WASHINGTON, D.C. - Senator Tom Harkin (D-IA), Chairman of the Senate Health, Education, Labor and Pensions Committee, praised today's National Mediation Board decision to provide fair labor elections for rail and aviation workers.  The updated regulations were published in this morning's Federal Register.

Current election procedures treat rail and aviation workers differently from workers in other industries and U.S. citizens voting for government officials.  In order to gain union representation, a majority of all eligible rail and aviation workers must cast a vote for the union to prevail.  Workers who do not vote are counted as "no" votes against unionization.  Non-voters in elections held outside the rail and aviation industries are counted as abstentions, meaning that a simple majority of votes cast is all that is required. 

The updated regulations will allow a majority of those voting to choose union representation, putting rail and aviation workers on par with other workers.

"These regulations will ensure that aviation and rail workers have the same right to join a union as other workers in our country," Senator Harkin said. "I applaud the NMB's decision to amend its election procedures and bring basic fairness to workers in these critical industries.  NMB's long overdue rule change ensures that all American workers will have a voice in the workplace and a right to fair wages and work conditions."

In December of 2009, Harkin, Sen. Daniel Inouye (D-HI), Chairman of the Appropriations Committee and Sen. John Rockefeller (D-WY), Chairman of the Commerce Committee were joined by Senators Akaka (D-HI), Boxer (D-CA), Brown (D-OH), Burris (D-IL), Byrd (D-WV), Cantwell (D-WA), Cardin (D-MD), Casey (D-PA), Dodd (D-CT), Durbin (D-IL), Feingold (D-WI), Franken (D-MN), Gillibrand (D-NY), Johnson (D-SD), Kaufman (D-DE), Kerry (D-MA), Kirk (D-MA), Klobuchar (D-MN), Lautenberg (D-NJ), Leahy (D-VT), Levin (D-MI), McCaskill (D-MO), Menendez (D-NJ), Merkley (D-OR), Mikulski (D-MD), Murray (D-WA), Reed (D-RI), Sanders (I-VT), Schumer (D-NY), Shaheen (D-NH), Specter (D-PA), Stabenow (D-MI), Tester (D-MT), Tom Udall (D-NM), Whitehouse (D-RI) and Wyden (D-OR) in sending a letter to the National Mediation Board advocating for this change.  Click here to access the full text of the letter: http://harkin.senate.gov/press/release.cfm?i=320577.

On Wednesday May 26th at 8:30am, some Jordan Catholic School eighth graders will receive the Presidential Academic Award. The invitation that went to parents is attached below. Criteria for the award:

Students must have a grade point average of 90% or a 3.5 GPA.

Along with one of the following 2 criterias:

1. 85% or higher in math and/or reading on the Iowa Basic Skills test

2. Teacher plus one other staff member's recommendation

Q&A with Senator Chuck Grassley

Oversight of Government Bailout

Friday, May 7, 2010

Q: How exactly is the claim made that General Motors paid back a multi-billion dollar taxpayer-supported government bailout loan "in full, with interest, ahead of schedule, because more customers are buying vehicles."

A: Here's what's happened and, unfortunately, the reality doesn't match the rhetoric.  As part of the government bailout of the automakers, the taxpayers had loaned GM around $20 billion by May 2009.  After GM declared bankruptcy in June, the Treasury Department loaned GM another $30 billion.  Then, to help GM emerge from bankruptcy, the Treasury Department struck a deal with GM that contained three components -- a $7 billion loan, $2 billion in preferred stock and 61 percent of GM's common stock -- in exchange for the original $50 billion in loans.  The deal translated into the taxpayers paying roughly $41 billion for the GM common stock.  Today, when GM says it paid its loan "in full," it's talking only about the newer $7 billion loan, not the original $50 billion in taxpayer loans.  And, the repayment money came from a $17 billion escrow account that was created with the $41 billion in tax dollars used to buy GM common stock.  The escrow was for expenses, and GM needed permission from the Treasury Department to use the money.  The way that GM repaid the newer $7 billion loan was with the TARP money in that escrow account, not earnings.

The taxpayer bailout of GM still stands at around $40 billion.  Taxpayers won't get back that money unless GM's stock price goes up enough to repay the $40 billion.  Will that happen?  No one knows, but the nonpartisan Congressional Budget Office estimated in March that, in the end, taxpayers will lose around $30 billion on GM.

Another question is why the Treasury Department allowed GM to repay the $7 billion, seven-percent loan out of escrow and gave permission to take the final $6.6 billion out of escrow free and clear, but did not require that a $2.5 billion, nine-percent loan that GM owes to the union health plan be repaid?  You'd think the higher interest rate loan would be paid first.  And, with $6.6 billion left over in the escrow, GM could have paid both loans.  When I asked the Treasury Secretary during a Senate hearing, he didn't have a good answer.

Q: What can be done about it?

A: I hope one lesson that's been learned by the Treasury Department is to tell it like it is.  Overall, the effort to collect the bailout funds is speculative at best.  So far, since coming out of bankruptcy, GM has lost billions.  Beyond that, the way the agreement was set up with the Treasury Department, GM now has access to the remaining $6.6 billion in the escrow account without any strings attached.  GM said publicly that it didn't need the escrow money.  If that's the case, then the extra $6.6 billion should be returned to the taxpayers right now.  The most important lesson from all of this is that it doesn't make sense for the federal government to own private businesses.

Veteran Manager Joseph Klinger to Lead Public Safety Agency

SPRINGFIELD - May 6, 2010. Governor Pat Quinn today announced the appointment of Joseph Klinger, assistant director at the Illinois Emergency Management Agency (IEMA), as interim director of the agency effective immediately.  Klinger replaces outgoing Director Andrew Velasquez III, who was recently appointed as regional administrator for FEMA Region V by President Barack Obama.

"Joseph Klinger is a professional and experienced manager, who will continue to keep this fine agency ready and able to handle any emergencies or problems that may arise anywhere in our state," said Governor Quinn.

Klinger is also Assistant Director at IEMA, a position he's held since 2007, and has worked for the state's nuclear safety program, which is housed within IEMA, for more than 20 years.  As IEMA Assistant Director, Klinger oversaw nearly two dozen programs to ensure public safety from the hazards of ionizing radiation. These include programs to monitor conditions at the six operating nuclear power stations in Illinois, plan for emergency response actions for incidents involving radiation and ensure the safe use of radiation-producing machines, such as x-rays

"IEMA has a critical mission, and I'm honored that Governor Quinn has asked me to lead the agency," Klinger said.

Klinger is also a Marine Corps Vietnam combat veteran and recently retired as a Captain in the U.S. Navy, Reserve Component, after serving 23 years commissioned service, which included a deployment to the Middle East in 2004-2005.

Velasquez has served as IEMA Director since March 2007.  During his tenure, he oversaw several state responses to major disasters, including the 2008 floods, the Northern Illinois University campus shooting and the 2009 derecho in southern Illinois.  As administrator for FEMA Region V in Chicago, Velasquez will direct FEMA activities for Illinois, Indiana, Michigan, Minnesota, Ohio and Wisconsin.

Illinois Emergency Management Agency is responsible for preparing the state of Illinois for response and recovery from any natural, manmade or technological disasters or acts of terrorism.  During disasters, IEMA coordinates with state and federal agencies on response efforts.  IEMA, through the Illinois Terrorism Task Force, develops and implements the state's homeland security strategy and administers federal preparedness funding.

For more information go to www.iema.illinois.gov.

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