Tenaj's Blog

SPIN METER: Obama's 'You didn't build that' echoes

Published - Jul 24 2012 03:59PM EST

PHILIP ELLIOTT, Associated Press

(The Associated Press)

Republican presidential candidate, former Massachusetts Gov. Mitt Romney hosts a small-business roundtable during a campaign stop at Endural LLC, Monday, July 23, 2012, in Costa Mesa, Calif. (AP Photo/Jason Redmond)

Romney's Tax Plan May Cost U.S. As Many As 800,000 Jobs: Report

The Huffington Post  |  By James Sunshine Posted: 07/17/2012 12:54 pm Updated: 07/17/2012 12:54 pm

Mitt Romney's plan not to force companies to pay taxes on profits they bring back from overseas will eliminate jobs, according to a new report by the Center for American Progress Action Fund.

That's because Romney's tax plan includes eliminating the Repatriation Tax, which applies to corporations that try to bring profits made overseas back into the country, according to Bloomberg. Most multinationals find loopholes that prevent them from paying the full tax, according to CAP. That increases incentives for businesses to do more business, or store more profits, overseas.

Between 1999 and 2010, U.S. corporations eliminated 1 million jobs at home while creating 3 million jobs abroad. Romney's plan to eliminate the Repatriation Tax altogether would simply exacerbate the problem, CAP argues.

The tax incentives included in such a system would encourage corporations to shift more of their investments and operations overseas, costing America as many as 800,000 jobs, according to Reed College economist Kimberly Clausing. Combine that part of the plan with his idea to lower corporate tax rates to 25 percent, and it altogether could cost the U.S. Treasury more than $1 trillion, the report estimates.

Romney's plan wouldn't be the first time lawmakers have given multinational corporations a break on their repatriated profits.

In 2004, the U.S. Congress approved a tax holiday, which cut the Repatriation Tax to 5 percent, The Wall Street Journal reports. During this tax holiday, multinationals brought 90-100 percent of their overseas cash earnings back to the U.S. Still, the tax holiday did little to spur job growth.

In reponse to tt's blog https://www.lotterypost.com/blog/14556 I decided to submit it to our local newspaper editorial.  I used the words, productive, creative, finance because those seemed to be the talking points that the right used to define "build" This is the original:

There was once a man who was productive and often accomplished tasks on his own without the help of others. He had an idea of a creation on a larger level that could make him millions. How ingenious of him to think of such a thing! To build an empire, he mused. He had the idea, he created it, and he had the money to finance it.   But the man was deeply saddened because with the fine attributes of productivity, financially able, and creative, he couldn't go forth with his endeavor. He was the only person on the island.

This is what they changed it to:

HEADLINE: Obama’s correct in saying ‘You didn’t build that’

There was once a man who had an idea for a creation that could make him millions.

He had the idea, he created it and had the money to finance it. But the man was deeply saddened because even though he possessed the fine attributes of productivity, financial ability and creativity, he couldn’t go forth with his endeavor.

He was the only person on the island.

Janet Austin

Charlotte

Mitt Romney's other tax secret

By Charles Riley @CNNMoney July 23, 2012: 5:22 AM ET

Mitt Romney has not released key details of his tax plan.

NEW YORK (CNNMoney) -- It has become clear that Mitt Romney does not want to release any additional tax returns.

But that's not the only tax issue the presumptive nominee has been reluctant to talk about. He has been equally quiet on a policy question that could have a direct impact on the amount of taxes paid by millions of Americans.

Romney has for months touted an ambitious plan that promises massive tax cuts. He has also steadfastly refused to say how he would pay for them.

Romney has proposed a 20% across-the-board cut to income tax rates. He also wants to scrap the Alternative Minimum Tax, eliminate the estate tax and chop the tax rate paid by corporations from 35% to 25%.

All those cuts mean the government would collect far less revenue. Romney claims his plan will make up the difference in-part by limiting deductions, exemptions and credits currently available to top-level income earners.

But he hasn't lifted the curtain on which deductions he is planning to curtail.

In April, reporters stationed outside a private fundraising event in Palm Beach, Fla. overheard the former Massachusetts governor rattle off a list of deductions that would likely be eliminated.

But a campaign official later said that the candidate was "tossing ideas out" and not "unveiling policy."

0:00 /3:30Romney's Motor City battle

And just last month, when Romney was directly asked by CBS News to name the deductions, the candidate evaded the question, instead saying that "we'll go through that process with Congress."

The lack of detail extends even to tax breaks that Romney himself has taken advantage of -- to the tune of millions of dollars.

Romney and his campaign have, for example, given a variety of answers on what the candidate plans to do about the tax treatment of carried interest, an obscure compensation method used primarily in high-stakes finance.

Full election coverage: America's Choice 2012

The tax break, which benefits private equity partners, continues to save the Republican presidential candidate millions of dollars in taxes after a pioneering career at Bain Capital.

Romney has, in the past, explicitly called for keeping the tax benefit in place. But this election cycle, even when asked directly, the candidate has not clearly articulated a position.

Campaign staffers have added to confusion over the candidate's position, occasionally suggesting that Romney would, once elected, consider rolling back the tax break. At other times, the campaign has walked those suggestions back.

When asked again for more details about his tax plan, a spokesperson for the Romney campaign said to CNNMoney that Romney "has proposed a comprehensive plan to repair the nation's tax code by bringing marginal rates down to stimulate entrepreneurship, job creation, and investment, while still raising the revenue needed to fund a smaller, smarter, simpler government."

The spokesperson added that Romney "looks forward to working with Congress" on tax reform. In other words, don't expect more details unless he actually wins the race for president.

(Related: Romney's confounding position on carried interest)

From a political perspective, the lack of detail may be beneficial. After all, each deduction benefits a certain constituency. But the hazy policy prescription leaves the public in the dark -- and lets Romney skate on a devilishly difficult area of tax policy.

A recent report by the Tax Policy Center, an independent research group, showed just how difficult Romney's plan would be to implement, particularly if they are on top of other proposed tax cuts.

The Tax Policy Center estimates that if today's Bush-era income tax rates were made permanent, Romney's additional rate cuts would lead to a reduction of $320 billion in tax revenue in 2015.

One way to make up for that difference, the report said, would be to shave 72% off the value of all itemized deductions; above-the-line deductions (such as the one for alimony); a host of smaller tax credits; and benefits such as the health insurance tax break many workers get.

Lawmakers could decide to eliminate some benefits altogether and leave others untouched, or reduce them all but by different amounts. The analysis assumed no changes in taxpayer behavior.

"It won't be impossible to pay for substantial individual tax rate reductions by cutting tax expenditures," Howard Gleckman, the editor of TaxVox, wrote in a blog post. "But it will be very, very hard."

-- CNNMoney's Jeanne Sahadi contributed to this report. 

The Affordable Care Act: New Tools to Fight Fraud, Strengthen Medicare and Protect Taxpayer Dollars

The Affordable Care Act will improve and expand consumer protections, strengthen Medicare, and reduce health care costs. One important way it achieves these goals is by improving government-wide efforts to fight fraud and waste. The new law contains some critical new tools to improve and enhance the Administration’s efforts to prevent, detect and take strong enforcement action against fraud in Medicare, Medicaid and the Children’s Health Insurance Program as well as private insurance. The new law contains:

Tough New Rules and Sentences for Criminals: The Affordable Care Act directs the Sentencing Commission to increase the Federal sentencing guidelines for health care fraud offenses by 20-50% for crimes that involve more than $1,000,000 in losses.  The law makes obstructing a fraud investigation a crime and makes it easier for the government to recapture any funds acquired through fraudulent practices. And the law makes it easier for the Department of Justice (DOJ) to investigate potential fraud or wrongdoing at facilities like nursing homes.

Enhanced Screening and Other Enrollment Requirements: The Affordable Care Act provides critical tools for fraud prevention, including new authorities for stepped-up oversight of providers and suppliers participating or enrolling in Medicare, Medicaid, and CHIP such as mandatory licensure checks. Based on the level of risk of fraud, waste and abuse, providers could be subject to fingerprinting, site visits and criminal background checks before they begin billing Medicare, Medicaid, or CHIP. The Act also allows the Secretary to prohibit new providers from joining the program where necessary to prevent or combat fraud, waste or abuse. The law also allows the Secretary to withhold payment to any Medicare or Medicaid providers if a credible allegation of fraud has been made and an investigation is pending.

New Resources to Fight Fraud: The Affordable Care Act provides an additional $350 million over the next ten years to help fight fraud through the Health Care Fraud and Abuse Control Account (HCFAC) from FY 2011 through 2020. The Act also allows these funds to support the hiring of new officials and agents that can help prevent and identify fraud.

Sharing Data to Fight Fraud: Building on the Obama Administration initiatives, the law requires the Secretary to expand the Centers for Medicare and Medicaid Services integrated data repository to include information from Medicaid, Veterans Administration, Department of Defense, Social Security Disability Insurance, and Indian Health Service, and enhances data matching agreements among Federal agencies. These agreements will make it easier for the Federal government to share data, identify criminals and prevent fraud.   The DOJ and Office of the Inspector General (OIG) both receive clearer rights to access CMS claims and payment databases.  The Secretary also now has authority to require States to report additional Medicaid data elements with respect to program integrity, program oversight and administration.

New Tools to Prevent Fraud: The Affordable Care Act requires providers and suppliers to establish plans detailing how they will follow the rules and prevent fraud as a condition of enrollment in Medicare, Medicaid, or CHIP. Other prevention provisions focus on high fraud-risk providers and suppliers including Durable Medical Equipment (DME) suppliers, home health agencies, and Community Mental Health Centers (CMHCs). For example, CMHCs will now be required to serve at least 40 percent non-Medicare beneficiaries to crack down on centers that only bill Medicare and are not legitimate CMHCs.

The bill also strengthens the government’s authority to require surety bonds as a condition of doing business with Medicare. To crack down on fraud in orders and referrals, providers and suppliers who order or refer certain items or services for Medicare beneficiaries will be required to enroll in Medicare and maintain documentation on orders and referrals.

Expanded Overpayment Recovery Efforts: The Secretary is provided new authorities to identify and recover overpayments through the expansion of Recovery Audit Contractors (RACs) to Medicaid, Medicare Advantage and Part D (the Medicare drug benefit). Providers, suppliers, Medicare Advantage plans, and Part D plans must self-report and return Medicare and Medicaid overpayments within 60 days of identification.

Enhanced Penalties to Deter Fraud and Abuse: The Affordable Care Act provides the OIG with the authority to impose stronger civil and monetary penalties on those found to have committed fraud. The Secretary also is provided new authority to prevent providers from participating in Medicare or Medicaid. For example, the Secretary may exclude providers and suppliers for providing false information on an application to enroll or participate in a Federal health care program. Individuals who order or prescribe an item or service while being excluded from a Federal health care program, make false statements on applications or contracts to participate in a Federal health care program and providers who identify a Medicare overpayment and do not return it are also subject to strict new fines and penalties under the new law. Finally, the law ensures that States may terminate a provider under Medicaid if a provider is terminated under Medicare or another State Medicaid program.

Greater Oversight of Private Insurance Abuses: The new law also provides enhanced tools and authorities to address abuses of multiple employer welfare arrangements and protect employers and employees from insurance scams. It also gives new powers to the Secretary and Inspector General to investigate and audit the health insurance Exchanges. This, plus the new rules to ensure accountability in the insurance industry, will protect consumers and increase the affordability of health care.

Implementation Progress to Date

The Administration is already at work implementing provisions in the Act to help fight fraud. On April 30, 2010, HHS issued an Interim Final Rule with Comment that:

• Requires inclusion of the National Provider Identifier on all applications and claims;
• Requires physicians and eligible professionals who order or refer supplies, items, or services to be Medicare enrolled; and,
• Requires physicians and suppliers to provide documentation of written orders for DME, home health or other items and services.
• CMS also issued guidance notifying providers and suppliers of the new 12 month claims submission deadline under the new law.

Wells Fargo Will Settle Mortgage Bias Charges

By CHARLIE SAVAGE

Published: July 12, 2012 141 Comments

Haraz N. Ghanbari/Associated Press

Deputy Attorney General James M. Cole, at lectern, announced the settlement with, from left, Thomas E. Perez from the Justice Department’s civil rights division, Attorney General Lisa Madigan of Illinois and Thomas J. Curry, comptroller of the currency.

An investigation by the department’s civil rights division found that mortgage brokers working with Wells Fargo had charged higher fees and rates to more than 30,000 minority borrowers across the country than they had to white borrowers who posed the same credit risk, according to a complaint filed on Thursday along with the proposed settlement.

Published - Jul 22 2012 09:00PM EST

STEVE PEOPLES, Associated Press

Wall Street Reform Two-Years Later: Reforming the System and Protecting American Consumers

Brian Deese

It’s now been almost four years since irresponsibility in certain corners of Wall Street nearly caused our entire economy to collapse.  Today, it’s pretty clear to most of us that the rules we once had in place to protect our financial system were old and poorly enforced.  They allowed dangerous risk-taking to go unchecked.  And when the largest financial institutions did fail, they left hardworking taxpayers holding the bag.  And as we dug our way out of the worst recession of our lives, President Obama promised to reform the system so this never happened again.
 
That’s why, two years ago today, President Obama signed into law Wall Street reform that put in place smarter, tougher, commonsense rules of the road and the strongest consumer protections in history.  For example, if you’re a big bank or financial institution, you now have to hold more cash on hand so that if you make a bad decision, you pay for it, not the taxpayers.  You’re no longer going to be able to make risky bets with your customers’ deposits.  And the new law creates new authorities to claw back outsized compensation from failed CEOs, while finally giving shareholders a say on executive salaries.
 
We continue to make steady progress on these fronts. Just this month, nine of the largest banks submitted “living wills” that details how they’ll pay for things if they end up failing.  These wills will complement the new authorities we’ve put in place that allow regulators to break up and wind down large firms so taxpayers are never again left on the hook for banks’ failures. In June, regulators approved final rules that will force banks to hold more cash on hand for their trading activities and any potential losses.
 
But Wall Street reform isn’t just about reigning in Wall Street excess.  It’s also about protecting Main Street families.  For the first time in our history, we now have an independent consumer watchdog with one job: to look out for you.  That means making sure you’ve got all the information you need to make important financial decisions.  And it means going after anyone – from mortgage brokers to payday lenders to debt collectors – who deals with you dishonestly. 
 
Just this week, that consumer watchdog put in place rules to supervise credit bureaus. This marks the first time in history that these companies will be subject to federal supervision.  And working together with other regulators, they ordered Capital One Bank to refund $150 million dollars directly to 2 million customers who were deceived or misled into buying things they didn’t understand or didn’t even want.
 
The consumer watchdog has also set up a toll free number you can call to make sure you’re getting a fair deal on your mortgage – and to hold banks accountable if you’re not. You can reach them at (855) 411-2372.

They recently put together a new mortgage disclosure form that spells out – in simple terms – how much you’re going to owe on your home. No more hiding things in fine print.
 
And they’ve set up a new website that makes it easier than ever for you to report on a whole range of financial abuse.  If you’re applying for a credit card, opening a bank account, or trying to get a student loan and something doesn’t seem right, go to www.consumerfinance.gov/complaints and let them know.  Not only will they bring your complaint directly to the company in question, they’ll give you a tracking number so that you can check back and see exactly what’s being done on your behalf.
 
That’s what Wall Street reform is all about – looking out for hardworking Americans by making sure everyone plays by the same rules.  We’ve come too far to go back to an era of top-down, on-your-own economics. Now is the time to move forward; to strengthen the middle class; and to rebuild an economy where everyone can have the confidence that if they work hard, they can get ahead. 

The White House Blog

Allegations have surfaced that former Florida Gov. Charlie Crist paid two men to conceal gay affairs. The charges were revealed in documents obtained by local station WTSP, relating to the investigation of former Republican Party of Florida Chairman Jim Greer.

 06/01/12

 Steve Smith, the newest member of the Republican Party Committee in Pennsylvania County, is listed as the state chairman of the white nationalist group American Third Position. He co-founded Keystone State Skinheads in 2001.

 05/31/12

Bettencourt was compelled to resign after he was caught in an academic dishonesty scandal. Bettencourt had falsified internship reports in their entirety, claiming he had done work which he did not actually do. Bettencourt claimed he had met with clients when he had not, and claimed to have attended fictitious court proceedings. In total, Bettencourt submitted 11 weeks' worth of fraudulent reports to the law school. D. J. Bettencourt (R-Salem) is the Majority Leader of the New Hampshire House of Representatives. Resigned.

 05/29/12

 Joe Arpaio opened an investigation to determine whether or not Obama was born a U.S. citizen. Since this is not in his jurisdiction as Sheriff, he assured everyone that the investigation was privately funded. Turns out that the Sheriff's Office, and in-turn the taxpayers, have been footing the bill for airfare and hotel room for the investigators. This is made worse by the fact that the investigation is frivolous since the 'birther' conspiracy has long been debunked.

 05/18/12

 Arizona's Secretary of State and Arizona's Chief Elections Officer Ken Bennett has threatened to keep Obama's name off the Arizona ballot in November if the question of the Obama's birth is answered to his satisfaction. A week later Ken Bennett was satisfied that Obama is an American citizen.

 05/12/12

 Florida Gov. Rick Scott's chief of staff has abruptly resigned amid news stories examining his job performance and handling of contracts. The Associated Press recently reported that while working for the state Senate, MacNamara helped steer a $360,000 no-bid consulting contract to a friend who now leads a task force rooting out state government waste.

 05/02/12

 Romney has selected Ric Grenell as his foreign adviser who is also gay. Grenell is well qualified but due to the recent political climate on gay marriage, the Romney camp has not been letting Grenell speak out on foreign issues. Romney has been getting a lot of heat from the religious right for hiring an openly gay person. Because Romney is a Mormon, the religious has been for more strict on him than on any other Presidential hopeful. Grenell has resigned from the Romney camp.

 04/27/12

 Michael Wiener, a GOP county commissioner in New Mexico, is being asked to resign after a picture of him posing with scantily clad women in a well-known red light district in the Philippines surfaced.

 04/27/12

 The Senate campaign of Florida Republican Marco Rubio has agreed to pay an $8,000 fine for accepting slightly more than $210,000 in improper contributions.

 04/17/12

 In 2010, Romney did not own property in Massachusetts but voted for Scott Brown in the special election to replace Ted Kennedy. Romney listed as his place of residence his son's unfinished basement. According to Massachusetts law, a residence for voter registration purposes as “where a person dwells and which is the center of his domestic, social, and civil life” and anyone found guilty of committing voter fraud faces up to five years in jail and a $10,000 fine.

 03/17/12

 Michael Kobulnicky, a former San Diego Tea Party activist, was arrested for the abduction and sexual assault of a 56 year-old woman on February 25th. Kobulnicky was booked into San Diego Central Jail on numerous felony charges, including kidnapping, sexual assault and sex with a foreign object.

 03/09/12

 South Carolina's Lieutenant Gov. Ken Ard, who announced his resignation 3/09/12, was charged by a state grand jury with seven violations of state ethics laws. He used thousands of dollars of campaign money for personal expenditures, including $800 at a boutique shop, $3000 at Best Buy, $2000 for travel and several other personal expenses. In addition to purchasing a number of personal items using campaign funds, Ard was charged with donating his own money to his campaign — which is allowed under South Carolina law — but m...

 03/07/12

 Cliff Stearns has been accused of using a middleman to bribe his primary opponent, James Jett, to to drop out of the primary race. Jett claims he was told he could head the Florida Department of Law Enforcement or become a U.S. Marshal once an opening came up. Stearns has denied the allegations and an FBI investigation has been opened.

 02/08/12

 Sheriff Paul Babeu of Pinal County, Ariz., stepped down as a co-chairman of Mitt Romney’s campaign in the state after a newspaper published accusations that he threatened to deport a former boyfriend, who was from Mexico, when the man refused to keep quiet about their relationship.

 02/04/12

 On February 4, 2012, a jury found White guilty of six of seven felony charges, including false registration, voting in another precinct, submitting a false ballot, theft, and two counts of perjury. He was acquitted on one fraud charge. The felony convictions automatically removed White from office. Hamilton County Superior Court Judge Steven Nation sentenced White to one year of house arrest, 30 hours of community service and a $1,000 fine. Nation refused to downgrade White's charges to misdemeanors, saying that his action...

Crimes are a matter of public record if you want to look it up. 

In 2011, Senate Republicans Repeatedly Blocked The Senate From Acting. In 2011, Senate Republicans used procedural tricks, such as filibusters, to require that measures received the support of a supermajority of senators before they moved forward. The following legislation would have passed the Senate and the following nominations would have been confirmed had Senate Republicans not thrown up procedural roadblocks:

• Nomination Of Mari Carmen Aponte To Be Ambassador To The Republic Of El Salvador. [Senate vote 227, 12/12/11]
• Middle Class Tax Cut Act Of 2011. [Senate vote 224, 12/8/11; Senate vote 219, 12/1/11]
• Nomination Of Richard Cordray To Be Director Of The Consumer Financial Protection Bureau. [Senate vote 223, 12/8/11]
• Nomination Of Caitlin Joan Halligan To Be A United States Circuit Judge. [Senate vote 222, 12/6/11]
• Teachers And First Responders Back To Work Act Of 2011. [Senate vote 177, 10/20/11]
• American Jobs Act Of 2011. [Senate vote 160, 10/11/11]
• Nomination Of James Michael Cole To Be Deputy Attorney General. [Senate vote 67, 5/9/11]
• Bill Reauthorizing Government Programs That Aid Small Businesses. [Senate vote 64, 5/4/11]

Senate Republicans' Obstruction Has Continued In 2012. Senate Republicans have continued their obstructionist tactics in 2012. The following bills would have passed and the following nominations would have been confirmed had Senate Republicans not used procedural devices to require support from a supermajority:

• Paying A Fair Share Act Of 2012. [Senate vote 65, 4/16/12]
• Repeal Big Oil Tax Subsidies Act. [Senate vote 63, 3/29/12]
• Reauthorization Of The Export-Import Bank Of The United States. [Senate vote 52, 3/20/12]
• Reopening American Capital Markets To Emerging Growth Companies Act Of 2011. [Senate vote 51, 3/20/12]

Romney Lags In Polls After Trouncing Obama By Millions In Fundraising

Black Star News Editorial - 07-09-12

Mitt Romney and Co. is celebrating the record $106 million in fund-raising last month and cheering the $160 million of cash in hand. President Barack Obama's campaign on the other hand is reported to have raised a mere $71 million.

Romney is lauding his campaign's record fund-raising as signs that he's gaining momentum. President Obama leads him in most polls by about 47% to 43%.

More importantly, while Romney has gained momentum financially and outpaced the president in raising money, in all the key 12 swing states that will determine the election, President Barack Obama is in the lead. Romney has been using his financial muscle to carpet bomb the 12 swing states with advertising. With relatively limited resources, President Obama's ads seem to be much more effective.

So the more money Romney raises the more he drops back in the polls.

This is because Romney has serious credibility problems. Americans don't fault a very wealthy person who made his money in business. But Americans don't necessarily want that wealthy individual to become president, especially once it was revealed that Romney had parked some of his money in Bermuda, the Cayman Islands and in Swiss accounts. This is one of the most un-American thing that a national leader could do.

Romney has also correctly been shown as someone who cannot connect with the working class. This is not surprising -- in his line of work in finance, he saw workers as the "enemy"; they were part of the "cost" variable.

Romney has been defined as the job-slashing profit-maximizing CEO of Bain Capital. He made hundreds of millions of dollars for himself and his Bain Capital partners. These wealthy individuals targeted companies for acquisition. Employees were either laid-off or jobs out-sourced to foreign countries. In some instances workers who kept their jobs were paid less and also enjoyed diminished health and retirement benefits. Romney's priority wasn't maintaining of creating jobs; it was maximizing profits.

It is hard to imagine that such a CEO could develop compassion for America's 13 million unemployed people overnight, just because he is running for President. Where does Romney stand with hard-working Americans? He has already answered that question resoundingly. Romney wrote a November 2008 Op-Ed in The New York Times called "Let Detroit Go Bankrupt," deploring the federal government's $18 billion bailout of the Detroit auto industry. The auto industry would have died without the rescue. Now Detroit has created tens of thousands of jobs, including for suppliers.

No wonder Romney's hundreds of millions of dollars in fund-raising hasn't narrowed the gap. Maybe Americans are actually paying attention.