Junk Food Subsidies Fuel Obesity

New Mexico Public Interest Research Group Citizen Update: A Report For Members Of NMPIRG

Summer 2011 • Vol. 37, No. 2

Find links to resources and actions at www.nmpirg.org/newsletters Flickr User donbuciak Tax & Budget Policy Junk Food Subsidies Fuel Obesity Nearly one in three kids in New As a result, in the last 20 years, Mexico are overweight or obese, the price of soda has gone down and our taxpayer dollars are subsi- by more than 20 percent while the dizing unhealthy food—to the tune price of fresh fruits and vegetables of $245 billion over the last 15 years. has increased 40 percent.

Of course, the epidemic of child- These subsidies overwhelmingly hood obesity is a complex problem benefit big agribusiness. More that won’t be solved by cutting than 60 percent of direct payments subsidies alone. But at the very in 2009 went to just 11 percent of YOUR TAX DOLLARS AT WORK—Taxpayer subsidies have driven down least, the government should not recipients. n the cost of unhealthy food over the last 15 years. be helping to saturate the market with cheap junk food.

NMPIRG is calling for reform. Thanks to the tremendous influ- Public Health ence of the powerful agribusiness lobby, the U.S. Department of Agriculture spends billions of dollars directly subsidizing corn, soy, wheat and rice—key ingredi- USDA Mandates Safer ents in unhealthy food. It makes almost no direct subsidies to fruits and vegetables. School Lunches For years, New Mexico’s school- Some of the chicken schools have Member Resource We Are What We Grow children ate beef, chicken and other served was of such poor quality Over the next year, Congress will foods that would have been rejected that one University of Washington VISIT OUR WEBSITE decide whether and how to in- as substandard even by fast-food study found that it was four times where you can take vest in the food we grow and eat. chains. Now, thanks in part to our more likely to have salmonella than action to stop subsidies NMPIRG has launched a campaign advocacy, the USDA has set stron- other readily available meat. that fuel obesity. to end subsidies for unhealthy food. ger standards for school lunches, www.nmpirg.org including a ban on low-grade meat. NMPIRG’s federal public health This summer, we’ll knock on thou- This move is an important step advocate, Elizabeth Hitchcock, sands of doors across the state, toward decreasing the risk that lobbied the USDA for higher stan- talk face to face with people about kids could contract a dangerous dards. And in federation with state this issue, and build a network of foodborne illness at school. PIRGs in 19 other states, we spoke supporters who are calling on our to hundreds of thousands of people elected officials to demand change. More than half of all foodborne about this issue and contributed to illnesses affect children under the more than 20,000 petition signatures Agribusiness subsidies are un- age of 18, and more than 30 mil- to the USDA. In 2010, they acted— derwriting the obesity epidemic lion children depend on the school banning low-grade meat from by making junk food and highly- lunch program for meals. schools and implementing stricter Page 1 processed food extremely cheap. testing and safety standards. n Summer 2011 - - - - n n helped win in 2008. 2008. in win helped cause a lower IQ, attention facturers and the Toy Industry As Higher Education AdvocateRich WilliamsYork Times, toldfailing to Thefund grants Pellwould Newbe “the worst pos sible scenario” for avoiding major disruptions in financial aid. & Public Health Toxics Out Of Keeping The Lead Toys Children’s Lead is a potent neurotoxin that can deficithyperactivity disorder and learning disabilities in children. as Yet recently as 2008, millions of toys and children’s products were contamination. lead for recalled There is currently a ban on inlead children’s products—which NMPIRG TheNational Association ofMan u Association are now urging Con gress to “reform” thatallow lawlead andback into toys.would also limitThey the ban on toxic testing limit and toys inphthalates requirements. Com House the of members Some merce Manufacturing and Trade Subcommittee signaled they are open to rolling back theseand limitingrules the law’s protection age. of years six under children to NMPIRG is workinggroups withparent and public consumer health, continues law the that sure make to from children America’s to protect hazards. chemical toxic n NMPIRG Higher Education NMPIRG Protects Student Financial Aid Pell grants providecollege moderate-income and low- 9.4 million in $5,550 as much as with students an education college a aid—making Americans. option for millions of faced program the winter, past This a $5.7 billion shortfall that, if not funded, would cut the maximum mil- 7.5 which percent, 15 by grant each year. lion students receive Every penny counts, so worked to makegrants Pell surefor thefunding full Senate included in the budget, which they did in a deal. compromise financial aid for college students and funding for clean water and drinkingfood safety inspectors, while continuing to spendof billions tensof dollars in taxpayer and big banks. money on BP With the NationalUnion, NMPIRG identified Taxpayers $600 billion the government could save by cutting spending that benefits special interests at of the the expense public—instead of cutting important public priorities. Thirty-seven groups spanning the ideological spectrum signed onto emails organized we and plan, our and public comments cut to Boehner to John Speaker callHouse on of instead subsidies interest special priorities. public interest Tiffany Roohani - - n —Actors Vincent worked with two actors News Briefs Tax & Budget Policy Tax Budget Priorities All Wrong This spring, Congress tried to bal- slashing by budget federal the ance from from the hit TV show “Mad Men” to produce a video pitching high- speed rail. In the video, Richard Sommer, in character Crane, as Harry tellsalways “America Vincent Campbell), (Pete Kartheiser Trains investments. right the makes economi most efficient, most the are cal, best investment. Honestly, I think you can relax on this whole is gas years, 40 in that read I thing. gallon.” a dollar a almost be to going While the statement is amusing, the sad reality is that fundinggallon,yet a proachinggas $4 is ap for rail continues to be cut. To bring a little humor to To a heated awareness, public raise and debate NMPIRG President Obama has set a goalcountry of the of percent 80 connecting years, 25 within rail high-speed with but that future has certain becomesince governors in Florida, less funds rejected Wisconsin and Ohio for projects in their states. High-Speed Rail High-Speed Pitch Mad Men Fast Trains Page 2 Summer 2011 Kartheiser and Richard Sommer from the hit TV show Mad Men teamed Men Mad show TV hit the from Sommer Richard and Kartheiser up with NMPIRG to pitch high-speed rail. GUESS WHO’D RATHER RIDE HIGH-SPEED RAIL Member Resource THE MAD MEN CATCH stars of the hit two Watch Mad Men pitch high- show at: speed rail www.madfasttrains.com Staff Health Care Reducing High Health Care Bills

More than a year since Congress deal and provide clear options and passed the new health care law, easy comparisons for consumers. NMPIRG is moving beyond last year’s political fights to make The exchange could provide a progress on lowering premiums safety net for people who are be- for New Mexico families. tween jobs, and eventually open up to allow some individuals who Health Insurance Exchanges To Lower Costs—In Washing- receive insurance through work ton, D.C., Health Care Advocate Mike Russo met with Joel Ario, the to shop for better plans through new director of the Office of Health Insurance Exchanges, appointed Fighting Premium Hikes by President Obama. It’s time to ask tough questions the exchange. about rising health insurance rates. Consumers are already struggling But the insurance industry is directly to decision-makers. We’re to pay for health insurance, and trying to reduce the exchange’s also mobilizing consumers and in this economy we can ill afford ability to strike a hard bargain building strong coalitions of small the skyrocketing cost of care. Re- and put insurance industry ex- business owners. We’re bring- cently, insurers have tried to force ecutives in charge. ing the stories of consumers and unjustifiable double-digit premium small businesses to lawmakers increases on enrollees—sometimes NMPIRG is educating lawmak- and the media, and organizing based on dubious calculations or ers on the best policies to rein in grassroots support in an effort to inflated estimates. costs through a series of briefing get a strong exchange enacted by papers and by making our case the legislature. n NMPIRG is working to help state officials challenge unjustified rate hikes and find ways to reduce costs. NMPIRG To Our Members Citizen Update Other states have already seen success—in Oregon, advocates This newsletter is have pushed regulators to lower Dear NMPIRG member, published three unjustified increases. They’ve times a year by helped knock back rate increases Right now, hundreds of young people are heading the New Mexico and save some insurance custom- out into neighborhoods across the state on behalf of Public Interest ers more than $5 million altogether NMPIRG to have face to face conversations with Research Group. this year. And in California, they New Mexicans about critical issues, raise funding You can receive the for our work, and mobilize grassroots support for used public pressure to convince newsletter through ending taxpayer subsidies of junk food. Blue Shield to back down on a 59 your email. Just go to percent increase in premiums. our website at I want to let you know a little bit about what we’re hoping to achieve www.nmpirg.org through this big undertaking. We’re planning to talk to thousands of to sign up. New Mexicans one-on-one this summer. These conversations can break Better Insurance Marketplace through the 24-hour media cycle and slick advertising campaigns, Another cause of high premiums and educate the public on issues that impact our lives. We’ll build is that people who don’t get their the grassroots power that allows us to stand up to big agribusiness coverage through a large employer companies like Monsanto and fight back against wasteful subsidies for don’t have the same bargaining unhealthy food (see the cover story). power to make insurers compete and reduce prices. As a result of this citizen-powered campaign, when NMPIRG advocates meet with decision-makers in Santa Fe or on Capitol Hill, they’ll have To level the playing field, we’re the backing of thousands of citizens—exactly what it takes to counter pushing the state of New Mex- the influence of powerful special interests. ico to create a new health in- I look forward to reporting back on our progress. I hope you and your surance marketplace—called an neighbors will be able to get involved. exchange—which will allow consumers and small businesses to Sincerely, pool their buying power and negotiate better prices. If it’s set Erin M. Eccleston up correctly, the exchange will For NMPIRG bargain with insurers for a better [email protected] Page 3 Summer 2011 New Mexico Public Interest Research Group SUMMER REPORT NMPIRG PO Box 40173 NON-PROFIT Albuquerque, NM 87196 ORG U.S. POSTAGE (505) 254-1244 PAID BROCKTON, MA PERMIT NO. 430

CITIZEN UPDATE

VOLUME 37, NO. 2

INSIDE THIS ISSUE: Junk Food Subsidies Fuel Obesity • Mad Men Pitch Fast Trains • Reducing High Health Care Bills

CampaignReining In ForWall Safe Street Energy Staff msnbc

New Consumer NMPIRG’s Mission When consumers are cheated or the voices of ordinary citizens are drowned out by special interest Watchdog lobbyists, NMPIRG speaks up and takes action. We uncover threats to public health and well-being and fight In July, the new Consumer Financial Protec- to end them, using the time-tested tion Bureau will begin regulating credit cards, tools of investigative research, me- student loans, mortgages and other financial dia exposés, grassroots organizing, products that often end up being a rip-off advocacy and litigation. NMPIRG’s for consumers. NMPIRG has been a leading mission is to deliver persistent, result- advocate for the bureau, which Congress oriented public interest activism that created with the Wall Street reform bill that protects consumers, encourages a passed last year. fair, sustainable economy, and fosters responsive, democratic government. For too long, regulators whose primary mission Meeting with elizabeth warren—Ed Mierzwinski, Citizen Update Credits was to ensure the financial stability of banks NMPIRG federal consumer program director, with Editor: Erin M. Eccleston also enforced consumer laws. These compet- Elizabeth Warren, special advisor to the Secretary of the ing priorities didn’t work. The CFPB will be Treasury on the Consumer Financial Protection Bureau. Contributors: Steve Blackledge, Sara the first banking regulator whose only job is to Landis and Erica Rosset protect consumers in the financial marketplace. provided in a clear, tabular format, not buried in cumbersome, multi-page brochures. Publications Director: Richard J. NMPIRG has already asked the CFPB to Hannigan enforce the Truth In Savings Act after our Not surprisingly, after the new Wall Street Design: Public Interest GRFX investigative research found that one quarter reform bill passed, more than 2,000 Wall Street (215) 985-1113 of bank branches we surveyed failed to give lobbyists redirected their efforts to weakening prospective customers a full list of fees. We’re new regulations, including the creation of the Printed on recycled paper. also asking that fees be posted on the web in bureau. We’ve been working to protect the searchable formats and that disclosures be CFPB from attack and ensure its funding. n