Brute Force Benevolence and a Damn Good Start

By: Guest Authors

By: E. Anthony Santos

Brute Force Benevolence and a Damn Good Start ….. a progressive affirmation to 15 months of black hole spending, assault on the Constitution, commerce and freedom. There are no coincidences in Progressive politics. Obama’s Bipartisan Deficit Commission has been all but dismissed as cover to insulate the President from the commission’s recommendations, but there’s a straight line between the deliberate restraint of any meaningful economic recovery, and the states fiscal dependence on the largess of the Obama administration. Opportunity, and a few well placed resources (Andy Stern, Craig Becker, Hilda Solis) will bear this out soon enough.

Education reform under any other administration would be responsible government, but Obama Ed. isn’t about turning around +5000 failing public schools. Record debt has positioned state provided public services for leveraged federal takeover. Initially the fourth branch of government, organized labor, will take collateral damage, but their future interest will be protected. $4 Billon (Porkulus) in Race to the Top (RttT) door prizes goes a long way to chum the waters for states hungry to supplement their education budgets. Oblivious to the fine print, “funding contingent upon compliance”, 41 states adopt the RttT ”Voluntary” Mandatory Common Core Standards. Only one state, Texas, opts out of RttT in part over concerns of Washington’s reach. The real objective is the push for charter school expansion and public school conversion requisite to RttT. Lawmakers in 26 states scramble to eliminate or raise charter school caps. NEA/AFT leadership is left scratchin’ their backside, clueless and shutout by the man they helped to put in the White House.

Second to healthcare, the big ticket expense for many state budgets is education, $600 Billion collectively nationwide. Rank and file salaries and pensions / benefits rack up as much as +70%, mirroring the fiscal vacuum of the big three automakers. States deep in the red have graduated from cutting budgets to wholesale closing of public schools. 2010-2011 collective state budget deficits could potentially reach $375 Billion. High unemployment, falling tax revenues are compounded by virtual insolvency, and trillions in collective underfunded pension liabilities. Desperate state legislatures unable to shutdown spending, make the tough choices, are lookin’ to legalize and tax dope, and breakin’ out the tin cups.

Obama’s appointment of Andy Stern (SEIU President) to the Bi-Partisan Deficit Commission screams transformational change that would radically restructure, reframe, the provision of public services. 48 states face large deficits in 2010-2011, a dozen or more face insolvency. The effects of a second federal bailout would be more detrimental than the first. Insolvency would force the state into federal receivership, triggering serious economic panic. In either scenario economic reaction would be severe, how severe depends whether we land North or South of 8000.

Trillions in mindless federal spending and bailouts was essential to restraining economic recovery, and leverage states dependence on the federal government. Where it all falls apart is the rate and magnitude of states debt. To dodge the failure of Obamanomics, we can expect the administration to launch an ambitious FDR-Like program (shell game) under the guise of “States Tax Relief” to provide states with permanent fiscal relief, yet not commit a single federal dollar to that end. In short, at the expense of states sovereignty and independence, the federal government would assume the obligation, control and provision of selected state provided services. Salaries, benefits, pensions, would fall to existing federal bureaucracy. Underfunded public pension liabilities would be assumed in part or in full. Educators in California, New York, and Illinois, alone are facing +50,000 layoffs. Acquiring control of education, the promise of “saving” millions of NEA/AFT rank and file jobs, secures not only their vote and support but secures the classroom, curriculum, and a near endless supply of
Young Skulls Full of Mush. Obama’s recess appointment of Craig Becker (SEIU Legal Hack) to the National Labor Board and Labor Secretary Hilda (Pro-Labor) Solis will insure the long term interest of NEA/AFT.

It’s illusion to believe controls can be imposed on a free market system that will yield prosperity without failure. For nearly 234 years, with few exceptions (Coolidge, Harding, Reagan) every attempt to fix, manipulate, or regulate commerce was rewarded with unintended negative consequences. Today’s economic crisis is a result of political and legislative engineering. Years of prep produced an economic meltdown in mere months beginning with Sen. Chuck Schumer’s outing of Indymac and culminating with the Fannie, Freddie 08 October Surprise. Control of the economy is not the object target of the Obama administration but rather the mechanism to leverage states dependence. Of the states facing insolvency today, all faced major fiscal issues prior to the 08 Meltdown. Barack Obama’s adopted home state of Illinois, bond rating approaching junk status, GDP $641 Billion nearly twice that of Greece is facing insolvency. The common threads to states fiscal vacuum and Euro PIIGS pending meltdown…… entitlements, benefits, bloated pension programs, and near empty public pension funds raided long ago.

Obama’s “Damn Good Start” is coming unhinged. Emulating the EU Model while the Euro is swirling the bowl and Athens is burning is nothing short of target fixation. The IMF will be breakin’ out their Tin Cup, once the rest of the PIIGs are feedin’ off the bailout trough. America’s economy is bolted to a global model where failure is a simple matter cookin’ the books. Ten years ago we’d be talkin’ jail time not bailout (Enron). Just shy of 18 months, without immediate passage of TARP ($700 Billion Bait n Switch) the earth would cease to revolve and we’d be cast into eternal darkness. We conned ourselves into believing we could and buy off the economic hit with the Congressional ATM card. The Euro meltdown is a red flag …. Take the Cuffs off Capitalism, Git Yer House in order, Cuz your Payin’ Back the Freight with Interest.

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