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June 4th, 2020:

Quinnipiac: Trump 44, Biden 43

Nice.

President Donald Trump and former Vice President Joe Biden are locked in a very tight race in Texas, with Trump receiving 44 percent of the vote and Biden receiving 43 percent in a general election matchup, according to a Quinnipiac University poll released today. Democrats go for Biden 90 – 5 percent, independents do the same 45 – 36 percent, and Republicans go for Trump 87 – 6 percent.

Voters say 54 – 40 percent that Trump would do a better job handling the economy, but say 49 – 43 percent that Biden would do a better job handling health care. Voters are split on who would do a better job handling the response to the coronavirus, as 47 percent say Biden and 45 percent say Trump.

“Too tight to tell in Texas. As the country confronts chaos and COVID-19, perhaps one of the most important states of all is a toss-up,” said Quinnipiac University Polling Analyst Tim Malloy.

FAVORABILITY AND JOB APPROVAL RATINGS

In terms of how voters view the candidates, they give both Trump and Biden negative favorability ratings. 38 percent of voters view Biden favorably, while 45 percent view him unfavorably. That compares to a February 2019 survey when 48 percent viewed him favorably and 38 percent viewed him unfavorably. 42 percent of voters view Trump favorably, and 50 percent view him unfavorably. That compares to a February 2019 survey when 47 percent viewed him favorably and 49 percent viewed him unfavorably.

President Trump receives a 45 – 50 percent job approval rating, unchanged from September of 2019.

Governor Greg Abbott receives a 56 – 32 percent job approval rating, compared to 56 – 27 percent in September of 2019.

Senator Ted Cruz receives a 45 – 42 percent job approval rating, compared to 49 – 40 percent in September of 2019.

Senator John Cornyn receives a split 37 – 36 percent job approval rating, compared to 41 – 34 percent in September of 2019.

MAIL-IN VOTING

About six in ten voters (59%) in Texas say voters in the state should be allowed to vote by mail due to the coronavirus pandemic, while four in ten (40%) say they should not. There are wide partisan gaps, as Democrats 91 – 9 percent and independents 61 – 39 percent say “yes” to voting by mail, while Republicans 68 – 31 percent say “no” to voting by mail.

“‘Mail it in,’ say a majority of virus wary Texans, with Democrats far more willing to let the Post Office deliver their vote,” added Malloy.

Looking ahead to the presidential election in November, 60 percent say they would feel comfortable voting in person, while 38 percent say they would feel uncomfortable. Republicans 84 – 14 percent and independents 60 – 38 percent say they would feel comfortable. Democrats 67 – 31 percent say they would feel uncomfortable.

Here’s a Chron story on the poll result. The disparity in comfort about voting in person is something we’ve seen before, and clearly correlates to the relative partisan positions about voting by mail. I don’t think it will matter that much in the end – let’s just say that people are highly motivated to vote against Donald Trump – but it’s worth keeping in mind. Democrats will need to give some thought about informing their voters about how they should vote to alleviate any anxieties.

There are crosstabs farther down in the linked article, and they don’t have any surprises. Biden actually led Trump 48-44 in a Q-poll from a year ago, which I thought was a tad bit optimistic at the time. Note that while Biden lost a few points from that sample, Trump remains at 44 percent. Add this to the previous four results and the poll average is 46.0 to 43.6 for Trump. If this isn’t a close race, I don’t know what is.

There won’t be furloughs after all

A slightly confusing bit of good news.

Mayor Sylvester Turner

Houston will not need to furlough roughly 3,000 city employees nor cancel its police cadet classes in the upcoming budget year, Mayor Pro Tem Dave Martin announced during a city council budget committee meeting Tuesday.

Instead, the city will use federal coronavirus relief funds to help bridge its projected $169 million shortfall in the fiscal year that begins July 1.

“No employee in the (City of Houston) will be furloughed,” Martin said.

The administration has updated Mayor Sylvester Turner’s initial budget proposal, eliminating many of the most dire consequences attributed to the revenue gap. The revised budget plan eliminates furloughs and adds back five cadet classes for police, Martin said.

It also adds another fire department cadet class, giving that department four classes. The new proposal also adds $15 million back into the city’s rainy day fund as hurricane season gets underway; Turner’s original spending plan would have exhausted that fund entirely.

The changes comes as the city has weighed how it can spend $404 million in federal funds it received through the CARES Act, part of a stimulus package approved by Congress.

The administration plans to use roughly $19 million of those funds to cover expenses for redeploying city employees from their normal duties to address the coronavirus pandemic, freeing some budgetary space. It is not clear if the city plans to use additional federal funds to cover the remaining costs of the budget revisions.

See here, here, and here for some background. I’ve said all along that the city could avoid all of the issues for this year if it could use that federal money for previously budgeted items. Apparently, they have decided that they can, or at least that there’s enough of the money available to fill other needs to make the math work. I can’t tell from this story what may have changed to go from apocalyptic warnings about layoffs and furloughs to this – maybe the city got clarity from the feds, maybe they came to this conclusion on their own, maybe there was enough wiggle room to allow for budget items to get moved around, who knows? This is the outcome that should have been from the beginning. Remember, a large part of budgeting is determined by the calendar – if these federal dollars had been allocated earlier, there wouldn’t have been so many “previously budgeted items” to worry about. I’m a little worried that someone is going to come along and try to stop the city from doing this, maybe by lawsuit or some other decree, but until then, I’m glad they worked this out. There are plenty of things to worry about going forward, like sales tax revenues, but buying a year’s time before that reckoning allows for another CARES Act or other positive development to occur. Sometimes kicking the can down the road is all you need to do.

NBA sets a plan, MLB still working it out

Happening today.

The NBA is finalizing details of a plan which is expected to be approved by the league’s Board of Governors on Thursday, paving the way for a return from the coronavirus shutdown.

The board is poised to give the green light to commissioner Adam Silver’s return of basketball which would begin July 31 with a 22-team format, and end in mid-October with a champion being crowned, ESPN reported.

The plan requires support from three quarters of the league’s 30 teams in order to be approved.

The NBA suspended its season on March 11 because of the global COVID-19 pandemic.

The Milwaukee Bucks, Toronto Raptors, Boston Celtics, Miami Heat, Indiana Pacers, Philadelphia 76ers, Nets and Orlando Magic currently hold the playoff spots in the Eastern Conference.

The Los Angeles Lakers, Los Angeles Clippers, Denver Nuggets, Utah Jazz, Oklahoma City Thunder, Houston Rockets, Dallas Mavericks and Memphis Grizzlies occupy the postseason positions in the Western Conference.

Under the plan, each of the 22 teams will play eight regular-season games for seeding purposes for the postseason.

The 16 teams currently in the playoff picture will be joined by the New Orleans Pelicans, Portland Trail Blazers, Phoenix Suns, Sacramento Kings and San Antonio Spurs in the Western Conference.

In the East, the Washington Wizards are also included.

[…]

All games are expected to be within the confines of Disney’s ESPN Wide World of Sports Complex in Orlando Florida, with all teams remaining on site to minimise risk of COVID-19 outbreaks.

See here for the background. ESPN adds a bit more:

Life in the NBA bubble will be governed by a set of safety protocols. While players and coaches will be allowed to golf or eat at outdoor restaurants, they will also need to maintain social distancing, sources told ESPN’s Ramona Shelburne.

The NBA is planning to have uniform, daily testing for the coronavirus within the Disney campus environment, sources told ESPN. ESPN is owned by The Walt Disney Company.

If a player tests positive for the virus, the league’s intent would be to remove that player from the team to quarantine and treat individually — and continue to test other team members as they play on, sources said.

Employees at the Disney resort will have to maintain similar protocols. For example, no staff will be allowed into players’ rooms, and hallways will be carefully managed to avoid crowding, sources told Shelburne.

Weird, but the NBA had played the bulk of its season anyway, and the playoffs are always a different thing entirely. I just hope those employees at the Disney resort had someone thinking about their welfare as this deal was being hammered out. The Chron has more.

And then there’s MLB:

Major League Baseball has rejected the players’ offer for a 114-game regular season with no additional salary cuts and told the union it did not plan to make a counterproposal, sources confirmed to ESPN.

Players made their proposal Sunday, up from an 82-game regular season in management’s offer last week. Opening Day would be June 30, and the regular season would end Oct. 31, nearly five weeks after the Sept. 27 conclusion that MLB’s proposal stuck to from the season’s original schedule.

MLB told the union it had no interest in extending the season into November, when it fears a second wave of the coronavirus could disrupt the postseason and jeopardize $787 million in broadcast revenue.

While management has suggested it could play a short regular season of about 50 games with no more salary reductions, it has not formally proposed that concept. Earlier this week, multiple players told ESPN that they would not abide a shorter schedule, with one saying, “We want to play more games, and they want to play less. We want more baseball.”

See here for the previous update. If this sounds dire to you, let me refer you again to Eugene Freedman, who’s been around this block a few times.

Basically, it looks like the sides have agreed to the March deal, and now need to work out the safety and testing details, plus what to do if a player wants to opt out. Maybe the NBA getting set to start at the end of July will inspire them to agree on some version of their July 4 Opening Day season. Fingers crossed. The Chron has more.

Texas blog roundup for the week of June 1

The Texas Progressive Alliance stands with those demanding justice for George Floyd as it brings you this week’s roundup.

(more…)

How low can sales tax collections go?

If we’re lucky, no lower than this.

Texas collected about $2.6 billion in state sales tax revenue in May, leading to the steepest year-over-year decline in over a decade, Comptroller Glenn Hegar announced Monday.

The amount is 13.2% less than the roughly $3 billion the state collected in the same month last year.

A majority of the revenue collected last month was from purchases made in April and reflect the state’s first full-month look at how the novel coronavirus impacted businesses. That is when Texans lived under a statewide stay-at-home order and Gov. Greg Abbott, like leaders across the globe, ordered businesses across several sectors to close to combat the spread of the virus.

“Significant declines in sales tax receipts were evident in all major economic sectors, with the exception of telecommunications services,” Hegar said in a news release. “The steepest decline was in collections from oil and gas mining, as energy companies cut well drilling and completion spending following the crash in oil prices.”

[…]

Monday’s numbers are also reflective of the lag in data as revenues are collected and then reported by the state. Last month, for example, Hegar announced that the sales tax revenue collections for purchases in March dropped roughly 9% — which at the time was the steepest decline since January 2010.

Other major tax collections were also down in May, Hegar said Monday. Motor fuel taxes, for example, were down 30% from May 2019, marking the steepest drop since 1989. And the hotel occupancy tax was down 86% from May 2019, marking the steepest drop on record in data since 1982.

See here for the background. The presentation here is a little confusing, so let me clarify by quoting from the Chron:

Though the revenue totals are for May, they mostly represent transactions in April, when a statewide lockdown was in place to slow the spread of the virus. March sales were down 9.3 percent, state records show.

OK, so basically retail and other activity that leads to sales tax collection was down 13.4% in April after being down 9.3% in March. March was when the shutdowns began, though people had already slowed their activity before the official orders started happening later in the month. Pretty much all of April was in lockdown, while May is when things have begun to reopen. The hope would be that while May will be down compared to last year, it will be a lesser drop from 2019 than April and March were. That’s the hope, anyway. Maybe motor fuel taxes will inch up somewhat, but I wouldn’t hold my breath on hotel occupancy taxes. Check back in a month and we’ll see.