Good news on Campaign Finance laws

The US Supreme court breathed new life back into the first amendment today by ordering a new round of oral arguments in Citizens United v. FEC, the “Hillary: The Movie” case.  You can read a press release about this here.

Campaign promise aside, Obama open to proposal to tax health benefits for middle-class workers

By PHILIP ELLIOTT , Associated Press

Last update: June 28, 2009 - 5:32 PM

WASHINGTON - The Obama White House left open the possibility Sunday that the president would break a campaign promise and raise taxes on people earning less than $250,000 to support his health care overhaul agenda.

White House adviser David Axelrod said the administration wouldn't rule out taxing some employees' benefits to fund a health care agenda that has yet to take final form. The move would be a compromise with fellow Democrats, who are pushing the proposal as a way to pay for the massive undertaking without ballooning the federal deficit.

"There are a number of formulations and we'll wait and see. The important thing at this point is to keep the process moving, to keep people at the table, to the keep the discussions going," Axelrod said. "We've gotten a long way down the road and we want to finish that journey."

But if President Barack Obama compromises on that point, it would reverse a campaign tax promise.

"I pledge that under my plan, no one making less than $250,000 a year will see any type of tax increase," Obama told a crowd in Dover, N.H., last year. "Not income tax, not capital gains taxes, not any kind of tax."

At the time, his Republican rival, Sen. John McCain, R-Ariz., was proposing a tax on health benefits similar to the plan Obama is now considering. Just a year ago, Obama spent millions on campaign commercials attacking the idea.

One ad accused McCain of favoring "taxing health benefits for the first time ever ... taxing health care instead of fixing it. We can't afford John McCain."

A second Obama ad called McCain's approach "the largest middle-class tax increase in history." Driving the point home, it contended the "McCain tax could cost your family thousands. Can you afford it?"

The rest of the story...

Uncertainty in the White House

This article, by R. Emmett Tyrell, is chilling, but on target. I recommend it.

Police are People Too!

Rarely do I post items of this nature, but this one I find extremely amusing. Therefore I must share it with you.

Sheriff’s deputy, mom are arrested

A sheriff’s deputy and his mother face charges of disor­derly conduct after the deputy vomited on people at a Kenny Chesney concert in Fargo and refused to leave, authorities say. Authorities said Stark Coun­ty Deputy Justin Krohmer, 26, of Dickinson, and his mother, Susan, 47, whose husband is the Ada, Minn., police chief, were arrested after the Satur­day night incident.

Police Sgt. Mark Lykken said Justin Krohmer was asked to leave the Fargodome about 11 p.m. Saturday but refused to do so.

Susan Krohmer is accused of pulling and pushing officers, screaming profanities and try­ing to prevent an officer from expelling her son from the con­cert.

Justin Krohmer appeared in Fargo municipal court Mon­day; his mother appeared Tuesday. Both face another hearing July 2.

Justin Krohmer joined the Stark County sheriff’s office Dec. 15, said Kay Haag, the county’s deputy auditor. Previ­ously, he was a McLean Coun­ty deputy.

No phone listing was avail­able for Krohmer, and he could not be reached for comment. The number for Susan Krohmer was unlisted, and a message at her husband’s office was not returned.

Stark County Sheriff Clarence Tuhy said that as of Tuesday, Justin Krohmer was still a deputy and he had no reports on the Fargo incident.

“I’m waiting for reports so I can review them,” the sheriff said.

Lesson in Government Control

There is a recent article about a young, ambitious polititician who talks about health care and wealth redistribution - Hugo Chavez.  Here.

During the second half of the 20th century, the world saw in stark relief the problems of planned economies.  Those who were paying attention saw object lessons of how markets work, and how planners, no matter how well intentioned or technically skilled, simply cannot compete with the collective wisdom of markets.  Hayek said it best in The Road to Serfdom.

The recent leftward lurch in the US toward the same planning that failed so miserably all over the world is certain to be destructive.  What seems to escape both US policymakers, and the general public is that the quality of the planning, and the details of the socialist programs make little difference.  Markets are a lot like gravity.  They will prevail.  You can fight them, but you will lose.

The article about Venezuela highlights and explains how and why this is so.  Mr. Chavez pulls on all the classic levers of the central government, currency controls, nationalizing assets, using the "bully pulpit".  Nothing seems to yield the results he wants.

In this sort of story, there is often reference to the "black market", which sounds sinister and dirty.  In fact, the "black market" is often allowed to exist and operate in controlled economies because authorities tacitly admit that without them, economic conditions would be even worse.  In any case, as we have found with the US "drug war", truly shutting down a "black market" is almost impossible.

The USA has the best medical care available anywhere in the world.  Let's not repeat yet another disastrous experiment in central planning by giving total control of our health care to the same people who brought us TARP, Trillion dollar deficits, $600 toilet seats, the IRS, and Medicare.

On Deck, June 23, 2009

· Dems Ignore Obama Cuts (The Hill) Note: Congressional Democrats are largely ignoring President Obama’s $19.8 billion in budget cuts. The president proposed axing dozens of programs that he said were inefficient or ineffective, but members of the House Appropriations Committee are including the money for them. They are looking to cut elsewhere — and are targeting even some of Obama’s priorities. Democrats on the panel are, for example, leaving out $60 million required to close the prison in Guantánamo Bay, Cuba — one of Obama’s campaign promises.



· Confidence in Stimulus Plan Ebbs, Poll Finds Obama's Approval Rating Remains High, but Shift in Public Outlook Has Political Implications (Washington Post) Note: Barely half of Americans are now confident that President Obama's $787 billion stimulus measure will boost the economy, and the rapid rise in optimism about the state of the nation that followed the 2008 election has abated, according to a new Washington Post-ABC News poll. Overall, 52 percent now say the stimulus package has succeeded or will succeed in restoring the economy, compared with 59 percent two months ago. The falloff in confidence has been sharpest in the hard-hit Midwest, where fewer than half now see the government spending as succeeding. In April, six in 10 Midwesterners said the federal program had worked or would do so.

Mpls Taxpayer Money to Promote Tap Water

The latest waste of taxpayer money brought to you from Fox 9 News.

Tap Minneapolis costs $180,000

Published : Monday, 22 Jun 2009, 8:16 PM CDT

MINNEAPOLIS - The city of Minneapolis is spending nearly $200,000 to sell something that would seem to sell itself: tap water.

With her bottle of water in hand, Susan Davis was feeling hot and a little guilty.

“It would be great if everyone did drink the tap water,” said Davis. “I think the tap water in Minneapolis is just fine.”

Tap Minneapolis is the city's new web site, and PR campaign to promote the city's tap water. But unlike tap water, it's not cheap.

The web site costs $75,000. The total cost paid to the PR firm was $180,000.

It's the kind of thing Governor Tim Pawlenty attacked last week. It also is enough to drive County Commissioner Jeff Johnson to drink.

It takes a $180,000 in taxpayer money to convince those same taxpayers to drink tap water. A reasonable person could ask whether that's wise or not.

But the real problem for some may be the product. The city's water comes from the Mississippi River and a spring run off gives it a taste and smell, that's just a little off.

The water campaign was Mayor R.T. Rybak’s idea. He also brought us those decorative water fountains a year ago.

Service - American as Apple Pie

I got a nice letter from President Obama today urging me to "serve" this summer.

I think this is wonderful.  Candidate Obama often spoke of the virtues of volunteering and community service, and I could not agree more.  You can see Michelle Obama talking about the initiative here.

I want to add some suggestions to help out with the recruiting.  Given that it is Republicans who dominate the world of volunteers, I want to suggest some causes that more volunteers will enthusiastically support.

Volunteer for your local GOP.  The GOP is the party of the future, and will actually support the values that will build our economy and our families. The GOP supports freedom, and that is the only way to really support volunteerism.

Volunteer for your local church.  No society can persist without values and standards, and our churches give us a lasting foundation based on God rather than man.

Volunteer for civic organizations - Scouts, Lion's, Rotary.  There are hundreds of organizations that match unmet needs with willing volunteers.

If Mr. Obama really wants to encourage volunteerism, he will ensure that the average citizen has a minimal tax burden, so there is some time and money left over in the family budget to volunteer.

Lights Out

On Deck: June 22, 2009

As House Democratic Leaders push their “cap-and-trade national energy tax plan” this week, the RNC has released a new web video this morning on this plan called “Lights Out.” House and Senate offices will receive a candle this morning from the RNC with a note reading, “If Democrats pass ‘Cap and Tax,’ this is all the energy American families and businesses will be able to afford. Don’t tax our lights out!” See report from The Hill’s Michael O’Brien here. Also, Senate Republicans will hold a hearing today on the cap-and-trade national energy tax plan today at 2pm. See full details in today’s On Deck.

Please Reads:

• In The House, It’s Peterson Vs. Climate Bill (The Wall Street Journal) Note: The fate of the leading proposal to curb U.S. greenhouse-gas emissions is in the hands of Rep. Collin Peterson, a Marlboro-smoking free spirit who scoffs at warnings about climate change and says the Environmental Protection Agency is “in bed with” corporations opposed to the ethanol industry…. The resistance to the climate bill from Mr. Peterson and other farm-state Democrats has exposed divisions within the majority party over whether Congress should attempt such far-reaching and potentially costly environmental legislation at the same time it is trying to overhaul the U.S. health-care system.

• Mayors complain about stimulus spending (LA Times) Note: Vice President Joe Biden has been holding private conference calls on the stimulus with elected officials from around the country, some of whom have been telling him that metropolitan regions are losing out to rural areas in the competition for stimulus money… That argument tracks a report released by the U.S. Conference of Mayors that concluded that cities have gotten a disproportionately small share of stimulus money set aside for road and other transportation improvements. Seattle Mayor Greg Nickels, newly installed president of the U.S. Conference of Mayors, gave a speech to the association on June 15 saying he would ask his fellow mayors to “critically review every aspect” of the $787-billion stimulus package.

• White House Changes The Terms Of A Campaign Pledge About Posting Bills Online (The New York Times) Note: Various watchdog groups have slapped Mr. Obama’s wrist for repeatedly failing to live up to the pledge. Politifact.com, the fact-checking arm of The St. Petersburg Times, has branded it a “promise broken.”At the same time, many have questioned the value of the promise, saying it was too late in the process for anything to change in a bill.

Here is what’s On Deck for Republicans:

• The Republican National Committee released a new web video today on the Democrats’ cap-and-trade national energy tax plan. The web video, entitled “Lights Out,” can be viewed here: http://www.youtube.com/watch?v=rnvPt0E2Ed0.

“The so-called ‘cap and trade’ plan proposed by President Obama and Congressional Democrats is nothing but a multi-billion dollar national energy tax on every American family, small business and family farm. Those hardest hit by this massive tax will be the poor and middle-class who are already struggling to make ends meet in today’s recession. Americans want an energy plan that will lead to lower energy costs, more jobs, a cleaner environment and greater energy independence without a national energy tax that will tax our lights out,” Chairman Steele said.

• From the SRC: The Senate Republican Conference will hold a hearing today, June 22 at 2pm, to investigate the effect the Democrats’ proposed cap-and-trade national energy tax will have on job growth and the ways in which building 100 new nuclear plants over the next 20 years could help our economy, keep America competitive, and protect our environment. Senator Bob Bennett, R-Utah, will chair the hearing in Dirksen 562.

• From Bob McDonnell’s campaign: Bob McDonnell, Republican gubernatorial nominee and former Attorney General of Virginia, will be joined by Mississippi Governor, and Republican Governors Association Vice-Chairman, Haley Barbour will hold two joint press availabilities today, June 22nd. The events will take place at 9:00 a.m. in Virginia Beach and 11:30 a.m. in Richmond.

On The Democrat Side – What To Watch For:

• See RNC research brief below on the Democrats’ cap-and-trade national energy tax plan… Note: “Nobody in this country realizes that cap and trade is a tax. And it’s a great big one.”

TAXING YOUR LIGHTS OUT

Democrats’ So-Called “Cap-And-Trade” Plan = National Tax That Makes Energy Less Affordable

DON’T BE FOOLED: “CAP-AND-TRADE” MEANS “NATIONAL ENERGY TAX”

Congressman John Dingell (D-MI): “Cap-And-Trade Is A Tax.” “Nobody in this country realizes that cap and trade is a tax. And it’s a great big one.” (Rep. John Dingell, House Energy and Commerce Committee and House Science Committee, Joint Hearing, 4/24/09)

New York Times’ Thomas Friedman: “Advocates of cap-and-trade argue that it is preferable to a simple carbon tax because it fixes a national cap on carbon emissions and it ‘hides the ball’—it doesn’t use the word ‘tax’—even though it amounts to one.” (Thomas L. Friedman, Op Ed, “Show Us the Ball,” The New York Times, 4/8/09)

NATIONAL ENERGY TAX BY THE NUMBERS

$1200+: Annual Tax Increase For Average American Household From Cap-And-Trade. “The study shows that a cap-and-trade system designed to reduce greenhouse gas emissions by 15 percent would place an annual burden of $144.8 billion on American households. The average annual household burden would be $1,218, which would be approximately 2% of the average household income.” (Andrew Chamberlain, “Who Pays for Climate Policy? New Estimates of the Household Burden and Economic Impact Of A U.S. Cap-And-Trade System,” Tax Foundation Working Paper #6, 3/16/09)

$2 Trillion: Total Tax Burden Under Obama Cap-And-Trade Proposal Over Next Eight Years. “It now looks like the White House low-balled revenue estimates (actually costs to business and consumers) from his cap-and-trade carbon plan. Instead of $646 billion over eight years, it may cost $2 trillion.” (James Pethokoukis, “Will Cap-and-Trade Cost You $2 Trillion?” US News And World Report’s “Capital Commerce” Blog, www.usnews.com, 3/18/09)


WHO WILL BE HIT HARDEST BY THE NATIONAL ENERGY TAX?

LOW-INCOME HOUSEHOLDS: “Price increases would be essential to the success of a cap-and-trade program because they would be the most important mechanism through which businesses and households would be encouraged to make investments and behavioral changes that reduced CO2 emissions. Those increases, however, would impose a larger burden, relative to their income, on low-income households than on high-income households.” (Terry Dinan, CBO Senior Advisor, “The Distributional Consequences of a Cap-and-Trade Program for CO2 Emissions,” Testimony before the Subcommittee on Income Security and Family Support House Committee on Ways and Means, 3/12/09)

SENIORS AND YOUNG ADULTS: “In total, households would face an annual burden of roughly $144.8 billion per year with costs disproportionately borne by ... those under age 25 and over 75 years ...” (Andrew Chamberlain, “Who Pays For Climate Policy? New Estimates of the Household Burden and Economic Impact of a U.S. Cap-and-Trade System,” Tax Foundation Working Paper #6, 3/16/09)


AMERICAN FARMERS: “Worst of all is what happens to farmers’ net income. Farmers live off their gross income; what they earn in addition to that is their net income or marginal income. Waxman-Markey significantly shrinks farmers’ net income pie. Farm income is expected to drop $8 billion in 2012, $25 billion in 2024, and over $50 billion in 2035. These are decreases of 28%, 60% and 94% from the baseline, respectively.” (Nick Loris, “For Farmers, Cap and Trade is a Permanent Drought Season,” The Heritage Foundation’s “The Foundry,” 6/9/09)

TAXING YOUR LIGHTS OUT: “CAP-AND-TRADE” WILL MAKE ENERGY MUCH MORE EXPENSIVE

CBO Says National Energy Tax Will Hit Consumers, Not Corporate Profits. “Under a cap-and-trade program, firms would not ultimately bear most of the costs of the allowances but instead would pass them along to their customers in the form of higher prices. Such price increases would stem from the restriction on emissions and would occur regardless of whether the government sold emission allowances or gave them away.” (Terry Dinan, CBO Senior Advisor, “The Distributional Consequences of a Cap-and-Trade Program for CO2 Emissions,” Testimony before the Subcommittee on Income Security and Family Support House Committee on Ways and Means, 3/12/09)

Democrats Admit National Energy Tax Will Raise Electricity Bills. “[S]everal Democratic aides noted that with the economy in a deep recession, many vulnerable Democrats might be loath to vote for anything that could be blamed for higher utility bills. ‘With the economy the way that it is, I don’t know that there’s going to be the stomach to pass a bill that might raise people’s utility and gas rates,’ one Senate Democratic staffer said.” (Emily Pierce & Steven T. Dennis, “House Climate Bill Facing Senate Headwinds,” Roll Call, 5/18//09)

Energy Costs Would Skyrocket In Rural Areas. “Rural electric cooperatives, vestiges of a New Deal-era campaign to provide power to rural America, have started to lobby against the House climate change bill by stressing that it would raise electricity costs in certain states more than in others.” (Jim Snyder, “Rural Co-Ops Target Climate Bill,” The Hill, 6/10/09)