Same Old Song From Obama

Albert Einstein defined insanity as doing the same thing over and over and expecting different results. I believe old Al's theory is just as applicable in spotting idealogues as it is lunatics. Which brings me to our president's proposal to spend $450 billion on Stimulus II. Compare the laundry list of spending from the $867 billion sinkhole of spending called Stimulus I to Bailout Barry's "new" offering: "Shovel ready" construction projects? Check. Teachers? Check."Green" boondoggles? Check. Considering that 1.7 million Americans joined the ranks of the unemployed after the Stimulus was passed why would Pres. Obama propose throwing more money at a failed agenda?

Simple. He's attempting to show his voters that he has their backs while designing such a partisan plan to pay for it that he knows it will never pass. In fact, the NY Times has found many Democrats wary of the president's plan: "Many Congressional Democrats, smarting from the fallout over the 2009 stimulus bill, say there is little chance they will be able to support the bill as a single entity, citing an array of elements they cannot abide." Yet, this opposition from his own party hasn't prevented him from barnstorming the country blaming republicans for his failure to fix the ecomomy. Former Democratic Rep Martin Frost admitted "The most likely explanation is that his jobs program was a campaign document — not a real plan for putting people back to work". Let's take a look at the members of the president's base set to benefit should republicans fold and his plan pass.

AFL-CIO President Richard Trumpka was demanding the creation of an "infrastructure bank" before the ink was even dry on Stimulus I. Needing their votes and millions in dues money for his campaign the president ponied up billions to satisfy big labor's wish. In what would be the third bailout for teachers in his young administration Obama wants more money to "put teachers in the classroom". Since 1970 staffing has increased 83 percent while the number of students in public schools has grown by only 7 percent. The College Board just announced the lowest SAT reading scores in history so it doesn't appear we're getting good value for the money being spent now. Finally,we come to Solyndra and our bright "green' future. Solyndra went bankrupt last week taking $535 million of taxpayer money with it, reminding MA residents' of the millions lost on our "investment" in Evergreen Solar. Instead of being chastened by this waste, Stimulus II promises billions more. From the Hill: "the administration is arguing that the Solyndra incident underscores the need for the United States to double down on investments in clean energy."

How does President Obama propose to pay for this? From the AP: "The bulk of the payment comes from nearly $400 billion from limiting the deductions on charitable contributions and other items that wealthy people can take." So, with 46.2 million living in poverty(US Census)the highest level since 1993, President Obama wants to kill charities that help the poor? John Hinderaker of Powerline stated "The essential effect of Obama’s proposal, with its tax increases, is to transfer wealth from upper-income taxpayers to construction workers, teachers and other public employees–that is, from people who earn $200,000+ to people who earn $60,000+ (or more, if their families have two incomes)." To that I would add taking food and shelter currently provided by nonprofits from the poor. For the 14 million unemployed the president's proposal is deeply cynical, callous and cruel. America deserves better.

Sen. Brown Goes To Bat For Government Unions

From the Wall St. Journal:

The Senate is moving closer to passing legislation that would require states to grant public-safety employees, including police, firefighters and emergency medical workers, the right to collectively bargain over hours and wages.

The bill, known as the Public Safety Employer-Employee Cooperation Act, would mainly affect about 20 states that don't grant collective-bargaining rights statewide for public-safety workers or that prohibit such bargaining. State and municipal associations, as well as business groups, oppose it, saying it will lead to higher labor costs and taxes, at a time of budget deficits.

The bill, backed by at least six Republicans in the Senate, prohibits strikes and leaves to states' discretion whether to engage in collective bargaining in several areas, including health benefits and pensions.

If the legislation passes and states choose not to grant the minimum collective-bargaining rights outlined in the bill, the Federal Labor Relations Authority, which oversees labor-management relations for federal employees, would step in and implement collective-bargaining rights for these workers.

You can bet that once the federal government becomes involved that the states will be over-ruled by a board packed with labor allies. The police and firefighters will soon be receiving the gold-plated benefits of federal employees. It doesn't matter if the municipalities and states can afford them or not. They will be compelled to raise taxes. We shouldn't be spreading the budget busting policies of CA, NY, NJ and MA to states' that haven't become hostage to the demands of public union yet.

Police and firefighter unions are the biggest advocates of the legislation. "A year after this law passes most of these executives who are fighting it won't be able to remember what they were scared of," said Jim Pasco, executive director of the 325,000-member National Fraternal Order of Police. He said unions wouldn't be able to negotiate wages and benefits that governments couldn't afford.

Yeah right, all these union folks will be looking at what Ed Kelly squeezed out of Boston. A 2.5% raise just for taking a drug test will go national.

The other Republican co-sponsors in the Senate are Scott Brown of Massachusetts, Susan Collins and Olympia Snowe of Maine, and Lisa Murkowski of Alaska.

Here's a look at what Sen. Brown is supporting. This is the exact opposite of what we need to be doing. As Gov. Christie is talking about a "day of reckoning", Sen. Brown is trying to make it worse. The wages and benefits of public employees are already greater than those in the private sector to the point that they are threatening to overwhelm budgets across our country. They should be treated like an epidemic, quarantine them and fix them where they are, don't let them spread. Has Sen. Brown missed what is happening in Greece, Spain, Britain, Italy? The $50 Billion for public union workers that Bailout Barry begged Congress to pass on Saturday?

Are State Public Pensions Sustainable? Why the Federal Government Should Worry About State Pension Liabilities

Assuming future state contributions fund the full present value of new benefits, many state systems will run out of money in 10-20 years if some attempt is not made to improve the funding of liabilities that have already been accrued. The expected shortfalls raise the possibility that the federal government will be faced with a decision as to whether to bail out states driven to insolvency by their pension programs.

Enough is enough Sen. Brown

Bailout Barry Strikes Again

F.O.B.'s have returned with a vengeance. President Obama has made sure to take good care of the folks who made his election possible. Well, the big-monied special interests anyway, the American people not so much. When the UAW's exorbitant contracts drove 2 of the Big 3 automakers into bankruptcy Obama awarded them the keys to GM and Chrysler and billions of taxpayer dollars to prop them up with. Meanwhile the folks in Louisiana and along the Gulf coast are left to watch the oil come in on the tide. Those permits you requested back on May 11th to erect emergency sand berms to keep the oil off your shores? Why the EPA needs to take the proper time to study how they will impact the wildlife. In other words "those are some nice marshes and beaches you have there, it's a shame you didn't pony up some cash to save them back in 2008.".

Another day another example of pay to play from IBD:

A bill making its way through the Senate would bail out union pension funds to the tune of $165 billion. The bill's author, Democratic Sen. Bob Casey of Pennsylvania, wants the public to pay for the gold-plated union retirement benefits that the funds have mismanaged into oblivion.

This has to be galling to average working saps who watch as their 401(k)s and IRAs plummet, only to be asked to pony up billions of dollars in subsidies for unionized workers — many of whom get to retire into the lap of unlabored luxury while still in their 50s.

Casey's bill isn't the only gift that the White House and Congress have for the unions. Last year, economist and columnist Ben Stein estimated that as much as half of the $862 billion stimulus would go to unions, directly or indirectly. Even that might underestimate organized labor's take.

And just last week, the White House proposed $23 billion in aid to states for education. For education? Well, in point of fact, increased federal involvement in education has had zero positive effect on test scores.

So this money has nothing to do with "the children" or schooling. It has everything to do with teacher unions, which will see billions in payouts from money ostensibly intended for school kids.

In short: bailouts for the unions; higher taxes and penury for you.

In Obama's White House the federal treasury is at the disposal of the people cutting the big checks to the Democrats. We're just the suckers that are supposed to pick up the tab. Whether you call it: statism, crony-capitalism or gangster government it stinks to high heaven.

Remember in November.

President Bailout

Pres. "Bailout Barry" Obama has reportedly insisted that Sen. Dodd stop negotiating with Senate Republicans on the "financial reform" bill. You see, he thinks it's good politics to have Harry Reid hold a cloture vote a day and label Republicans as tools of the Wall St. fatcats. This is a highly cynical strategy considering that the list of major donors to his election campaign looks like a rogues gallery of the architects of the great recession.

Fannie Mae/Freddie Mac: $126,349

Goldman Sachs: $994,795

Citigroup: $701,290

JP Morgan Chase: $695,132

Morgan Stanley: $514,881

Even though Goldman Sachs has been charged by the SEC with civil fraud, President Obama has yet to return a penny of their donations. These companies made out like bandits thanks to the American taxpayer through TARP. All we have received in return is a nearly worthless AIG and stakes, along with the UAW in GM and Chrysler.

There is a reason that Goldman and the other big banks support Dodd/Franks, it's because it decreases competition while promising nearly unlimited access to the federal treasury if their future bets go sour like those on the sub-prime mortgage market. The House bill caps taxpayer exposure at $4 trillion, the Senate bill doesn't have a cap, which means unlimited exposure. How is this supposed to prevent the big banks from engaging in risky behavior? This bill is TARP on steroids, HGH and what else you got? Instead it will mean that banks like USAA that serves our military and their family members' will need to curtail the services they provide.

Senate Republicans should hold the line until they get major concessions that will actually benefit average Americans and not the politically connected big banks on Wall St.