Jeff, The FDIC is self-funded by the banks themselves.
As far as failing, spend a little more time studying rather than ranting. They fail due to greed - greed that previously was stunted by very effective bank regulations which disappeared under Reagan. Aren't you one for little or no regulation and just letting banks run amok? I would suggest you go and read some of Paul Krugman's writing; he writes in a very easy to understand way so it should be an easy read for you. Or, maybe you think you are smarter than the winner of the Nobel Prize in Economics?