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Kucinich to Investigate Fannie/Freddie Bailout

A statement from Dennis Kucinich following an announcement from White House regarding the bailout of Fannie and Freddie in a Christmas Eve news dump.

“As Chairman of the Domestic Policy Subcommittee of the Committee on Oversight and Government Reform, I’m announcing that the Subcommittee will launch an investigation into the Treasury Department’s recent decision to lift the current $400-billion cap on combined federal assistance to Fannie Mae and Freddie Mac, opening the way for additional, unlimited funds through the end of 2012. This investigation will include the role played by Fannie Mae chief executive Michael J. Williams and Freddie Mac chief executive Charles E. Haldeman in the decision, if any, and will seek to ensure that the additional assistance is used for homeowners and not Wall Street.”

"Many questions remain unanswered regarding this move by the Treasury. Why suddenly remove the cap? Indications are that Freddie and Fannie, even as millions of Americans lose their homes, have used just $111 billion of the $400 billion previously available to them. Is lifting the cap on assistance a back-door TARP?”

“Additionally, I want to determine whether Fannie and Freddie have a cohesive plan to buy up the under-performing mortgages that remain on the books of the big banks, at appropriate prices, and undertake a massive reworking of the terms of the mortgages so as to stem the foreclosure crisis that continues to plague our country. This new authority must be used responsibly and for the benefit of American families. This cannot be used simply to purchase toxic assets at inflated prices, thus transferring the losses to the U. S. taxpayers and acting as a back-door TARP.”
On Christmas Eve, they also announced $4-$6 million compensation packages for their top executives. But they’ll start foreclosing on homeowners again in January.

Fannie and Freddie have been corrupt cesspools for years, a place where presidents of both parties parked friends like Dennis DeConcini and Rahm Emanuel, giving them lucrative spots on the board of directors as political payoff. As government sponsored entities (GSEs) selling shares to the public, they operate like hedge funds that socialize losses and privatize profits. From the LA Times last year:

"This week ... news broke that until August, the lobbying firm owned by McCain campaign manager Rick Davis was paid $15,000 a month by Freddie Mac, one of the mortgage giants implicated in the current crisis (now taken over by the government and under investigation by the FBI). Apparently, Freddie Mac’s plan was to gain influence with McCain’s campaign in hopes that he would help shield it from pesky government regulations.”
It appears they kept looking. The Democrats have been too intimidated by leadership to start looking into the utter corruption at these entities, but Kucinich just doesn’t care.

Keep up with Dennis Kucinch by visiting his website: http://www.kucinich.us/ Watch Congressman Kucinich Speakout on Afghanistan, Jobs, and Constitution.

Why celebrate Constitution Day

On September 17, 1787, forty-two of the 55 delegates to the Constitutional Convention held their final meeting. Only one item of business occupied the agenda that day, to sign the Constitution of the United States of America.
Since May 25, 1787, the 55 delegates had gathered almost daily in the State House (Independence Hall) in Philadelphia to revise the Articles of Confederation. By the middle of June,

it became apparent to the delegates that to merely amend the Articles of Confederation would not be sufficient. Instead, they would write an entirely new document designed to clearly define and separate the powers of the central government, the powers of the states, the rights of the people and how the representatives of the people should be elected.
After being signed in September of 1787, Congress sent printed copies of the Constitution to the state legislatures for ratification. In the months that followed, James Madison, Alexander Hamilton and John Jay would write the Federalist Papers in support, while Patrick Henry, Elbridge Gerry, and George Mason would organize the opposition to the new Constitution. By June 21, 1788, nine states had approved the Constitution, finally forming “a more perfect Union.”
No matter how much we argue about the details of its meaning today, in the opinion of many, the Constitution signed in Philadelphia on September 17, 1787 represents the greatest expression of statesmanship and compromise ever written. In just four hand-written pages, the Constitution gives us no less than the owners’ manual to the greatest form of government the world has ever known

Progressive Caucus “Solidarity Summit”

On Saturday, June 27, members of the Progressive Caucus for the California Democratic Party will gather in San Luis Obispo for a “Solidarity Summit.” This will be the first gathering of the caucus since the Convention at which the election of the new board members took place. Karen Bernal was elected as Chair; her first act is to bring all officers and members together before the E-Board meeting in July.
All progressive Democrats who are interested in joining the Caucus are also invited to attend. The gathering will take place in the Ludwick Community Center located at 864 Santa Rosa St in San Luis Obispo from 1:00 to 6:00 p.m.  An evening program/speaker may be announced.

When asked about the summit agenda, Bernal said, “From this gathering and others, the Progressive Caucus hopes to strengthen solidarity on the issues most important to us. There is much to discuss and work on together – from reviewing our Platform, to setting Caucus priorities, to nuts and bolts organizing – and that’s just a start. We all need to be on the same page from here on out, if we are going to be an effective mechanism for positive change within the Party. Please mark your calendars and plan to join us – we need you!”

Locally, Sandra Marshall, the meeting coordinator for the Progressive Democrats of San Luis Obispo County, is hoping this will ignite the local group. “We’ve had a hard time re-uniting since the election.  People are busy and unclear as how to be effective. The board members of the Progressive Caucus are some of the powerful influences in the course of the party. I hope that locals will come out and get involved. This is a chance to see real democracy in action and learn from the best because we can be the change that is needed in our county.”
For more information, San Luis Obispo Progressive Democrats can call 544-5135 or visit the website of the Progressive Caucus:  www.progressivecaucuscdp.org.

CDC Training in Grover Beach
On the following day, Sunday, June 28, the California Democratic Council (CDC) will hold its training for area grassroots activists from 8:00am-7:00pm at the Grover Beach Community Center, 1230 Trouville Ave., Grover Beach. The workshop is Free. Lunch and refreshments will be provided (requested donation of $10.00 will help cover food and materials). This is an excellent, comprehensive program. This intense training consists of a variety of workshops for club/party leaders and political activists who want to advance their leadership roles in the Democratic Party or are just getting started! Areas to be covered include: The California Democratic Party Structure, How to Run a Meeting, Club Finances, How to Stay Out of Jail, Fundraising Fundamentals and Guidelines, Fundraising Ideas & Projects, Increasing and Keeping Your Membership, Recruiting Candidates for Local Office, Technology and Clubs and The Progressive Challenge.

Seating is limited, so please RSVP by June 25, 2009. To regiser: http://www.cdc-ca.org/Training/.  DO NOT RSVP unless you can stay the entire day! Our speakers have committed their time for this workshop and travel from around the state. This is a long day of intense training, but to ensure future training, we would like you to respect our speaker’s time investment!

Rooting for Rush

RushI’m pulling for Rush. When I saw Rush speak at the CPAC a couple of weeks ago, the whole scene triggered what I can only describe as a political epiphany for me. Think about it. There was Rush looking like Tony Soprano, black silk shirt opened at the chest; black silk sport coat; gold chains and all. As I watched Rush demagogue his way through an angry political manifesto tailored for that easily excitable crowd, I saw the possibility of a new political party emerging in America. More importantly, I saw a way for the GOP to save itself from that Rush image that is like a ball and chain around their neck. 

I believe RNC chairman Michael Steele saw the same thing before he began growing feathers around his legs. Steele saw the potential for a clean break from the fringe that is driving the GOP to a place of political and social irrelevance. Steele should urge Rush to launch a break away party.

The analysis on Rush is easy. Historically, he has had zero impact on the outcome of elections. Everyday during the 2008 presidential primaries, he attacked John McCain and predicted McCain would never win in the primaries. All the anti-McCain hate talk Rush could dish out had no effect on the outcome. Next, Rush tried to show that he had political muscle by calling Barack Obama a communist and a Kenyan illegal immigrant. Rush was certain that his vast political influence would end Obama’s presidential hopes. But the truth is Limbaugh’s political influence is not vast at all.

Obama won by a landslide and made the GOP look like a flailing regional political party. 

Let’s buy the spin and assume that 13 million people at some time during a week listen to Rush’s rants. If every one of those listeners does exactly what Rush begs them to do, as they march off the cliff they will have zero impact on elections. In the last presidential election 125 million people voted and the Democrats, whom Rush vilifies daily, pulled off sweeping victories all over America. Rush has an approval rating with the general public that is even more dismal than the one W left behind when he left office. Gallup puts Raging Rush’s favorables at around 28%; an entire generation of young voters tuned Rush out years ago. Instead, they tune into places like John Stewart’s Daily Show or the Colbert Report to follow politics. Those are places where viewers are not laughing with Rush. They are laughing at Rush. Timing is everything, and now is the time for Steele to urge Rush to launch his very own new political party. The GOP deserves better than Limbaugh. There should never be a day when the name Limbaugh will be spoken in the same breath as Lincoln or Reagan. 

History has shown us that the fringe of both major political parties have predictably emerged as new American political organizations. Unhappy extremists who were out of touch with mainstream gave birth to the Constitution Party, the American Fascists Party, and the Freedom Party. Mr. Limbaugh, I hear opportunity knocking, and the GOP desperately needs you to open that door.

Mike Papantonio "Pap" is one of the most prominent trial attorneys in the country. He is also the cohost of Ring of Fire on Air America Radio, along with Robert F. Kennedy Jr. Locally Ring of Fire airs on KYNS 1340AM in San Luis Obispo County. Hear this segment and more Pap Attacks or the entire show at www.ringoffireradio.com or www.Goleft.tv.