Las Vegas Review-Journal: Reid is “the da Vinci of distraction”

Harry Reid

Shame, shame, shame.

A perfect description of the despicable Senate Majority Leader from one of his hometown newspapers (hat tip):

Harry Reid is the da Vinci of distraction. The moment any scandal, policy failure or political defeat crashes down on him — and there have been plenty the past few years — the Senate majority leader unleashes outrageous rhetoric that’s better suited for a sandbox than what once passed for the world’s greatest deliberative body. Worse, the Nevada Democrat has become especially fond of slinging race cards just to crank up the outrage.

Last week, Sen. Reid was in rare form following the U.S. Supreme Court’s decision to overturn part of the Affordable Care Act’s contraception mandate. The 5-4 ruling declared that closely held for-profit businesses, such as craft retailer Hobby Lobby, do not have to provide some forms of birth control to female employees if doing so violates the owners’ religious beliefs. Sen. Reid eviscerated the decision. “The one thing we are going to do during this work period, sooner rather than later, is to ensure that women’s lives are not determined by virtue of five white men,” Sen. Reid said.


Sen. Reid’s slip was no accident. He believes racial and ethnic minorities are ideologically monolithic constituencies who are incapable of independent or — gasp! — right-of-center thinking. In the majority leader’s mind, Mr. Thomas is not an African-American because the justice doesn’t blindly subscribe to liberal orthodoxy.


Never mind that Sen. Reid himself, like the entire Senate Democratic leadership, is as white as an Irishman in a snowstorm. And never mind that after more than five years of Democratic control of the White House and the Senate, black and Hispanic unemployment — especially among teenagers — remains scandalously high. Sen. Reid’s “fix” for this problem — a higher minimum wage — will actually make it worse.

We thought the 2008 election of Barack Obama as president was supposed to herald an age of post-racial politics. So much for hope and change. Quit the race-baiting already, Sen. Reid. You’re clearly colorblind — in all the wrong ways.


By the way, Reid was quoted years ago as saying to the director of LVRJ advertising during a Las Vegas Chamber of Commerce business luncheon that he hoped the Review-Journal would “go out of business.”  Gee, I can’t imagine why, can you? l-)

Paul Ryan to #IRS commissioner: “No one trusts you.”


**Posted by Phineas



Well, gee after over a year of revelations about government harassment of conservative groups applying for non-profit status, and after recent claims that convenient computer crashes wiped out emails demanded by investigating congressional committees, what reasonable person wouldn’t trust the IRS?

Paul Ryan, for one, when questioning IRS Commissioner Koskinen:

“This is unbelievable,” said Ryan, a Republican, at a Friday hearing. “The apology that ought to be given is to the American taxpayer, not to a government agency that is abusing its power. I am sitting here listening to this testimony, I don’t believe it. That’s your problem. Nobody believes you.”

“You are the Internal Revenue Service,” Ryan added. “You can reach into the lives of hard-working taxpayers and with a phone call, an e-mail or a letter you can turn their lives upside down. You ask taxpayers to hang onto seven years of their personal tax information in case they are ever audited and you can’t keep six months worth of employee e-mails? And now that we are seeing this investigation, you don’t have the e-mails, hard drives crashed. You learned about this months ago. You just told us, and we had to ask you on Monday.”

Clearly, Congressman Ryan’s lack of faith in the bureaucracy’s honesty is rooted in anti-Obama racism. (1)

Once again, we’re left with a choice when it comes to an Obama administration scandal: either the IRS is massively incompetent and is unintentionally violating federal records retention laws, in spite of getting all the money and IT help it wants, or a bunch of people are lying through their teeth and deliberately violating those same laws (as well as others).

I’m usually willing to blame stupidity before malice, but the IRS and the Obama White House are making that awfully hard.

RELATED: An interesting reminder from Ed Morrissey — as part of a larger article on abuse of power and the missing emails, he mentions an odd meeting between the IRS Chief Counsel, William Wilkins, and President Obama, himself, just days before Wilkins sent Lerner new guidelines for dealing with Tea Party applicants for 501(c) status:

There are are numerous differences between [Watergate and the IRS] scandals, too. For one thing, no one has tied this to the White House or any of President Barack Obama’s advisers. The closest insinuation between the IRS targeting scandal has been an unusual meeting between the IRS’ chief counsel, William Wilkins, and Obama on April 23, 2012. The chief counsel for the IRS would have no discernible reason for a private meeting with the president; his job would be to brief the IRS commissioner – at the time Douglas Shulman – who met with Obama the very next day.

The day after that, Wilkins sent a revised set of guidelines to Lois Lerner for the tax-exempt unit to use when applying extra scrutiny. To this day, no explanation for this meeting has been made public, even though records show that Wilkins spent hours at the White House with “POTUS” as his host.

Nor was this the first time that Wilkins appears in the targeting narrative. Carter Hull, a retired high-ranking IRS official with 48 years’ experience at the agency, testified that after he approved a Tea Party-related tax-exempt application, it got routed to Wilkins rather than finalized.

I noted this and another curious meeting with the head of the anti-Tea Party Treasury employees union last July. I’d suggest both these are potentially fruitful avenues of investigation for a House select committee.

(1) You just know some MSNBC talking head is dying to say just that.

(Crossposted at Public Secrets)

Some excellent questions for the #IRS about Lois Lerner’s missing emails


**Posted by Phineas

IRS data recovery techie in action

IRS data recovery techie in action

My blog-buddy ST has already covered the mysterious disappearance of former IRS employee Lois Lerner’s emails. I’m sure the Justice Department, per Congressman Camp’s suggestion, will get right to investigating how this could happen, in apparent violation  of standard IRS protocols. Attorney General Eric Holder, that unquestioned paragon of judicial integrity, will no doubt produce a report that lays bare the unvarnished truth.

And while we’re waiting for a certain hot spot to freeze over, independent investigative reporter Sharyl Attkisson has some suggested questions for the IRS about Ms. Lerner’s computers and those vanishing emails:

  • Please provide a timeline of the crash and documentation covering when it was first discovered and by whom; when, how and by whom it was learned that materials were lost; the official documentation reporting the crash and federal data loss; documentation reflecting all attempts to recover the materials; and the remediation records documenting the fix. This material should include the names of all officials and technicians involved, as well as all internal communications about the matter.
  • Please provide all documents and emails that refer to the crash from the time that it happened through the IRS’ disclosure to Congress Friday that it had occurred.
  • Please provide the documents that show the computer crash and lost data were appropriately reported to the required entities including any contractor servicing the IRS. If the incident was not reported, please explain why.
  • Please provide a list summarizing what other data was irretrievably lost in the computer crash. If the loss involved any personal data, was the loss disclosed to those impacted? If not, why?
  • Please provide documentation reflecting any security analyses done to assess the impact of the crash and lost materials. If such analyses were not performed, why not?
  • Please provide documentation showing the steps taken to recover the material, and the names of all technicians who attempted the recovery.
  • Please explain why redundancies required for federal systems were either not used or were not effective in restoring the lost materials, and provide documentation showing how this shortfall has been remediated.
  • Please provide any documents reflecting an investigation into how the crash resulted in the irretrievable loss of federal data and what factors were found to be responsible for the existence of this situation.
  • I would also ask for those who discovered and reported the crash to testify under oath, as well as any officials who reported the materials as having been irretrievably lost.

Also read Attkisson’s earlier report on the missing emails.

Since AG Holder will no doubt be busy with his own line of inquiry (1), I offer my own suggestion: these would be excellent questions to include as part of the investigations by a House Select Committee formed to examine the entire IRS scandal. We already have one for Benghazi; why not another? I’d say it’s more than warranted.

How about it, Mr. Speaker?

PS: Lest anyone harbor any smidgen of doubt that the IRS is lying on this matter, consider this observation from Tax Politix (h/t Rick Moran):

Again, the IRS claims it only “has Lerner emails to and from other IRS employees during this time frame…it cannot produce emails written only to or from Lerner and outside agencies or groups, such as the White House, Treasury, Department of Justice, FEC, or Democrat offices.” The ability for an inbox to lose certain emails during the time frame — but not others — is incredible.

To answer an old question, we at least now know how stupid they think we are.

(1) Stonewalling takes time, you know.

(Crossposted at Public Secrets)

#Obamacare navigators helping people sign up at Mexican consulates


**Posted by Phineas

"Train wreck"

“Train wreck”

Nah, there’s no potential for fraud, here:

The Obama administration has been helping to facilitate a series of events nationwide at Mexican Consulate offices to enroll people in Obamacare – and a key activist says the efforts are “our responsibility” regardless of citizenship.

“Whether they’re Mexican nationals or whether they’re United States citizens or whether they’re in transition– and if they’re there it is our responsibility within all of America to educate on the Affordable Care Act,” Enroll America Field Organizer Jose Medrano told Breitbart News on Wednesday.

Health Care insurance navigator groups hosted an Obamacare enrollment fair on Tuesday in the Mexican Consulate’s Brownsville office, The Rio Grande Guardian reported last Friday, where Mexican nationals among others were counseled about enrolling in the ACA.

“The Mexican consulate is a very reliable source of information to the Latino community. And therefore when they host their events, yesterday being the health fair, there are several hundred people that show up,” Medrano said.

Under the Affordable Care Act (ACA), undocumented immigrants aren’t supposed to be receiving government-run health benefits or subsidized coverage. However, President Barack Obama told Latinos in early March that the website would not be used to find out about an individual’s immigration status.

“None of the information that is provided in order for you to obtain health insurance is in any way transferred to immigration services,” he said.

As the article points out, this isn’t the first time the administration has made use of Mexican consulates to push entitlement programs to Latino communities: in 2012, USDA ran Spanish-language commercials encouraging people to sign up for food stamps.

Back to Obamacare, the extensive use of Mexican consulates, which are a trusted source of information for Mexican communities in the US, and the promise to not forward an applicant’s information to ICE all but guarantees that the American taxpayer will wind up subsidizing health insurance for Mexican nationals who are in the US illegally.

And if some sort of amnesty goes through, guess which party expects (1) to reap the benefits of our state-mandated generosity?

Why, it’s almost as if that’s the plan.

via Fausta

(1) Then again, with all the screw ups and problems experienced with O-care to date, maybe the Democrats’ shouldn’t expect much gratitude.

(Crossposted at Public Secrets)

#CApolitics: Third state senator (D) arrested on corruption charges


**Posted by Phineas

Not smiling now, I bet.

Not smiling now, I bet.

Earth-shaking news in California politics broke this morning with word of the arrest of State Senator Leland Yee (D, SD-8) on charges of public corruption, including soliciting donations beyond the allowed limits in return for legislative services and –ahem!– firearms trafficking. You can read the indictment (PDF) via the NBC BayArea site (1). From their article on the arrest:

California state Sen. Leland Yee was arrested on public corruption charges as part of several arrests made by the FBI Wednesday morning during a massive FBI sting, the FBI told NBC Bay Area.

U.S. Attorney Melinda Haag of the Northern District of California said that Yee and current Chee Kung Tong leader Raymond “Shrimp Boy” Chow were among 26 defendants charged in a federal criminal complaint.

Yee and Chow were arraigned before Federal Magistrate Judge Nathaniel Cousins in San Francisco this afternoon.

The federal criminal complaint, filed on March 24, was unsealed in San Francisco Wednesday, charging the defendants with firearms trafficking, money laundering, murder-for-hire, drug distribution, trafficking in contraband cigarettes and honest services fraud, announced Haagm FBI special agent David Johnson and Internal Revenue Service, Criminal Investigation, Special Agent in Charge José M. Martinez.

Yee was charged with conspiracy to traffic in firearms without a license, and to illegally import firearms as well as a scheme to defraud citizens of honest services.

Chow’s charges include money laundering and conspiracy to trafficking contraband cigarettes.

From what I gather from skimming the indictment, Yee stands accused of soliciting bribes both to retire his debt from his failed mayoral run in San Francisco and to fund his current campaign for Secretary of State. He is also accused of offering to facilitate an arms deal through New Jersey between a dealer Yee knew and “UCE 4599,” an unidentified FBI undercover agent… in return for a “donation.”

The connection between Senator Yee and “Shrimp Boy” Chow seems to be Keith Jackson, a well-known Bay Area political consultant and associate of Yee. Chow, who has a long record and has been under investigation for years, introduced UCE 4599 to Jackson, who then apparently started supplying weapons for UCE 4599’s “associates” to guard their (imaginary) marijuana farms in Northern California. Jackson and others also apparently ran their own drug ring and even attempted to solicit murder-for-hire. Jackson was also Yee’s money-maker for the illegal donations.

There is no accusation that Senator Yee had anything to do with drugs or murder-for-hire, but, still, he sure keeps nice company.

Aside from the organized crime drama and political corruption, this has serious implications for the Democrats in California. Yee is the third state senator (2), all Democrats, to be indicted or convicted in the last several months. Senator Roderick Wright was convicted of felony voter fraud in January, while Senator Ron Calderon was indicted for corruption in February.

Since the 2012 election, Democrats have held a supermajority in the California legislature, controlling both chambers with two-thirds majorities. Under the state constitution, that gave them the power to do pretty much whatever they wanted: pass irresponsible budgets, fund wasteful programs to their heart’s content, you name it. The Republicans were bystanders, and it didn’t look like they’d have any power any time soon.

Then the majority started crumbling in the state senate. First came Andy Vidak’s (R-SD26) surprise victory in a 2013 special election, then the conviction of Wright and the indictment of Calderon. That last broke the supermajority in the senate, and now Yee’s troubles (3) deepens the hole they’re in. Now, at least, the Democrats have to actually deal with the Republican senate caucus, if they want to get anything done. This means Proposition 13, the measure that protects homeowners from exorbitant property taxes and mandates a 2/3rds majority to raise taxes, making it a prime Democrat target, is safe for a while. The Democrats are likely to regain those seats, given the districts, but a smart Republican or independent candidate might make some populist hay running on a clean government platform. We’ll see.

From a larger view, this is what happens in a state when a party overwhelmingly dominates for too long: without credible opposition, legislators and other government officials come to feel entitled, become complacent, and think of themselves as rulers, not employees subject to the audit of the people. Corruption sets in. California has long been dominated by the Democrats (in the legislature, for decades), but a conservative friend in a long-time Red state has voiced similar complaints. It shows the problems that can set in when a strong two-party system withers to one.

One hopes that revelations such as Senator Yee’s purported activities will lead to soul-searching among the Democrats (4) and the rise of good conservative candidates in more areas to help redress the balance.

For the sake of California’s political health, we need both.

RELATED: More from the San Jose Mercury News.

PS: Did you know Yee once sponsored a measure to require state buildings to be designed according to Chinese Feng Shui principles? There’s a reason we’re called “Crazyfornia.”

(1) And kudos to them for linking to a primary source. Too few online MSM outlets do that.
(2) But not the last, I bet.
(3) Because Senate President Steinberg (D) is desperate to keep those seats in Democrat hands, rather than risk a special election, Wright and Calderon have been allowed to go on “paid leave,” rather than being expelled. Yes, they still draw a salary, but at least they can’t vote. I’m sure Yee will be shown the same “courtesy.”
(4) Oh, stop laughing. It could happen. Maybe.

(Crossposted at Public Secrets)

Minimum Wage: West Virginia Democrats exempt themselves


**Posted by Phineas


Weird, isn’t it? If having the state mandate higher and higher wages for everyone is such a good idea, why on Earth would WV House Democrats vote to exempt themselves from a law being imposed on everyone else?

Last week, the Democrat controlled House in West Virginia passed legislation raising the state’s minimum wage to $8.75 an hour, $1.50 higher than the federal minimum wage. The action is part of a nation-wide effort by Democrats to make a minimum wage increase central to their platform for the midterm elections. The increase didn’t effect all workers, though. Democrats exempted many of their own staff from the wage hike. Businesses may have to pay the higher wages, but the legislature will avoid many of the consequences. 

Why, it’s almost as if West Virginia Democrats didn’t believe in private what they were preaching in public.

But we all know that can’t be.

via reader Lance

(Crossposted at Public Secrets)

#Obamacare Chronicles: yet more flaming wrecks


**Posted by Phineas

"Obamacare has arrived"

“Obamacare has arrived”

Jim Geraghty brings us more debris samples from the flaming wreckage that is Obamacare. You can read them for yourself, but here’s one of the best:

But perhaps Maryland’s mess looks good compared to Oregon, where the accusations of lying are piling up:

Carolyn Lawson, the IT expert who tried and failed to build Oregon’s online insurance exchange, complained to an Oregon Health Authority official that she was forced to leave under false pretenses in an email uncovered by the On Your Side Investigators.

Lawson emailed OHA chief operating officer Suzanne Hoffman in January to complain that a reporter had been given her personal cell phone number, and asked that the state “allow me to move on with privacy and grace,” after one of the worst health-care-exchange website launches in the nation left her career in tatters.??“I have done everything I have been asked to do,” Lawson wrote. “I stuck to the talking points even though I protested . . . that they were not accurate. I walked away quietly when asked to resign. I wrote the resignation letter per the script I was given.”??

KATU Investigators recently uncovered major accountability issues on Lawson’s watch, and former Republican state representative Patrick Sheehan told KATU earlier this month that he’d gone to the FBI with allegations Cover Oregon project managers initiated the design of dummy web pages to convince the federal government the project was further along than it actually was.

Why do I have a feeling this one is going to end up in court, with Lawson (and probably several others) pleading to turn state’s evidence in return for a deal? Is it perhaps because a bill passed in a corrupt (1) manner can only leave corruption in its wake?

Excellent job, Democrats! You’ve earned every bit of what the public is going to give you in November.

(1) Ethically, if not legally.

(Crossposted at Public Secrets)

Foreign Service officers revolt against lousy Obama appointees


**Posted by Phineas



In the Catholic Church, the sin was called “simony,” the buying and selling of sacred offices, such as bishoprics. The practice was one of the abuses that lead to the Reformation. Now Foreign Service officers are rising against a secular simony, the Obama administration’s appointment of unqualified ambassadors who also happen to be big campaign donors:

After a string of rocky confirmation hearings for President Obama’s diplomatic nominees, the group representing America’s Foreign Service professionals signaled Friday that it’s had enough.

The organization, in a major rebuke, is now urging that the White House set minimum qualification standards for its ambassadorial nominees.

“The topic of the qualifications of ambassadorial nominees is of great interest to AFSA’s membership,” The American Foreign Service Association said in a statement. “All Americans have a vested interest in ensuring that we have the most effective leaders and managers of U.S. embassies and missions advancing U.S. interests around the globe.”

The American Foreign Service Association has long argued that ambassadorial nominees should, for the most part, come from the ranks of career professionals — as opposed to the ranks of top-dollar political donors. But the organization is taking its concerns to a new level, announcing Friday that it will propose new guidelines for “the necessary qualifications and qualities” for diplomatic candidates.

The statement said the group has been “closely monitoring” recent confirmation hearings.

AFSA has good reason to be upset. Administrations have typically operated under a 70-30 rule, under which political appointees (as opposed to professionals) were kept to around thirty percent of the available posts. Some went a little higher, others a little lower. The Obama administration, on the other hand, has broken all records: per AFSA, fully 53% of all appointees have been political, the trend rocketing during the second term.

If they were qualified, the practice would contemptible and venal, but tolerable. But many of these appointees are spectacularly unqualified:

  • Senator Max Baucus, appointed to represent us in China, admitted he was “no real expert” on China. This is the same China that holds most of our debt and is a growing military rival in the Pacific. The only reason Team Smart Power yanked him out of the Senate (from which he was retiring) was to try to save the seat for the Democrats in the coming midterms.
  • Hotelier and mega-bundler George Tsunis was so ignorant of of Norway, to which he had been appointed, that he managed to offend the Norwegian government at his confirmation hearing.
  • Noah Mamet, another bundler, admitted under questioning that he’s never been to Argentina, one of the most important countries in South America and which appears to be heading into a crisis. Maybe they should have asked if he could find it on a map.
  • And Colleen Bell, an Obama bundler and soap opera producer appointed to be our ambassador to Hungary, a nation whose democratic institutions are under attack by rising fascism, couldn’t describe our strategic interests in this NATO ally. Senator McCain utterly humiliated her in her hearing.

AFSA, which is not a union per se and has traditionally kept a low profile, is making the unprecedented demand that ambassadorial appointments meet some minimum qualifications. One would think this would already be true, but not apparently in Chicago-on-the-Potomac.

What’s next? Appointing Obama’s favorite horse?

(Crossposted at Public Secrets)

California: Jerry Brown’s high-speed payoff? #HSR


**Posted by Phineas


Uncle Jerry’s High-Speed Boondoggle

Oh, no. This doesn’t look bad at all. First the Tutor-Perini (1) construction company, whom we’ve met before, wins a huge contract to build California’s high-speed rail, even though their record is… not the best. Then, after two defeats in state courts that put the whole project in jeopardy, Brown demands the state supreme court take the cases and overturn them — NOW!!! (2)

And what came between the lower courts’ decisions and Brown’s running to the supreme court? Why, a maximum contribution to Brown’s reelection campaign.

From Tutor-Perini:

The timing of the campaign contribution doesn’t sit well with the state Legislature’s leading critic of the $68 billion high-speed rail project.

“Let’s connect the dots,” said Senator Andy Vidak, R-Hanford, who has introduced a package of legislation “aimed at driving a stake through the heart” of the state’s bullet train. “The HSR Authority’s apparent bid-rigging lands this company a $1 billion contract, then this company gives Brown a max campaign contribution, and then Brown sues to bail the company out?”

“In farm country, this is called ‘you scratch my back, I’ll scratch yours,’” Vidak said.

If Michelle Malkin ever writes a second edition of “Culture of Corruption,” I have a suggested new chapter for her, titled “California’s High-Speed Rip-Off.”

PS: Yeah, I tweeted this article a few minutes ago, but it has me so ticked off, I had to write about it. Garbage like this is one of the poisoned fruits of decades of one-party rule.

(1) The principal owner of which is Senator Diane Feinstein’s husband, let us not forget. Apparently not true any longer, Blume having divested himself of Tutor-Perini stock around October, 2005. (h/t Brock Winstead)
(2) Where he was rebuffed, I’m happy to say. Even the governor doesn’t get to jump the line.

(Crossposted at Public Secrets)

On birthday parties, income inequality, and big government


**Posted by Phineas

"By invitation, only"

“By invitation, only”

So, in all the excitement of the NFL’s “championship weekend” the featured the 49ers thrilling come-from-ahead loss in Seattle (1), I forgot it was Michelle Obama’s 50th birthday. You can bet she didn’t forget, though, enjoying a lavish party attended by 500 celebrities and political stars. An intimate soirée, in other words.

Like Byron York, I’ve no need to know the details, assuming the party was paid for with private money, but the intense secrecy surrounding it is intriguing:

It’s not easy to enforce discipline on successful, wealthy, and famous people used to having their own way. But the White House apparently did not want to see photos of the first lady’s glittery gala circulating around the Internet. So it imposed a strict rule: No cellphones. “Guests were told not to bring cellphones with them, and there was a cellphone check-in area for those who did,” reported the Chicago Tribune. “Signs at the party told guests: No cellphones, no social media.” People magazine added: “Guests had been greeted by a ‘cell phone check’ table where they deposited their camera phones on arrival and it was understood that this was not an occasion for Tweeting party photos or Facebooking details.” The publications cited sources who insisted on anonymity for fear of White House reprisal.

“So great was the secrecy surrounding the party,” the Tribune reported, “that guests were handed an invitation — on their way out, the sources said.”

Kind of amusing for the Most Transparent Administration in History, no?

York speculates on the reasons for the secrecy, including the aforementioned privacy. But, he also touches on another, one that I think is at least equally valid – political messaging:

Or maybe, since the president has announced he is devoting the rest of his time in office to an “inequality agenda,” the White House felt photos of a champagne-soaked, star-studded party would be somewhat off-message.

I’m willing to bet this is it. The Left is singing like a chorus about income inequality and the widening gap, hoping to distract us all from the rolling disaster of Obamacare, and Michelle’s big blow-out would sound a loud discordant note, if it had gotten out on the Internet.

The truth the Ancien Régime misses while enjoying their luxurious parties at Versailles-on-the-Potomac, however, is that their parties are not the problem. No one really cares whether Michelle invites five, fifty, or five-thousand guests. No one cares (other than as an object of mockery) how many snobby dinner parties Anna Wintour throws for her glitterati friends.

The real problem, according to David Malpass in the Wall St. Journal, is that the Left’s preferred big-government, class warfare policies make the dread inequality worse more often than not:

Big government expansions in recent years have harmed individuals with modest incomes while exempting or benefiting people with higher incomes. These include the federal takeover of the mortgage industry, and the Federal Reserve’s decisions to keep interest rates near zero and buy some $3 trillion in bonds. Both of these expansions channel credit to the government and the well-connected at the expense of savers and new businesses.

Middle-income earners used to be the primary beneficiary of the rise in the value of their houses. Housing gains now lift Washington, allowing the government to pay itself huge “dividends” from Fannie Mae, Freddie Mac and the Federal Reserve, which owns nearly $1.5 trillion in the government’s housing-related bonds. The government promptly spends the windfalls, fueling a further accumulation of wealth and income for those with Washington access.

The financial industry is making billions in profits fueled by the government’s provision of zero-rate loans for those with connections and collateral. Wall Street’s upper crust is the epicenter for financing the contractors, lobbyists and lawyers that help the government spend money. Meanwhile, government grabs a huge share of the profits generated by small businesses. It piles on opaque regulations, complex tax rules and countless independent agencies, producing a system that works against small businesses and the middle class. The Affordable Care Act takes pains to exempt Congress, government, corporations and unions, but leaves the rest severely exposed, adding to inequality.

This week’s congressional budget deal saw a narrow group of Washington’s elite legislators and lobbyists working over the weekend to divvy up nearly $1.1 trillion in discretionary spending for 2014. Much of the spending and all of the lobbying and debt underwriting costs will benefit those with high incomes while the extra debt falls heavily on the middle class.

Thus while Our Betters in D.C. and Manhattan and Hollywood graciously deign to run our lives for us (when they’re not attending a fancy-dress ball or jetting off to another exclusive resort), the burdens they impose on our lives really just enrich their friends at our expense and leave us holding the bag.

There’s a genuine opening or moment for a populist revolt coming. Not the Left-wing, class warfare kind the progressives like to sucker us with (and for which far too many fall), but a Jacksonian, democratizing electoral uprising against governing elites represented largely, but not exclusively, by today’s Democratic Party. A rising that would restore opportunity for us all, not trap us like Europe in social democratic amber.

We saw the first wave of this with the Tea Party rising of 2010, and Obamacare creates the conditions for another. The question is, will the Republican Party have the sense and the skill to take advantage of it?

We’ll see.

(1) Okay, I’m done pouting. Really. Just wait’ll next year…

(Crossposted at Public Secrets)