Category Archives: regulation

A Simple Enough Solution

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Even if it isn’t necessarily politically easy to implement. But the political impediment is merely a lack of political courage in the same politicians who natter on about how expensive and abused is the system in question. I’m writing here about our nation’s Medicaid system.

Medicaid is broken, and Republicans in Washington and in state capitals have an opportunity to fix it. President Trump has pledged to protect the program, in part by cutting waste, fraud and abuse. The House budget target would reduce the growth of federal Medicaid payments over the next decade from $2 trillion to $1.2 trillion. That is a good start. Medicaid wastes enormous amounts of taxpayer money as states use it to reward politically powerful healthcare providers.

Instead of making this sort of namby-pamby tweaks around the edges, and masquerading putative reductions in growth as cuts, the simple enough solution is this.

Take the Medicaid-centered Federal transfers to each State in the current year as the baseline, and convert that amount to a block grant with no strings attached, other than the State must spend the block money on its Medicaid program. Then, each subsequent year transfer the Medicaid block grant, similarly without strings, reduced further each year by 10% of that baseline amount. In a short few years (I’ll leave the third grade arithmetic to the reader, rather than insult his intelligence), the block grants will reach $0.00, and the Federal government will, quite properly, be out of this aspect of the State’s business.

Notice that this solution also does not touch the heart of our nation’s Medicaid system, which is each State’s responsibility. On the contrary, it moves the system entirely into the States’ individual purviews, giving each State complete control over its own Medicaid program, free of Federal touching.

Not an Excuse

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FTC Chairman Andrew Ferguson has his lawyers in court asking the judge to delay an ongoing and longstanding suit against Amazon. The excuse is this:

Our resource constraints are severe[.]

Oh, wah. The convenience of the government is no excuse for this—or any—delay. Our Constitution requires a speedy and public trial, and that extends to civil trials, also, where the value in controversy shall exceed twenty dollars, as this one surely does. There is nothing in either of those two Amendments, or anywhere else in our Constitution, that caveats any of our rights on what any Government personage decides is convenient to himself.

The FTC’s attempt is just another cynical attempt to drag out an intrinsically lousy suit in the hope that Amazon eventually will roll over and “settle.”

No. Amazon should refuse any sort of settlement other than a court declaratory ruling in Amazon’s favor, with legal and reputational damages awarded Amazon. In an ideal world, the judge either would so rule, or he would dismiss the case with prejudice (with costs awarded) and heavily fiscally sanction the FTC’s lawyers for seeking to extend so blatantly obvious a frivolous suit.

Another Target for Reduction

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DoJ’s Civil Rights Division is, as ex-AG Eric Holder (D) once bragged, Justice’s “Crown Jewel.”

But that’s only because it’s populated with far-Left lawyers who grew up in the ACLU’s extremist creche. Indeed, as Hans von Spakovsky noted from his time in the division,

Nearly all the career lawyers come from liberal advocacy groups, and all carry in the mindset: “I can do exactly what I was doing for the ACLU, only now with the power of government behind me.”

The division is infamous for its resistance to authority other than its own, which it coalesced out of the æther:

…resistance to direction, even direct orders. Career attorneys refuse to work on cases with which they disagree. Others mulishly take part with the goal of misleading superiors on legal questions or sabotaging cases. Lawyers send letters, make threats or initiate proceedings without sign-off from leadership.

These are bureaucrats who’ve self-selected for RIF as part of the initial round of reduction in personnel. Following that initial culling, the division would benefit, and so would DoJ and more broadly us average American citizens, from a much broader and deeper RIF of personnel and concomitant elimination of all of those job slots.

Here’s hoping Harmeet Dhillon is confirmed and she gets the backing she needs. That reduction in personnel job slots is the first step in quelling the naked revolt in the division and bringing it back under control.

A Modest Proposal

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The Wall Street Journal editors (I seem to have been picking on them lately…) have a modest proposal regarding student debt and forgiveness.

Congress created the Public Service Loan Forgiveness Program in 2007. It lets borrowers who work for government or tax-exempt organizations get unpaid debt forgiven after 10 years of payments. Its supposed goal was to help government and nonprofit employers compete with private businesses that can pay more.

The editors correctly note that in the years since its inception, the program has become badly abused and used to reward[] a politically favored group of workers and can make it harder for private businesses to compete. Based on that, the editors recommend the Republican-majority houses of Congress repeal the program altogether.

They’re correct in that, but I’d go a ways farther. Congress should make student loan relief available through our existing bankruptcy laws. Additionally (critically additionally), Congress should take the Federal government out of the student loan business altogether: no more Federal government student loans and no more Federal government guarantees of other lenders’ student loans.

And one more step: require colleges (including junior and community colleges) and universities and trade schools to publish the regionally average salaries and wages for each major the school offers or each trade certification program the trade school offers at the five-years employed mark. Associated with that, those schools should be required to be the ones extending the student loans or be either co-signers or guarantors of other lenders’ loans to their students.

Without the ability to hide behind Other People’s Money in the form of purely third party or Government loans, the abuses likely would screech to a halt.

Who Really Needs Security Clearances?

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The Wall Street Journal‘s editors have got their panties in a twist because President Donald Trump (R) has withdrawn Perkins-Coie’s Federal security clearances among other actions regarding the law firm. The editors claim it’s all about Trumpian retribution:

That’s the only way to read his extraordinary executive orders targeting big Washington law firms for federal punishment and investigation. Mr. Trump’s decision to use government power to punish firms for representing clients breaks a cornerstone principle of American justice going back to John Adams and the Founders.

Perhaps. But that’s the editors’ spin, and they present it, in typical news opinionator fashion, as if it were fact and the only possible fact of the matter.

On the other hand, it’s also true that Perkins-Coie, other big Washington law firms, and the individual lawyers in those organizations have no need whatsoever for blanket, routinely extant, Federal security clearances just because. Those should be granted on a case-by-case basis, centered on the lawyers directly involved needing access to classified material in order to defend a client. Furthermore, as soon as that defense is concluded, or as soon as the lawyers in question are no longer involved, those clearances should be canceled; they’d no longer be needed.

Neither should a law firm itself have any security clearance at all. Only those lawyers directly involved in a case needing classified access should have the associated clearance.

These editors would do well to get their angst back under control.