March, 20 2020, 12:00am EDT
The No-One-in-the-GOP CARES Act Bails Out Airlines, Does Little for Public Health or Workers' Jobs
WASHINGTON
Experts from the Center for Economic and Policy Research (CEPR) critiqued the proposed CARE Act introduced last night to mitigate the economic and human impact of the pandemic. The full text of the critique is below. The authors will be available for comment.
"The (no-one-in-the-GOP) CARES Act introduced last night by Senate Republicans is a stunning indictment of the Republican Party. Its failure to propose measures to protect the health of Americans and prevent the historic wave of joblessness that will soon crest if nothing is done to hold it back demonstrates a willful ignorance of how the economy works and the steps needed to protect workers and businesses.
"Again, the CARES Act demonstrates the Republican party's complete disdain for the health or economic well-being of American workers. It provides no additional money beyond what is in the recently passed Families First Act to enable Medicaid to deal with an explosion of poor people who fall ill with COVID-19, the disease caused by the novel coronavirus. While insurance, Medicare, or Medicaid will cover the full costs of diagnostic testing for covered individuals, the government will not cover out-of-pocket costs of care for insured and uninsured individuals who have contracted the disease. This is a huge public health threat as many cases will go undiagnosed, and many who are sick will forego treatment.
"No provisions in the Senate bill fix the huge holes in emergency paid leave benefits in the Families First Act. That bill provided 10 days of paid sick leave for a worker made ill by the coronavirus or to care for someone who was quarantined or sickened by it. There is no paid family medical leave for workers who contract COVID-19 or to care for a family member who is quarantined or contracts the disease. Only parents who have to stay home because their children's school has closed are eligible for 12 weeks of leave, two weeks unpaid and 10 weeks at two-thirds pay up to a maximum of $200 a day. Employers with 500 or more employees are excluded from both measures, and those with less than 50 employees can request a hardship waiver from the Department of Labor. Workers at Walmart, Target, Amazon, Whole Foods, McDonald's, Dunkin Donuts, and many other large employers are left out of emergency paid sick days and paid leave, while workers at small retail and restaurant establishments may work for employers who get a waiver.
"No funds are allocated in the CARES Act to increase hospital beds, allow the federal government to order and pay for ventilators, or otherwise improve health care infrastructure apart from an expansion of telehealth. There is no provision for a public option for the Internet that would let kids in poor neighborhoods and rural areas access educational instruction from home. So much more needs to be done to protect the health and well-being of families.
"Beyond its cavalier approach to public health, the CARES Act does not address the fallout from COVID-19 on the economy. First and foremost, Congress must adopt measures to keep workers attached to their jobs. The highest priority is for the federal government to subsidize employers' payroll costs so large and small businesses don't have to lay off workers. Denmark is paying 75 percent of payroll to employers that retain workers, the United Kingdom is paying 80 percent of wages to keep people working, and Canada is providing a wage subsidy to employers to keep workers on their payrolls. The US, where delay by the Trump administration in fighting the novel coronavirus has led to expectations of massive dislocations, should do no less. In work sharing arrangements, workers face reduced hours rather than layoff and the state unemployment insurance systems pay unemployment benefits for the lost hours. This helps keep workers attached to their jobs. Maintaining employment through the health emergency will pave the way for a rapid recovery once the crisis is past, as firms will be spared the time and expense of recruiting and training workers and can quickly ramp up production.
"Instead, Senate Republicans offer measures for businesses and workers that are little more than a bad joke. Checks to Americans -- at best, a stopgap measure to see the most vulnerable workers and families through until meaningful legislation can be passed -- turn out to exclude those who need financial assistance the most. People who were jobless in 2018 or earned less than $2,500 won't get a check. Those with earnings of $2,500 or more get a check for what they paid in income taxes in 2018, with no one getting less than $600 or more than $1,200 ($2,400 for a two-adult household). These folks will also get $500 for each child. Households with the lowest incomes get little to nothing from the Republican proposal.
"State unemployment insurance (UI) funds are short-changed in the CARES Act and receive no help from the federal government beyond the $1 billion already included in the Families First Act to help meet the rise in jobless claims due to the coronavirus. This is clearly inadequate. It provides no funds to increase the UI benefit to meet minimum family needs or to extend the length of payments if steps to preserve jobs are not undertaken, and unemployment remains stubbornly high for a protracted period.
"Sales tax and other revenue sources that states and municipalities rely on are drying up as people shelter at home and spend little on hotels, restaurants, or retail establishments. Without a massive infusion of funds from the federal government, reduced revenues mean states and municipalities will have to cut needed services and lay off workers to balance their budgets at a time when the need for these services is rising sharply. It is essential to get large-scale assistance to state and local governments immediately to stave off austerity measures that will worsen the economic contraction. The federal government should provide funds at a minimum equal to 10 percent of the budgets of these jurisdictions to enable them to maintain services. A back-of-the-envelope calculation suggests they will need an immediate infusion of about $250 billion.
"The CARES Act provides no funding for state and local governments beyond what is in the Families First Act. That legislation provides $1 billion to meet increased UI claims due to the coronavirus, and $1 billion in food support for kids who rely on school lunches, nursing mothers through the women, infant and child program, and expanded demand for SNAP (food stamps). The 6.2 percent increase in payments to state Medicaid programs to cover free diagnostic testing for the Medicaid-eligible population is much more substantial and may be as high as $65 billion. This leaves a substantial gap in state and municipal budgets of $183 billion that must be filled. This can initially take the form of no-interest loans from the Federal Reserve Board. But the federal government will ultimately have to make up the shortfall in state tax revenue for the duration of the crisis.
"As for relief for small employers, the CARES Act makes businesses with fewer than 500 employees eligible for loans that can be used for payroll and health insurance benefits as well as for mortgages/rent, utilities and debt obligations. With little certainty about where the economy will be when these loans need to be repaid, take-up is likely to be problematic. Moreover, business owners who do take loans may prioritize capital -- mortgages/rent, utilities, and debt repayment -- over workers when thinking about how to protect their investments in their businesses. The proposed legislation fails to preserve jobs at small and medium-sized enterprises.
"The bill also proposes a $50 billion bailout for passenger airlines and $9 billion for cargo airlines, along with $150 billion for other still-to-be-determined hard-hit industries. That's $209 billion to bailout big business. While protecting the wages and benefits of workers in these industries is a high priority, there is no public interest in protecting shareholders or overpaid CEOs. If these businesses are unable to survive through this crisis, the remedy is prepackaged bankruptcies, along the lines of the auto industry bailout in 2009. The shareholders will lose their stake, creditors will take a haircut, and workers will be largely protected.
"Under no circumstances should Congress give the Trump administration control of any discretionary bailout fund. Trump has explicitly shown that he can and will use any powers at his disposal to advance his political campaign and family business interests. It would be incredibly irresponsible to allow Trump to have more public funds to abuse in this way.
"The GOP proposed CARE Act fails to protect the health or jobs of working families. Americans deserve speedy enactment of meaningful legislation that rises to meet the extraordinary crisis we face."
The Center for Economic and Policy Research (CEPR) was established in 1999 to promote democratic debate on the most important economic and social issues that affect people's lives. In order for citizens to effectively exercise their voices in a democracy, they should be informed about the problems and choices that they face. CEPR is committed to presenting issues in an accurate and understandable manner, so that the public is better prepared to choose among the various policy options.
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Liberal Justices Grill Attorney in Supreme Court Case on Criminalizing Homelessness
"Where are they supposed to sleep? Are they supposed to kill themselves not sleeping?" asked Justice Sonia Sotomayor of unhoused people who have been barred from sleeping outside in Grants Pass, Oregon.
Apr 22, 2024
As housing rights advocates and people who have been unhoused themselves rallied outside the U.S. Supreme Court Monday to demand an end to the criminalization of homelessness, the court's three liberal justices demanded to know how the city of Grants Pass, Oregon can penalize residents who take part in an act necessary for human survival—sleeping—just because they are forced to do so outside.
After an attorney representing Grants Pass, Thomas Evangelis, described sleeping in public as a form of "conduct," Justice Elena Kagan disputed the claim and reminded Evangelis that he was presenting a legal argument in favor of policing "a biological necessity."
"Presumably you would not think that it's okay to criminalize breathing in public," said Kagan, who was appointed by former President Barack Obama. "And for a homeless person who has no place to go, sleeping in public is kind of like breathing in public."
Evangelis is representing the city in Grants Pass v. Johnson, a case stemming from a 2018 lawsuit filed by an unhoused woman, Debra Blake, who accused officials of "trying to run homeless people out of town."
"On any given day or night, hundreds of individuals in Grants Pass, Oregon, are forced to live outside due to the lack of emergency shelter and affordable housing in their community," the original lawsuit stated.
The city has passed ordinances banning people from sleeping or camping on publicly owned property, with violators subject to fines of hundreds of dollars.
A lower court ruled that the city's bans were in violation of the Eighth Amendment, which bans excessive fines and cruel and unusual punishment, "when there was no other place in the city for [unhoused persons] to go."
The city's only homeless shelter, Gospel Rescue Mission, has 138 beds, and the plaintiffs have said there is frequently no room for many of the hundreds of unhoused people in Grants Pass.
On Monday, Justice Sonia Sotomayor appeared inclined to agree with the plaintiff in the original lawsuit who claimed Grants Pass ultimately wanted unhoused people to leave the city. She pointed to comments city officials have made about their aim "to remove every homeless person and give them no public space."
"Wasn't Grant Pass's first-attempt policy choice to put people, homeless people, on buses so they would leave the city?" she asked Deputy United States Solicitor General Edwin Kneedler. "Police officers would buy them a bus ticket, send them out of the city. But that didn't work because people came back because it had been their home... So then they passed this law, and didn't the City Council president say, 'Our intent is to make it so uncomfortable here that they'll move down the road,' meaning out of town, correct?"
Kneedler acknowledged that the statement was made at a City Council meeting.
"Not only is [sleeping] something that everybody engages in, but it's something that everybody has to engage in to be alive," Kneedler said in response to a question from Justice Ketanji Brown Jackson. "So if you can't sleep, you can't live, and therefore by prohibiting sleeping, the city is basically saying you cannot live in Grants Pass."
The city argued in its case that prohibiting local officials from regulating and banning homeless encampments in public places would cause more people to sleep outdoors—an argument U.S. Rep. Cori Bush (D-Mo.), speaking at the rally outside the court, said exposed "how absurd our country's approach to the unhoused crisis is."
"Instead of enacting real solutions to the unhoused crisis, Grants Pass has taken this case all the way to the Supreme Court and is calling for the court to overturn a landmark decision from 1962 that says the government cannot punish people based on status. So we're here today to demand the Supreme Court support humanity, adhere to constitutional precedent, and protect the rights of our unhoused neighbors," said Bush, who has spoken about previously being unhoused herself and sponsored related legislation.
"A person should never be punished for not being able to afford rent or a home," Bush added. "A person should never be punished for sleeping outside or in a car when they have no other place to go. A person should never be punished for simply existing. We need universal housing, universal housing vouchers, and a permanent federal rental assistance program—these are all tangible steps that would actually solve this crisis."
The case arrived at the high court four months after the U.S. Department of Housing and Urban Development released annual data showing a 12% increase in homelessness last year from 2022, largely due to a sharp rise in the number of people who were without housing in 2023 for the first time in their lives. Experts often argue the federal figures are an undercount.
On Monday, the Eviction Lab at Princeton University released new data showing that in 25 of the 32 cities it analyzed, an increase in eviction filings was seen between 2022-23.
"The country lacks millions of units of affordable rental housing, and in those units that are available, a record number of tenants are paying well beyond their means," reported the Eviction Lab. "High interest rates prevent younger, middle-class renters from buying homes, which in turn increases demand in the rental sector."
Considering the dynamics contributing to a growing unhoused population, Sotomayor asked of people facing homelessness in Grants Pass: "Where are they supposed to sleep? Are they supposed to kill themselves not sleeping?"
The conservatives on the Supreme Court, who make up the majority, signaled a willingness to rule in favor of the city, with Chief Justice John Roberts acknowledging that the case is centered on "a policy problem because the solution, of course, is to build shelter to provide shelter for those who are otherwise harmless," but noting that "municipalities have competing priorities."
The answer to the questions being asked at the Supreme Court Monday "is not complicated," said Rep. Delia Ramirez (D-Ill.). "Unhoused people need housing. Housing is the answer. Housing NOT Handcuffs."
Ramirez repeated a phrase that was seen on many signs held by rally attendees, who included the national grassroots economic justice group VOCAL and organizers with the Southern Poverty Law Center (SPLC) and the National Homelessness Law Center (NHLC).
"What the Supreme Court decides in this case will say a lot about what kind of country we are and what country we want to be," said Efrén Olivares, director of strategic litigation and advocacy at the SPLC. "We demand a future without policies like the one before the court and a government that instead works to ensure that the right to affordable housing is guaranteed for all."
A ruling in the case is expected in June.
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Green Groups Cheer $7 Billion in 'Solar for All' Grants
"Solar for All is exactly the type of investment the country needs to re-imagine our clean energy future," said one campaigner. "It's great to see President Biden jumpstart this landmark program."
Apr 22, 2024
Climate action advocates on Monday celebrated the Biden administration's Earth Day announcement that it is distributing $7 billion in Solar for All grants "to develop long-lasting solar programs that enable low-income and disadvantaged communities to deploy and benefit from distributed residential solar, lowering energy costs for families, creating good-quality jobs in communities that have been left behind, advancing environmental justice, and tackling climate change."
The U.S. Environmental Protection Agency estimates that the awards—which are going to 60 applicants, including states, territories, tribal governments, municipalities, and nonprofits—will fund solar projects that positively impact over 900,000 households nationwide while reducing 30 million metric tons of carbon dioxide equivalent emissions. The grant competition was made possible by the Inflation Reduction Act, which President Joe Biden signed in August 2022.
"The United States can and must lead the world in transforming our energy systems away from fossil fuels," said Sen. Bernie Sanders (I-Vt.), who joined Biden on Monday to announce the solar grants—$62.45 million in funding will go to his state—and the Vermont Climate Corps.
"The Solar for All program—that I successfully championed—will not only combat the existential threat of climate change by making solar energy available to working class families, it will also substantially lower the electric bills of Americans and create thousands of good-paying jobs," noted Sanders. "This is a win for the environment, a win for consumers, and a win for the economy."
The Mandan, Hidatsa, and Arikara Nation and Indigenized Energy will get over $135 million to work on solar projects in tribal communities across five states.
Cody Two Bears, executive director of Indigenized Energy, said that the award "will serve as a catalyst for tribes and energy justice communities like ours who are leading the way in building our own clean energy systems within our lands."
"This is a once-in-a-generation award that will begin to transform how tribes achieve energy sovereignty," Two Bears added. "The shift from extractive energy to regenerative energy systems will be the legacy we leave for our future generations."
Two massive victories today! @POTUS announces the #AmericanClimateCorps, putting young people to work in good jobs combating climate change AND the Solar for All program w/ $7B for solar in disadvantaged communities. \n\nThis is the FDR-level ambition we\u2019ve been calling for! \ud83d\udc4f\ud83c\udf89— (@)
Margie Alt, director of Climate Action Campaign (CAC), a coalition of a dozen national groups, highlighted both the emissions cuts and that in low-income communities across the United States, "families will see savings—approximately $400 per household."
"The president also announced the launch of the ClimateCorps.gov—a new website featuring 2,000 new job listings in climate and conservation," she pointed out. After years of pressure from campaigners, Biden in September announced the American Climate Corps, which was inspired by former President Franklin D. Roosevelt's Civilian Conservation Corps.
"We're thankful to the Biden administration for making these priorities a reality," said Alt. "While Republicans in Congress make every attempt to roll back climate progress, climate champions in Congress and throughout the administration are standing strong in their commitment to America's clean energy future; a future where all Americans have access to clean energy, good-paying jobs in the clean energy industry, and see direct savings from this clean energy boom."
I\u2019ve pushed for a Climate Corps to create jobs while protecting our health, planet, and future\u2014so it\u2019s wonderful to see @POTUS marking Earth Day this year with major investments in both the American Climate Corps and @EPA\u2019s Solar for All program! We need bold action on climate.— (@)
Paula GarcĂa, senior energy analyst and energy justice lead at the Union of Concerned Scientists (UCS), which is part of the CAC coalition, also applauded the awards, saying that "the Solar for All grant program is a key part of the larger suite of clean energy investments advanced by President Biden and Congress that will help the United States combat climate change."
"Directing investments toward low-income and disadvantaged communities is imperative to ensuring a just transition to clean energy," GarcĂa stressed. "If we don't prioritize these populations, we risk exacerbating historical injustices and piling additional burdens on those who have been disproportionately affected by environmental harm."
"The announcement of these grants is an important step forward," she continued. "While UCS research has shown clearly that more ambition is needed to meet climate goals, phase out fossil fuels, and advance environmental justice, the Solar for All program will help create much needed momentum toward ensuring the many benefits of a decarbonized economy, including public health protections, reduced consumer energy costs, and increased energy resilience, are reaching everyone."
.@POTUS just announced $7b to fund residential solar projects. It will: \n\u26a1\ufe0fPower nearly a million low-income households\n\ud83d\udcb5 Save each household in the program $400 a year\n\ud83d\udc77\ud83c\udffe Create 200,000 jobs\n\nThis program is a key step towards the #GreenNewDeal.\n\nhttps://t.co/9LxOnz13FI— (@)
Jean Su, who directs the Center for Biological Diversity's Energy Justice program, similarly said that "Solar for All is exactly the type of investment the country needs to re-imagine our clean energy future."
"Broad community-based solar is our brightest hope for protecting people and our climate from the scourge of fossil fuels," she added. "These targeted investments mean low-income families get clean energy that is affordable, resilient, and protects our ecosystems. It's great to see President Biden jumpstart this landmark program. I look forward to its expansion, along with steps to curb fossil fuels with a climate emergency declaration."
Her group and the youth-led Sunrise Movement are among the organizations that have long demanded a climate emergency declaration from Biden, who is reportedly reconsidering it in the wake of the hottest year in human history and as he prepares for a November rematch against former Republican President Donald Trump—whose election could mean a surge in planet-heating pollution, according to an analysis published last month.
Emphasizing the difference between the Democratic Party and the GOP, climate reporter David Roberts called the solar grants "amazing stuff that would not happen if Republicans were in charge" and said, "Thanks Biden!"
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West Bank Pogrom 'Underscores Urgent Need to Dismantle Apartheid': Amnesty
"The appalling spike in settler violence against Palestinians in recent days is part of a decadeslong state-backed campaign to dispossess, displace, and oppress Palestinians in the occupied West Bank," said one Amnesty official.
Apr 22, 2024
Amnesty International said Monday that the ongoing surge in deadly violence by Israeli settlers and soldiers in the West Bank "underscores [the] urgent need to dismantle apartheid" in the illegally occupied Palestinian territories.
For more than a week now, Israeli settlers have been attacking West Bank Palestinians in towns and villages including Al-Mughayir, Duma, Deir Dibwan, Beitin, and Aqraba, killing at least four people including a child; wounding dozens of others; and destroying homes, vehicles, and other property.
Israel Defense Forces (IDF) troops have either stood and watched or participated in the settler attacks, which the Israeli human rights group B'Tselem and others are calling a "pogrom."
Amnesty said the "alarming spike in violence by Israeli settlers against Palestinians across the occupied West Bank in recent days highlights the urgent need to dismantle illegal settlements, end Israel's occupation of the occupied Palestinian territories, and its longstanding system of apartheid.
"The appalling spike in settler violence against Palestinians in recent days is part of a decadeslong state-backed campaign to dispossess, displace, and oppress Palestinians in the occupied West Bank, including East Jerusalem, under Israel's system of apartheid," Amnesty Middle East and North Africa regional director Heba Morayef said. "Israeli forces have a track record of enabling settler violence and it is outrageous that once again Israeli forces stood by and in some cases took part in these brutal attacks."
"Establishing Israeli settlements in the occupied Palestinian territories flagrantly violates international law and constitutes a war crime," Morayef added. "Violence is integral to the establishment and expansion of these settlements and to sustaining apartheid. It's time for the world to recognize this and pressure Israeli authorities to abide by international law by immediately halting settlement expansion and removing all existing settlements."
The latest wave of settler violence was sparked by the disappearance of Binyamin Achimair, a 14-year-old Israeli from the illegal settler outpost of Mal'achei Hashalom who went missing on April 12 while herding sheep near the village of Al-Mughayir east of Ramallah. As Israelis searched for Achimair, settlers began attacking Al-Mughayir's residents and property.
Achimair's body was found the following day. Israeli officials said he was killed in a "terrorist attack." However, no Palestinian resistance group has claimed responsibility for the incident. A 21-year-old Palestinian man was arrested Monday in alleged connection with the boy's death.
Late Friday, IDF troops and armored vehicles surrounded the Nur Shams refugee camp east of Tulkarem and besieged the community of more than 6,000 Palestinians during a 50-hour raid in which residents were shot, homes were destroyed, and scores of people were arrested.
By Saturday, IDF soldiers had killed 14 people in the camp, including at least one child. More than 40 other Palestinians were wounded.
"I saw one of my relatives, Jihad Zandiq, put his hands in the air to the soldiers but then they shot him anyway from point-blank range and killed him. Half of his skull exploded," eyewitness Mahmoud Qazmouz toldMiddle East Eye on Sunday.
Palestinian officials said Israeli troops attacked first responders attempting to rescue victims, including a volunteer paramedic who was shot in the leg.
Meanwhile, a funeral was held Sunday for Mohammed Awad Allah Musa, a 50-year-old Palestinian Red Crescent Society volunteer paramedic who was shot dead Saturday by Israeli settler-colonists while trying to reach Palestinians wounded by rampaging settlers in the town of Sa'wiyah south of Nablus.
The Nur Shams raid and ongoing settler attacks came as the U.S. State Department on Friday announced new sanctions targeting far-right Israeli settler leaders including Ben Zion Gopstein, the founder and head of the Jewish supremacist group Lehava.
The Biden administration—which backs Israel with billions of dollars in military aid and diplomatic support—is also reportedly considering imposing sanctions on the IDF's Netzah Yehuda battalion over war crimes committed in the West Bank before the current Israeli war on Gaza, including the January 2022 death of Omar Assad, a 78-year-old Palestinian American man.
Responding to the prospect of the first-ever U.S. sanctions on his country's military, far-right Israeli Prime Minister Benjamin Netanyahu said Sunday that "I will fight it with all my strength."
According to the Palestinian Health Ministry, at least 485 Palestinians have been killed by Israeli soldiers and settlers in the West Bank since October 7, when Gaza-based militants attacked Israel. More than 1,100 people were killed in the attack—some by responding Israeli forces—and over 240 Israelis and others were kidnapped by Hamas and other militants.
Israel's 199-day retaliatory assault on Gaza—which critics including Israelis have called genocidal—has killed at least 34,151 Palestinians, mostly women and children, while wounding over 77,000 others, according to Palestinian and international officials. At least 11,000 Gazans are missing, presumed dead and buried beneath the rubble of the hundreds of thousands of homes and other buildings that have been destroyed or damaged by Israeli bombardment. Around 90% of Gaza's 2.3 million people have been forcibly displaced, and Israel's continued obstruction of humanitarian aid delivery has fueled a burgeoning famine in which dozens of people, mostly children, have perished.
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