Social Security Reform - Now officially on the Obama Agenda

(Halelujah corus playing ... )

I'm speechless. . .

Reform of the entitlement programs, Social Security, Medicare, and Medicaid

-the "elephants in the room" that are the biggest threat to the 'AAA' rating of US Treasuries, and the future of the US economy-

is now officially on the agenda.

To preserve our long-term fiscal health, we must also address the growing costs
in Medicare and Social Security. Comprehensive health care reform is the best
way to strengthen Medicare for years to come. And we must also begin a
conversation on how to do the same for Social Security, while creating tax-free universal savings accounts for all Americans.

- Barack Obama, February 24 2009 State of the Union Address

For years no politician would dare touch the issues because the backlash from the interest groups would be political suicide.

But this Administration is different.

They are focused on fearless leadership and instilling a vision of hope for healthy change in the areas the America is the weakest. They are not afraid of facing some tough political opposition, or having to ask Americans to sacrifice for the good of future generations. This bold leadership quality is unlike any seen since the last Great Depression, and although it may hurt, it is the only way the US can emerge from this crisis stronger and better prepared for the 21st century challenges.

This is encouraging news, and should resonate throughout the media and public to ensure that the Administration follows through on pushing their agenda. This is the time for those that will most be affected by Social Security reform to speak up, and voice their concerns and hopes about entitlement reform. This issue cannot slide to a second or third priority agenda. If it is not resolved now, there may not be another chance.

$819 billion stimulus bill - break down

From public records HR 1 the $819 billion version that passed in the House on 28 JAN

I scrolled through the bill and looked for allocations, then added them all up.
I came up to a total of $367 billion of committed funds. I heard that the tax provisions alone were around $275 billion, which adds up to $ 642 billion. The remaining ~ $177 billion must come from the other provisions of the bill - Unemployment Assistance, Health Insurance and Health Information Technology, Energy, Broadband Communications, and Education, which are indicated in blue italics.

Feel free to add comments and corrections as necessary.

Oversight and Auditing $0.2 billion

Justice $4.0 billion

State and Local Law Enforcement
Community Oriented Policing

Homeland Security $1.1 billion

Customs and Border - Salaries
Customs and Border - Construction
TSA - Aviation Security
Coast Guard - Bridge Alteration
FEMA - Emergency Shelters
Social Security Immigration Reform

Defense $9.35 billion

Facilities
Operations - Army
Operations - Navy
Operations - Marine Corps
Operations - Air Force
Defense - Health
Operations - Army Reserves
Operations - Navy Reserves
Operations - Marine Corps Reserves
Operations - Air Force Reserves
Operations - Army National Guard
Operations - Air National Guard
Research - Army
Research - Navy
Research - Air Force
Research - Defense Wide

Military Construction and Veterans Affairs $7.0 billion

Military Construction - Army
Military Construction - Navy and Marine Corps
Military Construction - Air Force
Military Construction - Defense Wide
Military Construction - Army National Guard
Military Construction - Air National Guard
Military Construction - Army Reserves
Military Construction - Navy Reserves
Military Construction - Air Force Reserves
Defense Base Closure Account
Veterans Affairs - Medical Facilities
National Cemetary

State Department $ 0.5 billion

Foreign Affairs - Capital Investments
US-Mexico Border Construction

Government Operations $8.3 billion

Federal Buildings
Energy Efficient Federal Vehicles

Interior $15 billion

Land Management - Construction
Fish and Wildlife - Construction
National Parks - Construction
National Mall
Centennial Challenge
US Geological Survey - Surveys and Research
Indian Affairs - Construction
EPA - Hazardous Substances
EPA - Leaking Underground Tanks
EPA - Clean Water
EPA - Drinking Water
EPA - Energy Policy
EPA - Environmental Response and Liability
Forest Services - Capital Improvements
Wildlife management - hazard reduction and rehabilitation
Wildlife management - State fire management
Health and HS - Indian Health Facilities
Smithsonian - Facilities
Arts and Humanities - Grants

Energy and Water $45.7 billion

Corps of Engineers - Construction
Corps of Engineers - Mississippi River
Corps of Engineers - Operations
Corps of Engineers - Regulatory
Interior - Water Resources
Dept of Energy - Energy Efficiency and Renewable Energy
Electricity Delivery and Reliability
Battery Loans
Institutional Loans
Innovative Technology Loans
Carbon Sequestration
General Energy Science
Defense Environmental Cleanup
Hoover Power Plant - Loan
corrections to the Energy Independence and Security Act of 2007
Renewable energy and electric power transmission loan guarantee
rapid deployment of renewable energy and electric power transmission
weatherization assistance program
renewable electricity transmission study
state energy grants

Agriculture $34.5 billion

Agriculture Buildings and Facilities and Rental Payments
Buildings and Facilities
Salaries and Expenses
Watershed and Flood Prevention
Watershed Rehabilitation
Rural Community Advancement Loans
Rural Loan Administration
Rural Housing Insurance
Rural Housing Loan Admin
Rural Utilities
Child Nutrition
Food Assistance
Administration - Agriculture

Commerce $1.3 billion

Economic Development Assistance
Census

Financial Services $3.4 billion

Small Business Loan administration
Small Business Loan Allocation

Telecommunications $3.8 billion

Telecommunications Salaries
Wireless and Broadband Grant
Digital to Analog Boxes
Inventory of broadband service capacity
wireless and broadband deployment grants
national broadband plan

Transportation $43.1 billion

Federal Aviation Administration - Airport Grants
Federal Highway Administration - Highway Investments
Federal Railroad Administration - Intercity Passenger Rail Investment
National Railroad Passenger Corporation - Capital and Debt Service Grant
Federal Transit Administration - Transit Investment
Federal Transit Administration - Fixed Guideway Investment
Federal Transit Administration - Discretionary

Housing and Urban Development $16.3 billion

Indian Housing
Elderly and Disabled - Energy Retrofit
Native American Housing Block Grant
Community Development Fund
Neighborhood Stabilization - foreclosure avoidance
HOME Investment partnership program
Self Help and Assisted Home-ownership
Homeless Assistance Grant
Lead Hazard Reduction

Education $143.5 billion

Elementary and Secondary - Education for the Disadvantaged
Elementary and Secondary - Impact Aid
Elementary and Secondary - School Improvement
Elementary and Secondary - Innovation and Improvement
Elementary and Secondary - Special Education for Children with Disabilities
Higher Education - Student Financial Assistance
Higher Education - Student Aid Administration
Higher Education - General
Institute of Education Sciences
Elementary and Secondary - School Modernization, Renovation, and Repair
Higher Education - Modernization, Renovation, and Repair
State Fiscal Stabilization Fund
Amendment to Pell Grants
Increasing Student Loan Limit and Interest Rate Calculation
21st Century Green High Performing Public School Facilities

Scientific Research $4.9 billion

Technology Research
Industrial Technology Services
Research Facilities Construction
Ocean and Atmosphere Research
NASA - Science
NASA - Aeronautics
NASA - Disaster Relief
NSF - Research
NSF - Education
NSF - Facilities and Construction
Satellite Construction

Health $12.3 billion

Health Centers Grants
Health Centers - Repairs
Health Centers - Moving Expenses
Health Care Personnel and Training
Disease Control
National Institute of Health - Research
National Institute of Health - Discresionary
National Institute of Health - Facilities
Agency for Health Care Research - Discretionary
Health Information Technology
Public Health and Social Services Emergency Fund
Disease Control - Prevention
Discretionary Prevention
Assistance and extension of COBRA benefits
COBRA premium assistance
Penalty for failure to notify health plan of cessation of eligibility
Optional medicaid coverage
Health Information Technology and Quality provision

Labor and Human Services $12.5 billion

Employee Training
Community Service for Older Adults
State Unemployment Insurance
Department of Labor - Salaries
Office for Job Corps
Low Income Home Energy Assistance
Child Care and Development Grants
Children and Family Services
Community Service - Operations
National Service Trust
Social Security Administration - Computer Center
Social Security Administration - processing disability and retirement workloads
Aging Services
Extension of Emergency Unemployment Compensation Program
Increase in Unemployment Compensation
Unemployment Compensation Modernization
Emergency fund for TANF Program
One Time Emergency Payment to SSI Recipients
Temporary Resumption of Prior Child Support Law
Additional Medicaid provisions

Tax Incentives $ 275 billion (estimated)

Increased earned income tax credit
Increased child tax credit
American opportunity tax credit
waiver of repayment of first time buyer tax credit
low income housing credit
temporary investment incentives
temporary increase in limitations on expensing depreciable business assets
5 year carryback of operating losses
Exceptions for TARP recipients
incentives to hire veterans and disconnected youth
limitations on certain built-in losses following change of ownership
de minimus safe harbor exception for tax exempt interest expense of financial institutions
modification of smaller issuer exception to tax exempt interest expense allocation rules for financial institutions
temporary modification of alternative minimum tax limitations on tax-exempt bonds
school construction tax credit
qualified zone academy bonds
government bonds
recovery zone bonds
tribal economic bonds
repeal withholding tax on government contractors
electricity produced from renewable resources
investment credit in lieu of production credit
repeal limitations on credit for renewable property
coordinate with renewable energy grants
increased limitations on issuance of new clean renewable energy bonds
increased limitations and expansion of qualified energy conservation bonds
extension and modification of credits for non-business energy property
modification of credit for residential energy efficient property
temporary increase in credit for alternative fuel vehicle refueling property
increased research for energy research
application of certain labor standards to projects financed with tax-favored bonds
grants to states for low-income housing projects in lieu of low-income housing credit allocations
grants for specified energy property in lieu of tax credits
study of economic employment and related effects of the act

Numbers don't matter to the Obama Administration

This economic recovery plan is starting to show some very disturbing elements of political manipulations. In a "don't mind the man behind the curtains" move, this recent circulation from the Obama Administration makes an overt attempt at blurring reality by encouraging the supporters to not worry about numbers.

The media is filled with numbers about the economic crisis. But the numbers do not tell the full story.

The Administration cannot shy away from the numbers, but rather needs to incorporate the real numbers of this recession into its communications. Otherwise - they lose the trust of the American public, and appears to be hiding the truth, rather than dealing with the reality of the situation. In the article, the Administration claims that the recovery plan

will help struggling families right now by saving or creating up to 4 million jobs

indicating that numbers do matter, which contradicts the previous statement. So when the media uses numbers, don't believe them, but when the Obama Administration uses numbers, its somehow more trustworthy? The twist is that although 4 million jobs may be created, how many are not being created? How does 4 million compare with the number of jobs that will be lost by the end of 2009?

The whole reason for the financial crisis is the complete negligance of numbers by investors, financial analysts, government regulating agencies, the Federal Reserve, credit rating agencies, and consumers.

Numbers like: credit scores, income, collateral - were ignored by the entire mortage industry, fueled by pressure from the government and incentives from the Feds to extend real estate ownership privileges to lower income families for no better explanation than "it was a good thing to do". Where "good" is now something up for debate.

Numbers like: future ARM rates, purchase price, household disposable income, equity, price-to-rent ratios - were ignored by consumers for social and cultural pressures under the belief that "housing prices will always rise" and "you're throwing your money away if you rent - buying a house is an investment". Well, we are reminded now that housing prices rise and fall just like any other market price, and "throwing your money away" and "investment" are words and phrases left for interpretation.

In several of the online doomsday scenarios of how this recession could play out, one of the last steps before complete breakdown of civil order is when the people discover that the government has been diliberately covering up the statistics that tell the true magnitude of the problem. Numbers are particularly uncomfortable for the government, because unlike words, which can be manipulated through vauge and ambiguous shadows of meanings, numbers mean very specific things, and although one may also have phoney numbers, its easier to spot a bogus statistic than a vaugue political memorandum that doesn't actually say anything substantial, but is open to interpretation.

If the market realizes negative growth for successive quarters, then mathematically the country is in recession.

If more people file for unemployment than new jobs created, they your unemployment statistic rises.

If banks do not trust the financial system then they will charge a higher premium for lending their liquid assets, and interest rates will rise.

If foreign countries like Saudi Arabia and China doubt the ability of the US to fulfill its future debt obligations, then the exchange rates will tank the US dollar.

Ambiguous statements such as

it will also help strengthen our economy for the future by investing in crucial infrastructure projects in health care, education, and energy.

leave room for interpretation of "help strengthen" , "the future" , and "critical infrastructure".

Numbers matter- investors move money, and create jobs based on numbers. Consumers purchase because they have disposable income, or available credit, and product prices are low. The Obama Administration is correct in identifying the intangible psychology of consumers and investors manifests itself in ways unexplainable by numbers, but the ability to alter expectations about the economic outlook has limitations, and those limitations are the reality that numbers represent.

Original Message
__________________________________________________________
Organizing for America - your economic crisis story

Thank you for taking part in an Economic Recovery House Meeting.

Americans have organized Economic Recovery House Meetings in all 50 states -- including 382 in California, 255 in Florida, 115 in Ohio, 199 in New York, 105 in Washington, and 149 in Texas.

That's more than 3,587 meetings in 1,579 cities and 429 congressional districts.

At a lot of meetings, guests watched a video of Governor Tim Kaine and shared their stories about how the economic crisis has affected them. If you haven't already, watch the video and share your economic crisis story.

The media is filled with numbers about the economic crisis. But the numbers do not tell the full story.

The story of this crisis is in homes across the country -- homes where a family member has lost a job, where parents are struggling to pay a mortgage, and where college tuition has slipped out of reach.

That's also where the story of our recovery begins -- in communities where repairing roads and bridges, manufacturing green technologies, and rehabilitating our schools and hospitals will directly impact the lives of ordinary people and their families.

President Obama's recovery plan will help struggling families right now by saving or creating up to 4 million jobs. But it will also help strengthen our economy for the future by investing in crucial infrastructure projects in health care, education, and energy.

Share your story about how this economic crisis is affecting you and your family and join your fellow Americans in supporting bold action to speed our recovery:

http://my.barackobama.com/sharestories

Thank you for organizing so much support at this crucial moment for our country,

Mitch

Mitch Stewart
Director
Organizing for America