“The Senator’s potential resignation to run for governor amounts to nothing more than another taxpayer funded bailout, only this one benefits one person’s political ambition, leaving Texas taxpayers holding the bill. In addition to the Senator’s delegation-leading earmarks, her vote for a $700 billion Wall Street bailout, and her out-of-control spending habits, the potential cost to Texas taxpayers is $30 million.”
Click <a href="http://www.empowertexans.com/special-election">here</a> to view the article from <i>Empower Texas</i> President Michael Quinn Sullivan regarding the cost of Sen. Hutchison's potential resignation to Texas taxpayers.
WASHINGTON (AP) -- Taxpayers face losses on a significant portion of the $81 billion in government aid provided to the auto industry, an oversight panel said in a report to be released Wednesday.
The Congressional Oversight Panel did not provide an estimate of the projected loss in its latest monthly report on the $700 billion Troubled Asset Relief Program. But it said most of the $23 billion initially provided to General Motors Corp. and Chrysler LLC late last year is unlikely to be repaid.
"I think they drove a very hard bargain," said Elizabeth Warren, the panel's chairwoman and a law professor at Harvard University, referring to the Obama administration's Treasury Department. "But it may not be enough."
The prospect of recovering the government's assistance to GM and Chrysler is heavily dependent on shares of the two companies rising to unprecedented levels, the report said. The government owns 10 percent of Chrysler and 61 percent of GM. The two companies are currently private but are expected to issue stock, in GM's case by next year.
The shares "will have to appreciate sharply" for taxpayers to get their money back, the report said.
For example, GM's market value would have to reach $67.6 billion, the report said, a "highly optimistic" estimate and more than the $57.2 billion GM was worth at the height of its share value in April 2008. And in the case of Chrysler, about $5.4 billion of the $14.3 billion provided to the company is "highly unlikely" to ever be repaid, the panel said.
Treasury Department officials have acknowledged that most of the $23 billion provided by the Bush administration is likely to be lost. But Meg Reilly, a department spokeswoman, said there is a "reasonably high probability of the return of most or all of the government funding" that was provided to assist GM and Chrysler with their restructurings.
Administration officials have previously said they want to maximize taxpayers' return on the investment but want to dispose of the government's ownership interests as soon as practicable.
"We are not trying to be Warren Buffett here. We are not trying to squeeze every last dollar out," Steve Rattner, who led the administration's auto task force, said before his departure in July. "We do want to do well for the taxpayers but the most important thing is to get the government out of the car business."
Greg Martin, a spokesman for the new GM, said the company is "confident that we will repay our nation's support because we are a company with less debt, a stronger balance sheet, a winning product portfolio and the right size to match today's market realities."
The Congressional Oversight Panel was created as part of the Troubled Asset Relief Program, or TARP. It is designed to provide an additional layer of oversight, beyond the Special Inspector General for the TARP and regular audits by the Government Accountability Office.
The panel's report recommends that the Treasury Department consider placing its auto company holdings into an independent trust, to avoid any "conflicts of interest."
The report also recommends the department perform a legal analysis of its decision to provide TARP funds to GM and Chrysler, their financing arms and many auto parts suppliers. Some critics say the law creating TARP didn't allow for such funding.
The panel's members include Rep. Jeb Hensarling, a Texas Republican, who dissented from the report. Hensarling said the auto companies should never have received funding and criticized the government for picking "winners and losers."
Other agencies have also projected large losses on the loans and investments provided to the industry. The Congressional Budget Office estimated in June that taxpayers would lose about $40 billion of the first $55 billion in aid.
Associated Press Writer Ken Thomas contributed to this report.
Gov. Rick Perry has received the endorsement of the Texas Chiropractic Association (TCA) for re-election in 2010.
"We are pleased that Governor Perry is engaged in health care issues that are important to all Texans, and that he sees prevention as the first component of a cure,” said Dr. Kevin Kanz, president of TCA. “We look forward to working with him to see that every Texan has access to health care options that meet the specific needs of every family and community we serve."
“I am glad to have the support of Texas chiropractors and thankful for the important role they play in our health care system,” said Gov. Rick Perry. “I look forward to continue working with them and all health care professionals across the state as we address important issues related to health care in Texas."
Forbes has released a couple of brand new "best of" lists this week, and yet again Texas scores well in their rankings.
First, Texas cities performed well in Forbes' 2009 ranking of Best Cities To Earn A Living rankings: Dallas was #1, Houston was #2, and Austin was #4. Forbesadds:
For the exasperated job-seeker to whom employment opportunities seem bleaker than ever, salvation may lie in the Lone Star State. Texas, home to dozens of energy heavyweights and nearly as many innovative small companies, has three of the best cities to earn a living: Dallas, Houston and Austin.
When taking into account the cost of living, strength of industry, economists' predictions for the future state of employment and, of course, salary, these are some of the best U.S. cities in which to take home a paycheck.
Forbes also studied the most and least stressful cities in America, based on things such as the median drop in home prices, the unemployment rate, the cost of living, and air quality. Based on those criteria, Austin-Round Rock was the least stressful city, and San Antonio was the second-least stressful. Dallas-Ft. Worth-Arlington was among the 5 least stressful cities, and Houston-Sugar Land-Baytown was the 9th least stressful city.
While some cynics incessantly run down the Texas success story for cheap political gain, Governor Perry is proud of Texas and proud of his conservative record. For more great facts about success in Texas, check out http://RickPerry.org/texassucceeding.
Gov. Rick Perry has received the endorsement of Kelly Shackelford, president of the Free Market Foundation.
“I have known Governor Rick Perry for many years,” said Shackelford. “He is simply unequaled by anyone in his stance for faith, family, and freedom. He is the clear choice for all true conservatives.”
“Texas is no doubt a better place with Kelly at the helm of efforts to preserve our guaranteed freedoms and strengthen our families,” said Gov. Perry. “I am honored to have his support in this upcoming election.”