Save the banks? Yes -- and Oregon arrow makers too

In the now 451-page financial-system bailout bill moving through the Senate, you know there had to be some ridiculous pork-barrel gifts to special interests.

Just how ridiculous? From Bloomberg News:

Rose City Archery Inc., an Oregon company that makes arrows used by children, hit a bull's-eye with Senate legislation that would rescue Wall Street banks. Senators attached a provision repealing a 39-cent excise tax on wooden and fiberglass arrows designed for children to an historic $700-billion bank rescue that is likely to pass tonight.

The provision, originally proposed by Oregon senators Ron Wyden and Gordon Smith, will save manufacturers such as Rose City Archery in Myrtle Point, Ore., about $200,000 a year.

It's one of dozens of tax breaks benefiting Hollywood producers, stock-car racetrack owners and Virgin Islands rum makers included in the broader legislation in an effort to win support from House Republicans, whose defection contributed to a rejection of an earlier version of the legislation two days ago on a 228-205 vote.

"This is how Washington works,'' said Keith Ashdown, chief investigator at Taxpayers for Common Sense. "A big pot of pork is their recipe for final passage.''

Read the full Bloomberg story here. And if you have a lot of time on your hands today, read the full version of the Senate bill here.

Comments

[LB.]

Well, of course it does.

Eliminating taxes,this bill gives unlimited powers to the Secretary of Treasury to purchase anything , anywhere , at any price, as long as he tells the Senate two days later he did it.

Eliminates the taxes on the people who sold hedge bonds and the junk that caused the housing crisis, called subprime loans, as well as all taxes on capital gains.

Allows for "mark to value" which mean that financial institutions can now count as "capital" valueless "assets" . In other word, it allows them to count Soviet rubles as assets as long as they "believe" the Soviet rubble will come back as currency. They do not back up their believes by any documentation.

Does allow further "enrichment" on the already defaulted mortgages by the institutions that got them through mergers.
Taxpayers will pick up the bills- but only those who work for living. Due to elimination of capital gain and business taxes, those who sell worthless mortgages to the taxpayer can keep all what they will get for them.

[Gary Noel]

Didn't McCain vote for this???? I thought he was against earmarks.

[Anthony]

I want to educate a few of you who think that the "arrow" tax repeal benefits the company to the tune of $ 200,000. Who do you think pays this tax? Certainly not the company. It simply passes this rediculous tax onto its customers, who pay it. Repealing yet another stupid tax is a great thing. The company can 1. low prices (maybe); 2. hire a few more workers to increase production 3. Which would require it to buy more equipment 4. which would then benefit yet another company or companies.

Wake up and try to understand what it is you are talking about.

[Michael]

Anthony wrote: "hire a few more workers to increase production 3. Which would require it to buy more equipment 4. which would then benefit yet another company or companies."
I guess you dont own a business Anthony. What you said there makes no sense. Why would they hire more workers to increase production? You increase production if there is a demand for your product, not because you receive a tax break. I think your the one who needs to wake up. The 200 Grand they save is going into the pockets of the people who own the company. Maybe the people at Mercedes Benz or Ritz Carlton might benefit from them getting a tax break but you can be assured it will not be a few more blue collar workers benefiting by getting jobs.

[concerned tax payer]

It is not the tax or lack there of that is of concern, if the Arrow Tax is so important then why not present it as a bill. Seems to me much of the added items would not stand alone, so they need to lean on another bill to be supported. Who cares about an Arrow maker at the cost of the entire ecomomy. If the Race Tracks and Arrow business is so dependant on a tax break, then present it as such. Why attach it to a bill to deal with a crisis? Business as usual !!!!!!!!!!! How about the bicycle attachment??? This to will add jobs, right??????????

[Craig]

The phone number to Rosewood Archery (the beneficiary of one of the earmark's is 866.762.2776. Their fax # is 541.572.8906 and their email is rosearchery@msn.com. If I were you guys, I would call them all day tomorrow and send them some faxes and emails about how much you appreciate them getting the earmark. I plan to communicate with them all week on this issue.

[cdl]

I have the sinking feeling that this free-for-all is just getting started. Where is the sanity of any of this? I have seen the enemy. The swarm of locusts that have been eating their fill on Wall St., long ago devoured our government. Next will be a food storage of biblical proportions.