A Trillion Dollar Failure

The United States Congress is about to pass the largest single-year increase in domestic federal spending since World War II. Despite the fact that neither the Republicans in Congress, the media, nor the American people have been allowed to read the bill, the House plans to vote on the plan today. The Senate will quickly follow suit so that the bill will hit President Barack Obama's desk by Monday.

Even without the full benefit of digesting what is in this trillion dollar debt bill, over 200 economists have expressed their belief that this plan is destined to fail.

And conservative economists that once supported the idea of a stimulus are now calling the current plan "An $800 Billion Mistake." Even center left economists like President Bill Clinton’s budget director, Alice Rivlin have told Congress that the long-term spending items in the plan "should not be put together hastily and lumped in with the anti-recession package."

This past summer, Obama Administration National Economic Council director Larry Summers said that any stimulus bill must be “timely… targeted … and credibly temporary.”

The plan coming out of Congress is none of those things.

Not Timely

The Heritage Foundation has never believed that temporary tax cuts have a stimulating effect on the economy. That is why last year we predicted that President George Bush's tax rebates would not help the economy. The Obama Administration's temporary tax cuts will be equally ineffective.

However, according to the Congressional Budget Office, the tax cut portion of the stimulus bill was the fastest working part of the package. It was also one of the first things reduced in the conference committee to make room for more spending. This means the stimulus will be even slower acting than the CBO originally predicted.

Much of the infrastructure spending in the bill will also not help the economy recover. The Obama Administration's budget director, Peter Orszag (who was previously head of the CBO) authored a report in 2008 stating: "Large-scale construction projects of any type require years of planning and preparation. Even those that are 'on the shelf' generally cannot be undertaken quickly enough to provide timely stimulus to the economy."

Badly Targeted

The White House has pretty much conceded that most of the stimulus bill is not fast acting and are instead telling the Washington Post that "the president secured many of his biggest priorities in the legislation, including the longer-term health-care and energy investments that the administration views as a down payment on broader reforms."Many of these "broader reforms" will undermine immediate economic recovery, including:

An $87 billion dollar bailout for state Medicaid funding which only rewards inefficiency and encourages overspending.

Wage controls for construction work on federal projects which will raise costs and decrease employment.

Billions for increased government health care bureaucracy which serves as a major down payment on the path to socialized medicine.

The bill also settles old ideological scores including the abolishment of the bipartisan 1996 welfare reform policies and a ban on funds for faith based educational institutions.

And then there is the pork. Despite assurances that the bill would be pork free, the Obama Administration has been crisscrossing the country highlighting which local pork projects are in the plan. Plus the $6.5 billion line item for medical research was key in winning Sen. Arlen Specter's (R-PA) vote.

Not Temporary

There is nothing credibly temporary about the spending in this bill. The new welfare spending in this bill has already become the new budget baseline and anyone who dares to try pare it down is being attacked for "slashing" government funds. According to Heritage fellow Robert Rector, once this permanent new spending is factored in, the real cost of the plan balloons to $1.34 trillion.

Trillion Dollar Deficits for Years to ComeThe “stimulus” bill alone will create more debt (approximately $1 trillion including interest costs), than Bush’s first three years of budget deficits combined ($948 billion). Under the Reagan Administration, the deficit peaked at 6% of GDP in 1983. According to the CBO the 2009 deficit will reach 8.3% of the economy, not including the stimulus or bank bailout cash. If you include the permanent nature of the stimulus spendathon, the deficit could hit nearly $2 trillion, or 13.5% of the U.S. economy.

That is why the CBO has predicted that this so-called stimulus bill will actually harm economic growth. Democrat appointed CBO director Doug Elmendorf explains why:

The principal channel for this effect is that the legislation would result in an increase in government debt. To the extent that people hold their wealth in the form of government bonds rather than in a form that can be used to finance private investment, the increased government debt would tend to 'crowd out' private investment—thus reducing the stock of private capital and the long-term potential output of the economy.

Why are we passing a stimulus bill that our own government is telling us will cause our economy to shrink?

Here's another great article to read: President Obama Set to Exceed President Bush’s Deficits

www.heritage.org - be sure to sign up for the Morning Bell... best read you'll have.

4 from CNSNews on Stimulus, Health Care Rationing, Jobs

Stimulus Bill Raises Concerns Over Government Rationing of Health Care
(CNSNews.com) - Two provisions in President Barack Obama’s economic stimulus plan could give the federal government the authority to oversee the medical decisions made between doctors and patients, critics warn, which could result in the rationing of health care. The plan to make all health records electronic and establish an effectiveness board to review health care costs was part of the $838 billion economic stimulus bill that passed the Senate Tuesday. Critics note that the electronic medical records will be mandatory.

No Reason to Worry About Those Health Efficiencies in Stimulus Bill, Democrat Says
(CNSNews.com) – Democrats are downplaying concerns about health provisions tucked into the massive stimulus/spending bill now making its way through Congress. “There is nothing in this legislation that interferes with a doctor making a decision, with the patient, on what is appropriate care,” Sen. Ben Cardin (D-Md.) told Fox News on Wednesday.

Senators Who Backed Stimulus Not Sure How Many Jobs It Will Create
(CNSNews.com) - In his press conference on Monday, President Obama said his economic stimulus package would create or preserve up to 4 million jobs, but on Tuesday, lawmakers on Capitol Hill who voted for the $838-billion stimulus told CNSNews.com there is no way to know how many jobs the bill will create. Sen. Kit Bond (R-Mo.), who voted against the bill, told CNSNews.com he doubts it will create as many jobs as the president and Democrats claim.

Top Senate Democrats Mum on How Many Jobs a Successful Stimulus Must Create
Washington (CNSNews.com) – Top Senate Democrats refused to say how many jobs the nearly $800 billion stimulus spending bill would have to create in order to justify spending an unprecedented amount of taxpayers’ money. CNSNews.com asked the question Monday of senators who plan to vote for the bill.

Stop the "Compromise" Stimulus

Newt outlines in stark terms exactly why this bill, as currently written, is not worthy of our support.

Call your Senators today at 202-224-3121 and tell them to oppose the stimulus package. And for good measure, send them an email too.

Let's be honest, it’s not really a stimulus bill. It’s a big government, pork-laden spending bill filled with wasteful projects.



http://www.americansolutions.com/Blog/Read.aspx?guid=dcda8b24-c6db-4d27-a4f8-fbe3b5fb740b

The Gallup Poll found that 54% of Americans either want to see major changes to the current plan, or they outright reject it. Other surveys are also indicating that public support is plummeting. Politicians can call it stimulus and they can call it change, but it's just more of the same - and the American people are starting to realize it.

That's why the time to act is now. With so much at stake, our elected officials need to hear from us.
Here is what you can do - pick up your phone and call your Senators right now at 202-224-3121. Let them know exactly what you think about how they intend to spend your hard-earned money.

House GOP Leaders Call for Democrats to Post Massive Omnibus Spending Bill Online

Now we just need to make sure none of our Republican Senators vote FOR the stimulus.

To our Senate Republicans: Filibuster time guys. Use the fact that it's not open and transparent to the public as a rallying call to hold off on the thing until it's posted online! Stand on your conservative principles.

House GOP Leaders Call for Democrats to Post Massive Omnibus Spending Bill Online
In a letter to Speaker Nancy Pelosi (D-CA) and Majority Leader Steny Hoyer (D-MD), House Republican leaders yesterday formally asked that the massive FY 2009 omnibus spending bill be posted online immediately. Posting the massive bill online would allow the American people to study the contents of the bill between now and the week after President’s Day, when the $500 billion legislation is scheduled to be brought to a vote, and would be consistent with President Obama’s call for greater transparency in government, Republican leaders noted.
http://republican-news-sweep.blogspot.com/2009/02/house-gop-leaders-call-for-democrats-to.html

And we think they can handle really big money???

We've already watched our government fritter away billions and billions of dollars with nary a dent in this "recession". Now they want us to believe they're going to be able to deal with a trillion or more? Are they nuts? Are we nuts? We need an uprising. We need to take back our government. We gave it away thanks to millions who didn't have a clue who or what they were voting for. Now we need to get off our duffs and take it back. Come on folks, get busy or we're going to lose our country completely.

Don't let them pass this stimulus, scamulus, porkulus bill!!!!!

AIG, Citi deals gave US Treasury least value-report
By David Lawder WASHINGTON, Feb 6 (Reuters) - The U.S. Treasury Department bank bailout program received the least value from its investments in the most troubled surviving institutions -- American International Group and Citigroup, a new report from a watchdog panel showed on Friday. The Congressional Oversight Panel report said the Treasury overpaid financial institutions by about $78 billion in its capital injections last year through the Troubled Asset Relief Program. It paid $254 billion in 2008 in return for stocks and warrants worth $176 billion under the Troubled Asset Relief Program. This conclusion was first disclosed on Thursday by the panel's chairwoman, Elizabeth Warren, in U.S. Senate testimony. But the new report provided more details on the methodology and it also concluded that the U.S. government received far less value than private investors did in recent major transactions in the financial sector. The report showed that the Treasury got the worst deal on second-round investments in American International Group for $40 billion and Citigroup for $20 billion under special aid programs tailored for the two institutions. For each $100 spent on these two companies. the Treasury received securities worth $41,
http://www.cnbc.com/id/29045660/site/14081545/for/cnbc/

Panel: Bailout Overpaid $78B For Stocks
A government watchdog group says the federal government overpaid for stocks and other assets from financial institutions under its $700 billion rescue program.

Treasury Overpaid for TARP Bank Assets, Report Says
Treasury overpaid for financial-sector assets in TARP, a new report says.

Here's my favorite (bias showing guys???? Bush did it??? Uh huh, he personally wrote those checks. They are right, though, it was his administration...):

Bush overpaid banks in bailout, watchdog says
The Bush administration overpaid tens of billions of dollars for stocks and other assets in its massive bailout last year of Wall Street banks and financial institutions, a new study by a government watchdog says.

- AB

Don't forget the Fairness Doctrine!

While we're all concentrating on trying to stop the stimulus, Obama, Pelosi and team are working on ways to further their other agendas (which all dovetail together nicely, of course). Once again talk radio is a target of the left and they're going to be trying to slide that one through soon. Talk radio is a thorn in their side and as long as conservatives talk show hosts are out there talking, they can't sneak things through (or whitewash the bills sufficiently so we think they're innocuous).

Another one that is winding it's way into law that needs our full attention is the Employee Fair Choice Act. You know, the one that takes choice away from workers and will make the Unions another arm of government? It's a power grab by the Unions and payback from Obama and friends for getting them into office.

Either one of those two will spell "the end" for America the brave and the free.

Health care is another bad one coming down the pike. I don't know if we can stop that one, but I certainly intend to try.

Think about our government running MORE of our lives! Did you hear last night that our government paid something like $30 or $40 billion for AIG assets worth $14 million or billion? My husband walked in and told me about it so I'm getting that second hand. Here's a quote from a CNBC story (sorry, but that's the first one that came up... arrggg, hate to give them any publicity):

The Congressional Oversight Panel report said the Treasury overpaid financial institutions by about $78 billion in its capital injections last year through the Troubled Asset Relief Program. It paid $254 billion in 2008 in return for stocks and warrants worth $176 billion under the Troubled Asset Relief Program. http://www.cnbc.com/id/29045660/site/14081545/for/cnbc/

My own tale of government intelligence is a doosey, which I'll save for another day. It has to do with taxes.

I used to work for the government, sad to say. I worked for a quasi-government agency that the government enveloped into their fold after I'd been there ten years. Talk about a change in philosophy. I was actually called into the office and chastised because I was working too efficiently and it was making everyone else look bad... I was told not to stay after hours to finish critical projects (even though I was salary and it didn't cost them a penny).

That's the day I decided I'd finally had enough and started working toward starting my own business. That day was also a turning point in my shift from "liberal" to conservative. While I was in my corporate cocoon, I didn't have to think for myself, didn't have to be responsible. I had fun, lived for the day and went with the flow. I didn't spend a whole lot of brain energy thinking about politics, where the country was headed, and the issues of the day.

I'll share more of my story someday, suffice it to say that as you can tell when I pop in here to blog, I'm aware now!

We have something precious in this country and I fear that we are getting ready to lose it. I saw the previous post one of my Barracuda Babe friends posted. It is SCARY. We have to stand up and fight like we've never fought before.

They are going to be adding little bits and pieces into bills that will further their agenda. I don't know what their ultimate goal is, all I can do is look at what is being proposed and guess.

Please, please, please pick up the phone and call. Send an email. Write a letter. If you're like I used to be and your day to day life consumes you, try to carve out 20 minutes a day to skim the Internet and read BOTH sides (if you're inclined to float left). Try to keep an open mind.

- Barracuda Babe extraordinaire

Wake Up America on the Stimulus

Wake Up America movement is an all volunteer non-partisan grass roots network, as many of you know. A core team of volunteers have diligently examined the contents of the current bill before Congress - HR1. What we have learned about what's happening in Washington is no less than astonishing.

TAKE THE TIME TO READ THIS NOW
Your Future may depend on it. Once you do, you may think this is all too incredible to be true. SO COME SEE IT FOR YOURSELF at WAKE UP AMERICA WEBSITE
We have posted the entire HR-1 in exclusive downloadable form for signed in Volunteers, like yourself. W.A.M. also has opened a special page on website to see specific excerpts of
THE BIGGEST SWINDLE IN HISTORY!

YOU DESERVE TO KNOW THE TRUTH - and EVERYONE you know should also BE AWARE OF THE FOLLOWING FACTS:

1. HR1 opens with a positive sounding statement about its contents being only for the purposes of immediate actions to support economic recovery. THIS IS NOT SO! As a hint of some of what's to come in its SIX HUNDRED AND FORTY SEVEN pages - its introductory statement immediately switches the subject to the (very complicated) terms of the GRANT MONEY that it contains. Have you ever heard of an economy in crisis being saved by the circulation of funds being poured into GRANT MONEY?!

2. As reported on FOX news briefly, the presumed organizer of this self-destructive volume of insanity, is Rep. David Obey of Wisconsin, whose own son stands to gain millions in government investment if this measure passes. But THAT is only a drop in the bucket of pork barrel spending included in HR-1. But here is what's worse: The purpose of the bill's high volume of self-serving sub-clauses (each adding MILLIONS OF DOLLARS MORE in non-economic emergency expenditures) is for one end: to BUY THE VOTE of every Congressman required for HR-1 passage! This Obama strategy for bribing public officials is nothing new. He has used it successfully - with Axelrod's help - throughout his rapid-fire rise to power. Here is the REAL REASON for buying up Congressional votes at this critical time:

3. HR-1 is ONLY THE FIRST in a package of TEN BILLS preparing to be launched in our Congress. Together they represent the obliteration of the American way of life as we have known it. As the public knows T.A.R.P. BILLIONS came first - and is already being shown NOT TO IMPROVE THE ECONOMY. They are claiming that's because it's just "not enough." Any logical criticism of HR-1 is now also being brushed aside on the basis "We know it's not perfect but we need to do something FAST."

4. Each of these TEN PIECES OF DESTRUCTIVE and COSTLY LEGISLATION has a politically correct sounding Title. Together these form a body of nearly-irreversible SOCIALISM and their underlying intention is clear: Flood so much currency and power into the hands of Obama's supporters that the influence of his backers becomes an unstoppable political machine pursuing its own agenda - and its agenda does NOT serve We the People it is supposed to represent!

5. This currently unreported package of TEN BILLS are under the vast umbrella of the "Obama Economic Recovery Plan." The strategy is simple, really: to manipulate the emotions of the American public and orchestrate the purse strings of Congress - all FALSELY DISGUISED as necessary to improve our current plight. Notice how the Media has stopped talking about the "bail-out" and is now using the term "Stimulus Plan." When the next bill package comes up for a rapid-fire slam-dunk, they'll just call that one by a different name and so on and so on.

6. Which brings us to the most critical question: WHO IS REALLY WRITING ALL THIS LEGISLATION that will affect our families for generations to come? On January 7, 2008: The 10 Bill Package of "Obama Economic Recovery Plan" was introduced in the House of Representatives. On January 14, 2008 each of these Bills was no more than a few paragraphs in length - with appealing Titles followed by a few vague sentences. That's all there was! Yet, before January ended the OPENING PIECE OF LEGISLATION - HR1 mushroomed to 647 pages long! Ask yourself: How could Congress possibly have written much material on so many sweeping topics in just a few weeks? Then go on to the bigger question: Who in our House of Representatives actually read every page in this bill - and studied the use of the BILLIONS of Dollars being handed out throughout these pages? IT IS OBVIOUS THE HOUSE PASSED THIS BILL ONTO THE SENATE WITHOUT ACTUALLY READING IT - and quite possibly NOT having authored it in Congress itself!!!

HERE IS A BREAKDOWN OF WHAT YOU MOST NEED TO KNOW ABOUT HR1 before it becomes the LAW OF THE LAND:

Despite Obama's statement that "less than 1%" of this bill includes costs unrelated to economic urgency, MOST HR-1 CONTENTS HAVE NOTHING AT ALL TO DO WITH RESOLVING THE ECONOMIC CRISES. Everyone willing to Vote It In is earmarked to get a piece of the pie for their own special interests.

These billions in pay-offs- built into HR! - are covering up subcategories within the legislation designed exclusively for Obama's self serving political ends- individually and collectively they threaten our usual rights as citizens in a free Republic. These include:

- Massive funding of ACORN, despite the fact that the organization is under indictment in at least 12 states!

- Additional funding for another Obama campaigning arm - under the guise of support for the Analog to Digital conversion

- A huge volume of surreptitious GRANT funding to be distributed for questionable purposes of an extended period of time.

- Enormous bundled funding for "technology advances" (to improve outreach of propaganda and invasions of privacy.)

- Unbelievable extravagances in the upgrades of federal buildings and vehicles completely contradictory to our emergency status.

LAST, BUT FAR FROM LEAST: over ALMOST TWO HUNDRED PAGES of new Laws & Government Expenditures to NATIONALIZE the records of all Health Care providers into ONE DATA BASE which requires every American's Health Records be accessible to ANY who have access to said DATA BASE. This measure also refers to usage of the database by the federal government for BIO-SURVEILLANCE.

To do something about the dangerous insanity currently overtaking CAPITOL HILL sign in to help Wake Up America - GET INVOLVED

To better inform others you know whose lives will also be effected by HR-1, forward them the following link: THE NEW CONGRESS