Beyond relief, Puerto Rico needs a path to prosperity

NY Post ^ | September 30, 2017 | Post Editorial Board

[Oshkalaboomboom]

Even before Hurricane Maria devastated Puerto Rico, the island was in big trouble. So while the federal government will surely shell out billions to help rebuild, national and local leaders need to grapple with the larger issue of long-term stability.

One in 10 Puerto Ricans moved away in the decade before Maria hit. The government was in receivership, having run up debts far beyond its ability to repay.

Badly neglected maintenance is a major reason the electrical grid is entirely down: The also-bankrupt, publicly owned power company had devoted too many resources to keeping people employed at the expense of getting its core work done.

And the island’s medical system depends on special subsidies from Washington that soon expire.

Gov. Ricardo Rosselló, a reformer looking to clean up the government and win US statehood for the island, only took office in January. Now he has to not only manage the immediate crisis but lead the way in ensuring that Puerto Rico has any real future.

Notably, some mainlanders are now obsessing about ensuring that Puerto Rico’s power system be more green when it’s rebuilt, when the urgent need is plainly to make it more storm-resistant.

Of course, outsiders often miss key issues. Last week began with lots of noise on the mainland about the need to suspend the Jones Act so that non-US-flagged ships could deliver relief shipments.

As it happened, President Trump agreed to suspend the act right after Rosselló requested it. But then it turned out that cargo has piled up on the San Juan docks because so many roads are out and so few truck drivers are available.

There’s a good case for exempting Puerto Rico permanently: The Jones Act restrictions clearly hit the island commonwealth harder than the mainland.

[Oshkalaboomboom]

Liberalism and Democratic policies, even though they don't call themselves Democrats, carried to its logical conclusion. A total basket case so dependent on other people to help that the mayor of San Juan is too stupid to see how bad it looks whining about her people dying while she is filming at a dock filled with food and supplies. Puerto Ricans have citizenship granted by Congress. Congress should revoke it and declare them independent so we jettison this anchor that was a basket case when the weather was perfect.

[arthurus]

Puetro Rico’s plight makes an excellent example for the proof of tax revenue and tax levels. The Congress could impose on PR a local income tax of, say, 9% personal and corporate with no deductions, exemptions, credits or any other modifications and replace all other Territory level taxes levied in Puerto Rico. It would drastically reduce the opportunities for corruption and would increase revenue to the government as industrial development would soar and PR’s expatriate brains would return home to partake of the vastly increased economic opportunities.

[pepsionice]

First, you can’t find a single island in the Caribbean that is thriving. Some do marginally well....mostly because of tourism. If you measured corruption throughout the Caribbean...Puerto Rico would likely rank near the top. It’s not just the government itself...it’s the island electrical company...unions...etc.

So, if one wanted to bring Puerto Rico back to some real financial gains...then you’d look at what Bill Clinton did in the mid-1990s with the 936 Act. Back in that period, the island apparel industry was booming. As 936 arrived...it destroyed two or three different industries on the island and set the stage for destroying any prosperity that existed.

Trump could do them a favor by undoing 936. But he’d have to deal with McCain who probably would be against it. Maybe he could just issue an executive order and put Clinton agenda item out of business.

[Arthur McGowan]

Median IQ ca. 85.

It is illegal to enlist a person with an IQ of 83 or below in the armed forces.

Inbreeding has become a serious problem in P.R.

[exnavy]

Increasing taxes increases prosperity? No, i do not buy that.

[arthurus]

That is not increasing taxes. PR is a pretty heavily taxed jurisdiction, just with no income tax. Adding one would need to eliminate all the rest of them. A truly flat and unmodified 9% rate would be consistent and would not lend itself to corrupt trimming and sliding around it. The corruption itself is a huge tax on the people and production in Puerto Rico.

[exnavy]

Ok that could help, i really think income tax is bad because it creates government dependance of citizens. Governments are an evil thing, look at our own. Graft and corruption on a grand scale. Really the only way to help prosperity is through a government who governs least.

[wardaddy]

No

The Caribbean is Africa over here but as you said kept Alive by tourism and geographic beauty

The ones that do the best are the whitest

St Bart’s obviously and Saba

And Caymans

The Dutch ones like curaçao and Aruba and Bonaire do ok too

Again same reason

This is true anywhere in the world

Black nations don’t prosper the same

And black areas in white nations are the worst areas

Yet it’s whites fault according to media Hollywood academia and politicians

Cause no one dare state the truth

Not even here

[Vlad The Inhaler]

Face the facts - PR is a third world country.

Before the storms hit, a ride out in the country away from San Juan and the tourist enclaves would convince anyone of that fact.

Without the constant influx of US tax dollars PR wouldn’t be much different than Haiti.

[arthurus]

Such an income tax in PR would represent a lot less government than Afflicts PR at present, at least in the tax collection department. My thought is to create a laboratory that would be an example for the USA. DC is now in charge of PR whether it desires that or not. PR is formally bankrupt and has been devastated by two hurricanes. The government there has no resources and the corruption would severely hamper the deployment of resources did it have any. The attempt to distribute aid using local truckers is proof of that. Puerto Ricans are a totally dependent population who don’t want to be helped unless they can get a “piece of the action” and get paid to accept food and medical care and the like.

[Gene Eric]

A post on par with its accusation.

[Gene Eric]

Good to read some objective NY brass on this matter.

[2ndDivisionVet]

So do most of the areas in the United States. Where should we start? People didn’t vote for Trump because they were happy with the Obamas, Bushes and Clintons.

[Gene Eric]

What exactly did the 936 act adversely affect?

[pepsionice]

https://www.joc.com/us-law-change-shakes-island-loss-section-936-may-mean-drop-puerto-ricos-standard-living_19961208

It was another one of the dozen-odd episodes under Clinton which was sold by members of both parties, but hit the working-class guy of Puerto Rico more than anyone else.

[Gene Eric]

Thank you. Will read. Turning in. Gn.

[exnavy]

I don’t know if you listen to Rush or not... Rush’s examination of the tax reform being pushed was spot on with my own thoughts. The only way for prosperity to occur is for tax rates to drop, stop altogether, or just plain go away. Income tax is contrary to our constitution. The nation of PR is not a state, we should but out. Help them now, than back away.

[Tilted Irish Kilt]

(Title) :" Beyond relief, Puerto Rico needs a path to prosperity "

No !!.. Not True !
What Puerto Rico needs is to reject Socialism
And to learn that being a 'bus driver' is not a "hazardous occupation" making you eligible for social security disability payments at age 55 years old.
Puerto Rico is a perfect example of "gimme dats !"
The citizens of Puerto Rico deserve to grow up,
disavow Socialism, and escape union control of their ports,
for their own survival's sake.

[dfwgator]

The problem is that it’s too easy for the smart ones to leave.

[rodguy911]

Two things.
First, none of these third world island countries, possessions, will survive any cat 4 or 5 storm without proper building codes.
Here in the Keys we just suffered extensive damage and will be rebuilding for several years due to a major storm,Irma, wreaking havoc on our area.
But, the buildings built to the specs of cat 5— 155 mph winds or more are unscathed and still inhabitable. Many of the rest are gone or got major damage.Many trailers were turned into twisted metal.
1/3 of the homes on Big Pine Key will be bull dozed since they were old and not up to code.
The second problem in the Caribbean is mostly political. The socialists or communists have taken over many of the governments.
Here is an example of what really goes on in Puerto Rico today.
https://theconservativetreehouse.com/2017/09/30/puerto-rico-cop-calls-u-s-radio-station-reporting-corrupt-mayor-of-san-juan-and-request-for-help/
The video above is from a police woman in Puerto Rico calling into a Miami Spanish radio station.
Sobbing all the way through the six minute conversation she tells of how without the US bringing in soldiers to distribute the aide the powers that be, governor through mayors will never allow anyone but themselves to get any credit for distributing aide.
It's a communistic system that readily lets people die so “the chosen one” in this case Ricardo Rossello,can stay in power.the officer tells how Rossello won't even leave his office without a TV camera following his every move.
Sick but happening right now in Puerto Rico.