Proposed House “Stimulus” / Splurge Bill: Nearly $18M for the Madison School District, borrowed from our Grandkids
Click for a larger version of this very simple illustration
Mark Pitsch:The House version of a federal economic stimulus bill would deliver more than $4.3 billion to Wisconsin over the next two years, under details of the bill released Friday.
That figure includes nearly $18 million for Madison schools and millions more for other local districts.
“I’m very pleased by this. We know this is a difficult time, but at the same time there are needs that our children have that can’t go unmet,” said Dan Nerad, Madison schools superintendent. “I’m very hopeful. I’m very optimistic and we’ll see what comes.”
Under bill descriptions released by Rep. Ron Kind, D-La Crosse, and an analysis of Medicaid by a Washington, D.C. think tank, the House version would also provide:$1.2 billion to help the state fill its $5.4 billion budget hole, with at least 61 percent being spent on schools and colleges.
Related:
- Wistax:
Total taxes collected from Wisconsin averaged $12,281 per person in 2007-08. The $69.4 billion in annual collections was up 3.4%. Relative to personal income, however, taxes were down slightly, from 34.9% in 2007 to 34.2% in 2008.
- United States Government outstanding debt ($32,795 per citizen).
- US Population
- Major foreign holders of US Treasuries.
- The Congressional Research Service produced the school funding information.
- “Be Nice to the Countries That Lend You Money”. An interview with Gao Xiqing, a man who oversees many of China’s US holdings, by James Fallows (more from Fallows). Related:
- The economic crisis hits China – Video.
- US Senate Finance Committee Q & A with Tim Geithner 284K PDF, David Kotok comments:
One telling example is found in the following quote that has already created international consternation. Geithner twice answered questions about currency and China. In so doing he has placed the Obama administration squarely in the middle of the tension between the United States and the largest international buyer and holder of US debt: China. This happened as the same Obama administration is unveiling a package that will add to the TARP financing needs and the cyclical deficit financing needs and cause the United States to borrow about $2 trillion this year. Two trillion dollars of newly issued Treasury debt – and this is how the question was answered. Not once but twice.
Geithner (on page 81 and again on page 95) answered: “President Obama – backed by the conclusions of a broad range of economists – believes that China is manipulating its currency. President Obama has pledged as President to use aggressively all the diplomatic avenues open to him to seek change in China’s currency practices.”
“Manipulation?” “Aggressively?” This is strong language. Geithner did not do this on his own authority. These are prepared answers. He is citing the new President, not once but twice.
China’s response was fast and direct. China’s commerce ministry said in Beijing that China “has never used so-called currency manipulation to gain benefits in its international trade. Directing unsubstantiated criticism at China on the exchange-rate issue will only help US protectionism and will not help towards a real solution to the issue.”
Are we seeing the world’s largest and third largest economies calling each other names in the middle of a global economic and financial meltdown?And, the $150,000,000 inauguration party.
- Peter Peterson Foundation:
To increase public awareness of the nature and urgency of key economic challenges threatening America’s future and accelerate action on them. To meet these challenges successfully, we work to bring Americans together to find sensible, sustainable solutions that transcend age, party lines and ideological divides in order to achieve real results.
- Related with respect to printing money: Zimbabwe’s central banker defends policies:
Your critics blame your monetary policies for Zimbabwe’s economic problems. I’ve been condemned by traditional economists who said that printing money is responsible for inflation. Out of the necessity to exist, to ensure my people survive, I had to find myself printing money. I found myself doing extraordinary things that aren’t in the textbooks. Then the IMF asked the U.S. to please print money. I began to see the whole world now in a mode of practicing what they have been saying I should not. I decided that God had been on my side and had come to vindicate me.
- Clusty Search: Lobbyist
It will be interesting to see how this money, assuming it is authorized and borrowed, is spent. Will it be spent in a way that grows the District’s operating costs and therefore increases the local property tax burden once the stimulus/splurge is exhausted?
If we must borrow these funds from our grandchildren, then I would like to see it spent in a way that has long term benefits. Superintendent Nerad spoke of children whose needs are going unmet; well, those kids will be paying for these borrowed funds.
Finally, it appears that someone is spreading the love, as it were. The Congressional Research Service (whose work is not publicly available) wrote a report on stimulus/splurge funding for all US school districts. Have a look at all of the Google News references. Defense programs are known for spreading jobs around key congressional districts as a means of self preservation.
