Economy

Mitt Romney's Five-Point Plan

Energy Independence

Romney’s Five Point Plan Included North American Energy Independence. According to The Los Angeles Times, “Achieve North American energy independence by increasing access to domestic fossil fuels, streamlining regulations and the permitting process, drilling offshore and in the Arctic National Wildlife Refuge, and approving the Keystone oil pipeline from Canada. ‘No. 1, we’re going to take advantage of our energy, and that’s going to create millions of jobs.’” [The Los Angeles Times, 9/15/12]

Romney Supports Ideas Similar To President Obama

Romney And Obama Had Similar Energy Plans Favoring Expanding Drilling And Natural Gas Development. According to The Washington Post, “Here are some of the highlights of the energy positions of Mitt Romney and President Obama. There are similarities. Both candidates favor expanded oil and gas drilling and support the development of natural gas resources, even with the use of controversial hydraulic fracturing techniques. Obama says he favors an ‘all of the above’ strategy and wants to further reduce U.S. reliance on foreign oil. Romney says he would aim for ‘North American energy independence,’ leaning heavily on increased imports from Canada and higher U.S. output.” [The Washington Post, 9/11/12]

Romney Supports Ideas Benefitting Wealthy Oil Companies

Central Part Of Romney’s Energy Plan Is Deregulating Oil And Gas Industry. According to Huffington Post, “A central part of the plan is taking the power to permit and license new onshore drilling on federal lands out of the hands of the federal government and putting it into the hands of the states. That means that states like Alaska or North Dakota, which is enjoying a massive oil boom under the current regulatory regime, would be able to allow drilling on federal lands with no oversight from Washington. North Dakota stands out, in particular, as it is where Romney’s top energy adviser, oil billionaire Harold Hamm, is making his fortune. Hamm, whose stump speech is only three words, ‘Beat Barack Obama,’ has given $985,000 to Restore Our Future and raised money for the Romney campaign. He would profit greatly from this change in policy as his company, Continental Resources, would be freed to drill beyond the Bakken fields in North Dakota using techniques including hydraulic fracking and horizontal drilling.” [Huffington Post, 8/24/12]

Improve Education

Romney’s Five Point Plan Included Improving Education Through School Choice And Changing Teacher Hiring. According to The Los Angeles Times, “Improve education and job training, in part by increasing school choice and changing the way teachers are hired and evaluated. ‘We’ve got fix our schools.... It’s time for us to put the kids and the parents and the teachers first, and the teachers union behind.’” [The Los Angeles Times, 9/15/12]

Romney Deferred Education Funds To States For Private School Vouchers

Romney’s Education Policy Gave Federal Funds To States But Did Not Force Or Encourage Them To Expand School Choice. According to a Time op-ed, “Romney and other Republicans know they’re using a great talking point when they complain that the President is against allowing poor kids in Washington’s beleaguered public schools to attend better schools, especially when Obama’s own kids attend a highly-regarded private school in the city. But as policy, Romney’s blueprint is pretty weak soup because it doesn’t force — or even do much to encourage — states to expand choice. It merely says that federal dollars will defer to states and cities that decide to allow private-school vouchers.” [Time, Op-Ed, 6/14/12] Romney’s Education Policy Was Similar To “Pro-Voucher” Report From The Hoover Institution. According to The New York Times, “Mr. Romney’s policy seems closely inspired by a pro-voucher report issued in February by the conservative Hoover Institution. Five of eight members of a task force that produced the report are among the 19 education advisers the Romney campaign named last month. Once thought to be moribund, the voucher movement was revived by gains Republicans made in the 2010 midterm elections. Fourteen states since then have introduced or expanded private school vouchers, according to the Friedman Foundation for Educational Choice.” [The New York Times, 6/11/12]

Romney’s Open-Enrollment Mandate For School Districts Were More Burdensome Than No Child Left Behind

Romney’s Open-Enrollment Requirement Had “Massive” Loophole Because Transfer Student Capacity Could Not Be Easily Verified. According to a Time op-ed, “There’s a massive loophole that lets everyone off the hook. The one tantalizing part of Romney’s proposal is his requirement for states to adopt open-enrollment policies that disregard school-district boundaries for public schools. That would be a big deal for poor parents. Open enrollment in theory would give inner-city kids and other kids stuck with lousy school options the chance to attend better public schools elsewhere. But there are two problems. First, as my former colleague, Erin Dillon, showed in a 2008 Education Sector analysis, there are just not enough good schools within a reasonable distance for these kids to commute to. Romney’s proposal also leaves a loophole wide enough to render the open-enrollment provision meaningless because it hinges on schools having sufficient ‘capacity’ to accept transfer students. That’s the same hazard that doomed No Child Left Behind’s public-school choice provisions. Don’t want students transferring in? Then make sure you have no capacity, a metric that is difficult to verify.” [Time, Op-Ed, 6/14/12] Romney’s Open-Enrollment Policy Would Require A “More Invasive Mandate” On States Than No Child Left Behind. According to a Time op-ed, “And in case you slept through the last several years, Republicans are against heavy-handed federal intervention in schools right now. They want to scrap the 10-year-old No Child law, which merely required states to come up with school accountability systems. It’s politically inconceivable that a President Romney would replace that law with a much more invasive mandate on states to essentially scrap school district boundaries and have a federal hand in deciding which students get to attend which schools.” [Time, Op-Ed, 6/14/12] Read the full report after the jump.

BRIDGE BRIEFING: Ryan And Trade

Ryan Opposed Efforts To Punish China For Currency Manipulation

In 2010, Ryan Opposed The “Currency Reform Fair Trade Act” To Impose Tariffs On Countries With Undervalued Currencies. According to the Boston Globe, “In 2010, when the House voted on the Currency Reform Fair Trade Act, Ryan was among the 79 congressmen who opposed the measure. The bill passed – 348 to 79, with 99 Republicans voting in favor – but was not taken up by the Senate so it never became law. The legislation would have given the president expanded authority to impose tariffs on the imports from countries that have ‘fundamentally undervalued’ currencies.” [Boston Globe, 8/16/12]

BRIDGE BRIEFING: Romney Supports The Ryan Plan

Romney Endorsed Ryan’s 2013 Budget Plan March 2012: Romney Endorsed Rep. Paul Ryan’s 2013 Budget Plan. According to the Los Angeles Times, “Paul Ryan’s new budget plan drew praise from GOP presidential front-runner Mitt Romney and an attack from President Obama’s reelection campaign Tuesday. The House Republicans’ fiscal blueprint for 2013 would slash federal spending, lower tax rates and substantially overhaul Medicare in an effort to free the nation ‘from the crushing burden of debt,’ Ryan wrote in a document outlining the plan. In a statement from his campaign, Romney lauded the House Budget Committee chairman ‘for taking a bold step toward putting our nation back on the track to fiscal sanity.’ He said he and Ryan were of the same mind on cutting taxes and overhauling the tax code. ‘As president, I look forward to working with Chairman Ryan and his House Republican colleagues to pass bold reforms that restore America’s promise,’ he said.” [Los Angeles Times, 3/20/12] Romney Aide Eric Fehrnstrom Said Romney Supported The Ryan Plan. According to Talking Points Memo, “Eric Fehrnstrom, a top campaign adviser for Mitt Romney, tied the Republican presidential nominee to the GOP’s budget plan by Rep. Paul Ryan (R-WI). […] ‘…he’s for the Ryan plan. He believes it goes in the right direction. The governor has also put forward a plan to reduce spending by $500 billion by the year 2016. In fact, he’s put details on the table about how exactly he would achieve that. So to say he doesn’t have a plan to – a plan to restrain government spending is just not true.’” [Talking Points Memo, 6/3/12] Romney Endorsed “What Is Essentially” Ryan’s Plan For Deficit Reduction. According to Politico, “Romney also endorsed what is essentially the Ryan plan for fiscal deficit reduction, bring budget into balance in eight years. Said loophole and special tax deductions would be eliminated to offset cost of tax rate reductions, and include ‘some things you’re not going to like.’ Will close some Federal Government departments. Romney spoke with authority and confidence, and appeared relaxed.” [Politico, 5/24/12]

BRIDGE BRIEFING: Romney's Tax And Fee Increases

The Tax Burden In Massachusetts Increased

During Romney’s Tenure The Massachusetts Tax Burden Increased From 10 Percent To 10.6 Percent Of Per Capita Income. According to the Boston Globe, “Data compiled by The Tax Foundation, a nonpartisan research group in Washington, shows that during Romney’s four years as governor, the state and local tax burden in Massachusetts increased from 10 percent to 10.6 percent of per capita income.” [Boston Globe, 6/29/07] Factcheck.org: The Massachusetts Tax Burden Increased Under Romney. According to Factcheck.org, “In Massachusetts, the tax burden figure went up under Romney, from 5.93 percent to 6.57 percent.” [Factcheck.org, 10/12/07] State & Local Tax Burden Increased 6.5 Percent During The Romney Administration. According to The Tax Foundation, a conservative tax research organization, in 2002 (the year before Romney came to power), the state and local tax burden in Massachusetts was 9.3 percent. In 2006, Romney’s last year in office, the state and local tax burden of Massachusetts had increased to 9.9 percent. Thus, under Romney, Bay Staters saw their taxes burden increase by 6.5 percent in real terms. [The Tax Foundation, 2/23/11]

BRIDGE BRIEFING: Romney's Tax Plan

Romney’s Tax Plan Would Raise taxes on middle class families by $2000 while cutting taxes on multi-millionaires by $250,000.

Tax Policy Center: Romney Tax Plan Would Raise Taxes On Families With Children With Income Below $200,000 By $2,041. According to a Tax Policy Center analysis of Romney’s tax plan and promises, families with children that earn below $200,000 a year would see tax increases of $2,041. [Tax Policy Center, 8/1/12] Tax Policy Center: Top 0.1% Would See $246,652 Tax Cut Per Year Under Romney Plan. According to a Tax Policy Center analysis of Romney’s tax plan and promises, the top 0.1% would receive a tax cut of $246,652 per year. [Tax Policy Center, 8/1/12]

The Romney Plan Raises Taxes Of The Middle Class And Poor To Pay For Tax Breaks For The Super-Wealthy

A Brookings Study By Economists With Experience In Both Republican And Democratic Admirations Concluded That Romney’s Tax Plan Would Cut Tax Rates For The Wealthy While Leaving 95 Percent Of Americans With A Net Tax Increase. According to New York Times, “The center is a joint effort of the Urban Institute and the Brookings Institution that includes economists and tax experts with experience in both Republican and Democratic administrations. It concluded that a tax-code overhaul meeting Mr. Romney’s goal — a 20 percent cut in all rates without adding to annual budget deficits — would leave wealthy taxpayers with a large tax cut but 95 percent of Americans with a net tax increase once tax breaks for items like mortgage interest are curtailed to keep deficits in check.” [New York Times, 8/11/12] Romney’s Tax Plan Would Raise Taxes For 95 Percent Of Americans While Cutting Taxes For The Richest 5 Percent. According to The Washington Post, “Mitt Romney’s plan to overhaul the tax code would produce cuts for the richest 5 percent of Americans — and bigger bills for everybody else, according to an independent analysis set for release Wednesday. The study was conducted by researchers at the Brookings Institution and the nonpartisan Tax Policy Center, who seem to bend over backward to be fair to the Republican presidential candidate. To cover the cost of his plan — which would reduce tax rates by 20 percent, repeal the estate tax and eliminate taxes on investment income for middle-class taxpayers — the researchers assume that Romney would go after breaks for the richest taxpayers first… What would that mean for the average tax bill? Millionaires would get an $87,000 tax cut, the study says. But for 95 percent of the population, taxes would go up by about 1.2 percent, an average of $500 a year.” [The Washington Post, 8/1/12]

BRIDGE BRIEFING: Romney’s Poor Jobs Record In Massachusetts

Massachusetts Job Creation Ranked Poorly Under Romney

In Romney’s Four Years As Governor Massachusetts Ranked 47^th Out Of 50 In Jobs Growth. According to Marketwatch, “The Republican contender was the governor of Massachusetts from January 2003 to January 2007. And during that time, according to the U.S. Labor Department, the state ranked 47th in the entire country in jobs growth. Fourth from last. The only ones that did worse? Ohio, Michigan and Louisiana. In other words, two rustbelt states and another that lost its biggest city to a hurricane. The Massachusetts jobs growth over that period, a pitiful 0.9%, badly lagged other high-skill, high-wage, knowledge economy states like New York (2.7%), California (4.7%) and North Carolina (7.6%). The national average: More than 5%.” [Marketwatch, 2/23/10]

In Romney’s First Year In Charge, Massachusetts “Ranked Dead Last In America In Job Growth.” According to Marketwatch, “So far Obama has been in office for just one year. How was Romney’s performance by his first anniversary? Fiftieth out of fifty. That’s right. In Romney’s first year in charge, Massachusetts ranked dead last in America in jobs growth.” [Marketwatch, 2/23/10]

Massachusetts Unemployment Rate “Showed Little Movement During Romney’s Tenure” And Went From Below The National Average When He Took Office To Above The National Average When He Left. According to the Associated Press, “The state’s unemployment numbers also showed little movement during Romney’s tenure. In December 2002, as Romney prepared to step into office, Massachusetts unemployment rate stood at 5.6 percent, slightly lower than the national unemployment rate of 6 percent. By December 2006 - Romney’s last full month in office - national unemployment had fallen to just 4.5 percent while Massachusetts unemployment numbers had inched down to 5.2 percent. ‘We’ve had a very slow economic recovery and we’ve trailed most of the rest of the nation,’ said Michael Widmer, president of the business-backed Massachusetts Taxpayers Foundation. ‘It’s not the turnaround he’s advertised.’” [Associated Press, 2/4/08]

BRIDGE BRIEFING: Romney And The Auto Rescue

Romney Opposed Government Involvement In The Auto Industry

Romney Wanted To “Let Detroit Go Bankrupt” And Said The Demise Of The Auto Industry Would Be “Virtually Guaranteed” By A Government Bailout. According to Romney, “If General Motors, Ford and Chrysler get the bailout that their chief executives asked for yesterday, you can kiss the American automotive industry goodbye. It won’t go overnight, but its demise will be virtually guaranteed. Without that bailout, Detroit will need to drastically restructure itself. With it, the automakers will stay the course — the suicidal course of declining market shares, insurmountable labor and retiree burdens, technology atrophy, product inferiority and never-ending job losses. Detroit needs a turnaround, not a check.” [Romney Op-Ed, New York Times, 11/19/08] Romney Opposed The Bailout Of The Domestic Auto Industry. According to the Detroit News, “On the federal ‘bailout’ in 2008 of the domestic auto industry, Romney writes he opposed the billions provided ‘because it enabled GM and Chrysler to avoid the restructuring and productivity improvements essential for their success.’ The federal government has provided the auto industry with $86 billion, including $50 billion for GM and $12 billion for Chrysler. Romney urged a managed bankruptcy, a step the Obama administration eventually took to help stabilize GM and Chrysler Group LLC. ‘The managed bankruptcy that I proposed ultimately occurred,’ Romney writes, ‘but only after tens of billions of taxpayer money had been wasted, and only after sweetheart deals and paybacks for favored interest groups had been engineered with the public’s money.’” [Detroit News, 2/24/10] Romney Believed Automakers Should Have Had Private Bankruptcy Without Federal Aid. According to the Associated Press, “Romney told a diner at the Senate Coney Island restaurant Thursday morning that the automakers should have gone through a private bankruptcy without the federal aid. The businessman and former Massachusetts governor says he believes ‘in the process of law’ rather than bailouts.” [Fox News, Associated Press, 6/9/11] Romney Believed Things In Detroit Would Be Better Without Intervention.  According to a Detroit News op-ed, Romney wrote “The president tells us that without his intervention things in Detroit would be worse. I believe that without his intervention things there would be better.” [Detroit News, 2/14/12]

Oops… Romney Venue Benefited From Obama Admin's Actions Toward China

At his event at American Spring Wire in Ohio today, Romney repeated his pledge to crack down on China. As you know, his campaign has routinely attacked the Obama administration over this very issue. Unfortunately for Romney, though, American Spring Wire actually petitioned the Obama administration for help dealing with China... then got exactly what they wanted. Research below: In June 2009, American Spring Wire Petitioned The U.S. Department Of Commerce To Investigate Countervailing Duties And Antidumping On Steel Wire Imports From China.According to a press release from the U.S. Department of Commerce’s International Trade Administration, obtained via Targeted News Service, “On June 17, the Department of Commerce (Commerce) announced its decision to initiate antidumping and countervailing duty investigations on imports of certain prestressed concrete steel wire strand from the People’s Republic of China (China). Dumping occurs when a foreign company sells a product in the United States at less than normal value. Subsidies are financial assistance from foreign governments that benefit the production, manufacture, or exportation of goods. The petitioners for these investigations are American Spring Wire Corp. (OH), Insteel Wire Products Company (NC), and Sumiden Wire Products Corp. (TN). The merchandise covered by these investigations consists of certain prestressed concrete steel wire strand which is a collection of wire rod bars, typically covered with an epoxy material and is primarily used in concrete construction applications. The merchandise covered by these investigations is currently classified in the Harmonized Tariff Schedule of the United States (HTSUS) under item numbers: 7312.10.3010 and7312.10.3012. While the HTSUS subheadings are provided for convenience and customs purposes, Commerce’s written description of the subject merchandise governs the scope of these investigations. From 2007 to 2008, imports of prestressed concrete steel wire strand from China increased 7.83 percent by volume and were valued at an estimated $178 million in 2008.” [Targeted News Service, 6/17/09] As A Result Of The Juner, 2009 Investigations Initiated, The International Trade Administration (A Subdivision Of The Department Of Commerce) Imposed Countervailing Duties On Chinese Prestressed Steel Wire Strand. According to the ITA, two anti-dumping investigation began on Jun 23, 2009 reltated to prestressed concrete steel wire strand. They resulted in duty orders enacted on July, 23 2010. [ITA, Viewed 2012]

MEMO: What’s Romney Hiding?

To: Interested Parties From: Rodell Mollineau, President of American Bridge 21st Century Date: 9/22/2012 RE: What’s Romney hiding with his tax summary?

American Bridge previously presented a list of things that Mitt Romney could be hiding, but below are just three of the biggest questions raised by Friday’s incomplete disclosure.

VIDEO: Romney's Cayman Daydream

Wonder what was going through Mitt Romney's head when Paul Ryan went off script and bashed tax shelters for the wealthy during their 60 Minutes interview? American Bridge president Rodell Mollineau said, "Paul Ryan is off to a rough start, and not just because he's less popular than Sarah Palin or Dick Cheney. In one simple thought, Ryan both embarrassed Mitt Romney and spouted falsehoods about the Republicans' agenda. In truth, the Romney-Ryan plan not only fails to eliminate loopholes and giveaways, it places a heavy burden on the middle class by lowering tax rates for multimillionaires like Mitt Romney to less than 1%."