Tag: bankruptcy

The Social Security Trust Fund will start losing value in 2013.

3:19 pm

The day of reckoning looms: The Social Security Trust Fund will start losing value in 2013, not 2020 as claimed.

In 2010, Social Security’s Office of the Chief Actuary projected that this interest income would keep the trust fund growing in real value through 2020. The 2011 projections moved this date to 2018, and the recently released 2012 projections pushed the date to 2012, meaning that the trust fund will start declining in real value next year. After 2013, the trust fund is projected to decline by greater amounts each year until becoming exhausted in 2033.

Leave a comment

The House yesterday proposed a spending bill that would cut the EPA’s budget to $7 billion, 17% less than what it received in 2012.

3:09 pm

Progress: The House yesterday proposed a spending bill that would cut the EPA’s budget to $7 billion, 17% less than what it received in 2012.

Considering the federal debt, this is a reasonable cut, as a $7 billion budget would be comparable to the EPA’s budget numbers in the early 2000s, and would hardly cripple that agency.

On a more depressing note, the Senate is moving forward on a bi-partisan deal to pass a massive farm bill, loaded with pork that would spend almost a trillion dollars over the next decade.

Leave a comment

The debt of the federal government is projected to be nearly twice the size of the U.S. economy by 2037, the Congressional Budget Office (CBO) announced Tuesday.

10:26 am

The day of reckoning looms: The debt of the federal government is projected to be nearly twice the size of the U.S. economy by 2037, the Congressional Budget Office announced Tuesday.

This CBO report actually supposed to be encouraging, as it indicates that the day of doom has been pushed back a whopping two years! Yowza! Let’s pop the corks on the champagne bottles and start celebrating!

Sadly, the article also has this ridiculous quote:

CBO’s latest prediction is similar to its 2011 report despite the $2.1 trillion in budget cuts enacted in last August’s debt-ceiling deal between the White House and Congress.

Nothing was cut by that deal. All they did was trim the rate of growth. For any journalist to continue to participate in this fraud is sickening.

Leave a comment

Using the budget balancing rules Congress imposed on private companies, the federal deficit turns out to be five times greater than the official but fake numbers Congress normally publishes.

10:11 am

The day of reckoning looms: Using the budget balancing rules Congress imposed on private companies, the annual federal deficit turns out to be five times greater than the official but fake numbers Congress normally publishes.

The big difference between the official deficit and standard accounting: Congress exempts itself from including the cost of promised retirement benefits. Yet companies, states and local governments must include retirement commitments in financial statements, as required by federal law and private boards that set accounting rules.

The deficit was $5 trillion last year under those rules. The official number was $1.3 trillion. Liabilities for Social Security, Medicare and other retirement programs rose by $3.7 trillion in 2011, according to government actuaries, but the amount was not registered on the government’s books.

One comment

Four Princeton physicists received over $1.5 million in lodging subsidies from the Department of Energy while on “temporary” assignment to other labs, even after living at that assigment for as much as 14 years.

12:00 pm

The work is good if you can get it: Four Princeton physicists received over $1.5 million in lodging subsidies from the Department of Energy while on “temporary” assignment to other labs, even after living at that assignment for as much as 14 years.

The above story, from Science, takes a more sympathic view of this misuse of government funds. The Washington Post is more blunt:

Four high-ranking federal lab workers found a way to turn “per diem” funds for a temporary assignment into a steady flow of extra income — at taxpayers’ expense. The overpayments, discovered in an inspector general’s audit, boosted the annual pay of some of the employees by as much as $64,000.

The Department of Energy paid the four scientists roughly $1.8 million for daily lodging and “inconvenience” during assignments away from home. But these scientists were paid as if they were on temporary duty for up to 14 years — long after most had permanently relocated to job sites.

The problem with this story is that it isn’t an exception but the rule. Right now the wolves are guarding the chicken house, and they are raiding it routinely for as much cash as they can get. Consider for example last week’s story about the NIH study that has spent a billion dollars without even getting off the ground.

You give someone the equivalent of a blank check, and they will make no effort to do things efficiently, or even to do what you hired them for.

One comment

Only 65% of the political class and only 61% of Democrats are aware that federal spending has gone up in the past ten years.

1:58 pm

Pitiful: Only 65% of the political class and only 61% of Democrats are aware that federal spending has gone up in the past ten years.

Interestingly, 85% of the general public knows this basic fact, which might explain why the intellectual elites of our country — from both parties — are continually being blindsided by the rise of the tea party movement and its continued success in elections.

One comment

The Obama administrations Treasury Secretary admitted Wednesday that the federal government’s debt is “unsustainable,” but then added that solving the problem shouldn’t be a top priority, because the government still needs to “do things.”

2:12 pm

Modern doublethink: The Obama administration’s treasury secretary admitted Wednesday that the federal government’s debt is “unsustainable,” but then added that solving the problem shouldn’t be a top priority, because the government still needs to “do things.”

Geithner’s refusal to confront what he admits is a looming disaster illustrates for all to see the normal operating policies of this administration.

3 comments

The world’s largest solar power project, recipient of the second largest ever Department of Energy loan guarantee, has filed for bankruptcy.

8:28 pm

Another wise investment of the Obama administration: The world’s largest solar power project, recipient of the second largest ever Department of Energy loan guarantee, has filed for bankruptcy.

Update and correction: It turns out that the company was offered the DOE loan guarantee, but turned it down. Read this second article. The facts it describe make the decisions of the Obama administration seem beyond foolish.

Leave a comment

The chief of the General Services Administration has resigned and two of her top deputies have been fired for organizing an excessively expensive training conference at a luxury hotel.

4:17 pm

Our government at work: The chief of the General Services Administration has resigned and two of her top deputies have been fired for organizing an excessively expensive training conference at a luxury hotel.

Organizers spent $835,000 on the event, which was attended by 300 employees. The expenses included $147,000 in airfare and lodging at the hotel for six planning trips by a team of organizers. Among the other expenses were $3,200 for a mind reader; $6,300 on commemorative coin set displayed in velvet boxes and $75,000 on a training exercise to build a bicycle. [emphasis mine]

They made six separate trips to this Las Vegas hotel in order to plan a four-day conference?

The sad part is that this kind of spending abuse is actually quite normal in the federal government. I’ve seen it at multiple science conferences and press conferences. Lots of free food, fancy digs at cool locations. And all paid for by the taxpayer.

One comment

The House today passed the Republican 2013 budget, 228-191.

2:13 pm

The House today passed the Republican 2013 budget, 228-191.

Ten Republicans voted no. All Democrats voted no.

Though this budget might not be perfect, at least it makes an effort to face the budget situation. Note also that the Democrats have now rejected their own President’s budget as well as the Republican budget. In addition, the Democratic leadership in the Democratically-controlled Senate has already said they won’t pass a budget this year, the fourth year in a row.

The country is sinking in debt caused by the federal government. It behooves these elected officials to deal with it. That the Democrats won’t tells us much about their lack of qualifications for office.

5 comments

The federal government recorded its worst monthly deficit in history in February.

2:06 pm

The day of reckoning looms: The federal government recorded its worst monthly deficit in history in February 2012.

The [Congressional Budget Office] projected the government will run a deficit of $229 billion in February, the highest monthly figure ever. The previous high was $223 billion a year ago, in February 2011. It is the 41st straight month the government has run a deficit — itself a record streak that dates back to the final months of President George W. Bush’s tenure. Before now, the longest streak on record was 11 months.

Obviously, this record-setting deficit is racist for occurring during the term of Barack Obama.

Leave a comment
1 … 83 84 85 86 87