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In an outrageous but unsurprising revelation about the extent to which our tax dollars are being wasted by Washington politicians this one extends to the staff of those very elected officials charged with the task of spending federal funds wisely. Senator Tom Coburn (R-Ok.), who has been diligent when it comes to exposing waste and fraud in government, sent a detailed letter to Congressional Leaderslate last month detailing many of the programs he believes need to be ended due to the amount of money they cost relative to the lack of value they are worth in relation to benefitting the taxpayers. Sen. Coburn notes that “There are a variety of commonsense actions Congress could take to save money within its own budget…” and he cites an extensive list but one in particular caught our eye: Lifestyle Coaching for Congress.  This section of the letter outlines what amounts to be nothing more than taxpayer funded activities that literally have nothing to do with how legislative staff should be functioning as a paid member of a Senator or Representative’s office:

• A class to help staffers socially titled “Small Talk: Breaking the Ice in Social Situations”; and
• A lifestyle class designed to help staffers titled “Lighten Up! Spring Cleaning for your Body and Your Life,” where staffers can learn about healthy eating and recipes to be “balanced, calm and focused and several practices that will support you in releasing the old and inviting in the new.”
• From Stress to Relaxation to help staffers with “exhaustion and lack of clarity” (Senate)
• Your Credit Score – Friend or Foe (House)
• Choose Your Attitude: Attitude is Everything (Senate)
• What’s My Communication Style? (Senate)
• Benefits of a Good Night’s Sleep (Senate)

There is no question that consumers are overtaxed in today’s marketplace and the need for relief is always a welcome piece of news. This week, the House reintroduced the Wireless Tax Fairness Act (WTFA) and the Taxpayers Protection Alliance has supported this billthat is aimed at protecting consumers from targeted tax increases on wireless services. The newly minted WTFA from Rep. Zoe Lofgren (D-Calif.) and Rep. Trent Franks (R-Ariz.) would give wireless customers a break fromexcessive state and local government taxes on cell phones and the bill enjoys bipartisan support with over 100 members cosponsoring the legislation. WTFA wouldn’t require any states to give up revenue earned, but what the bill would do is place a moratorium for 5 years, where all stakeholders would work together to figure out exactly which path to take on wireless taxes that would be beneficial to all parties involved (consumers, businesses, state/local governments. The legislation also calls for the very same stakeholders to find a solution to address the already high tax rates burdening the wireless industry.

Satellite TV Dish (Courtesy Jan Tik)

The Satellite Television Extension and Localism Act (STELA) was passed by both chambers of Congress in 2010 and renewed the blanket license allowing “satellite operators to deliver distant signals to subscribers who cannot get a viewable signal from their local affiliate.” The main goal being that satellite TV companies (i.e. Dish and DirecTV) can be allowed to retransmit to local market subscribers a network TV signal from outside the subscribers' market. We now sit three years later and two things are clear: First, STELA must be reauthorized by December of 2014; Second, while reauthorization is important, there is also a real chance to make STELA a more free-market friendly vehicle for providers. This week the House Subcommittee on Communications and Technology will be holding a hearing that will continue the discussion of STELA reauthorization that began back in February of this year. Representative Steve Scalise (R-La.) sits on the subcommittee and has championed legislation aimed at strengthening free-market principles as it relates to telecommunications in a sea of constantly changing technological advancements. The Next Generation TV Marketplace Act, sponsored by Mr. Scalise would do just that.

The Taxpayers Protection Alliance (TPA) has been following developments on the Farm Bill over the last several weeks and with yesterday’s cloture vote of 75-22 in favor to proceed, we are closer to the $955 billion piece of legislation passing the Senate. The bill is loaded with subsidies and excessive spending, and there have been efforts to call attention to Senators about the wasteful programs that are in serious of need of reform. The Chattanooga Times Free Press published an opinion piece yesterday which highlighted several free-market thinkers including TPA, the National Taxpayers Union, and the Heritage Foundation, who offered their take on how Congress can improve the Farm Bill.  The Bill is expected to pass the Senate but may have a more difficult time in the House of Representatives (fingers crossed).

To read the article, click read more below

Led by Heritage Action For America, the Taxpayers Protection Alliance joined with other taxpayers and free-market organizations representing millions of individuals across the nation to oppose wasteful spending in the Farm Bill.  The Senate and House appear ready to start legislative work on the Farm Bill as early as this week, and it is important to call attention to the habitual waste of money that has become too commonplace in the Farm Bill. There is tremendous need for reform. Current subsidy programs are rooted in the 1930s, when prices for crops and livestock bottomed out and farm families were desperate for income. Agriculture today could not be more different. Farmers are pulling in record-high levels of income and carrying record-low levels of debt. Technology has eliminated many of the risks that once plagued farming, and the profitability of crops that go without subsidies demonstrates that independent agriculture is viable. So there is just no way to justify funneling tens of billions of dollars to farmers who, by and large, are better off than most of the taxpayers who are shelling out the subsidies.  The letter highlights twelve of the most egregious examples of waste to taxpayers.  The groups are urging both Chambers of Congress to not continue to spend trillions of dollars on what amounts to simply a laundry list of “subsidies, welfare payments, and environmental patronage.”

To read the full letter, click read more below

For once Washington takes a step in the right direction, but keep your excitement reserved.  Much remains to be seen about just how far House Speaker John Boehner’s efforts to reform our tax code will actually go but credit should be given to Speaker Boehner who took the first step towards making this happen when he announced that “he will push major reform of the tax code by reserving pole position — H.R. 1 — for that massive legislative undertaking.  Again, don’t get too excited or think the battle is over yet.  The troops haven’t even gotten on the ground yet.  The Hill article reminds us of a very important fact: “Designating tax reform as H.R. 1 far from ensures that it will become law this year, or even that it will make its way through the House.”  While this is certainly true, this reality calls all pro-taxpayer groups to join together and keep Boehner to his promise.  There’s much to undertake when it comes to crafting a good, extensive restructuring of our current, disastrous, burdensome tax code, but the fact is you can’t begin to have a conversation until the subject is at the very least on the table.  And that’s what Speaker Boehner has done.  Now let’s just hope this symbolic gesture moves beyond a sheet of paper and prompts action on a significant under-hauling of our nation’s tax code.  In an attempt to encourage Congressional action on this issue, Taxpayers Protection Alliance suggests that one area of tax reform that should get particular attention is corporate tax reform.

As many people may know by now, the House of Representatives passed the Senate version of the fiscal cliff bill with the vote occurring just before midnight on January 1, 2013. There were no changes to the Senate-passed bill so the same tax increases and spending increases were passed.  Let’s take a short trip down memory lane.  The bill extends the 2001 and 2003 Bush tax cuts for individuals making less than $400,000 and families making less than $450,000. In addition, the payroll tax cut will expire meaning that payroll taxes will increase from 4.2 percent to 6.2 percent, a real tax increase on the Middle Class.  The real kick in the wallet is a two-month delay in the automatic spending cuts (sequestration).  As reported by Breitbart.com, “According to the Congressional Budget Office, the last-minute fiscal cliff deal reached by congressional leaders and President Barack Obama cuts only $15 billion in spending [a revised Congressional Budget Office estimate pegs the number at $25 billion] while increasing tax revenues by $620 billion—a 41:1 ratio of tax increases to spending cuts.”  Click here here for a full list of provisions as reported by Politico.  With a $1 trillion deficit and a debt that has eclipsed $16 trillion, the lack of spending cuts is shameful.  Even if all the revenue is used for deficit reduction (which it likely won’t be), the total impact to the $1.1 trillion deficit will be $63.5 billion (if no more spending cuts are approved and the sequestration is avoided).

Many people are accustomed to waking up on January 1 with a headache.  This year taxpayers woke up to not only the usual headache from a night of excess, but also a headache from the excesses of Congress and the President.  In the early morning hours of today (January 1, 2013) the Senate passed a bill to soften the blow of going over the fiscal cliff.  In reality, the bill may do more harm than good.  The bill extends the 2001 and 2003 Bush tax cuts for individuals making less than $400,000 and families making less than $450,000. In addition, the payroll tax cute will expire meaning that payroll taxes will increase from 4.2 percent to 6.2 percent, a real tax increase on the Middle Class.  The real kick in the wallet is a two-month delay in the automatic spending cuts (sequestration).  As reported by Breitbart.com, “According to the Congressional Budget Office, the last-minute fiscal cliff deal reached by congressional leaders and President Barack Obama cuts only $15 billion in spending while increasing tax revenues by $620 billion—a 41:1 ratio of tax increases to spending cuts.”  UPDATE (3:00 pm):  The Congressional Budget Office has pegged the spending cuts at $25 billion. Click here here for a full list of provisions as reported by Politico.  With a $1 trillion deficit and a debt that has eclipsed $16 trillion, the lack of spending cuts is shameful.  Even if all the revenue is used for deficit reduction (which it likely won’t be), the total impact to the $1.1 trillion deficit will be $64.5 billion (if no more spending cuts are approved and the sequestration is avoided).