Here is an example of what I am talking about:
Scott Veerkamp / Predatory Lending (Franklin Township School Board Member.)

Please review this information from U.S. Senator Jeff Merkley regarding deceptive lending practices:
“Steering payments were made to brokers who enticed unsuspecting homeowners into deceptive and expensive mortgages. These secret bonus payments, often called Yield Spread Premiums, turned home mortgages into a SCAM.”

The Center for Responsible Lending says YSP “steals equity from struggling families.”
1. Scott collected nearly $10,000 on two separate mortgages using YSP and junk fees. 2. This is an average of $5,000 per loan. 3. The median value of the properties was $135,000. 4. Clearly, this type of lending represents a major ripoff for consumers.

http://merkley.senate.gov/newsroom/press/releas...

We got exempted entirely as you know. But what finally passed is horrendous for the state. What I witnessed today was a group of democrats who have been asleep for the last 12 years. They do not understand any part of ecommerce happening all around them. Senators Brophy, Stevens, Penry, Lundberg and a few others tried to talk sense into them, but to no avail. I recorded it all for my private library. Most incredible television I have watched in my life. Scary too, considering these people are lawmakers. This new version of what started out as an “affiliate nexus” bill will be a “first in history” type of bill.

Colorado is legislating to all online merchants everywhere that they must provide a year end report showing all Colo residents names, amount of purchases and dollar amounts. They must also notify Colo residents in a separate letter as well. If there is a challenge then the merchant can be served a summons to provide details of the transactions, which is a violation of our first amendment rights.
(only in an audit will the details of what they purchased be revealed)

I believe this bill will be challenged in court very soon after final signing into law. If Ritter has a brain, he will veto it to save Colorado millions in legal fees defending it in the upcoming trials. This bill is not only different but it is beyond reason and far reaching in it’s inclusion of all merchants doing business online, selling to Colo residents throughout the US and the free world. I was flabbergasted by the lack of knowledge and understanding of these democrats.

The Colorado dept of Revenue has a very small budget, and Senator Lundberg aptly noted that it would take a Dept of Rev the size of the IRS to enforce this bill. He was so amazed at the democrats that he was almost unable to form the words for a minute. In these modern times, it is disturbing to see such ignorance in our State Capital. Three cheers for the Republicans on this one, especially Senator Brophy!

Anyway, it is not we affiliates who will get the boot from this bill. Thankfully it is the citizens of Colorado and the merchants of the US who must deal with this mess. I wonder if we should suggest taking the “affiliate nexus” comments out of the Vermont bill in a similar way that they did here? I will be forever latched into the process after my interest and involvement in our fight. I mostly wrote letters and made some phone calls, but what a privilege to be associated with other affiliates and business owners from our state. totally amazing experience !

Basic high school math apparently does not apply in politics.

The other thing I would like to see is the media picking up on the empty shell that this bill represents and ask the uneasy questions of how lawmakers think this should work. Those bills only get stopped if public pressure is building up fast.

On another note, states must understand that the gap between the expected monetary benefit from the bill and the real situation is huge! Once larger merchants (like Amazon and Overstock) leave the state that has passed the tax, there's hardly anything to collect (the Rhode Island example comes to mind). In case with Colorado, both of the above-quoted e-tailers said they will withdraw should the bill become legislation.