To: Interested parties
From: Udall for Colorado
Date: October 1, 2008
Re: The economic crisis and Bob Schaffer's failed policies

SUMMARY

• Across America – It's an economic crisis.

• In Colorado – Middle-class families are squeezed to the breaking point.

• And the failed economic policies of George Bush and Bob Schaffer are a big reason for the mess.

• Schaffer voted for billions in special tax breaks for corporations that ship American jobs overseas.

• Schaffer wants billions more in tax giveaways for big oil companies.

• And Bob Schaffer voted to protect the pensions of corporate CEOs – even when those executives falsify their companies' financial documents.

BACKGROUND

Fact: The failed economic policies of George Bush and Bob Schaffer are a big reason for the current Wall Street meltdown

"I am pro-George Bush – and I have a solid record to prove it" (Bob Schaffer, Post Independent, 29-Jul-04).

Schaffer bragged about blocking numerous regulatory measures. "Congressional Republicans have also blocked numerous regulatory schemes designed to slow the economy, thwart free trade, limit Liberty, and hurt the environment – all proposed by Democrats. With the election of President George W. Bush, however, America has a chance to restore economic stability, end over-taxation, reform our schools, and promote a civil society" (http://web.archive.org/web/20010408061102/www.bobschaffer.org/news1.htm).

Bob Schaffer said the Reagan "low-regulation" approach had created a successful economy. "With all due credit to Alan Greenspan, chairman of the Federal Reserve, for his outstanding stewardship of monetary policy, we should mostly thank President Reagan for turning around an economy that was in the ditch. We are still benefiting from his decision to make the United States a low-tax, low-regulation economy, and thus able to compete in the world better than any other" (Congressional Record, 12-Oct-98).

Schaffer even trumpeted less regulation in his 2008 US Senate nomination speech. "The Democrats say they're for change for change sake. But what they really offer is an old approach to modern challenges: more taxes applied to Americans economic productivity and we believe in freedom, more regulation applied to those who create jobs and we believe in less regulation and more jobs, they believe in more bureaucracy, more rules, less justice" (31-May-08).

Fact: Schaffer voted for billions in special tax breaks for corporations that ship American jobs overseas

Schaffer supported keeping a tax loophole that allows corporations to locate their headquarters offshore in order to avoid paying federal taxes. The measure sought to close a loophole that allowed corporations to locate their headquarters offshore in order to avoid paying federal taxes. It would prevent the practice of 'corporate inversion,' under which a U.S. company inverts its corporate structure so that the parent firm is technically located in a tax-free nation and only a subsidiary is located in the United States, for the purpose of escaping federal taxes (Roll Call 247, HR 4931, 21-Jun-02).

Schaffer voted to subsidize corporations that lay off American workers (Roll Call 120, HR 2871, 01-May-02).

Schaffer voted for billions in tax breaks for overseas corporations. Schaffer voted for proposal that included a $6.5 billion tax break extension for financial corporations with overseas operations. Under existing law, U.S. firms were taxed on some types of income earned by foreign corporations that they control, regardless of whether the income is distributed back to the United States. (Roll Call 509, HR 3529, 19-Dec-01)

Schaffer voted to give homeland security contracts to offshore tax dodgers. Schaffer opposed an effort to bar companies that avoid paying U.S. taxes by moving their headquarters overseas from being awarded contracts with the new Homeland Security Department (Roll Call 366, HR 5005, 26-Jul-02).

Fact: Schaffer wants billions more in tax giveaways for Big Oil companies

Bob Schaffer won't lift a finger to address our energy crisis if it means taking a dime away from the oil companies. "Udall repeatedly challenged Schaffer to endorse his [energy] bill, but Schaffer would not. The Republican opposes the way the bill takes away oil-company tax breaks and gives them to renewable-energy companies" (Durango Herald, 16-Aug-08).

Schaffer defended Big Oil profits, calling them "modest." In August 2008, Schaffer said, "The margin of profit of the energy industry in America today is 8 percent, which is modest compared to insurance companies or banks or other industries." He added, "Because prices are soaring, the reality is the federal government is raking in a bunch of cash right now on the backs of energy producers" (Schaffer Interview, Rocky Mountain News, 16-Aug-08).

On Meet the Press. Schaffer: "An 8% marginal profit [for the oil industry] is not too bad in the American context today" (Meet the Press, NBC, 28-Sep-08).

Schaffer supported the 2001 Bush energy plan which included nearly $13 billion in tax breaks for the oil and gas industry (Roll Call 320, HR 4, 02-Aug-01).

Schaffer voiced support for the 2004 Bush energy plan. "I support all aspects of the president's [energy] plan. I think the president is on the right track" (Bob Schaffer, NFIB debate, 01-Jul-04).

The 2004 energy bill included nearly $12 billion in tax breaks for the oil and gas industry. It would authorize $25.7 billion in tax breaks over 10 years, including $11.9 billion to encourage oil and gas production (HR 6 [18-Nov-03], HR 4503 [15-Jun-04]).

Schaffer supported 1999 tax break worth over a billion a year for Big Oil. Schaffer voted for the final 1999 GOP tax package, which included a provision that would give oil companies a special tax benefit for their foreign operations. According to USA Today, "One of the biggest targeted breaks in the newly approved measure is for multinational oil companies, courtesy of Ways and Means Chairman Bill Archer, R-Texas. By 2009, the companies would save $1.2 billion a year." According to the New York Times, the bill contained other measures beneficial to the oil industry as well, including allowing tax write-offs for wells that are "marginally productive" (Roll Call 333 [22-Jul-99], Roll Call 379 [05-Aug-99], USA Today [17-Aug-99], New York Times [21-Jul-99]).

Fact: Bob Schaffer voted to protect the pensions of corporate CEOs – Even when those executives falsify their companies' financial documents

Schaffer voted against an amendment that would have enabled the Securities and Exchange Commission to strip stock bonuses from executives who falsify statements. It would also create a public regulator to oversee auditors, with authority to set auditing standards and rules and conduct more thorough investigations. It would require company executives to certify the truthfulness of their financial statements and set up additional restrictions on companies and auditing firms, including stronger penalties for false information and would have mandated that companies change their accounting firms every few years. The measure would have required rules from Wall Street's self-governing bodies prohibiting analysts from holding stock in companies they cover and from having their compensation tied to their firms' investment banking revenues (CQ [24-Apr-02], Roll Call 108 [HR 3763, failed 202-219: R 1-214, D 200-4, I 1-1]).

To: Interested parties
From: Udall for Colorado
Date: October 9, 2008
Re: Bob Schaffer's radical ideas – Wrong for Colorado

SUMMARY

• Bob Schaffer is "a self-admitted right-winger."

• Right after the attacks on 9-11, Schaffer voted against screening one hundred percent of checked bags on airplanes, and against requiring stronger cockpit doors.

• Bob Schaffer has compared Medicare to "socialism," health care reform to "fascism," and the US Department of Education to "the Communist legacy."

• Schaffer even voted against funding for every program to help America's military veterans four times.

• Bob Schaffer's radical ideas are wrong for Colorado.

BACKGROUND

Fact: The Rocky Mountain News has referred to Schaffer as a "self-admitted right-winger" (Rocky Mountain News, 25-Aug-04)

According to a 2006 academic study, out of the 3,425 members of Congress to serve since 1937 Schaffer ranks as the 14th most conservative member over the last 70 years. According to a 2006 study by Professor Keith Poole of the University of California-San Diego. This analysis of Schaffer's three-term congressional record places him as the 14th most conservative out of more than 3,400 lawmakers to go to Washington since 1937 (Denver Post, 09-Mar-08).

"Schaffer became known for his uncompromising and unapologetically conservative views" and "that hasn't changed." According to a July 4, 2004 Fort Collins Coloradoan article, Schaffer was characterized as confident and sometimes brash. "Schaffer became known for his uncompromising and unapologetically conservative views", said the Coloradoan. The Coloradoan continued, "That hasn't changed" (Fort Collins Coloradoan, 04-Jul-04).

Schaffer has "Manufactured an image of himself as being on the far-right fringe." According to the Washington Times, Colorado State University political science professor John Straayer said, "I think what's happened is that you have a lot of people in the Republican Party who were nervous about a Bob Schaffer candidacy." "He's manufactured an image of himself as being on the far-right fringe, not just on fiscal issues, but he's also carrying a good deal of the religious right agenda with him" (Washington Times, 04-Apr-04).

"On the rare occasions when Schaffer departs from the GOP leadership line, it is to stake out an even more conservative position" (CQ member profile, 2002 edition).

Fact: The Denver Post called Schaffer "too ideological, too prone to follow a narrow set of political principles

Schaffer is "too ideological, too prone to follow a narrow set of political principles to the exclusion of other considerations" (Denver Post, 11-Oct-98).

Fact: Just two months after 9-11, Schaffer was one of just nine Representatives to vote against the post 9-11 air security plan (Roll Call 448 [16-Nov-01], Associated Press [17-Nov-01], Knight Ridder [17-Nov-01])

Components within this bill (S 1447, 107th Congress) included:

• 100% inspection of checked bags.
• Increased number of armed air marshals on flights.
• Anti-hijacking training for flight crews.
• Stronger cockpit doors.
• Background checks on individuals enrolling in flight schools.

Fact: Schaffer has described Medicare as "socialist"

"Tape from that debate shows that Schaffer labeled Medicare and Medicaid as 'socialist aspects of how we deliver health care'" (Fort Collins Coloradoan, 13-Jun-96).

Schaffer voiced support for the Newt Gingrich approach to choking off Medicare. "Schaffer said he supported a slower rate of growth for the Medicare fund…" (Fort Collins Coloradoan, 06-Apr-97). "Slower rate of growth" was Gingrich's term for his plan to cut $270 billion from Medicare and allow it to "wither on the vine" (HR 2491 [17-Nov-95], CQ #812).

Schaffer voted to cut Medicare funding by $115 billion. Schaffer voted to bring up a bill to cut $115 billion in funding for Medicare (Roll Call 343, H. Res. 202, 30-Jul-97).

Fact: Schaffer called universal health care "fascist"

Schaffer voted against a 1995 resolution that would have put a Colorado universal health care proposal on the ballot, calling it "a fascist economic model" (Denver Post, 20-Apr-95).

"Schaffer stands by his characterization of the plan, which would put health care under government control. That, he said, is economic fascism" (Fort Collins Coloradoan, 28-May-95).

Fact: Schaffer equated public education with a "failed communist legacy"

"Mr. Speaker, just look at the Communist legacy in every single case, especially education. The bureaucrats who just love their government-owned schools and want to protect their monopoly will do so at just about any cost, regardless of whether kids have to receive an inferior education and blighted futures" (Congressional Record, 10-Sep-97).

Schaffer Called Public Schools a "government-owned, unionized, bureaucratized monopoly" (Rocky Mountain News, 10-Apr-06).

Schaffer advocated eliminating the Department of Education, the Department of Commerce, the Department of Energy (Fort Collins Coloradoan, 13-Feb-96).

"I can't think of a single thing the Department of Education does that really helps kids," Schaffer said shortly after joining Congress in 1997 (Denver Post, 17-Mar-97).

Fact: Bob Schaffer voted four years in a row against funding the Veterans Administration – nearly $200 billion total

1998. Bob Schaffer was one of just 14 members to vote against $42.3 billion for Veterans Administration programs and benefits (Roll Call 483, HR 4194, 16-Oct-98, failed 409-14).

1999. Bob Schaffer was one of just 18 members to vote against $44.3 billion for Veterans Administration programs and benefits (Roll Call 500, HR 2684, 14-Oct-99).

2000. Bob Schaffer was one of just 24 members to vote against $47 billion for Veterans Administration programs and benefits (Roll Call 536, HR 4635, 19-Oct-00, passed 386-24).

2001. Bob Schaffer was one of just 18 members to vote against $51.1 billion for Veterans Administration programs and benefits. The bill provides $27.3 billion for mandatory veterans programs and $23.8 billion in discretionary funding for the VA including $21.3 billion for veterans medical care (Disabled American Veterans Magazine [Jan-02], Roll Call 434 [HR 2620, 08-Nov-01, passed 401-18]).