Kanjorski Statement on Bank Restrictions

From the inbox:

KANJORSKI STATEMENT ON PRESIDENT’S PROPOSAL TO LIMIT SIZE AND SCOPE OF BANKS

President’s Proposal Molded After Kanjorski Amendment to Address Companies that Are “Too Big To Fail” and Prevent Future Bailouts

WASHINGTON – Today, Congressman Paul E. Kanjorski (PA-11), Chairman of the House Financial Services Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises, provided the following statement supporting the President’s proposal to limit the size and scope of financial institutions and better protect taxpayers by preventing companies that are deemed “too big to fail” to exist. The President’s proposal is similar to the Kanjorski amendment that was included in H.R. 4173, the Wall Street Reform and Consumer Protection Act, which the House passed on December 11. The Kanjorski amendment would empower federal regulators to rein in and dismantle financial firms that are so large, inter-connected or risky that their collapse would put at risk the entire American economic system, even if those firms currently appear to be well capitalized and healthy. Therefore, American taxpayers should no longer be on the hook for bailouts, as financial companies would not be able to become “too big to fail.”

“I applaud President Obama for joining me in working to end the era of reckless financial institutions that have become so large and interconnected that they could be deemed ‘too big to fail’,” said Chairman Kanjorski. “A year and a half ago, Congress took drastic, but necessary action, to prevent an economic disaster that would have severely affected every American and set back our financial system by decades. But, many of the financial companies do not seem to have learned their lessons from that harrowing experience. In November, I took the first action in Congress to prevent companies from becoming too interconnected and risky by introducing an amendment, which was included in the House-passed Wall Street reform bill, to prevent companies from becoming ‘too big to fail.’ Now that the President has put forward a similar proposal, I hope that we can work to enact Wall Street reform that will better protect every American and ensure that no single company can pose a risk to the entire economy. We owe it to the American people to make these ideas a reality.”

A summary of the Kanjorski amendment follows:

· Objective Standards. Size is by no means the only factor to determine if a financial company is “too big to fail.” The recent financial crisis has shown that many other factors can also cause a company to become a systemic risk. Rather, the amendment considers a variety of objective standards to determine if financial firms pose a threat to our financial stability, including the scope, scale, exposure, leverage, interconnectedness of financial activities, as well as size of the financial company. The Kanjorski amendment does not cap the size of financial institutions.

· Mitigatory Actions. If a financial company is deemed systemically risky, the Kanjorski amendment provides responsible preventative actions to protect our financial system and curtail those risks. These include modifying existing prudential standards, imposing conditions on or terminating activities, limiting mergers and acquisitions, and in the most extreme cases, breaking up a financial company.

· Protects American Competitiveness. We have learned from this financial crisis that we are all connected. The Kanjorski amendment addresses the concern that our regulatory system works in conjunction with those around the globe. Currently, the European Union is considering similar action, and harmonized regulations would benefit both economies.

Obama Calls for Bank Restrictions

From the inbox:

President Obama Calls for New Restrictions on Size and Scope of Financial Institutions to Rein in Excesses and Protect Taxpayers

WASHINGTON, DC- President Obama joined Paul Volcker, former chairman of the Federal Reserve; Bill Donaldson, former chairman of the Securities and Exchange Commission; Congressman Barney Frank, House Financial Services Chairman; Senator Chris Dodd, Chairman of the Banking Committee and the President's economic team to call for new restrictions on the size and scope of banks and other financial institutions to rein in excessive risk taking and to protect taxpayers.

The President's proposal would strengthen the comprehensive financial reform package that is already moving through Congress.

"While the financial system is far stronger today than it was a year one year ago, it is still operating under the exact same rules that led to its near collapse," said President Barack Obama. "My resolve to reform the system is only strengthened when I see a return to old practices at some of the very firms fighting reform; and when I see record profits at some of the very firms claiming that they cannot lend more to small business, cannot keep credit card rates low, and cannot refund taxpayers for the bailout. It is exactly this kind of irresponsibility that makes clear reform is necessary."

The proposal would:

1. Limit the Scope-The President and his economic team will work with Congress to ensure that no bank or financial institution that contains a bank will own, invest in or sponsor a hedge fund or a private equity fund, or proprietary trading operations unrelated to serving customers for its own profit. .

2. Limit the Size- The President also announced a new proposal to limit the consolidation of our financial sector. The President's proposal will place broader limits on the excessive growth of the market share of liabilities at the largest financial firms, to supplement existing caps on the market share of deposits.

In the coming weeks, the President will continue to work closely with Chairman Dodd and others to craft a strong, comprehensive financial reform bill that puts in place common sense rules of the road and robust safeguards for the benefit of consumers, closes loopholes, and ends the mentality of "Too Big to Fail." Chairman Barney Frank's financial reform legislation, which passed the House in December, laid the groundwork for this policy by authorizing regulators to restrict or prohibit large firms from engaging in excessively risky activities.

As part of the previously announced reform program, the proposals announced today will help put an end to the risky practices that contributed significantly to the financial crisis.

Call for Citizens Medal Nomination

From the inbox:

PRESIDENT OBAMA LAUNCHES CITIZENS MEDAL PUBLIC NOMINATION PROCESS

Public Invited to Nominate Candidates for Nation's Second Highest
Civilian Honor



WASHINGTON, DC--In a video message released today, President Obama announced that the American public will be invited to nominate candidates for the Citizens Medal, the nation's second highest civilian award. For over 40 years, the Presidential Citizens Medal has recognized Americans who have "performed exemplary deeds of service for their country or their fellow citizens." Past recipients have included
some of America's most respected public figures including Colin Powell, Bob Dole and Muhammad Ali but also everyday heroes like Oseola McCarty, a washerwoman who left her entire life savings to establish a scholarship fund for students in need. The President's video message can be viewed HERE
.

By asking the public to submit nominees, President Obama hopes to recognize exemplary citizens and local heroes who have significantly impacted their communities but who may not have garnered national attention.

"No matter who they are or where they come from, recipients of the Citizens Medal are united by an unwavering desire to serve," said President Obama. "And that's why this year, we are asking you to help nominate candidates for this extraordinary honor who exemplify the kind of selfless dedication that inspires us all to greater heights."

Public nominations will be reviewed by White House staff with the recipients selected by the President. Additional awardees may be selected outside of the public nomination process. The President will award the Citizens Medal in a ceremony at the White House in late spring.

Nominees must be citizens of the United States and fulfill specific criteria <http://www.WhiteHouse.gov/citizensmedal/criteria> . The nomination form is available at www.WhiteHouse.gov/citizensmedal. In order for nominations to be considered, all applications must be completed in full and submitted via www.WhiteHouse.gov/citizensmedal by
Thursday, January 28, 2010 at 11:59 pm EST.

Cookies From Home

If you've been out and about lately you might have noticed that it is Girl Scout cookie time. In lieu of buying cookies you can also have one or more boxes sent to troops overseas. Ask about the Cookies From Home program.

Local Remarks on Haiti

From Rep. Allyson Schwartz (D-13):

U.S. Rep. Allyson Schwartz supported legislation today to help earthquake victims in Haiti by offering an immediate tax benefit to Americans who make charitable donations to the region. The bipartisan legislation will allow individuals to claim any donations to the relief effort as an itemized deduction on their 2009 tax return, instead of waiting to claim it on their 2010 return.

The bill would also ensure that those individuals donating to victims of the Haiti earthquake via text message will be able to use their cell phone bill when claiming a charitable donation.

“The situation in Haiti has been absolutely devastating and there has already been an incredible outpouring of support from the American people to help those suffering in the region,” said Schwartz, an original co-sponsor of the bill. “This legislation will provide an immediate benefit for those who have already made a generous donation and will encourage even more people to help aid the relief effort. Any contribution, large or small, is critical to helping those struggling after this tragedy.”

In January of 2005, Congress enacted this type of relief for individuals that made charitable contributions to victims of the Indian Ocean tsunami that occurred in late December of 2004.

In addition to passing this measure, the House of Representatives voted to pass a resolution expressing condolences to and solidarity with, the people of Haiti in the aftermath of the devastating earthquake of January 12th, 2010.

State Rep. Bryan Lentz (D-161) (also a candidate for the 7th congressional district:

Today, Representative Bryan Lentz released the following statement regarding the two bipartisan measures passed unanimously today by the House of Representatives aimed at expediting aid to the Haitian people.

“I applaud Congress for this swift bipartisan action to aid the Haitian people in this time of crisis. With nearly 200,000 reported deaths and over 1.5 million Haitians left homeless after this devastating earthquake, it is imperative that the American people take whatever action we can to assist our neighbors in relief and recovery operations,” said Lentz. “By offering immediate income tax relief to Americans who donate to this worthy cause, the bill will encourage continued American generosity in the days and weeks ahead when the people of Haiti most desperately need it.

“In a day and age when unanimous Congressional action is rare, it is important to send the message to the American people and the world that this recovery effort is of the highest priority. I am grateful for the outpouring of selfless support that we have already seen in this country,” said Lentz. “I firmly believe this bill will help to motivate even more donations and humanitarian aid.”

“In this time of great need for the poorest nation in the Western Hemisphere, Americans have responded with swift generosity, contributing more than $220 million to U.S. relief groups. This money will fund relief for the homeless, medical attention for the injured, and assistance to all those struggling from the severe damage to their homes, schools, ports, roads, and hospitals.

“I am proud of the American people for their immediate and compassionate response in the wake of this tragedy. These bipartisan bills will encourage continued efforts by the government and the people to aid the devastated communities of Haiti, and I commend our representatives for enacting them quickly” said Lentz.

-- Bryan Lentz is a former Army Airborne Ranger, criminal prosecutor and Iraq war veteran who currently serves in the Pennsylvania House of Representatives from Delaware County. He also served overseas as a peace-keeper in Bosnia and the Sinai Peninsula and was awarded both the Bronze Star for Service and the War on Terrorism Expeditionary Medal for his military service. He lives in Swarthmore with his wife Jennifer and their son Thomas.

The first bill, H.R. 4462, will help in the efforts to build a relief fund by speeding up the tax deduction for charitable contributions made to victims of the earthquake. The bill allows individuals who have donated to help the victims in Haiti between January 11 and March 1 to claim these charitable contributions on their 2009 tax return instead of waiting until 2010. This measure provides an immediate benefit to those who have already contributed and an extra incentive to those who are still considering making a donation.

The bill also clarifies that a cell phone bill will be sufficient to claim a donation made by text message on a tax return. This new and innovative donation method has already generated a $22 million for victims of the earthquake.

The second resolution is an official expression of the legislature’s condolences and sympathy for the victims of this tragedy and commendation for the domestic and international organizations and people that have so far contributed to the relief efforts. It also encourages the President to continue to make resources available to aid in the aftermath of this natural disaster.

Obama Cracks Down on Tax Cheats

From the inbox:

President Obama Directs Administration to Crack Down on Tax Cheats Seeking Government Contracts

Today, President Obama will direct the Office of Management and Budget, together with the Treasury Department and other federal agencies, to take steps to block contractors who are delinquent on their taxes from receiving new government contracts. He will also direct the IRS to conduct a review of the overall accuracy of companies’ claims about tax delinquency to be sure that when a company says it’s paying taxes, it is telling the truth. The President will be joined today by Vice President Biden, Senator Claire McCaskill, Congressman Ed Towns, Congressman Brad Ellsworth, IRS Commissioner Douglas Shulman, and Chief Performance Officer of the United States Jeffrey Zients.

In addition, the President is calling on Congress to give the government the tools necessary to ensure that the public’s tax dollars are not used to boost the profits of companies who refuse to pay their taxes.

“By issuing this directive, all of us in Washington will be required to be more responsible stewards of your tax dollars. All across this country, there are people who meet their obligations each and every day. You do your jobs. You support your families. You pay the taxes you owe – because it’s a fundamental responsibility of citizenship,” said President Barack Obama. “The steps I’m directing today and the steps I’m calling on Congress to take are just basic common-sense. They’re not going to eliminate all of the waste or abuse in government contracting in one fell swoop. Going forward, we’ll also have to do more to hold contractors more accountable not just for paying taxes, but for following other laws as well.”

When President Obama was in the Senate he sponsored legislation to give federal contracting officials the tools that they need to recoup these funds or stop tax scofflaws from getting federal contracts. The Administration urges Congress to approve legislation to allow the IRS to crack down on corporate tax cheats. Congress also is urged to allow data sharing between the IRS and contracting officials at agencies to ensure that scofflaws do not exploit some loophole to continue to win federal contracts.

Today’s directive builds on steps the President has taken to crack down on government waste – strengthening what works and eliminating what doesn’t:

· In December, the Administration released an update on the President’s efforts to cut high-risk, no-bid contracts, showing federal agencies on track to save $19 billion in contracting reforms this year and $40 billion by the end of 2011.

· In November, the President outlined steps to crack down on wasteful, improper payments which, in 2009, were expected to reach about $100 billion.

· In May, the Administration released the results of the line-by-line review of the Budget and identified more than 120 programs that were wasteful, duplicative, or outdated. Congress approved more than 60 percent of the President’s proposed cuts – significantly higher than recent administrations’ results.

The memorandum the President will sign at today’s event is available HERE.

Sestak's Philadelphia Kitchen Call

Congressman Joe Sestak has been having “kitchen calls” around the state as part of his senatorial campaign. They are billed as opportunities to discuss local issues. I attended a kitchen call Saturday afternoon in Philadelphia at the Arch Street Presbyterian Church. There were about 65-70 people in attendance (enough that I could tag along with a group and avoid signing in). From the way people talked it sounds like email invitations went out although some people might have wandered in. The crowd was extremely diverse in all ways, age, race, gender, and, going by visual cues and questions asked, income and life circumstance.

Sestak came in quietly at 3:00 as advertised. He spoke for about 20 minutes, giving biographical information and a general introduction. The day’s schedule had been packed, leaving home at 5:30 in the morning and more events yet to attend after the kitchen call, which may have accounted for a few flubs that he caught and corrected. Sestak has a velvet voice and speaks well. He also has a good stage presence, gesturing to individuals in the group, walking around the chapel aisle, and speaking loud enough to avoid being tethered to a microphone.

In the introduction he said that in the military everyone has health care. In the greater Philadelphia area 60% of the uninsured are working. His office handled 4 times the average amount of constituent problems for a congressional office. While he respects Arlen Specter he doesn’t see how you can ask someone who got us into the mess to get us out of it. In regards to education he said Pennsylvania is now the second oldest state in the nation because our young men and women move out of state for jobs.

Sestak took a number of questions. The answers were broad-ranging and often brought in other topics. For example when asked about the group of hikers being held in Iran, Sestak said he had gone on tv the day after the capture and spoken about it. Then he said he was not going to try to grab headlines, which led to a comment about Specter and then to note that Specter called for hearings on the low conviction rate in Philadelphia’s courts (with a shout out to the Philadelphia Inquirer’s series on this subject), with a note that when Specter was Philadelphia’s District Attorney the conviction rate was also low.. From there he hopped over to the prison population generally, saying that the percentage of women going to prison was increasing and that in 2040 people of color would be in the majority. From there he veered into the need to address juvenile delinquency. So, as you might imagine, it was sometimes difficult to follow. Below you will find the gist of the q&a, but it is by no means a complete guide to what was said.

Q: getting rid of the filibuster
A: The 60/40 rule was brought in for civil right legislation, to protect those in the minority. Not in favor of changing that right now. Instead we need principled leadership in the senate. It is outrageous that Ben Nelson could ask for things in exchange for his vote. Recommends the book Power and Ambition. He won’t sacrifice good policy for bipartisanship.

Q: Afghanistan
A: We need an exit strategy. When failures become more costly than benefits then it triggers an exit strategy. The best thing to do in Afghanistan is teach women to read. Supports the assault weapon ban (has a 0% rating from the NRA). Pakistan is almost a failed state, with nukes.

Q: banking regulations
A: We need to require transparency of derivatives trading. There is a new consumer protection agency.

Q: no bank should be too large to fail
A: A lot of it depends on how oversight goes. Health insurance is exempt from anti-trust laws. 90% of health insurance companies have no competition.

Q: local hikers taken prisoner / hostage (see note above)
A: Went on tv the day after the capture and spoke about it. Not spoken up regularly because does not want to use this to grab headlines. Arlen Specter is holding hearings about the conviction rate in Philadelphia. The number of women going to prison is rising. By 2040 people of color will be in the majority. We need to address juvenile delinquency.

Q: senior citizens
A: Seniors are living longer. Would like to encourage seniors to volunteer in schools. Concerns with social security. Less income is taxed for social security now. As the country’s wealth has shifted to the very upper class less of it is considered income and therefore not taxed for social security.

Q: excessive military spending
A: gave examples and how he had tried to solve them

Q: Iran
A: Should engage in diplomacy with Iran. The country is going through a velvet revolution. We need a knowledge upgrade.

Q: deficits
A: Clinton administration had 3 balanced budgets with “pay as you go.” Bush administration did away with this. Obama inherited an $11 trillion deficit. We need to close loopholes that let companies keep their profits overseas. The IRS’s budget was slashed but billions go uncollected. We should put taxes on top earners back to what they were in the Bush years. That will keep Social Security solvent. Right now Social Security will be insolvent in 2019.

Q: What action do you need from the people in this room to get elected?
A: Raise votes not money. Money important but he runs a frugal campaign. Votes more important.

Q: Pay as you go is good but solving social problems often requires pre-empting them with spending in advance. Mentions housing problems for people with HIV and AIDS.
A: He agrees. Just became aware of this problem a few weeks ago.

Q: How important is Specter’s seniority?
A: Not very. Mentions things that Specter has voted against that have affected his district. One is education. Mentions that a local shipyard imports welders because can’t find properly trained welders here. Discusses training needed and why it is important to get kids interested at a young age.

That ended the formal part of the meeting. It was 4:20 at this point, nearly half an hour after the scheduled ending point.. Sestak stayed to answer individual questions. I left at 4:40 and most of the audience had left but Sestak was still there talking to people.

There were a lot more remarks about Specter that I didn’t jot down. Sestak doesn’t talk in sound bites and while that makes things much more interesting it also makes it harder to take notes on scrap paper using your knee as a desk. If you have an opportunity to see Sestak in person you should take advantage of it.

Personal note: Circumstances relating to my arrival allowed me to have a tour of part of the church. It is a lovely old building with some interesting architectural and decorative points. The two women I shared a pew with were friendly and I also had a really nice conversation with a gentleman in the pew in front of me.

Delco Candidates Night

Mark your calendar. On Sunday, January 31st, The Mid-county Delaware County Democrats are having a candidates night, Rose Tree Fire company, 6:30 - 9:30 pm. I attended four years ago and found it very interesting.

Report on PA Tax Incentives

Catching up on last week's WSJ. Kris Maher's "Pennsylvania tax incentives questioned," on 1/13 discusses a report funded by the Heinz Endowments, produced by Good Jobs First, on the effectiveness of Pennsylvania's tax incentives for business.

The study concludes that the job losses show the tax incentives aren't enough to offset other factors like globalization.

Other points in the article:
*more jobs are lost to other countries than to other states
*companies look for quality of labor force, prevailing wage rates, ease of transporting goods

The study is available online. One primary conclusion is that states should try to grow their own high tech jobs rather than draw in existing companies.

Bucks' Gamesa Receives Tax Credits

From the inbox:

Today, Pennsylvania Congressman Patrick Murphy (D-8th District) joined green energy entrepreneurs and employees at Gamesa USA’s Fairless Hills facility to announce over $2 million in tax credits for the creation of green energy jobs in Bucks County. The tax credits were awarded as part of the American Recovery and Reinvestment Act, and will allow Gamesa, the world’s third largest producer of wind turbines, to continue to create green jobs in the 8th District while developing cutting-edge wind turbine generator technology. Congressman Murphy has been a tireless advocate for the development of clean energy technologies in Bucks County , arguing that green technology rebuilds our economy, creates jobs, and reduces our dependence on foreign oil.

The program, administered by the U.S. Department of Energy, provides a 30 percent tax credit for investments in 183 manufacturing facilities for clean energy products across 43 states across the country. The credits encourage investment in clean technologies that will decrease our dependence on foreign oil, strengthen our national security, and create good-paying jobs. With these $2 million in tax credits, Gamesa can expand their manufacturing technology to develop the next generation of cutting-edge wind turbine generators, meeting the need for clean energy products with parts and equipment made in the U.S.A.

“Congressman Murphy has been a tireless advocate for Gamesa in southeastern Pennsylvania ,” said Michael Peck, Director of External Affairs for Gamesa USA . “He has been a leader in the fight for green energy and green jobs, and he has worked to secure funding for the development and deployment of renewable energy. Locally, he understands how hard the loss of manufacturing jobs hit his district, and he sees the manufacturing resurgence that can be realized by companies like Gamesa. We look forward to continuing our partnership with Congressman Murphy to grow new opportunities in the emerging green economy.”

“Gamesa USA has been an outstanding example of a company bringing good-paying green jobs to Bucks County , and I’ve been proud to fight for funding that will enable them to create even more jobs,” said Rep. Patrick Murphy.

Kanjorski Supports Obama Statement

In case you were wondering:

Statement from Congressman Paul Kanjorski on President Obama’s proposed Financial Crisis Responsibility Fee:

“Over the last two years, our economy has faced its most dire circumstances since the Great Depression. We took extraordinary, but necessary action to pull the economy back from the brink. Now, it is time for Wall Street, whose reckless actions led to the credit crunch that has affected all Americans, to take responsibility for their actions and ensure that all of the money that was used to ensure their survival is returned to the taxpayers and not added to the debt of the United States. This fee of just 0.15 percent of liabilities would impact only the largest financial firms that either borrowed federal funding or benefited from that funding, which helped to stabilize the economy. Many Americans still face serious financial hardships as a result of the economic downturn, while Wall Street is back up and running. Furthermore, we can ensure that a small portion of profits derived from the taxpayers’ intervention are returned to the taxpayers and not distributed to employees in massive bonuses.”

Should words be insufficient, video is available.

Mark Zandi and Others at World Affairs Council

The World Affairs Council has announced their spring speakers series. Check this out, four white guys you might want to go out and listen to:

Gen. David Petraeus / Feb. 12
Charles Plosser / Feb. 10
Mark Zandi / Mar. 10
Mitt Romney / April 6

More details, including cost, on their website: www.wacphila.org

Second Miracle on the Hudson: No Lawsuits

A fascinating note from "A year later, fears blend with their gratitude," by Samantha Gross in today's Inky (Philadelphia Inquirer):

"Members of the group [survivors of Flight 1549] surprised some observers with what they have chosen not to do: No one on the plane has sued the airline."

Capt. Sullenberger's miraculous landing and responsible behavior afterwards may, perhaps, have had something to do that. It would make an interesting study.

Rendell Pushes HB 80

A few quotes from "Rendell gets tough on energy bill," by Diane Mastrull in the business section of today's Inky:

The measure would significantly boost Pennsylvania's clean-energy standards beyond those enacted in 2004 and, Rendell contends, help ensure the state's ability to attract alternative-energy companies. Surrounding states such as New Jersey and Maryland already are at a competitive advantage because they have higher standards, he said.

In a brief interview after the event, Rendell called House Bill 80 "the single most important thing that we have to do for the long-range health of the state."

Among those opposed to the bill is the Pennsylvania Coal Association. Go figure.

Duquesne Adopts Lost or Stolen Gun Ordinance

From the inbox:

Last night, Duquesne City Council passed an ordinance requiring that lost or stolen firearms be reported missing to the police upon discovery of their absence. Duquesne Council voted 4-0 in favor of the reform. Duquesne joins 23 other cities and towns across the Commonwealth that have taken action to require lost or stolen handgun reporting.

In accordance with the new law, Duquesne gun owners will have 24 hours to report a lost or stolen firearm missing to the police, from the time the loss or theft is discovered. Penalties for a first violation may include a fine of up to $500 and mandatory participation in an educational program on handgun safety. Penalties for second and subsequent violations include fines up to $1000 and/or up to 30 days imprisonment.

For a list of the other cities or to read more on "lost or stolen" firearms legislation, see www.ceasefirepa.org.

PA OFA Responds to Obama Statement

From the inbox:

Organizing for America Pennsylvania State Director Elizabeth Lucas released the following statement following President Obama’s announcement of a Financial Crisis Responsibility Fee that would recoup money that American taxpayers gave troubled financial institutions to stave off economic collapse. While the majority of the money given to financial firms through the Troubled Asset Relief Program has been paid back, that is not enough. Organizing for America (OFA) is a project of the Democratic National Committee committed to supporting President Obama’s agenda for change.

“President Obama’s Financial Crisis Responsibility Fee is an important initiative that will ensure that American taxpayers are fully repaid for their extraordinary assistance to banks during the financial crisis. Many of these banks are now reporting profits and paying out huge bonuses to executives while these firms still have not fully paid back the American taxpayer. I applaud President Obama for his courage to hold Wall Street accountable while Main Street still suffers.

“This tax sends a clear message to Wall Street that the excessive risk-taking that led to a near collapse of our economy in 2008 will no longer be tolerated – the status quo is unacceptable. President Obama and OFA volunteers across the state of Pennsylvania will not stand idly by as big banks rake in profits while millions of Americans struggle to keep their heads above water.”

Obama Proposes Financial Crisis Responsibility Fee

From the inbox:

President Barack Obama will join his economic team today to propose a Financial Crisis Responsibility Fee to be imposed on the debt of the largest financial firms until the American people are fully compensated for the extraordinary assistance they provided to Wall Street.

“My commitment is to recover every single dime the American people are owed. And my determination to achieve this goal is only heightened when I see reports of massive profits and obscene bonuses at the very firms who owe their continued existence to the American people – who have not been made whole, and who continue to face real hardship in this recession,” said President Barack Obama. “That’s why I’m proposing a Financial Crisis Responsibility Fee to be imposed on major financial firms until the American people are fully compensated for the extraordinary assistance they provided to Wall Street.”

The fee will be in place at least 10 years, but even longer if needed to pay back every penny of TARP. This will not be a cost borne by community banks or small firms; only the largest firms with more than $50 billion in assets will be affected. In fact, 60% of the revenue will come from the 10 largest financial firms.

Fact Sheet on the Financial Crisis Responsibility Fee: http://www.whitehouse.gov/sites/default/files/financial_responsibility_fee_fact_sheet.pdf

The fee the President is proposing would:

· Require the Financial Sector to Pay Back For the Extraordinary Benefits Received: Many of the largest financial firms contributed to the financial crisis through the risks they took, and all of the largest firms benefitted enormously from the extraordinary actions taken to stabilize the financial system. It is our responsibility to ensure that the taxpayer dollars that supported these actions are reimbursed by the financial sector so that the deficit is not increased.

· Responsibility Fee Would Remain in Place for 10 Years or Longer if Necessary to Fully Pay Back TARP: The fee – which would go into effect on June 30, 2010 – would last at least 10 years. If the costs have not been recouped after 10 years, the fee would remain in place until they are paid back in full. In addition, the Treasury Department would be asked to report after five years on the effectiveness of the fee as well as its progress in repaying projected TARP losses.

· Raise Up to $117 Billion to Repay Projected Cost of TARP: As a result of prudent management and the stabilization of the financial system, the expected cost of the TARP program has dropped dramatically. While the Administration projected a cost of $341 billion as recently as August, it now estimates, under very conservative assumptions, that the cost will be $117 billion—reflecting the $224 billion reduction in the expected cost to the deficit. The proposed fee is expected to raise $117 billion over about 12 years, and $90 billion over the next 10 years.

· President Obama is Fulfilling His Commitment to Provide a Plan for Taxpayer Repayment Three Years Earlier Than Required: The EESA statute that created the TARP requires that by 2013 the President put forward a plan “that recoups from the financial industry an amount equal to the shortfall in order to ensure that the Troubled Asset Relief Program does not add to the deficit or national debt.” The President has no intention of waiting that long. Instead, the President is fulfilling three years early his commitment to put forward a proposal that would – at a minimum – ensure that taxpayers are fully repaid for the support they provided.

· Apply to the Largest and Most Highly Levered Firms: The fee the President is proposing would be levied on the debts of financial firms with more than $50 billion in consolidated assets, providing a deterrent against excessive leverage for the largest financial firms. By levying a fee on the liabilities of the largest firms – excluding FDIC-assessed deposits and insurance policy reserves, as appropriate – the Financial Crisis Responsibility Fee will place its heaviest burden on the largest firms that have taken on the most debt. Over sixty percent of revenues will most likely be paid by the 10 largest financial institutions.

PMC Calls for Change to Judicial Conduct Board

from the inbox:

Pennsylvanians for Modern Courts (PMC) today called upon the Judicial Conduct Board to amend its policy of deferring investigations into complaints against judges when criminal investigations are pending. The Judicial Conduct Board announced this policy during the recent hearings of the Interbranch Commission on Juvenile Justice and adopted new Internal Operating Procedures at the beginning of the year formally permitting such deferrals. PMC questions the wisdom of the policy generally, its potential role in allowing the Luzerne County Courthouse debacle to continue as long as it did, and the Judicial Conduct Board’s ability to ensure that it will not permit another Luzerne County-type scandal to go unexamined and unpunished.

PMC is specifically concerned with the Judicial Conduct Board’s handling of cases that allege judicial misconduct in office – allegations related to the judicial role or function itself. According to the limited information that has been made public, complaints filed with the Board against the Luzerne County judges alleged such misconduct. PMC Deputy Director Shira Goodman explained: “Where there are allegations relating to subversion of the judicial role, the obligation of the Judicial Conduct Board to protect our system of justice from rogue judges should wait for no other process.”

“The people of Pennsylvania need and deserve certainty – certainty that the Board will investigate judicial misconduct in office, regardless of pending criminal investigations,” said Goodman. “The Board’s deferral policy does not provide this certainty.” According to PMC, the deferral procedures outlined in IOP 4.07 would not prevent the Board from tabling or deferring a future investigation into allegations like the ones that were made about the Luzerne County judges.

PMC urged the Board to take clear steps to adopt and implement a policy that will ensure that the Judicial Conduct Board will never again cede its jurisdiction and abandon or delay exercising its duty to protect the people of Pennsylvania . “Unless that occurs and the deferral policy is amended,” said Goodman, “we cannot be confident that our judicial discipline system is able to prevent a Luzerne County-type tragedy from occurring again.”

Pennsylvanians Honored as Early Career Scientists

Several Pennsylvanians were among those honored by President Obama as:

the latest winners of the Presidential Early Career Award for Scientists and Engineers. The Award is the highest honor bestowed by the United States government on scientists and engineers in the early stages of their independent research careers.

Those at Pennsylvania institutions are:

Dept of Defense
Carlos E. Guestrin, Carnegie Mellon University
Michael A. Hickner, The Pennsylvania State University
Susan E. Parks, The Pennsylvania State University

NIH, Health & Human Services
Thomas P. Cappola, University of Pennsylvania School of Medicine
Gonzalo E. Torres, University of Pittsburgh

National Science Foundation
Sean Hallgren, The Pennsylvania State University
Adam D. Smith, The Pennsylvania State University

Federal Funding for Washington's Crossing VA Cemetery

From the inbox:

Today, Pennsylvania Congressman Patrick Murphy (D-8th District) announced a new round of federal funding that he recently secured for improvements to Stoopville Road . The $950,000 will ensure construction and improvements continue on Stoopville Road from Durham Road to Washington Crossing Road in Newtown Township and Upper Makefield Township.

Congressman Murphy has successfully secured $2.84 million in federal funding for these improvements, including $1.4 million from the American Recovery and Reinvestment Act.

“Congressman Murphy continues to deliver on his local promises- this ensures that the Washington Crossing Cemetery and the roadways leading to it are given the care and attention that this important site deserves,” said Jerry Schenkman, Newtown Township Supervisor.

“I’m proud to fight for funding that creates jobs in Bucks and, most importantly, ensures that this project finally gets done,” said Rep. Murphy.

The Washington Crossing National Veterans Cemetery will draw thousands of new visitors to the area. Rep. Murphy has worked closely with members of the townships’ Boards of Supervisors to find ways to devote resources to traffic calming measures that will keep local residents, commuters, and school-children safe. Planned improvements include landscaped medians and gateway treatments along with a pedestrian/bicycle path to promote safe and efficient travel along the roadway and to access adjoining land. The ability to secure these federal funds was a critical factor in ensuring that Bucks County was chosen as the location for the National Veterans Cemetery .

Obama on Haiti

From the inbox:

Good morning, everybody. This morning I want to extend to the people of Haiti the deep condolences and unwavering support of the American people following yesterday's terrible earthquake.

We are just now beginning to learn the extent of the devastation, but the reports and images that we've seen of collapsed hospitals, crumbled homes, and men and women carrying their injured neighbors through the streets are truly heart-wrenching. Indeed, for a country and a people who are no strangers to hardship and suffering, this tragedy seems especially cruel and incomprehensible. Our thoughts and prayers are also with the many Haitian Americans around our country who do not yet know the fate of their families and loved ones back home.

I have directed my administration to respond with a swift, coordinated, and aggressive effort to save lives. The people of Haiti will have the full support of the United States in the urgent effort to rescue those trapped beneath the rubble, and to deliver the humanitarian relief -- the food, water and medicine -- that Haitians will need in the coming days. In that effort, our government, especially USAID and the Departments of State and Defense are working closely together and with our partners in Haiti, the region, and around the world.

Right now our efforts are focused on several urgent priorities. First, we're working quickly to account for U.S. embassy personnel and their families in Port-au-Prince, as well as the many American citizens who live and work in Haiti. Americans trying to locate family members in Haiti are encouraged to contact the State Department at 888/407-4747. I'm going to repeat that – 888/407-4747.

Second, we've mobilized resources to help rescue efforts. Military overflights have assessed the damage, and by early afternoon our civilian disaster assistance team are beginning to arrive. Search and rescue teams from Florida, Virginia and California will arrive throughout today and tomorrow, and more rescue and medical equipment and emergency personnel are being prepared.

Because in disasters such as this the first hours and days are absolutely critical to saving lives and avoiding even greater tragedy, I have directed my teams to be as forward-leaning as possible in getting the help on the ground and coordinating with our international partners as well.

Third, given the many different resources that are needed, we are taking steps to ensure that our government acts in a unified way. My national security team has led an interagency effort overnight. And to ensure that we coordinate our effort, going forward, I've designated the administrator of the U.S. Agency for International Development, Dr. Rajiv Shah, to be our government's unified disaster coordinator.

Now, this rescue and recovery effort will be complex and challenging. As we move resources into Haiti, we will be working closely with partners on the ground, including the many NGOs from Haiti and across Haiti, the United Nations Stabilization Mission, which appears to have suffered its own losses, and our partners in the region and around the world. This must truly be an international effort.

Finally, let me just say that this is a time when we are reminded of the common humanity that we all share. With just a few hundred miles of ocean between us and a long history that binds us together, Haitians are neighbors of the Americas and here at home. So we have to be there for them in their hour of need.

Despite the fact that we are experiencing tough times here at home, I would encourage those Americans who want to support the urgent humanitarian efforts to go to whitehouse.gov where you can learn how to contribute. We must be prepared for difficult hours and days ahead as we learn about the scope of the tragedy. We will keep the victims and their families in our prayers. We will be resolute in our response, and I pledge to the people of Haiti that you will have a friend and partner in the United States of America today and going forward.

May God bless the people of Haiti and those working on their behalf.

Thank you very much.

PA Programs Funded by US Dept of Labor $150 Million for Green Jobs Training

From the inbox (with PA programs following):

Secretary of Labor Hilda L. Solis today announced $150 million in green jobs training grants, as authorized by the American Recovery and Reinvestment Act of 2009 (Recovery Act). The “Pathways Out of Poverty” grants — as the group of funding awards is known — will support programs that help disadvantaged populations find ways out of poverty and into economic self-sufficiency through employment in energy efficiency and renewable energy industries.

“These Pathways Out of Poverty grants will help workers in disadvantaged communities gain access to the good, safe and prosperous jobs of the 21st century green economy,”said Secretary Solis. “Green jobs present tremendous opportunities for people who have the core skills and competencies needed in such well-paying and rapidly growing industries as energy efficiency and renewable energy.”

Through the 38 grants awards announced today, targeted populations will receive recruitment and referral services; basic skills, work-readiness and occupational skills training; supportive services to help overcome barriers to employment; and other services at times and locations that are easily accessible. Through these programs, participants will receive certifications and on-the-job training that will lead to employment.

In order to serve the specific populations targeted by these grants effectively, the Department of Labor encouraged applicants to focus project efforts in communities located within one or more contiguous Public Micro Data Areas (PUMAs) where poverty rates were 15 percent or higher. PUMAs are geographic areas designated by the U.S. Census Bureau. All applicants were required to have experience serving economically disadvantaged populations. Programs funded today will serve unemployed individuals, high school dropouts, and other disadvantaged individuals within areas of high poverty.

There are two types of award recipients for these grants: 1) national nonprofit entities with networks of local affiliates, coalition members or other established partners; and 2) local entities including nonprofit organizations, such as community and faith-based organizations, the public workforce investment system, the education and training community, labor organizations, and employer and industry-related organizations.

Today’s grants are part of a larger Recovery Act initiative — totaling $500 million — to fund workforce development projects that promote economic growth by preparing workers for careers in the energy efficiency industries. For a full listing of the grants and project descriptions, visit http://www.doleta.gov. To view a video by Secretary Solis, visit http://www.dol.gov/dol/media/webcast/pathways. The U.S. Department of Labor expects to release funding for one remaining green grant award category over the next several weeks.

Pennsylvania programs listed are:

Community College of Philadelphia / Local / Philadelphia, Pa. (PUMAs 04105, 04107) /
$3,184,428 / Unemployed workers, ex-offenders and veterans

East Harlem Employment Services Inc. doing business as as STRIVE / National / Philadelphia (and other locations) / /$4,728,419 / Unemployed individuals, high school dropouts and individuals with a criminal record

Jobs for the Future Inc. (JFF)/ National / Philadelphia (and other locations) / $7,997,936 / Unemployed and disadvantaged individuals

Lehigh Valley Workforce Investment Board Inc. / Local / Allentown, Pa. (PUMA 03600) / $4,000,000 / At-risk youth, veterans and eligible spouses, and underemployed and unemployed individuals

Private Industry Council of Westmoreland/ Fayette Inc. / Local / Fayette County, Pa. (PUMA 02300) / $2,732,719 / Unemployed individuals, high school dropouts and individuals with a criminal record

PA Legislature on the Thicket Ranking

Continuing a recent theme, I noticed a post on the National Conference of State Legislatures's blog, The Thicket. It lists each state's legislature and what percentage of the elected legislators are female. The national average is 24.4%; in Pennsylvania it is 14.6%. The only states with fewer women in their state legislatures are South Carolina, Oklahoma, Mississippi, and Alabama. Food for thought.

Gov Candidates Agriculture Policies

This week there has been a lot of press about the Pennsylvania Farm Show. In keeping with that I took a look a the agricultural issue statements on gubernatorial candidates' web sites. There was nothing listed for Chris Doherty or Jack Wagner. Tom Knox has a brief agriculture policy on his site. The other Democratic candidates did have something on agriculture.

Joe Hoeffel has a 2 page policy. Don Onorato has a 6 page policy (but the font is larger). There is some overlap. Both acknowledge the expected retirement of many of Pennsylvania's farmers, and as most farms in the commonwealth are family and not corporate, this will have serious repercussions. Both suggest that increased education in education farming and related areas, at community colleges and high schools. Onorato throws in a shout out to 4H and FFA programs. Both pledge to restore cuts to the state's Department of Agriculture.

Hoeffel mentions the Growing Greener program and proposes an excise tax on natural gas extraction. Onorato mentions the Clean and Green law and suggests encouraging farms to use more green technology. Onorato goes into more detail on more programs. Both promise a lot more money.

Republican Tom Corbett does not have any issue statements on his site so no comparisons are possible.

Lobbyists Wrote Murkowski Amendment

From Desmoblog:

The Washington Post is reporting that Alaska Sen. Lisa Murkowski’s amendment to gut EPA authority to regulate carbon dioxide under the Clean Air Act was written by two Washington lobbyists known for representing some of the worst polluters in the nation.

It's not surprising, but it's definitely not good.

The Economy League Turns 100 (Again)

A few weeks ago I wished the Economy League of Greater Philadelphia a happy 100th birthday. As part of their continuing celebration they have published a three page history of the organization. They have also posted a survey to see what you think does or could make Philadelphia a world class city.

An Historical Look at Pennsylvania Women in Congress

More geek-ery on women in Congress, Pennsylvania style.

I’ve been reading “Comparing predictors of women’s congressional election success: candidates, primaries, and the general election,” by Heather L. Ondercin and Susan Welch, in the July 2009 issue of American Politics Research. It isn’t freely available on the internet but worth tracking down for those interested in the topic.

The authors looked at national congressional races from 1992 to 2000 and found some patterns in when and how women were elected. One factor was an open seat; women are more likely to be elected to an open seat than to defeat an incumbent. [In general incumbents are difficult to defeat.] Before the 1970’s women had an easier time winning a traditionally Republican seat but that has shifted and now it is easier for women to win a traditionally Democratic seat. Another factor is whether or not the district has been represented by a woman before. The percentage of women as a total of the state legislature can also have an effect. There are some other factors included but those are ones that caught my interest.

I decided to look at the history of Pennsylvania women in the US House of Representatives relating to these factors. Pennsylvania has a poor history of women in the state legislature so we can knock that one out right away. Chatham University’s Pennsylvania Center for Women, Politics and Public Policy has a quick list of Pennsylvania women who have been elected to Congress:

In total, only six women from Pennsylvania have served in the U.S. House of Representatives. Veronica Grace Boland (1942-43), Vera Daerr Buchanan (1951-55), and Kathryn Elizabeth Granahan (1957-63) all succeeded their deceased husbands. Buchanan and Granahan were subsequently re-elected. Marjorie Margolies Mezvinsky (1993-95) was the first elected in her own right.

Melissa Hart served from 2000-2006. Allyson Schwartz has represented the 13th district since 2004. Both Hart and Schwartz were elected to open seats. Kathy Dahlkemper defeated an incumbent in 2008.

I went back through and looked at PA Congressional elections as listed in volumes of America Votes. Districts change over the years and I did not have older district maps and am going my general descriptions or other geographic clues. I was also going by names and those can sometimes by deceiving. The Sam Bennett who ran against Charlie Dent in 2008 is a female Siobhan not a male Samuel. Women have run for Congress and lost. Julia L. Maietta ran against James Van Zandt in 1948 and 1958. Margaret Lee Walgren ran against James Fulton in 1960 and 1962. Both of these women were Democrats. Democrat William Barrett faced women Republicans in 1962 (Winifred Malinowsky) and 1966 (Beatrice K. Chernock). There were some other women candidates as well.

Looking at the 13th district, which has been represented by both Margolies-Mezvinsky and currently by Schwartz. One of the early women representatives, Kathryn Elizabeth Granahan, who succeeded her late husband in the then 2nd district (in 1957) and was then was elected and served until the district was eliminated in 1963. I didn’t have historical district maps but she served in the Philadelphia area and was buried in Norristown, Montgomery County, which is now primarily in the 13th district. In 2000, Joe Hoeffel, then the 13th district representative, spoke of her service in Congress. R. Lawrence Coughlin, the Republican who represented the 13th for many years had female Democratic opponents in 1972 (Katherine L. Camp), 1976 (Gertrude Strick), The 13th has also seen the only girl on girl action in congressional elections. In 2004 Schwartz and Dr. Melissa Brown battled over the seat. In 2008, Schwartz face Republican Marina Kats. Clearly Montgomery County and the 13th district have the longest history of female congressional representation in the state.

Melissa Hart represented an area near Pittsburgh. Vera Daerr Buchanan succeeded her husband in the then 33rd and 30th congressional districts (the 33rd was eliminated in 1953 and Buchanan then represented the 30th) which is also near Pittsburgh, though perhaps not the exact location as Hart’s. Austin Murphy who represented part of the Pittsburgh area for almost 20 years (1977-1985), the then 22nd district, faced Republican women opponents in 1980 (Marilyn Ecoff), 1984 (Nancy Pryor), and 1990 (Suzanne Hayden)

Dahlkemper’s election doesn’t have the precedent that the other congresswomen do. However, Tom Ridge who represented the then 21st district (roughly the same area) faced Democrat Joylyn Blackwell in 1986.

This is by no means definitive research; it’s just shifting around through some of the data. Hopefully someone out there will do an in-depth study.

Statement from Vice President Joe Biden

From the inbox:

“My mother, Catherine Eugenia “Jean” Finnegan Biden, passed away peacefully today at our home in Wilmington, Delaware, surrounded by her children, her grandchildren, her great-grandchildren and many loved ones. At 92, she was the center of our family and taught all of her children that family is to be treasured, loyalty is paramount and faith will guide you through the tough times. She believed in us, and because of that, we believed in ourselves. Together with my father, her husband of 61 years who passed away in 2002, we learned the dignity of hard work and that you are defined by your sense of honor. Her strength, which was immeasurable, will live on in all of us.”

###

Catherine Eugenia “Jean” Finnegan Biden was born on July 17, 1917, the daughter of the late Ambrose J. Finnegan and the former Geraldine C. Blewitt of Scranton, Pennsylvania. In 1941, she married Joseph Robinette Biden. They were married for 61 years before Mr. Biden passed away in 2002.

Mrs. Biden is survived by her eldest son, Vice President Joseph R. Biden, Jr., his wife Jill Jacobs Biden and their three children, Joseph R. Biden, III, of Wilmington, Delaware, his wife Hallie Olivere Biden and their children, Natalie Paige Biden and Robert Hunter Biden, II; R. Hunter Biden of Washington, D.C., his wife Kathleen Buhle Biden and their children, Naomi King Biden, Finnegan James Biden and Roberta Mabel Biden; and Ashley Blazer Biden of Wilmington, Delaware; and by her daughter, Valerie Biden Owens of Kennett Square, Pennsylvania, her husband John T. Owens and their children Valerie James Owens, Cuffe Biden Owens and Catherine Eugenia Owens; and by her two younger sons, James Brian Biden of Merion Station, Pennsylvania, his wife Sara Jones Biden and their children, James Brian Biden, Jr., Caroline Nicole Biden and Nicholas Coleman Biden; and Francis W. Biden of Florida and his daughter, Alana Jaquet Biden.

Details on services for Mrs. Biden, 92, will be available in the coming days. On behalf of the Biden family, Valerie Biden Owens has requested that, in lieu of flowers, those wishing to make a contribution in memory of Mrs. Biden do so to a hospice, the Ministry of Caring in Wilmington, Delaware, or the Naomi Christina Biden Minority Scholarship Fund at Archmere Academy in Claymont, Delaware.

Gerlach Out for Gov, Back in for 6th?

I didn't check email or twitter for a couple of hours today and all heck broke loose. Jim Gerlach, current 6th congressional district representative, has been running for governor. Today he bowed out, leaving Attorney General Tom Corbett the presumed frontrunner. Gerlach may decide to run for re-election as a Congressman.

More info:

"Gerlach Ends Gubernatorial Bid, May Run For Re-Election," by Shira Toeplitz, CQ Politics. Excerpt:

Gerlach said in a statement that he was dropping out of the statewide race because he could not raise enough money to fund his bid. But when pressed for an answer about whether the Congressman might run for his seat again, Gerlach spokesman Kori Walter said four-term member was not ready to announce what his future political plans are.

John Micek's Capitol Ideas. Excerpt:

Gerlach’s departure all but clears Attorney General Tom Corbett's path to the Republican endorsement, which is slated to take place on Feb. 13 in Harrisburg. State Rep. Sam Rohrer, R-Berks, is also seeking the party’s official blessing, but is considered a long shot to get it.

Comment from Democratic candidate Doug Pike:

"I got into this race 9 months ago to beat him because the working families of the 6th District deserve better. They deserve a Congressman who will fight for them, not just another Republican obstructionist who will stop at nothing to slow down, water down, or stop the change we voted for in 2008."

"I will use my voice and my vote to move our nation forward with sound ideas, not knee-jerk obstruction. Unlike Congressman Gerlach, I will fight for health care reform and job creation, and I will work to put an end to the Bush-Gerlach fiscal irresponsibility that got us into this mess in the first place."

"I got into this race to beat Congressman Gerlach and bring a new vision of leadership to the 6th District. Over the past 9 months, we have built a massive base of support that will carry us through to victory: we have the support of 14 labor unions, over 1300 contributions, and a warchest of over $1,100,000."

Notes from Campaigning

Over the past few years I've gone out and done some of that "boots on the ground" campaigning that everyone always talks about. It didn't go well. Here are a few examples:

Campaign A -- I signed up for campaign training, got the family schedule set to allow me to be gone for hours, and on the appointed day dutifully set off. Only to find that the campaign office was closed that day. One campaign volunteer was there to let us know but no calls had been made, even though we'd had to sign up in advance. The volunteer seemed overwhelmed and didn't take down names of who showed up. She just told us to call the office and re-schedule. I never got around to it.

Campaign B -- It was strongly suggested that I go phone banking at a specific campaign office, even though a smaller one was closer. There were additional points to be had for an organization I am affiliated with at the more distant, larger office. Unfortunately more people were stuffing envelopes than phone banking and a tv was on to allow the stuffers to watch a game. The conversation and background noise made it very difficult to hear what the people I was calling said. So I followed along with the script and hoped their responses were what one might expect. Otherwise it would have sounded very funny on the other end of the phone.

Campaign C -- Another phone banking operation. The problem here was that no real location was given; I was just asked to report to someone's campaign office. It had moved and I went to the previous location. Nobody there. I went home.

Campaigns are fast and furious organizations, scooping up what can be reached easily, knowing that stuff and people are missed. But, from my viewpoint, it's like watching a jump rope game and not knowing how to jump in. Or trying to jump in and not getting it right. Very frustrating.

Obama's Remarks on Aviation Security

From the inbox:

THE PRESIDENT: Good afternoon, everybody. The immediate reviews that I ordered after the failed Christmas terrorist attack are now complete. I was just briefed on the findings and recommendations for reform, and I believe it's important that the American people understand the new steps that we're taking to prevent attacks and keep our country safe.

This afternoon, my Counterterrorism and Homeland Security Advisor, John Brennan, will discuss his review into our terrorist watchlist system -- how our government failed to connect the dots in a way that would have prevented a known terrorist from boarding a plane for America, and the steps we're going to take to prevent that from happening again.

Secretary of Homeland Security Janet Napolitano will discuss her review of aviation screening, technology and procedures —- how that terrorist boarded a plane with explosives that could have killed nearly 300 innocent people, and how we'll strengthen aviation security going forward.

So today I want to just briefly summarize their conclusions and the steps that I've ordered to address them.

In our ever-changing world, America's first line of defense is timely, accurate intelligence that is shared, integrated, analyzed, and acted upon quickly and effectively. That's what the intelligence reforms after the 9/11 attacks largely achieved. That's what our intelligence community does every day. But, unfortunately, that's not what happened in the lead-up to Christmas Day. It's now clear that shortcomings occurred in three broad and compounding ways.

First, although our intelligence community had learned a great deal about the al Qaeda affiliate in Yemen -- called al Qaeda in the Arabian Peninsula -- that we knew that they sought to strike the United States and that they were recruiting operatives to do so -- the intelligence community did not aggressively follow up on and prioritize particular streams of intelligence related to a possible attack against the homeland.

Second, this contributed to a larger failure of analysis —- a failure to connect the dots of intelligence that existed across our intelligence community and which, together, could have revealed that Abdulmutallab was planning an attack.

Third, this, in turn, fed into shortcomings in the watch-listing system which resulted in this person not being placed on the "no fly" list, thereby allowing him to board that plane in Amsterdam for Detroit.

In sum, the U.S. government had the information -- scattered throughout the system -- to potentially uncover this plot and disrupt the attack. Rather than a failure to collect or share intelligence, this was a failure to connect and understand the intelligence that we already had.

That's why we took swift action in the immediate days following Christmas, including reviewing and updating the terrorist watchlist system and adding more individuals to the "no fly" list, and directing our embassies and consulates to include current visa information in their warnings of individuals with terrorist or suspected terrorist ties.

Today, I'm directing a series of additional corrective steps across multiple agencies. Broadly speaking, they fall into four areas.

First, I'm directing that our intelligence community immediately begin assigning specific responsibility for investigating all leads on high-priority threats so that these leads are pursued and acted upon aggressively -- not just most of the time, but all of the time. We must follow the leads that we get. And we must pursue them until plots are disrupted. And that mean assigning clear lines of responsibility.

Second, I'm directing that intelligence reports, especially those involving potential threats to the United States, be distributed more rapidly and more widely. We can't sit on information that could protect the American people.

Third, I'm directing that we strengthen the analytical process, how our analysis -- how our analysts process and integrate the intelligence that they receive. My Director of National Intelligence, Denny Blair, will take the lead in improving our day-to-day efforts. My Intelligence Advisory Board will examine the longer-term challenge of sifting through vast universes of intelligence and data in our Information Age.

And finally, I'm ordering an immediate effort to strengthen the criteria used to add individuals to our terrorist watchlists, especially the "no fly" list. We must do better in keeping dangerous people off airplanes, while still facilitating air travel.

So taken together, these reforms will improve the intelligence community's ability to collect, share, integrate, analyze, and act on intelligence swiftly and effectively. In short, they will help our intelligence community do its job even better and protect American lives.

But even the best intelligence can't identify in advance every individual who would do us harm. So we need the security -- at our airports, ports, and borders, and through our partnerships with other nations -- to prevent terrorists from entering America.

At the Amsterdam airport, Abdulmutallab was subjected to the same screening as other passengers. He was required to show his documents -- including a valid U.S. visa. His carry-on bag was X-rayed. He passed through a metal detector. But a metal detector can't detect the kind of explosives that were sewn into his clothes.

As Secretary Napolitano will explain, the screening technologies that might have detected these explosives are in use at the Amsterdam airport, but not at the specific checkpoints that he passed through. Indeed, most airports in the world -- and in the United States -- do not yet have these technologies. Now, there's no silver bullet to securing the thousands of flights into America each day, domestic and international. It will require significant investments in many areas. And that's why, even before the Christmas attack, we increased investments in homeland security and aviation security. This includes an additional $1 billion in new systems and technologies that we need to protect our airports -- more baggage screening, more passenger screening and more advanced explosive detection capabilities, including those that can improve our ability to detect the kind of explosive used on Christmas. These are major investments and they'll make our skies safer and more secure.

As I announced this week, we've taken a whole range of steps to improve aviation screening and security since Christmas, including new rules for how we handle visas within the government and enhanced screening for passengers flying from, or through, certain countries.

And today, I'm directing that the Department of Homeland Security take additional steps, including: strengthening our international partnerships to improve aviation screening and security around the world; greater use of the advanced explosive detection technologies that we already have, including imaging technology; and working aggressively, in cooperation with the Department of Energy and our National Labs, to develop and deploy the next generation of screening technologies.

Now, there is, of course, no foolproof solution. As we develop new screening technologies and procedures, our adversaries will seek new ways to evade them, as was shown by the Christmas attack. In the never-ending race to protect our country, we have to stay one step ahead of a nimble adversary. That's what these steps are designed to do. And we will continue to work with Congress to ensure that our intelligence, homeland security, and law enforcement communities have the resources they need to keep the American people safe.

I ordered these two immediate reviews so that we could take immediate action to secure our country. But in the weeks and months ahead, we will continue a sustained and intensive effort of analysis and assessment, so that we leave no stone unturned in seeking better ways to protect the American people.

I have repeatedly made it clear -- in public with the American people, and in private with my national security team -- that I will hold my staff, our agencies and the people in them accountable when they fail to perform their responsibilities at the highest levels.

Now, at this stage in the review process it appears that this incident was not the fault of a single individual or organization, but rather a systemic failure across organizations and agencies. That's why, in addition to the corrective efforts that I've ordered, I've directed agency heads to establish internal accountability reviews, and directed my national security staff to monitor their efforts. We will measure progress. And John Brennan will report back to me within 30 days and on a regular basis after that. All of these agencies -- and their leaders -- are responsible for implementing these reforms. And all will be held accountable if they don't.

Moreover, I am less interested in passing out blame than I am in learning from and correcting these mistakes to make us safer. For ultimately, the buck stops with me. As President, I have a solemn responsibility to protect our nation and our people. And when the system fails, it is my responsibility.

Over the past two weeks, we've been reminded again of the challenge we face in protecting our country against a foe that is bent on our destruction. And while passions and politics can often obscure the hard work before us, let's be clear about what this moment demands. We are at war. We are at war against al Qaeda, a far-reaching network of violence and hatred that attacked us on 9/11, that killed nearly 3,000 innocent people, and that is plotting to strike us again. And we will do whatever it takes to defeat them.

And we've made progress. Al Qaeda's leadership is hunkered down. We have worked closely with partners, including Yemen, to inflict major blows against al Qaeda leaders. And we have disrupted plots at home and abroad, and saved American lives.

And we know that the vast majority of Muslims reject al Qaeda. But it is clear that al Qaeda increasingly seeks to recruit individuals without known terrorist affiliations not just in the Middle East, but in Africa and other places, to do their bidding. That's why I've directed my national security team to develop a strategy that addresses the unique challenges posed by lone recruits. And that's why we must communicate clearly to Muslims around the world that al Qaeda offers nothing except a bankrupt vision of misery and death –- including the murder of fellow Muslims –- while the United States stands with those who seek justice and progress.

To advance that progress, we've sought new beginnings with Muslim communities around the world, one in which we engage on the basis of mutual interest and mutual respect, and work together to fulfill the aspirations that all people share -- to get an education, to work with dignity, to live in peace and security. That's what America believes in. That's the vision that is far more powerful than the hatred of these violent extremists.

Here at home, we will strengthen our defenses, but we will not succumb to a siege mentality that sacrifices the open society and liberties and values that we cherish as Americans, because great and proud nations don't hunker down and hide behind walls of suspicion and mistrust. That is exactly what our adversaries want, and so long as I am President, we will never hand them that victory. We will define the character of our country, not some band of small men intent on killing innocent men, women and children.

And in this cause, every one of us -- every American, every elected official -- can do our part. Instead of giving into cynicism and division, let's move forward with the confidence and optimism and unity that defines us as a people. For now is not a time for partisanship, it's a time for citizenship -- a time to come together and work together with the seriousness of purpose that our national security demands.

That's what it means to be strong in the face of violent extremism. That's how we will prevail in this fight. And that's how we will protect our country and pass it -- safer and stronger -- to the next generation.

Thanks very much.

Notes from Last Week's WSJ

Home with a cold and tired of staring at a stack of articles pulled out from last week's Wall Street Journal. Regular readers may recall I used to post a list every week of interesting PA tidbits from the WSJ. I am not starting that up again; this is going to be an occasional thing. That's my story and I'm sticking to it.

Martin Vaughan writes "Estate-tax repeal means some spouses are left out," on 1/02. The estate tax is repealed for 2010 only. While for many people this means a year of conflicting thoughts about the health of elderly relatives, it can cause problems when wills were written specifically to deal with the estate tax. The estate tax always kind of amuses me. When my father died I inherited his drill instructor's hat, an 8 place setting set of china, and a bill for part of the funeral expenses. Family farms and small businesses do see more of an effect, but divorce also plays havoc in those situations and I don't see anyone talking about outlawing that.

Another little-known and unusual business in PA -- Citikitty, owned by Rebecca Rescate of Yardley, sells a product designed to teach / allow cats to use a toilet instead of a litter box. Citikitty started in 2005 with sales of 2,100 units. In 2009 it has sales of 7,000. (See "What's new pussycat?" by Anne Marie Chaker 12/31). My cats scoffed at me with evident disdain when I broached this topic with them.

Brent Helliker, a biology prof at U Penn is one of three brothers whose differing uses of technology is discussed in Kevin Helliker's "Daring to live your life offline," 12/29

PA Teacher Honored

Anne Magaha of Rydal, PA, was honored at the White House today for excellence in mathematics and science teaching and mentoring in his second “Educate to Innovate” Campaign event for excellence in Science, Technology, Engineering & Math (STEM) education in the East Room of the White House. Magaha teaches math in the Abington School District.

New Bucks VA Center

from the inbox:

Today, Pennsylvania Congressman Patrick Murphy (D-8th District) joined Dan Fraley, Bucks County Director of Veterans Affairs, and representatives from the Veterans Administration to announce the opening of the Bucks County Vet Center . The new Vet Center , located at Canal’s End Office Complex in Bristol , will begin offering services free-of-charge to eligible veterans from any conflict and their families within two months.

Vet Centers are a critical piece of meeting the mental health needs of returning servicemembers. They are staffed by professionals experienced and trained in working with veterans, and by counselors coming from many disciplines including psychology, social work, nursing, and rehabilitation counseling. In fact, many staff members at Vet Centers are military veterans themselves. Veterans and their families can receive all types of individual and group counseling, including that which focuses on readjustment, marital and family needs, and substance abuse. In addition, Vet Centers assist returning service members in receiving their VA benefits, and help refer them for jobs and employment assistance. The Bucks County Vet Center will offer a broad range of services, and will help serve the unique needs of all generations of veterans and their families living in the community.

“I was proud to work together in a bipartisan manner with Congressman Murphy to bring this much-needed Vet Center to Bucks County for veterans and their families,” said Dan Fraley, Director of Veterans Affairs for Bucks County .

“As an Army veteran, I understand firsthand the enormous sacrifices made by our men and women in uniform, and was proud to work to bring the Vet Center to Bucks County, which will be a critical step in addressing the unique mental health needs of the returning heroes in our community,” said Rep. Patrick Murphy.

Why Santarsiero and Shapiro Voted Against Tablegames

I haven't followed the tablegames debate closely. Personally I'm not in favor of them and don't like roads, bridges, and libraries being subsidized by luring people into casinos and encouraging them to spend money they don't have. But that's just me.

A few of our area state reps have issues statements on why they voted against the bill. Here are their remarks:

Steve Santarsiero (D-31)

State Rep. Steven J. Santarsiero, D-Bucks, said today that he voted against legislation that permits the state's slots gaming facilities to offer table games.

The measure was passed by the House and sent to Gov. Ed Rendell for his signature.

Santarsiero said he voted no on the measure for several reasons. He said it one is that it does not allow revenue from table games to be allocated to property tax relief soon enough for the residents of Pennsylvania.

"I strongly believe that an expansion of gambling in Pennsylvania should require that revenue be dedicated to property tax relief immediately," Santarsiero said. "There are so many Pennsylvanians struggling, which is why I supported an earlier proposal by a number of us in the Democratic reform caucus that would have increased the tax rate and license fees to be paid by the gaming industry and would have dedicated the resulting revenue to property tax relief."

Santarsiero said he also opposed the bill because the tax rates it imposes on gaming facility operators are far too low as compared to those imposed by other states, including Delaware and West Virginia. He also said the fees instituted by the legislation – a $16.5 million license fee for Category 1 and 2 facilities and a $7.5 million license fee for Category 3 facilities – are not high enough.

"These rates are a giveaway to the gambling industry and they shortchange the people of Pennsylvania," Santarsiero said. "With the current state of the economy and a potential pension crisis looming, we are going to need that additional revenue."

Santarsiero said he also voted no on the bill because it leaves open the possibility that a gaming facility could be sited in close proximity to Gettysburg National Military Park.

"The park is sacred ground," Santarsiero said. "In my view, locating a gaming facility in close proximity to it would not be respectful to the memory of those who gave their lives there."

Josh Shapiro (D-153):

Tonight I voted against S.B. 711 which would have expanded gaming in Pennsylvania to include table games at casinos across our Commonwealth. The bill now goes to the Governor who is expected to sign it into law.

My decision to vote against the final bill was based on a simple two-part test:

First, does it get the best value for Pennsylvania’s taxpayers? And, second, does the bill adequately reform gambling in our Commonwealth?

This bill comes up short on both accounts.

While it makes a decent attempt at reforming gambling in Pennsylvania, it is not a good deal for the Pennsylvania’s taxpayers.

The licensing fee and table games tax rate are way too low. The original amendment I voted for would have taxed the table games at a rate of 34 percent—slots are already taxed at 55 percent. The bill passed tonight eventually will yield only a 12 percent tax rate for the Commonwealth.

The reason the rates are so low is because they were largely set based on what the casino industry said they’d be willing to pay. Despite my requests, there was no independent analysis done to assess the true market value of the license or a fair tax rate. Failure to set a responsible and fair tax rate will ultimately hurt Pennsylvania taxpayers and require cuts to the budget or increased taxes.

Additionally, this bill is laden with pork and projects for particular special interests. While there are no doubt some worthy recipients in this bill, they should have been funded through the normal budget process—not with de facto earmarks.

We could have responsibly expanded gaming in Pennsylvania and made it a good deal for Pennsylvanians. Unfortunately, the course that was chosen will only do harm in the long run.

John Nagle Update

John Nagle, long time friend of the blog, was elected to Radnor's board of commissioners in November. Now he has been elected President of that board. No flies on him. Since the board has 4 Democrats and 3 Republicans, a Republican, Don Curley, has been elected Vice President. Congratulations to Nagle and Curley!

Hoeffel on State Legislative Surplus

Something from the inbox that I absolutely agree with:

Joe Hoeffel, a Democratic candidate for Governor, today urged the Pennsylvania Legislature to return more than $200 million to the Commonwealth after learning that the General Assembly ended the fiscal year with the huge surplus.

Pennsylvania State Representative Josh Shapiro and The Legislative Audit Advisory Commission (LAAC) have reported that the Pennsylvania General Assembly ended the fiscal year with a $201.4 million legislative surplus. The report can be found here.

"I call upon our state legislators to return this money to the commonwealth of Pennsylvania," said Democrat Joe Hoeffel, candidate for governor in the Pennsylvania Democratic Primary. "This money should be returned so that we can use it for the benefit of the entire commonwealth. $200 million isn't 'chump change' -- this will go a long way towards making up anticipated shortfalls in next year's budget, and this will help us pass a responsible budget on time this year.

"I agree fully with Josh Shapiro that 'it's critical that the public has confidence in knowing how their tax dollars are being spent and that there is no waste in their state government.' Thanks to Rep. Shapiro and the LAAC we can now much more easily see improper allocations of our tax dollars.

"Now that we've seen how $200 million of our tax dollars have been improperly allocated towards legislative slush funds. It's time for our legislators to take immediate action to regain the public's confidence by returning this $200 million to the state budget.

"Just prior to Christmas, the independent financial audit of the General Assembly for fiscal year 2008-09 was released by the Legislative Audit Advisory Committee (LAAC), chaired by Shapiro. Having reviewed the audit, I am pleased to see how the General Assembly has taken great strides in implementing previous recommendations of the LAAC. The level of transparency and the detailed accounting of expenditures is a great improvement over previous years, giving the public much more information on how their tax dollars are spent.

"However, with this transparency the audit also makes clear that not all of this money is going to the right places. For months, this summer and fall, we witnessed the drawn out negotiations in the legislature over this year's budget; and we are already hearing about how next year's budget negotiations may be just as agonizing. Every news story tells us Pennsylvania has a budget shortfall, the economic recovery will take time, and we all have to tighten our belts and make difficult compromises. Yet the LAAC's report paints a different picture.

"While we watch the legislature and Governor Rendell cut critical funding for programs across the state including libraries, nursing homes, and Department of Environmental Protection; tap our commonwealth's Rainy Day Fund; and desperately seek new revenue sources such as table games at casinos, it turns out that over $200 million of our commonwealth's money has quietly found its way into legislative slush funds."

DGA Rolling in Moolah

From the inbox:

The Democratic Governors Association raised $23.1 million in 2009, more than ever before in the organization's history, and will start the 2010 election cycle with nearly 12 times as much cash on hand as 2006, the last equivalent election cycle, Chairman Gov. Jack Markell announced today.

“Americans are focused on restoring prosperity in this country, and it's thanks to their broad support for our ideas that we hit a historic fundraising high in 2009,” Gov. Markell said. “The 2010 elections will be a contest between moving our country along a path of progress or making a U-turn to the failed ideas that created the Great Recession. In this election, ideas will win – and Americans are looking for governors who will put people first, who will rebuild the American Dream and who will invest in our children.”

“Voters will have a stark choice this November – move forward or go back,” said Maryland Gov. Martin O’Malley, DGA vice chairman. “Our supporters know that Democratic governors and candidates are working round the clock on the biggest priorities of this year: jobs, jobs and jobs. We look forward to an election where we can run on our records of turning the corner on this recession and rebuilding our economies.”

The DGA’s 2009 fundraising marks the second year in a row and the first off-year in which the DGA raised more than $20 million. Fourth quarter fundraising was by far the strongest, with more than $7 million in contributions received during the period. December contributions alone totaled nearly $4 million.

The record-breaking fundraising means that the DGA begins 2010, the most critical gubernatorial cycle in a generation, with $17.5 million on hand. In the equivalent election cycle in 2006, the DGA carried over $1.5 million and spent less than $14 million on races that year.

The Republican Governors Association has historically outraised the DGA by wide margins. In spite of the fundraising gap, since 2007, the DGA has won twice as many targeted governors races as the RGA. The DGA’s strong cash-on-hand position means that it will be able to spend at a competitive level with the RGA in this critical cycle.

“We always knew we had the better candidates and ideas,” said Nathan Daschle, executive director of the DGA. “Now we know that we’ll have the resources to get our message out. In this critical election year, DGA has never been in a better position to compete.”

Four out of five Americans will elect a governor in November, with 37 races on the ballot, including marquee governorships like California , Florida and Texas . Most of the governors elected this year will oversee the redistricting process that will shape the political landscape for a generation to come. The DGA began planning for this election cycle four years ago, through Project 2010.

I can't find numbers to prove it but that might be more money than the other Democratic alphabet soups (DSCC, DNC, etc) have and some of it is likely to be spent here in PA.

Gov Ed's Editorial

Gov. Ed Rendell is the guest-editor of the January 2010 issue of Politics Magazine. His editorial has been posted on the magazine's website. Check out "On Money and Politics."

Here is an excerpt:

Fundraising, like almost everything else in a modern campaign, is part art and part science—and is hard to teach. In many ways it is based on the candidate’s personality.

It is also clearly true that the influence of money on the political process is far too great and contributes to the undue power of lobbyist and special interests in state capitols and in Washington, D.C. I believe that campaign finance reform is essential for democracy to flourish.

Book Review: Battle for America

The Battle for America 2008: The Story of an Extraordinary Election, by Dan Balz and Haynes Johnson. NY: Viking, 2009.

Balz and Johnson provide an unemotional and low-key history of the 2008 presidential election. The book starts off with the main characters and the mood of the country. The middle part covers first the Democratic primary and then the Republican, providing an overview of the candidates, their campaigns and the personalities involved. The final section is on the general election. The conversational tone and detail made it a very good read. The authors had extensive access to the campaigns and give in-depth, behind the scenes information. I enjoyed it and would recommend it to anyone wanting a non-partisan history of the 2008 presidential campaign.

There were some interesting Pennsylvania references. Our primary is covered in chapter 15 (pp 200-214, “Politics in Black and White”). There are a couple of interesting notes.

From p. 295, discussing two Bucks County residents there was a mention of their neighbor:

The neighbor, Bob Macauley, a sixty-nine-year-old investment banker started out as a Democrat, then turned to the Republicans after what he viewed as the disastrous Jimmy Carter presidency. That “entire calculus changed with Ronald Reagan.” At that time, Mcacauley was serving on Philadelphia’s economic committee as a Democrat.

I don’t quite understand how that works but there is probably some logic behind it somewhere.

On p. 392, in the middle of a lengthy listing of acknowledgements, I found this:

We are also indebted to Representative John Lewis of Georgia, Representative Joe Sestak of Pennsylvania, Governors Ed Rendell and Janet Napolitano of Arizona, for their insights, …

Rendell and Sestak, both Clinton supporters, are the only Pennsylvania politicians in the acknowledgements. Sestak, who seems to have taken over the airwaves, appearing on television and radio frequently, appears to have infiltrated the print empire as well!

"App-y Cats

Mr J. gave me an Ipod Touch for Christmas and I've been having a lot of fun with it. The first apps I downloaded were twitter and a congressional directory. My favorite, though, is the Mid-Atlantic Audubon Guide to Birds. It is very cool, with images, maps, and, get this, recorded bird calls. But, wait, the fun doesn't stop there! In addition to the enjoyment of just browsing and listening to bird sounds, I've discovered an additional use for this app.

Try it out on your cats. That's right. Play bird sounds when your cats are in the room. So far I've discovered that while cats will perk up at the sound of adult birds they will get up to investigate juvenile birds. For example, the adult cries of the redtail hawk (cat category: things that can eat me) gets less of a response than the juvenile redtail hawk (cat category: things that I can eat).

Maybe I need to get out more?

Hoeffel on Prevailing Wage

From the inbox:

Joe Hoeffel Denounces Ravenstahl's New Year's Eve Veto of Pittsburgh Prevailing Wage Bill


Statement of Democrat Joe Hoeffel, Candidate for Governor of Pennsylvania:

"I was disappointed to see 2009 end with the vetoing of Pittsburgh's prevailing wage bill. The bill had been passed unanimously by Pittsburgh's city council and has received support from labor groups, environmental groups, and other progressives from across the City. The bill has been seen across the state as holding the potential for being a model for economic development reform. The last-minute veto - made at a time when council members had already recessed for the New Year - flies in the face of progressive values and of open and transparent government. "

" I urge Chris Doherty, Tom Knox, Dan Onorato, and Jack Wagner to join me in standing up for those who care about good government and about economic justice by denouncing this move. It is my sincere hope that when Pittsburgh's City Council convenes in 2010, they bring this bill up once again for reconsideration and pass it again with a veto-proof majority."