Thune introduces bill that would stop TARP at year's end

[OntarioVanMan]

Journal staff | Posted: Tuesday, November 17/09

Sen. John Thune introduced a bill Tuesday that would prohibit the Treasury Secretary from extending the Troubled Asset Relief Program beyond its current December 31 expiration date. The original legislation creating TARP allows the Treasury Secretary to extend the program without additional Congressional consent until Oct. 3, 2010; Thune's legislation, the TARP Sunset Act of 2009, repeals this provision.

"Congress created TARP to help relieve the credit crisis that threatened our economy last year, but instead of using the program for its intended purpose, the Treasury Department has bought ownership interests in auto manufacturers, insurance companies, and hundreds of financial institutions," Thune said. "Now is the time to end this program to ensure that additional taxpayer dollars are not wasted since TARP has devolved into a slush fund for the Administration."

A recent report from the Special Inspector General for TARP indicates that more than $317 billion remains unobligated out of the $700 billion program.

[chefdennis]

ain't goin to happen...turbo timmy and ben want to use TARP funds to reduce the National debt...and now with barry getting slapped around by China to get the debt and spending in line, they will be using whatever money they can...even to the point that xiggi pointed out in another post, raising taxes.....

[OntarioVanMan]

ain't goin to happen...turbo timmy and ben want to use TARP funds to reduce the National debt...and now with barry getting slapped around by China to get the debt and spending in line, they will be using whatever money they can...even to the point that xiggi pointed out in another post, raising taxes.....

That would be some hocus pokus, slight of hand...

Tarp money is debt money...how can you pay down the debt with debt money....?

[layoutshooter]

With "Obama Magic Math" you can do anything. This government is becoming a VERY bad joke. They should ALL resign out of shame. IF they had any shame. A person has to be honest and have ethics to feel shame.

[chefdennis]

OVM wrote:

That would be some hocus pokus, slight of hand...

Tarp money is debt money...how can you pay down the debt with debt money....?

So, your point is?? I mean this is barry and turbo timmy we are talkin about here, they can do whatever they want...you can't make this stuff up....

November 12th, 2009

TARP may pay down debt

From Deborah Solomon and Jonathan Weisman at WSJ:

Rolfe Winkler Blog Archive TARP may pay down debt | Blogs |

The administration wants to keep some of the unspent [TARP] funds available for emergencies, but is considering setting aside a chunk for debt reduction, according to people familiar with the matter. It is also expected to lower the projected long-term cost of the program — the amount it expects to lose — to as little as $200 billion from $341 billion estimated in August.

The idea is still a matter of debate within the administration and it is unclear how much impact it would have on the nation’s mounting deficit levels. Still, the potential move illustrates how the Obama administration is trying to find any way it can to bring down the deficit, which is turning into a political as well as an economic liability.

Borrowing money over here to pay down debt over there doesn’t sound to me like real “debt reduction.” Sounds more like giving back an appropriation to avoid debt expansion.

It would better to retire the program entirely while letting outstanding loans run off.

But the administration does seem to be getting a bit more serious about making cuts:

The Office of Management and Budget has asked all cabinet agencies, except defense and veterans affairs, to prepare two budget proposals for fiscal 2011, which begins Oct 1, 2010. One would freeze spending at current levels. The other would cut spending by 5%.

OMB is also reviewing a host of tax changes. The President’s Economic Recovery Advisory Board will submit tax-policy options by Dec. 5, including simplifying the tax code and revamping the corporate tax code.

White House Chief of Staff Rahm Emanuel is pressing for substantial spending cuts to go with any tax increases to try to avoid the “tax and spend” label that has bedeviled Democrats, according to administration and congressional officials.

Forget the freeze Rahm. Go for the 5% cut.

[OntarioVanMan]

That would be some hocus pokus, slight of hand...

Tarp money is debt money...how can you pay down the debt with debt money....?

Chef in answer to your, whats your point..I was just affirming your thoughts....

Tarp money is Debt money....How can they claim to pay down the debt with money from that debt???

hence the hocus pocus comment

[layoutshooter]

I already answered that, "Magic Obama Math"!!! Geez OVM, you should know that by now!! King PUTZ the 1st waves his magic wand and MONEY appears. REAL MONOPOLY MONEY!! Man you just don't get it. The ENTIRE mess is a HUGE rip off of the American People with the sole purpose of destroying our economy. Other than that it's cool!!

[chefdennis]

lol ovm!! My "whats your point" comment was directed to "this is barry and timmy" there can be no legit way or even logical reason to do this other then it is them doing it....and i know you had to see that...

[OntarioVanMan]

Ye like that?..I quoted me!!*LOL*

Well chef asked what my point was....I think he thought that I thought that he was thinking the wrong thoughts.....you think that is right thoughts?