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Santorum Tries Again To Defend Racist Welfare Rant: I Said ‘Plives,’ Not ‘Black’

GOP contender Rick Santorum continues to try to explain away a racist welfare rant in which he said “I don’t want to make black people’s lives better” through government aid. Santorum appeared to acknowledge he made the remarks in an interview with CBS shortly after the original comment. But after being roundly criticized, he backtracked and claimed he said “blah” people, not “black.”

Santorum’s latest explanation is that what sounded like “black people” was actually the garbled word “plives”:

Rick Santorum said Monday that comments he made last week in Iowa about food stamps that some construed as racially charged were the result of his having been tongue-tied and were not a reference to black people.

Moreover, he said he has done more in black communities “than any Republican in recent memory.”

He maintains that he did not say “black” people’s lives but rather stumbled verbally when he was trying to say “people’s lives” and uttered a short syllable that came out as “plives.”

Here’s the original video — decide for yourself whether what he said sounds anything like “plives”:

Santorum’s self-aggrandizing claim that he’s done more for black people “than any Republican in recent memory” is even more of a leap. The NAACP blasted him for falsely suggesting that most welfare recipients are black. And on the campaign trail Santorum proudly touts his role throwing millions of families off the welfare rolls by supporting welfare “reform” in 1996.

LGBT

Gingrich Argues Adoption Services Should Be Allowed To Take Taxpayer Money While Discriminating Against Gays

During an appearance on CNN this morning, Newt Gingrich defended his false claim that same-sex marriage laws have forced Catholic Charities and other religious institutions to shut down their adoption services. CNN’s Soledad O’Brien tried to fact-check the former House speaker. “Isn’t what really happened that if the church decided it was going to continue to take federal funds and have access to those foster children that they couldn’t discriminate against gay couples who wanted to adopt, they weren’t really forced to close, they made the decision,” the CNN host asked. “No, no. they were forced to close,” Gingrich responded:

GINGRICH: Because you’re saying to religious group, give up your religion. That’s absurd. The idea that the state would impose its secular values on a religious organization is an absurdity.

O’BRIEN: If you want funding. Isn’t that if you want funding.

GINGRICH: No. No. In Massachusetts.

O’BRIEN: You can do whatever you want but if you want funding.

GINGRICH: No, that’s not true. That’s not true. There are states now, including the District of Columbia, which essentially adopt laws that say you can’t offer an adoption service unless you meet the secular standards of the state. They are in effect saying the secular standards of the state are more important than religious freedom. I think it is inherently anti-Christian and anti-Jewish. It is in favor of a secular model, that I think is wrong. And I think that it’s wrong for the government to impose its values on religion. That’s the whole point of the First Amendment, is to not have the government imposing values on religion.

Watch it:

O’Brien is right, of course: religious adoption services have a right to believe whatever they want under the First Amendment, but they cannot use tax payer funding to treat gay and lesbian couples like second-class citizens. DC Catholic Charities — which received government funding — voluntarily shut down rather than provide adoption services to same-sex couples and Catholic Charities in Massachusetts “refused to place children with same-sex couples as required by Massachusetts law. After a legislative struggle — during which the Senate president said he could not support a bill ‘condoning discrimination’ — Catholic Charities pulled out of the adoption business in 2006.”

NEWS FLASH

Rep. Allen West Says Romney Should ‘Explain’ His Role At Bain Capital | As we noted yesterday, Mitt Romney’s tenure at Bain Capital is causing some consternation within Republican ranks. Newt Gingrich, who has been aggressively raising the issue, told Bloomberg News: “[Romney's] got some very big questions to answer, that the Wall Street Journal reported in one case they bought a company. They put $30 million in. They took $180 million out and the company went bankrupt. Now, at some point, somebody’s got to explain.” This morning on Fox, even stalwart right-winger Rep. Allen West refused to say he was “comfortable” with Romney’s work at Bain:

BRIAN KILMEADE: Republican candidates have taken shots at Mitt Romney’s private equity background — what he did at Bain Capital. Are you comfortable with that?

ALLEN WEST: Well I think one of the things that Gov. Romney probably needs to do is explain his position there at Bain Capital.

Watch it:

Politics

Morning Briefing: January 10, 2012

Dixville Notch and Hart’s Location, two New Hampshire communities that traditionally vote at midnight on election day, cast the first votes of the primary early Tuesday. Out of just nine midnight votes cast in Dixville Notch and 13 cast at Hart’s Location, Mitt Romney leads the field with seven votes, Ron Paul has five, Jon Huntsman received four, and Newt Gingrich has two. President Obama received three votes at Dixville Notch.

The Washington Post’s Greg Sargent notes that while former Massachusetts Gov. Mitt Romney (R) may have claimed that he was worried about getting a pink slip, the truth is that he had a “golden parachute” built into the terms of his employment at Bain Capital. Romney was even promised that he’d get his old job back if his role as a Bain executive was unsuccessful.

On Monday, the Supreme Court ruled that Citizens United does not allow foreigners to influence elections through spending. Without comment, the court summarily upheld a lower court’s ruling that foreign citizens can be excluded from certain civic and political activities. Campaign finance reform advocates are applauding the decision for keeping corporate money from improperly influencing elections.

Yesterday, Mitt Romney desperately tried to contain the damage after saying that he enjoyed “firing people.” Romney insisted his remarks were “taken out of context” and that he was speaking about the importance of being able to choose insurance companies.

The Washington Post’s Ezra Klein speculates this morning that if President Obama promoted mortgage refinancing, he could win big with voters. Having a director of the Federal Housing Finance Authority who would push for better mortgage refinancing rules would boost the economy and help homeowners at the same time, Klein argues. “The combination of easier rules and vastly better publicity would lead many millions of Americans to refinance their loans,” he writes.

The Wall Street Journal notes today that many U.S. businesses — including large publicly traded corporations — are completely avoiding paying corporate income taxes by re-organizing their structures. Many companies are organizing themselves as “pass-throughs,” under which the company itself is not taxed but rather taxation is passed on to individuals who work within the company.

Newt Gingrich canceled an appearance at his campaign headquarters in New Hampshire yesterday when “a loud crowd of protesters” supporting other candidates “amassed on the sidewalk.” Gingrich’s security team determined that the front and back entrances were too “unsafe” for him and his wife to enter but failed to describe what the perceived threat was.

And finally: Wanna look as fashionably hip as the winner of the Iowa caucus? For a $100 campaign donation, you can own one of Rick Santorum’s now-famous sweater vests, or as he calls it, the “Second Amendment vest” because it offers you the “right to bare arms.”

For breaking news and updates throughout the day, follow ThinkProgress on Facebook and Twitter.

Politics

Huntsman: Romney Firing Comment Renders Him ‘Completely Unelectable’

EXETER, New Hampshire — The Jon Huntsman campaign escalated its attacks on front-runner Mitt Romney the night before the New Hampshire primary, with Huntsman himself telling CNBC host Larry Kudlow that Romney is making himself “completely unelectable.” Romney is taking flak from all GOP opponents, in addition to Democrats, for his comments this morning that he “liked being able to fire people.” Huntsman said earlier that he prefers to hire people, rather than fire them, and his adviser had harsh words this afternoon for Romney when ThinkProgress interviewed him, but Huntsman’s statements on Kudlow represent the strongest attack from the candidate himself yet:

HUNTSMAN: First of all, you’ve got to get elected to office for heaven’s sake, and making statements like that you render yourself completely unelectable. Whether you’re referring to economic policy, it really becomes more of a political issue, when you’ve got the Chicago political machine and $1 billion bearing down on you. You make a statement like, you talk about pink slips, and pretty soon you’re going to lose the high ground.

Watch it:

Economy

How Taxpayers Finance College Football’s Biggest Bowl Games

This is the second part of a three-part series on college football’s bowl system, the Bowl Championship Series. You can read the first part here.

Bowl season, college football’s month-long end-of-season extravaganza, generates millions in revenue and often millions in profits for the organizations that run each bowl game. But because many of those bowls are classified as nonprofit charities, they often pay little, if any, taxes on those earnings.

The largest bowls — the five that make up the Bowl Championship Series — dole out huge salaries to their CEOs and send executives on lavish trips. At the same time, several of them have received millions of dollars in tax subsidies from the states that play host to them, and the taxpayer-financed public universities that play in the games often lose money by participating. That has fueled questions about why the bowls are classified as tax-exempt nonprofits and whether they should be in the future.

The Bowl Championship Series was formed in 1998 as a consortium of the 11 Football Bowl Subdivision conferences and the University of Notre Dame. At the end of the season, 10 schools send teams to the five BCS bowls — the Rose, Orange, Fiesta, and Sugar Bowls and the BCS National Championship game. 57 of the 67 schools that make up the six major conferences that receive automatic invites to those games are public universities that depend on taxpayer funds. But many of them lose substantial sums of money from expenses incurred traveling to and participating in BCS games.

In 2011, Virginia Tech’s athletic department lost more than $420,000 from the school’s appearance in the Orange Bowl. Had the Atlantic Coast Conference, of which Virginia Tech is a member, not helped cover its losses, the school would have lost $1.3 million in 2008, $2.2 million in 2009, and $1.6 million in 2011, all years in which it appeared in a BCS bowl. Tech isn’t alone: over a three-year span, universities lost an average of $331,137 in BCS bowls, according to the Arizona Republic. The average loss in non-BCS games in 2011 was $139,604.

The BCS does, in theory, provide money to schools in other ways to help them make up those losses. Athletic conferences that have a participant in a BCS game receive payouts from BCS bowls — the six major conferences will split a total of $145.2 million this year — that is then divided between the schools. But as HBO Real Sports found during an investigation into the bowl system, those payouts often aren’t as lucrative as the bowls claim.

In an interview with HBO, a tax adviser to 23 bowls set up as charities said most bowls “pay out 75 to 80 percent of all revenue to schools.” HBO’s investigation, however, found that reality was much different. Out of 16 nonprofit bowls that provided complete records, none gave 75 to 80 percent of their revenue back to schools. The average percentage payout was in the mid-50s, and the Humanitarian Bowl (which is not affiliated with the BCS) gave less than 30 percent of its revenue to schools.

At the same time, multiple bowls take taxpayer-financed subsidies from state and local governments, including the Sugar Bowl, which tonight will host this year’s edition of the BCS National Championship. The Sugar Bowl has taken $11 million in subsidies from Louisiana since the BCS began, including $1.4 million in 2009, even as the state cut spending on many public programs to fill a budget gap. Such deals faced scrutiny from local lawmakers and residents and have since stopped. Tempe, Arizona, meanwhile, will pay the Fiesta Bowl $6.45 million through 2013 to host a smaller bowl game, the Insight Bowl.

The BCS and its advocates counter that bowl games provide economic boons for the cities that host them. An Arizona State University study found that Tempe saw a $355 million economic boost from hosting the Insight Bowl, Fiesta Bowl, and BCS National Championship in 2011. Still, the arrangement begs the question: at a time when states are cutting spending to vital programs, including funding for state universities, are taxpayers getting a fair shake from bowls that utilize tax-funded universities and, at times, public subsidies to earn millions in profits that are often tax free?

NEWS FLASH

Huntsman Adviser Slams Romney As ‘Out Of Touch With Average Working People | NASUHA, New Hampshire — John Weaver, a senior strategist to former Utah Gov. Jon Huntsman (R), slammed Mitt Romney for saying that he “liked being able to fire people,” calling Romney “out of touch” and “unelectable” at campaign stop in Nashua, New Hampshire this afternoon. “The bottom line is…here’s a guy who’s out of touch with average working people,” Weaver told ThinkProgress. “His ties to Wall Street, the fact that he’s taken $32 million from Wall Street, the picture with his Bain partners looking like some Richie Rich guy with money falling out of his pockets…and on top of that, he has an inability to connect with average people.” Touching on the anti-Wall Street sentiment in this election cycle, Weaver added, “I just think he’s unelectable against Barack Obama in this environment.”

Health

Santorum Supported Individual Health Insurance Mandate In 1994 Republican Primary

Rick Santorum regularly highlights his conservative record on health care reform by touting his successful election against former Sen. Harris Wofford (D-PA), a Democratic champion of universal health care reform who campaigned on guaranteeing insurance for all Americans by encouraging employers and employees to share the cost of health benefits. “When I ran for the Senate in 1994, I ran against the man who was the author of Hillarycare in the United States Senate,” Santorum told Charles Krauthammer during an appearance on Fox News in October. “And I ran on a patient-driven, consumer-driven health healthcare system that is consistent with the philosophy of America, which is free markets, build it from the bottom up.” He expanded on the message following his surprising second-place finish in Iowa, “I’ve never been for government-run health care, never,” Santorum said to a crowd in Manchester, New Hampshire on Jan. 5. “Unlike the other two folks who are running here, who have supported individual mandates, who have supported top-down government health care, I never have.”

But as The French Revolution’s Nancy French discovers, Santorum did advocate for an individual requirement to purchase health insurance coverage — not in his general election challenge to Wofford, but in the Republican primary against businessman Joe Watkins. Watkins also backed the provision:

Allentown, PA’s Morning Call from April 7, 1994:

U.S. Rep. Rick Santorum, R-Pittsburgh area, and Joe Watkins, a Philadelphia businessman who worked in the Bush White House, are seeking the Republican Senate nomination, creating the only true Senate primary race….Santorum and Watkins both called for a “comprehensive restructuring” of health care. But they differed sharply on what elements should comprise a basic benefits package.

Watkins would include mental health services, long-term care, prescription drug coverage, dental services and preventive care such as immunizations. Santorum would not. Both reject abortion services. Santorum and Watkins both oppose having businesses provide health care for their employees. Instead, they would require individuals to purchase insurance. Both oppose higher taxes on alcohol or tobacco to help pay for care. They also oppose government-run health care and disagree with controls on doctor or hospital fees. They would cap malpractice awards.

Allentown, PA’s Morning Call from May 2, 1994:

Santorum and Watkins would require individuals to buy health insurance rather than forcing employers to pay for employee benefits. Both oppose abortion services and support limits on malpractice awards. Santorum says non-economic damages should not exceed $ 250,000, adjusted annually for inflation, and lawyers’ contingency fees should be capped at 25 percent. [...]

Santorum introduced the idea of a medical savings account, called Medisave, which has become part of the Gramm bill. Under it, workers would buy major medical insurance and could make tax-free contributions to a Medisave account, from which they would pay for preventive services.

Many Republicans who now argue that the Affordable Care Act’s individual requirement is unconstitutional supported a national mandate as an alternative to then-First Lady Hillary Clinton’s health care proposal. In that sense, Santorum is in very good company. He joins Newt Gingrich, Mitt Romney, Tim Pawlenty, Jon Huntsman, Chuck Grassley, and Orrin Hatch and a growing list of prominent Republicans who came out against the conservative principle of personal responsibility in health care as soon as President Obama endorsed it.

Education

Skyrocketing Tuition: College Costs Could Reach $422K For Children Born Today

Parents of children born today should be prepared to pay a hefty price for college tuition, if current trends in tuition costs don’t change. According to new analysis by The Daily, the class of 2034 will pay an average of $288,000 in 2011 dollars at a four-year private school and $123,000 at an average public school.

That’s an increase of 111 percent and 167 percent, respectively, from the average class of 2012 tuition:

New moms and dads with visions of Ivy League degrees dancing in their heads should be prepared to face a bill of $422,320 in today’s dollars if Junior heads off to one the country’s priciest colleges as a member of the class of 2034.

If college costs keep rising as they have for the last three decades, the inflation-adjusted price of four years of tuition alone will more than double at private colleges and nearly triple at public universities by the time a baby born this year is ready to enroll, an analysis by The Daily shows.

Jane Wellman, executive director of the Delta Cost Project, notes that public universities in particular have been relying on tuition increases to boost revenue and offering less financial aid.

The Daily points out that tuition increases wouldn’t be so bad if family incomes were keeping pace. But they aren’t, as “in real terms, the incomes of families with at least one child under age 18 have grown only about 1 percent since 1987.” Those bleak trends mean that college costs will put even more of a strain on families in the future, and probably result in fewer students being able to receive a college education. For the first time ever, outstanding student loans will exceed $1 trillion this year, and Americans now owe more on student loans than on credit cards.

Justice

America Locked A Children’s Humanitarian Aid Worker In Gitmo For Seven Years

Lakhdar Boumediene, the named plaintiff in a seminal Supreme Court case preserving Guantanamo Bay detainees’ right to challenge the legality of their detention, recounts his experience as a man falsely accused of terrorism and imprisoned at Gitmo for seven years in an op-ed in the New York Times. The whole thing is worth reading, but one sentence in particular stands out:

I left Algeria in 1990 to work abroad. In 1997 my family and I moved to Bosnia and Herzegovina at the request of my employer, the Red Crescent Society of the United Arab Emirates. I served in the Sarajevo office as director of humanitarian aid for children who had lost relatives to violence during the Balkan conflicts. In 1998, I became a Bosnian citizen. We had a good life, but all of that changed after 9/11.

When I arrived at work on the morning of Oct. 19, 2001, an intelligence officer was waiting for me. He asked me to accompany him to answer questions. I did so, voluntarily — but afterward I was told that I could not go home. The United States had demanded that local authorities arrest me and five other men. News reports at the time said the United States believed that I was plotting to blow up its embassy in Sarajevo. I had never — for a second — considered this.

Boumediene was not simply arrested and imprisoned for years despite no evidence that he was a terrorist, he was arrested while he was working as a humanitarian aide worker. For children. The man devoted his life to helping the youngest and most vulnerable victims of a terrible conflict, and we locked him up and tortured him.

Sadly, America still has not learned the lesson Justice Louis Brandeis tried to teach us 85 years ago: “Men feared witches and burnt women.”

Media

Beyond SOPA: Unlocking The Power Of The Internet By Creating A Digital Library of Congress

In recent weeks, there has been a huge groundswell online in opposition to the Stop Online Piracy Act (SOPA), based on concerns that it will lead to internet censorship. But just keeping the internet free of censorship isn’t enough.

Today, locked in the basement of government entities like the National Archives, the Library of Congress, and the National Library of Medicine, are untold reams of valuable and important public information. To truly unlock the power of the internet, we need to make these important and valuable materials freely available online.

The Smithsonian alone has 40 million photographs in its collection. Imagine if those were freely available to artists, historians, and journalists to incorporate into their work. Imagine if the historic census data in the National Archives were available to professional and amateur genealogists.

Yes, digitizing this information is a big task. If we can put a man on the moon, why can’t we launch the Library of Congress into cyberspace?

CAP Chairman John Podesta and internet pioneer Carl Malmud recently wrote President Obama asking him to appoint a commission to start this effort:

When Thomas Jefferson donated his books to create the cornerstone of the Library of Congress, his library contained a wealth of useful information, from an extensive collection on the law to books on agriculture, chemistry, surgery, and medicine. With this contribution, Jefferson saw to it that the government of the United States would play a central role in the increase and diffusion of knowledge. It is time now for us to lay the cornerstone for our own era, to anchor our digital age with the vast holdings of our government so that we may promote the useful arts and the progress of science.

We ask your help to achieve this 21st century dream, making the vast resources of our federal government available to all on the global Internet, making access to knowledge a right for all Americans and a defining contribution for our future.

Please sign our petition to the president via the White House website HERE.

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Politics

GOP Speaks Out On Romney’s ‘Greed’: ‘He Likes Firing People,’ ‘Bankrupting’ Them, And ‘Taking All The Money’

As Mitt Romney’s tenure at Bain Capital comes under increasing scrutiny, even Republicans are attacking the presidential frontrunner for generating billions in profit by bankrupting companies and implementing massive layoffs.

Romney founded Bain, a private equity firm, in 1984 and was its first CEO. Since that time, Bain made billions by, as the Los Angeles Times writes, “firing workers, seeking government subsidies, and flipping companies quickly for large profits.” In all, Bain bankrupted nearly one-quarter of the companies it invested in, often causing “substantial job losses,” according to a new Wall Street Journal report.

Sensing the national mood of populist economic outrage, many Republicans are now joining Democrats in lambasting Romney for doing more to fire workers than hire them. Here is a round-up of recent statements from Republicans:

JON HUNTSMAN: “What’s clear is he likes firing people, I like creating jobs.” [1/9/12]

NEWT GINGRICH: “Those of us who believe in free markets and those of us who believe that, in fact, the whole goals of investment is entrepreneurship and job creation, would find it pretty hard to justify rich people figuring out clever, legal ways to loot out a company.” [1/8/12]

RICK PERRY: “Now, I have no doubt Mitt Romney was worried about pink slips — whether he was going to have enough of them to hand out because his company, Bain Capital, of all the jobs that they killed. I’m sure he was worried that he would run out of pink slips.” [1/9/12]

GINGRICH: Bain Capital was a “small group of rich people manipulating the lives of thousands of people, and taking all the money.” [1/9/12]

PRO-GINGRICH SUPER PAC: “A story of greed, playing the system for a quick buck. A group of corporate raiders led by Mitt Romney, more ruthless than Wall Street. For tens of thousands of Americans, the suffering began when Mitt Romney came to town.” [1/9/12]

GINGRICH: “I would just say that if Gov. Romney would like to give back all of the money he’s earned from bankrupting companies and laying off employees over his years at Bain, that I would be glad to listen to him.” [12/12/11]

Romney has gone to great lengths – from saying that he has worried about being fired in the past to telling voters that he is “unemployed” – to cast himself as anything but an extraordinarily wealthy businessman.

However, with the right and left now coalescing in the message that Romney’s personal wealth came largely on the backs of laid-off workers, the hurdle for his campaign will be increasingly difficult to surmount.

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Economy

How College Football Bowls Earn Millions In Profits But Pay Almost Nothing In Taxes

This is the first post in a three-part series about the college football’s bowl system, the Bowl Championship Series.

When Louisiana State University and the University of Alabama meet in tonight’s Bowl Championship Series (BCS) National Championship game in New Orleans, college football’s top prize will be on the line. More than 75,000 will be in attendance, and millions will watch on TV. The Sugar Bowl, host to this year’s game, stands to make millions of dollars in profits. And little, if any, of it will be subject to federal taxes.

That’s because the Sugar Bowl and the championship game, like the three other bowls that make up the BCS, are classified as tax-exempt nonprofit charities, set up with missions to do public good with the money they earn and spend. In 2007, the last time New Orleans hosted both the Sugar Bowl and the BCS title game, the games generated $34.1 million in revenue — $11.6 million of that was tax-free profit.

The BCS, a consortium of the 11 Football Bowl Subdivision conferences and the University of Notre Dame, has been in place since 1998 and manages the five biggest bowl games — the Rose, Orange, Fiesta, and Sugar Bowls, and the BCS National Championship Game. The revenue generated by the BCS games and other nonprofit bowls — $261 million in 2009 — along with lavish trips for executives, large compensation packages for their CEOs, and scandals involving potentially illegal political donations have raised questions about why the bowls are classified as nonprofit charities and whether they should continue to be in the future.

The reason bowl profits aren’t taxed “is because it’s supposed to be serving a public purpose,” Gary Roberts, dean of the Indiana University School of Law-Indianapolis, told the Arizona Republic. The bowls, Roberts said, are not supposed to “squander this money that is not taxed.”

And yet, since the BCS began, average pay for the CEOs who run each bowl has more than doubled and now exceeds $500,000 a year, the Republic found. The Sugar Bowl, which has cash reserves in excess of $34 million and until recently benefited from tax subsidies from the Louisiana government, pays its CEO more than $593,000. In 2007, when the Sugar Bowl also hosted the BCS championship, it paid its CEO more than $645,000. Average executive pay at BCS bowls ranks in the top 2 percent of pay among nonprofits with similar budgets, and in the top 9 percent among nonprofits with budgets twice their size, the Republic found.

“If you’re running these bowls, it’s an opportunity to do good, not to do well,” Dean Zerbe, who investigated charitable exemptions while on the staff of Sen. Chuck Grassley (R-IA), told HBO Real Sports. “You can pay yourself a reasonable salary…and after that it has to go to a charitable purpose.”

Charitable purpose, however, likely doesn’t include lavish trips for executives and guests, another area that has drawn criticism. Executives at the Fiesta Bowl spent more than $100,000 on a corporate golf trip, and former CEO John Junker spent more than $1,200 at a strip club, according to an investigation into the Fiesta Bowl after a scandal enveloped the bowl in 2009. The bowl spent $3.3 million on The Fiesta Frolic, an annual trip for sponsors, executives, and others involved in the game, since the start of the BCS. In the same time frame, the Orange Bowl hosted a similar trip, The Summer Splash, at an average annual cost of more than $111,000.

The bowls, in some ways, have come to resemble America’s corporate structure: huge profits, high executive pay, and little, if any, taxes paid to the government. At the same time, the bowls depend on the participation of taxpayer-financed public institutions and, at times, taxpayer subsidies. As Sharon Schneider, a director at a Connecticut-based company that runs nonprofit foundations, told the Republic, “(The bowls) are saving millions, and the states and federal governments are losing millions with these four bowls on tax revenue they would collect if they were not nonprofits.”

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Health

What Romney Meant With ‘Firing’ Comment: Americans Should Pay More For Health Care

Speaking at the Nashua Chamber of Commerce this morning, Mitt Romney said, “If you don’t like what [insurance companies] do, you can fire them. I like being able to fire people who provide services to me.” Romney was making the case for increasing the availability of individual health insurance plans with higher deductibles and cost sharing. “I want individuals to have their own insurance,” the former Massachusetts governor said, arguing that Americans who pay more for their own health care insurance plans will spend less on unnecessary services:

ROMNEY: That’s the system we have in health care, everyone just keeps piling on because it’s free…In some places overseas, they have this idea of co-insurance, where people are responsible for a percent of their bill. Let’s say 10 percent. In Switzerland, you’re responsible for, I think 20 percent of your hospital bill. So, if you’re going to have a knee replacement you shop around to see who is going to have the best record and who is reasonably priced…We’re going to have to bring into health care the dynamics of a consumer market so that people have an incentive to look at the cost.

Watch it:

Conservatives have long claimed that giving Americans more “skin in the game” — that is, increasing their sensitivity to prices — would encourage individuals and families to make more informed health care choices, avoid costly treatments and eventually lower health care costs. But there is very little evidence to suggest that asking people to pay more out of pocket would actually reduce health care costs, particularly since most of the spending is concentrated among the sickest Americans (those who suffer from multiple chronic conditions and cannot choose to forgo care).

As Yale professors Theodore Marmor and Jerry Mashaw pointed out in the Philadelphia Inquirer last year, “if free medical care led to more reckless overuse, countries like Canada and Germany, where patient costs are either zero or minimal, would suffer disproportionate inflation in expenditures or severe access pressures. They don’t.” Indeed, the theory doesn’t even hold up in the American health care system, where individuals with higher cost sharing in the employer based system with higher cost sharing don’t seem to spend less than Medicare enrollees with smaller cost sharing.

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NEWS FLASH

Gingrich: Romney ‘Looted’ Companies At Bain Capital, ‘Leaving Behind 1,700 Families Without A Job’ | A super PAC backing GOP presidential candidate Newt Gingrich is set to unveil a $3.4 million ad blasting Mitt Romney as Bain Capital’s corporate “raider” who “destroyed” the livelihoods of “thousands of Americans and their families.” Claiming he has not seen the ads, Gingrich still insisted to reporters in New Hampshire that Romney’s work at Bain is equivalent to the wealthy plundering struggling companies. Picking up on the fact that Bain made millions while bankrupting nearly one-quarter of its companies and laying off workers, Gingrich said, “Those of us who believe in free markets and those of us who believe that in fact the whole goal of investment is entrepreneurship and job creation would find it pretty hard to justify rich people figuring out clever ways to loot a company, leaving behind 1,700 families without a job.” Watch it via the New York Times:

Politics

Arizona Officials Single Out Hispanic City Council Candidate To Take An English Literacy Test

Alejandrina Cabrera is one of several candidates running for City Council in San Luis, Arizona. Like nearly all of her constituents, Cabrera is Hispanic and speaks fluent Spanish. She also has been an annoyance for the city’s current leadership, having led efforts to recall Mayor Juan Carlos Escamilla.

Seemingly in retaliation for her trouble-making, city leaders have singled out Cabrera to take an English proficiency exam to prove her eligibility to hold office:

The City Council recently asked for verification that activist and council candidate Alejandrina Cabrera could speak, read and write in English, as state law requires of public officials. The action was in response to allegations by Guillermina Fuentes, a former mayor of the fast-growing border city, the Yuma Sun reported. [...]

The council’s action could mean that the city hires someone to test Cabrera’s English fluency. In San Luis, nearly all 25,000 residents are Latino and about 88% speak a language other than English at home, according to Census Bureau data.

Cabrera is one of 10 council candidates running in the city’s March primary, the Sun said. She is considered something of a rabble-rouser, having spearheaded two failed recall attempts against the current mayor of San Luis, Juan Carlos Escamilla.

Escamilla voted in favor of testing Cabrera’s grasp of English, TV station KSWT reported.

English-only laws have been highly controversial, especially in states like Arizona that have a large number of Hispanic voters, many of whom have a limited grasp of English themselves. It would seem more important that Cabrera can effectively communicate in the language the vast majority of her constituents speak.

The suggestion that her English is not up to scratch is based on anecdotal claims from the very people who are trying to keep her from serving. None of the other Hispanic candidates for office are being asked to prove their English proficiency. In addition, the mayor’s targeting of Cabrera seems somewhat hypocritical given that he admits he is not completely fluent himself.

The Voting Rights Act protects the right of non-English speakers to cast a ballot, but these protections do not apply to candidates. Nevertheless, selectively applying the law based on candidates’ ethnicity or political leanings is troubling. There is nothing in the Constitution that protects English as the exclusive language of the United States.

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Politics

Romney: ‘I Like Being Able To Fire People Who Provide Services To Me’

During a campaign event in Nashua, New Hampshire this morning, Mitt Romney told the crowd, “I like being able to fire people who provide services to me.” The remark came as the Romney discussed purchasing health care services at a Nashua Chamber of Commerce event:

ROMNEY: I want people to be able to own insurance if they wish to, and to buy it for themselves and perhaps keep it for the rest of their life and to choose among different policies offered from companies across the nation. I want individuals to have their own insurance. That means the insurance company will have an incentive to keep people healthy. It also means if you don’t like what they do, you can fire them. I like being able to fire people who provide services to me. If someone doesn’t give me the good service I need, I’m going to go get somebody else to provide that service to me.

Watch it:

Still, given that his business history includes extensive layoffs, the remark will likely cause headaches for the former Massachusetts governor. Before entering politics, Romney founded Bain Capital, a private equity firm that made billions by, as the Los Angeles Times writes, “firing workers, seeking government subsidies, and flipping companies quickly for large profits.”

Romney’s Republican opponents have hammered him on the issue for weeks; just yesterday, Gingrich alluded to Romney’s tenure at Bain while criticizing “rich people figuring out clever, legal ways to loot out a company.” Bain bankrupted nearly one-fourth of the companies it invested in, “sometimes with substantial job losses,” according to a Wall Street Journal report released today.

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