Congress Wants The Fed’s Money for Highways

The Federal Reserve has $29 billion in surplus reserves. The drug addled degenerates in Congress, instead of doing their job and balancing a budget, have their eyes fixed on the Fed’s money–like the greedy little bank robbers they are.

Lawmakers are trying to pass a $325 billion highway bill to fix America’s crumbling roads and bridges. And Congress wants part of the funds to come from the Fed’s emergency stash of money.

In fact, Congress wants to take the $29 billion from the Fed and close the account for good too.

The Fed created this “surplus account,” shortly after it began operating in 1914. The idea was that it would serve as a cushion to absorb any potential losses the Fed incurs.

However, many members of Congress believe that the Fed doesn’t need the money any more and should be put to better use.
“It is appropriate to liquidate [the Fed’s surplus] account to meet today’s realities,” Randy Neugebauer, a Republican Congressman from Texas, told the House earlier in November.

The House agreed, and overwhelmingly voted to include the Fed’s billions in the highway bill.

The Fed doesn’t want to look like Congress’ bank account.

“To the extent that they’re seen as a piggy bank, threatens them,” says David Wessel, director of the Hutchins Center on Fiscal and Monetary Policy at the Brookings Institution.

And last week, two Republicans proposed a bill that would require the Fed to operate its monetary policy based on a defined rule — something the Fed believes would hamper its ability to act during times of crises.

Fed officials say all of these actions, including Congress reaching into its piggy bank, jeopardizes the Fed’s independence from politics.

“Using a central bank as a source of revenue to cover the cost of a fiscal program is dangerous to its independence,” Fed Vice Chair Stanley Fischer said earlier in November.

So, let’s set the record straight. Our elected officials have all but ruined this countries balance sheet, amassing almost $20 trillion in debt and that number is growing daily. Now that they’ve exhausted all sources of capital, through fucked up tax hikes and surcharges on everything but soup cans, they want to dip their beaks into the Fed’s pot, like mafiosa.

Times are changing, lads. The dichotomy between a bankrupt and corrupt Federal government, coupled with rich corporate and Federal Reserve balance sheets is leading us to a point where the people with the guns, ultimately, take what they want–just like any decent banana republic worth its salt.