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The White House Knew About Lerner’s Emails 6 Weeks Before Congress, American People

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In sworn testimony this morning (Friday, June 20th) IRS Commissioner John Koskinen stated that Obama was told about Lerner’s emails in April. This would be 6 weeks before Congress was told.

“The IRS knew in February, or maybe even in March, and Treasury and the White House knew at least in April — but Congress and the American people didn’t find out until June.”

Congress received a letter from the White House on Wednesday informing them they knew about the emails in April, having been informed by the Treasury Department. IRS head, Koskinen, stated he had seen the letter as well.

“He said his “understanding” is that someone in the IRS general counsel’s office informed someone in the Treasury Department’s general counsel office “that there was an issue and the IRS was investigating.”

And yet, in March “Mr. Koskinen told the House Oversight Committee in March, “if you want them all, we’ll give them all to you, though he added that doing so might take years”.

This is worse than Watergate, indeed.

Harry Reid Claims There Are No Democrat Billionaires

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Yesterday the Senate Majority Leader, Harry Reid, painted a picture of class warfare, claiming his side does not have any billionaires.

“The decisions by the Supreme Court have left the American people with the status quo in which one side’s billionaires are pitted against the other side’s billionaires,” he said this morning on the Senate floor. “Except one side doesn’t have any billionaires.”

Here’s the video:

Seems Harry Reid conveniently forgets:

George Soros
Tom Steyer
Ann Cox Chambers
Irwin Jacobs
Ron Burkle
Marc Benioff
Penny Pritzker
James Simons
David Shaw
Jon Stryker
Haim Saban

Who are we missing? Fill in the comments section below!

IRS Hard Drives Gone

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Now we’ve gone from yes, we have emails —> no we don’t have emails because of a computer crash —-> the hard drive may have been recycled. Politico reports:

“Ex-IRS official Lois Lerner’s crashed hard drive has been recycled, making it likely the lost emails of the lightning rod in the tea party targeting controversy will never be found, according to multiple sources.

What’s more, “On Wednesday, the White House retorted that for the time frame in which Lerner’s emails are missing, there are no direct communications between 1600 Pennsylvania Ave. and the now-retired Lerner.

Earlier this week, Ways and Means Republicans said as many as six IRS employees involved in the scandal also lost email in computer crashes, including the former chief of staff for the acting IRS commissioner”

The WSJ calls this IRS Scandal “worse than Watergate“. ““The Watergate break-in was the professionals of the party in power going after the party professionals of the party out of power. The IRS scandal is the party in power going after the most average Americans imaginable”

At this point, I’m inclined to agree.

How The Media Was Complicit in the VA Scandal

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We now know that the state of affairs within the VA system was abhorrent for years — and that Obama, like his predecessor, knew there were problems. And yet, several well known left-leaning columnists spoke highly about the VA health system anyway, especially ramping up the rhetoric right at the time Obamacare began to take shape in Congress in 2009.

Obama’s objectives regarding the VA were laid out in the Obama Transition Plan for when he took office. Obama had been warned about the problems in 2008, so he stated that he wanted to “make the VA a leader of national health care reform so that veterans get the best care possible”.

Therefore, shortly after his inauguration, Obama spoke to Congress in February 2009 to discuss healthcare reform, and the process toward the Affordable Care Act (ACA) began.

At the same time in 2009, both Nicholas Kristof and Paul Krugman of the NY Times and Ezra Klein of the Washington Post heaped praised the VA system. They must have read Obama’s VA talking points:.

Kristof: It is fully government run, much more “socialized medicine” than is Canadian health care with its private doctors and hospitals. And the system for veterans is by all accounts one of the best-performing and most cost-effective elements in the American medical establishment.

Paul Krugman: Let’s talk about health care around the advanced world…. By the way, our own Veterans Health Administration, which is run somewhat like the British health service, also manages to combine quality care with low costs.”

Klein: The “VA is actually socialized medicine, where the government owns the hospitals and employs the doctors. If you ordered America’s different health systems worst-functioning to best, it would look like this: individual insurance market, employer-based insurance market, Medicare, Veterans Health Administration”.

It is clear that these writers never had any information, nor had they done any research on the VA, the quality of its services, or its financial and operational efficiency. They write what they wish to be as if it were fact, hoping that their readers won’t find them out. You are certainly free to wonder about the credibility and integrity of their other writings.

The ACA began to be debated seriously during the fall of 2009 and it passed on March 25, 2010. It was during this same time that the secret waiting lists were developed at many VA centers. In the midwest alone, ten facilities have been found with the secret waitings lists, along with the most widely known problem in Arizona. These were clearly not “rogue” employees but signal part of a wider, concerted effort to keep issues quiet.

How did this happen? At least one attempt to fix the problem never got off the ground after nearly a decade of trying.

Apparently a medical scheduling project for the VA was begun in 2000 and was discontinued in 2009, 9 years after it the project began — and it remained utterly unfinished. Nothing seems to have been done for another 3 years until 2012, when the Secretary of Veteran’s Affairs launched a contest to create an app for scheduling — a contest which didn’t close until the summer of 2013.

According to a press release in 2013 announcing the winners in the “scheduling app” contest, it was noted that the “VA started to develop a Medical Scheduling Package replacement in 2000. This effort was not successful. When VA ended the project in 2009, none of the planned capabilities were delivered. It had cost more than $127 million”.

And was used at the VA between the end of the Medical Scheduling Package project in 2009 and the Medical Scheduling App Contest of 2012/2013?

We now know there were secret waiting lists as some of the facilities. It also appears the the Obama Administration knew about the “secret waiting lists” as early as 2010. The Daily Caller reports that there was an internal VA investigation in 2010 regarding “paper” waiting lists:

“We conducted this review to determine the validity of an allegation that senior officials in Veterans Integrated Service Network 20 (VISN) instructed employees at the Portland VA Medical Center to use unauthorized wait lists to hide access and scheduling problems,” according to an August 17, 2010 VA Office of Inspector General (OIG) report entitled “Review of Alleged Use of Unauthorized Wait Lists at the Portland VA Medical Center”

So, while the merits of the ACA was being debated, the VA’s scheduling system was scrapped, wasting $127 million. $127 million is a lot of taxpayer monies that could have been used on veterans’ treatments over the years.

But who was talking about it? No one. Certainly not the most widely read papers in this country.

Instead, we got reassurances from the press to a nervous public about the government’s ability to overesee healthcare, especially after the ACA passed in a controversial way. What’s more, the VA continued to be offered as a model even when the backlash to the law began.

In 2011, Paul Krugman of the NYT happily explained how successful the VA system: “The V.H.A. is a huge policy success story, which offers important lessons for future health reform. Many people still have an image of veterans’ health care based on the terrible state of the system two decades ago.”

Now we find out that it was clearly not working.

Underfunding the Department of Veterans Affairs is not the problem. From 2007 to 2012, enrollment in VA services has increased by 13% from 2007 to 2012. At the same time, the VA budget went from $82 million to $125 million — a 53% increase, and the biggest jump in the VA’s budget history since records go back to 1940. Yet the VA could not deliver quality services to our Veterans.

Government should not be handling our health systems. The fact that secret waiting lists existed shows just how far the government went to hide its incompetence in running a health system at the very time that Obamacare was being debated both in Congress and then in the public square. And the media supported the narrative that government delivered quality and efficient health care to our Veterans without checking to see if it was actually true.

If Congress and Americans knew the truth of the condition of the VA health system, it is quite possible that Obamacare would never have been allowed to become law.

Obama’s Federal Student Loan “Help” is Adding Rapid Debt to Our Economy

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Do you know who is on the hook for many student loans? You, the taxpayer.

From CNS News:

“Since President Barack Obama took office in January 2009, the cumulative outstanding balance on federal direct student loans has jumped 517.4 percent.

The balance owed as of the end of May was $739,641,000,000.00. That is an increase of $619,838,000,000.00 from the balance that was owed as of the end of January 2009, when it was $119,803,000,000.00, according to the Monthly Treasury Statement”

The largest reason for this is Obama’s “Pay As You Earn” (PAYE) program implemented in 2010.
There are several portions of PAYE that are particularly concerning:

1) PAYE repayment is based on 10% of discretionary income;

2) If the payment doesn’t cover the accruing interest, the government pays your unpaid accruing interested for up to three years from when you begin paying back your loan under the PAYE program.

3) The balance of your loan can be forgiven after 20 years if you meet certain criteria

4) Your loan can be forgiven after 10 years if you go to work for a public service organization

Think the debt balloon is bad now? The program will be severely unsustainable once loans start to be repaid — with interest often being covered by the federal government– and later, loan forgiveness options kick in, with the balance paid by the federal government.

And the federal government is…YOU.

More on how the PAYE program hurts the economy:

The Tea Party and Immigration

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I joined the Tea Party in my locality when it began because I sincerely believed in its simple, but extremely powerful and direct message:

Low Taxes
Limited, Constitutional Government
Individual liberty

and nothing else. The Tea Party was not to be a political “Party” with positions on every subject under the sun. It would only be involved in its particular concerns, so as not to dilute its message.

Then what is this nonsense regarding certain Tea Party groups espousing substantial anti-immigration rhetoric?

How can someone espousing limited government, individual liberty, and rule of law be FOR crony capital government-imposed restrictions on businesses hiring who they want?

And with that, a large reason for such a high number of “illegal” immigrants is because the government has created arbitrary, low quotas which limit the amount of foreign-born workers allowed — though many sectors of our economy demand more.

The current Tea Party was galvanized by the original (Boston) Tea Party and share a same disdain over high and unjust taxation. But the original “tea partiers” would be turning over in their graves by being associated with the current Tea Party’s anti immigration stance!

Our colonists came to America for a variety of reasons ranging from freedom of religion to economic opportunity and wealth. They sought hope, prosperity, and freedom. They were the original immigrants.

America is a unique country because men, women, and children from other countries all want to come here. Unless you have a relationship to a US citizen or a permanent resident, the only way to be able to come here is through a job by being a skilled laborer or professional. This is a good thing.

We are getting the creme de la creme from other countries — and we want to say no to them? Here we have people who work and are motivated enough to uproot and better themselves by living in another country. That is the best kind of ethic we need to continue to nourish and aspire to America, the way we always have.

As for those who flee here from oppression: if their only crime is that they seek a better life, decent housing, food, and hygiene and they risk life and limb to come here, how can we turn that spirit away?

The current Tea Party would do well to remember that this country has survived and thrived precisely because of immigration; first, from the original colonists and second, from the wave of people who came here mainly during the late 1800s and early 1900s.

You are here because of an immigrant who believed in America. For the Tea Party to be closed-minded and protectionist on the issue of immigration flies in the face of the original Tea Partiers who inspired them.

IRS Purported to Have Lost Two Years of Lerner Emails

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From Committee on Ways and Means Chairman, Dave Camp:

“Due to a supposed computer crash, the agency only has Lerner emails to and from other IRS employees during this time frame. The IRS claims it cannot produce emails written only to or from Lerner and outside agencies or groups, such as the White House, Treasury, Department of Justice, FEC, or Democrat offices”.

This revelation comes a year after the IRS scandal broke. Commissioner Koskinen stated that he would turn over all documents pertaining to Lois Lerner. The time frame of the lost documents cover January 2009 – April 2011, a critical time relating to the scandal.

But wait. National Review Online reported just a few days ago that in October 2010, (squarely during the time frame of the lost emails),

“[the IRS] sent a database on 501(c)(4) social-welfare groups containing confidential taxpayer information to the Federal Bureau of Investigation, according to documents obtained by a House panel. The information was transmitted in advance of former IRS official Lois Lerner’s meeting the same month with Justice Department officials about the possibility of using campaign-finance laws to prosecute certain nonprofit groups. E-mails between Lerner and Richard Pilger, the director of the Justice Department’s election-crimes branch, obtained through a subpoena to Attorney General Eric Holder, show Lerner asking about the format in which the FBI preferred the data to be sent”.

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Emails. Between Lerner and an outside agency. In 2010.

Additionally, last month, Katie Pavlich reported that, “According to new IRS emails obtained through a Freedom of Information Act request from Judicial Watch, former head of tax exempt groups at the IRS Lois Lerner was in contact with the Department of Justice in May 2013 about whether tax exempt groups could be criminally prosecuted for “lying” about political activity”.

So we know Lerner communicated with an outside agency in 2013. Here’s another one in 2012:

It also came to light in April that “House Oversight Committee show staff working for Democratic Ranking Member Elijah Cummings communicated with the IRS multiple times between 2012 and 2013 about voter fraud prevention group True the Vote. True the Vote was targeted by the IRS after applying for tax exempt status more than two years ago. Further, information shows the IRS and Cummings’ staff asked for nearly identical information from True the Vote President Catherine Engelbrecht about her organization, indicating coordination and improper sharing of confidential taxpayer information”.

But we don’t know anything about 2009 – 2011. Except at some point, emails did exist. WHOOPS!

Flashback: Remember the TIGTA report? You can read the entire Treasury Inspector General for Tax Administration, (TIGTA) timeline report here. Incredibly, this report, released in May 2013, names “email” as the source for much of their timeline documenting events in 2010 and 2011, but possibly now, those emails are “lost”. 16 out of the 26 non-redacted events in that timeline refer to “email” as the source. Take a look. And, what was redacted? We don’t know.

Again, the IRS claims it only “has Lerner emails to and from other IRS employees during this time frame…it cannot produce emails written only to or from Lerner and outside agencies or groups, such as the White House, Treasury, Department of Justice, FEC, or Democrat offices.” The ability for an inbox to lose certain emails during the time frame — but not others — is incredible.

David Camp hits the nail on the head when he notes that, “because of this loss of documents, we are conveniently left to believe that Lois Lerner acted alone”.

See how it works? Since the IRS cannot produce any hardcopy evidence of corroboration, the Obama Administration and its agencies are conveniently spared.

Quickly Noted: IRS Sent Taxpayer Info to the FBI

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From National Review Online:

“The Internal Revenue Service may have been caught violating federal tax law: In October 2010, the agency sent a database on 501(c)(4) social-welfare groups containing confidential taxpayer information to the Federal Bureau of Investigation, according to documents obtained by a House panel.

The information was transmitted in advance of former IRS official Lois Lerner’s meeting the same month with Justice Department officials about the possibility of using campaign-finance laws to prosecute certain nonprofit groups. E-mails between Lerner and Richard Pilger, the director of the Justice Department’s election-crimes branch, obtained through a subpoena to Attorney General Eric Holder, show Lerner asking about the format in which the FBI preferred the data to be sent”.

More evidence that the 2013 IRS scandal targeting 501c4s is worse than we thought. Read the whole article here:

New Executive Action on Student Loans

studentloan$Obama issued an Executive Order today that brought extra relief to some student loan borrowers. A 2010 law allowed for repayment caps at 10% of a borrower’s income, though some loan holders were ineligible. This Executive Order expanded those who could qualify for the income repayment plan.

From the NYT: “Mr. Obama’s main action will be to expand on a 2010 law that capped borrowers’ repayments at 10 percent of their monthly income. The intent is to extend such relief to an estimated five million people with older loans who are currently ineligible — those who got loans before October 2007 or stopped borrowing by October 2011. But the relief would not be available until December 2015, officials said, given the time needed for the Education Department to propose and put new regulations into effect”.

Though this Executive Order — and its 2010 law counterpart — may sound well and good, financially it is a disaster. The 10% income repayment does not help any young person get off on a solid financial footing. Likewise, because some sectors allow for loan forgiveness after a period of time, that amount gets written off by the federal government, thereby substantially adding to the federal debt.

For example, if someone borrows $30,000 a year for 4 years for a degree, that is $120,000 of student loan debt. The debt carries an interest rate of at least 6%. The Obama repayment plans offer an option that allows borrowers to pay 10% (it used to be 15%) of what they earn, and if not fully paid back by the end of ten years, any balance is forgiven.. So for instance, if a new graduate lands a job that pays a generous $50,000/year, he/she would pay back $5,000/year. With interest of at least $7,200 ($120,000 x 6%) which likely does not even cover the interest on the original $120,000 loan.

There is almost no way a borrower can begin to pay back anything on their loan, and by the time they actually can make a dent, the additional interest accrued would have ballooned the total loan amount to at least $150,000. This is financially crippling for a young person.

The costs for the 10% repayment program since its implementation have ballooned from $1.7 billion in 2010 to $3.5 billion in 2013 to an estimated $7.6 billion for 2014.

This Executive Order seems to be a precursor to a bill being pushed by Senator Elizabeth Warren, which Obama has said to endorse. It “would allow borrowers to potentially save thousands of dollars by giving them a chance to effectively pay off their high-rate existing loans in exchange for new loans that carry substantially lower interest rates”.

How would this program be paid for? A new tax or increased taxes on the wealthy, of course.

The real impact of this higher education reform is that the government is now encouraging people to borrow substantially for their education, while simultaneously providing an avenue for students to avoid paying back much of their funds — leaving the taxpayer on the hook, a deficit in freefall, a tax increase for targeted high income earners, and an economy in stagnation.

Unemployment Stays Flat, Both Short and Long Term

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From the Bureau of Labor Statistics (BLS):

Total nonfarm payroll employment rose by 217,000 in May, and the unemployment rate was unchanged at 6.3 percent, the U.S. Bureau of Labor Statistics reported today. Employment increased in professional and business services, health care and social assistance, food services and drinking places, and transportation and warehousing.

Household Survey Data

The unemployment rate held at 6.3 percent in May, following a decline of 0.4 percentage point in April. The number of unemployed persons was unchanged in May at 9.8 million. Over the year, the unemployment rate and the number of unemployed persons declined by 1.2 percentage points and 1.9 million, respectively.

Among the major worker groups, the unemployment rates for adult men (5.9 percent), adult women (5.7 percent), teenagers (19.2 percent), whites (5.4 percent), blacks (11.5 percent), and Hispanics (7.7 percent) showed little or no change in May. The jobless rate for Asians was 5.3 percent (not seasonally adjusted), little changed from a year earlier.

Among the unemployed, the number of job losers and persons who completed temporary jobs declined by 218,000 in May. The number of unemployed reentrants increased by 237,000 over the month, partially offsetting a large decrease in April. (Reentrants are persons who previously worked but were not in the labor force prior to beginning their current job search.)

The number of long-term unemployed (those jobless for 27 weeks or more) was essentially unchanged at 3.4 million in May. These individuals accounted for 34.6 percent of the unemployed. Over the past 12 months, the number of long-term unemployed has declined by 979,000.

The civilian labor force participation rate was unchanged in May, at 62.8 percent. The participation rate has shown no clear trend since this past October but is down by 0.6 percentage point over the year. The employment-population ratio, at 58.9 percent, was also unchanged in May and has changed little over the year.

The number of persons employed part time for economic reasons (sometimes referred to as involuntary part-time workers), at 7.3 million, changed little in May. These individuals were working part time because their hours had been cut back or because they were unable to find a full-time job.

In May, 2.1 million persons were marginally attached to the labor force, essentially unchanged from a year earlier. (The data are not seasonally adjusted.) These individuals were not in the labor force, wanted and were available for work, and had looked for a job sometime in the prior 12 months. They were not counted as unemployed because they had not searched for work in the 4 weeks preceding the survey.

Among the marginally attached, there were 697,000 discouraged workers in May, little different from a year earlier. (The data are not seasonally adjusted.) Discouraged workers are persons not currently looking for work because they believe no jobs are available for them. The remaining 1.4 million persons marginally attached to the labor force in May had not searched for work for reasons such as school attendance or family responsibilities.