Monday, March 23, 2026

March, 2026, Part 1 - Political Class Insanity: California Still Screws Up, Biden's Horrible Spending Priorities, and Politicians' Perks

 We have  spent a lot  of  time recently talking about which city or state will go bankrupt first. That race to  bankruptcy court seems to be accelerating as politicians in these vulnerable cities and states are starting to realize that their policies and ignorance are causing financial crises across the country.


However, we will step back from that theme for a few days since political class insanity in other areas has continued unabated and needs to  be discussed and ridiculed.


1)Traveling these days can be a real pain and inconvenience. Long lines to get through TSA checking, pat downs by TSA agents, etc. This is especially true these days as Democrats in Congress refuse to pass common sense legislation to fund the Department  of Homeland  Security and the TSA, causing even more  delays in  traveling while at the same  time endangering the safety of those traveling. Air  travel  is not nearly as glamorous and easy as it once was.


But  apparently those days of easy traveling are still available to the political class in this country:


  • Apparently, it has been the custom and  law that members  of Congress do not have to go through TSA screening and long  waiting lines like the common folks do when traveling through the nation’s airports.

  • Yes, as they often do, politicians in Congress voted themselves special  privileges unavailable to us.

  • However, Senator John Cornyn of Texas is proposing the “End Special Treatment for Congress SAirports Act’ that would force Congressional  members to suffer TSA screening like the rest of us.

  • According to  the Senator: Maybe, just maybe, if Congress has to live under the same laws that everybody else does, it will motivate us to get our work done. In other words to fund the [DHS]. So no American, no air traveler will have to suffer the disruption and tribulations that many, many travelers are having to experience now. It’s not too much to expect that Congress will be subject to the rules as everybody else.”

  • Viral  videos have popped on social  media showing Congressional members strolling past long TSA lines to get to their gates and flights much sooner and  easier than regular flying citizens.

  • Especially disgusting  is that these Congressional  members that are getting special  access are the same  ones preventing the TSA agents serving them from getting paid.


So, politicians in Congress continue to get handsomely paid, they get special and  easy access to  travel accommodations while stressed out and  overworked TSA agents go unpaid and non-members of Congress wait in long lines,  some of  which  reportedly stretch outside of airport terminals in order to get to  their flights. Political  elitism at its finest.


2)We have often discussed the bad quality of life that residents and businesses must endure in California:


  • Highest gasoline prices in the country.

  • Some of the highest utility costs in the  country.

  • The highest tax burden in the country.

  • The highest business regulation in the country.

  • The most homeless residents in the country.

  • Some  of the worst  education attainment  levels in the country.

  • Some of the highest crime rates in the  country.

  • The highest unfunded future financial liability levels in the country.

  • Two cities that could possibly go  bankrupt quite soon, Los Angeles and  San Francisco.

  • Some  of the most generous food,  shelter, and medical care programs for illegal immigrants in the country.


The place is a mess. And a lot  of  the  mess is the result of the  leadership of its current  governor, Gavin Newsom. Besides the  above sour quality of life issues, he also presided over one  of the worst budget nightmares anywhere when he mismanaged the  much hyped high speed rail  line that is now years over schedule and way over budget.


But his latest failure and inability to manage even a simple project is now coming to light:


  • U.S. 101 Freeway is a 10 lane highway in  Los Angeles.

  • Four years ago the state government under Newsom hyped the idea of building the Wallis Annenberg Wildlife Crossing that would allow animals to safely cross over the 10 lane highway.

  • The original cost of the project was a whopping $54 million.

  • Yes, in a state going  bankrupt, in a state with major education and homeless problems, in a state with the highest tax burden in the country, Newsom decided to  spend $54 million for an animal  highway bypass.

  • But state government bureaucrats misjudged the cost and asked the state government for an additional  $10 million to complete the project.

  • But four years after the beginning of the project, it is now way past due and could end up costing around $114 million, more than double the original  estimate. 


But this should not surprise us given that the much hyped California high speed rail  line is already likely to be three times  more expensive than originally estimated and is also many years behind schedule.  The incompetence of the state's political class and current  governor is quite unbelievable,  given the list of ongoing failures above and the failure to  build a simple bridge or a complex rail line.


3)Let’s go over to DC, a place and a political  class that have made a science out of wasting taxpayer wealth:


  • The Biden administration gave two different college professors $60,000 each to write books about LGBTQ cartoonists and  “multiethnic graphic literature.”

  • Yes, the country’s homeless population  grew by about 25% under Biden to about 770,000 homeless Americans and his administration decided $120,000 should be spent on gay cartoonists.

  • Another $60,000 went to an English professor at the University of Florida.

  • Her writing project, “Comics In  Movement,” was described as examining “how LGBTQ+ cartoonists innovated comics through grassroots formats in 1970-90s.”

  • Another $60,000  went to an assistant professor of English and comparative literature at San José State University.

  • Her wiring project as titled: “Seeing Citizenship: Picturing Political Belonging in Multiethnic Graphic Literature, planned to "analyze 20th- and 21st-century graphic literature by Asian American, African American, Arab American, and Latinx authors" to "underscore how these texts reveal and critique citizenship's inconsistencies, inequalities, and exclusions."


Now $120,0000 is not even a rounding error in the Federal government budget. But  it is a total waste of money when  millions  of Americans are hungry, homeless, in need of medical attention, and cannot afford health insurance. It shows a complete disrespect of taxpayer wealth and Americans in need and is probably just one of thousands and  thousands of other,  similar wasteful Washington projects that eventually waste billions of taxpayer dollars.


Note: The Trump administration  cancelled these projects before they were paid out.


4)And yes, these two LGBTQ programs were not the only two wasteful spending sprees of the Biden years:


  • The DOGE effort found other wasteful National Endowment for the ARTs (NEH) besides the two NEH $60,000 projects listed above.

  • In fact, DOGE found $163 million worth of useless NEH projects funded under Biden by the American taxpayer.

  • $350,000 was spent for “interactive gay travel  guides.”

  • $247,000 was spent to digitize “stories of transgender  adults in the Pacific Northwest.”

  • $75,000 to study “the relationship between Internet live streaming and LGBTQ+ communities.”

  • Another 1,435 cancelled NEH projects worth over $427 million have been identified and dealt with.

  • But it is not just the NEH that wasted hundreds of millions of taxpayer dollars.

  • The National Science Foundation spent $290 million under Biden for DEI grants in just 2024.

  • In 2021, when Biden  took office the annual amount of money spent on this DEI nonsense was just $14 million, which was still too much.

  • Thus, in three short years Biden exploded this NSF DEI money by twenty fold.


Horrible waste of taxpayer wealth that has absolutely non-sustainable benefit, or any benefit at all, to society and Americans. The above numbers just from these useless NEH and NSf projects total $880,000,000. To give you an  idea of what better use could be  made  of these numbers consider:


  • That money could have fed almost 390 meals for every homeless American in the country.

  • That money could  have  provided  about 132,000 Americans without health  insurance an average annual Obama Care insurance policy for medical  coverage.

  • It would fund the employment of over 12,000 teachers to help better educate the country’s  kids.


You get the  idea. The money could  have been much better utilized to serve millions of American taxpayers rather than write comic books for the LGBTQ+ community.


Enough political class insanity for today: Biden’s  horrible spending priorities, California politicians continue to waste money and fail at just about everything, and politicians continue to treat themselves better than they treat us.


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If you agree that we need to deseat every member of Congress for their lack of success and accomplishment, then please consider going to the following petition link to help the cause:


https://www.change.org/p/deseat-congress-reset-freedom



**********************


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:


Saturday, March 21, 2026

The Race To Bankruptcy Court - Hochul's Ridiculous and Tone Deaf Request, New York City Gets a Credit Downgrade, and Chicago Is Still Going Bankrupt

 It seems we are in a little bit of a rut in that we seem to be getting overwhelmed with news about our choice for states and major cities that are likely to go bankrupt relatively soon. As always, our top state governments that we think are nearing bankruptcy include New York, New Jersey, Illinois, and California. Our top major cities we think are rapidly approaching bankruptcy include New York City, Chicago, Los Angeles, and San Francisco.


Before reviewing the latest news and seeing which state or city is making the best progress towards government bankruptcy, let’s review how these cities and states got themselves into this financial death spiral position to begin with:

  • A government entity keeps expanding its budget, eventually putting pressure on the tax revenue stream it receives.

  • At some point, rather than cut government spending or make its programs more efficient financially, the politicians in charge raise taxes to meet the ever growing government expenditures.

  • The raising of taxes causes some residents and businesses to leave the city or state for less tax burdensome areas, reducing the tax base and reducing the revenue stream.

  • Rather than cut expenses and become more efficient to match the reduced tax revenue stream, politicians in the above cities or states raise the tax burden even more.

  • This causes more residents and businesses to flee the city or state, further reducing the tax base and tax revenue stream.

  • At some point politicians panic and raise taxes more and start cutting vital government services (e.g. police, fire, education) in order to try and balance government spending against the shrinking tax base and revenue stream.

  • The reduction in quality of government services in particular and quality of life in general drives more residents and businesses out of the area.

  • Eventually, the expenses, costs and financial liabilities outstrip the reduced tax stream and bankruptcy occurs.

Okay that’s the process, now lets check the progress some of the above listed government entities are making to achieve this bankruptcy goal  against this process:


1)The following  discussion point proves that some cities and states are definitely going  to  go  bankrupt pretty soon because politicians are ignorant of economic realities and really and just plain stupid when  it comes to  common sense. But before we explore one of the most inane recent reactions to the financial  death spiral one state finds itself in, consider a little  history and background:


  • Back in 2022, the New York Post reported on some incredibly stupid comments made by the governor of New  York, Kathy Hochul.

  • Hochul is a Democrat and  told state Republican  voters back in  2022 that they should “Just jump on a bus and head down to Florida where you belong. You are not New Yorkers.”

  • Yes, the top political  official in the state told about half  of her state’s constituents, about 5.4 million  Republican voters, that they should just leave and not come back, likely one of the  most insensitive and  disgusting comments  ever made by a sitting politician.

  • The Post reported at the time that the state government of New York was staring at a five year anticipated budget gap of $14 billion and yet she told a large portion of the state’s taxpayers to leave town.

  • Of course,  back in 2022, many of  the state’s residents and businesses had already taken her advice, driven out by high taxes, high crime rates, and high business regulation, since over the preceding ten years, 1.5 million New York  residents had already left the state with 350,000 leaving during the year long pandemic epidemic.

  • At the  time of  her  comments, she was proposing a record high state government budget of  $220 billion making the out immigration of residents and  their tax  dollars even more financially dangerous.

  • In 2022 when the Post reported on Hochul’s comments, New York  City by itself had lost 300,000 jobs during the previous two years.

  • Opinion  polls conducted at that time showed that the number one reason people were leaving the state was overwhelmingly associated with high taxes.,

  • And finally  the Post article reported that an IRS analysis of those people  leaving New  York had an average income of over $100,000, i.e.  the highest paying taxpayers were the  ones getting out of the state.


So, four years ago the governor of a state with a record setting budget and record setting budget deficits told millions  of taxpayers, and some of its highest paying taxpayers, to go away and not come back. An elected official, who is supposed to  equally represent every citizen in their domain, told half of them to go  to hell, they were  not welcome in  their home state.


So Hochul sets the stage with her insensitive and despicable comments in 2022 for the following reality


  • A recent New York Post article covered some recent Hocul comments where she said  that New York must win back the high earning taxpayers that fled to Florida.

  • Yes, four years after she told millions of state residents to “just leave,” she finally realized, duh!, that they took a lot of tax revenue with them and that she created a financial  crisis in New York.

  • Rather than reduce government spending  to  match the reduced New York state government tax base, she insists that more tax dollars,  this time by former  state residents  coming back to the state to pay high taxes,  is the remedy.

  • Her out of touch with reality statements to that effect include: “I need people of high net worth to support the generous social programs that we want to have in our state. There are some patriotic millionaires who stepped up. OK! Cut me the checks. But if you want to be supportive, maybe the first step should be to go down to Palm Beach and see who we can bring back home. Because our tax base has been eroded.” 


Can  a politician  be any more  out  of  touch with reality than Hochul? She does not want people  to  come back to  a better life that she created in the state. She blatantly just wants them back  to pay for her government programs, i.e. “CUT ME THE CHECKS!” Don’t come back for a better life for you and your family  or your business, just come back to fix the tax  base that I helped  erode by telling  over 5 million taxpayers to  leave the state.


But her behavior is  completely consistent  \with the process described above of how a state goes bankrupt: raise taxes and drive out residents and businesses who do  not want to pay high taxes, do not make government smaller or more efficient due to  the the smaller tax base, raise taxes to overcome the reduced tax base which drives out more residents and businesses, etc. Hochul made the process even worse when she actually told residents to  get  out of town, her stupidity is amazing.


This reinforces our belief that New York state will be  the first state government to go  bankrupt, a process that is accelerating, a reality the governor finally realizes is happening. Unfortunately her  solution is ridiculous and shallow: why would people who left a bad  situation voluntarily return to that same situation?


2)In recent  posts we have  also reiterated our belief that New York City will be  the next major American  city to go bankrupt. The current mayor, Zohran  Mamdani, has decided that reducing city government  expenses or making government programs more efficient is not fun, he  would rather raise taxes.


As we discussed, he faces a $5.4 short term  budget shortfall. He wants Hochul and the state government to raise taxes on the wealthy living in the city and if that does not happen he threatens to  raise property taxes on everyone by almost 10%. He recently proposed a drastic raise of the  city death tax to  50% while at the  same  time lowering the tax threshold by about 90% to $750,000.


So consider  the following  realities:


  • A wealthy person  living in the city is probably going to  get out of the city if their income tax gets raised again and their lifelong work savings get decimated by Mamdani’s changes to the  death tax.

  • All types of  people, wealthy or not, will consider getting out of the city if their already high property taxes are raised another 10% or  so.


Thus, the tax base continues to erode and thousands of other New York City residents will  follow the  hundreds of thousands of other residents who have already fled the city. And apparently Mamdani has no  intention of trimming back  his record-setting city budget to  cope with the reduced tax base, a formula for bankruptcy as outlined above.


But we have discussed all of this already in previous posts. The new news is that  the financial rating company, Moodys, has downgraded the city’s credit viability from stable  to  negative. The  company cited budget shortfalls, government  inefficiencies, and  reduced financial flexibility as the budget goes up while the tax base goes down. This downgrade  could cause it to be more expensive for the city to raise capital in the future and scare away investors who can invest their wealth with safer options.


Whether this is a wake up call for Mamdani remains to  be  seen. However, denying the reality just makes it quicker for the city to go bankrupt as not only do  residents and businesses flee the city but investors do  also.


3)And while we now believe that New York City will go bankrupt next, the city of Chicago has not given up on that race to bankruptcy court:


  • Chicago city officials predict that the city is facing a short term financial  deficit of $150 million while  also facing billions of dollars in unfunded liabilities into the future.

  • One of the reasons for the deficits is that a whopping 40% of the city’s tax revenues goes to just paying pension obligations and debt service on city bonds before a single  dollar is  spent on roads, schools, emergency services, etc.

  • The current mayor, Brandon Johnson FINALLY realized the financial plight when he recently said the city was “at a crossroads” and had to “essentially do  more with less” from a financial health basis.

  • However, rather than get the city’s  financials in order and in line with the reducing tax steam, he went shallow and just blamed Trump.

  • Austin Berg of the Illinois Policy Institute summarized the situation: “The solution set is always the same: Stop making bad decisions, and you have to put a structure in place to make better decisions. So, the bad decisions are things like taking one-time revenues from federal COVID spending and putting it into operations. The bad decisions are borrowing for operations, which this latest bond issue just did. That’s a huge no-no and a red flag for investors.”

  • In  other words stop  with the  financial  gimmicks to balance the budget, they are temporary and make the long term financial situation even worse.


Much like Hochul, Johnson finally realized that maybe Chicago is looking at a catastrophic financial death spiral. But both blame others for their inactions to  fixing the problem. In New York,  it is the fault of the people that Hochul told to leave the state in 2022 and take their tax revenue with them.   In Chicago, it is Trump's fault that the city has such a large financial hole to  dig out of. 


In either case, their realizations do not change our view that New York state, New York City, and Chicago are still leading government candidates to reach bankruptcy court first.


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If you agree that we need to deseat every member of Congress for their lack of success and accomplishment, then please consider going to the following petition link to help the cause:


https://www.change.org/p/deseat-congress-reset-freedom



**********************


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: