Secession: The Storm (47 page)

Glancing at his watch, he stated, “We’re up in five minutes. Are you guys going to play or sit in here and watch this crap?”

There wasn’t an answer at first, another murmur rolling through the gathering and drawing all eyes back to the televisions. A formation of soldiers was now on camera, row after row of men in uniform. After a shouted order, in unison, each man reached to his shoulder and tore away the patch of the American flag. On another command, the Lone Star of Texas replaced the Stars and Stripes.

“I’m playing,” Paul said, sliding back his chair. “Texas might decide to invade California next week, so I’d better get in all the golf I can. I’d suck at bull riding.”

“Might as well,” Andy added. “This is depressing as shit to sit and watch.”

Ten minutes later the foursome was rolling down the first fairway.

The End

The first shot in the tariff wars was fired by the United States.

A huge spike in construction was underway in the Republic, the building-boom initiated by both private and government expansion.

Austin didn’t have enough facilities to house its growing bureaucracy, many of the functions previously performed in Washington now required in the Texas capital. There seemed an almost endless list of needs.

The TOS had awarded the new nation eight submarines, but Texas didn’t have the dock facilities to maintain her new fleet. The 43 surface ships included in the treaty faced the issue of being homeless as well. From Port Author to Brownsville, massive projects were initiated to correct the situation.

Texas A&M University was chosen to become the new West Point of the South, a logical selection given the Aggies’ tradition and history. But there weren’t any facilities to house the additional cadets, the already-packed schools barely handling the current student body. The other military academies all faced the same issue.

It seemed like infrastructure was in short supply all over the fledgling country. Austin, already struggling to keep up with the pre-secession population growth, was becoming a nightmare. The city had been experiencing a decade of expansion as a state capital, the roads, sewers, schools, and water supply barely keeping pace with the influx of new residences and businesses. When the role of “national seat of government” was thrust upon the city, the explosion of growth was unlike anything the town’s planners had ever anticipated.

Construction cranes rose skyward all across the new country. Massive development projects required steel – a resource that Texas didn’t produce in near the quantities she required.

Supply and demand worked their typical magic, and prices soared.

Washington was experiencing the opposite problem – contraction. While the reduction in the national debt and burden on existing infrastructure were ultimately viewed as a positive, the road to achieving efficiency was proving difficult.

Federal employees had been given the option of staying in Texas or transferring to other locations. Reductions to Washington’s payroll would be by natural attrition, primarily retirement. Or so was the plan. But that was going to take a while.

President Clifton’s treasury was faced with 9.4 percent less tax revenue but only 4% fewer federal employees. Social security and federal pension payments remained at pre-TOS levels, as all of the retirees living in Texas still received their benefits. It was a cash-flow drain that again focused the spotlight on the federal government’s siphoning of employee contributions instead of letting those funds grow via earning interest.

“We’ll need to raise the federal deficit level in another two months,” reported the Treasury Secretary, adding to the bad news.

It was clear from President Clifton’s reaction that the news was unwelcome. “I have initiatives that I’m trying to push through Congress. Despite our majorities, the right is still pulling every trick in the book to delay our agenda. This won’t bode well in the press.”

“The nation’s gross domestic product is taking a severe hit right now, Madam President, and it’s more than just the missing output from Texas that’s causing the downturn. Several major corporations are delaying expansion here in order to beef up their infrastructure there. As an example, the increased price of steel is putting a damper on everything from automobile sales to new construction. As a matter of fact, steel production is one of the few positives in our economic forecast.”

Aaron shook his head in disgust, “How wonderful. One of our dirtiest industries is booming. This doesn’t fit well with your global warming agenda, ma’am.”

Heidi sighed, “The treasury needs revenue. We need to keep the environmental left in our camp. Seems simple enough – put an export tariff on steel.”

The Secretary of Commerce, silent until now, cleared his throat. “Ma’am, trade tariffs are always a dangerous move. Retributions can be damaging, and the unanticipated fallout has historically done more harm than good.”

President Clifton shrugged, looking around the room. “Okay, fair enough. What could Texas possibly do to us? Tax the export of BBQ sauce?”

Everyone chuckled politely at the joke. The Secretary of Energy waited, hoping someone else would speak up first. When they didn’t, he cleared his throat and said, “Oil, ma’am. More specifically, refined petroleum products. A huge percentage of our national pipelines start in Texas at their refineries. Fuel oil, natural gas, gasoline, diesel… it all starts along the Gulf Coast and heads north.”

“So you believe our tariff on steel would be countered with one on oil? Would they do that?”

“Yes, ma’am, I believe they would. I’ve worked with those people down there for over 30 years, and I am reasonably sure they wouldn’t take kindly to trade restrictions.”

Again, Aaron spoke up from his seat next to the president. “And what would be the impact of their counter-tariff?”

The SecEng spread his hands, the gesture indicating the answer was obvious. “Prices would rise.”

Heidi nodded, a sly smile forming at the edge of her mouth. “And if prices rise, then consumption decreases – am I correct?”

“Yes, ma’am, but…”

The president interrupted the response, “There are many benefits to reduced fossil fuel consumption, and we all know that. Our carbon footprint goes down; alternative energy sources get a boost, and we keep our politically active, green friends working with our party. If the treasury receives a revenue gain as well, I don’t see the downside here.”

The typical arguments were floated, but it was clear to all that the Chief Executive had made up her mind.

Four days later, the White House announced a still tariff on all steel being exported from the United States.

The following morning, Austin countered, placing its own surcharge on all refined petroleum products shipped to the United States.

The Houston Post
ran the headline, “The Tariff Wars Have Begun.”