Obama administration going all out to fund Iraq war. WHAT?!?

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Dominus Atheos
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Obama administration going all out to fund Iraq war. WHAT?!?

Post by Dominus Atheos »

Here's some background:
Another war supplemental? But I thought...

I've been reminding you that it was coming for the past couple weeks, and now it's about to hit the floor. And as expected, sending a $100 billion war funding bill to the floor is going to create some problems.

Roll Call ($):
House Democrats Seek GOP Help on War Spending

By Geof Koss
CongressNow Staff
May 11, 2009, 12 a.m.

Despite their increased numbers, House Democrats are once again courting Republicans to ensure passage of a war spending bill opposed by disaffected liberals.

Speaker Nancy Pelosi (D-Calif.) has been urging anti-war Democrats to reverse course and support the $96.7 billion legislation when it goes to the floor this week. But the liberal bloc that has opposed past supplemental spending bills for the military operations appears to be holding firm in its opposition to the latest edition.
Is it hard to get "GOP Help on War Spending?"

Apparently, you have to make sacrifices:
[W]ith a few careful legislative tweaks - chiefly, cutting $80 million sought by the administration to close the detention center at Guantánamo Bay, Cuba - Democrats should easily cement sufficient GOP support to offset Democratic defectors.
Entirely aside from any value judgments on the substance, take note of the moves here. They're very astute. Strip out the Guantanamo closing money, and Republicans will agree to take the place of Democratic defectors in passing the war supplemental. Then put the Guantanamo closing money in another vehicle, and the defectors return to the fold, but Republicans depart. Two very different majorities assembled to pass two different and controversial pieces of the same broader effort (even if you're still not entirely convinced about exactly what that effort is).

Clever. Not inventive, of course. It's routine business. But worth noting as Congress watchers.

And what about the timelines that were all the rage in previous supplementals?
In an effort to bring liberals back into the fold, the supplemental also includes language added by Obey that requires the administration to report to Congress in one year on progress by the governments of Afghanistan and Pakistan toward five stability and security benchmarks.

The standards fall short of the firm deadlines sought by some, but they were enough to undercut a proposal by Congressional Black Caucus Chairwoman Barbara Lee (D-Calif.) that would have required the administration to develop an exit strategy for Afghanistan.
That's sure to come up in the debate. Will it be hard to justify not trying to include more concrete timelines now that Bush is no longer president? We'll see. Of course, Republicans are just coming off of six years of arguing that it was always improper to try to include such restrictions, so it's not exactly a clean shot. And there are probably more than a few Dems who would be only too happy to admit that no, they never trusted Bush, but feel a lot better about Obama's leadership. That wouldn't be unexpected.

Oh yeah, another thing. I'm sure many of you are wondering what ever happened to the whole, "we're not gonna do supplementals for the war anymore" thing. The wheels turn slowly in Washington. This is a supplemental for fiscal year 2009 (FY09), the regular appropriations bills for which were passed last year in the 110th Congress and under George W. Bush. The FY10 Defense Appropriations (and others which might include other bits of war-related funding) haven't been passed yet. So technically, we're still kind of operating under Bush budgeting until October 1, 2009, when the new fiscal year begins.

I know, I know.

And finally, for those of you looking for some sport: Remember that $870 million in flu pandemic preparedness the Senate "moderates" were so intent on cutting out of the stimulus (right before we confronted... a flu pandemic)?
So that passed, but obviously it was unpopular among liberals who were under the impression there wasn't going to be another supplemental appropriations bill without a time line for withdrawal. It barely managed to pass, but then Obama came up with the brilliant idea idea of adding a $100 billion dollar bailout for European banks to the bill for some reason, I assume since the first one that was at least for American banks was so popular...
House Republicans Oppose $100B New Line of Credit for IMF

Republicans in the House are lining up to oppose an almost $100 billion war-funding bill if Democrats insist on including in it a new line of credit for the International Monetary Fund.

Democrats may have to scramble to pass the bill in the House, where GOP votes are likely to be needed to make up for about 50 anti-war liberal Democrats who opposed it last month.

At the core of the $98.8 billion House-Senate measure is $79.9 billion for the Pentagon, a figure that's also rankling House Republicans since it represents an almost $5 billion cut from the version that passed the House last month. That measure did not include funding for the IMF.

Responding to media reports that House Democratic negotiators have agreed to include a new $100 billion line of credit to the IMF -- a top priority of President Obama -- the top Republican in the House said Tuesday he would oppose the bill.

"Let's be clear: a troop-funding bill should fund our troops, period," said Minority Leader John Boehner, R-Ohio. "Weighing down this critical legislation with nondefense spending will only drag this process out further and cost it essential Republican support needed for passage."

Obama promised the IMF money at April's G-20 summit to help developing countries deal with the troubled global economy. About $8 billion for an earlier commitment for the IMF will be included.

The actual U.S. costs for the IMF contribution are far less -- $5 billion is the Congressional Budget Office estimate -- since the U.S. government is given interest-bearing assets in return. Still, U.S. debt would have to be issued to provide the money at a time when government borrowing has exploded.

"There is absolutely no reason for the Democrat majority to complicate a bill intended to fund our troops by larding it up with over $108 billion in borrowed money for the IMF," said House GOP Whip Eric Cantor of Virginia.

Obama is sending more than 20,000 additional troops to Afghanistan. For the first time, the annual cost of the war in Afghanistan is projected to exceed the cost of fighting in Iraq.

With support forces, the number of U.S. troops in Afghanistan is expected to be about 68,000 by the end of the year -- more than double the size of the U.S. force at the end of 2008.

Meanwhile, Senate Appropriations Committee Chairman Daniel Inouye, D-Hawaii, confirmed that the measure would contain money for eight C-17 cargo planes, a top priority of the Boeing Co. and its allies in states such as California, Missouri and Washington.

The bill will not contain $50 million for the Pentagon and $30 million for the Justice Department requested by Obama to close the U.S. detention facility at the naval base at Guantanamo Bay, Cuba. A successful GOP-led effort to prevent the bill from being used to close Guantanamo dominated Senate debate last month, even as the war-funding measure would boost total spending approved for the Iraq and Afghanistan wars above $900 billion.

An official meeting of House-Senate negotiators is tentatively slated for Thursday, House Appropriations Committee spokeswoman Kirstin Brost said.

The measure also includes $489 million sought by Sen. Thad Cochran, R-Miss., and homestate GOP colleague Roger Wicker to restore barrier islands along the Mississippi Gulf Coast destroyed by Hurricane Katrina and restore ecosystems such as salt marshes to protect the coast. Without the islands, Mississippi is more vulnerable to future hurricanes.

The Mississippi duo also obtained $49 million for hurricane repairs to a former Mississippi Army Ammunition Plant -- which provides workspace for 20 tenants -- to facilitate its transfer to the Stennis Space Center.

The funding for that and other Senate "earmarks" came despite an admonition by Obama to keep the measure free of such parochial items.
Obama also decided it would be a goo opportunity to get rid of a pesky little problem that had been plaguing him for a few weeks:
Obama's support for the new Graham-Lieberman secrecy law

It was one thing when President Obama reversed himself last month by announcing that he would appeal the Second Circuit's ruling that the Freedom of Information Act (FOIA) compelled disclosure of various photographs of detainee abuse sought by the ACLU. Agree or disagree with Obama's decision, at least the basic legal framework of transparency was being respected, since Obama's actions amounted to nothing more than a request that the Supreme Court review whether the mandates of FOIA actually required disclosure in this case. But now -- obviously anticipating that the Government is likely to lose in court again (.pdf) -- Obama wants Congress to change FOIA by retroactively narrowing its disclosure requirements, prevent a legal ruling by the courts, and vest himself with brand new secrecy powers under the law which, just as a factual matter, not even George Bush sought for himself.

The White House is actively supporting a new bill jointly sponsored by Sens. Lindsey Graham and Joe Lieberman -- called The Detainee Photographic Records Protection Act of 2009 -- that literally has no purpose other than to allow the government to suppress any "photograph taken between September 11, 2001 and January 22, 2009 relating to the treatment of individuals engaged, captured, or detained after September 11, 2001, by the Armed Forces of the United States in operations outside of the United States." As long as the Defense Secretary certifies -- with no review possible -- that disclosure would "endanger" American citizens or our troops, then the photographs can be suppressed even if FOIA requires disclosure. The certification lasts 3 years and can be renewed indefinitely. The Senate passed the bill as an amendment last week.
But since the Republicans are opposing it now, it doesn't have enough votes to pass. So what does Obama do? He sends people to twist arms to get it passed!
Rahm’s Whipping on the War Supplemental

Rahm Emanuel is exerting pressure on progressive members of Congress to switch their votes and help pass the supplemental bill. The bill would not only fund the war in Afghanistan, it would also include IMF funding and the Graham-Lieberman amendment, which allows the administration to block the release of detainee photos in response to FOIA requests.

If 39 Democrats commit to vote against the supplemental, it won't pass.

For once, the votes of progressive members of Congress actually matter when it comes to funding the war. But they are being heavily pressured by Democratic leadership to toe the line.
Then he starts actively betraying the Democratic party:
Obama Administration Cutting Deals To “Go Easy” On Republicans in 2010 Who Vote For Supplemental?

Jane reports that Ann Kirkpatrick may have been frightened into standing up to Emanuel and voting "no" tomorrow. Blue Dogs who don't will suffer at the polls next year. And Emanuel knows he's starting to lose them. So what's his latest strategy?

We hear he's turning to vulnerable Republicans and telling them he can get the DCCC to "go easy" on them next year if they vote for the Supplemental tomorrow. And Eric Cantor's office is really pissed.

It's one thing if he makes a deal with Vern Buchanan in Florida or Chris Smith in New Jersey, but we're hearing that he's offering to protect Republicans who have been slated as major DCCC targets, like Thaddeus McCotter (R-MI), Bill Young (R-FL), Leonard Lance R-NJ) and Charlie Dent (R-PA).

Watch tomorrow to see if any of these characters cross over and vote with Team Emanuel to bail out European bankers.
So there you go. The next time someone says Obama can't get something done because he can't get Congress's support, just remember this. Obama is more then capable of getting things done in Congress, it's just a matter of where his priorities are. This is especially a damning indictment of the bullshit that's going on over Universal Health Care right now, where it looks like Congress is just going to make private health insurance mandatory, and Obama is doing next to nothing to actually get a public option passed.

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Dominus Atheos
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Re: Obama administration going all out to fund Iraq war. WHAT?!?

Post by Dominus Atheos »

Desperation...
Obama Seeks to Woo War Votes with Flu Funds

To relieve pressure on antiwar Democrats, the Obama administration hopes to win at least a few House Republican converts on an emergency war spending bill this week, by emphasizing the flu prevention funds that the package includes.

As a final vote looms this week in the House and Senate, the White House today circulated a letter addressed to every public school superintendent in the country that outlines ways to cope with the stronger strain of the H1N1 virus that many public health experts predict will hit the U.S. this fall. The letter, co-authored by Education Secretary Arne Duncan and Health and Human Services Secretary Kathleen Sebelius, urges local officials to use the summer break to develop effective policies for hand washing, food service, sending kids home, and other steps, should they become necessary.

The message to educators is clear: "Our hope is that the summer months can be used to develop and share a coordinated public health strategy that aims to protect our children and families and minimize disruptions," the letter reads.

The message to GOP lawmakers is less overt, but no less emphatic. Obama asked Congress to include $3.5 billion for flu prevention in the war funding bill, and Democrats responded with $7.7 billion, a bonanza for the public health community. The expanded sum includes $350 million to help state and local governments, including school districts.

House Republicans are threatening to vote en masse against the bill -- an outcome that the White House hopes to discourage, because it increases pressure on House Speaker Nancy Pelosi to convert some of the 51 liberal Democrats who voted against an earlier version of the legislation, because they oppose the Iraq war. The $105.9 billion war supplemental includes funding for Iraq and Afghanistan, along with new money for the International Monetary Fund that Obama had pledged to world leaders. Republicans strongly oppose the IMF language, but the White House hopes the lure of flu money will relax at least some doubts.
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Memnon
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Re: Obama administration going all out to fund Iraq war. WHAT?!?

Post by Memnon »

That's the thing about the IMF - it is, by and large, dominated by the US. So it's not entirely truthful to call it 'European'.
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Re: Obama administration going all out to fund Iraq war. WHAT?!?

Post by Guardsman Bass »

Exactly.
then Obama came up with the brilliant idea idea of adding a $100 billion dollar bailout for European banks to the bill for some reason, I assume since the first one that was at least for American banks was so popular...
The IMF is located in Washington D.C. (the last time I went to DC, I walked back its headquarters), and the US has a near-controlling share of its votes. At least bother to use wikipedia next time before you post.

In any case, funding the IMF has useful purposes. They've been lending money to the third-world and other countries that are getting hit with crisises due to the current economic situation.
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Dominus Atheos
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Re: Obama administration going all out to fund Iraq war. WHAT?!?

Post by Dominus Atheos »

Guardsman Bass wrote:
then Obama came up with the brilliant idea idea of adding a $100 billion dollar bailout for European banks to the bill for some reason, I assume since the first one that was at least for American banks was so popular...
The IMF is located in Washington D.C. (the last time I went to DC, I walked back its headquarters), and the US has a near-controlling share of its votes. At least bother to use wikipedia next time before you post.
Here's the Huffington Post:
The Next big Taxpayer Bailout? IMF Could get Hundreds of Billions for European Banks

The bailout of private banks and financial institutions has become a touchy political issue in the United States, ever since President Bush's Treasury Secretary and former Goldman Sachs CEO Hank Paulson asked Congress for a $700 billion dollar blank check last September.

Now the Obama administration is asking the Congress for $108 billion for the International Monetary Fund. This was in accordance with a plan that the administration has helped organize to raise $500 billion in additional funds for the IMF. This would add to the approximately $200 billion that the IMF has on hand, $100 billion in gold reserves, and another $250 billion that the Fund will create in its own currency. These are enormous sums of money that the IMF has never come close to before.

What is all this money for? There is an answer staring us in the face from the financial press: European banks.

It seems that Europe's banks have gotten into a mess in their own neighborhood that is comparable to the "troubled assets" that our financial institutions accumulated in the course of the housing bubble -- which they also shared. These banks had a fit of irrational exuberance in Central and Eastern Europe in recent years, with the result that they now have at least $1.4 trillion -- and that is a conservative estimate -- in exposure there to loans that are certain to have a very high default rate.

Most of the Central and Eastern European economies are in free fall right now. To make matters much worse, much of their borrowing from European banks was in foreign currency. This extended even to households: e.g. over 60% of Hungary's mortgages are in foreign currency.

When these currencies fall, as some already have, many of the borrowers -- both businesses and households -- are faced with unpayable debt burdens. Others, such as Latvia, are teetering on the brink of devaluation, which could set off a chain reaction in other countries, as well as mass insolvencies.

The exposure of European banks to the region is astoundingly large relative to their economies. Austria is off the charts with about 64 percent of GDP lent in Eastern Europe; Belgium and Sweden both have more than 20 percent, and Switzerland and the Netherlands are in double digits.

This is where the IMF comes in. In the United States, we have not only the $700 billion TARP bailout, but more than three times that amount, which has been dispensed by the Federal Reserve. The Fed has been used because it is non-transparent and unaccountable to Congress -- unlike for the TARP, where Congress attached some rules for accountability, the taxpayers do not even know who has received the more than $2 trillion on the Fed's balance sheet.

For various reasons, the European Central Bank is not going to play the role that the Fed has played here. (The Fed itself has recently been hit by strong demands for more transparency, with 186 Members of Congress sponsoring a bill that would require it to be audited by the Government Accountability Office). The European banks are therefore counting on the IMF to help save them from the costs of their bad decisions.

The Obama administration has argued that the money is necessary to help provide a global stimulus, and to help poor people in poor countries. But the facts do not support this claim. Almost all of the agreements that the IMF has concluded since the global economic crisis began have included the opposite of stimulus programs: for example, spending cuts or interest rate increases.

The amount of money that will help poor countries is tiny. And it is difficult to see why the IMF would need hundreds of billions of dollars to help governments with balance of payments support -- for sixteen Standby Arrangements negotiated since the crisis intensified last year, the total has been less than $46 billion.

On the other hand, European banks are facing potential losses in the hundreds of billions of dollars. Some, like France's Societe Generale, have already gotten billions of dollars from the TARP bailout. If the purpose of adding these vast sums to the IMF's coffers is to bail out these banks, then the taxpayers of the United States (and other countries who are being asked to contribute) ought to know about it.
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Re: Obama administration going all out to fund Iraq war. WHAT?!?

Post by Qwerty 42 »

I don't have a problem with the funding of the war, provided we still get out of the country according to Obama's timetable. The only reason it was important to oppose funding before was to pressure the Bush administration into posting a timetable.
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Re: Obama administration going all out to fund Iraq war. WHAT?!?

Post by Memnon »

Dominus Atheos wrote:
Guardsman Bass wrote:
then Obama came up with the brilliant idea idea of adding a $100 billion dollar bailout for European banks to the bill for some reason, I assume since the first one that was at least for American banks was so popular...
The IMF is located in Washington D.C. (the last time I went to DC, I walked back its headquarters), and the US has a near-controlling share of its votes. At least bother to use wikipedia next time before you post.
Here's the Huffington Post:
snip article
It didn't occur to you that this would be the IMF performing its duties as intended? You know, it's called the IMF for a reason, despite its mostly American interests.
Protectionism doesn't accomplish anything, and if the IMF has a job, it's helping countries with their finances - they don't HAVE to be poor countries.
The world economy is, after all, inextricably linked now.
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Re: Obama administration going all out to fund Iraq war. WHAT?!?

Post by Simon_Jester »

Whether or not we pull out of Iraq in the next year or two, we're still going to have to spend money there. Keeping troops overseas costs money, even when they are doing nothing. Especially in a place where they are still getting shot at.
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