Category Archives: Industry Jobs Oil Economics

EPA Possible Buyout, Why Not Education?

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Personally, why do we have to buyout any government employee? Just begin to defund departments within agencies and non-mandatory employees are laid-off right? Remember that quasi government shutdown during the Obama administration where no one missed anything that government did or didn’t do?

Meanwhile, offering EPA employees an early buyout is an option for sure, but why not apply the same plan to the Department of Education?

The U.S. Department of Education promotes student achievement and preparation for global competitiveness by fostering educational excellence and ensuring equal access to educational opportunity. To support this mission, the Budget provides $70.7 billion in discretionary funding for the Department of Education in 2016, an increase of $3.6 billion, or 5.4 percent, over the 2015 level. The Budget also proposes $145 billion in new mandatory spending and reforms over the next decade to fund early learning, support teachers, and reform postsecondary education.

While investing in education in all domains, the Budget places particular emphasis in four areas: (1) increasing equity; (2) expanding access to high-quality early learning; (3) increasing support for teachers; and (4) expanding college opportunity and quality. In addition, the Budget makes a cross-cutting commitment to using and developing evidence in order to maximize results for taxpayers and students. In recent years, the Department has pioneered several evidence-based programs and introduced priorities for the use of evidence into existing initiatives. By investing in what works, learning more about what works, and sharing what we learn, we can help more students succeed. (blah blah blah, right)

Meanwhile, back to the EPA…. an agency that has declared a temporary rain puddle is the property of the Federal government….

EPA To Offer Employees Buyouts, Early Retirement This Year

The Environmental Protection Agency will begin offering employees financial incentives to leave the agency this year, according to an internal memorandum obtained by Government Executive.

As part of its efforts to meet the requirements of recently issued guidance from the Office of Management and Budget calling on all agencies to restructure themselves and reduce their workforces, EPA will continue a freeze on external hiring and begin offering early retirement and buyouts. Details of the plans were not made clear in the memo, which was sent by acting Deputy Administrator Mike Flynn. He noted only that EPA’s goal was to complete the separation incentive program by Sept. 30, the end of fiscal 2017.

Agencies can offer up to $25,000 to employees who have worked in the federal government at least three years through a Voluntary Separation Incentive Payment and allow employees not otherwise eligible for retirement benefits to receive them through Voluntary Early Retirement Authority. The Office of Personnel Management must approve all early out and buyout programs.

In its guidance, OMB said OPM would “provide expedited reviews for most [VERA and VSIP] requests within 30 days.” While OMB said it would not prescribe any specific strategy or set reduction targets for individual agencies, President Trump’s fiscal 2018 budget called on the EPA to cut 25 percent of its workforce, amounting to 3,200 employees. The proposal suggested slashing 31 percent of the agency’s budget.

EPA has endured significant spending cuts in recent years, with its spending level already reduced more than 20 percent since 2010 and its workforce at its smallest total since 1989. EPA last offered separation incentives to its employees in 2014, targeting mostly regional offices.

A recently released inspector general report found EPA paid $11.3 million to get 456 employees to leave the agency that year. Generally, the IG found the incentives “aided workforce restructuring goals,” though it was unclear if EPA had successfully reached its other goals of obtaining staff with new skillsets and increasing the number of staffers per supervisor. When accounting for the additional annual leave payments, EPA doled out a total of $16.2 million in 2014 to separate the employees. The IG noted the agency could not control how many or which employees would voluntarily leave, but that the various EPA offices adequately analyzed their workforce data to determine which positions to target.

Under OMB’s guidance, all agencies must come up with both short and long-term plans to reduce their staffing levels, with preliminary plans due June 30. Flynn said EPA has recently formed a workgroup to develop its agency reform plan. EPA is at least the third agency to continue its hiring freeze despite Trump ending it last week. Flynn said the agency will approve “very limited exceptions” to the moratorium and allow certain internal reassignments.

“I appreciate your patience as we work through the details of the guidance and will work with you as we move forward,” Flynn said.

Liz Bowman, an EPA spokeswoman, said the approach mirrored the one taken by the Obama administration and would ensure “payroll expenses do not overtake funds used for vital programs to protect the environment.”

“Streamlining and reorganizing is good government and important to maximizing taxpayer dollars,” she said.

John O’Grady, president of the American Federation of Government Employees council that represents many EPA workers, said reaching the administration’s desired cuts through incentive payments would prove prohibitively expensive. EPA, he added, is already “underfunded and understaffed.”

“Any further cuts will absolutely cripple the agency,” O’Grady said.

OPM did not immediately respond to requests for further details on the separation incentives.

Then….the progressives are fighting back on this proposed legislation regarding the EPA:

Honest and Open New EPA Science Treatment Act of 2017 or the HONEST Act

(Sec. 2) This bill amends the Environmental Research, Development, and Demonstration Authorization Act of 1978 to prohibit the Environmental Protection Agency from proposing, finalizing, or disseminating a covered action unless all scientific and technical information relied on to support such action is the best available science, specifically identified, and publicly available in a manner sufficient for independent analysis and substantial reproduction of research results. A covered action includes a risk, exposure, or hazard assessment, criteria document, standard, limitation, regulation, regulatory impact analysis, or guidance. Personally identifiable information, trade secrets, or commercial or financial information obtained from a person and privileged or confidential must be redacted prior to public availability. Read more about it here.

Infrastructure Plan, Highway Grants Still Fleecing Americans

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Could the American taxpayer get fleeced again on the proposed Trump infrastructure proposal? History and facts says YES. Presently this is just chatter when it comes to improvements, there is no money allocated much less a plan. Draining that swamp is not underway either…

Image result for highway grants

With Billions in Recession-Era Highway Grants, Why Were Improvements Limited?

New research examines why nearly $28 billion of recession-era funding for highway projects didn’t yield greater improvements to the nation’s road network.

Bill Dupor, an assistant vice president and economist in the research division with the Federal Reserve Bank of St. Louis, digs into the issue in the reserve bank’s latest quarterly Review.

Dupor looks at $27.5 billion funneled through the Federal Highway Administration as part of the 2009 American Recovery and Reinvestment Act. Most of that amount was directed toward grants for state governments, marking a substantial boost in federal highway aid.

But in years before and after the Recovery Act, according to Dupor, the number of structurally deficient bridges in the U.S. was close to unchanged, as was the number of workers on road and bridge projects. And, he says, over 40 percent of the nation’s population lived in states where the overall value of highway construction spending was lower in 2010 than in 2008.

“Despite the tremendous influx of federal funds, the highway system showed little improvement,” Dupor writes.

Why was this the case? An explanation Dupor offers is that as states received the federal grant funding for road projects, they could decrease their own spending on highway infrastructure—freeing up those state dollars for other uses.

“Since states were facing budget stress from declining tax revenues resulting from the recession, it stands to reason that states had the incentive to do so,” Dupor writes, referring to the shifting of state highway funding to other areas.

He found that 15 states cut their total highway capital spending between 2008 and 2010. For instance, across that timeframe, the amount of state money spent per resident on highway infrastructure went down by $109 in Georgia, $98 in Texas and $73 in Maryland.

President Trump is currently pushing for a $1 trillion infrastructure package that would involve both public and private capital. Some city leaders have argued that, if the federal government ups infrastructure spending, more money should go directly to cities rather than through states.

Dupor’s article is titled, “So, Why Didn’t the 2009 Recovery Act Improve the Nation’s Highways and Bridges?” A full copy can be found here.

*** Obama’s shovel ready jobs….remember that?

Forbes: Those with long memories will recall that the way out of the economic difficulties back a few years was to be that we had a fiscal stimulus. The US was going to borrow a whole bunch of money and invest it in those shovel ready infrastructure projects that simply littered the country side. This would pull us up out of recession pretty darn sharpish and all would be well.

No, really, this was what was going to happen:

As President Obama urges Congress to pass the $800 billion-plus stimulus package, one of his favorite selling points is the thousands of projects nationwide that he calls “shovel ready” — meaning planning is complete, approvals are secured and people could be put to work right away once funding is in place.

There is no formal definition for shovel ready. The Federal Highway Administration says it doesn’t use the phrase. Its preferred term is “ready to go,” according to acting administrator Jeff Paniati.

That means a state has already done the preliminary work for that project, he says.

“They’ve addressed all the environmental requirements as required,” Paniati says. “They’ve done the necessary public outreach. In many cases, the design work is already completed … and that they’re on an approved state list.”

One example of a shovel-ready project is the in the notoriously traffic-clogged suburbs of Northern Virginia outside Washington, D.C. The state wants to widen the roads and has done some of the preliminary work, but the project is on hold because Virginia doesn’t have the final $32 million needed to complete it.

The stimulus bill states that for a project to be considered shovel-ready, it must be ready to begin in 90 days. The has a list of almost 19,000 such projects, adding up to almost $150 billion.

I quote at such length as this really was  what was touted as the way out of the then current problems.

FT Alphaville has a nice little chart today showing what actually happened:

Err, yes. The government gears up to massively boost infrastructure spending, borrows $800 billion to go do infrastructure spending and infrastructure spending falls through the floor at the same time.

My conclusion would be rather simple: government’s just not the way to get the job done.

I agree, there are some things that must be done. There are also things that must be done that only government can do: so, let government limit itself to only those things that must be done and can only be done by government. I think we’d be better off working out the rest of it by ourselves quite frankly.

I mean seriously? They insist that they’re going to boost the economy through infrastructure spending and even when they get the money infrastructure spending falls by by a third or more?

Venezuela Today is Syria 7 Years Ago, Violence/Protests

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Photo published for Venezuelan opposition marches against Maduro; student killed

Related reading from Reuters

‘Mother of All Marches’ Turns Violent in Venezuela

by Geraldine Cols Azócar and Mariana Atencio

Clashes between protesters and security forces erupted in Venezuela during marches taking place Wednesday in at least 12 cities across the country.

Hundreds of thousands of Venezuelans took to the streets to protest the government of President Nicolás Maduro as the country marked its 207th anniversary of the revolution that led to its independence from Spain.

A teenager who was shot in the head in Caracas near one of the protests has died in the hospital, according to the Associated Press. Opponents of the government said pro-government militias opened fire on a crowd, but government officials say the boy was assaulted while walking home from a soccer game.

Marches started in the early morning; closer to noon, the Venezuelan National Guard started deploying tear gas on people marching on the west side of Caracas, according to the Associated Press.

Liliana Machuca, a teacher in Caracas told the AP she believes protesting is her only option after all the “abuses” she says have been committed by the government.

“This is like a chess game and each side is moving whatever pieces they can. … we’ll see who tires out first,” she said.

Image: VENEZUELA-OPPOSITION-PROTEST
A demonstrator throws a tear gas canister back at the police during a rally against Venezuelan President Nicolas Maduro, in Caracas on April 19, 2017. JUAN BARRETO / AFP – Getty Images

The country entered its fourth week of protests following two Supreme Court decisions — to revoke the impunity that protects legislators and to dissolve the opposition-controlled legislature, a move that many including the Organization of American States (AOS) dubbed as an “auto-coup d’etat.”

The Supreme Court reversed the decisions amid mounting international pressure and after the Venezuelan Attorney General, Luisa Ortega Díaz, called the decisions “a rupture of the constitutional order.”

Since then, people have been protesting for the removal of the Supreme Court Justices, the reinstatement of gubernatorial and local elections, the release of the political prisoners and ultimately, Maduro’s resignation.

“I went to the rally because I wanted to get those images of what’s going on, of people protesting. I know it’ll help us get rid of this government,” Hector Trejo told NBC News. Trejo, 47, is a photographer for El Estímulo magazine covering Western Caracas. “But it’s hard because when government supporters see you with a camera they send motorcycles to try and grab it from you,” he added.

**

En este momento en La Plaza Bolívar de

At this time in La Plaza Bolívar of

Human rights organizations, several Latin American countries and the United States have accused Venezuelan security forces of using excessive force and violence to quash the protesters. Protesting is a right protected by the Venezuelan constitution. During this last wave, at least five people have died and hundreds have been arrested.

Maduro accused the U.S. State Department of encouraging a military intervention.

The country is in the middle of an economic crisis with an inflation rate that reached 800 percent in January. People are starving and the lack of medication and supplies has led to deaths.

“I came to march because I believe in this country and I want our youth to have a future; Venezuelans want to stay,” said Mercedes Expósito, 53, who told NBC News that people say they want to stay in the marches though they’re “choking from the tear gas; they will wait until the government runs out of its bombs.”

Slave Labor Markets in Libya and Beyond

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So, the United Nations reports this but so what? Is anyone at the United Nations taking action? Never heard anything out of the Obama White House either, did you? How about out of the Hillary Clinton or John Kerry State Department? Anything? Did WikiLeaks cables include any of this? Nah….

That whole Hillary Libya operation did not work out well at all, the country remains in a tailspin.

Migrant Smuggling – a deadly business

Currently, data is too scattered and incomplete to paint an accurate picture of numbers of people who are smuggled each year and the routes and methods used by those who smuggle them. Still, available evidence reveals the following trends and patterns:

  • Criminals are increasingly providing smuggling services to irregular migrants to evade national border controls, migration regulations and visa requirements. Most irregular migrants resort to the assistance of profit-seeking smugglers. As border controls have improved, migrants are deterred from attempting to illegally cross them themselves and are diverted into the hands of smugglers.
  • Migrant smuggling is a highly profitable business in which criminals enjoy low risk of detection and punishment. As a result, the crime is becoming increasingly attractive to criminals. Migrant smugglers are becoming more and more organized, establishing professional networks that transcend borders and regions.
  • The modus operandi of migrant smugglers is diverse. Highly sophisticated and expensive services rely on document fraud or ‘visa-smuggling’. Contrasted with these are low cost methods which often pose high risks for migrants, and have lead to a dramatic increase in loss of life in recent years.
  • Migrant smugglers constantly change routes and modus operandi in response to changed circumstances often at the expense of the safety of the smuggled migrants.
  • Thousands of people have lost their lives as a result of the indifferent or even deliberate actions of migrant smugglers.

These factors highlight the need for responses to combat the crime of migrant smuggling to be coordinated across and between regions, and adaptable to new methods. In this regard, UNODC seeks to assist countries in implementing the  Smuggling of Migrants Protocol while promoting  a comprehesensive response to the issue of migrant smuggling.

  More here. Has anyone heard from the African American community on this issue at all?

Image result for slave labor markets  PBS

Back in 2013, the UN essentially reported the same conditions in North Korea.

North Korea’s hidden labor camps exposed: A new UN panel is vowing to hold North Korea’s Kim regime to ‘full accountability’ for decades of mass crime and murder. Will Pyongyang face ICC indictment?  More here from CS Monitor.

The Global Slavery Index also provides insight into the estimated absolute numbers of people in modern slavery, in 162 countries. When the estimated number of enslaved people is considered in absolute terms as a single factor, the country ranking shifts considerably.

The countries with the highest numbers of enslaved people are India, China, Pakistan, Nigeria, Ethiopia, Russia, Thailand, Democratic Republic of Congo, Myanmar and Bangladesh. Taken together, these countries account for 76% of the total estimate of 29.8 million in modern slavery.

The country with the largest estimated number of people in modern slavery is India, which is estimated to have between 13,300,000 and 14,700,000 people enslaved. The India country study suggests that while this involves the exploitation of some foreign nationals, by far the largest proportion of this problem is the exploitation of Indians citizens within India itself, particularly through debt bondage and bonded labour.

The country with the second highest absolute numbers of enslaved is China, with an estimated 2,800,000 to 3,100,000 in modern slavery. The China country study5 suggests that this includes the forced labour of men, women and children in many parts of the economy, including domestic servitude and forced begging, the sexual exploitation of women and children, and forced marriage.

The country with the third highest absolute number in modern slavery is Pakistan, with an estimated 2,000,000 to 2,200,000 people in modern slavery. Read the 2013 report here.

 

 

FBI Global Hackers Sweeping Sting Arrests

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So many complain the FBI is slow-walking cyber and hacking operations especially when it comes to the Russian investigations. Well, the FBI rarely announces cases and prosecutions. When it comes to the recent Russian hacking scandal into the United States election and campaign infrastructure, perhaps the Department of Justice and the FBI are building a huge file for proof.

So, try this:

NBC/McClatchy

 

U.S. sweeping up Russian hackers in a broad global dragnet

BY TIM JOHNSON/WASHINGTON

McClatchy: The arrests caught the Russian hackers totally by surprise. One was at a Finnish border crossing. Another was arriving at an airport in Spain. A third was dining at a restaurant in Prague. Still others were at luxury resorts in the Maldives and Thailand.

Many have now turned up in U.S. courts. The long arm of U.S. law enforcement is spanning the globe like never before to bring criminal hackers to justice.

And it may not be just about crime. The Justice Department cites fuzzy and overlapping boundaries between criminal hackers and Russian intelligence agencies, the same ones the U.S. accuses of coordinating the hacking and subsequent disclosure of emails from the Democratic National Committee and the Hillary Clinton presidential campaign.

President Donald Trump dismisses allegations that Russia meddled in the election as “fake news,” but the FBI and congressional committees have launched probes and the Obama administration ordered the expulsion of 35 Russian diplomats in late December.

Rubio says Russian hackers targeted his presidential campaign

During a Senate committee hearing on Thursday, Florida Senator Marco Rubio stated that his 2016 presidential campaign staff members were the targets of Russian hackers in July 2016 and March 2017, but both efforts were unsuccessful.

The U.S. campaign leaves Russian hackers with a dilemma: If they leave the safe confines of Russia, which has no extradition treaty with the United States, or Russia’s most ardent allies, they may get picked up and sent to the U.S.

“They no longer travel, the high-profile hackers. They understand the danger,” said Arkady Bukh, a criminal defense lawyer in New York City who has defended numerous accused Russian cybercriminals.

Still, some Russian and Eastern European hackers do enjoy holidays abroad – and live to regret it. Just this week, Maxim Senakh, a 41-year-old Russian, pleaded guilty in a Minneapolis courtroom to operating a massive robotic network that generated tens of millions of spam emails a day in a zombie criminal enterprise that purportedly brought in millions in profits.

Senakh didn’t come voluntarily. He’d been visiting a sister in Finland before that country put him on a U.S.-bound plane in January, answering a U.S. extradition request.

“He fought it, the Russian government fought it, and the Russian government put political pressure on its neighbor, Finland,” federal prosecutor Kevin S. Ueland said at a Feb. 19 hearing.

Another Russian, Mark Vartanyan, 29, pleaded guilty March 20 to computer fraud in an Atlanta courtroom after reaching a deal with prosecutors to offer far-reaching cooperation that would limit a prison term to five years or less.

Norway extradited Vartanyan to the U.S. in December.

David Hickton, a former U.S. attorney in Pittsburgh who made the city a hub for prosecutions of foreign hackers, said such actions are a sign of the new dimensions of crime.

IT’S NO DIFFERENT THAN IF SOMEONE PULLED A TRUCK UP TO YOUR HOUSE AND STOLE VALUABLE MATERIAL. David Hickton, former federal prosecutor

“This is 21st century burglary. It’s no different than if someone pulled a truck up to your house and stole valuable material,” said Hickton, who now directs the Institute for Cyber Law, Policy and Security at the University of Pittsburgh.

But Hickton acknowledged that carrying off successful prosecutions is a challenge.

“These cyber investigations are very, very hard. You’re talking about evaporating evidence, borderless crimes and defendants who can hide behind the borders of countries that don’t have extradition treaties with us,” he said.

It is not easy to pigeonhole the accused and convicted hackers. Some are brainy but merely cogs in larger crime groups. Others flash their wealth and opulent lifestyles.

NOT ALL OF THEM ARE RICH. 

Arkady Bukh, criminal defense attorney in New York City

“Not all of them are rich,” Bukh said. “A lot of them are involved in computer intrusion and that does not bring much money.”

Bukh recalled one client, Aleksandr Panin, who was placed by authorities on a plane in the Dominican Republic to 2013 bound for Atlanta, put on trial and convicted.

“The guy couldn’t afford a car even with (having caused) a billion dollars in losses. He’s like a mad scientist geek,” Bukh said.

Then there are those on the opposite extreme, who pose for photos with piles of cash or at luxury beach resorts. One of them, Roman Seleznev, was convicted last year in Seattle on 38 counts related to cybercrime. His father is a deputy in the Russian parliament, or Duma. Prosecutors retrieved a photo from his cell phone of him standing next to a yellow Dodge Challenger muscle car in Red Square near the Kremlin.

The magnitude of damages that prosecutors have alleged can be mind-boggling.

Vartanyan, the young Russian hacker brought to Atlanta from Norway, was part of the development team that created Citadel, a “universal spyware system” sold on underground Russian criminal hacker forums that ended up lodged on 11 million infected computers around the world.

In their complaint against him, prosecutors cited industry estimates that Citadel caused “over $500 million in losses” in a three-year period.

The investigations can be incredibly complex, leading federal investigators to call in specialized cybersecurity firms to conduct forensics. In the probe of Senakh, whose guilty plea came last month, the feds turned to ESET, a cybersecurity firm with 18 offices around the world.

ESET analyzed the malicious code Senakh used, dubbed Ebury malware, and found that it had compromised 25,000 servers around the world, researcher Marc-Etienne Leveille said in an email.

Stanislav Lisov, a computer programmer from Taganrog, a town on Russia’s Black Sea coast, had arrived at Barcelona’s international airport with his wife on Jan. 13 when Spanish Civil Guard police arrested him on an FBI warrant issued through Interpol. The charges: electronic and computer fraud.

WE WERE DETAINED AT THE AIRPORT IN BARCELONA. 

Darya Lisova, wife of accused Russian hacker Stanislav Lisov

“We were detained at the airport in Barcelona, when we came to return a rented car before flying out to Lyon, to continue our trip and visit friends. When we were getting out of the car, two police officers approached, showed us the badge, and said they were detaining my husband,” Darya Lisova told the Russian state-operated RT network.

Spain has not yet extradited Lisov, who is blamed for being the architect of a sophisticated Trojan, NeverQuest, used in stealing log-in credentials for bank accounts.

Here is a rundown of some other recent cases:

Yevgeniy Nikulin, 29, was arrested by police while dining with his girlfriend in a hotel restaurant in Prague’s Old Town Oct. 5. He has been indicted by a federal grand jury in northern California on charges of computer intrusion, identity theft and other crimes for penetrating into the systems of high-tech companies LinkedIn, Dropbox and Formspring. Since then, Washington and Moscow have been in a tug-of-war over Nikulin’s extradition.

Olga Komova, a 26-year-old Uzbek, and Dmitry Ukrainsky, a Russian, were arrested in mid-2016 at beach resorts in Thailand and accused of stealing more than $28 million as part of a mega cyber bank fraud ring. Komova has turned up in U.S. custody and faces federal charges of wire fraud and money laundering. How she was brought to the United States is unclear. Her U.S. lawyer, Michael Soroka, declined to discuss the case.

When extradition isn’t an option, U.S. authorities lure alleged hackers to jurisdictions where they can be arrested. Such tactics have been decried by Moscow as “kidnapping.”

Seleznev, the identity thief who is the son of the Duma deputy, chose to vacation at a five-star resort in the Indian Ocean archipelago nation of the Maldives in 2014 precisely because it has no extradition treaty with the United States.

U.S. officials got word and persuaded Maldives authorities to intercept Seleznev at the airport, where in a fast-paced operation he was bundled on a private plane to Guam, a U.S. territory in the western Pacific, then flown to Seattle to face federal charges.

Upon his conviction last August, prosecutors said Seleznev had stolen millions of credit card numbers, causing 3,700 banks $169 million in losses. He faces a 40-year jail term.

No matter where the hackers travel, prosecutors say they will follow.

The U.S. attorney in Atlanta, John Horn, who has also made a name for himself in prosecuting Russian hackers, offered an unapologetic defense last year of the global reach of U.S. justice.

“Cybercrime is borderless, but increasingly, so too are our law enforcement capabilities,” Horn said.