Yesterday kicked off our monthly feature where we document and lament the constant insanity and idiocy that spews forth from the American political class. We discussed how politicians pass laws for us to follow but exempt themselves form those same laws. We examined how Ohio State University now has its own personal armored car but no police department in the whole state of Ohio has the same. We reviewed how confidence in government and the economic index of freedom ranking for the United States continue to plummet.
Let the insanity continue to roll today with the following antics:
1) The website, www.againstcronyism.org, had a disgusting little article posted on its site on September 8, 2013. Cory Booker is the current mayor of Newark, New Jersey and is currently running for the U.S. Senate from New Jersey. Despite being a full time public servant and leader of one of New Jersey’s largest cities, he has been very busy lately in any number of financial entanglements:
- While in office he has been paid over $1.3 million for giving speeches.
- While being mayor AND giving speeches AND launching his drive for a Senate seat, he also found time to start up a new business for which he named a 15 year old son of a CNN executive to the board or directors while also granting the kid stock options.
- But he still found time, according to his latest tax returns, to work over 500 hours last year for his former law firm which resulted in him getting paid $689,900 by that law firm.
- Oh, by the way, that law firm was granted almost $2 million in business from city government agencies overseen by the mayor.
The sad part about this type of behavior, e.g. conflict of interest with a former employer, a potential quid pro quo of salary in exchange for city contracts, blatantly bribing a news industry executive by naming the executive’s kid to the board of directors, personal enrichment, is that he will probably win the Senate seat election. Tell me that the political class has not rigged our election rules and laws and processes to keep their type in power and riches with little regard for the people they are supposed to be serving.
2) As most informed people know, the number of Americans receiving food assistance, “food stamps,” has grown significantly since President Obama took office. And, like any other historical government program, mismanagement, outright criminal fraud, and the wasting of taxpayer wealth has followed on the heals of this increase in food assistance.
One aspect of this mismanagement comes from a recent government inspector general report. Apparently, retailers who have been banned by the Federal Food and Nutrition Service (FNS) for food stamp trafficking are still redeeming more than $65 million in benefits from the program. This finding is according to a new analysis and report by the U.S. Department of Agriculture inspector general (IG). In other words, even when the government does its job and identifies the fraud creators, they cannot get the fraud and criminals out of the system. Insane.
The report sheds light on fraud within the Supplemental Nutrition Assistance Program (SNAP), with the following scathing conclusion on government incompetence: “The Office of Inspector General (OIG) found that the Food and Nutrition Service (FNS) does not have clear procedures and guidance to carry out key oversight and enforcement activities to address SNAP retailer fraud, or adequate authority to prevent multiple instances of fraud—either by a particular owner or within a particular location.”
“As a result, the integrity of SNAP is at risk because FNS does not consistently provide deterrents for trafficking.” SNAP “trafficking” means exchanging food stamp benefits for cash.
With record numbers of Americans are on food stamps (47,635,297 as of May 2013), the number of authorized retailers has also increased dramatically. A total of 246,565 stores participated in 2012, a 40 percent increase since 2007. With more retailers comes a greater opportunity for fraud since, according to the government’s own inspector general for this area, those in charge of safeguarding taxpayer wealth in this area lack procedures and guidance to do the right thing, i.e. minimize fraud and waste.
3) A recent Associated Press analysis of 607,380 bridges in the most recent Federal National Bridge Inventory showed that 65,605 were classified as “structurally deficient” and 20,808 as “fracture critical.” Many of them, 7,795 were both. Thus, more than 14% of the bridges in this country are in serious danger of collapsing at any time.
But wait a moment, wasn’t this problem addressed by the economic stimulus program from the Obama administration? Didn’t we as a country spend over $800 billion to fix these kinds of problems, wasn’t that the promise? In addition, we have sent Washington trillions of dollars over the decades via taxes to do just such a thing, provide safe motoring for America. I am shocked to think that maybe that money was not spent efficiently. (sarcasm)
In fact, we already know the political class grossly mismanaged these types of programs. Another Associated Press report from several years ago showed that the economic stimulus bridge repair money was handled so poorly that about half of the bridges repaired under that program were not in need of repair, i.e. the Washington political class spent taxpayer wealth on bridges that were not broken, apparently at the expense of over 86,000 bridges that did need repair. Details of this scandal can be found at:
http://loathemygovernment.blogspot.com/2010/01/2009-year-end-review-good-bad-and-ugly_02.html
But the bigger issue really is the decades worth of taxes that have been sent to D.C. for little in return except a crumbling infrastructure. While almost 50% of the economic stimulus bridge repair money was wasted, the repairs, both needed and unneeded, addressed less than 3,000 bridges. Imagine how much money is still needed to fix over 86,000 defective bridges, all because the political class did not address the problem until it has now become a crisis. My advice: drive fast going over any U.S. bridge.
4) We have always called for a thorough “Spring Cleaning” of all levels of government since over time, stupid laws, unnecessary programs, redundant departments, etc. accumulate in government attics that cost taxpayer slots of money for no reason. A perfect example of that was illustrated in a CBS Pittsburgh story about parking in one’s own driveway in that city.
CBS found that Pittsburgh residents have been receiving tickets and warning letters for parking… in their own driveways. Apparently a local law dictates vehicles must be parked at least 30 away feet from the street, even if your driveway is not 30 feet long.
This inane law originated in the mid-20th Century and is little known among locals. However, residents on two streets in different sections of the city have been recently targeted for violating it. Apparently, you need an “occupancy permit” to legally park in their own driveways now in Pittsburgh. One unlucky family, who did not go to the trouble of getting a permit to park in their own driveway, reportedly paid $2,400 for their parking violations
However, it is still legal to park on city streets. According to the CBS report, at least one resident has decided to park on the streets of a local business district which does not violate any Pittsburgh parking laws. However, while legal, these types of behavior probably restrict the business and economic activity of local businesses since there are now fewer parking spaces for shopper to use. Insanity.
Spring cleaning, good for your home and also good for all levels of government.
4) In a bit of good news from the Federal government, the Washington Examiner reported on August 9, 2013 that Linda Smoot Radeker, 72, of Shelby, N.C., a mental health counselor, oversaw a scheme that defrauded Medicaid of about $6.1 million. But unlike the vast majority of people that rip off the Federal government, she was caught and recently sentenced to three years in prison and required to pay back the money she extorted via her Medicaid scam.
Now the bad news from this story. First, the American taxpayer is unlikely to ever recover anywhere near $6.1 million since according to the article, she admitted she had no particular need for the money, all of which she spent. Second, she knowingly embezzled over $6 million, she operated a network of other thieves who helped her out, she was running a criminal enterprise and she got ONLY three years in jail? Maybe if people like her were getting ten-twenty years in jail for this type of fraud we might see the fraud levels go down at least a bit.
And finally, her fraud was committed over a four year period, averaging about $1.5 million a year. According to government estimates that we have reviewed many times, the estimated annual fraud within Medicaid is about $30-49 billion a year. Even if we use the lower estimate, this fraud was about .01% of the total fraud during an average four year period.
Thus, I am glad she got caught, I am glad she and her accomplices are going to jail, but we need thousands and thousands of more busts and convictions like this to prevent the ongoing waste of taxpayer wealth in this program. As a callout to Nancy Pelosi, this is the kind of waste that needs to be removed despite your outrageous conclusion that nothing can be cut from the Federal budget.
That’s enough insanity for today. Politicians get rich, Medicaid fraudsters get rich, and our bridges are ready to collapse around the country. More insanity tomorrow…if you are up for it.
Our book, "Love My Country, Loathe My Government - Fifty First Steps To Restoring Our Freedom And Destroying The American Political Class" is now available at:
www.loathemygovernment.com
It is also available online at Amazon and Barnes and Noble. Please pass our message of freedom onward. Let your friends and family know about our websites and blogs, ask your library to carry the book, and respect freedom for both yourselves and others everyday.
Please visit the following sites for freedom:
Term Limits Now:http://www.howmuchworsecoulditget.com
http://www.reason.com
http://www.cato.org
http://www.robertringer.com/http://www.youtube.com/watch?v=08j0sYUOb5w
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