Carney's formal announcement of candidacy is scheduled for 2:00 PM, Monday, January 11th, at the Capitol Rotunda

BREAKING UPDATE -- the "Multiple Parties unallotment lawsuit" Temporary Restraining Order, restoring supplemental diet funding, has been certified for appeal by Judge Gearin

Contact: Bob Carney Jr. -- (612)-824-4479 -- bob@republicancontract.com

For immediate release                                                                              

Minneapolis, MN, January 8, 2010 -- Minneapolis Moderate Progressive Republican activist and political and social entrepreneur Bob Carney Jr. will formally announce his candidacy for Governor of Minnesota at a news conference, from 2:00 to 3:00 PM on January 11th, at the Rotunda of the State Capitol.

In addition to his own campaign for Governor, Carney will be seeking to work with "independent minded" State Legislative candidates of any party, or of no party.  "We need to move away from a machine-caucus, boots-on-the-ground mentality in the Legislature," Carney said.

Carney was a Moderate Progressive Republican candidate for Mayor of Minneapolis in the recent city elections, featuring ranked choice voting.  Having never run for office, with no endorsements, and spending no money, Carney received about 1,200 votes for all three rounds, based on a PR campaign (including news releases like this one), his republicancontract.com web site, and youtube.com.  "I have over 1,000 supporters already," Carney said, "and after the current campaign, I hope and expect to have many, many more," Carney added.  "But to be accurate, it isn't me these people are supporting -- it's the principles, policies, and ideas I'm advancing.  This state and this country can benefit greatly by a Republican party that rediscovers its historical roots, including the principles behind '... a republican form of government....', and also behind the Progressive movement in the early 1900's," Carney concluded.

A Minnesota Republican Governor's Contract with Voters

In 2006, Carney advanced "A Minnesota Republican Governor's Contract with Voters", as part of a campaign to return the Minnesota Republican Party to the principles of "...a republican form of government..." as guaranteed in our Federal and State Constitutions.  Carney also has a contract for State Legislative candidates, and is working on one for the Minnesota State Auditor.  This year, Carney will again be advancing the "Governor's contract", unchanged from 2006 except for the addition of point eight, regarding unallotment. 

Carney presented this contract to Governor Pawlenty at the 5th District Republican Convention in 2006.  The Governor said he would read it, and in fact he subsequently announced he would not renew the "no new taxes" pledge -- consistent with point three. 

In subsequent news releases, Carney will demonstrate how some of our current difficulties could have (and should have) been avoided if the "Governor's contract" had been followed more fully.  Today's news release takes a closer look at point two.  The contract is as follows:

A Minnesota Republican Governor's Contract with Voters

1. "Winner take all," "Take no prisoners" politics has got to stop. The Governor's job is to help the Legislature agree on a budget and a tax system that serves all Minnesotans.
    

2. Threats of government shutdown are wrong. No tax or spending bill or line item will be vetoed unless total spending increases more than 2% above inflation. Restraint below this limit is both welcome, and up to the Legislature.
    

3. The Governor will not be bound by any economic special interest pledge.
    

4. Administration is to carry out the intent of the Legislature, and serve all Minnesotans impartially and efficiently.
    

5. Because the Attorney General is Minnesota's primary elected legal officer, the Governor's office should rely on the Attorney General's office for legal advice. This is part of our 'checks and balances' system.
    

6. The Governor is not the "CEO of Minnesota." Minnesota is a State, not a corporation.
    

7. Except for vetoes of non-economic legislation on moral grounds, the Governor will not use the powers of the office to implement any personal or special interest agenda.
    

8. Each biennium must start with a balanced budget.  Unallotment will be used only after the end of the second legislative session of the biennium, and with due and full respect to Legislative intent.

2006 Campaign Retrospective and 2010 Prospective -- the "2% budget solution"

Point two of "A Minnesota Republican Governor's Contract with Voters" states:

Threats of government shutdown are wrong. No tax or spending bill or line item will be vetoed unless total spending increases more than 2% above inflation. Restraint below this limit is both welcome, and up to the Legislature.

Carney ran the numbers for Governor Pawlenty's last term, using the 2006-07 biennial budget as a base line (the 2008-09 biennial budget was the first one completed in Governor Pawlenty's second term).  Carney also ran the numbers forward to the 2012-13 budget, the first one for the next Governor, assuming 1% inflation going foward.

"I found if the Legislature had increased taxes and spending to both grow at 2% above inflation during this time span, the past and current biennial budgets would have balanced.  The current budget would have been in balance without any unallotment at the start of the biennium.  There would have been no need to use accounting gimmicks to move spending and tax revenue recognition around.  If the 2% growth had been achieved with actual past spending, and a rebuilding of the reserve, the reserve would also have fully covered the $1.2 billion projected shortfall from the November 2009 forecast," Carney said.

Projecting further forward, the budget for 2012-13 would be $38.7 billion.  This compares to a $38.6 billion 2012-13 planning budget from the Minnesota Management and Budget website. 

"Governor Pawlenty has been right in saying that for many years the growth of government has been unsustainable.  From 1960 to 2000, state general fund growth was about 10% a year, or 5.5% higher than the average inflation of 4.5% for that time," Carney said.

"It seems clear the Governor has gone too far in the other direction.  Projecting to the end of his eight years, state general fund growth has averaged 2% per year, or half a point below the average annual inflation of 2.5% during that time.  Compared to 1960 through 2000, that's a swing of a full 6% per year compared to inflation.  Such a dramatic change is frankly a shock to any economy.  I think for the last four years, and looking ahead to the next four years, an upper limit of 2% above inflation would be more reasonable," Carney said.

"However, due to what seems to be a fundamental change in our economy, we need to consider a Constitutional Amendment that will let the citizens of Minnesota decide directly, every two years, what We the People will accept as an upper limit to growth in spending and taxing.  I will be proposing such an Amendment.  Going forward, Minnesota will have to consider the rate of growth in government spending by making comparisons to what is happening in the private sector, where the economy has actually lost jobs over the recently completed decade.  Over the long run, earnings and incomes can't increase when paid for with public dollars when both are decreasing in the private sector.  That is unjust," Carney concluded.

No ruling yet on Carney's "unallotment lawsuit" preliminary injunction motion

Carney is the lead plaintiff in the first "unallotment lawsuit", Carney v State of Minnesota, currently before Ramsey County Chief Judge Kathleen Gearin.  Carney is seeking a preliminary injunction to stop the Pawlenty Administration's unallocation of the Political Contribution Refund program.  Judge Gearin's decision on the preliminary injunction motion is due on or before January 11th.  Minnesota Statute § 546.27 allows for an extension beyond 90 days by consent of the parties.