Dreamers demand protections as Senate Democrats cave on budget deal
Dreamers demand protections as Senate Democrats cave on budget deal
Immigrants and advocates were arrested in the U.S. Capitol Wednesday while urging lawmakers to support a “clean” Dream...
Immigrants and advocates were arrested in the U.S. Capitol Wednesday while urging lawmakers to support a “clean” Dream Act.
Read the full article here.
Senator Warren to Join Call to Alter Sales of Distressed Loans
Senator Warren to Join Call to Alter Sales of Distressed Loans
Housing advocates have attracted a prominent ally in their push to change the federal government’s policy of selling...
Housing advocates have attracted a prominent ally in their push to change the federal government’s policy of selling distressed mortgages at a discount to private equity firms and hedge funds.
Senator Elizabeth Warren, Democrat of Massachusetts, will join other lawmakers, advocates and community activists on Wednesday in a Washington rally to oppose the loan sale program.
The senator is expected to call on the Department of Housing and Urban Development and the federal overseer of Freddie Mac and Fannie Mae to make it easier for nonprofit organizations to bid for the bundles of distressed mortgages put up for auction, people briefed on the matter said.
The sale of distressed mortgages by HUD and the government-sponsored mortgage finance firms is drawing growing criticism from housing advocates and lawyers in recent months. The critics are concerned that the private buyers of distressed mortgages are moving to quickly to put borrowers into foreclosure as opposed to modifying the loans as housing officials had hoped.
The investors are buying loans often at a 30 percent discount.
One of the biggest buyers of distressed mortgages is Lone Star Funds, a $60 billion private equity firm based in Dallas. The firm, which is also buying soured mortgages directly from banks, has raised billions of dollars from investors, including public pensions to invest in distressed home loans.
The private equity firm’s practices in dealing with delinquent borrowers was the subject of a front-page article in The New York Times this week.
The housing advocates said that, in addition to noon rally with elected officials, they intended to protest outside of Lone Star’s offices in Washington.
Source: New York Times
Locals protest GOP tax plan
Last week, more than 100 disability rights and health care advocates were arrested in Washington D.C. during a civil...
Last week, more than 100 disability rights and health care advocates were arrested in Washington D.C. during a civil disobedience protest of the GOP tax plan. Among them were residents of Peterborough and Temple.
Lisa Beaudoin of Temple, the executive director of ABLE New Hampshire, a grassroots organization that advocates for families that include people with disabilities, said that she sees the tax plan as taking firm aim at some of the most vulnerable populations – including people with disabilities.
Read the full article here.
The Women Who Confronted Jeff Flake In An Elevator Spoke Up About Why They Did It
The Women Who Confronted Jeff Flake In An Elevator Spoke Up About Why They Did It
In a viral moment that could potentially change the course of U.S. history, two women confronted Sen. Jeff Flake in an...
In a viral moment that could potentially change the course of U.S. history, two women confronted Sen. Jeff Flake in an elevator on Friday and challenged him on his recently-announced support for Supreme Court nominee Brett Kavanaugh, who's been accused of sexual assault. The exchange is nothing short of riveting, and in several interviews, the women who confronted Flake explained why they did so, and what the experience was like.
Read the full article here.
Escuelas charter en Nueva York requieren mayor escrutinio
Las escuelas independientes (charter) han proliferado en las últimas dos décadas con repetidas promesas de mejorar la...
Las escuelas independientes (charter) han proliferado en las últimas dos décadas con repetidas promesas de mejorar la calidad de la educación. Su ascenso ha sido tan rápido que hoy en día, el número de alumnos matriculados en muchas escuelas públicas está disminuyendo vertiginosamente, y se tiene previsto que en la próxima década algunos distritos pierdan hasta un tercio de sus estudiantes con relación a principios de siglo. Muchos distritos afectados por esta tendencia se están viendo forzados a despedir maestros, enfermeros y otro personal importante que apoya a los alumnos que quedan en las escuelas públicas.
La ley federal Every Student Succeeds, promulgada a fines del año pasado, no hará sino acelerar esta tendencia. Se proyecta que la ley aumentará al doble el gasto en escuelas charter durante la próxima década.
Sin embargo, a pesar de la explosión en ese sector, la supervisión se ha quedado atrás y, hoy en día, hay cada vez más motivos de preocupación. En un estado tras otro, las investigaciones han revelado mala administración, abusos y fraude descarado en las escuelas charter, incluso en aquellas elogiadas por sus buenos resultados. Una encuesta reciente de escuelas charter en todo el país realizada por el Center for Popular Democracy, descubrió que han despilfarrado la asombrosa cantidad de $216 millones desde 1994.
La ciudad de Nueva York no ha sido inmune al problema. En la extensa red de KIPP, por ejemplo, la escuela pagó casi $70,000 para llevar al personal en viajes de varios días al Caribe para fines presuntamente educativos, pero se detectaron pocas actividades de desarrollo profesional durante la estadía, según descubrió una auditoría en el año 2006.
En 2010, Joel Klein, secretario del Departamento de Educación, ordenó que la East New York Preparatory Charter School cerrara sus puertas después de que se reveló que la fundadora y directora de la escuela se había nombrado superintendente y se había dado un aumento de $60,000.
Muchas otras escuelas charter en toda la ciudad enfrentan preguntas sobre gastos cuestionables. El informe del CPD descubrió que muchas escuelas en la ciudad no documentaban sus gastos, no divulgaban casos de conflicto de intereses ni usaban licitaciones competitivas para asegurarse de comprar productos y servicios al mejor precio.
No se puede permitir que continúe esta situación, particularmente porque se tiene previsto que las escuelas charter aumenten exponencialmente en años próximos. El informe del CPD recomienda varias maneras de asegurar que los gastos de dichas escuelas se mantengan en regla, lo que incluye auditorías para detectar y evitar el fraude, y mecanismos para aumentar la transparencia de quienes operan escuelas charter.
Los encargados de dictar la política deben redoblar sus esfuerzos para promulgar medidas de supervisión incluso más estrictas y asegurar que todas las escuelas charter gasten su dinero sensatamente. A no ser que vigilemos este sector más estrechamente, en años próximos podrían desaparecer millones, perjudicando así a estudiantes y padres de familia en toda la ciudad.
By Kyle Serrette
Source
Charter Schools Gone Wild: Study Finds Widespread Fraud, Mismanagement and Waste
Bill Moyers - May 5, 2014, by Joshua Holland - Charter school operators want to have it both ways. When they’re...
Bill Moyers - May 5, 2014, by Joshua Holland - Charter school operators want to have it both ways. When they’re answering critics of school privatization, they say charter schools are public — they use public funds and provide students with a tuition-free education. But when it comes to transparency, they insist they have the same rights to privacy as any other private enterprise.
But a report released Monday by Integrity in Education and the Center for Popular Democracy — two groups that oppose school privatization – presents evidence that inadequate oversight of the charter school industry hurts both kids and taxpayers.
Sabrina Joy Stevens, executive director of Integrity in Education, told BillMoyers.com, “Our report shows that over $100 million has been lost to fraud and abuse in the charter industry, because there is virtually no proactive oversight system in place to thwart unscrupulous or incompetent charter operators before they cheat the public.” The actual amount of fraud and abuse the report uncovered totaled $136 million, and that was just in the 15 states they studied.
Diane Ravitch on school privatization.
According to the study, fraud and mismanagement of charter schools fall into six categories:
Charter operators using public funds illegally — outright embezzlement
Using tax dollars to illegally support other, non-educational businesses
Mismanagement that put children in potential danger
Charters illegally taking public dollars for services they didn’t provide
Charter operators inflating their enrollment numbers to boost revenues
General mismanagement of public funds
The report looks at problems in each of the 15 states it covers, with dozens of case studies. In some instances, charter operators used tax dollars to prop up side businesses like restaurants and health food stores — even a failing apartment complex.
The report’s authors note that, “where there is little oversight, and lots of public dollars available, there are incentives for ethically challenged charter operators to charge for services that were never provided.” They cite the example of the Cato School of Reason Charter School in California, which, despite its libertarian name, collected millions of tax dollars by registering students who actually attended private schools in the area.
Perhaps the most troubling examples of mismanagement were those the report says actually put kids in danger:
Many of the cases involved charter schools neglecting to ensure a safe environment for their students. For example, Ohio’s State Superintendent of Public Instruction, Dr. Richard A. Ross, was forced to shut down two charter schools, The Talented Tenth Leadership Academy for Boys Charter School and The Talented Tenth Leadership Academy for Girls Charter School, because, according to Ross, “They did not ensure the safety of the students, they did not adequately feed the students, they did not accurately track the students and they were not educating the students well. It is unacceptable and intolerable that a sponsor and school would do such a poor job. It is an educational travesty.”
Integrity in Education and the Center for Popular Democracy aren’t the first to warn of problems plaguing an under-regulated industry fueled by billions of tax dollars. A 2010 report to Congress by the Department of Education’s Inspector General’s office warned of the agency’s “concern about vulnerabilities in the oversight of charter schools” in light of “a steady increase in the number of charter school complaints.” It blamed regulators’ failure “to provide adequate oversight needed to ensure that Federal funds [were] properly used and accounted for.”
Read the full report for the watchdogs’ recommendations for how policymakers could strengthen oversight and bring real transparency to the charter school industry.
Source
Home care workers rally in New Haven around terminated employee
Lara was joined by more than a dozen supporters Wednesday, organized by the Working Families Party, which has been...
Lara was joined by more than a dozen supporters Wednesday, organized by the Working Families Party, which has been advocating for a $15-an-hour wage, paid sick days and predictable schedules for this group of employees.
Management at Family Care VNA & Home Care at 495 Blake St., where Lara worked for more than three years in a 28-year career, called police to keep the protesters away from its office. The protesters continued to march on the sidewalk leading into the parking lot where the company is located.
After about an hour, Lindsay Farrell, state executive director for the Working Families Party, Julio Lopez of Make the Road, which is part of the Center for Popular Democracy, and Lara approached New Haven Officer Scott Durkin, who was standing outside the care agency’s office.
Durkin passed on a petition to management signed by more than 9,000 people asking that Family Care VNA & Home Care meet with Working Families to discuss workplace protections for its employees.
“I am here today because on Aug. 3 I got terminated for exercising ... freedom of speech. I was searching for a better workplace for my co-workers, for those who are afraid to speak, because this is their only source of income to maintain food on the table and a roof over their kids’ heads,” Lara said.
The longtime certified nursing assistant has been on panels with U.S. Rep. Rosa DeLaura, U.S. Sen. Chris Murphy and Thomas E. Perez, secretary of the U.S. Department of Labor, talking about the conditions that CNAs face.
Lara said she never mentioned her employer, but spoke generally about the industry and the need for a pay upgrade, benefits and schedules they can count on.
“I believe that no human being should be treated like animals, because that is what they treated us like, paying us $10 an hour. We are a big asset to the company and if not physically fit ... how can we go out there and do our jobs?” Lara asked.
“What I am searching for is justice for me and so many other workers that do the same job as I do,” she said to the crowd.
Lara said this all began when she took off two days for emergency surgery for her gallbladder on Feb. 26. Her doctor recommended she stay out of work for two to three weeks.
A message seeking comment was left with Donna Simmons, a human resource specialist at Family Care.
Lara said she ended up back in the hospital because she returned to work too early. On May 22 and June 3, she had additional surgeries for an abscess on her breast for a total of eight days missed for health problems.
Lara said she put up with the $10-an-hour pay because “I like what I do and I enjoyed working with my patients and I didn’t want to leave them hanging.”
She said after the last surgery, her hours were cut from 54 hours a week to 14 hours, putting her behind on her rent and bills.
Lara said the firing not only hurt her financially, but “has taken away what I like and what I enjoy, which is working with people.” She said she is collecting unemployment compensation.
Lara said she feels that she was being punished for taking time off “to take care of my physical health.
She said when she was terminated, management alleged that she had used profanity in front of a client, but Lara said that was not true. She said they told her at that meeting Aug. 3 that she was being fired for “bashing the company.”
Lara said Lou Mangini, who works on constituent concerns in DeLauro’s New Haven office, has been in touch with her.
The letter from Working Families to Rita Krett, who is listed as the owner of the company, said Lara’s firing was “unacceptable and immoral.”
It promised to escalate its support of Lara and other workers if the company doesn’t improve conditions.
'All hands on deck': protesters to target healthcare bill at rallies across US
'All hands on deck': protesters to target healthcare bill at rallies across US
Activist groups praised John McCain for his promise to vote no on the Lindsey Graham-Bill Cassidy healthcare bill on...
Activist groups praised John McCain for his promise to vote no on the Lindsey Graham-Bill Cassidy healthcare bill on Friday, but they warned against complacency as they said the fight to protect the Affordable Care Act was “not over”.
McCain’s pledge, which means Republicans can only afford to lose one more Senate vote in their quest to repeal the ACA, widely known as Obamacare, was met with celebration on the left.
Read the full article here.
There’s officially a Medicare for All caucus in Congress
House Democrats formally announced the formation of the Medicare for All caucus on Thursday, and were joined by...
House Democrats formally announced the formation of the Medicare for All caucus on Thursday, and were joined by representatives from various progressive groups — like National Nurses United, Social Security Works, and Center for Popular Democracy — who helped save Obamacare last summer and now demand more than the status quo. So far 66 members, or one-third of House Democrats, have joined the caucus led by Reps. Pramila Jayapal (WA), Debbie Dingell (MI), and Keith Ellison (MN).
Read the full article here.
Housing advocates: FHFA won’t reduce principal, offers discounted NPLs
Two liberal advocacy groups have published a provocative study accusing the Department of Housing & Urban...
Two liberal advocacy groups have published a provocative study accusing the Department of Housing & Urban Development and the Federal Housing Finance Agencyof helping Wall Street at the expense of low-income communities by selling non-performing loans to investors.
The Center for Popular Democracy and the ACCE Institute’s report “Do Hedge Funds Make Good Neighbors?: How Fannie Mae, Freddie Mac and HUD are Selling Off Our Neighborhoods to Wall Street” is lengthy and accusatory.
The study looks at how HUD has since 2012 auctioned off, at a discount, some 120,000 Non-Performing Loans that they want to get off their books.
They also take into account similar actions by the FHFA through Fannie Mae and Freddie Mac, which have sold over 10,000 mortgages already this year.
The study, which can be read here, notes that nearly all of the roughly 130,000 mortgages have been sold to Wall Street hedge funds and private equities firms, leading to what they call the rise of a new phenomenon in this country – Wall Street as major landlord and neighbor in communities across the country.
“An initial examination into four of the largest purchasers of HUD and FHFA loans has unearthed an array of disturbing business practices, ranging from those that clearly run counter to the goals of homeownership preservation and neighborhood stability to those that break laws, deceive homeowners, and harm taxpayers more generally,” the study claims.
The authors argue that HUD and FHFA should sell these troubled mortgages to entities working to preserve homeownership and create affordable housing, not to Wall Street speculators with a history of defrauding taxpayers and harming homeowners, tenants and neighborhoods.
“Nearly eight years after the start of the global financial crisis, hedge funds and private equity firms have found yet another way to make big profits: distressed housing assets. Often, the very same corporate actors that precipitated the housing crash in the first place are buying and selling off delinquent mortgages and vacant houses that are a product of the crash,” the study says. “Together, these Wall Street entities have raised over $20 billion to buy the notes for as many as 200,000 homes in the United States. The newly consolidated single-family rental market is a lucrative business. A 2014 study estimated that the four largest holders of these assets have seen as much as a 23% rate of return on the properties they purchased in the last three years.”
However, HUD has been making changes to how it deals with distressed assets and NPL sales.
Just two months ago, HUD announced significant changes to its Distressed Asset Stabilization Program. HUD also announced additional improvements to the Neighborhood Stabilization Outcome sales portion of DASP which are aimed at increasing non-profit participation.
Updates include giving non-profits a first look at vacant properties, allowing purchasers to re-sell notes to non-profits, and offering a non-profit only pool.
Previously, loan servicers could foreclose 6 months after they received the loan and were encouraged, though not required to assess a borrower’s qualifications for loss mitigation programs. Purchasers of the geographically targeted neighborhood stabilization pools have always been required to ensure that at least 50% of the loans in a pool achieve outcomes that help areas hardest hit by foreclosure avoid the neighborhood decline associated with numerous vacant properties.
“These changes reflect our desire to make improvements that encourage investors to work with delinquent borrowers to find the right solutions for dealing with the potential loss of their home and encourage greater non-profit participation in our sales,” said Genger Charles, Acting General Deputy Assistant Secretary, Office of Housing, when it was announced. “The improvements not only strengthen the program but help to ensure it continues to serve its intended purposes of supporting the MMI Fund and offering borrowers a second chance at avoiding foreclosure.”
The groups are calling on HUD and FHFA to “establish much higher standards and criteria for the kind of companies that are eligible to purchase delinquent mortgages” and to “prioritize companies that have a clearly defined program to offer permanent modifications with principal reduction and to create affordable housing with vacant properties.” ?
They also want FHFA to “immediately begin to offer principal reduction in their own modification process.”
“Two distinct paths forward are available: the abuses of the biggest purchasers to date of the HUD and FHFA non-performing loans; or, the approach of community development financial institutions with both the ability and the commitment to create affordable housing to better local communities. The status quo benefits the very actors that hastened the financial crisis and actively created the conditions that sucked over half the wealth from millions of American families. These companies profit from new predatory practices and speculative business models that once again take advantage of ordinary people,” the study concludes.
Source: HousingWire
7 days ago
7 days ago