This article first appeared in the St. Louis Beacon: October 21, 2008 - The Republican and Democratic candidates for Missouri treasurer are both well-spoken, personable men in their early 30s with young families and a shared ambition -- to win what promises to be a challenging job during the troubling economic times ahead.
But there is little common ground when state Rep. Clint Zweifel, D-Florissant, and state Sen. Brad Lager, R-Savannah, spell our their economic philosophies.
"Government should be better, not bigger,'' Lager said during a recent interview with the Beacon. "The most important thing we can have at all levels -- not just in state government -- is a government that is accountable to the people. The cornerstone of government at any level begins with fiscal restraint and responsible stewardship.''
Lager also believes that the private sector and consumers will always do a better job of spending money than a big government program.
Zweifel, 34, says that being super-liberal or super-conservative isn't the answer.
"What we need to be is fiscally smart,'' Zweifel said. "You have to bring a larger vision to this office of what you think public service is about and if your belief is that government has absolutely no role -- then why are you even running for this office? At the end of the day, you have to come forward with a vision on how to move this state forward, and the treasurer is really uniquely poised to be able to do that.''
Even with their philosophical differences, the two candidates share some common ground. For example, both believe in the importance of depositing the state's funds in Missouri banks.
Lager credits current treasurer Sarah Steelman for moving away from Wall Street investments to timed deposits in Missouri banks.
"Investing money in Missouri banks has been the right thing, and that's what I intend to do, as well,'' Lager said. "When you take Missouri money and put it in Missouri banks two things happen: One, it's a fairly safe and protected investment for the taxpayer, and we receive a reasonable return. But No. 2, it provides liquidity for those institutions to then take that money and loan it out. It not only fuels economic development, it fuels community development. I think the treasurer's greatest opportunity to impact what's going on right now is through those timed deposits in our local banks.''
Zweifel shares a similar view. He said that as the economy worsens, the treasurer plays an important role in getting the state's fiscal house in order, and, at the same time taking action to increase liquidity in the state, enabling small businesses to borrow and have access to credit.
"One thing you can do is make sure we're actually placing deposits in Missouri institutions to help encourage business growth throughout the state,'' Zweifel said. "The small businesses on the ground during an economic recovery are really providing a super majority of all job growth. We go after these high profile companies -- and don't get me wrong, that's important -- but when we look at historical patterns of economic growth throughout our state and throughout the country, it's been carried by small business.''
Both candidates also agree that it's time to review the state's Big Missouri Linked Deposit Program, which encourages economic growth and development through low-income loans. The program is administered by the state treasurer.
Lager said Linked Deposit has not kept pace with changing times and has become a cumbersome process.
"We're going to make changes to make it a more user-friendly environment, where banks want to use it and consumers are aware of it,'' Lager said.
"Those would be the changes we'll make, hopefully, fairly soon. Those changes only come in conjunction with legislative action. So, this is also about having a working relationship with legislature.''
Zweifel agrees that the program is underused.
"We think it could be because of collateral requirements that I don't support changing -- it could be because of paperwork and administration. It could be because maybe Linked Deposit just isn't effective enough. One of our first jobs will be to analyze the program,'' Zweifel said.
Rodney D. Farthing is also running for treasurer with the Constitution Party.
Lager stresses his small business experience
Lager grew up on a small farm in Maryville, Mo., and graduated from Northwest Missouri State University. He stresses his experience as a small business owner and his work on legislative fiscal committees. He says it was his frustration with government bureaucracy and regulatory agencies that convinced him to enter politics. He won a seat on the Maryville City Council in 2001 and was elected to the House of Representatives in 2002. He won a Senate seat in 2006. A September Post-Dispatch poll had Lager leading Zweifel by 45 percent to 37 percent.
"I've made my mark in public service really about fiscal issues,'' Lager said. "I believe the budget should drive government and not vice versa.''
Lager says he'll be a fiscal watchdog for taxpayer money, both in how it's invested and how it's spent -- and he will fight for government that is accountable.
"Every level of government right now has to take a step back and say, 'What is our primary responsibility?' and 'How are we going to meet those responsibilities?' '' Lager said. "When the economy gets tough, the demand for government services go up, and it's a double whammy because your revenues are going down, but the need continues to go up. This is going to be a real test not only for state government, but I would argue for local governments and for everybody that has to have a balanced budget.''
Lager said challenging times call for innovation and perhaps some rethinking of the way things are done.
"We can't continue to do things a certain way just because we've always done it that way,'' Lager said. "The private sector will always do a better job of meeting the needs of society than a big government program. I believe in the private sector. The level of creative innovations and out-of-the-box thinking is incredibly greater than a government program.''
Lager said he finds it frustrating that government creates programs first and worries about funding them later.
"In business, we say we're going to do this initiative, and then we put the financial resources behind it. In government, we do 100 things 80 percent right instead of doing 80 things 100 percent right,'' Lager said. "I don't think it's responsible for us to go and create a bunch of new programs -- social or corporate welfare or whatever you want to call them -- and then figure out how to fund them later. I think we should have a comprehensive, inclusive discussion as we move through the process about what we can fund, and at what levels we can fund them.''
Lager said that a tough economy increases the need for greater efficiency.
"How do you exercise fiscal restraint? Well, there's a finite amount of money and when the money is gone, you're done helping,'' Lager said. "How do you maximize your ability to use those dollars? We have a moral responsibility to go and help those who have the greatest needs -- people with disabilities and seniors who really, legitimately, can't help themselves. What you have to do is focus on those folks with the greatest needs to begin with.''
Lager says he would utilize his computer science background to improve the way the treasurer's office communicates with other government departments to better serve residents.
He says voters are fed up with big government.
"They're not asking for bigger government programs,'' he said. "They just want good jobs, to work hard and take care of their families. The people who are supporting Brad Lager aren't looking for free rides. They're saying, 'Listen, we've got problems; we need help working through them. But we're not looking for handouts.' That's pretty reasonable.''
Zweifel won a hard primary
Zweifel grew up in north St. Louis County and graduated from the University of Missouri - St. Louis. He served as research and education director for Teamsters Local 688 and has the endorsement of the state's unions.
Zweifel was elected to the House in 2002, winning his seat by just 67 votes out of 13,000 cast. He was reelected in 2004 with 70 percent of the vote and ran unopposed in 2006. He has made fiscal issues his area of interest in the Legislature, where he serves on finance and tax committees and is a ranking member of the House Ways and Means Committee.
Unlike Lager, who ran unopposed in the August primary, Zweifel won the treasurer's nomination in a field of four Democrats.
Zweifel has been highly critical of Gov. Matt Blunt's Medicaid cuts.
"We lost $1.5 billion -- and counting -- in federal dollars when we made those cuts. That money has been sent to other states,'' Zweifel said. "You have to make fiscally smart decisions that actually provide a return for taxpayers. And cutting money that is essentially matched at a pretty high level from the federal government just doesn't make a lot of sense.''
He has also taken Blunt and Republican legislators to task for what he refers to as the "raiding'' of MOHELA, the state student loan agency.
"The first thing we do is restore the purpose of MOHELA, which was gutted by Brad Lager and his cronies last legislative session, where they essentially sold those assets to build buildings across the state,'' Zweifel said. "I have a specific proposal that would, A, place the treasurer on the board of MOHELA so we can have some additional transparency. And, B, it would return MOHELA to its full purpose of providing college affordability, not providing capital for building projects. So that is the starting point -- to begin to reform the organization.''
Lager said the debate about MOHELA has become a case of partisan politics, rather than a discussion of public policy. He said the decision to sell assets -- which were the loans of out-of-state students -- occurred when the market was strong and was not a threat to the organization.
Zweifel takes pride in the fact that both he and his wife are first-generation college graduates, and he says he will work to make college more affordable for everyone.
"We have a plan I am really proud of called 'Missouri Promise' that builds upon our community college system,'' he said.
Zweifel says his plan would expand the current program that allows achieving Missouri high school students to attend community college tuition-free. Students who maintain a certain grade point average could continue their education at any state school tuition-free in return for community service. Attorney General Jay Nixon, the Democratic candidate for governor, proposes a similar program.
"Our community college system is already tied to those families,'' Zweifel said. "It's a smart investment in our workforce. These are students who have proven themselves over two years. They're willing to stick with this and live up to their end of the responsibility. You can do this for a pretty fair price.''
Zweifel estimates the program would cost between $45 million and $65 million -- out of a $20 billion budget.
"Money is tight. Resources are tight. And we need to be honest with voters. You can't do everything for everybody, but there are choices that express values about what we're about in public service,'' Zweifel said.
"Folks are graduating with so much in student loans that there's no incentive for them to go into social work or go into teaching. No incentive for them to practice in rural Missouri as a physician, not because they don't want to do these things but because the economics just don't work. Then we have a problem,'' Zweifel said. "And I think that's where organizations like MOHELA can come into play because they can ease the burden and encourage public service and careers that give back to communities that don't have the immediate financial rewards.''
Zweifel believes the treasurer's office should serve as a clearinghouse for investor education for local government entities, providing guidelines to help them make good financial decisions.
"The treasurer's office cannot solve every local government problem out there, but we can help keep them out of trouble,'' Zweifel said. "There is no silver bullet for municipalities. What we can do at the macro level is provide quality leadership on the economy, on health care. Because when we start making cuts in those area we end up paying for them in the long run in municipalities and with individuals who share the brunt of those costs."
Zweifel said he will work to help senior citizens afford rising property taxes by expanding the current tax credit so more seniors will qualify.
"The community I represent was built by people who years ago paid $15,000 to $20,000 for their houses. Their mortgage payment may have been no more than $100 or $150 a month, and now they're paying taxes of $200 a month,'' Zweifel said. "We have a responsibility to lend a hand. It's about making a smart investment, too. They're going to be spending this money back in the economy.''
Zweifel said voters are anxious for a change and want elected officials who will invest in Missourians.
"The fiscal crisis we face on Wall Street and in Washington -- which has unfortunately come down on middle America -- is real for families. So they understand the importance of having somebody managing money who is competent and focused on doing a good job,'' Zweifel said. "But I think they also care a great deal that we elect people who bring values to the table on how to move the state forward. They want somebody to make a case on why they should serve as an elected official.''
