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ACORNs own strategic consultant "outs" them with what really happens - and other news

ACORNs own strategic consultant "outs" them with what really happens - and other news

I started taking notes on the news in the morning from Fox. Here are the CliffsNotes version of Monday morning's two hours of America's Newsroom in the order the stories were reported. This is not a transcript, it's just shorthand notes taken -- some verbatim quotes, some summarizing, simply to inform you of what's happening. Sorry I don't have time to make it pretty or super clear, but I think you'll be able to figure it out.

5/11/09 America's Newsroom Notes
MK – Megyn Kelly, Hemm = Bill Hemmer WH = White House

1. Tax revenues down 30%. Stu Varney - 260B into the coffers versus 400B last year (140B total loss) Plus in April, government shelled out an extra 38B. Deficit this year was forecast in January at 1.8T but more like 2T. You'd expect trimming in government – not so – instead quietly announced plans for big tax increases. Extra 200B from big business (learned last week). Over the weekend another 60B to come from estates and corporations. So no real trimming of spending. Just a quiet announcement of big tax increases. This shortfall in revenues was a lot bigger than expected. Jan 15 it was down 15%, April it was down 30%. (Updated #s, see #6 below)

2. Health Care Reform - Insurers, hospitals, doctors and drug makers are pledging to create 2T in savings over the next decade. How? They're trying to show they can cut their own costs. They don't want the white house health care plan crammed down their throats.

3. ACORN – NV and PA criminal charges for fraud. 14 states total. Anita Moncrief (AM), former Acorn employee (black, liberal, strategic consultant for Acorn, grad of Univ of Alabama). She said Acorn goes after its own members. Uses the poor and marginalized communities to build their coffers by causing chaos in the voter registration offices and to drive people out to the polls by saying the GOP is trying to take away their rights and trying to keep black ppl from voting. Acorn gets 28 to 30 million a year in their voter registration drives. Then the government gives them $.

MK – Do you believe there were quotas for employees that led to fraud?
AM – Yes, definitely since at least the 2004 election cycle. Training manuals say if they don't get 20 cards to fire them before the next shift so they don't waste $ paying them.
MK – Scott Levinson, the national spokesman for Acorn denies this quota exists.
AM – That's an "outright lie"
MK – What are they after?
AM – Power, not powerful communities, a powerful organization. Lobby for Acorn to get $.
MK – It's supposed to be nonpartisan.
AM – Umbrella organizations under Acorn are nonprofits. So the "nonpartisan" entities get the government $. 501C3 are nonpartisan. 501C4 are allowed to do certain aspects of political activity. C3 affiliates are Project Vote and Acorn Institute and are C3s (nonpartisan). So they solicit the $ from the C3s and Acorn uses the $ to run their partisan agenda which is always Democrat. Acorn is a C4 and uses other entities (C3) to funnel $ into Acorn.
MK – It is said that NY Times is actively working to cover up bad press that's come out on Acorn.
AM – That's true. I worked with reporter Stephanie Strom for several months in 2008. AM felt she watered down the article regarding the Acorn embezzlement scandal. Also a story that Acorn got their donor list from the Obama campaign, from DNC, Kerry and Clinton campaigns. They were operating as an unofficial arm of the Democratic party and the NY Times didn't want the truth out. Strom was on her way to get evidence in DC and her editors told her to stand down. AM feels everyone at the top level needs to be removed. The offices do good work, but the natl level has become corrupt and almost like a cancer on American Society.

4. Michael McCaul (R TX) is a ranking member of the Homeland Security Comm. We need $ to fund incarceration of illegal immigrants picked up on criminal charges. OAdmin announced it wants to cut 400M from that budget, so millions of illegal criminals could be back on street.

5. Dick Morris – OAdmin intervening in unions. Calif asked to cut wages of workers and tax everyone higher to offset deficit, but SEIU (service workers' union) told the WH and BHO threatened to remove 6.8B in stimulus $ to Calif, said "restore union pay or lose 6B. Chrysler bankruptcy has nothing to do with saving the car company or jobs of workers, it is it save the union who the workers pay dues to. There are 408K ppl well paid who work for non union car companies who could take those jobs. Car czar Ratner involved in pay to play with Richardson of New Mex. Richardson had 1.7B fund to fix highway and needed help underwriting, so gave Ratner's firm a contract for one tenth of 1% of the total amount. Ratner gave him a campaign contribution of 20K. Also Ratner and team he put together implicated in NY scandal where the controller was forced out. Unions are BHO's core constituents. BHO is not saving jobs, he's saving unions. He comes from Illinois and Michigan is a key element.

6. Hemmer – Breaking news, #s higher than 45 minutes ago (#1 story above). Prez says revised figures show deepening crises. Government borrows .50 cents for every 1$ this year. Deficit for current year will rise by 89B. We thought 1.7T, now it's 1.8T – 4X record set a year ago. WH sees no job growth until 2010.
Stu Varney – higher interest rates to bring in lenders. We are going to borrow on average 160B every month from here on out.

7. MK – 17B "cuts" enrages Dems (their pork may be cut).

8. SEIU/BHO threatens to take almost 7B from Calif because Calif cut 74M on local level. Brian Bilray R Calif says they are not helping, it is about power, control, political payback to union supporters. Governors, legislators are pupils of central government and expendable. Things will be dictated from capital. There is no one who's lived in DC who wants their home town run the way DC is.
 
Dang girl you have been busy! Thanks for taking the time to post

Copy off rcp
Ominous Parallels: Is Obama the Next Bush?
By Bill Frezza
For the span of the next 800 words, can you step back from your tribal affiliations and look at the world not through the eyes of a rabid Republican or Democrat but with due awareness of the unintended consequences that often bedevil massive Federal initiatives? Consider, then, the worrying similarities between our current and past president as well as what happened when our last president overreached in his zeal to resolve the crisis that came to define his presidency.

First, can you accept the nonpartisan consensus that both George Bush and Barack Obama love their country? They express this love in different ways but denying them the common ground of patriotism actually says more about you than about them.


Despite many obvious differences, these two presidents bear striking similarities. Both are expansive in their willingness to use executive power to tackle existential crises – one a security crisis and the other an economic crisis. Both have a bias for action sustained by an unshakeable belief in their righteousness. Both launched ambitious and unprecedented national programs that initially enjoyed broad popular support. And both govern as if the ends justify the means, giving short shrift to legal and constitutional niceties that might tie their hands.

George Bush surrounded himself with draft-dodging neocons who believed they possessed special knowledge about foreign policy, brooking no debate. Barack Obama has surrounded himself with tax-dodging Wall Street bankers who believe they have special knowledge about economic policy, brooking no debate.

George Bush launched trillion dollar wars in Iraq and Afghanistan hoping to “make the world safe for democracy.” In the process he embroiled the country in a morass with no clear exit strategy. Barack Obama launched trillion dollar government takeovers in the banking, insurance, and automobile industries hoping to “correct the flaws in capitalism.” As he wades deeper into this morass, have you heard him articulate a compelling exit strategy?

Both of these men went “all in” with the nation’s checkbook asking for “sacrifice” from the citizenry, promising a better future. It would be interesting to see how Vegas odds makers compare the two bets. Which will happen first – Iraq becomes a stable democracy with a murder rate lower than Washington DC’s or Chrysler becomes a profitable car company and pays back its federal loans?

Yes, George Bush abandoned all pretense of fiscal discipline allowing his party to spend wildly not just on his wars but on a raft of programs logrolled through Congress. Barack Obama makes a pretense of fiscal discipline as his party spends wildly, not just on his stimulus and rescue packages but on a raft of programs being shoved through Congress by an unrestrained majority.

Bush’s lawyers concocted rationales allowing him to trample the Constitution in his pursuit of the “war on terror.” Congress gave him a free pass, too busy peddling earmarks to look after their constitutional responsibilities. Obama’s lawyers have quietly followed suit, allowing him to trample the constitution in pursuit of “creating or saving jobs.” Congress is giving him a free pass, still too busy peddling earmarks to look after their constitutional responsibilities.

Oddly enough, Bush’s last act as president was to pave the way for Obama’s dive into the banking, insurance, and automobile businesses, making a mockery of the Republican Party’s free market rhetoric. And Obama’s first act as president was to beef up the war in Afghanistan and extend the lease at Guantanamo, making a mockery of the Democratic Party’s anti-war rhetoric.

What kind of willful partisan blindness does it take to deny the common pattern in these two presidencies? The only thing we haven’t seen yet is the collapse of Obama’s popular support. But just wait a few years. With the threat of Carter stagflation looming and voter patience wearing thin for never-ending bailouts, there is plenty of time for the chickens to come home to roost before Obama’s term is up.

Short of total war aimed at the annihilation and unconditional surrender of an enemy nation-state, national problems rarely lend themselves to monolithic solutions hastily promulgated by imperial presidents. The unintended consequences of throwing unlimited resources at intractable problems often become more threatening than the original problems. Just look at the growing army of radical Islamicists waving their fists at Uncle Sam or the swelling ranks of zombie corporations waving their begging bowls.

Yes, the pendulum often swings from one party to the other as voters recoil from the most recent abuses of power. But instead of bouncing back and forth between the lesser of two evils, suppose we all picked up and read a copy of the Constitution? It might remind us that our federal government was not designed to engage in nation building in foreign lands any more than it was empowered to run mortgage banks, insurance companies, or auto manufacturers. Limiting the damage our political leaders can inflict on the country even while acknowledging their best intentions is not a partisan issue. It’s what makes us uniquely American.



Bill Frezza is a partner at Adams Capital Management, an early-stage venture capital firm. He can be reached at bill@vereverus.com. If you would like to subscribe to his weekly column, drop a note to publisher@vereverus.com.

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