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To: TimF who wrote (270508)9/26/2008 2:38:23 PM
From: Brumar89  Respond to of 793928
 
2,300 earmarks included in Congress' spending bill

Heard this quoted on Bennett's morning radio show - Istook was hosting. Business as usual in DC.

This doesn't include the payoffs to groups like ACORN, La Raza, etc that the disgraceful Barney Frank and Chris Dodd put in the bailout bill.


By Robert Pear
NEW YORK TIMES NEWS SERVICE

September 26, 2008

WASHINGTON – As Congress tried to cobble together a plan to spend huge sums on a financial bailout, lawmakers also moved yesterday toward final approval of an omnibus spending bill with more than 2,300 pet projects, including a $2 million study of animal hibernation.

Big spenders
Each legislative chamber's apparent leader in number of earmarks secured:


Sen. Ted Stevens,
R-Alaska

39 items

$238.5 million


Rep. John P. Murtha,
D-Pa.

30 items

$111 million


Many lawmakers had promised to go on a diet, but their appetite for the pet projects, known as earmarks, has returned as Congress finishes its work for the year and Election Day looms less than six weeks away.

Taxpayers for Common Sense, a budget watchdog group, calculates that earmarks account for $6.6 billion of the omnibus bill's cost, which totals more than $630 billion. Sen. Ted Stevens, R-Alaska, who is on trial a few blocks from the Capitol on ethics charges related to financial disclosure, appears to have gotten more earmarks than anyone else: 39 items totaling $238.5 million, according to the organization's tally.

Rep. John P. Murtha, D-Pa., was the apparent winner in the House, with 30 items totaling $111 million, including $24.5 million for the National Drug Intelligence Center in Johnstown, his hometown.

Murtha told reporters that earmarks were just a tiny fraction of “what the administration wants to bail out those rich guys in New York.”

Other lawmakers said the earmarks were a way of tossing a few bones to Main Street before the Treasury pours hundreds of billions of dollars onto Wall Street.

The omnibus spending bill, passed Wednesday in the House, with the Senate expected to follow suit soon, includes $488 billion for the Defense Department in the coming fiscal year, which begins Wednesday. Military earmarks account for about 1 percent of that sum, Murtha noted, and the $700 billion rescue plan for the nation's financial system would cost nearly 150 times as much as they will.

Earmark critics, who gained momentum last year, were like voices in the wilderness this week.

“This all may seem a little trivial in a week that we may approve $700 billion,” said Rep. Jeff Flake, R-Ariz., who has led the campaign against earmarks.

The omnibus spending bill includes no earmarks for the major presidential candidates, Sens. John McCain and Barack Obama.

McCain has denounced earmarks for years, saying they distort and corrupt the legislative process. Obama has obtained earmarks in the past, but in March he endorsed a one-year moratorium so Congress could re-examine the way they are awarded.


Many earmarks go to universities. Some go to small businesses, and some to big corporations.

Stevens got $2 million for the University of Alaska to study “hibernation genomics.”

Martha A. Stewart, director of federal relations for the university, said scientists were studying the hibernation of Alaskan ground squirrels and black bears. If medics could induce a state of hibernation in humans, she said, they might be able to increase the survival chances of wounded troops being evacuated from the battlefield.

Far from being ashamed of their earmarks, some lawmakers cite them as evidence of their political strength and their ability to help constituents.

Rep. Christopher S. Murphy, D-Conn., and Sen. Joe Lieberman, independent of Connecticut, got $15 million to clean up the site of an old munitions factory in Waterbury. The city had help from a lobbyist, A. David Giordano, who was deputy manager of Lieberman's 2006 re-election campaign.

“Earmarks should ultimately go away and be replaced by a merit-based process of grant allocation,” Murphy said in an interview. But, he added, Connecticut's share of federal grants has shrunk under President Bush, and “the Defense Department has some responsibility to clean up the properties that it helped pollute.”

Sen. Christopher Bond, R-Mo., obtained $800,000 for the Pentagon to spend on a drug treatment for a skin condition, pseudofolliculitis barbae, popularly known as shaving bumps or razor bumps. The drug is made by a small pharmaceutical company in the St. Louis area.

“The Defense Department has long recognized pseudofolliculitis barbae as a serious dermatological condition that disproportionately affects African-American and Hispanic men, and up to 33 percent of active-duty military men,” said Shana Marchio, a spokeswoman for Bond. This condition not only causes painful lesions but also “affects combat readiness and personal safety,” by making it more difficult for men to use gas masks and oxygen masks, Marchio said.

In January, Bush issued an executive order telling federal officials to disregard earmarks unless they were explicitly included in the text of legislation. But Congress has apparently found a way around the president's order. The omnibus spending bill says the list of earmarks, though not included in the bill, “are hereby required by law to be carried out” by federal agencies, just as if they were in the bill.

signonsandiego.com



To: TimF who wrote (270508)9/26/2008 2:39:02 PM
From: Brumar8910 Recommendations  Read Replies (3) | Respond to of 793928
 
The Democratic ACORN bailout;

Update: Video addedposted at 7:55 am on September 26, 2008 by Ed Morrissey

Send to a Friend | printer-friendly House Republicans refused to support the Henry Paulson/Chris Dodd compromise bailout plan yesterday afternoon, even after the New York Times reported that Treasury Secretary Henry Paulson got down on one knee to beg Nancy Pelosi to compromise. One of the sticking points, as Senator Lindsey Graham explained later, wasn’t a lack of begging but a poison pill that would push 20% of all profits from the bailout into the Housing Trust Fund — a boondoggle that Democrats in Congress has used to fund political-action groups like ACORN and the National Council of La Raza:

In the Roosevelt Room after the session, the Treasury secretary, Henry M. Paulson Jr., literally bent down on one knee as he pleaded with Nancy Pelosi, the House Speaker, not to “blow it up” by withdrawing her party’s support for the package over what Ms. Pelosi derided as a Republican betrayal.
“I didn’t know you were Catholic,” Ms. Pelosi said, a wry reference to Mr. Paulson’s kneeling, according to someone who observed the exchange. She went on: “It’s not me blowing this up, it’s the Republicans.”
Mr. Paulson sighed. “I know. I know.”

Graham told Greta van Susteren that Democrats had their own priorities, and it wasn’t bailing out the financial sector:
And this deal that’s on the table now is not a very good deal. Twenty percent of the money that should go to retire debt that will be created to solve this problem winds up in a housing organization called ACORN that is an absolute ill-run enterprise, and I can’t believe we would take money away from debt retirement to put it in a housing program that doesn’t work.

Here’s the relevant part of the Dodd proposal:

TRANSFER OF A PERCENTAGE OF PROFITS.
DEPOSITS.Not less than 20 percent of any profit realized on the sale of each troubled asset purchased under this Act shall be deposited as provided in paragraph (2).

USE OF DEPOSITS.Of the amount referred to in paragraph (1)
65 percent shall be deposited into the Housing Trust Fund established under section 1338 of the Federal Housing Enterprises Regulatory Reform Act of 1992 (12 U.S.C. 4568); and
35 percent shall be deposited into the Capital Magnet Fund established under section 1339 of that Act (12 U.S.C. 4569).
REMAINDER DEPOSITED IN THE TREASURY.All amounts remaining after payments under paragraph (1) shall be paid into the General Fund of the Treasury for reduction of the public debt.

Profits? We’ll be lucky not to take a bath on the purchase of these toxic assets. If we get 70 cents on the dollar, that would be a success.

[ They're probably wrong about that - per Warren Buffet and others, there are likely to be big profits. All the more reason not to let 20% of them be handed over to funds which will ultimately go to ACORN, LaRaza, etc. ]

That being said, this section proves that the Democrats in Congress have learned nothing from this financial collapse. They still want to game the market to pick winners and losers by funding programs for unqualified and marginally-qualified borrowers to buy houses they may not be able to afford — and that’s the innocent explanation for this clause.

The real purpose of section D is to send more funds to La Raza and ACORN through housing welfare, via the slush fund of the HTF. They want to float their political efforts on behalf of Democrats with public money, which was always the purpose behind the HTF. They did the same thing in April in the first bailout bill, setting aside $100 million in “counseling” that went in large part to ACORN and La Raza, and at least in the former case, providing taxpayer funding for a group facing criminal charges in more than a dozen states for fraud.

It’s bad enough that taxpayers have to pay the price for Congress’ decade-long distortions of the lending and investment markets. If we realize a profit from the bailout, that money should go to pay down the debt or get returned to taxpayers as dividends from their investment — not to organizations committing voter fraud, and not to restarting the entire cycle of government meddling in lending markets. I’d support a rational bailout package, but ,b>anything that funds the HTF needs to get stopped.

Update: Here’s the video with Graham:

Update II: The Wall Street Journal reported on the HTF/ACORN/Democratic connections in July:

The housing bill signed Wednesday by President George W. Bush will provide a stream of billions of dollars for distressed homeowners and communities and the nonprofit groups that serve them.
One of the biggest likely beneficiaries, despite Republican objections: Acorn, a housing advocacy group that also helps lead ambitious voter-registration efforts benefiting Democrats. …

Partly because of the role of Acorn and other housing advocacy groups, the White House and its allies in Congress resisted Democrats’ plans to include money for a new affordable-housing trust fund and $4 billion in grants to restore housing in devastated neighborhoods. In the end, the money stayed in the bill; the White House saw little choice.
What most riles Republicans about the bill is the symbiotic relationship between the Democratic Party and the housing advocacy groups, of which Acorn is among the biggest. Groups such as the National Council of La Raza and the National Urban League also lobby to secure government-funded services for their members and seek to move them to the voting booth. Acorn has been singled out for criticism because of its reach, its endorsements of Democrats, and past flaws in its bookkeeping and voter-registration efforts that its detractors in Congress have seized upon.
Once again, the Democrats want to set up a self-funding mechanism, this time by exploiting a severe financial crisis. Despicable.


hotair.com