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By NWV News writer Jim Kouri
Posted 1:00 AM Eastern
September 25, 2011

While President Barack Obama has spoken about efforts to evaluate regulations that create unnecessary burdens, agencies in the Obama Administration have regulated in the opposite direction. Spotlighting these regulatory failures and impacts on job creation is the focus of a newly released report and hearing held Wednesday by the House Oversight Committee.

The House of Representatives' Oversight & Government Reform Committee also opened an investigation into actions taken by the National Labor Relations Board (NLRB) that jeopardizes Boeing's work to open a new manufacturing facility in South Carolina and create thousands of jobs. The NLRB ruled that Boeing could not build a plant in the non-union South Carolina facility, but had to build it in a state that allows mandatory unionization.

"The federal regulatory process is broken, being manipulated and exploited in ways that benefit allies of the Obama Administration such as environmental groups, trial lawyers, and unions. Regulators have, in too many instances, been willing accomplices in the strategy advanced by outside interest groups to circumvent the oversight and accountability checks in the regulatory process," Chairman Darrell Issa (R-CA) said.

"The National Labor Relations Board has acted as a rogue agency sparking outcry from a bipartisan majority in Congress and even critical comments from President Obama. That a government agency could dictate to a private company where it can work, who it can hire -- literally how it chooses to operate -- is shocking, and sets a dangerous precedent not just in the Boeing case, but also for every other business seeking to move or expand operations to compete in a global economy," stated Rep. Issa.

"The Protecting Jobs from Government Interference Act, sets clear limitations on the NLRB's powers that have been used in ways Congress never intended," he added.

"At a time when 14 million Americans are unemployed, the Obama Administration should be working with Congress to lessen restrictive burdens and red tape on job creators and empower entrepreneurs and companies—large and small—to make the decisions they need to compete, to grow, and to thrive."

The report released by Chairman Issa and the Oversight Committee documents a flawed and broken system that punishes job creators and stifles economic growth. Key findings include:

The number of proposed rules has increased from 2,044 in 2009 to 2,439 in 2010;
Employment at regulatory agencies has climbed 13 percent since President Obama took office, and the number of staff working on regulatory matters is on schedule to increase at a rate of 10,000 new employees per year in 2011 and 2012;
The number of full time regulatory employees is expected to reach an all-time high of 291,676 in 2012;
The Obama Administration has already imposed 75 new major regulations that will cost more than $380 billion over ten years;
The Administration has 219 economically significant regulations in the pipeline right now -- that, if finalized will impose costs of at least $219 billion on the economy over ten years.

In addition, the report outlines numerous examples in the rulemaking process where federal agencies and regulators ignored, circumvented or openly flouted direction given by the President.
It spotlighted EPA's sue-and-settle approach to bypass the process and avoid transparency on a recent lead paint rule with dire consequences for job creators; abuse of the emergency rulemaking process and use of 'interim final rules' regarding Obamacare, causing health plans to lose grand-fathered status; and, an 'enhanced review process' initiated by EPA of a Clean Water Act provision in violation of the Administrative Procedures Act, among others.


"The businesses owners and workers who bear the brunt of these regulations are not Fortune 500 executives, they are main street business owners and workers from around the country," said Issa. "These firms, their families, suppliers, customers and employees all bear the cost of these new and proposed regulations. For them and businesses around the country, the price is greater than just compliance—it is a hidden tax of uncertainty on our economy," he said.

Beyond the costs and implications for job creators from regulations, the Oversight Committee report also pointed out that the Office of Information and Regulatory Affairs (OIRA), the federal agency charged with serving as a watchdog over federal rulemaking, has failed to take meaningful action to address the breakdown in the process.

"Thus far, the rhetoric we have seen from the Obama Administration on the issue of regulatory reform has not been matched in deed," Issa said.

After presiding over an abysmal economy including daunting unemployment and under-employment, on Monday President Barack Obama unveiled his "jobs plan."

During his speech, President Obama gave his audience a list of goals, but nothing even resembling a well-thought-out "plan," according to political strategist Mike Baker.

"During the eight years of the Bush Administration, I wish I had a dollar for every time the Democrats and their news media minions asked to see President Bush's plan for Iraq, for Afghanistan, for the economy, for his medical prescription program, and for anything else Bush proposed that cost taxpayers billions and billions of dollars," said Baker.

"If anything, Bush cleared the way for Obama. He was not much of a conservative especially in his second term," added Baker

However, with President Obama Democrats and the news media call statements he makes in a speech "a plan." Recall the Obamacare battle: The President toured the nation pushing a takeover of one-sixth of the U.S. economy before the actual plan was written.

"So too on Monday, Americans were told by the elite media that Obama unveiled his "jobs plan." The problem is: if one wishes to read the actual Obama plan, it's not yet possible. Why? Because there is no plan. There are a set of goals," said Dr. Stephen Goldman, a former economics professor now a financial advisor.

Topping Obama's jobs plan is the age-old liberal goal of "taxing the rich." Truth be told, not everyone is a George Soros or Bill Gates. Most of the Americans who will be soaked by the IRS are men and women who make $200,000 to $250,000 per year. Have the Democrats tried to live in New York City, Los Angeles or Chicago on $200,000 per year? A $250,000 family-income is hardly putting on the Ritz, Goldman pointed out.

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Taking a defiant tone against Republicans unwilling to raise taxes in order to close the deficit, President Obama today unveiled a $3 trillion long-term deficit reduction goal that relies heavily on raising taxes on the wealthiest Americans. In other words, Obama's goal is to tax American job-creators.

And why should he have a plan? With a compliant news media who spent most of the weekend discussing one of the world's richest men support for "rich paying their fair share," the idea of soaking the rich is appealing to Democrats who practice a "policy of envy" rather than a "policy of hope."

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The House of Representatives' Oversight & Government Reform Committee also opened an investigation into actions taken by the National Labor Relations Board (NLRB) that jeopardizes Boeing's work to open a new manufacturing facility in South Carolina and create thousands of jobs.