Home » Opinion » Editorials
Taxpayers beware! Bailouts not a thing of the past
An independent audit found that the Federal Housing Administration doesn't have enough capital to cover its expected losses. In fact, the losses likely will leave it with a $13.5 billion deficit.
Already, the voices are talking about a taxpayer bailout.
And the Pension Benefit Guarantee Corporation, charged with insuring pensions for about 43 million Americans, has a deficit reaching $34 billion in the past year, a record for the corporation. Overall, the agency's liabilities stand at $119 billion.
It is funded by insurance premiums on private employers and investment returns on its reserves. It says Congress needs to allow it to increase the premiums charged. The problem hasn't developed over night.
These are small potatoes, perhaps, compared to the fiscal cliff issue and the soaring deficit. But they are part and parcel of the entire problem.
Like Social Security, where there are obvious and simple fixes, these problems do not need to continue festering and growing.
Yet government, specifically Congress, fails to act. Why? Why are the losses, the problems allowed to continue to grow when simple solutions can be found?
Why is government in the housing mortgage business?
Why shouldn't pension insurance premiums be adequate to support the system?
Why shouldn't Social Security's retirement age be indexed to the major advances in life expectancy gained since the system was inaugurated?
Government's failures, and often its actions, are adding to the problems.
A fine example, of course, was the payroll tax cut reducing revenue for Social Security even as the very people voting for the tax cut wrung hands over the system's growing deficit.
The taxpayers are being left on the hook. And the hole is getting deeper.
Watch closely. Your future, and the future of your children and grandchildren, is at stake.
READER COMMENTS: 0
- Supervised visitation: The metal detector problem - 1
- Charter cap trap: A restriction to repeal - 0
- Taken for a ride: Hooksett’s Pinkerton deal - 4
- Bedford’s road bond: A good deal for a big fix - 1
- Legislative ethics: NH way works better than most - 0
- Blue shame: Obamacare's big change - 19
- Obamacare's new trick: Only temporary relief - 21
- Banning cell phones: Impulse shopping in the House - 10
- Bad Joe: Levasseur stalls again - 2
READER COMMENTS: 0
- Excess school money may target crowded classes in Manchester - 0
- Nashua board members apologize for signingCommon Core letter - 0
- Sen. Shaheen participates in all-night climate change ‘talkathon’ - 0
- Ian Clark's On Hockey: Monarchs' Derek Forbort in the right place at the right time - 0
- Educators, advocates speak to new standards for use of force - 0
- Two Manchester health clinics working on merger plan - 0
- Manchester CrimeWatch: City woman connected to fatal crash in court again - 0
- Franklin’s newest police recruit, a German shepherd pup, can smell trouble - 0
- VFW still eyeing old Crown Hill fire station in Nashua for new home - 0
Allenstown rejects town and school budgets
Crowley elected in Northfield
John DiStaso's Granite Status: Shaheen among speakers at Senate Dems' climate change 'talkathon'