Sequestering And Washington’s Fiscal Incompetence

spending2 Sequestering And Washingtons Fiscal Incompetence

As many of you may know, if the political class does not get its act together by March 1, 2013, automatic Federal government spending cuts will kick in that will reduce government spending by over a trillion dollars over the next ten years. This “sequestering” of budget dollars was agreed to by Congress and Obama in August of 2011 in the debt ceiling negotiations.

While this is a decent first step in reining in government spending, it is still pretty meager. Overall government spending will still increase in the baseline budget view, it will just increase at a somewhat lower rate. Annual spending deficits will continue to mount up, increasing our national debt and burdening future generations of Americans with that debt.

How anemic is this effort at reducing spending? Let’s do some simple math:

  • Let’s assume that the ten year trillion dollar spending reduction averages out to about $100 billion a year.
  • According to the official White House website, the Federal government will spend about $4.5 trillion in 2017.
  • This $4.5 trillion is less than it spent in 2012 but is less than it will likely spend ten years from now, under baseline budget assumptions, so the 2017 estimate is a good ten year annual average.
  • $100 billion a year in spending cuts against an average spending budget of $4.5 trillion is only a meager 2.2% spending decrease.
  • According to the White House website  budget spreadsheet, in 2017, this $100 billion in spending cuts would still add over half a TRILLION to the national debt.

Despite this feeble attempt at expense reduction, many in the administration are choking on it. Retired Defense Secretary Leon Panetta claims our national defense would be endangered by a 2.2% reduction in spending. Secretary of State John Kerry asserted that we could not afford a meager 2.2% reduction in his budget since we needed to continue to butt into the lives of people in other countries around the world. President Obama has been spreading panic, claiming many vital government services would be slashed because of this meager 2.2% cut in spending.

Makes you wonder if these so-called leaders are 1) that out of touch with the real world, 2) want to protect their turf at any cost regardless of the impact on the fiscal integrity of the country, or 3) are just that fiscally incompetent that they do not know how to run an efficient operation and can only operate it by increasing their budget rather than decreasing their organization’s waste, redundancy, and incompetence.

To help these politicians understand why this 2.2% reduction is a very easily attainable goal, let’s point out via just a HANDFUL of examples of how wasteful, redundant and incompetent their organizations are today:

- Medicare and Medicaid lose over $100 billion a year to waste, inefficiency, and criminal fraud.

- Social Security loses over $100 billion a year to waste, inefficiency, and criminal fraud.

- The IRS admits that it is so incompetent that it fails to collect over $380 billion a year from tax evaders.

- The U.S. Navy, one of Panetta’s former organizations, spent $300 million to build two Navy ships almost to completion before spending another $10 million to turn them both into scrap metal without ever using them.

- The State Department, John Kerry’s organization, recently spent $80 million to build a consulate building in northern Afghanistan that will never be used since the $80 million is not defensible from a terrorist attack and was built by bypassing the State Department’s own building guidelines relative to terrorists.

- The Transportation Safety Agency recently bought over $180 million worth of airport security equipment that it will never use, storing it in a warehouse in its original packaging.

- Employees in the General Services Administration threw themselves a Las Vegas bash at taxpayer expense, resulting in the dismissal and resignations of GSA employees and executives.

- The Obama administration recently made the inane, indefensible decision to give Egypt over one billion dollars worth of F-16 fighter planes and tanks, weapons that could eventually impact both Department of Defense and State Department operations in the future.

- And last but not least, consider some new findings relative to the President’s economic stimulus plan, as recently reported by the Independent Journal Review. Unfortunately, these types of expenses are no confined to the stimulus program, they happen every day in every Federal government department and entity.

These insults to the taxpayer occurred even though when President Obama signed the $831 billion stimulus into law in 2009, he stated that “tough choices smart investments” needed to be made. So ask yourself: if these are the “smart investments,” you can only wonder what the dumb expenses were:

  • $250 was sent to a woman in Maryland who died in 1967.
  • $840 was spent to disassemble and assemble three desks.
  • The Lincoln Center in New York City was paid to host a “tango salon.”
  • $10,000 was spent replacing light fixtures at a fish hatchery.
  • $425,000 was spent in $250 increments to 1,700 prisons inmates for social security checks.
  • $426,000 was spent to rebuild a bridge that is used by a average of ten cars a day.
  • $500,000 was spent in subsidies for rain barrel installation.
  • $600,000 was sent to a school district in Kansas …that no longer exists.
  • $1 million was spent in New York on road signs advertising stimulus projects.
  • $1 million was used to build 250 bike lockers.
  • $1.25 million was used to use electric fish to study animal sensory information.
  • $1.75 million was spent on energy-efficient garage doors.
  • $2.2 million was spent to install skylights for a liquor store in Montana.
  • $2.8 was million spent installing toilets in New Mexico’s national forest.
  • $15 million was spent to build an airport in Ouizinkie, Alaska …a town of 165 people.

Disgraceful wastes of money. Which gets us back to our central question: Are Kerry, Panetta, and Obama out of touch, protecting turf or just fiscally incompetent? Or possibly all of the above?

White House Told Law Enforcement To Ignore Occupiers

White House SC White House Told Law Enforcement to Ignore Occupiers

The federal General Services Administration, with the White House’s blessing and the Department of Homeland Security’s knowledge, ordered law enforcement personnel not to arrest Occupy Seattle protesters who broke the law last year.

Department of Homeland Security documents obtained through a Freedom of Information Act request by Judicial Watch show law enforcement was told to ignore Occupiers who chained themselves to a concrete barrel in violation of curfew and laws against overnight camping at a site in Portland.

According to the Judicial Watch press release, on Nov. 6, 2011, DHS/National Protection and Programs Directorate Chief of Staff Caitlin Durkovich and GSA Public Buildings Service Commissioner Robert Peck had the following email exchange:

(From Durkovich:) “I am sorry to be emailing you on a Sunday night, but wanted to let you know our Press Shop has received a couple of calls from Portland media outlets about a group of 11 protesters who again set up camp at Terry Shrunk Plaza in Portland last night. They have chained themselves to a large drum filled with concrete. GSA controls the permits and has asked FPS (Federal Protective Services) not to enforce the curfew at park and the prohibition on overnight encampments. Reporters have asked if we will be arresting the protestors as FPS did last week.

“Our FPS Commander in Portland says they are standing down and following GSA’s request to only intervene if there is a threat to public safety.”

Read More at godfatherpolitics.com. By Tad Cron.

Congress Probes More Questionable Spending By GSA Employees

Dollar Bills SC Congress probes more questionable spending by GSA employees

Nearly 100 high-ranking General Services Administration employees assigned to work from home reportedly still spent $750,000 on travel over nine months, according to records submitted to Capitol Hill committees, prompting the agency to respond Saturday to a request for more information.

The GSA said the agency, under the direction of acting Administrator Dan Tangherlini, has already begun “conducting an extensive review of our agency’s operations, which includes our travel policy.”

“Our agency remains committed to eliminating any excessive spending and promoting government efficiency,” the statement also reads.

The purported spending and a letter from GOP Rep. Darrell Issa, chairman of the House Committee on Oversight and Government Reform, requesting more information was reported first by The Washington Post.

Read more at Fox News.

Does This Make Cents, Mr. Obama?

 

Obamas Trillion Dollar Toybox Debt Increase SC Does this Make Cents, Mr. Obama?

Democrats have been echoing over and over again that the Republicans refuse to compromise, bringing the government to a standstill. The dire warnings are going out about a catastrophic tax hike if the Republicans refuse to compromise….yada,yada, yada! The debt ceiling drama of last year was supposed to carry the government through the election…so what happened? Republicans are supposed to compromise, but on what? The Senate Democrats have not presented a budget for over three years, and the two budgets that Obama submitted were both rejected in the Democrat-controlled Senate UNANIMOUSLY! So what is there in writing to debate and compromise over?

The need for a new debt ceiling approval means that SOMEBODY overspent a lot quicker than was anticipated; imagine that! Both parties agree, or at least the sane ones do, that we are broke! We have to borrow 40 cents of every dollar that we now spend from China? Are those people in Washington D.C. NUTS? Why would you borrow money from someone who is your enemy? If you want to drink their kool-aid and believe that China is not our enemy, then why is China pouring billions of dollars modernizing their military and building a blue water navy? They manipulate their currency to gain an advantage in trade with us and send us TOXIC products. I think there may still be a dozen or so stories still in some news archives somewhere that will back that statement up.

Obama and his followers think it’s alright to waste BILIIONS of taxpayer money on loser “green energy” companies and subsidizing industries that don’t need subsidies. The politicos in Washington keep making promises with their mouths that their butts and our treasury can’t cash. Government agencies like GSA and TSA are blatantly wasting our money…..Vegas, anyone? Warehouses full of brand new UNUSED equipment (TSA)? How many federal employees owe back taxes? Why don’t we collect those before going after the “rich”? After all, we must all pay our fair share!

Why do the members of Congress keep getting raises when they are already making about $175,000 a year plus benefits? Why don’t they take a cut in pay before we go after the rich? Why doesn’t the federal government stop using the Social Security Trust Fund as their piggy bank and learn how to spend ONLY what they take in? Gosh, what a novel idea! Senate Majority Leader Harry Reid thinks it okay for illegal aliens to rip off the American taxpayer ( to the tune of $4.2 BILLION) rather than simply hold a vote, which I’m sure would pass, especially in an election year, to close that tax loophole. Let’s make earmarks REALLY go away instead of this political double speak that Washington gives us.

My point is this. I am not rich, not even upper middle class, but I am so tired of hearing the Democrats keep repeating their stupid mantra, “tax the rich’! Most of the people in Congress seem to be a lot better off than the average American, and if you would look closely at any tax increases they do pass, I’m willing to bet that they exempt themselves from those same taxes. Obama keeps saying he wants a “balanced ” approach to fixing the deficit; in Washington doublespeak, it means that whatever you cut in spending, I want it replaced with new taxes. How do you reduce anything if you keep the level of spending the same or gradually keep raising it? Obama’s deficit for last year was $1.5 TRILLION! Money we do not have!

The Republicans keep offering very viable spending plans and budgets; yet Harry Reid won’t even allow them out on the Senate floor for discussion. Maybe it’s because if you were allowed to see and hear what the Democrats (PROGRESSIVES) are actually doing, you might change your mind about who to vote for. Let me put it to you this way: if you went to your bank and found out that the officers of that bank had gotten together to use your money to enrich the lives of their buddies and family, would you be upset? What if they told you that because they had shorted the bank that they were going to have to lower the interest on all your investments….would you be even more upset?

We don’t have a do-nothing Congress; we merely have an uncompromising President and a do-nothing, protect-his-party’s-agenda-at-all-costs Senate Leader. Taxing the rich isn’t going to solve anything. Obama wants everyone to pay their fair share? Then let’s get the 47% of the American taxpayers who pay NOTHING to pay at least a token amount of taxes for the services that they too use. Isn’t THAT fair, Mr. Obama?

Lastly, lets take a real good look at federal agencies and departments, programs, and services that have outlived their usefulness. Let’s really get a handle on government wasting taxpayer dollars. Obviously, if Congress allows illegals aliens to steal $4.2 BILLION a year from the American taxpayer, then obviously there are major problems to be solved BEFORE we demand that the rich pony up more money for Washington to throw away. The rich are giving their fair share, Mr. Obama, but you and your cohorts are SPENDING way more than your fair share. It needs to stop.

Photo credit: terrellaftermath

Issa: Obama Admin Proving To Be “Most Corrupt In History”

Darrell Issa, chairman of the House Committee on Oversight and Government Reform, discusses allegations of bribery in Wal-Mart Stores Inc.’s Mexican subsidiary. Issa, speaking on Bloomberg Television’s “InBusiness With Margaret Brennan,” also talks about a probe into the General Services Administration’s spending at a Las Vegas conference and the prostitution scandal allegedly involving Secret Service agents.

New Ad Uses Solyndra And GSA To Bring It To Obama

I would highly recommend you share this video with your friends, as this is a basic explanation of the recent GSA scandal. It is also a good illustration of how flawed Obama’s big government policies are.

The Bloated Government Of America

Barack Obama between flags SC 300x168 The Bloated Government of America

The General Services Administration blew through $820,000 in taxpayers’ money in a lavish ”team building” trip to Las Vegas, and President Barack Obama is “apoplectic” at the news, according to the president’s campaign advisor, David Axelrod. Obama, he says, has devoted his efforts to saving “tens of billions of dollars” in cutting waste, fraud and inefficiency in government. Yet under President Obama’s leadership, government spending keeps growing irresponsibly, and neither he nor his allies in Congress are doing anything about it.

The latest example came last week when Democratic leadership in the Senate again passed the buck on enacting a budget — on April 29, it will have been three years since the Senate last passed a budget resolution. Senate Budget Committee Chairman Kent Conrad (D-ND),whose job it is to shepherd a budget through the Senate, said of his decision: “This is the wrong time to vote in committee. This is the wrong time to vote on the floor. I don’t think we will be prepared to vote before the election.” Conrad also said that offering a budget would be futile and “would do little to move us closer to a bipartisan agreement that can actually be adopted.”

In other words, budgeting is hard work that he’d rather not do, especially in an election year. Of course, 2011 was not an election year, and yet the Senate failed to pass a budget then, too.

The money that isn’t being budgeted belongs to the American people, and their representatives in the Senate have decided once again that it’s easier to keep on spending without restraint than it is to be responsible to their constituents back home. It’s that very attitude that has led to a government so big and so out of control that scandals like the one in the GSA are able to occur.

The hundreds of thousands of dollars blown in the GSA’s Vegas trip, though, is chump change compared to the hundreds of millions wasted in President Obama’s green jobs stimulus efforts. We all know the story of the bankrupt solar energy company Solyndra and the $520 million taxpayer-funded loan guarantee that went down the drain. But the latest example of wanton waste is Ecotality — a company that manufactures charging stations for the president’s much-favored electric vehicles. Ecotality received more than $115 million to install those charging stations, yet as Heritage’s Lachlan Markay reports, the company is far behind schedule. Now it’s under investigation for insider trading and is facing serious financial difficulties. Even so, the DOE decided to grant the company $26 million in additional funding.

Read More at The Foundry. By Mike Brownfield.

Do Recent Scandals Expose Obama’s Leadership Weakness?

Barack Obama Change sign SC 254x300 Do Recent Scandals Expose Obamas Leadership Weakness?

A Southern Republican is raising questions about whether President Barack Obama is capably leading the government.

Sen. Jeff Sessions of Alabama tells reporters the president should take responsibility for the Secret Service, GSA and energy company Solyndra scandals and insist on a government culture in which taxpayer dollars are not wasted. He said, “I don’t sense that this president has shown that kind of managerial leadership.”

Read More at OfficialWire. By Laurie Kellman, AP.

Photo Credit: Dustin C. Oliver (Creative Commons)

Is The GSA Vegas Scandal Another Obama Administration Cover-Up Like Fast And Furious?

Republicans need to hold on to the issue of corruption and not give an inch. These government workers should be frog marched to jail for theft of taxpayer money.

How Watergate Led To The GSA Spending Scandal

Congress How Watergate Led To The GSA Spending Scandal

Who should we tar and feather for the scandalous spending spree at that General Services Administration “conference” in Nevada two years ago?

Whose fault is it that a bunch of GSA bureaucrats wasted money on $44 breakfasts, a clown and a $75,000 bicycle-building exercise?

Not the GSA’s bosses. Not the Obama administration. I pin the blame on Watergate and Congress.

This week Congressional hearings all over Washington have been grilling past and current GSA officials about a $850,000 conference that blew thousands of dollars on things like a mind-reader and “yearbooks” and commemorative coins for the 300 participants.

Everyone from the president to Republican Congressman Darrell Issa of California has expressed outrage at the GSA, which manages the federal government’s property and purchases goods and services for other agencies.

But the source of this scandal isn’t the GSA or its inattentive bosses. They were behaving badly, but they were only doing what they were supposed to — spend every dime Congress gave their agency to spend.

The deeper problem is the way budget money has been allocated and spent by the federal government since the Watergate era. And it’s a problem only Congress can fix.

You’ve probably never heard of the Congressional Budget and Impoundment Control Act of 1974. Don’t feel bad. Apparently, neither have the members of the 112th Congress.

The Impoundment Control Act was passed by Congress to punish Richard Nixon for Watergate. It effectively took away the long-standing power of the president to impound federal dollars even though they had been allocated by Congress.

Presidents since Jefferson had used their power to impound money, put it in a fund and spend it in a future fiscal year. Forty-three governors today have the same power to impound money their state legislatures allocate.

For about 170 years the president’s impoundment power was an effective way to keep federal budgets balanced or to prevent Congress from spending money on dumb or unnecessary projects.

Then came Watergate and the Impoundment Control Act. Since then Congress has given itself a blank check to spend money the government didn’t have. Did it matter? Are you kidding?

In 1974, the federal budget deficit was $6.1 billion. One year after the Impoundment Control Act was made law, the deficit was $53 billion. By the time my father Ronald Reagan became president, it was $79 billion.

There’s only one way to prevent future GSA scandals and end our massive budget deficits. Cut back the total amount of money the federal government spends.

Paul Ryan is right. When government agencies have enough money to spend on $850,000 junkets, we’re putting too much money in their checkbooks.

So don’t put the biggest blame on the GSA bureaucrats. Put it on Congress. It’s Congress’ job to slash the budget money the GSA and other bloated, over-funded and unnecessary federal agencies get in the first place.

Instead of holding hearings to see who can express the most outrage at the GSA’s waste, Congress’ spendthrifts should go back and read the Congressional Budget and Impoundment Control Act of 1974. Then they should repeal it.

Michael Reagan is the son of President Ronald Reagan, a political consultant, and the author of “The New Reagan Revolution” (St. Martin’s Press, 2011). He is the founder and chairman of The Reagan Group and president of The Reagan Legacy Foundation. Visit his website at www.reagan.com.

Photo credit: Jessie Owen (Creative Commons)