Category Archives: Industry Jobs Oil Economics

Obama and DHS Fully Compromised our Security

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Getting into America just got easier….

Easier? Yes and while no one is talking about it but I got a tip from an insider. Did you hear the announcement by Jeh Johnson? This program already exists.

It might be a lot easier – and faster – for international travelers to fly into the United States soon.

The U.S. Department of Homeland Security said Friday it will seek approval to put pre-clearance centers at 10 airports in nine foreign countries.

If negotiations are successful, those centers will allow travelers to go through U.S. Customs and Border Protection clearance before they get on their airplane headed to the United States. Once landed, they would not have to be rescreened.

Here’s what Homeland Security Secretary Jeh Johnson said in the DHS announcement:

“A significant homeland security priority of mine is building more preclearance capacity at airports overseas. We have this now in 15 airports. I am pleased that we are seeking negotiations with 10 new airports in nine countries.

“I want to take every opportunity we have to push our homeland security out beyond our borders so that we are not defending the homeland from the one-yard line. Preclearance is a win-win for the traveling public. It provides aviation and homeland security, and it reduces wait times upon arrival at the busiest U.S. airports.”

The U.S. will enter talks with officials in Belgium, the Netherlands, Norway, Spain, Sweden, Turkey and the United Kingdom in Europe, as well as Japan and the Dominican Republic.

The 10 airports would be Brussels Airport, Belgium; Punta Cana Airport, Dominican Republic; Narita International Airport, Japan; Amsterdam Airport Schipol, Netherlands; Oslo Airport, Norway; Madrid-Barajas Airport, Spain; Stockholm Arlanda Airport, Sweden; Istanbul Ataturk Airport, Turkey; and London Heathrow Airport and Manchester Airport in the United Kingdom.

“These countries represent some of the busiest last points of departure to the United States – in 2014, nearly 20 million passengers traveled from these ten airports to the U.S.,” DHS said.

For travelers to Dallas/Fort Worth International Airport, the pre-clearance would be available on flights from London Heathrow (American Airlines and British Airways); Amsterdam (KLM Royal Dutch Airlines); Tokyo Narita (American); Madrid-Barajas (American); and Punta Cana (Sun Country Airlines).

Officials from trade group Airlines for American and from American and JetBlue Airways quickly praised the DHS effort.

“U.S. airlines drive $1.5 trillion in economic activity, and by improving the passenger experience for visitors or those returning to the United States, while improving security, we can build on that,” A4A President and chief executive Nick Calio said. “The addition of these pre-clearance airports will help increase safety and security while improving the passenger experience with shorter wait times and quicker connections on arrival in the U.S.”

“Expanding air preclearance is a tremendous step forward for improving the overall travel experience for our customers and welcoming more visitors to the United States,” AA chief operating officer Robert Isom said. “Preclearance eases the congestion at our U.S. gateway airports and ensures our customers get to their destinations faster.”

In addition to the three airports served by American from its D/FW hub, the pre-clearance centers would go to four other airports served by American out of other U.S. airports – Manchester, Amsterdam, Punta Cana and Brussels.

JetBlue passengers would benefit from the Punta Cana pre-clearance center.

“We believe that in addition to the need for an increase in CBP staffing at key U.S. gateway airports, more preclearance facilities like the ones being proposed around the globe are an important tool to enhance our nation’s security and reduce the number of travelers clearing Customs stateside — and that ultimately reduces wait times for travelers on all airlines,” JetBlue president and CEO Robin Hayes said.

United also thanked DHS for the proposal.

“We have worked closely with U.S. Customs and Border Protection and support developments that provide more convenience for our customers,” the carrier said in a statement. “We thank Secretary Johnson and his team at the Department of Homeland Security and CBP for their engagement with United and the airline industry, and we look forward to partnering with them on this initiative to facilitate travel and reduce wait times.”

U.S. Travel Association president Roger Dow issued this statement:

“When the experience for the international traveler improves, the U.S. economy improves, and again this administration deserves praise for pressing ahead with innovative policies that simultaneously bolster national security and streamline the customs entry process.

“Customs preclearance is a program that has proven itself effective, and extending it to these key travel markets will undoubtedly boost visitation. As a bonus, adding preclearance facilities will further relieve pressure on the customs entry process here on our shores, improving the system generally.

“Evolving policies such as these are a big reason why we surpassed a record 74 million international visitors to the U.S. last year, and are well on pace to reach 100 million visitors annually by 2021. With overseas visitors spending an average of $4,300 per person, per trip, that’s just good economic sense.”

Customs and Border Protection currently staffs 15 centers in six countries: Dublin and Shannon in Ireland; Aruba; Freeport and Nassau in the Bahamas; Bermuda; Calgary, Toronto, Edmonton, Halifax, Montreal, Ottawa, Vancouver and Winnipeg in Canada; and Abu Dhabi in the United Arab Emirates.

This is a ‘preclearance system’.  Please read the full description here.

In 2013, there was a Customs and Border Patrol hearing on this matter in the House of Representatives. Essentially, we cant control security within our borders now we are extending them globally and relying on foreign governments and security services? That did not work out at all in Benghazi. Here is the testimony and it is a must read.

 

 

More Govt Fleecing in the Billions

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Not only is Obamacare as a law but with implementation and application a failure, but money associated with it, has become a financial Armageddon. Those who have recently had any medical experience with insurance and coverage have determined the affordability is way beyond what was told and sold to us. Now, add a double whammy to the problem, more taxpayer dollars lost.

Remember how much the cost of the Obamcare website cost to launch?

The website Digital Trends reported on Thursday that, based on government documents displaying contracts awarded to CGI Federal Inc., the Canadian-based company which in 2011 won a $93 million contract to build the federal healthcare exchange, the cost of HealthCare.gov was about at $634 million. Remember when the White House said and it is still on their website?

Q: Will my premiums / costs go up because of health reform?

A: No.

According to the independent and non-partisan Congressional Budget Office, people who get coverage through their employer today will likely see lower premiums.

Reform will lower premiums by reducing administrative costs, increasing competition between insurance companies and creating a larger pool of insured Americans.

And remember, the cost of doing nothing is high. In ten years, health care spending for each employee at an average big company will be $28,530. Then remember when the White House backtracked on the cost of Obamacare was going to go up? Check that here.

It just got much worse.

 

CMS’s internal controls (i.e., processes in place to prevent or detect any possible substantial errors) did not effectively ensure the accuracy of nearly $2.8 billion in aggregate financial assistance payments made to insurance companies under the Affordable Care Act during the first 4 months that these payments were made.

 

Feds Can’t Verify $2.8 Billion in Obamacare Subsidies

Inspector General report is found here.

CMS does not know if subsidies went to ‘confirmed enrollees, in the correct amounts’

The federal government cannot verify nearly $3 billion in subsidies distributed through Obamacare, putting significant taxpayer funding “at risk,” according to a new audit report.

The Department of Health and Human Services (HHS) Office of Inspector General (OIG) released an audit Tuesday finding that the agency did not have an internal system to ensure that subsidies went to the right enrollees, or in the correct amounts.

“[The Centers for Medicare and Medicaid Services] CMS’s internal controls did not effectively ensure the accuracy of nearly $2.8 billion in aggregate financial assistance payments made to insurance companies under the Affordable Care Act during the first four months that these payments were made,” the OIG said.

“CMS’s system of internal controls could not ensure that CMS made correct financial assistance payments,” they said.

The OIG reviewed subsidies paid to insurance companies between January and April 2014. The audit found that CMS did not have a process to “prevent or detect any possible substantial errors” in subsidy payments.

The OIG said the agency did not have a system to “ensure that financial assistance payments were made on behalf of confirmed enrollees and in the correct amounts.”

In addition, CMS relied too heavily on data from health insurance companies and had no system for state-based exchanges to “submit enrollee eligibility data for financial assistance payments.”

The government does “not plan to perform a timely reconciliation” of the $2.8 billion in subsidies.

The audit was released as the country awaits a Supreme Court ruling that could make all federal subsidies invalid, since the majority of states did not set up their own health insurance exchange.

Eligible individuals enrolled in Obamacare can receive different types of subsidies, including advance premium tax credits (APTCs) and advance cost-sharing reductions (CSR), which can be used towards premiums or out-of-pocket health care costs.

According to the OIG, the government still does not have a complete system for approving subsidies distributed though Obamacare. CMS used an “interim process” to distribute subsidies for 2014, and is planning a “permanent process” to be finished by late 2015. The final system is supposed to approve enrollment and payment data “on an enrollee-by-enrollee basis.”

“Without effective internal controls for ensuring that advance CSR payments are reconciled in a timely manner, a significant amount of Federal funds are at risk,” the OIG said.

The report noted that multiple agencies within CMS oversee subsidy payments, including the Center for Consumer Information and Insurance Oversight (CCIIO), the Office of Financial Management (OFM), the Office of the Actuary (OACT), and the Office of Information Systems (OIS).

In response to the audit, CMS said they issued a regulation to change their accounting methods.“CMS takes the stewardship of tax dollars seriously and implemented a series of payment and process controls to assist in making manual financial assistance payments accurately to issuers,” they said.

 

The ‘Who’ Lobbying for the ObamaTrade Deal

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Hillary cant play the middle on the Trans-Pacific Partnership talks and deal, as John Podesta left the White House to work for Hillary’s campaign and yet he is a paid lobbyist for advancing the deal.

Bipartisan Agreement: Foreign Governments Pay Former Senate Leaders to Sell TPP

In a scene all too typical in present day Washington, the culmination of Trans-Pacific Partnership negotiations, along with the push for passage of related legislation such as Trade Promotion Authority (or Fast Track) have set off a lobbying frenzy.

While liberal organizations and members of Congress deride the TPP as the biggest boondoggle since NAFTA and President Obama defends it as “the most progressive trade treaty ever,” the influence peddlers who populate K Street see opportunity.

Policy makers aren’t simply facing a lobbying barrage from the typical slate of domestic interest groups. Foreign governments are running sophisticated operations to influence Congress and gather intelligence in Washington as the negotiations proceed.

This is now “par for the course,” according to Lydia Dennett, an investigator at the Project on Government Oversight [POGO], a nonprofit watchdog. “If a certain country wants trade legislation that will be beneficial to them they can hire an American lobbyist to get them the access the need.”

Leading the way among TPP nations seeking to sway American policy makers is Japan, which signed up former Democratic Leader Tom Daschle’s firm as well as well-connected public relations firm DCI.

We won’t know the full extent of Mr. Daschle or DCI’s work on behalf of Japan until their next series of Foreign Agent Registration Act [FARA] disclosure reports are filed with the Department of Justice in a few months.

One concern among good government advocates is that a lack of timely FARA reporting could obfuscate some of the lobbying going on at the behest of foreign clients. A 2014 report by POGO found that 46 percent of the reports were filed late. Enforcement is rare for these relatively minor infractions and the DOJ’s website states it “seeks to obtain voluntary compliance with the statute.” Ms. Dennett called on Congress to add civil penalties to the FARA Act that to encourage more aggressive enforcement of its statutes.

Common Cause, an open government advocacy organization, sounded similar alarms. “Our concern is in ensuring that the process is fully transparent and that the laws barring foreign nationals from contributing, donating or spending funds in connection with any federal, state, or local election in the United States, either directly or indirectly, are fully observed,” said Dale Eisman, the organization’s communications director.

While we don’t yet know the extent of Mr. Daschle or DCI’s work, filings from other firms working on behalf of Japan, paint a picture of the country’s efforts.

For much of their direct lobbying Japan relies on Akin, Gump, Strauss Hauer & Feld, whom they paid $388,000 during the most recent six-month reporting period. In that time the firm’s lobbyists contacted Congressional offices at least sixty times and engaged in at least eight exchanges with the United States Trade Representative’s office specifically focused on the TPP, TPA, and related issues. Seventeen of those contacts were with one particular staffer, Kaitlin Sighinolfi, a trade policy advisor for Republican Louisiana Congressman Charles Boustany.

Mr. Boustany’s office did not respond to a request for comment on these contacts, but they are likely related to the desire of Louisiana farmers to lower tariff barriers, enabling them to export more of goods to Japan.

Japan’s team also includes Hogan Lovells, which was paid $216,895.29 during the last six-month reporting period. The firm’s FARA filing states that the law firm “advises and represents the foreign principal [Japan] on general diplomatic representation, laws, regulations, policies, proposed congressional measures, treaties and other international agreements, and actions by the U.S. Congress, Executive Branch, U.S. Government agencies and certain state and local governments.”

Prior to recruiting Mr. Daschle, the highest profile lobbyist on Japan’s team was Tony Podesta, brother of Hillary Clinton’s campaign chairman John Podesta. His firm, The Podesta Group, receives $15,000 per month to counsel Japan on U.S. policy.

Another TPP country, Vietnam, received more hands-on service from the Podesta Group—paying them $180,000 during the same six-month period. On Vietnam’s behalf, the firm made contact with government officials at least 90 times. They also engaged with media outlets ranging from The New York Times to the Food Network on behalf of Japan.

Working at the behest of foreign governments is a lucrative practice area for the Podesta Group which billed a total of $2,096,666.05 to more than nine overseas governments, including Azerbaijan, India, Iraq, Korea, Somalia, and Hong Kong during the last six month of 2014.

Japan’s aggressive lobbying efforts in Washington are part of an overall increase in foreign nations seeking to purchase influence in Washington. According to Frank Samolis, co-chair of the international trade group at DC behemoth Squire Patton Boggs, there has been a measurable “uptick [in business under the Foreign Agent Registration Act] due to TPA and related bills in Congress.”

Mr. Samolis is a veteran of Capitol Hill trade fights. He previously worked on behalf of Korea, Columbia, and Peru during their trade negotiations with the United States. He now represents Temasek, Singapore’s Sovereign Wealth Fund, which paid his firm $132,055.72 during the last six-month filing period, as the country engaged in TPP talks.

SPB represents multiple foreign principals with an interest in the TPP including, China, which paid the firm $392,014.17 over the same period.

Mr. Samolis explained that when working on behalf of foreign powers, lobbyists “need to find a confluence with [United States government] interests wherever possible.”

“US policy makers understand that a client is foreign, so they are aware and need to be convinced how [the clients] interest comports with [United States government] objectives,” Samolis told me. “For that, we need to make a strong legal and policy case, backed up by the facts.”

Insiders like Mr. Samolis play another critical role. “At least half of my time is devoted to providing intel on US developments and likely future actions,” he stated.

This points to the reason Japan and other countries are eager to hire former senior members of Congress and well-connected insiders. The ability to glean information from former colleagues and contacts is just as important as their skill at influencing legislative and administrative outcomes. This expertise is particularly crucial during complex foreign negotiations requiring approval of a finicky and partisan Congress.

Mr. Samolis’ firm has a platoon of ex-lawmakers including former Senate Majority Leader Trent Lott, a Republican, along with former Louisiana Sen. John Breaux, a Democrat. Pocketing money from foreign governments seems to one of the few things both parties agree on.

With numerous trade treaties on the horizon, Mr. Samolis and his colleagues’ workload is only likely to increase because ultimately foreign governments spend significant amounts of money on lobbying and relate activists for the same reason that domestic corporations and other interest groups do. They know in Washington, DC influence can be bought.

*** The Unions are against the bill.

WASHINGTON –  Union-backed Democrats launched a last-ditch effort Thursday to scuttle President Barack Obama’s trade agenda by sacrificing a favored program of their own that retrains workers displaced by international trade.

The retraining program is linked to the Democrats’ real target: legislation to help Obama advance multi-nation trade agreements. In hopes of bringing down the whole package, which they say imperils jobs at home, numerous House Democrats said they would vote Friday against the retraining measure.

There is bi-partisan legislators opposition on this authorization which is the first part of the vote. Read here to determine who stands where and why.

 

 

 

WH Ignoring Iran’s $6Billion for Syria Iraq Terror

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John Kerry, Hillary Clinton, Susan Rice, Tony Blinken, Tom Donilon, Samantha Power, Valerie Jarrett and Barack Obama are but part of the team that knew and ignored the billions for years that Iran used to support Bashir al Assad’s terror in Syria and later Iraq. The Obama regime has been gifting Iran money by lifting sanctions for the sake of humanitarian purposes in Iran when the money was not used for that but rather to support the Assad tyrannical power in Syria. Sanction waivers under the Obama regime regarding Iran have been common since the Iranian nuclear talks began.

Now the question is will this White House and State Department come clean and walk away from the P5+1 Iranian nuclear talks? This betrayal is historic.

Iran Spends Billions to Prop Up Assad

By Eli Lake
Iran is spending billions of dollars a year to prop up the Syrian dictator Bashar al-Assad, according to the U.N.’s envoy to Syria and other outside experts. These estimates are far higher than what the Barack Obama administration, busy negotiating a nuclear deal with the Tehran government, has implied Iran spends on its policy to destabilize the Middle East.

On Monday, a spokeswoman for the U.N. special envoy for Syria, Staffan de Mistura, told me that the envoy estimates Iran spends $6 billion annually on Assad’s government. Other experts I spoke to put the number even higher. Nadim Shehadi, the director of the Fares Center for Eastern Mediterranean Studies at Tufts University, said his research shows that Iran spent between $14 and $15 billion in military and economic aid to the Damascus regime in 2012 and 2013, even though Iran’s banks and businesses were cut off from the international financial system.

Such figures undermine recent claims from Obama and his top officials suggesting that Iran spends a relative pittance to challenge U.S. interests and allies in the region. While the administration has never disclosed its own estimates on how much Iran spends to back Syria and other allies in the Middle East, Obama himself has played down the financial dimension of the regime’s support.

“The great danger that the region has faced from Iran is not because they have so much money. Their budget — their military budget is $15 billion compared to $150 billion for the Gulf States,” he said in an interview last week with Israel’s Channel 2.

But experts see it another way. The Christian Science Monitor last month reported that de Mistura told a think tank in Washington that Iran was spending three times its official military budget–$35 billion annually–to support Assad in Syria. When asked about that earlier event, Jessy Chahine, the spokeswoman for de Mistura, e-mailed me: “The Special Envoy has estimated Iran spends $6 billion annually on supporting the Assad regime in Syria. So it’s $6 billion not $35 billion.”

Either way, that figure is significant. Many members of Congress and close U.S. regional allies have raised concerns that Iran will see a windfall of cash as a condition of any nuclear deal it signs this summer. Obama himself has said there is at least $150 billion worth of Iranian money being held in overseas banks as part of the crippling sanctions. If Iran spends billions of its limited resources today to support its proxies in the Middle East, it would follow that it will spend even more once sanctions are lifted.

The Obama administration disagrees. It says the amount Iran spends on mischief in the region is so low that any future sanctions relief will not make a difference in its behavior. Speaking at a conference this weekend sponsored by the Jerusalem Post, Treasury Secretary Jack Lew said that even as Iran’s economy has suffered from sanctions in recent years, it has been able to maintain its “small” level of assistance to terrorists and other proxies. “The unfortunate truth remains that the cost of this support is sufficiently small, that we will need to remain vigilant with or without a nuclear deal to use our other tools to deter the funding of terror and regional destabilization,” he said.

Shehadi and other experts acknowledged that their figures were estimates, because the Tehran regime does not publicize budgets for its Revolutionary Guard Corps or the full subsidies it provides to allies. Nonetheless, Shehadi says, Iranian support to Syria today is substantial, especially when factoring in the line of credit, oil subsidies and other kinds of economic assistance Iran provides the Syrian regime.

Steven Heydemann, who was the vice president for applied research on conflict at the U.S. Institute of Peace until last month, told me earlier this year that the value of Iranian oil transfers, lines of credit, military personnel costs and subsidies for weapons for the Syrian government was likely between $3.5 and $4 billion annually. He said that did not factor in how much Iran spent on supporting Hezbollah and other militias fighting Assad’s opponents in Syria. Heydamann said he estimated the total support from Iran for Assad would be between $15 and $20 billion annually.

A Pentagon report released last week was quite clear about what Iran hopes to achieve with its spending: “Iran has not substantively changed its national security and military strategies over the past year. However, Tehran has adjusted its approach to achieve its enduring objectives, by increasing its diplomatic outreach and decreasing its bellicose rhetoric.” The report says Iran’s strategy is intended to preserve its Islamic system of governance, protect it from outside threats, attain economic prosperity and “establish Iran as the dominant regional power.”

If Iran ends up accepting a deal on its nuclear program, it will see an infusion of cash to pursue that regional agenda. Shehadi said this fits a pattern for dictatorships in the Middle East: they preoccupy the international community with proliferation issues while, behind the scene, they continue to commit atrocities.

“In the early 1990s, Saddam Hussein was massacring his people and we were worried about the weapons inspectors,” Shehadi said. “Bashar al-Assad did that too. He kept us busy with chemical weapons when he massacred his people. Iran is keeping us busy with a nuclear deal and we are giving them carte blanche in Syria and the region.”

 

EPA to Destroy the Entire Transportation Industry

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The White House climate change, greenhouse emissions and clean air act is about to be completely out of control. The question is where is the Congress and where are you? Remember Barack Obama said in his commencement speech that climate change was the top threat to national security.

Washington (CNN)The Environmental Protection Agency announced Wednesday it will propose a declaration that says carbon emissions from commercial planes contribute to climate change and hurt human health.

EPA also said it was working with the International Civil Aviation Organization, which includes 191 member states, to develop carbon dioxide standards for planes that would impact airlines in the U.S. and across the world.

“The EPA administrator is proposing to find that (greenhouse gas) emissions from certain classes of engines used primarily in commercial aircraft contribute to the air pollution that causes climate change and endangers public health and welfare,” the agency said in a statement, announcing an Aug. 11 hearing on the proposal and a 60-day window for the public to weigh in.

The move was the first step towards regulating air pollution from commercial airlines, but the ICAO standards aren’t expected to be adopted until early 2016. The earliest the EPA would be able to put out a notice of new standards would be in 2017, after President Barack Obama is out of office, and a final rule wouldn’t go into effect until at least 2018.

The future regulation would apply to commercial aircraft and business jets, but not military aircraft, which the EPA does not have jurisdiction over.

Wednesday’s announcement is the latest in a series of moves from the Obama administration geared at combating climate change, which Obama has characterized as an immediate national security threat.

*** WSJ: The Obama administration is planning a series of actions this summer to rein in greenhouse-gas emissions from wide swaths of the economy, including trucks, airplanes and power plants, kicking into high gear an ambitious climate agenda that the president sees as key to his legacy.

And in August, the agency will complete a suite of three regulations lowering carbon from the nation’s power plants—the centerpiece of President Barack Obama’s climate-change agenda.

The proposals represent the biggest climate push by the administration since 2009, when the House passed a national cap-and-trade system proposed by the White House aimed at reducing carbon emissions.

Anticipating the rules, some of which have been telegraphed in advance, opponents of Mr. Obama’s regulatory efforts are moving to block them. Senate Majority Leader Mitch McConnell (R., Ky.), is urging governors across the country to defy the EPA by not submitting plans to comply with its rule cutting power-plant emissions.

Nearly all Republicans and some Democrats representing states dependent on fossil fuels say the Obama administration is going beyond the boundary of the law and usurping the role of Congress by imposing regulations that amount to a national energy tax driven by ideological considerations.

“The Administration seems determined to double down on the type of deeply regressive regulatory policy we’ve already seen it try to impose on lower-and-middle-class families in every state,” Mr. McConnell said in a statement. “These Obama administration regulations share several things in common with the upcoming directives: they seem motivated more by ideology than science, and they’re likely to negatively affect the economy and hurt both the cost and reliability of energy for hard-working American families and small-business owners.”

Two factors are driving the timing of the push this summer. The administration wants to complete it ahead of December’s United Nations summit on climate change, where world leaders will meet in Paris to decide whether to agree on a global accord to cut carbon emissions. The EPA’s regulatory agenda represents nearly everything Mr. Obama is set to offer world leaders on what the U.S. is doing to address climate change.

Secondly, once the EPA rules on emissions by power plants become final, states will have a year to submit plans while lawsuits challenging the rule are expected to be heard by the courts. The administration wants to make sure that its officials can oversee as much of these two developments as possible instead of relying on the next president, especially if it is one of the GOP White House candidates who have expressed opposition to the EPA’s climate agenda altogether.