Democrats’ Stimulus Failing Middle-Class Families, Enriching Democrats’ Pals

October 3, 2011

FYI, a similar version of this release below went out to the following districts: Jason Altmire (PA-04), John Barrow (GA-12), Sanford Bishop (GA-02), Tim Bishop (NY-01), Leonard Boswell (IA-03), Bruce Braley (IA-01), Lois Capps (CA-23), Dennis Cardoza (CA-18), Russ Carnahan (MO-03), Kathy Castor (FL-11), Ben Chandler (KY-06), David Cicilline (RI-01), Gerry Connolly (VA-11), Jim Cooper (TN-05), Jim Costa (CA-20), Jerry Costello (IL-12), Henry Cuellar (TX-28), Raul Grijalva (AZ-07), Brian Higgins (NY-27), Jim Himes (CT-04), Ruben Hinojosa (TX-15), Tim Holden (PA-17), Rush Holt (NJ-12), Steve Israel (NY-02), Bill Keating (MA-10), Ron Kind (WI-03), Larry Kissell (NC-08), Rick Larsen (WA-02), David Loebsack (IA-02), Jim Matheson (UT-02), Carolyn McCarthy (NY-04), Mike McIntyre (NC-07), Jerry McNerney (CA-11), Michael Michaud (ME-02), Brad Miller (NC-13), Bill Owens (NY-23), Frank Pallone (NJ-06), Ed Perlmutter (CO-07), Gary Peters (MI-09), Chellie Pingree (ME-01), David Price (NC-04), Nick Rahall (WV-03), Loretta Sanchez (CA-47), Kurt Schrader (OR-05), Adam Smith (WA-09), Betty Sutton (OH-13), John Tierney (MA-06), Niki Tsongas (MA-05), Pete Visclosky (IN-01), Tim Walz (MN-01), John Yarmuth (KY-03)
Matheson’s Stimulus Failing Middle-Class Families, Enriching Democrats’ Pals
Utah Democrat’s First Stimulus Failed to Create the Jobs Promised, But Still Enriches Party Donors and Friends Ahead of the Second Attempt

Washington — In the wake of the Solyndra bankruptcy fiasco which now has taxpayers on the hook for over half a billion dollars, evidence continues to pour in that Jim Matheson’s failed $800 billion stimulus is helping out the Democrats’ friends and donors a lot more than middle-class families in Utah. Since a guaranteed loan fund created by Matheson’s stimulus ran out on Friday, Obama Administration officials rushed to dole out the remaining money as fast as possible – $4.7 billion in taxpayer money benefitting Democrat donors and friends – ignoring the lessons that should have been learned from the Solyndra fiasco. The failure of Matheson’s first stimulus certainly does not inspire confidence now that his Democrat leaders are traveling the country promoting Round Two.

“Jim Matheson’s wasteful $800 billion stimulus clearly failed to create the jobs promised while benefitting companies like Solyndra and the Democrat donors and allies who are profiting from them,” said NRCC Communications Director Paul Lindsay. “We’ve seen how Matheson’s first stimulus worked out, and his constituents in Utah will remember that the sequel is always worse than the original as President Obama and his Congressional Democrat allies push for a second round.”

Despite the embarrassment from the Solyndra bankruptcy, which already has taxpayers on the hook for the $535 million loan, the Obama Administration rushed through nearly five billion dollars in loans guaranteed by taxpayer money to new solar ventures in the finals days of the program:

“The Energy Department defied Republican critics Friday by announcing that it had committed an additional $4.7 billion in loan guarantees toward four big-dollar clean technology projects just hours before the program’s funding expired…

“The program’s congressionally approved funding expired at midnight Friday as the federal fiscal year ended. The effort to commit money before the books closed came at a delicate time for the Energy Department, which for weeks has battled allegations that it erred by rushing to extend a guarantee to Solyndra.” (Joe Stephens and Carol D. Leonnig, “Solar projects get funding as deadline approaches,” The Washington Post, 9/30/11)

The benefit to taxpayers in the wake of the Solyndra scandal remains dubious at best, but powerful Democrat donors and friends have already profited from the billions spent:

“Several of Barack Obama’s top campaign supporters went from soliciting political contributions to working from within the Energy Department as it showered billions in taxpayer-backed stimulus money on alternative energy firms, ABC News and iWatch News have learned.

“One of them was Steven J. Spinner, a high-tech consultant and energy investor who raised at least $500,000 for the candidate. He became one of Energy Secretary Steven Chu’s key loan program advisors while his wife’s law firm represented a number of companies that had applied for loans.” (Matthew Mosk and Ronnie Greene, “Obama Fundraisers Tied to Green Firms That Got Federal Cash,” ABC News, 3/29/11)

For instance, one of the companies that received $737 million in taxpayer-guaranteed loans last week has Ronald Pelosi listed as a major investor. He is House Democrat Leader Nancy Pelosi’s brother-in-law:

“On SolarReserve’s website is a list of ‘investment partners,’ including the ‘PCG Clean Energy & Technology Fund (East) LLC.’ As blogger American Glob quickly discovered, PCG’s number two is none other than ‘Ronald Pelosi, a San Francisco political insider and financial industry polymath who happens to be the brother-in-law of Nancy Pelosi, the Minority Leader of the United States House of Representatives.'” (Mark Hemingway, “Crony Capitalism: $737 Million Green Jobs Loan Given to Nancy Pelosi’s Brother-In-Law,” The Weekly Standard‘s The Blog, 9/29/11)

Other top fundraisers for Team Obama are also heavily invested in these projects:

“The main sponsor of that project is Solar Reserve LLC, in which Argonaut Private Equity holds a 3% stake. Argonaut is an investment arm of the family foundation of George Kaiser, a billionaire political supporter of President Barack Obama. Argonaut also holds a 39% stake in Solyndra.” (Ryan Tracy, “Two Solar Plants Get Loan Guarantees,” The Wall Street Journal, 9/28/11)

As the scandals continue to mount and the economy continues to struggle, Jim Matheson needs to explain why he spent nearly a trillion dollars on his failed stimulus plan. Matheson promised his constituents in Utah the first stimulus would create jobs – not help the Democrats’ campaign donors and friends – and now his Democrat leaders want to do it all over again.

Democrats’ Stimulus Failing Middle-Class Families, Enriching Democrats’ Pals http://ow.ly/6LF6S #madeinwdc

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