March 2011
Winning the Future through Innovation, Education, and Job Creation
Education Reform in a Changing Economy
Is Now the Time to Push for Transportation?
The Impact of the Euro on the US Dollar and Employment
highLIGHTS 06 Feature Article By Secretary Hilda L. Solis, U.S. Department of Labor Winning the Future through Innovation, Education, and Job Creation 09 Perspectives By Rep. Joe Armstrong (TN), NBCSL President-Elect Health Reform: Making a Difference in the Lives of Mar African Americans 11 Perspectives By U.S. Congressman Emmanuel Cleaver, II (MO), 2011 Chairman, Congressional Black Caucus In Support of Community Development Block Grants Contents 14 Perspectives By Rep. Gregory W. Porter (IN) 06 Education Reform in a Changing Economy 18 Perspectives By Dr. Joe Leonard, Jr., Assistant Secretary for Civil Rights, U.S. Department of Agriculture His Truth is Marching On: African American Farmers and the Pigford II Settlement
FEATURED TOPICS 20 Legislator Highlights 14 NBCSL Members Balancing Budgets and Benefits 23 nBCSL Events 34th Annual Legislative Conference Highlights By Kimberly Strickland 31 nBCSL Events The Third World Festival of Black Arts and Cultures in Dakar, Senegal 48 By Reginald M. Abreu 37 Spotlight: Corporate Roundtable Start Smart for Your Baby®: Promoting Education and Accessibility for Healthier Babies By Dr. Mary V. Mason, Centene Corporation 40 Special Message from an NBCSL Partner 51 Redrawing Democracy: Race, Redistricting, and the 2011 Redistricting Cycle By Kristen Clarke, NAACP Legal Defense and Education Fund 43 Law, Justice, and Ethics Showing You the Money: A Closer Look at Cost-Cutting through Prison Privatization By Ajenai Clemmons 46 From the Hill A New Semester in Washington to Our Readers 02 By Brandt Thorington By The Editorial Team 48 energy, Transportation, and the Environment 03 President’s Message Is Now the Time to Push for Transportation? By Rep. Barbara W. Ballard (KS) By Colin Wellenkamp 04 From the Executive international Affairs Director 51 Moving From High The Impact of the Euro on the U.S. Dollar and Employment Unemployment to By Reginald M. Abreu Employable and Employed 53 health and Human Services American Workers Will Repealing Health Reform Truly Benefit Americans? By LaKimba B. DeSadier By Deana McRae 2011 – 2013 NBCSL TO OUR READERS EXECUTIVE OFFICERS Rep. Barbara W. Ballard (KS) President
Rep. Joe Armstrong (TN) President-Elect
Rep. Thaddeus Kirkland (PA) Vice President
Sen. Constance Johnson (OK) Secretary
Sen. Catherine Pugh (MD) Financial Secretary Innovation in Rep. Howard Mosby (GA) Treasurer a Time of Austerity
Sen. Hillman Terome Frazier (MS) Parliamentarian Americans have always been able to handle austerity and even adversity. Rep. Helen Miller (IA) Prosperity is what is doing us in. -- James Reston Chaplain
This is not the first time the nation has had to go through challenging REGIONAL CHAIRS economic experiences. Nevertheless, listening to the heartbreaking Rep. Ernest Hewett (CT) Chair, Region I stories resulting from lost jobs, foreclosures, and a lack of adequate
Assem. Nick Perry (NY) health insurance makes one wonder when the country will fully recover. Chair, Region II We are in the midst of the first economic crisis of this century. Many Del. Nathaniel T. Oaks (MD) Americans, because of the prosperous 80s and 90s, have had a difficult Chair, Region III time adapting to the current austere conditions caused by the Great Sen. Yvonne Miller (VA) Chair, Region IV Depression of 2007. However, there are many Americans alive who can
Rep. Larry Womble (NC) recall the Great Depression of the 1930s, and from that experience, they Chair, Region V remind us that, “this too shall pass.” Rep. Mia Jones (FL) Chair, Region VI While our history indicates hope for the future, the current state of Rep. John Rogers (AL) Chair, Region VII affairs must be addressed this year. In practically every state legislature,
Rep. Bill Crawford (IN) budget cut priorities are being pitted against the government programs Chair, Region VIII that support individuals and families most affected by the economic Sen. Shirley Smith (OH) crisis. Legislators are faced with making difficult decisions about the Chair, Region IX best ways to address state deficits as well as the needs and requests of Rep. Tracy Steele (AR) Chair, Region X constituents who voted for them. The critical issue at hand is how to
Sen. David Haley (KS) keep the delicate balance between the two. Chair, Region XI Sen. Bettye Davis (AK) It is clear that in 2011, NBCSL members will have to work hard with their Chair, Region XII colleagues at all levels of government and on both sides of the aisle to generate innovative solutions to these complicated circumstances. More EX-OFFICIO MEMBERS importantly, legislators will need to address their communities’ needs LaKimba B. DeSadier Executive Director, NBCSL notwithstanding state budget requirements. In this issue of The Legis- Terri Lee lator, we explore a few of these issues, specifically employment, educa- Chair, Corporate Round Table tion, healthcare, transportation, re-districting, in addition to national Foster Stringer Chair, Labor Round Table and international economic trends. These topics are a representative snapshot of issues that policymakers will face as they move forward with Jennifer E. Williams Chair, African American Legislative Staff the business of stemming the effects of this economic crisis. Coordinating Committee
PUBLISHER: National Black Caucus of State Legislators Many hard decisions will be made in the nation’s statehouses during the EDITOR: Kimberly Strickland, NBCSL current legislative sessions. State legislators should always remember MANAGING EDITOR: CommonHealth ACTION™ that despite these difficulties, this is not a time for partisanship and bick- DESIGN: Conceptual Geniuses™ ering. Through productive collaboration, elected officials can improve 444 North Capitol Street, NW, Suite 622 Washington, DC 20001 conditions that will serve the needs of their constituents while laying the 202.624.5457 | 202.508.3826 fax groundwork for innovation and growth as the economy recovers. www.nbcsl.org © 2011 National Black Caucus of State Legislators The Editorial Team THE LEGISLATOR | March 2011 PRESIDENT’S MESSAGE
Where do we go from here? It is up to us to leave our own legacy
I would like to thank the National American state legislators met our mission and goals. We are Black Caucus of State Legislators to discuss the formation of the grateful for the commitment for entrusting me with this posi- National Black Caucus of State and continued support from the tion and extend my appreciation Legislators. These state legis- Corporate Roundtable and and gratitude to my predecessor lators determined there was Labor Roundtable. Representative Calvin Smyre little on the NCSL agenda that I look forward to the work we (GA), for his hard work, dedica- addressed the issues and concerns have ahead of us by continuing tion, and exemplary leadership. of African American constituents. to fulfill the expectations The National Black Caucus After much deliberation, they bequeathed to us by our founding of State Legislators elected and created a new organization, members. Where do we go from entrusted eight state legislators the National Black Caucus of here? It is up to us to leave our with the title of President. These State Legislators. own legacy. We can do so by fine men and women include: Since the birth of the National making a commitment to live Rep. Matthew McNeely (MI), Sen. Black Caucus of State Legislators, up to those expectations and Clarence Mitchell, III (MD), Rep. 35 years ago, the organization has continue to make a difference in David P. Richardson, Jr. (PA), grown from a membership of 18 the lives of our constituents. Sen. Regis F. Groff (CO), Rep. state legislators from 11 states to Lois DeBerry (TN), Rep. James a membership of over 600 state L. Thomas (AL), Rep. Mary H. legislators from 44 states, the All of my best, Coleman (MS), and Rep. Calvin District of Columbia, and the U.S. Smyre (GA). It is truly an Virgin Islands, collectively serving honor and privilege to serve over 50 million Americans. This as the ninth President of the is a remarkable achievement, an Rep. Barbara W. Ballard (KS) National Black Caucus of State achievement that not only demon- President, NBCSL Legislators, and with your help strates the growth of African I look forward to leading this American legislators in the outstanding organization. United States, but also the growth The history of the National of our organization. I am so Black Caucus of State Legislators proud to be a part of the National is uplifting and inspiring. It all Black Caucus of State Legislators. began at the National Confer- I would like to thank our ence of State Legislators (NCSL) Executive Director LaKimba annual meeting in 1977 at the DeSadier and her staff for their Pontchartrain Hotel in Detroit, hard work and whose dedication Michigan. Eighteen African and expertise help us accomplish
THE LEGISLATOR | March 2011 FROM THE EXECUTIVE DIRECTOR
Moving From High Unemployment to Employable and Employed American Workers
The plight of the American worker continues to grow more difficult and challenging as the federal and state governments work to navigate the US economy out of recession. While various approaches to reducing unem- ployment are debated, it is clear that states must translate federal policy objectives into viable state strategies that will get people back to work. In late January, President n analyzing and informing the Department of Labor’s latest Obama appointed General factors that contribute to data. And economists estimate Electric CEO, Jeffrey Immelt to sustainable growth of the US the unemployment rate will chair the newly formed Council economy and the competitive- hover at 9% for the remainder on Jobs and Competitiveness. ness of the labor force. of 2011. For African Americans, Formed by executive order, The Interestingly, the President’s the burden of unemployment Council replaces the Economic selection of Immelt and others threatens to do more than stall Recovery Advisory Board and is on the Council transcends party economic recovery in certain charged with moving the country lines and draws upon the nation’s areas. It decimates family and from recession to positioning best and brightest business minds community assets and jeopardizes the nation for prosperity. The to chart a new course for the generational wealth built from Council is expected to achieve economy. As they work towards home ownership. The percentage this by: their goals, it is important of unemployed black workers n soliciting and recommending that the Council consciously (15.8%) is disproportionately ideas to the President and consider and address disparities higher than rates for their government agencies related to in unemployment, and that states white and Hispanic counterparts economic growth, innovation, do the same. (8.5% and 13% respectively). and job creation; Although there are indica- In some areas, unemployment n reporting to the President tions that the economy is on the rates for blacks is a staggering its assessment of current and slow path to recovery, the job 30% and higher. future policies including those market continues to lag behind. There are serious long-term related to employment, the While 103,000 jobs were added to implications of these dispropor- banking industry, and Amer- the economy in December 2010 tionate unemployment rates in ica’s global competitiveness; (fewer than expected), unemploy- states with large populations of and ment lingers at 9.4% according to African Americans. Economic
THE LEGISLATOR | March 2011 recovery in these areas will be In addition, states should seek unemployment crisis may arise particularly challenging. As the to develop innovative micro- from the work of the President’s President’s efforts to address economies that will manifest in Council on Jobs and Competitive- joblessness on the federal level long-term sustainable economic ness, many of them will need to continue, states will need to growth. This includes creating emerge from state elected offi- formulate and implement inno- educational opportunities cials who are willing to explore vative approaches to put their and career training programs new ways to expand and grow residents to work. The reach of for young people that specifi- their state economies and change their efforts must extend beyond cally establish a new pipeline the trajectory of their state’s work- re-employing those who have lost for African American workers. force and its development. their jobs in the past several years, Putting Americans back to work and target workforce develop- in an equitable manner requires ment and re-training to expand acknowledgement of current the numbers of employable and disparities and planning to LaKimba B. DeSadier has served as employed Americans. address those disparities by the Executive Director for NBCSL since 2003. She works to promote the organi- Over the past decade, the US cultivating new generations of zation in state legislatures as has engaged in many conversa- highly-trained and competitive well as increase its membership and tions about green jobs as a way workers from all communities visibility nationwide. to engage American workers in and populations. the emerging green economy. While some solutions for the
Call for Articles!
The Editorial Team is soliciting articles from NBCSL legislative members for The Legislator. We want to highlight the work you do, share your experiences, as well as the benefits of your knowledge. Articles should be opinion pieces focused on issues that have implications on a national level, and are relevant to state legislators. The next issue will be published in July 2011; the deadline date for submission is Monday, THE June 6, 2011. Please email all articles to [email protected]. Be sure to visit www.nbcsl. LA PUBLEGIICATION OF THE NATIONASLL BLACKATOR CAUCUS OF STATE LEGISLATORS org for updates and to review past issues. We look forward to your submissions!
THE LEGISLATOR | March 2011 Feature Article
Winning the Future through Innovation, Education, and Job Creation By Secretary Hilda L. Solis, U.S. Department of Labor
In his State of the Union speech, President Obama said we must win the future by out- innovating, out-educating and out-building the rest of the world. Moving forward, the efforts of this administration will need to pay special attention to our nation’s most underserved communities. And the Department of Labor is working to win the future by preparing all workers for the jobs of the 21st century.
THE LEGISLATOR | March 2011 In January 2009, the country participants served by the Depart- support the development and was in the midst of a recession. ment’s Wagner-Peyser program improvement of postsecondary Our economy shed over four (Labor Exchange Services), which programs to prepare students million jobs in 2008, and was in matches employers with skilled for successful careers in growing route to a total loss of over eight and productive jobseekers, are and emerging industries. This million jobs. The number of African American. More than 2 program underscores President jobs lost during this recession million African Americans were Obama’s commitment to help is greater than the downturns served by the federal-state Unem- every American have at least one of 1969, 1973, 1980, and 1981 ployment Insurance system -- a year of post-secondary education. combined. And, for African vital safety net for workers and It also furthers the president’s Americans, the economic diffi- their families during economic efforts to ensure that by 2020 culties were more challenging. downturns. And the Trade Adjust- the United States once again has African American unemploy- ment Assistance program has the highest proportion of college ment rates rose dramatically. For connected nearly 12,000 African graduates in the world. instance, in the summer of 2007, Americans workers with employ- The Department will be African American unemploy- ment opportunities. announcing a number of addi- ment rates rose from 7.7 percent Winning the future is also tional competitions that will help in August to 9.0 percent in about creating opportunities win the future. Our grants will December 2007. for a better life that we can pass fund workers’ training for careers The January 2011 jobs report on to our children. That is why in the clean energy economy, brought welcomed good news the Department is investing in as well as fund and evaluate that the number of people our nation’s youth. YouthBuild transitional jobs models focused unemployed decreased by about is a program that provides job on the needs of low-income 600,000 in January and that more training and educational oppor- non-custodial parents. They than one million private sector tunities for low-income or at-risk will also provide comprehensive jobs were added in 2010. Also, for youth ages 16 to 24. Nearly mentoring services leading to the second consecutive month the 60 percent of YouthBuild partici- economic self-sufficiency for unemployment rate fell, this time pants are African American. young parents, and continue by 0.4 percentage points to 9.0 Through Recovery Act funding, the support for career pathways percent, the lowest level in nearly meanwhile, the Department programs at community colleges two years. Yet for African Ameri- funded youth activities, including -- including those designated cans, the unemployment rate summer jobs for youth. Forty- as Historically Black Colleges remains high at 15.7 percent. four percent of the youth served and Universities. The challenge we now face is were African American. Finally, winning the future making sure that all communi- We’ll continue to work to win depends not only on training and ties are a part of our economic the future through our current investments in the U.S., but on recovery. For the Department of and future competitions. Recently our nation’s global leadership. Labor that means ensuring that the Department announced the President Obama set a goal of our programs and grant competi- Trade Adjustment Assistance doubling America’s exports by tions are inclusive and designed Community College and Career 2014 – because when we export to afford opportunity for a diverse Training Grant Program competi- responsibly, we create more jobs American workforce. And that is tion. Through this program the here at home. Before the Presi- what we are working to do. For Department will award approxi- dent took office, he made it clear example, over 19 percent of the mately $500 million this year to that his Administration would
THE LEGISLATOR | March 2011 enforce our trade agreements, And we remain committed to and that he would only sign deals their advancement. We remain that keep faith with American committed to getting them back workers and promote American to work, expanding their oppor- jobs. Recent agreements with tunities, and making sure they India and China will support keep what they earn. It’s the more than 250,000 jobs here in only way we all prosper and the the United States and open the only way we win the future for opportunity to sell our exports all Americans. to one of the fastest-growing markets in the world. From Boeing jets and GE engines to medical and mining equipment, these deals are worth nearly $10 billion in exports and will support more than 50,000 American jobs. These, and many other 21st century jobs, will require invest- ments in the education and Secretary Hilda L. Solis training of our workers – espe- was confirmed as the Secretary of Labor on cially those most undeserved. February 24, 2009. Prior to Today, communities with the her confirmation, Secretary highest unemployment and little Solis represented the 32nd Congressional District in access to job opportunities are California, a position she the ones that need us the most. held from 2001 – 2009.
THE LEGISLATOR | March 2011 Perspectives
Health Reform: Making a Difference in the Lives of African Americans By Rep. Joe Armstrong (TN), NBCSL President-Elect
The historic passage of healthcare reform in our country has been under attack in the political arena. These attacks have, unfortunately, caused confusion and opposition amongst many Americans. The truth is that this reform is and will continue to be a tremendous benefit to our citizens, and particularly for African Americans.
THE LEGISLATOR | March 2011 The Affordable Care Act (or parents will now have the choice off the insurance rolls. The Health Reform) will not hurt the of providing health coverage for a deficit will increase by $230 American economy and destroy child after they finish school. billion and small businesses will jobs. In fact, since health reform Many aspects of the new pay higher taxes. was enacted in March 2010, the healthcare law will specifically To repeal health care reform economy has continued to grow benefit African Americans. and go back to the long-tenured and businesses have continued Health reform strengthens status quo of ignoring the to create jobs, signaling a coverage in this community problem will simply mean more stronger recovery. Therefore, through funding, the promotion double-digit health care increases repealing health reform would of health care workforce diver- passed along to consumers. represent a step backwards for sity, and expansion of coverage. Medical care accounts for one- our labor market during a time Approximately $11 billion are sixth of the economy, which when we need to be focusing all designated for community health means that any health reform of our energies on moving our centers, in which about 22% of that improves the efficiency of economy forward. patients are African American. medical care will boost economic The economy has created over Conversely, African Americans performance. The effects of one million jobs since the enact- only represent 5.6% of physicians repeal would add more medical ment of the Affordable Care and 5.4% of nurses; however, burdens to the public and private Act, with twelve straight months health reform expands programs sectors and again leave millions of private sector job growth. aimed at increasing the diversity of American without coverage. Many economists expect further of the health care workforce. improvement in the labor market Currently, around 8 million through 2011. The bottom line is are uninsured or underinsured that enacting health reform shows and over 18 million are covered a commitment to addressing the by Medicaid and/or Medicare, deficit and rising healthcare costs. which includes approximately In addition to its economical 45% of African American chil- benefits, health reform provides dren. Medicaid will now expand all Americans with more freedom to all individuals and families and control in their health care with incomes up to 133% of the choices. It frees Americans from federal poverty level, covering the fear of insurance companies an additional 4 million raising premiums by double digits African Americans. with no recourse or account- Without the Affordable Care ability. Women will no longer Act critical consumer protections have to worry about discrimina- would be lost and the economy tion by health insurance compa- will suffer. Over 1.2 million young Rep. Joe Armstrong is the nies because they are pregnant, adults would lose their insurance President-Elect of NBCSL. He also represents the 15th and children will not be denied coverage. Children with pre- District in the Tennessee coverage because they were born existing conditions will be denied House of Representatives with a disability. By extending coverage and seniors would have where he serves on the coverage to allow young adults to pay more for their drugs. Preg- House Health and Human Resources Committee as well to remain on their parents’ nant women, breast and prostate as the Finance, Ways and insurance policies up to age 26, cancer patients could be thrown Means Committee.
10 THE LEGISLATOR | March 2011 Perspectives
In Support of Community Development Block Grants By U.S. Congressman Emmanuel Cleaver, II (MO), Chairman, Congressional Black Caucus
As we leave behind the worst recession in generations, the Congressional Black Caucus (CBC) remains committed to working with President Barack Obama to rebuild our economy and win the future for generations to come. The CBC is also committed to responsibly reducing the deficit by working to eliminate waste, while ensuring that we continue to invest in our children’s future, American innovation, and rebuilding this great nation.
THE LEGISLATOR | March 2011 11 The “new normal” for many local communities resembles a permanent state of depression as massive layoffs, long-term unemployment, weakened labor unions, falling home prices, and foreclosures continue. With fewer resources and smaller budgets, state legislators and policy makers are tasked with uplifting strug- gling neighborhoods without sacrificing essential public services. The Community Devel- opment Block Grant, one of the longest-running programs of the community and solicit project other public services, CDBG also U.S. Department of Housing and ideas or plans from citizens and spurred economic development Urban Development, has proven a local organizations that address by allowing private businesses useful tool to fund local commu- those needs. This model repre- to hire or retain workers. The nity development activities such as sents a significant shift in how broad impact of CDBG programs affordable housing, anti-poverty the federal government addresses makes it difficult to definitively programs, and infrastructure poverty and blight; instead of measure its secondary effects, development while creating jobs federal planners dictating how but researchers agree that its and buttressing private business. and where funds are spent, CDBG approach is markedly more Since 1975, the Commu- encourages a thoughtful, commu- successful than previous models. nity Development Block Grant nity-centered approach that All projects funded with CDBG (CDBG) has provided $131 exemplifies civic engagement. must meet at least one of three billion in funding to over 7,250 The effects of CDBG are national objectives. The projects local governments annually, and far-reaching. In fiscal year 2009- must either: 1) primarily benefit its grantees have invested more 2010, CDBG-funded economic individuals of low-to-moderate than 2.5 billion in public facilities development investments directly income, i.e., individuals at or activities across the nation. The created more than 41,000 jobs. below 80% of the median house- CDBG, however, is more than just During that same period, CDBG- hold income, 2) perform slum a federal funding funnel. Unlike funded public service activities and blight removal, or 3) remedy other federal attempts to alleviate provided direct benefits to almost an urgent threat to health and poverty and blight in U.S. cities, 21 million persons through the safety. Proposals are reviewed the CDBG’s unique “bottom-up” expenditure of $490 million in according to the direct and indi- approach allows communities public services grants. Those rect economic impact potential, greater control over program numbers, however, do not even urgency of the service, funds priorities and gives those most begin to reflect spin-off activity already leveraged and committed affected by the economic down- and secondary effect jobs. In to the task, project readiness, turn a voice in determining addition to the estimated job ability to start and complete spending. In order to receive impacts from activities such as the project, and whether the CDBG funds, applicants must public facilities improvement, need addressed is identified as pinpoint pressing needs of the housing rehabilitation, and a priority in a local or regional
12 THE LEGISLATOR | March 2011 development plan. This structure In fact, the proposed cuts are working American families, while ensures CDBG funding will be likely to reduce jobs in low-to-mid at the same time disregarding provided for practically useful income communities by nearly the well being and protection and realistic objectives that stand 90,000. In fiscal year 2010, 94.7% of our nation’s most vulnerable to affect the greatest change with of disbursements directly affected communities. The Congressional the least investment. low and moderate income neigh- Black Caucus remains steadfast Moreover, over the past two borhoods; this unparalleled in our commitment to ensure the decades, Congress has used concentration of resources is a preservation of programs such CDBG on multiple occasions lifeline for vulnerable neighbor- as the Community Development to provide long-term disaster hoods with nowhere else to turn. Block Grants that provide these recovery assistance. Places like While the U.S. economy has seen communities with the necessary Lower Manhattan after 9/11; the slow growth in recent years, few support. Gulf Coast following hurricanes of those gains are realized in Katrina, Rita, and Wilma; and the low income areas, making the Gulf Coast and upper Midwest preservation of CDBG funding following spring flooding and crucial to saving already blighted hurricanes Ike and Gustav in communities from absolute ruin. 2008, have all reaped the bene- It is certainly in the interest of fits of CDBG funding and loan state legislators to maintain guarantee provisions. CDBG has CDBG funding in order to keep played a crucial role in reviving community-centered develop- struggling communities and ment efforts afloat, and we urge those hardest hit by the fiscal state legislators and policy makers crisis and natural disaster. The to put pressure on Congress to accessible and sensible nature of protect Community Development the program makes it a useful Block Grant initiatives. tool for state legislators looking Attempting to rebuild our for creative solutions to over- economy on the backs of those whelming budget difficulties. most vulnerable will severely Earlier this month, the Repub- cripple the future of communi- lican majority in the House ties of color. We agree that we of Representatives proposed need to cut spending, but we also reducing the CDBG appropria- have to invest in the future, and tion by over $500 million. A cut this is not the way to proceed. of that magnitude is likely to have Our success as a nation is relies a significant negative impact on on the accomplishments of every the national economy consid- community. Until we grasp that ering the vast effect CDBG has concept, we will never realize the Congressman Emanuel Cleaver, II was elected on job creation, infrastructure full potential this country has to the 22nd Chairman of development, renovation, and offer. the Congressional Black community services, in addition It is unfortunate that many Caucus. He is currently to the hundreds of millions of continue to play Russian roulette serving his third term representing the Fifth dollars in income the program with our economy through indis- District of Missouri in the generates for cities and states. criminate cuts that target hard House of Representatives.
THE LEGISLATOR | March 2011 13 Perspectives
Education Reform in a Changing Economy By Rep. Gregory W. Porter (IN)
“Over the next ten years, nearly half of all new jobs will require education that goes beyond a high school degree. As many as a quarter of our students aren’t even finishing high school. The quality of our math and science education lags behind many other nations. America has fallen to ninth in the proportion of young people with a college degree. And so the question is whether all of us as citizens, and as parents are willing to do what is necessary to give every child a chance to succeed. The education race doesn’t end with a high school diploma. To compete, higher education must be within reach of every American.”
President Barack Obama, 2011 State of the Union Address
14 THE LEGISLATOR | March 2011 As policy makers and The cornerstone of a free resources tend to have poor researchers continue the conver- society is education. Prosperity health, in addition to low cogni- sation about reform in the 21st in our society includes a strong tive and school performance- century, clearly education will be education and economic develop- related outcomes. They are a focus, and its reform can lead ment. Combined they enhance negatively affected by poverty to many paths. It is also critical a person’s access to good health- throughout their lives and espe- that for this conversation we also care, adequate housing, and cially when the poverty occurs at include an in-depth examina- general happiness. These are a young age and in severe form. tion of economic reform in this obligatory goals for a free society. Policy efforts to assist low-income rapidly changing society. The Emphasis must be placed on families in order to increase United States economy demands education investment and the performance need to start early innovative interventions, and impact it has on human capital. and target the entire family’s experts state that linking educa- Economic levels affect achieve- economics and education. tion reform with economic devel- ment levels in the early years Public policy that addresses opment is the most important of growth. Children who grow the causes of hopelessness and challenge of the 21st Century. up without adequate economic poverty must address the need of
THE LEGISLATOR | March 2011 15 high school in four years; some estimates are as high as 34 percent. Data from the National Center for Education Statistics shows that, in 2008, high school students from low-income families (the lowest 20 percent) were seven times more likely to drop out than students from high-income families. States and communities bear the brunt of the drop out crisis through increased costs to society, diminished quality of life, and—most importantly—the loss of productive, engaged citizens. This is not a problem that can be ignored until state economies improve. In fact, high school success is the key to improvement. The Alliance for Excellent Educa- tion estimates that, if the students what causes the hopelessness and tion. It has been reported that who dropped out of the class of poverty. The education evolu- almost 90 percent of the new jobs 2009 had graduated, the nation’s tion and the changing economy being created today require more economy would have benefited present tremendous challenges. than a high school level of literacy from nearly $335 billion in Policy makers need to set policies and math skills (U.S. Census additional income during the for programs that will advance Bureau, 2000). As a society, we course of their lifetimes. And and be competitive in a global need to develop and implement that’s only for one year! In fact, if society. This can only be accom- pathways toward increasing the current pattern is allowed to plished if we as policy makers high school graduation rates. continue, more than 12 million take significant action steps to College attainment, college students will drop out of school increase the graduation rates completion, and work readiness during the next decade at a cost of high school, increase atten- all are key ingredients and to the nation of more than $3 dance into secondary education, crucial to economic and educa- trillion. Improving high school and provide programs where tional development. graduation rates—and helping all high-level technical skills can be The nation needs today’s kids navigate a path to success in attained. In order to compete, school-age children to fill the jobs college, careers and beyond—is students must possess a competi- of tomorrow—jobs that require urgent. In sum, the status quo is tive high knowledge base. more advanced skills and educa- affecting our ability to serve our Increased graduation rates tion than ever before. To accom- students, grow our economies, are necessary in order to achieve plish this task we must substan- and succeed as a nation. high levels of economic growth. tially decrease the dropout State legislators need to take Generally, one’s earning potential rate. More than 25 percent of a leadership role in resolving this increases with the level of educa- our students fail to complete issue. We need to coordinate,
16 THE LEGISLATOR | March 2011 support, and build programs and of state legislatures in helping drop out of school is a drain policies that provide effective all students navigate a path to on state economies. A state solutions. The current economic success. Appointed in 2009, the is less attractive to new busi- crisis offers an opportunity to bipartisan task force members ness investments when its act. The economic downturn has were particularly struck by the workforce is poorly educated. wreaked havoc on state budgets, following findings: State budgets are challenged forcing difficult choices and by increased public health driving important conversations 1. It is predicted that the next costs, higher crime rates, and about state economic priorities, generation of young people increased welfare costs for responsibilities, and account- in this country will be less each high school dropout. ability. The current crisis in state educated than the current Most significantly, states face budgets is expected to continue generation, yet workforce lost tax revenues because for several more years. It provides demands are higher than dropouts earn significantly less an opportunity to pare duplicate ever. As America’s current than high school graduates. services, hold agencies account- generation of highly educated able for improving results, as well workers begins to retire, it is Based on these findings, it is as find new ways to collaborate, expected that the educational clear that education reform and share information, and ensure level of the younger genera- economic recovery are inex- that state policy environments tion of Americans will not tricably linked. Consequently, provide incentives for improving approach their parents’ level in light of all the budget cuts high school graduation rates. of education; yet, a high school sweeping the country, I strongly We must shift the paradigm of diploma no longer is sufficient. encourage policy makers to low expectations for high schools, According to Help Wanted: support programs that promote in which some students are Projections of Jobs and Educa- growth through both education college-bound, some barely meet tion Requirements through and economic development, as we graduation requirements, and 2018 from the Georgetown can no longer afford to separate the rest leave without graduating. University Center on Educa- the two. Today’s expectation should be tion and the Workforce, 63 that ALL students graduate from percent of the jobs in the next high school ready for success in decade will require postsec- college and their careers. We ondary education and beyond. must put into place the policies 2. We must dramatically and practices that ensure all chil- increase high school gradu- dren have equal opportunities to ation rates to improve state succeed in school and life. economies. The future is During the past 18 months, grim for students who do not the National Conference of earn a high school diploma. State Legislatures Task Force on In the current economic
School Dropout Prevention and climate, according to the Alli- Rep. Gregory W. Porter Recovery has studied and debated ance for Excellent Education, is the ranking minority the issues of high school dropout students without diplomas are leader of the House prevention and recovery, the unemployed at three times the Education Committee in the state of Indiana education challenges facing our rate of students with college and the Chair of NBCSL’s states and nation, and the role degrees. Allowing students to Education Committee.
THE LEGISLATOR | March 2011 17 Perspectives
His Truth is Marching On: African American Farmers and the Pigford II Settlement By Joe Leonard, Jr., PhD, Assistant Secretary for Civil Rights, U.S. Department of Agriculture
When the march from Selma to Montgomery occurred, America was changed forever. To claim that the change would be welcomed or rapid would be to miss the relevance of the situation that Dr. Martin Luther King, Jr. and others accomplished on those long and winding, southern roads. These roads were fatal for some of the participants and dangerous for nearly all of those who followed Dr. King in those fateful days in March of 1965. The point that history teaches us is that the relevance of a movement is not gauged by the moment but by its long- term results. When asked by some in the media and by his own staff how long it would be before African Americans would receive voting rights, he responded by saying, “How long? Not long, because the arm of the moral universe is long, but it bends toward justice...”
I believe that Dr. King knew in a person of moral conscience, I a class-action lawsuit, Pigford I, 1965 that the struggle for justice understand the teaching of Dr. against the U.S. Department of was just beginning, and that it King and the lessons of Selma Agriculture (USDA) in federal would ultimately stretch from as it factors into the settlement district court, alleging discrimi- fair housing to equal opportunity of Pigford, et.al. v. Glickman, nation regarding participation in education, employment, and currently known as Pigford, in some USDA farm programs. accommodations. In the struggle et.al. v. Vilsack (Pigford I) class The case was settled on April for justice, the road winds and action lawsuit. We see the moral 14, 1999, with a Consent Decree, turns in many directions, and the compass of justice turning and it through which individual claims longer justice is denied the more moved these African American would be assessed and adjudi- complicated and the longer it will farmers from a state of frustra- cated in a court-approved claims take to straighten its arm back to tion to that of satisfaction. process. There were concerns its moral universe. On August 28, 1997, a group of with the Pigford I Consent Decree As a student of history and African American farmers filed when more than 63,000 poten-
18 THE LEGISLATOR | March 2011 tially eligible African American Any individual who previously For both Track A and Track farmers who filed late claims were submitted a petition to file a late B, the neutral party may require denied participation in the claims claim in Pigford I to the Court, claimants to provide additional process. In response, Congress the Pigford Facilitator, the Pigford documentation and evidence passed Section 14012 of the Food, Monitor, the Pigford Adjudicator, if it is believed that they are Conservation, and Energy Act or the Pigford Arbitrator, and necessary or helpful, or if s/he of 2008 (2008 Farm Bill), which did not receive a determination suspects fraud. allowed these African American on the merits of his/her claim In the future when historians farmers to file lawsuits against is eligible to participate in the stand and look down the annals USDA, and appropriated $100 Pigford II settlement agreement of history they will reflect upon million for monetary relief. These and become a class member. how the Obama administration cases have now been consolidated To receive an award under the and Secretary Vilsack assisted into a new lawsuit formally known Pigford II settlement agreement, African American farmers. All as In re Black Farmers Discrimination an individual first must become will observe how the arm of Litigation (Pigford II). a class member and then prove/ the moral universe bent toward The Obama administration establish discrimination involving justice for African Americans, and USDA Secretary Tom Vilsack certain USDA farm programs. Hispanics, Native Americans and vigorously pursued the settlement There are two different options Women farmers, and that justice of this case bringing closure to for class members to choose in was denied no longer. this longstanding and well docu- order to prove discrimination: mented case of discrimination, Track A or Track B. Each track and subsequently Pigford II was carries a different burden of settled on February 18, 2010. proof and identifies different The settlement contains a non- elements to establish discrimina- judicial, non adversarial claims tion. Track B carries a heavier process for awarding a total burden for class members to of up to $1.25 billion – which prove discrimination. If the class includes the original $100 million member prevails in the claims provided by the 2008 Farm Bill – process, each track results in a Dr. Joe Leonard, Jr. was to African American farmers who different amount of compensa- nominated by President meet specific eligibility require- tion, i.e., combination of cash, or Barack Obama and ments. To be eligible, farmers had debit relief, and/or tax relief. An confirmed by the U.S. to also have previously submitted independent, neutral third party Senate on April 2, 2009 to be the Assistant Secretary a request to file a late claim in the will make all determinations on for Civil Rights at the 1999 Pigford I Consent Decree. eligibility and validity of claims. United States Department Who will be eligible to partici- USDA will have no authority or of Agriculture. Dr. Leonard has a strong academic, pate in the claims process and influence on the determination legislative, and working receive an award? of claims. history in civil rights.
NOTE It would be inappropriate for USDA to provide any assistance, advice, or counsel to persons regarding this settlement. We recommend that you hire an attorney, and/or contact the following toll-free number [1-866-950-5547] or Web site, www.blackfarmercase.com for additional information.
THE LEGISLATOR | March 2011 19 LEGISLATOR HIGHLIGHTS
NBCSL Members Balancing Budgets and Benefits
Since the emergence of the economic crisis, state legislators all over the country have inherited the daunting task of developing policies and legislation that not only support the economy, but also minimize the effects of this crisis on their communities. This work involves very difficult decisions regarding which budgets to cut, how much to cut, and what considerations need to be made to ensure that while budgets are balanced, supports for vulnerable citizens are preserved within state systems. In this issue of The Legislator, we feature NBCSL members who have been working to balance these issues as they try to improve conditions in their states. We salute these legislators as they continue the fight to restore economic stability to their communities, and support environments that will enable their constituents to thrive.
Rep. Virgil Fludd (GA) Serving his fifth term in the Georgia State Legislature, Rep. Virgil Fludd repre- sents the 66th House District, which includes sections of Fayette and Fulton Counties in south metro Atlanta. In the House of Representatives, he serves on the Ways and Means, Regulated Industries, Small Business, and Banking Committees, and is also Chair of the Economic Development Policy Committee and Co-Chair of the Working Families Legislative Caucus. During his tenure in office, Rep. Fludd has authored or co-authored over 100 bills to improve the lives of Georgians, including successful battles to stop payday lending, ensure tax reform, district voting, and financial education in predatory his state. He has won recognition by the Center for Policy Alterna-
20 THE LEGISLATOR | March 2011 tives, AARP, Georgia Association of Personnel Services, Georgia Conserva- tion Voters, the Sierra Club, Georgia Equality, United Auto Workers, Service Employees International Union 1985, Georgia State AFL-CIO and Georgia Association of Educators. He recently served as the Economic Development Policy Director for the House Democrats and Co-Chair of the Working Families Caucus. Rep. Fludd is a founding member of the National Black Caucus of State Legislators Financial Literacy Task Force. He has been the President of the North Fayette Community Association, Chair of the Board of the Dr. Ronald E. McNair Foundation, and the Southern California Youth and Family Center. Additionally, he has served on the Boards of the Atlanta Chapter of the Urban Financial Services Coalition, Davidson College Alumni Association, Clayton State University Foundation, and the Fayette Community Foundation. For more information about Rep. Fludd, visit http://www1.legis.ga.gov/legis/2011_12/ house/bios/fluddVirgil.htm
Rep. Eric Johnson (TX) In April 2010, Rep. Eric Johnson made official his dedication to serve District 100 when he was sworn in to the Texas Legislature. As a long-time resident of this district, Rep. Johnson began his education there in elementary school, and returned after completing his law degree at Harvard in 1998. Since then he has volunteered his service to various civic organizations, including serving on the Board of the Boys & Girls Clubs of Greater Dallas, the Martin Luther King Jr. Community Center, the Metro Dallas Homeless Alliance, the West Dallas Chamber of Commerce, and the Educational Opportunities, Inc., an organiza- tion that provides scholarships to academically talented but economically disad- vantaged students. Despite his relatively short time in the Texas Legislature, Rep. Johnson has been busy serving his constituents in a number of ways, including opposing a House budget proposal that would eradicate two key social support programs related to homelessness and recidivism. In a statement regarding the proposed budget he said: “I am deeply concerned that the proposed cuts contained in HB1 will result in a major step backwards for our state, and we will see increasing recidivism and more homeless on our streets and in our psychiatric hospitals. Failing to provide these individuals early support, through Project RIO and Homeless Housing and Services funds, is likely to prove very costly to Texas in the long run.” In December 2010, he also filed House Bill 430 that provides Texans with additional ways to build their credit and make the credit reporting system more fair to consumers. Most recently, Rep. Eric Johnson was appointed to the Texas House Appro- priations Subcommittee on Articles VI, VII, and VIII. Article VI includes budgets for state agencies pertaining to natural resources, Article VII for agen- cies pertaining to business and economic development, and Article VIII for agencies pertaining to regulatory matters. Additionally, in December 2010, Rep. Johnson was elected to serve as an at-large member of the NBCSL Execu- tive Committee, the only representative from the Texas Legislature on the committee. For more information about Rep. Johnson, visit his Web site at: http://www.johnsonfortexas.com/.
THE LEGISLATOR | March 2011 21 Sen. Jackie Winters (OR) After serving two terms in the Oregon House of Representatives, Senator Jackie Winters was elected to the State Senate in 2002 and again in 2006 to represent Senate District 10. An outspoken advocate for those most in need, she has worked on various efforts with the aim of helping her most vulnerable constitu- ents. Her posts in the Legislature have included the Business and Education Committees, several healthcare-related committees, as well as the influential Ways and Means Committee. Senator Winters believes that the number one priority should be putting Oregonians back to work. To her, this means growing businesses and creating an environment where businesses can thrive. She also believes that the tax system in Oregon needs to change so that the burden on families, seniors, and businesses is reduced and employers are encouraged to invest and grow. In addition, she has worked hard to create a state savings account that puts money away in times of prosperity so there is something to fall back on when facing tough economic times. For more information about Sen. Winters, visit her Web site at: http://www.senatorwinters.com/
Sen. Lena Taylor (WI) In 2003, Sen. Lena Taylor won a special election to serve on the Wisconsin State Assembly. In 2004, she went on to be elected as the second African American woman to serve in the Wisconsin State Senate. Over her relatively short career as a legislator, she has proven herself to be a rising star in Wisconsin poli- tics, currently serving her second term on the powerful budget-writing Joint Committee on Finance, in addition to being the Chair of the Senate Committee on Judiciary and Corrections. Sen. Taylor has focused much of her attention in the State Senate on employ- ment discrimination, fighting for women’s rights, and addressing disparities in the justice system. As part of her work on the Joint Finance Committee, she has supported efforts to improve the educational requirements for school teachers and administrators, as well as proposed additional housing options for homeless veterans, new funding for re-entry programs, and provisions to strengthen fair housing laws in the state. Most recently, Sen. Taylor has demonstrated her dedication to her constitu- ents by leaving the state with 13 of her fellow Democratic legislators to delay action on a bill proposed by the governor that essentially seeks to remove collec- tive bargaining rights of public sector employees. For more information about Sen. Taylor, visit her Web site at: http://legis.wisconsin.gov/senate/sen04/news/ ltBio.asp.
22 THE LEGISLATOR | March 2011 NBCSL EVENTS
34th Annual Legislative Conference Highlights By Kimberly Strickland, JD, NBCSL Communications & Research Associate
On December 1, 2010, over 500 state legislators, elected officials, and representatives from corporate and roundtable organizations convened at the Loews Atlanta Hotel in Atlanta, Georgia for NBCSL’s 34th Annual Legislative Conference. NBCSL’s conference encouragement to the students. session discussed the “educa- commenced with the Annual Thursday morning began tional outcomes for African Youth Congress Day Program and with the Humanitarian Awards American Males,” and featured Luncheon. Over 200 students & Opening Plenary Break- Stacy Jordan, Director of Inter- from Atlanta highs schools fast. During the breakfast, US governmental Affairs for the U.S. attended the program. The Congressman and civil rights Department of Education and Dr. scholarship awardees were: activist the Honorable John Bryant Marks, Assistant Professor n Dorrian Swinger - Therrell Lewis (GA), was honored for his at Morehouse College. (12th) tremendous fortitude, leader- The Law, Justice, & Ethics n Marquez Allen - Washington ship, and unwavering love for the combined with Gaming, Sports, (11th) American people from the civil and Entertainment session n Raven Tukes - South Atlanta rights era to today. The event discussed the “Ethical Dilemmas (12th) concluded with closing remarks Among African American Elected n Shaundrika Baker - Therrell from then-President Calvin Officials” and featured Joe (12th) Smyre (GA). Briggs, Public Policy Counsel and Following the Humanitarian Manager of Government Rela- NBCSL legislators joined the Awards, participants attended tions for NFL Players Association; students in a mock exercise of the first set of Concurrent Policy and Dennis Scott, Radio Analyst the legislative process called, Committee Sessions to discuss for the Atlanta Hawks Radio “How a Bill Becomes a Law.” important policy issues facing the Network. The second topic was The students displayed great nation and how to address them. a discussion on whether “Profes- enthusiasm in learning and The morning Concurrent Policy sional Sport Organization Hires acting out the legislative process. Sessions included: Education Reflect the Faces on the Field and Following the exercise, they were & Youth; Law, Justice, & Ethics in the Stands” and it featured treated to an inspiring speech combined with Gaming, Sports, Eli Richardson, Anti-Corruption by motivational speaker Dennis and Entertainment; and Business, Expert Monitor for the Organiza- Rahiim Watson. Actor Hosea Financial Services, and Insur- tion for Economic Cooperation Chanchez from the hit show The ance combined with Housing and and Development. Game concluded the event on a International Affairs. Lastly, the Business, Finan- high note by providing words of The Education & Youth cial Services, and Insurance
THE LEGISLATOR | March 2011 23 01 02
03
04 <01> [Benjamin S. Ruffin Corporate combined with Housing and Roundtable Luncheon] Terri Lee, International Affairs discussed Merck & Co., Inc., Rep. Calvin Smyre (GA), Rep. Mary H. Coleman (MS), “Strengthening African American Rep. James L. Thomas (AL), Rep. Lois Communities through Financial DeBerry (TN), and Cleo Washington, Progression & Immigrant Citizen AT&T Communications Integration,” and featured Ruben <02> McDaniel III, President & CEO Youth Congress Day Luncheon Keynote for Jackson Securities; Mark Speaker, Actor Hosea Chanchez and Rep. Calvin Smyre (GA) Krikorian, Executive Director for the Center for Immigration <03> Studies; Ed Jennings, Jr., [Humanitarian Awards] Regional Director for the U.S. Sergeant at Arms, Buffalo Soilders Department of Housing and <04> Urban Development; and David [Benjamin S. Ruffin Corporate Hinson, National Director for the 05 Roundtable Luncheon] Keynote Speaker Michael A. Rashid, U.S. Minority Business Develop- AmeriHealth Mercy Family ment Agency. of Companies At the conclusion of the first
<05> round of Concurrent Policy Sen. Hillman Terome Frazier (MS), Committee Sessions, confer- Sen. Constance Johnson (OK) ence participants attended the Benjamin S. Ruffin Corporate Roundtable Luncheon to hear from President and CEO of AmeriHealth Mercy Family of Companies, Michael A. Rashid. Conference attendees then dispersed to participate in the
24 THE LEGISLATOR | March 2011 06 07
second round of Concurrent Policy Committee Sessions. The afternoon Policy Sessions included: Human Health & Services combined with Labor, 08 Military, and Veterans Affairs; Telecommunications, Science, and Technology combined with Emergency Preparedness/Home- land security; and Energy, Trans- portation, and Environment combined with Agriculture. The Human Health & Services combined with Labor, Military, and Veterans Affairs session discussed the “Implementation of New Health Care Laws”, and featured Dr. Garth Graham, Deputy Assistant Secretary for the Minority Health, Office of Minority Health of the U.S. Department of Health and Human Services; and Anton <06> Gunn, Region IV Director for What is Working? And, What [CRT School Visit] Corporate the U.S. Department of Health Can You Do to Drive Adoption in Roundtable Members talk to and Human services. The other Your Community.” The panelists Maynard Holbrook Jackson topic discussed in this session, included Dr. Nicol Turner-Lee, High School students “Creating Jobs in this Economy,” Vice President & Director for the <07> featured Alan Essig, Executive Media and Technology Institute [Humanitarian Awards] Director for the Georgia Budget at the Joint Center for Political Rep. Barbara W. Ballard (KS), Humanitarian Award Recipient and Policy Institute; and Clayola and Economic Studies; Debra US Congressman John Lewis (GA), Brown, President of the A. Phillip Speed, Executive Director for Rep. Calvin Smyre (GA), Randolph Institute. Public Policy & Strategic Alli- Melissa Bishop-Murphy, Pfizer Inc.
The Telecommunica- ances of Verizon Communica- <08> tions, Science, and Technology tions; Antonio Williams, Director [CRT school Visit] committee combined with Emer- of Government Affairs for Corporate Roundtable Members gency Preparedness/Homeland Comcast Corporation; and Cleo talk with students security committee in a session Washington, Chief of Legislative to discuss “Broadband Adoption- Affairs for AT&T.
THE LEGISLATOR | March 2011 25 09
<09> Youth Congress Day Keynote Speaker Dennis Rahiim Watson
<10> On Air Personality, Warren Ballentine interviews Rep. Gregory W. Porter (IN) and Rep. Gilda Cobb-Hunter (SC)
<11> 10 Rep. Charlie Brown (IN), U.S. Congressman Cedric Richmond (LA), Sen. Donne E. Trotter (IL), Rep. Calvin Smyre (GA), and Rep. Alan B. Williams (FL)
<12> Sen. Constance Johnson (OK), Rep. Thaddeus Kirkland (PA), and Del. Michael Vaughn (MD)
<13> Nobel/Women’s Breakfast
11 12
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26 THE LEGISLATOR | March 2011 14 15
16
17 18 <14> [President’s Reception] Rep. Calvin Smyre (GA) and Rep. Barbara W. Ballard (KS)
<15> Rep. Mike Shelton (OK) and Rep. Gregory W. Porter (IN)
<16> Rep. Gloria Fox (MA) and Sen. Ruth Hassell-Thompson (NY)
<17> Rep. Joe Armstrong (TN) and 19 Rep. Barbara W. Ballard (KS)
<18> Rep. Jewell Williams (PA) and Sen. Nathaniel Exum (MD)
<19> [NOBEL/Women’s Breakfast] 20 Keynote Speaker Angela Burt-Murray, former Editor-in- Chief for Essence Magazine
<20> Comedian Jonathan Slocumb and Nation Builder Award recipient Xernona Clayton
<21> Rep. Joe Armstrong (TN) and 21 Rep. Joe Gibbons (FL)
THE LEGISLATOR | March 2011 27 22
Lastly, the Energy, Transpor- tation, and Environment and Agriculture combined committee session discussed “The Future of African American Farmers” and featured Doug Berven, Director of Corporate Affairs for POET; and Dr. John Boyd, President of the National Black Farmers’ Association. The second topic discussed in this session “The Green Economy- Securing Funding for Entrepreneurs and Making the Federal Government Partner through Relationships 23 with the EPA,” and featured <22> Barrett Hatches, CEO for BHMM Sen. Arthenia L. Joyner (FL), Energy; and Beverly Houston Rep. Lois DeBerry (TN), Banister, Division Director for Georgia Legislative Black Caucus Chairman Sen. Emanuel Jones, U.S. Environmental Protection Yolanda Jackson, Access Health Agency Region IV. After the busy Solutions, and Rep. Dee day, participants had the oppor- Dawkins-Haigler (GA) tunity to network and relax at the <23> President’s Reception. 24 U.S. Congressman Sanford Bishop Friday began with the (GA), Sen. Thelma Harper (TN), NOBEL/Women Legislative and Sen. David Haley (KS) Breakfast where participants <24> heard from Angela Burt-Murray, [Prayer Breakfast & Memorial Former Editor-in-Chief of Service] Keynote Speaker Reverend Raphael G. Warnock ESSENCE magazine. After the breakfast, members participated <25> in the 2010 NBCSL legislative [Closing Plenary Session] Rep. Ken Dunkin (IL) elections and then dispersed for various meetings. Partici- pants reconvened for the David S. Holmes Award Luncheon that was hosted by nationally renowned Atlanta news anchor, Ms. Monica Pearson. During the Luncheon, NBCSL honored those 25 who have supported the organiza- tion’s mission and contributed to its legacy. The following awards were given: n Corporate Achievement & Image Award: Centene Corpo- ration (Ms. Joyce Larkin) n Regis F. Groff Youth Award: Genarlow Wilson, Morehouse College
28 THE LEGISLATOR | March 2011 26
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n NBCSL Labor Leader of the In the afternoon, legislators <26> Year Award: Dr. Donna Gross and guests attended the Policy [Executive Committee Swearing-In] Rep. Barbara W. Ballard (KS), McDaniel, Laborers’ Interna- Resolution Ratification Session Rep. Joe Armstrong (TN), tional Union of North America where the crowning achievement Rep. Thaddeus Kirkland (PA), (LIUNA) of NBCSL’s yearly efforts, the 2011 Sen. Constance N. Johnson (OK), Sen. Catherine Pugh (MD), n NBCSL Crystal Gavel Award: Policy Resolutions, were debated Rep. Howard Mosby (GA), and Sen. Robert Brown (GA); Sen. and ratified. Sen. Hillman Terome Frazier (MS) Carolyn Hugley (GA); Sen. On Friday evening, NBCSL Emmanuel Jones (GA) members and guests attended the <27> [Nation Builder Awards Dinner] n Eagle Awards:Rep. Annette black tie, David P. Richardson, Sen. Arthenia L. Joyner (FL), Polly Williams (WI); Rep. Jr. Nation Builders Awards Rep. Joe Armstrong (TN), and Howard Mosby (GA); Sen. Ceremony and Dinner, hosted by Terri Lee, Merck Co., Inc. Wayne Ford (IN); Larry Lucas, Atlanta news anchor, Ms. Jovita <28> PhRMA; Terri Lee, Merck Moore and comedian, Mr. Jona- Tennessee Legislators (from left Corporation, Inc. than Slocumb. During this event, to right): Rep. Karen Camper, Rep. Johnnie Turner, Sen. Thelma n Legislator of the Year Award: NBCSL honored two exemplary Harper, Rep. Joe Armstrong, Rep. Rep. Cedric Richmond (LA) individuals with the State Nation Brenda Gilmore, Rep. Barbara n Eli Lilly Lifetime Achievement Builder Award: Cooper, Rep. Tommie Brown, and Rep. G.A. Hardaway. Award: Rep. Michael Shelton n Mr. Robert W. Bogle, Presi- (OK) dent/CEO, The Philadelphia Tribune (PA)
THE LEGISLATOR | March 2011 29 29
After breakfast, conference attendees convened for the Closing Plenary Session, which focused on race and redistricting, and was moderated by CNN political correspondent Roland Martin. Participants listened 30 to and participated in a robust discussion that included Texas State Senator Rodney Ellis, South Carolina State Representative Gilda Cobb-Hunter, Executive Director of the Southern Coali- tion for Social Justice Ms. Anita Earls, Deputy Secretary for Inter- governmental Relations for the New York State Senate John L. Flateau, Ph.D., and Former Chief of the Voting Rights Section of the Justice Department’s Civil Rights Division John Tanner. The 2010 Annual Legisla- tive Conference proved to be 31 a resounding success. NBCSL n Mr. Robert L. Wright, MD, thanks its participants and Chairman, Flight Explorer sponsors for making the event (GA) possible. We look forward to building upon this achievement In the second half of the during the 35th Annual Legis- ceremony, NBCSL then conferred lative Conference to be held its National honors to: December 7-11, 2011, in Chicago, n Representative Sanford D. Illinois. <29> Bishop, Jr., U.S. House of [Closing Plenary Session] Panelists Representatives (GA) (from left to right) John L. Flateau, n Ph.D., Deputy Secretary for Ms. Shirley C. Franklin, Mayor Intergovernmental Relations, New of Atlanta (2001 – 2009) Kimberly Strickland is NBCSL’s Commu- nications and Research Associate who York State Senate; Anita Earls, n Ms. Xernona Clayton, Founder, Executive Director for the Southern has earned her Juris Doctorate and Coalition for Social Justice; John Trumpet Awards Foundation worked as a special assistant to the Tanner, Former Chief of the Voting Assistant Secretary for Civil Rights at Section of the Justice department’s The last morning of the the U.S. Department of Agriculture. Civil Rights Division, Rep. Gilda conference opened with the Cobb-Hunter (SC), Sen. Rodney Ellis (TX), and CNN Political Prayer Breakfast, where partici- correspondent Roland Martin pants heard from Reverend Raphael G. Warnock, Senior <30> Closing Plenary Panelists Pastor of Ebenezer Baptist Church in Atlanta, Georgia. <31> Candles were lit and prayers NBCSL Executive Director were offered in memory of LaKimba B. DeSadier recites a poem to honor the life of Rep. Ulysses Jones former legislators who passed (TN) at the Prayer Breakfast and away in 2010. Memorial Service
30 THE LEGISLATOR | March 2011 NBCSL EVENTS
The Third World Festival of Black Arts and Cultures in Dakar, Senegal By Reginald M. Abreu, NBCSL Policy Associate
The “Statue de Renaissance.” It is a statue of an African man, woman, and child looking towards the future. It stands as the tallest statue in the world (taller than the Statue of Liberty in New York and the Jesus the Redeemer statue in Brazil) and is covered in bronze. For the people of Dakar, it represents the African Renaissance.
THE LEGISLATOR | March 2011 31 NBCSL’s newly-elected presi- dent, Rep. Barbara W. Ballard (KS), along with NBCSL members Sen. Donne Trotter (IL), Del. Nathaniel Oaks (MD), Sen. Hillman Frazier (MS), In 2010, the continent of Africa experienced Sen. David Haley (KS), Sen. Constance Johnson (OK), Rep. much success while gaining global recognition. Clove Campbell (AZ), Sen. Bill It hosted the International Federation of Perkins (NY) and Policy Associate Association Football (FIFA) World Cup in Reginald M. Abreu attended the event in Dakar, the capitol city of South Africa while celebrating fifty years Senegal. They were a part of the of independence from French colonies for United States Delegation which had over 200 members. Other fourteen (14) of its nations. Adding to that members of the U.S. delegation accomplishment was the fact that one of included Dr. Julius Garvey (Pan- those fourteen nations, the Republic of Africanist and son of the leader Marcus Garvey), Dr. Elsie Scott Senegal, hosted the World Festival of Black (CBC Foundation President), Dr. Arts and Cultures, which impacted and Ruth Love (university professor influenced attendees culturally, intellectually, and education advisor to the Obama Administration), Runoko and spiritually. Rashidi (noted historian), Linda Rice Johnson (Chairwoman of Johnson Publishing Co., Inc., the #1 African American owned-and- operated publishing company in the world), Richard Gant (actor), and Kathy Times (President of the National Association of Black Journalists). The festival convened various members from the African Diaspora such as elected officials, presidents of historically Black colleges, artists, scientists, scholars, journalists, and youth leaders from 80 coun- tries from around the world. During the festival, members of the delegation had the oppor- tunity to engage with several African heads of state while The dancers from all over the witnessing appearances by the world performing during the Presidents of Senegal, Liberia, opening ceremony of the Festival Nigeria, Libya, and the former of Black Arts and Cultures at Friendship Stadium. President of Benin. The history of the World Festival of Black Arts and Cultures started in 1966 in Dakar,
32 THE LEGISLATOR | March 2011 Senegal, as President Leopold Sedar Senghor initiated the festival and used it as an oppor- tunity to unify individuals of different generations and reli- gious backgrounds to show the remainder of the world what they had to endure while resisting colonization. Eleven years later, the second edition of the conference was hosted in Lagos, Nigeria. For the festival’s third edition, it returned to Dakar, Senegal, under the guidance of President Abdoulaye Wade who succeeded in compiling the largest gathering of prominent individuals from Africa and its Diaspora to date on the African continent. This edition promoted the new vision of Africa as free, proud, creative, and optimistic. The trip gave members from the various delegations a great opportunity to experience all that Senegal and its people have to offer from its culture, to its vibrant city, and its captivating environment. The many festival activities included a visit to the President’s palace where members of the delegation were able to During the festival, several
THE LEGISLATOR | March 2011 33 The tribute to the “Door of Benny Wenda of West Papua by President Wade, in order to No Return” in Dakar. It is symbolic of the celebration New Guinea. The events were ignite the African Renaissance of the return of Africa’s well-attended, enthusiastically the conference would focus on children to their mother land received, and generated many these three goals: as they return as successful questions as well as recommenda- men and women. tions/solutions as they empha- 1. The achievement of the United sized dialogue and brainstorming States of Africa by the year between all people and cultures. 2017 The event attracted participants 2. The acceptance of the African from diverse backgrounds, Diaspora as the sixth region of evidenced by the number of trans- Africa lators that were used to convey 3. Free-roaming access to all the various dialogues in English, 53 nations of Africa for the French, Spanish, Portuguese, members of the African Dias- and Arabic. These events gave pora attendees an opportunity to learn about history beyond invasion, During the festival, President slavery, colonialism, and oppres- Wade designated more than sion as well as the current state 80 African American leaders of events in Africa and its Dias- as Goodwill Ambassadors for pora that tend to be overlooked, the African Renaissance. The omitted, or neglected by the Goodwill Ambassadors will seek mainstream media. As outlined to strengthen the relationship
34 THE LEGISLATOR | March 2011
THE LEGISLATOR | March 2011 35 to discussions for a five-year plan that would increase workforce Benefits of Sister training and economic develop- City Partnership ment in both communities. Just The following are some opportunities that may be gained by two years into the plan, both U.S. cities choosing to engage in a Sister City relationship with a cities reached their goals and also foreign city. experienced success in their joint education initiatives which led to n Improved state Gross Domestic Product (GDP) the development of a for-profit n Tourism/Group tours organization known as “Econ n Business contracts Village.” By 2005, there was a n Cross-cultural expertise contract was negotiated with the n Forums for global issues Econ Village, Whayne Supply Co. n Work-force recruitment (a Louisville Caterpillar dealer), n Company expansions and the Ghanaian government, n Training programs/Youth training for the global economy amounting to almost $20 million. n Student exchanges/Joint education initiatives These statistics, as well as those n Economic Development/Expansion listed on SCI’s Web site, show n Joint businesses the great impact, opportunities, n Job creation/Internships and benefits that are attainable n Major conferences through these programs. Cities, n Expand trade (exports and imports) counties, and states should be n Attract foreign investments inclined to research how this may n Municipal training benefit their respective areas. n Technology transfer The World Festival of Black n Improved city and/or company image Arts and Cultures was a tremen- n Humanitarian efforts dous experience for delegation members who gathered in what For more information on Sister City International programs some consider the “culture please feel free to visit www.sister-cities.org. reservoir of the world” known as Africa. Under the shadow of the newly constructed Statue de Renaissance the delega- about our history and culture, tion participated in this auspi- to encourage and empower each Reginald M. Abreu is the Policy Asso- cious event, many of whom had other daily, and to lift each other ciate for NBCSL’s Business, Finance, and Insurance; Housing; International returned to the land from which up towards progress. Ultimately Affairs; and Gaming, Sports, and Enter- their ancestors were once taken. we hope to make proud our tainment Policy Committees. For many of the visitors, several ancestors, our peers, and future issues were put into perspective generations who will read of our as they witnessed people strug- deeds. As we work with this new gling for the necessities they often frame of mind aimed at imple- took for granted back home. As menting the actions discussed the delegation returned to the during the festival, we will strive U.S., a new mindset was instilled to accept President Wade chal- into our consciousness. We were lenge, that “Ideas just don’t determined to continue learning remain that, ideas.”
NOTE For more information on the World Festival of Black Arts and Cultures, visit http://blackworldfestival.com/wp/.
36 THE LEGISLATOR | March 2011 Spotlight: Corporate Roundtable
Start Smart for Your Baby®: Promoting Education and Accessibility for Healthier Babies By Mary V. Mason, MD, MBA, FACP, Chief Medical Officer and Senior Vice President, Centene Corporation
Quality healthcare delivered with dignity has the power to not only to keep people healthy but to transform lives, families and entire communities for the better. Some of the most significant cost drivers in healthcare – particularly in the Medicaid sector – are often also the greatest sources of preventable spending. In particular, neonatal intensive- care unit (NICU) admissions and poor birth outcomes can result in unnecessary financial burden for the entire healthcare community. Centene Corporation, a managed care organization providing healthcare services to the rising number of under-insured and uninsured individuals, strongly believes that lack of education and barriers to access significantly
THE LEGISLATOR | March 2011 37 contribute to these unnecessary costs. Effectively managing its high- risk populations is an integral component of the company’s mission to provide better health outcomes at lower cost.
Managing the healthcare and engage pregnant members effect on reducing the rate of for more than 60,000 pregnant as early in their pregnancies recurrent preterm delivery and members per year, Centene as possible. The NOP process NICU admissions in a Medicaid has the very real challenge of identifies high-risk members, population. The 17P program ensuring that these members and who then receive obstetrics (OB) has been honored with several their newborn babies have access case management conducted by a awards, including a Pinnacle to and actually receive the quality multidisciplinary team. Comple- Award from Ohio Association of healthcare they deserve. As a menting the clinically-focused Health Plans and the Platinum result, Centene developed the efforts of the case management Award at the 2010 Case in Point Start Smart for Your Baby program, team is the MemberConnections® Awards for women and children’s a comprehensive pregnancy program, an educational and case management. and postpartum management outreach program that creates Centene uses a variety of program that extends into the personal contact with members tools to educate members on the child’s first year of life. through individual interactions importance of preventive care. Start Smart is an award-winning and events such as baby showers The company published two program that promotes educa- and diaper days. educational books, the Start Smart tion and communication between Another important aspect for Your Baby Pregnancy Guide and pregnant members, their case of the Start Smart program is the Guide to your Baby’s Care Book. managers, and physicians. The Connections Plus®, a 2009 URAC Both books are comprised of program includes enhanced Best Practice Silver Medalist, culturally-sensitive material and member outreach and incentives, where high-risk members receive were edited by a health literacy wellness materials, intensive case a free cell phone that is pre- firm to ensure readability among management, provider incentives, programmed to call the member’s various literacy capabilities. The and reinforcement of the appro- OB/GYN, Case Manager, pregnancy book was endorsed by priate use of medical resources Centene’s 24/7 nurse advice line, The March of Dimes and leading to extend the gestational period and 911. These cell phones are industry experts, while the baby and reduce the risks of preg- also customized with pregnancy- care book was co-developed with nancy complications, premature related podcasts, educational the American Academy of Pedi- delivery, and infant disease. The audio books and a series of text atrics. The pregnancy book has program has received notable messages to provide pregnancy received national recognition, recognition including being “tips of the day.” including a Silver Medal at the selected as one of three winners A critical component to the National Health Information for the International Community program is the 17P Program, Award 2010 and a Gold Medal Health Promotion Awards and which identifies women less than for the audio book at the 2010 receiving the Platinum Award for 28 weeks gestation who may Web Health Awards. Start Smart Consumer Empowerment at the qualify for weekly steroid injec- also has a Web site (http://www. URAC Quality Summit. tions of 17 alpha-hydroxyproges- startsmartforyourbaby.com/) terone caproate (17P). The Amer- designed specifically for moms, Taking a Multi-faceted ican College of Obstetricians as well as MP3 players loaded Approach and Gynecologists recommends with pre-programmed educa- One of the essential components use of 17P to prevent preterm tional podcasts. In addition, of the Start Smart program is delivery in women with a previous Start Smart provides a smoking the Notification of Pregnancy spontaneous preterm birth. The cessation program and a walking (NOP) process, a streamlined company’s five-year experience program to improve the health approached that aims to identify with 17P has shown a positive of expectant moms. Start Smart
38 THE LEGISLATOR | March 2011 5.0% 4.63% NICU Rate A 4.16% works within the constraints 4.0%Admissions to neonatal icu showing3.87% decline of State contracts to provide 5.0% 4.63% NICU Rate A incentives that drive healthy 4.16% 3.0% behavior, including encouraging 4.0% 3.87% members to keep their prenatal 2.0% and postpartum appointments as 3.0% well as their well-child visits for 1.0% their babies. 2.0% Centene believes that the 0.0% most opportune time to talk with 1.0% 2007 2008 2009 high-risk members about their
next pregnancies is when their Source: CCMS 1/11/2010 0.0% babies are still in the NICU. As a 2007 2008 2009 result, NICU kits were designed to educate high-risk members Numbers of days in and encourage a relationship neonatal icu showing decline with their health plan. In addi- 600 576 NICU Days/1000 births A tion, a newly launched program 495 targets women with NICU babies 500 600 576 to encourage breastfeeding. 386 400 NICU Days/1000 births A Mothers receive a specialized 495 500 lactation starter kit and informa- 300 386 tion on the importance of breast- 400 feeding a NICU baby. 200 Centene realizes that it is 300 important to involve the providers 100 200 in any successful program. 0 Source: CCMS 1/11/2010 2007 2008 2009 Case managers share their care 100 plans with the physicians as they attempt to work collaboratively to timeliness0 of prenatal and post- learned from the Start Smart help members achieve their goals partum care and2007 frequency of 2008program were applied2009 on a larger of healthy pregnancies. Multiple ongoing prenatal care. Most scale basis, our entire nation’s provider educational opportu- importantly, the data has shown birth outcomes could be positively nities are available including a decline in the rate of neonatal impacted. Continuing Medical Education admissions and number of days activities. In addition, doctors in the hospital, a decline in NICU who are providing exceptional admissions and number of days in quality care are eligible to receive the NICU, and a lower number of the annual OB Summit Award low birth weight babies. from Centene’s Foundation for Improving birth outcomes is Quality Healthcare. critical to our members, their families and our society as a Dr. Mary Mason serves as Driving Real Results whole. States, managed care Chief Medical Officer for Centene’s data suggests that organizations, providers, and Centene Corporation, a Fortune 500 company and a participation in a managed public health officials must work leading multi-line healthcare Medicaid prenatal care program together to most successfully enterprise. Centene provides can significantly improve birth improve the health of pregnant programs and related services outcomes. The Start Smart women and their babies, while to under-insured and uninsured individuals, many of whom program has shown a favorable reducing unnecessary costs. receive benefits provided trend in many areas including Centene believes if the lessons under the Medicaid program.
THE LEGISLATOR | March 2011 39 Special Message from an NBCSL Partner
Redrawing Democracy: Race, Redistricting, and the 2011 Redistricting Cycle By Kristen Clarke, JD, Co-Director, Political Participation Group, NAACP Legal Defense and Education Fund
Redistricting represents one of the most important events in our democracy. Encouraging greater levels of community participation in the
40 THE LEGISLATOR | March 2011 process and advocating for compliance with the Voting Rights Act1 can help ensure that this redistricting cycle produces maps that provide minority voters with equal access to the political process.2
Section 2 of the minority (often called “coalition voting are not ancient history. Voting Rights Act & districts” or “influence districts”) Much remains to be done Redistricting have provided minority voters to ensure that citizens of all Redistricting plans that dilute with opportunities to elect candi- races have equal opportunity minority voting strength could dates of choice when they have to share and participate in be challenged under Section 2 been able to form a successful our democratic processes and of the Voting Rights Act (VRA). coalition with a small number of traditions.”3 These observa- Redistricting-related litigation non-minority voters. tions should guide the actions can prove to be both costly and The Court ruled that Section 2 of line-drawers during this protracted, preventing the imple- does not apply in future litigation round of redistricting. mentation of a final plan for when a minority group’s popu- many years. Advocates must be lation would not constitute at The Section 5 vigilant in demanding adherence least 50 percent of any remedial Preclearance Provision to Section 2, and officials should district that might be drawn. & Redistricting also make a good-faith effort As line-drawers prepare for Section 5 of the VRA – which to comply. redistricting, it is important to applies only to certain parts Vote dilution can occur realize the limitations of Bartlett. of the country – requires that when line-drawers unnecessarily n First, the Bartlett decision is officials submit their redistricting pack minority communities not an invitation to dismantle plans for federal review before into a small number of districts existing influence and coali- they can be implemented.4 In (packing) or spread them across tion districts that are less than every redistricting cycle, DOJ a large number of districts 50 percent minority. Any such has objected to numerous redis- (cracking or splitting). However, targeting could be deemed tricting plans adopted throughout maps can also violate Section motivated by discriminatory the covered jurisdictions. A 2 if seemingly small reductions purpose and, in turn, become redistricting plan may draw an are made to districts that have subject to future challenge. objection if it has a retrogressive the effect of stripping away the n Second, the Supreme Court effect -- worsens the position of minority community’s ability to acknowledges that line-drawers minority voters -- or if there was elect candidates of choice. throughout the country evidence that it was adopted with remain free to create influence a discriminatory purpose. Key Supreme Court Case: and coalition districts. These For example, a redistricting Bartlett v. Strickland options should be carefully plan might draw an objection Among the voting cases decided considered in areas where if it contains only one majority- by the Supreme Court over the there are numerous minori- minority district where it previ- last decade is Bartlett v. Strickland ties – but not enough to draw ously contained two, or if the – a case interpreting Section 2 of a district that is at least 50 minority population percentages the VRA. percent minority. of districts are reduced to levels In Bartlett v. Strickland, the n Finally, the Supreme Court that will make it more difficult Supreme Court addressed the recognizes that voting discrim- for minority voters to elect candi- question of whether minority ination remains a part of our dates of their choice. Plans have voters must constitute at least political reality, even after also drawn objections when there 50 percent of a district in order the 2008 election of President was evidence that the minority to present a vote dilution claim Barack Obama. The Court community was frozen out of the under Section 2. Some districts observes that “racial discrimi- redistricting process, when non- that are less than 50 percent nation and racially polarized retrogressive alternative plans
THE LEGISLATOR | March 2011 41 were ignored or disregarded, tion of the districts where prisons already taken corrective steps to or when other evidence suggests and jails are located. In the redis- address the problem of prison- there was discriminatory tricting context, this practice, based gerrymandering. African purpose underlying the adoption known as prison-based gerryman- American elected officials in other of the map. dering5, undermines the principle states are poised to raise awareness Section 5 will most certainly of one person, one vote which about this issue and present legis- play an important role requires that districts have the lative solutions that might correct throughout the covered jurisdic- same number of residents. the harms that result. tions during this redistricting The impact on African cycle. Individuals and commu- American communities is espe- Conclusion nity groups can participate in cially stark. Given that African While we have witnessed tremen- the review process by submitting Americans are incarcerated at dous progress in the context of Comment Letters to DOJ. These disproportionately higher rates voting, we continue to face substan- letters provide an opportunity than other groups, prison-based tial voting discrimination and high to offer information and present gerrymandering can have the levels of racially polarized voting views about whether plans are effect of diluting minority voting across the country.6 In these areas, entitled to preclearance. strength. Indeed, African Ameri- preserving and creating majority While most redistricting plans cans are 12.7% of the general minority districts during this will be reviewed by DOJ, there population, but are 41.3% of the redistricting cycle will be key. may be some jurisdictions that federal and state prison popula- These districts help ensure that opt to seek preclearance in the tions. Yet the vast majority of African Americans have equal District Court of the District African Americans are incarcer- access to the political process and of Columbia. However, very ated or detained in areas outside promote principles of fairness few jurisdictions seek judicial their home communities. One and equality that lie at the heart preclearance of plans because powerful example arises out of of our democracy. this is a far more costly, time- the State of New York where 66% consuming, burdensome, and of the state’s prisoners come complex process relative to the from New York City but 91% of speedy 60-day administrative them are detained in rural areas review process conducted by DOJ. located upstate. The Census Bureau recently Smart Redistricting announced that it will, for the Reform: Eliminating first time, release data on “group Kristen Clarke serves as Prison-Based quarters residents” – including Co-Director of the Political Gerrymandering prisoners – in time for line- Participation Group at the Counting incarcerated individ- drawers to use that information NAACP Legal Defense and Educational Fund. She is uals where they are detained has during redistricting. A number an expert on voting rights, the effect of inflating population of states, including Rhode Island, redistricting and political figures and political representa- New York and Maryland, have participation matters.
1. See Impact of Redistricting in Your Community available at http://naacpldf.org/files/publications/Impact%20of%20Redistricting%20in%20YOUR% 20Community%202010.pdf 2. For access to resources to help promote community participation in the redistricting process, see www.redrawingthelines.org which includes an important 3-minute public education video regarding redistricting produced for the NAACP Legal Defense Fund by award-winning cinematogra- pher Cliff Charles. 3. Bartlett v. Strickland, 129 S.Ct. 1231 (2009). 4. See Tearing Down Obstacles to Democracy and Protecting Minority Voters: Section 5 of the Voting Rights Act available at http://naacpldf.org/files/ publications/Tearing_Down_Obstacles_Manual_0.pdf 5. See Captive Constituents: Prison-Based Gerrymandering and the Distortion of our Democracy, available at http://naacpldf.org/files/publications/ captive_constituents.pdf 6. See Kristen Clarke, The Obama Factor: The Impact of the 2008 Presidential Election on Future Voting Rights Act Litigation (2009) available at http://papers.ssrn.com/sol3/cf_dev/AbsByAuth.cfm?per_id=701421.
42 THE LEGISLATOR | March 2011 LAW, JUSTICE, and ETHICS
Showing You the Money: A Closer Look at Cost-Cutting through Prison Privatization By Ajenai Clemmons, MPP, NBCSL Policy Director
The good news? Chicago plugged an enormous hole in its budget deficit in 2009 when it leased its parking meters to Morgan Stanley for $1.2 billion. The bad news? Independent analysts estimated the meters were worth $2-$4 billion. Worse yet, Chicago has locked itself into this problematic arrangement for the next 75 years.1 Agreements such as this have proliferated in recent years as governments have privatized their most precious assets and functions in haste. Other high profile cases, such as Indiana’s toll road (where private operators would have two generations’ worth of ownership after recouping their investments),2 as well as Arizona’s decision to sell and then lease back its own State Capitol, exemplify increasing government divestiture of office buildings, landfills, transit systems, parking structures, zoos, and convention centers.3
THE LEGISLATOR | March 2011 43 The National Governors company, the world’s largest, also cost-saving methods that have Association’s (NGA) issued a 2010 makes unqualified claims about not only reversed incarceration publication calling for major cost-savings to government and growth, but produced safer, more reforms in big-ticket budget areas. dismisses critics as unknowledge- productive communities.20 The It also advocated several prelimi- able of the facts.8 In addition strategy is termed “justice rein- nary cost-cutting measures, to promising to save taxpayers vestment.”21 Tough-on-crime leading off with the sale of state between 15-25%, advocates of policy initiatives over the past assets, and deemed these steps prison privatization cite evidence generation – not crime rates or “important and necessary…to of superior performance, socioeconomic forces – resulted [permanently] shift the cost reduced recidivism, and a positive in a 274% increase in incarceration curve.”4 In the Public Interest, economic impact on communi- and 336% increase in spending.22 a resource center specializing ties.9 Both companies, traded Democrats and Republicans in privatization and responsible on the New York Stock Exchange, exasperated at seeing funding contracting, recently examined have publicized growth into for cherished priorities such as privatization initiatives proposed 2011.10 higher education, transportation, by governors, legislators, and A trail of evidence,11 scan- and pre-school crowded out by mayors, and found that many who dals,12 canceled contracts,13 costly an ever-burgeoning corrections had not previously considered lawsuits,14 and public records15 budget, finally arrived at common privatization, are now looking to makes clear to legislators their ground undergirded by solid privatize myriad public assets imperative to assess the costs research and successful models.23 and services due to budgetary and benefits in their particular The emerging bipartisan pressures.5 There is every reason circumstances rather than rely movement urges policy reforms to believe that this is a trend on on advertised averages.16 Because that will dramatically reduce the the rise. analysts make calculations based number of people entering prison Although particular trans- on different assumptions, cost through sentencing changes, actions have benefitted some comparisons are complex,17 as are increase the number leaving governments – or more aptly, the resulting financial transac- prison without jeopardizing the public – in the short and tions. Particularly when private public safety, and lower recidi- long run, the promotion of all prisons are constructed, govern- vism.24 And, both sides agree that privatization as automatically ments often do not have the the key to recidivism is successful beneficial is disingenuous. The in-house expertise and must rely re-entry programs that help true answer as to whether or not on outside financiers, consultants, prisoners during and after release privatization is beneficial to state and attorneys to execute contracts with vocational training and job governments is, “It depends.” It and even draft the various laws placement, substance abuse and depends on each circumstance needed in order to facilitate these mental health treatment, housing and each contract’s terms. Yet, sales and transfers of power tradi- placement, and family reunifica- when it comes to prison privatiza- tionally held by government.18 tion assistance.25 Lastly, closer tion, proponents have insisted In 2001, a U.S. Bureau of Justice community supervision provides that they are an unqualified Assistance-backed study on prison a treasure trove of cost savings. boon to government.6 On its privatization concluded that while The Pew Center states less than Web site, one leading provider of there were indications of positive one-third of offenders are incar- private corrections has a “Facts effects, private prisons offered cerated though nine-tenths of vs. Myths” page that states the only 1% cost savings on average, corrections dollars are spent on following: “Private prisons are primarily achieved through lower prisons, and the NGA notes that accountable. Private prisons labor costs. There also was “no staffing comprises 75%-80% of do save money. Private compa- evidence found that the exis- corrections costs.26 Therefore, nies don’t cut corners. Private tence of private prisons will have shifting resources from prison prisons are safe. Private prisons a dramatic effect on how non- guards to more parole and proba- do treat their employees well private prisons operate.”19 tion officers would help states [italics all theirs].”7 Another such States should focus on proven realize significant savings not
44 THE LEGISLATOR | March 2011 only because the daily cost of imprisoning an inmate is 20 times the cost of supervising him, but because effectively monitored ex-offenders are much less likely to reoffend.27 The good news? Evidence shows that we get the biggest bang Ajenai Clemmons serves as NBSCL’s policy for our buck moving jobs from an director. She was formerly the ombudsman for Denver’s Office of the Independent Monitor, imprisonment focus to a re-entry and she has worked in the Iowa State Legislature focus. The bad news? We did not as well as non-profit and private sectors. Ms. acknowledge this sooner. Clemmons holds a Master’s in Public Policy, a Bachelor’s in International Relations and Spanish, and she was a NOBEL/Women Fellow.
1. Joravsky, B. & Dumke, M. (2009, April 9). FAIL, part one: Chicago’s parking meter lease deal. Chicago Reader. Retrieved from http://www.chica- goreader.com/chicago/fail-parking-meters-lease-deal/Content?oid=1098561 2. Baxandall, P., Wohlschlegel, K., & Dutzik, T. (2009, Spring). Private Roads, Public Costs: The Facts About Toll Road Privatization. Retrieved on U.S. PIRG Education Fund Web site: http://cdn.publicinterestnetwork.org/assets/FzKMHurzDgFl63HW6BliVw/Private-Roads-fact-sheet-WEB-vFinal.pdf 3. In the Public Interest. (2011). A Guide to Evaluating Public Asset Privatization. Retrieved from http://www.inthepublicinterest.org/sites/default/ files/privatization_guide_ONLINE.pdf 4. National Governors Association, Center for Best Practices. (2010, February). The Big Reset: State Government After the Great Recession. Retrieved from http://www.nga.org/Files/pdf/1002STATEGOVTAFTERGREATRECESSION.PDF 5. Communication with In the Public Interest, February 15, 2011. 6. Pollack, E.D. (2010, February). CCA: Arizona Correctional Facilities Economic and Fiscal Impact Report. Retrieved from the Community Correc- tions of America Web site: http://www.cca.com/static/assets/CCA_Arizona_Impact_Report_2009_FINAL_011810.pdf 7. Myths vs Facts. Retrieved from The CCA 360 Web site: www.thecca360.com/facts.php 8. Facts. Retrieved from The Geo Group Web site: http://www.thegeogroupinc.com/facts.asp 9. Gilroy, L.C., Summers, A.B., Randazzo, A. & Kenny, H. (2010, April). Reason Foundation and Howard Jarvis Taxpayers Foundation. Public-Private Partnerships for Corrections in California: Bridging the Gap Between Crisis and Reform (Policy Brief of Policy Study No. 381). Retrieved from the Community Corrections of America Web site: http://reason.org/files/private_prisons_california.pdf 10. Kolodner, M. (2006, July 19). Immigration enforcement benefits prison firms. The New York Times. Retrieved from http://www.nytimes. com/2006/07/19/business/19detain.html 11. Hall, J., Walsh, K., & Walsh, M. (2010, April). Are Florida’s Private Prisons Keeping their Promise? Retrieved from Florida Center for Fiscal and Economic Policy Web site: http://www.fcfep.org/attachments/20100409--Private%20Prisons 12. Mastropolo, F. (2009, March 27) Judges accused of jailing kids for cash. ABC News 20/20. Retrieved from http://abcnews.go.com/2020/ story?id=7178686&page=4 13. Van Natta, D. (1995, August 12). Despite setbacks, a boom in the private prison business. The New York Times. Retrieved from http://www. nytimes.com/1995/08/12/nyregion/despite-setbacks-a-boom-in-private-prison-business.html 14. ACLU Press Release. (2010, December 1). Recently released video of beating crystallizes need for immediate reform. Retrieved from http://www. aclu.org/prisoners-rights/aclu-says-brutal-beating-idaho-correctional-center-another-example-rampant-violence 15. Tennesseans for Improving Public Accountability. (2010, March 15). Metro’s Contract with Corrections Corporation of America to Operate the Metro-Davidson County Detention Facility. Retrieved from http://www.tipatn.org/TIPA%20report%20on%20Metro%20CCA.pdf 16. Cheung, A. (2004, September). Prison Privatization and the Use of Incarceration. Retrieved on The Sentencing Project Web site: http://www. sentencingproject.org/doc/publications/inc_prisonprivatization.pdf 17. Gaes, G. (2008, March). Cost, performance studies look at prison privatization. National Institutes of Justice Journal, No. 259. Retrieved from http://www.ojp.usdoj.gov/nij/journals/259/prison-privatization.htm 18. Hudson, N., Libal, B. & Strong, A., (Eds.). (2009). Considering a Private Jail, Prison, or Detention Center? A Resource Packet for Community Members and Public Officials. Retrieved from Grassroots Leadership Web site: http://www.grassrootsleadership.org/Texas%20resources/ CPJ%20Second%20Edition.pdf 19. Austin, J. & Coventry, G. (2001, February). Emerging Issues on Privatized Prisons. [Monograph] Bureau of Justice Assistance, National Council on Crime and Delinquency, NCJ 181249. Retrieved from http://www.ncjrs.gov/pdffiles1/bja/181249.pdf 20. Cruz, Alicia. (2010, July 19). N.J. prison population shrinking while other states struggle. New Jersey News Room. Retrieved from http://www. newjerseynewsroom.com/state/nj-prison-population-shrinking-while-other-states-struggle 21. 2011 ALEC Policy Initiatives in the States. (2010, November 10). Retrieved from American Legislative Exchange Council Web site: http://www.alec. org/AM/Template.cfm?Section=A_look_into_the_2011_Legislative_Cycle_ALEC_Policy_Initiatives_in_the_States 22. Warren, J. (2009, March). One in 31: The Long Reach of American Corrections. Retrieved from The Pew Center on the States Web site: http://www. pewcenteronthestates.org/uploadedFiles/PSPP_1in31_report_FINAL_WEB_3-26-09.pdf 23. Warren, J. (2008, February). One in 100: Behind Bars in America 2008. Retrieved from The Pew Center on the States Web site: http://www. pewcenteronthestates.org/uploadedFiles/8015PCTS_Prison08_FINAL_2-1-1_FORWEB.pdf 24. Prisoner Reentry. Retrieved from the Manhattan Institute for Policy Research Web site: http://www.citiesonahill.org/prisoner_reentry/ 25. Jannetta, J., Dodd, H., & Elderbroom, B. (2011, January 20). The Elected Official’s Toolkit for Jail Reentry. Retrieved from the Urban Institute Web site: http://www.urban.org/uploadedpdf/412287-Elected-Officials-Reentry-Toolkit.pdf 26. National Governors Association, Center for Best Practices. (2010, February). The Big Reset: State Government After the Great Recession. Retrieved from http://www.nga.org/Files/pdf/1002STATEGOVTAFTERGREATRECESSION.PDF 27. Warren, J. (2009, March). One in 31: The Long Reach of American Corrections. Retrieved from The Pew Center on the States Web site: http://www. pewcenteronthestates.org/uploadedFiles/PSPP_1in31_report_FINAL_WEB_3-26-09.pdf
THE LEGISLATOR | March 2011 45 From the Hill
A New Semester in Washington By Brandt Thorington, NBCSL Policy Analyst
At the most recent State of the Union address, Congressional members opted for bipartisan seating arrangements to show their commitment to bipartisanship in the upcoming legislative year. The very next day, however, with over 100 new members joining Congress, these parties relegated to their respective sides of the aisle and thus began the real test of bipartisanship. The reauthorization of the Elementary a Secondary Education Act (otherwise known as the No Child Left Behind Act) will test this new bipartisan spirit in Washington. The President has signaled his willingness to change the existing law and Republicans in the House have decided to test President Obama’s bipartisanship by introducing a bill to reintroduce vouchers into DC schools. The voucher program may end up being the key indicator of whether an education reauthorization bill will be able to move. If the President can work out a deal with Republican Leadership, then it would certainly help chances of a new education bill. Given the harsh political their respective chambers to to up to $12,000 for high school climate and difficulty of the bring back the voucher program students. The President and political parties to work together, in the District of Columbia; this Democratic Congress had previ- the question then becomes program allows students chosen ously attempted to phase out such -- could this be an area where through a lottery to be eligible to provisions. The White House middle ground can be found receive $7,500 to attend a locally has been publically silent on this and policy could start moving participating private school. issue thus far. A move toward forward? The President and The Speaker has said this may continuing the program could House Republicans seem to see be the only bill his office will go a long way in creating a bipar- eye to eye on the fact that local sponsor the entire year, to prove tisan environment for education schools districts need more flex- what an important priority it is reform to happen. The House ibility than is available under the for his office. The bill would go Republicans have four principles current law. Speaker Boehner further than the current law by of their own in creating new and Senator Joe Lieberman have also increasing the amount avail- education language: both introduced legislation in able to pay for private schools
46 THE LEGISLATOR | March 2011 n State and local governments n Turning around our lowest- was a bipartisan effort itself should create their own tests, achieving schools. that saw President George W. curriculum and standards Bush and Senator Ted Kennedy without interference from the The President was seeking working together. We could federal government; $1.35 billion for FY2011 to see a similar pairing this year, n Parents should have a greater continue the momentum of Race depending on how much each role in choosing and partici- to the Top by making it a regular side is willing to compromise pating in their child’s school; part of the budget. Unfortu- or accept aspects of each side’s n Federal requirements should nately, the Senate’s FY2011 draft proposal. be removed to allow schools spending bill has cut the Presi- and teachers to innovate; and dent’s recommendation by more n Ineffective programs should than half by providing funding of be cut to eliminate waste of only $675 million. As a result of Brandt Thorington serves as Director of Congressional Affairs for the Wash- resources. the current budget situation, this ington Linkage Group. Mr. Thorington allocation may now be a best case specializes in the following legislative Race to the Top is President scenario, as the House may avoid arenas: firearm legislation, immigration Obama’s solution to more flex- funding the program entirely, reform, agricultural policy, hurricane relief, homeland security, community ibility in states. The President or it could be lost in a year-long development, and appropriations. mentioned the program by Continuing Resolution. The next name during his latest State time this program could receive of the Union address to stress funding may be in FY2012. The the importance of this model funding of this program in the when moving forward to create FY2011 and FY2012 bills will also new legislation. Race to the Top be a serious test to the bipartisan is a competitive grant program relationship between the Presi- initiated through the President’s dent and House Republicans, stimulus package (American should the Republicans continue Recovery and Reinvestment Act) to fund this program. with $4.35 billion in funds to If we see both Race to the Top encourage innovation and reform and the DC voucher program in K-12 education within state and receiving funding, this will be a local jurisdictions. According to key sign that the two sides may the Department of Education, the be able to come together to find four main areas of focus for the common ground, which may program are: actually result in comprehensive n Adopting standards and assess- education reform this session. ments that prepare students Should both sides fight over these to succeed in college and the programs and favor one over the workplace and to compete in other, it will be a key sign that the global economy; comprehensive education reform n Building data systems that will be nothing more than talking measure student growth and points. The good news seems success, and inform teachers to be that the President and the and principals about how they Republicans seem to want more can improve instruction; flexibility for states and local n Recruiting, developing, school districts. While there is rewarding, and retaining plenty of reason to be doubtful of effective teachers and princi- a bipartisan spirit working its way pals, especially where they are through Washington, let us not needed most; and forget that No Child Left Behind
THE LEGISLATOR | March 2011 47 Energy, Transportation, and the Environment
Is Now the Time to Push for Transportation? By Colin Wellenkamp, NBCSL Policy Consultant
48 THE LEGISLATOR | March 2011 New Republican leadership has vowed to cut $100 billion out of the federal budget for FY2011 and FY2012. The White House is calling the federal deficit one of the most dangerous threats to the nation’s continued economic recovery. A transportation reauthorization bill is now more than a year overdue. So, how can this be the best time to push for progress in one of the country’s most expensive and time consuming issues?
Transportation is good and perhaps surprising Francisco. California voters have Legislation could be news given the fiscal situation already approved $10 billion in the only thing this Congressional budget hawks are bonds with another $4.3 billion Congress agrees on trying to address. projected to come from federal “I am cautiously optimistic “Realistically, if you look at sources, and $7.5 billion more that a transportation bill could where House leadership is trying from the private sector. Theoreti- happen this year. It appears that to go in terms of the budget, it cally, this funding will be added Chairman Mica is committed will be hard for anything to get to almost $10 billion sourced to getting a bill through his done,” admits NBCSL member from California local govern- committee and on to the floor,” Florida Representative Edward ments and another $10 billion in says Robert Fogel, Senior Legis- B. Bullard. As a former member federal investment. Whether that lative Director for the National of the Florida House Economic additional $20 billion will ever Association of Counties (NACO), Expansion and Infrastructure materialize is highly debatable when asked if 2011 could be a Council, Rep. Bullard knows full- considering California’s deficit ‘good’ year for transportation. well the financial implications for FY2012 is projected at $25.4 However, the optimism does not facing transportation projects. billion, or almost 30 percent of stop there. “I think there is a willing- the State’s FY2011 budget. Jim Tymon, Staff Director of ness among States to make an the House Highways and Transit investment (in transportation) Paying for it Subcommittee to the Trans- with hopeful matching federal Although Mr. Mica may be portation and Infrastructure dollars,” says Rep. Bullard committed to a six-year reau- Committee, recently told a panel regarding an ideal situation for thorization bill with a healthy of mayors at the U.S. Confer- transportation to really move transit component, the funding ence of Mayors Winter Meeting ahead over the next couple of mechanisms involved leave little in Washington, DC that the years. Nevertheless, when pressed room for expansion. Mr. Tymon Committee Chairman, Florida about the possibility of there explained to mayors in January Representative John L. Mica, is being little to no new federal that the Highway Trust Fund can the biggest supporter of transit investment, Rep. Bullard becomes sustain transportation projects within the Republican Caucus. a bit more pragmatic. for the nation at right around the Mr. Tymon went on to explain “In the absence of federal $200 billion mark. The current that Chairman Mica has a trans- funding, States may begin to look highway bill (SAFETEA-LU) is portation reauthorization bill at international partnerships for the largest transportation bill already in the works and that he financing of these large projects,” in U.S. history and is funded at plans to introduce it in the spring. predicts Rep. Bullard. California $244.1 billion. Recommendations Chairman Mica also spoke at a is doing just that in a limited for U.S. transportation spending luncheon of mayors during form to fund its $42 billion high have been estimated at $500 the same meeting telling Mr. speed rail system. The system will billion to $1.4 trillion to address Tymon he was committed to a link San Jose all the way to Sacra- the nation’s current transporta- six-year reauthorization. This mento via Los Angeles and San tion needs. The conventional
THE LEGISLATOR | March 2011 49 method of funding for most of Association of State Energy either at the President’s requested the highway bill has been through Officials (NASEO). levels or lower. As for a compre- the gas tax. Raising that tax for When asked if states are hensive reauthorization bill, the new legislation seems remote simply going to cut more from crux of the matter lies in how it given the current composition of their budgets as federal invest- will be paid for, and so far, details Congress. However, other more ment decreases in the wake on that are rather elusive. innovative funding mechanisms of tremendous deficits, Mr. have been proposed over the Clinton is quick to reassure: “A past several years including an race to the bottom dynamic in infrastructure bank, cap-&-trade federal spending is only going to Colin Wellenkamp is Vice President of Government Relations for revenue, as well as public/private embolden states to pursue more Washington Linkage Group, where he partnerships that place more of innovative solutions. Mass transit designs and implements legislative the investment on the private is going to be part of our nation’s agendas for clients. Mr. Wellenkamp sector side of the ledger. transportation and energy future is a Registered Environmental Manager with the National Registry of “The types of projects that and is really the only answer to Environmental Professionals, and also would be funded by public/ our long-term problems. We are serves as the Washington Director for private partnerships are not committed to the long-term.” the organization. the ones that counties would Alternatively, over the next avail themselves of because they several cycles, new investment in are just too big,“ states Robert transportation has the potential Fogel. “You’re not going to see to be robust instead of falling an Australian conglomerate away like the rest of federal rushing to operate a county road spending. The Obama Admin- somewhere in the U.S.” Mr. Fogel istration seems to be at least further added that it is hard to leaning in that direction. federal determine “how willing cities, Highway spending is proposed counties, and states are going to to increase from $39.7 billion be to take-on more debt at this to $69.7 billion for FY2012. The time for transportation projects.” federal Transit Administration Rep. Bullard, however, is getting a bump up from $12 explains that transportation is billion to $22 billion. There is $4 not simply an end in itself, but a billion allocated for high speed way to help states: “With a mobile rail and an additional $4.05 workforce provided by better billion is marked for railroad transportation, States can realize system upkeep. All in all, the greater tax revenues.” President’s budget gives more than it takes from transportation. Falling off the cliff Indeed, the U.S. Department of Some of the challenge with Transportation received a 66% transportation funding is not increase in spending over FY2010 necessarily in predicting future numbers – the most out of any support, but in managing past agency without large entitlement allocations. “We don’t want to programs. Will Congress follow fall off the cliff created by ARRA suit? Discussions on the Hill point (American Reinvestment and to the President’s budget as a Recovery Act), but instead have a starting point from which to cut. soft landing,” says Chuck Clinton, Consequently the current move- Senior Advisor and Regional ment suggests that transporta- Coordinator for the National tion spending for FY2012 will be
50 THE LEGISLATOR | March 2011 International Affairs
The Impact of the Euro on the U.S. Dollar and Employment By Reginald M. Abreu, NBCSL Policy Associate
As the value of the Euro (EUR) 1. European workers employed is important as it impacts the continues to descend due to the over U.S. workers – Compa- costs of trading currency on current recession in Europe, it nies would be inclined to the international trade and should be noted that a collapse of hire European workers to investment market. Since the the Euro would have a profoundly produce goods as opposed to dollar is the stronger currency, negative impact on the United U.S. workers since it would be it will be more expensive to States Dollar (USD), employment significantly cheaper to pay acquire, therefore traders will within the U.S., and the stan- them. More companies in the lean towards purchasing the dards of living for many Ameri- U.S. would look to outsource Euro at a cheaper rate. cans. The current exchange their jobs internationally and 3. European exports purchased rate between the Dollar and the fewer jobs would come into the over domestic U.S. products Euro is as follows: one (1) USD U.S. This is a major benefit – Companies that employ is worth 0.7381 EUR or one (1) for companies where a large U.S. workers would lose out EUR is worth 1.3549 USD. The portion of their expenses to European companies with Euro has lost about 16% of its is allocated to employee cheaper imports. Also, the value against the USD since payments. Manufacturing jobs European market for U.S. the beginning of 2010, when it are projected to be affected Exports, one of our largest stood at $1.44. The Euro’s value the most by a stronger dollar. overseas markets f would in comparison to the USD has According to a report from concurrently decline due to fluctuated between 0.7 and 0.85, the U.S. Department of Labor the increased costs related to with the USD climbing gradually in 2009, there are 11.7 million a stronger dollar. These costs higher mainly due to the Euro- Americans working in this job would be are imbedded in the pean financial crisis as seen in sector, and this could mean a production of U.S. products, Greece and France.The following major increase to the unem- and this would lead to a higher are some negative effects that ployment rate which currently trade deficit. Globalization, would occur in the U.S. if the stands at 9.0%. dropped trade barriers, and Dollar became stronger than the 2. U.S. companies get less of increased competitiveness Euro as a result of the current the Global Market Share – As would impact the domestic economic difficulties and confu- companies that employ Euro- market and also have a sion in fiscal policies currently pean workers over U.S. workers profound impact on U.S. jobs. plaguing the sixteen (16) nations gain a powerful profit advan- 4. Wider Trade Deficit – As within the Euro-Zone: tage, they also stand to gain an the dollar gives American increased market share. This consumers more purchasing
THE LEGISLATOR | March 2011 51 power, most of their acquisi- (e.g., housing, food, transpor- In conclusion, state legislators tions will be products manu- tation, etc.). should be aware of the major factured outside of the U.S., 7. Decline in national standard fluctuations of the EUR against such as foreign luxury goods. of living – Due to the decline the USD for several reasons, This increased trade deficit in discretionary income, Amer- but most importantly that this would decelerate national icans will experience drastic instability can negatively affect economic growth, hurt the changes in what they can their constituents, districts, and Gross Domestic Product afford. Also, workers who are states. The consequences of a (GDP), and weaken let go by companies seeking lower-valued EUR would have economic expansion. cheaper labor from their Euro- trickle-down effects on states 5. Decline in sales – If the U.S. pean counterparts will attempt such as job cuts by businesses employment rate decreases, to secure employment at lower and companies, a significant American consumers will wage levels. decline in constituents’ standard be less able, or willing, to 8. Retirement investor’s expec- of living, declines in sales leading purchase products outside of tations not met - Investors to a weakened state economy, and their essentials. This will in will expect economic growth losses in companies’ competitive turn decrease nationwide sales within the U.S. economy and edge. Essentially all these factors and lead to more job losses be disappointed when their hurt the state’s Gross Domestic that negatively affect the U.S. goals are not met and their Product (GDP). Although the economy as a whole. returns on their investments USD still accounts for 60% or 6. Decline in discretionary are not as high as they antici- more of global transactions and income – If Americans are pated. This will also affect reserve holdings, the descent of suddenly forced to consume their standard of living when the EUR must be closely observed no more than they produce, it comes to housing, medical to perhaps project a possible shift the effect will be felt in their expenses, etc. to using the EUR as a fiscally pockets. According to an 9. Changes in U.S. contracts responsible and attractive alterna- article by Daniel R. Amerman, and purchases – An effect tive to the USD. a certified financial consul- currently being felt by compa- tant, the U.S. could face a 10% nies that have lost a substantial Reginald M. Abreu is the Policy Asso- - 30% decline in discretionary international market share is ciate for NBCSL’s Business, Finance, income, which will also impact they are still negotiating (or and Insurance; Housing; International what they spend money on renegotiating) the terms of Affairs; and Gaming, Sports, and Enter- tainment Policy Committees. outside of their necessities their contracts and purchases.
REFERENCES 1. The Economic Times. “Euro hits 4-month low, dollar pins hopes on US jobs - The Economic Times.” The Economic Times: Business News, Personal Finance, Financial News, India Stock Market Investing, Economy News, SENSEX, NIFTY, NSE, BSE Live, IPO News. N.p., n.d. Web. 7 Feb. 2011. http://economictimes.indiatimes.com/markets/forex/euro-hits-4-month-low-dollar-pins-hopes-on-us-jobs/articleshow/7234347.cms 2. Press, The Associated. “Europe bond sales, weak US jobs report hurt dollar - Bloomberg .” Bloomberg - Business & Financial News, Breaking News Headlines. The Associated Press, n.d. Web. 7 Feb. 2011. http://www.bloomberg.com/news/2011-01-13/europe-bond-sales-weak-us-jobs-report- hurt-dollar.html 3. yoon, Al. “U.S. jobs report can’t lift stocks; euro suffers| Reuters.” Breaking News, Business News, Financial and Investing News & More | Reuters. co.uk. N.p., n.d. Web. 7 Feb. 2011. http://uk.reuters.com/article/2011/01/07/uk-markets-global-idUKTRE7063KZ20110107 4. National Bureau of Economic Research. “Optimal Currency Shares in international Reserves: The Impact of the Euro and the Prospects for the Dollar.” The National Bureau of Economic Research. N.p., 18 Jan. 2011. Web. 7 Feb. 2011. http://www.nber.org/digest/feb07/w12333.html 5. Cendrowicz, Leo . “How Low can the Euro Go - and Does It Matter?.” TIME. N.p., n.d. Web. 3 Feb. 2011. www.time.com/time/business/article/0,85 99,1991604,00.html 6. Amerman, Daniel . “US Employment May Be Hammered By Euro Plunge.” Financial Sense University. N.p., n.d. Web. 18 Jan. 2011. www.finan- cialsensearchive.com/fsu/editorials/amerman/2010/0524.html 7. Lee, Richard. “Stronger Dollar: Good or Bad For the US?.” GoCurrency. N.p., 22 Feb. 2007. Web. 3 Feb. 2011. www.gocurrency.com/articles/ stronger-dollar.htm 8. STEINGLASS, MATT. “Why desire for a ’strong’ dollar is not irrational - Matt Steinglass - Accumulating Peripherals - True/Slant.” True/Slant. N.p., n.d. Web. 3 Feb. 2011. http://trueslant.com/matthewsteinglass/2009/11/10/why-desire-for-a-strong-dollar-is-not-irrational/ 9. Amadeo, Kimberly. “Value of the US Dollar - What Is the Value of the US Dollar - Worth of American Dollar.” US Economy and Business - US Economic Indicators - US Economic News. N.p., n.d. Web. 14 Jan. 2011. http://useconomy.about.com/od/tradepolicy/p/Dollar_Value.htm 10. Area, Policy. “The Euro, the Dollar, and Their Impact on Global Manufacturing—Viewpoints | EPI.” Economic Policy Institute. N.p., n.d. Web. 7 Feb. 2011. http://www.epi.org/publications/entry/webfeatures_viewpoints_helsinkispeech/
52 THE LEGISLATOR | March 2011 Health and Human Services
Will Repealing Health Reform Truly Benefit Americans? By Deana McRae, NBCSL Policy Consultant
Last March, President Barack Obama signed the Patient Protection and Affordable Care Act (PPACA), a law that instituted comprehensive health insurance reform that would be set to roll out over the next four years. The following week, the President also signed into law, the Health Care and Education Reconciliation Act of 2010, and together they are simply referred to as the Affordable Care (ACA) or federal health reform. Despite the potential benefit to regulate commerce across the passed the Republican intro- of this landmark legislation to states. However, historically insur- duced “Repealing the Job-Killing the country, it was not willingly ance contracts have not been Health Care” legislation, and accepted by all states. Nearly a considered commerce. as expected, the Democrat- year since its passing, 27 states Ultimately, the Supreme Court controlled Senate failed it shortly have joined in a multi-state may make the definitive deci- thereafter. Consequently, the lawsuit challenging the constitu- sion settling this matter, so until strategic next step for the Repub- tionality of the federal govern- then the status of health reform licans is their attempt to deny the ment to impose mandates on remains uncertain. The Obama Obama administration the neces- state governments. The major administration encourages states sary funding to implement parts dispute is not with the bill itself, to continue implementing the of the law. but the legality of the law’s law as the controversy plays out, The power struggle will mandate that all Americans thus creating a considerable deci- continue to trickle down from should purchase health insurance sion for states to move forward. the federal government to state by 2014. To date, Florida and Nevertheless, if states choose not legislatures, state agencies, and Virginia have issued court rulings to implement health reform they eventually down to the millions that the law is unconstitutional. face a federal fallback, in which without health care insurance. As The legal argument is somewhat the law empowers the federal many Americans remain unem- insubstantial given that states government to start imple- ployed from the lengthy two-year have long imposed various kinds menting health exchanges in the recession, people are looking of mandates, including requiring states themselves. to survive a sluggish economic children to go to school or drivers One snag to the law is the recovery. Of course, Americans to have liability insurance. The ability of the Congress to block are keener to the debate on commerce clause of the Constitu- spending for government advancing job creation to the tion grants Congress the power programs. In January, the House push of implementing a health
THE LEGISLATOR | March 2011 53 care reform that will generate $1 in evaluating a law that will affect of lesser salary payments if they trillion deficit. one-sixth of the economy. receive employer-paid health More voters than ever oppose A more effective analysis insurance. a mandate and think states would be to determine if the law The Center for American Prog- should have the right to opt out will slow the growth of health ress published a study suggesting of some or all of the health care costs and provide greater value that relative to employment fore- law. This dilemma emerges from to consumers, taxpayers, and casts from the U.S. Department a highly publicized political employers. According to Forbes of Labor, the estimated medical commentary that treated health magazine, the tax cut created savings from health reform would care reform and job creation as in the federal health reform lead to creating an average of separate, disconnected concerns, law providing small businesses 250,000 to 400,000 additional while in fact they are quite inti- with an incentive to give health jobs annually. Across the nation, mately related. The Kaiser Family benefits to employees would a projected employment increase Foundation has reported there work. The health care costs would lead to a range of new are well over 50 million Ameri- can affect the rise or decline of jobs, for example, it is estimated cans without health insurance.1 employment in two ways. From that there could be 6,000 new Although the unemployment the employer side, employer-paid jobs in Michigan, 17,000 new jobs rate is down from the previous health premiums are a cost of in Florida, and 53,000 new jobs year (it fell to 9 percent in business, consequently, reducing in California.2 The health care January 2011), nearly every the cost of insurance premiums industry has remained a strong demographic and geographic would enable employers to hire job market, when over the last group posted an increase in the more workers. From the worker’s year health care employment lack of health insurance, mostly perspective, most are accepting increased by 231,000.3 With the attributed to the loss of employer- provided insurance. When Republicans choreo- Health care reform results in job creation graphed the repeal of the federal health reform, no charge was 800 more provocative than the argu- B ment that the new law would “kill” 700 jobs in this slow economy. Based More rapid change 400,000 jobs on average on an August 2010 report by the 600 Congressional Budget Office (CBO), Republicans claimed 1.6 million jobs would be lost by 500 the ACA, thus reducing labor by about 0.5%. Their rationale was 400 that the law would discourage hiring and employment due to 300 imposed additional payroll costs and taxes on businesses. In the fight over whether the law will 200 create or destroy jobs, many economists say the effect on jobs 100 is likely to be modest, and it is neither as negative nor as positive 0 as contended by political parties. 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Nevertheless economists also state Source: Center for American Progress, New Jobs through Better Health Care, January 2010 that the impact on jobs should not be the singular standard used
54 THE LEGISLATOR | March 2011 increase in need for health care measures are phased in, and premiums by 10 to 25 percent. services, many experts say the produce larger savings over time The Act provides tax credits trend is likely to continue. compared to the repeal approach. for up to 68,800 Colorado Of course, if the law is The Urban Institute also reported small businesses to help make repealed, health insurance costs findings consistent with this coverage more affordable.7 In would resume their upward assessment, and has determined addition, there will be no state climb, which would cost the that with all things considered, General Fund impact until at country several thousand jobs states will in due course realize least 2017.8 lost annually. Millions would be significant net budgetary gains n Maryland: Signed into law (SB affected, specifically in terms from health reform. Similarly, the 57) clarifying certain provi- of job transitions where people Council of Economic Advisors sions of the federal PPACA would be “locked” into their report profiled 16 states, finding shall apply to health insurers. current employment because that each would have fiscal gains The Maryland Health Care they fear becoming uninsured or from the health reform, with Reform Coordinating Coun- underinsured. Repealing health a combined total between $3 cil’s interim report, released reform would thus stifle job tran- billion and $4 billion a year. The in July, found that federal sitions, new business startups, and states included in the study were health reform will save Mary- movements into and out of the Arkansas, California, Florida, land $829 million and cut the labor force. Idaho, Indiana, Iowa, Maine, number of uninsured Mary- The Congressional Budget Michigan, Minnesota, Nebraska, landers by half.9 Office (CBO) stated that Montana, North Carolina, n New Hampshire: Signed into repealing the ACA will add Oregon, Pennsylvania, Vermont law (SB 455) authorizing billions to the deficit over the and Wyoming.5 the Insurance Commis- next decade leaving millions Since the repeal failed, the sioner to implement the without insurance and leading spotlight has turned to the states’ insurance reforms required to higher costs for those who are advancement of implementing under federal law; revises the covered. The CBO Director Doug health reform. According to the law regarding independent Elmendorf elaborated by stating National Conference of State coverage to conform to as a result of changes in direct Legislatures, as of September federal law. spending and revenues, CBO 2010, 25 states have enacted or expects that repealing reform adopted legislation or formed With several years to go before would presumably increase committees concerning health it is fully implemented, it is too federal budget deficits over the reform implementation. soon to estimate the impact of 2012-2019 period by approxi- potential ACA benefits to either mately $145 billion.4 And the n California: Signed into law states or constituents. Ideally, costs will fall on businesses and (AB 1602) to enact the Cali- health reform will be a short-term continuing unemployment fornia Patient Protection and investment of roughly $100 billion from the impacts of health Affordable Care Act to imple- a year to lower costs and relieve reform repeal. ment reform under the federal various financial burdens.10 In general, CBO has projected PPACA in California.6 To a country in financial woe, that the law’s actual implementa- n Colorado: Has summarized legislation that is set to cost the tion and administration costs to the benefit to expanding government more dollars may federal agencies will be roughly health insurance coverage will seem more of a burden, notwith- $10-20 billion over the first strengthen the economy and standing the current spending decade. At the same time, the create jobs, as many as 23,000 of more than $2 trillion dollars a CBO does estimate that the law new jobs by 2019. A study by year on health care. will in fact reduce deficits in the the New America Founda- States are on the front lines immediate decade as well as in tion shows that implementing of making health reform a subsequent decades, because reform in Colorado can reduce reality for Americans across the its most important cost-saving the cost of private insurance country. Each state has different
THE LEGISLATOR | March 2011 55 needs and goals and there is tages. Now is the time to start no “one-size-fits-all” approach thinking about health care and to implementing the law. Some jobs jointly, instead of viewing components of the law must be them as separate concerns. It is developed and implemented therefore best for the country to quickly, while others will involve end the repeal fight and use the a complex set of state decisions existing law as a foundation to as well as long-term planning build on a better health care for and implementation. all Americans. The continual claims that health reform will destroy jobs by harming the economy are sharply at odds with the findings Deana McRae is a Policy Consultant for NBCSL’s Policy Committees on Health of leading non-partisan experts. & Human Services, Military & Veterans The Affordable Care Act’s net Affairs, and Labor. long impact on the economy will be slight. The CBO has even suggested that this could enhance the nation’s economic produc- tivity.11 Under the new law, reform will help create jobs by laying the groundwork for bringing health care costs under control and by giving businesses more afford- able coverage options. So even those with doubts about reform would have to recognize that it will likely create jobs and also improve the well-being of the currently uninsured, many of whom are unemployed. As with any legislation there are advantages and disadvan-
1. The Henry J. Kaiser Family Foundation. (n.d.). Health Insurance Coverage of the Total Population, states (2008-2009), U.S. (2009). Retrieved March 1, 2011 from the State Health Facts Web site: http://www.statehealthfacts.org/comparetable.jsp?ind=125&cat=3. 2. Center for American Progress. (2010, February 24). Interactive Map: Health Reform Will Lead to Job Creation. State-by-State Job Creation Estimates from Health Reform. Retrieved March 1, 2011 from the Center for American Progress Web site: http://www.americanprogress.org/ issues/2010/02/healthreformjobs.html. 3. Pear, P. (2011, January 15). Political Focus on Jobs in Health Fight. Jan. 15, 2011. New York Times. Retrieved March 1, 2011 from http://www. nytimes.com/2011/01/16/health/policy/16health.html. 4. Congressional Budget Office. (2011, January 6). Letter to the Honorable John Boehner, Speaker of the House regarding the H.R. 2, the Repealing the Job-Killing Health Care Law Act. Retrieved March 1, 2011 from the Congressional Budget Office Web site: http://www.cbo.gov/ftpdocs/120xx/ doc12040/01-06-PPACA_Repeal.pdf. 5. Bouman, J. (2011, December 20). Three Studies Indicate that Health Reform will Reduce State Budgets. The Shriver Brief. Retrieved March 1, 2011 from The Shriver Center Web site: http://www.theshriverbrief.org/2010/12/articles/health-care-reform-1/three-studies-indicate-that-health-reform- will-reduce-state-budgets/. 6. National Caucus of State Legislators. (2011, January 5, 2011). Table 1.1 2010 State Legislative Implementation of the Patient Protection and Afford- able Care Act. In 2010 State Actions to Implement Federal Health Reform. Retrieved March 1, 2011 from: http://www.ncsl.org/default.aspx?tabid=2 0231#Legislative. 7. U.S. Department of Health and Human Services. HealthCare.gov Web site. Retrieved March, 1, 2011 from: http://www.healthcare.gov/ . 8. State of Colorado. (n.d.) Health Care Reform in Colorado. Retrieved March 1, 2011 from: www.colorado.gov/healthreform. 9. Maryland Lt Governor’s Office News Release. July 28, 2010. http://dhmh.maryland.gov/pressreleases/2010/ltgov072810.html. 10. The White House. (n.d.) Health Insurance Reform Reality Check. Retrieved March 1, 2011 from: http://www.whitehouse.gov/realitycheck/faq. 11. Van De Water, P.N. (2011, January 7). Debunking False Claims about Health Reform, Jobs and the Deficit. Center on Budget and Policy Priorities. Retrieved March 1, 2011 from: http://www.cbpp.org/cms/index.cfm?fa=view&id=3366.
56 THE LEGISLATOR | March 2011 THE
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