papers, pleez’). Then there are the bills to increase 
the gas tax, one solely dedicated not to building roads but to retiring 
mounting road debt, that also died. There are too many other bad bills to 
chronicle here, but for a full list, go the “Grassroots Action Center” 
atwww.TexasTURF.org.

The message to the grassroots is clear. Sit down, shut up, and hand us your 
money, your property, and your freedom. When elected officials brazenly thumb 
their noses at over 100 grassroots groups and fail to even respond to their 
Open Letter (aside from passing all the legislation they said ‘NO’ to and 
allowing the bills they did want passed to die), the electorate had better take 
heed and respond appropriately and demand accountability by getting their pound 
of flesh at the ballot box. After all, every single one of them is up for 
re-election next year, thanks to the census and redistricting. Anything less is 
hazardous to your freedom! 


List of Texas highways eligible to be privatized:


(1) the State Highway 99 (Grand Parkway) project (outer loop around Houston 
through Harris, Montgomery, Liberty, Chambers, Galveston, Brazoria and Ft. Bend 
counties -- click on MAP HERE);

(2) the Interstate Highway 35E managed lanes project in Dallas and Denton 
Counties from Interstate Highway 635 to U.S. Highway380;

(3) the North Tarrant Express project in Tarrant and Dallas Counties, including 
on State Highway 183 from State Highway 121 to State Highway 161(Segment 2E);

(4, 5, 6) on Interstate Highway 35W from Interstate Highway 30 to State Highway 
114 (Segments 3A, 3B, and 3C); and

(7) on Interstate Highway 820 from State Highway 183 North to south of Randol 
Mill Road (Segment4);

(8) the State Highway 183 managed lanes project in Dallas County from State 
Highway 161 to Interstate Highway35E;
(9) the State Highway 249 project in Harris and Montgomery Counties from Spring 
Cypress Road to Farm-to-Market Road 1774;

(10) the Highway 288 project in Brazoria County and Harris County;and

(11) the U.S. Highway 290 Hempstead managed lanes project in Harris County from 
Interstate Highway 610 to State Highway 99

(12) the Loop 1 (MoPac Improvement) project from Farm-to-Market Road 734 to 
Cesar Chavez Street;

(13) the U.S. 183 (Bergstrom Expressway) project from Springdale Road to Patton 
Avenue;or
(
14) a project consisting of the construction of: the Outer Parkway Project from 
U.S. Highway 77/83 to Farm-to-Market Road 1847; and
(15) the South Padre Island Second Access Causeway Project from State Highway 
100 to Park Road 100.

###

  
  
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Please be aware that Barack Hussein Obama’s grandfather was a highly respected 
witch doctor with the Luo tribe. His white grandmother was VP at the Bank of 
Hawaii and she worked with and for Peter Geithner on other projects, Peter is 
the father of Timothy Geithner, Obama's choice of Treasurer of  the US.



  



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