Later On

A blog written for those whose interests more or less match mine.

Looks like another bad choice by Obama

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As when he appointed Mary Jo White to head the SEC. David Dayen reports in The Intercept:

ANDREW BIGGS, AN American Enterprise Institute resident scholar and architect of conservative efforts to cut and privatize Social Security, has been named by President Obama to a seven-member fiscal oversight board for the debt-ridden U.S. territory of Puerto Rico. That board, which will work out restructuring for over $70 billion in debt, has widespread authority to institute additional austerity on the island’s citizens, including potential reductions in public pensions. And Biggs appears to be the only member of the board that has significant experience with social insurance.

Under the Puerto Rico Oversight, Management, and Economic Stability Act  signed into law in June, the fiscal oversight board will be effectively in charge of the island’s finances, usurping its democratically elected government. The oversight board is tasked with balancing Puerto Rico’s budget and pursuing all avenues to pay off its massive debt, including cuts to the island’s education, police, and health care systems. It can sell off Puerto Rican assets, lower the island’s minimum wage, order layoffs, and enforce a ban on public employee strikes. Only as a last resort can the island obtain court approval for a debt restructuring agreement, and negotiate with creditors, which include several “vulture funds” that scooped up Puerto Rican debt at a discount in the hopes of a big payday.

The president gets to freely choose one of the seven fiscal oversight board members; the other six must come from approved lists provided by House Speaker Paul Ryan and Senate Majority Leader Mitch McConnell. Bloombergwas the first to release the seven names.

The lists from which President Obama chose have not been publicly released. . .

Continue reading.

Written by LeisureGuy

31 August 2016 at 5:42 pm

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