Saturday, January 22, 2011

The New Congress

So, I have no issue with reading the Constitution on the first day of the new Congress. Might be a good idea to do every time to make sure that all of our Members of Congress have heard it at least once. There's a really good article in there about Congress Declaring War. Anyway, I digress.

So the most important thing that had to get done was the Repeal of the "Job Killing Health Care Bill?" The most important thing? In the whole country? And for what? The Senate probably won't even bring it. If they do, it likely won't pass. If it does it will get vetoed. Why not focus on the specific things that they have concerns with, that they might actually be able to get approved? It doesn't make good TV or newpaper copy. I am convinced that the leaders of the Republican Party are just angling for something else. If they were really serious about making a difference I think there would be some more reasonable approaches to problem solving.

For example, one of the AHCA provisions calls for companies to create 1099's for anyone who they pay $600 to during a year. So, that has one purpose - it helps the IRS collect more taxes. Those taxes help to pay for the health care insurance costs. Now, if I earn $600, I owe taxes. If no one reports that I earned $600 there is no way to identify me. Sort of the same issue with cash tips that often go unreported, or the guy who paints your house and gives you a discount for cash. Not a new tax, but better enforcement of existing law. Now, I agree that filling out 1099's is an additional burden on companies. However, I have to think that there might be a way where the creation of a check to a vendor can be made to create a record somewhere so that at the end of the year that 1099 can be generated by some automated tool. I know that I go on line and create W2's each year on the SSA site. It doesn't take too long and I'm sure that someone somewhere is going to develop an application for 1099's. I don't know how much tax revenue that is going to generate, but it seems to me that it is worth looking into.

Anyway, that's just one example. Instead of repealing a law that hasn't even come fully into effect yet (and by doing so, undoing all the parts that have) leave it alone and work on things that are more important. Things that both parties can agree on. Let's see:

1. End the people killing wars in the Middle East. They are costing us a fortune, are never ending and given that we have not declared war on anyone, they seem on the face to be illegal. Honestly, how do you wage war on a disorganized group of anarchists? They are criminals, should be treated like criminals and that's that. Giving them the status of a worthy advasary of the United States and the free world just gives them standing they dont deserve.
2. Fix the economy. I heard an interesting commentary the other day. It goes something like this. If I am a company president who has had to lay off 1000 people in 2008, I have probably figured out how to run the company without those people by 2011. So I am not hiring anyone until my company grows a lot. And that won't happen until people start buying my stuff. And that won't happen without jobs that pay well. Kind of an endless circle. So, figure out what it takes to bring some new jobs to our country. Tax policy comes to mind. That doesn't necessarily mean lowering tax rates. Lowering tax rates means that companies and people get to keep more of their money but it doesn't create a job. But if we had tax policy that said if you add 100 jobs your tax rate goes down, well maybe that would. Or, how about a tax holiday for a company that starts a new division that is making batteries that power cars? Wny not start letting us build nuclear power stations again? Construction jobs, maintenance jobs, operator jobs and it saves oil. If demand for oil goes down then the price of gas might go down. If that happens people have more money. Maybe they will buy something?
3. Use stimulus money the right way. As much as we hate it, we need public works programs. We need the internet to be expanded everywhere. We need bridges rebuilt. We need road expanded. All of these things need people to do them. No stimulus money should be given to any project that doesn't create jobs and if it takes $1,000,000 to create one job, that is the wrong project.

Anyway, there are people smarter than may who should be able to figure this stuff out. Every law that this new Congress passes (or even considers) in addition to the Constitutional Citation should also have a Job's Creation Citation that spells out how this law will create some number of jobs.

Well, that's what I think of the new Congress.