Daily Archives: October 15, 2013

Constitutional Debt Crisis: Obama Wants Power Of The Purse Or He Will Order Default

KingObamaFinger

Obama is forcing a Constitutional Crisis – by threatening to default on the nation’s debts – a power he does not have, unless he intends to usurp them from Congress.

Best explanation of the “debt-crisis’ and what Obama is attempting to do should he succeed.

H/T Mark Levin – Human Events

REP. MCCLINTOCK (R-CA) BREAKS DOWN THE DEBT CRISIS

Tom McClintock, Republican representative from California’s 4th District, spoke yesterday on the House floor, where he addressed the debt crisis and the madness surrounding the debt ceiling:

Mr. Speaker:

The debt limit exists for a simple reason: to assure that public debt isn’t recklessly piled up without Congress periodically acknowledging it and addressing the spending patterns that are causing it.  If a debt limit increase is supposed to be automatic, as the President suggests, there really is no purpose to it.

A new dimension has now appeared in this discussion.  Unlike every one of his predecessors, this President has vowed that unless Congress unconditionally raises the debt limit, the United States will default on its sovereign debt.

But a failure to raise the debt limit would not by itself cause the nation to default. The Government Accountability Office has consistently held that the Treasury Secretary has “the authority to choose the order in which to pay obligations of the United States” to protect the nation’s credit.  Such authority is inherent in the 1789 act that established the Treasury Department and entrusted it with the “management of the revenue” and the “support of public credit.”  The affirmative duty of the Treasury Department to do so is underscored by the 14th Amendment.

Our revenues are more than ten times our debt payments, so paying the debt first to prevent a sovereign default is well within the financial ability of the federal government – and indeed, it is a fiscal imperative.

Earlier this year, the House passed HR 807, which not only explicitly requires the payment of the national debt in the case of an impasse over the debt limit, but even allows the President to exceed the debt limit itself in order to protect the nation’s credit.

That measure languishes in the Senate under the threat of a Presidential veto.

Protecting the sovereign credit by prioritizing payments would mean delaying paying other bills – which is untenable, unthinkable and something much to be avoided.  But it would not imperil the nation’s sovereign credit.  Only the President can do that.

The House leadership met with the President last week and offered to extend the debt limit until November 22nd with no strings attached.  The President refused.  Senate Republicans offered a six month extension, but the Senate Democratic leader refused.

What the President threatens to do would be catastrophic and unprecedented.  The full faith and credit of the United States is what gives markets the confidence to loan money to the federal government.  Even a credible threat of default – exactly the kind the President is now making — could have dire consequences to a nation that now owes more than its entire economy produces in a year.

So where do we go from here?

Republicans have miscalculated on two key assumptions: First, that the Democrats would negotiate the issues that divide the country; they have not.  Second, that Democrats would seek to minimize the suffering caused by the impasse; they have not.

Given the ruthless and vindictive way the shutdown has been handled, I now believe that this President would willfully act to destroy the full faith and credit of the United States unless the Congress acquiesces to all of his demands, at least as long as he sees political advantage in doing so.  His every statement and action is consistent with this conclusion.

If the Republicans acquiesce, the immediate crisis will quickly vanish, credit markets will calm and public life will return to other matters.

But a fundamental element of our Constitution will have been destroyed.   The power of the purse will have shifted from the representatives of the people to the executive.  The executive bureaucracies will be freed to churn out ever more outlandish regulations with no effective Congressional review or check through the purse.  A perilous era will have begun, in which the President sets spending levels and vetoes any bill falling short of his demands.  Whenever a deadline approaches, one house can simply refuse to negotiate with the other until Congress is faced with the Hobson’s choice of a shut-down or a default.

The nation’s spending will again dangerously accelerate, the deficit will again rapidly widen, and the economic prosperity of the nation will continue to slowly bleed away.

This impasse may have started as a dispute over a collapsing health program but it has now taken on the dimensions of a Constitutional crisis.

Yesterday in Washington, a group of America’s veterans rose up to take a stand against these constitutional usurpations.  I believe the salvation of our nation now depends on the American people joining them.

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Food Stamp Shutdown Threat: Obama To Incite Riots & Chaos?

Niggerriot

A letter is circulating from the USDA that directs state EBT/Food Stamp programs to suspend payment ‘until further notice’.

There is no such thing as coincidences when it comes to government tyranny.  Last weekend the EBT/SNAP foodstamp card program suddenly shut down and welfare cards were no longer working across 15 states.

Computer Glitch Blamed For Nationwide EBT System Shutdown On Saturday

People in Ohio, Michigan and 15 other states found themselves unable to use their food stamp debit-style cards on Saturday, after a routine test of backup systems by vendor Xerox Corp. resulted in a system failure.
Once it was learned that the “glitch” did not show account balances – and a local Walmart was honoring EBT purchases – the welfare mob descended on a Louisiana Walmart and emptied the shelves in under 2 hours.
I don’t believe a word they say.  I would not doubt for a SECOND that the EBT outage was a ‘dry run’ for what Obama plans to do to next in the solidification of his dictatorship.   Especially given what is circulating as a possibility this morning, that EBT/SNAP/Welfare benefits are going to cease beginning in November.  Fox News obtained a copy of a USDA letter allegedly sent out to all states.

USDA EBT Shutdown

A PDF of an official USDA document of a government shutdown plan corroborates the effects on EBT/Food Stamps/WIC and other benefits should the “lapse in funding” continue.  Pay close attention to the following excerpted segments:

Specific program impacts of a lapse in funding are provided below. These impacts assume that the lapse is of short duration (i.e., less than one month). Should the funding lapse be longer, the FNCS contingency plan and these associated impacts will be re-visited and updated:
• The Supplemental Nutrition Assistance Program (SNAP) will continue operations and eligible households will still receive monthly benefits for October. The authority to make October benefit payments comes from the Recovery Act, through which Congress provided “such sums as are necessary” to finance the SNAP benefit provided for in the Recovery Act. In addition, about $2 billion in contingency funding will be available and could be used to support State Administrative activities essential to continue the program and issue and process benefits. These contingency funds were provided in the FY 2013 appropriation and do not expire until the end of FY 2014.
• USDA is working with WIC State agencies to use all available funding resources to provide benefits to participants. FNS will be allocating both contingency and carryover funds to State agencies for use in operating their FY 2014 WIC Program, in addition to other available funds. Should a lapse extend through late October, federal WIC funding may not be sufficient to cover benefits.
• The Child Nutrition (CN) Programs, including School Lunch, School Breakfast, Child and Adult Care Feeding, Summer Food Service and Special Milk will continue operations into October. Meal providers are paid on a reimbursement basis 30 days after the end of the service month. Limited carryover funding will be available during a lapse to support FY 2014 meal service. Once an appropriation is enacted, we expect additional resources will be available to reimburse October performance. In addition, most State agencies will continue to have fiscal year 2013 funds available for State Administrative Expenses (SAE). SAE funds are awarded to States for a two year grant period and they are permitted to carryover up to 20 percent of their allocation into the second year of the grant period.
• No additional federal funds would be available to support the Commodity Assistance Programs (CAP) including the Commodity Supplemental Food Program (CSFP), The Emergency Food Assistance Program (TEFAP) administrative funding, and the WIC Farmers’ Markets Nutrition Program (FMNP). Similarly, no new funds will be available to support the Food Distribution Program on Indian Reservations (FDPIR). While there would be some inventory available for use in food packages, no carryover, contingency or other funds would be available to support continued operations.

There are also threats of Section 8 housing benefits, heating assistance programs and other welfare benefits being shut down in MA as well.

Utah families on food stamps could be cut off soon

States across the country are being told to stop the supplemental nutrition assistance program for the month of November, pending further notice.

That’s according to a letter from the U.S. Department of Agriculture. Fox 13 obtained a copy from the Crossroads Urban Center in downtown Salt Lake City. Crossroads says if Utah families don’t get food stamps, they’ll turn to the local food pantries, which are already strapped due to the government shutdown. Homeless people Fox 13 talked to, some who use SNAP, say losing food stamps would mean going hungry.

I think Obama wants the following kinds of optics to be blamed on his opponents in Congress and those Americans who are wise to his ‘fundamental transformation’:
ebt-signWalmartline niggers jump counter emptygroceryshelves
Considering that Obama has told the Federal government to make the shutdown “as painful as possible” – shutting down welfare/food stamps takes that policy and instantly creates misery for an army Obama would no doubt incite to riot and cause mayhem so to be used as a weapon for his demands and justification for dictatorial acts he is (I believe) about to commit.  My reasons for thinking this way are borne out of the following facts.
As the GOP has surrendered and is giving Obama nearly everything he wants – Obama is STILL rejecting their offers to reopen government and raise the debt ceiling until February.  Obama keeps talking and warning about ‘default’ in several speeches over the last few days.  In fact many Federal agencies are “warning” of no payments and massive pain if the country ‘defaults’.
To get his welfare army rioting to force his ascension to Absolute Ruler, why wouldn’t Obama stop food stamps/EBT/Welfare payments?  Looks like that plan is being implemented right before our eyes.
This course of action Obama seems hell-bent on is a sure bet to force Congress to give him what he demands.  It’s what Marxists do when they seize power.  Just look at history!
But here’s a fact not being discussed or even mentioned: we cannot ‘default’ according to the Constitution and the Feds have enough income to service the debt.
We cannot default on debt payments unless they are so massive we cannot make payments- not because of the debt ceiling fight.  Obama wants the debt ceiling raised to pay for future projects or to fast-track a Cloward-Piven style collapse. He is not wanting the debt ceiling raised TO PAY FOR BILLS WE OWE NOW.  Social security checks will be issued until the year 2038, in which time it is estimated to run dry. Congress took surplus out of SS fund and put them in the General Fund but Obama will use the threat of no Social Security checks, no EBT/food stamp benefits and whatever other threat of pain he can muster to frighten the country into capitulating to his tyranny.
The Feds have enough tax income to service the debt UNLESS – Obama himself  orders all payments of everything to stop.  In doing so Obama may be attempting to make Congress irrelevant, and co-op the power of the purse for himself. That seems to match his M.O. to me.  This is a coup going on – an installation of a dictatorial Single Party tyranny.  Obama is on a destroy mission – he’s not interested in governing, he’s consumed with destroying anyone who opposes him, the hallmark of all despotic Leftists that have come on the world scene in modern history.
…How would Obama …justify seizing emergency power? By cutting off all federal entitlement payments while claiming that he cannot continue them without a debt extension, secure in the knowledge that the mainstream media will continue to dutifully serve as his propaganda arm, blaming recalcitrant Republicans for all of the negative consequences.
While senior citizens on Social Security and other federal pension plan recipients may not immediately take to the streets, going on violent rampages of rioting, looting and burning, there is a segment of our population that will do exactly that: many of the 50 million Americans who today literally put the food on their tables by using an Electronic Benefit Transfer (EBT) card. While the states administer their individual EBT programs, most of the money comes from the federal government. Please read my previous essay “When the music stops: how America’s cities may explode in violence” to understand the tremendous risk that will accompany a cutoff—even briefly—of EBT payments.

The fact that thousands of Americans might be injured or killed during the nationwide riots that would follow the looting of supermarkets and delivery trucks will not be a moral impediment to the architects of Operation Fast and Furious…

…A lifelong Marxist revolutionary who has caused hundreds to be murdered in an attempt at political gain on gun control is not likely to blanch at the prospect of thousands dying in bloody food riots when the stakes are incalculably higher. If “the music stops” and our cities burn, Obama may grasp the opportunity to declare a state of emergency and seize dictatorial powers from the fire and ashes. Those who resist his rule by emergency decree will be declared to be “Tea Party terrorists” by Democrat leaders and their captive media, and we may finally see why the Department of Homeland Security has been purchasing those billions of hollow-point bullets, UAV drones, and armored vehicles.

If this is their calculation, it is a diabolical plan indeed. But a plan to ride a tiger is not the same as riding the tiger. Permanent rule by emergency decree may not be as simple to accomplish as would-be left-wing tyrants believe. Millions of Americans will not be fooled by the deliberately instigated torching of our cities and will not go quietly into the night of Marxist tyranny.

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