STUFF POTUS left out of SOTU

"He shall from time to time give to the Congress information of the state of the union, and recommend to their consideration such measures as he shall judge necessary ..."-Article II, Sect. 3 of the United States Constitution.

Essentially what this means, and with help from Kenny Rogers, the President drops in to tell us what condition our condition is in.

In reality it's become an evening of pomp and circumstance with little in the way of substance. Afterwards a representative of the "Loyal Opposition" gives their take on things followed by hours of punditry by Washington Insiders who explain to us folks on Main Street USA what was really said. That crowd long ago forgot we can think for ourselves.

An evening of Hoo-Hah. Ho-Hum.

So with help from some pretty smart folks including a recent presentation by Greg Anton, a nationally recognized CPA, here are the parts the President left out, at least about the deficit. Mr. Anton has even been invited to the White House for his input on our growing financial mess. He said they were polite but didn't pay much attention.

A bit of a preamble is in order. I'll be using the word "Trillion" a lot here as in dollars. So just how much is a Trillion?

• One Trillion Dollars is $1,000,000,000,000.
• A trillion dollar bills stacked on top of each other would reach 68,000 miles. That's a third of a way to the moon. Ask Gene Cernan, he's been there.
• A trillion seconds is 32,000 (thirty-two thousand) years. That's a long time.

OK, hopefully this helps you understand just how big a number a trillion really is.

When President Obama took office, the National Deficit, at least according to the way the government tracks such things was 11.5 trillion dollars. Now it's about 16.5 trillion dollars. The Republicans make a big deal about this. But a fellow by the name of George Bush helped get us to the 11.5 trillion figure and despite all the blather about Bill Clinton and his "Budget Surplus" he chipped in too. This scam has been going on for decades.

So here we sit with a National Deficit of $16,700,000,000,000. Or so the government tell us. Actually they're fibbing a bit. OK, they're fibbing a lot.

Folks like Greg Anton who understand things like balance and loss sheets put the actual deficit at over SIXTY-SEVEN TRILLION DOLLARS! (All caps for emphasis and assuming you've grasped the earlier bullet points by this time)

You see, the government doesn't do its books like we have to here on Main Street. They get to leave out all sorts of short and long term liabilities and stuff. Like, Social Security and Medicare. Well, they are listed, but as footnotes and in no way reflected as liabilities. So a lot of money is "off the books." If we filed our taxes that way, we'd end up in jail.

Here's where we're really at: (Bullet point alert!!)

• The net worth of all the households here in the United States, houses, cars, lawnmowers and assorted knick knacks etc is around $65 Trillion. 
•  Our real debt, including real obligations as a nation is the aforementioned $67.7 Trillion.

If the United States was a mortgage, we'd be underwater. We owe more than the country is worth. So we are underwater. The amount we owe continues to grow, despite what you heard last night and what you've been hearing for years and years and years. It's growing so fast in fact, that countries like China are having a harder and harder time buying up our debt. There's simply too much of it.

I'll be blunt. Our government, both the Executive and Legislative Branches have been misleading us. An irony because they were elected to ...lead us instead. Democrats and Republicans alike.

If you'd really like to dig into all this, check out a non-partisan group of caring Americans at www.FixTheDebt.org. 

I urge you to spend some time and do your own research. You might also want to read the findings and solutions of the National Commission on Fiscal Responsibility and Debt Reform. It's about 65 pages long and as they say, a "Real page-turner." Senator Alan K. Simpson (R-Wyoming) and Erskine Bowles (Former Clinton Chief-of-Staff) chaired the bi-partisan group at the request of President Obama. They did their job, presented the report to the President who then stuck it in a drawer after the photo-op.

The report does offer solutions. But there is little if any sugar to help the medicine go down. It's going to take more than Warren Buffett paying more taxes. With around 50% of the population not paying any Federal Income Tax, most will have to start paying something.

Social Security is secure, although retirement ages will have to be raised in the coming years. There will also have to be means testing. Sorry Warren, no Social Security for you or your secretary. As for Medicare and Medicaid, we have simply over-promised far too long. There just is no way to meet coming demands. Defense will have to be cut. Before you get all lathered up over that, we spend more on defense than any country in the world. According to folks like Al Simpson and Erskine Bowles we spend more on defense than the next 15 nations below us combined. And most of them are allies! Also look for stuff like the tax deduction on mortgage interest to be phased out. As a bit of a sidebar, Canada has never had that deduction or anything like Fannie Mae, Freddie Mac or Snoop Snoop Poopy Dog. Yet they have a higher percentage of home ownership than we do.

To be absolutely clear, we have no choice in the matter. Well, unless we want to end up like Greece with 25% unemployment and rioting in the streets. Sadly, it might take something that drastic to really get our attention.

So, all stuff left out last night.

We can get out of this mess if we act now. As in immediately if not sooner. We have a role in all this. If like me, you belong to an organization like the South Metro Denver Chamber of Commerce, you get to meet our elected representatives to Washington. Ask them, politely, to stop lying and start fixing and if they don't you'll work hard to make sure they lose their jobs.

You can also write, phone, e-mail these folks or best of all, show up to their Town Hall Meetings. Be polite, but firm. Tell them to stop lying and to start doing. Don't, I repeat don't count on many of the media to ask the questions. They're too, uh, obtuse to ask. One journalist I do recommend you read is Al Lewis of Dow Jones Newswires. He's done the math.

We're under water. Let's not let this nation drown. Like the Titanic, we're running out of lifeboats.

Brian Olson
Owner/Consultant
Conversation Starters Public Relations
"We start the conversation about you"

Shooting from the Lip-The Life of Senator Al Simpson

I'm reading a delightful book, a must-read I think, for any political buff. It's about the life and times of Wyoming Senator Al Simpson. It's written with incredible detail by Don Hardy, Simpson's former Chief of Staff.

It's called "Shooting from the Lip-The Life of Senator Al Simpson."

Al instructed Don to tell the truth, the whole truth. Don was helped by thousands of pages of diaries and other records along of course by working the Senator in Washington.

While News Director at KGWN-TV in Cheyenne WY, I covered Senator Simpson during his tenure as Senator from 1979-2007. We've stayed in touch since. A remarkable man.

 

With the Senator in his Washington Office "Back in the Day"

 With Senator Simpson, Former Wyoming Governor Mike Sullivan and my wife Ronda at the LBJ Library at UT-Austin.

After his time in the Senate, he continues to serve. First as a member of the Iraq Study Group and most recently as Co-Chair of the Bi-Partisan Simpson-Bowles Commission, tasked with finding a way to dig ourselves out of a $16 Trillion deficit.

Both reports had/have real solutions, both were stuffed in a drawer. Washington is stupid that way, asking for answers then not listening to them. You should read the Simpson-Bowles Report, there is very little sugar to get the medicine down. But it offers real solutions, not political hoo-hah.

Al Simpson is a pretty well-known guy. He's famous for both his wit and ability to legislate. He understands compromise. One of his closest friends in the Senate was the late Ted Kennedy. Political opposites for sure. But both understood the whole concept of legislating is doing what's best for the people who elected them to do just that. They might fight it out on the Senate Floor or in Committee, but understood that compromise was the key. That and the fact they likely had dinner plans together with their wives!

Al served as Majority Whip in the Senate and it's rumored (and I believe it) he was offered the #2 spot on the ticket with Bush 41.

Al started out life as a trouble maker, getting into all sorts of trouble including a felony conviction. It's no small irony he went on to get a degree in law, then serve the nation with such devotion and accomplishment.

Shooting from the Lip is a rich history of a man rich in character and accomplishment. My favorite parts are witticisms like "I have come to know the difference between a horse race and a political race. In a horse race the entire horse runs."

He also speaks about Washington in his words, "Knowing full well that those who travel the high road of humility in this town are not really troubled by heavy traffic."

If you don't buy a copy for yourself, buy one for your Senator or House Representative. Now more than ever, everyone in Washington could learn a thing or two, or three from the tall, gangly galoot from Ole Wyo.

Shooting from the Lip would make a great movie. But the only person who could give the role any justice would have been the late Jimmy Stuart who is no longer with us. I'm just glad Al Simpson still is!
 
Brian Olson
Owner/Consultant
Conversation Starters Public Relations
"We start the conversation about you!"

Presidential Debate Primer

Tonight's the night. Romney vs Obama at DU. Time now to manage expectations.

1. First, this really isn't a debate but more of a series of highly rehearsed responses to expected questions from the moderator, regardless if they actually deal with the question. It's all about the sound byte. It's a game of "Gotcha!"

If a candidate begins a response with  "The fact of the matter is ...." it means they aren't going to answer the question. Or at least try not to because ...

Jim Lehrer is tonight moderator. I've met him a couple of times. He's a nice guy but a no-nonsense questioner. This is his 12th Presidential Debate. You can't fool him. He's also convinced organizers to make tonight's event more of an interview format with fewer questions, but longer segments for questions, answers and follow-up. He'll challenge every response with both candidates.

2. There's something else on the stage tonight. An 800 pound gorilla called the DEFICIT. It passed the $16 Trillion mark during the Democratic Political Convention. How much is $16 Trillion? Well, it's about $60 Thousand for each and everyone of us. Each and everyone. It will be even more tomorrow.

Both candidates will at least mention it, blame each other for it and the key will be if either offers some real ideas to reduce it. Not likely, as it could be perceived as a "gaffe" and you know what the media does with gaffes.

3. Speaking of the media, they will outnumber the actually number of real people in the audience or at least in the building by about 3-1. As a former television news director, executive producer and network field producer let me tell you that there really is no bias in at least the national media. It's just that most of the national folks are out or touch with reality and any sense of what goes on here on Main Street USA.

One could say they're mostly stupid, but that would be impolite. Let's just use the term "Obtuse."

I can't tell you the number of times I got bizarre requests for story coverage for stories that didn't even exist. These folks live and work in Washington DC and New York City. They go to cocktail parties with the same people they cover and often inter-marry! It's incestuous. They have little if any clue as to what the real issues are that impact us outside of their world. (See previous comments on deficit)

After the debate, these folks will tell us what really was said and what it meant. They don't think we have enough intelligence to make up our own minds on what we heard. It's true.

Do don't listen to them. They're, you know, obtuse. Make up your own mind. Be your own pundit.

I will say this about local media, they're by and large very fair. They live and shop where we do and their kids go to the same schools as ours. They're clear in separating opinion from reporting. They live with us here on Main Street USA. They're worth a listen.

4. It's important we respect the process. President Obama and Governor Romney have had the courage to put their name on the ballot, to say "this is what I believe in and this is what I want to do." We are free to agree or disagree with either candidate but let's respect the fact they made a deeply personal decision to run for office. Along with wearing the uniform, the most patriotic thing anyone can do is run for office. Act accordingly, especially on Social Media. Name calling and F-Bombs do nothing to bridge the scary political divide that exists in America. (See earlier comments on deficit)

5. Do your home work. I suggest reading the report of the Simpson-Bowles Commission. It was ordered by the President, and both Republican Senator Alan K. Simpson along with former Clinton Chief of Staff Erskine Bowles put together a remarkable roadmap to dig us out of a frightening financial hole. (See earlier comments on deficit)

The report, was filed away in some box. Like the Ark of the Covenant scene from that Indiana Jones movie.

Here's the link to the report. 

As you read, or at least skim through the report you'll see there's very little sugar inside to let the medicine go down. The trouble is, it will take no small amount of political courage to make the tough decisions that need to be made in Washington and executed here at home. (See earlier comments on deficit.)

Look, listen, ponder as if the future of our nation depends on it. Because it does.

Brian Olson
Owner/Consultant
Conversation Starters Public Relations
"We start the conversation about you!"