I just figured out a secret that I don’t think most people in America have noticed. The fact is it’s not much of a secret, it’s more like the elephant in the room. And Democrats have successfully avoided mentioning it for a while now.

Looking at the supposed “stimulus” package that is trying to be shoved through Congress before the public realizes what’s in the package I noticed something. Now we have to step into the way back machine called facts for a moment. Democrats be prepared.

“So, if you make $31,850 or more you may not feel like Bill Gates and Warren Buffett but you are going to get taxed like them.”

Remember that? It was March of 2008 when all the Democratic candidates (including then-Senator Obama) voted to increase taxes on anyone making more than $31,850. It was at that time that Democrats started to insist with high order of polispeak that only the rich would suffer under their leadership.

Of course that leadership also was asleep as the mortgage crisis grew and then spawned the credit crisis. Both of which are still evolving into bigger problems. But I digress.

As then-Senator Obama won the Primaries, he began to discuss, vaguely, his economic and tax plans. It was a central point that he envisioned the rich as the sole point of higher taxes. This of course raised the question, what is rich?

The Obama campaign started to almost answer that question with anyone making around $250,000. That later went down to $200,000. Shortly after that it became $150,000. Then the nation got distracted, as financial institutions fell left and right. The only question at that point was who else Rep. Barney Frank might blame the collapse on other than himself.

Now we can move up to the present.

The House Democrats (minus 11 bi-partisan Democrats who joined the entire Republican membership) voted to pass the bloated, non-immediate, useless, stimulus package that also seeks to fund Honey bees, fix NASA, and study ‘global warming’ among other useless actions. But in this current version of the non-‘stimulus package’ there is a provision for tax rebates.

The money is to be provided to the public, as a savings each month for 4 months of about $120. But here is the catch. It’s only good for up to the first $8150 you earn, so if you exceed that amount before the 4 months are up you lose out.

Worse yet is who will get that money. And this is the elephant. You must make less than $75,000 (or $150,000 jointly). And there is the new definition of rich. The answer that has been over 6 months in the waiting has presented itself.

So if you thought Obama would only tax the rich, hello you very likely are now part of that group. Honestly I never considered making $75,000 as rich. It isn’t poor but its just as far from Bill Gates.

Think about that. Middle class income is a cut-off point for Democrats in Congress, and President Obama who is all in favor of the stimulus package as is. Can anyone tell me this is what they expected when they voted for President Obama?

If this is the threshold for who gets help, and who pays for that help, it seems more lopsided than even during the Primaries where Democrats were leapfrogging each other to sound more moderate and friendly to the public. But Congress is not partisan, nor are the current batch of polispeak promise socialisic – according to the self-admitted major news media.

Let’s be honest. If President Obama told the American public the truth, that he considered $75,000 rich, he never would have been elected. No wonder he never gave a firm answer. And why Democrats have avoided the issue entirely, because the public backlash would sink the approval ratings faster than Nancy Pelosi can waste money. And that is very fast indeed.

Well you may not hear the truth in many other place, but you have heard it from me. If you doubt this, just look up the provisions of the stimulus plan. It’s right there for you to see.

Labels: Barney Frank, Congress, Democratic Party, Nancy Pelosi, stimulus package

I had a friend ask me why the Republicans are causing trouble. The reference was to why all the House Republicans (and 11 Democrats) voted against the Stimulus Package. And when I mentioned some of the things I have long written, I was asked for more details.

Now I imagine others are wondering about details as well. How can I claim this is a horrible plan that will bankrupt America if there are no specifics. How can I be sure that this won’t stimulate the economy. Perhaps this is just a giant plot of Republicans to make President Obama look bad.

Well back in the land of reality, I decided to see if I could find a few more details on the stimulus package. And here are some of the things your money is being spent on. Remember that this is your money, and you will have to pay for this out of your pocket sometime soon.

$245 million for maintaining and modernizing the IT system of the Farm Service Agency
$175 million to buy and restore floodplain easements for flood prevention
$2.7 billion for rural water and waste disposal direct loans
$150 million for emergency food assistance
$50 million for regional economic development commissions
$1 billion for "Periodic Censuses and Programs"
$650 million for Digital-to-Analog Converter Box Program
$100 million for "Scientific and Technical Research and Services" at the National Institute of Standards And Technology
$30 million for necessary expenses of the "Hollings Manufacturing Extension Partnership"
$300 million for a competitive construction grant program for research science buildings
$400 million for "habitat restoration and mitigation activities" at the National Oceanic and Atmospheric Administration
$600 million for "accelerating satellite development and acquisition"
$140 million for "climate data modeling"
$3 billion for state and local law enforcement grants
$1 billion for "Community Oriented Policing Services"
$250 million for "accelerating the development of the tier 1 set of Earth science climate research missions recommended by the National Academies Decadal Survey."
$50 million for repairs to NASA facilities from storm damage
$200 million for "academic research facilities modernization"
$100 million for "Education and Human Resources
$4.5 billion to make military facilities more energy efficient
$18.5 billion for "Energy Efficiency and Renewable Energy" research in the Department of Energy
$2.4 billion to demonstrate "carbon capture and sequestration technologies"
$6 billion for energy efficiency projects on government buildings
$600 million to buy and lease government plug-in and alternative fuel vehicles
$150 million for deferred maintenance at the Smithsonian museums
$700 million for "comparative effectiveness research" on prescription drugs
$1 billion for Low-Income Home Energy Assistance
$1 billion for Amtrack

Again this is only part of the list of things that are needed “immediately”, and will “improve the economy”. Please do correct me and explain how Food assistance, research, or climate data modeling are going to improve the economy and help the guy/gal down the block keep their job at the local Macy’s or Office Depot. Please explain how those ex-employees of Home Depot are going to feed their family and pay the bills for the next 2 or 3 years because of repairs to NASA or Earth science research.

I dare you.

Do I think funding for education is important? Definitely. Is it part of a stimulus package meant to help people stay employed tomorrow? No. Thus anything that does not help the NATION create jobs or maintain employment is a waste of time and money in this package.

If Democrats really wanted to improve things, why not take the billions of dollars that are being wasted, roughly $36 billion just from the examples I cited above, and give it directly to the public. That would be about $123 for ever man, woman, and child in the United States right now. Take out children and those not paying taxes (since they can’t repay they don’t get the benefits) and you get around $250 each.

There is still another $790 billion more to look at. Think that there might be just a bit more waste in the 25% of the package that won’t even be spent for 2 or 3 more years. How abut just giving us the money today and not wait 3 years. That would be almost $2,500 each. That would stimulate the economy.

But that isn’t going to happen. Which means the entire package is nothing more than polispeak, and a way for the Government to gain more control of your life. The Republicans that voted against this aren’t bad guys, they are actually helping you. But don’t expect the major media to explain it.

Labels: Congress, Democratic Party, House of Representatives, stimulus package

The more I hear about the Obama stimulus package, the less I like it. Yet it is the most “urgent” piece of legislation that his Administration is working on passing, immediately. Just as the $800 billion for the credit crisis had to be immediate.

And just as with the mortgage/credit bailout quick action without forethought provides for mistakes, waste and a few political amendments that no one will notice until after the fact.

As of right now, the Obama stimulus package is being referred to by President Obama as

“All we can do, those of us in Washington, is help create a favorable climate in which workers can prosper, businesses can thrive, and our economy can grow," Obama said. "And that's exactly what I intend to achieve - soon.”

Now think about this for a moment. The stimulus package is intended to avert a depression and reverse the recessionary trend currently happening. This is important to remember as I continue.

25% of the Obama stimulus package will not take effect until after 2 years have passed. That’s not my opinion, that’s from the White House itself. Thus the package is not immediate.

The package includes several hundred billion dollars for environmental studies. That also takes an extended amount of time, and provides nothing to the economy. But it does make the global warming crowd feel all warm and fuzzy.

The package requires that:

“Much of the spending would be for items such as health care, jobless benefits, food stamps and other such programs.”

Jobless benefits do not create jobs, and therefore does not help the economy. Food stamps do not create jobs and therefore does not help the economy. Healthcare could create jobs, except that the money allocated for that is to supplement the coverage and cost for those that have lost a job. Again it does not create anything.

And a huge portion of the stimulus package is targeted to give the public money. But that’s not exactly true. First you have to make less than $75,000 (or $150,000 for those filing joint). Second you must receive a paycheck. Third you will receive a discount on the federal taxes you pay – up to the first $8150 of your annual salary.

That last one is important. It means that if you get paid once a month (as an example), and in month 2 or 3 your income exceeds $8150 you will no longer get the benefit. Of course the entire benefit only amounts to about $120 a month anyway. Which should be plenty of money to go out and buy hoards of new items. Which would create new jobs.

Except that $120 a month isn’t much at all. For most major purchases, like a new TV that will work with the HD changeover, cost far more than a mere $500 (which would take 4 months to save up to and is not immediate). Add to that equation the fact that the average American has $6000 in debt, and with tens of thousands of jobs being lost so far in this month alone most are more concerned with lowering debt as opposed to buying a new shiny something to compete with the Jones’ next door.

So again this is not creating jobs.

But there is some portion of the funds that will go to small businesses. Roughly $2.7 billion dollars. Or in other words, next to nothing. And larger businesses will get money as well, if they can prove they can create jobs through Government approved calculations that have been proven to be next to impossible to qualify for.

But do not fear. The Government will be funding jobs via public works. Like in the time of FDR. Except that just like then, if nothing is being done to create private sector jobs, which the above proves it is not, when the Government stops the funding there are no jobs for people to apply for.

In essence, this is a political polispeak attempt to look good. The long term effects are negligible at best. The quiet side provisions are definitely not popular. In virtually every aspect it fails to create jobs, or spur consumer confidence. It fails at its immediate and definitive purpose, stimulus.

If this passes, Democrats in Congress and President Obama will look good. For a while. And Republicans will have yet another thing that will be blamed on them. And when the built in failure of the plan becomes apparent, Republicans will be the first people selected to blame for their disagreement.

What is needed is a stimulus plan. Not the word stimulus, not the projection of sending the public checks that will need to be paid back at some point in the future. Least of all is the need for the Government to take care of everyone as if they were children, which this package does in abundance.

I don’t want the Government to give me what it thinks I need. I want the ability to earn enough to make my own choice about what I actually need, and if I do well what I want.

All politicians should reject the Obama stimulus package. Democrats won’t. Most Republicans will. And it will get passed because there are more than enough Democrats who seek political gain over their constituents well being.

Not the definition of change most voters expected, but it is change indeed.

Labels: Democratic Congress, President Barack Obama, stimulus package