Thursday, June 24, 2010


Dick Morris knows that the worse thing that could possibly happen would be for FEDZILLA to start bailing out the states...
The states are being destroyed by the out of control pension funds of their state workers and NOTHING is going to stop the bleeding until this can be addressed... I'll ask you to read this article in "The Hill" in which Dick shows how we can approach this problem with something that can work as opposed to Obama's idiotic plan to just bail them out with our federal tax dollars...

By Dick Morris
Published on on June 22, 2010
Many say that the situation in Greece is a harbinger of what is coming to the United States. They are right. But first it will come to states like New York, California and Michigan that are stretched way beyond their means and deeply in debt.
Until now, the problems in these states have been papered over by federal aid. Essentially, Washington has relieved these states (and the local governments they fund) of their constitutional obligations to balance their budgets by giving them welfare checks in the nick of time. Obama now seeks to pass $50 billion in additional welfare to the states.
But since these federal funds are not necessarily recurring — and the jobs and obligations they fund are — they simply enlarge each year’s deficit hole and enable the states to go more deeply into the red.
As these deficits mount — particularly if a newly elected Republican House and/or Senate refuse to fund them — bondholders will get more and more nervous. Eventually, they will realize that the less solvent states are bankrupt and will refuse to buy their debt. Eyes in Sacramento, Lansing and Albany will turn helplessly to Washington to guarantee their debt, just as Athens turns to Berlin.
Republicans, if they control either or both Houses, should stand firm and insist that these states sink or swim on their own. America’s taxpayers will not take kindly to having to bail out other states — or even their own — to pay for years of reckless spending. Americans will swarm to the GOP and will hail its stand.
The time is long past when a local newspaper can generate sympathy — even from its own readers and the state’s own citizens — with a headline like “Ford to New York: Drop Dead.” Now people in other states (and even in the affected state) would stand up and cheer should the Republicans take so strong a position.
There is currently no legal procedure for a state government to go bankrupt. Congress, especially if it is Republican in 2011, should pass a mechanism that permits states to discharge in bankruptcy their collective bargaining agreements and contracts with municipal unions. Of course, this procedure would have to let school boards and local governments do likewise.
Obama will veto this bill and a stalemate will ensue.
On the left will stand Obama, the unions and the Democrats demanding bailouts for the states and, truly, an end to our federal system of government. Once Washington guarantees state debt and spending, there will be no more state governance, only national rule.
On the right will stand a Republican Congress refusing to do so unless the states declare bankruptcy and cleanse themselves of the union agreements that got them into trouble in the first place. The GOP will point out that state funding is leaking as surely as the Deepwater Horizon oil well and polluting our nation’s balance sheet as badly in the process.
The money will run out. States, school boards and localities will stop sending out checks. Emergency state funding may keep schools open, prisons locked and police and fire services running, but otherwise all hell will break loose.
Something will give in this national game of chicken. If it is the states and Obama that blink first, we will free our local governments of the grip of municipal unions, their rigid work rules and their unaffordable pensions. If the Republicans blink first, they will forfeit their right to represent the American people, having backed down from the challenge of our times.
This Armageddon looms in 2011, presenting us with either an opportunity to reform our government in fundamental ways or to set in stone our path to an Athens-esque meltdown.

Please send this article to everyone you know, or direct them to and let them read it on Dick's blog...


  1. I've been worried about this with California for some time.

  2. When Dick Morris was with Bill Clinton, I couldn't stand him. You site title probably says it best about Morris; he sure has changed. He has proven a willingness to sacrifice in an effort to turn back rampant socialism. He openly says he is conservative and slipped a couple weeks ago and said he was now a Republican. He is coming to our area in Ozark Mtns on July 14th and I am really excited. We will get out 500 to 1000 to hear him and then go door-to-door with info on cap-and-trade or as my wife says crap-and-tax.

    Thanks for one or more of you brothers who following ARRA News Service and for your comments on Blogs For Borders. As you saw the site is very active and it would be nice to exchange links. Your already following the blog :)

    Also, please help yourself to any posts on either blog, that would interest your readers.

    By His Grace,Another "Born Again" American.

  3. Bro,

    I just received my signed copy of 2010 Take Back America a Battle Plan and will read it as soon as I finisn Glenn Beck's The Overton Window.

    Dick is spot on in his assessment of what will happen if Fedzella tries to bail out the idiot states that are bankrupt! This is why it is imperative that we take back the Congress in November.

    Remember when Bill use to say "beware of the second American Revolution!" Well he was just forty years ahead of his time!

    Lock & Load!!!

    Sons & Daughters of Liberty Unite!!!