Kentucky Club for Growth
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November 17, 2008

Beshear's Internet Folly UPDATE

Over the past months, we have followed the developments in Governor Beshear's fanciful attempt to regulate the Internet at the state level.  We explained how his plan to seize domain names would be a horrible precedent, suggesting that each state in the country has the authority to censor what it does and does not like on the Web, leading to myriad, complicated, burdensome regulation of a technology so important to modern commerce.  We have reported on the liberal media's blind love for regulation, our bewilderment with the backwards ruling of the usually dismal Franklin County Circuit, and our expectation of a wave of litigation against the state due to this folly.

Well the wave has come and where the case was formerly a sideshow, now it is serious.  The Court of Appeals has stepped in to take the case away from the embarrassing Franklin Circuit and Attorney General Jack Conway can't extricate himself from this foolishness fast enough, as Mark Hebert reports:

One of the internet gambling companies being sued by the state, Interactive Media Entertainment, has filed a motion to include the AG as a party to the lawsuit. Jack Conway said thanks, but no thanks, in a response to that motion filed in the Court of Appeals. The appellate judges are scheduled to hear the case next month. A Franklin Circuit Judge has ruled that Kentucky has the authority to keep internet gambling outfits from doing business in the state but the companies have appealed.

In his office's response, Assistant Attorney General Lisa Lang wrote that the Attorney General clearly had the authority to file such a lawsuit against the internet companies. But Lang wrote that he didn't, and couldn't be dragged into one through a motion filed by one of the defendants.

Jack Conway knows better, and his disinterest exposes what a waste of time Beshear's litigiousness has been.

The private law firm has apparently spent close to one million dollars betting on-line, to use as proof in the lawsuit. But the only way Hurt, Crosbie and May gets paid is if damages are assessed. And they'd get 20% of the haul. But the chances of getting any monetary damages out of the internet companies would appear to be pretty slim unless they're threatened with some kind of criminal charges. And it would seem that Kentucky's Attorney General would be the one to do that.
 

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06/23/09 : Session Could Finish Tonight; KEY VOTES

06/22/09 : KEY VOTE: HB 1

03/11/09 : Key Vote: HB 236 - Taxing IPTV

03/09/09 : Key Vote: HB 102 - Tolls

03/09/09 : Key Vote: HB 374 - Gas Tax Hike

03/03/09 : Key Votes: Some Good Legislation

03/03/09 : Key Votes: Driving Businesses Out of Kentucky

Drees: Raise gas tax to fund bridge - Pat Crowley, NKY.com

Ky. House nears tax vote - Pat Crowley, NKy.com


Donor records might have similarities - Lexington Herald-Leader

Club for Growth launches in Oregon

The Kentucky Club for Growth is proud to announce its 2007 scorecard rating members of the Kentucky General Assembly on fiscal issues.

How did your legislators do?


Club for Growth eyes spending - by Patrick Crowley, The Enquirer

Political group taking on state - by Stephenie Steitzer, Kentucky Post


Ky. jobless rate hits 11 percent - Courier-Journal...

The Governor's Budget Proposal
This is a reposting of the first article of email update sent out earlier today.  If you don't receive them, you may want to sign up.Here's the Governor's proposal:$147.1 million in spending cuts $81.5 million from a 70-cent cigarette tax...

$373 Million in Cuts
Governor Beshear has told agencies to plan for 4% budget cuts, suggesting that he's either expecting to raise taxes, or not expecting the $456 million shortfall to materialize.  4% of FY 2009 appropriated spending is only $373 million....

Governor Announces Administration Exploring Cuts, Taxes
Governor Steve Beshear announced that he is expecting a $294 million budget shortfall and is going to gauge public reaction before making a specific proposal to address it in December.  Cuts and taxes are on the table.Waiting until December is...

Strapped
The media is so sure there's a revenue problem, that it's hard to even fathom that the reality is that state revenue is increasing.

Business Tax Climate
We're #34 according to the Tax Foundation's 2009 State Business Tax Climate Index.

Financial Troubles
"The Negative Outlook reflects plans to continue to deplete fund balances and virtually drain the budget reserve trust in the current biennium. Further, Fitch remains concerned about the weakened pension funding levels and the commonwealth's rising debt position as an additional $1.65 billion in debt has been authorized for the biennium."

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