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BILLIONS down the toilet – The CHIPS Act was supposed to bring semiconductor jobs back to America. But the money got tied up in DEI hiring quotas, climate pledges, and union mandates.

The CHIPS Act was supposed to bring semiconductor jobs back to America. But the money got tied up in DEI hiring quotas, climate pledges, and union mandates. Today, despite the billions we spent, most chips are still made in Taiwan:

Listen to a convo on the latest….

Senator Joni Ernst is criticizing Commerce Secretary Gina Raimondo’s plan to rapidly spend remaining funds from the CHIPS and Science Act before the Trump administration begins. Ernst alleges this constitutes a reckless “spending spree” lacking sufficient oversight, raising concerns about potential waste and fraud. Raimondo defends her plan, asserting it aligns with existing objectives and is bipartisan. Meanwhile, the Commerce Department announced significant CHIPS Act funding awards to several companies, including Micron, for expanding domestic semiconductor manufacturing, creating jobs, and bolstering national security. These investments aim to strengthen the U.S. semiconductor supply chain and reduce reliance on foreign manufacturers.

TREASON? Commerce @SecRaimondo ‘s eleventh-hour dash to exhaust the CHIPS Act funds is nothing short of a masterclass in bureaucratic brinkmanship. With Trump taking office next month, Raimondo is determined to deploy the remaining $20 billion earmarked for semiconductor revitalization like a departing monarch hastily granting clemency. The CHIPS Act’s troubles extend far beyond Raimondo’s managerial failure. Embedded within its legislative framework are the hallmarks of progressive overreach—mandates on DEI that serve as ideological toll booths, stalling the very progress the act was meant to catalyze. Provisions requiring companies to submit hiring plans for women, minorities, and even ex-convicts, along with the installation of Chief Diversity Officers, transform a program designed to secure America’s semiconductor independence into a woke social experiment.

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It’s as if the architects of the CHIPS Act confused manufacturing microchips with hosting a sociology seminar. For conservatives, this debacle underscores a larger pattern within the Biden administration—a fixation on symbolism over substance. Raimondo’s actions align seamlessly with a broader playbook that prioritizes ideological victories over governance. Her tenure has been punctuated by partisan posturing and dubious decisions, making this latest move unsurprising but no less egregious. By locking in funding commitments, she effectively ties the hands of Trump’s incoming administration, depriving it of the flexibility to redirect or reform the program. And where does this leave the CHIPS Act’s original mission? Lost in the shuffle. The goal was straightforward: reduce reliance on foreign semiconductors and bolster national security.

But under Raimondo’s stewardship, it has devolved into a bureaucratic mess weighed down by ideological ballast. This is the fatal flaw of progressive governance—it cannot resist the temptation to graft its social agenda onto even the most practical initiatives, undermining their efficacy in the process. As we approach a new administration, the stakes are clear. The CHIPS Act must be rescued from the clutches of wokeism and returned to its original purpose. The Trump administration will inherit not just a funding program but a litmus test for conservative governance. Can it strip away the ideological barnacles and steer the act back to serving America’s strategic interests? If anyone can, it’s Trump, whose track record of cutting through bureaucratic red tape offers a glimmer of hope. In the meantime, Raimondo’s escapades serve as a cautionary tale—a reminder of the perils of unchecked executive power wielded in haste. It is a fitting epitaph for an administration that has governed not with a steady hand but with a clenched fist, determined to impose its vision at any cost. The CHIPS Act fiasco may well be its parting gift—a testament to the dangers of prioritizing politics over prudence.

Speaker Johnson was asked if he’ll try to repeal the CHIPS Act if Trump wins and they have control of Congress. “I expect that we probably will.”

Briefing Document: CHIPs Act Spending and Senator Ernst’s Concerns

Main Themes:

  • Senator Joni Ernst (R-Iowa) is raising concerns about the Biden administration’s rapid allocation of CHIPs Act funding before the Trump administration takes office.
  • Ernst alleges a lack of oversight and potential for waste, drawing parallels to COVID-19 relief spending.
  • The Biden administration maintains that the spending plan was pre-determined and emphasizes the bipartisan nature of the CHIPs Act.

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Key Facts and Ideas:

  • The CHIPs and Science Act, a bipartisan initiative, aims to bolster domestic semiconductor manufacturing and research.
  • $53 billion has been appropriated for the CHIPs Act, with $25 billion already earmarked.
  • Senator Ernst is requesting information on the total number of ongoing negotiations for CHIPs Act funds, the duration of planned projects, and the amount of money spent before and after Trump’s election win.
  • She is also demanding a halt to all “last-minute spending plans” until the Trump administration takes over.
  • Ernst criticizes the pace of spending, likening it to a “binge buying shopping spree” and expressing concerns about potential waste and fraud similar to that observed with COVID-19 relief funding.
  • The Senator emphasizes the importance of careful planning and execution for the success of the CHIPs Act, which she believes is absent in the current approach.
  • Ernst highlights the success of the CHIPs Act, citing 90 new projects across 28 states with hundreds of billions in private investments.
  • Several companies have received funding, including Micron Technology, Absolics, Entegris, SkyWater Technology Foundry Inc., Coherent and X-Fab, with projects focusing on semiconductor manufacturing, substrate development, advanced materials handling and microcontamination control.

Quotes from Sources:

  • Senator Ernst: “[B]inge buying shopping sprees by bureaucrats shoveling billions out the door before your term expires” are unwise… “Shoveling out heaps of taxpayer dollars as fast as possible, with little to no oversight, is part of the reason the United States government is nearly $36 trillion in debt today.”
  • Senator Ernst: “This is not a time to let the CHIPs fall where they may,” pointing to reports that nearly $280 billion in COVID-19 response funding was wasted or subject to fraud.
  • Secretary Raimondo: “I don’t worry terribly about any of the CHIPs money being rolled back…I mean, the Commerce Department is somewhat unique in so far as everything we’ve done and are doing is bipartisan.”

Next Steps:

  • Monitor Senator Ernst’s efforts to obtain information from Secretary Raimondo.
  • Observe the Trump administration’s stance on the CHIPs Act spending upon taking office.
  • Track the progress of funded projects and their impact on the domestic semiconductor industry.

Overall:

The rapid allocation of CHIPs Act funding has sparked debate between the outgoing Biden administration and incoming Trump administration. Senator Ernst’s concerns about potential waste and a lack of oversight warrant further investigation and transparency in the spending process. However, the bipartisan support for the CHIPs Act and its potential to bolster American competitiveness in the semiconductor industry remain crucial points to consider.

From the People

  • US Government is bad at industrial policy because they try to lead instead of support. There is an international semiconductor roadmap that players mold and try to implement before the competition. Helping companies with clear plans with low interest loans and cutting red tape is industrial policy. CHIPS and VHSIC long ago are crony capitalism doomed to fail to advance competitiveness.  Jeff
  • Yes, that sounds like the Federal government. Perhaps the money is now kicking around the family trusts and offshore accounts of congressional (cough) “representatives,” senators, and senior bureaucrats.  Biff Gruffly
  • The govt has given billions of dollars to a chip plant in AZ and it has been a disaster! They are being sued for ignoring our labor laws and have overspent building the project by billions of dollars. – Just American
  • So what happened to the money we need Rico investigations they’re stealing our money, sees their assets inprison The crooks. – Konstruct1

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