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Welcome to Kansas, the bastion of how not to run a state, but claim things are just dandy.  I noted in a prior blog that Kansas has no reserves.  And apparently a $350 million deficit in 2016, a continuing trend for a number of years now.  And bigger deficits to come.  Kansas is the poster child of why cutting taxes a lot does not work.

How did they get here?  The state governor and legislature decided that cutting taxes spurs economic growth.  So if you cut a lot of taxes, you get lots of growth. They cite the Laffer curve, a  totally discredited economic tool drawn on the back of a napkin  by Arthur Laffer at a 1974 dinner to argue why Gerald Ford should not raise taxes.  On the face of it it makes no sense but that has not stopped supply side politicians from using it for nearly 40 years  to cut taxes.  The problem, it is wrong.

Cutting taxes does not spur enough economic growth to make up for the loss in taxes when you go down the Kansas role.  If you s cut them too much, it is really hard to raise them if you run short.  The result is that  economic growth in most of Kansas will be stunted for years due to the lack of investment in Kansans.  Now you would think that Kansans would be up in arms about the poor stewardship by elected officials. But no.  See if you get constant bad news, just stop reporting revenues and deficits.  No news is good news right?  Welcome to Kansas!

http://www.governing.com/topics/finance/gov-kansas-connecticut-budget-news.html

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In my last blog I introduced our ethics project we hope to make progress on.  But here is one of the interesting questions, especially in Florida.  I could not find any actual laws or rules issues here, but it is increasingly common for big engineering contracts to have lawyers, lobbyists, etc. get involved in what is intended to be a qualifications based selection process? There is an interesting issue raised in 287.055 FS (CCNA) where the legal intent is that governmental agencies “shall negotiate a contract with the most qualified firm for professional services at compensation which the agency determines is fair, competitive, and reasonable.” Most states use credentials and qualifications for selection as opposed to cost, because the lowest cost may not get you the best job.  You want people doing engineering that have experience with the type of project you are doing.  This has come up to me with storage tanks, membrane plans, deep wells, etc.  You want someone that has done it before, not someone who is cheaper but hasn’t. There is too much at risk.

In addition the statute is fairly specific about contingent fees (as are most states):

Ch 287.055  (6) PROHIBITION AGAINST CONTINGENT FEES.—

(a) Each contract entered into by the agency for professional services must contain a prohibition against contingent fees as follows: “The architect (or registered surveyor and mapper or professional engineer, as applicable) warrants that he or she has not employed or retained any company or person, other than a bona fide employee working solely for the architect (or registered surveyor and mapper, or professional engineer, as applicable) to solicit or secure this agreement and that he or she has not paid or agreed to pay any person, company, corporation, individual, or firm, other than a bona fide employee working solely for the architect (or registered surveyor and mapper or professional engineer, as applicable) any fee, commission, percentage, gift, or other consideration contingent upon or resulting from the award or making of this agreement.” For the breach or violation of this provision, the agency shall have the right to terminate the agreement without liability and, at its discretion, to deduct from the contract price, or otherwise recover, the full amount of such fee, commission, percentage, gift, or consideration.

So here is the question:  As the public becomes more aware of these types of political lobbying activities, does it move the perception of engineers away from a profession and more towards profession toward developers, lawyers and others who are often seen as less ethical than perhaps engineer, doctors, educators, and scientists?  And if so, is this good for either the engineering profession or the local governments (and their utilities) involved in the selection process?  The comment that “that’s how business get done” is not an acceptable argument when the priority purpose of engineers, and utility operators is the protection of the HEALTH, SAFETY AND WELFARE OF THE PUBLIC.  Somehow I think the politicizing of engineering contracts does not help our profession.  Looking forward to your thoughts.

 


My apologies for being offline for a month. It has been very busy.  I got back from Utah, and it was tests, reports, etc.  Then Thanksgiving – we went to Disney for my stepdaughter.  Then the Florida Section AWWA conference, then student final design presentations with President Kelly present for some of it, then finals, then a trip to the west coast, then posting grades, then it’s now.  Crazy.  And my kitchen is being worked on -see the photos of what is left of it.   Not much, and Christmas is how far away.  Yikes.  At least the wrapping and chopping are 99% done!

In the meantime a lot has happened.  Congress cut SRF funding, but passed the transportation bill.  They passed WITAF, but provided minimal funding.  The debates roll on.  A recent South Park episode is all about illegal immigrants from Canada escaping, then there is a wall built, by the Canadian so t hose who left don’t come back, and then we find out who the new president in Canada looks like… well you just have to watch and be scared.  Very scared.  If you do not follow South Park, well you are just missing it.

Russia had a plane brought down by an apparent ISIS bomb.  The Egyptians deny it.  Too much arguing about was it or wasn’t it to garner much of an outcry.  Best wishes to the friends and families of the victims.  Then France had their 911 event sponsored by ISIS, and most of the world is sending their best wishes to the victims, the victims families and the French population.  In such events, most of the world comes together.  Everybody was French for a day.  Best wishes to the friends and families of the victims. Then the couple in California.  Best wishes to the friends and families of the victims. But it raises a very disconcerting question, and one fraught with far too many xenophobic concerns as ISIS and their allies like the Taliban, Boko Hiram and others continue to reign terror and violence on the rest of the world.  The xenophobic response will be – whom do we trust in the Muslim world?  If you don’t believe in blowback, listen to the debates.  One commentator points out the xenophobia may actually help ISIS (Donald are you listening?).  LOL – of course not.  But utilities should expect another round of security costs and analyses in the future.

The Florida Section conference was great.  The venue was great (Renaissance at Sea World).  The program garnered a lot of buzz and comments.  Who knew at a water conference that potable reuse would be the big topic?  I also won two awards at the Florida Section conference – a best paper award and the Alan B. Roberts award for Outstanding Service by a member.  Wow!!  I am humbled.  A lot of great utility folks were present at the FSAWW conference.  It is a great event for the water industry (that includes wastewater, storm water etc.).  The technical program is designed to be good, timely and useful to those that attend.  While all utilities struggle with costs, please make time to send your folks if possible.  The training cost is reasonable for what you get and who you meet.

My students did well on tests and presentations.  President Kelly was impressed with their presentations and projects at the Dean’s Design Showcase.  We have never had the Dean at student presentations, let alone the President of the University.  My sincere appreciation to him, his staff and those that made it happen.  The students were pleased and impressed.  And they are getting jobs easily.  You can tell people are building and working on infrastructure as most of the graduates get jobs right away, if they don’t have them already.

Grading and the west coast went well.  The Fort Myers News Press-Sunday Headline was “Where has all the water gone” – a discussion on how groundwater is depleting across the country including south Florida which gets 60 inches of rain.  But the article points out what that climate, rainfall, recharge and other factors have been altered in south Florida as a result of development.  We really do make an impact and it is affecting utilities today. This follows another article last week on depleted groundwater around the world.  I have lots of photos in my travels from the air – groundwater use is highest where surface waters are limited – i.e. dry areas.  Except in dry areas, the groundwater does not recharge.  I had a student do a project for his master’s degree that estimated that groundwater depletion is a measureable percentage of sea level rise.  More to come on that.

Next the kitchen.  I will post photos in another blog.

As I said, a busy month.

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