Freedom Line Blog

This week’s edition of the Liberty Update, CFIF’s weekly e-newsletter, is out. Below is a summary of its contents:

Lee:  LightSquared Imbroglio – “Fast and Furious” Doesn’t Just Describe One Obama Administration Scandal Anymore
Senik:  Debt Ceiling Defense Cuts Are Ticking Time Bomb for American National Security
Hillyer:  Keller, NYT: Blinkered Obama Love
Ellis:  Corporate Jet Tax Will Kill Manufacturing Jobs

Freedom Minute Video:  Government Stupidity! Where’s the App for That?
Podcast:  Interview with Professor John Yoo: “Confronting Terror”
Jester’s Courtroom:  Unkempt Lawn Grows Lawsuit

Editorial Cartoons:  Latest Cartoons of Michael Ramirez
Quiz:  Question of the Week
Notable Quotes:  Quotes of the Week

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In a major speech last night at the Reagan Library, Senator Marco Rubio (R-FL) spoke with clarity about “the proper role of government.”

Saying that the United States must always aspire to compassion and prosperity, Rubio argued that an ever-expanding federal government will doom the nation to failure.   “Americans in the 20th century built here the richest most prosperous nation in the history of the world. And yet today we have built for ourselves a government that not even the richest and most prosperous nation on the face of the earth can fund or afford to pay for.”

At a time when high-sounding but often empty shoot-from-the-hip sound bites dominate the national dialogue, the understanding and vision with which the Florida Senator spoke is a breath of fresh air.

Watch the must-see speech below.

C.J. Ciaramella of The Daily Caller reports: 

The Securities and Exchange Commission gave up its leasing authority yesterday and could face a Justice Department probe in light of a $550 million leasing scandal.

At a House Transportation and Infrastructure subcommittee meeting yesterday, SEC Chairman Mary Schapiro ceded the agency’s leasing authority and admitted it had made a “terrible mistake” when it put taxpayers on the hook for a half-billion dollar lease for office space it didn’t need.

And this is the same government that now wants to increase taxes as part of a “deal” to raise the debt ceiling?

In a newly released video, House Budget Committee Chairman Paul Ryan discusses why Congress must reform Medicare in order to save it and the dangers of doing nothing.

In a statement that accompanied the video, Rep. Ryan said:

We can no longer let politicians in Washington deny the danger to Medicare – the danger is all too real, and the health of our nation’s seniors is far too important. We have to save Medicare to avoid disruptions in benefits for current seniors, and to strengthen the program for future generations. House Republicans have put forward a plan to do just that. Democratic leaders in Congress have failed to produce a plan – it has been 755 days since Senate Democrats even passed a budget. Meanwhile, the President’s plan would empower a panel of 15 unelected bureaucrats to cut Medicare for current seniors, while failing to save the program for future retirees.

“This video lays out the clear choice our nation faces on Medicare: Will Medicare become a program in which a board of bureaucrats manages its bankruptcy by denying care to seniors? Or will leaders work together to save and strengthen Medicare by empowering seniors to choose health care plans that work best for them, with less support for the wealthy and more help for the poor and the sick?  House Republicans have advanced solutions to save Medicare. Instead of working with us, the leaders of the Democratic Party have opted to play politics with the health security of America’s seniors.”

Standard and Poor’s spooked markets and sent news rooms scrambling today with its decision to downgrade the long-term outlook for the U.S.’s credit rating to “negative” from “stable.”  In a statement released this morning, the ratings agency wrote:

Because the U.S. has, relative to its ‘AAA’ peers, what we consider to be very large budget deficits and rising government indebtedness and the path to addressing these is not clear to us, we have revised our outlook on the long-term rating to negative from stable.

We believe there is a material risk that U.S. policymakers might not reach an agreement on how to address medium- and long-term budgetary challenges by 2013; if an agreement is not reached and meaningful implementation is not begun by then, this would in our view render the U.S. fiscal profile meaningfully weaker than that of peer ‘AAA’ sovereigns.

The White House swiftly responded, calling the decision a “political judgment” with which it disagrees. 

Really?  The national debt is more than $14 trillion and climbing.  The federal government borrows more than 40 cents for every dollar it spends.  Entitlement spending is spiraling out of control.  And last week, the federal government was within minutes of shutting down because President Obama and Congressional leaders were haggling over what ended up being a paltry few hundred million dollars in spending cuts from this year’s projected $1.65 trillion deficit. 

While the credit outlook downgrade is being reported as a surprise, it shouldn’t surprise anyone. All S&P has done is acknowledge the obvious.  Let’s hope President Obama and Congressional leaders get serious about doing the same.

In the must-watch video below, House Budget Committee Chairman Paul Ryan lays out his 2012 budget proposal and the consequences should Congress fail to act now to restore the nation’s  fiscal sanity.

Today,  Budget Committee Chairman Paul Ryan and the House Republican majority are introducing their much-anticipated 2012 budget plan.  The bold proposal — “The Path to Prosperity” — is refreshingly comprehensive in addressing the nation’s debt crisis and promoting economic prosperity.  According to Congressman Ryan:

For starters, it cuts $6.2 trillion in spending from the president’s budget over the next 10 years, reduces the debt as a percentage of the economy, and puts the nation on a path to actually pay off our national debt. Our proposal brings federal spending to below 20% of gross domestic product (GDP), consistent with the postwar average, and reduces deficits by $4.4 trillion.

A study just released by the Heritage Center for Data Analysis projects that The Path to Prosperity will help create nearly one million new private-sector jobs next year, bring the unemployment rate down to 4% by 2015, and result in 2.5 million additional private-sector jobs in the last year of the decade. It spurs economic growth, with $1.5 trillion in additional real GDP over the decade. According to Heritage’s analysis, it would result in $1.1 trillion in higher wages and an average of $1,000 in additional family income each year.

Furthermore, Ryan’s budget cuts taxes and strengthens to the social safety net with commonsense reforms to Medicare and Medicaid and by advancing the discussion to sure up Social Security for future generations.

Simply put, the proposal is a real and comprehensive solution to a grave spending and debt crisis that threatens America’s future.  Failure to act to right the nation’s fiscal ship, and now, is no longer an option.  The Path to Prosperity budget deserves serious consideration, not the partisan politics as usual that has already begun.

Read more details on Ryan’s budget plan here.  For the complete plan, click here (.pdf).

Less than 24 hours after the release of undercover video showing National Public Radio (NPR) senior executive Ron Schiller slamming the Tea Party movement as “seriously, seriously racist people” and “scary,” and proclaiming the organization would be better off without federal funding, NPR CEO Vivian Schiller (no relation) this morning announced her resignation.

As Politico.com reports the story:

Vivian Schiller, the chief executive of NPR, resigned Wednesday in the aftermath of controversial comments from a fundraising executive and as congressional Republicans push to end federal funding for public radio.

“The Board accepted her resignation with understanding, genuine regret, and great respect for her leadership of NPR these past two years,” board chairman Dave Edwards said in a statement. “I recognize the magnitude of this news and that it comes on top of what has been a traumatic period for NPR and the larger public radio community.” …

David Folkenflik, NPR’s media reporter, said on air Wednesday morning that sources had indicated to him that Schiller had been forced out by the board.

In related news, President Obama’s FY 2011 budget proposal calls for more than $450 million in taxpayer funding for the Corporation for Public Broadcasting, which supports NPR and the Public Broadcasting Service.  In response to a question today about whether it was time for taxpayers to stop subsidizing the Corporation for Public Broadcasting and NPR, White House Press Secretary Jay Carney made it clear that the president stands by the funding request.  “They are worthwhile and important priorities as our budget makes clear,” stated Carney.

As the congressional standoff over budget cuts heats up in Washington D.C., both Republicans and Democrats are seemingly scrambling to reach a compromise to avoid a government shutdown.  But is compromise what the American people want?

According to a new Rasmussen Reports survey, 58% of likely voters “would rather have a partial shutdown of the federal government than keep its spending at current levels. “  A mere 33% would prefer Congress agree to maintain last year’s spending level in order to avoid a government shutdown.

Broken out by party affiliation, Rasmussen found that:

Fifty-eight percent (58%) of Democrats prefer avoiding a shutdown by going with current spending levels. But 80% of Republicans — and 59% of voters not affiliated with either major party — think a shutdown is a better option until the two sides can agree on spending cuts.

Read the complete top-line survey results here.

In response to questioning from Senator Jeff Sessions during a Budget Committee hearing yesterday, Treasury Secretary Timothy Geithner admitted President Obama’s proposed budget creates an “excessively high interest burden” that is “unsustainable.”

The president’s proposal would add $13 trillion in new gross debt and would increase interest payments on the national debt to $844 billion annually by 2021.

Earlier this week, InsideHealthPolicy.com reported:

Republican aides on Capitol Hill are circulating sections of an independent audit that found significant shortcomings in HHS’ financial management — including noncompliance with federal laws and a $3 billion difference between the department’s own balance sheet and records maintained by the Treasury Department. HHS acknowledged “material weaknesses” in its financial management systems and said some of those issues will be worked out as the department implements a new reporting system this year.

Below are some of the specifics, care of Senator Tom Coburn:

HHS Is Not In Compliance With Federal Financial Management Law. According to the HHS Inspector General’s review of Ernst & Young’s financial audit of HHS, “HHS’s financial management systems are not compliant with the Federal Financial Management Improvement Act of 1996.”

Nearly $2 Billion Taxpayer Dollars Are Stuck in Limbo. “As of September 30, 2010, the audit identified approximately 102,500 transactions totaling an approximate $1.8 billion that were more than 2 year s old without activity.”

Nearly $800 Million Dollars “Could Not Be Explained” Differing Between HHS’ Records and Treasury Department Records. “Based on our review and discussions with management, we noted differences of $794 million that could not be explained.”

Some Processes and Procedural Manuals Have Not Been Updated Since the 1980s. “HHS’s formalized policies and procedures are out of date and may be inconsistent with actual processes taking place….For example, we noted that certain policies and procedures, including certain accrual processes, had not been updated since the mid-1980s.”

Current HHS Personnel Need Training To “Complete Their Day-to-Day Responsibilities.” “Further, we noted additional training on the financial systems was needed to enable HHS personnel in their ability to access needed information from the system to complete their day-to-day responsibilities – including the preparation of reconciliations, research of differences noted, and the ability to identify and clear older “stale” transactions dating back several years.”

America, meet the federal department charged with implementing and managing the most significant provisions of the monstrosity known as ObamaCare.

Senator Mitch McConnell today announced that he will try to force a Senate vote on a measure to fully repeal ObamaCare as early as this week. 

Specifically, The Hill is reporting that the Republican Leader plans to offer the repeal measure as an amendment to the to the Federal Aviation Administration reauthorization bill, which is currently being debated on the Senate floor.  McConnell could offer the amendment, which is anticipated to be identical the the repeal bill that recently passed in the House of Representatives with bipartisan support, as early as this afternoon.  A procedural vote on the amendment is expected to occur shortly thereafter. 

Call your Senators right now and urge them to vote “YES” on Senator McConnell’s amendment to repeal ObamaCare.  Find your Senators and their phone numbers here.

The U.S. House of Representatives just passed H.R. 2, legislation to fully repeal ObamaCare, by a vote of 245-189.  Three Democrats — Representatives Mike Ross (AR), Mike McIntyre (NC) and Dan Boren (OK) — joined with all Republicans in support of the repeal measure.

According to a Reuters/Ipsos survey released today:

The U.S. public overwhelmingly opposes raising the country’s debt limit even though failure to do so could hurt America’s international standing and push up borrowing costs…

Some 71 percent of those surveyed oppose increasing the borrowing authority, the focus of a brewing political battle over federal spending. Only 18 percent support an increase.

But other than curtailing foreign aid and tax collection, which is supported by 73 percent and 65 percent of respondents respectively, the public is split on exactly what federal spending to cut.  And on the issue of entitlements (Social Security and Medicare specifically), which are by far the greatest contributors to the nation’s mounting debt, a large majority of Americans are seemingly saying “hands off,” according to the survey.

The U.S. National Debt is fast approaching the nation’s $14.3 trillion statutory borrowing  limit set by Congress back in February.

The United States House of Representatives just elected Rep. John Boehner (R-OH) as its next Speaker.  The vote was 241-173.

According to the U.S. Treasury, on December 31 the National Debt stood at a whopping $14,025,215,218,708.52, breaking the $14 trillion mark for the first time in our nation’s history.  As CBSNews.com reported yesterday: 

It took just 7 months for the National Debt to increase from $13 trillion on June 1, 2010 to $14 trillion on Dec. 31. It also means the debt is fast approaching the statutory ceiling [of] $14.294 trillion set by Congress and signed into law by President Obama last February.

Congress must get serious about implementing significant across-the-board spending cuts and it should use the pending vote on the debt ceiling to ensure that happens.  Furthermore, we need to stop the bleeding by forcing Congress and the president, via a constitutional amendment, to present and pass a balanced federal budget annually without raising taxes.

Making good on the promise to offer greater legislative transparency and in preparation forthe House vote to repeal ObamaCare scheduled for next week, House Republicans have posted the repeal bill online for all to see.

Check it out here.

A federal judge in Virginia has ruled that significant parts of ObamaCare are unconstitutional, including the mandate requiring individuals to purchase health care insurance.

As Politico.com is reporting it:

In a highly-anticipated suit brought by Virginia Attorney General Ken Cuccinelli, District Judge Henry E. Hudson ruled that the individual mandate to buy health insurance is unconstitutional as it “exceeds the constitutional boundaries of congressional power.”

Hudson stopped short of blocking the law’s implementation until a higher court acts, but said he expects the administration to honor his ruling.

“The final word will undoubtedly reside with a higher court,” Hudson wrote in his ruling. “In this Court’s view, the award of declaratory judgment is sufficient to stay the hand of the executive branch pending appellate review.”

In light of today’s ruling, the Obama Administration should immediately cease implementation of the unconstitutional individual mandate and all other provisions of ObamCare until the matter is fully resolved by the courts.  If the Administration refuses to act, Congress should act without delay to force the Administration’s hand.

In a surprise announcement on the Senate floor this afternoon, Minority Leader Mitch McConnell announced that he will be supporting a moratorium on earmarks in the 112th Congress.  McConnell, who for the last couple of weeks has defended the practice of earmarks, stated:

…I have thought about these things long and hard over the past few weeks. I’ve talked with my members. I’ve listened to them. Above all, I have listened to my constituents.  And what I’ve concluded is that on the issue of congressional earmarks, as the leader of my party in the Senate, I have to lead first by example. Nearly every day that the Senate’s been in session for the past two years, I have come down to this spot and said that Democrats are ignoring the wishes of the American people. When it comes to earmarks, I won’t be guilty of the same thing.

Make no mistake. I know the good that has come from the projects I have helped support throughout my state. I don’t apologize for them. But there is simply no doubt that the abuse of this practice has caused Americans to view it as a symbol of the waste and the out-of-control spending that every Republican in Washington is determined to fight. And unless people like me show the American people that we’re willing to follow through on small or even symbolic things, we risk losing them on our broader efforts to cut spending and rein in government.

That’s why today I am announcing that I will join the Republican Leadership in the House in support of a moratorium on earmarks in the 112th Congress. …

Read McConnell’s full statement here.

Today, on behalf of a grateful nation, CFIF thanks all of our veterans for their service and sacrifice for our freedoms.