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Today in Washington – August 4, 2010

Thank you Senators Tom Coburn (R-OK) and John McCain (R-AZ) for issuing the report, Summertime Blues.  I have been laughing for one whole day after reading some of the project that President Obama considers “stimulus.”  One needs to ask the ever smug Paul Krugman over at the New York Times to explain how $144,541 of your tax dollars spent to study how “monkeys react under the influence of cocaine” is stimulus.

The House is out of session until September.  The Senate will have a cloture vote on a $26 billion amendment to H.R. 1586, the FAA reauth bill.  The nomination of anti gun activist Elena Kagan will dominate today and tomorrow’s proceedings on the Senate floor.

The vote today on the amendment to H.R. 1586 is throwing good money after bad.  Lindsey Burke of The Foundry has written about the idea of bailout out Medicaid shortfalls and education pork. 

Burke writes:

Many state leaders are lobbying the Senate to extend the Medicaid bailout enacted in the February 2009 stimulus bill. While several attempts by Senate leaders to extend the bailout have failed, it will be brought to the floor again on Monday, this time bundled with additional spending on education.  Talk about throwing good money after bad.  For both Medicaid and education funding, a continued bailout would disproportionately benefit the most irresponsible states and would allow them to delay taking the steps they must to live within their means.

Make no mistake about it.  The vote today is $26 billion to bailout states terrible fiscal policy.  If the Congress continues to reward states that are fiscally irresponsible, these states will have an incentive to run up the education and Medicaid tab in the future.  Many states overspend on education bureaucrats and some have classified this legislation as a bailout of teachers unions.

Burke argues that trends in school staffing are proof of waste:

Since 1950, student-teacher ratios have declined from 28:1 to 16:1. Moreover, in 1950 there were 2.4 teachers for every non-teaching staff position. Today, that ratio is about 1:1. This means that for every teacher in the classroom in today’s public schools, there is a corresponding non-teaching staff member. This bureaucratic growth is one of the greatest strains on state budgets.

Senators are avoiding the tough decisions.  States have proven to be more likely to fire a classroom teacher than a overpaid pencil pusher.  Good education policy would be to put more teachers and money in the classroom, then fire the bureaucrats.  This legislation promotes the idea that federal bailout policies, including but not limited to the states and Wall Street, are good for the taxpayer and will help states in the long term.

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COMMENTS

  • trevor_stokes

    Best political quote in years: Pamela Gorman (AZ): “Coked-Up Stimulus Monkeys”

  • callawyn

    None of these academics or unionized state employees were in any danger of losing their jobs in the first place, so how is giving them stimulus money creating/saving a job?

  • callawyn

    As I mentioned in response to your coke-monkey post yesterday, 1/3 of the ‘stimulus’ went towards expanding/creating refundable tax credits. Over 300 Billion worth. These have no expiration date on them, so this is a recurring annual cost.

    Despite this, the media consistently report the cost of the ‘stimulus’ as if all these tax credits were a 1 time event, in the first effective year of the bill. This grossly understates the true cost this bill will have.

    Check this out:

    blog.heritage.org/2009/02/12/true-cost-?of-stimulus-327-trillion

    $3.27 Trillion for, I believe, just the first 10 years of it. Even this is an understatement because it doesn’t take into account the fact that the feds borrowed/printed the money to pay for it. Interest on debt costs money, inflation due to printing money robs all Americans of the value of their savings and makes ALL dollar denominated debt worth less, by devaluing the dollar.