President Obama lays out Jobs plan.....

r. Speaker, Mr. Vice President, Members of Congress, and fellow Americans:

Tonight we meet at an urgent time for our country. We continue to face an economic crisis that has left millions of our neighbors jobless, and a political crisis that has made things worse.

This past week, reporters have been asking “What will this speech mean for the President? What will it mean for Congress? How will it affect their polls, and the next election?”

But the millions of Americans who are watching right now: they don’t care about politics. They have real life concerns. Many have spent months looking for work. Others are doing their best just to scrape by – giving up nights out with the family to save on gas or make the mortgage; postponing retirement to send a kid to college.

These men and women grew up with faith in an America where hard work and responsibility paid off. They believed in a country where everyone gets a fair shake and does their fair share – where if you stepped up, did your job, and were loyal to your company, that loyalty would be rewarded with a decent salary and good benefits; maybe a raise once in awhile. If you did the right thing, you could make it in America.

But for decades now, Americans have watched that compact erode. They have seen the deck too often stacked against them. And they know that Washington hasn’t always put their interests first.

The people of this country work hard to meet their responsibilities. The question tonight is whether we’ll meet ours. The question is whether, in the face of an ongoing national crisis, we can stop the political circus and actually do something to help the economy; whether we can restore some of the fairness and security that has defined this nation since our beginning.

Those of us here tonight can’t solve all of our nation’s woes. Ultimately, our recovery will be driven not by Washington, but by our businesses and our workers. But we can help. We can make a difference. There are steps we can take right now to improve people’s lives.

I am sending this Congress a plan that you should pass right away. It’s called the American Jobs Act. There should be nothing controversial about this piece of legislation. Everything in here is the kind of proposal that’s been supported by both Democrats and Republicans – including many who sit here tonight. And everything in this bill will be paid for. Everything.

The purpose of the American Jobs Act is simple: to put more people back to work and more money in the pockets of those who are working. It will create more jobs for construction workers, more jobs for teachers, more jobs for veterans, and more jobs for the long-term unemployed. It will provide a tax break for companies who hire new workers, and it will cut payroll taxes in half for every working American and every small business. It will provide a jolt to an economy that has stalled, and give companies confidence that if they invest and hire, there will be customers for their products and services. You should pass this jobs plan right away.

Everyone here knows that small businesses are where most new jobs begin. And you know that while corporate profits have come roaring back, smaller companies haven’t. So for everyone who speaks so passionately about making life easier for “job creators,” this plan is for you.

Pass this jobs bill, and starting tomorrow, small businesses will get a tax cut if they hire new workers or raise workers’ wages. Pass this jobs bill, and all small business owners will also see their payroll taxes cut in half next year. If you have 50 employees making an average salary, that’s an $80,000 tax cut. And all businesses will be able to continue writing off the investments they make in 2012.

It’s not just Democrats who have supported this kind of proposal. Fifty House Republicans have proposed the same payroll tax cut that’s in this plan. You should pass it right away.

Pass this jobs bill, and we can put people to work rebuilding America. Everyone here knows that we have badly decaying roads and bridges all over this country. Our highways are clogged with traffic. Our skies are the most congested in the world.

This is inexcusable. Building a world-class transportation system is part of what made us an economic superpower. And now we’re going to sit back and watch China build newer airports and faster railroads? At a time when millions of unemployed construction workers could build them right here in America?

There are private construction companies all across America just waiting to get to work. There’s a bridge that needs repair between Ohio and Kentucky that’s on one of the busiest trucking routes in North America. A public transit project in Houston that will help clear up one of the worst areas of traffic in the country. And there are schools throughout this country that desperately need renovating. How can we expect our kids to do their best in places that are literally falling apart? This is America. Every child deserves a great school – and we can give it to them, if we act now.

The American Jobs Act will repair and modernize at least 35,000 schools. It will put people to work right now fixing roofs and windows; installing science labs and high-speed Internet in classrooms all across this country. It will rehabilitate homes and businesses in communities hit hardest by foreclosures. It will jumpstart thousands of transportation projects across the country. And to make sure the money is properly spent and for good purposes, we’re building on reforms we’ve already put in place. No more earmarks. No more boondoggles. No more bridges to nowhere. We’re cutting the red tape that prevents some of these projects from getting started as quickly as possible. And we’ll set up an independent fund to attract private dollars and issue loans based on two criteria: how badly a construction project is needed and how much good it would do for the economy.

This idea came from a bill written by a Texas Republican and a Massachusetts Democrat. The idea for a big boost in construction is supported by America’s largest business organization and America’s largest labor organization. It’s the kind of proposal that’s been supported in the past by Democrats and Republicans alike. You should pass it right away.

Pass this jobs bill, and thousands of teachers in every state will go back to work. These are the men and women charged with preparing our children for a world where the competition has never been tougher. But while they’re adding teachers in places like South Korea, we’re laying them off in droves. It’s unfair to our kids. It undermines their future and ours. And it has to stop. Pass this jobs bill, and put our teachers back in the classroom where they belong.

Pass this jobs bill, and companies will get extra tax credits if they hire America’s veterans. We ask these men and women to leave their careers, leave their families, and risk their lives to fight for our country. The last thing they should have to do is fight for a job when they come home.

Pass this bill, and hundreds of thousands of disadvantaged young people will have the hope and dignity of a summer job next year. And their parents, low-income Americans who desperately want to work, will have more ladders out of poverty.

Pass this jobs bill, and companies will get a $4,000 tax credit if they hire anyone who has spent more than six months looking for a job. We have to do more to help the long-term unemployed in their search for work. This jobs plan builds on a program in Georgia that several Republican leaders have highlighted, where people who collect unemployment insurance participate in temporary work as a way to build their skills while they look for a permanent job. The plan also extends unemployment insurance for another year. If the millions of unemployed Americans stopped getting this insurance, and stopped using that money for basic necessities, it would be a devastating blow to this economy. Democrats and Republicans in this Chamber have supported unemployment insurance plenty of times in the past. At this time of prolonged hardship, you should pass it again – right away.

Pass this jobs bill, and the typical working family will get a fifteen hundred dollar tax cut next year. Fifteen hundred dollars that would have been taken out of your paycheck will go right into your pocket. This expands on the tax cut that Democrats and Republicans already passed for this year. If we allow that tax cut to expire – if we refuse to act – middle-class families will get hit with a tax increase at the worst possible time. We cannot let that happen. I know some of you have sworn oaths to never raise any taxes on anyone for as long as you live. Now is not the time to carve out an exception and raise middle-class taxes, which is why you should pass this bill right away.

This is the American Jobs Act. It will lead to new jobs for construction workers, teachers, veterans, first responders, young people and the long-term unemployed. It will provide tax credits to companies that hire new workers, tax relief for small business owners, and tax cuts for the middle-class. And here’s the other thing I want the American people to know: the American Jobs Act will not add to the deficit. It will be paid for. And here’s how:

The agreement we passed in July will cut government spending by about $1 trillion over the next ten years. It also charges this Congress to come up with an additional $1.5 trillion in savings by Christmas. Tonight, I’m asking you to increase that amount so that it covers the full cost of the American Jobs Act. And a week from Monday, I’ll be releasing a more ambitious deficit plan – a plan that will not only cover the cost of this jobs bill, but stabilize our debt in the long run.

This approach is basically the one I’ve been advocating for months. In addition to the trillion dollars of spending cuts I’ve already signed into law, it’s a balanced plan that would reduce the deficit by making additional spending cuts; by making modest adjustments to health care programs like Medicare and Medicaid; and by reforming our tax code in a way that asks the wealthiest Americans and biggest corporations to pay their fair share. What’s more, the spending cuts wouldn’t happen so abruptly that they’d be a drag on our economy, or prevent us from helping small business and middle-class families get back on their feet right away.

Now, I realize there are some in my party who don’t think we should make any changes at all to Medicare and Medicaid, and I understand their concerns. But here’s the truth. Millions of Americans rely on Medicare in their retirement. And millions more will do so in the future. They pay for this benefit during their working years. They earn it. But with an aging population and rising health care costs, we are spending too fast to sustain the program. And if we don’t gradually reform the system while protecting current beneficiaries, it won’t be there when future retirees need it. We have to reform Medicare to strengthen it.

I’m also well aware that there are many Republicans who don’t believe we should raise taxes on those who are most fortunate and can best afford it. But here is what every American knows. While most people in this country struggle to make ends meet, a few of the most affluent citizens and corporations enjoy tax breaks and loopholes that nobody else gets. Right now, Warren Buffet pays a lower tax rate than his secretary – an outrage he has asked us to fix. We need a tax code where everyone gets a fair shake, and everybody pays their fair share. And I believe the vast majority of wealthy Americans and CEOs are willing to do just that, if it helps the economy grow and gets our fiscal house in order.

I’ll also offer ideas to reform a corporate tax code that stands as a monument to special interest influence in Washington. By eliminating pages of loopholes and deductions, we can lower one of the highest corporate tax rates in the world. Our tax code shouldn’t give an advantage to companies that can afford the best-connected lobbyists. It should give an advantage to companies that invest and create jobs here in America.

So we can reduce this deficit, pay down our debt, and pay for this jobs plan in the process. But in order to do this, we have to decide what our priorities are. We have to ask ourselves, “What’s the best way to grow the economy and create jobs?”

Should we keep tax loopholes for oil companies? Or should we use that money to give small business owners a tax credit when they hire new workers? Because we can’t afford to do both. Should we keep tax breaks for millionaires and billionaires? Or should we put teachers back to work so our kids can graduate ready for college and good jobs? Right now, we can’t afford to do both.

This isn’t political grandstanding. This isn’t class warfare. This is simple math. These are real choices that we have to make. And I’m pretty sure I know what most Americans would choose. It’s not even close. And it’s time for us to do what’s right for our future.

The American Jobs Act answers the urgent need to create jobs right away. But we can’t stop there. As I’ve argued since I ran for this office, we have to look beyond the immediate crisis and start building an economy that lasts into the future – an economy that creates good, middle-class jobs that pay well and offer security. We now live in a world where technology has made it possible for companies to take their business anywhere. If we want them to start here and stay here and hire here, we have to be able to out-build, out-educate, and out-innovate every other country on Earth.

This task, of making America more competitive for the long haul, is a job for all of us. For government and for private companies. For states and for local communities – and for every American citizen. All of us will have to up our game. All of us will have to change the way we do business.

My administration can and will take some steps to improve our competitiveness on our own. For example, if you’re a small business owner who has a contract with the federal government, we’re going to make sure you get paid a lot faster than you do now. We’re also planning to cut away the red tape that prevents too many rapidly-growing startup companies from raising capital and going public. And to help responsible homeowners, we’re going to work with Federal housing agencies to help more people refinance their mortgages at interest rates that are now near 4 percent – a step that can put more than $2,000 a year in a family’s pocket, and give a lift to an economy still burdened by the drop in housing prices.

Other steps will require congressional action. Today you passed reform that will speed up the outdated patent process, so that entrepreneurs can turn a new idea into a new business as quickly as possible. That’s the kind of action we need. Now it’s time to clear the way for a series of trade agreements that would make it easier for American companies to sell their products in Panama, Colombia, and South Korea – while also helping the workers whose jobs have been affected by global competition. If Americans can buy Kias and Hyundais, I want to see folks in South Korea driving Fords and Chevys and Chryslers. I want to see more products sold around the world stamped with three proud words: “Made in America.”

And on all of our efforts to strengthen competitiveness, we need to look for ways to work side-by-side with America’s businesses. That’s why I’ve brought together a Jobs Council of leaders from different industries who are developing a wide range of new ideas to help companies grow and create jobs.

Already, we’ve mobilized business leaders to train 10,000 American engineers a year, by providing company internships and training. Other businesses are covering tuition for workers who learn new skills at community colleges. And we’re going to make sure the next generation of manufacturing takes root, not in China or Europe, but right here, in the United States of America. If we provide the right incentives and support – and if we make sure our trading partners play by the rules – we can be the ones to build everything from fuel-efficient cars to advanced biofuels to semiconductors that are sold all over the world. That’s how America can be number one again. That’s how America will be number one again.

Now, I realize that some of you have a different theory on how to grow the economy. Some of you sincerely believe that the only solution to our economic challenges is to simply cut most government spending and eliminate most government regulations.

Well, I agree that we can’t afford wasteful spending, and I will continue to work with Congress to get rid of it. And I agree that there are some rules and regulations that put an unnecessary burden on businesses at a time when they can least afford it. That’s why I ordered a review of all government regulations. So far, we’ve identified over 500 reforms, which will save billions of dollars over the next few years. We should have no more regulation than the health, safety, and security of the American people require. Every rule should meet that common sense test.

But what we can’t do – what I won’t do – is let this economic crisis be used as an excuse to wipe out the basic protections that Americans have counted on for decades. I reject the idea that we need to ask people to choose between their jobs and their safety. I reject the argument that says for the economy to grow, we have to roll back protections that ban hidden fees by credit card companies, or rules that keep our kids from being exposed to mercury, or laws that prevent the health insurance industry from shortchanging patients. I reject the idea that we have to strip away collective bargaining rights to compete in a global economy. We shouldn’t be in a race to the bottom, where we try to offer the cheapest labor and the worst pollution standards. America should be in a race to the top. And I believe that’s a race we can win.

In fact, this larger notion that the only thing we can do to restore prosperity is just dismantle government, refund everyone’s money, let everyone write their own rules, and tell everyone they’re on their own – that’s not who we are. That’s not the story of America.

Yes, we are rugged individualists. Yes, we are strong and self-reliant. And it has been the drive and initiative of our workers and entrepreneurs that has made this economy the engine and envy of the world.

But there has always been another thread running throughout our history – a belief that we are all connected; and that there are some things we can only do together, as a nation.

We all remember Abraham Lincoln as the leader who saved our Union. But in the middle of a Civil War, he was also a leader who looked to the future – a Republican president who mobilized government to build the transcontinental railroad; launch the National Academy of Sciences; and set up the first land grant colleges. And leaders of both parties have followed the example he set.

Ask yourselves – where would we be right now if the people who sat here before us decided not to build our highways and our bridges; our dams and our airports? What would this country be like if we had chosen not to spend money on public high schools, or research universities, or community colleges? Millions of returning heroes, including my grandfather, had the opportunity to go to school because of the GI Bill. Where would we be if they hadn’t had that chance?

How many jobs would it have cost us if past Congresses decided not to support the basic research that led to the Internet and the computer chip? What kind of country would this be if this Chamber had voted down Social Security or Medicare just because it violated some rigid idea about what government could or could not do? How many Americans would have suffered as a result?

No single individual built America on their own. We built it together. We have been, and always will be, one nation, under God, indivisible, with liberty and justice for all; a nation with responsibilities to ourselves and with responsibilities to one another. Members of Congress, it is time for us to meet our responsibilities.

Every proposal I’ve laid out tonight is the kind that’s been supported by Democrats and Republicans in the past. Every proposal I’ve laid out tonight will be paid for. And every proposal is designed to meet the urgent needs of our people and our communities.

I know there’s been a lot of skepticism about whether the politics of the moment will allow us to pass this jobs plan – or any jobs plan. Already, we’re seeing the same old press releases and tweets flying back and forth. Already, the media has proclaimed that it’s impossible to bridge our differences. And maybe some of you have decided that those differences are so great that we can only resolve them at the ballot box.

But know this: the next election is fourteen months away. And the people who sent us here – the people who hired us to work for them – they don’t have the luxury of waiting fourteen months. Some of them are living week to week; paycheck to paycheck; even day to day. They need help, and they need it now.

I don’t pretend that this plan will solve all our problems. It shouldn’t be, nor will it be, the last plan of action we propose. What’s guided us from the start of this crisis hasn’t been the search for a silver bullet. It’s been a commitment to stay at it – to be persistent – to keep trying every new idea that works, and listen to every good proposal, no matter which party comes up with it.

Regardless of the arguments we’ve had in the past, regardless of the arguments we’ll have in the future, this plan is the right thing to do right now. You should pass it. And I intend to take that message to every corner of this country. I also ask every American who agrees to lift your voice and tell the people who are gathered here tonight that you want action now. Tell Washington that doing nothing is not an option. Remind us that if we act as one nation, and one people, we have it within our power to meet this challenge.

President Kennedy once said, “Our problems are man-made – therefore they can be solved by man. And man can be as big as he wants.”

These are difficult years for our country. But we are Americans. We are tougher than the times that we live in, and we are bigger than our politics have been. So let’s meet the moment. Let’s get to work, and show the world once again why the United States of America remains the greatest nation on Earth. Thank you, God bless you, and may God bless the United States of America.

Unemployment Benefit Extension: Stimulus or Increase debt

President Obama took a mini-vacation over the weekend will be holding a Rose Garden press conference this morning to berate Republicans for their filibustering of unemployment extended benefits. During Obama's weekly internet address he stated, "Too often, the Republican leadership in the United States Senate chooses to filibuster our recovery and obstruct our progress. And that has very real consequences" (http://news.yahoo.com/s/nm/20100717/ts_nm/us_obama_republicans_3). President Obama fails to realize that prior to Sen. Kennedy's death the Democrats had 60 votes to overcome any filibuster Republicans attempted in the Senate. That power in the Senate allowed Obama and Democrats used that power to pass $862 billion stimulus plan last year that was suppose to keep unemployment below 8% and create 8 to 9 million jobs. As we all know unemployment has topped 10% and still hovers around 10%. Now, if one believes the government numbers the Stimulus saved or crated 2.3 million jobs since passing stimulus.

Speaker Pelosi, and was echoed by MSNBC Pundits, are stating that extending unemployment benefits will stimulate the economy. Really? People, on average, are paid just enough money to make the bills. How is just making the bills stimulating the economy? Republicans are right in blocking the extension of unemployment benefits as it does not stimulate the economy. What about President's pledge of "Pay as you Go". It is not the Republicans are against the unemployed; rather they are holding Obama to his own motto. Many economists are stating that the recovery is stalling out.

The Star Tribune ran an article from the New York Times, The Rich are Cutting Back, Stalling Economy's Recovery, on July 17^th. Mark Zandi, chief economist for Moody's Analytics stated in the article, "One of the reasons that the recovery has lost momentum is that high-end consumers have become more jittery and more cautious." To which the article hints that additional stimulus may be required. During the last session of the Minnesota Legislature an additional tax on the richest Minnesotans was floated and a similar tax hike is being floating around Washington D.C. and perhaps this is the real reason why the rich are jittery about spending more money.

Motoko Rich, who authored the above article, stated that the top 5 percent income earners represent 60 percent of the country's economic activity. That being said does it make sense to take more money away from the top 5 percent? The CBO warned late last year that the United States is on a collision course as debt ratio is on a trajectory that will put the United States in the league of Greece. So let Obama slam Republicans in the Rose Garden today as the Republicans are just holding Obama to his own words; "Pay as you Go". Still unsure how extending unemployment benefits will stimulate the economy as I doubt people are using those checks to buy a home, a car, a new TV or going on vacation; rather isn't the money being used to keep the lights on, the roof over their heads, and food on the table?

Why another $50 billion, Mr. Obama?

The Coast Guard has given BP a 48 hour mandate to show improvement or else. Not sure what that or else will be. At the same time President Obama is pushing congressional leaders to pass additional $50B to assist states and local governments. The additional money will be used to keep layoffs of teachers, police and firefighters. I know when the original stimulus bill was passed many, including myself, warned that it was a temporary fix. When will the Obama administration understand that government spending will not bring us out of the recession?

Government needs to re-prioritize their goals. Hamburg faced a threat of losing Local Government Assistance (LGA) from the state of Minnesota in order to balance the budget. After the dust settled, Hamburg did see a cut in LGA funds but not as deep as originally anticipated. The ripple effect we experience is that local governments have become dependent on LGA, the state government dependant on Federal handouts, and where does that leave the Federal government?

I know that people rail against the TEA Party movement for their demands of smaller government. The extra money that Obama is looking for is the exact reason why TEA Party supporters are demanding smaller government. Now, smaller government does not have to mean less government; rather it means smarter government. We cannot sustain the trajectory of government employment, we cannot sustain the trajectory of spending that we have seen over the past four year, and we cannot sustain the trajectory of lost freedoms in a free society. Congress is correct to ignore the extra money Obama is requesting of them. The United States cannot continue to bailout poor financial decisions of all levels of government. Hard choices need to be made and it is time for Americans to demand that of government at every level.

Blue Print to Sustained Growth and Job Creation

At the Federal and State level we are hearing the phrases "job creation" and "job growth" being tossed around. Thus far the bills tied to either phrase are increasing the debt load of the Federal or State government to only create temporary work. My son was working on Social Studies the other night. The topics were the Soviet Union, Lenin, Stalin, Communism and the Cold War. The book noted how class warfare led to the fall of the Czar and the rise of Lenin. People of Russia embraced Communism because it took control of the farms and factories and gave the people (lower and upper class) an equal share of the output. In theory the ideals of Communism work in so far as people will be no better or worse than any other member of society. The trouble, as the Russians soon discovered, is that the focus is placed to heavily on durable goods while consumer goods are ignored. Plus, with output being evenly distributed the need for excessive output (growth) was not required.

A lot of discussion is taking place on how to get America back to work. President Obama is using the old adage of Big Government, increase spending, and the expansion of entitlement programs to accomplish this. The result has been an unemployment rate that rose above 10%. Even though the unemployment rate has trended down in recent months, do not be fooled by the trend as it is merely an illusion of facts. While the unemployment rate has dropped below 10% the number of part-time and/or disenfranchised (those no longer counted as unemployed) workers has increased to heights not seen before. A friend of mine reminded me that consumerism is the key to a robust economy and sustained recovery. To counter the lack of new job creation, President Obama wants to give small business tax-credits for hiring new workers.

On the surface that is great news for the small business owner but when we dive deeper bigger questions are raised for the small business owner. What will these new workers do? How do I pay their salary in the future if business doesn't pick up? How will additional workers increase traffic for my wares? All valid questions, ones those Ivy League educated politicians seem to not address. Many have touted Obama the most intelligent of all Presidents even if he cannot read from a teleprompter all the time. Remember the last Bush we had was from an Ivy League school too. Now I was not as highly educated, true I do have my MBA but it is not from Harvard or Yale, as the recent men to hold the office of President but I do have a solid education in business, economics, history, philosophy and ethics.

Now, if the catalyst to a robust economy is consumerism then who is it that should be spending money? You and I is who. How do we get more money to spend, legally? We need to have more of our money we earn available to use on discretionary spending. Outside of a raise or lowering our debt, how can we increase our discretionary spending? Rather, how can government help us increase our discretionary funds? Simple, they can lower our taxes.

The trouble is that in a few years when the economy gets going again, the government will want to collect more because they believe it will not harm the economy. That is where the logic falls short. To sustain our robust economy the consumer still has to be able to consume. To ensure we can consume we need to alter our view on taxation. Taxation is a necessary evil to run our government, to keep us safe, and to protect our freedoms. That being said, does it make sense to tax someone more because they have bettered themselves financially through whatever legal means they have, no! A person seeking the American dream ought not to be punished for being successful; rather they should be rewarded for their efforts. At the same time should someone be punished by a rough start to life or a raw deal along the way, no!

So how do we allow both parties pursue their dreams without hindering them or taking away from their efforts? Simple actually, we trash the current tax code and replace it with a flat tax and consumption tax. The consumption tax is simple. We tax every purchase of non-essential items 2%. Now to help with a little social engineering I am open to additional "sin" tax on non-essential items of 3%. That takes care of the consumption tax. The flat tax works like this.

On your first $60,000 you get taxed nothing. For every dollar you make past $60,000, Uncle Sam gets $0.12. So if you made $70,000 this year that would mean that Uncle Sam would get $1200. To make it even easier to monitor, track and control all tax credits would be eliminated. Meaning, that no more credits for mortgage interest, child care, child, education, etc… It would also eliminate a large portion of the IRS as tax returns would be a thing of the past. With no tax credits allowed and a flat tax in place, no one would have to file a tax return. The concept can be applied to Corporations as well. By allowing people to keep all of their first $60,000 we open up the consumer market for health care expense, investment activity, luxury consumption and other desires of consumerism too.

States then can do the same as well. The State, such as Minnesota, can follow suit by establishing a flat tax of 5%. To expand upon the example above, the person making $70,000 would now see their total tax liability to both Federal and State rise to $1700. With the elimination of tax credits so would we phase out Medicare and Medicaid. Those turning 55 or already older than 55 this year (or the year the tax change takes place) will continue along the Medicare and Medicaid process. The rest of us will see our contributions to these programs shift to a Medical Savings account (MSA) that will be tied to our Social Security Number. The amount currently taken out would not need to be changed. It simply will go into a private account that the individual taxpayer can use to offset any expense related to medical needs.

The taxpayer could use the funds for co-pays, medicines, clinic visits, hospital visits, etc. By moving toward a MSA it will allow for greater portability of health care "insurance" and allow the taxpayer to dictate when, where and to whom their medical dollars go to. Imagine the competition it would breed among clinics, hospitals, pharmacies, and other medical facilities if ever they knew every taxpayer determined where their dollars were spent. All of these locations would need to post their fee schedules and will allow doctors and nurses to get back to providing medical care and away from administrative work. Insurance companies will be able to offer tiered plans.

Granted many of those in their late 30's to earlier 50's will not see the greatest benefit but we will set up future generations with a better system for medical as well as taxation. The next phase of this plan is to apply the MSA model to Social Security. When Social Security was crafted the funds collected went into a separate account that Congress was unable to touch. At some point in our glorious history our Congress saw the war chest of dollars being amassed. The temptation was too great for them and a change was approved. The change brought the Social Security funds from a separate untouchable account to the general slush fund. To eliminate or mitigate future destruction and temptation of Social Security funds by our politicians it is time to move it back into a separate account. Just as with the MSA, our own Social Security contributions will be designated by an account with our SSN.

No longer will Congress or any government agency have access to those funds. Taxpayers will have access to those funds just as they have access to them now. All that will change will be the account in which the funds sit. I understand there will be growing pains with this notion but that is what the original intent of Social Security was to be anyway. All I am suggesting is to undo the harm that we have allowed Congress to do over the years. Some of you may be asking yourself, "How will this create jobs?" That is an excellent question to ponder.

The best part is the answer is short and simple. By allowing you, as a taxpayer, to keep more of your first $60,000 earned you will have more money to improve your home, go to the local restaurant, purchase new consumer items, take an trip, etc…Plus if you know that taxes will no longer change one can plan their money better. By fixing the taxation it will allow our members of Congress and State Legislatures to focus on items that a critical to keeping their oaths to the United Sates Constitution and State Constitution they serve under. The switch from Medicare and Medicaid to a MSA will bring down costs through increased competition thus making health coverage affordable to all taxpayers. Combine these: the flat tax, consumption tax, and the MSA with an accounting switch on Social Security and we have a financial core that will be the envy of the World while ensuring the safety, prosperity and advancement of those living in the United States now and in the future.

President Obama’s State of the Union address

Last night President Obama addressed a joint session of Congress by giving the annual State of the Union address. Unfortunately I was not able to watch it as I was out trying to build my business but I did take a moment to read what the Star Tribune had to report. While I recognize this is just one source, even though they do import from other sources, I think they do an adequate job at hitting the high points. I will write more on this topic once I have more other outlets read. That being said, I did see a tidbit in the Star Tribune that caught my eye on what President Obama said last night. President Obama has a renewed focus on jobs and the creation of new jobs.

The area that President Obama plans, or suggests that Congress, focus in on is passing legislation aimed at the green sector. Even though reports from Europe have accurately displayed that green jobs are a net loss, I do applaud President Obama for doing something. The question will be is if he will have the political clout to pull it off after spending it on failed races, a failed bid for the Olympics, and on the Stimulus package that has save nothing. Another aspect of the article about Obama's speech that caught my eye was the announcement of spending freeze to take place in 2011.

In building my business this week I have heard the speeding freeze talked about on various radio stations. My understanding, prior to reading the Star Tribune this morning, that the spending freeze was going to take place this year and last three years and be only freezing 18% of the overall budget. When I first heard that President Obama was looking to enact a spending freeze it made me happy then I heard what was being frozen and that baffled me. As I wondered how he'd be able to get health care, energy, and job bills passed without spending more money but after last night's speech and the announcement of the freeze not taking hold until 2011 I found my answer.

So the plan is then to increase spending this year to heights never seen before and then freeze it at that level. Sounds great but hasn't anyone learned that expansion of government and increased spending does not create sustainable jobs nor does it turn around the economy? I did notice that President Obama mentioned his inheritance, an inheritance similar to President Reagan, and I asked myself why this is relevant. The man ran on hope, change and transparency which not one element has been implemented in this administration. Do not get me wrong, I applaud Obama for looking to freeze the budget but that is just not enough to turn around our economy. More to come but I thought I'd get the ball rolling. What are your thoughts on President Obama's speech? What are your thoughts on his first year in office? What do you think we need to do to move the country forward?

I recognize that the anonymous posting is getting a little out of hand as of late. I hope those that post will continue to post not as anonymous but as another more identifiable name. Please remind yourself that we want to have open, honest and respectful dialogue on The Hamburg Post.

Recovery Act: Success factors eased

The Associated Press is reporting that the White House has changed the metric to gauge success of the $787B Stimulus package passed earlier this year. The change is "no longer about counting a job as save or created; now it's a matter of counting jobs funded by stimulus" (http://www.msnbc.msn.com/id/34830451/ns/business-stocks_and_economy/). The determination of "funded by stimulus" is whether or not stimulus money is used to cover payroll and includes if the money was used for any bonuses or pay raises to keep employees. I thought Congress needed to pass the Recovery Act to ensure unemployment wouldn't top 8% and it would save or create 3.5 million jobs by year end. Unemployment is above 10%, higher in other areas of the country, and the White House claimed it saved or created 650,000 jobs but cannot accurate account for that figure.

Instead of admitting failure of the Recovery Act by the White House, the White House has changed the end zone. Rep. Darrell Issa (R-CA), ranking Republican on the House Oversight and Government Reform Committee, said, "It is troubling that the administration is changing the rules and further inflating the Recovery Act's impact and masking the failure of the stimulus to product sustainable economic growth or real job creation" (http://www.msnbc.msn.com/id/34830451/ns/business-stocks_and_economy/). Tom Gavin, a spokesman for the White House Office of Management and Budget, said, "We are trying to make it as easy and simple for the funding recipients" (http://money.cnn.com/2010/01/11/news/economy/stimulus_job_counts/). The lack of accountability by the White House is alarming.

Does this make sense? Are we, as a society, to sit idly by and allow the White House to change the metrics to gauge the success of the Recovery Act? Or is this another veil attempt at the White House to mask a serious flaw in the Recovery Act? Why cannot White House admit failure of the Recovery Act based on the success factors originally set forth?

Obama short sighted on summer job program

According to the Washington Post, “President Barak Obama promised Monday to deliver more than 600,000 jobs through his $787B stimulus plan this summer.” The big picture question is how many of these jobs will be permanent versus temporary. Back in March of this year, President Obama attended the graduation of 25 police recruits in Columbus, Ohio. At that time the Administration herald the graduation as a success of the stimulus bill. The trouble is at year end, those 25 fresh graduates will be out of a job because the Columbus City Council budget will be $120M in the red and cuts will need to be made.

America needs sustained growth in the job force. As the $787 stimulus bill was being rammed through Congress, with not one person reading it, the President’s administration was claiming the unemployment rates would not rise higher “than 8 percent”. As of the last week, we are 9.4% with the expectation that we will top out around 11%. The Washington Post further reports that, “Obama has claimed as many as 150,000 jobs saved or created by his stimulus plan so far.” Never mind the fact the economy has lost 1.6M jobs in the meantime.

At least the percentage is better than the less than 1% trimming of his $1.2T budget touted two weeks ago by the President. The vast majority of the 600,000 new jobs are for temporary work. The tasks slotted to see the majority of the 600,000 jobs are improvements in the national parks, upgrades to Veterans Affairs medical centers, establishment of new rural waste and water systems, and the cleanup of Superfund sites. The one potential long lasting job creation will be the funding to the Justice department for an additional 5,000 law enforcement jobs.
Why are we not creating sustaining jobs that will contribute to our nation’s health and recovery? Instead of focusing the temporary projects, see above; let’s focus on something more permanent and benefitual. President Obama stated in his address in Cairo last week that he had no trouble with Iran power themselves with nuclear power. Over 80% of France’s energy comes from nuclear power. Why are we not moving forward with nuclear energy?

If we repeal the Carter law on re-using spent rods, we can recycle the rods and use them an additional time thus reducing the waste product by nearly 80%. Experts say that if this is done, it would take over 100 years to fill up the approved storage site in the Yucatan Mountains. Besides, if the unmanned military space craft, which was announce yesterday, is successful we can eventually launch our waste into space.

The experts say it takes 8-10 years to build a nuclear plant that is fully operational. That is sustaining growth in job creation. According to the Nuclear Energy Institute (NEI), a nuclear power plant generates “approximately $430 M in sales of goods and services in the local community and nearly $40M in total labor income.” Nuclear power plants employ between 400 to 700 permanent jobs while offering, according to NEI, “36 percent more than average salaries in the local area.” NEI estimates that during the construction phase a new nuclear power plant will create “1,400 to 1,800” jobs with a peak of 2,400.

So, why is nuclear energy not a top priority in the energy policy of President Obama? The numbers above are just for one nuclear site. Now if we start projects in every state we can increase the work force and establish roughly 35,000 permanent jobs and 900,000 jobs during the construction phase. Also, America would be creating a clean source of energy that will not increase our heating, cooling, and electric rates like the “cap and trade” energy policy of President Obama will do. Why stop at 1 new site per state? Nothing to stop us from expanding this policy to adding more and creating more jobs. California is looking at a huge budget deficit and already experiences rolling black outs, it would be two-fold for California. Let’s create jobs that have more bang for their buck.

Instead our President wants to start projects this summer that will create no revenue for the local communities and will only be a temporary job. I agree with the President that we need to secure our future on energy and become less dependent on coal. Then let’s get started. Lift the moratorium on nuclear power and repel Carters executive order on recycle spent rods so we can create sustaining jobs while creating an energy source that is “green”.

Homosexuals beware

The Star Tribune conducted a poll of Minnesotans about same-sex marriage. According to the poll, published in May 1, 2009 Metro section, a “slight” shift is taking place in regards to same-sex marriage. Many states, most recently Iowa, have rewritten law to allow same-sex marriage. The topic of same-sex marriage is a lightning rod and a polarizing conversation. Although homosexuals are celebrate every state that passes law allowing same-sex marriage; homosexuals need to be leery of “progress”.

President Obama’s Stimulus Bill earmarked money to assist in making all medical records electronic. Another goal of President Obama is universal health care. On the surface these two items appear to be mutually exclusive and harmless. As medical records become electronic it will make it easier create a national medical record system. The guise of creating a national data bank for medical records will be for the ease of sharing client files.

Don’t be fooled. The push for electronic files, national databank, and universal healthcare are all signs of increase intrusion into our personnel lives. One may be asking themselves how this adheres itself to same-sex marriage.

Back in 1993 the journal Science Dean Hamer, PhD, reported the discovery of a “gay gene”. In an article posted on WebMD Health News(Jan. 28, 2005), Brian Mustanski, PhD at University of Illinois, stated, “It builds on previous studies that have consistently found evidence of genetic influence on sexual orientation, but our study is the first to look at exactly where those genes are located.” Dr. Mustaski is referencing a study done to compare chromosome of both parents to help identify DNA that supports the existence of the “gay gene”.

Now if a “gay gene” does exist and the government establishes the national databank of medical files and universal healthcare, how soon will a test be created to discover if the unborn fetus contains the gene? I typically am not a conspiracy theorist but I am a big picture thinker. Looking at all the small pieces that are being put in place, homosexuals need to be aware of the consequences of what they seek.

Now, I am not saying that if you decide to live your life with a member of the same-sex that it is right or wrong. I am merely putting all homosexuals on notice. As I have stated in a previous blog post, the government should not be in the business of marriage. As more states allow same-sex marriage only furthers the government’s ability to track, record, and identify homosexuals.

Combine the same-sex marriage license data, national medical database, universal healthcare, and the identification of a “gay gene” and we have a recipe for genetic manipulation to eradicate the United States of homosexuals. It is time for homosexuals to stand behind the flag of smaller government and demand a shift from marriage licenses to certification of civil unions.