Democracy and Power 108: Obfuscation

Wherever politics intrudes upon economic life, political success is readily attained by saying what people like to hear rather than what is demonstrably true. Instead of safeguarding truth and honesty, the state then tends to become a major source of insincerity and mendacity. —Hans F. Sennholz

The Government is a Major Source of Insincerity and Mendacity

William Voegeli, author of Never Enough: America's Limitless Wellfare State, has written an excellent article, Bait-and-Switch Liberalism. Voegeli explains how politicians know Amercans want additional government services, and so the politician exhorts the benefits and ignores the burdens. The American public eagerly accepts what they like to hear rather than what is demonstrably true.

Voegeli explains how President Obama sold the American public on ObamaCare – universal and improved insurance coverage, minimal cost and reducing the deficit:

“What people wanted to hear was that the higher purpose of guaranteeing “quality, affordable health care for every American,” to use Obama’s words, could be had easily and painlessly. And it turned out that this historic goal was surprisingly attainable. “Most of this plan,” the president told Congress in a September 2009 address on health-care reform, “can be paid for by finding savings within the existing health-care system, a system that is currently full of waste and abuse.” Giving millions of uninsured Americans health insurance, and improving coverage for millions more who already had insurance, not only wouldn’t increase the federal deficit, but was “a step we must take if we hope to bring down our deficit in the years to come,” Obama had explained earlier that year.”

Citing a MIT economist, the White House claimed savings for individuals and small businesses. Voegeli reports:

“A November 2009 post on the White House blog cited research and congressional testimony by MIT economist Jonathan Gruber (a health-care adviser to the administration) to share the glad tidings that the legislation taking shape would unleash a torrent of benefits. The bill being considered by the House would lower premiums for individuals while improving coverage, according to Gruber. Small businesses, too, had “little to fear, and much to gain, from health reform,” since the money it saved them would lead to hiring more workers and increasing their take-home pay.”

Today, the American public is comprehending what was demonstrably true – ObamaCare is very expensive for almost every American. In January 2014, Gruber reports in the Washington Post:

“The law isn’t designed to save money. It’s designed to improve health, and that’s going to cost money.”

Classic Bait-and-Switch, obfuscation has unfortunately been part of government for a long time. Democrats and Republicans are both guilty of it. ObamaCare is an unusual situation because the insincerity and mendacity by our government and the awareness by the American people have occurred within four years. So, most of the representatives and senators that perpetrated this insincerity and mendacity remain in power. The elections of 2014 and 2016 will test American's concern over government's source of insincerity and mendacity. Is America outraged? Is America indifferent? How American voters react will have a major impact on our future freedom and democracy. Without trust in government, society declines – culturally, economically and civilly.

The Internal Revenue Service is attempting to change the standards for tax exempt status for 501(c)(4) groups. Rather than sticking to enforcing the will of Congress, the IRS, with the full blessing of the political operation in the White House, wants to ensure they won't have to harass conservative and tea party groups about their tax exempt status applications, because those groups won't even bother to apply. They need to hear from America.

Following its targeting of tea party and conservative groups in the runup to the 2012 election, the IRS now wants to codify into regulatory law the organization's illegal and tyrannical behavior. The rules are meant not just to stifle free speech, which would be bad enough, but to favor progressive groups over conservative and libertarian ones.

After initially calling the IRS targeting "outrageous," President Obama shifted to calling it a "phony scandal."  The White House and its allies in Congress have worked hard in favor of the new targeting. 

House Ways and Means Committee chairman Dave Camp (R-MI) has asked Treasury Secretary Jacob Lew and IRS commissioner John Koskinen for all documents pertaining to the proposed changes. Perhaps we will find out whether the White House, the NTEU, or low-level staffers in Cincinnati came up with the new policy.

UPDATE, via The Daily Caller:

IRS officials planned during 2012 to make changes to how 501(c)(4) groups are treated, according to an email released to Ways and Means.  Lois Lerner, who invoked her Fifth Amendment right against self-incrimination when Congress asked her about the matter, was involved in the discussion, which may or may not have led to the current proposed rule change.

-- End of Update --

Meanwhile, American Commitment pointed out that no one has been held accountable for the targeting:

The IRS confessed to targeting conservative groups in a stunning abuse of power.

Nobody has been held accountable for these outrageous abuses.  Indeed, the apparent ringleader of the suppression scheme, Lois Lerner, was granted six months of paid administrative leave and then allowed to retire with her full pension!

I commented to the IRS:

February 5, 2014

Dear Comment re Docket ID: IRS-2013-0038,

The proposed rule would violate my right to equal treatment under the law, by unfairly targeting the social welfare mission of 501(c)(4) organizations with which I am associated in favor of other social welfare organizations.

Discussion and advocacy on public policy issues is an intrinsic part of a social welfare mission, and for some groups of people, may be the sole way they express their opinion. 

The rule effectively muzzles 501(c)(4) groups while unfairly exempting 501(c)(5) labor unions, even the union to which people who made the rule belong. Did representatives or members of the National Treasury Employees Union or other groups to which Treasury employees belong have input into this policy change, and if so, how much?

The proposed rule's distorted definition of "candidate" to include appointees restricts efforts to weigh in on executive or judicial nominations that are crucial to promoting social welfare.

The 501(c)(4) category has always been the home of groups that advocate public policy and hold politicians accountable for the policies they pursue at every level of government.

The rule disregards the facts and unduly limits rights of association and speech. It should be withdrawn.The IRS is attempting to change by regulation what Congress has for many years resisted doing, removing the tax exempt status for groups involved in political speech. Since most of these groups are conservatives, and their involvement harms Democrats, it's a blatant partisan push from the leftist Democrats in the Obama administration.

Sincerely,

Mr. Loren Heal
Neoga, IL

Consider writing your own response. The IRS must acknowledge the public comments or expose themselves to legal challenges. It may be too late to keep them from squashing pro-limited-government speech heading into the 2014 elections, but the more attention we bring to the issue the more likely the proposed policy is to change.

As you may have heard, the IRS has proposed new rules that would severely restrict grassroots advocacy groups. 

Under current IRS rules, the purpose of tax-exempt 501(c)(4) organizations is educate the public and promote "social welfare" causes, and they can't work primarily as political campaign organizations. Many 501(c)(4) entities are small grassroots organizations ran by local activists that want to participate in the political process. 

The proposed rules would modify the definition of political activity for non-profit organizations. 

Under the proposed IRS rules, here are some things that would be considered political activity: 

• Nonpartisan candidate forums that take place 30 days before a primary

• Nonpartisan candidate forums that take place 60 days before an election

• Any communication mentioning a political candidate or political party within 60 days of an election 

• Nonpartisan civic engagement activities

• Voter registration drives

• Voter education and the preparation and distribution of voter guides mentioning candidates

• Get out the vote efforts and distribution of certain materials promoting candidates

• Calling for the election or defeat of a political candidate

• Any expenditure that must be reported to the Federal Elections Commission (FEC)

• Grants and contributions made by the group to any political group that reports to the FEC

• Grants and contributions made by the group to any 527 or tax exempt group that spends money on candidate-related political activity

The proposed IRS rules are confusing and overly bureaucratic. Many non-profit organizers will have to hire lawyers in order to ensure that they are complying with the complicated rules. Some well-intended activists will undoubtedly break the unclear laws without even knowing it.

FreedomWorks has been encouraging our members to submit comments to the IRS opposing these regulations that will further stifle free speech. Click here to submit your comment to the IRS. The IRS’s deadline for public responses is February 27, 2014.

The IRS shouldn’t be discouraging citizens from participating in the political process and helping to inform voters about their choices. Let’s stop the IRS from infringing on our constitutional right to free speech. 

On today’s edition of the FreedomCast, Andrew Campanella joins me to discuss National School Choice Week, some of the myths and misgivings about school choice and why every conversation about education reform should begin in the living room or at the kitchen table. 

Related Links:

National School Choice Week - How you can get involved

How School Choice Helps Traditional Schools 

Have a suggestion for an upcoming FreedomCast episode, or a comment? Send it to me on twitter @KristinaRibali.

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Follow today's guest, President of National School Choice Week, @andrewrcamp on twitter. 

Our podcast is fabulously produced by @BradWJackson.

On today’s edition of the FreedomCast, Jim Geraghty joins me to discuss the sudden abandonment of health care reform by Democrats running for reelection, security breaches and more delays for ObamaCare and why millennials are suddenly fleeing the president they helped elect twice. 

Related Links:

Surprise! Obama’s Statements Weren’t Accurate Today

Millenials Abandon Obama and ObamaCare 

Have a suggestion for an upcoming FreedomCast episode, or a comment? Send it to me on twitter @KristinaRibali.

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Follow today's guest, contributing editor for the National Review @JimGeraghty on twitter. 

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On today’s edition of the FreedomCast, Dean Clancy joins me to discuss the historical changes made in the filibuster rules of the Senate, how this may impact legislative fights going forward, and whether or not the Republicans can capitalize on the ObamaCare failures and the latest attempts by the Democrats to rig the system.

Related Links:

The Ramifications of the Nuclear Option Explained - By Democrats

In Memoriam: The Senate Filibuster - 1806-2013

Have a suggestion for an upcoming FreedomCast episode, or a comment? Send it to me on twitter @KristinaRibali.

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On today’s edition of the FreedomCast, Deneen Borelli joins me to discuss the backlash against Oprah Winfrey’s recent racial comments, the DOJ and their case against the Louisiana voucher program and how ObamaCare is destroying health care options for some historically black universities. 

Related Links:

Billionnaire Oprah Winfrey Stabs Americans in the Back

ObamaCare Forces Black College to Cancel Health Care

DOJ Drops Anti-School Choice Lawsuit

School Choice is a Winning Issue

Have a suggestion for an upcoming FreedomCast episode, or a comment? Send it to me on twitter @KristinaRibali.

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On today’s edition of the FreedomCast, David Limbaugh joins me to discuss deception in the Obama Administration, the rise of the libertarian influence inside the Republican party, and he asks the question whether or not liberalism ever has to atone for its failures. 

Related Links:

Obama's ObamaCare Deception: You May Not Know the Half of It 

How the Hubris of the Left Destroyed Health Care in America

Who is Unisured in America?  FreedomWorks Issue Analysis

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Our podcast is fabulously produced by @BradWJackson.