Category Archives: Government Transparency

Earmark And Healthcare Wars: Ron Paul vs Jeff Flake

A recent article in the Washington Examiner by John Labeaume details the differing approaches to earmarks that two of most libertarian members of Congress have. This difference came out in a vote on an amendment that Flake wrote to H.R. 3791 which was the Fire Grants Reauthorization Act of 2009. The Flake amendment would ban earmarks as defined by Congressional rules. All in all, a modest amendment.

From the Examiner article:

Here’s a gross understatement: Friends of Freedom in the Halls of Congress are few and far between. Asked for a “Real Life” practicing politician that they can actually get behind, it’s not uncommon for libertarians of many stripes to limit their response to two: Rep. Ron Paul (R-TX) and Rep. Jeff Flake (R-AZ).

Dr. Paul has been known to put his own sometimes idiosyncratic principle before practicality, leading his legions of fevered ‘money bombing’ fans along his particular path to ideological purity. His rabid opposition to barrier-busting trade agreements like NAFTA, quibbling with a new panel it might spawn, is a prime example. And this trait can pit his voting record against those of his erstwhile liberty-loving allies, and align himself with curious company.

……………………………

Last month, in an obscure House vote, this stubborn streak reared its head again. It’s a minor, but instructive instance, as Paul was one of only two “nay” votes on his side of the aisle against an amendment to HR 3791, the Fire Grants Reauthorization Act of 2009, offered by his fellow Constitutional conservator, Flake.

The only Republican lined up with Paul – and against Flake – was that egregious earmarker, Rep. Jerry Lewis (R-CA), the Ranking Member on Appropriations. Like his Showbiz namesake, the collegial Lewis’ look could pass for that of a 70’s “Nite Club” act and he certainly knows how to work a room, but he’s dead serious about defending Appropriators’ perks and the practice of earmarking.

Flake’s amendment was modest.

It merely seeks to ensure a competitive, need-based process for parceling out the firefighting grants authorized by the bill. The mechanism was aptly judicious: it enforces the bill’s ban on earmarking. If opened to earmarks, Flake fears that influential Members – like Lewis – could divert dollars to their districts, away from regions with less congressional clout, but in more dire need of an occasional emergency blaze dousing, admittedly not unlike the maverick Flake’s sometimes-parched Southwestern home base. Of course, and more significantly, once Members start horse trading in earmarks, the price tag tends to swell even beyond the bloated figure originally authorized.

Again, Paul stuck to his guns and stood by his controversial defense of earmarking, and let the red light glow next to his name on the big board above the Speaker’s Chair. His office told me, via an email statement, that Paul maintains that “that all spending should be earmarked as this provides the greatest transparency [and]…gives constituents an opportunity for input regarding how their tax dollars are spent.” The statement paid obligatory lip service to “drastically” reducing spending.

But this last line begs the question: what if that “input regarding how” just means “more,” and “for me”?

Before I go into the crux of the debate, my position on earmarking is this:

  • I don’t have a problem with earmarking in general because yes Congressmen should know the needs of their districts better than Federal bureaucrats.
  • However, earmarks lately have been a vehicle for corruption as Congresscritters reward supporters and campaign contributors with things that would be considered bribery under most circumstances (see John Murtha and the aforementioned Jerry Lewis, et al).
  • In addition, the earmarking process has been used as a way to short circuit the competitive bidding process and award contracts to politically connected companies.
  • Earmarks generally reward politically connected members of Congress and promote wasteful spending, however this is no different than other actions of Congress and the Federal government.
  • Therefore, I am a supporter of earmark reform, but I also realize that earmarks are only a portion of the overall problem with wasteful government spending and political corruption.

I believe that Jeff Flake is correct on this issue and I generally support his fight for earmark reform, Ron Paul’s opposition not withstanding. Earmark reform won’t eliminate wasteful spending and political corruption, but it will make a sizable reduction in both. It will also make it easier to defeat incumbent members of Congress as it will give incumbent members of Congress who bribe their constituents less ability to do so and therefore will increase turnover in Congress.

The Examiner article also attacked Ron Paul for not paying attention to the current healthcare fight:

With a scheme that threatens to regulate one-sixth of the U.S. economy wending its way through the legislative sausage-maker, Flake is focused. Glance at his home page; note the repeated references to health care from his multimedia page. Here’s a flurry of press releases issued in the heat of the House debate.

Meanwhile, Paul’s immediate obsession is trained on legalizing Liberty Dollars. Even though this health care overhaul threatens his livelihood – Dr. Paul is a physician by vocation, remember – from his homepage, you wouldn’t know that this issue looms over Washington one bit. Health care merits only a few addresses in Paul’s posted floor statements and press releases from the entire 111th Congress.

And though his official U.S. House site’s blog offers a few posts on this matter, his political arm, Campaign for Liberty, touts a recent interview with a right wing satellite shock jock, a self-styled “King Dude” whose trademark is liberal-lampooning novelty tunes. (Premium content, only for “King Dude” backstage pass holders, sorry.) During the interview, C4L’s homepage boasts, Dr. Paul discusses his pet “issues including Audit the Fed, Social Security, foreign policy, and nullification.” Number of mentions of healthcare? Zero. He didn’t even warble through a single “Death Panel” ditty.

………………………………………

Paul’s Campaign for Liberty sent out an action item, with orders to his loyal legions to contact Congress and demand a floor vote on his “Audit the Fed” bill, one that House leadership has no intention of unbottling.

As ‘Armageddon Day’ for health care regulation approaches, instead of taking up his scalpel to trim a behemoth, Dr. Paul is fiddling with the Fed.

Unfortunately for Labeaume, this is simply not true. Ron Paul has actually been focused, somewhat, on the healthcare debate. For example, the Campaign for Liberty, on its front page has a link to a project called Operation Health Freedom. Some of the proposed legislation in the project even made its wayhttps://thelibertypapers.org/wp-admin/post-new.php into the GOP’s alternative bill. Also, the Campaign for Liberty has been featuring articles almost daily on healthcare. Also if you look at Ron Paul’s House site as compared to Jeff Flake’s House site, you’ll see more writings about healthcare from Ron Paul and his office than from Jeff Flake and his office. I don’t begrudge Jeff Flake on the healthcare issue at all, but to say Ron Paul is disengaged from the healthcare fight is either the result of shoddy research at best or outright dishonesty at worst.

As for Ron Paul’s obsessions with the Federal Reserve, nullification, and foreign policy; that can be traced to Ron Paul’s political style more than anything. Paul is a populist oriented libertarian where as Jeff Flake is more a policy wonk libertarian. Flake’s big issues are earmark reform, immigration reform, and free trade which are more keeping of a former head of a think tank (which Flake was before his election to Congress). Paul’s issues are more geared toward a broad, populist appeal where as Flake’s issues are more appealing to political junkies and wonkish types.

As Nick Gillespie from Reason’s Hit and Run wrote:

To paraphrase Todd (“Godd”) Rundgren, sometimes I don’t know what to feel. Can’t we all just get along, and denounce the Fed and health care reform and earmarks and out-of-control spending? I’m sure we can.

Indeed.

I’m one of the original co-founders of The Liberty Papers all the way back in 2005. Since then, I wound up doing this blogging thing professionally. Now I’m running the site now. You can find my other work at The Hayride.com and Rare. You can also find me over at the R Street Institute.

Automakers Steal $30B From Obama’s Jobs Program

Now it’s the automakers. Too bad nobody predicted that throwing money into these fine well-run American corporations could have been a bad deal!

The Obama administration will tell Congress Wednesday that it expects to lose about $30 billion of the $82 billion government bailout of the auto industry.

Gene Sperling, senior counsel to Treasury Secretary Timothy Geithner, confirmed in an interview late today that the administration’s forecast is that it will lose $30 billion on its auto investments

Or, as I like to say, that’s $30B that the automakers stole from Obama’s jobs program.

But there’s good news!

“The real news is the projected loss came down to $30 billion from $44 billion,” Sperling said, noting that auto sales have improved ahead of what many analysts had forecast. The administration still holds out hope that if things improve, the administration could still recover more.

Well, at least that’s $14B more for Obama to put into his jobs program! He’s just finding money everywhere!

Babs Boxer Will Do Anything For Re-Election: Even Cosponsor S.604!

Back in July, I sent letters to Barbara Boxer and Dianne Feinstein urging them to support or even cosponsor S.604, the Audit-The-Fed bill. I received the typical mealy-mouthed responses (posted below after the fold), and like a bad blogger I never actually mentioned the responses here. How mealy-mouthed was Boxer’s response? Well, THIS was the most substantive thing she said:

I believe that all citizens should become involved in the legislative process by letting their voices be heard, and I appreciate the time and effort that you took to share your thoughts with me. One of the most important aspects of my job is keeping informed about the views of my constituents, and I welcome your comments so that I may continue to represent California to the best of my ability. Should I have the opportunity to consider legislation on this or similar issues, I will keep your views in mind.

Great… You thank me for sharing my thoughts. I feel empowered!

What you don’t say is anything whatsoever regarding your opinion on the legislation (at least Feinstein gave me *something*). So how do I interpret your letter?

‘I’m gonna put my finger up in the air and see which way the wind blows, because I have a vulnerable seat in 2010 and I don’t want to piss anyone off. If I see any benefit to myself, I might at some point take a position on this legislation.’

So, today, when I was reading United Liberty, I was reminded of S.604, and decided to check to see if there were any surprises. And to my astonishment, there was! Barbara Boxer actually co-sponsored S.604!!

Do I think she’s really all that interested in an audit of the Federal Reserve? Not from the email response I received. But hey, she knows a populist wave when she sees one, and she’s gonna ride this one to Nov 2010.

There are a lot of forces assembling behind the Audit the Fed movement. Those forces are having traction. Enough traction, in fact, to get a California Democratic Senator to fall into line. It may be a political calculation, but if someone like Boxer has to make that calculation, it proves that there’s actually some real mojo here. Congratulations are due to Ron Paul, because without his tireless work in the House, we wouldn’t be this close to a serious review of what goes on at the Fed.
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Transparency No Longer* In Vogue in Democrat Controlled Congress

Gosh, it doesn’t seem like all that long ago the American public was promised hope, change, and a more open, transparent, ethical federal government if we only elected Obama the next President of the United States. Before that, in 2006 Pelosi and Co. made many of the same promises. Now the Democrats have the House, the Senate, and the White House. The “dark days” of the “most secretive administration in American history” (i.e. the Bush Administration) and the “culture of corruption” of the G.O.P. controlled congress are over…right?

As Congress lurches closer to a decision on an enormous overhaul of the American health care system, pressure is mounting on legislative leaders to make the final bill available online for citizens to read before a vote. […]

[…]

At town hall meetings across the country this past summer, the main topic was health care, but there was a strong undercurrent of anger over the way Congress rushed through passage of the stimulus, global warming and bank bailout bills without seeming to understand the consequences. The stimulus bill, for example, was 1,100 pages long and made available to Congress and the public just 13 hours before lawmakers voted on it. The bill has failed to provide the promised help to the job market, and there was outrage when it was discovered that the legislation included an amendment allowing American International Group, a bailout recipient, to give out millions in employee bonuses. […]

[…]

The [Sunlight Foundation] has begun an effort to get Congress to post bills online, for all to see, 72 hours before lawmakers vote on them.

“It would give the public a chance to really digest and understand what is in the bill,” Rosenberg said, “and communicate whether that is a good or a bad thing while there is still time to fix it.”

A similar effort is under way in Congress. Reps. Brian Baird, D-Wash., and Greg Walden, R-Ore., are circulating a petition among House lawmakers that would force a vote on the 72-hour rule.

Nearly every Republican has signed on, but the Democratic leadership is unwilling to cede control over when bills are brought to the floor for votes and are discouraging their rank and file from signing the petition. Senate Democrats voted down a similar measure last week for the health care bill.

Hope.

Change.

Transparency.

Damn…just…damn.

» Read more

Results Not Typical

The Federal Trade Commission has taken a solid step towards regulation of bloggers, first by declaring that any “in-kind” contribution for a product review must be considered an official endorsement and requires disclosure. Despite the fact that I — of my own volition — did so on the one occasion I was actually given something free to review, I think that’s a process I’m going to have to discontinue. So from this point forward, if I review something, you won’t know whether I’ve received any compensation for it. So take it for what its worth. (As a side note, if anyone wants to send me something free to review, I’ll gladly accept it!)

But their regulations changed in another way… It used to be that if you were advertising a product with customer testimonials that highlighted non-typical results — i.e. “I lost 243 lbs on BulimiaRX dietary supplement!” or “Cheatypants McSweatervest’s revolutionary system has me making $25K a month from home with only 10 minutes a day of work!” — would need to not only provide their current small-font “Results not typical” disclaimer, but would now have to clearly document typical results:

Under the revised Guides, advertisements that feature a consumer and convey his or her experience with a product or service as typical when that is not the case will be required to clearly disclose the results that consumers can generally expect. In contrast to the 1980 version of the Guides – which allowed advertisers to describe unusual results in a testimonial as long as they included a disclaimer such as “results not typical” – the revised Guides no longer contain this safe harbor.

So I think I’ve got the solution:

Barack Obama, Sept 12, 2008
And I can make a firm pledge: under my plan, no family making less than $250,000 will see their taxes increase* – not your income taxes, not your payroll taxes, not your capital gains taxes, not any of your taxes.

* Results not typical. Families making less than $250,000 can expect to see rises in cigarette taxes, increased energy costs through cap and trade and/or gasoline taxes, soda taxes, and mandates to buy costly insurance plans they can’t afford. They can expect to pay all the taxes levied on “corporations”, as well as the cost of new regulations, who will pass those on in the cost of goods. Families can expect taxation through the form of inflation, eating away at the buying power of their paychecks. Firm pledges have not taken Viagra and should not be expected to last more than 4 hours.

There. Thanks, FTC. You’ve cleared up a lot with these new regulations.

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