New York charter school audits reveal $28 million in questionable expenses
New York State charter schools have made more than $28 million in questionable expenditures since 2002, according to a...
New York State charter schools have made more than $28 million in questionable expenditures since 2002, according to a new review of previous audits of the publicly funded, privately run schools.
The Center for Popular Democracy’s analysis charter school audits found investigators uncovered probable financial mismanagement in 95% of the schools they examined.
Kyle Serrette, education director for the progressive group, said the review of previously published audits showed the schools need greater oversight.
“We can’t afford to have a system that fails to cull the fraudulent charter operators from the honest ones,” said Serrette, whose group compiled the report with the non-profit Alliance for Quality Education. “Establishing a charter school oversight system that prevents fraud, waste and mismanagement will attack the root cause of the problem.”
The state controller’s office and state Education Department have audited 62 of New York’s 248 charter schools, according to Serrette’s report. All told, Serrette’s group estimates wasteful spending at charters could cost taxpayers more than $50 million per year.
Eighteen audits targeted charters in New York City, representing about 9% of the 197 charters in the five boroughs. Each audit found issues.
A 2012 audit found Brooklyn Excelsior Charter School was paying $800,000 in excess annual fees to the management company that holds its building’s lease. A 2012 audit of Williamsburg Charter High School revealed school officials overbilled the city for operations and paid contractors for $200,800 in services that should have been provided by the school’s network. A 2007 audit of the Carl C. Icahn Charter School determined the Bronx school spent more than $1,288 on alcohol for staff parties and failed to account for another $102,857 in expenses.The city spends more than $1.29 billion on charters annually.
State Education Department officials and a spokesman for the state controller’s office declined to comment on Serrette’s report.
Northeast Charter School Network CEO Kyle Rosenkrans said the schools already get plenty of oversight because they are subject to audits and must have their charters renewed at least every five years.
“Charter schools are the most accountable public schools there are,” the charter advocate said. “If we don’t perform or we mismanage our finances, we get shut down.
Source: New York Daily News
Arrests Made At Protest Outside UES Home Of JPMorgan Chase Exec
Arrests Made At Protest Outside UES Home Of JPMorgan Chase Exec
Hundreds of people picketed outside of 1185 Park Ave. around 8 a.m. to deliver more than 100,000 petition signatures...
Hundreds of people picketed outside of 1185 Park Ave. around 8 a.m. to deliver more than 100,000 petition signatures demanding that JPMorgan Chase stop financing immigrant detention centers and private prisons, protest organizers said. The demonstration was organized by groups such as Make the Road New York, New York Communities for Change and the Center for Popular Democracy.
Read the full article here.
Neel Kashkari Named Next Minneapolis Fed President
Neel Kashkari, a former financier who managed the U.S. Treasury’s $700 billion rescue of banks in the 2008 crisis, was...
Neel Kashkari, a former financier who managed the U.S. Treasury’s $700 billion rescue of banks in the 2008 crisis, was named the next president of the Federal Reserve Bank of Minneapolis.
Kashkari’s resume includes stops at Goldman Sachs Group Inc. and Pacific Investment Management Co., and a failed run for governor of California last year. At the Treasury, he was Secretary Henry Paulson’s key aide in overseeing the Troubled Asset Relief Program, or TARP. Kashkari will take over from Narayana Kocherlakota on January 1, 2016, according to a statement Tuesday from the Minneapolis Fed.
“He has a little bit of all the pieces you’d want in a Fed president,” said Stephen Stanley, chief economist at Amherst Pierpont Securities LLC in Stamford, Connecticut.
As head of one of 12 regional Fed banks, Kashkari will join the Federal Open Market Committee, the central bank’s policy making panel. The Fed is weighing ending a seven-year era of near-zero interest rates, with investors betting it will move next month. Kashkari is not scheduled to vote on policy decisions until 2017. Kocherlakota, as is customary for outgoing FOMC members, will not attend the December meeting.
QE ‘Morphine’
Kocherlakota is one of the Fed’s most dovish policy makers who has argued it should keep rates on hold into next year. Kashkari has offered observations on monetary policy via his twitter feed, without spelling out whether he would favor raising rates or delaying liftoff in the current climate. In an April 2013 comment he likened the Bank of Japan’s asset purchase program to “morphine. makes u feel better but doesn’t cure.”
“I don’t think we know that much” about Kashkari’s views on monetary policy, said Angel Ubide, a senior fellow at the Peterson Institute for International Economics in Washington. “My experience with people who get appointed is whatever they thought before and what they do later doesn’t necessarily correlate.”
Kashkari, 42, earned bachelor’s and master’s degrees in mechanical engineering at the University of Illinois at Urbana-Champaign, and an MBA from the University of Pennsylvania’s Wharton School. He began his career as an aerospace engineer at TRW Inc. in Redondo Beach, California.
Goldman Sachs
Kashkari’s appointment places another ex-Goldman Sachs banker at the helm of a regional Fed bank. Robert Steven Kaplan at the Dallas Fed and New York’s William C. Dudley are Goldman alums. Philadelphia Fed chief Patrick Harker previously served as a trustee at Goldman Sachs Trust and as a member of the board of managers of Goldman Sachs Hedge Fund Partners Registered Fund.
“We’re disappointed that yet another former Goldman Sachs insider has been elevated to a regional president position,” said Jordan Haedtler at the Center for Popular Democracy in Washington.
Such appointments need “more transparency and public input,” said Haedtler, who’s deputy campaign manager at Fed Up, a national coalition that’s calling for changes at the central bank and wants to keep rates low to boost employment.
Kashkari worked at Goldman in the early 2000s before accepting a post at the Treasury in 2006. He joined Pimco, then led by bond fund manager Bill Gross, in 2009 to help oversee an expansion into equities, an attempt to reduce the firm’s heavy dependence on the fixed-income market. When he left in 2013, the company’s equity unit had attracted $10 billion in assets, or less than 1 percent of the firm’s total assets at the time.
Bank Bailout
TARP, approved by Congress in October 2008, remains one of the more controversial measures taken during the financial crisis. It authorized the government to purchase up to $700 billion in troubled assets from financial institutions, in an effort to bolster global credit markets. The government ultimately used $475 billion, including $250 billion to stabilize banks, $82 billion to bail out auto makers and $70 billion to save insurer American International Group Inc., according to the Treasury’s website.
“Mr. Kashkari is an influential leader whose combined experience in the public and private sectors makes him the ideal candidate to head the Minneapolis Fed,” said MayKao Hang, incoming chair of the Minneapolis Fed’s board of directors and co-chair of the search committee.
Kashkari, a Republican, was defeated by incumbent California Governor Jerry Brown in November 2014, getting 43 percent of the vote to Brown’s 57 percent.
Presidents of the 12 regional Fed banks are appointed by a portion of their respective boards of directors, subject to the approval of the Fed Board in Washington. Reserve bank boards typically consist of nine members, including three bankers. The banking members are excluded under Dodd-Frank from participating in the selection of presidents.
Source: Bloomberg Business
NY Democrats Seek Citizen Rights for Illegal Immigrants
New York Post - September 15, 2014, by Carl Campanile - Illegal aliens in New York could score billions in Medicaid...
New York Post - September 15, 2014, by Carl Campanile - Illegal aliens in New York could score billions in Medicaid and college-tuition money — along with driver’s licenses, voting rights and even the ability to run for office — if Democrats win control of the state Senate in November, the Post has learned.
A little-known bill, dubbed “New York is Home,” would offer the most sweeping amnesty available anywhere in the country to nearly 3 million noncitizens living in the Empire State.
It would bar police from releasing any information about them to the feds, unless it involves a criminal warrant unrelated to their immigration status.
Under the proposed legislation, undocumented immigrants could also apply for professional licenses and serve on juries.
The plan hinges on Democrats — who now control both the governorship and the state Assembly — wresting control of the Senate from Republicans, who oppose immigration amnesty.
Bronx Sen. Gustavo Rivera, who is sponsoring the legislation in the upper chamber, said he thinks the bill would be in position to be passed “if we have a stable Democratic majority in the Senate.”
He also likened his measure to the campaigns to legalize same-sex marriage and medical marijuana.
“It’s something I believe in,” Rivera said Sunday night. “It’s something the state can do and should do.
Democratic Brooklyn Assemblyman Karim Camara, the chief Assembly sponsor, agreed that taking the Senate was key, saying “The bill would have a better shot at passing with a Democratic Senate.”
“I look forward [to] having a robust conversation about how significant this bill is.”
But the GOP plans on using the proposal to warn voters how radical New York would become if Democrats take charge.
Republicans are already referring to it as the “illegal immigrants benefits legislation” and will make the bill their poster child in elections in more conservative upstate and suburban districts.
“This bill could pass if the Democrats are in charge of the Senate. They’re out of their minds,” said Sen. Marty Golden (R-Brooklyn).
“This is astounding. This undermines our nation’s immigration laws and procedures.”
Said state Conservative Party chairman Mike Long: “This is absolutely amnesty. It disregards the laws of the United States. It’s unconscionable,” Long added.
The bill was introduced during the waning days of the legislative session in June, and is backed by immigrant-rights groups including Make the Road New York, the Center for Popular Democracy, and La Fuente.
GOP officials maintain that amnesty for illegal aliens would open the door to fraud and abuse and increase the risk of terrorism.
For example, the bill would let illegals vote in local and state elections, but they would be barred by federal law from voting for presidential or congressional candidates.
Mayor de Blasio pushed through a new city law that created a municipal ID card that provides some benefits to noncitizens.
Camara, chairman of the New York State Black, Latino and Asian Caucus, insisted that only immigrants who prove they have been living productively would get benefits under his bill.
They would also have to show that they have been living in New York for at least three years and have paid taxes to the state.
Source
Fed Up group plans counter Jackson Hole conference
The Fed Up coalition, made up of community activist groups, has rented a conference room in the same hotel where the...
The Fed Up coalition, made up of community activist groups, has rented a conference room in the same hotel where the Kansas City Federal Reserve Bank will be holding its annual Jackson Hole conference starting Thursday.
The group said Monday it will bring in low-wage workers from around the country who are struggling to make ends meet to emphasize the need for the Fed to do more to attack income inequality.
"Our life is a constant struggle. We know we have to pay the rent, buy food and pay the utilities on a very limited budget," Dawn O'Neal, a teaching assistant at a day care center in Atlanta, told reporters on a conference call Monday.
The mother of four said she made $8.50 an hour at her job and her husband, who is currently unemployed, has been trying to earn money by lining up early in the morning to compete for part-time construction jobs.
Ady Barkan with the Center for Popular Democracy and campaign director for Fed Up said that before Fed officials "can have a real discussion of raising interest rates and slowing the economy, they should understand firsthand who it would effect."
Barkan joked that while the Kansas City Fed charges $1,000 per person for its conference, participation in the teach-in will be free. In addition to arguing that raising rates now would be premature, the group will hold discussions on ways to reform the Fed's current selection process for the presidents of the Fed's 12 regional banks.
The group has protested the recent selection of Robert Kaplan, a former top executive at Goldman Sachs and currently associate dean at the Harvard Business School, as the new president of the Dallas Federal Reserve Bank, saying the selection process shut out input from community groups.
While the Fed announced in May that Yellen would not be attending this year's conference, Fed Vice Chairman Stanley Fischer is scheduled to deliver comments on inflation during a panel discussion at Jackson Hole on Saturday.
Financial markets will be closely examining those comments for any hints about whether the Fed is still likely to boost interest rates at its Sept. 16-17 meeting despite a huge sell-off in recent days in stocks that saw the Dow Jones industrial average fall another 588.47 points or 3.6 percent on Monday.
Source: CNBC
Simplify Investments to Keep Them Clean
New York Times - May 11, 2014, Room for Debate: Connie Razza - Public pensions are under threat from outright fraud as...
New York Times - May 11, 2014, Room for Debate: Connie Razza - Public pensions are under threat from outright fraud as well as the financial sector’s drive to generate higher profits for itself, regardless of the cost to our communities. The public can take simple steps to eliminate this danger. Investments should be put in index funds, which typically outperform actively managed portfolios. A recent comprehensive study of the performance of state pension funds found that the 46 state funds studied could save $6 billion in fees annually, while achieving returns as good or better than their actively managed portfolios. Most privately managed pensions already pursue indexing strategies, through vehicles like Amalgamated Bank’s LongView Funds, and successfully secure strong retirement savings for participants. Public pension funds should index a significant portion of their funds under management to save billions while still generating first-rate returns.
Index funds outperform managed portfolios. Relying on them would save on fees and avoid underhanded behavior.
These funds would also save significant amounts in management fees by hiring talented in-house investment managers for significant portions of actively managed pension assets.
Any investment should be presented in plain language in a standardized, easy-to-read template, so trustees and pension participants know exactly what the product does, how it makes money and what its fees and risks are. Like cell phone agreements, all fees should be disclosed up front. Like credit card bills, actual returns and long-term, historical performance should be clearly presented. Oversight of fiduciaries should be bolstered and any who violate their responsibility to retirement funds should be pursued legally. When the State Employees Association of North Carolina hired a pension forensic investigator, they found that the state treasurer Janet Cowell had invested $30 billion in illegal, high-risk funds, causing $6.8 billion in losses. A more robust standing oversight body could have prevented much of that improper investment. The state should aggressively prosecute both pension trustees and private investment managers who put their own benefit above the interest of pension participants. More eyes on the management of retirement assets would help ensure responsible investment strategies and management. Creating a publicly managed pool of retirement funds would invest more residents in pension management, while ensuring that fewer workers would find themselves insecure in retirement. And, increased pension funds make possible more diverse, responsible investments for the actively managed portions of the funds. For instance, funds can take a decisive role in infrastructure investments that will both improve their communities and provide steady, long-term returns.
Source
The Minimum Wage Needs An Upgrade
The Minimum Wage Needs An Upgrade
Seventy-eight years ago today, the Fair Labor Standards Act made a groundbreaking promise to Americans: the promise of...
Seventy-eight years ago today, the Fair Labor Standards Act made a groundbreaking promise to Americans: the promise of a fair minimum wage for an honest day’s work.
That promise, however, has eroded badly over time. In recent decades, the federal benchmark has grown increasingly obsolete, guaranteeing a bare minimum that is nowhere near enough to keep up with the growing costs of rent, food, and other essentials.
As calls for higher wages grow louder nationwide, it is imperative that federal officials take action to raise the federal minimum wage and renew the promise to American workers made nearly a century ago.
If the federal rate had merely kept up with inflation since its peak in the late 1960s, it would be nearly $11, one-and-a-half times today’s rate of $7.25. That rate has stayed stagnant since Congress last raised it in 2009. It is a remarkable number of years to go without an increase in wages, and workers have suffered for it.
In the absence of Congressional movement, states and cities have increasingly moved to give workers the raises they need. Yet entrenched forces at the federal level continue to stonewall, putting forth arguments that grow increasingly irrelevant by the day.
Many, for example, raise the specter of job losses. Yet cities that have raised their minimum wage in the past two years, from Los Angeles to Seattle to Chicago, simply have not seen the kinds of cataclysm that many warned about.
In fact, in Seattle, dozens of new restaurants have opened since higher wages kicked in – including many run by one of the fiercest critics of the increase. By the end of 2015, new permits for restaurants, coffee shops, and other food service establishments were on track to keep pace with or even surpass those issued in years past.
Another myth: higher wages would lead to higher prices - a bigger bill for a Big Mac, a pricier trip to Target. Yet here too, the apocalyptic predictions that precede wage increases fail to come true. In Seattle, the costs of groceries, gas, and retail have stayed stable over the past year - even though businesses warned they would need to hike prices if wages were to rise.
In recent weeks, some fast-food chains have made headlines by declaring they would replace employees with automated kiosks. Looking at the bigger picture, though, the overall risks of automation are low. Research just last year found that, while minimum wage increases can reduce some routinized jobs like cashiers, they also swell the number of more complex jobs like food preparation, resulting in an overall zero-sum change.
The fact is, raising the minimum wage gives local economies a boost by putting more money in the pockets of consumers. Higher wages also let businesses hold on to workers and improve customer satisfaction, all of which improve employers’ bottom line.
That’s why the majority of businesses actually support a higher minimum wage, despite the noise coming from groups like the Chamber of Commerce and the National Restaurant Association. A leaked memo earlier this year showed that 80 percent of business executives around the country support higher wages and paid sick days - and that they are coached to oppose those policies in public.
While powerful interests keep trying to muddle the debate, it’s clear that even a growing economy is simply not reaching millions of hardworking Americans. And it’s not just fast-food workers. A variety of workers receive less than $15: teachers, paramedics, home health-care workers, and many others. A recent study showed that even many manufacturing jobs – the foundation of the middle-class – pay less than $15, forcing the government to cover the gap with public assistance programs like food stamps and Medicaid.
As minimum wages affect more and more workers, it is no wonder that more Americans are starting to get on board. This year, dozens of cities and states – including some that lean deeply Republican – are considering increases. Colorado, Maine, Arizona and Washington State are all running ballot measures that would raise wages for close to two million workers in those states alone.
Rather than focusing on a fantasy Armageddon that never comes, lawmakers in Congress would do well to embrace the need for better pay. In the meantime, states and cities will continue the fight to fulfill the pledge that the FLSA made so many years ago.
By JoEllen Chernow
Source
Tipirneni Gains Momentum In Last Week Of CD8 Special Elections, Outraises Lesko
Tipirneni Gains Momentum In Last Week Of CD8 Special Elections, Outraises Lesko
The democrat gained her financial advantage mostly through small donors, but also recently received support from...
The democrat gained her financial advantage mostly through small donors, but also recently received support from healthcare activist Ady Barkan, who launched a six-figure ad campaign supporting her bid for congress. Barkan’s group, Be A Hero plans on supporting Democratic candidates across the nation, starting with Tiperneni’s campaign in CD8.
Read the full article here.
Nueva York pagará abogados a algunos inmigrantes
El Nuevo Herald - July 18, 2013, by Claudia Torrens - Nueva York se prepara para dar otro paso en su tradición de ayuda...
El Nuevo Herald - July 18, 2013, by Claudia Torrens - Nueva York se prepara para dar otro paso en su tradición de ayuda a inmigrantes: planea pagar los abogados de oficio que necesitan cuando se presentan ante un tribunal de inmigración para defenderse de un orden de deportación.
Para finales de este año o principios de 2014, algunos inmigrantes, autorizados o no, que enfrenten la deportación podrán presentarse ante el juez de inmigración con un abogado de oficio pagado con fondos municipales, reduciendo así sus posibilidades de ser deportados. Activistas, un magistrado federal y funcionarios locales planean anunciar el viernes que el gobierno municipal ha destinado 500.000 dólares a financiar un programa piloto que ofrecerá representación legal a inmigrantes.
Brittny Saunders, de la organización Center for Popular Democracy, dijo a The Associated Press que es la primera vez que un programa de este tipo se implementa en una municipalidad de Estados Unidos.
"La intención es reunir información sobre los beneficios que la representación legal supone tanto para un individuo detenido y en proceso de deportación como para su familia, su comunidad y la ciudad entera", dijo Saunders. "Esperamos que este programa sea un modelo para otras comunidades en todo el país".
Los inmigrantes que acaban en los tribunales de inmigración y que enfrenten la deportación no tienen derecho a ser defendidos por un abogado de oficio. Pueden contratar a un abogado privado, pero muchos no tienen el dinero para pagar ese servicio. Es por ese motivo que el gobierno municipal, varios activistas y el juez federal Robert Katzmann han unido esfuerzos para ofrecer ayuda a inmigrantes en esta situación.
Saunders dijo que en el estado de Nueva York una media de 2.800 inmigrantes enfrenta anualmente la deportación sin acceso a asistencia legal. Muchos de ellos, explicó, con frecuencia son detenidos por infracciones a las leyes de inmigración, como quedarse en Estados Unidos una vez vencida su visa.
El Congreso debate en estos momentos una reforma a las leyes de inmigración y el proyecto de ley aprobado por el Senado hace unas semanas propone un camino a la naturalización de 11 millones de inmigrantes sin autorización para vivir en el país. El gobierno del presidente Barack Obama deportó a más de 400.000 inmigrantes en el año fiscal 2012, una cifra récord.
El juez federal Katzmann y su grupo "Study Group on Immigrant Representation" publicó un informe en el 2011 que indicaba que 18% de los inmigrantes detenidos en Nueva York que cuentan con abogado salen adelante con su caso, mientras que entre los que no tienen asesoría jurídica, la cifra es de sólo 3%.
Entre los inmigrantes no detenidos, 74% sale adelante, mientras que entre los que no tienen asesoría legal la cifra es de 13%, señala el informe.
El programa piloto que se planea presentar el viernes — llamado "New York Immigrant Family Unity Project" (Proyecto por la Unidad Familiar de los Inmigrantes en Nueva York) — necesita escoger a través de un proceso público de varios meses a una organización sin ánimo de lucro que ofrezca sus abogados para la representación legal.
La presidenta del Concejo Municipal de Nueva York, Christine Quinn, ha sido una de las impulsoras del financiamiento del programa. Quinn aspira a ser la próxima alcaldesa de la ciudad durante elecciones municipales en noviembre.
En Nueva York viven más de tres millones de personas nacidas en otros países, según información del Censo.
Source
Fed Chair Candidate Kevin Warsh Draws Opposition From Left and Right
Fed Chair Candidate Kevin Warsh Draws Opposition From Left and Right
On a Wednesday in mid-September, a group of progressive activists concerned about the stewardship of the American...
On a Wednesday in mid-September, a group of progressive activists concerned about the stewardship of the American economy packed a meeting room on Capitol Hill with staff of Senate Democrats. Part strategy session and part pep talk, the gathering had a very specific aim.
“We’ll do whatever we can do to prevent Kevin Warsh from taking on the role of chair of the Federal Reserve,” Jennifer Epps-Addison, president of the Center for Popular Democracy, told the gathering.
Read the full article here.
1 month ago
1 month ago