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Dylan Blaylock, GAP Communications Director
Phone: 202.457.0034, ext. 137
Email: dylanb@whistleblower.org
Today marks the one-year anniversary of the first media report based on National Security Agency (NSA) contractor and Government Accountability Project (GAP) client Edward Snowden's disclosures. The whistleblower's revelations sparked a necessary debate over privacy and constitutional rights, and continue to expose the agency's intrusive and unconstitutional surveillance programs.
However, critics continue to proclaim that the whistleblower should have "worked within the system" to report the government's domestic surveillance program. This is a disingenuous and false suggestion. Snowden repeatedly raised concerns internally. More importantly, under current law, intelligence community (IC) government contractors lack any effective rights against retaliation when they report government waste, fraud, and abuse.
On this lack of protections, GAP Legal Director Tom Devine commented:
Intelligence contractor whistleblowers' only chance to defend themselves is in a hearing controlled by the same institutions retaliating against them. That was not always the case. Just six months before Snowden's disclosures began, the House Intelligence Committee removed existing protections for certain IC contractors. Repression is the primary factor causing classified media leaks, because there is no safe legal alternative.
GAP National Security & Human Rights Director Jesselyn Radack, who serves as legal counsel to Snowden, stated:
The best way for the government to stop leaks is to enact meaningful and effective whistleblower protection. It is appalling that a year after Snowden's history-changing disclosures, national security and intelligence contractors still have no viable channels through which they can expose fraud, waste, abuse and illegality.
Background and Need for Reform
Under current law, Intelligence Community (IC) government contractors remain defenseless in terms of genuine protection - an independent due process hearing or day in court - when they blow the whistle on government waste, fraud, abuse of authority, gross mismanagement or a violation of law. But whistleblowers are often the only witnesses to abuses of power that betray the public trust. It is imperative that Congress quickly fills this accountability loophole by providing IC contractors with safe channels to report government wrongdoing. In the absence of adequate protections, whistleblowers will likely remain silent observers of wrongdoing or resort to media disclosures.
Congress has recognized this principle twelve times since 2002 by including best practice whistleblower protections as enforcement cornerstones of major remedial laws. However, the most recent protections passed in the National Defense Authorization Act for FY13 cover all government contractors except those in the intelligence community, which were removed at the insistence of the House Permanent Select Committee on Intelligence (HPSCI). These protections included preexisting rights for defense contractors with access to classified information. Additionally, the Stimulus Law included model IC whistleblower protections for all recipient contracts of stimulus spending. However, those protections expired as stimulus spending came to an end. Recently, Presidential Policy Directive 19 included limited IC contractor rights.
Congressional champions are preparing an IC contractor whistleblower bill that would restore these rights and offer strong uniform whistleblower protections for contractors who disclose waste, fraud, gross mismanagement or a violation of law. If passed, this legislation would safeguard billions of taxpayer dollars in government contracts, grants and reimbursements annually, and it would incentivize IC contractor whistleblowers to work within the system. In its absence, we can only expect leaks to continue if HPSCI continues to successfully deny protections for whistleblowers that work through legal channels.
We only know enough to contemplate the current NSA reform because of public whistleblowing by Snowden, an intelligence contractor who had no specific protections for making legal, nonpublic disclosures. Importantly, Congress must be able to hear from insiders who have critical information regarding intelligence operations, whether the misconduct breaches security, threatens freedom, spreads corruption, or all of the above.
One of the great lessons of the Snowden disclosures has been that members of Congress have not been adequately overseeing these programs. Contractors on intelligence operations must have real protection for legitimate whistleblower disclosures made to Congress, congressional staff with appropriate security clearance, or government watchdogs. Further, it is not adequate only to protect disclosures made to the intelligence committees. Such a monopoly in information needed to conduct congressional oversight does not exist in any other context in the federal government.
There cannot be any doubt about the consequences from congressional action, or inaction, on whistleblower rights. Without authentic legal protections for making disclosures to Congress and government watchdogs, enforcement of the Constitution and privacy rights will remain an honor system for agencies that have been secretly abusing their power. To identify government abuse, Congress must extend best practice whistleblower protections to IC contractor workers.
The Government Accountability Project (GAP) is a 30-year-old nonprofit public interest group that promotes government and corporate accountability by advancing occupational free speech, defending whistleblowers, and empowering citizen activists. We pursue this mission through our Nuclear Safety, International Reform, Corporate Accountability, Food & Drug Safety, and Federal Employee/National Security programs. GAP is the nation's leading whistleblower protection organization.
"Harris seems to be making a policy choice based on the disproven, failed ideology of trickle-down economics, and giving petulant billionaires a gift in the process," said one progressive advocacy group.
Democratic nominee Kamala Harris broke with President Joe Biden on Wednesday by proposing a smaller capital gains tax increase for wealthy Americans, a decision that one progressive advocacy group decried as a "baffling capitulation to Wall Street billionaires" who have vocally complained about the vice president's embrace of higher taxes on the ultra-rich.
Harris said at a campaign event in New Hampshire on Wednesday that "if you earn a million dollars a year or more, the tax rate on your long-term capital gains will be 28% under my plan," broadly confirming earlier reporting by The Wall Street Journal.
"We know when the government encourages investment, it leads to broad-based economic growth and it creates jobs, which makes our economy stronger," said Harris, who previously signaled support for Biden's tax agenda.
A 28% top tax rate on long-term capital gains—profits from the sale of an asset held for more than a year—would be significantly lower than the 39.6% rate that Biden proposed in his most recent budget.
The Patriotic Millionaires, a group of rich Americans that advocates for a more progressive tax system, said it was "appalled" by Harris' decision to pare back Biden's proposed capital gains tax increase.
"Vice President Harris is making a catastrophic mistake by capitulating to the petulant whining of the billionaire class," said Morris Pearl, the group's chair. "Harris seems to be making a policy choice based on the disproven, failed ideology of trickle-down economics, and giving petulant billionaires a gift in the process."
"Both on the economics and on the politics, this is a serious unforced error."
Details of Harris' capital gains tax plan began to emerge days after ultra-rich investors and other major donors to the vice president's 2024 campaign took to the pages of The New York Times to express concerns about Harris' support for Biden's tax agenda, which also calls for taxing the unrealized capital gains of households worth over $100 million.
The Financial Timesdescribed Harris' break with Biden on long-term capital gains as "an olive branch to Wall Street"; The New York Times similarly characterized the move as a message to the business community that she is "friendlier than Biden."
But Pearl of the Patriotic Millionaires warned that the policy shift "demonstrates a concerning lack of commitment to reversing destabilizing economic inequality."
"Both on the economics and on the politics, this is a serious unforced error," said Pearl, the former managing director at the investment behemoth BlackRock. "You don't need my years of experience on Wall Street to grasp the obvious. Big investors invest to make serious money, not to save a few percentage points on their tax bill. No one has ever made a lucrative investment decision based on a preferential tax rate. The incentive to invest is making money, not lowering tax rates."
"This ill-advised, destructive policy is a giveaway to the ultra-rich," he added. "We hope Vice President Harris will reconsider her position."
Even with a smaller proposed capital gains tax increase, Harris' tax agenda stands in stark contrast to that of Republican presidential nominee Donald Trump, who has called for massive additional tax cuts for the rich and large corporations while attacking Harris' support for progressive—and widely popular—tax proposals.
While Trump has not yet outlined a capital gains proposal during the 2024 campaign, the former president said in the final year of his first term that he would propose cutting the top capital gains rate to 15% in a second term.
Steve Wamhoff of the Institute on Taxation and Economic Policy noted at the time that 99% of the benefits of such a cut "would go to the richest 1% of taxpayers."
"It is time for Dr. de la Torre to get off of his $40 million yacht and explain to the American people how much he has gained financially while bankrupting the hospitals he manages."
U.S. Sen. Bernie Sanders on Wednesday blasted Dr. Ralph de la Torre—the CEO of a bankrupt health services company "who has made hundreds of millions of dollars ripping off patients and healthcare providers"—for refusing to comply with a bipartisan subpoena compelling him to testify about his company's insolvency.
"Perhaps more than anyone else in America, Dr. de la Torre is the poster child for the type of outrageous corporate greed that is permeating through our for-profit healthcare system," said Sanders (I-Vt.), who chairs the Senate Committee on Health, Education, Labor, and Pensions (HELP).
"Working with private equity vultures, he became obscenely wealthy by loading up hospitals across the country with billions in debt and selling the land underneath these hospitals to real estate executives who charge unsustainably high rent," the senator added. "As a result, Steward Health Care, and the more than 30 hospitals it owns in eight states, were forced to declare bankruptcy with some $9 billion in debt."
Steward is trying to sell all 31 of its hospitals in order to pay down its debt.
As Common Dreamsreported on July 25, the HELP committee, which includes 10 Republicans, voted 20-1 to investigate Steward Health Care's bankruptcy, and 16-4 to subpoena de la Torre.
"I am now working with members of the HELP committee to determine the best path forward," Sanders said on Wednesday. "But let me be clear: We will not accept this postponement. Congress will hold Dr. de la Torre accountable for his greed and for the damage he has caused to hospitals and patients throughout America. This committee intends to move forward aggressively to compel Dr. de la Torre to testify to the gross mismanagement of Steward Health Care."
"It is time for Dr. de la Torre to get off of his $40 million yacht and explain to the American people how much he has gained financially while bankrupting the hospitals he manages," Sanders added, referring to the 190-foot megayacht the CEO purchased as Steward hospitals failed to pay their bills.
Sens. Ed Markey (D-Mass.)—a HELP committee member—and Elizabeth Warren (D-Mass.) also slammed de la Torre on Wednesday, calling his failure to appear before the panel "outrageous."
"De la Torre used hospitals as his personal piggy bank and lived in luxury while gutting Steward hospitals," the senators said. "De la Torre is as cowardly as he is cruel. He owes the public and Congress answers for his appalling greed—and de la Torre must be held in contempt if he fails to appear before the committee."
De la Torre's attorney, Alexander Merton, lashed out against the Senate subpoena Wednesday in a letter
accusing HELP committee members of being "determined to turn the hearing into a pseudo-criminal proceeding in which they use the time, not to gather facts, but to convict Dr. de la Torre in the eyes of public opinion."
The same day the HELP Committee voted to probe Steward and subpoena de la Torre, Markey and Rep. Pramila Jayapal (D-Wash.), who chairs the Congressional Progressive Caucus, introduced the Health Over Wealth Act, which would increase the powers of the U.S. Department of Health and Human Services to block private equity deals in the healthcare industry.
Last month, Markey and Warren expressed concerns over the proposed $245 million sale of Steward Health Care's nationwide physician network to a private equity firm.
"Two Massachusetts hospitals are closing and communities are suffering because of private equity's looting of Steward," said Warren. "Selling Massachusetts doctors to another private equity firm could be a disaster. We can't make the same mistake again. Regulators must scrutinize this deal."
"We already know how devastating the Biden asylum shutdown is and it should be ended immediately rather than expanded," said one campaigner.
Two months after U.S. President Joe Biden signed an executive order barring migrants who cross the southern border without authorization from receiving asylum, senior administration officials are reportedly considering making the policy—which was meant to be temporary—much harder to lift.
Biden's June directive invoked Section 212(f) of the Immigration and Nationality Act—previously used by the administration of former Republican President Donald Trump, the Republican presidential nominee, to deny migrants asylum—"when the southern border is overwhelmed."
The policy shuts down asylum requests when the average number of daily migrant encounters between ports of entry hits 2,500. Border entry points may allow migrants to seek asylum when the seven-day average dips below 1,500.
"The move to make the asylum restrictions semi-permanent would effectively rewrite U.S. asylum law."
The changes under consideration would reopen entry only after the seven-day average for migrant encounters remains under 1,500 for 28 days.
"The asylum ban itself is arbitrary and duplicative. It has no relation at all to a person's asylum claims, meaning even a person with an extraordinarily strong claim would be denied for crossing at a time when many others, potentially thousands of miles away, are doing the same," Aaron Reichlin-Melnick, a senior fellow at the American Immigration Council, an advocacy group, said Wednesday.
"There is no doubt that we need to rethink the current asylum system, which would include giving it an infusion of resources so that people don't have to wait five years for a decision," he continued. "But cutting it off to whole swathes of people for reasons unrelated to their claims isn't a fix."
"The move to make the asylum restrictions semi-permanent would effectively rewrite U.S. asylum law, which since it was created in 1980 has mandated that all people on U.S. soil be permitted to request humanitarian protections, regardless of how they got here," Reichlin-Melnick added.
U.S. officials say Biden's order has resulted in a dramatic decrease in asylum claims.
According toThe New York Times:
Since Mr. Biden's executive order went into effect, the number of arrests at the southern border has dropped precipitously. In June, more than 83,000 arrests were made, then in July the number went down further to just over 56,000 arrests. Arrests in August ticked up to 58,000, according to a homeland security official, but those figures still pale in comparison to the record figures in December when around 250,000 migrants crossed.
Migrant rights advocates condemned the new rules. Less than two weeks after Biden issued the order, a coalition of rights groups led by the American Civil Liberties Union sued the administration, arguing the policy was illegal and endangered migrant lives.
"We already know how devastating the Biden asylum shutdown is and it should be ended immediately rather than expanded," Amy Fischer, Amnesty International USA's director of refugee and migrants rights, said Wednesday on social media. "High numbers of people being denied their human rights is not a sign of success, it's a disgrace."