Skip to main content

Spending It Like They Stole It


When does government have the right to spend taxpayer money? Or perhaps, more pressingly, when should the government be forbidden from spending taxpayer money? 

1889 Institute has previously written on the issue - developing five questions that should be asked before any government entity spends a single dime. These questions are: 

1. Is a program or agency consistent with the mission of Oklahoma’s state government? This purpose was spelled out in our state constitution: “Invoking the guidance of Almighty God, in order to secure and perpetuate the blessing of liberty; to secure just and rightful government; to promote our mutual welfare and happiness, we, the people of the State of Oklahoma, do ordain and establish this Constitution.” Secure and perpetuate liberty (notice this is the first order of business). Secure just and rightful government (not any government, not the domino of the majority over the minority - just and rightful). Promote (not provide, ordain or establish) mutual welfare and happiness. 

2. Is the program or agency fulfilling a need only government can effectively fill? Since government is funded through threat of force (if you continually refuse to pay your taxes, eventually men with guns will come to lock you away), it must be careful not to step in where it is not needed. Lawmakers should carefully consider whether the use of force to accomplish a given end is morally justified before committing taxpayer money to any expenditure.

3. Are the benefits from a program or agency unambiguous, obvious, and universal? Ideally, the benefits from government programs would also be measurable. When this is infeasible, they should be large and obvious. The benefits of courts, police and fire departments, and sewer systems, are obvious, though virtually impossible to measure. These benefits accrue to everyone. 

4. Do the benefits of a program or agency indisputably outweigh the costs? This is fairly obvious, but we must remember to factor in the total cost of the program, not only that portion which is financed at a given level of government. For instance, while the state of Oklahoma would only be on the hook for 10% of Medicaid expansion (as of now), the benefits to the state should be proven to a near certainty to outweigh the cost of both state and federal investment before Medicaid is expanded. Financial costs of an economic development program can be far outweighed by the negative impacts on businesses that do not enjoy the largesse of government, although those costs are not easily identified and quantified.

5. Does the existing program or agency show evidence of past success? 1889 has written previously about how to measure success. Job one is to make sure you’re measuring effects, not effort. Effects are the tangible results of a program, such as student performance on a national standards test that measures what they know. Effort is the input into the program, such as how many 4 year olds are enrolled in pre-k or how much money the state spends on each public school student. Effort may influence effects, if it is well directed. Yet, for all the spending on pre-k programming in Oklahoma, there has been no evidence of a positive impact. If the intention behind the program, and the measure of success is academic performance, the evidence is that the program has failed. It should therefore be cancelled.

Keep in mind, these principles to all levels of government and all forms of spending. There is no such thing as government spending that does not come directly out of the pockets of taxpayers. Federal money spent by the states? Do you pay federal taxes? I know I do. Money from corporate taxes? Do you buy things from corporations? I know I do. 

If Oklahomans are worried about how to get our fair share of federal money (a legitimate concern) perhaps we should hold our members of congress accountable to keep federal spending as low as possible, and to apply these same principles to federal spending. That way we won’t have to scramble to ensure we get our due. Government actors at all levels of government need to remember that it is taxpayer money they spend. They have a responsibility to spend it like they earned it, not like they stole it. 

Mike Davis is Research Fellow at 1889 Institute. He can be reached at mdavis@1889institute.org.

The opinions expressed in this blog are those of the author, and do not necessarily reflect the official position of 1889 Institute.

Popular posts from this blog

Can Government Force You to Close Your Business?

1889 Institute takes no position on whether any or all of these measures are warranted or necessary, or whether their economic fallout would inflict more human suffering than they prevent. We are simply evaluating whether they are legal.   With the unprecedented (in the last 100 years at least) reaction surrounding the outbreak of Covid-19, questions that few living legal scholars have considered are suddenly relevant.   Can a quarantine be ordered?   Can a mass quarantine, lockdown, or “cordon sanitaire” be ordered? Can businesses be ordered to change their behavior?   Can businesses be ordered to close? Can state governments order these measures? Can local governments order these measures? My legal brief addresses these issues from a statutory point of view; it is clear that state law gives the governor and mayors broad authority in a state of emergency. They must, of course, do so in a neutral way that they reasonably believe will help preve...
Read more

Oklahoma Mayors Acted Unlawfully With COVID-19 Orders

In response to COVID-19, the mayors of Oklahoma’s three largest cities subjected their citizens to draconian shelter in place orders, restricting their freedom, damaging them financially, and undermining their constitutional rights. The mayoral decrees were more restrictive than those of the Governor, and in significant ways contradicted his policy. To this day, city-mandated social distancing rules remain in place in Oklahoma City, Tulsa, and Norman that are not required by the state’s reopening plan. The mayors claim that where their rules are more restrictive than the state’s, the city rules apply. Was any of this unilateral mayoral activity legally valid? For the reasons examined in my paper published today, An Argument Oklahoma’s Mayors Acted Unlawfully During COVID-19 , the short answer is no. (A summary of the paper can be found here .) A close examination of relevant city ordinances and state laws governing the mayors’ COVID-19 decrees forces the conclusion tha...
Read more

COVID-19 Proves Our Schools Are Social Service Centers First, Education Institutions Second

There is no way the 180-day (or 1,080 hours) school year can be completed by the end of previously established school calendars for this year given the fact that spring break has now already been effectively extended an additional two weeks. One option would have been to extend the school year into the summer. Given the level of family togetherness being experienced now, and the fact that incomes are being lost and many would be interested in making up the losses, it’s not unreasonable to expect vacation plans to be radically remade or canceled anyway. Instead, Oklahoma’s State Board of Education precipitously closed the schools and did not call for an extension of end-of-school dates. Thus, the summer option has been foreclosed. The State Board is within its rights. Oklahoma statutes (70 O.S. § 1-109 E) state, “A school district may maintain school for less than a full school year only when conditions beyond the control of school authorities make the maintenance of the term imp...
Read more

Be Careful What You Wish For

The state of Oklahoma has California in its sight s . People and businesses seeking greater opportunity are fleeing California, and justifiably so. The most humane thing for Oklahoma to do is open our borders and offer economic asylum to the oppressed refugees of the People’s Republic of California. However, I urge caution. In an age dominated by masked faces and super-sensitivity to the spread of viral conditions, I suggest the California Condition (condition) should be met with great trepidation.   What is the condition? It is the virulent spread of tyranny and oppression. Common symptoms include limited freedom and mobility accompanied by exorbitant costs of living, energy, doing business, and pretty much everything else. Those suffering under the condition often experience a diminished capacity for reason. Uncommon symptoms may include fever and fits of rage. The condition is progressive. It tends to worsen as reason diminishes and illogic consumes the mind. Many that experienc...
Read more