October 2011

Republican Chumps

Republican Chumps (09/07/11)

It is amazing how the media handles the messages from the candidates for Republican presidential nomination. Unfortunately, only “The View” and the evening news can deliver a message people will understand as most Americans will never tune into a debate. I personally believe Oprah Winfrey had more to do with the election of Senator Barak Obama than the debates and job qualifications. By comparison Hillary Clinton was far more qualified and should have taken the Democrat nomination, but she was trumped by Oprah’s afternoon television show.

In Iowa last month the two winning candidates were Bachmann and Paul. However, the media spent the weekend reporting on Perry and whether he would enter the campaign. Maybe looks have more to do with the process than records, or an agenda exists behind the scenes to drive a certain candidate to the top? For instance, when Gingrich announced his campaign the media immediately began unraveling campaign contribution paperwork and essentially destroyed the campaign before it started. Likewise, questions were raised concerning Bachman’s conflict between using Fannie Mae versus her opposition to the organization.

In sharp contrast, Perry has been heralded by the media as the savior to the Republican Party; the only electable candidate. Similarly Romney has maintained headlines as a contender and every effort is made to make this a two-horse race. However, under scrutiny these two candidates are far more questionable than Bachman, Paul, Cain, or the rest of the field.

Most people don’t realize Perry’s significant personal contributions to the Democrat party. He was formerly the Democrat Representative for Haskell County, Texas, state director of the Al Gore Presidential campaign in 1988, and in 1993 documented his enthusiastic support for Hillary Clinton’s proposed health care program. By far Perry’s worst action was his February 2007 executive order forcing every sixth-grade girl to submit to a three-jab regimen of the Gardasil vaccine. This decision undermines parental authority and one must wonder how such a mandate regarding a newly approved drug with unforeseen side-effects could benefit his state’s citizens.

Romney is currently among the media top-ranked candidates although he skips debates and passes on appearances where voters could confront his record. Mitt Romney, as governor of Massachusetts, passed a health-care plan providing socialized medicine for its citizens. Regarding his jobs and economic performance, under Romney’s leadership Massachusetts has a weak comparative economic performance of the state, one of the worst in the country.

I titled this column “Republican Chumps” for a reason; to highlight the fallacies of the contenders and question why so many are willing to blindly follow polls and “The View” to determine their Presidential nominee. I argue candidates Perry and Romney fail under scrutiny. The other candidates are only “unelectable” when ABC, NBC, and CBS make the decision on the voter’s behalf. Today the “chumps” are the candidates; tomorrow the “chumps” will be the uninformed voters.

War! What is it Good For?

War! What is it Good For? (10/19/2011)

I have been traveling lately so my ability to tune to the news has been limited. However, it appears the United States is currently in the process of creating another “Gulf of Tonkin” event to justify an attack on a sovereign nation. It is hard for me to believe I would make such an accusation, but history repeats itself and desperate politicians will do anything to maintain their power. Let’s take a quick look at the facts.

First, President Obama continues to slide week after week in the public opinion polls. His own party is currently turning against him and with regularity Hilary Clinton’s name is floated, via trial balloons, as a possible nominee or Biden replacement. This is a President, and party, who cannot accept the downward slide and has been working toward re-election, not governance, since January 2009.

Second, the administration has lost control of several stories and will use diversions to deflect the outcome – a classic maneuver confirmed by Hollywood in the movie “Wag the Dog.” Today the administration is being investigated for two significant, impeachable events: “Fast and Furious” and “Solyandra.” The diversion playbook is far easier to play from than truthful acceptance of responsibility.

Third, questions are currently rising around the alleged plot to kill the Saudi envoy to Washington. Additionally, the world does not recognize the right of the sovereign nation of Iran, a former war ally, to build its own nuclear program. Senator Diane Feinstein over the weekend affirmed her own skepticism regarding the plot by the Mexican used-car dealer to assassinate the Saudi; however she feels after her intelligence briefing there is a case. She did continue to comment this is not the time for war with Iran and America appears to be on an unavoidable collision course.

Personally, I believe Ahmadinejad to be a ruthless dictator who should not possess nuclear weapons. However, we must draw a line and avoid a possible fifth war (Iraq, Afghanistan, Yemen, and Libya) as an attack on Iran has the potential to escalate to a nuclear event. President Obama has assured the world Iran would face the “toughest possible sanctions” for its part in the assassination plot. I suggest if there were no personal gain for his administration the President would back-channel his responses and leave pleas for public opinion out of the spotlight; quiet and decisive action is more effective than loud self-serving posturing. “War! What is it good for? Absolutely nothin’!” – Norman Whitfield.

I love Corporate Jet Owners

I love Corporate Jet Owners (10/12/2011)

Our president loves to talk about “fat-cats”, “the rich”, and “millionaires and billionaires” as he makes a case for the malaise in which we find ourselves. The parallelisms to Carter’s same pleas with America in 1979 are eerily similar, especially knowing such criticisms and populist arguments drove the economy further away from recovery. One of President Obama’s specific criticisms targets corporate jet owners and it is with this I must take exception. If driven by jealousy and envy it might seem appropriate to target those rich guys flying around in their jets, but personally my family and I depend on corporate jet owners to pay our bills.

Where the president misses the mark is he believes the government through Keynesian economics is best suited to transfer wealth and create economic growth, whereas I feel corporate jet owners are better suited. For instance, a jet must first be built and this is accomplished at plants like Gulfstream in Savannah, GA where 5,500 at all skill levels are employed. Additionally the supply chain, maintenance or even the multiplier effect of employees spending money locally all come from the purchase of corporate jets.

Once in the air the jets must be fueled, maintained, and managed. A hangar with a staff of three to five is typical and two pilots are needed. Thus, the “evil” corporate jet owner directly employs people to take care of his aircraft paying at least $350,000 in total salaries and the appropriate taxes. Further economic stimulus results from the hangar rent and property taxes. Operating the aircraft requires fuel; a truck driver delivers the fuel and companies sell the fuel to the corporate jet owner. Additionally, every gallon typically collects $0.244 in Federal Excise Tax, $0.05-$0.20 in state and local taxes, and another $0.10 in miscellaneous taxes. A corporate jet owner will consume 50k-200k gallons of fuel annually, generating tens of thousands of dollars in tax revenues. Each time the aircraft lands at an airport’s FBO (Fixed Base Operator) employees keep their job by servicing and fueling the aircraft, like an old-fashioned service station.

It is easy to be envious and jealous of those who have more, especially when you have never held a job or worked to start a company like our president, but under examination a different view comes to light; like a car a corporate jet is a tool to do business, to travel faster and more conveniently. In 2005 General Aviation contributed $150 billion to the economy, employed 1,250,000 million people and generated $53 billion in wages. As America’s single biggest corporate jet user, via the taxpayer’s pocketbook of Air Force One, I wish President Obama would rethink his populist arguments against corporate jet owners.

All Lots $79,900

All Lots $79,900 (10/5/2011)

Driving to Gainesville (GA) one morning last week I passed a partially developed neighborhood with an enormous sign advertising, “All Lots $79,900 – Financing Available.” I laughed as I looked at the subdivision: empty lots next to “McMansions” displaying overgrown weeds, and electrical boxes and sewer pipes growing out of the ground like trees. The eyesore of the undeveloped properties is obvious and a developer’s dream is awash in a failed economy.

During the boom I was always troubled by such subdivisions; worthless land with infrastructure added and lots sold like South Florida swampland. Exorbitant prices were supported by the banking Ponzi scheme. How come no one every asked why a piece of dirt was nearly $350,000 per acre I wondered? Farmland returns value and is the reason people homesteaded. However since the first post-WWII subdivisions in Levitown Americans have succumbed to a delusion of home ownership as a measure of success.

Imagery fuels this desire as Hollywood’s settings range from Beverly Hills and Orange County to Chicago’s North Lakeside Drive or beachfront on any shoreline. The middle class believes homes should be large and spacious when the affordable reality is quite opposite. Maybe the “Real Housewives…” should be set in a Toll Brothers or KB Homes three bedroom house in Orange County, Florida to generate a realistic picture of middle class life. In that show Mom and Dad would both work 50 hours per week and good times are replaced with conversations of budgets and staying afloat.

The media continues to find false hope week after week of real estate market bottoms or economic turnaround. Housing starts are the lowest in recorded history, and loans to purchase a home are unattainable. The biggest criminals have been exonerated by “too big to fail” and continue to profit, and taxpayers now hold one-third of foreclosed properties. Instead of reporting on “Obamavilles” and digital soup lines of 45 million food stamp recipients a National Association of Realtors monthly press release reporting “pricing bottom reached” is promoted as gospel to only be contradicted the following month.

The dreams remain alive for a life now gone; large houses, jet skis, and oversized trucks, but signs for $79,900 lots still fly. As businesses shutter, mayhem by youthful mobs continues, prices rise and wages stagnant I hope reality will set in. Across the country there are families living the dream in brand new, overpriced homes looking at the overgrown remnants of lost subdivisions and lost dreams. Someday soon the sign will promote the real value, “All Lots – Worthless.”

School Taxes

School Taxes (9/28/2011)

My first attempt at this week’s column rubbed some folks the wrong way so I made an effort to tone down the rhetoric. I was inspired to write about senior citizens and a feeling of entitlement over a recent property tax issue. My concern is one group working to exempt themselves from a tax at the expense of those who cannot vote: school children.

With surprise, at the gym last week I saw a petition on the table for signing. The petition was to create a ballot initiative to exempt anyone aged 65 and older from the school portion of their property taxes. Sure, on the surface an argument to say, “I do not have school age children so I therefore should not pay school taxes,” appears valid. However, the fallacy in the argument is it can be applied throughout the entire tax code.

Many taxes are “use” taxes: fishing license, state park fees, and even fuel taxes collected to pay for roads. Our society has agreed most other taxes are for the greater good. Researching my “refreshed” version of this column I found a Facebook page and many web sites for Seniors not paying taxes. Sadly, the consistency in the comments was one of entitlement, “I have paid enough in taxes,” or my favorite, “don’t we deserve a little break in our golden years.” I am appalled! I see supporting schools as investments in our future. Without an educated and skilled youth our country will continue to degenerate.

The savings to her are minimal, but the impact of the entire group is substantial; millions of lost revenue per year. Personally I hate taxes and would seek to reduce any tax I pay, but I have long offered there are some necessary costs to live in a civilized society: defense, infrastructure, education, and minimal social safety nets.

Our society is changing rapidly. There are far more takers of the social security system than ever anticipated and the system cannot persist. The number of retired citizens is higher and as property owners their school property taxes are an investment in our future, and their own future. Within the next twenty years most of today’s seniors will be covered in dirt, but their legacy will live as their grandchildren work to pay the debt they created.

9-11

9-11 (9/21/2011)

I planned to write this column about three weeks ago, feeling it would be prophetic. However, due to personal time constraints I did not have a chance to get pen to paper until this past weekend. By then my worst fears were materializing; the media created frenzy around “potential threats.” One must understand the premise of false terror and political needs to keep feeding the “monster”. George Orwell explains this in 1984 as Emmanuel Goldstein; America’s Goldstein is Al-Qaeda.

My heart goes out to all families who lost loved ones on September 11, 2001. Likewise, my heart goes out to the other losses in the same year and annually since then. Statistics make a case for where real threats lie, not the hype pushed at us every evening and in newspapers. On September 11th there were 3,116 Americans killed in the four airliner incidents. The Department of Homeland Security did not exist, and we were not at war in Iraq or Afghanistan.

By comparison in 2001 there were 17,448 alcohol related fatalities and 42,116 total traffic fatalities – more than ten times the number killed the morning of 9/11. In 2001 there were 16,037 murders and 90,863 rapes. The numbers show far more people were killed in 2001 by preventable causes than the significant events of that morning. However, like any tragedy the knee-jerk reaction was to mobilize the U.S. military to capture Saddam Hussein and Osama Bin Laden. History reflects Saddam had nothing to do with the attacks and it took nearly ten years to flush Bin Laden out of a luxury home in Pakistan. Meanwhile twice as many military personnel have been killed as the number of deaths that morning and an unstoppable monster called “Department of Homeland Security” now employs 200,000 and has a budget of $98 billion dollars. Sadly, even with this monumental effort to fight the “war on terrorism” preventable deaths occur and the civil rights of ordinary Americans are violated daily as collateral damage to the Patriot Act and DHS overreaching tactics to ensure safety.

I grew up in the Cold War, believing a nuclear winter would start in 20 minutes; similarly our children are growing up in a government induced façade of terrorism occurring any minute. Willfully new generations have learned to submit to security scans at public events, show papers, and give away freedoms. On the twentieth anniversary of 9/11, ten years from now, will we be living a pre-9/11 lifestyle or one of further submission? The next time you see law enforcement violating any American’s 4th Amendment Rights – executing searches of vehicles, bags, and even identification – ask yourself what the real threat is: government or foreign terrorists.