Monday, September 14, 2009

BAUAW NEWSLETTER - MONDAY, SEPTEMBER 14, 2009

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U.S. Out Now! From Iraq, Afghanistan, Pakistan and all U.S. bases around the world; End all U.S. Aid to Israel; Get the military out of our schools and our communities; Demand Equal Rights and Justice for ALL!

TAX THE RICH NOT THE POOR! MONEY FOR HUMAN NEEDS NOT WAR!

On the 8th Anniversary of the War on Afghanistan
U.S. -- NATO OUT! BRING THE TROOPS HOME NOW!
End colonial occupation in Afghanistan, Iraq, Palestine, Haiti...
Healthcare, jobs, housing, education for all--Not War!
San Francisco Protest:
Wednesday, October 7, 5:00 p.m.
New Federal Building
7th and Mission Streets, Near Civic Center BART
Volunteers needed: 415-821-6545
answer@answersf.org
ANSWERcoalition.org
ANSWERsf.org


SATURDAY, OCTOBER 17 SAN FRANCISCO MARCH AND RALLY AGAINST THE WARS
U.S. Troops Out Now! Iraq, Afghanistan and Pakistan!
Assemble 11:00 A.M. U.N. Plaza, SF (Market between 7th and 8th Streets)
March begins at 12:00 Noon
Rally begins at 1:00 P.M. back at U.N. Plaza
Commemorating the eighth anniversary of the war on Afghanistan and the 40th anniversary of the massive October 17, 1969 Vietnam Moratorium.
Sponsor: October 17 Antiwar Coalition
510-268-9429 or 415-794-7354

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Bay Area United Against War Newsletter
Table of Contents:
A. EVENTS AND ACTIONS
B. SPECIAL APPEALS, VIDEOS AND ONGOING CAMPAIGNS
C. ARTICLES IN FULL

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Taking Aim Radio Program with
Ralph Schoenman and Mya Shone
The Chimera of Capitalist Recovery, Parts 1 and 2
http://www.takingaimradio.com/shows/audio.html

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A. EVENTS AND ACTIONS

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THE FINAL TWO OCTOBER 17 COALITION MEETINGS WILL TAKE PLACE:

SUNDAY, SEPTEMBER 17, 2:00 PM AND SUNDAY, OCTOBER 11, 2 PM
Unitarian Church (Chapel)
1187 Franklin at Geary, SF (wheelchair accessible).

Let's reach out to as many people as possible to come to these final two meetings to ensure a maximum effort to build Oct. 17. Flyers will be available for pickup as well as cementing the final planning for important, last-minute organizational tasks.

We all need to step up and give our best efforts to make this a successful protest against these wars and bankster-bailouts, and for jobs, education, healthcare, housing and a peaceful world for all.

A new website has been set up at:

www.oct17awc.wordpress.com

A calendar will be posted listing activities and events for flyering and getting the word out about Oct. 17.

To arrange to pick up flyers, or to add another event to the calendar, call either of the numbers below. (Please note, Michael Moor's new film, "Capitalism: A Love Story" opens nationwide on Oct. 2. This will be a great place to flyer for Oct. 17.)(See the trailer at: http://www.capitalismalovestory.com/)

Please call Jeff (510-268-9428) or Kathy (415-641-1997) to volunteer at one of these great opportunities to get out the word.

In solidarity,

Bonnie Weinstein

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National Call For Action And Endorsements at the
G-20 Summit in Pittsburgh, PA
Sept. 19 - 25, 2009

Endorsers (list in formation): Iraq Veterans Against the War Chapter 61, Pittsburgh; PA State Senator Jim Ferlo; Veterans for Peace Chapter 047, Pittsburgh; National Assembly to End the Iraq and Afghanistan Wars and Occupations; Thomas Merton Center Pittsburgh; Codepink Pittsburgh Women for Peace; Bail Out The People; Green Party of Allegheny County; World Can't Wait; ISO (International Socialist Organization); WILPF (Women's International League for Peace and Freedom) Pittsburgh; Socialist Action; Ohio Valley Peace

Activists from Pittsburgh, the U.S., and across the globe will converge to protest the destructive policies of the G-20 - meeting in Pittsburgh this September 24-25.

The Group of Twenty (G-20) Finance Ministers and Central Bank Governors represents the world's economic leaders, intimately connected to the most powerful multi-national corporations that dominate the global economy. Their neo-liberal policies have squandered billions on war, plunged economies into deep recessions, worsened social, economic and political inequality, and polluted the earth.

We believe a better world is possible. We anticipate involvement and support from like-minded people and organizations across the country for projected actions from September 19-25:

People's Summit - Sept. 19, 21-22 (Saturday, Monday, Tuesday)

A partnership of educators and social justice groups is organizing a People's Summit to discuss global problems and seek solutions that are informed by the basic principles of genuine democracy and human dignity. This will bring together informed speakers and panels to discuss problems we face and possible solutions, also providing interactive workshop discussions.

Mass March on the G-20 - Friday, Sept. 25:
Money for human needs, not for war!
Gather at 12 noon, march to the City County Building downtown

A peaceful, legal march is being sponsored by the Thomas Merton Center, an umbrella organization that supports a wide variety of peace and justice member projects in Pittsburgh. We will hold a mass march to demand "Money for human needs, not for war!"

WE SEEK THE BROADEST RANGE OF SUPPORT, PARTICIPATION, AND ENDORSEMENTS FOR THE MASS MARCH AND PEOPLE'S SUMMIT

To endorse, E-mail: info@pittsburghendthewar.org
Or contact: Thomas Merton Center AWC, 5125 Penn Avenue, Pittsburgh, PA 15224

Several other events are being planned by a wide variety of community and social justice groups in Pittsburgh.

For more information and updates please visit:

http://www.thomasmertoncenter.org/g20action.htm

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The Human Face of Death Row

Join us October 2nd at 7pm for the opening reception for an exhibition of paintings from three men - Kevin Cooper, James Anderson and Eddie Vargas. Two of them are condemned - on death row; the third has a life sentence - the other death penalty.
These three men use art to express themselves. We hope you will see their work, hear their stories, and take away an understanding of their humanity from viewing it.

PLEASE FORWARD WIDELY

ROCK PAPER SCISSORS GALLERY
TELEGRAPH & 23RD ST, OAKLAND
October 1 - October 31, 2009
OPENING RECEPTION: FRIDAY, OCTOBER 2ND - 7 TO 9 PM

JUSTICE FOR OSCAR GRANT: FRIDAY, OCTOBER 16TH - 7 TO 9 PM - a memorial movie of Oscar Grant, with Uncle Cephus Bobby Johnson, other members of Oscar's family and Jack Bryson. Come for update: Meserlhe's trial starts October 13th, unless continued again.

STAN TOOKIE WILLIAMS LEGACY NETWORK: SATURDAY, OCTOBER 17TH - 4 TO 6 PM - with Barbara Becnel and Stan Tookie Williams' books for children.

LIVE FROM DEATH ROW: FRIDAY, OCTOBER 23RD - 7 TO 9 PM - with Kevin Cooper, an innocent man on San Quentin's death row calling (at 7:30 sharp). Q&A with Kevin Cooper and members of the Kevin Cooper Defense Committee.

PLEASE JOIN US

FOR MORE INFO: CALIFORNIA@NODEATHPENALTY.ORG
510-589-6820
2278 Telegraph Ave., Ca 94612(click here for a map)http://www.mapquest.com/maps?city=Oakland&state=CA&address=2278+Telegraph

Presented by the Campaign to End the Death Penalty, a grassroots organization dedicated to the abolition of capital punishment in the United States.
website: www.nodeathpenalty.org

Also by Art for a Democratic Society, an Oakland based art and activism group specializing in participatory grassroots interventionist art.
website: www.a4ds.org email: a4ds@earthlink.net

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On the 8th Anniversary of the War on Afghanistan
U.S. -- NATO OUT!
BRING THE TROOPS HOME NOW!

End colonial occupation in Afghanistan, Iraq, Palestine, Haiti...

Healthcare, jobs, housing, education for all--Not War!

San Francisco Protest:

Wednesday, October 7, 5:00 p.m.
New Federal Building
7th and Mission Streets, Near Civic Center BART

Initiated by the ANSWER Coalition--Act Now to Stop War and End Racism
Volunteers needed: 415-821-6545
answer@answersf.org
ANSWERcoalition.org
ANSWERsf.org

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NATIONAL MARCH FOR EQUALITY
WASHINGTON, D.C. OCTOBER 10-11, 2009

Sign up here and spread the word:

http://www.nationalequalitymarch.com/

On October 10-11, 2009, we will gather in Washington DC from all across
America to let our elected leaders know that *now is the time for full equal
rights for LGBT people.* We will gather. We will march. And we will leave
energized and empowered to do the work that needs to be done in every
community across the nation.

This site will be updated as more information is available. We will organize
grassroots, from the bottom-up, and details will be shared on this website.

Our single demand:

Equal protection in all matters governed by civil law in all 50 states.

Our philosophy:

As members of every race, class, faith, and community, we see the struggle
for LGBT equality as part of a larger movement for peace and social justice.

Our strategy:

Decentralized organizing for this march in every one of the 435
Congressional districts will build a network to continue organizing beyond
October.

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SATURDAY, OCTOBER 17 SAN FRANCISCO MARCH AND RALLY AGAINST THE WARS
U.S. Troops Out Now! Iraq, Afghanistan and Pakistan!
Assemble 11:00 A.M. U.N. Plaza, SF (Market between 7th and 8th Streets)
March begins at 12:00 Noon
Rally begins at 1:00 P.M. back at U.N. Plaza
Commemorating the eighth anniversary of the war on Afghanistan and the 40th anniversary of the massive October 17, 1969 Vietnam Moratorium.
Sponsor: October 17 Antiwar Coalition
510-268-9429 or 415-794-7354

Money for Human Needs Not War!

Immediate and unconditional withdrawal of all U.S. troops, military personnel, bases, contractors, and mercenaries from Iraq, Afghanistan, Pakistan and Colombia.

End U.S. support for the Israeli occupation of Palestine! End the Seige of Gaza!

U.S. Hands Off Iran and North Korea!

Self-determination for All Oppressed Nations and Peoples!

End War Crimes Including Torture and Prosecute the War Criminals!

See historical images of the Vietnam Moratorium at:

http://images.google.com/images?q=vietnam+moratorium&oe=utf-8&rls=org.mozilla:en-US:official&client=firefox-a&um=1&ie=UTF-8&ei=lGaISs7pMIP-sQOr2OznAg&sa=X&oi=image_result_group&ct=title&resnum=4

Image of San Francisco Vietnam Moratorium, Golden Gate Park, October 17, 1969 (I was there...bw):

http://images.google.com/imgres?imgurl=http://www.rchrd.com/photo/images/pb2-12-15.jpg&imgrefurl=http://rchrd.com/photo/archives/1969/&usg=__FeHN5CAwDXv-ewwCt2Hfni6ZUn8=&h=567&w=850&sz=143&hl=en&start=3&um=1&tbnid=EJH6Kzj6YI6zzM:&tbnh=97&tbnw=145&prev=/images%3Fq%3Dvietnam%2Bmoratorium%26hl%3Den%26client%3Dfirefox-a%26rls%3Dorg.mozilla:en-US:official%26sa%3DX%26um%3D1

This is an initial announcement. Contact information, endorsers and further details to be announced.

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Please forward widely. Contact us if you or your organization would like to endorse this call.

CALL FOR OCTOBER 22 DEMONSTRATION IN OAKLAND, CA:

NATIONAL DAY OF PROTEST TO STOP POLICE BRUTALITY, REPRESSION AND THE CRIMINALIZATION OF A GENERATION

Oscar Grant. Brownie Polk. Parnell Smith. And dozens more Oakland alone. Sean Bell and Amadou Diallo in New York City. Adolph Grimes in New Orleans. Robbie Tolan in Houston. Julian Alexander in Anaheim. Jonathan Pinkerton in Chicago. And thousands more nationwide.
All shot down, murdered by law enforcement, their lives stolen, victims of a nationwide epidemic of police brutality and murder.

The racist arrest of Harvard Professor Henry Louis Gates this summer in Cambridge, Massachusetts - right in his own home - showed that any Black man or woman, no matter their stature, no matter their education, no matter their accomplishments can be targeted for brutality - even murder - at any moment.

Meanwhile, a whole generation of youth is treated as guilty until proved innocent, and hundreds of thousands are criminalized, and locked away in U.S. prisons with no hope for the future. And immigrants are subject to brutal raids, with families cruelly split up in an instant.

We refuse to suffer these outrages in silence. We need to put a stop to this and drag the truth about the nationwide epidemic of police violence and repression into the light of day for all so see. We say no more! Enough is Enough!

Oct 22nd 2009 is the 14th annual national day of protest to Stop Police Brutality, Repression and the Criminalization of Generation---bringing together those under the gun and those not under the gun as a powerful voice to expose the epidemic of police brutality. On that day in cities across the country many different people will take to the streets against police brutality and murder, against the criminalization of youth, and against the targeting of immigrants.

We call for a powerful demonstration in Oakland on October 22 demanding:

* Stop Police Brutality, Repression and the Criminalization of a Generation!

* October 22....No To Police Brutality

* No to ICE raids and round-ups of immigrants!

* Enough Is Enough! No More Stolen Lives!

* Justice for Oscar Grant and all victims of police murder!

* Wear Black, Fight Back

Contact the National Office of October 22nd at:

Info@october22.org or 1-888-NOBRUTALITY

October 22nd Coalition
P.O. Box 2627
New York, N.Y. 10009

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B. SPECIAL APPEALS, VIDEOS AND ONGOING CAMPAIGNS

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URGENT ALERT!

Call-In To Save San Francisco's Only State Park Wilderness Area From
Toxic Condominium Development!

Within the next two weeks, State Senator Mark Leno will seek to pass a
bill allowing environmentally criminal Lennar Corporation to build high
priced condos on the wildlife habitat and parkland in San Francisco's
Candlestick Point State Recreation Area!

San Francisco Supervisors Avalos, Daly, Mirkarimi, Mar and Campos have
sponsored a local resolution to tell the State legislature not to wreck
our State parkland for real estate developer profits.

This measure needs the crucial sixth vote of Board of Supervisors
President David Chiu to win, before Leno's bill (SB 792) goes for its
own final vote.

**WHAT YOU CAN DO**

Call Supervisor David Chiu at 415-554-7450 with the comment:

"Please bring the Avalos/Daly resolution opposing SB 792 to a full Board
vote by September 15th and vote YES! Don't give away one inch of
California's only urban state park!"

If you call during the weekend or evening, or get a recording, just
leave your comment as voice mail.

For more on the State Park land grab see
http://www.sfbayview.com/2009/privatizing-california-senate-bill-792/

For more on Lennar's history of corporate abuses see page 3 of Our
City's Fall 2007 Update at http://our-city.org/Update-Oct07.pdf

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This alert sent by:

Our City
1028-A Howard St.
San Francisco, CA 94103
415-756-8844

For more information about Our City campaigns go to:
http://www.our-city.org
info@our-city.org

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HELP VFP PUT THIS BOOK IN YOUR HIGH SCHOOL OR PUBLIC LIBRARY

For a donation of only $18.95, we can put a copy of the book "10 Excellent Reasons Not to Join the Military" into a public or high school library of your choice. [Reason number 1: You may be killed]

A letter and bookplate will let readers know that your donation helped make this possible.

Putting a book in either a public or school library ensures that students, parents, and members of the community will have this valuable information when they need it.

Don't have a library you would like us to put it in? We'll find one for you!

https://salsa.democracyinaction.org/o/826/t/9311/shop/custom.jsp?donate_page_KEY=4906

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Take Action: Stop Rite Aid's abuses: Pass the Employee Free Choice Act!

For years Rite Aid workers have faced unfair firings, campaigns of misinformation, and intimidation for trying to form a union. But Rite Aid would never have been able to get away with any of this if Congress had passed the Employee Free Choice Act.

You can help us fight mounting anti-union opposition to the bill that would have protected Rite Aid's workers. Tell Congress to pass the Employee Free Choice Act today!

http://action.americanrightsatwork.org/campaign/riteaidefca2/8gg63dd407ejd5wi?

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This is a must-see video about the life of Oscar Grant, a young man who loved his family and was loved by his family. It's important to watch to understand the tremendous loss felt by his whole family as a result of his cold-blooded murder by BART police officers--Johannes Mehserle being the shooter while the others held Oscar down and handcuffed him to aid Mehserle in the murder of Oscar Grant January 1, 2009.

The family wants to share this video here with you who support justice for Oscar Grant.
http://www.indybay.org/newsitems/2009/07/21/18611878.php

WE DEMAND JUSTICE FOR OSCAR GRANT!

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Urgent: Ahmad Sa'adat transferred to isolation in Ramon prison!
http://www.freeahmadsaadat.org/

Imprisoned Palestinian national leader Ahmad Sa'adat, the General Secretary of the Popular Front for the Liberation of Palestine, was transferred on August 11, 2009 to Ramon prison in the Naqab desert from Asqelan prison, where he had been held for a number of months. He remains in isolation; prior to his transfer from Asqelan, he had been held since August 1 in a tiny isolation cell of 140 cm x 240 cm after being penalized for communicating with another prisoner in the isolation unit.

Attorney Buthaina Duqmaq, president of the Mandela Association for prisoners' and detainees' rights, reported that this transfer is yet another continuation of the policy of repression and isolation directed at Sa'adat by the Israeli prison administration, aimed at undermining his steadfastness and weakening his health and his leadership in the prisoners' movement. Sa'adat has been moved repeatedly from prison to prison and subject to fines, harsh conditions, isolation and solitary confinement, and medical neglect. Further reports have indicated that he is being denied attorney visits upon his transfer to Ramon.

Ahmad Sa'adat undertook a nine-day hunger strike in June in order to protest the increasing use of isolation against Palestinian prisoners and the denial of prisoners' rights, won through long and hard struggle. The isolation unit at Ramon prison is reported to be one of the worst isolation units in terms of conditions and repeated violations of prisoners' rights in the Israeli prison system.

Sa'adat is serving a 30 year sentence in Israeli military prisons. He was sentenced on December 25, 2008 after a long and illegitimate military trial on political charges, which he boycotted. He was kidnapped by force in a military siege on the Palestinian Authority prison in Jericho, where he had been held since 2002 under U.S., British and PA guard.

Sa'adat is suffering from back injuries that require medical assistance and treatment. Instead of receiving the medical care he needs, the Israeli prison officials are refusing him access to specialists and engaging in medical neglect and maltreatment.

The Campaign to Free Ahmad Sa'adat demands an end to this isolation and calls upon all to protest at local Israeli embassies and consulates (the list is available at: http://www.mfa.gov.il/MFA/ About+the+Ministry/Diplomatic+mission/Web+Sites+of+Israeli+ Missions+Abroad.htm) and to write to the International Committee of the Red Cross and other human rights organizations to exercise their responsibilities and act swiftly to demand that the Israelis ensure that Ahmad Sa'adat and all Palestinian prisoners receive needed medical care and that this punitive isolation be ended. Email the ICRC, whose humanitarian mission includes monitoring the conditions of prisoners, at jerusalem..jer@icrc.org, and inform them about the urgent situation of Ahmad Sa'adat!

Ahmad Sa'adat has been repeatedly moved in an attempt to punish him for his steadfastness and leadership and to undermine his leadership in the prisoners' movement. Of course, these tactics have done nothing of the sort. The Palestinian prisoners are daily on the front lines, confronting Israeli oppression and crimes. Today, it is urgent that we stand with Ahmad Sa'adat and all Palestinian prisoners against these abuses, and for freedom for all Palestinian prisoners and for all of Palestine!

The Campaign to Free Ahmad Sa'adat
http://www.freeahmadsaadat.org
info@freeahmadsaadat.org

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Troy Anthony Davis is an African American man who has spent the last 18 years on death row for a murder he did not commit. There is no physical evidence tying him to the crime and seven out of nine witnesses have recanted. New evidence and new testimony have been presented to the Georgia courts, but the justice system refuses to consider this evidence, which would prove Troy Davis' innocence once and for all.

Sign the petition and join the NAACP, Amnesty International USA, and other partners in demanding justice for Troy Davis!

http://www.iamtroy.com/

For Now, High Court Punts on Troy Davis, on Death Row for 18 Years
By Ashby Jones
Wall Street Journal Law Blog
June 30, 2009
http://blogs.wsj.com/law/2009/06/30/for-now-high-court-punts-on-troy-davis-on-death-row-for-18-years/

Take action now:
http://takeaction.amnestyusa.org/siteapps/advocacy/ActionItem.aspx?c=jhKPIXPCIoE&b=2590179&aid=12361&ICID=A0906A01&tr=y&auid=5030305

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Committee To Save Mumia Abu-Jamal
P.O. Box 2012
New York, NY 10159-2012

New videos from April 24 Oakland Mumia event
http://abu-jamal-news.com/article?name=jlboak

Donations for Mumia's Legal Defense in the U.S. Our legal effort is the front line of the battle for Mumia's freedom and life. His legal defense needs help. The costs are substantial for our litigation in the U.S. Supreme Court and at the state level. To help, please make your checks payable to the National Lawyers Guild Foundation (indicate "Mumia" on the bottom left). All donations are tax deductible under the Internal Revenue Code, section 501(c)(3), and should be mailed to:

It is outrageous and a violation of human rights that Mumia remains in prison and on death row. His life hangs in the balance. My career has been marked by successfully representing people facing death in murder cases. I will not rest until we win Mumia's case. Justice requires no less.

With best wishes,

Robert R. Bryan
Lead counsel for Mumia Abu-Jamal

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Short Video About Al-Awda's Work
The following link is to a short video which provides an overview of Al-Awda's work since the founding of our organization in 2000. This video was first shown on Saturday May 23, 2009 at the fundraising banquet of the 7th Annual Int'l Al-Awda Convention in Anaheim California. It was produced from footage collected over the past nine years.
Video: http://www.youtube.com/watch?v=kTiAkbB5uC0&eurl
Support Al-Awda, a Great Organization and Cause!

Al-Awda, The Palestine Right to Return Coalition, depends on your financial support to carry out its work.

To submit your tax-deductible donation to support our work, go to
http://www.al-awda.org/donate.html and follow the simple instructions.

Thank you for your generosity!

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KEVIN COOPER IS INNOCENT!
FLASHPOINTS Interview with Innocent San Quentin Death Row Inmate
Kevin Cooper -- Aired Monday, May 18,2009
http://www.flashpoints.net/#GOOGLE_SEARCH_ENGINE
To learn more about Kevin Cooper go to:
savekevincooper.org
LINKS
San Francisco Chronicle article on the recent ruling:
http://sfgate.com/cgi-bin/article.cgi?f=/c/a/2009/05/13/BAM517J8T3.DTL
Ninth Circuit Court of Appeals ruling and dissent:
http://www.ca9.uscourts.gov/datastore/opinions/2009/05/11/05-99004o.pdf

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COURAGE TO RESIST!
Support the troops who refuse to fight!
http://www.couragetoresist.org/x/
Donate:
http://www.couragetoresist.org/x/content/view/21/57/

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C. ARTICLES IN FULL

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1) Public Option Fades From Debate Over Health Care
By ROBERT PEAR
News Analysis
September 13, 2009
http://www.nytimes.com/2009/09/13/health/policy/13plan.html?hp

2) Big Spenders? They Wish
By PETER S. GOODMAN
September 13, 2009
http://www.nytimes.com/2009/09/13/business/economy/13excerpt.html?8dpc

3) Toxic Waters
Clean Water Laws Are Neglected, at a Cost in Suffering
By CHARLES DUHIGG
September 13, 2009
http://www.nytimes.com/2009/09/13/us/13water.html?hp

4) The Recession's Racial Divide
By BARBARA EHRENREICH and DEDRICK MUHAMMAD
Op-Ed Contributors
September 13, 2009
http://www.nytimes.com/2009/09/13/opinion/13ehrenreich.html

5) Class Size Brings Strike by Teachers
By THE ASSOCIATED PRESS
September 13, 2009
http://www.nytimes.com/2009/09/13/us/13kent.html?ref=us

6) Judge Rejects Settlement Over Merrill Bonuses
By LOUISE STORY
September 15, 2009
http://www.nytimes.com/2009/09/15/business/15bank.html?hp

7) U.S. Cost-Saving Policy Forces New Kidney Transplant
By KEVIN SACK
September 14, 2009
http://www.nytimes.com/2009/09/14/health/policy/14kidney.html?ref=us

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1) Public Option Fades From Debate Over Health Care
By ROBERT PEAR
News Analysis
September 13, 2009
http://www.nytimes.com/2009/09/13/health/policy/13plan.html?hp

WASHINGTON - It was just one line in a campaign manifesto, and it hardly seemed the most significant or contentious. As a presidential candidate, Barack Obama said he would "establish a new public insurance program" alongside private health care plans.

That proposal took on a life of its own, but it now appears to be dying, a victim of an ineffectual White House strategy, the president's failure to argue passionately for the "public option" and all-out opposition by the insurance industry and much of the health care industry.

In the campaign, Mr. Obama said the public plan would compete with private insurers on the price and quality of care, thus benefiting consumers. What Mr. Obama did not foresee is that, to some people on the right and the left, it would become the most important issue in the debate over health care, touching off a battle over the role of government in one of the nation's biggest, fastest-growing industries.

Once in office Mr. Obama and his advisers have sent conflicting signals about how critical a government-run health plan would be. He prefers a public plan but is open to other ideas.

Dancing around the issue for eight months, Mr. Obama has seemed, at various times, pragmatic, flexible or indecisive.

"I just want to figure out what works," Mr. Obama said in March at a White House forum. If he could drive down health costs and expand coverage "entirely through the market," he said, "I'd be happy to do it that way." And "if there was a way of doing it that involved more government regulation and involvement, I'm happy to do it that way, as well," he added.

Champions of the public plan said it could save money by using Medicare rates and fee schedules to pay hospitals and doctors. In a book last year, one of Mr. Obama's top advisers, former Senator Tom Daschle, said consumers should have the option of enrolling in "a government-run insurance program modeled after Medicare, a proven and popular program."

That is exactly what worries health care providers, who say Medicare pays them less than market rates paid by private insurers. And they have pressed their concerns on Capitol Hill with a small army of lobbyists.

Conservatives have another concern. They see the public option as a step toward a single-payer system in which the government would pay most of the nation's health care bill and could supplant private insurers.

"A public plan is essentially a stalking horse for a single-payer plan," said Senator Judd Gregg, Republican of New Hampshire. "It is more than the camel's nose under the tent. It is the camel's neck, and probably front legs, under the tent. There is no way the private sector will be able to compete."

In trying to answer this charge, Democrats feel torn. Mr. Obama and many Democrats deny that they want to drive private insurers from the market. But others embrace the ultimate goal of "Medicare for all."

The American Federation of State, County and Municipal Employees, which supports Mr. Obama and the public option, has long supported a single-payer system.

In a memorandum to union leaders last year, Gerald W. McEntee, president of the 1.6-million-member federation, said a public plan would "create a competitive check on the private market and build both public support and the infrastructure for a single-payer system."

Then in April, Representative Jan Schakowsky, Democrat of Illinois, said insurers were right to fear that a public plan could "put the private insurance industry out of business."

That might happen because of "the superiority of the public health care option," said Ms. Schakowsky, one of 86 co-sponsors of a bill to establish a single-payer system.

Such comments provided new ammunition to Republicans already worried about the costly commitments undertaken by the federal government to stave off an economic collapse.

Senator Jon Kyl of Arizona, the No. 2 Republican in the Senate, voiced this sense of bailout fatigue in June when he said, "We have the takeover of the auto companies and banks and A.I.G. and student loans - and now health care."

In battering the proposal for a public option, Republicans have made effective use of estimates by the Lewin Group, a consulting concern, which said that more than 100 million people might sign up for the government-run insurance plan.

By contrast, the Congressional Budget Office has estimated that 11 million to 12 million people might enroll.

Mr. Obama cited the lower estimate in a speech to a joint session of Congress on Wednesday, to buttress his assertion that fears of a public plan were overblown. "We believe that less than 5 percent of Americans would sign up," Mr. Obama said.

But a leader of the Congressional Progressive Caucus, Representative Lynn Woolsey, Democrat of California, predicted that over time "more and more people will select the public option."

If only 5 percent of people will enroll, she asked, "Why are the private insurance companies so worried?"

The different estimates by Lewin and the Congressional Budget Office are based on different assumptions about who would be permitted to enroll in the public plan - workers in all companies or just those in smaller businesses.

Many people who cite studies by the Lewin Group do not know it is a unit of Ingenix, a wholly owned subsidiary of UnitedHealth, one of the nation's largest insurers. John F. Sheils, a vice president of the Lewin Group, said the parent company had no influence over its research.

Momentum for the public option has waned, in part, because senators have been focusing on an alternative: nonprofit member-owned insurance cooperatives.

Apart from the question of whether co-ops would be workable or effective, they provide a politically convenient middle ground for centrists. With no immediate prospect of getting the votes for a public option in the Senate, some liberals have said they too are willing to consider the idea - if it enables them to pass a bill, and if the co-ops are strong enough to put competitive pressure on insurance companies.

Senator Kent Conrad, Democrat of North Dakota, who floated the idea in early June, said co-ops would accomplish "much of what those who want a public option are calling for - something to compete with private for-profit insurance companies."

At the same time, Mr. Conrad said, co-ops address Republican concerns because they are not controlled by the government.

Liberal Democrats are not giving up. Senator Tom Harkin, Democrat of Iowa, said the president and Senate Democratic leaders had not made a serious effort to round up votes for a public option. If they did, he said, it could pass.

While the White House has struggled to define its position, insurance companies have never wavered. Starting two weeks after the 2008 election, they have said they would accept greater federal regulation of their market practices if Congress also required everyone to have health insurance.

These may have been tactical concessions, to abate public wrath, but they were well received in Congress. While making these offers, the industry conserved its resources for the bigger battle over a public option.

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2) Big Spenders? They Wish
By PETER S. GOODMAN
September 13, 2009
http://www.nytimes.com/2009/09/13/business/economy/13excerpt.html?8dpc

Millions of Americans have lost homes, jobs and savings to the financial crisis and recession. While greed and extravagance played roles, many lived beyond their means because their paychecks shrank. This article is adapted from "Past Due: The End of Easy Money and the Renewal of the American Economy," by Peter S. Goodman, a reporter for The New York Times. The book, to be published Tuesday by Times Books, explores the origins of the crisis and suggests ways to reinvigorate the economy.

ONE afternoon in November 2006, a policeman spotted an expired license plate on Dorothy Thomas's 10-year-old Toyota Corolla as she drove through San Jose, Calif. He ordered her to pull over.

Struggling under the weight of thousands of dollars in credit card bills, Ms. Thomas was perpetually short of cash. She had not bought a $10 auto registration sticker. The officer checked his database and recognized that she had already been ticketed once before for the same thing. He arranged to have her car towed away.

"I got down on my knees and begged that officer," Ms. Thomas recalled.

As she watched her car being hauled off, she sensed that this was the beginning of a descent into a crisis from which she might not easily escape. Without money to pay the towing and storage fees, she could not extract her car from the lot, and the tab soon grew to $1,600. Without a car, she could not reach the hospital where she worked in the administrative offices, so she lost her $16-an-hour job. Without a paycheck, she could no longer pay the rent on her modest home. She moved to Oakland, where a friend lived in a beaten-down, rented house on a street they called Crack Avenue. By year's end, Ms. Thomas, then 49, was occupying a bunk at a homeless shelter, searching in vain for a job in an economy plagued by unemployment.

Across the United States a sense has taken hold that the Great Recession and the financial crisis are predominantly a result of national profligacy, as if the economy had been undone by insatiable shoppers, foolhardy home buyers and greedy investment bankers. Extravagance and recklessness certainly played crucial roles, and yet they are only part of the explanation.

Many have lived beyond their incomes simply because incomes have been outstripped by the costs of middle-class life. By the fall of 2008, most American workers were bringing home roughly the same weekly wages they had earned in 1983, after accounting for inflation.

"For middle- and low-wage workers, the median wage basically went nowhere over these years," said the economist Jared Bernstein.

Spirited and eloquent, Ms. Thomas had worked her way up from rural Oklahoma poverty, enduring the strains of forcibly integrated schools, before settling in California. She had become one of the first African-Americans to sell cosmetics at a Sacramento department store. Then, she forged a career in medical billing, at one point making $22 an hour. She had lived beyond her means, but not out of decadence. For years, she had rented homes in better neighborhoods than she could afford in order to send her two daughters to quality schools. She had run up credit card balances to pay for summer science camps and school supplies. She had never earned more than a high school diploma, but one of her daughters already had a master's in education; the other was about to start college.

"I truly bought into the idea that education is the way out of poverty," Ms. Thomas said. "If your kids are going to school with kids who are preprogrammed to go to college, then that's what they will expect. I didn't get myself out of poverty. But I got my daughters out. I was the bridge."

Long before "subprime" entered the American lexicon, before Wall Street convulsed with the collapse of giant institutions and the financial world seized with fear, a slower-moving crisis was already under way for tens of millions of ordinary people like Ms. Thomas. The shock of recent times has merely intensified this deeper crisis, rendering void a mode of living that was already unsustainable.

As wages stagnated, and as the costs of health care and education spiraled higher, easy money filled the gap: shrinking paychecks were masked by an explosion of consumer credit and by a pair of investment manias that made money surge through the American economy - one centered on the supposedly limitless promise of the Internet, the other propelled by faith that real estate values could only climb.

On the backs of these fantasies, the financial system lent out ridiculous sums of money to businesses and homeowners, as if the laws of supply and demand had been repealed.

Americans became addicted to dreaming up the Next Big Thing, telling one another stories that seemed to justify pouring money into stocks, real estate and exotic new investments. A nation skilled in innovation and craftsmanship relinquished its traditional focus on engineering goods and services of intrinsic value in favor of financial make-believe, mostly unchecked by government regulation.

As exotic mortgages proliferated along with inscrutable investments backed by home payments, respected leaders like Alan Greenspan, chairman of the Federal Reserve, and Robert E. Rubin and Lawrence H. Summers - both Treasury secretaries in the Clinton administration - silenced those inclined to damp the festivities with limits on how much money financial institutions could put into play.

Bankers operating freely would assess risks better than bureaucrats, they counseled, enabling gold rush fever to flourish on Wall Street and in every suburban cul-de-sac, while the consequences of failure swelled to monstrous proportions.

"Proposals to bring even minimalist regulation were basically rebuffed by Greenspan and various people in the Treasury," recalled Alan S. Blinder, who served with Mr. Greenspan on the board of governors at the Federal Reserve.

Easy money generated economic growth and spread riches. Yet when arithmetic reasserted itself, annihilating trillions of dollars in wealth and millions of jobs, the economy was left with a debilitating case of disillusionment: once markets lost faith in make-believe, they starved the economy of capital. Even people who had barely benefited - people like Dorothy Thomas - suffered an outsize share of hurt.

The challenge now confronting American society is how to transition from an era in which we spent and consumed in brazen disregard of traditional limits into a new period in which we live on what we bring home from work. Yet just as Americans most need jobs to rebuild savings and pay off past-due bills, jobs are in exceedingly scarce supply.

"If you had told me before that a person could look for a year and not find a job, I'd have said they were just lazy," Ms. Thomas said. "Every day, I feel like I'm losing a piece of myself."

BY early 2008, the electricity and water had been cut for lack of payment at the house on Crack Avenue. For Ms. Thomas, 12 months had passed without work, despite dozens of applications at medical billing offices - those she could reach without a car. One potential employer rejected her after she failed a credit check.

"They're saying that credit is a reflection of your character," she said, choking back tears.

The confident young woman who had once sold expensive cosmetics had become a middle-aged woman bulging out of sweat pants, her face sagging with exhaustion, her hair matted for lack of access to a shower. Each rejection intensified her fears that she might never work again.

"Is it my age?" she asked. "Is it because I've gained weight?" She had been visiting a nearby food bank. "They give us cakes and cookies," she said. "Then you wonder why poor people are fat! They're not giving us fruits and vegetables."

She riffled through a folder, proffering her résumé - evidence that she belonged in the white-collar world. "I'm articulate," she said, shifting into the smooth tones of a receptionist as she pantomimed answering the phone. "How may I direct your call?"

"When you get discouraged, it's hard to recover," she said. "People who aren't poor, it's as if they think we don't know what our lives are like and what's happening to us. But we know. Poverty is like a prison without bars."

Three months later, the crumbling house on Crack Avenue fell into foreclosure, and Ms. Thomas was forced out. She thought of asking her oldest daughter for help. But her daughter was struggling to pay her own bills on a teacher's salary. So Ms. Thomas checked into a homeless shelter for battered women and substance abusers. She pretended to be a drug addict in order to stay, using the free bed as an opportunity to reconstruct her life.

In November, she got a job scheduling appointments for a chain of medical clinics for $16 an hour. She could reach the offices using public transportation. She wore a crisp white blouse and a neat ponytail. Her face radiated calm.

"I feel so good," she said, "because I feel so normal."

A long stretch of hopelessness had given way to the outlines of a future. A few weeks later, she had saved $1,600. Soon, she bought a used car, a Toyota Rav 4, which greatly expanded her field of potential workplaces. Another few months of work and saving and she figured to have enough to recover her independence.

But in late January this year, with the economy still deteriorating, her new employer laid her off.

"That first week, I really slipped under," she said. "I did feel suicidal. I just felt so knocked off the block. To lose that job was just devastating."

She was sobbing.

"I'm back at Square One," she said.

MUCH the same might be said of the American economy. Many experts say it may take years to fully recover, creating enough decent-paying jobs so that paychecks can replace home equity loans and credit cards as fuel for spending. "The open question is whether we're in for a bad couple of years, or a bad decade," said Kenneth S. Rogoff, a former chief economist at the International Monetary Fund.

As attention focuses on how best to nurture good jobs, many advocate increased government investment into research institutions to spur innovation, in addition to tax incentives for private ventures that turn the resulting know-how into businesses. Renewable energy and biotechnology exemplify how such public-private partnerships have already produced jobs. Amid mounting concerns about climate change, states are compelling utilities to buy energy from clean sources, creating new markets for wind power and solar energy.

Iowa is exploiting its position on the Great Plains - the so-called Saudi Arabia of wind - to manufacture wind turbines. Toledo's glass factories, confronting declining orders for auto windshields, are focused on making solar panels. North Carolina has twinned the brainpower of its research universities with its engineering prowess to construct a thriving hub of biotechnology, employing people laid off from tobacco and textiles.

These are merely examples of one fruitful approach to creating jobs, say economists, one that may be applied to myriad other areas of American industry. Silicon Valley remains a hotbed of valuable thinking. Wall Street - much maligned though it may be - retains important skills that await incentives to make it function in the national interest.

Some argue that the Next Big Thing may not be big at all, but rather a diffuse process of innovation unleashed on established areas of the economy, one that extracts greater value by improving goods and services we already use every day. Traffic-choked cities may be liberated with modernized public transportation. Homes may be made more comfortable with advances in furnishing. The great American capacity to engineer solutions to life's problems - still intact - may need only the right policies to flourish again.

"There's a lot of opportunities for change in existing industries," says Joe Cortright, an economist at Impresa, a consulting firm in Portland, Ore., where traditional agriculture has in recent years evolved into boutique wineries and specialty-vegetable growers, extracting far greater value.

We are only now beginning to emerge from the longest recession since the Great Depression. The economy remains alarmingly lean. Yet many see in this moment an opportunity to refocus on areas of economic strength.

This month, amid reports that businesses were beginning to receive new orders, Dorothy Thomas was still living in a homeless shelter, unemployed.

Before the end of the month, she will reach the shelter's time limit and be forced to move again. Yet, a new confidence was evident in her words. After nearly two years of rejection and terrifying proximity to the streets, she had tapped back into a deep resilience. She had polished her résumé, acquired a penchant for saving and secured transportation. All that sat between her desperation and renewal was an item that - in the traditional American narrative - was supposed to be available to anyone willing to work: a paycheck.

"A job," Ms. Thomas said, "is really all I need."

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3) Toxic Waters
Clean Water Laws Are Neglected, at a Cost in Suffering
By CHARLES DUHIGG
September 13, 2009
http://www.nytimes.com/2009/09/13/us/13water.html?hp

Jennifer Hall-Massey knows not to drink the tap water in her home near Charleston, W.Va.

In fact, her entire family tries to avoid any contact with the water. Her youngest son has scabs on his arms, legs and chest where the bathwater - polluted with lead, nickel and other heavy metals - caused painful rashes. Many of his brother's teeth were capped to replace enamel that was eaten away.

Neighbors apply special lotions after showering because their skin burns. Tests show that their tap water contains arsenic, barium, lead, manganese and other chemicals at concentrations federal regulators say could contribute to cancer and damage the kidneys and nervous system.

"How can we get digital cable and Internet in our homes, but not clean water?" said Mrs. Hall-Massey, a senior accountant at one of the state's largest banks.

She and her husband, Charles, do not live in some remote corner of Appalachia. Charleston, the state capital, is less than 17 miles from her home.

"How is this still happening today?" she asked.

When Mrs. Hall-Massey and 264 neighbors sued nine nearby coal companies, accusing them of putting dangerous waste into local water supplies, their lawyer did not have to look far for evidence. As required by state law, some of the companies had disclosed in reports to regulators that they were pumping into the ground illegal concentrations of chemicals - the same pollutants that flowed from residents' taps.

But state regulators never fined or punished those companies for breaking those pollution laws.

This pattern is not limited to West Virginia. Almost four decades ago, Congress passed the Clean Water Act to force polluters to disclose the toxins they dump into waterways and to give regulators the power to fine or jail offenders. States have passed pollution statutes of their own. But in recent years, violations of the Clean Water Act have risen steadily across the nation, an extensive review of water pollution records by The New York Times found.

In the last five years alone, chemical factories, manufacturing plants and other workplaces have violated water pollution laws more than half a million times. The violations range from failing to report emissions to dumping toxins at concentrations regulators say might contribute to cancer, birth defects and other illnesses.

However, the vast majority of those polluters have escaped punishment. State officials have repeatedly ignored obvious illegal dumping, and the Environmental Protection Agency, which can prosecute polluters when states fail to act, has often declined to intervene.

Because it is difficult to determine what causes diseases like cancer, it is impossible to know how many illnesses are the result of water pollution, or contaminants' role in the health problems of specific individuals.

But concerns over these toxins are great enough that Congress and the E.P.A. regulate more than 100 pollutants through the Clean Water Act and strictly limit 91 chemicals or contaminants in tap water through the Safe Drinking Water Act.

Regulators themselves acknowledge lapses. The new E.P.A. administrator, Lisa P. Jackson, said in an interview that despite many successes since the Clean Water Act was passed in 1972, today the nation's water does not meet public health goals, and enforcement of water pollution laws is unacceptably low. She added that strengthening water protections is among her top priorities. State regulators say they are doing their best with insufficient resources.

The Times obtained hundreds of thousands of water pollution records through Freedom of Information Act requests to every state and the E.P.A., and compiled a national database of water pollution violations that is more comprehensive than those maintained by states or the E.P.A. (For an interactive version, which can show violations in any community, visit www.nytimes.com/toxicwaters.)

In addition, The Times interviewed more than 250 state and federal regulators, water-system managers, environmental advocates and scientists.

That research shows that an estimated one in 10 Americans have been exposed to drinking water that contains dangerous chemicals or fails to meet a federal health benchmark in other ways.

Those exposures include carcinogens in the tap water of major American cities and unsafe chemicals in drinking-water wells. Wells, which are not typically regulated by the Safe Drinking Water Act, are more likely to contain contaminants than municipal water systems.

Because most of today's water pollution has no scent or taste, many people who consume dangerous chemicals do not realize it, even after they become sick, researchers say.

But an estimated 19.5 million Americans fall ill each year from drinking water contaminated with parasites, bacteria or viruses, according to a study published last year in the scientific journal Reviews of Environmental Contamination and Toxicology. That figure does not include illnesses caused by other chemicals and toxins.

In the nation's largest dairy states, like Wisconsin and California, farmers have sprayed liquefied animal feces onto fields, where it has seeped into wells, causing severe infections. Tap water in parts of the Farm Belt, including cities in Illinois, Kansas, Missouri and Indiana, has contained pesticides at concentrations that some scientists have linked to birth defects and fertility problems.

In parts of New York, Rhode Island, Ohio, California and other states where sewer systems cannot accommodate heavy rains, untreated human waste has flowed into rivers and washed onto beaches. Drinking water in parts of New Jersey, New York, Arizona and Massachusetts shows some of the highest concentrations of tetrachloroethylene, a dry cleaning solvent that has been linked to kidney damage and cancer. (Specific types of water pollution across the United States will be examined in future Times articles.)

The Times's research also shows that last year, 40 percent of the nation's community water systems violated the Safe Drinking Water Act at least once, according to an analysis of E.P.A. data. Those violations ranged from failing to maintain proper paperwork to allowing carcinogens into tap water. More than 23 million people received drinking water from municipal systems that violated a health-based standard.

In some cases, people got sick right away. In other situations, pollutants like chemicals, inorganic toxins and heavy metals can accumulate in the body for years or decades before they cause problems. Some of the most frequently detected contaminants have been linked to cancer, birth defects and neurological disorders.

Records analyzed by The Times indicate that the Clean Water Act has been violated more than 506,000 times since 2004, by more than 23,000 companies and other facilities, according to reports submitted by polluters themselves. Companies sometimes test what they are dumping only once a quarter, so the actual number of days when they broke the law is often far higher. And some companies illegally avoid reporting their emissions, say officials, so infractions go unrecorded.

Environmental groups say the number of Clean Water Act violations has increased significantly in the last decade. Comprehensive data go back only five years but show that the number of facilities violating the Clean Water Act grew more than 16 percent from 2004 to 2007, the most recent year with complete data.

Polluters include small companies, like gas stations, dry cleaners, shopping malls and the Friendly Acres Mobile Home Park in Laporte, Ind., which acknowledged to regulators that it had dumped human waste into a nearby river for three years.

They also include large operations, like chemical factories, power plants, sewage treatment centers and one of the biggest zinc smelters, the Horsehead Corporation of Pennsylvania, which has dumped illegal concentrations of copper, lead, zinc, chlorine and selenium into the Ohio River. Those chemicals can contribute to mental retardation and cancer.

Some violations are relatively minor. But about 60 percent of the polluters were deemed in "significant noncompliance" - meaning their violations were the most serious kind, like dumping cancer-causing chemicals or failing to measure or report when they pollute.

Finally, the Times's research shows that fewer than 3 percent of Clean Water Act violations resulted in fines or other significant punishments by state officials. And the E.P.A. has often declined to prosecute polluters or force states to strengthen their enforcement by threatening to withhold federal money or take away powers the agency has delegated to state officials.

Neither Friendly Acres Mobile Home Park nor Horsehead, for instance, was fined for Clean Water Act violations in the last eight years. A representative of Friendly Acres declined to comment. Indiana officials say they are investigating the mobile home park. A representative of Horsehead said the company had taken steps to control pollution and was negotiating with regulators to clean up its emissions.

Numerous state and federal lawmakers said they were unaware that pollution was so widespread.

"I don't think anyone realized how bad things have become," said Representative James L. Oberstar, a Minnesota Democrat, when told of The Times's findings. Mr. Oberstar is chairman of the House Transportation and Infrastructure Committee, which has jurisdiction over many water-quality issues.

"The E.P.A. and states have completely dropped the ball," he said. "Without oversight and enforcement, companies will use our lakes and rivers as dumping grounds - and that's exactly what is apparently going on."

The E.P.A. administrator, Ms. Jackson, whose appointment was confirmed in January, said in an interview that she intended to strengthen enforcement of the Clean Water Act and pressure states to apply the law.

"I've been saying since Day One I want to work on these water issues pretty broadly across the country," she said. On Friday, the E.P.A. said that it was reviewing dozens of coal-mining permits in West Virginia and three other states to make sure they would not violate the Clean Water Act.

After E.P.A. officials received detailed questions from The New York Times in June, Ms. Jackson sent a memo to her enforcement deputy noting that the E.P.A. is "falling short of this administration's expectations for the effectiveness of our clean water enforcement programs. Data available to E.P.A. shows that, in many parts of the country, the level of significant noncompliance with permitting requirements is unacceptably high and the level of enforcement activity is unacceptably low."

State officials, for their part, attribute rising pollution rates to increased workloads and dwindling resources. In 46 states, local regulators have primary responsibility for crucial aspects of the Clean Water Act. Though the number of regulated facilities has more than doubled in the last 10 years, many state enforcement budgets have remained essentially flat when adjusted for inflation. In New York, for example, the number of regulated polluters has almost doubled to 19,000 in the last decade, but the number of inspections each year has remained about the same.

But stretched resources are only part of the reason polluters escape punishment. The Times's investigation shows that in West Virginia and other states, powerful industries have often successfully lobbied to undermine effective regulation.

State officials also argue that water pollution statistics include minor infractions, like failing to file reports, which do not pose risks to human health, and that records collected by The Times failed to examine informal enforcement methods, like sending warning letters.

"We work enormously hard inspecting our coal mines, analyzing water samples, notifying companies of violations when we detect them," said Randy Huffman, head of West Virginia's Department of Environmental Protection. "When I look at how far we've come in protecting the state's waters since we took responsibility for the Clean Water Act, I think we have a lot to be proud of."

But unchecked pollution remains a problem in many states. West Virginia offers a revealing example of why so many companies escape punishment.

One Community's Plight

The mountains surrounding the home of Mrs. Hall-Massey's family and West Virginia's nearby capital have long been mined for coal. And for years, the area enjoyed clean well water.

But starting about a decade ago, awful smells began coming from local taps. The water was sometimes gray, cloudy and oily. Bathtubs and washers developed rust-colored rings that scrubbing could not remove. When Mrs. Hall-Massey's husband installed industrial water filters, they quickly turned black. Tests showed that their water contained toxic amounts of lead, manganese, barium and other metals that can contribute to organ failure or developmental problems.

Around that time, nearby coal companies had begun pumping industrial waste into the ground.

Mining companies often wash their coal to remove impurities. The leftover liquid - a black fluid containing dissolved minerals and chemicals, known as sludge or slurry - is often disposed of in vast lagoons or through injection into abandoned mines. The liquid in those lagoons and shafts can flow through cracks in the earth into water supplies. Companies must regularly send samples of the injected liquid to labs, which provide reports that are forwarded to state regulators.

In the eight miles surrounding Mrs. Hall-Massey's home, coal companies have injected more than 1.9 billion gallons of coal slurry and sludge into the ground since 2004, according to a review of thousands of state records. Millions more gallons have been dumped into lagoons.

These underground injections have contained chemicals at concentrations that pose serious health risks, and thousands of injections have violated state regulations and the Safe Drinking Water Act, according to reports sent to the state by companies themselves.

For instance, three coal companies - Loadout, Remington Coal and Pine Ridge, a subsidiary of Peabody Energy, one of the largest coal companies in the world - reported to state officials that 93 percent of the waste they injected near this community had illegal concentrations of chemicals including arsenic, lead, chromium, beryllium or nickel.

Sometimes those concentrations exceeded legal limits by as much as 1,000 percent. Those chemicals have been shown to contribute to cancer, organ failures and other diseases.

But those companies were never fined or punished for those illegal injections, according to state records. They were never even warned that their activities had been noticed.

Remington Coal declined to comment. A representative of Loadout's parent said the company had assigned its permit to another company, which ceased injecting in 2006. Peabody Energy, which spun off Pine Ridge in 2007, said that some data sent to regulators was inaccurate and that the company's actions reflected best industry practices.

West Virginia officials, when asked about these violations, said regulators had accidentally overlooked many pollution records the companies submitted until after the statute of limitations had passed, so no action was taken. They also said their studies indicated that those injections could not have affected drinking water in the area and that other injections also had no detectable effect.

State officials noted that they had cited more than 4,200 water pollution violations at mine sites around the state since 2000, as well as conducted thousands of investigations. The state has initiated research about how mining affects water quality. After receiving questions from The Times, officials announced a statewide moratorium on issuing injection permits and told some companies that regulators were investigating their injections.

"Many of the issues you are examining are several years old, and many have been addressed," West Virginia officials wrote in a statement. The state's pollution program "has had its share of issues," regulators wrote. However, "it is important to note that if the close scrutiny given to our state had been given to others, it is likely that similar issues would have been found."

More than 350 other companies and facilities in West Virginia have also violated the Clean Water Act in recent years, records show. Those infractions include releasing illegal concentrations of iron, manganese, aluminum and other chemicals into lakes and rivers.

As the water in Mrs. Hall-Massey's community continued to worsen, residents began complaining of increased health problems. Gall bladder diseases, fertility problems, miscarriages and kidney and thyroid issues became common, according to interviews.

When Mrs. Hall-Massey's family left on vacation, her sons' rashes cleared up. When they returned, the rashes reappeared. Her dentist told her that chemicals appeared to be damaging her teeth and her son's, she said. As the quality of her water worsened, Mrs. Hall-Massey's once-healthy teeth needed many crowns. Her son brushed his teeth often, used a fluoride rinse twice a day and was not allowed to eat sweets. Even so, he continued getting cavities until the family stopped using tap water. By the time his younger brother's teeth started coming in, the family was using bottled water to brush. He has not had dental problems.

Medical professionals in the area say residents show unusually high rates of health problems. A survey of more than 100 residents conducted by a nurse hired by Mrs. Hall-Massey's lawyer indicated that as many as 30 percent of people in this area have had their gallbladders removed, and as many as half the residents have significant tooth enamel damage, chronic stomach problems and other illnesses. That research was confirmed through interviews with residents.

It is difficult to determine which companies, if any, are responsible for the contamination that made its way into tap water or to conclude which specific chemicals, if any, are responsible for particular health problems. Many coal companies say they did not pollute the area's drinking water and chose injection sites that flowed away from nearby homes.

An independent study by a university researcher challenges some of those claims.

"I don't know what else could be polluting these wells," said Ben Stout, a biology professor at Wheeling Jesuit University who tested the water in this community and elsewhere in West Virginia. "The chemicals coming out of people's taps are identical to the chemicals the coal companies are pumping into the ground."

One night, Mrs. Hall-Massey's 6-year-old son, Clay, asked to play in the tub. When he got out, his bright red rashes hurt so much he could not fall asleep. Soon, Mrs. Hall-Massey began complaining to state officials. They told her they did not know why her water was bad, she recalls, but doubted coal companies had done anything wrong. The family put their house on the market, but because of the water, buyers were not interested.

In December, Mrs. Hall-Massey and neighbors sued in county court, seeking compensation. That suit is pending. To resolve a related lawsuit filed about the same time, the community today gets regular deliveries of clean drinking water, stored in coolers or large blue barrels outside most homes. Construction began in August on a pipeline bringing fresh water to the community.

But for now most residents still use polluted water to bathe, shower and wash dishes.

"A parent's only real job is to protect our children," Mrs. Hall-Massey said. "But where was the government when we needed them to protect us from this stuff?"

Regulators 'Overwhelmed'

Matthew Crum, a 43-year-old lawyer, wanted to protect people like Mrs. Hall-Massey. That is why he joined West Virginia's environmental protection agency in 2001, when it became clear that the state's and nation's streams and rivers were becoming more polluted.

But he said he quickly learned that good intentions could not compete with intimidating politicians and a fearful bureaucracy.

Mr. Crum grew up during a golden age of environmental activism. He was in elementary school when Congress passed the Clean Water Act of 1972 in response to environmental disasters, including a fire on the polluted Cuyahoga River in Cleveland. The act's goal was to eliminate most water pollution by 1985 and prohibit the "discharge of toxic pollutants in toxic amounts."

"There were a bunch of us that were raised with the example of the Clean Water Act as inspiration," he said. "I wanted to be part of that fight."

In the two decades after the act's passage, the nation's waters grew much healthier. The Cuyahoga River, West Virginia's Kanawha River and hundreds of other beaches, streams and ponds were revitalized.

But in the late 1990s, some states' enforcement of pollution laws began tapering off, according to regulators and environmentalists. Soon the E.P.A. started reporting that the nation's rivers, lakes and estuaries were becoming dirtier again. Mr. Crum, after a stint in Washington with the Justice Department and the birth of his first child, joined West Virginia's Department of Environmental Protection, where new leadership was committed to revitalizing the Clean Water Act.

He said his idealism was tested within two weeks, when he was called to a huge coal spill into a stream.

"I met our inspector at the spill site, and we had this really awkward conversation," Mr. Crum recalled. "I said we should shut down the mine until everything was cleaned up. The inspector agreed, but he said if he issued that order, he was scared of getting demoted or transferred to the middle of nowhere. Everyone was terrified of doing their job."

Mr. Crum temporarily shut the mine.

In the next two years, he shut many polluting mines until they changed their ways. His tough approach raised his profile around the state.

Mining companies, worried about attracting Mr. Crum's attention, began improving their waste disposal practices, executives from that period said. But they also began complaining to their friends in the state's legislature, they recalled in interviews, and started a whisper campaign accusing Mr. Crum of vendettas against particular companies - though those same executives now admit they had no evidence for those claims.

In 2003, a new director, Stephanie Timmermeyer, was nominated to run the Department of Environmental Protection. One of West Virginia's most powerful state lawmakers, Eustace Frederick, said she would be confirmed, but only if she agreed to fire Mr. Crum, according to several people who said they witnessed the conversation.

She was given the job and soon summoned Mr. Crum to her office. He was dismissed two weeks after his second child's birth.

Ms. Timmermeyer, who resigned in 2008, did not return calls. Mr. Frederick died last year.

Since then, hundreds of workplaces in West Virginia have violated pollution laws without paying fines. A half-dozen current and former employees, in interviews, said their enforcement efforts had been undermined by bureaucratic disorganization, a departmental preference to let polluters escape punishment if they promise to try harder, and a revolving door of regulators who leave for higher-paying jobs at the companies they once policed.

"We are outmanned and overwhelmed, and that's exactly how industry wants us," said one employee who requested anonymity for fear of being fired. "It's been obvious for decades that we're not on top of things, and coal companies have earned billions relying on that."

In June, four environmental groups petitioned the E.P.A. to take over much of West Virginia's handling of the Clean Water Act, citing a "nearly complete breakdown" in the state. The E.P.A. has asked state officials to respond and said it is investigating the petition.

Similar problems exist in other states, where critics say regulators have often turned a blind eye to polluters. Regulators in five other states, in interviews, said they had been pressured by industry-friendly politicians to drop continuing pollution investigations.

"Unless the E.P.A. is pushing state regulators, a culture of transgression and apathy sets in," said William K. Reilly, who led the E.P.A. under President George H. W. Bush.

In response, many state officials defend their efforts. A spokeswoman for West Virginia's Department of Environmental Protection, for instance, said that between 2006 and 2008, the number of cease-operation orders issued by regulators was 10 percent higher than during Mr. Crum's two-year tenure.

Mr. Huffman, the department's head, said there is no political interference with current investigations. Department officials say they continue to improve the agency's procedures, and note that regulators have assessed $14.7 million in state fines against more than 70 mining companies since 2006.

However, that is about equal to the revenue those businesses' parent companies collect every 10 hours, according to financial reports. (To find out about every state's enforcement record and read comments from regulators, visit www.nytimes.com/waterdata.)

"The real test is, is our water clean?" said Mr. Huffman. "When the Clean Water Act was passed, this river that flows through our capital was very dirty. Thirty years later, it's much cleaner because we've chosen priorities carefully."

Some regulators admit that polluters have fallen through the cracks. To genuinely improve enforcement, they say, the E.P.A. needs to lead.

"If you don't have vigorous oversight by the feds, then everything just goes limp," said Mr. Crum. "Regulators can't afford to have some backbone unless they know Washington or the governor's office will back them up."

It took Mr. Crum a while to recover from his firing. He moved to Virginia to work at the Nature Conservancy, an environmental conservation group. Today, he is in private practice and works on the occasional environmental lawsuit.

"We're moving backwards," he said, "and it's heartbreaking."

Shortcomings of the E.P.A.

The memos are marked "DO NOT DISTRIBUTE."

They were written this year by E.P.A. staff, the culmination of a five-year investigation of states' enforcement of federal pollution laws. And in bland, bureaucratic terms, they describe a regulatory system - at the E.P.A. and among state agencies - that in many ways simply does not work.

For years, according to one memo, federal regulators knew that more than 30 states had major problems documenting which companies were violating pollution laws. Another notes that states' "personnel lack direction, ability or training" to levy fines large enough to deter polluters.

But often, the memos say, the E.P.A. never corrected those problems even though they were widely acknowledged. The E.P.A. "may hesitate to push the states" out of "fear of risking their relationships," one report reads. Another notes that E.P.A. offices lack "a consistent national oversight strategy."

Some of those memos, part of an effort known as the State Review Framework, were obtained from agency employees who asked for anonymity, and others through Freedom of Information Act requests.

Enforcement lapses were particularly bad under the administration of President George W. Bush, employees say. "For the last eight years, my hands have been tied," said one E.P.A. official who requested anonymity for fear of retribution. "We were told to take our clean water and clean air cases, put them in a box, and lock it shut. Everyone knew polluters were getting away with murder. But these polluters are some of the biggest campaign contributors in town, so no one really cared if they were dumping poisons into streams."

The E.P.A. administrators during the last eight years - Christine Todd Whitman, Michael O. Leavitt and Stephen L. Johnson - all declined to comment.

When President Obama chose Ms. Jackson to head the E.P.A., many environmentalists and agency employees were encouraged. During his campaign, Mr. Obama promised to "reinvigorate the drinking water standards that have been weakened under the Bush administration and update them to address new threats." He pledged to regulate water pollution from livestock operations and push for amendments to the Clean Water Act.

But some worry those promises will not be kept. Water issues have taken a back seat to other environmental concerns, like carbon emissions.

In an interview, Ms. Jackson noted that many of the nation's waters were healthier today than when the Clean Water Act was passed and said she intended to enforce the law more vigorously. After receiving detailed questions from The Times, she put many of the State Review Framework documents on the agency's Web site, and ordered more disclosure of the agency's handling of water issues, increased enforcement and revamped technology so that facilities' environmental records are more accessible.

"Do critics have a good and valid point when they say improvements need to be made? Absolutely," Ms. Jackson said. "But I think we need to be careful not to do that by scaring the bejesus out of people into thinking that, boy, are things horrible. What it requires is attention, and I'm going to give it that attention."

In statements, E.P.A. officials noted that from 2006 to 2008, the agency conducted 11,000 Clean Water Act and 21,000 Safe Drinking Water Act inspections, and referred 146 cases to the Department of Justice. During the 2007 to 2008 period, officials wrote, 92 percent of the population served by community water systems received water that had no reported health-based violations.

The Times's reporting, the statements added, "does not distinguish between significant violations and minor violations," and "as a result, the conclusions may present an unduly alarming picture." They wrote that "much of the country's water quality problems are caused by discharges from nonpoint sources of pollution, such as agricultural runoff, which cannot be corrected solely through enforcement."

Ultimately, lawmakers and environmental activists say, the best solution is for Congress to hold the E.P.A. and states accountable for their failures.

The Clean Water Act, they add, should be expanded to police other types of pollution - like farm and livestock runoff - that are largely unregulated. And they say Congress should give state agencies more resources, in the same way that federal dollars helped overhaul the nation's sewage systems in the 1970s.

Some say changes will not occur without public outrage.

"When we started regulating water pollution in the 1970s, there was a huge public outcry because you could see raw sewage flowing into the rivers," said William D. Ruckelshaus, who served as the first head of the Environmental Protection Agency under President Richard M. Nixon, and then again under President Ronald Reagan.

"Today the violations are much more subtle - pesticides and chemicals you can't see or smell that are even more dangerous," he added. "And so a lot of the public pressure on regulatory agencies has ebbed away."

Karl Russell contributed reporting.

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4) The Recession's Racial Divide
By BARBARA EHRENREICH and DEDRICK MUHAMMAD
Op-Ed Contributors
September 13, 2009
http://www.nytimes.com/2009/09/13/opinion/13ehrenreich.html

WHAT do you get when you combine the worst economic downturn since the Depression with the first black president? A surge of white racial resentment, loosely disguised as a populist revolt. An article on the Fox News Web site has put forth the theory that health reform is a stealth version of reparations for slavery: whites will foot the bill and, by some undisclosed mechanism, blacks will get all the care. President Obama, in such fantasies, is a dictator and, in one image circulated among the anti-tax, anti-health reform "tea parties," he is depicted as a befeathered African witch doctor with little tusks coming out of his nostrils. When you're going down, as the white middle class has been doing for several years now, it's all too easy to imagine that it's because someone else is climbing up over your back.

Despite the sense of white grievance, though, blacks are the ones who are taking the brunt of the recession, with disproportionately high levels of foreclosures and unemployment. And they weren't doing so well to begin with. At the start of the recession, 33 percent of the black middle class was already in danger of falling to a lower economic level, according to a study by the Institute on Assets and Social Policy at Brandeis University and Demos, a nonpartisan public policy research organization.

In fact, you could say that for African-Americans the recession is over. It occurred from 2000 to 2007, as black employment decreased by 2.4 percent and incomes declined by 2.9 percent. During those seven years, one-third of black children lived in poverty, and black unemployment - even among college graduates - consistently ran at about twice the level of white unemployment.

That was the black recession. What's happening now is more like a depression. Nauvata and James, a middle-aged African American couple living in Prince Georges County, Md., who asked that their last name not be published, had never recovered from the first recession of the '00s when the second one came along. In 2003 Nauvata was laid off from a $25-an-hour administrative job at Aetna, and in 2007 she wound up in $10.50-an-hour job at a car rental company. James has had a steady union job as a building equipment operator, but the two couldn't earn enough to save themselves from predatory lending schemes.

They were paying off a $524 dining set bought on credit from the furniture store Levitz when it went out of business, and their debt swelled inexplicably as it was sold from one creditor to another. The couple ultimately spent a total of $3,800 to both pay it off and hire a lawyer to clear their credit rating. But to do this they had to refinance their home - not once, but with a series of mortgage lenders. Now they face foreclosure.

Nauvata, who is 47, has since seen her blood pressure soar, and James, 56, has developed heart palpitations. "There is no middle class anymore," he told us, "just a top and a bottom."

Plenty of formerly middle- or working-class whites have followed similar paths to ruin: the layoff or reduced hours, the credit traps and ever-rising debts, the lost home. But one thing distinguishes hard-pressed African-Americans as a group: Thanks to a legacy of a discrimination in both hiring and lending, they're less likely than whites to be cushioned against the blows by wealthy relatives or well-stocked savings accounts. In 2008, on the cusp of the recession, the typical African-American family had only a dime for every dollar of wealth possessed by the typical white family. Only 18 percent of blacks and Latinos had retirement accounts, compared with 43.4 percent of whites.

Racial asymmetry was stamped on this recession from the beginning. Wall Street's reckless infatuation with subprime mortgages led to the global financial crash of 2007, which depleted home values and 401(k)'s across the racial spectrum. People of all races got sucked into subprime and adjustable-rate mortgages, but even high-income blacks were almost twice as likely to end up with subprime home-purchase loans as low-income whites - even when they qualified for prime mortgages, even when they offered down payments.

According to a 2008 report by United for a Fair Economy, a research and advocacy group, from 1998 to 2006 (before the subprime crisis), blacks lost $71 billion to $93 billion in home-value wealth from subprime loans. The researchers called this family net-worth catastrophe the "greatest loss of wealth in recent history for people of color." And the worst was yet to come.

In a new documentary film about the subprime crisis, "American Casino," solid black citizens - a high school social studies teacher, a psychotherapist, a minister - relate how they lost their homes when their monthly mortgage payments exploded. Watching the parts of the film set in Baltimore is a little like watching the TV series "The Wire," except that the bad guys don't live in the projects; they hover over computer screens on Wall Street.

It's not easy to get people to talk about their subprime experiences. There's the humiliation of having been "played" by distant, mysterious forces. "I don't feel very good about myself," says the teacher in "American Casino." "I kind of feel like a failure."

Even people who know better tend to blame themselves - like Melonie Griffith, a 40-year-old African-American who works with the Boston group City Life/La Vida Urbana helping other people avoid foreclosure and eviction. She criticizes herself for having been "naïve" enough to trust the mortgage lender who, in 2004, told her not to worry about the high monthly payments she was signing on for because the mortgage would be refinanced in "a couple of months." The lender then disappeared, leaving Ms. Griffith in foreclosure, with "nowhere for my kids and me to go." Only when she went public with her story did she find that she wasn't the only one. "There is a consistent pattern here," she told us.

Mortgage lenders like Countrywide and Wells Fargo sought out minority homebuyers for the heartbreakingly simple reason that, for decades, blacks had been denied mortgages on racial grounds, and were thus a ready-made market for the gonzo mortgage products of the mid-'00s. Banks replaced the old racist practice of redlining with "reverse redlining" - intensive marketing aimed at black neighborhoods in the name of extending home ownership to the historically excluded. Countrywide, which prided itself on being a dream factory for previously disadvantaged homebuyers, rolled out commercials showing canny black women talking their husbands into signing mortgages.

At Wells Fargo, Elizabeth Jacobson, a former loan officer at the company, recently revealed - in an affidavit in a lawsuit by the City of Baltimore - that salesmen were encouraged to try to persuade black preachers to hold "wealth-building seminars" in their churches. For every loan that resulted from these seminars, whether to buy a new home or refinance one, Wells Fargo promised to donate $350 to the customer's favorite charity, usually the church. (Wells Fargo denied any effort to market subprime loans specifically to blacks.) Another former loan officer, Tony Paschal, reported that at the same time cynicism was rampant within Wells Fargo, with some employees referring to subprimes as "ghetto loans" and to minority customers as "mud people."

If any cultural factor predisposed blacks to fall for risky loans, it was one widely shared with whites - a penchant for "positive thinking" and unwarranted optimism, which takes the theological form of the "prosperity gospel." Since "God wants to prosper you," all you have to do to get something is "name it and claim it." A 2000 DVD from the black evangelist Creflo Dollar featured African-American parishioners shouting, "I want my stuff - right now!"

Joel Osteen, the white megachurch pastor who draws 40,000 worshippers each Sunday, about two-thirds of them black and Latino, likes to relate how he himself succumbed to God's urgings - conveyed by his wife - to upgrade to a larger house. According to Jonathan Walton, a religion professor at the University of California at Riverside, pastors like Mr. Osteen reassured people about subprime mortgages by getting them to believe that "God caused the bank to ignore my credit score and bless me with my first house." If African-Americans made any collective mistake in the mid-'00s, it was to embrace white culture too enthusiastically, and substitute the individual wish-fulfillment promoted by Norman Vincent Peale for the collective-action message of Martin Luther King.

But you didn't need a dodgy mortgage to be wiped out by the subprime crisis and ensuing recession. Black unemployment is now at 15.1 percent, compared with 8.9 percent for whites. In New York City, black unemployment has been rising four times as fast as that of whites. By 2010, according to Lawrence Mishel of the Economic Policy Institute, 40 percent of African-Americans nationwide will have endured patches of unemployment or underemployment.

One result is that blacks are being hit by a second wave of foreclosures caused by unemployment. Willett Thomas, a neat, wiry 47-year-old in Washington who describes herself as a "fiscal conservative," told us that until a year ago she thought she'd "figured out a way to live my dream." Not only did she have a job and a house, but she had a rental property in Gainesville, Fla., leaving her with the flexibility to pursue a part-time writing career.

Then she became ill, lost her job and fell behind on the fixed-rate mortgage on her home. The tenants in Florida had financial problems of their own and stopped paying rent. Now, although she manages to have an interview a week and regularly upgrades her résumé, Ms. Thomas cannot find a new job. The house she lives in is in foreclosure.

Mulugeta Yimer of Alexandria, Va., still has his taxi-driving job, but it no longer pays enough to live on. A thin, tall man with worry written all over his face, Mr. Yimer came to this country in 1981 as a refugee from Ethiopia, firmly believing in the American dream. In 2003, when Wells Fargo offered him an adjustable-rate mortgage, he calculated that he'd be able to deal with the higher interest rate when it kicked in. But the recession delivered a near-mortal blow to the taxi industry, even in the still relatively affluent Washington suburbs. He's now putting in 19-hour days, with occasional naps in his taxi, while his wife works 32 hours a week at a convenience store, but they still don't earn enough to cover expenses: $400 a month for health insurance, $800 for child care and $1,700 for the mortgage. What will Mr. Yimer do if he ends up losing his house? "We'll go to a shelter, I guess," he said, throwing open his hands, "if we can find one."

So despite the right-wing perception of black power grabs, this recession is on track to leave blacks even more economically disadvantaged than they were. Does a black president who is inclined toward bipartisanship dare address this destruction of the black middle class? Probably not. But if Americans of all races don't get some economic relief soon, the pain will only increase and with it, perversely, the unfounded sense of white racial grievance.

Barbara Ehrenreich is the author of the forthcoming "Bright-Sided: How the Relentless Promotion of Positive Thinking Has Undermined America." Dedrick Muhammad is a senior organizer and research associate at the Institute for Policy Studies.

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5) Class Size Brings Strike by Teachers
By THE ASSOCIATED PRESS
September 13, 2009
http://www.nytimes.com/2009/09/13/us/13kent.html?ref=us

KENT, Wash. (AP) - On what was scheduled to be the first day of school, students and teachers at Mill Creek Middle School here never made it through the front door. They stood or sat outside by the flagpole, waving signs and yelling at passing motorists.

The teachers have just ended a second week on strike, keeping more than 26,000 students at 40 schools out of the classroom.

The strike is not centered on wage and contract issues. Kent teachers are instead fighting for smaller class sizes, arguing that the district should spend some of the $21 million it has in reserve to alleviate overcrowding.

The district maintains that it needs to save the reserve money in this economy and that classes are not as crowded as teachers say. Some teachers complain that they do not have enough desks for students, with more than 30 children in some elementary and middle school classes.

Teachers said they were ready to stay out as long as it took to convince the school district that classroom overcrowding hurt academic achievement.

They have drawn the support of a handful of students who took to the picket lines during their extended summer vacation.

"I support them 100 percent in smaller class sizes for a better education," said Stewart Kunzelman, a 13-year-old eighth grader.

Teacher strikes are illegal in Washington State, and a judge said each teacher would have to pay $200 a day in fines if not back in school by Monday.

It is the only teacher strike in the nation taking place this week, and experts said such strikes were becoming rarer.

But that is not necessarily the case in Washington; teachers in a city east of Seattle staged a two-week strike last fall.

Rich Wood, a spokesman for the largest teachers' union in Washington, said strikes were not that common because most states did not allow them and some ban collective bargaining.

Mr. Wood said strikes in Washington State are about very local issues. Last year's extended strike in Bellevue, Wash., focused on district control of curriculum. Strikes in Illinois, Michigan and Pennsylvania last fall concerned salaries and retirement.

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6) Judge Rejects Settlement Over Merrill Bonuses
By LOUISE STORY
September 15, 2009
http://www.nytimes.com/2009/09/15/business/15bank.html?hp

A Federal District judge on Monday overturned a settlement between the Bank of America and the Securities and Exchange Commission over bonuses paid to Merrill Lynch executives just before the bank took over Merrill last year.

The judge said that Bank of America "materially lied" in shareholder communications about the bonuses.

The $33 million settlement "does not comport with the most elementary notions of justice and morality," wrote Jed S. Rakoff, the judge assigned to the case in federal court in Lower Manhattan.

The ruling directed both the agency and the bank to prepare for a possible trial that would begin no later than Feb. 1.

The case involved $3.6 billion in bonuses that were paid by Merrill Lynch late last year, just as that firm was about to be merged with Bank of America. Neither company provided details of the bonuses to their shareholders, who voted on Dec. 5 to approve the merger.

The judge focused much of his criticism on the fact that the fine in the case would be paid by the bank's shareholders, who were the ones that were supposed to have been injured by the lack of disclosure.

"It is quite something else for the very management that is accused of having lied to its shareholders to determine how much of those victims' money should be used to make the case against the management go away," the judge wrote.

In a statement, the S.E.C. said on Monday: "As we said in our court filings, we believe the proposed settlement properly balanced all of the relevant considerations. We will carefully review the court's most recent order."

Bank of America has argued in its filings with the judge that it did nothing wrong in its disclosures.

The judge also criticized the S.E.C., which has been trying to step up the effectiveness of its investigations unit. The judge quoted Oscar Wilde's "Lady Windermere's Fan" in the end of his ruling to say that a cynic is someone "who knows the price of everything and the value of nothing."

The proposed settlement, the judge continued, "suggests a rather cynical relationship between the parties: the S.E.C. gets to claim that it is exposing wrongdoing on the part of the Bank of America in a high-profile merger; the bank's management gets to claim that they have been coerced into an onerous settlement by overzealous regulators. And all this is done at the expense, not only of the shareholders, but also of the truth."

The case before Judge Rakoff is just one of several investigations into the bank's deal with Merrill. Andrew M. Cuomo, the attorney general of New York, is also investigating the bank's disclosures of bonuses and of Merrill's surprise losses late last year. The House Committee on Government Oversight and Reform is also looking into the merger.

It is not the first time Judge Rakoff has ruffled feathers in the business world. In 2003, for example, he refused to approve what he saw as a low settlement the S.E.C. had negotiated with WorldCom, the phone company that collapsed in an $11 billion accounting fraud.

Rewarding - and punishing - the right parties was at the fore of the judge's thinking in that case. Shareholders of WorldCom had already lost out. So when the judge forced the S.E.C. to increase the $500 million fine it was levying against WorldCom to $750 million, he also demanded that the money be paid out to the company's shareholders, rather than to the agency.

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7) U.S. Cost-Saving Policy Forces New Kidney Transplant
By KEVIN SACK
September 14, 2009
http://www.nytimes.com/2009/09/14/health/policy/14kidney.html?ref=us

SAN DIEGO - Melissa J. Whitaker has one very compelling reason to keep up with the health care legislation being written in Washington: her second transplanted kidney.

The story of Ms. Whitaker's two organ donations - the first from her mother and the second from her boyfriend - sheds light on a Medicare policy that is widely regarded as pound-foolish. Although the government regularly pays $100,000 or more for kidney transplants, it stops paying for anti-rejection drugs after only 36 months.

The health care bill moving through the House of Representatives includes a little-noticed provision that would reverse the policy, but it is not clear whether the Senate will follow suit. The 36-month limit is one of several reimbursement anomalies - along with inadequate primary care payments and incentives that encourage unneeded care - that many in Congress hope to cure.

Ms. Whitaker, 31, who describes herself as "kind of a nerd," has Alport syndrome, a genetic disorder that caused kidney failure and significant hearing loss by the time she was 14. In 1997, after undergoing daily dialysis for five years, she received her first transplant. Most of the cost of the dialysis and the transplant, totaling hundreds of thousands of dollars, was absorbed by the federal Medicare program, which provides broad coverage for those with end-stage renal disease.

Despite that heavy investment, federal law limits Medicare reimbursement for the immunosuppressant drugs that transplant recipients must take for life, at costs of $1,000 to $3,000 a month.

Once Ms. Whitaker's Medicare expired, she faced periods without work and, more important, without group health insurance, which disregards pre-existing conditions. Struggling financially, she soon found herself skipping doses of anti-rejection drugs.

By late 2003, her transplanted kidney had failed, and she returned to dialysis, covered by the government at $9,300 a month, more than three times the cost of the pills. Then 15 months ago, Medicare paid for her second transplant - total charges, $125,000 - and the 36-month clock began ticking again.

"If they had just paid for the pills, I'd still have my kidney," said Ms. Whitaker, who shares an apartment in the La Jolla neighborhood with her boyfriend, Joseph D. Jamieson. "I'd be healthy, working and paying taxes."

The Medicare program is not sure how many of the country's 100,000 transplant recipients are without insurance for their immunosuppressant drugs. Officials with the National Kidney Foundation said some dialysis patients never put themselves on transplant lists because they fear that they will not be able to afford the drugs.

Currently unemployed, Ms. Whitaker is nervous that in two years she will again find herself without health coverage. She and Mr. Jamieson, who have been together five years, said they would marry if necessary so he could insure her under the group policy provided by his employer, the drug manufacturer Pfizer. But nothing is guaranteed.

"If Joe were ever to lose his job or medical coverage, I do feel it would be possible for me to find myself without insurance again," said Ms. Whitaker, who reads lips to compensate for her hearing loss. "I'm extremely nervous about whether I'm going to be able to afford my medications once my coverage runs out."

Bills have been introduced in Congress since 2000 to lift the 36-month limit and extend coverage of immunosuppressant drugs indefinitely. They have never made it to a vote, largely because of the projected upfront cost; the Congressional Budget Office estimates that unlimited coverage would add $100 million a year to the $23 billion Medicare kidney program.

But the cost-benefit analysis would seem obvious. The most recent report from the United States Renal Data System found that Medicare spends an average of $17,000 a year on care for kidney transplant recipients, most of it for anti-rejection drugs. That compares with $71,000 a year for dialysis patients and $106,000 for a transplant (including the first year of monitoring).

"It doesn't make any sense at all," Ms. Whitaker said. "Somebody's not looking at the numbers."

A provision to cover the drugs is in the sweeping House health care bill, which has cleared three committees. It is uncertain whether the Senate Finance Committee will include it in its bill.

Since 1973, end-stage renal disease has been the only condition specifically covered by Medicare regardless of age. In 1988, coverage was extended for 12 months to anti-rejection drugs, which had recently been developed. Congress gradually lengthened the cutoff to 36 months, and then in 2000 made the benefit unlimited for those who are at least 65 or disabled. The rationale for leaving out younger transplant recipients was simply that the money was not there, Congressional aides said.

Ms. Whitaker was married when her Medicare eligibility expired after her first transplant, and her husband was able to insure her under his group policy. They divorced in 2001, and she became uninsured until taking a job at Kinko's that provided health benefits.

Her downward spiral began the day she awoke to find that her dog had used her hearing aids as a chew toy. She could not afford replacements and had to leave her job because she was unable to interact with customers.

She lived in Seattle for a while without electricity or hot water. The bank repossessed her car, and she filed for bankruptcy. Her grandmother eventually bought her new hearing aids, and she went back to work. But she was laid off a year later.

"That's when I started stretching out the pills," she said. "I'd take one in the morning and one at night, instead of two. Toward the end, I ran out of pills and was taking nothing for a couple of months. I figured I was young and could make it until I found insurance."

She figured wrong. When she arrived at an emergency room, weak from weight loss and anemia, her doctors told her they were surprised she was not in a coma. The kidney, they said, had not been functioning at all.

"I felt really guilty because it was my mom's kidney and I broke it," Ms. Whitaker said.

Ms. Whitaker moved back to Southern California to live with her mother, and soon met Mr. Jamieson. He is seven years younger and, at 6-foot-8, stands 16 inches taller, but they had what Mr. Jamieson calls "a mutual dork synchronicity" (they share a passion for video games). He bought her a stuffed kidney, with a ureter nose, and almost immediately offered her one of his kidneys.

She declined. "I didn't want to start dating somebody and steal his kidney," she said. "That seemed kind of rude."

Several years later, she reversed course and accepted the transplant on June 10, 2008. She has suffered several minor rejection episodes, but lately has been feeling well.

The couple gets by on Mr. Jamieson's paycheck and Ms. Whitaker's Social Security benefits. With the help of financial aid, she recently completed two years at a community college and will soon start classes at the University of California, San Diego. She said she hoped a degree would help her find a job with health coverage, perhaps as an addiction counselor.

But her bigger hope is that Congress will eliminate the 36-month limit so she can pursue any job, without concern for insurance.

"My whole life is dictated by my illness, and it's such a waste," Ms. Whitaker said. "If the government is going to spend all that money to help people get a kidney, they should help you keep it."

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