The facts on whether Dems are in fact pushing a $165 billion union pension bailout

“A provision in both bills would allow the fifth fund to transfer money to other parts of PBGC,” Johnson said. “That means that the fifth fund could be the camel’s nose under the tent, using taxpayer dollars to shore up the deficit-ridden PBGC.”

The $156 billion number comes from a September 2009 report by Moody’s Investors Service that estimated the nation’s 126 largest pension plans (there are about 1,500 plans in all) to be underfunded by that amount. Casey has said his bill would cost $8 to $10 billion.

The Senate Health, Education, Labor and Pensions Committee is scheduled to hold a hearing on the Casey bill Thursday morning. In advance of that, representatives of around 50 pro-business and anti-tax groups sent a letter to congressional leaders opposing the legislation.

There is one element of the Casey/Pomeroy bill that has been added to the emergency spending bill moving through Congress this week. The measure will allow pension plans flexibility in how to account for losses suffered during the economic downturn in late 2008 and early 2009. Critics say this will allow the pensions to hide how badly underfunded they are.

But the fact that one piece of the Pomeroy bill had been added to legislation moving rapidly through Congress this week led to confusion.

Johnson, in a blog post on ATR’s website, called the amortization measure a “union pension handout.”

Fox News has reported all week of an impending $165 billion taxpayer bailout of union members’ pensions. Casey and liberal organizations reacted angrily, denouncing the reports as straight out lies.

“That is totally false,” said Casey spokesman Smar.

Smar also said that “unions are not benefiting from this bill.”

But the Teamsters own website hailed the Casey bill when the senator, who has received substantial campaign donations from organized labor, unveiled his legislation on March 22 at a YRC loading dock in Carlisle, Pa.

“The bill is extremely important to the Teamsters, who have been working with Sen. Casey on it,” the Teamsters website said.

Nonetheless, the lack of clarity over what exactly was included in the emergency legislation seemingly headed for quick passage this week resulted in Republican congressman Steve LaTourette of Ohio stomping on to the House floor Tuesday to reprimand Fox News for having “weenie” and “pinhead” employees.

Meanwhile, one House aide close to the issue said they did not think the Casey/Pomeroy legislation would actually become law this year, saying the amortization measure that has been added to legislation is all that is likely to pass.

Casey’s office did not share that assessment.

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