General Motors has been very benevolent since receiving $50 billion of taxpayer funds less than two years ago. GM, the GM Foundation and Chevrolet are donating more than $10 million towards the building of a Martin Luther King, Jr. monument in Washington, DC. Following is a list of just some of GM and GM Foundation recent giveaways.
$40 million for "clean energy projects."
$4.5 million for college scholarship programs to benefit students; criteria list includes being female, being a minority or being a military member.
$27.1 million to United Way for restructuring of Detroit schools.
General Motors will pay its factory workers bonuses of $4,000 each. AP reports that more than $189 million will be paid to UAW workers in addition to salaried workers (management and engineers) bonuses of up to 50% of pay. It is interesting to read the decidedly negative view of GM's actions in comments that are submitted by readers at the end of the AP article. It remains a "tale of two cities", however, when it comes to media coverage (particularly from television journalists) with many commentators refusing to acknowledge the public outrage as GM spends millions of dollars on bonuses while taxpayers and GM bondholders continue to have their rights subordinated to the politically powerful UAW.
Meeks purported to hold a fund-raiser in Sin City for his Build America Political Action Committee, but his office refused to say when it took place or who attended. The financial disclosures for the Queens Democrat were similarly vague.
The latest disclosure for the PAC -- covering Nov. 23 to Dec. 31, 2010 -- shows the group spent $8,063 at the posh Aria resort in Las Vegas for "catering, site rental and lodging."
In the budget cuts announced today by House Appropriations Chairman Hal Rogers, the Legal Services Corporation (LSC) is slated for a token $75 million reduction. This is a genuine outrage. LSC should have been zeroed out completely.
In a statement today titled "CR Spending Cuts Go Deep," Rogers says, "Make no mistake, these cuts are not low hanging fruit." This is nonsense. Defunding the politicized and scandal-ridden LSC should have been easy. If the Republican Congress can't even cut off LSC, how will it ever make the tough choices necessary to reduce the deficit?
One year after federal prosecutors opened a criminal investigation into Toyota's unintended acceleration safety issues, a ten month investigation came to the conclusion that there were no electronic flaws that led to accidents involving Toyota vehicles. The causes were attributed to driver error and sticky accelerator pedals and floor mats. These were the exact causes that Toyota pointed to when congressional leaders decided to attack the automaker at a time when General Motors was struggling to regain sales after exiting its bankruptcy.
In a speech today to the Chamber of Commerce, Barack Obama called for a reduction in corporate tax rates and simplification of the tax code, but he then pitched alternative energy, which is based wholly on tax breaks and subsidies. He said spending must be reduced and then again plugged the boondoggle of high-speed rail, which only benefits politically-connected contractors and unions, and bond traders. He said he favored free trade and then claimed that inventing something here and manufacturing it abroad "breaks the social compact."
General Motors is certainly finding ways to spend the $50 billion taxpayer infusion they received less than two years ago. Anyone watching the Super Bowl witnessed a heavy GM presence with ads running pre-game, game time, post-game and even during a special Chevy sponsored Glee episode afterwards. The Chevy logo was predominately displayed, sometimes taking up nearly half of the TV screen, during the post game show that featured GM benevolently giving a new Chevy Camaro to Super Bowl MVP, Aaron Rodgers. Rodgers made about $9 million in 2010, but I'm sure he still appreciates the nice car that taxpayers helped pay for.
Just as General Motors was led by financial people, Honda would always be led by engineers... Put another way, the bean counters ran GM, while the car guys ran Honda. It would make a crucial difference between Honda's success and GM's failure.
If ever a federal agency were a candidate for termination, the Bureau of Indian Affairs (BIA) would make for a good choice. The BIA combines patronage, outright corruption and ethnic separatism into a single package, wasting sizable tax dollars in the process. Yet few in Congress have the stomach for a fight with supporters of the bureau, now with a roughly $2.7 billion annual budget. That's not the only Indian agency in need of serious downsizing.
During an appearance on Fox Business Network on Tuesday, NLPC Associate Fellow (and GM bondholder) Mark Modica warned that the GM bankruptcy may provide a model for insolvent states and localities to crush bondholders and taxpayers to protect politically-connected unions. "Follow the Money" host is Eric Bolling. Here's a transcript: