Wednesday, October 27, 2010

President Obama's First Fiscal Year Budget

Once again the republican cries about federal spending under the Obama administration confirm their present and past lies to the American people about who the big spenders really are. Any one who follows this writers site knows of the republican lies. See Note 1 below for past comments.

President Obama's first fiscal year budget that ended Sept. 30, 2010 came in with a federal deficit of $1.29 trillion, smaller than expected and less than President Bush's record federal deficit of his last fiscal year budget ending Sept. 30, 2009 that came in at a record $1.42 trillion. The republican party's record of being the greatest deficit spender in history is still intact.

Federal spending in Obama's first fiscal budget year fell 1.6% from Bush's last fiscal year budget. Federal spending under the Obama administration was $3.46 trillion. Under the Bush administration it was $3.51 trillion. In other words federal spending continues to be a republican party staple that identifies their party for what it really stands for. The decrease in Obama's first fiscal year budget is even more impressive when one understands the terrible economic conditions Bush left behind.

When you compare Bush's first fiscal year budget that ended Sept. 30, 2002 to President Clinton's last federal budget year that ended Sept. 30, 2001, federal spending was up 8%. Federal spending under Bush that fiscal year was $2.01 trillion to Clinton's $1.86 trillion. And Bush inherited the greatest economy and job creation, lowest unemployment rate in over 30 years, record surpluses and a reduction of the national debt.

One of the main reasons this economic slow down is taking time to recover is due to the fact that during Bush's eight years in office a massive amount of wealth was transferred from the middle class to the wealthy. Also eight straight years of record federal deficits and a increase of over $6 trillion in the national debt. That combination was a betrayal of the United States and its people.

Note 1: The U.S. Economy: Which Party Performs Best, Parts I, II,III dated 1/27/08, 2/17/08, 2/25/08 and Recap and Conclusion dated 3/2/08

The Fiscal Legacy of President George W. Bush dated 10/30/09

Federal Spending: Facts vs. Myth dated 10/31/09

National Debt: Betrayal and Devastation dated 12/6/09

Tuesday, October 26, 2010

Governor Bobby Jindal: Louisiana's Failed Leader

On Friday October 22 Jindal announced another round of budget cuts totaling $157 million and once again health care and higher education bears the burden of those cuts. (Times Picayune article of 10/23.) The cuts will force the layoff of at least 400 state workers. The article stated the reductions were necessary to plug a $107 million deficit left over from the 2009-2010 fiscal year budget that ended June 30, 2010.

That 2009-2010 budget was announced as being in balance at the time by Jindal like his other budgets but half way through those budget years they were all out of balance by millions of dollars and Jindal knew they would be. Jindal is no fiscal conservative and is a mirror image of the national republican party who has not balanced one federal budget since Eisenhower in 1960. In fact Jindal served in Congress during the Bush administration when the republicans controlled the Congress and was silent the whole time the Bush administration was running up record federal deficits and debt.

The unemployment rate in Louisiana at the end of January 2008 was 3.8%. (Jindal took office that same month.) The unemployment rate at the end of August 2010 was 7.6% with the number of people unemployed at 158,914, the highest since Katrina in 2005, double the unemployment since Governor Blanco left office in January of 2008. It seems Mr. Jindal is waiting for the National economy to jump start Louisiana's economy instead of doing his job for the state and its people.

Governor Jindal said people should not whine and complain about his budget cuts and that leaders should provide vision and leadership. Then the governor flew off to a political fundraiser in Pennsylvania after the announcements. Another one of the many out of state political trips in the last several weeks. Vision and leadership has escaped Jindal and so has courage.

Conservative republicans have on thing in common, an ideology that they govern by that is anti middle class. President Clinton left office with a record economy, record job creation, record low unemployment, balanced budgets, surpluses and a reduction of the National debt. George Bush blew all of that in his first year in office and continued until his record recession, record job losses, record federal deficits and debt and escalating unemployment rate. The transfer of wealth from the middle class to the wealthy was complete when he left office.

Governor Blanco left Jindal a billion dollar surpluss, a 3.8% unemployment rate and a fiscal house that was in order. Like Bush, Jindal blew all of that with his failed ideology and policies, lack of leadership, lack of courage and a desire to roll back all the progress Louisiana made since Katrina.

Jindal and his administration continue to give tax breaks and other incentives to corporate America under the guise of job creation but unemployment as the numbers show continue to go up in Louisiana. At the end of August 2010 there were 1,940,093 people employed in Louisiana. When Jindal took office in January 2008, there were 1,972,655 employed, a decrease of 32,552. So much for job creation by this administration.

Jindal's ambition is national which is confirmed by the number of out of state fund raising trips he takes part in. Like the national republican party, Jindal is out to bankrupt government, only this time it is Louisiana and its people. Wake up Louisiana, conservative republicans have no record of fiscal responsibility, a growing economy or steady job creation. There record has always been the transfer of wealth from the middle class to the wealthy.

Note: Employment and unemployment numbers taken from Historical changes, Louisiana's unemployment rate.

Friday, October 22, 2010

The Deep Water Drilling Moratorium Is Lifted

President Obama's administration lifted the Moratorium on offshore drilling ahead of schedule but as usual, the oil industry, some Louisiana elected officials in and out side of congress and some in the business community who railed against the moratorium are still not satisfied. U.S.
Senator Mary Landrieu still refuses to relinquish her hold on the nomination of Jacob Lew to be director of the federal office of Management and Budget. A position so extreme that it completely changes what the Senator stands for.

Those people now say although the moratorium has been lifted there is a defacto moratorium because the new rules on offshore drilling permitting by the government are to restrictive for the rigs to be put in service timely. The oil industry has proved they will not be satisfied with any thing that has to do with regulation. They want to be free to do as they please. Those elected officials who opposed the moratorium are just as bad because they let the oil industry lobby money influence their decisions. Business people in general usually back the position of industry even when they are wrong.

The Obama administration has to carry through in making sure regulations are in place that truly regulate the oil industry and its cowboy attitude and operations, anything less is unacceptable. Keep in mind the oil industry has been operating offshore in shallow and deep waters for over 50 years and still do not have any system available to timely plug a offshore leak such as the BP one, nor do they have the system or people available to timely remove any spilled oil from the waters of the Gulf before that water reaches shore.

On the contrary several major oil companies recently announced they will have a system available in 18 months. In the mean time there could be more blow outs and leaking of oil. And this is the same industry who has assured the people for over 50 years they could handle any problems timely. The industry has not even earned the trust of its own people. That really says it all.

Sunday, October 17, 2010

The Numbers Do Not Add Up For New Orleans Sales Tax Collections

Does any one remember the bill of goods that was sold to the people of New Orleans concerning the building of the Superdome in order to obtain a professional sports franchise to move to the city? It went some thing like this and came from the mouths of our political, civic and business leaders and yes the Chamber of Commerce also.

The building of the Superdome and obtaining a professional franchise would bring a tremendous amount of increase to the City's sales tax revenue that would allow the city to better serve its citizens and improve city services and etc. Well lets look at the latest sales tax revenue as published in the Times Picayune dated 10/10/10 covering the first quarter of 2005, 06, 07, 08 and 09, a period of five years. Sales tax collections for Orleans, Jefferson and St. Tammany parish are as follows.

Jefferson $507.2 million
St. Tammany 239.4 million
Orleans 167.3 million

The Dome stadium is located in New Orleans and the Saints play in New Orleans along with the Hornets in the first quarter. The Sugar Bowl is played in the first quarter and of course Mardi Gras falls in the first quarter. We have also had a final four in the first quarter. Yet Jefferson and St. Tammany parish beat our tails off in collecting sales tax revenue by a wide margin.

The Bush recession officially started in December 2007. The Sales tax collections above cited took place 3 years before the recession and also during the recession so don't try to blame it on the recession. Don't try to blame it on Katrina either.

New Orleans Mayor Mitch Landrieu will be a great progressive Mayor for the City of New Orleans and will have to address this sales tax problem. And those who support the notion that the Superdome, Saints, the Sugar Bowl and etc. will greatly add to the city's sales tax collection are wrong. The Saints play 10 days a year in the Superdome and possibly 12 days if they have home field advantage in the playoff. It is obvious our priorities are misplaced as a full time business open for business 365 days a year would produce more sales tax than the Saints or any other professional franchise. Yet Mr. Benson and the owner of the Hornets are given millions of dollars of Corporate Welfare every year when they should be self supporting.

Jefferson Parish and St Tammany Parish should never be able to beat the City of New Orleans like a drum in sales tax collections for any quarter. That says it all.

Wednesday, October 13, 2010

Social Security: No COLA Increases For 2011?

It has been reported by the Associated Press Social Security recipients will not receive any adjustments for the coming year. If so it will be the second year in a row. The culprit is inflation that triggers the cost of living adjustment, or COLA as it is called. Like last year, the trustees who oversee Social Security project there will be no COLA for 2011 because of the inflation trigger.


The republican party and conservatives of all stripes are trying to blame the President for the COLA adjustments, however the law covering COLA were adopted by Congress under the Republican administration of Nixon-Ford in 1975 so this news is not new. It was good law because inflation was a problem at the time. The problem now is that the Bush recession and record job losses have been so severe there has been no inflation growth the past two years. Republicans talk a good game but it ends there.

Social Security recipients are better off keeping their monthly Social Security benefits without the benefit of COLA rather than have the Republican party privatize Social Security with Wall Street. That is what was behind the 20 years of record deficit spending and debt created by the administrations of Reagan, Bush 41 and Bush 43. Their record deficit spending and debt was to deprive the federal government of revenue so Social Security and Medicare would have to fold.

The best thing Social Security recipients can do if they want to continue receiving their benefits is to vote Democratic. It was President Obama's stimulus plan that gave the people on Social Security $250.00 last year. A stimulus plan opposed by the republicans inside and out side of Congress. That says it all.

Sunday, October 10, 2010

Iraq: The Kind Of War That Never Should Be Repeated

After seven years and five months the U.S. ended its combat role in Iraq. 50,000 support troops will stay until the end of 2011. The U.S. lost over 4400 good Americans in that war that were killed and over 30,000 wounded, many who will never walk again on their own. Many of our troops served two and three deployments in that war.

The American people including our servicemen were told by President Bush that Iraq was a threat to our national security because they possessed WMD and that Iraq reconstituted its nuclear program, but those weapons and program never existed at any time during the Bush administration. The Bush administration even tried to plant the seed in the American people's mind that Saddam played a part in the tragic attacks on 9-11. That too never existed.

Such a war must never be repeated again by an American President nor should any future President think he can reshape a country by launching such a war. President Obama should do all in his power to bring the rest of our support troops home before the end of 2011, the sooner the better. Iraq still has no government six months after their election and our support troops still there are bound to get caught up in Iraq's various squabbles. After seven years and five months what else can we do to help Iraq? Very little actually.

The shame in the war in Iraq is that our leaders took advantage of our men and women in uniform who not only go where they are told to go, they serve with honor, do their jobs and never complain. They ended up paying the ultimate price with their lives in this unnecessary war over WMD that did not exist. Just as shameful was the news media and many retired generals in the run up to the war who were telling the American people they knew for sure Iraq had WMD. They themselves played into the hand of President Bush and also took advantage of our men and women in uniform and their devotion to duty.

Never, ever again should America let history repeat itself in regard to this war.

Monday, September 6, 2010

Another Silly Times Picayune Editorial

The Times Picayune in its editorial opinion of September 2 under the heading "Seafood Image Is BP's To Fix" is another reminder how the newspaper, like many Louisiana elected officials want to pass everything off to BP and the federal government. This time they want BP to pay for fixing the image of Louisiana seafood being safe to consume.

Never mind that federal and state inspectors have found the seafood to be safe and we in Louisiana are eating it daily. (This writer had a catfish poboy just yesterday and President Obama had a seafood poboy last week) More area's of the Gulf have also been opened for commercial and recreational fishing but we are told customers out side of Louisiana do not feel comfortable in eating the seafood.

That means the state, the seafood industry in general (including restaurants) our tourist commission and yes even the Times Picayune has to be the ones to get the word out and pay for it. Leaving the problem up to BP won't cut it and neither will passing the buck and acting like cry babies. Louisiana's seafood industry is a $4 billion enterprise says the TP editorial and in this writers opinion it is up to Louisiana to take the responsibility to see it stays that way.

It is ironic that editorial editors of the TP don't blame BP for the moratorium, they blame President Obama, but they blame BP and want to hold them liable for the perception and image out side Louisiana that Gulf seafood is not safe to eat. I guess the TP realized it would be to much of a stretch to blame Obama for the perception and image so they looked to BP. The TP has adopted the methods of some of our political leaders, "pass the blame to some one else."

BP needs to be held accountable for the damage resulting from its rig explosion and the leaking of oil in the Gulf and the damage it caused and that is what should be pursued. President Obama and the federal government has handled the problem well and has been and still is engaged. It is time for the TP, Louisiana's elected officials and the seafood industry to do its part and assume the responsibility of getting the correct story out concerning Louisiana seafood to out of state customers.

The Moratorium On Deep Water Drilling In The Gulf Is Working

The Times Picayune of 8/27 carried a story concerning the above that hardly was noted and given little play. Probably because the story supported the moratorium and too many Louisiana loud mouths once again were proven wrong, including the editorial section of the Times Picayune.

The Bipartisan Policy Center issued a 21 page report that responded to a request by The National Oil Spill Commission. A part of their report said. The Department of Interior's drilling moratorium has served the productive purpose of allowing time for both industry and government to prepare for a safer, more vigilant and dependable future for U.S. offshore drilling. It also said: New, higher standards imposed by the Department of the Interior since the moratorium was imposed will achieve a significant and beneficial reduction of risks and will provide an adequate margin of safety to responsibly allow the resumption of deepwater drilling in the Gulf of Mexico.

The most important part of the report said: One value judgment we did make is that the need to impose an industrywide moratorium does demonstrate how profoundly unprepared the industry and government was for an incident of this magnitude.

If those industry representatives, elected officials and the Times Picayune had their way, there would have been no moratorium and safety issues involved in offshore drilling would never have been addressed. The death of 11 rig workers would have been only a foot note forgotten by those who support the status quo.

President Obama stood tall and showed his leadership and courage. Thanks for a job well done Mr. President.

Friday, September 3, 2010

The Con Game Is On To Pay To Clean Up Louisiana's Coast, Wetlands and Marsh

There are those elected officials in Louisiana who are looking for the federal government and BP to pay the cost of cleaning up and restore Louisiana's coast, wetlands and marsh that have been damaged and destroyed. Never mind that the oil industry operations in South Louisiana for the last 50 plus years is one of the major culprits as reported many times because of dredging canals and the laying of pipe lines.

The State of Louisiana regulates the on shore drilling in South Louisiana, not the federal government and our elected officials have done nothing to hold the industry liable for the damage they caused. Louisiana officials now want the federal government and BP to pay for it all. Former Governor David Treen saw what was happening years ago and supported legislation called CWEL. (Coastal Wetlands Environment Levy). It was and is a sound way to levy a fee on the companies responsible for destroying our lands. But Louisiana did not and still does not have the leaders with the courage to enact CWEL, or any other remedy.

Those so called leaders want the federal government to use the majority of what ever fines are levied against BP in violation of the Clean Water Act. Make no mistake, BP should be held accountable for all its spill responsibilities and the federal government should do the same but the oil and gas industry as a whole needs to be held accountable for their damage caused over the last 50 plus years.

The BP explosion and resulting oil spill has brought out the worst in some of Louisiana's political leaders. They have jumped on the money bandwagon and as of this writing are still receiving political contributions from the oil lobby and the industry. If they had their way, there would be no moratorium and it would be business as usual with no accountability. That says it all.

Wednesday, September 1, 2010

The NFL: A Regular Season With 18 Games

Peter Finney, sports journalist for the Times Picayune in his article of August 29 seems to think so and indicates that NFL Commissioner Roger Goodell thinks so. A twenty game full season is nothing new, it has been around for over 30 years in the form of 6 and 14 and 4 and 16, the latter being the case at the present time.

Every one knows that preseason games were established to put more wealth in the owners pocket but Mr. Finney and other sport journalists have really been silent on the matter over the years just like they have been silent concerning the millions of dollars of taxpayers money that the state has used to give Corporate Welfare to multi millionaire owner Tom Benson. Sport journalist keep their mouth shut concerning such matters because their livelyhoods are interwound with NFL sports.

It should be noted that Mr. Finney in his article never mentioned Mr. Benson's name or indicated he asked Mr. Benson to vote against the proposed 18 game regular schedule. As for the fact that preseason games cost the fans the same as a regular season game, that has been a rip off since day one, but you will not hear sport journalists make that statement.

The cure for the NFL and other sports is for elected officials to tell pro sports owners to go take a hike when they ask for Corporate Welfare. If the game can not support itself, let the owners figure that out like any other business. You will not hear sport journalists make that statement either, they are too embedded with pro sports. That is a sad chapter in pro sports. The players are just as bad as the owners and deserve no pity if they do not stop the NFL from implementing a 18 game regular schedule with two preseason games. Players have become greedy, just like the owners.