I must not be the only one voicing doubts about the bailout because my congressman had a response back to me today. Based on its length I have a feeling that many of us are thinking the same things about Wall Street and the bailout.
There is some interesting information - but once again you have to wonder if they really know what is going on in D.C.
Read what the congressman has to say, send questions to him or your representatives for clarification. Its our money, we should know how its being spent.
Its Common Sense!!
Dear Mr. Wolfe: I am writing in response to your communication about the Emergency Economic Stabilization Act (EESA), also known as the rescue package for the American financial system.
Many of my constituents have contacted my office to express their views on this legislation. I have reviewed your comments and I respect the fact that you took the time to make me aware of your position.
I voted for this legislation because inaction would seriously threaten the economy for middle-class families in my district. I do not support everything in this bill, but it is necessary because it will allow our local banks to continue lending money to families and small businesses.
Our national economy is experiencing serious financial problems. As demonstrated by the recent dramatic fall in stock prices, the largest one-day point drop in the Dow-Jones Industrial Average in our nation’s history, this situation is an emergency. Congress had to take immediate action.
Let me stress that this is not a “bail out of Wall Street.” The bill Congress approved is very different from what the Administration proposed. It is focused on helping American families, the communities we all live in, and the local businesses we all rely upon. Any investment of federal tax dollars in financial assets of these firms will give the taxpayers an equity share and a chance to recover these tax dollars in future profits. Both the Office of Management and Budget and the Congressional Budget Office forecast the total cost of this action will be significantly less than the amounts discussed in the media.
The Emergency Economic Stabilization Act provides $250 billion in initial funds now, with an additional $450 billion available if approved by Congress next year. The EESA protects American taxpayers by:
*Requiring that the President propose legislation to raise revenue from the financial industry in order to offset any net loses to the taxpayers. This step is to ensure that American taxpayers and future generations are not left with this debt.
*Increasing the limit for federal deposit insurance from $100,000 per account to $250,000. FDIC insurance protects Americans’ checking and savings accounts if a bank becomes insolvent, and this provision was vital to give confidence to every family that their savings and their retirement funds are safe.
* Permitting the Treasury Department to take an ownership share in any company that participates in the program. The ownership share would allow the government to receive a portion of the future increased value of these assets if they were to become profitable after the government bought troubled assets. This gives taxpayers an equity share in the participating companies with a chance to repay the emergency funding from appreciated assets. * Providing tax relief to over 22 million Americans by fixing the Alternative Minimum Tax (AMT), keeping it from impacting middle-class families.
* Helping Americans keep their homes and to avoid foreclosure. It requires that firms participating in the plan help families who are behind in their mortgage payments renegotiate the terms of their loans to make them more affordable.
* Requiring Congress to exercise constant oversight over the bailout funds to make sure that the money is accounted for and spent wisely. This oversight will allow for the development of responsible regulations to prevent this situation from occurring again.
* Limiting compensation packages of the executives of these companies. No golden parachutes. The executives that created this problem should not be rewarded with taxpayer dollars.
The initial plan called for billions to secure failing financial institutions, administered at the discretion of the Treasury Secretary without oversight or accountability. That was a bad plan, and we worked to secure tough, real-time oversight of the process. This new package goes beyond just shoring up the economy. It provides a clear path to help homeowners stay in their homes, helps business owners get access to desperately needed capital, unfreeze the credit markets, and it starts much needed reforms of the financial sector so that we are never in this economic situation again.
Unemployment in the United States is at a seven-year high, energy prices are at historic highs, and already burdened Americans are seeing the collapse of major U.S. financial institutions. I have spoken to economists and business managers from across the political system, and they agree that Congress had to act quickly to stabilize our economy.
History gives us guidance about the right approach in a crisis like this. At the start of the Great Depression, President Herbert Hoover chose to stand aside while the financial system collapsed. We cannot stand aside and allow this crisis to harm American’s homes, savings accounts, and retirement investments.
I believe the alternative to this bill--to do nothing--would have devastating consequences for our economy that would bring great harm to every community in America. If we let our financial sector fail, all American businesses would suffer greatly. The failure and collapse of these companies would hurt the availability of all lines of credit, so that commercial banks would not be able to lend money for a home, college loan, or small business investment.
We all have the right to know how we got here, why this rescue plan is important, and how we are going to transparently and responsibly move out of this financial crisis. One of the main reasons that we are in the crisis is the lack of proper safeguards and regulations of the financial services industry, regulations which were removed by this Administration over many years. I will fight to make sure that this plan puts the average person first, protects American taxpayers by allowing them to share in the profits and recover assets, and includes strict accountability and oversight. We also need to understand how we got into this situation. The House Committee on Oversight and Government Reform, Congress’s investigative body, is already planning hearings in the coming weeks to investigate the root causes of this crisis and hold people responsible. Thank you for sharing your views on this issue. I certainly hope that we begin to see the economy improve as a result of this action. Please do not hesitate to contact me in the future if you have any questions or comments.
To receive additional information about issues that are facing Congress, Maryland and the nation that may affect you and your community, please visit me at my website at http://www.dutch.house.gov/ and sign up for my periodic e-mail newsletter.
Sincerely,C.A. Dutch RuppersbergerMember of Congress
Friday, October 31, 2008
Thursday, October 30, 2008
The Obama Show
I watched the Obama show last night and it was okay. He rehashed everything he has been talking about. Laid out his plans for energy, health care, education, the military, getting America on the right track. What he failed to do was explain how he was going to pay for his plans. So many billion a year for new energy initiatives, higher salaries for teachers, benefits for companies who keep jobs in the country. How does he plan to pay for all of these programs?
The man talks a good game - I just want to see his budget and how red it is going to be.
I agree with what he says needs to done. I just want to make sure we can pay for it with out becoming a province of China.
On another note, as promised, I sent an epistle to my senators and Congressional representative to let them know what I think about the banks paying bonuses.
If you agree with me, please copy the letter, adapt it as you want and send it on to your representatives. A nation gets the government it deserves - I forget what famous individual said that - but they are correct.
As you will see, I have let the gang in D.C. know that it may be time to clean house. If enough of us get together, we just might make it happen.
Power to the People!!
Its Common Sense!
Dear Senator
On the news the other night the special banks - Goldman Sachs etc, - who accepted "bailout" money revealed that they still intended to pay out this year's bonus to their employees. The average bonus for a low level employee is $100,000.00. Who knows how the amount increases as you ascend the hierarchy. Some of the banks claim they set the bonus money aside prior to requesting federal assistance. Maybe all of them did.
If that is the case, if they had what must add up to millions of dollars available to pay these bonuses, why do they need my tax dollars to bail themselves out of a jam?I always believed you paid someone a bonus for a job above and beyond the call of duty. Losing fortunes and heading towards bankruptcy do not seem to be reasons to receive a bonus.There was no job well done - if it wasn't for the American taxpayer a lot of these people would be pounding the pavement.
What protections are in place to assure us taxpayers that our money is not going to be paid out as a bonus (an amount more than both my wife and I earn) to some greedy banker who screwed up?Are the banks going to be forced to use this "bonus reserve" to stabilize their situation before being allowed access to federal funds (my tax dollars) or is Congress going to allow the bonuses to be paid and let the banks continue with "business as usual?"
Senator, we tax payers deserve more than we are getting. We did not create the problem. Poor oversight on your (Congress's)part allowed the greedy banks to create the problem and yet you expect us, not them, to pay for the crisis. Not only are the banks' hierarchy getting away with murder, they are putting us into an enormous debt to China and other foreign countries.
America is falling and it is the lack of leadership in the White House and Congress that has brought us to this terrible time.What specifically is going to be done to insure the banks don't use out money for bonuses?What is being done - specifically - to hold bank management accountable for the situation their greed has caused?
If things don't get better, we taxpayers will need to have our voices heard. This coming Tuesday would be a good time for us to get out and let Washington know our dissatisfaction. Maybe its time to clean out Congress and start over.We deserve service and protection. Thus far Congress and the White House have failed to provide either to the citizens of the country.
Michael Wolfe
The man talks a good game - I just want to see his budget and how red it is going to be.
I agree with what he says needs to done. I just want to make sure we can pay for it with out becoming a province of China.
On another note, as promised, I sent an epistle to my senators and Congressional representative to let them know what I think about the banks paying bonuses.
If you agree with me, please copy the letter, adapt it as you want and send it on to your representatives. A nation gets the government it deserves - I forget what famous individual said that - but they are correct.
As you will see, I have let the gang in D.C. know that it may be time to clean house. If enough of us get together, we just might make it happen.
Power to the People!!
Its Common Sense!
Dear Senator
On the news the other night the special banks - Goldman Sachs etc, - who accepted "bailout" money revealed that they still intended to pay out this year's bonus to their employees. The average bonus for a low level employee is $100,000.00. Who knows how the amount increases as you ascend the hierarchy. Some of the banks claim they set the bonus money aside prior to requesting federal assistance. Maybe all of them did.
If that is the case, if they had what must add up to millions of dollars available to pay these bonuses, why do they need my tax dollars to bail themselves out of a jam?I always believed you paid someone a bonus for a job above and beyond the call of duty. Losing fortunes and heading towards bankruptcy do not seem to be reasons to receive a bonus.There was no job well done - if it wasn't for the American taxpayer a lot of these people would be pounding the pavement.
What protections are in place to assure us taxpayers that our money is not going to be paid out as a bonus (an amount more than both my wife and I earn) to some greedy banker who screwed up?Are the banks going to be forced to use this "bonus reserve" to stabilize their situation before being allowed access to federal funds (my tax dollars) or is Congress going to allow the bonuses to be paid and let the banks continue with "business as usual?"
Senator, we tax payers deserve more than we are getting. We did not create the problem. Poor oversight on your (Congress's)part allowed the greedy banks to create the problem and yet you expect us, not them, to pay for the crisis. Not only are the banks' hierarchy getting away with murder, they are putting us into an enormous debt to China and other foreign countries.
America is falling and it is the lack of leadership in the White House and Congress that has brought us to this terrible time.What specifically is going to be done to insure the banks don't use out money for bonuses?What is being done - specifically - to hold bank management accountable for the situation their greed has caused?
If things don't get better, we taxpayers will need to have our voices heard. This coming Tuesday would be a good time for us to get out and let Washington know our dissatisfaction. Maybe its time to clean out Congress and start over.We deserve service and protection. Thus far Congress and the White House have failed to provide either to the citizens of the country.
Michael Wolfe
Wednesday, October 29, 2008
TV Campaign
This year's political campaign reaches a new note this evening when Barrack Obama takes a half hour on CBS, NBC (ABC was not mentioned in the list I saw) and several cable networks to drive home his points (Hopefully this will be an informative half hour, not a info-mercial, soap opera or comedy). At least that's what I hope he plans to do and not bore us with a lot of useless information.
I have read the pros's and con's regarding the telecast. My hope is that Obama will now give us some specifics on the plans he wants to enact if elected president. I want to hear his proposals on health care, energy, the economy and the USA's image abroad. I want him to explain how he is going to pay for his programs without going into my pocket and not taking out loans from foreign (China) lenders.
As I have stated, I have not made a decision on who to vote for. Neither candidate has impressed me. Tonight is Obama's night to shine (or crash) and we will watch and listen.
I wish the McCain campaign had the same amount of money to waste on a half hour presentation, but he needs to spend his cash in the undecided states.
Isn't amazing how the pollsters already know how we are all going to vote and how the electoral college is going to line up? I know some of the states have had voting going on for a couple of weeks but I do not trust the early predictions.
Let's wait until all of the electorate have had their opportunity in the ballot box before telling us trends.
Watch Obama this evening and see what he has to say.
Vote out all incumbents next Tuesday!!
Its Common Sense!
I have read the pros's and con's regarding the telecast. My hope is that Obama will now give us some specifics on the plans he wants to enact if elected president. I want to hear his proposals on health care, energy, the economy and the USA's image abroad. I want him to explain how he is going to pay for his programs without going into my pocket and not taking out loans from foreign (China) lenders.
As I have stated, I have not made a decision on who to vote for. Neither candidate has impressed me. Tonight is Obama's night to shine (or crash) and we will watch and listen.
I wish the McCain campaign had the same amount of money to waste on a half hour presentation, but he needs to spend his cash in the undecided states.
Isn't amazing how the pollsters already know how we are all going to vote and how the electoral college is going to line up? I know some of the states have had voting going on for a couple of weeks but I do not trust the early predictions.
Let's wait until all of the electorate have had their opportunity in the ballot box before telling us trends.
Watch Obama this evening and see what he has to say.
Vote out all incumbents next Tuesday!!
Its Common Sense!
Tuesday, October 28, 2008
Bonus
Last night on the news I saw that several of the financial institutions we are bailing out with our tax dollars are still planning to give their employees bonus, averaging out to $110,000.00 per employee.
What's wrong with this picture?
I thought you rewarded people for doing a good job, not for bringing a country to financial ruin. The financial institutions already had the bonus money set aside. Seems to me that these financial institutions can use the bonus money to bail themselves out and leave my money alone.
Needless to say I will be writing to my representatives later today or tomorrow to have them explain to me why they are allowing our tax dollars to be used as rewards for mismanagement.
The Bankers and Wall Street boys/girls need to get their act together and stop considering themselves better than anyone else. No one deserves a bonus for going into debt or worse, into bankruptcy.
Congress needs to get control of this situation in a hurry, or we are going to find that our money is not being used to open up lending, rather to buy a Mercedes for some Wall Street fat cat.
Enough is enough. Write your representative, demand action and the protection of OUR money.
Its Common Sense!!
What's wrong with this picture?
I thought you rewarded people for doing a good job, not for bringing a country to financial ruin. The financial institutions already had the bonus money set aside. Seems to me that these financial institutions can use the bonus money to bail themselves out and leave my money alone.
Needless to say I will be writing to my representatives later today or tomorrow to have them explain to me why they are allowing our tax dollars to be used as rewards for mismanagement.
The Bankers and Wall Street boys/girls need to get their act together and stop considering themselves better than anyone else. No one deserves a bonus for going into debt or worse, into bankruptcy.
Congress needs to get control of this situation in a hurry, or we are going to find that our money is not being used to open up lending, rather to buy a Mercedes for some Wall Street fat cat.
Enough is enough. Write your representative, demand action and the protection of OUR money.
Its Common Sense!!
Monday, October 27, 2008
The Pickens Plan
Today I finally took the time to take a look at the Pickens' Plan of energy independence. A lot of things we have heard of, but the oil billionaire has plans to get it started. I would like to go to Texas and have a look at the windmills. Just how huge are they? How much power do they produce? How bad an eyesore are they?
My understanding is that the state of Delaware is going to begin the construction of some windmills in the near future, so I will drive over there and take a look. (Texas is too far at the moment.)
I signed Mr Pickins' petition because I want John McCain and Barrack Obama to come out and give some specifics. Can they convince the power companies and the oil companies (notice I am trying to avoid taxpayer dollars and loans from China) to put up the money to get these alternative sources of energy working? We know if there is a profit the energy and oil companies will be interested, and as long as it is a reasonable profit - nothing ridiculous like the oil companies made during this year - then more "power" to them.
The rhetoric needs to stop and action needs to begin. Obama and McCain need to present clear, specific plans and if they don't have one then they should sit down with T Boone Pickens and the executives of the energy and oil companies and come up with a plan that will make the USA energy independent and an example of clean energy for the rest of the world.
Its Common Sense!
My understanding is that the state of Delaware is going to begin the construction of some windmills in the near future, so I will drive over there and take a look. (Texas is too far at the moment.)
I signed Mr Pickins' petition because I want John McCain and Barrack Obama to come out and give some specifics. Can they convince the power companies and the oil companies (notice I am trying to avoid taxpayer dollars and loans from China) to put up the money to get these alternative sources of energy working? We know if there is a profit the energy and oil companies will be interested, and as long as it is a reasonable profit - nothing ridiculous like the oil companies made during this year - then more "power" to them.
The rhetoric needs to stop and action needs to begin. Obama and McCain need to present clear, specific plans and if they don't have one then they should sit down with T Boone Pickens and the executives of the energy and oil companies and come up with a plan that will make the USA energy independent and an example of clean energy for the rest of the world.
Its Common Sense!
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