Sunday, May 19, 2013

The latest local news, weather and high school sports from the Heartland

Fact Check: Obama has it both ways on pork
Posted: 02.09.2009 at 8:51 PM
1

A look at some of Obama's claims in Elkhart, Ind., and the news conference called to make his case to the largest possible audience

WASHINGTON (AP) -- At least Route 31 is a road to somewhere.

President Barack Obama had it both ways Monday when he promoted his stimulus plan in Indiana and later at a prime-time news conference. He bragged in Indiana about getting Congress to produce a package with no pork, yet boasted it will do good things for a Hoosier highway and a downtown overpass, just the kind of local projects lawmakers lard into big spending bills.

Obama's sales pitch on the enormous package he wants Congress to make law has sizzle as well as steak. He's projecting job creation numbers that may be impossible to verify and glossing over some ethical problems that bedeviled his team.

In recent years, the so-called Bridge to Nowhere in Alaska came to symbolize the worst excesses of congressional earmarks, a device that allows a member of Congress to add money for local projects in legislation, practically under the radar.

Nothing so bold, or specific, as that now-discarded bridge project is contained in the stimulus package. That's not to say the package steers clear of waste or parochial interests. Obama played to such interests Monday, speaking at one point as if he'd come to fill potholes.

A look at some of Obama's claims in Elkhart, Ind., and the news conference called to make his case to the largest possible audience:

OBAMA: "Not a single pet project," he told the news conference. "Not a single earmark."

He said in Elkhart: "Understand, this bill does not have a single earmark in it, which is unprecedented for a bill of this size. ... There aren't individual pork projects that members of Congress are putting into this bill."

THE FACTS: There are no "earmarks," as they are usually defined, inserted by lawmakers in the bill. Still, some of the projects bear the prime characteristics of pork — tailored to benefit specific interests or to have thinly disguised links to local projects.

For example, the latest version contains $2 billion for a clean-coal power plant with specifications matching one in Mattoon, Ill., $10 million for urban canals, $2 billion for manufacturing advanced batteries for hybrid cars, and $255 million for a polar icebreaker and other "priority procurements" by the Coast Guard.

Obama told his Elkhart audience that Indiana will benefit from work on "roads like U.S. 31 here in Indiana that Hoosiers count on." He added: "And I know that a new overpass downtown would make a big difference for businesses and families right here in Elkhart."

U.S. 31 is a north-south highway serving South Bend, 15 miles from Elkhart in the northern part of the state.

___

OBAMA: "My bottom line is, are we creating 4 million jobs?" he told the news conference.

He said in Indiana: "The plan that we've put forward will save or create 3 million to 4 million jobs over the next two years."

THE FACTS: Job creation projections are uncertain even in stable times, and some of the economists relied on by Obama in making his forecast acknowledge a great deal of uncertainty in their numbers.

Beyond that, it's unlikely the nation will ever know how many jobs are saved as a result of the stimulus. While it's clear when jobs are abolished, there's no economic gauge that tracks job preservation.

The president's own economists, in a report prepared last month, stated: "It should be understood that that all of the estimates presented in this memo are subject to significant margins of error ... the uncertainty is surely higher than normal now because the current recession is unusual in its fundamental causes and its severity."

___

OBAMA: "Most economists, almost unanimously, recognize that even if philosophically you're wary of government intervening in the economy, when you have the kind of problem you have right now ... government is an important element of introducing some additional demand into the economy."

FACT: True, economists believe government should act. But while many believe government spending is the answer, there is hardly unanimity on what to do, and Obama may have overstated conservative support.

In a recent newspaper ad, 300 economists signed up against the stimulus promoted by the president. "Lower tax rates and a reduction in the burden of government are the best ways of using fiscal policy to boost growth," they wrote.

Martin Feldstein, a conservative economist at Harvard University and president emeritus of the National Bureau of Economic Research, has advocated a stimulus package in the past, but he argued recently that the package before Congress "delivers too little extra employment and income for such a large fiscal deficit."

___

OBAMA: "They'll be jobs building the wind turbines and solar panels and fuel-efficient cars that will lower our dependence on foreign oil and modernizing our costly health care system that will save us billions of dollars and countless lives."

THE FACTS: The economic stimulus bill would allocate about $20 billion to help hospitals and doctors transition from paper charts to electronic health records for their patients. Research has shown that in some instances, electronic record keeping can eliminate inappropriate services and improve care, but it's not a sure thing by any means. "By itself, the adoption of more health IT is generally not sufficient to produce significant cost savings," the Congressional Budget Office reported last year.

___

OBAMA: "I've appointed hundreds of people, all of whom are outstanding Americans who are doing a great job. There are a couple who had problems before they came into my administration, in terms of their taxes. ... I made a mistake ... I don't want to send the signal that there are two sets of rules."

He added: "Everybody will acknowledge that we have set up the highest standard ever for lobbyists not working in the administration."

THE FACTS: Two of his appointees, former Senate Democratic leader Tom Daschle for secretary of health and human services and Nancy Killefer as his chief compliance officer, dropped out after reports they had not paid a portion of their taxes.

Obama previously acknowledged he "screwed up" in making it seem to Americans that there is one set of tax compliance rules for VIPs and another set for everyone else. Yet his choice for treasury secretary, Timothy Geithner, achieved the post despite having belatedly paid $34,000 to the IRS, an agency Geithner now oversees.

That could leave the perception that there is one set of rules for Geithner and another set for everyone else.

On lobbyists, Obama has in fact established tough new rules barring them from working for his administration. But the ban is not absolute.

William J. Lynn III, tapped to be the No. 2 official at the Defense Department, recently lobbied for military contractor Raytheon. William Corr, chosen as deputy secretary at Health and Human Services, has lobbied as an anti-tobacco advocate. And Geithner's choice for chief of staff, Mark Patterson, is an ex-lobbyist from Goldman Sachs.

___

OBAMA: "We also inherited the most profound economic emergency since the Great Depression."

THE FACTS. This could turn out to be the case. But as bad as the economic numbers are, the unemployment figures have not reached the levels of the early 1980s, let alone the 1930s — yet. A total of 598,000 payroll jobs vanished in January — the most in nearly 35 years — and the unemployment rate jumped to 7.6 from 7.2 percent the month before. The most recent high was 7.8 percent in June 1992.

And the jobless rate was 10.8 percent in November and December 1982. Unemployment in the Great Depression ranged for several year from 25 percent to close to 30 percent.

___

OBAMA: Iran's "financing of terrorist organizations like Hezbollah and Hamas, the bellicose language that they've used towards Israel, their development of a nuclear weapon or their pursuit of a nuclear weapon," are contrary to regional stability and peace.

THE FACTS: There is no proof Iran is pursuing a nuclear weapon. The U.S. and numerous allies have long claimed that Iran's accelerated nuclear research and development program could be misused to develop weapons, and the Bush administration sometimes accused the Islamic government of duplicity. The U.N. nuclear watchdog has also cast strong doubt on the true nature of Iran's nuclear program and faulted Tehran for keeping secrets. For all the suspicions, Iran's claims that its nuclear program is peaceful and intended only to produce electrical power have not all been refuted.

(Copyright ©2009 by The Associated Press. All Rights Reserved.)

Popular Stories
Thumbnail
Pair accused of dealing drugs near school
John Garlock  |  Friday, May 17, 2013  |  5 comments
Thumbnail
Congratulations to the Schuyler County R-1 Class of 2013
Vanessa Alonso  |  Yesterday at 6:04 PM  |  1 comment
Thumbnail
5K run paints outside the lines
Justin Andrews  |  Saturday, May 18, 2013
Follow Heartland Connection
Get news and weather notifications on your phone by downloading the iPhone or Android app below
Sign up to get alerts and updates for breaking news, severe weather, and deals:
submit
ADVERTISEMENT
Special Features
Your next car
View inventory from Lovegreen Ford Chrysler
Senior of the Month
View and Nominate here
Funeral Announcements
Announcements from area funeral homes
Best Bets Auto
Auto information from our experts
ADVERTISEMENT