|America's independent, non-partisan advocate for overburdened taxpayers.||Home | Donate | RSS | Log in|
Report: Last Night’s Speech has $40 Billion Price Tag
NTU Foundation researchers were up long into the night and woke up extra early to tabulate the proposed costs in this year’s State of the Union (SOTU). Similar to NTUF’s candidate studies, we went line-by-line through the speech & identified all of the legislative actions President Obama proposed to the Nation. We then referenced those items with cost estimates from his own budget, legislation being considered in Congress right now, and third parties (like the Congressional Budget Office) to come up with a total spending agenda. Here’s a breakdown:
Though this was not President Obama’s longest SOTU address, he managed to announce 29 different policies that would affect the budget. Because of the lack of information included in his speech and in documents released by the White House, NTUF was able to score 13 of those items; the other 16 could resurface with more clarity in future legislative measures, executive orders, or more regulations in the U.S. Code. How much are we talking about? Check out the totals:
This total is light compared to last year’s $83.41 billion SOTU cost, but remember that this is just under $40 billion in NEW spending (i.e. adding to the deficit, which is projected to be $744 billion this year, according to the Administration’s Mid-Session Review). So if the 13 items were enacted, the government would be forced to borrow more money and keep future taxpayers on the hook for today’s decisions.
The largest budget-changing proposals include (figures are annualized):
The only savings proposals that NTUF was able to clearly identify was a call to prevent future bailouts of the housing market, which was matched with a bill currently in Congress that would decrease spending by $103 million each year. S. 1376, the FHA Solvency Act was covered in a recent edition of The Taxpayer’s Tab and would bring in more mortgage insurance premium fees (counted as an offset to direct spending). More information on this bill can be found in a post by NTUF Policy Analyst Michael Tasselmyer (coming soon).
Wondering how each of President Obama's speeches compare? Check out NTUF's homepage.
Stay tuned for more SOTU analyses from the best team of tax and budget analysts in the country.0 Comments | Post a Comment | Sign up for NTU Action Alerts
Set to start at 9 p.m. tonight, President Obama will deliver his State of the Union (SOTU) Address to a joint session of Congress. The White House has mentioned a few things that may come up in the President’s annual speech but taxpayers are left in the dark as to what exactly he plans for in 2014. Yesterday, NTUF Policy Analyst Michael Tasselmyer has compiled the rumors and reports in a post but questions remain. How much does the President aim to raise the minimum wage? Will his government-sponsored jobs programs be new or more of the same? More importantly, how much will this cost today’s (and tomorrow’s) taxpayers?
NTU wants to see what the grassroots think and are sponsoring a “Price the Proposals” contest (with prizes!!!) to add some fun in with the pomp and circumstance of our political leaders making grand plans for our challenging times. I’ve received quite a few questions about the contest, many of which ask for any insider information that I’ve come across. Sorry folks, this post is no great unveiling of hush hush Administration documents and plans. BUT I wanted to see what NTU and Foundation’s staff thought about the rumors making their way around the Beltway. More to the point, I had everyone place a guess in the “Price the Proposals” contest to see how they ultimately measure up to the line-by-line report, produced by NTU Foundation, and the 362,000 NTU members, all busily racing to place their guesses for a chance at the glory of victory. Remember that these guesses, as yours will be too, are only directed at new spending. Don’t think about tax changes just yet. Here’s where we stand:
So there you have it, some educated guesses from America’s oldest grassroots taxpayer organization. Think you’ll be more accurate with this new information? Head over to our “Price the Proposals” page and place your guess! Remember, you can’t win unless you play!0 Comments | Post a Comment | Sign up for NTU Action Alerts
0 Comments | Post a Comment | Sign up for NTU Action Alerts
TONIGHT: "Price the Proposals" of the State of the Union Address
Expecting More or Less Government from Tonight’s Speech? Guess Right and Win!
Play our 2014 "Price the Proposals" game to test your budget brain power and win prizes!
There are now just a few hours left for you to guess how much new savings or spending President Obama will call for in his State of the Union Address (SOTU) in our “Price the Proposals" game!
Time is running out, submit your entry now!
If you make the closest guess to what National Taxpayers Union Foundation’s analysis finds, without going over, you win! Runners-up receive prizes too, but you can’t win unless you enter!
Simply go to www.ntu.org/sotu2014.
What you’re playing for:
Watch the speech to find out what the President proposes, and join with the 362,000 members of National Taxpayers Union and staff online for commentary, fact-checking, and taxpayer talk:
Deadline for entry: January 28th (TONIGHT) at 10 p.m. ET
Please don’t set this aside – enter now before you miss out on the fun!
Then, in the days ahead, stay tuned for a special post-SOTU analysis with NTU and NTUF staff, which will be on our blog soon after the President’s speech.0 Comments | Post a Comment | Sign up for NTU Action Alerts
The facts and figures behind America's recent energy resurgence might surprise you...
0 Comments | Post a Comment | Sign up for NTU Action Alerts
Leading up to tomorrow night's State of the Union address, the White House has made at least one thing abundantly clear: the President has both a pen and a phone at his disposal.
While those instruments will probably get plenty of use during the speechwriting process, the Administration has been using the line to emphasize that if Congress doesn't act on certain agenda items, the President will -- either through executive orders or other unilateral actions.
The price tag accompanying the President's proposals will depend on how specific he'll be in describing his goals for this so-called "year of action." You can follow along with NTU and NTUF staff tomorrow night for real-time analysis during the speech, as well as in the days after as we break down the President's agenda and what it means for taxpayers.
Be sure to let us know ahead of time what you think the agenda will cost!0 Comments | Post a Comment | Sign up for NTU Action Alerts
Air Force One Price for Last Year's President's Day Golf Outing $722,000
Late last week the Washington Examiner’s Paul Bedard broke the story that the Secret Service costs of the President’s, Vice President’s, and First Lady’s separate 2013 President’s Day weekend jaunts totaled over $295,000 dollars.
The information was obtained by Judicial Watch through a Freedom of Information Act (FOIA) request.
As emphasized in the article, these exorbitant costs are just what the Secret Service paid out (at least what they’re willing to identify) for lodging, rental cars, etc.
Since National Taxpayers Union Foundation (NTUF) provides estimates on the cost of flying Air Force One, we thought an impromptu examination of the President’s Palm Beach gold weekend that accounts for his part of this triumvirate of travel would be in order.
In this case the President flew from an official event in Chicago to Palm Beach, and then to Washington – these two trips total at least $721,590 in operating costs for Air Force One. That is a conservative estimate based off the White House’s schedule, average flight times, and the cruise speed of his VC-25 jet.
The actual, real world, cost could be noticeably more expensive.
$721,590 is still not a cheap airfare. Perhaps the trio will make up for it and stay in this President’s Day to watch House of Cards?0 Comments | Post a Comment | Sign up for NTU Action Alerts
The whole gang is seemingly in the house this episode: Vice President Brandon Arnold explains why Congress needs to pass legislation to prevent an insurance company bailout through "Obamacare"; State Affairs Manager Lee Schalk updates on state issues to start the year; and NTUF's Dan Barrett talks about this year's Price the Proposals State of the Union game!0 Comments | Post a Comment | Sign up for NTU Action Alerts
The U.S. spends nearly $50 billion on foreign assistance, including economic and military aid. In the latest edition of The Taxpayer's Tab, NTUF features a bill introduced by Senator Marco Rubio (R-FL) and Congressman Ted Poe (R-TX) known as the Foreign Aid Transparency and Accountability Act that would require more open disclosures of where that money is being spent.
H.R. 2638/S. 1271 orders the development and implementation of measurable goals and performance standards for foreign aid programs. Data and reports on publicly-funded assistance initiatives would be made available on ForeignAssistance.gov in order to ensure an additional level of accountability. The Congressional Budget Office (CBO) estimates that the bill would cost $1.68 billion over five years, but sponsors informed NTUF that they intend to use existing resources to fund the legislation's provisions.
Also in the Tab:
The full Tab is available online.0 Comments | Post a Comment | Sign up for NTU Action Alerts
GAO on Flood Insurance: Let the Private Sector Help
In last week's edition of The Taxpayer's Tab, we featured H.R. 3370 as the "Most-Friended" bill with 178 cosponsors in the House. The Homeowner Flood Insurance Affordability Act would delay a provision passed in 2012 that phases out the government's National Flood Insurance Program (NFIP) subsidies and charges higher premiums more in line with full-risk rates.
That law, the Biggert-Waters Flood Insurance Reform Act, also ordered the Government Accountability Office (GAO) to conduct a study on how to better incorporate private-sector solutions to the NFIP's financial woes. The GAO released their findings in a new report this week and suggested that reducing government involvement in the flood insurance market could benefit taxpayers in the long-run.
The NFIP's fiscal troubles have been well-documented over the years. The program has appeared on the GAO's "high-risk" list every year since 2006 and owes over $24 billion in debt; worse still, the program hasn't paid back any of the principal on the loans it's received since 2010. Unfortunately, taxpayers are ultimately responsible for digging the NFIP out of its mounting debt, and delaying premium increases would tack on an additional $900 million to that burden (as we noted in the Tab).
But as GAO points out, the damage could at least be contained going forward: "...[S]ome have suggested shifting exposure to the private sector and eliminating subsidized premium rates, so individual property owners -- not taxpayers -- would pay for their risk of flood loss."
In its report, GAO summarized a series of discussions it had with stakeholders that work within the industry to better understand how to transition towards a flood insurance market with greater private participation. That starts with making the marketplace more enticing for private firms to enter. Two key recommendations to make that a reality:
GAO suggests that there would still be a role for government involvement in the flood insurance market, but in line with previous recommendations, suggested that Congress should consider eliminating subsidized premiums and charge full-risk rates to all policyholders.
Stakeholders also voiced concern over a complicated regulatory environment that would need to be addressed before private firms decide entry into the market could be viable. Additionally, GAO supported means-testing as a possible solution to affordability issues: "Currently, subsidies are available regardless of a property owner's ability to afford a full-risk premium. Means testing the subsidies would ensure that only those who could not afford full-risk rates would receive assistance and should increase the amount in premiums NFIP collects to cover losses."
The full report is available online.0 Comments | Post a Comment | Sign up for NTU Action Alerts