It really is that simple.  Right now President Obama and Senate Democrats plan to fix the environment via cap and trade (C&T).  Well, C&T is not nearly as “honorable” as the left makes it out to be.

The economic crises we are now experiencing is largely due to the irresponsible use of mortgage-backed securities.  These securities were in fact highly regulated and we know how well the hokey pokey between Wall Street and Washington worked out.

Well now we move on to Carbon, or frankly, ANY emission’s exchange.  There is a Chicago based company called the Chicago Climate Exchange, Inc.  This company was originally funded by seed capital from the city’s Joyce Foundation where President Obama was a board member of at the time of its funding.  Now, the Chicago Climate Exchange is trading about $10 billion a month worldwide according to an interview by its founder (and patent holder) Richard Sandor.  Former Chief of Goldman Sachs, Hank Paulsen was also key in the founding of this company and exchange.

Rewind two years from the time their patent was approved and our very own Fannie Mae received approval for their patent of a residential emission exchange.  Which, by the way, was approved the same day the political right sealed their fate, November 7^th, 2006.

Richard Sandor claims this exchange will be global and will become a $10 trillion market.  So the question is what cunning schemes Washington and other global leaders devise to create a market that will have artificial value?  In an interview with Bloomberg Sandor said that there is no risk of the emissions market ever crashing because it’s “regulated” and not open like mortgage-backed securities.  Mortgage-backed securities WERE highly regulated.  So you likely understand my concern with the SEC regulating an industry that according to Sandor doesn’t have the “opaque” value mortgage-backed securities had when that same agency doesn’t have a stellar record when it comes to securities trading.

Furthemore, Goldman Sachs, a favorite of President Obama and many other Democrats in Congress, just happens to own 19% of the parent company of this Chicago based emissions exchange company called Climate Exchange Plc.

Barbara Hollingsworth described it best saying,

“But passage of the legislation would create an artificial, government-mandated, trillion-dollar carbon trading market that would drive up the price of energy, indirectly making housing more expensive.

“If the proprietary emissions trading system functions like other exchanges such as the New York Stock Exchange, which makes most of its revenue on listing and trading fees, its owners could see extremely generous profits, especially with a patent that keeps out competition for two decades.”

Not to scream conspiracy or anything but here are our concerns.

What special interests are behind the actual language and writing of current energy policies and C&T that will be debated?  After seeing the corruption and special interest slant behind the stimulus package, healthcare bill and current financial reform bill Obama wants to debate, we’re curious to see what other sweetheart deals Fannie Mae is going to walk away with.  Will there be some sort of residential carbon tax?  Will C&T just be another Ponzi scheme created to give special interests more power?

They are essentially creating an enormous emissions exchange that will make all involved rich, really quick.  That is Chicago politics at its best.  Create a law that will make special interests even more money.  We saw the housing bubble burst; imagine a $10 trillion market crash and its impact on the world.  Based on the distrust that the actions of those in Congress have built with the American people I can only imagine how long it would take for this Ponzi scheme to meltdown.  After all, an artificial market with artificial value could only last so long.

You can see Chicago Climate Exchange patent by clicking here.
You can see Fannie Mae’s patent by clicking here.

You can also watch Richard Sandor’s first Bloomberg interview by clicking here and his second Bloomberg interview by clicking here.

As Dave has said for years, find the money and you’ll find the motive.

Robert A. Heinlein said it best, “Secrecy is the keystone to all tyranny. Not force, but secrecy and censorship. When any government or church for that matter, undertakes to say to its subjects, ‘This you may not read, this you must not know,’ the end result is tyranny and oppression, no matter how holy the motives. Mighty little force is needed to control a man who has been hoodwinked in this fashion; contrariwise, no amount of force can control a free man, whose mind is free. No, not the rack nor the atomic bomb, not anything. You can’t conquer a free man; the most you can do is kill him.”

The US Congress has destroyed all trust with the American people.  All they can do is sit behind closed doors and cunningly see who can justify the highest tax rates possible, plotting more power grabs and ways of eliminating the freedom of the American people.  This type of behavior is destructive at best.

President Obama and his Congressional cronies have disregarded the voice of the people.  They have promised no new taxes yet on the eve of some holiday, just like healthcare, Senator Reid is likely to force a vote on more destructive taxes while most of us sleep.

The New York Times even reported back in March that “As they craft their bill, Kerry, Graham and Lieberman are holding a marathon series of meetings this week with senators and interest groups in a bid to win votes and avoid costly ad campaigns against potential opponents.”

We cannot let this happen.  Promises of no new taxes and transparency will not be fulfilled and it’s time to force them into keeping their promises.  I know its exhausting having to constantly battle the government that is supposed to be for the people.  I know we are all weary after a long fight against healthcare with the constant faxes, phone calls and emails to our Congressional representatives.  But, through sacrifice we will reap blessings.

Call your House representatives and Senators.  Call those that aren’t even in your district and state.  Go make 50 phone calls and let everyone know that you will ensure they lose re-election with either a vote or contribution because a compromise on principle and integrity are unacceptable.  Continue your pleas to God that their hearts will be softened and that they will realize where the true path is to restoring our Constitutional Republic.

Dave Funk on Leonard Boswell’s Misuse of Tax Dollars

This past week we started noticing mailers popping up in mailboxes.  A digital copy of which can be seen at www.congressneedsfunk.com/news, on the front is a wonderful picture of Leonard Boswell clapping with the words “Congress Leonard Boswell Creating Jobs For Iowa Families.”  He then goes on to share everything he’s done this past year.  As a matter of fact, one of his great claims on the mailer is how he put Iowans to work.

Boswell said, “The state has disbursed $1.28 billion that has created or maintained 9,095 jobs in the state as of December 31, 2009.”

This is actually kind of funny because back on December 03, 2009 Leonard Boswell posted a YouTube video where he said the ARRA allocated;

“…more than $1.5 billion has been obligated for projects so far and 5,336 jobs have been created or saved in construction, education, public safety and other industries” (1:11).

I don’t know how in one month he doubled those meager jobs results but that’s not really the issue here.  The issue is that our Congressional Representative is spending taxpayers’ dollars on this campaign mailer.  Look at the back of the mailer to find the notice, “this mailing was prepared, published, and mailed at taxpayer expense.”

Not only did Leonard Boswell have the audacity to double the numbers for this election year but even went so far as to publish his personal Facebook and Twitter accounts on the mailer.  Accounts that are used for campaign purposes and have no official government purpose!

This is not the type of leadership we need in Iowa.  This is not the type of representation we want in Washington.  While I understand that individuals from both sides of the aisle practice this it is inappropriate behavior that should not be accepted on any level.  Its one thing to spend taxpayers’ money, our money, on things that will better Iowa, but to spend it on campaign mailers that are promoting your campaign communication outlets at the taxpayers’ expense is corrupt and bad judgment.  This is just further proof that Boswell is out of touch with Iowa and does a better job of representing Nancy Pelosi and Barack Obama than he does his very own constituents in Iowa District Three.

www.CongressNeedsFunk.com

Paid for by Funk for Congress

Two assumptions here: The first is that once an airliner leaves the gate, no delays are caused by anything government does, from airport capacity limitations to air traffic control delays, when in fact the entire process is government controlled. The second assumption is; how does a passenger rely on the airlines to get them anywhere when under threats of fines, the airlines cancel every flight that might come close to being delayed three or more hours. The question becomes how long can the airline industry survive if it cannot provide reliable, safe and on time transportation, not because it’s not trying, but because the US Government fined the airlines into oblivion for things that are beyond their control as a business, like severe weather or government imposed system capacity limitations.

There are good answers to our airport capacity, airline profitability and air traffic control system limitations and you can read a white paper I published sometime ago about these issues here.

This Federal Regulation is another example of not just Congressional Stupidity, but more proof of the laws of unintended consequences. To make matters worse, it adds more credibility to my recent article about the Obama Administration throwing the airline unions under the bus.

Do Congress and our Administration really want the airline industry to fail? If they do, then they should just stay on the current flight plan.

I sat down a couple of weeks ago and started my taxes.  This is my second year with self-employment income so it takes a little more time totaling my business expenses and accurately reporting my income.  This past year however, I spent a good chunk of it self-employed so I noticed some things on my taxes I hadn’t noticed the year before and there was something there that has really infuriated me.

I recall very recently hearing some of the State Legislature (Democrats) claiming Iowa is a business friendly state.  In fact, a couple said that Iowa is one of the most business friendly states.  Well, I’m here to tell you that they are lying to our faces.

During a recession like this, it is those of us that are business owners that will move this country forward.  Small businesses employ half of this countries work force.  Small businesses drive the economy and innovation.  Without us, our economy would tank.

Now, the example I’m going to use is small but I know it affects a lot of other sole-proprietors in the state.  While I was doing my taxes, I was already expecting to pay the full FICA and other dependency benefits that most people only pay half of because their employer pays the other half.  Since I expected it I didn’t really care.  What got me, though small in comparison, was the self-employment tax imposed by the state of Iowa.  I have to pay an additional $800 to the state because I don’t work for anyone but myself.  WTH!

It’s the principle of the “self-employment” tax that makes me a frustrated Iowan.  I don’t care what the reasoning is for having a tax on those that work for themselves, the fact that they justify it tells me they don’t care about small business.  What it tells me is that Iowa wants to punish those that don’t work for someone by taking an extra $800 out of our pockets and sticking it in their coffers.

A business friendly state should be just that.  It’s one that encourages economic development through small businesses.  One that doesn’t impose unnecessary taxes on these businesses.  I’m not looking for a business tax credit or some hand out.  I’m looking for the elimination of unfair tax burdens.  This includes the corporate income tax.  This is a joke.  I don’t care if there are ways around it or it balances out with tax write-offs.

If Iowa would eliminate these useless taxes and be a place for businesses to come during hard economic times such as these, Iowa would flourish and wouldn’t have budget cuts because of the increased tax revenue from increased business activity.  Yes, that $800 may not be a lot of money in the grand scheme of things but the image it promotes and message it tells certainly is.

FOR IMMEDIATE RELEASE, March 4, 2010
Contact: Phil Kerpen or James Valvo (703) 224-3200

Americans for Prosperity Applauds U.S. House Candidate Dave Funk

-Signs No Climate Tax Pledge-

Washington, DC—The free market grassroots group Americans for Prosperity (AFP) today applauded Iowa U.S. House candidate Dave Funk (3^rd District) for signing the group’s “No Climate Tax Pledge.” Funk joins more than 400 lawmakers and candidates on the federal, state and local levels pledging to “oppose legislation relating to climate change that includes a net increase in government revenue.”

“The one thing elected officials should be able to agree on is that global warming shouldn’t be used as an excuse to hike taxes on citizens and businesses,” said AFP Vice President for Policy Phil Kerpen.  “We encourage all of Iowa’s elected officials and candidates for elected office to sign the pledge.”

Cap-and-trade took its first step toward enactment last year when the U.S. House narrowly passed the Waxman-Markey energy tax bill, which escaped the lower chamber by a scant seven votes despite significant bipartisan opposition.  The Senate has struggled to pass companion legislation, with key Democratic senators openly expressing opposition to attempting to pass the energy tax bill.

President Obama has made no secret of his support for the bill, which would be the largest tax increase in American history.  The non-partisan Congressional Budget Office has scored the House plan as an $846 billion increase in federal revenue, a burden that will be borne by taxpayers and consumers for decades to come.

“Using the guise of climate change to transfer dollars from hard-working citizens to bureaucratic big government is unacceptable,” said Kerpen. “Regardless of their stance on global warming, this should be common ground for all of our elected officials at all levels of government.”

The pledge is available online at www.NoClimateTax.com.  AFP does not endorse candidates.  All elected officials and candidates are encouraged to sign the pledge and go on the record in opposition to using the climate change issue to increase taxes and grow the size of government.

Americans for Prosperity (AFP) is a nationwide organization of citizen leaders committed to advancing every individual’s right to economic freedom and opportunity. AFP believes reducing the size and scope of government is the best way to safeguard individual productivity and prosperity for all Americans. AFP educates and engages citizens in support of restraining state and federal government growth, and returning government to its constitutional limits. AFP has more than 975,000 members, including members in all 50 states, and 30 state chapters and affiliates. More than 60,000 Americans in all 50 states have made a financial investment in AFP or AFP Foundation. For more information, visit www.americansforprosperity.org

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Dave Funk is grateful for the acknowledgment and is proud to be one of more than 400 elected officials and candidates that have signed this pledge.  Fighting these taxes is vital for Iowa’s economic success.

Paid for by Funk for Congress

www.CongressNeedsFunk.com

Government spending has created a dependency class on all levels of society.  It keeps the poor poor.  It gives the Federal Government all-encompassing powers that cover individual citizens, local and state governments, small and large businesses and even non-profit organizations seeking to better humanity and the world.  It is vital during this and all future election cycles we elect those that fight this oppressive behavior.  The difficulty we have is finding the wolf in sheep’s clothing to ensure we elect those that will fight and remain loyal to their word, to their values and to their constituency and the Constitution.

There were studies done that showed that those lawmakers with a voting record that aligns with the Second Amendment and Right to Life also vote closely with the Constitution on all other issues.  In regards to fiscal responsibility, it is almost the same with earmarks.

During this election cycle everyone right of left has been screaming that spending is out of control.  They have let everyone know that taxes are too high.  They have called out specific politicians, like Leonard Boswell, for voting for the stimulus bill and other Pelosi supported bills.  I’ve done the very same thing.

So how do we seek out the true fiscal conservatives that we need from the rest of the pack?  Earmarks.  While earmarks make up a very small portion of Federal spending, it is the impact of earmarks that is most alarming.  Set aside the facts that earmark spending is unconstitutional, picks winners and losers and favors one group over another; it creates a behavior of spending that is aligned with the policy that has placed us on this rapidly melting iceberg.  No matter what your argument may be in support of earmarks or to disregard earmarks, the principles behind earmark spending are what make Washington the elitist place it is.

I will not participate in taxpayer abuse and the intergeneration theft through earmarks and I challenge my primary opponents to take this same pledge.  We have all been pictured signing 9/12 pledges, tea party group pledges, tax pledges, etc.  The reason we sign pledges and agree to this is so our constituency that elects us can hold us accountable.

For this very reason, I challenge Coach Gibbons and Sen. Zaun to agree to not participate in earmarks if they were to go to Washington. Not just because of the wasteful spending but also because of the behavior it creates.  This is the fiscal conservatism litmus test.

As I listened to the various pro and con speakers Wednesday night at the Iowa Statehouse, one thing became very apparent. Not a single person speaking in support of the proposed bill spoke of being an employee of the taxpayers of the State of Iowa, but instead, they spoke of the long hours of “free” union work and their loyalty to their union.

When I was hired at Midstate Airlines in 1986 and later at Northwest Airlines in 1987, I went to work for my airline and joined my union under closed shop rules. I remained loyal to my employer and customers first and served my fellow pilots at Northwest Airlines as their Security Coordinator, working with my company to protect the passengers and crews I worked with.

This bill is an attempt by the Democrats to payback the public sector unions in the State of Iowa; it is an attempt to get the camel’s nose into the tent on this issue and nothing more. Our Representatives swear an oath to defend our Constitution, I am asking them to consider the importance of that oath. Will they sell out the taxpayers of the Iowa, or will they stand in the way of economic recovery and prosperity for future generations of Iowans?

Liberty hangs in the balance…

Senator Zaun mentions tax credits that have brought industries like Wind energy into the state and how tax credits can be used to create jobs this way.  Here’s the real problem with these tax credits.  When companies and industries come and grow in any location because of tax credits, often, these companies have unsustainable business models because their sustainability in the long-term is based on receiving these credits.

We saw this with biodiesel here in Iowa.  These companies were dependent on a temporary Federal tax credit and without it their business is unsustainable.  So what is the answer Senator Zaun?

Simple, eliminate the corporate income tax.  When the economy tanks, tax credits are eliminated or decreased and companies go out of business or leave the state of Iowa.  If we eliminated the corporate income tax, along with all corporate tax credits, when the national economy tanks, Iowa would be the state these businesses would be running to.  So while the goal of creating more jobs is the same, the impact of a recession is significantly different.  Iowa needs to be a business friendly state.  Our Right to Work laws have been under attack for a long time.  Governor Chet Culver seems to be on the leash of the Unions here in Iowa.  Labor costs are a huge issue.  By eliminating the corporate income tax we can solve many of these problems.

With increased business activity, tax revenue will also increase.  So while we have a significant shortfall in the budget, we can recover.  Unemployment benefits are being extended; social welfare benefit costs are sky rocketing in Iowa and nationwide.  People are out of work, so naturally the state’s expenses are increasing- while revenue is decreasing.  This is a simple sign of decreased business activity.  You can’t keep offering tax credits when we are laying off teachers, city employees, and many more.  They won’t have anywhere else to work.  If we eliminate these ineffective tax credits and reinforce our economy with strong business activity, Iowa will be the place businesses want to go.  We will have more jobs.  We will decrease our populations’ dependency on social benefits as a natural side effect.  Best of all for the state, they will have increased tax revenue without ever having to actually raise taxes.

Senator Zaun, this is what the state needs and this is what the Republican Party should be pushing during this legislative session.  I would implore you to follow suit and fight for Iowa jobs, Iowa businesses, and a stronger Iowa.