To the People

The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or TO THE PEOPLE.

Sunday, February 25, 2007

Small is Living Large, Courtesy of You and Me

Larry Small, head of the Smithsonian, is living high off of taxpayers, who fund 70% of the institution's billion dollar annual budget, according to this Wa Post article. The $90,000 of unauthorized expenses and $915,000 in compensation last year are nothing next to my favorite item, a "housing allowance" that has totaled $1.3 million over eight years. Why someone who makes almost a million dollars a year needs a housing allowance is beyond me. But wait, it gets even better: Small's Washington house is completely paid off.
Small was allowed to claim reimbursement of up to 50 percent of his actual housing costs, up to $150,000 per year...Instead, Small calculated his housing expense using a mortgage interest rate that was "hypothetical," the inspector general noted, because he owned his home free and clear.

Small's office calculated his "hypothetical" mortgage at $3.5 million, using an 8.32 percent interest rate for a 30-year fixed mortgage
As a former senior exec at Fannie Mae, I am sure that Small realizes that 8.32% is a wee bit high for a "hypothetical" mortgage. This guy is a total thief and should be canned immediately. I am sure that lots of qualified people would be thrilled to be paid $915K to run the Smithsonian without abusing taxpayers.

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