Congressional Oversight Mandate
April 25, 2019
I live in Clearwater, FL and my elected Congressional representative is Charlie Crist. Here is a copy of my letter to Rep. Crist regarding the obfuscation by Steven Mnunchin:
April 25, 2019
No law requires presidential candidates to release their tax returns, but historical precedent does.
In November 1963, then-presidential candidate George Romney started this trend when he released 12 years of tax returns, a full year prior to the 1964 election.
When George’s son Mitt ran for president in 2012, he released his own tax returns.
According to PolitiFact, only 7 presidential or vice president candidates since 1976 have not released any tax returns. (Jerry Brown, Pat Buchanan, Mike Huckabee, Steve Forbes, Rudy Giuliani, Richard Lugar, Ralph Nader, none of whom were elected to the position they sought.)
When Donald J. Trump voluntarily announced (June 2015) his candidacy to run for the office of President of the United States, he voluntarily left a sequestered world of privacy to become a public figure.
Americans have come to rely on full transparency from Presidential candidates, including voluntary public release of federal tax returns.
Since June 2015, Trump has been asked many times to release his tax returns, and he has often replied in specious and vague generalities, frequently citing “under audit” as a primary barrier.
Fast forward to April 2019: Ways and Means Committee Chairman Richard Neal (D-MA) sent a written request to Internal Revenue Service (IRS) Commissioner Charles Rettig seeking six years of President Donald J. Trump’s personal and business tax returns.
Chairman Neal issued a concurrent statement explaining his request: “Congress, as a co-equal branch of government, has a duty to conduct oversight of departments and officials. The Ways and Means Committee in particular has a responsibility to conduct oversight of our voluntary Federal tax system and determine how Americans – including those elected to our highest office – are complying with those laws. It is also our duty to evaluate the operation of the Internal Revenue Service in its administration and enforcement of the tax laws.
“The IRS has a policy of auditing the tax returns of all sitting presidents and vice-presidents, yet little is known about the effectiveness of this program. On behalf of the American people, the Ways and Means Committee must determine if that policy is being followed, and, if so, whether these audits are conducted fully and appropriately. In order to fairly make that determination, we must obtain President Trump’s tax returns and review whether the IRS is carrying out its responsibilities. The Committee has a duty to examine whether Congressional action may be needed to require such audits, and to oversee that they are conducted properly.”
U.S. Treasury Secretary Steven Mnuchin failed to ensure that IRS Commissioner Rettig met a final congressional deadline of April 23 for turning over President Donald Trump’s tax returns to lawmakers, the second time the Trump administration missed a House deadline for the tax returns since Neal requested them on April 3.
After the deadline lapsed, Mnuchin released a letter to Neal in which he pledged to make “a final decision” on whether to provide Trump’s tax records by May 6 by which date Mnuchin expected to receive a legal opinion from the Department of Justice on the propriety of Chairman Neal’s request.
Mnuchin further stated he was concerned that the efforts by Democrats to release the president’s tax returns were ‘politically motivated’.
The powers delegated to the Chairman of Ways and Means under IRS code are clear.
Steven Mnuchin and Charles Rettig are violating the laws of our country and ought to be charged as such; arrested; and imprisoned until such time they comply with this legitimate Congressional request.
If Congress fails to act quickly and assertively to take control of this situation, then Congress is complicit in the continued efforts of the Trump administration to usurp the very essence of our Constitutional Republic.
Thank you for making time to consider my opinions on how our federal government could better serve the best interests of the people.
The Untouchables
April 23, 2019
The Untouchables television series debuted in 1959 loosely based on a memoir written by Eliot Ness, chronicling his career as a federal Treasury enforcement agent in the 1930’s.
The TV series starred Robert Stack (as Eliot Ness) as the leader of a team of Prohibition Agents employed by the U.S. Department of the Treasury following their efforts to bring down the bootleg empire of “Scarface” Al Capone.
The team of agents was nicknamed “The Untouchables” because of their courage, moral character, and incorruptibility; legend said they could not be bribed or intimidated by the Mob.
The Untouchables was a landmark television series that spawned numerous imitators over the decades, including S.W.A.T.; The F.B.I.; Crime Story; the original Hawaii Five-O; and countless more.
Those were the days when the American public proudly looked up to…
- Our elected leaders in Washington;
- Their appointed cabinet heads; and
- The career public servants who signed on to protect our country against rascals, scoundrels and scofflaws.
Today (April 23, 2019), U.S. Treasury Secretary Steven Mnuchin failed to meet a final congressional deadline for turning over President Donald Trump’s tax returns to lawmakers, setting the stage for a possible court battle between Congress and the Trump Administration.
Last week, we witnessed William Barr — the current Attorney General of the United States – in a nationally televised press conference deliver a fully fabricated introduction to a 400+plus page summary of a Special Counsel independent investigation (“The Mueller Investigation”) into allegations of Russian government efforts to interfere in the 2016 presidential election.
We have a sitting President who has frequently and publicly besmirched, criticized and/or called into question the abilities, intentions and loyalty of the entire U.S. intelligence community, including the FBI, CIA, Treasury Department and National Intelligence Agency,
Trump’s decision to revoke the security clearance of former CIA director John Brennan in August 2018 – apparently in retaliation to Brennan’s comments that Trump was incapable of managing the office of POTUS – is cast in complete juxtaposition to the forced security clearances for Jared and Ivanka.
Make America Great Again?
Yeah.
Let’s go back to the time when Eliot Ness and his team of Untouchables were revered by virtually all Americans, and when we were willing and able to unite against Mobsters and Criminals who threatened the very essence of our Constitutional Republic.
More on: Tax Cuts & Jobs Act
April 16, 2019
Paul Ryan retired from Congress in January 2019 after 20 years of service culminating in his 3+ years of service as Speaker of the House.
Ryan was the chief cheerleader for the Tax Cuts and Jobs Act, and he left D.C. touting it as the greatest accomplishment of his political career.
Ryan repeatedly exclaimed how this new legislation (TCJA) would unleash unprecedented U.S. economic prosperity, by providing:
- Tax relief for middle-income families;
- Simplification of the tax code for individuals;
- Economic growth; and
- Repatriation of $3+ Trillion of profits U.S. companies have parked overseas would generate more investment and jobs in the U.S.
16 months after passage of the TCJA, it should be crystal clear that:
- Almost none of the tax cut benefits have reached the low- and middle income Americans who were promised tax relief;
- The TCJA legislation is some 1,097 pages itself, and it states very clearly that it is an Amendment to (the existing) Internal Revenue Code of 1986 (not a simplification);
- Economic Growth? The jury is still out on this one, but there seems to be no evidence of growth above or beyond the existing growth trend line which began in mid-2009;
- American companies have returned some (+/- $500 Billion) of their profits held overseas as a result of the tax holiday which was part of TCJA. Much of that money was used for stock buy-backs and debt reduction.
In fact, 16 months following the passage of the TCJA, U.S. companies are still waiting for final guidance from the Treasury Department on many of the final rules relative to repatriation.
And, despite continued U.S. economic growth and record corporate profits, a record 60 Fortune 500 companies avoided paying any federal income tax in 2018.
Federal tax revenues have declined during a period of economic expansion and our government spending has increased, thus the verifiable result from Paul Ryan’s signature accomplishment – the TCJA — is an increase in our federal deficit, an extra-special gift to our children and grandchildren.
The Treasury Department announced in March 2019 that the deficit for the first four months of the 2019 budget year (which began Oct. 1, 2018) totaled $310.3 Billion, up from a deficit of $175.7 Billion in the same period the year prior.
The Congressional Budget Office is projecting that the annual federal deficit between revenues and expenses will hit $897 Billion in fiscal year 2019, up 15.1 percent from the $779 Billion deficit recorded in FY 2018.
The end result: Our total federal debt will reach $22 Trillion this year – about 105% of GDP.
Why is that important? A comprehensive study by the World Bank examined economic data from 100 developing and developed economies spanning a time period from 1980 to 2008, concluding that a public debt/GDP above 77% begins to create a drag on economic growth.
The World Bank analysis concluded that for each additional percentage point of debt above the 77% threshold costs 0.017 percentage points of annual real growth.
If the World Bank study is correct, we are currently missing about 0.5% of our economic growth potential due to misguided public policy decisions, in addition to the future burden of repaying federal debt which was incurred unnecessarily.
Paul Ryan achieved his personal goal of shepherding record tax reform through Congress resulting in the passage of TCJA.
Although his personal goal was achieved at the expense of American society, Paul Ryan clearly is a winner. So, please join me in sending a note of thanks and congratulations to Paul Ryan. He left us a legacy.
Paul Ryan & Tax Cuts
April 16, 2019
Dear Paul Ryan,
In 1998 – at the age of 28 – you were first elected to the House of Representatives to represent the 1st District of Wisconsin. You were re-elected a number of times, and you served for 20 years in Congress.
After John Boehner announced his intention to resign from the House and the Speakership in 2015, you were selected by your colleagues to become Speaker of the House.
You were involved in some very positive legislative accomplishments during your 20 year tenure as a Congressman representing the 1st District of Wisconsin, and during your tenure as Speaker of the House.
Unfortunately, your legacy will forever be connected to the Tax Cuts and Jobs Act (TCJA) which was passed into law at the end of 2017.
Although the TCJA provided the Trump Administration with an accomplishment relative to their campaign platform, it is a highly flawed piece of legislation which was created on a foundation of fictitious and inaccurate assumptions.
Just 16 months following the passage of TCJA, we can clearly see the adverse impacts.
Business and corporate tax cuts have resulted in: stock buy-backs; excessive executive compensation and bonuses; acquisitions and consolidations resulting in plant closings and layoffs. All of these have been enabled by tax cuts which have resulted in 60 major corporations paying zero federal income taxes in 2018.
Whereas in times of economic expansion, the great majority of economists advise public sector entities to reduce deficits and aim for balanced budgets, the TCJA does just the opposite.
Some of the loss of tax revenue from business and corporate entities has been replaced by increased federal tax liability on individuals (like me), the majority of the lost tax revenue has been made up through deficit spending.
The annual federal budget deficit is expected to reach $900 Billion in fiscal 2019 and to equalize in the range of $1 Trillion annually for the next decade, up from $779 Billion in 2018.
Mr. Ryan: over the course of your service in Congress, you achieved national recognition as a conservative policy wonk and as a relentless critical observer of our federal budget. You seemed to be a relentless critic of federal deficits, winning acclaim from centrists for your detailed charts showing the dangers that fiscal shortfalls posed to America’s future.
You slipped out of Washington in January 2018 knowing that you led the American people down a dangerous and dead-end road.
In your defense, we can acknowledge that you reluctantly took on the role of Speaker knowing that it was an impossible responsibility to fulfill. Despite this, we must hold you fully accountable for failing to disclose to your constituents – and the entire U.S. population – that the TCJA was a sham – a complete flim-flam designed to create a false reality.
Paul Ryan: Let us hope that your family, your wife, your children – and your neighbors – are willing and able to forgive you for selling out the interests of the people of Wisconsin — as well as the people of the United States – for whatever benefits you personally gained from your treachery toward the end of your tenure in Congress when you became the champion of the fictitious Tax Cuts and Jobs Act.
Mr. Ryan: Good luck to you, and God bless.
Sen. Rick Scott & Health Care
April 3, 2019
Dear Senator Scott:
I live in Clearwater, FL so I write to you today as an alert and engaged constituent.
You are an accomplished and admired American leader. After volunteering for military service during the Vietnam era, you honorably served your country in the U.S. Navy as a radar technician aboard the USS Glover. You overcame significant social and economic obstacles to earn a J.D. from the SMU Dedman School of Law.
You are a former Chairman and CEO of one of the largest private sector health care corporations in America (Columbia/HCA). You then admirably served two terms as Governor of Florida; and you now serve as one our two U.S. Senators from the Great State of Florida.
In fact, you have been recognized as a uniquely qualified American leader who ran the largest health care company in the world, and who cares deeply about the costs and quality of health care to consumers.
I tuned into watch and listen to Face the Nation (CBS) on March 31, 2019, eager to learn from your current perspectives on health care in America.
I was disappointed by your responses to Margaret Brennan’s questions about a renewed partisan focus to repeal the ACA (President Trump, March 26, 2019). I was particularly concerned about your focus on drug prices as a key driver of excessive costs in our health care sector. While your observations contain some truth, you failed to disclose the background behind persistent high prices of ethical pharmaceuticals in the U.S.
On April 1, 2019, you were interviewed by Steve Inskeep from Morning Edition (NPR).
Mr. Inskeep attempted to draw out your unique expertise on some of the most critical issues facing our nation relative to our health care delivery system, noting that ‘President Trump says he wants Republicans to be known as the party of health care’.
You zeroed in on high prescription drug costs, and you cited a bill you are introducing, the “Transparent Drug Pricing Act” which aims to stop drug companies from charging more for medication in the U.S. than in other countries.
In both cases, you responded to some solid direct questions with sadly incomplete ‘softball’ answers.
I did not hear you mention the “non-interference” clause of the Medicare Modernization Act of 2003 which is frequently cited as the core reason for excessive drug costs in the U.S.
Medicare accounts for more than 25% of annual national retail prescription spending, and taxpayers currently pay nearly 70% more for drugs in the Medicare program than through the Veteran’s Administration, which has direct negotiating power with drug companies.
The Medicare Modernization Act of 2003 precludes the Secretary of Health and Human Services (HHS) from negotiating directly with drug manufacturers on behalf of Medicare Part D enrollees. A simple act of Congress, supported by the executive branch, can repair this problem quickly. In fact, a recent survey conducted by the Kaiser Family Foundation shows that over 90% of the public believes that allowing the federal government to negotiate drug prices for Medicare beneficiaries is needed.
As a highly accomplished expert in the field of health care, you are certainly familiar with a comprehensive study conducted by researchers at Harvard Medical School which examined peer-reviewed medical and health policy literature from January 2005 to July 2016. The study was published in the Journal of the American Medical Association (August 23/30, 2016, “The High Cost of Prescription Drugs in the United States”).
Their research studied scholarly articles addressing the sources of drug prices in the United States; examined the justifications and consequences of high prices; and investigated possible solutions for the pharmaceutical price conundrum we continue to face in America.
This independent professional research concluded that high U.S. drug prices are the result of U.S. government protected monopolies granted to drug manufacturers, combined with coverage requirements imposed on government-funded drug benefits. They noted that the most realistic short-term strategies to address high prices include:
- enforcing more stringent requirements for the award and extension of exclusivity rights;
- enhancing competition by ensuring timely generic drug availability;
- providing greater opportunities for meaningful price negotiation by governmental payers;
- generating more evidence about comparative cost-effectiveness of therapeutic alternatives; and
- more effectively educating patients, prescribers, payers, and policy makers about these choices.
Individuals in the U.S. are directly impacted by the cost of prescription drugs at the retail level, whether fully covered by their insurance provider; through a co-pay; or fully funded out of pocket.
Indirectly, each taxpayer in the U.S. helps to subsidize the cost of prescription coverage for current and retired local, state and federal government employees; veterans; and those of our neighbors who are eligible for Medicare/Medicaid benefits. When drug prices are inflated due to a lack of appropriate government regulation, U.S taxpayers are subsidizing excessive profits which accrue to executives and shareholders of pharmaceutical companies.
It is – and has been – clear to me that our elected officials in Congress have failed the people of the U.S. over a rather long period of time. Our elected representatives have failed to address the root causes of high drug prices which have been identified and delineated in (the previously cited) independent and non-partisan report published almost 3 years ago.
Senator Scott, I believe the great majority of my fellow Floridians join me to expect much more of you in this arena.
We count on you — A recognized expert in the field of health care — to give us the full, honest and unvarnished picture on these issues, and to support new and appropriate legislation which strategically addresses the rapidly changing operational landscape on which our economy and society operates.
walrus51 