Blue Oregon

A week or so ago, I wrote a post entitled The Best Way to Rob a Bank is to Own One that urged Sen. Smith to listen to people like William K. Black who fought for the public interest as Director of Litigation for the Federal Home Loan Bank Board during the S & L crisis and Keating Five scandals of the 1980s, and not to the financial lobbyists in Washington who helped get us into this mess.

Well it looks like the Obama campaign is ready to tie McCain's past trangressions as a member of the Keating Five to our current economic nightmare.

Go to www.keatingeconomics.com tomorrow to watch Obama lower the boom. It looks like Bill Black, author of The Best Way to Rob a Bank is to Own One, has a role in the documentary.

Funny video produced by Leo DeCaprio in conjunction with google.  Maybe Kari can show me how to link directly to YouTube.

Nearly a month ago, Jack Bogdanski -- Oregon blogger and L&C tax law professor -- suggested that there might be a problem with Sarah Palin's taxes. To the best of my googling ability, Jack was the first one to raise the question. From September 10:

Governor Palin, your tax return, please

...The trips back and forth between the two locales certainly appear to be the Palins' personal choice. They could live entirely in Juneau, but apparently they prefer the life they have in Wasilla, and so they engage in long-distance commuting. All well and good. It's a free country. ...

I do know something about the federal income tax consequences of fringe benefits, and it certainly appears to me based on the published reports that some, if not most, of these "per diems" should have been included as income on the Palins' federal income tax return. If they weren't, something's wrong. ...

Unless Palin's spouse and kids are also her employees and she can show that they were away on their own businesses, their expenses would not be deductible by the governor. And therefore she cannot exclude from income any per diems attributable to any of them.

On Friday, the McCain campaign released Sarah Palin's tax returns for 2006 and 2007 [PDFs].

And after spending the weekend reviewing them, Bogdanski says it's crystal clear:

There's no debate: Palins owe thousands in back taxes

...[O]ne commentator has reported that there is now a "wonky debate" as to the correctness of their omitting the travel money from their tax returns. We disagree. There is no serious debate (at least, none that has been brought to our attention) about the fact that at least the amounts paid for the children's travel -- $24,728.83 in 2007, according to the Washington Post -- are taxable. The campaign's tax lawyer has got at least that much of the law, and perhaps more, wrong.

Bogdanski takes apart the memo by the Palin's tax lawyer, line by line. He cites specific sections of the U.S. Tax Code and the applicable case law in reviewing every possible explanation and every possible loophole.

The Palins, living as they do in Alaska, are governed by Ninth Circuit law. The key case on deductibility of family travel expenses in this circuit is Stratton v. Commissioner, decided in 1971. In Stratton, a State Department foreign service officer's own travel expenses were ruled deductible, but his wife and children's travel expenses were held to be nondeductible. ...

The Palin children cannot be performing more than incidental services for the state -- if they provide any at all. Under Stratton, then, there is no "business purpose" for their travelling between Juneau and Wasilla, and thus their travel payments are taxable.

While the crux of the situation is the unpaid taxes on the travel benefits provided to the Palin children, Bogdanski seems to think that there's more fire where there's smoke:

There is more to brood about on the Palins' returns, to be sure. Last year Todd Palin claimed losses from his snowmobile racing "business" as a tax shelter against his fishing income. He also claimed deductions for use of a portion of the Palins' residence in his fishing business -- deductions that are difficult to claim legitimately, and which may be further complicated if, as reported, the state reimbursed the Palins for use of that home as a travel allowance. ... And if somebody at the IRS took a good, hard look at the payments for Sarah and Todd, we would bet that there would be some additional tax due there as well.

Now that the tax returns have been released, Bogdanski's not alone anymore. The Washington Post, ABC News, and Wall Street Journal are on the story. So is the TaxProf Blog.

Discuss all this over at Jack Bog's Blog.

[Note: over the next few weeks, I'll be posting on each of the ballot measures.  This is the first in the series.]

Title: Standardizes Voting Eligibility For School Board Elections With Other State And Local Elections
Sponsor: Oregon Legislature
Type: Constitutional
What it Does: A housekeeping measure that lowers the voting age in school board elections to 18.
What it Costs: $0

Discussion
This is a straightforward change to the Oregon constitution to bring laws in alignment.  Article 8, Section 6 stipulates that voters in school board elections are 21 years old.  It pre-dates the federal law that lowered the voting age to 18 in the 1970s.  In practice, 18-year-olds do vote in these elections, and this measure just makes it the law, as well.

Although most voters rightly resist tinkering with the constitution, this is the kind of change that actually makes it more coherent.  It looks like a no-brainer.

Discuss.

I've been wondering when and where we'd see the grimy smudge of Tucker Eskew's fingerprints come to the fore in the Presidential campaign ever since McCain shocked former officials of his 2000 campaign by hiring Eskew to work for Sarah Palin.

You'll recall that in 2000 Tucker Eskew and pals propagated the depraved racist rumor that McCain's adopted Bengali daughter Bridget McCain was actually African-American, with the implication that she was the product of an extramarital affair McCain allegedly had with a black woman and which he should therefore be ashamed of. Eskew's ploy was a desperate attempt on behalf of George W. Bush to regain momentum from McCain after Bush's loss in New Hampshire by appealing to the racist views of South Carolina Evangelicals. But it was also a preview of the tactics Eskew would resort to post-9/11 as a communication strategist for the Bush/Cheney administration.

After withdrawing from the 2000 race McCain gave an interview to Dad Magazine in which he stated the belief that "there is a special place in hell for people like those" who resort to such tactics.

It was with a sense of grim irony that we finally saw the distinctive Eskew fingerprints yesterday in a Palin speech falsely claiming that Obama pals around with terrorists. The Obama campaign's response eerily echoes McCain's own denouncements after feeling the sting of Eskew's racist rumors in 2000.

"No wonder his campaign's announced a plan to turn a page on the financial crisis, distract with dishonest, dishonorable assaults against Barack Obama," the ad says. "Struggling families can't turn the page on this economy and we can't afford another president who's this out of touch."

Writing for the Seattle Post-Intelligencer's reader blogs, Rand Koler succinctly describes the desperate situation McCain/Palin find themselves in.

The only course left to him is the road most traveled by his predecessors. His camp must forage in the past for bromides used by Reagan to rally support and engage in the sleazy practice of demagoguery, fear and hate mongering. The self described "mavericks" have leaped into perhaps the oldest political cesspool.

Sarah Palin this weekend has been shrieking that Obama associates with terrorists and is not a real American. CNN looked into these "charges" and found them utterly without merit. It seems a bit odd to dignify such things with inquiry but I applaud CNN's acceptance of the role of responsible medium and refusal to be a propaganda organ.

I trust that, as the McCain camp embraces its end justifying the means abandonment of integrity, that other media will follow CNN's lead and not give demagoguery the appearance of legitimacy by merely reporting its as news.

Tucker Eskew was Assistant Press Secretary for Reagan/Bush '84.

The Chicago Tribune's Mark Silva wonders whether this is merely a failed test-balloon by Palin "testing limits of campaign decency" or just the beginning of it. I suspect it's just the beginning of it.

Apparently John McCain intends to be serving Tucker Eskew iced tea in that "special place in hell."

I love local newspapers. The stuff that gets written about at the micro level really intrigues me. Perhaps its because I'm an observer of the human condition. Or put more plainly: I'm a busybody.

Few entities provide a more consistent stream of day-to-day-ness than local papers. In my previous blog-writer incarnations, I've posted a Sunday laundry list of goings on around the state with material pulled from these local stories. I've missed doing that. So I'm indulging myself today.

I don't know that I can do this every Sunday, but for today...here's a statewide story round-up!

::::::::::::::::::::::::::gong:::::::::::::::::::::::::::::::::

Mt Angel City Councilman Rick Schiedler has pissed off at least one constituent. Resident Dave Trapp filed a complaint with the Oregon Ethics Commission on Sept. 21 against Schiedler. As with most of these sorts of battles, the complaint has very little to do with the actual reason Trapp is pissed at Schiedler. Its kind of like LA Confidential, only without guns and Kim Basinger. Yet.

The paper of record in Tillamook has an opinion piece called The American Taliban. Authored by James Gregory, its a throw down against "corporate Christians", pondering why those who want to live under religious law aren't moving to Iran. Its quite a read.

Those of you who work for Boise Inc. pulp and paper mill in St. Helens and thought you were getting a long-term, unpaid vacation: take heart. The rumors of the mill's demise are greatly exaggerated.

Unfortunately, timber job cuts are happening in Philomath.

So the Ducks weren't quite as lucky as Oregon State. Or good. Whatever. I went to Linfield. Who cares?

Are people in Ashland all copacetic because of low-dose lithium amounts in the local water supply?

Some areas in Eastern Oregon are suffering through a massive grasshopper infestation. But a Rhode Island resident may have an answer. He's penned a letter to the city of Haines, informing them of an alternative to insecticide. Dave Gracer, also known as "The Bug Eating Man" (gag), wants to harvest the insects. Mr. Gracer is offering $7 per pound plus shipping. The instructions include:" They'd have to be shipped dead, so they'd have to be boiled and frozen to kill the germs in their gut." Yum, yum.

For the weekend, here's a little video diversion...

Twenty years ago, what were the two vice-presidential candidates doing?

Joe Biden:

Sarah Palin (née Heath):

Enjoy!

Just a friendly reminder of two very important dates, because, you know, we have somewhat of an important election coming up. Just somewhat. A trifle.

First, today (yes, TODAY) is the voter registration deadline in Washington State. Voter registrations must be turned in or postmarked with today's date. A Rasmussen poll out yesterday had the race for governor between the incumbent Democrat Christine Gregoire and the George Bush clone, Dino Rossi tied. Rossi, among other positions, questions the reality of global warming, is opposed to restricting the dumping of mercury into the Puget Sound and has such anti-choice views that some leaders in his own party have distanced themselves from him. So, please, Washingtonians, go register. Get active. Vote. Go here to print out a registration form.

Second, we are ten days out from Oregon's voter registration deadline, October 14th. In the midst of the national and senatorial race, perhaps some of us forget that our ballot includes some extreme measures from Bill Sizemore. Your participation has never been so important to the future of our nation and our state. Go here for more information.

You can also go here to register on-line.

In so many ways, we are a nation at a crossroads between continuing failure and the loss of hope and a true future for us all. As Martin Luther King said, ". . . however difficult the moment, however frustrating the hour, it will not be long, because truth pressed to the earth will rise again." We all need to use our right to vote.

So the nation thinks Sarah Palin exceeded expectations. Can there be any sadder reflection on the state of our country?

Once upon a time, we expected more. We expected our leaders to be, as the myth of the Kennedy years had it, "the best and the brightest." We may have believed that anyone could grow up to be president, but we wanted the better people to hold that office. What the "best" was has shifted over time — Washington was the best leader for a new country, Jackson was the best for ensuring "the people" were represented, Kennedy was the best for a new age of opportunity and hope — but we knew we wanted exceptional, extraordinary people leading our nation.

No more. Now we seem to be content with an ok person, someone competent, a person we'd be comfortable having over for a bowl of moose stew or a beer on the back porch.

How pathetic.

Tonight in St Louis, we saw a stark difference in vice-presidential candidates. While Joe Biden displayed the intellect and depth of knowledge that is befitting a Senator with 36 years of excellent service, Sarah Palin did a credible job of reciting the talking points she spent four days memorizing. Biden gave answers that were not merely substantive, they were substantive despite being dumbed-down for the national audience. Palin did not have to dumb down anything because few of her recitations had content of any merit. At several points, she simply told moderator Gwen Ifill to stick it in her ear and then proceeded to regurgitate her script.

As I said, how pathetic: Most of the instant post-debate polls and pundits have Biden winning, but the fact that Palin produced nothing — nothing — of substance seems to have mattered absolutely not one little bit.

This is how far our nation has fallen.

It is almost a crime to be smart these days. A intelligent, well-spoken, thoughtful and reasonable man like Barack Obama is labelled "elitist." A blithering idiot like Palin (to quote Altman's "M*A*S*H") does an good job of not actually embarrassing herself — and that's considered sufficient by over 40% of Americans to be president?

I would hope that a huge Obama-O'Biden (wink wink) victory in November would have one result: We stop lowering our expectations of who we think is worthy of the presidency and once again demand that the office be reserved for the best of us — not merely the most adequate.

This is absolutely hilarious. Produced by blogger Addenak at DailyKos.

With county officials mailing ballots in just a few short weeks, leading environmental advocates are urging support for Jeff Merkley:

An open letter to our fellow Oregonians,

In Oregon, we are ahead of the curve in forward thinking ideas to protect the environment. Our proud legacy is rooted in good ideas that become the envy of others across the nation, such as our bottle bill, universal beach access, and sensible solutions to urban growth that protect farm and forestland.

We believe that as Oregon's next United States Senator, Jeff Merkley will foster this environmental legacy and take action to protect and restore our state's natural heritage for this and future generations. The son of a mill worker, Jeff understands that a good economy and a healthy environment go hand in hand.

We applaud Jeff for all that he has done to maintain and improve our quality of life in Oregon. As Speaker of the House, Jeff helped pass one of the nation's strongest renewable energy standards, historic new recycling programs, new programs to reduce toxic pollution of our rivers, and new measures to protect farm and forestland from urban sprawl. He achieved these victories with superb leadership, organizing, and negotiating skills, grounded in a strong vision of a better Oregon. He will take these skills and values to Washington D.C, and we are excited to see him flourish on the national stage.

There are many environmental values we share with Jeff. Below are a few of the issues we are confident he will pursue when he is in the Unites States Senate.

Global warming is the most pressing problem facing our state, nation and planet. Receding glaciers and shrinking mountain snowpack, rising sea levels, ocean acidification, increasing rates of severe forest fires, and dramatic weather changes threaten our way of life and will directly affect Oregonians in the years to come.

We agree with Jeff's four-part plan to reduce global warming pollution, which includes auctioning of pollution permits for an 80 percent pollution reduction by 2050. This ensures that polluters pay to reduce pollution and allows Oregonians to invest in global warming solutions such as energy efficiency.

The energy crisis creates many challenges. With the cost of gas skyrocketing, our overdependence on fossil fuels is threatening public health and challenging families' and businesses' ability to make ends meet. We agree with Jeff's solution - a renewable energy standard of 25% by 2025 an increased gas mileage standard to curb our dependence on fossil fuels, and transportation and land use choices that can reduce our need to drive.

Oregon is home to awe-inspiring natural landscapes, including stunning shorelines, dramatic stretches of high desert, ecologically critical wetlands, undersea wonderlands, and lush temperate rainforests. We believe that Jeff will work hard to protect natural areas, such as supporting the establishment of additional Wilderness, Wild & Scenic Rivers, special areas in our oceans and other special management areas that protect and sustain Oregon's natural resources.

Spectacular old-growth forests define Oregon. Mature and old-growth forests are sources of clean water, wildlife and inspiration, which also help sequester tremendous amounts of carbon dioxide annually and mitigate global warming.

We believe that there are abundant and diverse restoration needs on federal forestlands that can create jobs in rural Oregon while conserving and restoring our magnificent forests and watersheds. We agree with Jeff's belief that Oregon's remaining ancient forests should be permanently protected for future generations.

The Oregon coast is one of our state's most beloved destinations and one of the most diverse ecosystems in the world, but our oceans just off shore are in jeopardy, with marine mammals, fish, birds and critical habitat threatened by past overfishing, population increase, coastal development, pollution, and global warming. We are confident Jeff will support proactive and sustainable protections for our oceans and fishing-dependent communities, including protected areas in our oceans that help the ocean heal itself and protect its natural ability to produce more and bigger fish. Jeff understands the importance of continuing Oregon's legacy of land stewardship so that our children can continue to use and enjoy this valuable landscape.

Wild salmon are an icon and a valuable economic resource of the Pacific Northwest. Unfortunately there are many challenges facing this iconic species, such as habitat destruction, insufficient stream flows, poor water quality, and dams that lack adequate fish passage. We are confident that Jeff will do everything he can to preserve and restore wild salmon populations for this and future generations and to ensure the economic certainty that restoring these populations will provide. For example, we agree with Jeff's pledge to allow science, not politics, to determine the best approach for protecting our salmon, including the option of removing the four lower Snake River dams if the science shows it is needed.

Livable cities are a primary reason people like to live and work in Oregon and sustainable transportation systems, including alternatives to driving, are critical for Oregonians to get to school and work and run basic errands while avoiding the rising cost of gas and the growth in greenhouse gas pollution from driving. Jeff understands that attractive cities must offer good living conditions with roads that are safe for pedestrians, bikers, and cars. Jeff knows that mass transit options must be available to allow people to move about the city with ease. We know that while in office Jeff will pursue sensible land use and transportation policies.

Jeff Merkley will prioritize environmental issues and will serve us well in the United States Senate. As leading environmentalists, we sign this letter with pride and hope that others will join us. Please express your support for Oregon by going to www.JeffMerkley.com.

Yours truly,

Jeremiah Baumann
Charlie Burr
Trey Carskadon
Nicole Cordan
Andy Kerr
Rhett Lawrence
Ivan Maluski
Evan Manvel
Bob Stacey
Brett Swift
Tom Wold
Sue Allen

Discuss.

Despite a collective pressgasm on Alaskan's love of Palin at last night's debate, at least one Alaska blogger provides strong evidence to the contrary.

Over at Blue Oasis, Celtic Diva has a YouTube video shot last night at the Bear Tooth Theater Pub in Anchorage Alaska. Apparently, Mrs. Palin doesn't play in Alaska (or at least in this part of it) as well as the McCain campaign would have us believe:

Is Senator Laurie Monnes-Anderson (D-Gresham) in trouble in her re-election campaign against Dave Kim? PolitickerOR seems to think so:

As the 2008 campaign season approaches, Monnes Anderson’s seat was not initially considered vulnerable, and the Gresham Democrat rested comfortably in her new leadership role as Deputy Majority Leader. Up until a month ago Kim’s campaign was largely viewed by many insiders as a long shot, however, in recent weeks his fundraising has surged and rumors of poll numbers within the margin of error have circulated throughout the Oregon political community.

Republican Dave Kim has been airing an attack ad for several weeks:

Now, Laurie has her own ad on the air:

Make a donation to Laurie right now and help her keep her ad on the air.

The U.S. House of Representatives has passed the bailout bill by a vote of 263 to 171. The previous vote was 205 yes, 228 no.

According to CNN, Democrats voted 172 yes, 62 no. Republicans voted 91 yes, 108 no.

Peter DeFazio and Earl Blumenauer voted against the bill both times. Darlene Hooley remained a yes vote. David Wu changed his vote from no to yes. See the full vote here.

In an AP story yesterday, Congressman Wu had said he was undecided:

Rep. David Wu, D-Ore., wants to find a mechanism to pay for the bailout, such as a quarter-percent fee on stock transactions, as well as increased protection for taxpayers, said spokeswoman Julia Krahe.

As a longtime supporter of the Secure Rural Schools and Community Self-Development Act, commonly known as "county payments," Wu was encouraged to see its inclusion in the Senate bailout bill, Krahe said.

Still, she said Wu remains undecided.

After the first bailout vote, Wu made this statement (in its entirety):

We currently face a serious threat to our economy, and I do believe that we need to act to protect Americans’ jobs, retirement, and financial security. Unfortunately, this hasty bill was not the right answer.

I committed to the people of my district that I wouldn’t vote for a bill that didn’t have adequate protection for taxpayers, and this bill did not.

Today’s bill put up taxpayer money without a commitment from the government that they would be paid back. Instead, the American people were told that some future president would offer some future Congress a proposal to help taxpayers recoup any losses that they suffered—with no guarantee that they’d ever see their money again.

I am committed to staying here as long as it takes to do the right thing, because the taxpayers deserve better than the bill we had today. They deserve a thoughtful solution with real investment protections. They deserve meaningful regulations to rein in the over-the-top excesses of Wall Street. They deserve to have the people who caused this problem bear some responsibility for fixing it. And they deserve a bill that doesn’t just hope that a handout to Wall Street will trickle down to benefit Main Street.

Update: Congressman Wu has now released this statement on today's vote:

"I understand the anger that Oregonians have at the irresponsible few who got us into this mess. In fact, I share their anger," said Wu. "But this bill isn’t about bailing them out; it’s about keeping the rest of us afloat."

"This is far from an ideal bill," Wu continued. "When we left on Monday, I committed to staying here as long as it took to put together better legislation. This bill is improved, but it is still not all that I had hoped. "

"But in the end, I believe that the risk of doing nothing is too great. I continue to believe that we face a serious threat to our economy. Action is essential to protect Americans’ jobs, retirement, and financial security. "

The rest of the statement is available here.

Discuss.

Bill Sizemore is not a popular guy.  His name is so toxic that his foes immediately attach it to whichever measure he manages to put on the ballot.  Politically, he's a spectacular failure, both as a sponsor of ballot measures and candidate.  But you have to hand it to him--when it comes to shady dealings, he's in a class all by himself.  Add this latest news to the list:

While he was orchestrating the effort that placed five initiatives on the Nov. 4 ballot, conservative activist Bill Sizemore personally collected about $855,000 from the same two wealthy benefactors who financed the signature-gathering campaign for his initiatives, a Multnomah County court was told Thursday.

That lucre puts Sizemore in the courts again, where a judge will determine whether he's in contempt of court for a 2003 injunction against him for a "pattern of racketeering" that included forging signatures and faking financial documents.

At the heart of the case is a tax-exempt organization that Sizemore set up in Nevada in 2006. Hartman called the organization a "sham foundation" that was used to funnel money to Sizemore and enable him to continue work on the five initiatives, circumventing the injunction.

Nevada, you ask--why does that sound familiar?  Oh right, because that's where the shady, shadowy Loren Parks lives.  Parks is the font of money that has funded Kevin Mannix's career for years--and here he is again, funding Sizemore. 

Hartman said that of the total $1.1 million ATRF collected from Parks, Hire Calling and some smaller donors, $855,972, or 76 percent, flowed to Sizemore, his wife, Cindy, and CBS Consulting, a company they own...

During this same time, Parks provided $491,500 and Hire Calling $325,000 to Democracy Direct, a company that was gathering signatures for six Sizemore-sponsored initiatives. Five of those initiatives qualified for the Nov. 4 ballot.

Sizemore's explanation is about as half-assed as his run for governor: "[Sizemore's lawyer] described Hire Calling as "in the nature of a think tank" and said of Sizemore's duties for it, "This being a think tank, he thought a lot."

These tin-pot antics are so pathetic as to be pitiable except that they have such a corrosive effect on elections.  This year, Sizemore managed to qualify five measures for the ballot.  As usual, they probably won't pass, but it will take thousands of dollars and volunteer hours to defeat them.  And now it looks like they were qualified by a man who was laundering money through a fake nonprofit.  Contemptible.

Well, now that you've had a chance to ponder the debate between Sarah Palin and Joe Biden overnight, what do you think? Did either candidate manage to move the ball forward for their campaign?

What's your reaction?

Here's what Jill Hazelbaker - the Salem native and former Gordon Smith staffer who is John McCain's communications director - had to say:

Tonight, Governor Palin proved beyond any doubt that she is ready to lead as Vice President of the United States. She won this debate, putting Joe Biden on defense on energy, foreign policy, taxes and the definition of change. Governor Palin laid bare Barack Obama's record of voting to raise taxes, opposing the surge in Iraq, and proposing to meet unconditionally with the leaders of state sponsors of terror. The differences between the Obama-Biden ticket and the McCain-Palin ticket could not have been clearer. The American people saw stark contrasts in style and worldview. They saw Joe Biden, a Washington insider and a 36-year Senator, and Governor Palin, a Washington outsider and a maverick reformer. Governor Palin was direct, forceful and a breath of fresh air.

What do you think? Discuss.

By Barb Dudley of Portland, Oregon. Barb is the co-chair of the Working Families Party of Oregon. Previously, she contributed "Fusion voting moves forward in the special session".

We have a few questions to ask Congress while they contemplate the $700 Billion bailout of Wall Street. If they think this is how to help "Main Street", tell us this:

Where the hell was Congress when the pension plans for millions of American workers --autoworkers, steelworkers, airline workers --- needed a bailout?

Where was Congress when millions of American workers lost good manufacturing jobs, as investment banks and hedge funds pushed their capital overseas?

Where was Congress when health care costs drove millions of American families into bankruptcy?

Where was Congress when millions of college students needed a bailout on their student loans?

Where was Congress when millions of American families lost their homes through mortgage foreclosures?

And where the hell was Congress when the banking regulations that might have prevented this type of crisis were being shredded?

And now we're supposed to bankrupt our children's futures to bail out a bunch of Wall Street speculators?

NO WAY!

They figured out that we weren't buying that one, so now they're telling us we are all in this together – because our 401(k)s will tank, because our credit cards will dry up.

But remember, we're all in 401(k)s because Congress let our pension plans go south without any bailout.

And they very nearly put our Social Security accounts into that same Casino called the Stock Market.

And remember, we have to borrow money to go to college because they stopped funding higher education.

And remember, we live on credit cards because our jobs no longer pay a living wage, and because health care costs and housing costs are eating up every penny we earn.

And now Hank Paulson tells us we have to "get rid of all these illiquid assets that are clogging the system." I rather like that plumbing metaphor --- that's how I think of their bailout plan.

Imagine if we had a Congress where the majority really was focused on Main Street. What could we do with $700 billion?

• Lend money to businesses that employ workers here at home and pay family wages.

• Make public colleges and universities free once again.

• Pay for a universal, single payer health care system and get rid of the insurance scams.

• Fund Social Security at a level that is possible for retirees to live on.

• Repair bridges, build a decent railroad, modernize electrical transmission lines so we rally can transform our energy supply to renewables. Just $125 billion in infrastructure investment would create 3 million jobs, and generate an additional $600 billion in additional economic activity.

We need to get back to basics – an economy built on work, not speculation.

We don't need to bail the sinking ship, or rearrange the deck chairs... We need to build something new.

To do it we need to elect people who have not been seduced by Wall Street contributions or the Wall Street agenda. But mostly we need to understand that elections don't produce saviors. We are the only ones who can turn this country around – not only by voting but by being very clear, 365 days a year – what kind of a country we want, and not settling for anything less.

Three out of five Oregon Members of Congress voted against this bailout on Monday... because they heard from us. They need to hear from us again, and again and again. Go home and make those calls, send those emails, and organize!

Karol and I are here in the Bagdad, on the invitation of KOIN, who is broadcasting in a tiny, well lit landing behind the main theater area.  They are also blogging from here, so we have a friendly bit of MSM-blogger rivalry going on.  It is super-packed, and the line was stretching around the block even before the doors opened at five.

I don't know if that is indicative of the interest in the veeps, but my guess is that this will be the most watched debate of the election season.  They just announced that there would be no seat-saving, to the delight and cheers of desperate folks peering into the murky darkness.

Much as I was before the first debate, I'm nervous as a cat, which means it's time to track down some beer.  More soon--

5:45: While I'm waiting for beer, a comment or two on what I expect.  The conventional wisdom is that Palin is adept at debating because she slips easily into generalities.  Given that the GOP has worked the refs about Gwen Ifill, they're hoping that there won't be too many follow-ups,  which, per Couric, we know is her achilles heel.  Biden is a loose cannon, but not really.  His gaffes are controllable, and I expect he'll be on his best behavior.  My suspicion is that this will be a bit more of a dud than the possibilities suggest.  Palin will fire a few shots at the other side, will stay perky and general.  Biden will be polite, relatively terse, and specific.  If this is true, early reactions will favor Palin, because she'd have to literally self-combust to underperform.  But not to worry: the polls show Obama's opening up a big lead, and a boring debate is exactly what Obama wants.

5:55: Question: is anyone in this theater rooting for Palin?

5:58: Still no beer.

6:02: The Bagdad crowd is cheering just about everything. "No untoward outbursts" got especial applause.  They enter and the sense of theater deepens.  "Can I call you Joe?"  They both smile.  You gotta admire her moxie. 

6:04: Biden's an old hand at this.  I think Dems are far less nervous right now than Republicans.  Smooth, on-point discussion of the fiscal crisis.

6:05: Palin's folksiness provokes jeers from the crowd.  They're in no mood.  Palin's a little nervous; you can hear a halt in her voice.  She's looking directly into the camera, intensely. 

6:07: As Biden talks about McCain's being out-of-touch, Palin looks ready to tangle.  She excites antipathy among the crowd.  Biden is grinning at her comment that she's the agent of change.  Not maliciously, but...

6:09: Beer!

6:11: Okay, I may have missed something there.  Both candidates are grinning during each other's speeches, and you can tell they really would love it if no one else was in the room.  But they're behaving. Palin's going to the old lie well here.  Just pulled up that pail with the old "raised taxes on $42-thousand  salary" line. 

6:14: I was totally wrong.  This is NOT boring.  Man, they're having a good time.  Biden can't hide his grin, but he actually seems to be appreciating her moxie.  Whether that's how it reads to anyone else...I guess the polls will say.

6:18: With relish, she returns to Biden's "patriotic" tax increases.  She plays the cultural middle-class line, provoking a smile from working-class Joe.  I'm having a hard time taking this seriously as a real debate.  Palin is using the talking points as connective tissue to get off zingers.  That's predictable.  Biden is trying to be serious, but he's starting to get pissed off.  Could be dangerous.  Getting into policy details seems to calm him. 

6:21: After a long, somewhat dull recitation of policy points, Biden finally gets off a zinger of his own, "that's no bridge to nowhere!"  Crowd goes wild here.  A bit campy, but that's Biden.

6:23: Did she just say "Mulva"?

6:25: It's worth pointing out that these zingers are pure red meat. They won't swing swing voters.  Biden shouldn't get caught up in it. In fact, he'd be better served by provoking her to get into them more while staying in that dense policy stuff no one cares about.  That's a win for Biden.  Remember: boring, boring, boring.  Okay, good, he's praising Palin's windfall profits tax and hammering McCain.  Good.

6:29:  On Karol's post, Lelo asks if it's sexist to comment on the clothes.  I don't thinks so, but channel 6's feed shows about 4 inches of cloth.  Biden's tie is all right.  Beyond that, hard to comment.

6:31: I'm sitting next to a blogger for the Oregon Catalyst.  He's not pleased with Palin.  Nice guy, and this may not be his debate.

6:33: Biden just hammered the green question.  I am sitting at the epicenter of green, though, so the roar from the crowd on this line may be misleading: "If you don't know what the problem is, how can you offer a solution."  No, it was a great line.

6:35: Palin: "nukular."  Biden on the question, "do you support equal rights for gay couples?" (or something): "absolutely."  But then he says he doesn't support gay marriage.  Palin casts about on this point, and when Biden says that they seem to agree on equal rights, she totally dodges it: "I agree that there should be no gay marriage."  I think she's a little more Alaska-libertarian than people give her credit for, but that doesn't mean she's right on social issues.  Just slightly less wrong.

6:42: Iraq.  Things are getting a little more serious.  "Your plan is a white flag of surrender."  That's Palin, jumping off a cliff.  I always wonder which quotes are going to come out of a debate.  That one should.  She's getting rabid now, and it's catastrophic for her.  Swing voters are not going to like that.  She even invokes Biden's son.  Totally unbelievable.

6:48: Palin thinks this is about scoring points, and actually for her, maybe it is.  Her tough talk looks totally unhinged to me, and it would be if it was coming out of McCain's mouth.  I don't know, maybe it's going to work from her. 

6:49: Kissenger again.  What the hell?  "Diplomacy is hard work by serious people."  Palin--Palin--just said that.  I regard it as not serious.  Biden pivots to the point about McCain refusing to meet with the leader of Spain.  He receives chortles of appreciation for the crowd for his trouble.

6:55: When Palin flippantly says she's pleased they agree on Isreal, Biden's look says, "This is no laughing matter."  He's right.  Recall: she's never been there.  Palin thinks winning points on foreign policy is a good strategy, but when Biden fires back that McCain's policies are the same as Bush's, he seizes the mantle of gravitas and underscores her lack of seriousness.  (Yes, I'm biased, but Palin's a polarizing figure and I'm feeling polarized.)  Okay, I'll lighten up, promise.

7:00: Text from Kari "OMG, he's killing her."  That's why he gets paid the big bucks, folks.

7:05: I am now slathering with antipathy for her.  Just sharing.  Does "slathering with antipathy" mean anything?  That may be the IPA.

7:07: Palin just called out the fact checkers on Biden!  She taunts reality.

7:09: Palin admits that if McCain buys it, she's going to go Palin.  "What would you expect a couple of mavericks?"  I would expect a landslide in November.

7:10: Palin's in an echo chamber of her own making.  Like the "cones of silence" in Get Smart.  Yes, I'm that old.

7:12: The lame joke exchange.  That will get aired.  Actually, I have no idea what gets aired.  This is really an unprecedented debate.

7:14: Karol and I are racing to see who posts "McCain tapped me" first.  Do I win?

7:17: Kari, via text: Biden's poker tell: he touches his face when he finds his zinger.  Okay, that's pretty insightful.

7:20: Anyone reading this?  Anyone?

7:22: They trade on the issue of working class bona fides.  She's probably poorer; he won on passion.  She just named dropped "Ringle."  Who the hell is Ringle?

7:25: Maverick debate.  Again, Biden wins on passion.  Palin looks like she's reciting a speech, Biden looks like he's living this.

7:26: On the question of learning on mistakes, he again goes deeply and honestly.  She says, "No, there hasn't been anything I've had to compromise on."   Question: is George W. Bush the guy you want to invoke right now? 

7:29: Good god, she just claimed to love tough questions.  Check that, she said she loves tough questions not filtered by the MSM.  Hoy.  Okay, we're four minutes to the end and I'm going to predict that despite what I regard as a serious smack down by Biden, Palin will get good press.  But, in 12-24 hours, the polls will say she lost. 

7:31: Biden's final comment is a bit of a ramble, but no worries.  He's out safe. At the end of this day, Obama/Biden have a huge lead in the polls, and this won't change it.

7:35: Okay, it's pitch dark in the theater, they've got a light on the screen so you can't see it, and there's no volume.  Ummm... is someone going to do something?

5:03pm The line outside The Bagdad starts on SE 37th and wraps around the block. Thank goodness for my nerdy blogging.

5:20pm People are becoming very testy about a young woman saving a silly amount of seats. Its like Candidates Gone Wild, but with the SE Hawthorne liberal politeness. If her friends don't come soon, its not going to last that long.

5:24pm Apparently we've been set up in the handicapped section and people are swearing at us in a passive-aggressive style for being seated. I'm going to make Jeff throw his body in front of me if they attack.

5:31pm KOIN is broadcasting now and people are cheering. The woman in front of us still saving seats and it's not pretty.

5:37pm A woman just announced that there are no more seat savers. Sorry 'bout the bad luck, woman in front.

5:43pm Jeff is my beer daddy tonight because I don't travel with cash. Now I owe him.

5:50pm A twenty minute discussion will happen after the debate if folks want to stay. We've also been asked to be nice to our neighbors. People applauded, but I wonder how long the "nice" will hold up.

5:57pm It's almost GO time, people. I can hardly stand it. Good thing the tater tots are on the way.

6:00pm OMG, I'm so nervous. Don't let this clean, articulate girl down, Joseph Biden.

6:02pm Gwen Ifill, fellow Panamanian, looking lovely in turquoise. She's explaining the rules and I'm still nervous. People are applauding Gwen for reasons I'm not understanding because she's not saying anything crazy. Here comes the candidates. Sarah just said, "Hey! Can I call you Joe?" That was really cute, honestly.

6:04pm Bailout question: Worst or best of Washington? Hit at economic policy right away by Joe. He talks about his boss, Barack Obama. Oh ya, it's Baracktober.

6:07 pm Apparently, Sarah thinks that John McCain really suspended his campaign. And she also thinks that he made some sort of difference with the bailout. People are really hissing Sarah. I feel bad for the R bloggers. She wants us to get down to business!

6:09pm Joe six packs, hockey moms say "never again" to the federal government. Thanks Sarah. She's really rolling with the folksy talk.

6:13pm That "ah shucks" thing is getting old, Sarah.

6:14pm Joe is calling Sarah OUT for not answering the question about deregulation. Sarah won't answer, she wants to talk about taxes. Sarah just said she's not answering the questions, she's going to talk straight to the American people. WTF and LOL. Gwen smack down on time limits. Now wants to talk about taxes as class warfare. Excellent question.

6:18pm Joe said paying your fair share is patriotic. I couldn't agree more. Are we all supposed to live in this country and not be responsible for ourselves and each other? What does she think pays for her fire department? What does she think pays her salary? It's unbelievable to me that she blasts government and she's the leader of a state.

6:20pm I don't want to have to find and pay for my own health care, Sarah. $5000 tax credit won't even cover half a year. FYI: Getting a birth control device, covered insurance cost me $500. That's OK, Joe is telling us the truth on McCain's health plan and how he plans to pay for it - taxes. Now Joe is telling us about how him and Baracktober are going to give us some health care.

Dude, is Sarah Palin just reading off a piece of paper?

6:25pm Sarah is using "like" again. She's really a smooth talker, though. Did she know that McCain didn't support a windfall profit tax like she did in her own state? Joe really took her to task on that one. The guys next to me are saying, "SMACK!"

6:28pmSarah is talking about putting the campaign aside again. Bankruptcy bill. Sarah doesn't want to answer it. She wants to bring it back to energy. People in the crowd are LOLing. Sarah called Joe an "East Coast politician." Again, WTF? I want her to discuss bankruptcy!!!

6:32pm What is Sarah saying about climate change? Her entire ramble didn't make any sense. Joe just told her if you don't know what causes it, you can't fix it. The crowd roars. Now he's giving practical advice about how to fix climate change. Sarah is talking about LNG. Portlanders don't like LNG. And she just called Joe "O'Biden." And she said "nucular." Uh-oh.

6:37pm Joe is cheering on the GLBT community! Equal rights under the Constitution! Sarah says no way, man. But, she's got gay friends!!! She's telling us "straight up (Paula Abdul style)" that she doesn't support gay marriage. Joe threw the GLBT's under the bus on marriage. UGH. Can we move past this people?

6:41pm Sarah Palin has said troops for or five times. Why do people says "win" or "lose" about war? Don't we all lose in war? Obama/Biden will end this war! Sarah just said Dems are waving a white flag of surrender. That made Joe smile. Can't wait to hear what he says back. She gets really excited when she thinks she puts in a zinger.

6:46pm Time to talk about Iran and Pakistan. Joe's up first and talking about Pakistan. One thing I have in common with Sarah? I'm not so hot on foreign policy. Time for beer and tots. Joe is explaining it and I'm understanding. Let's see if Sarah can do the same.

6:48pm Sarah says the central of the war on terror is Iraq. Is it 2003? She keeps saying nucular. OMG...she invoked Kissinger...OMG. People around the world Hate America! Hate our Freedoms! Hate Womens Rights! Jesus take the Wheel, take it from her hands.

6:51pm Biden is clearing the air. Let's talk with our adversaries to work it out. Hug it out. Fist jab it out. Viva Espana! Crowd roaring again.

6:55pm Awwww. Que cute! Sarah and Joe heart Israel. Sarah is now talking about change...no answer on foreign policy, just talk about how change is coming. She's channeling Obama, you know why? Its Baraktober. Joe is calling her out for not answering questions, subtly.

6:57pm Sarah Palin is a name-dropper but doesn't make sense. And she wants to cover her notes, so she's bringing it to Afghanistan for reasons SE Portland he can't understand! Can we go back to the Castro brothers? I thought she was only "tolerant" of gays?

7;04pm Cry me a river, sister girl. You are SUCH an outsider. Boo fucking hoo. I just don't get what you senators are talking about! She's talking about Darfur and Sudan. Not sure what Alaska has to do with it, but I'm going to buy her line.

7:06pm Joe is equating McCain with Cheney. You know what they are? Chen Chen Chen, chen of fools...get it? I'm ON with the songs tonight!

7:07pm Sarah says McCain knows how to win a war. But hey, didn't we "lose" in Vietnam? Uh-Oh. Here comes the "heartbeat away" question. Joe says he'd do exactly what Barack would do if the worst happened. And he would REJECT the Bush Doctrine. He says this is the most important election ever since 1932. Now, Sarah's answer. They are a "team of mavericks!" They will have differences of opinion but she will get rid of the greed of Wall Street and bring the values of Wasilla. Sarah said Wasilla so I have to sip my beer. Excuse me...

7:12pm Her folksy cliches are going to get her in trouble. She said, "shout out." She said, "My kids-is school." WTF. Her English is so bad. I don't want her to be bad, I don't. But she is. OMG, she said John McCain "tapped" her. HOT.

7:18pm Joe is again, schooling Sarah on what the VP does. Applause everywhere.

7:19pm Sarah is talking about the heartland. She telling us why she was selected as VP and it's crazy. She's crazy, especially when she starts talking in that husky whisper. Sarah says her and McCain represent something perfect...perfect America!

7:20pm Joe is bringing the sad story. Bring it JOE. Joe just pulled the SEX CARD.

7:24pm Joe is holding it DOWN on the maverick issue. He says to McCain, "I say good day, Sir. I say GOOD DAY!"

7:25pm When have they changed their minds? Joe gives a judicial appointment answer. Sarah "quasi-changed" on vetoes. Her answer doesn't make sense. I can't really type about it because I can't follow her sentences.

Closing statements

"Also" is not a word you end a sentence with, Sarah. She skewered the MSM for ruining her reputation. I think she's accusing democrats of potentially taking away "freedoms" if we win. Harsh, sister.

Joe's closing is so clearly better than Sarah Palin's. You are watching it, you know what I'm saying.

Katie Couric made a comment about Sarah's syntax. What an elitist. The nerve of her, paying attention in high school English.

KOIN is going to do a talk back session with the crowd. Let's see how it goes. Jeff and I are dying for commentary, but they've turned the volume on the TV. My cousin Jamal says he spied an ear piece in Sarah's ear.

This audience says Biden won. We are in PDX, but I don't think that anyone is going to say Sarah won. This woman from Cornelius is smacking down Portlanders because the crowd yelled out during the speech. She's waving her finger and saying, "This is what I expected from Portlanders!"

The crowd is talking about the importance of NOT wanting to have a beer with their leaders. They want them to be professionals. The KOIN host mentioned the threats against Barack and the health of McCain.

Beer daddy and I are leaving the Bagdad to wonk out in front of our own televisions with the MSM of our choice. It's been fun. Thanks all and Happy Baracktober!

A couple of quick notes:

• Tonight, BlueOregon's Karol Collymore and Jeff Alworth will be coming at you live from the Bagdad Theater - where they'll be live-blogging from the site of the KOIN-6 debate watch party.

• Also, Progressive Happy Hour is once again doing a debate watch party at Blitz Bar, 110 NW 10th (this time with three times as many bartenders!) Be sure to sign up at ProgressiveHappyHour.com to get on the email list.

• PDX Pipeline has another extensive list of debate watch parties.

• And be sure to visit PalinBingo.com for all your drinking-game/debate-bingo needs.

Final question for you to discuss. Will Sarah Palin be more, or less, sharp than this?

And lest you think I'm unfairly mocking, compare and contrast: