We Are Consuming All of Our Seed Corn

Financial Sense Online ^ | 5/06/03 | Jim Puplava

[B. A. Conservative]

We Are Consuming All of Our Seed Corn

The economy is in trouble and there is a great debate going on in Washington on how to fix it. The major philosophical debate is how government can fix an ailing economy. Lost in this argument is the fact that the current mess was caused by government. And now we are asking the very institution that gave us the bubble and altered spending and investment habits in this country to fix the mess it created. A central tenet in American economic thinking is intervention, redistribution and consumption. This doctrine was borne out of the Great Depression where the cause and the effects of the depression were misunderstood. The giant credit and money bubble, which led to the Great Depression, was misinterpreted. What started out as a market correction was turned into a great bear market and a depression.

When stocks crashed in October of 1929, the economy faltered. The following year the market was back in recovery mode, but the Hoover Administration began a series of interventions. At first the Administration cut taxes and increased spending. They then reversed that policy with tax increases, and new spending programs. The Hoover Administration created the platform and spending programs that later became The New Deal. Roosevelt ran against Hoover as a run away spendthrift. After winning the election, the Roosevelt Administration continued the Hoover policies and took them to new levels of intervention in the economy. Rather than let prices fall to a level that would create an equilibrium in the economy and clear all of the excess malinvestments, the Administration tried to intervene and prevent the liquidation and cleansing process from ever taking place. Price supports, taxation, new spending programs and wealth redistribution programs were put in place. All these programs did was to extend the length and severity of the depression. It would take a war to bring the U.S. economy out of depression and correct a 25% unemployment rate.

One Man's Philosophy Became The Backbone of a New Era

The rationale for such policies received its philosophical input from John Maynard Keynes’ General Theory of Unemployment, Interest and Money. The book is considered one of the most influential social science treatises of the 20th century. The book quickly and permanently changed the way the world looked at the economy and the role the government played in society. Keynes criticized the laissez-faire economy and free markets. In their place, Keynes advocated the use of public works to reduce unemployment, having governments run deficits to counter any weakness in the economy. Keynes’ book sought to develop theories that could explain how aggregate output could be determined by influencing aggregate demand. In addition his theories included demand-determined equilibrium, disputing the ineffectiveness of pricing flexibility of the marketplace to cure unemployment, a unique theory of money based on liquidity preference and the marginal efficiency of an investment schedule. Keynes refuted Say’s Law and severed forever the linkage between savings and investment causation. In essence, instead of the natural laws of the market place, Keynes advocated using government fiscal and monetary policy in an effort to eliminate recessions and control economic booms.

From this point forward, the American economy would be subject to periodic booms and busts as the Boom and Bust Cycle became institutionalized through government policy. The result was that eventually the government expanded its role in the economy through constant fiscal and monetary tinkering. As the role of government expanded, it could no longer balance its books and keep its currency on the sound footing through backing by gold. Eventually, in August of 1971 the U.S. government was forced into defaulting on its gold backing by going off the Bretton Woods system. Henceforth the greenback would no longer be backed by gold. Instead, there was no longer anything backing it other than the full faith and credit of the U.S. government. From this point forward, the U.S. government was no longer required to balance its books and since that time has run continuous budget deficits. It began to spend, tax, and print money in an effort to achieve social policy. Boom and bust cycles became more frequent and more pronounced and the value of the dollar lost a good majority of its purchasing power. There was nothing to back it or prevent dilution of its value. The result was a dramatic increase in the cost of living for most Americans. It now takes both spouses working and debt to support a family.

The result of these polices is that the dollar, which hit another new low today, has lost close to 90% of its purchasing power. The savings rate in this country has fallen to the low single digits. At one time Americans saved between 10-12 percent of their income. Debt in this country has exploded over the last two decades and accelerated during the last decade.

As the following charts below illustrate, it doesn’t matter whether it is government debt, consumer debt, or corporate debt; debt has risen to levels never seen in the history of the world. Total outstanding U.S. debt now totals $34 trillion, or $119,442 per man, women, and child. According to Michael Hodges, of the Grandfather report, 61% of this debt or $21 trillion was created since 1990. Contrary to popular myths, the 1990’s weren’t a decade of savings and investment. In place of savings and investment, Americans cut back on savings and replaced it with debt and consumption.

National Solvency in Question

As you will notice in this chart from Grandfather Economic Report, the level of debt is growing at a rate that far exceeds national income. This raises the question of national solvency.

This expansion of debt and consumption gets back to classical economics, which is based on prosperity and linked that prosperity to savings and investment. We don’t save and invest anymore in this country. We have replaced the concept of savings and investment with debt and consumption.

The emphasis in government and monetary policy is to enable American consumers to borrow more and spend more money in order to grow the economy. The emphasis for the last half-century has been on expanding credit and debt, and increasing consumption. The result is that we as Americans save little, invest little and consume a lot. We are, in effect, consuming all of our seed corn.

Our manufacturing base is going overseas and now our service economy is being transferred to India and Asia. We are no longer self-sufficient in energy, manufacturing, or capital. In order to finance our trade deficit, the U.S. needs to borrow and consume 80 percent of the world’s savings. The result is that in exchange for consumption we give foreigners dollars, which are then used to purchase our assets such as Treasury bonds, corporate bonds, stocks, and real estate. It is just a matter of time before foreigners refuse to lend us their capital. You can’t run an economy nor can you build prosperity on debt. The U.S. has become a paper economy. The thing we seem to be good at is creating paper, trading paper, and exporting paper.

Some day soon this policy is going to come to an end. I very seldom read or hear in most economic reports where the impetus for the second half recovery will come from, other than increased consumer spending and, if we are lucky, capex spending. However, what will drive this spending? Will it come from increased profits? You can’t spend pro forma profits. Capex spending comes from and is supported by real profits and cash flow, not some factious number made up by creative accountants. Will the consumer go deeper into debt to support further consumption?

Getting To The Crux of The Matter

These are important questions and must be addressed in the debate on how this economy is going to get fixed. At the center of this debate is taxes and consumption. The American tax system favors debt accumulation and consumption and punishes savings and investment. Interest is deductible; while dividends are taxed twice. Savings are taxed at high marginal rates; while borrowing money for a home is deductible. In the current debate over tax cuts there is a reluctance to cut high marginal tax rates that are confiscatory--if not punitive. The debate centers on the concept of consumption. Cutting high marginal tax rates is considered to benefit only the wealthy who would then save and invest that money. Apparently savings and investment, which creates true wealth in an economy, is considered to be bad economic policy. In place of tax cuts, wealth transfers and temporary tax reduction measures are favored. The emphasis from the opposition comes from the fact that cutting higher end brackets benefits the wealthy who would only save and invest the tax savings. The connection between savings and investment has been completely lost. All benefits in the economy are believed to accrue from debt and consumption. People borrow, people spend; this is what the interventionists and consumptionists believe creates economic prosperity.

Cutting taxes would transfer money back into the economy through private means. It is this private means that is so objectionable to social engineers. Only the government, it is thought, can successively implement economic policy--not the market place. This belief is Keynesian at its core. Keynes, who was quite adept at trading the market, didn’t trust the market or the invisible hand of Adam Smith. Instead, he advocated the direct hand of government, which has gotten us into this debt mess. Therefore, there is a major objection to tax cuts because they are thought to limit the government’s ability to direct social policy. Ludwig Von Mises, writing in Human Action, expresses both the thought process and dangers of confiscation and redistribution when he writes,

“…the purpose of taxation is never to raise money, since the government can raise all the money it needs by printing it. The true purpose of taxation is to leave less in the hands of the taxpayer…" It is obvious that the popular belief that this mode of confiscatory taxation harms only the immediate victims, the rich, is false.

If capitalists are faced with the likelihood that the income tax or the estate tax will rise to 100% [prior to John F. Kennedy the tax rates were as high as 90%], they will prefer to consume their capital funds rather than to preserve them for the collector…. Today taxes often absorb the greater part of the newcomers “excessive profits. He cannot accumulate capital; he cannot expand his own business; he will never become big business and a match for the vested interests. The old firms do not need to fear his competition; they are sheltered by the tax collector. They may with impunity indulge in routine, they may defy the wishes of the public and become conservative.” And finally, “Profits are the driving force of the economy. The greater the profits, the better the needs of the consumers are supplied…He who serves the public best, makes the highest profits. In fighting profits governments deliberately sabotage the operation of the market economy.” Ludwig Von Mises, Human Action, p. 800-807

Is it any wonder that the policies of intervention, redistribution, taxes and consumption have led this great nation to its present difficulties? Only when a change in direction away from Keynesian economics and a return to policies that favor savings and investment will a true prosperity in the economy be restored.

Today's Market

Back at the casino, markets rose in anticipation that profits from Cisco will rise this quarter, which is what they did. Cisco reported higher profits thanks to lower operating costs. Sales fell from a year ago and from last quarter, but profits rose because of a 7.8% cut in expenses. Cisco, like many companies this quarter, has been reporting better-than-expected profits as a result of cost cutting. However, top line growth through increased sales has been absent.

The markets had to digest and get past the Fed’s meeting in Washington today. The Fed Open Market Committee left rates unchanged. Fed officials said the risks to the economy are greater and implied that the Fed stands ready to cut rates again if business confidence doesn’t recover quickly. Fed officials are worried about deflation and economic weakness. The economy hasn’t picked up recently despite the ending of hostilities in Iraq and the decline of the war premium in oil.

Markets rose across the board with volume picking up to 1.6 billion shares on the NYSE and 2.1 billion on the NASDAQ. Market breadth was positive by 21-10 on the Big Board and by 19-12 on the NASDAQ. The VIX edged up .02 to 23.26 while the VXN rose by .44 to 32.13. The individual investor is returning back to the market and there are plenty of technical factors that favor a continuance of this trend until the averages bump up against their necklines.

Bloomberg's Overseas Market Summary

European stocks rose for a third day. Oil companies, including BP Plc, led gains as Merrill Lynch & Co. said crude-oil prices may be poised to rise and Total SA reported a first-quarter profit that beat analysts' forecasts. The Dow Jones Stoxx 50 Index added 1.6 percent to 2389.70 London. The Stoxx 600 rose 1.4 percent to 198.92, with energy and banking stocks accounting for about a third of the increase. Benchmark indexes advanced in all 17 Western European markets, except Denmark.

Japanese stocks gained, with the Nikkei 225 Stock Average rising above 8000 for the first time in a month. Exporters such as Sony Corp. advanced as a U.S. services report signaled demand in the world's largest economy may improve. The Nikkei rose for a fourth day, gaining 176.37, or 2.2 percent, to 8083.56. The Topix index added 16.79, or 2.1 percent, to 821.41. Computer-related stocks and automakers contributed a quarter of the index's gain as all but two of the Topix's 33 industry sub-groups rose.

Copyright © 2003 Jim Puplava May 6, 2003 Charts courtesy of Michael Hodges' Grandfather Economic Report and FRED II

[B. A. Conservative]

This is not the only economics lesson you will ever need. But for the majority of Republicans and all Democrats, this should be the first.

The charts add a great deal. Unfortunately, I have not mastered this posting craft. The link to the original article will expire and the opportunity lost to appreciate the full impact of this article unless I can enlist the aid of another Freeper who can repost this article correctly as a reply. Thanks.

[Brian S]

Allow me:

We Are Consuming All of Our Seed Corn

The economy is in trouble and there is a great debate going on in Washington on how to fix it. The major philosophical debate is how government can fix an ailing economy. Lost in this argument is the fact that the current mess was caused by government. And now we are asking the very institution that gave us the bubble and altered spending and investment habits in this country to fix the mess it created. A central tenet in American economic thinking is intervention, redistribution and consumption. This doctrine was borne out of the Great Depression where the cause and the effects of the depression were misunderstood. The giant credit and money bubble, which led to the Great Depression, was misinterpreted. What started out as a market correction was turned into a great bear market and a depression.

When stocks crashed in October of 1929, the economy faltered. The following year the market was back in recovery mode, but the Hoover Administration began a series of interventions. At first the Administration cut taxes and increased spending. They then reversed that policy with tax increases, and new spending programs. The Hoover Administration created the platform and spending programs that later became The New Deal. Roosevelt ran against Hoover as a run away spendthrift. After winning the election, the Roosevelt Administration continued the Hoover policies and took them to new levels of intervention in the economy. Rather than let prices fall to a level that would create an equilibrium in the economy and clear all of the excess malinvestments, the Administration tried to intervene and prevent the liquidation and cleansing process from ever taking place. Price supports, taxation, new spending programs and wealth redistribution programs were put in place. All these programs did was to extend the length and severity of the depression. It would take a war to bring the U.S. economy out of depression and correct a 25% unemployment rate.

One Man's Philosophy Became The Backbone of a New Era

The rationale for such policies received its philosophical input from John Maynard Keynes’ General Theory of Unemployment, Interest and Money. The book is considered one of the most influential social science treatises of the 20^th century. The book quickly and permanently changed the way the world looked at the economy and the role the government played in society. Keynes criticized the laissez-faire economy and free markets. In their place, Keynes advocated the use of public works to reduce unemployment, having governments run deficits to counter any weakness in the economy. Keynes’ book sought to develop theories that could explain how aggregate output could be determined by influencing aggregate demand. In addition his theories included demand-determined equilibrium, disputing the ineffectiveness of pricing flexibility of the marketplace to cure unemployment, a unique theory of money based on liquidity preference and the marginal efficiency of an investment schedule. Keynes refuted Say’s Law and severed forever the linkage between savings and investment causation. In essence, instead of the natural laws of the market place, Keynes advocated using government fiscal and monetary policy in an effort to eliminate recessions and control economic booms.

From this point forward, the American economy would be subject to periodic booms and busts as the Boom and Bust Cycle became institutionalized through government policy. The result was that eventually the government expanded its role in the economy through constant fiscal and monetary tinkering. As the role of government expanded, it could no longer balance its books and keep its currency on the sound footing through backing by gold. Eventually, in August of 1971 the U.S. government was forced into defaulting on its gold backing by going off the Bretton Woods system. Henceforth the greenback would no longer be backed by gold. Instead, there was no longer anything backing it other than the full faith and credit of the U.S. government. From this point forward, the U.S. government was no longer required to balance its books and since that time has run continuous budget deficits. It began to spend, tax, and print money in an effort to achieve social policy. Boom and bust cycles became more frequent and more pronounced and the value of the dollar lost a good majority of its purchasing power. There was nothing to back it or prevent dilution of its value. The result was a dramatic increase in the cost of living for most Americans. It now takes both spouses working and debt to support a family.

The result of these polices is that the dollar, which hit another new low today, has lost close to 90% of its purchasing power. The savings rate in this country has fallen to the low single digits. At one time Americans saved between 10-12 percent of their income. Debt in this country has exploded over the last two decades and accelerated during the last decade. As the following charts below illustrate, it doesn’t matter whether it is government debt, consumer debt, or corporate debt; debt has risen to levels never seen in the history of the world. Total outstanding U.S. debt now totals $34 trillion, or $119,442 per man, women, and child. According to Michael Hodges, of the Grandfather report, 61% of this debt or $21 trillion was created since 1990. Contrary to popular myths, the 1990’s weren’t a decade of savings and investment. In place of savings and investment, Americans cut back on savings and replaced it with debt and consumption.

 

 

National Solvency in Question

As you will notice in this chart from Grandfather Economic Report, the level of debt is growing at a rate that far exceeds national income. This raises the question of national solvency.

This expansion of debt and consumption gets back to classical economics, which is based on prosperity and linked that prosperity to savings and investment. We don’t save and invest anymore in this country. We have replaced the concept of savings and investment with debt and consumption.

The emphasis in government and monetary policy is to enable American consumers to borrow more and spend more money in order to grow the economy. The emphasis for the last half-century has been on expanding credit and debt, and increasing consumption. The result is that we as Americans save little, invest little and consume a lot. We are, in effect, consuming all of our seed corn.

Our manufacturing base is going overseas and now our service economy is being transferred to India and Asia. We are no longer self-sufficient in energy, manufacturing, or capital. In order to finance our trade deficit, the U.S. needs to borrow and consume 80 percent of the world’s savings. The result is that in exchange for consumption we give foreigners dollars, which are then used to purchase our assets such as Treasury bonds, corporate bonds, stocks, and real estate. It is just a matter of time before foreigners refuse to lend us their capital. You can’t run an economy nor can you build prosperity on debt. The U.S. has become a paper economy. The thing we seem to be good at is creating paper, trading paper, and exporting paper.

Some day soon this policy is going to come to an end. I very seldom read or hear in most economic reports where the impetus for the second half recovery will come from, other than increased consumer spending and, if we are lucky, capex spending. However, what will drive this spending? Will it come from increased profits? You can’t spend pro forma profits. Capex spending comes from and is supported by real profits and cash flow, not some factious number made up by creative accountants. Will the consumer go deeper into debt to support further consumption?

Getting To The Crux of The Matter

These are important questions and must be addressed in the debate on how this economy is going to get fixed. At the center of this debate is taxes and consumption. The American tax system favors debt accumulation and consumption and punishes savings and investment. Interest is deductible; while dividends are taxed twice. Savings are taxed at high marginal rates; while borrowing money for a home is deductible. In the current debate over tax cuts there is a reluctance to cut high marginal tax rates that are confiscatory--if not punitive. The debate centers on the concept of consumption. Cutting high marginal tax rates is considered to benefit only the wealthy who would then save and invest that money. Apparently savings and investment, which creates true wealth in an economy, is considered to be bad economic policy. In place of tax cuts, wealth transfers and temporary tax reduction measures are favored. The emphasis from the opposition comes from the fact that cutting higher end brackets benefits the wealthy who would only save and invest the tax savings. The connection between savings and investment has been completely lost. All benefits in the economy are believed to accrue from debt and consumption. People borrow, people spend; this is what the interventionists and consumptionists believe creates economic prosperity.

Cutting taxes would transfer money back into the economy through private means. It is this private means that is so objectionable to social engineers. Only the government, it is thought, can successively implement economic policy--not the market place. This belief is Keynesian at its core. Keynes, who was quite adept at trading the market, didn’t trust the market or the invisible hand of Adam Smith. Instead, he advocated the direct hand of government, which has gotten us into this debt mess. Therefore, there is a major objection to tax cuts because they are thought to limit the government’s ability to direct social policy. Ludwig Von Mises, writing in Human Action, expresses both the thought process and dangers of confiscation and redistribution when he writes,

“…the purpose of taxation is never to raise money, since the government can raise all the money it needs by printing it. The true purpose of taxation is to leave less in the hands of the taxpayer…" It is obvious that the popular belief that this mode of confiscatory taxation harms only the immediate victims, the rich, is false.

If capitalists are faced with the likelihood that the income tax or the estate tax will rise to 100% [prior to John F. Kennedy the tax rates were as high as 90%], they will prefer to consume their capital funds rather than to preserve them for the collector…. Today taxes often absorb the greater part of the newcomers “excessive profits. He cannot accumulate capital; he cannot expand his own business; he will never become big business and a match for the vested interests. The old firms do not need to fear his competition; they are sheltered by the tax collector. They may with impunity indulge in routine, they may defy the wishes of the public and become conservative.” And finally, “Profits are the driving force of the economy. The greater the profits, the better the needs of the consumers are supplied…He who serves the public best, makes the highest profits. In fighting profits governments deliberately sabotage the operation of the market economy.”  Ludwig Von Mises, Human Action, p. 800-807

Is it any wonder that the policies of intervention, redistribution, taxes and consumption have led this great nation to its present difficulties? Only when a change in direction away from Keynesian economics and a return to policies that favor savings and investment will a true prosperity in the economy be restored.

Today's Market

Back at the casino, markets rose in anticipation that profits from Cisco will rise this quarter, which is what they did. Cisco reported higher profits thanks to lower operating costs. Sales fell from a year ago and from last quarter, but profits rose because of a 7.8% cut in expenses. Cisco, like many companies this quarter, has been reporting better-than-expected profits as a result of cost cutting. However, top line growth through increased sales has been absent.

The markets had to digest and get past the Fed’s meeting in Washington today. The Fed Open Market Committee left rates unchanged. Fed officials said the risks to the economy are greater and implied that the Fed stands ready to cut rates again if business confidence doesn’t recover quickly. Fed officials are worried about deflation and economic weakness. The economy hasn’t picked up recently despite the ending of hostilities in Iraq and the decline of the war premium in oil.

Markets rose across the board with volume picking up to 1.6 billion shares on the NYSE and 2.1 billion on the NASDAQ. Market breadth was positive by 21-10 on the Big Board and by 19-12 on the NASDAQ. The VIX edged up .02 to 23.26 while the VXN rose by .44 to 32.13. The individual investor is returning back to the market and there are plenty of technical factors that favor a continuance of this trend until the averages bump up against their necklines.

Bloomberg's Overseas Market Summary

European stocks rose for a third day. Oil companies, including BP Plc, led gains as Merrill Lynch & Co. said crude-oil prices may be poised to rise and Total SA reported a first-quarter profit that beat analysts' forecasts. The Dow Jones Stoxx 50 Index added 1.6 percent to 2389.70 London. The Stoxx 600 rose 1.4 percent to 198.92, with energy and banking stocks accounting for about a third of the increase. Benchmark indexes advanced in all 17 Western European markets, except Denmark.

Japanese stocks gained, with the Nikkei 225 Stock Average rising above 8000 for the first time in a month. Exporters such as Sony Corp. advanced as a U.S. services report signaled demand in the world's largest economy may improve. The Nikkei rose for a fourth day, gaining 176.37, or 2.2 percent, to 8083.56. The Topix index added 16.79, or 2.1 percent, to 821.41. Computer-related stocks and automakers contributed a quarter of the index's gain as all but two of the Topix's 33 industry sub-groups rose.

Copyright © 2003 Jim Puplava
May 6, 2003
Charts courtesy of Michael Hodges' Grandfather Economic Report and FRED II

[freeper12]

bump for later read

[headsonpikes]

Thanks, guys.

One fine morning, someday, people will realize that American Socialism is no more magical than the other varieties.

All socialism is national socialism.

[vastrightwc]

This is a great article.

[staytrue]

The total assets of the US are about 50 trillion while the debt as shown is 35 trillion. While this looks bad, it is a little less bad as a lot of debt is double counted. Fannie mae borrows money and lends it out is an example of double counting. The situation is still quite dire, it's just a little less dire than the numbers indicate.

[NWO Slave]

Citizens Against Government Waste

CAGW IDENTIFIES RECORD $22.5 BILLION IN PORK FOR 2003

INTRODUCTION

When Congress passed the 2003 Omnibus Appropriations Bill on February 13, 2003, the country was staring at a $300 billion budget deficit and preparing for military action overseas. Instead of being fiscally responsible, members of Congress loaded the bill up with thousands of pork-barrel projects ranging from the National Peanut Festival in Alabama to the National Cowgirl Museum and Hall of Fame in Texas.

Unlike it did during World War II and the Korean War, Congress has failed to cut non-defense discretionary spending during the War on Terrorism. The choices are clear. Should Congress spend $1 million for oyster recovery in South Carolina, or marsh restoration in New Hampshire, or the Bering Sea crab in Alaska, or brown tree snakes in Hawaii? Or should that same $1 million be used to buy one Tomahawk cruise missile to begin replacing the thousands that are being used in Iraq? The American people know the answer, but apparently Congress has yet to get the message.

This year's total reveals that Congress porked out at record levels. For fiscal 2003, appropriators stuck 9,362 projects in the 13 appropriations bills, an increase of 12 percent over last year's total of 8,341. In the last two years the total number of projects has increased 48 percent. The cost of these projects in fiscal 2003 was $22.5 billion, or 12 percent more than last year's total of $20.1 billion. In fact, the total cost of pork has increased by 22 percent since fiscal 2001. Total pork identified by Citizens Against Government Waste (CAGW) since 1991 adds up to $162 billion.

The top three increases in pork from fiscal 2002 to fiscal 2003 were: District of Columbia from $10 million to $87 million (769 percent); Legislative Branch from $34 million to $71 million (108 percent); and Military Construction from $881 million to $1.2 billion (33 percent).

Alaska again led the nation with $611 per capita ($393 million), or 18 times the national pork average of $34. The runners up were Hawaii with $283 per capita ($353 million) and the District of Columbia with $262 per capita ($149 million). The common thread in the top two states is that they are represented by powerful senators and appropriators then-Senate Appropriations Committee Ranking Member Ted Stevens (R-Alaska), and Senate appropriator Daniel Inouye (D-Hawaii).

As Congress and the President debate the fiscal 2004 budget, they should reject the pork and waste that was approved in fiscal 2003. Only then can taxpayers be reassured that Washington will adequately protect both their fiscal and physical security.

The 439 projects, totaling $3.2 billion, in this year's Congressional Pig Book Summary symbolize the most egregious and blatant examples of pork. As in previous years, all of the items in the Congressional Pig Book Summary meet at least one of CAGW's seven criteria, but most satisfy at least two:

· Requested by only one chamber of Congress;

· Not specifically authorized;

· Not competitively awarded;

· Not requested by the President;

· Greatly exceeds the President's budget request or the previous year's funding;

· Not the subject of congressional hearings; or

· Serves only a local or special interest.

I. AGRICULTURE

Like children taking cookies from a jar, appropriators used the Agriculture Appropriations Bill to satisfy their hunger for pork with little regard to national needs. The United States Department of Agriculture (USDA) has a very strict policy of not requesting state- or commodity-specific research grants through the Cooperative State Research, Education and Extension Service (CSREES) special research grants program. Unfortunately, Congress has a strict policy of not listening to USDA. In fact, appropriators earmarked $112 million in CSREES grants, a 3,294 percent increase over USDA's budget request of $3.3 million. Total agriculture pork in fiscal 2003 was $478 million, or 5 percent more than fiscal 2002's total of $454 million.

$44,239,000 for projects in the state of Senate Agriculture Appropriations subcommittee member Tom Harkin (D-Iowa) and House Agriculture Appropriations subcommittee member Tom Latham (R-Iowa), including: $33,000,000 for the National Animal Disease Center in Ames; $700,000 for the Midwest Poultry Consortium; $280,000 for the Iowa Vitality Center; $235,000 for dairy education; $210,000 for hoop barns; and $100,000 for the Trees Forever Program.

$29,904,000 added by the Senate for projects in the state of then-Senate Agriculture Appropriations Subcommittee Ranking Member Thad Cochran (R-Miss.), including: $9,200,000 for the Southern Horticulture Laboratory in Poplarville; $2,000,000 for the plant propagation facility in Oxford; $750,000 for ornamental crops research; $500,000 for catfish health in Stoneville; $350,000 for sweet potato research in Stoneville; and $100,000 for drainage improvements on Watkins Drive in Jackson.

$19,973,000 for projects in the state of then-Senate Agriculture Appropriations Subcommittee Chairman Herb Kohl (D-Wisc.) and the district of House Appropriations Committee Ranking Member David Obey (D-Wisc.), including: $8,400,000 for the Cereal Crops Research Laboratory; $3,000,000 for the Nutrient Management Research Laboratory in Marshfield; $550,000 for the Wisconsin Department of Agriculture's grazing lands initiative; and $540,000 for urban horticulture.

$10,586,000 for projects in the state of then-Senate Appropriations Committee Ranking Member Ted Stevens (R-Alaska), including: $1,200,000 for seafood harvesting, processing, and marketing; $700,000 for rural development; $631,000 for alternative salmon products; $450,000 for the Kenai Streambank restoration water project; $200,000 for seafood waste in Fairbanks; and $140,000 for salmon quality standards.

$7,115,000 for projects in the state of then-Senate Appropriations Committee Chairman Robert Byrd (D-W.Va.) and House appropriator Alan Mollohan (D-W.Va.), including: $740,000 for aquaculture product and marketing development; $690,000 for agriculture waste utilization; $600,000 for water pollutants; $180,000 for wetland plants; and $160,000 for feed efficiency.

$6,170,000 for wood utilization research (Alaska, Idaho, Maine, Mich., Minn., Miss., N.C., Ore., and Tenn.). Since 1985, $73 million has been sapped from the taxpayers for this research.

$4,214,000 for shrimp aquaculture research (Ariz., Hawaii, La., Mass., Miss., S.C., and Texas). Since 1985, $57 million has been appropriated for this research, which has become a staple of the appropriators' diet.

$19,973,000 for projects in the state of then-Senate Agriculture Appropriations Subcommittee Chairman Herb Kohl (D-Wisc.) and the district of House Appropriations Committee Ranking Member David Obey (D-Wisc.), including: $8,400,000 for the Cereal Crops Research Laboratory; $3,000,000 for the Nutrient Management Research Laboratory in Marshfield; $550,000 for the Wisconsin Department of Agriculture's grazing lands initiative; and $540,000 for urban horticulture.

$10,586,000 for projects in the state of then-Senate Appropriations Committee Ranking Member Ted Stevens (R-Alaska), including: $1,200,000 for seafood harvesting, processing, and marketing; $700,000 for rural development; $631,000 for alternative salmon products; $450,000 for the Kenai Streambank restoration water project; $200,000 for seafood waste in Fairbanks; and $140,000 for salmon quality standards.

$7,115,000 for projects in the state of then-Senate Appropriations Committee Chairman Robert Byrd (D-W.Va.) and House appropriator Alan Mollohan (D-W.Va.), including: $740,000 for aquaculture product and marketing development; $690,000 for agriculture waste utilization; $600,000 for water pollutants; $180,000 for wetland plants; and $160,000 for feed efficiency.

$6,170,000 for wood utilization research (Alaska, Idaho, Maine, Mich., Minn., Miss., N.C., Ore., and Tenn.). Since 1985, $73 million has been sapped from the taxpayers for this research.

$4,214,000 for shrimp aquaculture research (Ariz., Hawaii, La., Mass., Miss., S.C., and Texas). Since 1985, $57 million has been appropriated for this research, which has become a staple of the appropriators' diet.

$900,000 for Satsuma orange research in the state of Senate appropriator Richard Shelby (R-Ala.) and House appropriators Robert Aderholdt (R-Ala.), Sonny Callahan (R-Ala.), and Robert Cramer (D-Ala.). The focus of this research is to determine new methods for Satsuma orange production, an important crop in Alabama, "under potentially unfavorable conditions." Although USDA has never requested funds for this project, Satsuma orange research has received $2,173,955 since fiscal 2001, and its national significance remains dubious.

$497,000 added by the House for projects in the district of House Agriculture Appropriations subcommittee member Jo Ann Emerson (R-Mo.): $297,000 for technological development of renewable resources and $200,000 for rice agronomy.

$450,000 added by the House for oyster post-harvest treatment research in the district of House Agriculture Appropriations subcommittee member F. Allen Boyd (D-Fla.). According to USDA testimony, "this research is focused on freezing as a post-harvest treatment" for oysters and shellstock products to reduce the health risks for consumers in Florida. Since 2002, $850,000 has been appropriated for this research.

$280,000 for asparagus technology and production in the state of Senate appropriator Patty Murray (D-Wash.) and House Agriculture Appropriations subcommittee member George Nethercutt (R-Wash.). According to USDA officials, "the asparagus industry in Washington and other states is suffering a severe economic loss," and "this research will enable Washington asparagus producers to remain domestically and internationally competitive."

II. COMMERCE, JUSTICE, STATE AND THE JUDICIARY

Americans are counting on the Departments of Commerce, Justice and State to execute key objectives in the war on terror - to hold together diplomatic coalitions, monitor intelligence for future threats, guard borders, and bring terrorists to justice. Yet appropriators diverted critically needed funds from the three departments to fund pet projects. Compared with fiscal 2002, pork rose 11 percent from $1.2 billion to $1.3 billion, and earmarks increased 10 percent from 821 to 903.

$76,570,000 for projects in the state of then-Senate Commerce Appropriations Subcommittee Chairman Ernest "Fritz" Hollings (D-S.C.), including: $14,000,000 for the Charleston Border Patrol Academy; $14,000,000 for the Bonneau Ferry; $1,500,000 for shrimper assistance; $1,000,000 for oyster recovery; $600,000 for the Charleston Bump; and $500,000 for seafood marketing.

$75,872,000 for projects in the state of then-Senate Appropriations Committee Chairman Robert Byrd (D-W.Va.) and the district of House Commerce Appropriations subcommittee member Alan Mollahan (D-W.Va.), including: $66,600,000 for Federal Prison System buildings and facilities in Hazleton; $3,000,000 for the Marshall University Forensic Science Program; $100,000 for the Mason County Sheriff's Office to investigate and respond to Oxy Contin abuse; and $72,000 for the Lewis County Sheriff's Department for an upgraded records management system and an automated dispatching system.

$40,582,000 for projects in the state of then-Senate Appropriations Committee Ranking Member Ted Stevens (R-Alaska), including: $3,000,000 for Ketchikan National Marine Fisheries Service facilities; $2,000,000 for the Kodiak Pier; $1,000,000 for the Alaska Native Justice Center; $1,000,000 for the Bering Sea crab; $750,000 for the city of Wasilla for a regional dispatch center; $350,000 for Partners for Downtown Progress; and $225,000 for the Beluga Whale Committee.

$37,657,000 added by the Senate for projects in the state of then-Senate Commerce Appropriations Subcommittee Ranking Member Judd Gregg (R-N.H.) and the district of then-House appropriator John Sununu (R-N.H.), including: $20,000,000 for Federal Prison System buildings and facilities in Berlin; $1,000,000 for marsh restoration; and $300,000 for the New Hampshire Department of Corrections to purchase digital radios.

$23,180,000 added by the Senate for projects in the state of Senate appropriator Thad Cochran (R-Miss.), including: $6,000,000 for Grand Bay; $3,000,000 for the National Center for Justice and the Rule of Law at the University of Mississippi School of Law; $2,200,000 for Deer Island; $850,000 for Simpson County for a public safety automated technologies system; $500,000 for Ocean Springs to equip an emergency management and public safety facility; and $250,000 for the Warren County Sheriff's Department for technology enhancements.

$21,086,000 added in conference for projects in the district of House appropriator Henry Bonilla (R-Texas): $10,486,000 for Eagle Pass Border Patrol Station; and $5,300,000 each for the Laredo Checkpoint System and the Del Rio Checkpoint System.

$19,200,000 for projects in the state of Senate Commerce Appropriations subcommittee member Daniel Inouye (D-Hawaii), including: $7,800,000 for Hawaiian sea turtles; $2,025,000 for Mu'olea Point; $825,000 for Hawaiian monk seals; and $500,000 for Hawaiian Community Development.

$11,925,000 for projects in the state of Senate Commerce Appropriations subcommittee member Herb Kohl (D-Wisc.) and the district of House Appropriations Committee Ranking Member David Obey (D-Wisc.), including: $3,000,000 for the Milwaukee Police Department to purchase and install mobile digital radios in its squad cars and increase public access to data; $1,000,000 for the Madison Police Department's Consolidated Communications Project; $500,000 for the Eau Claire County Police Communications Project for a computer aided dispatch and records management system; and $125,000 for the Ashland County Sheriff's Department for a school resource officer program.

$500,000 added in conference for the First Tee Program. Its mission is to "impact the lives of young people around the world by creating affordable and accessible golf facilities to primarily serve those who have not previously had exposure to the game and its positive values."

$100,000 added in conference for culinary education training for an at-risk youth program at Johnson and Wales University in Miami-Dade County, Florida.

III. DEFENSE

In testimony before the Senate Armed Services Committee on June 28, 2001, Defense Secretary Donald Rumsfeld reaffirmed his commitment to the fiscal and physical defense of the country. He said, "We have an obligation to taxpayers to spend their money wisely. We need to ask ourselves: how should we be spending taxpayer dollars? We are doing two things: First, we are not treating the taxpayers' dollars with respect - and by not doing so, we risk losing their support, and Second, we are depriving the men and women of our Armed Forces of the training, equipment and facilities they need to accomplish their missions. They deserve better. We need to invest that money wisely." CAGW couldn't agree more, especially after 9/11 and during a war with Iraq. Unfortunately, appropriators aren't listening to Secretary Rumsfeld. Total pork increased 25 percent over fiscal 2002 from $8.8 billion to $11 billion. Projects also increased 22 percent from 1,404 to 1,711.

$226,275,000 for projects in the state of then-Senate Defense Appropriations Subcommittee Chairman Daniel Inouye (D-Hawaii), including: $46,800,000 for the Pacific Missile Range Facility; $19,700,000 for the Hawaii Federal Health Care Network; $6,375,000 for automated clinical practices guidelines; $5,950,000 for Project Albert; $4,300,000 for the Center of Excellence for Disaster Management and Humanitarian Assistance (the Center for Mediocrity received no funding); $3,400,000 each for the Navy's Endeavor program and strategic materials; $2,550,000 for the Pacific Rim Corrosion Project; and $1,000,000 for brown tree snakes.

$103,600,000 added for projects in the state of Senate Defense Appropriations subcommittee member Richard Durbin (R-Ill.), House Speaker Dennis Hastert (R-Ill.), and House appropriators Ray LaHood (R-Ill.) and Jesse Jackson Jr. (D-Ill.), including: $28,000,000 for the LITENING AT precision attack targeting system; $5,000,000 for Life Science Education and Research; $3,000,000 for dental research; and $1,000,000 for the Charles Melvin Price Support Center.

$97,008,000 for projects in the state of then-Senate Appropriations Committee Ranking Member Ted Stevens (R-Alaska), including: $8,500,000 each for utilidors at Eielson Air Force Base and Fort Wainwright; $7,694,000 for the Alaska Wide Mobile Radio Program; $7,600,000 for the High Frequency Active Auroral Research Program (HAARP); $4,300,000 for hybrid electric vehicle testing; and $1,275,000 for the Tanana River Bridge Study. Initially designed to capture energy from the aurora borealis (northern lights), HAARP is now being configured to heat up the ionosphere to improve military communications. Instead, HAARP is heating up the ire of many taxpayers. Web surfers can check out HAARP to see how their tax dollars are being spent. Since 1995, CAGW has identified $90.4 million appropriated for HAARP.

$23,100,000 added by the House for projects in the district of then-House Defense Appropriations subcommittee member Joe Skeen (R-N.M.): $21,000,000 for the Magdalena Ridge Observatory and $2,100,000 for the Holloman Air Force Base high speed test track.

$10,000,000 for a large millimeter wave telescope in the district of House appropriator John Olver (D-Mass.). According to its website : "The Large Millimeter Telescope Project is the joint effort of the University of Massachusetts at Amherst and the Instituto Nacional de Astrofísica, Óptica, y Electrónica (INAOE) in Mexico. The LMT is a 50m diameter millimeter-wave telescope designed for principal operation at wavelengths between 1mm and 4mm. The telescope is being built atop Sierra Negra, a volcanic peak in the state of Puebla, Mexico. Site construction and fabrication of most of the major antenna parts is underway, with telescope construction expected to be complete in 2004."

$5,300,000 for the National Automotive Center (NAC) in the state of House appropriators Joseph Knollenberg (R-Mich.) and Carolyn Kilpatrick (D-Mich.). One of the projects currently underway by NAC is the smart truck initiative.

$3,000,000 added by the House for Tyndall Air Force Base in the district of House appropriator F. Allen Boyd (D-Fla.).

$3,000,000 added in conference for the Tanker Lease Pilot Program. This deal, to lease 100 Boeing 767 fuel tankers, was tucked away in the fiscal 2002 Defense Appropriations Bill. The General Accounting Office (GAO) estimated the cost of the six-year lease of the 100 tankers to be $26 to $30 billion. As an alternative to the lease, GAO estimated the cost to upgrade, modernize, and repair corrosion to the current fleet of KC-135Es to be approximately $3.2 billion, a savings of more than $23 billion.

$1,000,000 added by the Senate for the Math Teacher Leadership Program in the state of Senate Defense Appropriations subcommittee member Tom Harkin (D-Iowa).

IV. DISTRICT OF COLUMBIA

On the front lines of war on terror, the District of Columbia (D.C.) has countless vital needs. Since members of Congress work in D.C., they should be especially sensitive to this appropriation. In fact, the D.C. Appropriations Bill in 2000 was entirely pork free. Not this year. In fiscal 2003, D.C. pork increased from $10.1 million to $87.7 million, or 769 percent. Education pork totaled $31.5 million, or 36 percent of the bill.

$19,000,000 for D.C. public charter school facilities, including $2,000,000 for the SEED Foundation Charter School to construct an academic center.

$12,500,000 for education studies and programs, including: $2,000,000 to expand the Voyager Universal Literacy System to all kindergarten and first grade classes; $1,000,000 for Real World Schools to implement advanced technology and learning reforms; $500,000 for the Caribbean American Mission for Education Research and Action to build linkages between Caribbean education entities and regional higher education institutions; $500,000 for the American Cities Foundation to collect data on innovative approaches to K-12 education; $500,000 for Reach for Tomorrow to support a multi-dimensional approach to working with middle school students; $250,000 for the Washington Opera Education and Community Program for music education; $250,000 for Values First to implement a values infusion program; $200,000 for the National Maritime Heritage Foundation to create a new maritime education program; and $100,000 for Project Reality for the Game Plan abstinence program.

$100,000 for Friends of Fort Dupont to upgrade unused baseball fields.

V. ENERGY AND WATER

Even though the federal government is drowning in a sea of red ink, Energy and Water appropriators opened up the floodgates with a 23 percent increase in pork over fiscal 2002. The total of $1.7 billion in fiscal 2003 was $300 million more than last year. While the dollars increased, the number of projects decreased 38 percent from 781 for fiscal 2002 to 487 for fiscal 2003. The end result was still a deluge of excessive earmarks.

$218,053,000 added by the Senate for projects in the state of Senate Energy and Water Appropriations subcommittee member Ernest "Fritz" Hollings (D-S.C.), including: $216,000,000 for cleanup of the Savannah River site; $1,000,000 for Port Royal Harbor; $396,000 for Town Creek; and $257,000 for the Folly River.

$212,650,000 for projects in the state of then-Senate Energy and Water Appropriations Subcommittee Ranking Member Pete V. Domenici (R-N.M.) and in the district of then-House appropriator Joe Skeen (R-N.M.), including: $54,000,000 to accelerate cleanup remediation and waste management at Los Alamos National Laboratory; $6,900,000 for the New Mexico Enrichment Foundation; $6,000,000 each for Central New Mexico and Z machine operations at Sandia National Laboratories; and $400,000 for Albuquerque metro area water and reclamation usage.

$204,250,000 added by the Senate for projects in the state of Senate Energy and Water Appropriations subcommittee member Patty Murray (D-Wash.), including: $141,000,000 for cleanup of the Hanford Site in Richland; $63,000,000 to accelerate cleanup of the River Corridor and tank waste management at the Hanford Site; and $250,000 for Salmon Creek Watershed restoration.

$68,004,000 for projects in the state of then-Senate Energy and Water Appropriations Subcommittee Chairman Harry Reid (D-Nev.), including: $2,500,000 for the petawatt laser at the University of Nevada-Reno; $600,000 for an oral history of the Nevada Test Site; and $390,000 for the Halfway Wash project study.

$34,200,000 added by the Senate for projects in the state of Senate Energy and Water Appropriations subcommittee member Mitch McConnell (R-Ky.): $34,000,000 for cleanup at the Paducah Gaseous Diffusion Plant and $200,000 for the Covington Waterfront study.

$30,900,000 for projects in the state of then-Senate Appropriations Committee Ranking Member Ted Stevens (R-Alaska), including: $3,000,000 for Bethel bank stabilization; $2,000,000 each for cleanup activities in Alaska and Dillingham bank stabilization; and $100,000 each for the Fire Island Causeway, the Kenai River Bluff erosion study, and McGrath bank stabilization.

$6,000,000 added by the Senate for projects in the state of Senate appropriator Kay Bailey Hutchison (R-Texas): $5,000,000 for cleanup of the Pantex Plant and $500,000 each for Leon Creek Quarry/Mitchell Lake water and reuse and the Matagorda Ship Channel.

$3,300,000 added in conference for the Calumet Region in the district of House Energy and Water Appropriations Subcommittee Ranking Member Peter Visclosky (D-Ind.).

$3,000,000 added by the House for Pinellas County in the district of House Appropriations Committee Chairman Bill Young (R-Fla.).

$2,550,000 added by the Senate for projects in the state of Senate Energy and Water Appropriations subcommittee member Thad Cochran (D-Miss.): $1,000,000 for the Wolf and Jordan Rivers; $800,000 for Gulfport Harbor; and $750,000 for Biloxi Harbor.

$2,500,000 added by the House for projects in the district of House appropriator Nancy Pelosi (D-Calif.): $1,500,000 for the San Pablo Bay and Mare Island Strait and $1,000,000 for a San Francisco Bay long-term management strategy.

VI. FOREIGN OPERATIONS

With all the trouble overseas, Foreign Operations pork should have disappeared. Instead, appropriators seemed more interested in coffee and fertilizer. Even worse, on top of the 25 percent of total U.N. support provided by the United States, members added $2,750,000 in U.N. pork. Total pork in the fiscal 2003 Foreign Operations, Export Financing, and Related Agencies Appropriations Bill increased 15 percent over fiscal 2002, from $157.6 million to $181.4 million, and total earmarks increased 20 percent, from 25 to 30.

$25,000,000 added by the House for the International Fund for Ireland (IFI) in support of the Anglo-Irish Accord. This U.S. contribution to the fund is to be spent on "those projects that hold the greatest potential for job creation and equal opportunity for the Irish people." Such projects have included building a replica of the Jeanie Johnson (a Canadian ship that once ferried famine victims across the Atlantic), a national water sports center used for coaching top-level athletes, golf videos, and exporting sweaters. Through war and peace, rain and shine, surplus and deficits, IFI receives funding, accumulating $421 million since 1986.

$4,000,000 for the International Fertilizer Development Center in the state of Senate Foreign Operations Appropriations subcommittee member Richard Shelby (R-Ala.) and the district of House appropriator Robert "Bud" Cramer (R-Ala.). This appropriation smells like special interests.

$2,750,000 for U.N. programs, including $1.5 million for the U.N. Fund for Technical Cooperation in Human Rights and $1 million for the U.N. Development Fund for Women.

$2,500,000 added by the House in the district of then-House Foreign Operations Appropriations Subcommittee Chairman Jim Kolbe (R-Ariz.) for the International Arid Lands Consortium in Tucson to address the issues of water and energy in the Middle East.

$500,000 added in conference for the International Coffee Organization (ICO). ICO is an intergovernmental body composed of countries that import and export coffee, and ICO "is committed to improving conditions in the world coffee economy." This earmark will keep taxpayers up at night.

VII. INTERIOR

With soaring deficits and earmarks, there is good news in the Interior Appropriations Bill. Total pork was $344 million, or 22 percent less than last year's tally of $443 million. In addition, the total number of projects decreased by 10 percent from 409 to 369.

$38,250,000 for projects in the state of then-Senate Appropriations Committee Ranking Member Ted Stevens (R-Alaska), including: $9,000,000 for the Tongass National Forest; $1,000,000 for Kake Land Exchange; $750,000 for sea otter research; $350,000 for backcountry hut repairs; $300,000 for the Judge Wickersham house; $250,000 for the Iditarod National Historic Trail; and $150,000 for the Alaska Whaling Commission.

$13,589,000 added by the Senate for projects in the state of then-Senate Appropriations Committee Chairman Robert Byrd (D-W.Va.), including: $2,700,000 for the Wood Education and Resource Center; $1,750,000 for the Gauley River National Recreation Area; $1,300,000 for the Williams River Highland scenic highway; $868,000 for infrastructure improvements at the New River Gorge National Scenic River; and $118,000 for fish surveys at the White Sulphur Springs National Fish Hatchery.

$12,484,000 for projects in the state of then-Senate Interior Appropriations Subcommittee Ranking Member Conrad Burns (R-Mont.), including: $1,800,000 for restoration at the Virginia City National Historic Landmark; $1,000,000 for a DNA study of bears; and $300,000 each for the Daly Mansion and the Livingston Depot.

$10,650,000 for projects in the state of Senate Interior Appropriations subcommittee member Robert Bennett (R-Utah), including: $5,600,000 to replace the visitors center at Arches National Park; $1,800,000 for the headquarters and education center at Bear River National Wildlife Refuge; $1,600,000 for Chalk Creek; and $200,000 for Ogden Union Station.

$9,900,000 added by the Senate for projects in the state of Senate Interior Appropriations subcommittee member Ernest "Fritz" Hollings (D-S.C.), including: $4,600,000 for Sumter National Forest; $4,500,000 for the Waccamaw National Wildlife Refuge; and $650,000 for a new maintenance facility at Congaree Swamp.

$7,762,000 added by then-House Interior Appropriations subcommittee member Jack Kingston (R-Ga.), including: $3,950,000 for the Savannah National Wildlife Refuge; $3,162,000 for Cumberland Island; $350,000 for office renovation at the Harris Neck Wildlife Refuge; and $300,000 for the Battlefield Park Heritage Center.

$7,050,000 for projects in the district of House Appropriations Committee Ranking Member David Obey (D-Wisc.): $3,450,000 for Bad River Headwaters; $2,000,000 to replace domes at Schacte Creek; and $1,600,000 for the Apostle Islands National Landmark.

$6,299,000 for projects in the state of Senate Interior Appropriations subcommittee member Patrick Leahy (D-Vt.), including: $2,600,000 for the Bull and Sable Mountains; $1,500,000 for visitors center completion at the Missiquoi National Wildlife Refuge; and $500,000 for the Ethan Allen Firehouse.

In fiscal 2003, Congress added $15 million in noncompetitive, unauthorized earmarks through the National Park Service's Historic Preservation Fund, including:

$340,000 for the Roswell Museum in the district of then-House Interior Appropriations Subcommittee Chairman Joe Skeen (R-N.M.). This could be considered an Unidentified Fiscal Object.

$250,000 for the Minneapolis Park and Recreation Board in the district of then-House Interior Appropriations subcommittee member Martin Sabo (D-Minn.).

$200,000 for the Kingman Courthouse in the district of House appropriator Todd Tiahrt (R-Kansas).

$200,000 for the Farnsley-Kauffman House by House appropriator Anne Northup (R-Ky.).

$200,000 for the Duquesne Incline in Pittsburgh, Pa. This mountain-side cable car was opened in 1877 at an original cost of $147,000. The Port Authority of Allegheny County now owns the Incline. Whether through fares or taxes, people have been taken for a ride on the Incline for more than 100 years.

VIII. LABOR, HEALTH AND HUMAN SERVICES, AND EDUCATION (LABOR/HHS/EDUCATION)

The fiscal 2003 Labor/HHS/Education Appropriations Bill is what happens when legislators pass an Omnibus Appropriations bill in February and stuff it full of pork, hoping that no one will notice. The bill contained 1,805 projects, a 40 percent increase over last year's 1,290. The projects cost $1.1 billion, 10 percent less than the $1.2 billion in fiscal 2002. In addition, 98 percent or 1,766 earmarks lacked budget requests, and 99 percent or 1,791 earmarks were added in conference.

The House failed to pass the bill, and there was no access to the Appropriations Committee report. So, if the project was in the conference report, but not in the Senate bill or the budget, it was assumed that the project was added in conference.

$83,329,000 added in conference for 239 projects, or 13 percent of total Labor/HHS pork, in the state of then-Senate Labor/HHS Appropriations Subcommittee Ranking Member Arlen Specter (R-Pa.), and the districts of House Labor/HHS Appropriations subcommittee members John Peterson (R-Pa.) and Donald Sherwood (R-Pa.), and House appropriators John P. Murtha (D-Pa.) and Chaka Fattah (D-Pa.), including: $20,000,000 for Pennsylvania's Department of Education to provide assistance through subgrants to low-performing school districts that are slated for takeover and/or on the Education Empowerment List; $725,000 for the Please Touch Museum in Philadelphia for educational hands-on learning programs; $700,000 for the Silver Ring Thing Program in Sewickley; $200,000 for the Allentown Civic Theatre for education programs; $150,000 for the State College YMCA for education initiatives; and $50,000 for the Philadelphia Foundation for a Sports and Entertainment Career Expo.

$36,101,000 added in conference in the state of then-Senate Labor/HHS Appropriations Subcommittee Chairman Tom Harkin (D-Iowa) and House appropriator Tom Latham (R-Iowa), including: $2,000,000 for the Iowa Communications Network statewide fiber optic demonstration; $800,000 for the Davenport Music History Museum; $250,000 for Family Communications, Inc. to implement the National Preschool Anger Management Project; $300,000 for Iowa State University for the Universal Kitchen Design Project; and $100,000 for National History Day for a history competition.

$34,900,000 added in conference for projects in the state of then-Senate Appropriations Committee Chairman Robert Byrd (D-W.Va.), including: $11,000,000 for Marshall University; $4,000,000 for the Raleigh County Commission; $2,750,000 for the West Virginia School for Osteopathic Medicine for the Robert C. Byrd Clinic; $1,700,000 for West Liberty State College to equip its residence halls with Internet access; and $150,000 for the Tiskelwah Community Center in Charleston for the Bob Burdette after school program.

$27,810,000 added in conference for projects in the state of then-Senate Appropriations Committee Ranking Member Ted Stevens (R-Alaska), including: $2,000,000 for the state of Alaska Health Families/Better Beginnings home visiting program; $1,000,000 for the Galena School District for distance education programs; $700,000 for the Department of Education's Remedial Summer Tutoring Program; $400,000 for the Humanities Forum to develop Alaska state history texts and curriculum, including oral history; and $50,000 each for the city of Anatuvik Pass museum, the Imaginarium Science Center in Anchorage, and the Kodiak Maritime Museum.

$24,310,000 added in conference for projects in the state of Senate Labor/HHS subcommittee member Thad Cochran (R-Miss.) and the district of House Labor/HHS Appropriations subcommittee member Roger Wicker (R-Miss.), including: $4,000,000 for the University of Mississippi in Jackson; $2,500,000 for the state of Mississippi Workforce Training Program; $1,000,000 for the automated nursery project; $950,000 for Mississippi State University for the Center for Advance Vehicular Systems; and $150,000 for the Smith Robertson Museum in Jackson.

$18,585,000 added in conference for projects in the state of Senate appropriator Mitch McConnell (R-Ky.) and the districts of House Labor/HHS Appropriations subcommittee member Anne Northup (R-Ky.) and House appropriator Harold Rogers (R-Ky.), including: $6,300,000 for the University of Louisville; $1,200,000 for Western Kentucky University's Center for Engineering and Biological Sciences; $800,000 for the Kentucky Communities Economic Opportunity Council, Inc. in Barbourville; $535,000 for 18 individual after school programs in Louisville; $500,000 for the St. Catherine College Allied Health and Science Complex; $100,000 for the Jackson County Community Theatre in Mckee for equipment; and $75,000 for the Kentucky Opry in Prestonsburg for equipment and operating expenses.

$17,593,000 added in conference for projects in the state of Senate Labor/HHS Appropriations subcommittee member Herbert Kohl (D-Wisc.) and the district of House Labor/HHS Subcommittee Ranking Member David Obey (D-Wisc.), including: $5,000,000 for after school programs in just seven of Wisconsin's 426 public school districts; $1,500,000 for the Stevens Point Area School District to implement smaller learning communities; $800,000 for the Wisconsin Association of Independent Colleges and Universities for a collaboration project to consolidate administrative operations; $700,000 for the Medical College of Wisconsin; $650,000 for Wisconsin Educational Partnerships, Inc. in Chippewa Falls; $500,000 for the Chippewa Valley Technical Center in Eau Claire; and $50,000 for the Flambeau School District in Troy to create a national parks virtual reality education program.

$7,548,000 added in conference for projects in the state of Senate Labor/HHS Appropriations subcommittee member Ernest "Fritz" Hollings (D-S.C.) and in the district of House appropriator James Clyburn (D-S.C.), including: $500,000 for the State Board for Technical and Comprehensive Education in Columbia for distance learning programs; $416,000 for the Advanced Technology Institute's Telehealth Deployment Center in North Charleston; and $50,000 for the Marion County Library to establish a computer lab.

$7,150,000 added in conference for projects in the state of Senate Labor/HHS Appropriations subcommittee member Harry Reid (D-Nev.), including: $1,000,000 for the University of Nevada, Reno to upgrade its information technology infrastructure; $350,000 for the Nevada State Historical Preservation Office; and $50,000 for the Nevada Women's Fund in Reno.

$1,190,000 added in conference for the National Baseball Hall of Fame in Cooperstown, N.Y. ($750,000); the Rock and Roll Hall of Fame in Cleveland, Ohio ($350,000); and the National Cowgirl Museum and Hall of Fame in Fort Worth, Texas ($90,000).

$800,000 added in conference for the GRAMMY Foundation in Santa Monica, California for music and arts education. The appropriators should scale back such earmarks.

$400,000 added in conference in the district of House appropriator John Murtha (D-Pa.) for the Pennsylvania Trolley Museum in Washington for exhibit development and educational programs. Taxpayers are being taken for this ride.

IX. LEGISLATIVE BRANCH

Members of Congress remain wary of a terrorist attack and have taken steps to improve security around the Capitol. But, like every other appropriations bill, the Legislative Branch Appropriations Bill is full of pork that will not make them - or other denizens of Washington, D.C. - safer from the threats facing the nation. The number of projects increased from 6 to 29, or by 383 percent, over fiscal 2002. Total spending went from $34.5 million in fiscal 2002 to $71.8 million in fiscal 2003, an increase of 108 percent.

$18,165,000 for design, study and condition assessments: $10,020,000 for House office buildings; $5,065,000 for the Capitol building; $1,750,000 for Senate office buildings; $580,000 for the Capitol grounds; and $120,000 for the Botanic Garden.

$2,000,000 for the Open World Leadership Center. This program, previously called the Russian Leadership Development Fund, received $8,000,000 in fiscal 2002. Past uses of this fund include flying Russian political, business and community leaders to the United States to visit the Festival Flea Market in Florida and a swing dance.

$1,800,000 for the U.S.-China Economic and Security Review Commission. This organization was established in October 2000 to monitor, investigate and report to Congress on the national security implications of the bilateral economic relationship with the Peoples Republic of China. That would appear to duplicate the duties of the U.S. Trade Representative, the Departments of Commerce and State, and the numerous committees and subcommittees of the U.S. Congress.

$470,000 for the Capitol West Lawn for power requirements for concerts.

X. MILITARY CONSTRUCTION

Once again, appropriators brought out their tools to build a pork-filled Military Construction Appropriations Bill. The total amount of pork in fiscal 2003 was $1.2 billion, or 33 percent more than last year's total of $881 million. Total earmarks increased 25 percent, from 152 to 190. The protection of parochial interests took precedence over national interests in this bill.

$54,900,000 for projects in the state of Senate Military Construction Appropriations subcommittee member Daniel Inouye (D-Hawaii), including: $19,400,000 for site improvements for the Navy at Ford Island; $13,000,000 for an access road for the Army at Pohakuloa; and $2,000,000 for a biomedical center for Tripler Army Hospital in Honolulu.

$44,400,000 added by the Senate for projects in the state of then-Senate Appropriations Committee Ranking Member Ted Stevens (R-Alaska), including: $19,500,000 for the Blair Lakes Range Maintenance Complex for Eielson Air Force Base; $15,000,000 for a community center at Fort Richardson; $2,700,000 for a wide-body aircraft hangar at Elmendorf Air Force Base; and $1,500,000 for a Military Police emergency vehicle storage facility at Fort Wainwright.

$30,795,000 added by the Senate for projects in the state of then-Senate Military Construction Appropriations Subcommittee Ranking Member Kay Bailey Hutchison (R-Texas), including: $10,600,000 for the Wing Support Complex at Goodfellow Air Force Base; $5,480,000 for the Navy at the Mine Warfare Training Center at Ingleside; $1,000,000 for the Navy for the Replace Fuel Farm at Kingsville; and $220,000 for railroad crossing gates at Laughlin Air Force Base.

$26,793,000 added by the Senate for projects in the state of Senate Military Construction Appropriations subcommittee member Tim Johnson (D-S.D.), including: $13,200,000 for an operations facility at Ellsworth Air Force Base; $10,593,000 for barracks, dining, administration, and parking for the Army National Guard at Camp Rapid; and $1,500,000 for a bachelor officer/enlisted quarters for the Army National Guard at Fort Meade.

$22,725,000 for projects in the state of Senate appropriator Harry Reid (D-Nev.), including: $19,500,000 for land acquisition at Nellis Air Force Base; $1,475,000 for a UAV facility for the Navy at Fallon; and $850,000 for a readiness center for the Army National Guard at Henderson.

$20,915,000 added by the Senate for projects in the state of then-Senate Appropriations Committee Chairman Robert Byrd (D-W.Va.): $15,200,000 for the Air National Guard at Martinsburg and $5,715,000 for a readiness center for the Army National Guard at Lewisburg.

$18,800,000 added by the Senate for projects in the state of Senate appropriator Thad Cochran (R-Miss.), including: $10,500,000 for bachelor enlisted quarters for the Navy at Pascagoula; $5,000,000 for land/water ranges for the Special Operations Command at the Stennis Space Center; $2,300,000 for a readiness center for the Army National Guard at Kosciusko; and $300,000 for a readiness center for the Army National Guard at Clarksdale.

$13,700,000 added by the House for an aircraft surveillance radar system at Twentynine Palms in the district of House appropriator Jerry Lewis (R-Calif.).

$12,000,000 added by the Senate for a parking apron for the Air Force at Barksdale in the state of Senate Military Construction Appropriations subcommittee member Mary Landrieu (D-La.).

$10,170,000 added by the Senate for the Seabee Training Facility for the Navy at Port Hueneme in the state of then-Senate Military Construction Appropriations Subcommittee Chair Dianne Feinstein (D-Calif.).

$4,973,000 added by the Senate for projects in the state of Senate Military Construction Appropriations subcommittee member Conrad Burns (R-Mont.): $3,500,000 for a load training crew facility for the Air National Guard in Gore Hill/Great Falls and $1,473,000 for a post engineer maintenance facility for the Army National Guard at Fort Harrison.

$3,500,000 added by the Senate in the state of Senate appropriator Richard Shelby (R-Ala.) for a physical fitness center for the Army at Fort Rucker.

$2,758,000 added by the House for projects in the district of House appropriator Jack Kingston (R-Ga.): $1,600,000 for a command and control facility and $1,158,000 for an aviation support facility at Fort Stewart.

XI. TRANSPORTATION

The Transportation Appropriations Bill has always been a popular avenue for appropriators to transport pork from the U.S. Treasury to their states and districts. Even though the trough was still full, total pork decreased by 14 percent from $3.6 billion in fiscal 2002 to $3.1 billion in fiscal 2003. The total number of projects increased 2 percent from 1,478 to 1,501.

$131,948,000 for projects in the state of Senate appropriator Mitch McConnell (R-Ky.), the district of then-House Transportation Appropriations Subcommittee Chairman Harold Rogers (R-Ky.), and the district of House appropriator Anne Northup (R-Ky.), including: $15,500,000 for the Monticello Street Overpass; $13,000,000 for Toll Road repayment of bonds; $4,500,000 for the Bowling Green Riverfront Project; $1,800,000 for Somerset downtown revitalization; $1,200,000 for the Somerset pedestrian overpass; $1,000,000 for Pikesville parking and transit facility enhancements; $750,000 for the Owensboro Waterfront Development Project; and $530,000 for the Louisville Waterfront/Frankfort Avenue historical entryway.

$109,740,000 added by the Senate for projects in the state of then-Senate Transportation Appropriations Subcommittee Chair Patty Murray (D-Wash.), including: $16,000,000 to rebuild the Seattle Pier #36; $10,000,000 for the FAST Corridor Project; $3,000,000 for Pierce County buses and bus facilities; $3,000,000 for Snohomish County Community Transit park and ride; $2,000,000 for Lynnwood intelligent transportation systems; $1,500,000 for Union Gap Valley Mall Boulevard; $800,000 for the Washington State ferries wireless connection project; and $100,000 for Aberdeen downtown revitalization.

$83,900,000 for projects in the state of then-Senate Appropriations Committee Ranking Member Ted Stevens (R-Alaska), including: $22,000,000 for Alaska Railroad Rehabilitation ($112 million has been added for this project without a budget or House request over the last eight years); $9,600,000 for the Seward loading facility; $2,500,000 for Shotgun Cove Road; $2,000,000 for Ted Stevens Anchorage International Airport; $500,000 for transit planning on the Kenai Peninsula; and $500,000 for Southeast Alaska Seatrails.

$57,525,000 added by the Senate for projects in the state of then-Senate Transportation Appropriations Subcommittee Ranking Member Richard Shelby (R-Ala.), including: $20,000,000 for the Tuscaloosa Eastern Bypass; $10,000,000 for I-10 in Dothan; $500,000 for the Selma Riverfront Project; and $500,000 for the Ruffner Mountain Nature Center.

$51,950,000 added by the Senate for projects in the state of then-Senate Appropriations Committee Chairman Robert Byrd (D-W.Va.), including: $10,000,000 for Route 9 in Jefferson and Berkeley counties; $9,000,000 for the Coalfields Expressway in McDowell County; $4,500,000 for the Canvas Bridge in Nicholas County; $4,000,000 for statewide buses and bus facilities; $1,000,000 for statewide job access and reverse commute grants; and $950,000 for the Charleston Renaissance Gateway Project.

$27,433,000 for projects in the state of Senate Transportation Appropriations Subcommittee member Barbara Mikulski (D-Md.) and the district of House appropriator Steny Hoyer (D-Md.), including: $8,000,000 for statewide buses and bus facilities; $5,000,000 for the Russell Street Viaduct replacement in Baltimore; $1,000,000 for the city of Baltimore public waterfront promenade; $400,000 for the Western Maryland Low Impact Welcome Center at Byron Overlook; and $150,000 for Rockville pedestrian access.

$27,350,000 for projects in the state of House appropriator Patrick Kennedy (D-R.I.), including: $3,000,000 for Rhode Island buses and alternatively fueled infrastructure; $3,000,000 for the Blackstone River Valley Bikeway; $1,000,000 for Woonsocket Depot rehabilitation; $750,000 for University of Rhode Island Student Transportation Services; $500,000 for the Newport Trolley Project; and $450,000 for Newport Harbor water shuttles.

$24,530,000 added by the Senate for projects in the state of Senate appropriator Patrick Leahy (D-Vt.), including: $2,000,000 each for Missisquoi Bay Bridge Reconstruction, covered bridges, and William H. Morse Airport; $1,000,000 for Springfield downtown redevelopment; and $380,000 for the Marsh-Billings-Rockefeller Park pedestrian walkway.

$20,400,000 added by the Senate for projects in the state of Senate Transportation Appropriations subcommittee member Arlen Specter (R-Pa.), including: $9,000,000 for a metro project in the Schuylkill Valley; $2,000,000 for the Easton Intermodal Terminal; $2,000,000 for the Hershey Intermodal Transportation Center; $550,000 for a road/trail/bikeway along the Delaware River; $500,000 for York County buses; and $250,000 for the Hot Metal Bridge.

$7,287,000 for projects in the district of House Transportation Appropriations subcommittee member Todd Tiahrt (R-Kansas): $4,000,000 for Wichita Intelligent Transportation Systems; $1,200,000 for the Wichita Transit Authority; $1,000,000 for reconstruction of I-135 in Sedgewick County; $687,000 for the Wichita Riverwalk on the Arkansas River; and $400,000 for the city of Wichita mini-transfer station.

$3,000,000 for Key West, Florida, equally divided at $1,000,000 each for job access and reverse commute grants, ferry facilities, and buses and bus facilities. With a population of 28,000, this $3 million averages out to $107 per person in Key West.

$750,000 added by the House for hovercraft development in Toledo, Ohio, in the district of House appropriator Marcy Kaptur (D-Ohio). "Promotional" material sent out by the Ohio Lake Erie Commission in early 2001 noted that the next step for the hovercraft was for the potential private operator to determine the financial feasibility of the venture. In an October 2002 report, Brian Schwartz, the Toledo-Lucas County Port Authority's communication director, said the craft, which would shuttle passengers between Toledo and Windsor, Ontario, won't be purchased until his agency renovates a marina into an entertainment district and builds a ferry terminal.

XII. TREASURY/POSTAL SERVICE/GENERAL GOVERNMENT (TREASURY/POSTAL)

Total Treasury/Postal Service/General Government pork was down 15 percent this year from $228.5 million in fiscal 2002 to $193 million in fiscal 2003. This reduction can largely be attributed to the 82 percent decrease in the cost of unrequested courthouse construction projects, from $55 million for fiscal 2002 to $10 million for fiscal 2003. The number of projects decreased 52 percent, from 65 to 31.

$9,300,000 for projects in the state of then-Senate Treasury/Postal Service Appropriations Subcommittee Ranking Member Ben Nighthorse Campbell (R-Colo.): $9,000,000 for the Rogers Courthouse Renovation Project in Denver for demolition and asbestos removal and $300,000 for the University of Colorado Health Science Center's Digital Telehealth Project.

$4,200,000 added by the Senate in the state of Senate appropriator Pete Domenici (R-N.M.) for a new classroom building at the Artesia Federal Law Enforcement Center. Since fiscal 2000, this center has received $17.4 million.

$3,750,000 added by the Senate in the state of then-Senate Appropriations Committee Ranking Member Ted Stevens (R-Alaska) for a regional facility in Anchorage for site acquisition.

$2,550,000 added by the Senate for academic projects in the state of then-Senate Treasury/Postal Service Appropriations Subcommittee Chairman Byron Dorgan (D-N.D.): $1,500,000 for Minot State University; $750,000 for the Center for Agriculture Policy and Trade Studies at North Dakota State University; and $300,000 for the Upper Great Plains Native American Telehealth Program.

$1,000,000 added by the Senate in the state of Senate appropriator Arlen Specter (R-Pa.) for the Rosenn Federal Courthouse in Wilkes-Barre.

$1,075,000 added in conference for projects in the state of Senate appropriator Kay Bailey Hutchison (R-Texas): $750,000 for the Southwest Texas State University ALERRT program; $200,000 for the University of Texas border protection management program; and $125,000 for the smart border technology program at the Texas Transportation Institute.

$150,000 added by the Senate in the state of Senate appropriator Patrick Leahy (D-Vt.) for the Vermont World Trade Center. Last year, the Trade Center received $250,000.

XIII. VETERANS AFFAIRS/HOUSING AND URBAN DEVELOPMENT/INDEPENDENT AGENCIES (VA/HUD)

Every year the VA/HUD Appropriations Bill is an earmark free-for-all. Even as current and future veterans do battle in Iraq to protect freedom and liberty, members of Congress fight to preserve their pork. HUD did not request any earmarks for Economic Development Initiative grants, but Congress added 889 projects totaling $260 million for everything from the National Peanut Festival in Dothan, Alabama to aquatic centers in Alaska, California, and Missouri. Total pork increased by 6 percent from $1.5 billion to $1.6 billion, and total projects increased 18 percent from 1,428 in fiscal 2002 to 1,683 in fiscal 2003.

$39,913,000 for projects in the state of then-Senate Appropriations Committee Chairman Robert Byrd (D-W.Va.) and House VA/HUD Appropriations Subcommittee Ranking Member Alan Mollohan (D-W.Va.), including: $5,732,000 for the Vandalia Heritage Foundation, Inc. for development needs, community and neighborhood revitalization, and economic diversification; $2,700,000 for Glenville State College in Summersville for the construction of a new campus community education center; $2,000,000 for West Virginia Wesleyan College in Buckhannon for renovation/expansion of a science hall; $1,800,000 for Potomac State College in Keyser for renovation of a library; $1,800,000 for the National Technology Transfer Center at Wheeling Jesuit University; $720,000 for the Grant County Commission for construction of a campus community center; $504,000 for the city of Wellsburg for replacement of the 11th Street wastewater lift station; and $500,000 for science and information technology programs at West Liberty State College.

$39,048,200 for projects in the state of Senate VA/HUD Appropriations subcommittee member Richard Shelby (R-Ala.) and the districts of House appropriators Robert Aderholdt (R-Ala.), Sonny Callahan (R-Ala.), and Robert Cramer (D-Ala.), including: $2,700,000 for Tuscaloosa for the Downtown Revitalization Project; $1,507,000 for Spring Hill College in Mobile for construction of a new library and Regional Resource Learning Center; $710,000 for the Mobile Historic Development Commission for a neighborhood initiative program; $270,000 to Haleyville for a downtown revitalization project; $250,000 for the city of Talladega for the restoration of Historic Antique Talladega; and $202,500 for the National Peanut Festival Fairgrounds for construction of the National Peanut Festival Agriculture Arena in Dothan. Sometimes you feel like a nut.

$36,537,500 for projects in the state of then-Senate VA/HUD Appropriations Subcommittee Ranking Member Christopher "Kit" Bond (R-Mo.) and House appropriator Jo Ann Emerson (R-Mo.), including: $2,490,000 for the Applied Urban Research Institute for a community development initiative; $1,350,000 for infrastructure and research needs at the University of Missouri Center for Gender Physiology; $1,000,000 for Kansas City for streetscape improvements in the downtown library district; $1,000,000 for the Palestine Economic Development Corporation for the development of an Urban Assisted Living Center in Kansas City; $900,000 for development of the Show Me Aquatic Center; $810,000 for St. Louis for lighting, sidewalks, curbs, and street furniture along Kings Highway Boulevard and Chippewa Street; $500,000 for Cape Girardeau for downtown revitalization; $90,000 for Montgomery City for streetscape improvements; and $81,000 for Stanberry for revitalization of the city's bandstand.

$34,485,000 for projects in the district of House VA/HUD Appropriations Subcommittee Chairman James Walsh (R-N.Y.), including: $6,885,000 for the Environmental Systems Center of Excellence at Syracuse University; $1,700,000 for DestiNY USA in Syracuse for environmental construction and development of lands adjoining Onondaga Lake and the New York State Canal System; $890,000 for facilities expansion for the Everson Museum of Art in Syracuse; $405,000 for Syracuse for sidewalks, street lighting and furniture improvements, and building renovations for the North Salina Street Corridor; $405,000 for Syracuse for construction of an International Tourism Center at the Carousel Center; and $67,500 for renovations of the Syracuse Opera House.

$30,772,750, for projects in the state of then-Senate VA/HUD Appropriations Subcommittee Chair Barbara Mikulski (D-Md.) and House appropriator Steny Hoyer (D-Md.), including: $3,600,000 for Baltimore for water and wastewater infrastructure improvements; $1,350,000 for expansion of the earth science hall at the Maryland Science Center in Baltimore; $540,000 for Baltimore for the Main Street Initiative; $450,000 for Montgomery County for the revitalization of Fenton Street Village; $180,000 for St. Mary's College for waterfront facilities construction; $112,000 for the city of Rockville for sidewalks, pedestrian amenities, lighting, and beautification improvements for the Rockville Town Center Redevelopment Project; $90,000 for the city of La Plata for the planning of a parking facility; and $90,000 for the Olney Theater Center for the Arts for the construction of a theater.

$20,361,500 for projects in the state of Senate appropriator Thad Cochran (R-Miss.) and House VA/HUD Appropriations subcommittee member Roger Wicker (R-Miss.), including: $2,700,000 for the development of a visitors center at the Stennis Space Center; $980,000 for the University of Southern Mississippi for the development of a National Center for Excellence in Economic Development; $900,000 for Madison for downtown revitalization; $900,000 for Alcorn State University for the construction and rehabilitation of buildings; $270,000 for Pinola for the renovation of the historic Pinola School House; and $180,000 for Jackson for the development of the Farish Street Historic Center; $90,000 for the Sonny Montgomery Leadership Institute of Meridian for an economic development planning study; and $90,000 for the town of Wesson for the restoration of the Wesson School Building.

$18,705,150 for projects in the state of Senate appropriator Mitch McConnell (R-Ky.) and the district of House VA/HUD Appropriations subcommittee member Anne Northup (R-Ky.), including: $2,700,000 for construction at the University of Louisville Library; $1,350,000 for the Bio-MEMS Microtechnology Center at the University of Louisville; $405,000 for the London-Laurel County Tourist Commission for facilities construction for the Blue-Gray Civil War Theme Park; $405,000 for the Pine Mountain Settlement School of Harlan County for facilities expansion and renovation; $225,000 for the First Gethsemane Center in Louisville for renovation of facilities; $202,500 for the city of Lebanon for facilities construction for the Center Square project; and $90,000 for the Neighborhood House in Louisville to furnish the community center.

$16,160,750 for projects in the state of then-Senate Appropriations Committee Ranking Member Ted Stevens (R-Alaska), including: $1,800,000 for an air quality program for Fairbanks, North Star Borough; $900,000 for Petersburgh for waterfront improvements; $900,000 for Alaska Pacific University for the restoration of an historic property in Anchorage; $900,000 for expansion of the Anchorage Museum; $450,000 for the Tongass Coast Aquarium in Ketchikan; $405,000 for the city of Petersburg for construction of an aquatic center; and $202,500 to continue the rehabilitation of the former Alaska Pulp Company Mill Site in Sitka.

$14,913,500 for projects in the state of then-Senate VA/HUD Appropriations subcommittee member Conrad Burns (R-Mont.), including: $1,800,000 for the Center for Life in Extreme Environments at Montana State University; $1,800,000 for the North Rockies Center for Space Privatization and Microgravity Research at the University of Montana-Missoula; $900,000 for the International Earth Observing System Natural Resources Training Center at the University of Montana; $450,000 for the TechRanch in Bozeman; and $180,000 for the Bozeman Rail Depot remediation project.

$12,150,000 for projects in the state of Senate VA/HUD Appropriations subcommittee member Tim Johnson (D-S.D.), including: $2,700,000 for the Wapka Historical Society in Fort Pierre for the Wapka Sica Reconciliation Center; $630,000 for the Center for the Conservation of Biological Resources at Black Hills State University; $360,000 for the city of Brookings for downtown redevelopment; and $270,000 for the city of Sturgis for the construction of a community library.

$9,990,000 for projects in the state of Senate VA/HUD Appropriations subcommittee member Patrick Leahy (D-Vt.), including: $1,530,000 for the Champlain Water District for Chittenden County stormwater infrastructure improvements; $810,000 for the Vermont Housing Board and Conservation Board for infrastructure and other costs related to affordable housing; $450,000 for the Vermont Institute of Science for the construction of a new public education and wildlife center; and $360,000 each for neighborhood revitalization in Burlington and for building renovations for the Lund Family Center in Burlington.

$8,640,000 for projects in the district of House appropriator Jerry Lewis (R-Calif.), including: $3,600,000 for the Space Radiation Program at Loma Linda University Hospital; $405,000 for the town of Apple Valley for construction of an aquatic center; $121,500 for the city of Twentynine Palms for construction of the Twentynine Palms Visitor Center; $81,000 for the county of San Bernardino for facilities expansion of the Big Bear Zoo; and $81,000 for the county of San Bernardino for facilities renovation, sidewalk, and façade improvements of the Crestline Revitalization/Houston Creek project.

$7,794,000 added by the Senate for projects in the state of then-Senate VA/HUD Appropriations subcommittee member Herb Kohl (D-Wisc.), including: $1,800,000 for the city of Milwaukee for the Central Metropolitan Interceptor Improvement Project; $675,000 for the city of Milwaukee for the Menomonee River Valley Redevelopment project; $225,000 for the city of Burlington for the development of the Bel-Mur site; $225,000 for the YMCA in Milwaukee for the rehabilitation of two central city properties; $225,000 for the city of Eau Claire for downtown revitalization; and $135,000 for the city of Racine for neighborhood redevelopment.

$2,790,000 added by the House for projects in the district of House VA/HUD Appropriations subcommittee member Marcy Kaptur (D-Ohio): $1,620,000 for Toledo for the development of the facilities related to its Methane Biogases Capture and Reuse Initiative; $900,000 for the Toledo Lucas County Port Authority for facilities construction and renovation at the Toledo Shipyard; and $270,000 for Where Toledo Grows/Greenhouse Row for construction of a welcome center.

$1,215,000 added by the House for projects in St. Petersburg in the district of House Appropriations Committee Chairman Bill Young (R-Fla.): $900,000 for a redevelopment project for facilities renovation and improvements for a business development center; $225,000 for Family Resources for construction of a crisis shelter and family counseling center; and $90,000 for completion of facilities improvements at the Florida Botanical Garden and Folk Cultural Center.

$900,000 added by the Senate for the Denver Art Museum in the state of Senate appropriator Ben "Nighthorse" Campbell (R-Colo.). According to its 2001-2002 annual report, the Denver Art Museum Foundation has assets with a market value of more than $35 million.

$324,000 added by the House for projects in the district of House appropriator Todd Tiahrt (R-Kansas): $234,000 for facilities renovation and expansion of the Oaklawn Community Resource Center in Sedgwick County and $90,000 for facilities renovation and improvements for the Evergreen Public Library in Wichita.

$90,000 added by the House for the American Film Institute in Los Angeles for renovation of facilities. That's two minutes of screen time for a well-paid actor.

[Lil'freeper]

Thanks for the post, bumping for future reference.

[Rockitz]

Unfortunately, this is true and more unfortunately many people will be crushed by the coming depression.

[B. A. Conservative]

As interest rates change, eventually higher since they are at forty year lows, those asset values you cite will decrease while the net debt burden will soar. Many of those "assets" will in fact become liabilities with rising rates. The picture is actually much worse than it has been portrayed.

As for Fannie, almost all of Fannie's "assets" are actually the liabilities of others. Neither Fannie nor her "assets" are going to be able to meet their obligations when rates rise. The same conditions apply, their relative debt burdens will increase dramatically and their so-called "assets" will fall rapidly as they will be heavily discounted before stronger hands will buy them. Fannie, like FSLIC, FDIC and every other government program is pure socialistic BS. Our government and its central bank (the Federal Reserve) were the authors of the last depression, the authors of the last 80 years of inflation, and may well have already spawned the next depression. And that is the good news.

The bad news is the US is very unlikely to have a Presidential election in 2016 because there may not be a united United States by then. I can see secessions in our future and surprisingly they may begin in Kalifornia instead of a real state.