Clouds Loom Over SunRail Commuter Train in Florida

It is amazing what some politicians will do in the middle of a financial crisis. One congressman from Florida has taken it upon himself to make it just a bit worse. According to The New York Times, Representative John L. Mica (R-Fla.) has been working quite diligently on the SunRail “a 61-mile commuter rail project that the federal government ranks as one of the least cost-effective mass transit efforts in the nation.” With spending $1.2 billion in taxpayer’s money on the project one would hope that, at the very least, there would be projections of heavy ridership. Unfortunately, the rail line is only projected to serve roughly 2,150 commuters per day when operations begin in 2014. It appears that Rep. Mica is planning to use federal and state tax dollars to pick up the tap for a billion dollar project that only a couple thousand people will use.

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“Wel-Fair”: Taxpayers Pay $1.4 million to Subsidize the Wyoming State Fair

This week, the 99th annual Wyoming State Fair hosted a swine show, a performance pork contest and even a “pig ‘n mud” wrestling championship. But the biggest porker of all? The fair itself. The fair has become a pricey pork barrel project that uses Wyoming state tax dollars to subsidize more than three-quarters of the cost of operating the event each year. In fact, state lawmakers snatched more than $1.4 million from taxpayers to bankroll this year’s fair, which ends its eight-day run on Saturday. If the attendance figures hold steady this year, every time someone pays the fair’s $3 admission fee, taxpayers will spend $32.29 to subsidize the rest of the cost of the attendees’ visit to the fair.

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FCC Should Rethink Cross Ownership Ban

Today (August 16) the Taxpayers Protection Alliance filed official comments with the Federal Communications Commission urging them to recognize that the Section 652 cross-ownership ban should not apply to cable operators and competitive local exchange carriers (CLECS). As part of the Telecommunications Act of 1996, Section 652 was intended to prevent incumbent LECs, which owned the telephone lines, and traditional cable operators, which owned the cable lines—from merging and thereby controlling the only two wires to a customer’s premises. There is no indication that Congress intended to restrict transactions between cable operators and the CLECS, especially when the CLEC does not own residential last-mile facilities. Stronger competition among providers of telephone services will lead to lower prices, better service quality, and increased innovation.

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Super Committee is a Super Bad Idea – Prepare for More Gridlock

As part of the deal to raise the debt ceiling, members of Congress and the President agreed on initial spending cuts of $1 trillion. The bill also requires the formation of a super committee that would have to find an additional $1.5 trillion in deficit reduction (if no agreement is made then there would be across-the-board cuts). Please note that I didn’t say spending cuts with the super committee because a tax increase could be considered as part of deficit reduction. And, FYI, the Taxpayers Protection Alliance (TPA) is opposed to any tax increase. First, the super committee is the coward’s way to deficit reduction with 523 members of Congress abdicating their responsibility to 12 members of Congress. Besides the cowardice of even creating the super committee, there are a number of concerns that TPA has with the super committee: the constitutionality of the committee, the ability to raise taxes and whether or not there will be any transparency so taxpayers can see what is taking place behind closed doors.

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Stimulus Dollars Snapped Up to Fund Teen Alligator Wrestlers

I realize that pointing out a ridiculous stimulus expenditure is so 2009. Still, I can’t help but mention a small project that never seemed to make the news. You, as an American taxpayer, paid for a teenage kid to wrestle alligators. No kidding. The Miccosukee Corporation, the business arm of the Miccosukee Indian Tribe, pocketed a $20,785 stimulus handout to subsidize a summer youth employment program. The program hired five kids to perform jobs including cashier, handyman, and alligator wrestler at the Tribe’s Miccosukee Indian Village.

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Washington Plays Familiar Blame Game in Wake of Credit Downgrade

By now, most people inside and outside the beltway have heard that Standard and Poors (S&P) has downgraded the United States’ credit rating. In short, it means that, according to S&P, investing in the United States is riskier today than it has ever been. Like any good crisis, both sides of the political aisle are blaming the other side for the downgrade. Republicans have called for the resignation of Secretary Treasurer Tim Geithner and Democrats have blamed the Tea Party for the downgrade with the Vice President of the United of the States agreeing with a characterization that the Tea Party acts like terrorists.

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Congress Goes on Vacation As Taxpayers Continue to Work to Pay the Country’s Bills

Congress left for recess on August 2, immediately after they raised the debt ceiling and promised to cut spending. With a month long vacation (they call it district time) and plenty of time on their hands, the Taxpayers Protection Alliance (TPA) wants to know if you see your member of Congress at an official town hall meeting or at the local grocery store. What is remarkable about their month-long absence is that they will have one month of “district time” and that they make $174,000 per year. With very generous benefits such as retirement, pension and health coverage, their total compensation is roughly $285,000 per year (read the report here). If you do run into your member of Congress we have a few questions you might want to ask.

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The Good, the Bad, and the Ugly

Congress is preparing to vote on a new deal to raise the debt ceiling. The deal was negotiated over the weekend after intense negotiations between the White House and the leaders of the House and Senate. The deal would raise the debt ceiling by $2.4 trillion (which would be enough to last through the 2012 elections) and require immediate spending cuts. The first round of cuts would total $1 trillion over ten years. The second tranche would involve a “super committee” of 12 members of Congress and involve an additional $1.2 trillion to $1.5 trillion. The weakest part of the deal is that there is no requirement that a Balanced Budget Amendment (BBA) be passed. The Taxpayers Protection Alliance (TPA) does not believe there are enough provisions to protect the taxpayer and urges the House and Senate to vote “NO” on the deal.

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Time to Reform the Universal Service Fund

The Federal Communications Commission (FCC) created the Universal Service Fund (USF) in 1996 to “promote the availability of quality services at just, reasonable and affordable rates for all consumers; increase nationwide access to advanced telecommunications services; advance the availability of such services to all consumers, including those in low income, rural, insular and high cost areas at rates that are reasonably comparable to those charged in urban areas; increase access to telecommunications and advanced services in schools, libraries and rural health care facilities; and provide equitable and non-discriminatory contributions from all providers of telecommunications services to the fund supporting universal service programs.” In essence, USF was designed to provide subsidies to build the infrastructure and provide telephone service to high cost areas. Over the years the USF has taxed cell and land line phone service to provide these services. But, what most people don’t know is that USF has also been stockpiling this money, more than $4 billion.

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Are Taxpayers Getting Their Money’s Worth? New Report Exposes the True Cost of Congressional Compensation

If the debate leading up to the debt ceiling deadline has told taxpayers anything, it is that Congress likes to wait until the last minute to do anything and they act like martyrs when they cancel part of their summer vacation. The American public is not being fooled. In a national Rasmussen Reports telephone survey, only 8 percent of likely U.S. voters think Congress is doing a good or excellent job. Fifty-two percent rate Congress' performance as poor. To make matters worse, the same group of elected officials who have trouble coming to a consensus to save the country from economic Armageddon make a healthy living at taxpayers’ expense. A new report by the Taxpayers Protection Alliance and Our Generation details the generous compensation for members of Congress, who receive a salary of $174,000 per year, as well as generous fringe benefits that boost their total compensation to $285,000 per year (read full report here).

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