Archive for January, 2009

Obama Stimulates ACORN with Billions —

January 27, 2009

Several times I’ve referred to Obama’s stimulus package as a federally subsidized campaign pay-back. 

No?

Tell me, then, how ACORN is conveniently in line to garner billions of stimulating dollars?

From American Thinker:

Barack Obama has spent the last week basically paying off some campaign debts. He gave a nod to his far left base by closing Guantanamo and stopping the military tribunals (without any plan for housing the detainees or prosecuting them), he pandered to the feminists by rescinding the Mexico City rule preventing federal monies from being used to promote abortion overseas. He had most of the left on their feet cheering when he took on Rush Limbaugh.

So I suppose it’s not surprising that stuck inside his monstrosity of a “stimulus bill,” would be a multi-billion dollar gift to his friends at ACORN:

The House Democrats’ trillion dollar spending bill, approved on January 21 by the Appropriations Committee and headed to the House floor next week for a vote, could open billions of taxpayer dollars to left-wing groups like the Association of Community Organizations for Reform Now (ACORN).  ACORN has been accused of perpetrating voter registration fraud numerous times in the last several elections; is reportedly under federal investigation; and played a key role in the irresponsible schemes that caused a financial meltdown that has cost American taxpayers hundreds of billions of dollars since last fall. 

House Republican Leader John Boehner (R-OH) and other Republicans are asking a simple question: what does this have to do with job creation?  Are Congressional Democrats really going to borrow money from our children and grandchildren to give handouts to ACORN in the name of economic “stimulus?”

 

Incredibly, the Democrats’ bill makes groups like ACORN eligible for a $4.19 billion pot of money for “neighborhood stabilization activities.”  Funds for this purpose were authorized in the Housing and Economic Recovery Act, signed into law in 2008.  However, these funds were limited to state and local governments.  Now House Democrats are taking the unprecedented step of making ACORN and other groups eligible for these funds:


If I didn’t see it in black and white, I wouldn’t have believed it. Here’s the relevant part from the bill:


“For a further additional amount for ‘Community Development Fund,’ $4,190,000,000, to be used for neighborhood stabilization activities related to emergency assistance for the redevelopment of abandoned and foreclosed homes as authorized under division B, title III of the Housing and Economic Recovery Act of 2008 (Public Law 110–289), of which—

 

“(1) not less than $3,440,000,000 shall be allocated by a competition for which eligible entities shall be States, units of general local government, and nonprofit entities or consortia of nonprofit entities[.]”  

 

“(2) up to $750,000,000 shall be awarded by competition to nonprofit entities or consortia of nonprofit entities to provide community stabilization assistance […]”


Not just ACORN would be in line to receive these funds. Other “nonprofit entities or consortia of nonprofit entities”  will be lining up with their hands out. And for what purpose? What exactly does “neighborhood stabilization” mean?


It means the federal government is about to give a huge amount of money to the very same people who helped get us in this mess in the first place. ACORN could now profit from the crisis by purchasing foreclosed homes for a song and selling them at a tidy profit – ensnaring more luckless victims in their mortgage scams. 


The chances of the Obama administration investigating the illegal political activities of this so-called “non-partisan” group are just about zero. But this is one fight the GOP cannot afford to back down from. They must not only raise a ruckus about this codicile giving ACORN and their friends billions of dollars, they must also push for a federal investigation of the activities of ACORN in previous elections for purposes of revoking their tax exempt status as a non-political entity.


But in politics, without the votes, it is very hard to get your way on anything. Further enriching Democratic allies will no doubt be the rule rather than the exception over the next 4 years.

 

Hat Tip: Michelle Malkin

 

More stimulus puke is over at Pogo Pundits.

Plus these topics:

**  Taking over the banks:  http://themoderatevoice.com/25962/taking-over-the-banks/
 
**  The Stimulus “machine”  http://online.wsj.com/article/SB123292987008414041.html
 
**  Who owns Chrysler?  http://www.americanthinker.com/blog/2009/01/who_owns_chrysler.html
 
**  Losing Ground in South America http://www.ibdeditorials.com/IBDArticles.aspx?id=317519214306093
 
**  Soros and his support for Legalizing Drug Trade (see previous articles concerning “Obama’s War in Afghanistan” and the Poppy/Heroin trade:  http://larouchepac.com/news/2009/01/26/soros-prods-ny-state-let-dope-pour.html
 

 ** A slideshow of the 25 most influencial liberals:
 
http://www.forbes.com/2009/01/22/influential-media-obama-oped-cx_tv_ee_hra_0122liberal_slide.html?thisSpeed=15000

**  A perspective on Obama’s war in Afghanistan: 
 
http://larouchepac.com/news/2009/01/26/larouche-no-u-s-troops-afghanistan-stop-international-drug-s.html
 
**  A perspective on Obama and Manufactured Crisis:
 
http://investigatingobama.blogspot.com/2009/01/barack-obama-and-strategy-of.html
 
**  A perspective on the failure to control illegal immigration:
 
http://www.newswithviews.com/Wooldridge/frosty436.htm

.

 

 

 

Bomma to GOP: “I won.”

January 24, 2009

So much for bipartisanship.

“I won.”

Yep.  Sure did.  And you’re also going to be responsible for the trillion dollar annual “stimulus” packages that totally destroy our economy.

… Sorta makes sense why Bomma is pushing his very own Chinese-speaking nominee for the Treasury slot ….

Just how DO you say,”Pleeeeeze, can we have some more [Chinese loans]?”  in Mandarin?

Al Qaeda Bundles Bio-hazard Material?

January 20, 2009

The initial report yesterday implied that approximately 40 Al Qaeda cave inhabitants and terrorist operatives had succumbed to a disease commonly referred to as the Plague …. 

Later, however, unnamed sources suggest that Al Qaeda operatives may have simply mishandled bio-hazardous materials.

Whichever the case, the least preferable is that Al Qaeda has such materials in their possession.

It is likely no accident that, even as usual for national gatherings, chemical and biological detectors are in place at Obama’s inauguration today.

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Ayers Denied Entry into Canada

January 20, 2009

“I don’t know why I was turned back,” Ayers said in an interview this morning from Chicago. “I got off the plane like everyone else and I was asked to come over to the other side. The border guards reviewed some stuff and said I wasn’t going to be allowed into Canada. To me it seems quite bureaucratic and not at all interesting … If it were me I would have let me in. I couldn’t possibly be a threat to Canada.”

Well … let us count the ways (courtesy of the author and comments from the article):

Ayers made headlines this summer after Republican vice-presidential candidate Sarah Palin suggested that then-Democratic presidential candidate Barack Obama hung around with domestic terrorists like Ayers. The professor had hosted a meet-the-candidate event at his home for Obama in 1995, during his run for the state Senate. They also worked together on Chicago school reform and served on a charity board together.

Ayers first rose to notoriety in the early 1970s with the Weather Underground. The group claimed responsibility for bombings at the U.S. Capitol, a Pentagon restroom and New York City police headquarters. In 1970, a townhouse in New York the group was using to build a bomb blew up.  

 

His [Ayers’] quote, “Guilty as hell and free as a bird. Isn’t America great?” He got off on a technicality and his rich father brought him into the Chicago fold.

The Annenberg Challenge received a $50 million matched grant which Ayers and Obama used to advance radical alternative education. Funding, did not go to improve Chicago schools but to radical community organization groups, such as ACORN, Ayers’s Small Schools Project, a radical alternative education project founded by Ayers and directed by Michael Klonsky, an Ayers friend and former chairman of the Communist Party, and the South Shore African Village Collaborative, the same Black Liberation Theology of Obama’s Trinity United Church of Christ pastor, rev. Wright. Obama served with Ayers on the Board of Directors for The Woods Fund, which gave $75K to ACORN, $6K to Obama’s church, and $60k to the Children and Family Justice Center founded and run by Dohrn, wife of Ayers. The Fund also gave $50K to the Ayers/Klonsky Small Schools Network. $75K grant was given to the Arab American Action Network, founded by anti-Semitic spokesman for the PLO and Yasser Arafat, Rashid Khalidi.

Hey, Mr. Ayers — ain’t Canada great?!!!

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Romney on Economic Stimulus

January 15, 2009

Leader Boehner, Congressman Cantor and members of the working group, I want to thank you for the opportunity to appear before you today to discuss options for a stimulus package.

I also appreciate the President-elect’s willingness to solicit input from our party. We are committed to working together to strengthen the economy.
These are not ordinary times. Yes, we have had bubbles before. And we have experienced recessions. But this was no ordinary bubble and this is no ordinary recession.  This bubble encompassed the largest investment sector of our economy—housing. And when it deflated, it evaporated not billions, but trillions of dollars.
The first impact was to our nation’s pool of investment capital—capital that sustains businesses, capital that finances new enterprises, capital that promotes education and discovery. This pool of investment capital was held by banks, by investment banks, by institutions and even by individual investors. And it has shrunk by trillions of dollars.

It didn’t take long for America’s families to feel the impact either. The net worth of American families has shrunk by approximately $11 trillion. This translates into about $400 billion less annual spending by consumers. And that $400 billion drop in consumption would lead to a deepening downward spiral of business failures and unemployment.

Exports won’t make up the shortfall: most of the world is in a recession and the dollar has strengthened as fear has struck the currency markets.

Investment won’t make it up either given the hit taken by the pool of investment capital. What’s left is the government sector.

There are two ways Washington can put money into the economy—one is by sending it back to the taxpayers and the other is by spending it. Of the two, it’s the former that has the bigger bang for the buck. Research by Christina Romer, the President-elect’s Chairwoman for the Council of Economic Advisors, shows that tax cuts have a substantially greater multiplier effect than does spending on infrastructure projects.

Tax cuts should be the centerpiece of any stimulus plan. The President-elect has proposed refund checks for taxpayers. Experience shows, however, that a one-time check has very little positive impact.

The 2008 stimulus led to checks being sent out in May, June and July of last year. Sure enough, disposable income rose in those months, but as Hoover
Institution economist John Taylor has shown, consumption did not (Fig. 1).
And further, even if consumption were to bump up, it would not lead businesses to expand and to add jobs. Business people are smart enough to recognize a one-time, short-lived bump for what it is.

The best medicine for a sick economy is permanent tax relief.

I’d recommend eliminating the tax on savings for middle income Americans—no tax on interest, dividends or capital gains. This accomplishes three things: it puts money into the consumer’s pocket, it helps replenish the pool of investment capital, and it encourages more Americans to become owners of American business.

The same principles apply to business tax relief. A rebate check would be a welcome sight to every businessperson. But a rebate check isn’t going to incentivize businesses to expand, to invest for greater productivity, or to hire more people. It’s lower future tax rates that do that. And there sure is room to cut corporate tax rates—we are at the top of the heap, along with Japan, the nation that has suffered through a decade-long downturn.

In my view, sending out one-time refund checks to consumers and to businesses is not the best course—it adds to a monstrous budget deficit without significantly boosting the economy.

The right course is permanent tax relief, designed to spur growth, investment and jobs. It should go without saying that raising taxes should be out of the question. It is a positive development that the President-elect has chosen not to seek an immediate repeal of the Bush tax cuts. We should go further to seek a permanent or even a temporary extension.

President-elect Obama has also proposed a short term business incentive tied to hiring new workers. That’s not a terrible idea, but it would be less effective than allowing businesses to expense capital equipment purchased this year and next. That would lead them and their suppliers to add employees, and it would boost productivity, raising wages and improving our competitiveness abroad.

The spending portion of the stimulus should be limited to those things which are urgentlyneeded and which we had already planned to buy in the future. Infrastructure projects will be included, but because they invariably face delays for engineering, environmental reviews and contracting, they can take a long time to actually boost the economy. They should be part of the picture, but not the whole canvas.

I would like to see a significant portion of new spending to be devoted to the
maintenance, repair, replacement and modernization of our military equipment and armament. Since the 1990’s dismantling of our military, we have tended to live off the assets that had been purchased in the past. These have been extensively employed in two Gulf wars and in Afghanistan. Bringing forward needed replacement and repair will boost the economy, enhance our national security, and importantly aid our men and women in uniform.

I would also add spending for energy research and energy infrastructure. Energy independence is an economic and strategic imperative.

With new spending on the agenda, Republicans should make sure that there is no parade of pork. All spending projects should be selected by the responsible federal agency according to explicit and public criteria.

Republicans should commit to vote “no” on any stimulus bill with earmarks that have not been voted upon by the entire body.

I know that cities and states have various financial challenges of their own. Some have built rainy day funds for times like these. Others have not. As a governor who welcomed the help you provided to us in the last recession, I won’t prescribe zero help for the states.   But I do believe that it is critical for cities and states to use this time to finally align spending with revenues.

Today, we are rightly focused on a stimulus to stop the economic decline and end the recession. But if we are not careful, it could add to the risk of something even worse than a recession. If we continue to leverage the public sector, to pile on more and more debt, and to ignore the looming entitlement liabilities, we could precipitate a worldwide collapse of confidence in America—in our currency, in our credit-worthiness, in our
competitiveness, in our future. We cannot write bailout checks to every petitioner, spend hundreds of billions on a laundry list of infrastructure goodies, nor reduce taxes without also reducing government obligations.

The ballooning deficits must be balanced with budget restraint and responsibility when the economy recovers. 

This stimulus package should include a commitment to reform entitlements—Social Security, Medicaid and Medicare.  Senator Gregg is right to have proposed a bi-partisan commission to do just that. He is right, and now is the right time.

A stimulus bill, combined with a projected deficit of $1.2 trillion, could send us down the road to ruin if we do not muster the courage to reform entitlements and to rein in future government spending.

Let me add a thought about regulation. Smart regulation is good; dumb regulation is bad.

Housing finance is one of the most highly regulated sectors of our economy. And no one will claim that that regulation was very smart.

Yes, we need to improve regulation, in housing and in financial services. But the right course is to make regulation that is effective. Smart regulation will make these sectors more productive and more competitive. Simply layering on burdensome regulatory schemes will depress these industries, kill more jobs, and slow economic recovery. 

And there is one very bad idea that is being promoted by a special interest group. It is an idea that would have devastating impact on the economy—short term and long term. It would lead investors to send their funds elsewhere, businesses to expand elsewhere and jobs to relocate elsewhere.

It is the plan to virtually impose unions on all small, medium and large businesses by removing the right of workers to vote by secret ballot. Card
check is a very bad idea under any circumstances. In these circumstances, it would be
calamitous.

In sum, we are presented with economic peril unlike anything we have faced during our lifetimes. I do indeed believe that careful, skillfully crafted stimulus can improve the prospects for recovery. But excessive and sloppy spending and one-time refund checks could have the exact opposite effect than that which the stimulus seeks. And in the final analysis, we must remember that it is the private sector—the home of entrepreneurs,
workers, managers, and visionaries—the private sector, not government, that creates jobs, boosts wages, and provides for our future.

What gives me my confidence is this: I believe in the American people.

Thank you

Direct links to be provided as available.