Archive for February, 2009

Here is why Madoff should be hung (or is it hanged?)…

Friday, February 27th, 2009

The story below from CNBC is just terrible. A holocaust survivor who trusted Madoff lost everything in the scam.

Weisel Lost Everything to Madoff
BUSINESS BIZ COMPANIES MARKETS
Portfolio.com
| 27 Feb 2009 | 10:52 AM ET

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Nobody knows depravity like Elie Wiesel knows depravity.

And does he ever see it in Bernie Madoff.

Wiesel, whose charitable foundation was wiped out by Madoff, has until now mostly kept quiet about the alleged $50 billion Ponzi scheme. But today, the Holocaust survivor and Nobel Peace Prize recipient spoke passionately about his betrayal by Madoff, whom he referred to variously as "a crook, a thief, a scoundrel," as well as a "swindler" and "evil."

Wiesel acknowledged that in addition to having lost his foundation's assets, he lost his personal wealth to Madoff. "All of a sudden, everything we have done in forty years–literally, my books, my lectures, my university salary, everything—was gone," he said during a panel discussion hosted by Condé Nast Portfolio.

His foundation, the Elie Wiesel Foundaton for Humanity, lost substantially all of its $15.2 million in assets to Madoff; including his personal investments, total losses may be as high as $37 million. "We gave him everything, we thought he was God, we trusted everything in his hands," Wiesel said.

About 160 people, including Dan Rather, Georgett Mosbacher, and the Daily Beast's Tina Brown, packed the 21 Club for the breakfast meeting moderated by Joanne Lipman, Condé Nast Portfolio editor in chief.

Wiesel was joined on the panel by former SEC chairman Harvey Pitt and well-known short seller Jim Chanos, both of whom had suggestions on how to prevent future fraud—and both of whom believe major financial institutions may be next to face criminal charges for misleading investors.

Pitt also decried understaffing and "a lack of real sophistication" at the SEC.

Wiesel said he met Madoff only twice, introduced through a friend who had known Madoff for 50 years and also invested with him. Wittingly or not, the intermediary played up Madoff's aura of exclusivity by telling Wiesel, "It's true, you are not rich enough." But he agreed to make an introduction.

Wiesel ultimately shared two dinners with Madoff and was impressed. Madoff "presented himself as a philanthropist," Wiesel said. The men spoke, ironically, mostly about ethics and education.

Madoff gave the impression that he was making an exception by allowing Wiesel to invest with him. "It was a myth that he created around him … the myth of exclusivity," Wiesel said. "He gave the impression that maybe a hundred people belonged to his club. Now we know thousands of them were cheated by him."

Wiesel first gave Madoff personal funds to invest, he said. "And because we thought we did so well, we said, come on, we have so many projects…. Everybody we know in the field of finances, they told us, come on, you can do much more, more projects because of Mr. Madoff the savior."

Slideshow: Wall Street Rogue's Gallery

Asked if he could forgive Madoff, Wiesel paused for a very long moment. "Could I ever forgive him?" he asked, almost to himself. Finally, he said firmly "No," to a burst of applause.

Wiesel did, however, come up with an imaginative punishment: "I would like him to be in a solitary cell with a screen, and on that screen … every day and every night there should be pictures of his victims, one after the other after the other, always saying, 'Look, look what you have done.' … He should not be able to avoid those faces, for years to come."

He added, "This is only a minimum punishment."

Also during the panel discussion:

Wiesel rejected the idea that Madoff preyed on Jews, and that the scheme was some sort of affinity fraud. "It's not the Jewishness in him, it's the inhumanity in this man…. The man is, was not only a liar, a swindler, but he was—not a crook—he was somehow always more than that. More. Once you enter evil, it's not static, it's dynamic. Charities that were scammed by Madoff should be bailed out by the government, Wiesel believes. 'Just as we bail out banks and car agencies, bail out charitable institutions…I think it would be a great gesture that the Obama administration should show that we really think of those who are helpless." Wiesel sees parallels between Madoff and his Holocaust experience. Although he emphasized that "Madoff is not the greatest story of our lifetime," he added that in recent years, "Madoff is one of the greatest scoundrels, thieves, liars, criminals. How did it happen? I have seen in my lifetime the problem is when the imagination of the criminal precedes that of the innocent. And Madoff had imagination…We have no idea that a person is capable of that, but then I should have learned, of course, that a human being is capable of anything." Donations to the Wiesel foundation have come in unsolicited: "Literally hundreds of people that we have never known sent us money though the internet…. Just as in 9/11, you remember 9/11 of course was the greatest tragedy, but it also brought out the best in the American people." Pitt, the former SEC chairman, estimates that despite Madoff's claim that he lost $50 billion, the actual number is probably between $10 billion and $17.5 billion. The larger number "was supposed to indicate how much money had passed through his portfolio…. However big it is, it's larger than it should be, and it's an incredible amount of money." To prevent future frauds Pitt advocates a new audit system, overseen by the SEC. "What is needed is a system in which everyone who takes money from the public should be inspected every year, or, for smaller firms perhaps every other year, by a completely independent, wholly outside expert entity." The audit would determine whether there were "actual assets" behind financial statements. Pitt also believes "people who invest money should be required to deal through a non-affiliated entity" to prevent self-dealing. Chanos, the fund manager, believes that "if Bernie Madoff had been public, he probably would have never gotten as far" because of scrutiny by journalists, short-sellers or internal whistleblowers. Both Pitt and Chanos said they believed there is criminality among some of the major financial institutions hit by the financial crisis. "There was criminality going on in the executive suites of these firms … because they were materially misrepresenting the financial shape of these firms as they were raising tens of billions of dollars from new investors," Chanos said. "The level of accounting chicanery that is going on in these major institutions is stunning." Pitt agreed there was criminality, though he added that "I can't say whether it was the executives suite or not." Pitt said the SEC isn't properly staffed to ferret out fraud. "You can't take young people, two, three, four years out of college, pay them $50,000, $60,000, $70,000, and expect them to have the sophistication to assess a $20 billion hedge fund," he said. Later, he said there is "a lack of real sophistication" at the SEC. "I can say this
as a lapsed lawyer … the SEC is overlawyered in the sense that it's heavily dependent on lawyers. There aren't enough economists, there aren't enough MBA, there aren't enough market specialists in the agency providing the kind of additional sophistication" that the SEC needs.

China: Positioning for Growth

Wednesday, February 25th, 2009

I had some emails from people when I told them that the current economic meltdown marks a turning point in global economic power. A generation ago, we were worried about our banks and government writing down the defaulting third world debt. In the next generation, the third world (specifically led by China and Brazil) will be worried about defaulting G-7 debt. The developing world will hold the economic power due to their investment in growth and their position as lender to the West.

Why do I think that? In just a few years, China has become the world's top consumer of timber, zinc (with 30% of global demand), iron and steel (27%), lead (25%), aluminum (23%), and copper (22%), along with nickel, tin, coal, cotton, and rubber. And although China is the planet's second-biggest consumer of oil, behind the United States, it's gaining fast. In order to secure its access to resources, China is exchanging to increasingly devalued dollar for hard assets that it can use to continue its growth.

Here are a list of the investments China is making to secure its future:

1. Wall Street Journal reported that Chinalco is buying an 18% stake in iron ore producer Rio Tinto for $20 Billion

2. Financial Times reported that China Minerals is buying 100% of OZ Minerals for $1.7 Billion

3. Business Day reported that a partnership between China Investment Corp and China Shenua Energy purchased $2.9 Billion in Fortescue Metals for a 15.85% stake

4. Washington Post reported that China agreed to loan Russia $25 Billion in exchange for a 20 year supply of oil (15 million tons per year for 20 years) plus interest and principal repayment

5. Reuters reported that China Development Bank is loaning Brazilian oil company Petrobras $10 Billion in exchange for oil supplies plus interest and principal repayment

6. The Guardian reported several other resource acquisitions: (a) Copper mines in Zambia; (b) Offshore Oil Drilling license in Nigeria; (c) $3 Billion iron ore mine in Gabon; (d) Timber in Mozambique; (e) Aluminum in Russia; (f) oil fields in Yemen; (g) Offshore oil fields in Cuba, plus very likely others that have not been reported.

The exchange of dollars for hard assets and access to the building blocks of growth will make China into the worlds dominant economic power. Their stock market will lead the way for the financial markets' recovery followed closely by Brazil who is on a similar path. Both countries are making sound business decisions to grow their economies – contrast that with the West that is in crisis mode and seems to not have a definable plan.

So, the stark contrast between the focus on growth to pull through the world's economic crisis and the lack of focus on a solution in the West will certainly determine the future of the investment world.

If China has determined that the path to prosperity lies in commodities and securing a current supply to meet upcoming demand – and dumping their cache of devaluing dollars in the process – that seems to be the clearest guide to portfolio management that I've ever seen.

Mark

Technicals Vs. News

Tuesday, February 24th, 2009

Several days ago, the markets were setting up for a break out to the upside. The symetrical triangle pattern was playing out in classical fashion, but unfortunately, Treasury Secretary Geithner disappointed the market with the announcement of his bank rescue plan. The market had its hopes set too high by the President who said that Tim's plan was going to solve everything, and when he announced it there was not really a plan but rather an outline of some concepts that Treasury was developing.

Above I have shown one of the widely followed timing indicators, the McClellan Oscilator, that the investment community follows. It provides "over bought" and "over sold" readings based upon advance/decline statistics for stocks traded on the NY Stock Exchange. When the reading gets to -100 or + 100 (you can see that we are passed through -100 now) you get a signal for a change in the direction of the market.

The change comes about because psychology changes and people that were overly agressive in selling start to feel that they don't want to miss a rally – or the people that were short sellers decide to buy to cover their short positions. Whatever the reason, a rally comes about. However, this sort of sentiment is being trumped by the news coming out of Washington. The investment markets want to hear a decisive plan from a leader, and so far it has not seen that.

There are some good things coming about from the Geithner bank plan as it develops that may ultimately heal the financial system, but he is not exuding confidence that market can latch onto. Until that happens, I would not anticipate that the rally will be significant. We will rally at some point up to the 200-day moving average (as discussed in the previous posts about the triangle pattern), but not until the sentiment changes.

Mark

Details of the Fiscal Stimulus Plan – Part 6

Monday, February 23rd, 2009

Continued…

Normal 0

Tax provisions

Business tax cuts

Tax breaks for low-income housing investors

$143

Tax provisions

Individual tax cuts

$400 payroll tax credit for workers earning up to $75,000; married couples filing jointly get $800 for income up to $150,000

$116,199

Tax provisions

Individual tax cuts

Increase in earned income tax credit for working families with more than three children

$4,663

Tax provisions

Individual tax cuts

Increased eligibility for refundable child tax credit, with all income over $3000 qualifying

$14,830

Tax provisions

Individual tax cuts

Tax credit of up to $2500 for tuition and college expenses

$13,907

Tax provisions

Individual tax cuts

Computers and computer technology will qualify for inclusion in tax-advantaged savings plans

$6

Tax provisions

Individual tax cuts

A tax credit for first-time homebuyers increases from $7500 to $8000, and will not have to be repaid

$6,638

Tax provisions

Individual tax cuts

Taxpayers earning less than $125,000 can deduct sales and excise taxes paid on new cars

$1,684

Tax provisions

Individual tax cuts

$2400 of unemployment benefits will not be subject to federal income tax

$4,740

Tax provisions

Individual tax cuts

Middle-income taxpayers get an exemption from the alternative minimum tax of $46,700 for an individual and $70,950 for a married couple

$69,759

Tax provisions

Business tax cuts

Businesses will be able to more quickly deduct the cost of investments in plant and equipment from their taxable income

$5,074

Tax provisions

Business tax cuts

Businesses will be allowed to recover alternative minimum tax and research and development credits faster

$805

Tax provisions

Business tax cuts

Small businesses will be allowed to write-off up to $250,000 of capital expenditures in the year of acquisition

$41

Tax provisions

Business tax cuts

Unprofitable small businesses with annual receipts of less than $15 million can recoup taxes paid in the past five years, up from two

$947

Tax provisions

Business tax cuts

Companies will be allowed to defer taxes for five years on several transactions aimed at restructuring balance sheets, and repay the taxes over the following five years

$1,622

Tax provisions

Business tax cuts

Businesses will be able to claim a tax credit for 40% of the first $6000 of wages paid to unemployed veterans or 16-25-year-olds hired

$231

Tax provisions

Business tax cuts

Small businesses will be able to exclude 75% of the gain from the sale of some stock held more than five years

$829

Tax provisions

Business tax cuts

Taxable corporations converting into S corporations will have a 7-year holding period for assets subject to built-in gains tax, from 10 years

$415

Tax provisions

Business tax cuts

Restoring tougher rules on taxpayers claiming losses incurred by a company before they bought it is projected to raise money

($6,977)

Tax provisions

Business tax cuts

Some companies restructuring may not be subject to those tougher rules

$3,163

Tax provisions

Business tax cuts

Manufacturing facilities producing "intangible property" such as patents can qualify for industrial development bonds

$203

Tax provisions

Business tax cuts

Facilities making advanced energy property may be able to claim a new 30% investment tax credit

$1,647

Tax provisions

Infrastructure tax cuts

$10 billion "new markets tax credits" will be available for 2008 and 2009

$815

Tax provisions

Infrastructure tax cuts

$25 billion of bonds for investment in economic recovery zones will be created

$5,371

Tax provisions

Infrastructure tax cuts

Tribal governments will have fewer requirements on their ability to issue tax-exempt bonds

$315

Tax provisions

Infrastructure tax cuts

High-speed rail facilities for trains capable of going at 150 miles per hour will qualify for facility bonds

$288

Tax provisions

Infrastructure tax cuts

Rules affecting state and local government bonds will be changed to improve marketability

$3,789

Tax provisions

Infrastructure tax cuts

A 3% withholding on payments to government contractors will be delayed for one year

$291

Tax provisions

Infrastructure tax cuts

$22 billion in new tax credit bonds for construction or repair of public schools

$9,877

Tax provisions

Infrastructure tax cuts

$2.8 billion of bonds for schools working with businesses

$1,045

Tax provisions

Infrastructure tax cuts

35% credit to bondholders for infrastructure bonds, 35% refundable credit to issuers of bonds

$4,348

Tax provisions

Energy tax cuts

Extending by three years the placed-in-service date for renewable energy investments

$13,143

Tax provisions

Energy tax cuts

Investment credits in lieu of production credits for renewable energy purchases

$285

Tax provisions

Energy tax cuts

Removal of cap on tax credits for purchase of small wind systems

$604

Tax provisions

Energy tax cuts

$1.6 billion extra allocation of clean energy bonds

$578

Tax provisions

Energy tax cuts

$2.4 billion extra qualified energy conservation bonds

$803

Tax provisions

Energy tax cuts

30% cap on tax credit for energy efficiency purchases by homeowners,
up to $1500 per residence

$2,034

Tax provisions

Energy tax cuts

Credit for purchase of residential solar, geothermal, wind and fuel cells

$268

Tax provisions

Energy tax cuts

50% tax credit for purchase of alternative refueling stations

$54

Tax provisions

Energy tax cuts

Tax credit for plug-in electric vehicle conversion

$2,002

Tax provisions

Energy tax cuts

Equalization of parking and transit tax-free employer benefits at $230 for 2009

$192

Tax provisions

Energy tax cuts

Grants to states for low-income housing projects in lieu of credits

$5

Tax provisions

Energy tax cuts

Grants to states for energy projects in lieu of credits

$69

Tax provisions

Individual tax cuts

One-time payment of $250 for retirees, disabled people, SSI recipients, railroad retirees and disabled veterans

$14,225

Tax provisions

Individual tax cuts

One-time refundable tax credit of $250 for some government retirees not eligible for social security benefits

$218

Subtotal

$301,188

Grand Total

$790,614

Details of the Fiscal Stimulus Plan – Part 5

Monday, February 23rd, 2009

Continued…

Normal 0

Spending

Education

Funding for 'Title I' education programs for disadvantaged children

$13,000

Spending

Education

Construction funding for school districts without a local property-tax base

$100

Spending

Education

Funding for school computer and science laboratories and technology training for teachers

$650

Spending

Education

Funding for services to homeless children including meals and transportation

$70

Spending

Education

Grants for states to address teacher shortages

$200

Spending

Education

Grants for special education programs

$12,200

Spending

Education

Grants to states for vocational rehabilitation for disabled people

$540

Spending

Education

Grants to states for independent living centers and services for elderly blind people

$140

Spending

Education

Money for colleges' work-study programs

$200

Spending

Education

Grants for teacher training an
d professional development

$100

Spending

Education

Funding for grants for states to create systems tracking individual student data

$250

Spending

Education

Department of Education spending oversight

$14

Spending

Volunteering

Extra money for AmeriCorps volunteer programs

$160

Spending

Volunteering

Extra money for National Service Trust volunteer programs

$40

Spending

Volunteering

Corporation for National and Community Service spending oversight

$1

Spending

Social Security

Construction of new National Computer Center for Social Security Administration

$500

Spending

Social Security

Extra money for Social Security Administration to process disability and retirement claim backlogs

$500

Spending

Social Security

Oversight of SSA spending

$2

Spending

Oversight

Oversight of economic recovery package

$25

Spending

Military

Army child development centers

$80

Spending

Military

Army "warrior transition complexes"

$100

Spending

Military

Navy and Marine Corps troop housing

$100

Spending

Military

Navy and Marine Corps child development centers

$80

Spending

Military

Navy and Marine Corps energy conservation and alternative energy projects

$100

Spending

Military

Air Force troop housing

$100

Spending

Military

Air Force child development centers

$80

Spending

Military

Defense hospital construction

$1,330

Spending

Military

Defense energy conservation investments

$120

Spending

Military

Army National Guard construction

$50

Spending

Military

Air National Guard construction

$50

Spending

Military

Army family housing construction and repairs

$38

Spending

Military

Air Force family housing construction

$97

Spending

Military

Programs for military homeowners facing mortgage problems

$555

Spending

Veterans

Improvements to Veterans Affairs benefits administration, IT and claims processing

$200

Spending

Veterans

Renovations and energy efficiency improvements to veterans medical facilities

$1,000

Spending

Veterans

Grants for construction of state extended care facilities for veterans

$150

Spending

Veterans

National Cemetery renovations and repairs

$50

Spending

Veterans

Oversight of Veterans Affairs and military spending

$1

Spending

State

Passport and training funding for State Department

$90

Spending

State

Creation of information management backup facility for State Department, funding for participation in cybersecurity program

$290

Spending

State

State Department spending oversight

$2

Spending

State

Repair and rehabilitation of flood control levees on Rio Grande, with remainder of money for IT investments at U.S. Agency for International Development

$220

Spending

Transportation

Grants for airport improvements

$1,100

Spending

Transportation

Upgrades to Federal Aviation Administration power systems, air traffic control centers and towers and airport lighting, navigation and landing equipment

$200

Spending

Transportation

Grants for highway improvements

$29,000

Spending

Transportation

Grants to Amtrak

$1,300

Spending

Transportation

Grants for capital investments in designated high-speed rail corridors

$8,000

Spending

Transportation

Public transit improvements and infrastructure investments

$8,400

Spending

Transportation

Grants for investments and improvements to small domestic shipyards

$100

Spending

Transportation

Department of Transportation spending oversight

$20

Spending

Housing

Repairs and modernization of public housing projects

$4,000

Spending

Housing

Grants to rehabilitate and improve energy efficiency on Native American housing programs

$510

Spending

Housing

Grants for community and economic development projects

$1,000

Spending

Housing

Energy efficiency retrogrades to low-income housing, including new insulation, windows and furnaces

$2,250

Spending

Housing

Funds for communities to buy and rehabilitate foreclosed and vacant properties

$2,000

Spending

Housing

Funds for building and rehabilitating low-income housing using green technology

$2,250

Spending

Housing

Grants for removing lead-based paint in low-income housing

$100

Spending

Housing

Department of Housing and Urban Development spending oversight

$15

Spending

Housing

Increase in government-sponsored mortgage provider conforming loan limits

$50

Subtotal

$217,252

Details of the Fiscal Stimulus Plan – Part 4

Monday, February 23rd, 2009

Continued…

Normal 0

Spending

Outdoors

Deferred maintenance on federal lands

$125

Spending

Outdoors

Priority road, bridge and trail repairs

$180

Spending

Outdoors

Wildland fire management

$15

Spending

Outdoors

Wildlife refuge and fish hatchery construction, deferred maintenance, road maintenance and energy efficient visitors centers

$280

Spending

Outdoors

National Park Service deferred maintenance

$735

Spending

Outdoors

Preservation grants for historically black colleges and universities

$15

Spending

Outdoors

Repairing facilities and equipment for U.S. Geological Survey seismic, volcano, monitoring and stream gages

$140

Spending

Outdoors

Repair of schools, detention centers, roads, bridges, housing, irrigation and dams on Indian reservations

$490

Spending

Indian reservations

Indian guaranteed loans

$10

Spending

Outdoors

Interior s
pending oversight

$15

Spending

Outdoors

Cleanup of hazardous and toxic waste sites

$600

Spending

Outdoors

Cleanup of petroleum leaks from underground storage tanks

$200

Spending

Outdoors

Loans for communities to upgrade wastewater treatment systems and drinking water infrastructure

$6,400

Spending

Outdoors

Environmental Protection Agency spending oversight

$20

Spending

Outdoors

Renovation of forest roads, bridges and trails, remediation of abandoned mines, removal of barriers to fish and other critical habitat

$650

Spending

Outdoors

Fire hazard reduction on federal and state lands

$500

Spending

Indian reservations

Indian Health Facilities construction, maintenance and equipment

$347

Spending

Indian reservations

Indian Health Facilities sanitation construction

$68

Spending

Indian reservations

Indian Health Services IT development and deployment

$85

Spending


Arts

Smithsonian Institution

$25

Spending

Arts

Grants to fund arts projects in non-profit sector

$50

Spending

Labor

Grants to states for adult employment and training activities

$500

Spending

Labor

Grants to states for youth training, including summer jobs

$1,200

Spending

Labor

Grants to states for dislocated worker employment and training activities

$1,250

Spending

Labor

Grants to states with highest unemployment numbers for employment and training

$200

Spending

Labor

Funds to national reserve assistance for dislocated workers

$750

Spending

Labor

Training high-risk youth in construction job skills

$50

Spending

Labor

Community service program for low-income over-55s

$120

Spending

Labor

Funding for states' unemployment insurance and employment service agencies

$400

Spending

Labor

Extra funds for department to manage enforcement of labor laws

$80

Spending

Labor

Office of Job Corps construction and modernization of residential facilities for at-risk youth

$250

Spending

Labor

Department of Labor spending oversight

$6

Spending

Health and Services

Renovation and health IT purchases for community health centers

$2,000

Spending

Health and Services

Training of nurses, primary care physicians, dentists to practice in underserved communities in the National Health Service Corps

$500

Spending

Health and Services

National Institutes of Health biomedical research

$9,500

Spending

Health and Services

National Institutes of Health buildings and facilities repairs and renovations

$500

Spending

Health and Services

Funding for research comparing effectiveness of treatments funded by Medicare, Medicaid and SCHIP

$1,100

Spending

Health and Services

Grants to states for childcare services for low-income working parents

$2,000

Spending

Health and Services

"Head Start" programs for low-income preschoolers

$1,000

Spending

Health and Services

"Early Head Start" programs for low-income infants

$1,100

Spending

Health and Services

Grants for community employment, food, housing and healthcare projects

$1,000

Spending

Health and Services

Grants to faith-based and community organizations

$50

Spending

Health and Services

Grants for elderly nutrition services including Meals on Wheels

$100

Spending

Health and Services

Extra money for Office of the National Coordinator for Health Information Technology

$2,000

Spending

Health and Services

Funding for community preventative health campaigns, vaccination programs, healthcare-associated infection reduction strategies

$1,000

Spending

Health and Services

Funding to improve IT security at the Department of Health and Human Services

$50

Spending

Health and Services

Oversight of Department of Health and Human Services spending

$17

Details of the Fiscal Stimulus Plan – Part 3

Monday, February 23rd, 2009

Continued…

Normal 0

Spending

Energy

Home weatherization grants to low and middle-income families

$5,000

Spending

Energy

Funding for Energy Star program offering tax credits to consumers purchasing new, efficient appliances

$300

Spending

Energy

Advanced batteries manufacturing grants

$2,000

Spending

Energy

Energy efficiency grants to states and local governments

$6,300

Spending

Energy

Transport electrification grants

$400

Spending

Energy

Funding for states and local governments to buy efficient alternative fuel buses and trucks

$300

Spending

Energy

Research and development of renewable and efficient energy technology

$2,500

Spending

Energy

Loan guarantees for standard renewables

$4,000

Spending

Energy

Transmission loan guarantees

$2,000

Spending

Energy

Fossil energy research and development

$1,000

Spending

Energy

Research into low-emission coal plants

$800

Spending

Energy

Grants for industrial carbon capture and energy efficiency improvement projects

$1,520

Spending

Energy

Grants for identifying sites to store carbon dioxide emissions

$50

Spending

Energy

Grants for training and research on safe storage of carbon emission\

$20

Spending

Energy

Administration of funding program

$10

Spending

Energy

Physics research including high-energy physics, nuclear physics and fusion energy sciences

$1,600

Spending

Energy

High-risk research into energy sources and energy efficiency

$400

Spending

Energy

Cleanup of former nuclear sites

$483

Spending

Energy

Uranium enrichment decontamination and decommissioning

$390

Spending

Energy

Cleanup of former nuclear defense sites

$5,127

Spending

Energy

Money for federal power marketing administrations in electric power transmission systems

$6,500

Spending

Energy

Construction and repairs for federal marketing administration

$10

Spending

Energy

Modernization of the electric grid

$4,400

Spending

Energy

Training of electric grid workers

$100

Spending

Energy

Oversight of Energy Department spending

$15

Spending

Government

Oversight of payroll tax credit and economic recovery payments

$7

Spending

Government

Treasury grants to community financial services and economic development groups

$100

Spending

Government

Construction, repair and energy alterations to federal buildings and facilities

$5,550

Spending

Government

Purchase of fuel efficient vehicles for federal fleet

$300

Spending

Government

Oversight of General Services Administration spending

$7

Spending

Government

Funding for Recovery and Accountability Transparency Board

$84

Spending

Government

Small Business Administration loans to businesses

$651

Spending

Government

Extra money for Small Business Administration disbursement of loans

$69

Spending

Government

Oversight of Small Business Administration spending

$10

Spending

Homeland security

Funding for departmental site security, IT infrastructure, furniture, fixtures and other costs for headquarters

$200

Spending

Homeland security

Oversight of Homeland Security spending

$5

Spending

Homeland security

Construction, repairs and equipment for ports of entry to the U.S.

$420

Spending

Homeland security

Purchase and deployment of non-intrusive inspection systems for Customs and Border Protection

$100

Spending

Homeland security

Tactical communications equipment for Customs and Border Protection

$60

Spending

Homeland security

Border security fencing and technology

$100

Spending

Homeland security

Immigrations and Customs Enforcement information-sharing technology

$20

Spending

Homeland security

Explosive detection systems for airports

$1,000

Spending

Homeland security

Funding for Coast Guard acquisitions and construction

$98

Spending

Homeland security

Repairing and removing bridges hazardous to marine navigation

$142

Spending

Homeland security

Grants for security upgrades to mass transit

$150

Spending

Homeland security

Grants for security upgrades to ports

$150

Spending

Homeland security

Competitive grants to upgrade state and local fire stations

$210

Details of the Fiscal Stimulus Plan – Part 2

Monday, February 23rd, 2009

Continued…

Normal 0

Spending

Farming

Repairs, security improvements and rental payments at Department of Agriculture

$24

Spending

Farming

Repairs and security improvements at Agricultural Research Service

$176

Spending

Farming

Salaries for staff to modernize IT system at Farm Service Agency

$50

Spending

Farming

Funding for watershed and flood prevention projects

$290

Spending

Farming

Funding for watershed rehabilitation

$50

Spending

Farming

Loans to rural homeowners

$200

Spending

Farming

Guaranteed loans for rural community facility building

$130

Spending

Farming

Guaranteed loans for rural businesses

$150

Spending

Farming

Grants for rural waste and waste disposal

$1,380

Spending

Farming

Broadband grants to rural communities

$2,500

Spending

Farming

Oversight of Department of Agriculture spending

$26

Spending

Commerce

Urban industrial core and rural economic recovery programs

$150

Spending

Commerce

Extra money for Census

$1,000

Spending

Commerce

Salaries and expenses for program to create broadband inventory map of the country

$350

Spending

Commerce

Grants to provide wireless and broadband infrastructure to communities, including public computer centers and sustainable adoption of broadband service

$4,350

Spending

Commerce

Coupons, education and consumer support for digital to analogue converter box program

$650

Spending

Commerce

Oversight of Commerce Department spending

$6

Spending

Science

National Institute of Standards and Technology work, including research into technology with high-growth potential and technology grants to small and mid-size manufacturers

$220

Spending

Science

NIST facilities construction and maintenance backlog

$360

Spending

Science

Extra money for National Oceanic and Atmospheric Administration facilities and research

$230

Spending

Science

Extra money for NOAA satellite development including climate data sensors and modeling

$600

Spending

Justice

Grants to state and local law enforcement

$2,225

Spending

Justice

Grants to rural law enforcement

$125

Spending

Justice

Grants to law enforcement on southwest border

$40

Spending

Justice

Grants for victims compensation programs

$100

Spending

Justice

Grants for tribal law enforcement

$225

Spending

Justice

Grants for state and local law enforcement to pursue Internet sex offenders

$50

Spending

Justice

Grants to state and local law enforcement to hire extra police officers

$1,000

Spending

Justice

Grants for violence against women prevention and prosecution programs

$225

Spending

Justice

Costs of administering extra grant money

$10

Spending

Science

NASA shuttle construction

$400

Spending

Science

NASA climate research

$400

Spending

Science

NASA aeronautics research

$150

Spending

Science

NASA rebuilding of facilities damaged in 2008 floods

$50

Spending

Science

NASA spending oversight

$2

Spending

Science

National Science Foundation research

$2,500

Spending

Science

Construction of new research equipment and facilities for NSF

$400

Spending

Science

NSF education activities

$100

Spending

Science

NSF spending oversight

$2

Spending

Military

Restoration and modernization of Defense facilities in U.S. and territories

$3,840

Spending

Military

Research and development of renewable energy generation for military

$300

Spending

Military

Improvements and reparations to military medical facilities in U.S. and territories

$400

Spending

Military

Department of Defense spending oversight

$15

Spending

Outdoors

Flood control and water management construction, regulation and investigations

$4,125

Spending

Outdoors

Mississippi River and tributary construction

$375

Spending

Outdoors

Clean-up of 'brownfield' former industrial sites

$100

Spending

Outdoors

Water reclamation and reuse projects

$1,000