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Dems warn of House GOP budget’s impact on CA

California Democratic Congressional Delegation Chairwoman Zoe Lofgren, D-San Jose, rallied her troops today for a conference call with at least eight members highlighting how House Republicans’ budget plan would impact California.

“While we know reining in our deficit is necessary for economic prosperity, there is a responsible way to do it,” she said.

Rep. John Garamendi, D-Walnut Grove, said that “in transportation, we’re really talking about serious, serious job losses in California” as the GOP plan cuts funding for high-speed rail, Transportation Investment Generating Economic Recovery (TIGER) grants, and other programs adding up to at least $1.25 billion.

Rep. Jackie Speier, D-Hillsborough, said she’s now circulating a letter to California House members asking Transportation Secretary Ray LaHood to redirect to California $2 billion in high-speed rail funds that Florida Gov. Rick Scott yesterday refused; senators Dianne Feinstein and Barbara Boxer sent such a letter yesterday. Garamendi said unless California gets that money, the Republican budget will leave its rail project underfunded.

Speier was among several members on today’s call who voiced concern at the House GOP plan to cut Title X family planning funding; Rep. Lois Capps, D-Santa Barbara, said Republicans are exercising their “vendetta” against family planning and women’s health.

Rep. Sam Farr, D-Carmel, decried a potential $1.3 billion cut to community health care clinics; he said in a rural community like Watsonville where the clinic would lose $151,000 per year from its base grant, jobs would be lost and health access severely curtailed. “It really does have impacts on Main Street all over the United States.”

Rep. Mike Thompson, D-Napa, said even to a fiscally conservative Blue Dog Democrat like himself, a cut like that makes no sense.

“What they’re doing is a lot like waking up in the morning and finding you’ve put on a lot of weight and deciding you’re going to take care of it by cutting off your leg,” Thompson said, noting sick people cut off from community clinic care will instead seek higher-cost care with traditional family-practice physicians or, worse yet, in emergency rooms. “The cost of health care for these folks is going to go through the roof.”

Farr said addressing the nation’s debt is important, but House Republicans are blurring the distinction between long-term debt – which he likened to a home mortgage – and short-term debt – more like a credit card – in order to score political points.

“What the Republicans are trying to do is scare everybody with the long-term debt saying you have to pay it off right away,” he said, when in fact it’s better to approach that long-term debt with a deliberate, long-term plan rather than “a meat ax.”

Posted on Thursday, February 17th, 2011
Under: Jackie Speier, John Garamendi, Sam Farr, U.S. House, Zoe Lofgren | 1 Comment »

Lawmakers urge banks to allow aid for jobless

Five Northern California members of Congress are pressuring mortgage servicers to work with a new federally funded program in California intended to help unemployed homeowners pay their mortgages and avoid foreclosure.

The Keep Your Home California Unemployment Mortgage Assistance Program provides qualified unemployed homeowners up to $3,000 a month for up to six months to help pay their mortgage. But according to the office of Rep. George Miller, D-Martinez, if the monthly mortgage exceeds $3,000, the servicers won’t accept any payment at all, even if the homeowner could send a second check to cover the difference between what is owed and what the program covers. As a result, unemployed homeowners who could avoid foreclosure proceedings thanks to this program are instead at risk of failing to pay their mortgage and landing in foreclosure.

“If this program is to have meaningful success, mortgage servicers are going to have to get on board with processing these payments,” Miller said in a news release. “Refusing to accept dual payments is unacceptable and is a disservice to the homeowners who are doing everything they can to stay in their homes while they look for work. Homeowners shouldn’t have to forfeit their homes because of bureaucratic intransigence by banks and servicers.”

Rep. Zoe Lofgren, D-San Jose, another of the letter’s signers, said “it’s time that banks and servicers become part of the solution and not the problem.

“It’s ridiculous that servicers and banks are unwilling to participate in a program that will help protect the value of the very asset on which their loan is based on,” she said. “I find it deeply troubling that servicers would have borrowers default rather than simply accepting payment.”

In their letter – also signed by Rep. John Garamendi, D-Walnut Grove; Rep. Jackie Speier, D-Hillsborough; and Rep. Sam Farr, D-Santa Cruz – they wrote that, “we believe refusing to accept supplementary payments from homeowners is inexcusable and we strongly urge you to remedy this problem expeditiously… It is unacceptable that servicers in California are unwilling or unable to figure out a workable resolution to this problem, particularly given that two viable options to address the issue exist.”

Those options, they say, are either to accept two checks (one from the program and one from the homeowner) or to forebear the amount of the mortgage that exceeds the $3,000 program payment.

Posted on Tuesday, February 15th, 2011
Under: George Miller, housing, Jackie Speier, John Garamendi, Sam Farr, U.S. House, Zoe Lofgren | 13 Comments »

Lawmakers’ plea for NUMMI goes unheeded

California’s U.S. Senators, joined by much of the Bay Area’s House delegation, wrote to Toyota today to forestall closure of the New United Motor Manufacturing Inc. (NUMMI) plant in Fremont, but apparently it’s too little, too late.

NUMMI is a joint venture between General Motors and Toyota; GM announced last month it will withdraw, and Toyota has been considering doing the same. The plant’s closure would cost 4,500 California jobs directly, and an estimated 35,000 or more indirectly.

The lawmakers wrote to Toyota Corp. President Akio Toyoda to emphasize NUMMI’s importance to California’s economy and to offer to work with Toyota to keep the plant open. Also, U.S. Sen. Dianne Feinstein, D-Calif., reports she recently spoke on the phone with Toyota Motor America President Yoshimi Inaba about her willingness to help find solutions to keep the plant in operation’ other California lawmakers have talked to company officials as well.

But even as the lawmakers announced their effort, media began reporting Toyota’s decision to pull out of the venture and close the plant.

UPDATE @ 5:11 P.M.: Never say die, Gov. Arnold Schwarzenegger’s office insists. The governor has talked with and written to the Toyota execs, too, and has formed a “Red Team” of stakeholders to work on keeping the plant open. “The Schwarzenegger Administration is actively engaged with NUMMI’s partners, Toyota, federal officials, local officials, labor, suppliers and other stakeholders to work together to ensure the future success of the facility,” David Crane, the Governor’s special advisor for jobs and economic growth, said in a release. “Our office will continue to respect Toyota’s wishes to keep discussions private as we work together to determine the best path for ensuring NUMMI’s continued operations in Fremont.”

See the letter, after the jump…
Read the rest of this entry »

Posted on Thursday, July 23rd, 2009
Under: Barbara Boxer, Barbara Lee, Dennis Cardoza, Dianne Feinstein, George Miller, Jackie Speier, Jerry McNerney, Mike Honda, Pete Stark, U.S. House, U.S. Senate, Zoe Lofgren | 19 Comments »