Month: April 2019

Good News from Illinois

Not a common phrase, particularly with regard to legislation and politics, but post Bruce Rauner, it does look promising.

The state legislature has passed, and governor has signed, a law banning local right-to-work ordinances:

In a complete 180, the new Governor of Illinois J.B. Pritzker has signed a bill into law that would make local Right to Work laws illegal in the state. The new law, which takes effect immediately, was passed with overwhelming support from the State Senate and the State Assembly. It had been previously blocked by the Republican Governor Bruce Rauner.

The change comes after four years of anti-union policies coming out of the Governor’s mansion. Rauner was not only a major proponent of local Right to Work, but he was also a catalyst for encouraging Mark Janus to sue his union, AFSCME so that he would not have to pay fair share fees.

The need for the ban came after Lincolnshire, a northern suburb of Chicago, passed a local Right to Work law in 2015. The law created a legal gray area for Lincolnshire employees since Illinois is a free bargaining state. The new law also brings state law into line with lower court rulings that have affirmed the states right to determine whether local employees should pay agency fees.

Pritzker, much to my surprise, has also proposed amending the state constitution to allow for a progressive income tax.

Here’s hoping that this initiative is successful as well.

Tweet of the Day

I’m reading @JosephEStiglitz‘s new book, “People, Power, & Profits”.

Really appreciate this point about globalisation & wages:

It’s not just that wages are cheaper overseas, but our trade agreements give companies stronger rights if they invest overseas than at home. #ISDS pic.twitter.com/2vLq83cMBR

— Alice Evans (@_alice_evans) April 23, 2019

It’s not just market forces: We have been subsiding offshoring and labor arbitrage for years.

Not Enough Bullets

It looks like Fannie Mae and Freddie Mac engaged in back flips to avoid government regulations holding senior executive pay to “only” $600,000,00.
Seriously, we need to stop the damn looting: (Also, prison for these rat-f%$#s, including the board, who is in on the conspiracy)

For years, the chief executives of two giant government-controlled companies, Fannie Mae and Freddie Mac, have operated under a strict constraint: They can’t be paid more than $600,000 a year.

The housing companies may have found a way around that congressionally mandated pay cap. Fannie Mae and Freddie Mac created a new job — president — transferring some of the work traditionally done by the CEOs to the new positions, according to government investigators. The presidents will be paid more than $3 million each.

………

At Fannie Mae, five executives earned more than $2 million each last year, while four executives at Freddie Mac earned more than $3 million, according to data compiled by Equilar, a research firm. The total amount spent on salaries for the top executives increased 31 percent at Fannie Mae and 4 percent at Freddie Mac last year, according to the data.

Fannie Mae declined to comment for this report. Freddie Mac challenged the conclusions of an Office of Inspector General report questioning the arrangement. “Simply put, the facts do not support the report’s conclusions,” company spokesman Christopher Spina said.

………

Fannie Mae and Freddie Mac stand as part of the last unfinished business from the crisis. The companies have been under government conservatorship since 2008 and received more than $100 billion in taxpayer bailouts.

………

Running companies of Fannie and Freddie’s size and complexity would typically be a career highlight for an ambitious executive. Fannie Mae has $3 trillion in assets, and Freddie Mac’s assets total $2 trillion. But the relatively low salary and the lack of rich stock options, or even the hope for a bonus, make it a tough sell, executive recruiters say. The companies’ CEOs also have little control over the ultimate fates of the housing giants, which is being debated by Congress and regulators, they say.

I have to note here:  Dan Ariely did a study on the effect of bonuses on performance, and discovered that very high levels of remuneration actually DECREASED performance.

Overpaying the executives will actually get you worse performance.

………

The issue became pressing as both companies faced major turnover last year. Fannie Mae’s longtime chief executive, Tim Mayopoulos, announced he would be stepping down before the end of the year.

While deciding how to replace Mayopoulos, now president of a digital lending company, Fannie’s board came up with a plan: The CEO’s pay would remain $600,000, but it would create a new position, president, and that person would earn more than $3 million a year.

………

Both positions were filled by company insiders. Hugh Frater, who had served on Fannie Mae’s board since 2016 and is also the nonexecutive chairman of Vereit, a real estate investment company, was picked to be CEO. David Benson, their chief financial officer, was promoted to president. Less than two months after Benson was appointed, Fannie Mae proposed increasing his salary 11 percent to $3.6 million, the Office of Inspector General noted.

Fannie Mae is now spending $4.2 million for work that used to be done for $600,000 when it had only a CEO, the inspector general’s report concluded.

Gee, they hired insiders.

It’s not like they had to look very far for new presidents

………

Still, the inspector general’s office has challenged the arrangement. Freddie Mac now spends $3.85 million to pay two people for work that used to be done by one person for $600,000, according to the report. Both companies are involved in “financial engineering” meant to allow them to “circumvent” the salary cap put in place by Congress, the report said.

This is not “financial engineering”. It is a criminal conspiracy to break the law.

Prosecute.

KIll It With Fire!!!!!!

Yes, I know that this is snark, but I guarantee you that someone will pitch something like this to the French as a 21st century update for Notre Dame de Paris:

Restoration of Notre Dame should be mindful of its past while revealing its unique potential as an urban mixed-use development. Here at Pick Rogarth + Baumsnatch, we believe… pic.twitter.com/7XkTyPppo7

— C:temp (@BryceElder) April 16, 2019

I know, it’s a joke, but that the joker is going to hell for this, because this is WAY too close to reality.

And the Ukraine Elects a Comedian

Volodymyr Zelensky just just beat incumbent President Petro Poroshenko like an old rug, defeating him with 73% of the vote.

In large part, this was a rebuke to the Ukrainian establishment that is seen as ineluctably corrupt by the average citizen.

It should be noted that Poroshenko was largely stood up by the the West, particularly the US under the stewardship of Victoria Nuland, so, at least in (very small) part, this election could be seen as a rejection of Western meddling in the Ukraine.

I do hope that Zelensky takes move against the neo-Nazis like the Azov Battalion, the Svoboda party, and the Pravyi Sektor party, who, after want him dead because he is a zhid (Jew), but I do not expect anything to come of this.

Bait & Switch

Remember when I noted Charter Communications, the people who make ComCast look good, were threatened with the loss of their permits to operate in the state of New York over their refusal to invest in infrastructure and expand broadband access.
Their behavior is not a surprise: The business model is leveraging monopoly power, not providing good, or reasonably priced, services.

Unfortunately, the regulator blinked, so once again, Charter has agreed to sin no more, and we’ll discover that they lied in a few years, and what they offer will be limited and overpriced:

Charter Communications won’t be kicked out of New York after all.

Nine months after a New York government agency ordered Charter to leave the state over its alleged failure to comply with merger conditions, state officials have announced a settlement that will let Charter stay in New York in exchange for further broadband expansions. The settlement will enforce a new version of the original merger conditions and require a $12 million payment, about half of which could help other ISPs deploy broadband.

So, $6 million, could, but won’t go to competitors, which is about enough to cover a single housing development.

The State Public Service Commission (PSC) had voted in July 2018 to revoke its approval of Charter’s 2016 purchase of Time Warner Cable (TWC), saying Charter failed to meet interim deadlines for broadband-expansion requirements. The order, which came just a month after a $2 million fine, would have required Charter to sell the TWC system to another provider. But the PSC never enforced the merger revocation order as it repeatedly granted deadline extensions to Charter while the sides held settlement talks.

The result is a proposed settlement between Charter and the state Department of Public Service (DPS) that was announced Friday.

“Pursuant to the agreement, Charter would expand its network to provide high-speed broadband service to 145,000 residences and businesses entirely in Upstate New York; the network expansion would be completed by September 30, 2021 in accordance with a schedule providing frequent interim enforceable milestone requirements; and Charter will pay $12 million to expand broadband service to additional unserved and underserved premises,” a DPS statement said.

………

The settlement needs approval from the PSC, which is taking public comments on the settlement for 60 days before making a final decision. The proposed settlement “does not constitute a finding or admission of any violation by Charter nor does it constitute a penalty or forfeiture under the New York State Public Service Law,” Charter and the DPS said in a joint letter to the PSC. The settlement “allows the parties to move forward with the critical work of expanding access to broadband, by resolving their disagreements without the need for costly litigation,” the letter said.

No admission of wrong doing, and as near as I can tell, more toothless declarations from the regulator if Charter ignores its obligations, and. trust me, it will ignore its obligations.

F%$# Charter, F%$# the DPS, and F%$# the PSC if they approve this bogus deal.

Being Evil

The organizers of an employee walkout over Google’s plans to become in the Chinese state security apparatus are now saying that they are being retaliated against.

To paraphrase Ron Zeigler, Google’s whole, “Don’t be evil,” thing is now inoperative:

Two employee activists at Google say they have been retaliated against for helping to organize a walkout among thousands of Google workers in November, and are planning a “town hall” meeting on Friday for others to discuss alleged instances of retaliation.

In a message posted to many internal Google mailing lists Monday, Meredith Whittaker, who leads Google’s Open Research, said that after the company disbanded its external AI ethics council on April 4, she was told that her role would be “changed dramatically.” Whittaker said she was told that, in order to stay at the company, she would have to “abandon” her work on AI ethics and her role at AI Now Institute, a research center she cofounded at New York University.

Claire Stapleton, another walkout organizer and a 12-year veteran of the company, said in the email that two months after the protest she was told she would be demoted from her role as marketing manager at YouTube and lose half her reports. After escalating the issue to human resources, she said she faced further retaliation. “My manager started ignoring me, my work was given to other people, and I was told to go on medical leave, even though I’m not sick,” Stapleton wrote. After she hired a lawyer, the company conducted an investigation and seemed to reverse her demotion. “While my work has been restored, the environment remains hostile and I consider quitting nearly every day,” she wrote.

Whittaker and Stapleton are two of the seven employees who helped organize the mass demonstration in November, during which 20,000 Google workers briefly walked out of their office to protest the company’s mishandling of sexual harassment claims.

Seriously, if you think that any of the internet giants are any less psychopathic than Exxon, Enron, or IG Farben, you are sorely mistaken.

My Oddest Passover Seders

As I noted earlier, my Mother-in-Law is in hospital for infections, so instead of flying down to Memphis to spend Passover with my Sister-in-Laws family, we had our Seder in her hospital room.

It was cramped, and odd.

I’m sure that there other people have had odder Seders, but these 2, Friday and Saturday, were odd, with Marilyn in her hospital bed, and the rest of us around a card table.

Cramped, but we made it work.

Today in Self Ownage

In response to Alexandria Ocasio-Cortez’s advocacy for a Green New Deal, Congressman Andy Barr, (R-KY) invited her to talk with coal minors in his district.

Much to his chagrin, she has enthusiastically accepted, and now Representative Barr is desperately trying to find a way to revoke his invitation:

Last month, a clip of New York representative Alexandria Ocasio-Cortez went predictably viral after she forcefully responded to one of her colleagues on the House Financial Services Committee when he called climate change an “elitist” concern. “Wanting clean air and water is not elitist,” she said.

In response, Kentucky Republican congressman Andy Barr invited Ocasio-Cortez to come meet coal miners in his state “who will tell you what the Green New Deal would mean for their families, their paychecks.” His concern, he said, is that the Green New Deal would phase out U.S. reliance on coal and fossil fuel, which would wreak havoc on the lives of people who work in those industries. Ocasio-Cortez accepted, saying she’d be “happy” to go, adding that the Green New Deal was written to fund coal-miner pensions. “We want a just transition to make sure we are investing in jobs across those swaths of the country,” she said.

All in all, it seemed like an uncharacteristically cordial exchange for two members of Congress. And not even a month later, that cordiality is out the window: Barr attached a rather inhospitable and obnoxious demand to his invitation, writing in a letter posted to Twitter that she should “apologize to [Texas representative Dan Crenshaw] prior to coming to visit Kentucky,” for a completely unrelated event before meeting with miners. The public scolding over purported incivility, along with the random call for an apology to a colleague from a completely different state, leaves the impression that the Barr might not want her to come to Kentucky after all.

Crenshaw was one of the first and most vociferous critics to pile on to Minnesota representative Ilhan Omar for out-of-context comments about 9/11. Strangely enough, Barr didn’t seem to think that Crenshaw directing an Islamaphobic attack towards Omar, culminating in an increase in death threats, demonstrated “a lack of civility.” When Crenshaw shared a tweet that falsely claimed Omar said the 9/11 attacks weren’t terrorism, Ocasio-Cortez pointed out: “You refuse to co-sponsor the 9/11 Victim’s Compensation Fund, yet have the audacity to drum resentment towards Ilhan w/completely out-of-context quotes. In 2018, right-wing extremists were behind almost ALL US domestic terrorist killings. Why don’t you go do something about that?”

………

Uninviting Ocasio-Cortez is probably a smart move on Barr’s part in the long run. For one thing, there aren’t any active coal mines in Barr’s district. And James Comer, another Republican representative from Kentucky, told local news that he didn’t “see any upside” to having her come to Kentucky. “I think a lot of Republicans are making a mistake picking on her. I think we need to be very prepared when we debate her on issues that we’re having a hard time with.”

(emphasis mine)

So, once Barr realized that:

  • Ocasio-Cortez was eager to talk to coal miners and
  • She’d probably have him for lunch.

He decided to require that she apologize for calling out another Republican who was actively trying to encourage some random nut job to ASSASSINATE one of her colleagues.

Really classy.

This Won’t Hurt a Bit, It’s Supposed to Work That Way, I’ll Respect you in the Morning

These are transparent lies.

Here is another one: anytime Facebook claims that it violated user privacy unintentionally:

Facebook harvested the email contacts of 1.5 million users without their knowledge or consent when they opened their accounts.

Since May 2016, the social-networking company has collected the contact lists of 1.5 million users new to the social network, Business Insider can reveal. The Silicon Valley company said the contact data was “unintentionally uploaded to Facebook,” and it is now deleting them.

The revelation comes after pseudononymous security researcher e-sushi noticed that Facebook was asking some users to enter their email passwords when they signed up for new accounts to verify their identities, a move widely condemned by security experts. Business Insider then discovered that if you entered your email password, a message popped up saying it was “importing” your contacts without asking for permission first.

At the time, it wasn’t clear what was happening — but on Wednesday, Facebook disclosed to Business Insider that 1.5 million people’s contacts were collected this way and fed into Facebook’s systems, where they were used to improve Facebook’s ad targeting, build Facebook’s web of social connections, and recommend friends to add.

Yeah, “Unintentionally,” right.

Every time such an error is revealed, and it seems to be about every 6 months, it always is something that makes Facebook more money.

To quote Richard Dreyfuss, “This was no boating accident.”

Headline of the Day

Maybe Rich Liberals Don’t Hate Sanders Because They Fear He Can’t Win, But Because They’re Rich

Fairness & Accuracy In Reporting

Takes on the assumption that the New York Times makes in their article, you know, the, “From canapé-filled fund-raisers on the coasts,” one, that rich donors are acting for the good of the party, as opposed to their own personal interests:

Why does the New York Times take rich liberals at their word that their concern with Bernie Sanders is that he would lose to Trump, rather than the obvious, glaring fact that his election would run counter to their interests?

………

That a network of multi-millionaire and billionaire donors would dislike a candidate who not only rejects their funding, but is actively trying to tax them at rates not seen since 1960, would surely be enough reason to explain why these wealthy elites would want to “stop” his nomination. But not to the credulous New York Times, which takes at face value rich donors’ claim to oppose Sanders because they believe he simply can’t defeat Trump:

………

Because it would be unseemly to suggest a group of super-rich hedge fund managers, Hollywood producers and CEOs would dislike a candidate who has made a career out of promising to expropriate the bulk of their wealth, we get a faux pragmatism argument. But polls show Sanders defeating Trump with numbers comparable to any other declared candidate—a fact the New York Times never bothers to mention, letting the idea go unchallenged that “socialist” (!!) Sanders is an electoral liability. The simpler, less altruistic motive is simply never entertained.

It’s a variation on the Inexplicable Republican Best Friend trope FAIR previously documented (2/26/19): Instead of assuming that lifelong conservatives may just prefer more conservative politicians, progressive-bashing GOP pundits are propped up as neutral observers simply looking out for the Democratic Party. Just the same, super-wealthy Democratic donors can’t oppose Sanders because they simply prefer more centrist, pro-Wall Street candidates; they must have a sincere, pragmatic concern he would lose the general election.

They are voting with their bloated wallets.

Sometimes a Single Phrase Clarifies Everything

In a New York Times has an article about how the wealthy donor class of the Democratic Party is colluding with the party leaders to take down Bernie Sanders.

This isn’t exactly secret, but this quote pretty much explains the whole scene in a remarkably vivid way:

From canapé-filled fund-raisers on the coasts to the cloakrooms of Washington, mainstream Democrats are increasingly worried that their effort to defeat President Trump in 2020 could be complicated by Mr. Sanders, in a political scenario all too reminiscent of how Mr. Trump himself seized the Republican nomination in 2016.

The whole  “Ancien Régime” vibe is vivid, and it is appaling.

Bernie in the Lions’ Den

Bernie Sanders kicked serious ass at the Fox News town hall.

He was on point, answered the questions, and was a forceful advocate of his policies.

The hostile hosts were owned.

Favorite bit: Fox drone host asks audience who has insurance through their employer. (Lots of hands go up)

Drone host then asks who among them wants Medicare for all. (ALL the hands stay up, and they begin to cheer)

It’s probably the best thing that has been on Fox News in years.

Tweet of the Day

The article is horrifying but I saw this pic of zuck and wondered why he looked so good, so alive. Figured it was an old photo. Turns out that is the wax effigy of him in Madame Tussaud’s. He is the only person whose wax figure looks less creepy & uncanny than the original person https://t.co/Q4bxPbYjK1

— Mar Hicks (@histoftech) April 11, 2019

It really is remarkable that Madame Tussaud’s is the only organization on the face of the earth that can imbue Mark Zuckerberg with a sense of humanity.

Oh No, Not Again

Former Alabama Supreme Court Chief Justice Roy Moore leads the field of potential Republicans vying for the chance to challenge Sen. Doug Jones (D), a year and a half after Moore lost what was supposed to be an easy election in a deep-red state.

A new poll shows Moore leading a still-evolving field of Alabama Republicans competing for the nomination. He is the top choice of 27 percent of Alabama Republican voters, according to the Mason-Dixon Polling & Strategy Inc. survey.

 Someone needs to check the water supply in Alabama, because someone has dosed it with something strong.

Stochastic Terrorism and the Cowardice of the Democratic Leadership

Make no mistake about it: Donald Trump’s attacks on Ilhan Omar are an attempt to induce one of his more unbalanced supporters to kill her.

This is not a surprise.

This has been the modus operandus of the right wing since before they assassinated Alan Berg.

What is also not a surprise is the complete cravenness of the Democratic establishment, including Nancy Pelosi’s absolute refusal to offer a meaningful pushback against Trump.

She’s refusing to even say Omar’s name, saying simply that his statements was, “Beneath the dignity of the Oval Office.

The response to the rank and file has been exactly the opposite, where Omar’s fundraising numbers have blown past Pelosi’s numbers, without the benefit of the Speaker’s fat cat donors and bundlers.

Seriously, if the whole of the Democratic Party establishment were replaced with bobblehead dolls, not only would they be braver, they would be less self-destructive.

World’s Largest White Elephant Takes to the Sky

I am referring, of course to the late Paul Allen’s abortive Stratolaunch program:

On Saturday morning, exactly 45 minutes after the sun began to rise over the Mojave Desert, the largest airplane ever created—and its record-breaking 385-foot wingspan—took off for the very first time. The aircraft, from the company Stratolaunch, has been eight years in the making. By 2022, the company hopes to use the twin-fuselage, six-engined, catamaran-style aircraft to launch satellite-bearing rockets into space.

“All of you have been very patient and very tolerant over the years waiting for us to get this big bird off the ground, and we finally did it,” Stratolaunch CEO Jean Floyd told reporters on a press call. The company reported the airplane hit speeds of 189mph and heights of 17,000 feet during its 150-minute test flight, before landing safely at the Mojave Air and Space Port.

“The systems on the airplane ran like a watch,” test pilot Evan Thomas told reporters. But the day’s events were bittersweet. Microsoft co-founder Paul Allen, a longtime space enthusiast who founded and funded the Stratolaunch project, passed away last October at age 65 from complications related to non-Hodgkin lymphoma. “Even though he wasn’t there today, as the plane lifted gracefully from the runway, I did whisper a ‘thank you’ to Paul for allowing me to be a part of this remarkable achievement,” Floyd said.

One day soon, Stratolaunch hopes to carry 250-ton rocket ships loaded with satellites to a height of 35,000 feet—into the stratosphere. Once at cruising altitude, a rocket’s engines would ignite, carrying it and its satellite cargo the rest of the way into space. Only a select few facilities, like the Kennedy Space Center in Florida, can handle rocket launches, which means tight competition for scheduling and long wait times. Airplanes can take off from many more runways, which Stratolaunch hopes will give its aircraft a competitive edge for those wishing to launch satellites into orbit.

The aircraft is a white elephant because, as I noted a few months back, Stratolaunch was designed as an airborne launcher for rockets, but Stratolaunch has abandoned its development for launchers, so there is nothing for it to launch.

There are, and never will be, “250-ton rocket ships loaded with satellites,” for it to carry.

There is talk of Stratolaunch being used to carry the Pegasus XL, but that is 25 tons, and has already been launched from an almost certainly cheaper to operate Lockheed L-1011 carrier, so I do not see how it would make any sense from an economic or a business perspective, even with Stratolaunch having the ability to launch 3 Pegasus XLs simultaneously.

This is Heartbreaking


The spire falls at about 15s

There has been a at a massive fire at the Notre Dame de Paris :

A fire that devastated Notre Dame Cathedral in the heart of Paris was brought under control by firefighters in the early hours of Tuesday morning, though officials warned there were still residual fires to put out.
Thousands of Parisians watched in horror from behind police cordons as a ferocious blaze devastated Notre Dame Cathedral on Monday night, destroying its spire and a large part of the roof.

An investigation has been opened by the prosecutor’s office, but police said it began accidentally and may be linked to building work at the cathedral. The 850-year-old gothic masterpiece had been undergoing restoration work.

The French president, Emmanuel Macron, attended the scene and later gave a speech in which he vowed that the cathedral would be rebuilt, as fire crews said the landmark’s rectangular bell towers and structure of the building had been saved.

I’m not sure how much has been lost, but given that the structure, the part that isn’t wood, is limestone and old mortar, which is very susceptible to fire damage.

I’m not sure what has been lost, but I’m pretty sure that when a final inventory is made there will be some very sad architects, artists, and historians.

In bizarrely related news, there has been a (relatively minor) fire at the al Aqsa mosque in Jerusalem.

Unlike the Notre Dame fire, the source of this one is currently suspicious, having occurred during a 15 minute change-over of local security:

A fire broke out in al-Aqsa mosque in Jerusalem, the third-holiest site in Islam, on Monday. The blaze didn’t cause significant damage, but it did endanger a part of the worship site that’s over 2,000 years old.

​The fire broke out in the guard room outside the al-Marwani Prayer Room Monday evening, according to a statement by the mosque’s Islamic Waqf (Endowments) Department. According to The New Arab, a guard reported a short gap in guard rotations between 7:15 and 7:30 p.m. local time.

Weird.