Tuesday, February 3, 2009

Nancy Pelosi's New Deal

"You never want a serious crisis to go to waste," sayeth Rahm.

Opportunistic and cynical, yes. But also savvy political counsel that transformational presidents have always followed.

FDR exploited the Depression to launch his New Deal, bring an end to a Republican hegemony of seven decades and make Democrats the majority party, until Richard Nixon picked the lock.

While the debate is endless over whether the New Deal ended the Depression or caused it to endure until World War II spending pulled us out of the ditch, few deny that FDR left a monumental legacy.

We see it in the great dams of the West and TVA in the South, in the REA that first brought electricity to America's farms, in deposit insurance, unemployment benefits and Social Security.

Lyndon Johnson seized on the trauma of JFK's assassination and racial incidents such as Selma Bridge to enact the Civil Rights Act of 1964 and the Voting Rights Act of 1965.

Ronald Reagan seized on the humiliation of the Iranian hostage crisis, Moscow's invasion of Afghanistan and the worst recession since the 1930s to rebuild the military, create a 600-ship Navy, push the Soviet Empire out of Central America and Afghanistan, and cut taxes from 70 percent to 28 percent, creating 20 million jobs in a seven-year boom that inspired the awe, envy and emulation of much of the world.

Not for nothing are the '80s remembered as the Reagan Decade.

Obama himself has spoken of FDR and Reagan as the kind of "transformational" presidents he wishes to become.

Which brings us to that "stimulus package," the price of which is $819 billion and rising, 6 percent of gross domestic product, piled on a deficit already projected at $1.2 trillion. As it was being whistled through the House, not one Republican voted aye. A dozen Democrats could not stomach it, either.

Does President Obama really want this Nancy Pelosi New Deal to be his legacy? Because that is exactly what he is inviting. And before he uses force majeure to ram this bill through the Senate, he ought to consider what the honest objections are.

When Sen. John Kyl, at a White House meeting with Obama, said that giving income tax rebates to millions of folks who pay no income taxes seems to be simply welfare, Obama tersely replied, "I won."

Indisputably. But does it make sense to include in a plan to prepare America for the 21st century borrowing billions from Beijing to mail out in $500 checks to folks who don't pay income taxes, so they can run down to Wal-Mart and buy more goods made in China?

The New York Times reports Monday in a front-page story about California, "A State With a Wish List," "More than two-thirds of the states are facing budget shortfalls this year and next ... and could use the money to help balance budgets, blunt potential cuts in education and shrink Medicaid obligations."

Sure, they could. But is this remaking America? Or is it bailing out the same state and local politicians Barack himself castigated in his inaugural as those responsible for "our collective failure to make hard choices"?

Why would Barack wager his presidency on a gamble that, by handing over hundreds of billions in borrowed federal money, to spare governors and mayors the consequences of their own profligacy, he can remake the America economy and ignite a real recovery?

What are the fundamental objections to the Obama-Pelosi plan?

It is three parts social spending to one part stimulus. It takes too long to work. It represents a permanent not temporary expansion of government.

It is too much LBJ, who bet the ranch on spending and failed, and not enough JFK, who bet on tax reductions that succeeded.

Even Bill Clinton would not have ceded so much to the tax-and-spend wing of his party, which he relied on for votes, not advice.

Has Obama no more imaginative ideas for government's role in reshaping the economy for the 21st century than this? Was it all talk all along, to prepare the way for a return to the days of spend and spend?
Sad, because this is likely to be Obama's last shot at getting this economy on its feet and running by 2010. For Americans are not as patient as they were in the 1930s, when FDR could try one idea, then another, then another for five years, and continue to roll up massive electoral victories.

If Obama gets this one wrong, and all this pork and welfare fail to generate real growth, his party could face a wipeout in 2010, and his opportunity could be lost forever. Does he really want to bet the farm on the nag Nancy Pelosi just trotted out of the House?

Daschle Should Withdraw

When President Obama nominated former Senator Tom Daschle to be his secretary of health and human services, it seemed to be a good choice. Mr. Daschle, as the co-author of a book on health care reform, knew a lot about one of the president’s signature issues. As a former Senate majority leader, he also knew a lot about guiding controversial bills through Congress, where he remains liked and respected by former colleagues.

Unfortunately, new facts have come to light — involving his failure to pay substantial taxes that were owed and his sizable income from health-related companies while he worked in the private sector — that call into question his suitability for the job. We believe that Mr. Daschle ought to step aside and let the president choose a less-blemished successor.

Mr. Daschle’s tax shortfall is particularly troubling because it comes on the heels of another nominee’s failure to pay taxes due. We were not pleased when the president’s Treasury secretary, Timothy Geithner, admitted that he had failed to pay tens of thousands of dollars in federal self-employment taxes while working for the International Monetary Fund despite having signed paperwork acknowledging the obligation.

Now we are confronted with an even larger lapse by Mr. Daschle, who failed to pay $128,000 in taxes, primarily for personal use of a car and driver provided to him by a private equity firm for which he consulted. Although the firm — headed by a major Democratic donor — had not issued a form 1099 for the value of the car service, Mr. Daschle said he became concerned last June that he might owe taxes on it and instructed his accountant to investigate. Neither was concerned enough to actually pay the taxes.

Only after the Obama transition team flagged unrelated tax issues that would require filing amended returns did Mr. Daschle and his accountant address the need to report the personal use value of the car service — more than $255,000 over three years — as income. Only after he had been chosen to be the health secretary did Mr. Daschle tell the transition team about the unpaid taxes. He paid some $140,000 in back taxes and interest on Jan. 2 to settle several tax problems — and he acknowledges owing more.

In both the Geithner and Daschle cases, the failure to pay taxes is attributed to unintentional oversights. But Mr. Daschle is one oversight case too many. The American tax system depends heavily on voluntary compliance. It would send a terrible message to the public if we ignore the failure of yet another high-level nominee to comply with the tax laws.

Mr. Daschle’s financial ties to major players in the health care industry may prove to be even more troublesome as health reform efforts proceed. Like many former power players in Washington, Mr. Daschle cashed in on his political savvy and influence to earn $5 million in recent years, including more than $2 million from Alston & Bird, a law and lobbying firm; more than $2 million from the private equity firm, InterMedia Advisors, which provided the car and driver; and hundreds of thousands of dollars for speeches to interest groups, including those representing health insurance plans, medical equipment distributors and pharmacy boards.

Although Mr. Daschle was not a registered lobbyist, he offered policy advice to the UnitedHealth Group, a huge insurance conglomerate. He was also a trustee of the Mayo Clinic in Minnesota, on whose behalf he voiced opposition to a federal loan for a freight rail line near the clinic’s headquarters in Rochester, Minn. The loan was subsequently denied by the Federal Railroad Administration.

Mr. Daschle is another in a long line of politicians who move cozily between government and industry. We don’t know that his industry ties would influence his judgments on health issues, but they could potentially throw a cloud over health care reform. Mr. Daschle could clear the atmosphere by withdrawing his name.

Iraqi democracy is Bush's true legacy

On Saturday, Iraq conducted what may stand as the freest, fairest and most genuinely representative democratic elections the Arab world has ever witnessed. Yet even as the votes are being counted, the man responsible for this remarkable political revolution — who believed that Saddam Hussein's hellish dictatorship could be turned into a model Arab democracy, and mobilized the might of the most powerful nation on earth to do something about it — has already become something of a forgotten man.

George W. Bush made many mistakes during his presidency. But with Saturday's peaceful, vigorously contested election in 14 of Iraq's 18 provinces, his overarching ambition of a robust democracy taking root in the heart of the Middle East seems to have become a reality. Notwithstanding the ongoing fawn-fest over Barack Obama, is it too much to ask that Mr. Obama's predecessor be given his due for accomplishing a task that, just a decade ago, during the dark days of Saddam's sadistic rule, would have seemed other-worldly?

This is not the first nominally free election that Iraq has witnessed: Representative democracy was inaugurated four years ago, amid photos of voters' ink-stained fingers pointed skyward for the cameras. But Iraq was then a terror-besieged charnel house in which whole regions were run by al-Qaeda spin-offs and sectarian militias. During that period, the violence was so bad that candidates could not even go out and meet voters, for fear of assassination. Moreover, the country's Sunni minority largely boycotted the 2005 election, giving rise to lop-sided Shiite majorities across the country.

This time, the Sunnis participated, which means the results will almost certainly yield a legislative mix whose composition at least approximates that of the population as a whole. What's more, many of the 14,000-plus candidates competing for the 440 seats up for grabs ran as something other than seat-holders for dogmatic sectarian or ethnic agendas — a welcome departure from the hard-line Shiite party lists that dominated the 2005 vote.

Many of the candidates were women, and some were overtly secular. What's more, the campaigning leading up to Saturday's vote was generally vibrant, with closely contested areas featuring a riot of Western-style campaign posters. Scattered violence, acts of intimidation, and even a handful of killings did take place in the lead-up to the vote, but Election Day itself was generally peaceful.

In light of this inspiring outcome, no one of good faith — not even those (like me) who believe that the invasion of Iraq was, on balance, a mistake — could possibly argue that Iraq was a better place when Saddam Hussein was still in power.

But, much as Saturday's successful elections are worth celebrating, it must also be conceded that the path to this milestone was soaked with the blood of tens of thousands — likely hundreds of thousands — of Iraqis, as well as more than 4,000 U.S. soldiers.

Mr. Bush's grand dream of a democratized Middle East has not become reality. But at the very least, he liberated the Arab nation whose citizens suffered more than all the rest. Saturday's elections show that post-invasion Iraq, for all its violence, corruption and flaws, has become a recognizably democratic country. Whatever else is said of Mr. Bush, he must be given credit for this remarkable accomplishment.

Democrats are hypocrites when it comes to paying taxes

They say taxes are a patriotic duty. So why did Geithner and Daschle have trouble paying them?

During the presidential campaign, Joe Biden insisted that paying your taxes is a patriotic duty. No, scratch that. He said that supporting a tax hike was the American thing to do. "It's time to be patriotic," he told America's putative tax slackers. When asked whether he might be questioning the patriotism of people who don't want higher taxes, Biden, as is his wont, took things to the next rhetorical level. Forget patriotism, insisted Joe, paying higher taxes is a religious obligation.

The man who gave an average of $369 a year to charity over the previous decade fulfills his religious obligations by cutting a tax check -- a check he's required to cut by law.

Now it's always perilous to take Biden's statements too seriously, but it does seem eminently fair to say that his comments reflect a common, if not universal, attitude among Democrats. Taxes aren't a "necessary evil" so much as a joyous affirmation of the possibilities of government and the lifeblood of a more hopeful society. "Taxes are what you pay to be an American" -- like "membership fees," says Democratic language guru George Lakoff.

President Obama merely says that taxes are necessary to "spread the wealth," which is better for everybody. New York Times columnist Paul Krugman frames the issue more reasonably: "Nobody likes paying taxes ... [but] most Americans also care a lot about the things taxes pay for." In other words, paying taxes -- and raising taxes in Krugman's view -- is the adult, serious, morally responsible thing to do. Government needs every last penny, and holdouts must be smoked out.

Now, whatever the best articulation of liberal attitudes toward taxation may be, reasonable people can agree that they inject a lot of moralizing, righteousness and finger-wagging into the issue.

As one leading Democrat put it: "Make no mistake, tax cheaters cheat us all, and the IRS should enforce our laws to the letter."

That Democrat was then-Sen. Tom Daschle in 1998. The same Tom Daschle, we've since learned, who failed to pay more than $100,000 in back taxes for perks he received as one of Washington's most relentless influence-peddlers -- that is, until he realized he might receive a job in the Obama administration spending the money most Americans conscientiously send to Washington.

Daschle's hardly alone. The recently confirmed Treasury secretary, Timothy F. Geithner, also failed to pay taxes he owed (even though he surely must have known he owed them) until it became politically expedient to pay them. Now he runs the IRS. Take that, suckers.

Meanwhile, Rep. Charles B. Rangel (D-N.Y.), the chairman of the supreme tax-writing body in the United States, the House Ways and Means Committee, is under investigation for, among other things, dodging taxes. His excuse for his admitted mistakes is that he was sloppy and ignorant, but not criminal. Geithner and Daschle make similar noises.

But doesn't that miss the point?

When moralizing conservatives get caught, say, cheating on their wives or challenging stall mates to robust Greco-Roman wrestling in airport bathrooms, liberals justifiably howl at the hypocrisy of it all (even though conservative moralizing has no teeth, while the IRS has agents with guns). When liberals fail to pay taxes -- the wellspring of a just society -- it's merely, to borrow an old phrase from Daschle, "sad and disappointing," but ultimately not that big a deal.

When he was still running the Democratic Party, Howard Dean made fighting hypocrisy his top priority. "Hypocrisy is a value that I think has been embraced by the Republican Party. We get lectured by people all day long about moral values by people who have their own moral shortcomings."

Well, I hear a lot of lecturing from Democrats about why I should be ashamed for not liking taxes more because "the children" need it. Florida Democratic Rep. Alan Grayson defended the so-called stimulus bill last week by saying it "shelters the homeless, and heals the sick. It helps us to look forward to a day where we beat our swords into plowshares."

By the Democrats' own logic, not wanting to pay for that is selfish, unpatriotic and immoral. But who do they think tax cheats are cheating?

"I will use whatever position I have in order to root out hypocrisy," Dean promised. "I'm not going to be lectured as a Democrat -- we've got some pretty strong moral values in my party, and maybe we ought to do a better job standing up and fighting for them."

Yes, I would like to see that myself. That would be change I could believe in.

Friday, January 23, 2009

The John Murtha Jihadist Correctional Facility



Get this: King of Pork John Murtha, the 19-term Democratic congressman from western Pennsylvania, now wants to welcome a flood of Guantanamo Bay jihadists into his district. I don't want to hear a single word of protestation from the constituents who put this money-grubbing, security-undermining fool back into office. As you vote, so shall you reap.

Murtha audaciously expressed his hope to house Gitmo detainees after President Barack Obama circulated his draft executive order to shut the facility down by the end of the year. "Sure, I'd take 'em," Murtha glibly retorted. "They're no more dangerous in my district than in Guantanamo." Murtha blustered that there was "no reason not to put 'em in prisons in the United States and handle them the way they would handle any other prisoners."

Before we unpack all that ignorant nonsense, let us pause to illuminate Murtha's motives. He is driven neither by a warped sense of patriotic duty nor by misguided human rights compassion for al-Qaida foot soldiers. No, what fuels him is unabashed greed and a lifelong edifice complex. The money-grubbing Murtha, you see, just can't wait to snatch up federal tax dollars to build a new maximum security prison for the Gitmo gang -- no doubt with his name and face plastered all over it. Welcome to the John Murtha Jihadist Correctional Facility.

Forget about the increased risk Murtha would subject his district to by volunteering it as a highly visible terror target. Forget about the disgusting affront this pork grab poses to the families of those who died on United Flight 93 -- which 9/11 terrorists crashed in Shanksville, Pa., represented by none other than Murtha at the time. There's a shining prison on a hill to be built, and Murtha will sell out his neighbors' safety to make sure it's built on his hill.

Murtha's got logs to roll and wheels to grease. National security is an impediment, not an imperative. Would you expect anything less from the shameless politician caught on tape in the 1980s Abscam congressional bribery scandal mulling payoffs from FBI agents posing as Arab sheiks? ("How much money we talking about," Murtha asked one of the bagmen. "You know, we do business for a while, maybe I'll be interested, maybe I won't.")

Murtha's contempt for the people he serves should surprise no one. This is the man who called his own voters "rednecks" and who has refused to back down from his smears of the exonerated Marines who served in Haditha, Iraq, as "cold-blooded" murderers. This is the man who denies that we are combating al-Qaida terrorists in Iraq. This is the man who lives in a fantasy world where re-deploying American soldiers to Okinawa is a viable defense plan.

Murtha can't see any reason for keeping Gitmo detainees from flooding our regular prisons and preventing them from exploiting our civilian court system, because he is willfully blind and stone stupid.

John Murtha, meet Lynne Stewart. She's the disgraced lawyer convicted last year of abetting her terrorist client -- 1993 World Trade Center bombing/NY landmark bombing mastermind Omar Abdel-Rahman. Stewart helped smuggle coded messages of Islamic violence from the imprisoned sheik to outside followers in violation of an explicit pledge to abide by her client's court-ordered isolation.

While Rahman's court-appointed translator conveyed the message during prison visits, Stewart made "covering noises," including shaking a water jar and tapping on the table. A draft fatwa was discovered in Stewart's office; she also signaled Rahman's wishes to his jihadist organization in an interview with Reuters news service. The publication of those comments ushered in a new wave of bombing attacks by Rahman's previously dormant terrorist outfit. The left-wing radical Stewart remains unrepentant and clings to her belief that the 9/11 terrorist attacks were an "armed struggle."

Now, imagine a traitorous bleeding-heart Stewart assigned to each and every one of the 250-odd Gitmo detainees. Imagine the risk of similar jailhouse collaborations to innocent men, women and children at home and abroad. Imagine the three-ring, O.J.-like circuses these trials will bring to your backyards. It's easy if you try.

Prosecuting suspected terrorists like petty thieves or drug dealers is fraught with peril. The Democrats have learned nothing from the failed law enforcement strategies of the feckless Clinton era. Confiscated al-Qaida training manuals have revealed that recruits are instructed in how to manipulate the Western legal system if they are captured.

Affording accused al-Qaida operatives the Sixth Amendment right to a public trial threatens to compromise classified information necessary to prosecute future terrorist trials. Other rights guaranteed by the Sixth Amendment -- the right to subpoena witnesses and compel them to testify, the right to an attorney -- can interfere with interrogations of captured suspected al-Qaida agents. And while the lives of those directly involved in, say, a mob trial might be endangered, the entire nation may be at risk if we allow suspected members of a terrorist network to engage in the discovery process and in privileged communications with attorney-abettors.

Who will be accountable when these prosecutions run amok? When convicted jihadists wreak bloody havoc from behind bars? And when Gitmo recidivists wage war anew once released?

John Murtha doesn't give a damn. Do you?

The Obama presidency: Here comes socialism

2009-2010 will rank with 1913-14, 1933-36, 1964-65 and 1981-82 as years that will permanently change our government, politics and lives. Just as the stars were aligned for Wilson, Roosevelt, Johnson and Reagan, they are aligned for Obama. Simply put, we enter his administration as free-enterprise, market-dominated, laissez-faire America. We will shortly become like Germany, France, the United Kingdom, or Sweden — a socialist democracy in which the government dominates the economy, determines private-sector priorities and offers a vastly expanded range of services to many more people at much higher taxes.


Obama will accomplish his agenda of “reform” under the rubric of “recovery.” Using the electoral mandate bestowed on a Democratic Congress by restless voters and the economic power given his administration by terrified Americans, he will change our country fundamentally in the name of lifting the depression. His stimulus packages won’t do much to shorten the downturn — although they will make it less painful — but they will do a great deal to change our nation.


In implementing his agenda, Barack Obama will emulate the example of Franklin D. Roosevelt. (Not the liberal mythology of the New Deal, but the actuality of what it accomplished.) When FDR took office, he was enormously successful in averting a total collapse of the banking system and the economy. But his New Deal measures only succeeded in lowering the unemployment rate from 23 percent in 1933, when he took office, to 13 percent in the summer of 1937. It never went lower. And his policies of over-regulation generated such business uncertainty that they triggered a second-term recession. Unemployment in 1938 rose to 17 percent and, in 1940, on the verge of the war-driven recovery, stood at 15 percent. (These data and the real story of Hoover’s and Roosevelt’s missteps, uncolored by ideology, are available in The Forgotten Man by Amity Shlaes, copyright 2007.)


But in the name of a largely unsuccessful effort to end the Depression, Roosevelt passed crucial and permanent reforms that have dominated our lives ever since, including Social Security, the creation of the Securities and Exchange Commission, unionization under the Wagner Act, the federal minimum wage and a host of other fundamental changes.


Obama’s record will be similar, although less wise and more destructive. He will begin by passing every program for which liberals have lusted for decades, from alternative-energy sources to school renovations, infrastructure repairs and technology enhancements. These are all good programs, but they normally would be stretched out for years. But freed of any constraint on the deficit — indeed, empowered by a mandate to raise it as high as possible — Obama will do them all rather quickly.


But it is not his spending that will transform our political system, it is his tax and welfare policies. In the name of short-term stimulus, he will give every American family (who makes less than $200,000) a welfare check of $1,000 euphemistically called a refundable tax credit. And he will so sharply cut taxes on the middle class and the poor that the number of Americans who pay no federal income tax will rise from the current one-third of all households to more than half. In the process, he will create a permanent electoral majority that does not pay taxes, but counts on ever-expanding welfare checks from the government. The dependency on the dole, formerly limited in pre-Clinton days to 14 million women and children on Aid to Families with Dependent Children, will now grow to a clear majority of the American population.


Will he raise taxes? Why should he? With a congressional mandate to run the deficit up as high as need be, there is no reason to raise taxes now and risk aggravating the depression. Instead, Obama will follow the opposite of the Reagan strategy. Reagan cut taxes and increased the deficit so that liberals could not increase spending. Obama will raise spending and increase the deficit so that conservatives cannot cut taxes. And, when the economy is restored, he will raise taxes with impunity, since the only people who will have to pay them would be rich Republicans.


In the name of stabilizing the banking system, Obama will nationalize it. Using Troubled Asset Relief Program funds to write generous checks to needy financial institutions, his administration will demand preferred stock in exchange. Preferred stock gets dividends before common stockholders do. With the massive debt these companies will owe to the government, they will only be able to afford dividends for preferred stockholders — the government, not private investors. So who will buy common stock? And the government will demand that its bills be paid before any profits that might materialize are reinvested in the financial institution, so how will the value of the stocks ever grow? Devoid of private investors, these institutions will fall ever more under government control.


Obama will begin the process by limiting executive compensation. Then he will urge restructuring and lowering of home mortgages in danger of default (as the feds have already done with Citibank).

Then will come guidance on the loans to make and government instructions on the types of enterprises to favor. God grant that some Blagojevich type is not in charge of the program, using his power to line his pockets. The United States will find itself with an economic system comparable to that of Japan, where the all-powerful bureaucracy at MITI (Ministry of International Trade and Industry) manages the economy, often making mistakes like giving mainframe computers priority over the development of laptops.


But it is the healthcare system that will experience the most dramatic and traumatic of changes. The current debate between erecting a Medicare-like governmental single payer or channeling coverage through private insurance misses the essential point. Without a lot more doctors, nurses, clinics, equipment and hospital beds, health resources will be strained to the breaking point. The people and equipment that now serve 250 million Americans and largely neglect all but the emergency needs of the other 50 million will now have to serve everyone. And, as government imposes ever more Draconian price controls and income limits on doctors, the supply of practitioners and equipment will decline as the demand escalates. Price increases will be out of the question, so the government will impose healthcare rationing, denying the older and sicker among us the care they need and even barring them from paying for it themselves. (Rationing based on income and price will be seen as immoral.)


And Obama will move to change permanently the partisan balance in America. He will move quickly to legalize all those who have been in America for five years, albeit illegally, and to smooth their paths to citizenship and voting. He will weaken border controls in an attempt to hike the Latino vote as high as he can in order to make red states like Texas into blue states like California. By the time he is finished, Latinos and African-Americans will cast a combined 30 percent of the vote. If they go by top-heavy margins for the Democrats, as they did in 2008, it will assure Democratic domination (until they move up the economic ladder and become good Republicans).


And he will enact the check-off card system for determining labor union representation, repealing the secret ballot in union elections. The result will be to raise the proportion of the labor force in unions up to the high teens from the current level of about 12 percent.


Finally, he will use the expansive powers of the Federal Communications Commission to impose “local” control and ownership of radio stations and to impose the “fairness doctrine” on talk radio. The effect will be to drive talk radio to the Internet, fundamentally change its economics, and retard its growth for years hence.


But none of these changes will cure the depression. It will end when the private sector works through the high debt levels that triggered the collapse in the first place. And, then, the large stimulus package deficits will likely lead to rapid inflation, probably necessitating a second recession to cure it.


So Obama’s name will be mud by 2012 and probably by 2010 as well. And the Republican Party will make big gains and regain much of its lost power.


But it will be too late to reverse the socialism of much of the economy, the demographic change in the electorate, the rationing of healthcare by the government, the surge of unionization and the crippling of talk radio.

Wednesday, December 31, 2008

The UAW's Money-Squandering Corruptocracy

Nero fiddled while Rome burned. The UAW golfed. While carmakers soak up $17 billion in taxpayer bailout funds and demand more for their ailing industry, United Auto Workers bosses have wasted tens of millions of their workers' dues on gold-plated resorts and rotten investments. The labor organization's money-losing golf compound is just the tip of the iceberg.

The UAW owns and operates Black Lake Golf Course -- a "championship caliber" course opened in 2000 that's part of a larger "family education center" and retreat nestled in 1,000 acres of property in Onaway, Mich. Spearheaded by former UAW president Steve Yokich, the resort also includes "a beautiful gym with two full-sized basketball courts, an Olympic-size indoor pool, exercise and weight room, table-tennis and pool tables, a sauna, beaches, walking and bike trails, softball and soccer fields and a boat launch ramp." Like everything else we're subsidizing these days, the UAW's playground is a money pit. The Detroit Free Press reported earlier this year that the golf course (valued at $6 million) and education center (valued at $27 million) have together lost $23 million over the past five years. While membership in the union has plummeted, the UAW retains assets worth $1.2 billion.

Curious about how the UAW will be spending my money and yours, I sifted through the union's most recent annual report filed with the U.S. Department of Labor (which you can find at unionreports.gov). Who knew hitting the links was so central to the business of making cars?

In May and November 2007, the UAW forked over nearly $53,000 for union staff meetings at the Thousand Hills Golf Resort in Branson, Mo. In September 2007, the UAW dropped another $5,000 at the Lakes of Taylor Golf Club in Taylor, Mich., and another $9,000 at the Thunderbird Hills Golf Club in Huron, Ohio. Another bill for $5,772 showed up for the Branson, Mo., golf resort. On Oct. 26, 2007, the union spent $5,000 on another "golf outing" in Detroit. In May and June 2007, UAW bosses spent nearly $11,000 on a golf tournament and related expenses at the Hawthorne Hill Country Club in Lima, Ohio. And in April 2007, the UAW spent $12,000 for a charity golf sponsorship in Dearborn, Mich. In August 2007, the UAW paid nearly $10,000 to its for-profit Black Lake golf course operator, UBG, for something itemized as "Golf 2007 Summer School." UBG had nearly $4.4 million worth of outstanding loans from the union. Another for-profit entity that runs the education center, UBE, had nearly $20 million in outstanding loans from the union.

Perhaps, the union bosses might argue, they need all this fresh air and exercise to clear their heads in order to make wise financial decisions on behalf of their workers. If only. UAW management has proven to be a money-squandering corruptocracy with faux blue-collar trim. Former UAW head Yokich, who built the Black Lake black hole, is also responsible for bidding $9.75 million of workers' funds in a botched bid to purchase the gated La Mancha Resort Village in Palm Springs. The 100-room walled resort with spas, poolside massages and a "croquet lawn lit for night use" was on the verge of bankruptcy with $5.2 million in debt. Despite outrage from rank-and-file union members who thought one gold-plated golf resort was quite enough, leaders defended the La Mancha bid because, as union spokesman Paul Krell put it, "'You can never tell if you are going to become snowbound." Always putting the workers first!

That deal didn't go through, but the UAW's quixotic dalliance with a failed airline did. In February 2000, the union poured $14.7 million into Pro Air, a Detroit start-up airline that, well, didn't get off the ground. Plagued by safety problems, the feds shuttered the company less than a year later. The union didn't fare much better in its venture with a liberal radio network. In 1996, union heavies got the bright idea to invest $5 million in United Broadcasting Network, a left-wing precursor to Air America that the UAW hoped to use to spread its corporate-bashing propaganda. They shelled out for a $2 million, state-of-the-art studio in Detroit and incurred years of losses of a reported $75,000 a month before closing the network down in 2003.

And while the UAW and carmakers cry poor, they've operated massive joint funds for years that have paid for lavish items such as multi-million-dollar NASCAR racer sponsorships and Las Vegas junkets. The dire economic downturn hasn't changed the behavior of profligate union bigs at the front office or the shop floor. Local Detroit TV station WDIV recently caught local UAW bosses Ron Seroka and Jim Modzelewski -- both of whom make six-figure salaries -- on tape squandering thousands of hours of overtime on such important labor security matters as on-the-clock beer runs and bowling tournaments.

At least the groveling Big Three CEOs gave up their corporate jets. Where's the public flogging for the greed-infested UAW fat cats reaching into our pockets to keep them afloat?