The Sunday Times reports Stephen Payne, a Bush pioneer and a political appointee to the Homeland Security Advisory Council, was caught on tape offering access to key members of the Bush administration inner circle in exchange for “six-figure donations to the private library being set up to commemorate Bush’s presidency.”

In an undercover video, Payne is seen promising to arrange a meeting for an exiled leader of Krygystan with Dick Cheney or Condoleezza Rice. (Not President Bush because “he doesn’t meet with a lot of former Presidents these days,” Payne says. “I don’t think he meets with hardly anyone.”) All it will take for him to arrange this high-level meeting, says Payne, is “a couple hundred thousand dollars, or something like that”:

PAYNE: The exact budget I will come up with. But it will be somewhere between $600,000 and $750,000, with about a third of it going directly to the Bush library. [...]

200, 250, something like that. That’s gonna be a show of “we’re interested, we’re your friends, we’re still friends.”

Watch the startling video here.

The Times reports, “The revelation confirms long-held suspicions that favours are being offered in return for donations to the libraries which outgoing presidents set up to house their archives and safeguard their political legacies.” Bush loyalists previously said they had “identified wealthy heiresses, Arab nations and captains of industry as potential ‘mega’ donors” to the Bush library.

The Department of Homeland Security website reports that the “Homeland Security Advisory Council (HSAC) provides advice and recommendations to the Secretary on matters related to homeland security.” Payne has been a member of the council since August 2007.

In Jan. 2008, Payne — an early supporter of Rudy Giuliani — said he would throw his support to John McCain if Giuliani dropped out. A personal friend of Bush, Payne has helped clear brush on the Crawford Ranch with the President (see the picture on the right).

John McCain has acknowledged that he is “an illiterate” when it comes to computers. He said he “has to rely on his wife for all the assistance he can get.” At the Personal Democracy Forum last month, McCain aide Mark Soohoo argued in McCain’s defense that “you don’t have to use a computer to understand how it shapes the country.” “John McCain is aware of the internet,” Soohoo said. Watch it:

In an interview with New York Times, John McCain confirmed that he doesn’t email, doesn’t read blogs, doesn’t go online, but does occasionally read Drudge. While he’s not a consumer of online information, McCain said he does “understand the impact of blogs on American politics today and political campaigns”:

Q: What websites if any do you look at regularly?

Mr. McCain: Brooke and Mark show me Drudge, obviously, everybody watches, for better or for worse, Drudge. Sometimes I look at Politico. Sometimes RealPolitics, sometimes.

(Mrs. McCain and Ms. Buchanan both interject: “Meagan’s blog!”)

Mr. McCain: Excuse me, Meagan’s blog. And we also look at the blogs from Michael and from you that may not be in the newspaper, that are just part of your blog.

Q: But do you go on line for yourself?

Mr. McCain: They go on for me. I am learning to get online myself, and I will have that down fairly soon, getting on myself. I don’t expect to be a great communicator, I don’t expect to set up my own blog, but I am becoming computer literate to the point where I can get the information that I need – including going to my daughter’s blog first, before anything else.

Q: Do you use a blackberry or email?

Mr. McCain: No

Mark Salter: He uses a BlackBerry, just ours.

Mr. McCain: I use the Blackberry, but I don’t e-mail, I’ve never felt the particular need to e-mail. I read e-mails all the time, but the communications that I have with my friends and staff are oral and done with my cell phone. I have the luxury of being in contact with them literally all the time. We now have a phone on the plane that is usable on the plane, so I just never really felt a need to do it. But I do – could I just say, really – I understand the impact of blogs on American politics today and political campaigns. I understand that. And I understand that something appears on one blog, can ricochet all around and get into the evening news, the front page of The New York Times. So, I do pay attention to the blogs. And I am not in any way unappreciative of the impact that they have on entire campaigns and world opinion.

McCain said he doesn’t “expect to set up my own blog.” He appears to be unaware that his own campaign has a couple of blogs. McCain may want to check those out on “a google.”

Since Thursday, Sen. John McCain’s (R-AZ) presidential campaign has been in damage control mode, attempting to distance itself from top economic adviser Phil Gramm‘s belief that America is “a nation of whiners” that is only going through a “mental recession.” “Sen. Graham and I, as I said, we have a total disagreement on whether Americans are whiners or not,” McCain told reporters yesterday.

Appearing on PBS’s Nightly Business Report last night, McCain’s senior policy adviser, Douglas Holtz-Eakin, claimed that because of the comments, Gramm would no longer be giving McCain advice:

GERSH: Is Senator Gramm still giving advice to Senator McCain?

HOLTZ-EAKIN: No.

GERSH: No.

HOLTZ-EAKIN: At — I haven’t spoken to Senator Gramm since the comments took place, and I’m not expecting to.

Watch it:

Holtz-Eakin’s rejection of Gramm does not correspond completely with what other’s have reported about Gramm’s future with the McCain campaign.

Last night, MSNBC reported that while other economic surrogates would be “driving the policy” for McCain, Gramm would remain a “trusted friend of the campaign.” MSNBC also reported that Gramm, who was until recently thought of as a potential Treasury Secretary under McCain, would not be stripped of his “volunteer designation” as a co chair with the McCain campaign.

I have to agree that it’s incredibly unhelpful to have Bill Clinton and Al Gore praising John McCain on climate change. It’s true, in a sense, that McCain is better than your average Republican on this issue. But that was much more true a couple of years ago when he was cosponsoring the McCain-Lieberman climate change half-measures bill. These days, though, that bill, inadequate as it is, has become the Lieberman-Warner bill because McCain dropped his support for it.

If McCain’s not even going to support the most conservative cap-and-trade bill in the mix, then what is his nominal support for cap-and-trade worth, exactly? It’s hard to construct an appropriate analogy here, but if Barack Obama claimed to be “for” something, and yet opposed every concrete effort to make it happen, I doubt GOP eminences grises would be leaping forward to praise him.

It seems that an increasing number of people adhere to the basic populist frame about the state of our economy:

On the other hand, most people still see themselves as “haves” which should blunt the appeal of populist remedies somewhat:

The fact that the trends are diverging is interesting and it’s hard to know what to make of it. As you can read here household income is a strong predictor of whether or not you think of yourself as a “have” but there’s also a large racial/ethnic component with middle income non-hispanic whites tending to see themselves as “haves” whereas middle income blacks and hispanics tend to see themselves as “have nots.” It would be interesting to look at wealth in this regard (it seems like a better correlate of “have”-ness than income anyway) and see how much of the racial element survives independently of wealth effects.

Late yesterday, the Federal Deposit Insurance Corporation (FDIC) and the Office of Thrift Supervision (OTS) “took control of Pasadena-based IndyMac Bank on Friday in what regulators called the second-largest bank failure in U.S. history.” The bank has succumbed to “huge losses from defaulted mortgages made at the height of the housing boom”:

Federal authorities estimated that the takeover of IndyMac, which had $32 billion in assets, would cost the FDIC $4 billion to $8 billion. Regulators said deposits of up to $100,000 were safe and insured by the FDIC.[...]

As the bank was shuttering offices and laying off employees nervous … depositors were pulling out $100 million a day. The bank’s stock price had plummeted to less than $1 as analysts predicted the company’s imminent demise.

The takeover of IndyMac came amid rampant speculation that the federal government would also have to take over lenders Fannie Mae and Freddie Mac, which together stand behind almost half of the nation’s mortgage debt.

Indymac’s website has been replaced with a terse notice from the FDIC informing the bank’s customers.