Grumpy Editor

Obama raises eyebrows in repeating U.S. oil ‘scarcity’

Grumpy Editor notes that President Barack Obama, in calling on Congress to give federal regulators more authority to crack down against price manipulators, said it again yesterday at the White House:

“I've said repeatedly, the problem is we use more than 20 percent of the world's oil and we only have 2 percent of the world's proven oil reserves.”

Media remain mum while running with that line for months.

“In classic fashion, (the president) is using a technicality to skirt the facts and keep the myth of energy scarcity alive,” points out the Institute for Energy Research, a Washington, D.C.-based not-for-profit organization that conducts intensive research and analysis on the functions, operations, and government regulation of global energy markets.

“The reality is that the U.S. has enough recoverable oil for the next 200 years, despite only having 2 percent of the world’s current proven oil reserves,” emphasizes IER.

“Proven oil reserves are not all of our oil resources --- not even close,” continues IER.  “Proved reserves represent a tiny portion of our total oil resources. Proven (or proved) oil reserves are reserves that have already been discovered, typically through actual exploration or drilling, and which can be recovered economically. That estimate does not include oil that we know about, yet are unable to access because of regulatory barriers.

“For example, the billions of barrels of oil in ANWR are not included in our proved oil reserves.”

The U.S. has 1,442 billion barrels of technically recoverable oil but only about 20 billion barrels are considered proven oil reserves, says IER.

It adds, “That is partly because the federal government is denying access to hundreds of millions of acres oil-rich federal lands: the Alaskan National Wildlife Refuge, the Naval Petroleum Reserve-Alaska, federal waters off the Atlantic and Pacific coasts, at least 45 percent of the Gulf of Mexico, the Chukchi and Beaufort Seas, and oil shale on federal lands in Colorado, Utah, and Wyoming, to name a few.” 

 

Editors miss First Lady in Vegas; $100 million to Tunisia

Two interesting stories --- especially to taxpayers finishing up income tax returns and wondering how their money will be spent --- somehow escaped most print and broadcast editors’ attention late last week:  First Lady Michelle Obama, with her two daughters, visited Las Vegas one week after President Barack Obama made it to Sin City, and the United States plans to give $100 million in cash to Tunisia, observes Grumpy Editor. 

Mrs. Obama’s trip, not announced to media, came to light following a Las Vegas reporter’s query on a special closure at Las Vegas’ McCarran International Airport. 

Her Wednesday-Thursday visit with daughters Malia, 13, and Sasha, 10, was noteworthy because the president shot arrows at Las Vegas twice in recent years, scaring off tourist and convention activity.  

In February, 2009, aiming at business gatherings, he declared:  “You can’t take a trip to Las Vegas or down to the Super Bowl on the taxpayers dime.” 

Then a year later, he warned:  “You don’t blow a bunch of cash in Vegas when you’re trying to save for college.” 

A sour economy followed, resulting in thousands of casino workers’ jobs lost plus Las Vegas rising to first place in the U.S. with home foreclosures. 

Last year’s  unemployment in Las Vegas, at 13.3 percent, was among the highest in the nation. 

Meanwhile, most editors also missed Thursday’s announcement from the Obama administration that $100 million, subject to congressional approval, will go to Tunisia for short-term fiscal relief --- to help improve its economy. 

Secretary of State Hillary Rodham Clinton said the funds would allow Tunisia to “use this money for its priority programs, accelerating economic growth and job creation.” 

In addition, the U.S. is negotiating a separate package that would offer loan guarantees to raise hundreds of millions of dollars for Tunisia.

 

Photos showing pain at the pump are pain elsewhere, too

Rather than repeated tired images of drivers filling up at the pumps and shots of gas station prices, print and broadcast editors should try something different to illustrate the soaring cost of gasoline --- run photos of U.S. locations were oil drilling or pipelines would alleviate the high cost and dependency from foreign lands, advises Grumpy Editor.

The aim is to remind Washington to zero in on energy independence in a country rich in oil as analysts predict gasoline prices soon could reach $5 a gallon.

U.S. field production of crude oil peaked in 1970 and has since drifted downward to the early 1950s level.

Lost in the shuffle of election news that dominated print and broadcast media late last week are comments from Jack Gerard, president and chief executive, American Petroleum Institute.

President Barack Obama “is misleading Americans about his energy strategy” in an effort to ease pain at the pump, proclaims Gerard.

“Since taking office he has declared 85 percent of our offshore areas off limits, decreased oil and gas leases in the Rockies by 70 percent, rejected the Keystone XL pipeline and has 10 federal agencies planning more regulation of hydraulic fracturing, which is key to oil and natural gas development,” reminds Gerard.

“The president’s Jekyll and Hyde approach to energy security is hurting consumers,” he adds.

“We urge the president to work with our industry to generate more supply to the market and create new American jobs."

Meanwhile, another result of higher prices at the pump --- inflation.

Federal Reserve Chairman Ben Bernanke yesterday (when the Dow Jones Industrials later fell 53.05 points to 12952.07) tells the House Financial Services Committe that "gasoline prices have moved up ... (which is) a development that is likely to push up inflation temporarily while reducing consumers' purchasing power."

 

Obama pushes ‘green’ UPS trucks, then relies on gasoline

While national print/broadcast media traveling with the president somehow fail to observe such things, alert Kyle Gillis, an investigative reporter for Nevada Policy Research Institute counted “22 fossil-fuel powered vehicles” --- with video to back him up --- in a presidential motorcade headed for McCarran International Airport following Barack Obama’s 20-minute speech in Las Vegas on Jan. 26, observes Grumpy Editor. 

Obama, standing in front of a United Parcel Service truck (not the usual brown, by the way) at the company’s Las Vegas hub, spoke on use of liquefied natural gas to power such vehicles. 

In his brief visit to Las Vegas, Obama praised UPS for "leading by example" in converting long-haul trucks to use liquefied natural gas rather than diesel fuel.

Obama said 14 U.S. companies have converted one million vehicles to alternative fuel during his administration, resulting in less U.S. dependency on foreign oil.

"Let's get more of these natural gas vehicles on the road," declared Obama, before heading for the presidential limousine (a gas guzzler at eight miles per gallon) to transport him to the waiting Boeing 747 Air Force One.

Think tank NPRI’s Gillis, who observed the “fossil-fuel powered” parade --- which included national media in vehicles --- earlier worked at the Media Research Center's Business & Media Institute in Washington, D.C., where he covered financial reform, auto bailouts, housing reform, taxes and the stimulus. 

See the parade of 22 fossil-fuel powered vehicles here.

 

Marines urinating on militants' bodies stirs media, D.C.

The video, making the rounds yesterday showing four combat-equipped U.S. Marines urinating on three dead Taliban fighters in Afghanistan, triggered much broadcast and print coverage along with immediate condemnations from the Obama administration and some Pentagon brass --- but “shocked” media, some military and politicians overlooked a main element, reminds Grumpy Editor. 

Unlike wars of the past, U.S. military forces in Afghanistan are in contact with terrorists who are not part of an organized army.

The deceased enemy fighters were not part of a regular army.  The hostiles did not wear uniforms, held no rank, wore no stripes or bars or stars or other military insignia, did not possess serial numbers or “dog tags,” and didn’t report to captains, majors, colonels or generals.

Some in Washington and others also have forgotten military history.  U.S. Marines during World War II on Iwo Jima, for example, used flamethrowers to flush out and kill uniformed enemy troops in a declared war.

Media and Washington did not frown on that action.

Negative reaction to the videoed Afghanistan incident illustrated “the cowardly world we live in,” stated coast-to-coast talk show host Michael Savage yesterday, in questioning why Washington was not supporting the Marines.

Some callers --- including former military personnel --- to Savage’s program said the Marines should be given medals rather than face talk of harsh legal action.

The Marine Corps issued a statement immediately after learning of the video, saying a full investigation was under way.

The New York Times reported Pentagon officials said the video was made between last March and September when a Marine battalion was deployed to Helmand Province, a strategic Taliban heartland and a center of the opium poppy trade.

Officials said the video likely was made in the northern part of the province where the battalion had operated, The Times said, adding “seven out of some 1,000 Marines in the battalion were killed during the seven-month deployment.”

 

Christmas tree tax proposal quickly fizzles --- for now

After word got out yesterday about the Obama administration immediately imposing a 15-cent fee (that means a tax in Washington) on all fresh Christmas trees, the White House reacted quickly to an influx of complaints and decided to sideline the plan for now, notes Grumpy Editor. 

As outlined in the Nov. 8 Federal Register --- which major media missed:

Purpose of the Christmas tree tax was to run a “program of promotion, research, evaluation, and information designed to strengthen the Christmas tree industry’s position in the marketplace; maintain and expend existing markets for Christmas trees; and to carry out programs, plans, and projects designed to provide maximum benefits to the Christmas tree industry.” 

The proposal called for the Secretary of Agriculture to appoint a Christmas Tree Promotion Board to oversee funds collected via the Yule tree tax. 

No mention was made on composition of the Christmas Tree Promotion Board, number of members and if they will be on the federal payroll. 

Live Christmas trees already have a promotion source:  The National Christmas Tree Association which represents more than 5,100 “Christmas tree professionals.” 

The Christmas tree tax was merely shelved at this time. 

With the delay in implementation of the tax, the U.S. Department of Agriculture promised it will “revisit this action."

 

Go Navy, see world? Better: Join White House press corps

As President Barack Obama readies for a swing through the Pacific later this week after a visit to France last week, Grumpy Editor recalls it used to be that one joined the Navy “to see the world” (as recruitment posters pitched), but a better way nowadays --- with far superior accommodations --- is to join the White House press corps. 

White House correspondents are keeping their travel bags handy for further global journeys aboard Air Force One. 

On the heels of the Nov. 3 and 4 visit to Cannes for the G-20 summit, White House reporters get a few days this week to pay personal bills, review their mail and attend to household pets before boarding the special Boeing 747 and heading west to Honolulu for the Asia-Pacific Economic Cooperation conference on Nov. 12 and 13. 

Then it’s onward to Australia where Obama aims to underscore ties with a staunch ally.  Stops include Canberra on Nov. 16 and Darwin, Nov. 17. 

Next landing is Indonesia to participate at a gathering of leaders from the region at the East Asia Summit in Bali on Nov. 18 and 19. 

All the traveling, from France to Indonesia, occurs in the first half of November --- 16 days, to be exact. 

Jay Carney, White House spokesman, explains the high travel mileage this way:  

"He is, as president of the United States, obligated to travel around the world and represent American interests abroad at these gatherings.”

 

Emergency Alert System test goes national on Nov. 9

Look for some grumbling from radio listeners and television viewers at 2 p.m. Eastern on Wednesday when the Emergency Alert System interrupts programming for the first simultaneous nationwide test, anticipates Grumpy Editor.

Originally planned for three minutes, the test is scaled back to 30 seconds after objections from the cable TV industry. 

The test is designed to ensure national leaders can communicate quickly with people in an emergency. 

Suspicious minds are thinking: 

Why now?  Could some large-scale event be brewing?  What if power is out, complicating radio and TV transmissions, thus negating broadcast warnings? 

Others may ask why not revert to World War II alerts with sirens?  That would cover people who are unable to tune in to radio or TV or simply do not have radio or TV sets on. 

The national Emergency Alert System is designed to be activated by the president. 

Although the EAS is tested on a weekly or a monthly basis at the state or local level, the Federal Communications Commission says “there has never been an end-to-end nationwide test of the system.” 

The FCC adds it needs “to know that the system will work as intended should public safety officials ever need to send an alert or warning to a large region of the United States.  Only a complete, top-down test of the EAS can provide an appropriate diagnosis of the system’s performance.”

 

Obama, blasting Vegas in past, seeks funds there today

On the way to Los Angeles today, President Barack Obama’s 747 makes a stop in Las Vegas --- the city that he once warned convention planners against visiting “on the taxpayers’ dime” and “you can’t go take that trip to Las Vegas” --- with a tight schedule that manages to work in a mid-day fundraiser, notes Grumpy Editor. 

Seems strange that the city he knocked since early 2009 is where he will hold a re-election campaign fundraiser at the Bellagio, an MGM Resorts International property mid-way on the Las Vegas Strip. 

The president’s 2009 remarks immediately scared off tourist and convention activity and resulted in canceled gatherings, affecting the Las Vegas economy where casinos and supporting businesses are the prime industries. 

Las Vegas in recent years depended more on hosting business conferences than casino action. 

The president followed his anti-Las Vegas warning to convention planners in February 2009 with another blast a year later when he declared, “You don’t blow a bunch of cash in Vegas when you’re trying to save for college.” 

Las Vegas now leads the nation as ground zero in home foreclosures while the unemployment rate stands at a hefty 13.6 percent --- 4.5 percent higher than the national rate. 

With those negative developments in mind, Obama (32 months after his initial slap at Las Vegas) “will continue to talk about the economy and the need to create jobs” in his Nevada visit, said White House spokesman Jay Carney on Friday. 

This was echoed on a national scale Saturday when Obama said the United States must tackle its “greatest challenge as a nation,” rebuilding a weak economy and creating jobs.

 

Proposed taxes likely to cut 10,000 airline industry jobs

With U.S. job creation static while some in Washington consider “taxes” their favorite word, Air Transport Association of America (ATA) President and CEO Nicholas E. Calio sums up what he considers a job-killing equation:  “Add taxes and lose jobs,” notes Grumpy Editor.

ATA is the industry trade organization for leading U.S. airlines. 

Just in case ATA’s warning is not in your newspaper today, the organization points out nearly 10,000 airline industry jobs could be cut within one year if two new proposed passenger security and airline departure taxes are approved by Congress. 

More broadly, adds ATA, nearly 181,000 jobs could be lost across the economy related to reductions in aircraft manufacturing, airports and supporting businesses. 

The airline industry is the third greatest contributor to the U.S. economy after energy and farming, yet it is among the least profitable, says Calio. 

“Tripling the passenger security fee and creating a new $100 departure tax will have a devastating effect on the U.S. economy and our customers, who already pay more in taxes for air travel than they do for alcohol, tobacco and firearms," cites Calio. 

“The proposed new taxes will impact fares and reduce service, which equates to a one-way ticket to the unemployment line for thousands of Americans." 

Calio declares, "The president is proposing a huge new tax on the least profitable and most highly taxed industry in the economy while all its competitors are left untouched.  Airlines and their passengers should not shoulder the burden to pay for the country's security, or even worse, to pay off the national debt.”