McConnell, WTF?: McConnell Says He Favors Allowing States to Declare Bankruptcy in response to coronavirus revenue drops...
Bruce Plante editorial cartoon, Tulsa World, 4/17/2020, Trump Stimulus Check as a campaign device.
Rather than provide financial assistance to state and local governments facing massive deficits because of coronavirus-related economic downturn, according to Politico ("McConnell pushes 'bankruptcy route' as local governments struggle"), Bloomberg ("McConnell Says He Favors Allowing States to Declare Bankruptcy", and other media, Republican Senate Majority Leader Mitch McConnell recommends that states and local governments declare bankruptcy.
This is un-@#$%^&*-believable, astounding, and totally irresponsible, just like when wacko Congressman Ted Yoho stated that the US government defaulting on debt would be no problem in the face of Republican intransigence on either funding government or increasing the debt ceiling ("The Tea Party's Government Default Fantasy," Rolling Stone).
Although his comments are couched in "not wanting to bail out states and their pension problems." Granted pension problems are a huge issue and overhang, but completely irrelevant to the extraordinary pressures on local and state government financing presented by the response to the coronavirus.
Others smarter and more observant than me have made the point that the reason the Republicans and the Trump Administration don't want to provide funding to states and localities is to coerce them to reopen the economy earlier than public health measures warrant (Trump Wants to Starve States Into Opening Before It's Safe," New York Magazine). From the article:
Trump’s plan to coerce the states into reopening has at least three discernible elements. The first is, or was, the formation of a task force to reopen the country. The purpose of the council was to give Trump cover. The council would prod governors to reopen businesses, and because it would be seen as coming from the business community, Trump himself would not bear the blame for future outbreaks that might result. ...It's even been suggested that Georgia is reopening its economy as a stratagem to deny unemployment benefits claims, which are projected to be much higher than the state has funds to pay
The second element is the mobilization of protests. The appearance of flag-waving and sometimes gun-toting demonstrators in a handful of state capitols this weekend seems to have come as a shock to the news media, but Trump’s allies signaled this was coming. ...
The protests apply pressure to state governments, mobilizing conservatives to oppose lockdowns and raising using the threat of either passive resistance (by flouting social-distancing rules) or open violence (which Trump teased by linking the cause with the Second Amendment). ...
The final element of the plan is using fiscal starvation to bring the states to heel. Republicans have refused to allow any additional funding for state and local governments in the latest economic relief package. “The thinking among some Trump administration officials is that many states should be reopening their governments soon and that additional funding could deter them from doing so,” ...
These people have to be turned out of office decisively. I call them anarcholibertarians, almost completely against sound government and governance, except as a way to benefit their financial benefactors.
It's no way to run a country.
Also see by Paul Waldman, Washington Post:
-- "Mitch McConnell to states: drop dead"
-- "The coming GOP plot to sabotage a Biden presidency"
-- "The war against the states."
Labels: elections and campaigns, electoral politics and influence, national politics, pandemic/public health, Presidential Election, public finance and spending, states and cities




