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Health

FDA Shuts Down Bakery That Put Sugar In Its ‘Sugar-Free’ Products

Sweet lovers, bakers, and assorted pastry-makers, take note: the Food and Drug Administration (FDA) doesn’t take kindly to companies falsifying nutritional information about their products.

In the latest chapter of the FDA’s ongoing saga with New Jersey-based Butterfly Bakery, a federal judge has “approved a consent decree of permanent injunction against” the company “for unlawfully distributing misbranded food products, such as muffins and snack cakes,” according to an FDA press release.

Butterfly Bakery has a history of openly flaunting FDA regulations with regards to their nutritional labeling, misrepresenting the sugar and fat content of their products to astonishing degrees — in fact, the FDA plainly warned the company and CEO Brenda Issac that it would face consequences if it didn’t cease its fraudulent practices. As per the FDA press release:

The consent decree restrains Butterfly Bakery and Brenda Isaac from processing and distributing food until the company complies with the Federal Food, Drug, and Cosmetic Act (the Act) and applicable regulations. Under the consent decree, FDA may assess damages against the company for any future violations of the law or the consent decree.

“This injunction demonstrates that the FDA will seek enforcement action against companies that mislead consumers on the products they purchase,” said Melinda K. Plaisier, the FDA’s acting associate commissioner for regulatory affairs. “Until Butterfly Bakery meets FDA regulations, it will no longer be able to process or distribute their products.”

Samples tested by both FDA and state officials over several years show that Butterfly Bakery’s product labeling was false and misleading. For example, laboratory analysis showed that foods labeled as “sugar free” contained sugar, and that certain products contained as much as three times the amount of labeled/declared sugar, two times the amount of labeled/declared fat, and two times the amount of labeled/declared saturated fat.

Faced with the reality of America’s obesity-related medical problems, public health advocates have been pushing for more robust FDA regulation of everything from high-sugar or high-sodium items to energy drinks. While the FDA hasn’t always lived up to these goals — for instance, the agency has stalled to finalize Obamacare’s calorie-reporting requirements for food chains largely because it’s worried about accommodating special interests — their victory against Butterfly Bakery shows that food makers still shouldn’t get carried away with their sugar highs.

LGBT

Maryland Senate Committee Kills Transgender Nondiscrimination Protections

Though the success of marriage equality in Maryland was an important achievement, the state still lacks nondiscrimination protections for its transgender community, and it seems that won’t be changing anytime soon. Today the Maryland Senate Judicial Proceedings Committee voted 6-5 to kill the Fairness for All Marylanders Act, which would have prohibited discrimination based on gender identity in housing, employment, and public accommodations.

One of the Democrats who voted against the protections was Sen. Norman Stone, who in 1967 voted to maintain the state’s ban on interracial marriage and who opposed same-sex marriage in 2012. Another was Sen. James Brochin, who was actually convinced to vote for marriage equality because of how “appalling” opponents’ testimony was. Apparently when the Family Research Council’s Peter Sprigg testified that trans people are “suffering” from a “delusion” and require therapy instead of protections, it just wasn’t appalling enough.

Only 16 states protect trans people from discrimination, and Maryland is apparently not becoming the 17th anytime soon.

Economy

Louisiana Gov. Introduces Plan That Would Cut Taxes For The Rich, Raise Them On The Poor

Louisiana Gov. Bobby Jindal (R) introduced a plan today that would axe the state’s corporate and personal income taxes, replacing them instead with an increase in the sales tax. Jindal had promised the total elimination of income taxes during his State of the State address in January, and despite studies showing that it such a change would directly benefit the rich at the expense of the poor, he has followed through on the plan.

Jindal said his tax reform would be revenue neutral, and the sales tax would be increased to 5.88 percent. Louisianans would still pay their local sales taxes as well, meaning some residents would face double-digit sales tax rates after Jindal’s reform, the New Orleans Times-Picayune reports:

The planned increase in the sales tax would raise the current rate by about 47 percent and would come on top of local sales taxes. Residents in New Orleans, for example, would pay a combined rate of about 11 percent under the plan.

Louisiana already has one of the highest combined average state and local sales tax rate in the country and the increase would put the state at the top of that list, according to information from The Tax Foundation.

The poorest Louisianans already pay more of their income in taxes than the richest, according to a study from the Institute on Taxation and Economic Policy that shows the bottom 20 percent of the state’s residents pay 10.6 percent of their income in taxes compared to just 4.6 percent for the top 1 percent of residents. Jindal’s plan would only skew the tax code further against the poor and middle class, since it would grant tax cuts to the rich while raising taxes on 80 percent of the state’s residents, according to ITEP.

Jindal said today that he would offset the increases some residents would face by providing rebates, but when ITEP conducted its preliminary study of his plan in January, it found that “any low income tax relief will likely be insufficient to offset the impact of the large sales tax hike necessary to make this tax swap revenue neutral.” Jindal isn’t the only Republican governor pushing such a plan. Republican governors in Nebraska and Kansas and the state legislature in North Carolina are also considering replacing income taxes with increased sales taxes.

Health

Virginia’s Ken Cuccinelli Thinks Women Will Back Him Because He Has Empathy For Mentally Ill

Virginia Attorney General Ken Cuccinelli II (R)Virginia Attorney General Ken Cuccinelli II (R), the Republican nominee-apparent for governor this year, was asked by U.S. News how he planned to appeal to female voters. Rather than face up to his record of opposition to women’s reproductive rights, Cuccinelli told the publication that he thought women would vote for him because he’d worked to help the mentally ill:

US NEWS: [Can the GOP appeal] to women?

CUCCINELLI: I’m a person who appeals to women with a variety of issues that they just happen to care more about that I also happen to care about. I’ve worked to improve mental health and worked to help the mentally ill for over a decade and a half, including when I was in the legislature. Women’s issues aren’t just abortion. Women’s issues are everything women care about. And I have an awful lot of issues that I appeal to women on, just as a natural course.

While his empathy for mentally ill citizens is admirable, his record doesn’t hold up. Cuccinelli spent much of his tenure as Attorney General fighting against the Affordable Care Act — a plan that expanded mental health parity — even though the American Psychiatric Association called the landmark health care law “good for patients.”

He has also attacked Medicare as “despicable” and an attack on American freedom — despite the fact that the program provides mental health coverage for millions of America’s seniors.

(ht: Blue Virginia)

Justice

NYPD Poised To Make Its 5 Millionth Stop-And-Frisk Today

The New York Police Department is on track to make its 5 millionth stop-and-frisk today, according to the New York Civil Liberties Union. The controversial program, which directs police to stop suspicious-looking people on the street and frisk them for weapons or drugs, has come under fire for disproportionately targeting minorities, while showing little discernible impact on crime.

Since Mayor Michael Bloomberg took office in 2002, NYPD officers have stopped 4.4 million innocent people, the vast majority of whom were black or Latino:

About 4.4 million of the stop-and-frisk encounters, or 88 percent, were of innocent people as they did not result in an arrest or summons. More than 86 percent of people stopped were black or Latino.

At 5 million, the NYPD has stopped more than the combined populations of Baltimore, Boston, Denver, Detroit, Pittsburgh, San Francisco, Seattle, and Washington DC. The racial bias is glaringly obvious; in 2011, the police stopped young black men more times than the total number of young black men in New York City.

The NYPD’s relationship with minority communities has become especially strained by the program’s overzealous targeting of young black and Latino men, culminating in the death of a 16-year-old boy, Kimani Gray, last weekend. Gray. Police stopped Gray for suspiciously adjusting his belt. Gray then allegedly pulled a gun on the officers, forcing them to shoot him multiple times. However, the autopsy found several bullets hit Gray from behind, and eyewitnesses claim Gray was unarmed.

Stop-and-frisk is not only harming New Yorkers’ trust in the police — it’s also using their money. Stop-and-frisk cost New York City taxpayers $22 million in civil rights lawsuits last year.

On Monday, a federal district judge will hear the broadest legal challenge to stop-and-frisk yet, and could decide to do away with the program entirely.

Health

GOP Governors Refusing To Expand Medicaid Could Cost Their States’ Employers More Than $1 Billion

The Republican governors who are refusing to accept Obamacare’s optional expansion of the Medicaid program typically cite financial concerns; despite all evidence to the contrary, GOP leaders claim that accepting federal funds to extend health coverage to additional low-income American will end up being too costly for their states. According to a new study, however, they have it backwards. Continuing to resist health reform could be significantly financially riskier than simply agreeing to expand Medicaid.

Each governor resisting Medicaid expansion could end up costing the employers in their state over $1 billion dollars, a new Jackson Hewitt Tax Service report finds. That’s because, since the health reform law seeks to ensure that everyone has access to insurance, Obamacare holds businesses with more than 50 employees responsible for making sure their workers have adequate benefits. Employers won’t be penalized for failing to offer health care to their low-wage workers if those employees can access public insurance through Medicaid — but if states don’t expand their Medicaid pools, the workers who have no other way to get health care could end up costing their employers:

A clause in the 2010 health-care overhaul penalizes some employers when their workers aren’t able to obtain affordable medical coverage through the company. Employers can avoid those fees if their workers qualify for Medicaid as part of an expansion that as many as 22 states have rejected, according to a report today by Jackson Hewitt Tax Service Inc.

Without Medicaid, a “shared responsibility” payment of as much as $3,000 may be triggered for each employee who can’t get insurance through their company. In Texas, the largest state to refuse to increase Medicaid, employers may be liable for as much as $448 million in fines, the study found. In Florida, where the legislature has refused an expansion supported by Governor Rick Scott, employers may pay as much as $219 million. [...]

Of course, this won’t come as welcome news to many of the companies that have so far gotten away with denying their workers health benefits. Employers are decrying Obamacare’s “shared responsibility” provision for potentially raising their costs, threatening to slash their workers’ hours, freeze hiring and lay off staff, or raise the prices for their products.

But the health law is simply trying to work within an employer-based insurance system that hasn’t historically been able to ensure that poor Americans can access the benefits they need. If low-wage workers can’t qualify for public insurance programs because their governors won’t expand Medicaid’s eligibility levels, then they will need to be able to get health care from their employers. And if their bosses won’t provide it, they’ll have to turn to the subsidized insurance on Obamacare’s health exchanges — triggering the employer fine.

Even aside from Medicaid expansion’s potential to help alleviate the “shared responsibility” fee, several reports have projected that the states choosing to expand their Medicaid programs will actually save money by doing so. The financial benefits are largely thanks to the increased federal funding that will free up states’ funds for other purposes, but also because of the reduced strain of providing fewer health services for the uninsured once more people are covered.

Economy

Back To 1948: Ryan’s Fantasy Budget Cuts Spending To Its Lowest Level In 65 Years

Over at Investors.com, Jed Graham ran the numbers on Rep. Paul Ryan’s (R-WI) new budget for the House GOP, and found that by 2023, it would drive all government spending that isn’t either Social Security or interest on the debt to its lowest level since 1948. On every other occasion in the last 60 years that this category of spending dipped that low, unemployment was never over 4.5 percent — it’s currently at 7.7 percent.

Graham found, “the entirety of federal spending outside of Social Security and interest on the debt (16.4 percent of GDP in 2012) would shrink to 11.2 percent of GDP” by 2023, “a level not seen since 1948.” In fact, the situation is even worse, since in 1948 this spending did not yet include “ObamaCare, Medicare, Medicaid, NASA, the interstate highway system” or a host of other needed programs now in operation:

In fact, if Medicare is discounted as well as Social Security and interest payments, spending shrinks to 7.9 percent in 2023, the lowest levels for that slice since 1938.

This is tiresome and grossly irresponsible, but hardly surprising. Ryan’s previous budget would’ve shoved non-defense discretionary spending — which includes most of the government’s investments in economic growth, veterans’ health care, food safety, drug safety, consumer product safety, federal law enforcement, and more — to 2.1 percent of GDP. Since 1962, the first year for which we have comprehensive data, non-defense discretionary spending has never dropped below 3.2 percent of spending.

Nonetheless, Ryan’s latest budget once again aims for the 2.1 percent mark by 2023, leading Michael Linden at the Center for American Progress to dismiss it as fantasy. “[I]t’s is far easier to ‘cut’ the nebulous category called ‘nondefense discretionary’ than it is to cut actual programs, benefits, and protections that the public knows and likes,” Linden writes. “But in fact, for these kinds of cuts to actually come to pass, Congress — now and in the future — will have to get specific. And if they decide that they can’t, in reality, reduce these things to levels unheard of in generations, then Rep. Ryan’s claim to a balanced budget falls apart.”

Sure enough, American voters only support cutting spending when it’s vaguely referred to as “spending.” Name specific programs, and public support for cutting them utterly collapses.

Climate Progress

The Nukes of Hazard: Two Years After $500 Billion Fukushima Disaster, Nuclear Power Remains Staggeringly Expensive

On March 11, 2011, the Fukushima Daiichi nuclear power plant north of Tokyo was hit by a wall of water 43 feet high that destroyed or disabled enough equipment to cause three reactors to melt down.

Two years later, the people of Japan are bouncing back. The nuclear industry, not so much.

The United States has not (yet) built a new nuclear reactor since 1996 — new U.S. nuclear capacity has essentially flatlined. The U.S. still has far more nuclear power generation than any other country, though China, Russia, India, and Korea are actively constructing new reactors. A few U.S. building permits have trickled in since 2007, when an energy bill with incentives for new nuclear plants passed Congress. The Wall Street Journal reported in December that:

The first newly licensed nuclear-power plant to be built in the U.S. in decades, the Vogtle project in Georgia, has run into construction problems and may be falling years behind schedule, according to an engineering expert advising the state.

Nuclear power may continue to be a small wedge of our energy pie, but it is still not going to be more than a small wedge of the solution to human-caused climate change. Here’s why.

COST

A new nuclear reactor will set you back a cool $10 billion or more. The Department of Energy is promoting a plan to build as many as 50 small modular reactors per year starting in 2040. Constructed in factories, these reactors would cost “only” $3-5 billion each.

But before they even get to building a new reactor, the nuclear industry has relied upon about ten times as much in federal subsidies compared to those reluctantly offered to renewable energy developers. This is important to keep in mind as the industry complains about wind energy subsidies lowering electricity prices.

One of the arguments the nuclear industry has made over the last several decades is that though it is expensive right now, once the industry learns how to construct plants again, the financial structure changes as costs drop. This appears to be the opposite of true: Nuclear power has a negative learning curve.

Average and min/max reactor construction costs per year of completion date for US and France versus cumulative capacity completed.

Nuclear power has always been very expensive, and will continue to be staggeringly so, especially if we are to build in safety and redundancy measures needed to avoid future Fukushimas.

SAFETY

Japan faces combined clean up and compensation costs at Fukushima estimated to reach $500 billion. The timeline for decommissioning the ruined plant is 30-40 years. There is a $6 million robot deployed to inspect the damaged hallways that got lost in the plant and has not been seen for 17 months. And the cost estimates are just guesswork:

Read more

LGBT

Chick-fil-A Foundation’s Anti-LGBT Giving Nearly Doubled

As Chick-fil-A’s corporate foundation came under heavy criticism last year for its long record of anti-LGBT behavior, the company attempted to distance itself from its political record, claiming it intedend “to leave the policy debate over same-sex marriage to the government and political arena.”

But despite suggestions by some that the company’s WinShape Foundation had already scaled back its anti-LGBT giving before that point, its newly released annual IRS filings for 2011 indicate nothing of the sort.

Most of the WinShape’s anti-LGBT giving in previous years went to groups like the Marriage & Family Foundation ($1,188,380 in 2010), the Fellowship Of Christian Athletes ($480,000 in 2010), and the National Christian Foundation ($247,500). Additionally, the group made small donations to the “ex-gay” group Exodus International ($1,000) and the hate group Family Research Council ($1,000).

In 2011, the group actually gave even more to anti-LGBT causes. Its contribution to the Marriage & Family Foundation jumped to $2,896,438 and it gave the same amount to the Fellowship of Christian Athletes and National Christian Foundation as it had in 2010. In total, the anti-LGBT spending exceeded $3.6 million — almost double the $1.9 million from the year before.

While the group gave nothing directly to Exodus International or FRC, a large amount of Chick-fil-A/WinShape money still made its way to those groups. The National Christian Foundation (aka the National Christian Charitable Foundation) gave $4,100 to Exodus International and a stunning $1,260,040 to FRC. This was possible, in part, because of the $247,500 it received directly from WinShape and because the WinShape-backed Marriage & Family Foundation also transferred $870,834 to the group — the self-described “largest Christian grant-making foundation in the world.”

In essence, Chick-fil-A’s “charitable” contributions in 2011 were no less hateful than in 2010 — just less transparent.

Alyssa

The ‘Veronica Mars’ Movie Kickstarter And Why Fans Need To Start Thinking Of Themselves As Investors

The news yesterday that Warner Brothers had given Rob Thomas, the television writer who created Veronica Mars (he’s also an extremely strong young adult novelist whose work is well worth a look), permission to crowdfund a movie continuation of the show, was met with some disgruntlement that viewers were being asked to be the investors in a corporate product from which they’d recognize no profits, and, at the point of this writing $2.761 million in donations, more than enough to get the movie made. Willa Paskin is obviously correct that consumers’ ticket dollars already fund the production of movies. But in between her argument and the view of critics of the project lies an important point: if consumers are going to get asked like investors by mainstream media companies, they should think about what they want out of the bargain other than the simple creation fo the product.

The idea that investors deserve something more than the existence of whatever product or movie or show they’re funded is embedded in Kickstarter’s rewards system. If you give at different levels, you might get a t-shirt, tickets to a premiere party, or even an opportunity to name a character or appear in a film or game. Those rewards tend to be set by the people who are proposing the project, based on what they think they can manageably offer (though a considerable portion of crowd-funded projects ship their core products late, and some developers are running into problems when demand or unexpected costs for rewards means higher burdens for delivery than they expected). Where consumer choice enters into the process is the selection of the reward level, rather than the offerings themselves.

One thing that’s striking about the Veronica Mars Kickstarter is that you have to give at least $35, more than four times the cost of the average American movie ticket in 2012, to get a digital download of the movie. You have to give $750 to get a ticket to the premiere of the film in Los Angeles. If the Kickstarter was really inverting the process by which ticket sales fund the production of movies, going from taking the profits from one project and plowing them into the creation of another, to letting people put that ticket money up in advance, then the campaign would have to get tickets or downloads to all of its donors. It would be a method that would be fair to fans, who after all, want to see the thing they’re funding, and it might make a lot of sense for both the studios and for third-party retailers like Fandango. Nothing sells tickets like advance buzz, and getting people to commit to see the movie in advance is probably a good way to get them to bring their friends along as well. And while tickets and downloads require initial coordination with Fandango or iTunes, they’re less costly and work-intensive than say, printing and mailing t-shirts.

That’s a small example of the sorts of material things that fans could and should express that they want out of projects like this. But there are a lot of other ways to think about these kinds of investment opportunities. I might have been more excited, for example, to invest in buying back the rights to create new work in the Veronica Mars universe for Rob Thomas, if Warner Brothers could have been persuaded to sell it. I’d love to see a block of fan investors who prioritize projects that commit to work with union crews and pay actors union wages.

And I’ve written about this before, but I’d frankly love to see fans move beyond investing in single projects. Given all the discussion we have about the whiteness of movies and television, and, as Ta-Nehisi Coates and I have written, the lack of black investors who are willing and able to lose money financing projects, I’d be excited to see a crowd-funded film investment fund that only backs projects by creators of color or featuring non-white actors, perhaps that’s structured as a non-profit*. Ditto for an investment fund that could back projects by women. There’s nothing wrong with passionate attachment to single franchises, or single creators, but those aren’t the only ways that fans think about popular culture. And limiting our demonstrations of investment power to single artists or single projects ultimately limits our reach, and our ability to affect the culture. I don’t think fans are ever going to put together Megan Ellison money, for example. But I think ordinary viewers, over time, and perhaps through subscription, could put together enough to fund a series of projects that would be good enough to attract notice at places like Sundance and SXSW.

All of these approaches mean thinking through an awful lot of logistics and organizational questions. But those are all much less difficult to do than that getting fans to think of themselves not as supplicants but as an economic force. It’s easy to feel disempowered in the face of show cancellations and fired showrunners and huge delays in movie adaptations. But at a moment of extraordinary chaos in the television industry, and of new and emerging distribution models in both movies and television, this is the perfect moment for viewers with money to spend to assert ourselves, and not just to buy a speaking part in a Veronica Mars movie.

*

Update

I should note have no objection to the idea of fans making money off such funds. I just think that a non-profit structure might help alleviate expectations for first-time investors, given the number of film and television projects that end up generating losses.

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