The $200 million Essential Air Service program subsidizes airlines to provide service to rural communities. The program, which was supposed to be temporary, was created when the federal government deregulated the airlines in 1978. As is usually the case with a “temporary” government program, EAS subsidies have become a permanent handout.
Several weeks ago, 127 House Republicans joined 155 Democrats to defeat an amendment introduced by Rep. Dennis Kucinich (D-OH) and Rep. Tom McClintock (R-CA) that would have shut down the Department of Energy’s Title 17 loan guarantee program. That’s the program that gave birth to Solyndra, which has come to symbolize the failure of the Obama administration’s crony capitalist policies.
The Senate passed a nearly $1 trillion farm bill last week that would maintain the farming industry’s dependency on taxpayers and keep food stamp spending at permanently elevated levels. Although the bill’s supporters claim that it amounts to major “reform,” the reality is that it’s just bipartisan big government business-as-usual.
Whoops! Federal Reserve economists looked in the shoe closet recently and discovered more than half a trillion dollars of government bond debt that they hadn’t previously counted.
The Senate’s “vote-a-rama” on amendments to the farm bill continued yesterday. Thus far, almost all of the amendments that would have cut spending have failed. One failed amendment in particular is worth highlighting because it demonstrates the blatant disregard for taxpayers that exists in the Senate.
Republicans and Democrats have reached a deal that substantially increases the prospects for passage of a massive farm bill in the Senate. The Senate will vote on 73 amendments and then vote on passage. According to Senate Agriculture Committee chairwoman Debbie Stabenow (D-MI), the deal “is really an example of the Senate coming together to agree to get things done.”
On Sunday, Defense News published a good article by Kate Brannen that looks into Mitt Romney’s plans for military spending. This is not the first examination of Romney’s lofty campaign promise to spend at least four percent of GDP on the Pentagon’s base budget. Since October 2011, when I first crunched the numbers on his plan, others have followed with their own estimates.
Pundits claim that partisanship is creating gridlock in Washington. But in the Senate, the two parties still know how to make bipartisan deals on big government subsidy legislation. That chamber may move ahead with a massive agriculture bill that would spend almost $1 trillion over the next decade. Supporters are calling it a “reform” bill because it would trim a measly two percent from projected spending over the period.
Newt Gingrich had fun calling President Obama the “food stamp president,” but many Republicans are just as responsible for the exploding costs of this welfare state program.