Local Chapter of FAPA Commends Congress Upon 33rd Anniversary of the Taiwan Relations Act

My wife was born in Taiwan and immigrated to the United States in 1992 on a fiancée visa, after we met and courted during her 1989-1991 stint in graduate school at the University of Texas at Austin. When we got married, I became what the Taiwanese affectionately call a son-in-law of Taiwan, many of whom are activists in the cause of promoting the interests of the true nationalists from Taiwan, the TI (Taiwanese Identity/Independence) promoting Americans of Taiwanese decent.

I became such an activist not just because of my marriage to a beautiful daughter of Taiwan but because it was the right thing to do and was (and still is) in the strategic interest of the United States. Now, I have the distinct privilege of leading a group of Taiwanese expatriates as the president of the local chapter of the Formosan Association of Public Affairs.

Established in 1982 in Los Angeles, CA, the Formosan Association for Public Affairs (FAPA) is a world-wide, Washington headquartered, non-profit organization which:

(1) promotes international support for the right of the people of Taiwan to establish an independent and democratic country and to join the international community;

(2) promotes relations and cooperation between Taiwan and the United States;

(3) protects the right of self-determination for the people of Taiwan;

(4) promotes peace and security for Taiwan; and

(5) advances the rights and interests of Taiwanese communities throughout the world.

FAPA's mission is educational. The organization provides US policy makers, the media, scholars and the general public with information on issues related to Taiwan. FAPA informs and updates Members of Congress and their staff on Taiwanese issues. FAPA seeks to articulate the point of view of the people of Taiwan.

Today, April 10th is the 33^rd Anniversary of a seminal event in the history of Taiwan which has given its people time and hope for eventual national self-determination. It's the day each year that Taiwanese Americans stand still for a moment to express gratitude in some way, shape or form to their adopted nation, the great and proud nation of the United States of America, for helping ensure that Taiwan keeps it's identity as a free and separate country from China for as long as the people of Taiwan will it to be.

The relationship between Taiwan and the United States is almost seven decades old, now. But when the Carter Administration shifted diplomatic relations from our friend and ally Taiwan to the People's Republic of China (PRC) in January 1979, Taiwan was left vulnerable to annexation by China. In response, Congress quickly passed the Taiwan Relations Act (TRA) to ensure that the United States would continue its robust engagement with Taiwan in the areas of security, commerce and culture. Most importantly, with its security guarantees the TRA enabled Taiwan to continue functioning as the de facto independent country it is today.

On April 10, 1979, with the signature of President Carter who had presided over the diplomatic disaster the put Taiwan at risk vis-a-vis the PRC, the TRA became the "Law of the Land," the statutory basis for US–Taiwan relations. Thirty-three years later, it stands as a model of Congressional leadership. Together with President Reagan's "Six Assurances" (which served as further guidelines for U.S.- Taiwan relations) the TRA remains the cornerstone of a mutually beneficial relationship between the US and Taiwan.  

In affirming "the preservation and enhancement of the human rights of all the people on Taiwan" as explicit objectives, the framers of the TRA in large measure made Taiwan what it is today—a vibrant, open society governed by democratic institutions.

Still, China persists in irrationally claiming Taiwan as a "renegade province," refusing to renounce the use of force against the free choice of the people of Taiwan, should they make any move toward formalization of their nation's independence. Taiwanese live under an ominous shadow cast by over 1400 short and medium-range ballistic Chinese missiles aimed at them, a fact Texas Congressman Michael T. McCaul (R, TX-10) recently made mention of in remarks he read into the Congressional Record to commemorate the anniversary of the TRA.

The TRA makes it quite clear and emphatic that diplomatic relations with China are based on the expectation that the future of Taiwan will be determined by peaceful means. The principled stance contained in the TRA has been instrumental in maintaining peace and stability across the Taiwan Strait for more than thirty years, in spite of the growing military threat posed by China.

In gratitude and appreciation to Congress, I invite all Taiwanese Americans, indeed all freedom loving American to join me in commemorating today, April 10, 2012 as the 33rd anniversary of the Taiwan Relations Act.

You’re invited to a free film screening of a feature film about Taiwan

To educate Texans on the development of democracy in Taiwan from the perspective of the 85% of Taiwan’s population who did not come to Taiwan as refugees from China after World Word II or descend from these Chinese Nationalists, the Central Texas chapter of the Formosan Association of Public Affairs will hold a screening of the 2010 feature film, Formosa Betrayed starring James Van Der Beek, Tzi Ma, Will Tiao, John Heard, and Wendy Crewson. The film will be shown in the Capitol Extension Auditorium on May 10, 2012 at 7:00 PM under the legislative sponsorship of Rep. Jason Isaac (R, HD-45).

If you are interested in attending this free screening of this feature film please RSVP to dadofping@sbcglobal.net by May 8, 2012.

Bill to Abolish Corporate Income Tax, Create Jobs

by Bob Ward

Sept. 14, 2011 – U.S. Rep. Louis Gohmert (R-TX) has introduced legislation, his version of an "American Jobs Act of 2011," preempting the title that dithering President Obama wanted used for the tax-and-spend-to-create measure he had in mind.  Alternately, Gohmert's version of the Act would abolish the corporate income tax.  The very conservative East Texas Congressman asserts that the measure will create jobs in the U.S. as well as increasing revenue to the government.  “America,” Gohmert said, “would instantly become a safe haven for businesses resulting in an explosion in revenue increases.” Currently, he noted, American manufacturing jobs are moving overseas where the business climate is more favorable.

Gohmert correctly pointed out that corporate taxes are “paid for by people in the form of lower wages to American workers and less money paid out in dividends in everything from 401K retirement accounts and to those who would risk their capital in business ventures. This type of capital investment is where jobs come from.”

The corporate income tax is also unfair because it double-taxes money earned by the business.  An income tax is levied on money earned by the corporation and that same money is taxed again when it is distributed to the corporation's owners -- the shareholders -- in the form of dividends which are regarded as personal income. It is comparable to a worker's wages being taxed when he earns them, at the end of each working day, and again when he collects them on payday.

Some politicians want the public to believe that the corporate income tax reduces the tax burden of individual  taxpayers.  But savvy taxpayers know that corporate taxes make tax collectors, not taxpayers, out of corporations. The corporation's tax bill is converted into higher prices for its customers, lower pay for its employees, fewer jobs for the community and lower dividends for its stockholders.

The impracticality of the corporate income tax is especially salient at the present time when government is supposedly doing all it can to reduce unemployment.  Billions have been appropriated to create makework jobs which merely shift work from the private to the public sector.  It would be preferable to remove the obstacles to expansion and investment so that Americans can return to real jobs that produce goods and services.  A drastic reduction in the corporate income tax would help achieve this.  Gohmert's bill abolishing the tax is even better.

While politicians may find it useful to cultivate the myth that "the little guy” is helped by socking it to "big business," it just isn't so and Rep. Gohmert is a politician with the wit and courage to say so.

Corporate Income Tax Unfair, Impractical

by Bob Ward

As Congress takes up the President’s plan to revive the economy, it would be an opportune time to review an inequitable and impractical feature of our Federal tax system - the corporate income tax.

Currently, an income tax is levied on money earned by the corporation.  That money is taxed again when it is distributed to the corporation's owners -- the shareholders -- in the form of dividends which are regarded as personal income.  It is comparable to a worker's wages being taxed when he earns them, at the end of each working day, and again when he collects them on payday.

Too many politicians want the public to believe that the corporate income tax reduces the tax burden of individual taxpayers.  But savvy taxpayers know that corporate taxes make tax collectors, not tax payers, out of corporations.  A corporation does not produce money out of thin air with which to pay its taxes.  A corporation's tax bill is converted into higher prices for its customers, lower pay for its employees, fewer jobs for the community and lower dividends for its stockholders.

The impracticality of the corporate income tax is especially salient at the present time when government is supposedly doing all it can to reduce unemployment.  Billions have been appropriated to create makework jobs which merely shifts work from the private to the public sector.  It would be preferable to remove the obstacles to expansion and investment so that Americans can return to real jobs that produce goods and services.  A drastic reduction in the corporate income tax would help achieve this.  Its abolition would be even better.

While politicians may find it useful to cultivate the myth that "the little guy” is helped by socking it to "big business," it just isn't so and we need politicians with the wit and courage to say so.

Congress should take this opportunity to encourage capital formation and make it easier for business to expand and hire workers.

DEFAULT, A RED HERRING

-By Bob Ward

From the beginning of the debate over raising the debt limit, Democrats and the media have been warning us that not raising the limit means the U.S. defaults on its debt for the first time in our history. With few exceptions, the Republicans have failed to refute this claim.

In recent days, Obama has upped the ante by suggesting that there may not be enough money to make Social Security payments if the limit is not raised. The claim is not believable on its face. The President does not have to cut off payments to the elderly and the disabled. He would only do it if he hopes to blame the cut-off on the Republicans. With the help of the media it is entirely possible he could pull it off.

Terence P. Jeffrey, writing for CNSNews, reports that according to the Treasury Dept, since Federal borrowing reached the legal limit on May 16, tax revenue will more than cover the cost of interest payments, Medicare,Medicaid, Social Security, the Veterans Affairs department and federal workers wages and insurance benefits including wages and insurance benefits for military personnel.

Jeffrey notes that between May 16 and July 7, the Federal government took in a total of $296.176 billion in new tax revenue. In that same time period, total interest payments on the national debt equaled $14.632 billion. So the Federal government took in enough money between May 16 and July 7 to pay the interest on the debt 20 times over.

The combined expenditures for interest payments, Medicare, Medicaid, Social Security, the Veterans Affairs Department and Federal workers wages and insurance benefits equaled $270.151 billion. So government would have met all those expenses, paid the interest on the debt and still have $26.025 billion left over. By claiming that the government may lack the funds to pay Social Security recipients Obama is making Bill Clinton look like Honest Abe. If the government fails to send out Social Security checks it will be because Obama wants it that way for political, not economic, reasons.

If there really was a money squeeze he could take a bite out of the Education Dept, or, better yet, ask Congress to abolish it. Every state in the union operates a public school system. The Federal department is an expensive redundancy.

Or he could agree to shut down the Public Broadcasting System. There are hundreds of TV channels available on cable so there is no need for this unconstitutional haven for artists who couldn’t cut it in the private sector. And National Public Radio could go too. Americans should get their news from real journalists, not from government flaks masquerading as reporters.

Also a suitable target for abolition is the National Endowment for the Arts. Before the government was in the business of supporting art, we got composers like George Gershwin, Aaron Copeland, Rodgers & Hart, and Cole Porter, playwrights Eugene O’Neill, Tennessee Williams, Arthur Miller, novelists Mark Twain, Sinclair Lewis and Theodore Dreiser. With government money we get a photograph of a crucifix dipped in urine.

And if things really got desperate he could stop funding Planned Parenthood’s abortion mills or even cut off Obama's pals at ACORN. Imagine that!

What Just Happened in the Lame-Duck Congress

"Appropriately, the tax bill passed and the spending bill died on the 237th anniversary of the Boston Tea Party." -NRO

Despite the attempts by Reid and Pelosi to govern against the will of the people as expressed on Nov 2nd, America did well yesterday. A very bad pork-filled spending bill was stopped, and the possibility of a massive tax hike on January 1 was stopped as well. Good news.

The New York Times spins hopefully, asking: Could the lame-duck be a big win for Obama?

These are not 'victories' for Obama, but a victory against folly. It's dishonest to talk of this compromise as a 'tax cut' bill, all it does is merely extend the current rates in place for 2 more years. It's a status quo tax rate extension. As such, any claims of immediate success or tragedy are wrong - it is more of the same. No, it will not be bad for the deficit - not compared with trillions in stimulus, spending, pork and govt takeovers that are the real cause of the deficit.

The good part of the tax bill is that with the continued Bush tax rates, the middle-class pays less than they would have (thank you President Bush for that middle-class tax cut that the Democrats seem to refuse to acknowledge you made happen back in 2003), and with the overall tax rates maintained and payroll tax holiday in place for a year, the economy is on surer footing, and economic uncertainty is less. Yet it's not as if this will instantly supercharge the economy. Unemployment benefit extension may indeed continue to do what his has been doing - induce slower returns of employees to the workforce at a time when a new job may mean a downsized salary for many. The rest of it - ethanol subsidies, some of Obama's trinkets - are of no use to our economy, and so only a 'win' for the deal-making that is so wrong with DC.

While the tax which is why the loss of the $1.1 trillion spending bill is both more consequential, important and GOOD for America. That pork-infested earmark-laden over-spending bill is everything that is wrong with DC politics, and Reid's attempt to cram it down the senate was an act of political and economic sabotage against American taxpayers and voters. The exposure of the earmarks had chastened Republicans to get off the gravy train and left the bill bereft of support, even though Reid wanted to continue the over-spending past the expiration date. Hint: The Expiration date for over-spending, massive deficits and Government overreach was Nov 2nd.

Now the lame-duck Congress has only one responsibility: Go Home.

The only win for Obama here is how the combination of incompetence and extremism on his own side made an easy tax deal seem hard (causing him to look smaller and less capable than his predecessor-advisor Bill Clinton), and how he avoided looking as foolish as Pelosi and Co. by actually realizing that the Nov 2nd election did have consequences. Yet his churlish, disrespectful and ungrateful way of talking about his Republican counterparts (after he made his deal) and even his liberal critics shows both his leadership skills and his skin are both quite thin. I am not the only one who noticed that Obama blew the politics of the compromise. It will be a rough 2 years.

State-Initiated Constitutional Amendment Process

Should we have a constitutional convention?

Short answer: NO! An open-ended rewrite of the Constitution permits few opportunities for improvement but has far to many opportunities for mischief and disimprovement.

As one commenter put it: “There is nothing wrong with our Constitution. The problem is with our politicians, and with the lazy citizenry who refuse to vote them out when they consistently violate that Constitution.”

However, the challenge of getting around the Congressional roadblock on Amendments that curtail the Congress (such as term limits) is a real one. So one very good idea did bubble up out of the discussion:

I would prefer to add a 3rd method of Amendment: If 3/4ths of the States pass an identical Resolution of Amendment within a fixed time window, then that Amendment is placed before the voters at the next Congressional election for ratification, majority vote.

This bypasses Congress when necessary, and strengthens the hand of the States with respect to the Federal Government.

I would propose the language thusly:

State-initiated Constitutional Amendment Process

When 3/4ths of the States have passed in their respective legislatures identical Resolutions of Amendment within the prior 7 year period, the proposed Amendment in that Resolution of Amendment shall be placed before the voters of all the States at the next Congressional election for their approval, in the form of a ballot referendum.

Such an Amendment shall be deemed to have passed the referendum under the condition where a majority of elector-equivalent votes are counted for the proposal, such elector-equivalent votes having been counted as follows: In each district or State where a number of electors are chosen for President, that number is used as the number of elector-equivalent votes. These elector-equivalent votes are considered for or against the Amendment referendum, depending on whether a majority of ballots cast by voters in that given district or State are for or against the proposed Amendment respectively.

Any such Amendment, having been approved through the above process, shall be valid to all Intents and Purposes, as Part of this Constitution.

This itself is a Constitutional Amendment. Which means it needs to get through Congress.

Candidates for Doggett's CD25 seat

Several Republicans are popping up to challenge Rep Lloyd Doggett, including Dr Donna Campbell and previous challenger George Morovich. No free ride for Liberal Lloyd this time.

Texas Legislators Send Letter to Congress

Yesterday, members of the Texas Conservative Coalition sent letters to Congress asking Congress to oppose the federal healthcare plan. Representative Phil King has a statement on his website on the letter today.

The full text of the letter can be seen here.

Sarah on Current Health Care Debate

Sarah Palin's comment below are like words from my own heart (that is not unusual and is one reason I urged candidate McCain to pick Sarah for his running mate last year). You see, I am the father of a Down Syndrome child, a child that we tragically lost on November 21, 2005 in a freak accident. Our loss was only magnified by Daniel's disability. He is an enormously important person in the lives of my wife, kids, and many other who knew him, and his death left a void that cannot be filled. I will not accept anyone degrading Daniel's humanity and value, simply because he had an extra 21st chromosome and might not have turned out to become the most productive member of society. As the pop-culture commercial says, [the love of a human being is] priceless.

So the main problem I see with Obamacare (now isn't that an oxymoron?) is the focus on a utilitarian view of human life, rather than the idea that life is sacred. Do I want the President to fail in getting Obamacare passed. You bet I do. I hope he and all his leftist friends fail to castrate the heath care system in this great country through the imposition of Obamacare or any other Statist approach to health care that takes the care out of "health care" and treats people as statistics to be rationed to death for the sake of the collective.

There, I said it, and below are Sarah Palin's words:

As more Americans delve into the disturbing details of the nationalized health care plan that the current administration is rushing through Congress, our collective jaw is dropping, and we’re saying not just no, but hell no!

The Democrats promise that a government health care system will reduce the cost of health care, but as the economist Thomas Sowell has pointed out, government health care will not reduce the cost; it will simply refuse to pay the cost. And who will suffer the most when they ration care? The sick, the elderly, and the disabled, of course. The America I know and love is not one in which my parents or my baby with Down Syndrome will have to stand in front of Obama’s “death panel” so his bureaucrats can decide, based on a subjective judgment of their “level of productivity in society,” whether they are worthy of health care. Such a system is downright evil.

Health care by definition involves life and death decisions. Human rights and human dignity must be at the center of any health care discussion.

Rep. Michele Bachmann highlighted the Orwellian thinking of the president’s health care advisor, Dr. Ezekiel Emanuel, the brother of the White House chief of staff, in a floor speech to the House of Representatives. I commend her for being a voice for the most precious members of our society, our children and our seniors.

We must step up and engage in this most crucial debate. Nationalizing our health care system is a point of no return for government interference in the lives of its citizens. If we go down this path, there will be no turning back. Ronald Reagan once wrote, “Government programs, once launched, never disappear. Actually, a government bureau is the nearest thing to eternal life we’ll ever see on this earth.” Let’s stop and think and make our voices heard before it’s too late.

- Sarah Palin

Rep. Bachmann's speech (from 1 week ago) can be viewed here:

Doggett votes to destroy American jobs

So the House voted 219-212 for Waxman-Markey cap-and-trade bill, with 8 quisling Republicans joining 213 Democrats. The roll call shows Rep Doggett and Rep Gene Green voted aye to destroy American jobs, while Rep Ciro Rodriguez and Rep Chet Edwards, feeling heat from his district no doubt, voted no.

LGF comment: "... don't underestimate the power of stupid people in large groups."

That could explain how this dangerous, non-workable, corrupt bill got this far. The bill wasn't even written properly and deals were made on the floor of the House to buy votes for it.

Cap and Trade is bad for Texas:

Texas could lose 135,000 to 277,000 jobs in 2012, the first year of the proposed cap-and-trade regulation. The average Texas household could pay up to an extra $1,136 on household goods and services over a year with a total potential cost to Texas families of 6.9 billion.

The bill is a con:

The ACES bill allows polluters to purchase up to 2bn tonnes a year in carbon “offsets”, over and above the total allowance provided by the permits of the Cap & Trade scheme. This 2bn-tonne annual offset allowance exceeds all the CO2E emission reductions envisaged between now and 2040! ...

The political economy of the birth of this demented carbon credit/offset scheme was the perception in the rich industrial countries that the developing countries had to ‘get something’ out of the war on global warming. Perhaps they should. Carbon credits/offsets, however, are not the way to do it. An elaborate con, employing mainly consultants and specialised businesses from the advanced industrial countries, is not a solid foundation for economic development.

... The American Clean Energy and Security (ACES) Act of 2009 is worse than nothing: it is a con and a fraud. It pretends to be a vehicle for reductions in CO2E emissions. In fact it is designed to permit increases in CO2E emissions.

The Democrats and Pelosi Congress passed a bill that: attempts to solve a crisis that really isn't a crisis (global warming is not a crisis); fails to achieve what it claims to achieve, but is in fact a con that will not reduce emissions to targets; will add enormously to energy costs and in the process ship industrial production and industrial jobs overseas to competitors like China. And will leave American energy consumers poorer.

God help us all if the Senate takes up this "all pain, no gain" bill.

Waxman-Markey is "badly flawed piece of public policy"

I had previously argued that Waxman-Markey was mindless, rampant nanny-statist eco-tyranny.

Amazingly, Washington Post's Steven Pearlstein agrees. Consider this stunning indictment:

The other thing to say about it is that it is a badly flawed piece of public policy. It is so broad in its reach and complex in its details that it would be difficult to implement even in Sweden, let alone in a diverse and contentious country like the United States. It would createdozens of new government agencies with broad powers to set standards, dole out rebates and tax subsidies, and pick winning and losing technologies, even as it relies on newly created markets with newly created regulators to set prices and allocate resources. Its elaborate allocation of pollution allowances and offsets reads like a parody of industrial policy authored by the editorial page writers of the Wall Street Journal. The opportunities for waste, fraud and regulatory screwup look enormous.

This seems certainly the case based on a reading of this bill. The level of economic intervention is huge. The needless redundancy ('belt-and-suspenders' regulations) adds huge economic costs with zero benefit. Corruption, waste and job-killing cost-hikes for utilities, energy using industries, etc. will cripple our economy for years to come. It will kill jobs and productivity. How on earth can such a slew of terrible (unintended) consequences be better than the status quo?

Answer: It isn't.

The rise in CO2 from 1950 to today has paralleled an increase in temperatures over 60 years of ... 0.4C. That's all. The next 50 years will not see a marked increase from that; in the past 10 years we have seen no warming. The Waxman-Markey goal is 17% reduction by 2020, even though Europe's cap-and-trade scheme seems not to have worked much at all. This amounts to about a 4% impact on global CO2 generation in the 2020 timeframe. In short, miniscule and meaningless impact on actual global termperatures. The phrase "Costs too much, does too little" comes to mind.

The excellent column on the dreadful Waxman-Markey bill had one jarring and out-of-step statement:

"The Waxman-Markey bill may be the best bill that the political system can produce, and surely it is far preferable to doing nothing."

I challenge this. Doing nothing, ie, doing nothing to regulate the harmless and benign CO2 is PRECISELY the better answer compared to this horrible bill. And if this is the best the political system can muster, disband Congress!

"Doing nothing" does not need to mean doing nothing forever. This bill is far worse than doing nothing to regulate CO2 for the next 5-10 years. "Doing nothing" could mean "Do nothing to regulate CO2 for the next 5 year, but do everything else you can to get ready for the future."
To wit:
In the next 5 years, we can see if the trend of non-warming that we have seen for the past 10 years is a blip in an up-trend or an actual refutation of the man-made global warming models. In the next 5 years, we can take an R&D only approach and build the technologies that are needed, such as next-generation nuclear, energy efficient lighting LEDs, plug-in- electric vehicles, etc. None of this requires cap-and-trade nor the heavy hand on eco-nanny-statism.

Yes, a carbon tax would be better. But even better would be a carbon tax with a global temperature trigger. That is to say: Tax CO2 emissions, but only start to tax CO2 emissions if and when the temperatures do in fact rise. Why tax something that causes 'warming' when the earth is cooling?

UPDATE: Waxman-Markey "stuffed full of unpleasant surprises."

Waxman admits: "I don't know the details" and hires speed-reader to read the bill.

Sono Bono Mack casts lone GOP vote for Waxman-Markey: "While I still have significant concerns about this bill, particularly with regard to its cost and its failure to recognize innovative technologies like advanced nuclear energy, I believe this is the right direction for our district, for our nation and for our future." Wait, it has huge costs and is wrong about key real solutions, but stupidity like this is the 'right direction'? ... oh wait ... “Already, (the Coachella Valley is) seeing exciting new developments in wind, solar and geothermal energy, and this bill will help us grasp this potential.” ... Translation: It's all about the Greendoggle PORK money!

Bailout Blues

From Blue-dot-Blues:

Total to date, including the Citi bailout, is $4.6165 trillion.

Numbers from Bianco Research:

• Marshall Plan: Cost: $12.7 billion, Inflation Adjusted Cost: $115.3 billion
  
• Louisiana Purchase: Cost: $15 million, Inflation Adjusted Cost: $217 billion
  
• Race to the Moon: Cost: $36.4 billion, Inflation Adjusted Cost: $237 billion
  
• S&L Crisis: Cost: $153 billion, Inflation Adjusted Cost: $256 billion
  
• Korean War: Cost: $54 billion, Inflation Adjusted Cost: $454 billion
  
• The New Deal: Cost: $32 billion (Est), Inflation Adjusted Cost: $500 billion (Est)
  
• Invasion of Iraq: Cost: $551b, Inflation Adjusted Cost: $597 billion
  
• Vietnam War: Cost: $111 billion, Inflation Adjusted Cost: $698 billion
  
• NASA: Cost: $416.7 billion, Inflation Adjusted Cost: $851.2 billion
  

TOTAL: $3.92 trillion

Commentary on these numbers from Red County.com.

Hensarling introduces alternative rescue plan

Rep Hensarling has an alternative to the bailout bill to repair the financial sector - H.R. 7223 - and has 50 co-sponsors, including Rep Carter and Rep McCaul. CNBC reports that components of the alternative plan include the following:

• Require the Treasury Department to guarantee, at up to 100 percent, bank losses resulting from failed mortgage-backed securities originated prior to the plan's enactment. Such insurance, supporters say, would provide immediate value to the securities and a foundation for which they could then be sold. The Treasury Department would finance that insurance by assessing a premium on outstanding mortgage-backed securities.
  
• Allow companies to carry back losses arising in tax years ending in 2007, 2008, or 2009 back five years, generating a tax refund and immediate capital
  
• Allow a "repatriation window" for profits earned by U.S. firms overseas. Such repatriation amounts would not be taxed if invested in distressed debt (as defined by Treasury) for at least one year.
  
• Allow banks to treat losses on shares of preferred stock in Fannie Mae and Freddie Mac as ordinary losses, not as capital losses
  
• Suspend the capital gains tax rate for two years
  
• Limit backing of high-risk loans by Fannie Mae and Freddie Mac
  
• Schedule Fannie and Freddie for privatization
  
• Suspend "mark-to-market" accounting until the SEC can issue new guidelines that will allow firms to mark these assets to their true economic value
  
• Stabilize the dollar by repealing the Humphrey-Hawkins Full Employment Act, which alternative bailout supporters say diverts the Federal Reserve's attention from long-term price stability to short-term economic growth
  
• Require the Treasury to write rules prohibiting excessive compensation or golden parachutes to executives of failed companies
  
• Task the SEC with regular, annual audit reports of entities the federal government has brought under conservatorship or now owns

The basic point is that hensarling is relying on tax reductions and regulators changes to improve credit conditions, rather than an expensive RTC-like asset purchase. This is a superior approach and other Republicans (Cornyn? Smith?) should get on board and support it.

Texas Congressmen who Support Freedom

There are many reasons why the vote on the bailout proposal turned out as it did. Today, the US House voted 205-228 to turn down the President's financial institution bailout proposal. Many Democrats and Republicans turned against their parties in this vote as Democrats favored the proposal 140-95 and Republicans opposed the proposal 65-133.

In legislation, the devil is always in the details. In this case, the devil was in the principle. Banks were forced to make bad loans by government policies. Instead of admitting to passing bad legislation over the last 30 years and ending the policies that inspired bad lending practices, the government tried to cover it up by paying $700 billion to buy back bad loans and cover their own asses.

As Congressman Jeb Hensarling said today, we are on a slipperly slope towards socialism. In the history of government bailouts, the taxpayers have never come out ahead. Buying up these loans sets a bad precedent that says the government's role is to swoop in wearing the white hat and fixing all of our problems. This is not the proper role of government. The experts in the banking industry and market need to be the ones to fix the banking problems, not unelected bureaucrats and Congressmen who take kick-backs from the banks.

(More...)

Rangel the Tax Cheat Is Unfit to Write Our Laws

Rep Charlie Rangel (D-NY), the Nancy Pelosi-appointed Democrat in charge of the House tax-writing committee is a tax cheat. He got a sweet deal on a condo from a developer and for 20 years failed to report income on it. I pull my hair out over the arcane minutiae of tax law and try to follow the law - and this Congresscritter cheats on taxes for 20 years?!?! I AM AGHAST.

Charlie Rangel: Time to step aside from office and/or admit that we need tax simplification. YOU ARE UNFIT TO WRITE OUR LAWS WHEN YOU DONT FOLLOW THEM!

More Foolish Messianic Talk from Dems

This time, the comparison comes on the floor of the U.S. House of Representatives.

Today, the reprehensible comment came from U.S. Rep Steve Cohen of Tennessee.

“If you want change, you want the Democratic Party,” said Cohen. “Barack Obama was a community organizer like Jesus, who our minister just prayed about. Pontius Pilate was a governor.”

Cohen's choice of metaphor is inappropriate, and we can discuss why at some later point - just suffice it to say that expecting a messiah in politics is a bit much, never mind that claiming someone to be the messiah is an anathema to Christianity.

WHAT'S really offensive is Cohen's crack on Palin - implied with the Pilate and governor comment. He'll probably back peddle on this if he's not already doing so.

SO, in one fell swoop Rep. Cohen, politicking on the floor of Congress, denigrated the tenants of Christianity AND then desecrated the space where lawmaking for the people takes place. Not that I want many laws passed or fixed, but we can agree that posturing at this level is intolerable.

Whether Cohen apologized, back peddles or clarifies, he and his ilk are the kind of politicians who are AGAINST something rather than FOR something. These kind of folks must be voted out of office.

Unfortunately, Cohen has no substantial competition in this fall election, but feel free to let him know how offensive his choice of words are to you, http://cohen.house.gov/

... and the obligatory YouTube video...

DontGo: A Cause, a revolt, a revolution

On August 1st, 2008, in the face of Speaker Nancy Pelosi recessing the Congress early to avoid debate on energy, GOP members of Congress stood up and demanded that the Congress be called back to vote to repeal bans on offshore drilling to give relief on energy prices.

The revolt took fire immediately, hitting conservative blogs and right-wing radio, and people called in to offer support. Twitterers started using the hashtag "#dontgo" as a way to follow the online conversation, and now the #DontGo Revolution has a place on the web: dontgomovement.com .

The cause continues, and will continue so long as the drill-nothing do-nothing Democrat Congressional leadership opposes and refuses to even allow a vote on energy price relief.

So GO TO DONTGO to stay abreast of the cause. And demand Congress "DRILL HERE, DRILL NOW!"

PS. Local Congressman Michael McCaul is joining in tomorrow; he sent this message:

Tonight I am on my way back to Washington with hopes that we Republicans can convince Speaker Nancy Pelosi to change her unwavering stance on drilling for oil in the U.S. and off our coast. I will be carrying with me hundreds of gas receipts collected from voters across Congressional District 10. Some of them have hand written notes begging the Democratic Speaker to allow a vote on offshore drilling so that families can be reassured that energy prices will go down and stay down and that Congress still represents the people–not special interests such as the extreme environmental lobby.

Tomorrow, I'll proudly read a few of those comments on the House floor.

These receipts show that families are hurting and that Congress' inaction is harming our entire economy. Speaker Pelosi, and her like-minded colleagues, including my opponent, stand between you and lower gas prices and a responsible energy policy.

Three Ways You Can Help the GOP Revolt in Congress

Hat tip to Blue Dot Blues. This is from the Facebook group "Let's Rock the House! I Support the Guerilla Congress" - join this group to receive these updates about the movement to spread the message of the GOP revolt in Congress

Today over 20 members of the House GOP returned to the floor of the House to demand that Congress returns to work and passes the American Energy Act, which is an ‘all of the above’ energy solution. Users of Rock the House and #dontgo were on the scene, and the number of people participating in the ‘Twitter Revolution’ has been astounding. The House GOP will continue the phantom sessions all week, and may continue them throughout August.

Conservative Republican House members are taking this moment to lead when others refuse, and they deserve our support and gratitude. I’d also like to draw attention to the efforts of Robert Bluey, Eric Odom, Danny Glover, Jason Carini, Elisabeth ‘Media Lizzy’ Blackney, Jenn Sierra, Matthew Nehrling, and the countless others doing their part to make this happen.

The conservative netroots are forming a truly broad based movement, and each one of you can do your part to achieve comprehensive energy reform, bring the people back into the House, and embarrass the Democratic leadership.

Here are three things you can do today to help continue the push for comprehensive energy reform, greater House openness, and true Republican leadership.

1. Call Speaker Pelosi at (202) 225-0100 as well as your US Representative and ask that they return to work and approve the American Energy Act. The American Energy Act is an ‘all of the above’ solution that not only includes solar, wind and efficiency provisions, but domestic drilling and expanded use of safe and emissions-free nuclear power. You can learn more about the American Energy Act at http://www.gop.gov/energy/americanenergyact

2. Sign up for Twitter and start communicating on #dontgo. You can sign up for Twitter at www.twitter.com, and any update you post with ‘#dontgo’ included will be listed on the feed visible at www.dontgo.us. There is a thread on the Facebook group for people who wish to answer or ask questions about using Twitter and feeds.

3. Get involved with the effort to attract citizens into the House chamber for the phantom sessions. Americans are upset about Congressional inaction and high gas prices, and we need to make sure they get to the House chamber to interact with members during the sessions. If there is a huge crowd gathering outside the House every day to take part in the phantom session, it will be a news story in itself. Join the conversation on the ‘Open House’ thread on the Facebook group.

There are also some new developments which all of you should be aware of:

The folks behind dontgo.us have created www.dontgomovement.com as a new website for all of us to use- visit it and check it out as it grows.

Danny Glover has offered to publicize any video or audio from the sessions uploaded to Eyeblast.tv.

Jason Carini has created a new Youtube channel for the movement at http://www.youtube.com/dontgovids

Mike Bolitho is organizing people to provide food to the members participating in appreciation for the Guerilla Congress. He has a thread open on the Facebook group.

Get Involved and Lead
Invite Your Friends
Keep the Momentum Going

Pelosi is disastrously wrong on energy policy

Democratic House Speaker Nancy Pelosi on ABC's This Week shows herself to be ignorant, wrong and incompetent on the topic of energy. Redstate has video and commentary. A NewsBusters commentator breaks out the Pelosi myths one by one and debunks them:

Pelosi Myth #1 - More drilling will not reduce pump prices:

This violates the basic rules of supply and demand. Yet she offers a solution of releasing 700 Million Barrels of oil but 86 Billion in the OCS will have no effect? Imagine if we use all of this:

- 1.8 to 6 Trillion barrels of oil are estimated in the U.S. Oil-Shale Reserves (DOE)
- 175 to 315 Billion barrels of oil are estimated in the Oil Sands of Alberta, Canada (AGS)
- 100 Billion barrels of heavy oil are estimated in the U.S. (DOE)
- 90 Billion barrels of oil are estimated in the Arctic (USGS)
- 89 Billion barrels of immobile oil are estimated recoverable using CO2 injection in the U.S. (DOE)
- 86 Billion barrels of oil are estimated in the U.S. Outer Continental Shelf (MMS)
- 60 to 80 Billion barrels of oil are estimated in U.S. Tar Sands (DOE)
- 32 Billion barrels of oil are estimated in ANWR, NPRA and the Central North Slope in Alaska (USGS)
- 31.4 Billion barrels of oil are estimated in the East Greenland Rift Basins Province (USGS)
- 7.3 Billion barrels of oil are estimated in the West Greenland–East Canada Province (USGS)
- 4.3 Billion barrels of oil are estimated in the U.S. Bakken shale formation in North Dakota and Montana (USGS)
- 214 Million barrels of oil are estimated in the U.S. Illinois Basin (USGS)

Pelosi Myth #2 - Oil Leases:

The 'Idle' Oil Field Fallacy (The Wall Street Journal)

Pelosi Myth #3 - We can get rid of out dependance on foreign oil:

Myths About Breaking Our Foreign Oil Habit (The Washington Post)

Pelosi Myth #4 - ANWR:

The Truth About ANWR Drilling (Canada Free Press)

Pelosi Myth #5 - 'Big Oil' Record Profits:

Exxon's Earnings: No Apology Necessary (Cato Institute)

Exxon Posts Record $32.36 Billion Tax Payment (iStockAnalyst)

Pelosi Myth #6 - 'Big Oil' Subsidies:

"Big Oil" at the Public Trough? An Examination of Petroleum Subsidies (Cato Institute)

Pelosi Myth #7 - Saving the Planet:

George Carlin - The Planet is Fine (Adults Only) (Video) (8min)

Pelosi Myth #8 - Global Warming:

20/20: Give Me a Break: Global Warming (YouTube Video) (8min)

The Anti 'Man-Made' Global Warming Resource

CODA: Here's another anti-drilling Democrat who needs to get FIRED in the November election: "I am unalterably opposed to drilling," said Sen. Frank Lautenberg (D-N.J.), a member of the Environment and Public Works Committee.

UPDATE: Pelosi's dog and pony show is democracy inaction; she is afraid of debate, afraid of votes, afraid of majority rule. We are going to start calling this the
Drill-Nothing Democrat Congress.

Republicans are Still Waiting in Washington

I found this YouTube today. The Republicans are still waiting on the Democrats to come back and address our energy issues and oil price issues.





Here are just a few of the Texas Congressmen who stayed in Washington during the break to fight for our issues:

Jeb Hensarling (TX-5)
Michael Burgess (TX-26)
John Carter (TX-31)
Mike Conaway (TX-11)
John Culberson (TX-7)
Louie Gohmert (TX-1)
Ted Poe (TX-2)

If you are a constituent of one of these Congressmen, give them a call and thank them.

UPDATE: Someone snuck a video camera on to the House floor and made a video of the Friday rebellion, so we get a peek at what the Republicans were saying even though Nancy Pelosi ordered the cameras shut off -