Have you read the Emergency Economic Stabilization Act of 2008, EESA, yet? If you haven’t, then you need to do it and do it now. And while you are at it, make sure to call your representatives and senators and let them know your opinion which for me is against this bill. My representative Virginia Brown-Waite is still undecided as of this morning and hopefully enough of us constituents get her to vote against it. This bill is marrying us to the devil and as they say “the devil is in the details”. So what are they not telling us about this bill? There must be enough toxicity that the Democrats don’t want to take the total hit on this.
The first section I want to shine light on is Section 103 and the subsections there number 7 and 8 and they are as follows:
“(7) the need to ensure stability for United States public instrumentalities, such as counties and cities, that may have suffered significant increased costs or losses in the current market turmoil; (8) protecting the retirement security of Americans by purchasing troubled assets held by or on behalf of an eligible retirement plan described in clause (iii), (iv), (v), (vi) of section 402 (c)(8)(B) of the Internal Revenue Code of 1986, except that such authority shall not extend to any compensation arrangements subject to section 409A of such code;”
What does this mean? We’re not just bailing out rich Wall Street fatcats and overextended irresponsible homeowners, but also bailing out towns, cities, states and unions. Part (8) will eventually lead to absorbtion of union pension funds.
Next there is Section 109 “Residential Mortgage Loan Servicing Standards subsection (a): …the Secretary shall implement a plan that seeks to maximize assistance for homeowners and use the authority of the Secretary to encourage the services of underlying mortgages, considering net present value to the taxpayer, to take advantage of the HOPE for Homeowners Program under section 257 of the National Housing Act or other available programs to minimize foreclosures.”
I emphasized the word “shall” because in several other places, including this section, the words “may use” are used instead of shall. Shall means that the Secretary must. Regardless of effects, the Secretary must re-finance these bad loans or homes in foreclosure at current values and at a lesser rate. There is no option of just lowering interest rate and keeping loan at same amount. Who makes up for those losses between what house was financed at and current rate? All loans are on assets that have a lowered value because housing values across America have fallen. There is no exception for who can come forward and seek this help other than that the foreclosure must not have been gone into on pupose. This gives the government too much authority.
The most unbelievable section to me is Section 122 which states, “Subsection (b) of section 3101 of title 31, Unites States Code, is amended by striking out the dollar limitation contained in such subsection and inserting “$11,315,000,000,000.” This means they will raise the public debt ceiling from $10 trillion to over $11 trillion. They are creating a policy of just raising the limit to where the country can go with national debt. Hell, why have a ceiling at all if you can just change it willy nilly? Our current national debt is way over $9 trillion and almost approaching $ 10 trillion. Is that part of this bill’s reason for being created, the government was feeling the pinch of a quickly approaching ceiling?
Finally Section 135 makes me uncomfortable because it clarifies that nothing in the Act limits the authority of the Secretary or Federal Reserve under any other provision of law. Personally, I believe the Federal Reserve needs no authority, it needs to be dissolved. Both the Fed and the Secretary were testifying all last week about something they allowed to happen and that they have contributed to.
Ron Paul was on the radio with Glenn Beck this morning and giving some information on what is going on behind the scenes. He doesn’t know how this Act possibly has the votes it needs to pass because he is hearing from both Democrats and Republicans that they are not for this bill. Paul also said, “We spent too much, borrowed too much and inflated the dollar too much…This prolongs the agony…We will have run away inflation.” Glenn Beck said that he had heard from congressional members that the days of spending are over because there is absolutely no more money. So much for Barack Obama’s plans.
I haven’t caught all the problems in this bill. I’m just your typical woman on the street. But I see a nationalization of our banking systems and our economy. I watch as Europe, particularly Britain, is now nationalizing their banks. We appear to be moving to a global economy and banking system. China has already called for a single currency. Our government has spent money and is spending money with no regard for any limits. They are pushing forward this bill quickly telling us the sky will fall tomorrow if they don’t do this fast. What they don’t tell you is that they really would like this done before Rosh Hashanah tomorrow, that they need to hit the campaign trail and finally (this is really mind blowing) the Hedge funds have to report tomorrow. We are being manipulated. Forbes Magazine reporting on where this $700 billion number came from got the following quote from a Treasury spokeswoman, “[The number] is not based on a particular data point, we just wanted to choose a really large number.” Get involved and help save your country!
And message to John McCain and Barack Obama: You better have your asses in Washington to vote on this thing or neither of you has the leadership required to lead this country and will be considered Chicken Hawk and Chicken Little to me from now on, emphasis on chicken!
UPDATE: My representative just spoke on the House floor against the bill and highlighted the fact that Section 112 gives the Secretary power to use taxpayers money to bail out foreign banks. Bravo Ginny!