The Survive and Thrive Boomer Guide

Memorial Day 2012: Let’s work for peace as we remember the wars of the past

By Rita R. Robison

In remembering the service men and women who have fought in wars, President Barack Obama issued a proclamation calling on the people of the United States to observe Memorial Day as a day of prayer for permanent peace.

Obama designated 11 a.m. today as a time to unite in prayer. He also asked all Americans to observe in their own way the National Moment of Remembrance at 3 p.m. local time on Memorial Day.

Best wishes on Memorial Day.

See the website of Veterans for Peace for activities you can join to help bring peace to America and war-torn countries throughout the world.

Copyright 2012, Rita R. Robison, Consumer Specialist

What does May Day mean to you?

By Rita R. Robison

On May Day, when we were kids, we used to make wildflower bouquets with cone-shaped, construction paper holders. We’d place them on door steps, knock on the door, then run.

I also remember some maypoles that were done at school or by other organizations.

In many countries, May Day is a day to celebrate workers and workers rights. This holiday has its origins in the struggle by American workers to win the eight-hour work day in the 1880s.

When I worked for state government, I belonged to a union. I participated in its activities, including rallies. The union helped me when I had problems as an injured worker.

I believe workers need to unite and take action to improve working conditions.

Conditions for American workers and workers through the world have declined significantly since the Great Recession of 2008. While the economic fortunes of many companies are improving, the situation for workers remains bleak.

Younger and older workers are having great difficulty finding jobs. Benefits are being slashed for most workers, including government workers, teachers, fire fighters, and police officers.

Economies in Europe are teetering on the edge of economic collapse. The Chinese economy is cooling down, while economic growth in the United States continues slowly.

The situation for workers is dire. Poverty rates are increasing, while the richest few are making even more money.

Today, many rallies are being organized by Occupy Movements throughout the U. S. Some events are peaceful. In others, police are using various kinds of force to stop the demonstrators.

For details on May Day celebrations, see The Huffington Post’s “May Day: How the International Day of Protest Is Celebrated Throughout the World.”

Copyright 2012, Rita R. Robison, Consumer Specialist

FTC fails halt the merger of two giant pharmacy benefit management companies

By Rita R. Robison

It’s troubling that the Federal Trade Commission didn’t stop the merger of the two largest pharmacy benefit managers, Medco and Express Scripts Inc.

A pharmacy benefit manager is a third party administrator of prescription drug programs. They’re mainly responsible for processing and paying prescription drug claims. They also are responsible for developing and maintaining the “formulary,” contracting with pharmacies and negotiating discounts and rebates with drug manufacturers.

Medco and ESI announced a $29 billion merger agreement in July 2011. The combined company would have more than 155 million American customers – creating a virtual monopoly that could lead to fewer independent community pharmacies, reduced access to generics and specialized treatments, and fewer options for consumers.

“I am deeply disappointed by the FTC’s decision to allow this $29 billion merger to proceed, creating a monolithic PBM with near monopolistic control of the prescription drug sale marketplace,” Representative G.K. Butterfield (D-NC) said in a statement. 

“For many months I have warned the FTC to carefully consider this merger’s negative impact on the industry and consumers alike. The FTC’s decision puts community pharmacies, seniors, and sensitive populations at risk of having less access and choice for purchasing needed prescription drugs.”

The merger was subject to review by the FTC, which decided on a 3-1 vote not to oppose the merger. FTC Commissioner Julie Brill issued a dissenting statement opposing the decision and expressing concern that the merged company would hurt consumers and the industry. 

The merger has been challenged in federal court. Several states may bring legal action to prevent it.

Copyright 2012, Rita R. Robison, Consumer Specialist

EPA to conduct safety reviews on 83 highly toxic chemicals

By Rita R. Robison

While Congress continues to fail to update toxic chemical laws and regulations, the U.S. Environmental Protection Agency will conduct safety reviews of 83 chemicals often found in consumer goods and manufacturing.

The agency is giving top priority to seven chemicals considered the most serious risks to human health and the environment for assessment in 2012. They are:

• Antimony and antimony compounds
• HHCB (1,3,4,6,7,8-Hexahydro-4,6,6,7,8,8,-hexamethylcyclopenta[g]-2-benzopyran)
• Long-chain chlorinated paraffins
• Medium-chain chlorinated paraffins
• Methylene chloride
• N-Methylpyrrolidone
• Trichloroethylene

“The list of chemicals EPA has targeted reads like a rogue’s gallery of carcinogens, neurotoxic substances and chemicals that could cause serious organ damage,” Jane Houlihan, senior vice president for Research at the Environmental Working Group, said in a statement. “Congress hasn’t come up with a legislative fix to help shield the public from toxic substances. But the Obama EPA under Administrator Lisa Jackson continues to do what it’s supposed to do: protect people and the environment.”

In conducting risk assessments on the seven chemicals, EPA will use information available through scientific literature, and the agency is also seeking unpublished studies.

This spring, the EPA plans to identify chemicals that it will conduct risk assessment on in 2013 and 2014.

The EPA will provide draft risk assessments for public review and comments as they’re completed. If an assessment indicates significant risk, the EPA will evaluate and carry out risk reduction actions. If an assessment indicates no significant risk, the EPA will conclude its current work on that chemical.

Additional chemicals will be added to the work plan as more data are developed and more chemicals screened.

Copyright 2012, Rita R. Robison, Consumer Specialist

Happy Presidents’ Day 2012

By Rita R. Robison

What are your plans for Presidents’ Day?

It seems strange that the birthdays of two famous presidents are turning into one of the biggest shopping weekends of the year.

However, if you’re out there today, see “What Interests You on Presidents’ Day? Finding Bargains, Traveling, or Celebrating America?” for tips on how to curb “sale fever” and keep from making costly mistakes.

For more serious thinking about Presidents' Day, see "Presidents' Day Is a Time to Help America Move Forward."

Today, I’m staying home writing blogs and catching up on projects and housework.

Whatever your plans are, I hope you have a great day.

Copyright 2012, Rita R. Robison, Consumer Specialist

Obama did a better job this year of addressing consumer needs in his State of the Union speech

By Rita R. Robison

Maybe it was Occupy Wall Street or just the fact that he’s finally getting the message that consumers are suffering, but President Obama’s State of the Union address contained more for consumers this year than his 2011 speech.

Obama talked about the new Consumer Financial Protection Bureau and its role in keeping an eye on credit card, payday loan, and mortgage companies.

He also said he will set up a unit in the Justice Department, which will work with leading state attorneys general, to investigate the business practices that led to the housing crisis. This action is long overdue, but at least it’s happening.

On income equality, Obama suggested that millionaires pay more in taxes, at least the same percentage that average Americans pay. He suggested a rate of 30 percent.

Obama also talked about creating jobs, in clean energy and through public works projects, and the importance of keeping the slowly growing economy moving in a positive direction.

While Obama received lots of applause when he talked about cutting government programs and spending, it’s not an easy task to figure out how to make government leaner and work better.

Not so positive for consumers was Obama’s support of offshore drilling for oil and his willingness to work with Congress to cut Medicare and Social Security benefits.    

Copyright 2012, Rita R. Robison, Consumer Specialist

Make Martin Luther King Jr. Day a day of service

By Rita R. Robison

Today is Martin Luther King Jr. Day.

The holiday is a good opportunity for Americans to honor King’s legacy through service. The MLK Day of Service offers people a way they contribute to their community.

After a long struggle, legislation was signed in 1983 creating a federal holiday marking the birthday of the Rev. Martin Luther King Jr. The federal holiday was first observed in 1986, making 2012 the 26th anniversary of the King federal holiday.

In 1994, Congress designated the Martin Luther King Jr. Federal Holiday as a national day of service and charged the Corporation for National and Community Service with leading the effort. Taking place each year on the third Monday in January, the MLK Day of Service is the only federal holiday observed as a national day of service – a "day on, not a day off." It’s a part of United We Serve, the president's national call to service initiative. The MLK Day of Service calls for Americans from all walks of life to work together to provide solutions to our most pressing national problems.

King believed in a nation of freedom and justice for all and encouraged all citizens to live up to the purpose and potential of America by applying the principles of nonviolence to make this country a better place to live.

People of all ages, backgrounds, and abilities can get involved. Put your zip code in the Find a Project box to locate a volunteer opportunity in your community or plan your own project.

Copyright 2012, Rita R. Robison, Consumer Specialist

Obama appoints another chief of staff who lobbied against consumer interests

Obama, Bill Daley, and Jacob Lew

By Rita R. Robison

It was disappointing to learn that President Obama’s new chief of staff, Jacob Lew, will be the second appointment to the position with ties to Wall Street.

Lew, currently Obama’s budget director, headed the "alternative investments" division at Citigroup, a team that handled private equity investments, hedge fund bets, and massive gambles on subprime mortgages.

Lew's tenure as head of Citi's unit was disastrous, according to The Huffington Post article “Bill Daley Resigning: Obama Chief of Staff Stepping Down.” Although he personally earned $1.1 million for his efforts, the division lost $501 million in a single quarter of 2008.

As part of the 2010 Wall Street reform efforts, Obama supported legislation to ban banks such as Citi from taking part in such highly risky activities, with a regulation known as the Volcker Rule. It's part of the 2010 Dodd-Frank Wall Street Reform and Consumer Protection Act.

Bill Daley was the head lobbyist for JPMorgan Chase, the nation's second-largest bank, which issued at least $30 billion in subprime mortgages during the housing frenzy that led to the Great Recession. During his work at JPMorgan, Daley lobbied against the creation of a Consumer Financial Protection Bureau.

Daley also has ties to the pharmaceutical industry, serving as a director of Abbott Laboratories for several years after leaving the Clinton administration, where he was secretary of the U.S. Department of Commerce.

By selecting Lew to be his new chief of staff, Obama is replaced one opponent the Dodd-Frank with another.

Public Citizen, a consumer advocacy group, is glad to see Daley go.

“Dailey served as the Big Business conduit to the highest levels of the White House,” Public Citizen said in a statement. “He never should have been brought in...

The group wants Lew not serve as a Big Business channel to the president in the way Daley did, but to carry out policies in the consumer interest:

It’s long past time for the Obama administration to abandon its unrequited affection for Wall Street and Corporate America. We live in populist times – enormous economic, political, and ecological crises call out for populist policies that are both right on the merits and strongly favored by the public. Now’s the time for the administration finally to pursue a populist agenda.

I agree. Consumers must exercise their power in the halls of government to combat the tremendous amounts of money that the banks and business interests pour into the coffers of the nation’s lawmakers.

Copyright 2012, Rita R. Robison, Consumer Specialist

Obama’s recess appointment of financial bureau chief is a good step for consumers

By Rita R. Robison

Yesterday, President Obama appointed Richard Cordray to head the new Consumer Financial Protection Bureau in a recess appointment.

While Cordray isn’t Elizabeth Warren, who conservatives saw as too powerful for the job, getting him appointed to lead the new agency is important for consumers.

After the housing market collapse due to fancy footwork by the mortgage industry and Wall Street and the ensuing Great Recession, Warren saw the need for an agency that would be a watch dog for consumers in credit card, mortgage, and payday loan transactions.

Warren served as interim director of the agency and hired Cordray to be its top enforcement officer.

Previously, consumers filed complaints with a number of different federal agencies, including those regulating different kinds of banks, with varying results.

Speaking yesterday in Ohio, where Cordray served as attorney general and state treasurer, Obama said:

When Congress refuses to act, and as a result, hurts our economy and puts our people at risk, then I have an obligation as president to do what I can without them. I’ve got an obligation to act on behalf of the American people. And I’m not going to stand by while a minority in the Senate puts party ideology ahead of the people that we were elected to serve. Not with so much at stake, not at this make-or-break moment for middle-class Americans. We’re not going to let that happen.

The Constitution gives the president authority to make temporary recess appointments to fill vacant positions when the Senate is in recess. The Senate has been in recess for weeks. But, in an attempt to prevent the president from exercising his authority, Republican Senators have tried to use “pro forma” sessions, sessions during which no Senate business is conducted and one or two Senators gavel in and out of session quickly. Legal experts agree that the Senate can’t use sham “pro forma” sessions to prevent the president from exercising a constitutional power.

Without a director, the agency was unable to regulate non-bank financial businesses including payday lenders, mortgage companies, and debt collection agencies.

Conservatives want to further weaken the bureau by having it run by a five-member commission and its budget approved by Congress rather than the Federal Reserve.

For more information on the new federal bureau, see “Consumer Financial Protection Bureau 101: Why We Need a Consumer Watchdog.”

Copyright 2012, Rita R. Robison, Consumer Specialist

Happy New Year to consumers everywhere

By Rita R. Robison

Best wishes to you and your loved ones for a good consumer year in 2012.

Last year had its ups and downs for consumers. Although conservatives in Congress drug their feet and opposed many needed measures for consumers, consumers took to the streets with the Occupy Movement to tell politicians that enough is enough. The message was clear: the top 1 percent is prospering while the rest of us struggle along – working harder with less and less to show for it.

This year, 2012, is THE election year. Although I’d like to think that once the presidential election is over, the nation could return to a sense of normalcy, it’s unlikely that will happen. Conservatives seem hell-bent on dismantling government and changing how society operates, regardless of how many people are unemployed and how many are living on the streets. I expect the loud, harsh anti-people rhetoric by conservatives will continue no matter who is elected to the presidency.

It was refreshing to recently have a vacation in Europe. Newspapers and the media there aren’t filled with the kinds of hate messages conservatives here are spouting continually.

I hope 2012 is a good year for you as a consumer. Be sure to keep your credit card spending down, monitor your finances, and begin or continue your retirement planning.

Copyright 2012, Rita R. Robison, Consumer Specialist