Should state be allowed to take over chronically failing schools?
Should state be allowed to take over chronically failing schools?
Georgia voters are being asked to approve a new and controversial way to improve public education. The proposal would...
Georgia voters are being asked to approve a new and controversial way to improve public education. The proposal would empower the state to take over chronically failing schools or convert them to charters or even close them.
It’s called Amendment 1 on the Nov. 8 ballot, and it’s called the Opportunity School District in the legislation that authorized it. The Georgia General Assembly passed Senate Bill 133 during this year’s session with the required two-thirds majority in both chambers. The referendum now needs a simple majority from voters to become law.
Then it asks voters this question:
“Shall the Constitution of Georgia be amended to allow the state to intervene in chronically failing public schools in order to improve student performance?”
Gov. Nathan Deal’s OSD proposal, based on similar initiatives in Louisiana and Tennessee, would allow Georgia’s governor to appoint an OSD superintendent, separate from the Georgia Department of Education superintendent, who is elected by voters. The OSD superintendent could take over as many as 20 eligible schools each year and control no more than 100 such schools at any time. The OSD superintendent could waive Georgia Board of Education rules, reorganize or fire staff and change school budgets and curriculum. The state also could convert OSD schools to nonprofit or for-profit charter schools or close them if they don’t have full enrollment.
The state would use the College and Career Ready Performance Index to determine which schools are eligible for takeover. Schools that score below 60 on the 100-point CCRPI for three straight years could be included in the OSD. Those schools would stay in the OSD for no less than five years (or, if they are an OSD charter school, for the length of the initial charter’s term) and no more than 10 years before returning to local control. Opportunity Schools could be removed from the OSD whenever they are graded above an F in the state’s accountability system for three straight years.
Muscogee County had 10 of the 141 schools on the state’s original list of chronically failing schools released last year. Georgetown and Rigdon Road elementary schools, however, improved enough with other schools in the state on the 2015 CCRPI to move off the list. That leaves 127 schools in Georgia and these eight in Muscogee on the current list: Baker Middle School and Davis, Dawson, Forrest Road, Fox, Lonnie Jackson, Martin Luther King Jr. and South Columbus elementary schools.
The case for Yes
OSD proponents cite the number of chronically failing schools as the most obvious reason to try something drastically new. They also note the reduction in the number of chronically failing schools since the threat of state takeover became possible after Senate Bill 133 passed.
Deal says on his proposal’s website, “While Georgia boasts many schools that achieve academic excellence every year, we still have too many schools where students have little hope of attaining the skills they need to succeed in the workforce or in higher education. We have a moral duty to do everything we can to help these children. Failing schools keep the cycle of poverty spinning from one generation to the next. Education provides the only chance for breaking that cycle. When we talk about helping failing schools, we’re talking about rescuing children. I stand firm on the principle that every child can learn, and I stand equally firm in the belief that the status quo isn’t working.”
Alyssa Botts, spokewoman for the pro-Amendment 1 campaign committee Opportunity for All Georgia Students noted, “The graduation rate for students attending failing schools is an abysmal 55.7 percent,” compared to the most recent statewide figure of 78.8 percent in the class of 2015.
“A school that fails to properly educate its students perpetuates cycles of poverty and increases the likelihood of incarceration,” Botts said in an email to the Ledger-Enquirer. “For many students, educational opportunities provide the best chance to break out of these cycles. … Voting ‘yes’ for the Opportunity School District amendment is a vote to ensure that future generations of Georgians will have the best opportunities available. No child in Georgia should be forced by law to attend a failing school.”
The governor-appointed Georgia Board of Education and the Georgia Chamber of Commerce have endorsed the OSD referendum.
Michael O’Sullivan, executive director of the Georgia Campaign for Achievement Now, part of the 50-state CAN nonprofit organization advocating “a high-quality education for all kids, regardless of their address,” has successfully fought a similar political battle, helping to convince voters to approve the 2012 Georgia charter school amendment. And the OSD is the next logical step, he figures.
“What this has done is create a sense of urgency for districts to act,” O’Sullivan said in an interview with the Ledger-Enquirer. “Voters should be asking what’s being done now? What plans are in place to improve our schools? That’s the ultimate goal. How can we ensure that every student in the state has access to quality education? Right now, 68,000 students attend a school that has failed at least three years or more.”
The opposition is based on being “afraid of loss of control,” O’Sullivan said. “… It’s my hope that opponents would be putting as much effort into fixing their schools so they aren’t eligible for the OSD. I can tell you which option will be best for schools.”
O’Sullivan emphasized that state takeover is only one option for intervention in the OSD.
“There is the ability for the state to assist schools that are failing for one year or two years, and then, after three years, there is a multiple intervention model,” he said. “One is a joint governance structure, with the OSD and the local school district working together to turn around the school.”
Addressing concerns that OSD schools would receive less funding, O’Sullivan said, “Whatever amount that would have been dedicated to that school remains in that school.”
Louisiana enacted the Recovery School District in 2003. The RSD comprises 62 autonomous charter schools in Orleans, East Baton Rouge and Caddo parishes with a total enrollment of more than 32,000 students, according to the RSD’s 2015 annual report. The percentage of RSD schools considered to be failing has been reduced from 44 percent in 2011 to 19 percent in 2015, the report says.
According to the RSD’s 2014 annual report, the percentage of students performing at the basic level or above increased 29 percentage points from 2008 to 2014, while the state average increased 9 percentage points.
In New Orleans, 63 percent of the public school students are in the RSD. According to a June 2015 study by Patrick Sims and Vincent Rossmeier of the Cowen Institute for Public Education Initiatives at Tulane University, “the percentage of (New Orleans) students at the basic level or above has increased 15 percentage points over the past six years. That growth has largely come from the RSD, which has improved by 20 percentage points.”
In Tennessee, as of the 2015-16 school, there were 29 schools in the Achievement School District, enacted in 2010 with the goal of moving the state’s bottom 5 percent of school into the top 25 percent of student achievement. The ASD has made progress, according to its July 2015 report.
“Over a three-year period, ASD students have earned double-digit gains in math and science proficiency and have grown faster than their state peers,” the report says.
The ASD reading scores, however, declined along with the state average.
“We know from national research and our own experience that reading growth tends to lag behind other subjects in a school turnaround setting,” Malika Anderson, then the ASD deputy superintendent and now its superintendent, says in the report.
The case for No
Georgia Federation of Teachers president Verdaillia Turner, a retired Atlanta educator, has seen the statistics that indicate state takeovers improved student achievement, but her organization touts evidence that argues otherwise.
The federation says in its campaign literature that the Southern Poverty Law Center filed a lawsuit against the state-created school district in New Orleans on behalf of 4,500 students for denying appropriate services. A July 2015 SPLC fact sheet notes that, while an average of 19.4 percent of students with disabilities graduated high school in Louisiana, only 6.8 percent of them graduated in the Recovery School District.
A February 2016 report titled “State Takeovers of Low-Performing Schools: A Record of Academic Failure, Financial Mismanagement and Student Harm” from the Center for Popular Democracy, a liberal-leaning nonprofit advocacy group, found that state takeovers of schools in Louisiana, Michigan and Tennessee produced:
▪ “Negligible improvement — or even dramatic setbacks — in their educational performance.”
▪ “A breeding ground for fraud and mismanagement at the public’s expense.”
▪ “High turnover and instability” among staff, “creating a disrupted learning environment for children.”
▪ “Harsh disciplinary measures and discriminatory practices” for students of color and those with special needs.
Turner fears too much of the motivation for the OSD proposal is about creating profit opportunities in public schools for private charter school companies.
“The bottom line here is that this is a new business at the public’s expense,” Turner said in an interview with the Ledger-Enquirer. “The only thing public about these schools is our tax dollars.”
The federation notes the OSD may retain 3 percent of state funds for administrative operations, reducing the amount of money available for instruction.
“I love my state, and I respect the office of the governor and all of government,” Turner said. “However, this is still a democracy, and we believe that educators and the public need not be misled by what’s about to happen.”
That includes the OSD superintendent’s authority to “get rid of people at will” at any OSD school, Turner said. “The law says, the last line in Senate Bill 133 says, all laws in conflict with this act are repealed.”
Turner noted the state’s standardized testing system has changed the past five consecutive years. “Therefore, we know it’s not reliable,” she said.
In many chronically failing schools, Turner said, “children end up going to jail. But in many of these same schools, children go to Yale. So we need to have a real conversation about what makes schools work.”
The Atlanta Journal-Constitution has reported that a political group called the Committee to Keep Georgia Schools Local has a TV ad campaign opposing the OSD referendum. The group includes the Georgia Association of Educators, Georgia AFL-CIO, the Professional Association of Georgia Educators, Georgia Stand-Up, the Coalition for the People’s Agenda, Public Education Matters, Southern Education Foundation, Working America, Pro Georgia, Better Georgia, Georgia Federation of Teachers and Concerned Black Clergy of Metro Atlanta, according to the AJC.
The Georgia School Boards Association’s board of directors voted to oppose the amendment. School boards representing the counties of Bibb, Chatham, Cherokee, Clayton, Fayette, Henry, Richmond and Troup have expressed opposition.
The Muscogee County School Board was scheduled to join them last month, but the proposed resolution was deleted from the agenda between the Sept. 12 work session and the Sept. 20 meeting. Neither superintendent David Lewis nor board chairman Rob Varner has responded to the Ledger-Enquirer’s requests for an explanation.
Responding on their behalf, MCSD communications director Valerie Fuller also didn’t explain the sudden change in thinking, who proposed the resolution, who rescinded it and why. Here is her statement in an email to the Ledger-Enquirer:
“The Muscogee County School District is a public school system, which is supported by taxpayer money. All of our stakeholders (taxpayers, students, parents, teachers administrators and staff) have different opinions on this proposal. Although we believe, and the results indicate, that we are making progress with our challenged schools, to take a side could anger supporters, who might say the BOE is opposed to helping ‘failing’ schools.
“We don’t think it would be wise for a publicly elected body to pass a resolution in opposition of this amendment that might result in controversy, causing unnecessary distractions from the work being done on behalf of these schools. Because this could result in a change to Georgia’s Constitution, we do believe it is important for voters to read and be fully informed about the amendment and its implications.”
In a letter Tuesday to school district superintendents and Regional Education Service Agency directors, Georgia Department of Education deputy superintendent for external affairs and policy Garry McGiboney reminded public school officials that the Georgia Office of the Attorney General advised the GaDOE in 2012, “Local school boards do not have the legal authority to expend funds or other resources to advocate or oppose the ratification of a constitutional amendment by the voters.”
Regardless of whether the proposed OSD is good for Georgia, the referendum’s wording doesn’t accurately explain it, some folks insist. The Georgia PTA called it “deceptive.”
“If the governor and state legislators believe the best way to fix struggling schools is to put them under state control and either close them or turn them over to charter schools, then let the language on the ballot reflect this initiative,” Georgia PTA president Lisa-Marie Haygood said in a news release. “As it stands, the preamble, and indeed, the entire amendment question, is intentionally misleading and disguises the true intentions of the OSD legislation.”
To that end, a class-action lawsuit was filed Sept. 27 against the governor, Lt. Gov. Casey Cagle and Georgia Secretary of State Brian Kemp. The three lead plaintiffs, all from metro Atlanta — parent Kimberly Brooks, First Iconium Baptist Church senior pastor Timothy McDonald III and Coweta County teacher Melissa Ladd — allege in the complaint that the wording is “so misleading and deceptive that it violates the due process and voting rights of all Georgia voters.”
Gerry Weber, an Atlanta lawyer representing the three lead plaintiffs, told the Ledger-Enquirer in an interview the Georgia Supreme Court ruled about 10 years ago that a challenge to the wording of ballot measures must be decided after the vote because the lawsuit would be moot if the proposal fails.
The Ledger-Enquirer asked Deal spokeswoman Jen Talaber Ryan for the governor’s response to the allegation about the referendum’s wording. Ryan replied in an email, “The opposition didn’t attend the publicly announced constitutional amendment meeting where the language was discussed and approved. Why don’t you ask them why? And the preamble and question say exactly what the OSD will do — provide a lifeline for children forced by law to attend a failing school. The only thing misleading here is the fact that national, outside special interest groups are spending money instead of local groups. After all, their go to line is about ‘local control.’ Hypocritical, don’t you think?”
Keep Georgia Schools Local campaign manager Louis Elrod told the Ledger-Enquirer in an email from media relations manager Michelle Davis, “It’s unbelievable that pro-school takeover advocates would make this charge. They are grasping at straws because they’re desperate and losing this fight.
“They know full well that many members of our bipartisan coalition of parents, teachers and public school advocates actively petitioned for changes to both the amendment and the ballot question at multiple hearings. The even more deceptive preamble language was drafted at a separate meeting in Deal’s office. Janet Kishbaugh of Public Education Matters Georgia says she and other opponents called and searched online daily to find an announcement of this meeting. It was later revealed that the preamble was written in Deal’s office in a meeting attended only by the three men who drafted the words.
“The pro-takeover campaign’s political maneuvering just confirms what we know about their intentions — this amendment is designed to silence parents and strip away local control.”
Do your homework and vote
The Georgia Partnership for Excellence in Education has taken a neutral position on the OSD referendum, but the partnership’s president, Steve Dolinger, is advocating this:
“The important thing is Georgia voters do their own homework on this issue and make their decision based on solid research and fact-finding, not emotion,” Dolinger, who was superintendent of Fulton County Schools (1995-2002), said in an email to the Ledger-Enquirer from Bill Maddox, the partnership’s communications director. “Both sides make compelling arguments, but it should always come down to what the voter feels is right for the children of our state.”
BY MARK RICE
Source
Jeb and Hillary’s opportunity on workweek fairness
Jeb Bush and Hillary Clinton have been trading barbs about whether Americans are working hard enough, but behind the...
Jeb Bush and Hillary Clinton have been trading barbs about whether Americans are working hard enough, but behind the give-and-take is a real emerging issue that has a dire impact on our country’s 75 million hourly workers and their families: the 40 hour workweek is no longer something we can count on. The candidates have a chance to move beyond the gamesmanship and support concrete solutions at the national and local level to show their commitment to the stability of working families.
To summarize the exchange, Bush said that “people need to work longer hours.” Clinton quickly responded on Twitter, “Anyone who believes Americans aren't working hard enough hasn't met enough American workers.” Bush retorted, referencing the number of people who are involuntarily working part time and seeking full time work that, “Anyone who discounts 6.5 million people stuck in part-time work and seeking full-time jobs hasn’t listened to working Americans.”
Taken at their word, neither of them is wrong; both sides of the argument resonate in the lived experiences of the millions of people working by the hour. For hourly workers trying to work enough hours to earn enough to get by, it can mean taking the hours they can get –sometimes working short four-hour shifts, putting their lives on hold for a last-minute on-call shift, or working the late night shifts followed by too little sleep because of an early morning shift the next day – also known as a “clopen.”
This is reality for millions of Americans all across the country. Strained, exhausted, and without seeing their families some days. Their rent and bills are predictable, but the work hours they need to pay them are not.
Many of these workers both want more hours, like Bush says, and are working hard, like Clinton says. The American workforce is rapidly changing, and millions of people are caught in a cycle of too few hours, too little control of when their hours occur, and not getting paid for the time they make available to their employers. For part-timed hourly workers, there’s often no way to get ahead.
The issue missing from Jeb and Hillary’s exchange is how underemployment and unpredictability go hand in hand. The one thing these workers can count on is that their schedules will change each week, sometimes with just minutes’ notice. This last minute notice is typical of part-time hourly workers across the economy, especially in fast food and retail, by employers like Target, Starbucks, the Gap, Victoria’s Secret, and others. It’s impossible to pick up more hours at another job if you don’t know day to day what your schedule will be.
If Jeb Bush and Hillary Clinton are looking for real solutions to these issues, a new movement being led by working moms has some concrete policy solutions to offer. Last week, Congress introduced the Schedules That Work Act, a path-breaking bill addressing these underlying problems of part-time work that Bush and Clinton are debating. The bill is a result of workers calling for schedules they can predict, more stable hours they can count on, and the right to have a say into the hours they work without retaliation. The Schedules That Work Act has garnered a wave of support, in both the House and Senate, and comes after a year when legislators in 12 states introduced policies to guarantee a fair workweek, including active municipal campaigns that includes Minneapolis, Albuquerque, and Washington DC.
Clinton launched her campaign and declared, “I believe you should receive your work schedule with enough notice to arrange childcare or take college courses to get ahead” and Bush’s recent statements on involuntary part-time work show that even the GOP can’t ignore the under-employed. But the chaos that under-employment and unpredictable scheduling sows into workers lives is not just fuel for rhetoric, it’s real. And it requires real policy solutions. Hillary and Jeb have the chance to go deeper than their back and forth, address the common underlying problems they’ve both identified, and stand in favor of federal and local legislation that builds a fair workweek.
Gleason is the director of the Fair Workweek Initiative at the Center for Popular Democracy
Source: The Hill
Fed Hawks Ignore Reality of Stagnant Wages, No Jobs
WSJ 12.01.2014 “A Central Bank...
WSJ 12.01.2014
“A Central Bank for the Beltway” (Review & Outlook, Nov. 19) criticizes the recent work of the “Fed Up” coalition, which is advocating for transparent processes in the appointment of Federal Reserve presidents and monetary policies that promote a full employment economy.
The editorial acknowledges that “the Fed should be held politically accountable in a democracy,” and I agree. In Dallas and Philadelphia, where the current Fed presidents will be replaced this year, the public does not know how the private search firm chooses candidates, who the candidates are, by what criteria they will be judged or even when the vote will be held.
Fed governance is dominated by financial and corporate interests: Of the 108 current directors on the 12 regional Fed boards, 36 are bankers, 62 are corporate executives and just 10 are leaders of community or labor organizations. The “independ-ent policy judgment” that comes from such a structure will be advice that benefits banks and corporations, not the general public.
Our coalition believes that the voices of workers, community leaders and faith leaders will bring important perspectives to key policy debates. The Fed hawks who argue that the economy has recovered ignore the reality of stagnant wages, plummeting workforce participation rates and the rapid growth of the involuntary part-time workforce.
While near-zero interest rates have not yet been sufficient to spur a true recovery, many prominent economists—from Adam Posen to Joseph Stiglitz —have explained that raising interest rates would be catastrophic. The public, particularly the unemployed, underemployed and underpaid, recognize that the Fed should provide robust support to the economy until it reaches full speed and is creating millions of good new jobs, and wages are rising for a broad sector of working Americans who have seen their income fall or stagnate for far too long.
Shawn SebastianCenter for Popular Democracy
Source: Wall Street Journal
Frustrated Employees Say Starbucks Still Needs to Improve Horrible Work Schedules
Frustrated Employees Say Starbucks Still Needs to Improve Horrible Work Schedules
Source: Grub Street...
Source: Grub Street
In August 2014, Starbucks promised to start making baristas' schedules more manageable. If complaints from baristas 15 months later are any indication, however, corporate still has its work cut out.
While fast-food workers rallied in 270 cities on Tuesday for better pay, a group of Starbucks workers apparently spent the daydemonstrating in front of Seattle's Pike Place location to protest what they say are ongoing scheduling snafus. A report recently backed up these claims: The advocacy group Center for Popular Democracy asked 200 employees about their workweeks, and many said they still get schedules with almost no advance notice and still do "clopenings," the infamous shift where a barista closes the store at night and returns hours later to open it the following morning.
Work life has improved for some baristas, but others claim corporate isn't doing nearly enough to fix the mind-set "that being sick is your fault." Inan essay posted this week on Medium, Darrion Sjoquist, a barista whose mom also worked at Starbucks, wrote that his store still expects workers to find someone to cover their shift, no matter the situation:
"You are expected to show up for work if your son has been missing for 24 hours or your grandfather has died. If you are so sick that it hurts to speak, you are expected to call and text and beg every available person and ask them to sacrifice their day off, their precious hours before work or after school to help you solve a problem neither of you had any control over."
As an example, he recounts a recent 4 a.m. phone call he got from a co-worker:
As soon as she said my name, I knew why she was calling. She was sick. She asked if I could cover her 4:30 a.m. to 10:30 am shift that morning. She’d tried every number she could and was having difficulty speaking, let alone standing and working for six hours. She said she didn’t know who else to call or what else she could do. She asked if I could cover even part of her shift.
"I said yes. I worked her six-hour shift that morning and returned an hour later to work my own eight-hour shift that afternoon. I worked her shift because if I hadn’t, no one would have, or even worse, she would have tried."
He and a group of baristas sent a letter to CEO Howard Schultz in hopes that "he hears my story," but they haven't gotten a reply yet. The company hasn't said much of anything lately about this mess, but at the time of that Center for Popular Democracy report, a rep noted there was still "work to do."
Why the People’s Climate March matters to people of color like me
Ever since taking power, the Trump administration has made clear it intends to wage war on the environment. It’s given...
Ever since taking power, the Trump administration has made clear it intends to wage war on the environment. It’s given the green light to both the Dakota Access and Keystone pipelines and geared up to wipe away long-standing protections that keep our air and water safe. Its mission is clear: Eliminate any obstacle that stands in the way of fossil fuel companies.
Yet I refuse to see this moment as a crisis. I see it as an opportunity to bring together people from different backgrounds and different areas of the country to start building a truly national movement to defend our environment. And the People’s Climate March, happening on April 29 in Washington, D.C., is where it will take off.
This movement will be led by those most affected by climate change and pollution: communities of color and working-class families. These are the communities that have always been hardest hit by under-regulated oil pipelines running through their towns. The ones closest to coal train routes, whose residents suffer from lung cancer at alarming rates. The ones whose children bear the most exposure to lead. Many working-class Trump voters, in fact, may come to regret their votes when environmental problems worsen in their backyards.
That is why I believe caring for the environment is not a Democratic or Republican issue. I think it’s an issue all voters can and will come to rally around in coming years as Trump’s policies hit home.
The good news is that the climate movement is in a better place to take on this challenge than it’s ever been. And it is getting stronger every day, fueled by young people and people of color who are growing increasingly empowered to speak up for the safety and health of their communities.
The opposition to the Keystone Pipeline helped galvanize this movement into action. For years, pipelines had been approved around the country with only a passing glance at their effect on the local community, local wildlife, and local history. Keystone marked a turning point, showing that a unified, broad opposition could stymie plans for a pipeline.
Keystone planted the seeds, but Standing Rock is when the movement truly bloomed, bringing together thousands of people from every corner of the country to block a pipeline that threatens ancient water sources and blatantly disregards treaties with sovereign First Nations. By making a powerful argument that wove together environmental, racial, and economic justice, water protectors were able to attract both die-hard climate activists and allies brand-new to the cause.
This intersectionality will be the hallmark of the movement in coming years, and it will be our strength. That is why the People’s Climate March is so important. It’s not just about sending a message to Washington that we won’t stand for their agenda. It’s about sending a message of unity that crosses color lines and income scales. It’s about demonstrating the diversity of the climate movement, the diversity that gives us our strength.
But the work can’t and won’t end with a march. Already, community groups in states and cities across the country are banding together to fight the worst damage expected from the Trump administration. In Florida, Missouri, New York, and Virginia, they are looking for ways to elevate fights over local pipelines into the national debate. In cities like Seattle and New York, they are pushing their elected leaders toward divestment from the funders of the Dakota Access Pipeline. And nationally, they are mobilizing to prevent giveaways to oil, gas, and coal companies in any national infrastructure package.
Climate can no longer be a fringe issue. It must be an essential part of any resistance that fights racism and economic inequality, because the environment we live in affects those issues intimately. Air filled with smog raises the risk of lung disease, cutting life expectancy. Water filled with lead forces our children to grow up with learning defects that limit their ultimate earning potential. And workplaces filled with safety hazards make it more likely that workers — not employers — bear the cost of any accidents.
There is no plan B when it comes to our planet. It is a precious resource and it cannot be taken for granted. We must fight for it, today and for the years to come. The People’s Climate March is just one small step on this path.
By Aura Vasquez
Source
Fed Up Coalition Complains About Jackson Hole Room Cancellations
Fed Up Coalition Complains About Jackson Hole Room Cancellations
A group of activists planning to attend the Federal Reserve Bank of Kansas City’s annual economic symposium in Jackson...
A group of activists planning to attend the Federal Reserve Bank of Kansas City’s annual economic symposium in Jackson Hole, Wyo., has filed a complaint with the National Park Service, the Department of the Interior’s Inspector General’s Office and the Justice Department after the conference hotel canceled the group’s room reservations.
The Center for Popular Democracy’s Fed Up Coalition said in an Aug. 9 letter that it booked 13 rooms in May at the Jackson Lake Lodge for its members for the nights of Aug. 24, 25 and 26. Last month, the lodge informed the group that their reservations had been canceled because of a “computer glitch,” according to the letter.
But the lodge didn’t cancel the reservations for other guests who booked after Fed Up did, said the letter written by Ady Barkan, campaign director of Fed Up, a left-leaning group that has lobbied for more diversity among Fed officials and more openness about the selection of regional Fed bank presidents.
“It is very hard for me to interpret the Company’s actions as anything other than a specific targeting of the Fed Up coalition,” he wrote in the letter.
Mr. Barkan said the group booked rooms at other hotels farther away from the conference, which will make it difficult for activists to attend events.
The Jackson Hole conference draws central-bank officials and economists from around the world who gather near the Grand Tetons to discuss monetary policy.
Fed Up members have been attending the conference for the past two years to urge Fed officials to hold off on raising interest rates, arguing that higher borrowing costs will slow economic growth and hurt low-income households. The group’s members often hold events and rallies near Fed events, wearing their signature green T-shirts.
A spokesperson for the Jackson Lake Lodge didn’t return a call for comment. Kathy Kupper, a spokeswoman for the National Parks Service said the lodges are run by independent contractors who are responsible for their day-to-day operations.
Mr. Barkan said he was writing the letter “to file a formal complaint regarding improper and potentially illegal behavior,” by the company.
By David Harrison
Source
Fed Should “Freeze Interest Rates, Involve Citizens” Says Neighborhoods Organizing For Change
The Uptake - March 10, 2015, by Bill Sorem - Not everybody is benefiting equally from the economic recovery. A new...
The Uptake - March 10, 2015, by Bill Sorem - Not everybody is benefiting equally from the economic recovery. A new report shows in Minnesota blacks are suffering disproportionally to whites when it comes to employment.
Anthony Newby, Executive Director of Neighborhoods Organizing for Change (NOC), delivered a report of about the current economic state of people of color in Minnesota and specifically the current and possible role of the Federal Reserve Bank. The new report from the Center for Popular Democracy says since 2000, wages in Minnesota have declined by 4.5%, current unemployment rate for blacks is 10.9% vs a white rate of 2.8%.
This is the link to the full report “Wall Street, Main Street, and Martin Luther King Jr. Boulevard: Why African Americans Must Not Be Left Out of the Federal Reserve’s Full-Employment Mandate”
Newby argues that the Fed in addition to controlling interest rates, can control the rate of unemployment. He and Rev. Paul Slack, ISIAH President, ask that interest rates be kept at the current levels and that the Fed work to reduce unemployment.
Why there is a Federal Reserve
The nation’s central bank, the Federal Reserve, was created on December 23, 1913, with the enactment of the Federal Reserve Act, largely in response to a series of financial panics. There had been strong resistance to a central bank since the founding of the nation. The Fed was given the power to print money, establish bank interest rates and a number of sweeping powers. It is an independent entity within government, ownership of each of the 12 banks is claimed be the member banks, but the actual fiscal ownership is obscure. The ability to print money and loan it to the government is at the heart of its power and for many, a controversial power. President Kennedy challenged the authority of the Fed with Executive Order 11110, June 4, 1963 and he attempted to eliminate our current paper money, the Federal Reserve Note replacing it with US Notes. He did not succeed.
Newby further requested more transparency in the actions of the Fed and asked for more ordinary citizen participation. The current president of the Federal Reserve Bank of Minneapolis, Narayana Kocherlakota, has indicated a willingness to keep interest rates low and to move towards more citizen participation in the actions of the Fed. However, he retires in a year. Newby would like citizens to have input on his successor.
Rev. Slack asked for justice and compassion in the Fed policies, in part to undo past unfair actions.
Source
Communities Demand End to HUD Distressed Loan Sales
US Finance Post - September 10, 2014, by Christine Layton - Community groups and homeowners in 10 cities have started...
US Finance Post - September 10, 2014, by Christine Layton - Community groups and homeowners in 10 cities have started to rally at local offices of the Department of Housing and Urban Development (HUD), calling for an end to a program that sells off delinquent loans to investors, HousingWire reports.
The groups are protesting the HUD Distressed Asset Stabilization Program, which was created two years ago to auction delinquent loans to the highest bidders. In 2010, the government began selling delinquent mortgages that are at least 90 days past due to the highest bidder in an attempt to help the FHA rebuild cash reserves that were hit hard by loan defaults during the recession.
In the first 2 years, the FHA sold 2,000 loans in six auctions. In September 2012, when the loan pools were expanded under the new DASP program, it sold over 3,000 loans during the first auction.
The community groups claims these sales harm stabilization goals in neighborhoods, including affordable housng and homeownership.
“We’re seeing an unprecedented rise of the corporate landlord, and HUD’s DASP is just facilitating the process,” said Rachest Laforest, executive director of the Right To The City Alliance. She argues that HUD should instead use a system to favor nonprofit bidders whose mission is to invest in the community with greater requirements for winning bidders to preserve homeownership and offer affordable housing options to homeowners.
In a report released earlier this month, HUD said it sold $15.8 billion in nonperforming loans since 2010, which reduces losses to its insurance fund and saves homeowners from foreclosure. New reports claim the program helps the FHA avoid having to get more money from taxpayers, although it is questioned whether there are any efforts to protect neighborhoods that are hit hard by foreclosures.
About 97% of loans sold have gone to for-profit, private investors, such as private equity firms, hedge funds and mutual funds. Just 11% of the loans sold under DASP are considered “re-performing,” according to a report released by the Center for American Progress, while 22% were allowed to short sale or the property was surrendered for loan forgiveness. One-third were turned around and re-sold, while another one-third went into foreclosure.
“These are companies that put the financial gains of their shareholders first and community stabilization second — or I would say it’s not even necessarily a priority for them,” said Connie Razza, co-author of a report released by the Center for Popular Democracy and the Right To The City Alliance.
The group has sent a petition to Julian Castro, who took over HUD, which houses the FHA, asking that he stop selling loans under DASP until the program an be strengthened and refocused on improving neighborhoods.
During the housing crash, the share of FHA loans skyrocketed as homeowners could not get private loans, increasing from 2% of mortgages in 2006 to almost one-third by 2009. A wave of defaults put the FHA’s mortgage insurance fund into the red, and it took its first $1.7 billion taxpayer bailout in 2013. So far, almost 100,000 non-performing loans have been sold under DASP, giving the FHA a net of $8.8 billion.
Source: US Finance Post
MSNBC - The ED Show - Boehner pushes exclusionary school legislation
MSNBC The ED Show - May 9, 2014 - John Boehner pushed the charter school agenda one step further by supporting...
MSNBC The ED Show - May 9, 2014 - John Boehner pushed the charter school agenda one step further by supporting legislation to pour even more funding into the program. Ed Schultz, Ruth Conniff, and St. Rep. Dwight Bullard discuss.
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Mary Jo White should recuse herself from the selection of the next chair of the PCAOB: Activists
Mary Jo White should recuse herself from the selection of the next chair of the PCAOB: Activists
Securities and Exchange Commission (SEC) Chair Mary Jo White should recuse herself from the selection of the next chair...
Securities and Exchange Commission (SEC) Chair Mary Jo White should recuse herself from the selection of the next chair of the Public Company Accounting Oversight Board (PCAOB) due to an apparent conflict of interest created by the decision’s impact on White’s household income, a national coalition of 14 organizations said in a letter today.
Mary Jo White’s husband John White sits on the PCAOB’s Standing Advisory Group (SAG), selected by the members of the PCAOB, who are in turn chosen by Mary Jo White and the SEC.
John White’s role on the SAG has been marketed extensively by his law firm Cravath Swaine & Moore, LLP, where he practices securities law. His employment as a partner at Cravath forms the large majority of Mary Jo White’s family income, noted the groups.
“SEC Chair White should insure that her household income, which largely derives from her husband’s work as a Cravath attorney, doesn’t compromise her critical decisions affecting Cravath-represented clients,” said Bart Naylor, financial policy advocate for Public Citizen.
Scrutiny of Mary Jo White’s conflict of interest in PCAOB staffing was elevated in early September, whenBloomberg reported that White was considering potential candidates to replace PCAOB Chair James Doty. Doty – whose tough proposed accounting reforms have drawn industry ire and a fierce lobbying effort – has signaled he would like to return for another term.
After ensuing media coverage noted Cravath’s marketing of John White’s role on the SAG, Cravath quickly removed references to White’s position on the SAG from its website by the following day, as reported byMarketWatch.
“If there were any doubts about the improper link between Mary Jo White’s official actions and John White’s financial gain, Cravath’s frantic attempt to scrub its website put them to rest,” said Kurt Walters, campaign manager at Rootstrikers. “Mary Jo White should immediately announce her recusal from all further personnel decisions at PCAOB while her family income is so clearly at stake.”
The groups also called for the public release of any ethics guidance Chair White has relied on to date to continue her involvement in personnel matters at the PCAOB. They highlighted her previous written commitment to obtain ethics waivers before taking any action with a “direct and predictable effect” on her husband’s employment at Cravath.
“Chair White publicly swore to rely on waivers when her actions might have a ‘direct and predictable effect’ on John White’s role at Cravath, and her role helping select the PCAOB creates an appearance of just such an effect,” said Jeff Hauser, director of the Revolving Door Project at the Center for Effective Government.“The public is entitled to review the ethics guidance by which she reached the conclusion that she not only could go forward, but could do so without a waiver. Moreover, given the multiplicity of conflicts the Chair brought with her to the SEC and the absence of any 18 U.S.C. § 208(b)(1) or (b)(3) waivers, complete transparency in ethical guidance (with appropriate redactions) is necessary to restore public confidence in the SEC.”
The coalition letter was signed by Alliance for a Just Society, American Family Voices, Campaign for America’s Future, Center for Effective Government, Center for Popular Democracy, Community Organizations in Action, Communications Workers of America, Democracy for America, Main Street Alliance, MoveOn.org Civic Action, The Other 98%, Public Citizen, RootsAction, and Rootstrikers, and is available at https://s3.amazonaws.com/new.demandprogress.org/letters/Coalition_letter_regarding_Chair_White_and_PCAOB.pdf .
Coalition_letter_regarding_Chair_White_and_PCAOB (1)
Source: ValueWalk
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