JOBS

JOBS POLICIES, ANALYSIS, AND RESOURCES

The Jobs and Infrastructure domain tracks and reports on policies that deal with job creation and employment, unemployment insurance and job retraining, and policies that support investments in infrastructure. This domain tracks policies emanating from the White House, the US Congress, the US Department of Labor, the US Department of Transportation, and state policies that respond to policies at the Federal level. Our Principal Analyst is Vaibhav Kumar who can be reached at vaibhav@usresistnews.org.

Latest Jobs Posts

 

Analyzing the Impact of Reapportionment in the 2022 Mid-Term Elections

Brief #39 – Elections & Politics
By Ian Milden

Control of the U.S. House is up for grabs in the 2022 mid-term elections. Democrats currently have 220 seats and require 218 seats to retain a majority (there are three vacant seats). This brief will examine the impact of reapportionment on the U.S. House races in 2022. It will also discuss some strategies that Democrats can use to mitigate or work around the challenges created by redistricting.

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The Nationwide Right to Organize Act: Explained

Brief #141 – Social Justice Policy
By Emily Scanlon

What is the Nationwide Right to Unionize Act?

On September 8th, Senator Elizabeth Warren (D-MA) and Representative Brad Sherman (D-CA-30) reintroduced the Nationwide Right to Unionize Act. Labor unions are organizations formed by workers who join together and use their strength to have a voice in their workplace.

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Americans Find Toxic Water at The Bottom of Their Well

Brief #149 – Environment Policy
By Todd J. Broadman

Worldwide, 1 in 10 people cannot access clean water within a 30-minute walk from their home and by 2030 this situation is projected to grow and displace up to 700 million. Closer to home, as the water treatment infrastructure in the U.S. continues to deteriorate, many Americans are facing a similar plight.

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Reducing the Separation of Religious Schools and Public Money

Brief #56 – Education Policy
By Steve Piazza

In line with a recent string of United States Supreme Court (USSC) decisions lauded by many as protecting religious freedoms, the USSC overturned a lower court decision that prevented state money from being used for religious school tuition. The June 21, 2022 6-3 decision in Carson v. Makin was arrived at by an ideologically divided court.

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The Radicalization of the Anti-Abortion Movement

Brief #146 – Health & Gender
By Emily Scanlon

For years, the anti-abortion movement has been focused on one main goal: the overturn of Roe v. Wade. Because of this unifying goal, the movement has not had to grapple with fringe beliefs. Now that their main goal has been accomplished, anti-abortion groups are considering next steps and facing more radical ideas within the movement.

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The Healthcare Industry is Reeling from COVID-19

Brief #145 – Health & Gender Policy
By Geoffrey Small

President Joe Biden has declared that the COVID-19 pandemic is over. Many experts in the scientific community may agree or disagree with Biden’s assessment, but the prospect of herd immunity, public awareness, and methods of prevention have undoubtedly come a long way since the coronavirus first made its global impact.

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Protest Against “Partial Mobilization” in Russia

Brief #150 – Foreign Policy
By Yelena Korshunov

On September 21, Russia’s president Putin announced the start of “partial mobilization” in Russia. He signed a law amending the Criminal Code, according to which the Russian Federation introduces punishment for voluntary surrender and desertion during the period of mobilization and refusal to participate in hostilities.
Violators face punishment of up to 10 years in prison for voluntary surrender and up to 15 years in prison for desertion.

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Preview of US Senate Races in Pennsylvania and Georgia

Preview of US Senate Races in Pennsylvania and Georgia

Preview of US Senate Races in Pennsylvania and Georgia

Elections & Politics Policy Brief #38 | By: Ian Milden | June 22, 2022

Header photo taken from: The Hill


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Pennsylvania Lt. Gov. John Fetterman and Mehmet Oz, a Republican nominee for U.S. Senate in Pennsylvania.

Photo taken from: Marc Levy and Seth Wenig / WHYY

Policy Summary

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Control of the U.S. Senate will be up for grabs in the 2022 mid-term elections. Competitive races in key states will determine the balance of power. In this brief, I will preview the competitive races in Pennsylvania and Georgia.

Policy Analysis

In Pennsylvania, Lieutenant Governor John Fetterman (D-PA) will face Dr. Mehmet Oz (R-PA) in the general election for the US Senate seat being vacated by retiring Senator Pat Toomey (R-PA). Fetterman has been elected statewide, initially winning his current job in the 2018 midterm elections. Fetterman hails from Braddock, Pennsylvania in the western part of the state. He has not been campaigning as he recovers from a stroke. Dr. Oz is well-known due to his television show, although he is relatively untested as a candidate for public office. Dr. Oz has faced scrutiny over his business dealings. For example, his family business was fined for hiring undocumented workers. Dr. Oz won his primary over David McCormick by less than 1000 votes

A recent poll from USA Today and Suffolk University has Dr. Oz down by nine percentage points due to Republicans not being fully consolidated behind Oz’s candidacy after a tense primary. Dr. Oz will have some work to do over the next several months to convince Republicans to support him in November. Expect the race to get tighter in the coming months as Dr. Oz works on repairing the fractures within his own party.

In Georgia, incumbent Senator Raphael Warnock (D-GA) is running for a full term against former NFL player Herschel Walker (R-GA). Warnock won the special election to replace retiring Senator Johnny Isakson (R-GA) after ending up in a runoff with appointed Senator Kelly Loeffler (R-GA). Warnock is the pastor at the Ebenezer Baptist Church in Atlanta. 


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While top Republicans like Trump and Senate Minority Leader Mitch McConnell have embraced Walker, local Republicans have warned that his untested campaign and past controversies might not be successful against Warnock in a general election.

Photo taken from: NPR

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During his time in the Senate, Warnock has advocated for raising the minimum wage and reinforcing voting rights through the John Lewis Voting Rights Act. His opponent, Herschel Walker. became famous for playing college football for the University of Georgia. He later played in the NFL, most notably for the Dallas Cowboys. Walker is untested as a candidate for public office.

 

Republicans in Georgia largely threw their support behind him after he was endorsed by Donald Trump. A lack of serious vetting of Walker has led to media scrutiny of his personal life. It was discovered that  Walker fathered a child with a woman who was not his wife and whom he has largely not been present for. Walker’s campaign later admitted to two additional children that Walker fathered. Walker had previously criticized men who leave their children in a radio interview. He has also been scrutinized for false statements about his career. A recent poll from East Carolina University’s survey research center finds that the race is tied. 

According to the poll’s data, Walker has less support than Governor Brian Kemp (R-GA) among non-college-educated voters and voters under the age of 65. These could be signs that Walker’s flaws as a candidate are weighing him down, but it is too early to tell. More time and additional data could provide additional insight. Even with Walker’s flaws as a candidate, Warnock will have a tough race in November due to the demographics of Georgia’s electorate, historical midterm trends, and Georgia having a runoff election if nobody gets a majority of the vote.

Engagement Resources​

Click or tap on resource URL to visit links where available 

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Fetterman’s Campaign Website

https://johnfetterman.com/

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Warnock’s Campaign Website

https://warnockforgeorgia.com/

While Men Fight for Their Land in Ukraine, Their Families Try to Survive in a Foreign Country

While Men Fight for Their Land in Ukraine, Their Families Try to Survive in a Foreign Country

While Men Fight for Their Land in Ukraine, Their Families Try to Survive in a Foreign Country

Foreign Policy Brief #138 | By: Yelena Korshunov | June 16, 2022

Header photo taken from: The New York Times


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ARFA billboard on Times Square, New York.

All photos in this brief are provided by ARFA

Policy Summary

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I’m speaking with a man who was on his way to fight for his country, Ukraine, that was invaded by Russia’s troops on February 24, 2022. He packed his bag in his Brooklyn house to cross the Atlantic Ocean, back to the land where he was born. He was almost done with packing when his close relative stepped in. “You can do much more for Ukraine if you stay in America. You can help those who arrive here from Ukraine with a hope to keep their children safe and alive,” she said. “Ultimately, someone should do that here. Someone who speaks their language and has a big heart like you.” This man’s name is Yan Yufit. 

I phoned him to speak about his mission. Yan is a founder of ARFA, which stands for American Revival Foundation Alliance. Since Ukrainian refugees started to arrive in the United States, he and his team are first responders to meet the needs of those – mostly women with children, and elderly people – whose lives were ruined by the war.

-When was your organization born? – I asked.

-We started four years ago in Ukraine, mostly helping Holocaust survivors and collecting information about those whose lives were taken then. We planned to open a Holocaust museum in Odessa. That time we were invited to the Babiy Yar anniversary in Kiev where we met with Ukrainian president Volodymyr Zelensky, Israeli and German presidents, and with many other activists and politicians. But when Putin’s army attacked Ukraine spreading enormous violence over this land, we switched our endeavors to help Ukrainian refugees and those who dedicated their lives to protect Ukraine. We don’t really trust big organizations because they spend a significant part of donations to pay their employees, rent facilities, etc. Nobody knows what part of this money goes to those people who are in need of them. 

Conversely, we started our activity by spending our own money and attracting volunteers. Here are the names of people in my team who willingly dedicate their time and money: Irina Chmeleva, Yaroslav Litvinov, Natalie Knyazeva, Vadim Mednikov, Ilona Elias, and Tatiana Golyak. One of our friends, Svetlana Zelinskaya, who has a beauty salon, gave us a space on certain days and hours to collect and distribute supplies for refugees, e.g. clothes, kitchen appliances, toys, and many other things. Then we realized that refugees are in dramatic need of legal help, so we found a lawyer and a paralegal who joined the team to voluntarily support refugees with legal advice, filling out applications, and filing them.

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The family got a new multi cooker!

We distributed food that was randomly donated, but recently we made an agreement with the Food Bank of New York, and last Saturday they delivered food that was distributed to many refugees and the other people in need. Our efforts have now started to attract politicians’ attention. Steven Simblevitz, NYS assemblyman of District 45, helped us to partner with KingsBay Y which provided us with a facility for food distribution on Saturdays. 

We are located in Brooklyn, New York, and about 2,000 refugees have already applied to us for different kinds of help. ARFA helps them to get medical insurance, open a bank account, and get a driver license. We have opened free English language classes that are voluntarily led by professional educators. We even have a children psychologist who helps kids who went through the horror of war and suffer from psychological trauma. Recently, the HRA representative came to us to consult people, and we expect him to do that soon on a weekly basis.

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Food distribution

-You don’t spend much money on advertising ARFA, so where do you find volunteers?

-It’s mostly a word of mouth. Many people with diverse backgrounds and nationalities come to us offering their hands and time. Pediatrician Boris Ripa donated twenty boxes with baby meals. There are several businesses that donated twenty multi cookers and twelve boxes with new children’s clothes. At the Ukrainian event at Times Square we met a famous Ukrainian actor Vladimir Goryanskiy who will direct the Children’s School of Arts. Eight refugees created crafts that were sold at the Ukrainian festival on Staten Island. 

ARFA earned there more than $1,000 to spend for refugees’ needs. We bought and sent to the hospital in Kropyvnytskyi (a city in Ukraine) a 3D Printer that is unique for that area and will be used for making medical first aid supplies. We also sent supplies to the Ukrainian regiment in Mykolaiv, and we sent warm blankets to another regiment. We also bought free food for people in Kyiv and Kharkiv that was distributed by local volunteers.

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Crafts for the festival

-I’m wondering what ARFA’s challenges are, if there are any?

-The biggest problem is that we do all these things with our own limited money, and we don’t have any financing except for private donations. Another big challenge is finding a facility where we could collect, store, and distribute things for refugees, provide them with legal help, and conduct classes for children and adults. 

A lot of refugees arrive in the US without having any money and basic necessities, like hygiene products. Our friend that offered us space in her beauty salon got in trouble with her landlord who couldn’t believe that we do so much work for so many people for free, without getting a profit. If we have financing, we could attract more professionals and offer more support to Ukrainians who drastically need it.

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Yan Yiffit with a volunteer.

-Although refugees have multiple vital needs, which of them is a priority?

-The priority is housing and work. The biggest problem is that without work and good credit history they can’t rent a room or apartment. Some homeowners want them to pay for half a year ahead. But how can people who were forced to escape their homes under shelling have so much money? All they have is clothes on them and their terrified children.

-How long does it take to get a status that permits refugees to work in the US?

-It’s a very long process. Within four months since the war in Ukraine started and refugees ran to the US, none of these people who applied to us received a document that allows them to legally work. Our attorneys filed applications for many refugees more than three months ago, but they are still waiting and struggling to survive. They are in unbelievable poverty, many of them don’t even have money to ride a subway. They walk miles to get free food that we deliver, or to receive legal advice.

-It’s so hard even to imagine what these people are going through.

-There are so many stories that are terrifying. There is a female refugee in Brooklyn who worked as a police officer in Kyiv. Her parents live in occupied Kherson. Someone brought information about her police service to the Russian occupants’ headquarter in Kherson, and now they are treating her parents demanding that she must come back to Kherson and be prosecuted, otherwise they will be in real trouble. And there is no way for these poor people to escape occupied territory and save their lives.

There is another woman with three children (one of them is autistic) whose husband was killed the second day of the war. There are many other Ukrainian children here, in Brooklyn, whose dads fight in Ukraine against its occupants or have already lost their lives in the war.

Policy Analysis

Recently, after the war started, NYS governor Kathy Hochul stated  “On behalf of 20 million New Yorkers, I am here to say with resolve in my heart, that we stand against this tyranny, and condemn Putin’s unjust and inhumane violation of the sovereignty of Ukraine. And we will stand with Ukraine and its people now, and forever more. New York is with you. We will always be with you. The United States of America will be with you.” 

But beyond these pathetic words, there are thousands of Ukrainian refugees that don’t have a place to live in, and don’t have basic needs, like food and medical help. They can’t even obtain permission to work to be able to buy food for their kids.

There is a website with some resources created for “Ukrainian people” by New York State, offering translation in eleven languages, including Russian, but paradoxically none of these languages is Ukrainian. And in fact, sadly, after reaching out to these resources, refugees run into a wall of bureaucracy. 

 

As a result of this nonsense, we have many hardworking people who are not allowed by our slow bureaucratic machine to earn money for rent and for even simplest human living, while people like Yan Yufit and his ARFA team members who work hard on full-time jobs spend money from their own pockets, time after work, and endeavor to help these people.

Patriotic speeches don’t protect, feed or cure hungry, frightened kids, whereas giving their caregivers permission to work would make a big difference in their lives.

Engagement Resources​

Click or tap on resource URL to visit links where available 

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Uniting for Ukraine.  https://www.uscis.gov/ukraine

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Help Center ARFA: American Revival Foundation Alliance.

https://www.facebook.com/ARFAhelps/

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Governor’s Website with Resources for Ukrainian People. https://www.governor.ny.gov/news/governor-hochul-launches-website-resources-ukrainian-people-and-their-allies-new-york

NYS Stands with Ukraine: Resources for Ukrainians and how New Yorkers can help. https://www.ny.gov/new-york-state-stands-ukraine-resources-ukrainians-and-how-new-yorkers-can-help

New Charges Filed Against Proud Boys

New Charges Filed Against Proud Boys

New Charges Filed Against Proud Boys

Elections & Politics Policy Brief #37 | By: Stephen Thomas | June 13, 2022

Header photo taken from: ABC


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Florida Proud Boys leader pleads not guilty to seditious conspiracy in Capitol Riot.

Photo taken from: Click Orlando

Policy Summary

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As of this writing, none of the five members of the Proud Boys who received two additional Capitol riot charges June 6 have pleaded guilty. The group faces nine charges in all in connection with the breach of the U.S. Capitol on Jan. 6, 2021. The case is before the U.S. District Court for the District of Columbia.

The riot interrupted the congressional counting of the electoral votes in the 2020 presidential election, which President Joseph R. Biden Jr. and Vice President Kamala D. Harris won—despite Republican lies to the contrary.

The defendants include Henry “Enrique” Tarrio, 38, of Miami, Fla., the former national chairman of the Proud Boys; Ethan Nordean, 31, of Auburn, Wash.; Joseph Biggs, 38, of Ormond Beach, Fla.; Zachary Rehl, 37, of Philadelphia; and Dominic Pezzola, 44, of Rochester, N.Y. All are detained.

The two additional charges include one count of seditious conspiracy and one count of conspiracy to prevent an officer from discharging any duties, according to the Justice Department.

The other seven charges against this fivesome include conspiracy to obstruct official proceedings; obstruction of an official proceeding and aiding and abetting; obstruction of law enforcement during civil disorder and aiding and abetting; destruction of government property and aiding and abetting; and two counts of assaulting, resisting, or impeding certain officers. This list of charges comes directly from the grand jury superseding indictment dated June 6.

A sixth defendant in this group of defendants, Charles Donohoe, 34, of Kernersville, N.C., pleaded guilty April 8 to conspiracy to obstruct an official proceeding and assaulting, resisting or impeding officers, according to a Justice Department news release.

That same news release reads that the Proud Boys describe themselves as a “pro-Western fraternal organization for men who refuse to apologize for creating the modern world, aka Western Chauvinists.”

Policy Analysis

The practical definitions of the two added charges come from a plain reading of the United States Code, which is a compilation of federal statutes passed by Congress and signed by the president. These are statutes, not “regulations,” the latter of which are written by government agencies and do not pass through the legislative process.

This is the unedited federal statute that defines seditious conspiracy (Title 18 U.S. Code Section 2384):

“If two or more persons in any State or Territory, or in any place subject to the jurisdiction of the United States, conspire to overthrow, put down, or to destroy by force the Government of the United States, or to levy war against them, or to oppose by force the authority thereof, or by force to prevent, hinder, or delay the execution of any law of the United States, or by force to seize, take, or possess any property of the United States contrary to the authority thereof, they shall each be fined under this title or imprisoned not more than twenty years, or both.”

The following is the unedited federal statute that defines conspiracy to prevent an officer from discharging any duties. (This is Title 18 U.S. Code Section 372. The title of the offense differs between the indictment and the statute; nevertheless, this is indeed the code number that the indictment identifies.):

“If two or more persons in any State, Territory, Possession, or District conspire to prevent, by force, intimidation, or threat, any person from accepting or holding any office, trust, or place of confidence under the United States, or from discharging any duties thereof, or to induce by like means any officer of the United States to leave the place, where his duties as an officer are required to be performed, or to injure him in his person or property on account of his lawful discharge of the duties of his office, or while engaged in the lawful discharge thereof, or to injure his property so as to molest, interrupt, hinder, or impede him in the discharge of his official duties, each of such persons shall be fined under this title or imprisoned not more than six years, or both.”


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A closer look of what is “sedition” and what it means.

Photo taken from: KNWA

(click or tap to enlargen)

The indictment contains allegations, which federal prosecutors must prove in any cases that go to trial. Prosecutors have a lot of ammunition to work with. If the government can prove some of the facts contained in the indictment, then it has a solid case against these five defendants.

For instance, on the seditious conspiracy charge alone, according to the indictment, prosecutors believe they can show that the defendants conspired to “oppose the lawful transfer of presidential power.” The indictment alleges the fivesome did the following—and this is the tip of the iceberg:

 

  • Used “programmable handheld radios,” encrypted applications, and other means of communication in the “attack,”
  • Mobilized and led the crowd into the Capitol,
  • Dismantled and “stormed past” metal barricades (bypassing and even assaulting law enforcement officers), and
  • Destroyed property, including fencing and a window.

Then, there is the charge of preventing an officer from discharging any duties. On this additional count, the government must show that the defendants conspired to forcibly “induce” members of Congress and law enforcement personnel “to leave the place where their duties as officers were required to be performed.” 

Here, it is obvious that Congress evacuated to safety, in so doing delaying the electoral vote count. Additionally, injury and death were inflicted on law enforcement in the attack. Proving that the defendants were a part of a conspiracy is one thing, but it is a given that the attack resulted in those repercussions.

Keep in mind that the government has a wealth of video footage and witnesses to help make the charges stick, should any of these defendants go to trial. No wonder a sixth defendant who was charged with this group struck a plea deal.

Engagement Resources​

Click or tap on resource URL to visit links where available 

Seal of the United States Department of Justice.svg

Superseding Indictment

https://www.justice.gov/usao-dc/press-release/file/1510791/download

Justice Department News Release

https://www.justice.gov/opa/pr/leader-proud-boys-and-four-other-members-indicted-federal-court-seditious-conspiracy-and

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Seditious Conspiracy

Title 18 U.S. Code Section 2384

https://www.law.cornell.edu/uscode/text/18/2384

Conspiracy to Prevent an Officer from Discharging Any Duties

This charge is also known as “Conspiracy to impede or injure officer”

Title 18 U.S. Code Section 372

https://www.law.cornell.edu/uscode/text/18/372

The Ukraine Crisis: Situation Update #9

The Ukraine Crisis: Situation Update #9

The Ukraine Crisis: Situation Update #9

Foreign Policy Brief #137 | By: Abran C | June 14, 2022

Header photo taken from: Axios


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Ukrainian artillerymen race to cover a Soviet-era Gvozdika self-propelled howitzer south of Izyum, Kharkiv region, May 23, 2022

Photo taken from: Anatolii Stepanov / Politico

Policy Summary

[SSB theme=”Official” align=”center” counter=”true” ]

Over 100 days into Russia’s war on Ukraine, there is still no end in sight. Russia now controls a large swath of Ukrainian territory that extends from around Ukraine’s second city of Kharkiv, through the separatist-held cities of Donetsk and Luhansk, and westward to the city of Kherson, forming a land bridge linking the captured territory to the Crimean peninsula. Russia’s focus has turned toward the Donbas and Luhansk regions in Eastern Ukraine, with heavy fighting now centering around Severodonetsk, an industrial city, and the last sliver of the Luhansk region still under Ukrainian control.

Ukrainian and British officials this past weekend warned that Russian forces were using unconventional weapons that have caused mass casualties as they try to make headway in capturing eastern Ukraine. Serhiy Haidai the head of the Luhansk regional military government accused Russian forces of beginning carpet-bombing campaigns across Eastern cities. Additionally, the UK Defense Ministry claimed that Russian bombers have likely been launching heavy Kh-22 missiles, a 1960s-era anti-ship missile that is highly inaccurate but specializes in causing widespread indiscriminate collateral damage and casualties.

Policy Analysis

In an effort to continue support for a war-torn Ukraine, President Biden announced on June 1, 2022, that the US would be sending a more advanced rocket system, the High Mobility Artillery Rocket System, which launches rockets that can go around 49 miles. This is a far greater range than anything Ukraine has been sent to date. More than $5 billion in security assistance has been sent to Ukraine since Biden took office last year. The Biden administration has been careful to ensure that while supporting Ukraine’s war effort with weapons, it would not send munitions that could be used to strike targets inside Russia and implicate the US in an attack on Russian soil.

Sanctions unfortunately up to now have not halted the military assault, but there is still hope that a promise to lift them could eventually bring Russia to the negotiating table. 

Yet as of right now the Russian rouble actually saw an increase in value, it has risen 16% against the greenback and is up 150% since it tanked just days after Russia’s invasion over three months ago. 


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The first McDonald’s opened in Moscow in 1990…

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…more than 30 years on, it has been replaced.

Photos taken from: Reuters, Getty

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This can be explained by the collapse in imports while exports, such as oil and gas, have continued relatively unabated. 

Russia has even reopened its now-former Mcdonald’s restaurants after the company cut business ties within the country. The restaurants have been rebranded as Vkusno-i tochka which translates to  “Tasty and that’s it” in an obvious effort to present an appearance of normalcy to Russian citizens.

Though Russia’s economy has rebounded somewhat, the knock-on effects of sanctions for years to come should still be of great concern to the Kremlin. This is true not only for Russia but Central Asian states which have economies intertwined with it, along with large numbers of international workers in Russia who send back remittances that help prop up Central Asian economies and secure Russian influence in the region.  

Remittances in Tajikistan amounted to 34% of GDP in 2021, 33% for the Kyrgyz Republic, and 12% in Uzbekistan. The war and sanctions may also damage Russia’s connections with Central Asian countries in the long term if economic hardship becomes widespread in the region on account of the Kremlin’s actions.

Should Religious Organizations Continue To Receive Federal Grants For Social Service Programs?

Should Religious Organizations Continue To Receive Federal Grants For Social Service Programs?

Should Religious Organizations Continue To Receive Federal Grants For Social Service Programs?

Civil Rights Policy Brief #188 | By: | June 13, 2022

Header photo taken from: Forbes


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Photo taken from: Center for Religion and Civic Culture

Policy Summary

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On August 31, 2021 H.R. 5129 was introduced in the House of Representatives. The bill was the Community Services Block Grant (CSBG) Modernization Act of 2022. This bill reauthorized a continued funding of the Community Services Block Grant Program which makes grants to States, territories, Indian tribes and other non – governmental entities for government programs to help reduce poverty, empower residents of low – income communities and encourage businesses and other organizations to expand opportunities for all individuals.  Included in organizations that are eligible for these grants are faith – based organizations (FBO).

However, the grant of taxpayer monies to faith – based organizations has been controversial. The Establishment Clause of the First Amendment to the U.S. Constitution provides “Congress shall make no law respecting an establishment of religion[.]” Due to the complications that were likely to develop with FBO’s receiving direct financial assistance from the states and the federal government in spite of a tradition that was supposed to keep church and state separate, a set of rules known as “Charitable Choice” rules were introduced in various statutes and regulations.

Generally, faith – based organizations ran government assistance programs and competed with other non – faith based groups for the award of government monies. The Charitable Choice rules helped to clarify the legal standards for an award of monies to an FBO. The rules required the government to neither favor nor oppose faith – based applicants and not interfere in the internal operations of religious organizations that receive federal funds. As a practical matter, if a beneficiary of a social service program did not want the assistance to be administered by a faith – based group, such as a church, the beneficiary was entitled to be reassigned to a secular organization, hence the “choice” of the Charitable Choice rules. A beneficiary would not be forced to attend a faith based group in order to receive the benefits of a social services program.

With H.R. 5129 just passed by the House, these Charitable Choice rules were suddenly omitted from the reauthorization of funds for the Community Services Block Grant Modernization Act of 2022. LEARN MORE

Policy Analysis

So what happened? Why was the framework of “Charitable Choice” rules omitted from the law that sought to continue the flow of federal monies to states and other institutions for social service programs?

One reason why the rules were likely left out is because of pressure from the ongoing debate in the U.S. concerning whether religious organizations and churches can rely on their faith and religious teachings to discriminate against other persons, such as LGBQT people. When faith – based organizations were awarded these grants to run social service assistance programs, there was an understanding that the monies would only be used to provide assistance in much the same manner that secular groups provide assistance. No monies would be used for worship, preaching or proselytizing activities, and most FBO’s did their best to comply.

President George W. Bush helped to clarify the standards used in granting the monies and helped streamline the process of awarding the monies through the creation of the White House Office of Faith Based & Community Initiatives. The Office conducted audits and helped train officials in the process of federal grant applications. But President Bush also made a key move by permitting only religious groups to use an exemption from Title VII of the Civil Rights Act of 1964. This exemption allowed religious groups to discriminate among persons because of their religious beliefs even though they were allowed to continue receiving federal funds. When President Barack Obama in 2014 classified sexual orientation and gender identity as a protected class for the purpose of anti – discrimination laws, a conflict with religious groups was set in motion.


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Photo taken from: Rolling Stone

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Should religious groups who receive taxpayer funds to help administer social service programs be permitted to discriminate against LGBQT groups while receiving those funds? While the Charitable Choice rules first implemented in 1996 seemingly made an accommodation for religious groups to receive taxpayer funds and administer social service programs, it appears that the Democrats in the House are looking to change that framework with H.R. 5129. Allowing a religious group to take federal dollars and then turn its back and discriminate against LGBQT groups will no longer be tolerated and may be coming to an end. Religious groups shouldn’t be able to have it both ways.

If a religious group wants federal dollars then it should be compelled to abide by the anti – discrimination laws that all other groups – secular, non – religious – have to follow. This is the message H.R. 5129 sent when it was passed – that the government will no longer distribute tax payer dollars to religious organizations that refuse to comply with its anti – discrimination laws. 

Religious groups may not like it but it seems pointless to continue sending taxpayer dollars to groups who refuse to discontinue their discrimination of other people. While H.R. 5129’s future is uncertain in the Senate it is clear that support for discrimination based on faith and religious reasons may be waning and H.R. 5129 could be the first step to do away with this religious based exemption for good. LEARN MORE

This brief was compiled by Rod Maggay. If you have comments or want to add the name of your organization to this brief, please contact Rod@USResistnews.org.

Engagement Resources​

Click or tap on resource URL to visit links where available 

FFR

Freedom From Religion Foundation – non – profit’s group on the passage of H.R. 5129.

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Institutional Religious Freedom Alliance – history of Charitable Choice rules and how the government deals with federal funds for religious groups.

The Center Lane is Wide Open

The Center Lane is Wide Open

The Center Lane is Wide Open

U.S. Resist News Op Ed | By: John Halpin |
June 7, 2022

Header photo taken from: Mike Blake / Reuters


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Photo taken from: Mod DB

Policy Summary

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After the Democratic primaries in 2020, Joe Biden’s comeback victory over more left-leaning opponents was hailed as a triumph for his traditional brand of pragmatic centrism and bipartisan cooperation that later enabled him to win a decisive popular vote majority over Donald Trump in the general election. Biden swooped into office promising to “end this uncivil war that pits red against blue, rural versus urban, conservative versus liberal.”

A year and half later, this center ground appears all but abandoned and out of reach—for both President Biden and former President Trump.

According to fresh new polling from Global Progress and YouGov, conducted among more than 10,000 respondents in 9 leading democracies, an eye-catching 44 percent of Americans today place President Biden on either the very left-wing (30 percent) or somewhat left-wing (14 percent) side of the ideological scale. Only 12 percent of Americans place Biden directly in the center of the political spectrum, with another 14 percent placing him on the center-left.

Perceptions of former President Trump are even more extreme: nearly 4 in 10 Americans place Trump on the very right-wing side of the political scale and another 17 percent see him as somewhat right-wing. A mere 7 percent of Americans place Trump in the ideological center and another 8 percent on the center right.

Likewise, about one third of Americans overall view the Democratic Party as very left-wing and an equal percentage view the Republican Party as very right-wing. Only around 10 percent of Americans place either Democrats or Republicans in the center of the ideological spectrum, respectively.

In stark contrast to perceptions of their national leaders and the two parties, one quarter of Americans place themselves directly in the center of the ideological spectrum, with another 18 percent placing themselves either on the center-left or center-right in equal percentages. Only 1 in 10 Americans place themselves on either the far left or the far right, respectively. There’s clearly a wide gulf between how Americans conceive of their own politics versus those represented by their national leaders and the two political parties.

Part of the explanation for this divergence lies in partisan interpretations of opposition leaders and parties in the United States.

For example, more than 7 in 10 Trump voters place President Biden on the very left-wing side of the ideological scale compared to less than 10 percent of Biden voters who think similarly. In turn, 6 in 10 Biden voters place former President Trump on the very right-wing extreme of the spectrum—nearly double the percentage of Trump voters who label their own guy as far right.

These patterns are repeated on views of the two parties: 73 percent of Trump voters place the Democratic Party on the very left-wing side of the ideological spectrum while 62 percent of Biden voters place the Republican Party on the very right-wing side. In comparison, only 12 percent of Biden voters place the Democratic Party on the far left and only 15 percent of Trump voters place the Republican Party on the far right.  

These data suggest that regardless of what national leaders do or say in politics these days, most voters from the opposition party are likely to view them as ideologically extreme.

Policy Analysis

This does not happen to the same degree in other countries according to the new Global Progress/YouGov data.

In the United Kingdom, for example, most British citizens view Labour Party leader Keir Starmer as slightly left-of-center (26 percent) and another 1 in 10 place him directly in the center. Only 8 percent of British people view Starmer as very left-wing—more than three times lower than the percentage of Americans who label Biden as very left-wing. 

Even among Conservative voters from 2019, only 15 percent place Starmer on the far left with most seeing him as fairly left-wing or slightly left-of-center. In turn, most British citizens label Prime Minister Boris Johnson as fairly right-wing (28 percent), above the 16 percent who place him on the far right of the ideological scale. Labour voters from 2019 are more likely to view Johnson’s ideology as fairly right-wing rather than as very right-wing.

The pattern is repeated in Germany, Sweden, and Norway where current Social Democratic and Labour party leaders are all seen as more center-left than far left by citizens of their respective countries. Only 4 percent of Germans place Chancellor Olaf Scholz on the far-left side of the ideological spectrum, with most locating him in the center. Only 7 percent of Swedes place Prime Minister Magdalena Andersson on the far left with nearly one third seeing her as slightly left-of-center. Only 6 percent of Norwegians place Prime Minister Jonas Gahr Støre on the very left-wing side of the scale with a plurality seeing him as center-left.

Interestingly, in France nearly 4 in 10 citizens place President Emmanuel Macron on the slightly right-of-center or fairly right-wing side of the ideological scale.


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Charts taken from: The Liberal Patriot

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So, what’s going on? Why do Americans seem to view their leaders in such extreme ways compared to those in other democracies?

Perhaps citizens in European countries with multi-party systems have a keener understanding of the gradations of political ideology than do Americans with their two-party system. Perhaps citizens in these countries assess their leaders and parties more fairly than do Americans who appear to think most of their leaders are extremists. Perhaps the leaders in these European countries are more centrist in temperament and in practice than those in American politics.

More likely than not, American citizens are not any worse or better than others at understanding political ideology, and a leader like President Biden is not any more left-wing than his social democratic peers in Europe.

The difference in evaluations probably lies in the sorry state of national political discourse in the United States today. Americans operate under a daily barrage of culture war battles in the media along with constant partisan accusations of national treachery and radicalism hurled at opponents. In a context where all politics is presented as a zero-sum ideological fight for moral supremacy, many Americans are primed by media elites, social media trolls, and the billion dollar campaign industrial complex to view their leaders, particularly those from another party, as extremists. Sane Americans respond by tuning out the nonsense and turning away from politics altogether.

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Chart taken from: Gallup / Knight Foundation

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Yet, for America to flourish and overcome its biggest economic and security challenges, we all need to ratchet down the actual crazy politics—as well as the nonstop accusations of extremism for otherwise normal behavior and policy positions. Americans need to get out of the doom cycle of anger and mistrust that fuels partisan polarization. Those running our media and political institutions also need to relearn the art of measured political coverage and reasonable debate.

Although our politics seems hopelessly divided between the extremes, the center lane is still open to any political leader, party, or citizen willing to move over and occupy the space. To do this, Donald Trump needs an entirely different mode of politics to earn a legitimate second chance from a majority of American voters. In turn, Joe Biden needs to permanently shift back to the center lane where he started out—and be perceived as doing so by more Americans—if he wants to be reelected in 2024. And Americans themselves need to take a break from political combat and start rewarding those leaders who genuinely occupy the political center and stand up for the well-being of the entire nation.

What to Expect During the First January 6th Committee Open Hearings

What to Expect During the First January 6th Committee Open Hearings

What to Expect During the First January 6th Committee Open Hearings

Elections & Politics Policy Brief #37 | By: Maureen Darby-Serson | June 6nd, 2022

Header photo taken from: NBC


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Peter Navarro charged with contempt of Congress for failing to comply with Jan. 6 committee.

Photo taken from: Yahoo

Policy Summary

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On Thursday June 2nd, the January 6th committee announced when it would hold its first round of public hearings. The first open hearing will be Thursday, June 9th at 8pm. Primetime. No other details were released, but more information would be made available next week. For example, no witness list was published.

This announcement was made a day after former Republican Congressman Denver Riggleman called text messages on Mark Meadow’s phone scary. He then went on to described Meadows as the “MVP” for the committee and that the texts showed a “roadmap” to the January 6th riots, starting as early as November 3rd.

In addition to the public hearing announcement, the Department of Justice has filed criminal charges against Former Trump White House Official Peter Navarro for failing to comply with a subpoena the January 6th committee sent to him months ago. He has spent his time since he was served with the subpoena fighting in court representing himself unsuccessfully. Normally, the DOJ allows an individual to self-surrender, but they considered Navarro a flight risk, so they arrested him at an airport in Nashville. He faces up to one year in prison.

Policy Analysis

So, what should you expect on the first days of the hearings? Assuming it is like most committee hearings, each member will get time to make an opening statement. This will set the stage for the future public hearings and will likely give the first look into the overarching findings of the committee. 

They have spent months combing through thousands of emails and text messages, looking through intelligence data, and speaking with witnesses present on that day. These smaller details will likely be presented in later public hearings.

Mark Meadow’s text messages and information from him seem to be a big player in the committee’s investigations and will likely be a large part of these public hearings.


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Mark Meadows’ 2,319 text messages reveal Trump’s inner circle communications before and after January 6. The lies and delusions revealed in Mark Meadows’ texts are already poisoning the next election.

Photo taken from: CNN

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Engagement Resources​

Click or tap on resource URL to visit links where available 

United States House Select Committee on the January 6 Attack Logo Blue

January 6th Committee Hearings – https://january6th.house.gov/committee_activity

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Anderson Cooper Interview with Denver Riggleman

https://www.youtube.com/watch?v=QpiRWKRn1tE

Is Your Drinking Water Safe?

Is Your Drinking Water Safe?

Is Your Drinking Water Safe?

Environment Policy Brief #143 | By: Roarke Cullenbine | May 31, 2022

Header photo taken from: Environmental Law Monitor


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Biden’s infrastructure plan targets lead pipes that threaten public health across the U.S.

Photo taken from: PBS

Policy Summary

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Water pollution is a serious epidemic in the US, impacting hundreds of thousands. With the US ranking twenty-third in the world for tap water safety, great progress is necessary to keep citizens out of the hospital from consuming either lead, diesel, or pathogens in their water supplies. With few additions to the dated 1972 Clean Water Act, impurity of America’s drinking water is not improving. With 50 percent of US water being so polluted that it is unusable, water pollution threatens the health of many Americans, especially minority populations. 75% of African-Americans are more likely to live near facilities that create hazardous waste and communities with 25% or more of Latinx residents live in communities that have double the water purity violation rates. It is essential that both federal and local governments be kept accountable for regulating the water that its citizens rely on for survival.

Some hope may be on the way with the recent passing of President Biden’s $55 billion allocation to improve water treatment systems through the Infrastructure Investment and Jobs Act. However, this is set to target the replacement of lead water systems and not to resolve other threats.

 

Policy Analysis

When your faucet is turned on, how confident are you that the clear, dispensed liquid is truly pure drinking water? If you live in, for example, Austria, Finland, Malta, Switzerland, or the United Kingdom, chances are that your faith was placed in the right hands. However, if you live in Israel, Cyprus, Canada, or the United States, the odds aren’t so favorable.

Why is the United States on this list? With the U.S, being the richest country in the world, why is the quality of its drinking water so disappointing? Why do our water emergencies continue, threatening innocent lives, such as the 1 million citizens having to boil their water in Austin, Texas, or the tap water in Oahu being contaminated with over 350 times the safe amount of diesel fuel for human consumption; or the infamous water crisis in Flint, Michigan, that today still is having adverse effects on its citizens. This is all not to mention the serious adverse impacts water pollution is having on US wildlife such as the ongoing threat to Florida’s manatees or, local to my home, Maryland’s famous blue crabs in the Chesapeake Bay.

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Flint’s water crisis started 5 years ago. It’s not over. Pipes are now being replaced and officials say the water is safe, but residents still worry, drink bottled water and doubt their elected leaders.

Photo taken from: The New York Times

With the passing of Biden’s Infrastructure Law, $55 billion was allocated to implement better drinking water and wastewater treatment systems. Despite great historical resistance from the Republican Party, the Infrastructure Law’s passing shows that legitimate access to clean water can be a non-partisan issue.

 

Those that support clean water accessibility should contact their state representatives, regardless of party, and advocate for this issue to remain on the Congress floor. For those areas currently impacted by polluted waters, direct change can be promoted within the state level through citizen participation in grassroot organizations and speaking when local government is in session. While some organizations to get involved can be found below, a simple Google search for organizations in your area can be all the change necessary to create a better nation for tomorrow.

Engagement Resources​

Click or tap on resource URL to visit links where available 

nrdc spotlight logo 1024x208 1

https://www.nrdc.org/

The NDRC is a legal advocacy group, dedicated to combat issues of climate change and all negative consequences it brings. Founded in 1970, the NDRC has over 700 staff with over 2 million members.

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https://naacp.org/know-issues/environmental-climate-justice

Formed in 1909, the NAACP is a legal advocacy group primarily concerned with the elimination of race-based discrimination. As a mission for climate justice, a part of this discrimination includes advocating for the many minority communities that receive the greater weight of adverse climate change effects.

web logo AME

https://environmentamerica.org/

A political lobbying organization, Environment America advocates for new legislation to address the climate crisis within US communities. Founded in 2007, Environment America lobbies as a national network of 30 state environmental groups to better bolster change across the US.

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https://bluewaterbaltimore.org/

An example of a local organization, Blue Water Baltimore is a grassroots organization that advocates for the restoration of clean water within the City of Baltimore’s rivers, streams, and famous harbor. With ongoing challenges to the purity of the Chesapeake Bay, local organizations such as Blue Water Baltimore make it possible to combat big problems at the local level.

Guns Now Leading Cause of Death for Children

Guns Now Leading Cause of Death for Children

Guns Now Leading Cause of Death for Children

Health & Gender Policy Brief #152 | By: Lynn Waldsmith | June 2, 2022

Header photo taken from: The New York Post


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A memorial is seen outside Robb Elementary School in Uvalde, Texas, following the attack there this week in which 19 students and two adults were killed.

Photo taken from: Brandon Bell / Getty Images

Policy Summary

[SSB theme=”Official” align=”center” counter=”true” ]

It’s a shocking statistic that should make every American pause and reflect: guns are now the leading cause of death for children in the United States.

Let that sink in. According to the CDC, firearms became the leading cause of death for kids one and older in 2020, marking the first time that motor vehicle crashes have not been the number one cause of death. 

Nearly two-thirds of the 4,368 U.S. children up to age 19 who were killed by guns in 2020 were homicide victims, according to CDC data. Another 30 percent of firearm-related child fatalities were suicides, 3 percent were accidental and 2 percent were of undetermined intent. Motor vehicle crashes, formerly the leading cause of death for kids one and older, killed nearly 4,000 children.

Last month’s school massacre of 19 children and two adults at an elementary school in Uvalde, Texas was the 27th school shooting in the U.S. this year. The tragedy came just 10 days after a mass shooting at a Tops supermarket in Buffalo, N.Y., that took the lives of 10 people.

About 500 children and teens have lost their lives to gun violence in the U.S. so far in 2022, according to the Gun Violence Archive, an independent data collection organization. The Gun Violence Archive has also counted 212 mass shootings that have occurred so far this year, and 2022 is not even half over. It defines a mass shooting as an incident in which four or more people were shot or killed, excluding the shooter.

Policy Analysis

Among other stark finding in the CDC data are gender and racial realities: Male youths are significantly more likely to be killed by guns, while vehicle crashes claim more females. In addition, the firearm death rate for Black children is more than four times that of white children, and white children are still more likely to be killed by motor vehicles than guns.

Because the National Rifle Association (NRA) continues to maintain a stranglehold on the Republican Party, many Americans, despite voicing increasing outrage, are not optimistic about the likelihood of Congress passing gun control laws any time soon. Members of the medical and educational communities say a more realistic approach may lie in treating the gun catastrophe facing children as a public health crisis, rather than a political battle.

“As the progress made in reducing deaths from motor vehicle crashes shows, we don’t have to accept the high rate of firearm-related deaths among U.S. children and adolescents,” researchers recently wrote in a New England Journal of Medicine article that focuses on the trend.

“Preventable deaths among young people not only are associated with tremendous medical costs, but take a great personal toll on families and communities. To reverse the trend of increasing firearm-related deaths among U.S. children, experts and policymakers should be intentional in their efforts to develop and implement a multipronged scientific strategy centered on continuous improvement.”

Twenty years ago, the CDC proclaimed the reduction in deaths attributable to motor vehicle crashes to be one of the most substantial public health achievements of the 20th century. But while the National Highway Safety Administration (NHTSA) could take the lead addressing road-traffic fatalities, the researchers point out that firearms are one of the few products whose safety isn’t regulated by a designated federal agency.

The auto industry has introduced numerous safety improvements over the past two decades, including: automatic emergency braking, electronic stability controls, lane-departure warnings, blind-spot detection, front and side airbags, and rear-facing cameras. By contrast, guns sold to civilians are becoming more lethal as gun manufacturers are selling weapons designed for military use. 


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Why Not Smart Guns in This High-Tech Era? The gun industry lacks not the high-tech know-how, but the fortitude to advance the safety of its weapons in the face of gun-lobby politics and threats.

Photo taken from: Daniel Borris / The New York Times

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The New England Journal of Medicine article also notes that the firearms industry has made little effort to develop or market personalized “smart” guns. Because such weapons can be only be fired by the authorized user only, so-called smart guns should reduce the risk of children unintentionally shooting themselves or others and of adolescents using guns for homicide or suicide.

Traffic safety has also benefitted from universal state-level requirements for the licensing of drivers and the registration of vehicles. States created graduated-licensing programs for new drivers in the late 1990s, which reduced fatal crashes among teenagers. States also introduced booster-seat laws, and guidance for parents on age-appropriate child car seats, which further reduced deaths from motor vehicle crashes among children.

Meanwhile, many states have made it easier for children and young adults, as well as adults with criminal records, to gain access to firearms. Some states don’t require background checks when firearms are purchased from private sellers, such as at gun shows. 

 

According to the New England Journal of Medicine article, “in recent years, many of the same states have passed legislation allowing people to carry a concealed weapon without a permit. At the federal level, the government has given the firearm industry partial protection against certain tort-liability suits (i.e., against negligence claims contending that they could have foreseen their product being diverted for criminal use), which has reduced the industry’s incentive to help prevent firearm-related deaths.”

The researchers say it’s time for treating gun safety the way motor vehicle safety has successfully been improved: Begin with a system that tracks firearm-related injuries and promotes the type of continuous reduction in injury rates that has been seen for motor vehicle crashes, especially among children. They advocate establishing a federal agency whose mission is to prevent harm caused by firearms.

Among other things, they also recommend federal and state laws, such as strong child-access prevention laws, which hold firearm owners liable if a child gains or could gain access to a firearm. Using evidence-based research to make incremental improvements has proven to be the key to the science of injury prevention.

Engagement Resources​

Click or tap on resource URL to visit links where available 

Mortality from Motor Vehicle Crashes and Firearms among Children, Adolescents, and Young Adults, United States, 2000–2020:

https://www.nejm.org/doi/full/10.1056/NEJMp2200169?query=WB&cid=NEJM%20Weekend%20Briefing,%20April%2016,%202022%20DM940106_NEJM_Subscriber&bid=936195133

CDC full report on current Causes of Death in Children and Adolescents in the US:

https://www.nejm.org/doi/full/10.1056/NEJMc2201761

The New England Journal of Medicine: Crossing Lines — A Change in the Leading Cause of Death among U.S. Children:

https://www.nejm.org/doi/full/10.1056/NEJMp2200169?query=WB&cid=NEJM%20Weekend%20Briefing,%20April%2016,%202022%20DM940106_NEJM_Subscriber&bid=936195133

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Gun violence archive 2022:

https://www.gunviolencearchive.org/

CDC

Firearm mortality by state:

https://www.cdc.gov/nchs/pressroom/sosmap/firearm_mortality/firearm.htm

FTC initiates Crackdown on Deceptive Earnings Claims

FTC initiates Crackdown on Deceptive Earnings Claims

FTC initiates Crackdown on Deceptive Earnings Claims

Economic Policy Brief #137 | By: Stephen Thomas | May 22, 2022

Header photo taken from: TDS Business Blog


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The FTC plans to follow Europe’s precautionary approach to antitrust by enacting preemptive rules of per se illegality. But American precautionary antitrust is both unlawful and economically harmful, as it opposes dynamic competition, which benefits consumers and innovation.

Photo taken from: Information Technology & Innovation Founation

Policy Summary

[SSB theme=”Official” align=”center” counter=”true” ]

There is an adage which, simply put, means that if a deal appears too good to be true, then it probably is. The U.S. Federal Trade Commission has seen so many consumers misled by so-called deceptive earnings claims that the agency is developing a regulation to crackdown on the practice. The solution is composed of two phases.

First, the FTC from March 11 through May 10 received public comments via the Federal Register on how it should approach its proposed rulemaking; there were compliments and criticisms. Second, with the public comment period closed, the agency is now turning its attention to crafting a rule that ideally will become a sweeping prohibition on unfair and deceptive earnings statements that will be contained in the Code of Federal Regulations.

The FTC cannot pull a regulation out of thin air of its own volition. That is not the way the administrative rulemaking process works. Congress must grant an agency rulemaking authority. In this case, the FTC has the authority to draft a rule under the Federal Trade Commission Act. A regulation is a part of the playbook for how to enforce a congressionally passed and presidentially signed statute.

Policy Analysis

The FTC specified its purpose in its advanced notice of proposed rulemaking published in the Federal Register.

“The Commission anticipates that a rule prohibiting the use of misleading earnings claims would enhance deterrence and help the Commission move quickly to stop illegal conduct,” the agency wrote in the Register.

 “Such a rule also may further clarify for businesses what constitutes a deceptive earnings claim and what it means to have substantiation for an earnings claim. In addition, a rule would enable the Commission to seek monetary relief for consumers harmed by deceptive earnings claims, as well as civil penalties against those who make the deceptive claims.”

Under the FTC Act, the agency can seek, as it reads in the Register, ‘‘rescission or reformation of contracts, the refund of money or return of property, [and] the payment of damages.” Further, the notice reads, “section 5 of the [statute] allows the Commission to recover civil penalties against those who violate such a rule.”

A deceptive earnings statement, in a nutshell, can lead a consumer to believe that an investment is likely to be more profitable than it usually is. The FTC’s notice points out from the outset that certain deceptive earnings claims incorporate marketing materials. Indeed, the notice begins, “The Federal Trade Commission is considering proposing a rule to address deceptive or unfair marketing using earnings claims.”

Additionally, in a footnote to the notice that refers to the nature of a deceptive earnings statement, the FTC explains, “For example, the Business Opportunity Rule bars business opportunity sellers from disseminating industry financial information to prospective purchasers unless they have substantiation that the information reflects, or does not exceed, the typical or ordinary experience of purchasers.” The notice goes a step further in its practical definition of a deceptive earnings statement and explains that “earnings claims that reflect gross income and omit material expenses are misleading.”

There was a range of public comments on the FTC’s notice of proposed rulemaking. (The reason this process is called “rulemaking” is that the FTC’s result will not be an “act” passed by Congress. It will be a “regulation” implemented by an agency through the rulemaking process. Acts and regulations are two different aspects of the law.) 

Some of the comments applauded the FTC.

Two organizations that defend consumer rights submitted comments in response to the invitation contained in the Federal Register. In support of the FTC’s rulemaking, the National Consumers League and the Consumer Federation of America wrote, “… we urge the Commission to adopt a broad earnings claims rule, including a prohibition on false, misleading, and deceptive lifestyle claims and imagery. The rule should also prohibit false, misleading, and deceptive earnings claims related to wages and salary.” 

 


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Unfairness requires the FTC to demonstrate “significant injury” to support a rule. Our paper urges the FTC to adopt an expansive view of injury that secondary collection and sharing intrinsically exposes consumers to risk, and violates a fundamental “right to be left alone.”

Photo taken from: Twitter / Justin Brookman

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While income disclosures are no substitute for strong prohibitions on unfair or deceptive earning claims, they can be useful tools for consumers, anti-fraud researchers, and law enforcement agencies like the FTC. The Commission should therefore require operators of multi-level marketing and gig economy businesses to provide verifiable, easy-to-understand income disclosures to potential recruits.”

There is, of course, another side of the regulatory coin. For instance, Kevin Thompson, managing partner at the law firm Thompson Burton PLLC, warns against making this rulemaking process political rather than legal.

“The implication that earnings claims that promote the earnings of an individual inherently labels those individuals as bad actors, absent malintent, is what truly hinders the growth of small businesses and what has raised and continues to raise our concerns,” Thompson wrote in his public comment on the proposed rulemaking.

“From our extensive experience with startups and the difficulties that small businesses face, specifically within the network marketing industry, we find that a substantive rule should go beyond the facial issue of misleading and/or deceptive earnings claims and attempt to balance what constitutes consumer harm that would warrant appropriate redress.”

The attorney continued by writing, “It is our belief that the rule should not be a political tool but rather a substantive test to apply for small and large businesses alike to be provided with appropriate goalposts by which to gauge conduct. Bad actors will remain bad actors, regardless of the rules, so instead of providing a framework that punishes the majority due to the actions of the few, provide an accurate assessment that focuses on consumer harm and what that actually means as opposed to the incidental failing to follow technicalities across the board.”

The FTC and the states have pulled no punches on alleged false-earnings claims, even without a new regulation on the books. The FTC announced in February that the agency, working alongside the Utah Department of Commerce Division of Consumer Protection, reached a settlement with Zurixx LLC, its owners and its corporate associates in which the real estate investment-coaching operators would pay roughly $12 million for “consumer redress.”

The operators of the real estate program, according to the FTC’s Feb. 16 statement, “sold live seminars and telephone coaching using false earnings claims that convinced tens of thousands of consumers to pay them thousands or tens of thousands of dollars.”

Engagement Resources​

Click or tap on resource URL to visit links where available 

govinfo

FTC’s Federal Register Advance Notice of Proposed Rulemaking

2022-0469.pdf (govinfo.gov)

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Statement of Consumer Groups

https://consumerfed.org/wp-content/uploads/2022/05/Groups-Submit-Comments-in-Response-to-FTCs-Advance-Notice-of-Proposed-Rulemaking-5.11.22.pdf

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Statement of Kevin Thompson of the law firm Thompson Burton PLLC

https://www.regulations.gov/comment/FTC-2022-0020-1545

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FTC’s Settlement in a False Earnings Case

https://www.ftc.gov/news-events/news/press-releases/2022/02/operators-investment-coaching-scheme-banned-industry-ordered-pay-millions-redress-defrauded

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