The Wonk Room

Judge Throws Out Arizona GOP’s Attempt To Bamboozle Voters Into Supporting Anti-Union Ballot Initiative

Back in April, the Arizona legislature passed its controversial immigration law, SB-1070, that has brought the state a deserved amount of scorn. But that is not the only pernicious work being undertaken by the Arizona state government.

This week, Republicans in the Arizona legislature are scrambling to repair the language of an anti-union ballot initiative that they hope to put before voters in November, after a judge tossed out their previous version. The initiative is meant to pre-but passage of the Employee Free Choice Act (EFCA) — which would grant workers the right to immediate union recognition if a majority sign cards indicating that they support the union — by outlawing unionization not done by “secret ballot.”

But the initiative’s proponents tried to bury their intent by applying their secret ballot standard to all elections, including those for federal and state political offices. A Superior Court Judge was not amused by the move, which violated “a prohibition against constitutional amendments dealing with more than one issue”:

Courts generally have said the purpose of that ban is to prevent “logrolling,” where voters who want one provision are essentially compelled to approve something else they do not want. Maricopa County Superior Court Judge Robert Oberbillig said the legal problems appear to go beyond that. He said elections for public office already are by secret ballot. And Oberbillig questioned whether that provision wasn’t included as an inducement to get voters to approve the more controversial union measure.

The Arizona GOP is now back at work, drafting a version of the language that it feels will pass a judge’s muster.

But this whole effort is silly for a couple of reasons. The first is that the states are usually not allowed to circumvent a process that has been explicitly laid out by the federal government. Even the attorney representing those pushing the initiative “acknowledged that the provisions of federal law generally preempt state regulations and even constitutional provisions.”

The second is that workers are already allowed to form unions without a formal election, and have been doing so without controversy for years. In fact, since 2003, more than half a million workers have been organized by majority sign-up, including those at Cingular Wireless, Dow Jones, Pacific Gas & Electric, and Kaiser Permanente. The only catch is that, in order for this process to proceed, the employer has to give its okay. Even if a vast majority of workers indicate that they want to join a union, the employer can demand an election, giving itself ample time to intimidate or even fire pro-union workers.

A joint study by Rutgers University, Cornell University, and the Universities of Oregon and Illinois, which examined data from union campaigns in four states, shows that “the majority sign-up provision was used extensively without hint of union or employer abuse,” and that “contrary to business claims…there was not a single confirmed incident of union misconduct.”

Yesterday, President Barack Obama said that “we are going to keep on fighting to pass the Employee Free Choice Act.” It’d be really great if that were so, Arizona’s suspect attempt to nullify it notwithstanding.




O’Reilly Wonders Why Obama Opposes Same-Sex Marriages

Late last month, Bill O’Reilly suggested that President Barack Obama should “sign an executive order” ending Don’t Ask, Don’t Tell (DADT) and yesterday, during a segment about Judge Walker’s decision overturning Proposition 8, O’Reilly wondered why Obama has not come out in support of same-sex marriages:

O’REILLY: But why do you think he opposes it?

HOLDER: I don’t know. I mean, I wish we could get a reason from him…. I wish we could get a reason from him instead from Axelrod and his administration. Why do I think? I can’t speculate for the president. I don’t think anybody knows.

O’REILLY: Because I don’t know either. I mean, I got — I’ll sympathize with you. I don’t know why the president is against it either. I mean, you know.

Watch it:

O’Reilly’s concern is shared by many opponents of Proposition 8, who have expressed bewilderment over the administration’s response to the ruling. The administration attempted to portray the President both as a supporter of Judge Walker’s decision and an opponent of same-sex marriage.

“The President has spoken out in opposition to Proposition 8 because it is divisive and discriminatory. He will continue to promote equality for LGBT Americans,” the White House said Wednesday night after the ruling and tried to clarify its position the following day. “The president does oppose same-sex marriage, but he supports equality for gay and lesbian couples, and benefits and other issues, and that has been effectuated in federal agencies under his control,” Obama adviser David Axelrod told MSNBC. “The president opposed Proposition 8 at the time — he felt it was divisive and mean spirited,” he said, adding that Obama believes that governing marriage is “an issue for the states.”

Blogger Andy Towle described the response as “An odd statement from a President whose official position on marriage is not equality, and whose Justice Department continues to aggressively defend DOMA in the courts.” Similarly, John Aravosis remarked that Axelrod’s point suggests that “the President is for ’separate but equal’ benefits for gay couples.” “Putting aside the obvious horror of that statement, we can’t get ‘equal’ benefits because of DOMA. That would be the law that the President routinely defends in court against our civl rights challenges, and the law about which the President has done nothing to get repealed, even though he promised to repeatedly during the campaign.”

During the 1996 race for the Illinois State Senate, however, Obama expressed support for marriage. “I favor legalizing same-sex marriages, and would fight efforts to prohibit such marriages,” Obama said in an answer to a 1996 Outlines newspaper question on marriage. (H/T: Towleroad)




The WonkLine: August 6, 2010

Welcome to The WonkLine, a daily 9:30 a.m. roundup of the latest news about health care, the economy, national security, immigration and climate policy. This is what we’re reading. Tell us what you found in the comments section below. You can also follow The Wonk Room on Twitter.

 

Environment

Fueled by record heat, “dense clouds of acrid smoke from peat and forest fires choked Russia’s capital on Friday” and “could pose a nuclear threat by releasing into the atmosphere radioactive particles buried in trees and plants from the 1986 Chernobyl nuclear disaster” as the death toll “rose to at least 50.”

Fueled by record precipitation, massive floods are sweeping through North Korea, China, and Pakistan, killing at least 2500 people and displacing millions.

Global warming and ocean acidification from burning fossil fuels mean that oysters are in “serious trouble,” according to scientists.

Immigration

The chairman of the Prince William Board of County Supervisors has asked Congress to subpoena certain Immigration and Customs Enforcement records that he thinks will “outrage the general public.”

The U.S. Senate approved $600 million in emergency funding to help secure the U.S.-Mexican border.

The two men found guilty of beating to death an Ecuadorian immigrant, José O. Sucuzhañay, in 2008 received the maximum sentence of 30 to 37 years in jail.


National Security

“Prime Minister Vladimir V. Putin on Thursday banned all exports of grain after millions of acres of Russian wheat withered in a severe drought, driving up prices around the world and pushing them to their highest level in two years in the United States.”

“Japan marked the 65th anniversary of the U.S. atomic bombing of Hiroshima on Friday with the United States represented at the ceremony for the first time.”

“US President Barack Obama said he remains willing to speak with Iran on its nuclear program and international sanctions if the Tehran follows “a clear set of steps,” according to comments published Thursday.”

Health Care

“For the 11 million people signed up for Medicare Advantage plans, their future with the popular program may depend on where they live.”

“Blue Cross Blue Shield of Massachusetts, the state’s largest health insurer, has agreed to reduce a dramatic rate hike for individuals and small businesses, becoming the fourth major insurance company to reach a deal with the state after regulators rejected their initial price increases four months ago.”

“As Americans struggle with double-digit hikes in their health insurance bills, millions are coming up against a hard reality: the state regulators who are supposed to protect them can often do little to control what insurers are charging.”


Economy

According to the latest jobs report from the Bureau of Labor Statistics, the U.S. economy lost 131,000 jobs last month and the unemployment rate remained at 9.5 percent. Private sector employment increased by 71,000, while 143,000 temporary Census jobs came to an end.

Council of Economic Advisers chair Christina Romer “has resigned her post to return to her old job as an economics professor at the University of California at Berkeley.” Romer is also reportedly “a serious candidate to replace Janet Yellen as president of the Federal Reserve Bank of San Francisco.”

Senate Republicans used a procedural move to send the nomination of Peter Diamond, one of three nominees for the Federal Reserve Board, “back to the White House because of objections from at least one lawmaker.”





Why Is Virginia Allowed To Manufacture Standing In Its Health Law Challenge?

On Monday, a judge in Virginia ruled that the state’s lawsuit challenging the individual mandate in the new health care law should proceed partly because the state’s recently enacted ‘Virginia Health Care Freedom Act’ — which protect Virginia citizens from the individual requirement — conflicts with the federal requirement and “therefore encroaches on the sovereignty of the Commonwealth and offends the Tenth Amendment of the Constitution.”

“Although this lawsuit has the collateral effect of protecting the individual interests of the citizens of the Commonwealth of Virginia, its primary articulated objective is to defend the Virginia Health Care Freedom Act from the conflicting effect of an allegedly unconstitutional federal law,” Judge Henry Hudson wrote in his opinion. “Despite its declaratory nature, it is a lawfully-enacated part of the laws of Virginia. The purported transparent legislative intent underlying its enactment is irrelevant.”

Indeed today, during an appearance on MSNBC, Virginia Governor Bob McDonnel practically admitted that Virginia’s standing in suing the federal government is derived almost solely from the legislation he signed “about four months ago”:

MCDONNELL: Well Andrea, Virginia is one of 21 states that have a suit. Virginia has its own challenge in part because of the bill I signed about four months ago that makes it illegal under Virginia law for anybody to be forced to buy health insurance. That gives us unique standing. Twenty other states have joined a suit in Florida that are also challenging it. That is in a separate federal court. But Andrea, I would suspect that no matter what happens out of Judge Hudson’s ruling in October that one side of another is likely to pursue this up to the Supreme Court.

Watch it:

Here, McDonnell is almost gleeful about inventing standing for his state. And while Hudson believes that “the purported transparent legislative intent” of manufacturing tension between state and federal laws is “irrelevant,” one must wonder about what kind of precedent this establishes. If Virginia has standing, then the restriction on state standing is a joke. States can follow McDonnell’s lead and legislate around it, challenging any federal law they disagree with, resulting in a plethora of the very kind of frivolous lawsuits that Republicans typically detest.




700 Questions, One Purpose: Delay START

capitol-obstruction-240pxThe logic behind Sen. John Kerry and the Obama administration’s decision to delay the Senate Foreign Relations Committee vote on New START was not — as was widely reported — because START lacked support. Conversely, it was because they felt that they were very close to getting two Republicans Senators — Bob Corker (R-TN) and Johnny Isakson (R-GA) to vote for the treaty, as both seemed genuinely supportive. Getting these two might have meant game over, as it would have given more moderate Republican Senators plenty of political cover to vote for the treaty.

Yet the prospects for Lucy taking the football away on this are pretty apparent. The principle reason for the delay was that the Senate Foreign Relations Committee couldn’t actually dot all the i’s and cross all the t’s on the treaty process such that Republicans would be satisfied. And as we all know, if there is one thing the GOP cares about it is process. But much of the reason for the process issue was due to the submission of more than 700 questions from GOP Senators on the committee to the Administration. Now asking questions is fine. Asking a lot of questions is also fine. But asking such a quantity of questions so late in the game after months of hearings frankly reeks of duplicity.

Even if you take the motivations behind these questions at face value – that GOP Senators genuinely had questions about the treaty — what has also become clear since the vote was delayed is that there is a concerted political strategy on the part of the GOP leadership, led by Senator Jon Kyl, to delay and stall the floor vote on the treaty until next year after the Administration submits its next budget. Kyl wrote this in the Wall Street Journal and said as much to Politico yesterday:

If they want to schedule Senate floor time for the Senate treaty ratification in September, they can figure a) it’s going to take a long time to get done, and b) some of these conditions would not have been fully satisfied.

Time Magazine also quoted a Senate Republican Aide (hmm… I wonder who he works for) who said:

This notion that [ratification] is going to happen before November is completely absurd… It reeks of politics.

In other words, if this is brought to the floor in September Kyl is going to make this long and painful. Kyl has roped his troops in line and Senators McConnell (R-KY), Corker, Isakson, Alexander (R-TN), and Bennett (R-UT) have all basically said they are Kyl lemmings. Therefore, it is quite possible that even if Corker and Isakson vote for the treaty in committee in September, they could still support Kyl’s efforts to delay the vote on the floor by noting their continued support is conditional on the Administration meeting Kyl’s demands for nuclear modernization funding.

But the demands from Kyl (as well as Corker) that the Administration lavish billions of dollars more of unpaid for pork on the nuclear weapons complex are so vague that the Administration likely couldn’t even meet these demands if they wanted to. Instead these demands seem to be about just as much about kicking the New START can into next year, where Kyl – with likely more GOP Senators to work with – will have even more leverage over the Administration.

What makes this all the more pernicious is that Kyl basically supports the treaty. He called it benign and others have said he is leaning toward supporting it. Last year he even warned of the dangers of the Administration not getting a START deal. So why is Kyl holding the treaty hostage? Simple, as an extreme nuclear hawk, Kyl is attempting to use START to extract as many concessions as possible from the Administration such that he in effect kills off any chance of further action on the President’s larger nuclear agenda. Kyl is essentially trying to make the Administration chose between START and its Prague Agenda.

In summation, Kyl is taking a very modest treaty, one that he supports, and one that he knows if it failed would have disastrous consequences for US national security, and holding a gun to its head threatening to pull the trigger unless the President commits to building and explosively testing new nuclear weapons – something that would kill the President’s whole agenda.

Delaying the vote, may have made sure that Senator Kerry and the Administration couldn’t be accused of “rushing” the process, but in the end it probably only strengthened Kyl’s hand and got him closer to his goal of blocking the treaty this year. In the end, the only way the treaty probably gets passed this year is if the Obama administration and the Senate leadership call Kyl out and force a vote. As Senator Lugar said, after the vote was delayed:

We ought to vote now and let the chips fall where they may. It’s that important.




Nelson And Lincoln Vote To Permanently Extend Bush Tax Cuts, Massively Increase Deficit

ben_nelson_0Last month, as the Senate was gridlocked by a Republican filibuster of a bill to extend much-needed unemployment benefits to millions of out-of-work Americans, Sen. Ben Nelson (D-NE) stood with the GOP against the extension. Nelson claimed that his concerns about the deficit overrode his support for the extension; he voted against the bill that finally passed 60-40.

Later that week, Nelson came out in support of an extension — “for now” — of the Bush tax cuts for the wealthiest Americans, which adds many billions more to the deficit than the unemployment insurance extension. In fact, extending the Bush tax cuts for one year alone would add $115 billion to the deficit, compared to the “relatively tiny budgetary cost of $33 billion” for the extension of UI benefits.

Today, though, Ben Nelson provided further evidence that he is a deficit peacock — someone who claims to be concerned about the deficit but isn’t actually interested in taking serious steps toward a balanced budget. Before the final vote on the states’ aid bill that passed today, Sen. Jim DeMint (R-SC) offered two amendments that would, in effect, permanently extend the Bush tax cuts. David Dayen has the results:

Before passing the state fiscal aid bill, Democrats actually gave Jim DeMint two votes on tax rates. He wanted to add massively to the deficit – literally trillions of dollars – by freezing in place the tax rates on individuals and “small businesses” that we have now, and which make us one of the most lightly-taxed industrialized nations on the planet. And look at this: Democrats rejected the measure entirely. On both votes, only Ben Nelson [and Sen. Blanche Lincoln (AR)] crossed the aisle to vote with all Republicans [except deficit hawk George Voinovich (OH)]

Nelson and Lincoln (who also claims to be concerned about deficits) apparently don’t mind spending $3.1 trillion over the next ten years to pursue ineffective tax cuts for the wealthy. Perhaps they should have listened to their colleague, Sen. Max Baucus (D-MT), who said of DeMint’s proposal, “that’s not serious. Is that a stunt? Yes, it’s a stunt. Is it a gimmick? Yes, it’s a gimmick. Is it serious? No, it’s not serious.”

DeMint is particularly “not serious” when it comes to paying for his extraordinarily expensive amendments. Both came “with instructions to offset as necessary through spending reduction,” Senate-speak for “we’ll worry about the cost later.”

Charlie Eisenhood




New Medicare Trustees Report Demonstrates Republicans Can’t Repeal Bill Without Undermining Medicare Program

A new Medicare Trustees report finds that the Independent Payment Advisory Board [IPAB], the payment reform demonstration projects, and productivity improvements in the new health care law will save Medicare $8 billion by the end of 2011, and $575 billion over the next decade. The law will also extend the life of Medicare’s hospital fund (Medicare Part A) by 12 years, which will now remain sustainable through 2029.

This afternoon, during a conference call evaluating the new report, Robert Greenstein of the Center for Budget and Policy Priorities (CBPP), argued that should Republicans attempt to repeal all or portions of the health care law, the would significantly undermine the longevity of the Medicare program. Greenstein maintained that if the GOP becomes the governing party, it would be against their political interests to suspend IPAB and the payment reform demonstration projects — which the GOP has pledged to repeal:

GREENSTEIN: If the entire Affordable Care Act is repealed, that’s a different story, but then the Medicare trust fund finances would be in much worse shape. But assuming the bill remains in affect, I think that the fiscal pressures on the whole federal budget moving going are going to be so severe and Medicare plays such a central role in this, that it is really hard for me to imagine policymakers of either party…whoever is in the position of governing is going to desprately need to find efficiency savings in Medicare and it will be in their political interest…. to pursue whatever measures can devleop and produce savings, especially savings that result from payment and delivery system reforms, rather than from the more unpoular approch of cutting beneficiaries’ benefits and raising premiums.

Greestein also responded to the GOP’s claims that the trustees’ findings are contradicted by the CMS’s own actuary, Richard Foster, who has predicted that some of the savings from health care reform may not materialize. Under Foster’s more pessimistic analysis, only 60% of the projected savings would be realized. Consequently, the insolvency of the Medicare Trust Fund would be moved back to 2028 instead of 2029 and only half of the current shortfall would be closed (instead of four-fifth as the actuaries predict.)

“Under either conclusion, this is still a dramatic improvement.” “The most likely scenario probably lies in between those two.” But in their report, the trustees underscore the “the crucial importance of moving forward strongly with the pilots and the demos and the research and really running what results from that.”




Three Quarters Of Oil Disaster Unrecovered, Most Still In Gulf

A new government report estimates that three quarters of the two-hundred-million-gallon BP oil disaster remains in the Gulf of Mexico region in some form, with about one hundred million gallons of oil still of concern. The massive effort to burn and skim oil captured only eight percent of the total, confirming fears that the skimming operations would be largely ineffective. Most of the oil — 52 percent — has been dispersed or dissolved, either naturally or by the use of chemical dispersants. TNational Oceanic and Atmospheric Administration (NOAA) and the Department of the Interior scientists believe that uncaptured oil is in the process of evaporating or dissolving, hopefully with little toxic effect. About 50 million gallons of oil — five times the Exxon Valdez spill — has either washed ashore or is in the remaining slicks that surround Louisiana’s marshes. Some government officials and news organizations gave an unusually rosy picture of the report’s findings:

Associated Press: “Report: Only one quarter of oil left in Gulf

New York Times: “Oil in Gulf Poses Only Slight Risk, New U.S. Report Says

Carol Browner, presidential energy adviser: “I think it’s also important to note that our scientists have done an initial assessment and more than three quarters of the oil is gone. The vast majority of the oil is gone. It was captured. It was skimmed. It it was burned. It was contained.”

Watch Browner on NBC’s Today Show:

“Let’s look at this another way,” marine conservationist Rick Steiner, a retired University of Alaska scientist, told McClatchy, “that there’s some 50 percent of the oil left. It’s still there in the environment.”

NOAA Administrator Jane Lubchenco, while claiming that there is “a negligible amount of oil at the surface,” expressed serious concerns about the invisibly dispersed oil. “The oil that is in tiny droplets may be toxic,” she said at a White House press briefing. “We do remain concerned about the oil in the subsurface. Effects of this spill will likely linger for decades.”

The unusually precise figures being reported by the government are built on “educated scientific guesses,” admitted NOAA emergency response senior scientist Bill Lehr. “There’s some science here, but mostly, it’s spin,” oil spill expert Ian McDonald, a scientist with Florida State Univerisity, told NPR. “And it breaks my heart to see them do it.”

Natural degradation of the oil does not come without environmental cost. As bacteria multiply to consume the hydrocarbons, they deplete the ocean of oxygen, exacerbating the huge dead zone along Louisiana waters induced by agricultural pollution and global warming. “The microbial community is going to break this down, but it doesn’t come for free,” Dr. Mandy Joye, a marine scientist at the University of Georgia, told EarthSky. “It comes at the expense of the oxygen budget of the system, and that’s something that’s not easily corrected.”

The New York Times backpedaled a bit today, reporting that its claims the oil was “disappearing” have been met with “skepticism if not outright distrust.” Instead of admitting her paper had misinterpreted the report, however, reporter Campbell Robertson blamed “environmental groups that came to the gulf in droves, lawyers who have been soliciting clients from billboards along roads leading south, a sensation-hungry news media and politicians who have gained broad popularity for thundering in opposition to response officials.”




Is John McCain An ‘Apologist’ For Terrorism?

raufEric Trager has a thoughtful piece on the Ground Zero Mosque, in which he calls out the stark idiocy of his erstwhile Commentary colleague Jennifer Rubin’s comparison of Cordoba House to a monument at Pearl Harbor to the Japanese Emperor Hirohito, and Newt Gingrich’s suggestion that the U.S. shouldn’t allow any more mosques until Saudi Arabia allows synagogues and churches:

Never mind that, whereas Hirohito was singularly responsible for the attack on Pearl Harbor, American Muslims had nothing to do with 9/11 (and, in fact, many American Muslims were murdered in the attacks). And never mind that America is not Saudi Arabia, and hence does not aspire to Saudi standards of religious tolerance.

The real outrage is that these opponents of the so-called “Ground Zero mosque” apparently agree with Osama Bin Laden that Al Qaeda’s way is the true Islamic way, rightly understood. It is only through this leap of logic that the institutions of a billion-strong faith become synonymous with the greatest crimes of its most radical adherents.

I think Trager steps wrong, however, when, in what I suppose is an attempt at even-handedness, he identifies “a second, equally disturbing trend” in the debate over Cordoba House: “the prominence of apologists for acts of Islamist terrorism within the American Muslim community”:

As critics of the Islamic center rightly noted, Imam Feisal Abdul Rauf, one of the project’s principals, parroted the Saudi line immediately following the 9/11 attacks, telling “60 Minutes,” “I wouldn’t say that the United States deserved what happened, but the United States’ policies were an accessory to the crime that happened.” [...]

The real outrage is that the imam of an Islamic organization that aims to “improve Muslim-west relations” rationalized the 9/11 attacks, rather than condemning them outright.

First, can the statements of one person really be a “trend”? Second, Rauf’s comments (while admittedly inelegantly and dodgily phrased) don’t seem to me to “rationalize the 9/11 attacks” as much as to explain and put them in an historical context (though I understand that there are those who simply refuse to admit any distinction there).

While one can agree or disagree with that context — that is, agree or disagree with the idea that U.S. policies contributed in any way to 9/11 — it’s important to note that this is a central contention of the post-9/11 neoconservative critique: That the U.S. was, in a sense, paying a price for decades of reliance on autocratic Middle East rulers for the maintenance of an illusive “stability.”

This was pretty clearly elucidated by Sen. John McCain in his big foreign policy speech to the Los Angeles World Affairs Council in March 2008. “For decades in the greater Middle East,” McCain said, “we had a strategy of relying on autocrats to provide order and stability“:

[The United States] relied on the Shah of Iran, the autocratic rulers of Egypt, the generals of Pakistan, the Saudi royal family, and even, for a time, on Saddam Hussein. In the late 1970s that strategy began to unravel. The Shah was overthrown by the radical Islamic revolution that now rules in Tehran. The ensuing ferment in the Muslim world produced increasing instability. The autocrats clamped down with ever greater repression, while also surreptitiously aiding Islamic radicalism abroad in the hopes that they would not become its victims. It was a toxic and explosive mixture. The oppression of the autocrats blended with the radical Islamists’ dogmatic theology to produce a perfect storm of intolerance and hatred.

We can no longer delude ourselves that relying on these out-dated autocracies is the safest bet. They no longer provide lasting stability, only the illusion of it.

So was John McCain “rationalizing” terrorism and extremism? Or was he simply recognizing that short-sighted U.S. policies had contributed to the problem?

Or is it only permissible to say such things if you follow it up with “…and that’s why we need to invade and occupy their countries”?

Obviously it’s important to recognize the sensitivities around this, but it seems that Rauf and McCain were making very similar critiques. Yet only one of them is labeled an apologist for terrorism.




EXCLUSIVE: PowerPoint Reveals Tesoro Recruiting Other Oil Companies, Including BP, To Repeal CA Clean Energy

Oil CompaniesThis post is part of a Progressive Media blogging series on the fossil fuel-funded Prop 23 effort to repeal California’s clean energy climate law. Read Rebecca Lefton’s posts on Prop 23’s economic impact, national repercussions, and funding from Texas oil companies.

Working with veteran tobacco lobbyists in Sacramento, Texan oil companies are orchestrating a campaign to roll back California’s landmark clean energy climate change law, AB 32. So far, the largest donations have came from San Antonio-based Valero, which has ponied up over $1 million for the effort, and refining giant Tesoro, also based in San Antonio, contributing $525,000. Today, the Sacramento Bee reports that state Democrats are asking Attorney General Eric Holder to open an investigation into these donations.

In public, the repeal AB 32 campaign — given the Orwellian moniker “California Jobs Initiative” — says it is about helping low income people, small businesses, and improving the California economy. But behind closed doors, it’s about boosting already sky high oil company profits. According to Valero’s 10-Q corporate disclosure forms, the company views compliance with AB 32 as a risk to their bottom line.

According to a PowerPoint presentation obtained by the Wonk Room, Tesoro has been courting other oil companies to join their crusade to rescind AB 32. At an April 13th presentation to the Western States Petroleum Association, Dave Reed, a Tesoro refinery executive in Los Angeles, pitched his clean energy repeal initiative, Proposition 23. The Western States Petroleum Association is an oil trade group, like the American Petroleum Institute on the national level, that advocates for the interests of their industry, including expanded offshore drilling off California’s coast. The Association is made up of many oil companies operating in California, including BP, ExxonMobil, and Shell Pipeline. Reed’s PowerPoint drives home the message that cleaning the air and diversifying California’s energy sources will have a negative “impact on [Tesoro's] business.” View a screenshot of Page 15 of the presentation below:

Tesoro Presentation

Shortly after Reed’s presentation, three Western States Petroleum Association members — Venoco, Occidental Oil and Gas, and Berry Petroleum — donated to the Prop 23 campaign. Other Association members, like BP and ExxonMobil, have remained quiet — although it is possible these companies are secretly funneling their donations through fronts like the Adam Smith Foundation, a Missouri-based nonprofit that is mysteriously financing the repeal AB 32 campaign.

Leading Prop 23 proponent Assemblyman Dan Logue (R-Linda) told the Wonk Room that he expects that his effort will raise a whopping $50 million. To date, Chevron has explicitly steered clear of the Prop 23 campaign. To gain extra funds, Valero lobbyist Mike Carpenter, a former top Philip Morris political operative, has spent the past few months recruiting other trade association support for the initiative, spending April meeting with groups like the California League of Food Processors.




Meg Whitman Says Feds ‘Shouldn’t Be Telling Arizona What To Do,’ Opposes ‘Path To Legalization’

Yesterday, Southern California conservative radio hosts John and Ken grilled gubernatorial candidate Meg Whitman (R-CA) on the two conflicting messages she is sending to voters on immigration in English and in Spanish. To begin with, the hosts pointed out that Whitman has over 30 billboards in Latino-heavy areas of the state proclaiming “No to Proposition 187 and no to SB-1070″ in Spanish. However, as Wonk Room reported last week, Whitman recently told a California English-language radio station that the “Arizona [immigration] law should stand for Arizona” and that she opposes implementing SB-1070 in California simply because the state is bigger. Whitman reiterated yesterday that the federal government shouldn’t be telling Arizona what to do:

HOST: “The Arizona law should stand for Arizona,” but in the Spanish commercial you said that you oppose the Arizona law. Which is it?

WHITMAN: I oppose the Arizona law — have from the beginning. [...]

HOST: Why wouldn’t the Arizona law work because we have bigger geography? [...] It’s the opposite of what you said in the Spanish language commercial. You said clearly no on the Arizona law and you said clearly in English that you were fine with the Arizona law in Arizona.

WHITMAN: That’s not true. What I said is states’ rights have to preside here and that I didn’t think it was right for the federal government to be telling Arizona what to do. [...]

After probing Whitman on her confusing stance on SB-1070 John and Ken pursued the conflicting positions she’s presented in English and Spanish on a path to legalization for undocumented immigrants. When Whitman was running against Republican Steve Poizner in a tough primary, she repeatedly described a path to legalization as “amnesty.” However, in a Spanish-language editorial, she indicated that she and her opponent, Jerry Brown (D), share an almost identical immigration platform and that both oppose granting a path to legalization without requiring undocumented immigrants to pay fines or learn English. Furthermore, last October, before immigration heated up, Whitman favored a “program in which people would go to the end of the line, pay a fine and do things that would allow for a path to legalization.” John and Ken pushed Whitman to unequivocally admit that she does not support legalization under any circumstances:

HOST: In the Steve Poizner ad you said ‘path to citizenship’ is amnesty, here, you’re saying a path to citizenship is not amnesty…you said that in Spanish.

WHITMAN: A blanket path to amnesty, what Reagan did, is amnesty. When there’s no penalties. And a path to citizenship is amnesty too. I’m not for either of those. [...] I am not for a path to citizenship. You know that.

HOST: You are not for a path to citizenship?

WHITMAN: Correct.

HOST: Well, that’s not what you say here. That’s not what it says in your Spanish editorial. [Silence] [...] No illegal alien is going to get any kind of citizenship unless they leave the country and apply through the process, is that true?

WHITMAN: Yes.

Watch it:

Whitman appears to have finally given some definitive answers on her tough immigration position in English. However, it’s doubtful she’ll start posting giant billboards in Spanish promoting her support for Arizona and writing Spanish-language editorials about her opposition to a path to legalization under any circumstances.




Holtz-Eakin: ‘No Serious Research Evidence’ Confirms The Republican View That Tax Cuts Pay For Themselves

Recently, a slew of Republicans have tried to make their case for extending the Bush tax cuts for the wealthy by claiming that doing so would actually increase revenues for the federal government. “There’s no evidence whatsoever that the Bush tax cuts actually diminished revenue. They increased revenue, because of the vibrancy of these tax cuts in the economy,” claimed Senate Majority Leader Mitch McConnell (R-KY), adding that this is “the view of virtually every Republican.”

“When President Bush imposed those tax cuts, they actually generated economic growth, they expand the economy, they expand tax revenue,” said Rep. Mike Pence (R-IN). Karl Rove even went so far as to claim that the Bush tax cuts led to “the largest amount of revenue being received by the government.”

Yesterday, I spoke with American Action Forum president Douglas Holtz-Eakin, formerly Congressional Budget Office director and an adviser to the McCain 2008 presidential campaign, who correctly pointed out that there is “no serious research evidence” backing up the GOP’s positon:

I have never been in the camp that believes that quote ‘tax cuts pay for themselves.’ There is no serious research evidence to suggest that. The work we’ve done on what would happen if you were to sort of raise or lower taxes suggest about a 20 to 30 percent offset, depending on how you do it. And I think that’s in the mainstream of the thought.

Watch it:

That, however, was where our agreement ended. Holtz-Eakin wants to see all of the Bush tax cuts extended because of their supposed effect on small businesses. I noted that fewer than two percent of small businesses file in the top two income tax brackets, to which Holtz-Eakin replied that the more important statistic is that half of business income is subjected to those higher tax rates.

While that’s true, the same report finding that half of net business income is in the top two tax brackets explicitly noted that “these figures for net positive business income do not imply that all of the income is from entities that might be considered ’small.’” Yesterday, Treasury Secretary Tim Geithner called the assertion that allowing the Bush tax cuts for the rich to expire would hurt small businesses “a political argument masquerading as substance”:

Now some have argued that even if only a few percent of small business owners make over $250,000, these few make up a vast amount of supposedly small business income. This argument apparently counts anyone who receives any type of partnership or business income as if they were a small business. By this standard, every partner in a major law firm and every principal in a major financial institution would count as a separate small business. A CEO who has board fees or speech fees would also count as a small business owner under this overly broad definition.




Managing Tensions On The Korean Peninsula

Our guest bloggers are Winny Chen, a Policy Analyst and Manager of China Studies, and Anne Paisley, an intern with the National Security and International Policy Team at the Center for American Progress.

China-North.KoreaEarlier this week, the United States announced additional sanctions aimed at cutting off funding to North Korea’s nuclear program and its affluent ruling class. The effectiveness of the sanctions will depend significantly on cooperation from China, which supports North Korea’s struggling economy and denies the international investigation that blamed North Korea for the sinking of the South Korean warship Cheonan last March. China, South Korea and the United States all support regional stability, but differences on how to respond linger, as another act of aggression from Pyongyang potentially looms over the region. The United States must make clear that stability is a responsibility of all parties in the region, and it should continue to push hard for China’s support of sanctions in order to prevent another provocative move by North Korea.

Pyongyang’s aggressive behavior demanded a strong international response, which unfortunately China blocked using its permanent position on the United Nations Security Council. The U.N.’s watered-down statement in July condemned the sinking of the Cheonan but did not specifically blame North Korea, which Beijing and Pyongyang viewed as a “great diplomatic victory.” In the absence of a robust international response, the United States stepped up its presence in the region last month by conducting joint military exercises with South Korea and reestablishing ties with Indonesia. North Korea vowed a “physical response” to the joint military exercises in the Sea of Japan, but by the end of the drills on June 28, North Korea had not followed through on its threats and even signaled that it may be interested in returning to six-party talks on its nuclear program, though doubts remain about Pyongyang’s true commitment to talks.

While Washington and Beijing both want regional stability, the two countries disagree on how best to achieve it in the aftermath of the Cheonan sinking. The Obama Administration has adopted a three-part strategy for dealing with North Korea — engaging the U.N., strengthening our alliance with South Korea and targeting North Korean leadership responsible for aggressive behavior and nuclear proliferation through sanctions. As part of that plan, Washington imposed economic sanctions on North Korea to block money that could be used for missiles and nuclear bombs and to keep money from Pyongyang’s wealthy ruling class.

China, on the other hand, wishes to preserve North Korea as a buffer state between itself and South Korean and U.S. troops stationed along the North and South Korean border, so it remains reticent on taking measures against its ally. Beijing also fears that sanctions could cause Pyongyang to collapse and a failed North Korean regime would send thousands of refugees into Northern China. China ultimately did not support international sanctions against the North in order protect its own borders and security concerns and prevent a potential humanitarian crisis on the peninsula.

This poses a significant challenge, as China’s cooperation is vital for the sanctions to be effective in North Korea. China’s refusal to support strong U.N. actions against North Korea or to take any meaningful actions against its rogue neighbor is a step back from the responsible positions China had taken in the last year, such as passing and enforcing sanctions on North Korea and allegedly denying Kim Jong-Il’s request for aid after North Korea shot ballistic missiles over South Korea in 2009. Some analysts surmise the North is planning more missile tests and a strong response is needed now to deter more provocative acts from the peninsula and to prevent an escalation. The U.S.–South Korea joint military exercises are a good start, but more is needed on the Chinese side.

Convincing China to pressure Kim Jong Il’s government is a challenging task for the Obama administration, especially as U.S. involvement in the South China Sea and Korean Peninsula continue to irritate U.S.-China relations. China holds strategic and diplomatic clout over the struggling country but does not see North Korean de-nuclearization as essential to global or even regional stability, as the United States does. Nonetheless, the United States must continue to its diplomatic and military presence in the region to press Beijing to return to a responsible path regarding North Korea. The United States must make clear that preservation of stability in region is the responsibility of all parties, and that it hinges in large part on China’s willingness to support sanctions.

The Obama Administration has not given up hope of achieving regional stability through the resumption of the Six-Party Talks. Secretary Clinton has stated that if North Korea could commit to de-nuclearization, the “door remains open for North Korea.” For the talks to resume, the North Korean government would have to halt its provocative behavior, agree to comply with international law and end belligerence towards its neighbors. China has argued that the issue must be solved through “peaceful measures and direct talks” between North and South Korea, yet it prevaricates on a response. And that benefits no one in the long-run.




REPORT: Average Premiums Would Increase By 27% If Individual Health Mandate Was Repealed

The Democrats have responded to the success of the Missouri anti-health reform ballot initiative by arguing that the results were an anomaly. The heated Republican primary attracted a disproportionate number of conservative voters, most of whom don’t share the sentiment of the rest of the country, where support for reform is actually increasing. “It’s very obvious that people have a lack of understanding of our health care reform bill,” Senate Majority Leader Harry Reid (D-NV) said in response to the Missouri news. “The more people learn about this bill, the more they like it.”

Indeed, the opposite could be said for the GOP strategy of repealing the mandate requiring everyone to purchase health insurance — the more voters learn about that, the less they’ll like it. I’ve been arguing that eliminating the mandate would remove any incentive for younger and healthier Americans to purchase coverage and increase premiums for all American. Well today, MIT Professor Jonathan Gruber has released a report that estimates how much more we would all be paying for health coverage, should conservative efforts to repeal the mandate and other parts of the health care law succeed:

Consider this:

JGruber

Gruber writes that health reform is like a three-legged stool with insurance regulations, the mandate, and subsidies representing the separate legs. Remove one of these components and the stool (reform) falls apart.

Without the mandate, younger, healthier individuals won’t buy into the pool and insurers won’t be able to offer coverage at community rates or cover pre-existing conditions. Healthier individuals can wait until they become sick to purchase coverage, causing premiums for older individuals to skyrocket and further discouraging healthier ‘don’t need insurance yet’ Americans from purchasing insurance. The result is a death spiral “that leads only the sick to purchase insurance at very high prices.” Finally, to ensure that everyone is part of the system and can afford the community rates charged by insurers, the third leg offers subsidies to individuals and families up to 400% above the poverty line.

As Gruber concludes, “Critics who propose to “repeal and replace” the Affordable Care Act don’t seem to understand that all three legs of the stool are critical for reform. Pulling out any of the legs while leaving one or two intact will critically undercut gains from reform.”




Conservatives Blame Loss In Prop 8 Case On Judge’s Homosexuality

U.S. District Chief Judge Vaughn Walker

U.S. District Chief Judge Vaughn Walker

Last night, after U.S. District Chief Judge Vaughn Walker ruled that denying gays and lesbians the right to marry violated the Due Process and Equal Protection clauses of the U.S. Constitution, supporters of Proposition 8 expressed disappointment and pledged to appeal the decision to the 9th Circuit Court of Appeals and all the way up to the Supreme Court.

But some conservative activists lashed out against Walker, using his sexual orientation to dismiss the decision altogether:

American Families Association:It’s also extremely problematic that Judge Walker is a practicing homosexual himself. He should have recused himself from this case, because his judgment is clearly compromised by his own sexual proclivity. The fundamental issue here is whether homosexual conduct, with all its physical and psychological risks, should be promoted and endorsed by society.

National Organization For Marriage: Here we have an openly gay (according to the San Francisco Chronicle) federal judge substituting his views for those of the American people and of our Founding Fathers who I promise you would be shocked by courts that imagine they have the right to put gay marriage in our Constitution.”

POWERLINE:“Conservatives have long said that the day would come when liberal judges declare the Constitution unconstitutional. That happened today, when a gay federal judge in San Francisco, relying on the opinions of mostly-gay ‘expert’ witnesses, ruled that an amendment to the California constitution, which was adopted in perfectly proper fashion by a substantial majority of voters, is ‘unconstitutional.’

Bishop Harry Jackson, chair of “Stand for Marriage DC”: “The majority of Californians, including two-thirds of black voters in California, have just had their core civil right — the right to vote — stripped from them by an openly gay federal judge who has misread history and the Constitution to impose his San Francisco views on the American people…this is a travesty of justice.”

Pat Buchanan: It is unnatural….an older white guy handed down the decision and he happened to be gay. That might have had something to do with it.

Ironically, Walker was nominated to the bench by President Ronald Reagan and re-nominated and confirmed under President George H. W. Bush. Two dozen House Democrats, led by Rep. Nancy Pelosi (D-CA) “opposed his nomination because of his alleged ‘insensitivity’ to gays and the poor.” The Democrats objected to Walker’s role in representing the U.S. Olympic Committee “in its successful effort to prevent an athletic competition in San Francisco from being called the Gay Olympic Games” and for “putting a lien on the home of a gay-games leader who was dying of AIDS.”




Boehner Derides Police Officers And Teachers As ‘Special Interests’

Yesterday, the Senate finally approved $26 billion in funding to bolster state budgets, including $10 billion meant to prevent massive teacher layoffs. The Senate has been grappling with this funding for months, but two Republicans senators — Sens. Susan Collins (R-ME) and Olympia Snowe (R-ME) — voted to move forward once the bill was fully paid for with spending offsets.

Speaker of the House Nancy Pelosi (D-CA) has announced that she will interrupt the House’s August recess in order to hold a session to pass the bill, instead of waiting to pass it in September. But House Minority Leader John Boehner (R-OH) slammed Pelosi’s decision to call the House back into session, calling the funding a “payoff to union bosses and liberal special interests“:

The American people don’t want more Washington ‘stimulus’ spending – especially in the form of a pay-off to union bosses and liberal special interests. This stunning display of tone-deafness comes at the expense of American workers, who will be hit by another job-killing tax hike because Washington Democrats can’t kick their addiction to more government ‘stimulus’ spending. Democrats should be listening to their constituents – who are asking ‘where are the jobs?’ – instead of scampering back to Washington to push through more special interest bailouts and job-killing tax hikes.

First, the stimulus spending that Boehner is so quick to deride will have saved or created 3.7 million jobs by September, according to the Congressional Budget Office (with which Boehner has an on-again, off-again relationship). And this bill actually reduces the deficit by $1.3 billion dollars, so Boehner is simply incorrect to claim that a tax hike will be necessary to pay for it.

But more importantly, does Boehner really consider teachers, firefighters, and police officers to be “liberal special interests”? Overall, it is estimated that the funding will save the jobs of about 300,000 workers, including about 140,000 school employees. According to the Department of Education, 5,000 teaching jobs in Boehner’s home state of Ohio will be preserved by the funding.

As Jonathan Alter wrote, “Republicans in both chambers were happy to let all those teachers lose their jobs. The results would have been devastating not just for schools but for the country. Just what we need when we’re trying to compete with China and India — four-day school weeks and teachers with 35 kids in a class.” But Boehner would prefer that we add these teachers — as well as thousands of other public servants — to the unemployment rolls, because evidently they only count as “special interests.”

Update Rep. Chris Van Hollen (D-MD) released the following statement this morning: "Incredibly, the Republican Leader John Boehner disparagingly referred to those who teach our children, protect our homes, and keep our streets safe as ‘special interests.’ Washington Republicans are opposed to supporting our teachers, firefighters, and policemen at home in order to protect corporate tax loopholes that promote the export of American jobs.”



The WonkLine: August 5, 2010

By Think Progress on Aug 5th, 2010 at 9:35 am

The WonkLine: August 5, 2010

Welcome to The WonkLine, a daily 9:30 a.m. roundup of the latest news about health care, the economy, national security, immigration and climate policy. This is what we’re reading. Tell us what you found in the comments section below. You can also follow The Wonk Room on Twitter.

 

National Security

“President Obama put the issue of negotiating with Iran firmly back on the table Wednesday in an unusual White House session with journalists.”

“The United Nations peacekeeping force in southern Lebanon, Unifil, said Wednesday that it had concluded that Israeli forces were cutting trees that lay within their own territory before a lethal exchange of fire with Lebanese Army troops, largely vindicating Israel’s account of how the fighting started.”

“Kenya’s new constitution, written to alleviate longstanding problems that have undermined good governance here for decades, received overwhelming approval from voters in a referendum on Wednesday.”

Immigration

Chair of the Constitution Subcommittee Sen. Russ Feingold (D-WI) has “no plans” to allow hearings into revising the 14th amendment.

State Sen. Russell Pearce (R-AZ) plans to introduce one bill next year requiring that undocumented immigrants pay for their kids to attend public schools and another denying the children of undocumented immigrants citizenship.

Republican strategists worry that Tom Tancredo (R-CO) will distract and isolate voters by pushing the focus of the fall Colorado gubernatorial campaign onto his two dominant themes: immigration and impeaching Obama.


Economy

Senate Majority Leader Reid (D-NV) still hopes to move a small business lending bill before the August recess, and plans to bring up legislation to address the expiring Bush tax cuts in September.

The Washington Independent’s Annie Lowrey looks at the return of the $1000 down mortgage, which is “raising questions from wary housing experts and legislators.”

Due to an upcoming SEC ruling, shareholders will earn the right to “directly nominate directors on corporate ballots, a change that could dramatically change the board selection process at many companies.”

Health Care

“Medicare and Social Security — the foundation of a secure retirement — are facing strains from an aging population and an economy that can’t seem to get out of low gear.”

“Senate Majority Leader Harry Reid (D-NV) responded today to a Missouri vote that Republicans call a rebuke to the sweeping new health law by saying voters like the legislation better the more they know more about it.”

Overcoming the threat of a Republican filibuster, the Senate on Wednesday cleared the way for approving a $26-billion aid package for cash-strapped states that is expected to keep 138,000 teachers from being laid off nationwide and sustain medical care for the poor.


Environment

I am an environmentalist,” said California Republican gubernatorial candidate Meg Whitman on Tuesday, although when asked if global warming was manmade during the Republican primary, she said, “I don’t know. I’m not a scientist.”

College Republicans protested Rep. Tim Walz (D-MN) at FarmFest because he “supports the cap and trade bill, which is going to hit farmers hard,” even as global warming is devastating the world’s wheat crop.

“Thousands of people are fleeing Pakistan’s most populous areas as devastating floods” that have already affected more than 3 million people “sweep towards the south.”





FLASHBACK: In 2000, Lamar Smith Said ‘We Should Not Let The Law Get In The Way’ Of Stopping Deportations

lamarsmithRepublicans are up in arms about an internal draft memo by U.S. Citizenship and Immigration Services (USCIS) leaked last week which outlines “administrative relief options to…reduce the threat of removal for certain individuals present in the United States without authorization.” Immigration hawk Rep. Lamar Smith (R-TX) blasted the Obama administration, stating, “[t]he President has promised border security and immigration enforcement. He has said we must hold individuals accountable for their illegal acts. But now we find out the truth: while saying one thing to the public, the Obama administration is scheming to ensure that immigration laws are not enforced.” Smith went as far as to accuse Obama himself of “conspiring to implement amnesty without any Congressional action.” However, Smith’s attack doesn’t line up with some comments he made a few years ago.

In 2000, Lamar recommended officials handle the harsh effects that the 1996 Immigration Act was having on legal immigrants administratively, rather than have Congress amend the act. At the time, the New York Times reported that “Representative Smith suggested two ways for the government to stop deportations that, though required by the statute, would be inhumane” — options that caught the Immigration and Naturalization Service office off guard:

First, he [Smith] called for the Immigration and Naturalization Service to exercise prosecutorial discretion in hardship cases. That is, immigration officials would simply decline to proceed with a deportation case. [...]

Second, Mr. Smith proposed that the attorney general use a provision of immigration law that allows her to ”parole” aliens into the country for ”urgent humanitarian reasons.” Parole, he argued, could be used to prevent deportation as well as to allow entry. [...] ”The Justice Department or I.N.S. could assign one staff member to look at these cases for parole,” Mr. Smith said. ”He could probably handle 10 cases a day.” [...] ”The government can always do what it wants to do in hardship cases,” the Congressman said. ”We should not let the letter of the law get in the way of the spirit.

Granted, Smith was referring to the government’s ability to parole legal immigrants with deportation orders. However, Smith concedes that it is within the President’s power to do so — something that many of his Republican colleagues have argued is not. In a letter authored by GOP senators requesting a hearing on the issue, they stated that they “are troubled that the executive branch could be engaged in an effort to inappropriately expand its authority to ensure illegal immigrants are not removed from the United States.” However, in 2000, Smith probably would’ve rightly argued that it’s not an inappropriate expansion of power, but rather, an exertion of the capacities that are legally within the purview of USCIS.

Contrary to what Republicans suggest, however, that doesn’t mean USCIS is or ever planned on moving forward. An editorial in the Washington Times warns, “the question is not whether government can implement the myriad suggestions in the memo, but rather why President Obama is going to such extraordinary and unprecedented lengths to protect millions of people who are in violation of federal law.” However, other than a memo written by low level staff members that was “borne out of brainstorming sessions” that took place in 2007 during the Bush administration, there’s not a shred of evidence to suggest that’s the case. One USCIS spokesmen clarified that “as a matter of good government, U.S. Citizenship and Immigration Services (USCIS) will discuss just about every issue that comes within the purview of the immigration system.” He also definitively stated that “DHS will not grant deferred action or humanitarian parole to the nation’s entire illegal immigrant population.”

The reality of the situation is that deportations have actually reached an all-time high under the Obama administration. Immigration and Customs Enforcement expects to deport an estimated 400,000 people this fiscal year, 25 percent more than were deported by President Bush in 2007. And if that’s not enough, Obama explicitly rejected the idea of granting administrative relief in his July 1 speech at American University, proclaiming, “there are those in the immigrants’ rights community who have argued passionately that we should simply provide those who are [here] illegally with legal status… I believe such an indiscriminate approach would be both unwise and unfair.”

Most importantly, while granting administrative relief to certain vulnerable undocumented populations would certainly alleviate some of the suffering of the immigrant community, it wouldn’t fix the broken immigration system. Republicans don’t like to admit it, but comprehensive immigration reform isn’t amnesty. Instead, it consists of creating an immigration visa system that responds to the nation’s economic needs, securing the border, and putting undocumented immigrants on a tough, but fair path to legalization — politically, or practically, none of these components are a solution on its own. Perhaps that’s why Smith essentially supported the status quo in 2000 by recommending ad hoc administrative action directed at a small group of people over Congress actually fixing the “inhumanity” of the immigration system once and for all.




Judge Finds Proposition 8 Unconstitutional

U.S. District Chief Judge Vaughn Walker

U.S. District Chief Judge Vaughn Walker

Moments ago, U.S. District Chief Judge Vaughn Walker struck down Proposition 8, passed by California voters in November 2008, which prohibited same-sex couples from marrying in the sate. Walker found that the Prop 8 undermined both the Due Process and Equal Protection Clauses, arguing that “[e]ach challenge is independently meritorious, as Proposition 8 both unconstitutionally burdens the exercise of the fundamental right to marry and creates an irrational classification on the basis of sexual orientation: ”

Proposition 8 fails to advance any rational basis in singling out gay men and lesbians for denial of a marriage license. Indeed, the evidence shows Proposition 8 does nothing more than enshrine in the California Constitution the notion that opposite- sex couples are superior to same-sex couples. Because California has no interest in discriminating against gay men and lesbians, and because Proposition 8 prevents California from fulfilling its constitutional obligation to provide marriages on an equal basis, the court concludes that Proposition 8 is unconstitutional.

Last night, anticipating Judge Walker’s decision, lawyers for the Proposition 8 defense team asked Walker to “for a stay of his ruling if the outcome is to declare the law unconstitutional.” Walker issued an emergency stay of the judgment and will decide later if an indefinite stay is in order.

The ruling is now expected to be appealed to the U.S. 9th Circuit Court of Appeals and then up to the U.S. Supreme Court.

Update Walker on the evolution of marriage: "The evidence did not show any historical purpose for excluding same-sex couples from marriage, as states have never required spouses to have an ability or willingness to procreate in order to marry. Rather, the exclusion exists as an artifact of a time when the genders were seen as having distinct roles in society and in marriage. That time has passed."
Update Walker on why domestic partnerships are not equal to marriage: "A domestic partnership is not a marriage; while domestic partnerships offer same-sex couples almost all of the rights and responsibilities associated with marriage, the evidence shows that the withholding of the designation 'marriage' significantly disadvantages plaintiffs. The record reflects that marriage is a culturally superior status compared to a domestic partnership. California does not meet its due process obligation to allow plaintiffs to marry by offering them a substitute and inferior institution that denies marriage to same- sex couples."
Update Walker argues that because marriage is a fundamental right, it should be subject to 'strict scrutiny': "Because plaintiffs seek to exercise their fundamental right to marry, their claim is subject to strict scrutiny. Zablocki, 434 US at 388. That the majority of California voters supported Proposition 8 is irrelevant, as “fundamental rights may not be submitted to [a] vote; they depend on the outcome of no elections.”"



Treasury Announces Targeted Anti-Foreclosure Programs — But Why Not Think Bigger?

Last week, I noted that 75 percent of metro areas have seen an increase in foreclosures, but that lawmakers have been reduced to pleading with banks to perform mortgage modifications, as the Obama administration’s signature modification program has been a big flop. The Home Affordable Modification Program (HAMP) has had more homeowners drop out of it than successfully receive a permanent mortgage modification.

As the Huffington Post’s Shahien Nasiripour and Arthur Delaney laid out, HAMP “has fallen short of its goals — rather than significantly and permanently reducing home foreclosures, it is only delaying them.” Today, the administration is trying to do something about the problem:

As many as 50,000 struggling homeowners in five U.S. states with high unemployment may receive help from a special $600 million federal fund intended to head off foreclosures. State housing agencies in Ohio, North Carolina, South Carolina, Oregon and Rhode Island can use money from the Treasury Department’s “Hardest Hit Fund” for foreclosure mitigation that was announced in March.

According to Reuters, “some of the programs that states proposed will help unemployed or under-employed people keep up with their mortgage payments. Others will try to assist homeowners who are facing negative equity by reducing the principal of loans that they owe or will be used to finance short sales of homes to avoid foreclosure.”

These ideas — particularly reducing loan principal — are good ones, but I have to wonder why the amount of money dedicated to them is so small and why this response is limited to states with the worst unemployment. After all, as David Dayen pointed out, just $250 million of the $75 billion promised to HAMP has been spent. There’s quite a bit of money to facilitate more intensive foreclosure prevention efforts across the country.

“We’ve got a huge amount of people who are under water that aren’t going to be made whole,” said economist Dean Baker. “If you can’t persuade the banks to do a write-down that will allow them to stay in their homes, then you haven’t done that person a favor.” And while Treasury has talked a good game on eventually getting around to principal reductions, up to this point “as few as 0.1 percent of mortgage modifications initiated under HAMP involve reductions of principal.”

Foreclosures remain one of the key problems undermining the economy, yet the policy response has been incredibly lackluster. These small ball initiatives are certainly going to help some individual homeowners, but they aren’t on a grand enough scale to address the wider issue.




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