POST-HOGAN JUICE: Sen. Pinsky & Dems Decry Comcast Jab, Middle-Class Woes, Change MD, Progressive Caucus & More!

Below Maryland Juice provides a quick round-up of election analyses and discussion of life after Larry Hogan's victory in the gubernatorial race:

JUICE #1: SENATOR PAUL PINSKY & FRESHMEN HOUSE DEMOCRATS DECRY "WACKO" LABEL AND DEFEND EFFORT TO END CORPORATE TAX DODGING - Immediately after Larry Hogan's win in the Governor's race, Maryland Reporter wrote that Comcast lobbyist Sean Looney called incoming Freshmen Democrats "anti-business" and said Democrats who want to end corporate tax-dodging were "far-left wackos." The comments struck a nerve with numerous lawmakers and Looney has since apologized, but not before two response pieces from Democrats were published.

State Senator Paul Pinsky of Prince George's County drafted a strong op-ed in The Baltimore Sun noting that ending corporate tax loopholes through a practice called "combined reporting" is anything but wacky (excerpt below):

PAUL PINSKY (VIA BALTIMORE SUN): At a Chamber of Commerce luncheon talk right after Larry Hogan's victory, Comcast lobbyist Sean Looney derisively dismissed ongoing legislative efforts in Annapolis to pass a corporate tax loophole-plugging reform known as "combined reporting."

"The far left wackos in the Democratic Party think it's a great idea," Mr. Looney told his high-powered business audience. Nearly a majority of Maryland's Senate — apparently the "far left wackos" decried by Mr. Looney — want to stop huge corporations like Comcast from charging their business expenses to their Maryland operations while shifting their profits to subsidiaries or companies incorporated in low- or no-tax states....

It seems this tax scheme is popular among the big boys doing business in our state. Our Maryland comptroller's office reports that many multi-state, multinational companies pay less in corporate tax than you and I pay in personal income tax. This tax avoidance garners these big corporations a major competitive advantage over Maryland's small businesses — and costs our state over $100 million in lost revenue annually.

We must have a good many such wackos in America today. Over half our states with corporate income taxes — 24 states in all — already have combined-reporting laws on the books. And these combined-reporting states include Texas, Utah and a host of other hotbeds of far-left wacko-ism....

Meanwhile, incoming Freshman Delegate Cory McCray of Baltimore organized a sign-on letter from 17 Democratic Delegates-elect (myself included) responding to Comcast's commentary. The response was published at Maryland Reporter (excerpt below):

17 FRESHMEN DELEGATES (VIA MARYLAND REPORTER): It was with a mixture of amusement and frustration that we awoke days after our new election to the General Assembly to read that you, the lobbyist paid by Comcast to work with us, had attempted to publicly insult us and demean our ideas....

We will not use this time to debate the substance of your grievance, which seemed to be that combined reporting is a radical idea, even though numerous states (many with Republican legislatures) have passed similar legislation in recent years. We look forward to discussing the value of combined reporting, as well as any benefit Comcast receives from government programs and services, with you and your client....

Shelly Hettleman, Terri Hill, Clarence Lam, Vanessa Atterbeary, Marc Korman, Andrew Platt, Marice Morales, David Moon, William Smith, Daryl Barnes, Antonio Hayes, Charles Sydnor, Patrick Young, Cory McCray, Brooke Lierman, Diana Fennell, Jimmy Tarlau

JUICE #2: NATIONAL PUNDITS HIGHLIGHT WAGE STAGNATION AS OBSTACLE TO ECONOMIC RECOVERY & DEMOCRATS' ELECTORAL FORTUNES - Soon after Larry Hogan won Maryland's race for Governor, Maryland Juice concluded that the biggest failure of state Democrats' was in missing the populist tide sweeping through the electorate. I then penned a piece calling on Maryland Democrats to prioritize measures to provide economic security for middle and working class residents, instead of joining the GOP and Big Business call for trickle-down (aka voodoo) economic measures like corporate & upper bracket tax cuts.

PAID SICK LEAVES WINS WHERE GOP BEAT DEMOCRATS: There is now a loud clamor of agreement from national pundits and economic analysts that Democrats have got to craft a strong economic populist message and start tackling our historic wealth gap. See a few examples below, starting with a case study from Massachusetts, where Republicans won control of the Governor's mansion -- at the same time that 60% of voters in the state approved a sick leave requirement at the ballot:

DAVE JAMIESON (VIA HUFFINGTON POST):  Massachusetts on Tuesday became the third state in the nation to guarantee paid sick days for workers, with voters decisively approving a sick-leave ballot initiative, 60 percent to 40 percent....

Although more employers voluntarily provide paid sick leave than they used to, the Bureau of Labor Statistics estimates that about 39 percent of the U.S. private-sector workforce has no paid sick time. Workers without it are disproportionately employed in lower-wage jobs, such as food service and retail, where companies tend to keep a tighter grip on payroll hours....

As with raising the minimum wage, Americans in general seem to back the idea of placing a sick-leave requirement upon businesses, making such proposals good fodder for voter referendums. In a recent HuffPost/YouGov poll, 74 percent of respondents said they would support such a mandate, while just 18 percent said they would oppose it. That backing included majorities of Democrats, Republicans and independents....

WAGE STAGNATION HURT DEMOCRATIC ELECTORAL FORTUNES: The Democrats' recent electoral drubbing has pundits pointing to working class economic justice issues as the greatest challenge for the Party in coming years:

DAVID LEONHARDT (VIA NY TIMES): The Democratic Party’s short-term plan to help the middle class just isn’t very clear.... The fact remains that incomes for most Americans aren’t growing very fast and haven’t been for years. Median inflation-adjusted income last year was still $2,100 lower than when President Obama took office in 2009 — and $3,600 lower than when President George W. Bush took office in 2001.... We’re living through the great wage slowdown of the 21st century, and nothing presents a larger threat to the Democrats’ electoral fortunes than that slowdown. The Democratic Party fashions itself as the defender of working families.... But if Democrats can’t deliver rising living standards, many voters aren’t going to remain loyal. They’ll skip voting or give a chance to Republicans who offer an alternative, even a vague alternative....

HILLARY CLINTON NEEDS A REAL RESPONSE TO MIDDLE-CLASS WOES: The place where we're seeing this debate become increasingly relevant is in the upcoming Democratic Primary for the 2016 Presidential Election. Hillary Clinton, who is notoriously close to the party's Wall Street and industry backers, may have to sing a different tune to secure the White House:

ALBERT HUNT (VIA NY TIMES): It won't be sufficient to run on competence, breadth of experience.... [Hillary Clinton] needs an innovative, or even bold approach... to dealing with middle-class economic stagnation and income inequality....

LOW-INCOME VOTERS CHOSE GOP OR DIDN'T VOTE: Indeed, data from the November General Election shows that these bits of advice are not just speculation, they're backed by evidence:

JONATHAN MARTIN (VIA NY TIMES): Sifting through returns showing that lower-income voters either supported Republicans or did not vote, liberals argue that without a more robust message about economic fairness, the party will continue to suffer among working-class voters, particularly in the South and Midwest....

“Too many Democrats are too close to Wall Street,” said Senator Sherrod Brown of Ohio. “Too many Democrats support trade agreements that outsource jobs, and too many Democrats are too willing to cut Social Security — and that’s why we lose elections.”

Mr. Brown said he had talked to over 60 Ohio Democratic leaders and activists since they were trounced in every statewide election. “The message I heard from all of them was: The Democratic Party should fight for the little guy,” he said....

Progressives pointed to three Democrats who ran as populists as models for success: Senator Al Franken of Minnesota, Senator Jeff Merkley of Oregon and Senator-elect Gary Peters of Michigan.

Mr. Merkley, who focused on the loss of well-paying jobs, the cost of college tuition and opposition to trade deals that he said sent jobs overseas, won by 19 percentage points. While Democrats nationally lost whites without a college degree by 30 percentage points, Mr. Merkley narrowly carried that bloc....

Many liberals believe that the disconnect between the politics of the party’s grass roots and the message coming from Democratic administrations has left blue-collar voters unenthused. “We do not have to struggle for an agenda that connects with working-class voters,” said Representative Rosa DeLauro, Democrat of Connecticut. “We have an agenda that does that, but it does not get vocalized at the top....”

S&P ANALYSIS SAYS WEALTH GAP IS HURTING ECONOMIC RECOVERY: And while some Democrats continue to insist that economic populism is bad for business, the evidence actually points to the opposite conclusion. Indeed, trickle-down economics has never worked, and that fact has not changed today. In fact, S&P analysts seem to believe that caving to the millionaire & corporate tax cut crowd is hurting America's economic recovery and dragging down state revenues. Where is the courage?

JOSH BOAK (VIA WASHINGTON POST): The widening gap between the wealthiest Americans and everyone else has been matched by a slowdown in state tax revenue, according to a report being released Monday by Standard & Poor’s.

Even as income has accelerated for the affluent, it has barely kept pace with inflation for most other people. That trend can mean a double whammy for states: The wealthy often manage to shield much of their income from taxes. And they tend to spend less of it than others do, thereby limiting sales tax revenue.

As the growth of tax revenue has slowed, states have faced tensions over whether to raise taxes or cut spending to balance their budgets as required by law. “Rising income inequality is not just a social issue,” said Gabriel Petek, the S&P credit analyst who wrote the report. “It presents a very significant set of challenges for the policymakers.”

Stagnant pay for most people has compounded the pressure on states to preserve funding for education, highways and social programs such as Medicaid. The investments in education and infrastructure also have fueled economic growth. Yet they’re at risk without a strong flow of tax revenue....

S&P’s analysis builds on a previous report this year in which it said the widening gap between the wealthiest Americans and everyone else has slowed the U.S. economy’s recovery from the Great Recession. Because consumer spending fuels about 70 percent of the economy, weak pay growth typically slows economic growth....

U.S. VOTERS BACK INFRASTRUCTURE SPENDING AT THE NOVEMBER BALLOT:  Policymakers would be short-sighted to think that Republican wins at the ballot reflect a desire to gut infrastructure spending. In fact, several states (Maryland included) had infrastructure spending measures on the ballot this November, and the message is loud and clear:

FAWN JOHNSON (VIA NATIONAL JOURNAL):  ...both Republican and Democratic lawmakers agree that dedicating money to infrastructure is one of the best ways to boost the economy....

Last week's midterm elections showed that the willingness to set aside money for transportation extends to the voting public. In Hawaii, California, Rhode Island, Texas, Wisconsin, and Maryland, voters approved ballot initiatives to secure funding for water resources, roads, and transit. In Texas, 81 percent of voters approved a measure to dedicate half of the state's oil and gas revenues to a state highway fund, as long as that money isn't going to tolled roads. Maryland and Wisconsin voters approved "lockbox" initiatives to make it harder to take money out of the state's transportation coffers. Rhode Island voters gave a thumbs-up to bond initiatives for infrastructure. California voters, facing one of the most severe droughts on record, gave the OK to more than $7 billion in general obligation bonds to shore up the state's water supply.

"The outcomes of these elections demonstrate that Americans value well-maintained infrastructure and are willing to make the investment," said American Society of Civil Engineers President Robert Stevens.

U.S. SENATE DEMOCRATS RESPOND TO ELECTION LOSSES BY GIVING ELIZABETH WARREN A LEADERSHIP SPOT: At the national level, U.S. Senate Democratic leaders have responded to these challenges by giving economic populists a larger say in the Democratic Caucus. They recently elevated liberal Senator Elizabeth Warren to a leadership post. Will Maryland Democrats follow suit?

AMANDA TERKEL & RYAN GRIMM (VIA HUFFINGTON POST):  Sen. Elizabeth Warren (D-Mass.) gained a leadership position in the Senate Democratic caucus Thursday, giving the prominent progressive senator a key role in shaping the party's policy priorities.

Warren's new role, which was created specifically for her, will be strategic policy adviser to the Democratic Policy and Communications Committee, helping to craft the party's policy positions and priorities. She will also serve as a liaison to progressive groups to ensure they have a voice in leadership meetings and discussions, according to a source familiar with the role....

JUICE #3: CHANGE MARYLAND? // PROGRESSIVE MARYLAND & ACTIVISTS LAUNCH CAMPAIGN TO PRIORITIZE ECONOMIC JUSTICE ISSUES - It seems clear that Maryland progressives are getting fired up after the Democrats' recent electoral losses. The message moving forward is obviously that its time for the Party to start focusing on poor and working class Marylanders. Maryland Juice recently received the following event invitation from Progressive Maryland announcing a new campaign to move this message forward (details below and at www.newrulesmd.tk):

LARRY STAFFORD (VIA PROGRESSIVE MARYLAND): Yesterday I came on board as the Deputy Director for Progressive Maryland. After years of progressive activism that has included work with Project Vote, the New Organizing Institute, and with Heather Mizeur's campaign for Governor, I'm looking to bring my skills and experiences to build on the successes of this great organization. With last Tuesday's results in mind, Progressive Maryland is issuing a call to action for all progressives in the state to begin organizing and mobilizing for this upcoming legislative session. On November 18th at 7pm, we will be hosting an event to kick-off our upcoming organizing efforts.

It has become clear. The status quo in Maryland politics is no longer acceptable. Many of our elected leaders have become disconnected from the voters that they have been elected to serve. Maryland's political leadership has found its opportunities to be progressive on important social issues, but has failed to speak to the economic plight facing poor and working families in Maryland.

Conservatives win when we are not boldly and clearly articulating our message of economic justice and fairness. They repeat dishonest messages that are designed to arouse the frustrations of the neglected communities of our State. They speak boldly of the problems that face poor and working families, but offer no real solutions that will create good paying jobs that uplift our communities....

When: November 18th at 7pm
Where:  4371 Parliament Pl Lanham, MD

JUICE #4: A PROGRESSIVE DEMOCRATIC CAUCUS IN MARYLAND - As pundits continue to ponder Maryland's recent election results, one thing is clear: the Democratic Caucus is now much more progressive. Barry Rascovar recently discussed the developments at Maryland Reporter (excerpt below):

BARRY RASCOVAR (VIA MARYLAND REPORTER): Hardly noticed in the Nov. 4 election that saw Anthony Brown wiped out in an embarrassing avalanche of rejection was the obliteration of the Democratic Party’s moderate-conservative wing in Annapolis. Gone is Southern Maryland Sen. Roy Dyson. Gone is half-century veteran Baltimore County Sen. Norman Stone (retirement). Gone is a Howard County fixture, Sen. Jim Robey (retirement).

Also out of luck, conservative Western Maryland Del. Kevin Kelly, moderate Western Maryland Del. John Donoghue, conservative Baltimore County Dels. Mike Weir, Jimmy Malone (retirement), Steve DeBoy (retirement) and Sonny Minnick (retirement), moderate-conservative Del. Emmett Burns of Baltimore County (retirement), Eastern Shore Committee Chairman Del. Norm Conway, Cecil County Del. David Randolph, Southern Maryland Dels. John Bohanan and Johnny Wood (retirement), Harford County Del. Mary-Dulany James, and Frederick County Del. Galen Clagett (retirement).

The Democratic Party’s fulcrum in the State House now is dangerously weighted to the strident left. The party’s center-right legislators have shrunk to a handful.

It’s tough even coming up with who you’d place in that category in the House of Delegates once you get beyond House Speaker Mike Busch.  You can count less than 10 moderates still left in the Senate, including President Mike Miller — Charles County’s Mac Middleton, Frederick’s Ron Young, Anne Arundel’s John Astle and Ed DeGrange, Ocean City’s Jim Mathias, Baltimore County’s Jim Brochin and Kathy Klausmeier....

Rascovar calls this development "dangerous," but that seems like centrist spin. Believe it or not, many progressives (myself included) are outcome-oriented individuals and prioritize moving good policy over partisan politics. And while the GOP believes tax cuts will help ordinary Marylanders, progressives believe there are other was to help the middle-class. But the key commonality is that (if you take the GOP at their word), both the far right and far left are trying to help ordinary Marylanders. That may not be true of powered and institutional interests, and it presents an interesting opportunity to get things done in the future. Unfortunately, much of the pundit class is posing this question to liberal Democrats, but I think it is just as fair to pose this question to incoming GOP Governor Larry Hogan. Is he willing to play ball?

JUICE #5: MARYLAND JUICE & RED MARYLAND'S BRIAN GRIFFITHS DISCUSS THE NOVEMBER ELECTIONS AND LIFE AFTER LARRY HOGAN: Maryland Juice (aka David Moon) recently appeared on WNAV radio with our frenemy Brian Griffiths at Red Maryland. We talked about the recent election results and what the future of Maryland politics might look like with a Republican Governor. You can listen to the three-part radio interview below: