Public Utility Commission (PUC) Chairman Peter Lake and Electric Reliability Council of Texas (ERCOT) CEO Pablo Vegas sent a clear message to the Texas Legislature on Wednesday: tweak the electricity market so that natural gas generation can be supplemented, or continue to face problems in the summer heat.
I just have to pause here to note that “Pablo Vegas” sounds like an Anthony Weiner pseudonym.
“Operationally, the ERCOT grid is ready for this summer,” Lake said, unveiling the 2023 Seasonal Assessment of Resource Adequacy (SARA) report. “The reliability reforms that were put in place have been tested and continue to work. We’ve made the grid we’ve got as strong as possible using every tool available.”
The SARA report, as Lake stated, is an estimate of electricity demand and supply for certain scenarios based on past data, not a forecast of what is to come this summer.
It estimates peak demand to reach 82,739 megawatts (MW); for comparison, 1 MW can power about 200 homes during the peak demand hours of the late summer afternoon through evening. To cope with that demand, the state expects to have 97,000 MW of capacity available — two-thirds of which is thermal generation, combined with 13 percent from solar and 11 percent from wind.
However, Lake tinged the grid’s readiness with an omen.
“Data shows for the first time that peak demand this summer will exceed the amount we can generate from on-demand dispatchable power,” Lake warned. “There is no longer enough dispatchable generation to meet the demand of the ERCOT system. So, we will be relying on renewables to keep the lights on.”
The State of Texas is adding about 300,000 people per year, which means a larger and larger demand for electricity on the state’s largest power grid.
“In this new reality, our risk goes up as the sun goes down,” Lake added.
Vegas likened the situation to a car: the metaphorical vehicle — the physical grid itself — is up to par on maintenance, but it lacks the necessary fuel — the electricity supply — to power its full trip ahead.
Lake said that ERCOT’s dispatchable supply fleet only grew 1.5 percent from 2008 to 2022. During that time, its renewable footprint grew substantially with now more than 30,000 MW of wind power installed and more than 10,000 MW of solar.
The influx of renewables is driven primarily by the Production Tax Credit — a federal subsidy that pays renewable generators 2.6 cents per kilowatt-hour produced — which has given wind and now solar an advantage over thermal generation sources. ERCOT has 31,000 MW of solar generation in the queue along with 5,000 MW of wind.
In contrast, only 800 MW of dispatchable power has been added in the last year, according to Lake.
So thanks to renewables, blackouts may be in the future of Texans this summer.
The Biden administration is announcing a climate rule that would require most fossil fuel power plants to slash their greenhouse gas pollution 90 percent between 2035 and 2040 — or shut down.
The highly anticipated regulation being unveiled Thursday morning is just the latest step in President Joe Biden’s campaign to green the U.S. economy, an effort that has brought a counterattack from Republicans and coal-state Democratic Sen. Joe Manchin. That’s on top of efforts by Biden’s agencies to promote the use of electric cars, subsidize green energy sources like solar and wind and tighten regulations on products including gas stoves and dishwashers.
The draft power plant rule from the Environmental Protection Agency would break new ground by requiring steep pollution cuts from plants burning coal or natural gas, which together provide the lion’s share of the nation’s electricity. To justify the size of those cuts, the agency says fossil fuel plants could capture their greenhouse gas emissions before they hit the atmosphere — a long-debated technology that no power plant in the U.S. uses now.
As an alternative, utilities could hasten their decisions to shut down their aging coal plants, a trend that has already gathered speed in the past two decades. The rule allows plants that agree to close in the first half of the 2030s to avoid most or all of the pollution-reduction mandates.
Safe, reliable nuclear and fossil fuel powered energy is anathema to the Democratic Party because they can’t rake off enough graft from it. Unless you’re willing to let them shove their disasterous green energy programs down your throat, they want you deplorables sitting in the dark.
Rep. Gary Gates (R-Richmond) took to the back microphone this week to make the case for greater regulation of a controversial state program offering millions in tax exemptions to developers for affordable housing.
One of several lawmakers to propose reforms to the Public Facility Corporation (PFC) program, Gates had introduced a reform bill with tough standards, but allegedly former Speaker Dennis Bonnen repeatedly pressured him to drop his proposals.
Gates told The Texan he was urged by Bonnen to sign on to arguably weaker reforms authored by Rep. Jacy Jetton (R-Richmond) — House Bill (HB) 2071 — and warned that although his own legislation had been approved by the House Committee on Urban Affairs, it would be killed in the powerful Calendars Committee.
Instead, Gates successfully tacked on multiple amendments to HB 2071 during Tuesday’s floor session.
“I’m pleased with these amendments, but I still have my own PFC reform bill, HB 3568, which I hope to get to the floor in short order. It has 69 authors and co-authors, while HB 2071 had only 10.”
Under the PFC program, local government officials may offer a 100 percent tax exemption to developers who build or purchase multifamily housing, as long as some rental units are set aside for “affordable” reduced rent. But both Jetton and Gates acknowledged there have been abuses of the system; in some cases, PFCs have been authorized with only 10 percent of units designated for low-income families.
On the House floor, Gates queried Jetton about whether his reforms set new minimum standards and noted that the current system took tax revenue from public school districts without their approval. He also pointed out that in some cases developers were already charging below-market rents before transitioning to PFC status and were therefore not obligated to demonstrate a public benefit.
“This is hurting our schools, this is hurting our counties and our cities,” said Gates. “This [tax revenue] is being taken from our fire departments, our police departments, our neighborhood schools. They are getting their taxes wiped out and we can’t determine if there’s any public benefit.”
In response to Gates’ questions, Jetton acknowledged that other taxpayers or the state’s general funds would have to make up the loss in revenue to school districts.
Gates’ first proposed amendment, opposed by Jetton, mandates that 60 percent of the developer’s tax savings must be dedicated to reducing rents. It was approved in a bipartisan vote of 87 to 54, with two members registered as “present, not voting.”
Under the formula, 12 percent of units must be set aside for those earning 50 percent of the Area Median Income (AMI), 12 percent for those at 60 percent AMI, and 12 percent at 80 percent AMI.
After the House voted for a second Gates amendment requiring approval from counties and school districts for any new PFCs, Jetton gave up his opposition and accepted four more revisions as friendly amendments.
Noting that some PFCs had been granted 100 percent sales and property tax exemptions for up to 99 years, Gates also questioned Jetton about HB 2071’s language setting a minimum tax exemption period of 10 years while removing even the 99-year limit.
Among revisions accepted by Jetton, the tax-exempt status will be limited to 12 years for new construction and 10 years for the conversion of existing properties.
So one cheer for Gary Gates for getting rid of a tax kickback.
Ideally, government should get entirely out of the business of giving different types of tax breaks for different rental housing. Get out of regulating any but the most essential safety and business standards and let the free market come up with solutions. The main obstacles to building actual affordable housing are too many regulations, not too few.
But we shouldn’t disdain even baby steps of reform in the right direction.
House Speaker Kevin McCarthy has laid out the devastating results of runaway government spending on the middle class and why it’s so important to claw back lost ground for the average American, who has “received a pay cut for 24 consecutive months … as inflation has persisted.”
He also noted the average American family has lost the equivalent of more than $7,000 in annual income.
There is a direct link between spending, borrowing and printing trillions of dollars, and these disastrous results for Americans.
President Biden has spent trillions of dollars the nation didn’t have.
These unchecked costs drove the deficit to record highs and pushed the debt over $31 trillion.
A former Connecticut Planned Parenthood honcho took his own life days after police failed to arrest him on child pornography charges — botching the raid by knocking down the door of the suspect’s New Haven neighbor.
Tim Yergeau, 36, the former director of strategic communications at the Southern New England branch of Planned Parenthood, died by suicide on Tuesday amid a child pornography investigation in Connecticut last week.
The Biden administration on Thursday unveiled a proposal that would prohibit schools from instituting policies that “categorically ban transgender students from participating on sports teams consistent with their gender identity.” The policy would allow schools to implement certain limitations in the interest of fairness or safety, however.
The proposed rule, which would impact any school or college that receives federal funding, would expand Title IX protections to include gender identity. Under the proposal, a “one-size-fits-all” ban on transgender athletes playing on teams that match their stated gender identity would be a violation of Title IX. The rule, which is likely to face challenges, will face a lengthy approval process.
This is, in fact, the exact opposite of the text of Title IX, which provides special protection for biological women, not men pretending to be women.
Under the radar, a package of bills is ramming through sweeping changes that will reorient our public schools around a new paradigm — subordinating academic basics to an obsessive, politicized preoccupation with race and social justice activism.
“Critical Social Justice” ideology (CSJ) — the vehicle for manipulating our young people into adopting this worldview — is laced strategically through a variety of bills, including “ethnic studies” (HF 1502), “Teachers of Color” (HF 320) and now the House and Senate omnibus education bills (HF 2497/SF 2684).
Taken together, this legislation will inject reductive, racialized thinking into every classroom in Minnesota’s approximately 500 school districts and charter schools; change the fundamental mechanics of education in our state; and give the Minnesota Department of Education (MDE) and the Professional Educator Licensing and Standards Board (PELSB) broad new powers that amount to an end-run around our state’s hallowed tradition of local control.
Here’s a story I missed earlier: “Kazakhstan Impounds Property of Roscosmos Subsidiary.” That’s the Russian company that’s the main operator of Baikonur spaceport. Haven’t seen any resolution to this, mainly because Russia is so broke thanks to mismanagement, sanctions, and an illegal war of territorial aggression.
Jay Leno drives the 1,025 horsepower 2023 Dodge Challenger SRT Demon 170. I have an irrational desire to own something with a Hellcat engine, which I need like I need a hole in my head. Plus I like the look of the Shelby GT-500 Mustang better, and I’m not buying one of those either.
“Disney has proudly employed sex predators for years, and this act of aggression by DeSantis will force thousands of our proud pedo-American workers to leave the park to stay outside the 1,000-foot radius required by law,” said Disney CEO Bob Iger. “This is tyranny!”
You know that “creating more public roads just creates more traffic” talking point trotted out by people who want to ban your car?
Yeah, not so much.
The first two thirds of the video covers other topics, like how economies of scale don’t necessarily drive down prices uniformly, and as you scale, you incur new costs that might make a product less profitable. (One example is China’s overbuilt high speed rail network.)
The last portion deals with the “roads create traffic” myth, directly delving into the study the anti-road types cite:
“What [building new highways[ doesn’t do is create entirely new demand.”
“New roadways, especially interstates, tend to be more direct, and can take a larger volume of traffic than alternative routes through urban areas.”
“The study itself has also been widely criticized for making assumptions that other economists were not able to replicate in follow-up studies.”
“Its methodology was also questionable. It measured interstate kilometers traveled. Building out more interstates might make people use those roads more, but that doesn’t mean that there are more cars overall, because a lot of that traffic would have been taken away from non-interstate roads, which were not measured in the study.”
“More roads won’t create more congestion unless they are designed very poorly, and reducing the supply of roads won’t ease congestion, either.”
The original study authors didn’t even suggest reducing roads; they were in favor of congestion charges.
Another lunatic leftwing California ecowarrior directive bites the dust.
A federal appeals court on Monday overturned a California city’s first-in-the-nation ban on natural gas hookups in new buildings, saying it violates federal law.
The three-judge panel from the Ninth Circuit Court of Appeal sided with a coalition of California restaurants, who argued that the City of Berkeley’s ordinance essentially bans gas appliances in violation of a 1975 directive that gives Congress control over restrictions on appliances. The unanimous ruling is a major blow to California Democrats’ green energy push, and could clear the way for legal challenges to similar bans around the country.
Democrats have increasingly moved to ban gas stoves while attempting to downplay their efforts. New York is poised to become the first state to ban gas stoves, and California is working towards a statewide ban of its own. The White House has denied that President Joe Biden supports banning gas stoves while the Energy Department works to restrict their sale. Blue state attorneys general and environmental groups lined up to support the ban in court, in a sign of the case’s national implications.
The California Restaurant Association claimed Berkeley’s ban violated the 1975 Energy Policy and Conservation Act , which gives the federal government final say over restrictions on energy appliances.
Judge Patrick Bumatay wrote that even though Berkeley lawmakers didn’t specifically ban the use of natural gas appliances, they reached the same result “circuitously” by changing their building code to ban gas piping—a policy that renders “the gas appliances useless,” he said.
This preemption would apply to state policies as well, he added.
“States and localities can’t skirt [federal preemption] by doing indirectly what Congress says they can’t do directly,” he wrote.
There’s simply no end to the things ordinary people enjoy that radical environmentalists are willing to ban. Fortunately, there’s still some semblance of the rule of law to at least temporarily keep them in check…
How severe? How about $105 billion drop in loans in just two weeks.
“This credit crunch greatly increases the chances that America is going to have a deflationary recession or depression at some point in 2023. And, in fact, we could already be in it.” Ya think?
“We’re going to see the unemployment rate start to spike in America in the second half of 2023, In fact, we’re already seeing a big increase in unemployment claims data from the Federal Reserve shows that continued unemployment claims has surged since September.”
“We’re seeing a big surge in mortgage defaults right now across America, particularly on what’s called FHA mortgages. FHA mortgages are these first-time home buyer loans that the US government sponsors and allows people to only put three to five percent down. Well, these loans now have a 12% default rate in the most recent month of February 2023.”
Debt-to-income ration is now higher than it was at the pre-subprime meltdown peak in 2008.
“The Biden Administration has been very aggressive in wanting to expand mortgage access to low-income borrowers who can’t afford these mortgages. And they do this under the guise of expanding the benefits of home ownership to everyone, but really what they’re doing is they’re saddling at-risk economic households with a lot of debt near the peak of a housing bubble.”
“When banks tighten the belt and businesses can no longer get loans, businesses have to shut down, or what businesses have to do is, they have to start liquidating their holdings and taking whatever cash they have and use it to pay expenses. This is actually a concern of mine.”
“This bank credit crunch which is occurring right now could cause even more bank runs in the future” as people pull money out of the bank to cover expenses.
Quantitative tightening is back on.
“Mortgage application demand is on par with what we saw basically in the worst of the last housing crash in 2008, 2009, 2010, and so, no, there is no recovery.”
“The regular home buyer is still out of the housing market and is not returning.”
“The money supply in America is contracting…every other time in history it contracted, which was four times, we had a depression, a panic and a banking crisis.”
Cheerful enough. But if you’re a car dealer, things are even worse:
Banks are cutting off backing loans and providing credit to dealerships.
Not just used car dealers, but even national brand, nameplate dealerships.
This all started back in 2020, when banks started lending way too much money on cars that simply aren’t worth it, to consumers that simply couldn’t afford these payments, and shouldn’t have got the car in the first place…Let’s fast forward to 2023. We’re seeing record high repossession rates, and we’re seeing record high portfolio sell-offs, where people are just liquidating their paper because they don’t want to take on the risk of all these really bad auto loans, because they owe too much money. People are not making payments and they see the value of cars going down.
The fewer banks dealers can pit each other against for loan terms, the higher the interest rate consumers have to pay.
Dealers (not the banks) are also the ones who get screwed if a customer misses their first through third car payment.
Texas car dealer: “He was floored because he sells a lot of trucks between $45- and $65,000 trucks. Four of his banks told him that they’re no longer lending over twenty five thousand dollars.” (Previously.)
“I promise you this: it’s only gonna get worse.”
But wait! It gets worse!
“Capital One is going to start pulling their floor plans from dealers.”
“Floor plans” are the lines of credit dealers use to purchase cars to populate their lots, even the big nameplate dealers.
“Dealers are overexposed right now. They have paid way too much for their inventory and now they are having a hard time selling it.”
“It is so much harder now than it has been in the last two years to get people approved for loans to be able to sell these vehicles.”
“[Banks] do not want to get stuck holding the bag on these cars.”
“Dealers have been stupid. They have overpaid and they have too much inventory right now.”
“Some of these dealers, if they’re having cars 60, 90 days and maybe they’re getting a little bit behind on their payments [the] floor plan company will actually go to these dealers lots and they will take these cars that have been sitting too long, they’ll take them to the auction.”
“If they didn’t have the cash, the liquidity, to begin with, then they have to start liquidating cars, and they have to liquidate them fast to be able to pay their flooring lines…if they lose these flooring lines, they might as well not be in business, they don’t have the cash to be able to buy more inventory to be able to sell it to make more money.”
Banks pulling their floor lines could potentially crash the whole car market.
Things are going to get worse for car dealers before it gets better, and six months from now might be a great time to buy a car, assuming you’re not too busy shooting starving looters trying to steal your canned goods…
The Biden Administration has shown a clear preference for rewarding far left political leanings than technical competence in its nominees for top posts (I’m looking at you, Pete Buttigieg). Texas Senator Ted Cruz took a strong stand against this trend by opposing the nomination of Phil Washington to head the FAA.
From an editorial by Cruz and North Carolina Senator (and pilot) Ted Budd:
Last week, the Federal Aviation Administration (FAA) held an emergency safety summit after a series of disturbing near collisions of planes at airports across the country. These close-call incidents, which could have been disastrous, followed the January malfunction of the FAA’s NOTAM safety system that led to the first nationwide grounding of aircraft since the Sept. 11th terrorist attacks.
These serious safety challenges at the FAA are stark reminders of why it’s so important for the head of the agency to have extensive aviation experience, especially in aviation safety. The FAA, on an average day, is responsible for ensuring safe air travel for more than 45,000 flights and nearly 3 million airline passengers. With the stakes so high, it’s irresponsible to entrust the role of protecting millions of Americans who fly with a person who needs on-the-job training. Yet, that’s exactly what we have with President Joe Biden’s nominee to serve as FAA administrator, Phil Washington.
Little of Washington’s career has touched aviation. After serving in the military, Washington worked as a transit executive in Denver and Los Angeles , dealing with train and bus systems. Less than two years ago, he became CEO of Denver International Airport, a job that primarily involves overseeing the airport’s shopping, dining, parking, and buildings — not aviation matters. Notably, in this role, he has neither significant involvement with the airport’s flight operations nor does he oversee air traffic controllers, pilots, and aircraft.
Washington’s recent hearing before the Senate Commerce Committee confirmed what’s abundantly clear from his resume: he lacks the extensive aviation experience needed to lead the FAA. At his hearing, he was unable to answer basic aviation questions we asked him, including safety questions about aircraft certification, pilot licensing, and airports.
It’s no mystery why.
Unlike other FAA administrators, he does not have decades of aviation experience. Washington has never flown a plane, never worked for an airline, and never worked for a company that manufactures or maintains aircraft. But what he does have are political connections. He donated to the Biden campaign, co-chaired its policy committee on infrastructure, and led the Biden administration’s transition team for the Department of Transportation. It’s unacceptable that Biden is playing politics with the flying public’s safety by treating the head of the FAA as a patronage job.
Washington’s lack of extensive aviation experience has caused widespread concern about his nomination. At his Senate hearing, multiple Democratic senators questioned his qualifications to lead the FAA. State and local aviation groups all over the country, including pilot groups, oppose his nomination. One of them, the Montana Pilots Association, has said that he is “singularly unqualified to serve as FAA Administrator.” Last week, a bicameral group of members of Congress who are pilots, including former military pilots, urged Biden to withdraw Washington’s nomination because he is “woefully unqualified to fill this role.”
Not only is Washington unqualified, but he’s also apparently under investigation. He is embroiled in an ongoing criminal public corruption probe that is being led by the Democratic attorney general of California. The probe concerns a politically-connected contracting scheme from Washington’s time leading the Los Angeles Metro. Washington has been named in not one but two search warrants in the probe, with the most recent having been issued just last September. It’s inexplicable that President Joe Biden has picked an FAA nominee who is materially involved in an ongoing criminal investigation.
The safety challenges and responsibilities of the FAA are far too important to have anyone other than a highly experienced aviation expert at the helm.
President Joe Biden’s pick to lead the Federal Aviation Administration withdrew his nomination on Saturday evening, following nine months in limbo and amid concerns from senators in both parties over his background and relative lack of aviation experience.
DOT Secretary Pete Buttigieg tweeted late Saturday that Phil Washington, the CEO of Denver International Airport, has decided to take himself out of the running.
“The FAA needs a confirmed Administrator, and Phil Washington’s transportation & military experience made him an excellent nominee,” Buttigieg tweeted. “The partisan attacks and procedural obstruction he has faced are undeserved, but I respect his decision to withdraw and am grateful for his service.”
If only Buttigieg would follow Phil Washington’s lead.
If you want to fight the Biden Administrations attempts to drag America to the far left, it helps if you have someone who know how to play the game.
The more I hear about the Silicon Valley Bank collapse mentioned in Friday’s LinkSwarm, the worse it sounds.
I saw a snippet of Gary Tan, CEO of startup fund Y Combinator, talking about how bad it is. I can’t find a video of the full interview online, but evidently it was excerpted on Bannon’s War Room podcast and there’s a transcript.
[Interviewer]: How many of these startups that have been through Y Combinator, for example, have their cash tied up at Silicon Valley Bank? And over this weekend, I’m gonna try to figure out how they’re gonna make payroll next week. Do they have to go to investors and say, can you front me some cash so that we can stay alive?
[Tan]: We have funded about 3,000 active startups right now. I would guess that this affects more than 1,000 startups. And about a third of those startups will not be able to make payroll in the next 30 days in the current configuration. As of this morning, RIPLING, which many startups use to manage payroll and benefits, transfers were not being processed by SVB for payroll.
And so that’s a really existential threat for companies broadly. These are founders who are texting me and calling me saying, do I need to furlough my workers next week? Because I do not have other bank accounts, you know, a Google or a Facebook or even companies farther along with a Treasury Department. They’re going to be able to weather this, but if SVB is your only bank, it’s actually an existential risk. You’re going to go out of business if you can’t pay payroll. And that starts Monday.
That transcript also has this sobering figure: “97% of the deposits at Silicon Valley Bank. 97% are not insured by FDIC because they’re in accounts over $250,000. These company accounts that would be $169 billion.”
So what was Silicon Valley Bank doing rather than properly managing their risk profile? Banks have Chief Risk Officers whose job is to make sure their risk exposure ratios don’t get out of whack. Well, guess what? SVB didn’t have one for some nine months. “SVB’s former head of risk, Laura Izurieta, who formerly performed a similar role for Capital One, left the bank in April 2022. She wasn’t replaced until January 2023 when the bank hired Kim Olson, formerly of Japanese bank Sumitomo Mitsui.”
But don’t worry: SVB had CRO for the bank in Europe, Africa and the Middle East who was entirely focused…on Social Justice and ESG.
Jay Ersapah, who acts as CRO for the bank in Europe, Africa and the Middle East and who describes herself as a ‘queer person of color from a working-class background’ – organized a host of LGBTQ initiatives including a month-long Pride campaign and implemented ‘safe space’ catch-ups for staff.
In a corporate video published just nine months ago, she said she ‘could not be prouder’ to work for SVB serving ‘underrepresented entrepreneurs.’
Professional network Outstanding listed Ersapah as a top 100 LGTBQ Future Leader.
‘Jay is a leading figure for the bank’s awareness activities including being a panelist at the SVB’s Global Pride townhall to share her experiences as a lesbian of color, moderating SVB’s EMEA Pride townhall and was instrumental in initiating the organization’s first ever global “safe space catch-up”, supporting employees in sharing their experiences of coming out,’ her bio on the Outstanding website states.
It adds that she is ‘allies’ with gay rights charity Stonewall and had authored numerous articles to promote LGBTQ awareness.
These included ‘Lesbian Visibility Day and Trans Awareness week.’
Separately she was also praised in a Facebook post by the group ‘Diversity Role Models,’ a charity which campaigns against homophobic, biphobic and transphobic bullying in UK schools.
Being in Silicon Valley, I’m betting that the entire company was whole hog backing DEI, ESG, Transwhatever and the entire rainbow of victimhood identity politics acronyms.
In a strong economy, you can get away with a bit of shareholder-value-destroying, virtue-signaling luxury goods as long as your core business is strong. But with rising interest rates, Biden Inflation, the Biden Recession and the gale winds of deglobalization, taking your eye off the ball to focus on anti-reality SJW garbage is a recipe for disaster.
And all the startups that relied on SVB for their banking are well and truly screwed.
Update: Uncle Sugar is evidently going to make all depositors whole at both SVB and newly insolvent Signature Bank. This relatively early intervention may indeed be the best move to prevent bank runs at other institutions, and may reflect a change in philosophy since 2008. (It’s a thorny subject.) But it does make me think that a lot of well-connected depositors were screaming in the ears of Washington to be made whole at the taxpayer’s expense. What do you think the odds are that the same consideration wouldn’t be given to, say, a Texas bank that specialized in underwriting oil and gas ventures?
Mutiny! Bank runs! Twitter files! It’s a ginormous LinkSwarm full of interesting (and alarming) links!
And I finally get a chance to talk more about the FTX scandal.
The Twitter files revelations continue to roll out. And Democrats aren’t happy that the workings of their thought police apparatus are being unmasked.
As one might expect, the Judiciary hearing on the “weaponization” of federal agencies, featuring Matt Taibbi and Michael Shellenberger as witnesses was full of fireworks, facts, and ad hominem friction.
Out of the gate, Ranking Member Democratic Del. Stacey E. Plaskett labeled the two “so-called journalists” as dangerous and a “threat” to former Twitter employees.
She claimed that Republicans brought “two of Elon Musk’s ‘public scribes'” in “to release cherry-picked out-of-context emails and screenshots designed to promote his chosen narrative – Elon Musk’s chosen narrative – that is now being parroted by the Republicans” for political gain.
“I’m not exaggerating when I say you have called two witnesses who pose a direct threat to people who oppose them,” Plaskett said after the video.
Chairman of the House Judiciary Committee, Republican Rep. Jim Jordan of Ohio, had a simple response to her accusations:
“It’s crazy what you were just saying.”
“You don’t want people to see what happened,” Jordan continued.
“The full video, transparency. You don’t want that, and you don’t want two journalists who have been named personally by the Biden administration, the FTC in a letter. They say they’re here to help and tell their story, and frankly, I think they’re brave individuals for being willing to come after being named in a letter from the Biden FTC.”
Taibbi was having none of it.
Matt Taibbi epic comeback:
"Ranking Member Plaskett, I'm not a 'so-called journalist'. I've won the National Magazine Award, the I.F. Stone Award for Independent Journalism, and I've written 10 books including 4 NYT Best Sellers." pic.twitter.com/crXlWjScEr
— Citizen Free Press (@CitizenFreePres) March 9, 2023
As Glenn Greenwald chimed in from Twitter: “To Democrats, “journalist” means: one who mindlessly and loyally endorses DNC talking points. ”
Unshaken, Matt Taibbi continued, when he was allowed to respond, laid out what he and Shellenberger had found in their research of The Twitter Files:
“The original promise of the Internet was that it might democratize the exchange of information globally. A free internet would overwhelm all attempts to control information flow, its very existence a threat to anti-democratic forms of government everywhere,” Taibbi said.
“What we found in the Files was a sweeping effort to reverse that promise, and use machine learning and other tools to turn the internet into an instrument of censorship and social control. Unfortunately, our own government appears to be playing a lead role.”
Taibbi pointedly added that “effectively, news media became an arm of a state-sponsored thought-policing system.”
“It’s not possible to instantly arrive at truth. It is however becoming technologically possible to instantly define and enforce a political consensus online, which I believe is what we’re looking at.”
Democrats only response to Taibbi and Shellenberger’s facts was to get personal…
Snip.
As we detailed earlier, journalists Matt Taibbi and Michael Shellenberger are testifying before the House Judiciary Committee’s Select Subcommittee on the Weaponization of the Federal Government today. Both journalists were involved in the ‘Twitter Files’ disclosures, in which we learned that the government was directly involved in censoring disfavorable speech.
“Our findings are shocking,” writes Shellenberger at his blog. “A highly-organized network of U.S. government agencies and government contractors has been creating blacklists and pressuring social media companies to censor Americans, often without them knowing it.”
Ahead of the appearance, Taibbi released his prepared remarks. He also dropped a new and related Twitter Files mega-thread on ‘THE CENSORSHIP-INDUSTRIAL COMPLEX’ which will be submitted to the Congressional record which, according to Taibbi, ‘contains some surprises.’
But Twitter was more like a partner to government. With other tech firms it held a regular “industry meeting” with FBI and DHS, and developed a formal system for receiving thousands of content reports from every corner of government: HHS, Treasury, NSA, even local police…
But equally concerning was how those driving The Narrative used NGOs that agreed with them as Arbiters of Truth.
We came to think of this grouping – state agencies like DHS, FBI, or the Global Engagement Center (GEC), along with “NGOs that aren’t academic” and an unexpectedly aggressive partner, commercial news media – as the Censorship-Industrial Complex.
Who’s in the Censorship-Industrial Complex? Twitter in 2020 helpfully compiled a list for a working group set up in 2020. The National Endowment for Democracy, the Atlantic Council’s DFRLab, and Hamilton 68’s creator, the Alliance for Securing Democracy, are key…
Twitter execs weren’t sure about Clemson’s Media Forensics Lab (“too chummy with HPSCI”), and weren’t keen on the Rand Corporation (“too close to USDOD”), but others were deemed just right.
NGOs ideally serve as a check on corporations and the government. Not long ago, most of these institutions viewed themselves that way. Now, intel officials, “researchers,” and executives at firms like Twitter are effectively one team – or Signal group, as it were:
The Woodstock of the Censorship-Industrial Complex came when the Aspen Institute – which receives millions a year from both the State Department and USAID – held a star-studded confab in Aspen in August 2021 to release its final report on “Information Disorder.”
The report was co-authored by Katie Couric and Chris Krebs, the founder of the DHS’s Cybersecurity and Infrastructure Security Agency (CISA). Yoel Roth of Twitter and Nathaniel Gleicher of Facebook were technical advisors. Prince Harry joined Couric as a Commissioner.
Why the fuck is Prince Harry on a committee deciding how free American citizens should be censored?
Their taxpayer-backed conclusions: the state should have total access to data to make searching speech easier, speech offenders should be put in a “holding area,” and government should probably restrict disinformation, “even if it means losing some freedom.”
Snip.
The same agencies (FBI, DHS/CISA, GEC) invite the same “experts” (Thomas Rid, Alex Stamos), funded by the same foundations (Newmark, Omidyar, Knight) trailed by the same reporters (Margaret Sullivan, Molly McKew, Brandy Zadrozny) seemingly to every conference, every panel.
The #TwitterFiles show the principals of this incestuous self-appointed truth squad moving from law enforcement/intelligence to the private sector and back, claiming a special right to do what they say is bad practice for everyone else: be fact-checked only by themselves. While Twitter sometimes pushed back on technical analyses from NGOs about who is and isn’t a “bot,” on subject matter questions like vaccines or elections they instantly defer to sites like Politifact, funded by the same names that fund the NGOs: Koch, Newmark, Knight.
#TwitterFiles repeatedly show media acting as proxy for NGOs, with Twitter bracing for bad headlines if they don’t nix accounts. Here, the Financial Times gives Twitter until end of day to provide a “steer” on whether RFK, Jr. and other vax offenders will be zapped.
Well, you say, so what? Why shouldn’t civil society organizations and reporters work together to boycott “misinformation”? Isn’t that not just an exercise of free speech, but a particularly enlightened form of it?
The difference is, these campaigns are taxpayer-funded. Though the state is supposed to stay out domestic propaganda, the Aspen Institute, Graphika, the Atlantic Council’s DFRLab, New America, and other “anti-disinformation” labs are receiving huge public awards.
Meant to cover this back in February, but FTX founder Sam Bankman-Fried, in additional to all those federal fraud charges, was charged with “12 new counts, including illegally making over 300 political contributions to the tune of tens of millions of dollars through straw donors and using corporate funds.” The overwhelming majority went to Democrats and left-leaning causes. “Bankman-Fried was the second largest individual donor during the 2022 US midterm elections, contributing $39 million to various Democrat causes.” Also: “FTX’s former CEO wanted to give at least $1 million to a pro-LGBTQ political action group, but couldn’t find anyone bisexual or gay at the company whom he trusted, the document said.”
Speaking of Bankman-Fried: “The previously sealed names of two people who co-signed Sam Bankman-Fried’s $250 million bail package have been publicly released. The guarantors were identified in the unredacted bonds as Andreas Paepcke, a Stanford research scientist, and Larry Kramer, former dean of Stanford law school…How the fuck did these Stanford faculty members get so rich as to guarantee that size of a bail?”
Speaking of crypto, Silvergate, a California bank that was a heavy player in the crypto space, is shutting down and liquidating after huge bank runs in the crypto-winter. Want to guess who was a big booster of Silvergate? Would you believe Sam Bankman-Fried?
When China began to require Western corporations to establish Chinese Communist Party (CCP) cells, businesses brushed off the move as benign. For example, when HSBC HBA 0.0% became the first international financial institution at which workers established a Chinese Communist Party cell in its investment banking venture in China in July, the bank stated that the CCP committee does not influence the direction of the firm and has no formal role in its day-to-day activities. But the CCP may have begun to flex its muscle in other ways. This week, the CCP cell inside the Beijing office of Big Four accounting firm EY demanded that party members wear CCP badges at work in the run-up to China’s annual parliamentary meetings.
Silicon Valley Bank, Santa Clara, California, was closed today by the California Department of Financial Protection and Innovation, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver. To protect insured depositors, the FDIC created the Deposit Insurance National Bank of Santa Clara (DINB). At the time of closing, the FDIC as receiver immediately transferred to the DINB all insured deposits of Silicon Valley Bank.
All insured depositors will have full access to their insured deposits no later than Monday morning, March 13, 2023. The FDIC will pay uninsured depositors an advance dividend within the next week. Uninsured depositors will receive a receivership certificate for the remaining amount of their uninsured funds. As the FDIC sells the assets of Silicon Valley Bank, future dividend payments may be made to uninsured depositors.
Silicon Valley Bank had 17 branches in California and Massachusetts. The main office and all branches of Silicon Valley Bank will reopen on Monday, March 13, 2023. The DINB will maintain Silicon Valley Bank’s normal business hours. Banking activities will resume no later than Monday, March 13, including on-line banking and other services. Silicon Valley Bank’s official checks will continue to clear. Under the Federal Deposit Insurance Act, the FDIC may create a DINB to ensure that customers have continued access to their insured funds.
As of December 31, 2022, Silicon Valley Bank had approximately $209.0 billion in total assets and about $175.4 billion in total deposits. At the time of closing, the amount of deposits in excess of the insurance limits was undetermined. The amount of uninsured deposits will be determined once the FDIC obtains additional information from the bank and customers.
SVB was a bank that primarily counted venture capital firms and technology startups as clients. It achieved financial stardom during the COVID-19 pandemic because major cash deposits from the booming firms increased its deposits from $60 billion in the first quarter of 2020 to over $200 billion in December 2022, the Wall Street Journal reported. Its securities portfolio rose from roughly $27 billion in 2020’s first quarter to approximately $127 billion at the end of 2021.
The fact that most of SVB’s assets were seemingly secure — they were mainly longer-term government bonds — led many investors to feel the bank was secure. Those feelings would be dashed in just two days. The bank suddenly announced Wednesday that it needed to raise over $2.2 billion, sending its stock plunging by more than 60% in a matter of days.
The government securities bought by SVB pay a fixed rate, so when market interest rates were raised, a gap began to grow between how much the securities were worth on the open market and what they were valued on the bank’s books. The unrealized losses in SVB’s securities portfolio in December had grown to more than $17 billion, a number expected to grow, as the securities could only be sold at a loss.
Crack the whip: unacceptable because of origins in slavery
Waiter or waitress: server should be used instead
Biological gender, biological sex, biological woman, biological female, biological man, or biological male
Illegal immigrant or illegal alien
Cake walk: “originated during slavery” and thus perpetuates “racist motifs”
In reference to illegal migration: onslaught, tidal wave, flood, inundation, surge, invasion, army, march, sneak and stealth
Anchor baby
Chain migration: this is a term used by “immigration hard-liners”
Peanut gallery: “the cheapest seats often occupied by Black people and people with low incomes”
Third-world countries: too “derogatory”
Oh, it does not end there. Politico reporters are also not allowed to say that a transgender person “identifies as” a certain gender, or describe the current situation at the border as a “crisis.” The guide also warned reporters to make sure not to portray migrants as a “negative, harmful influence.”
Want some more? “Pro-choice” is frowned upon in favor of “abortion rights supporter,” and (of course) “pro-life” is outlawed, with “anti-abortion” taking its place. “Late-term abortion” is also a no-no; reporters are told to use “abortion later in pregnancy.”
College student accused of stealing more than half a million dollars via credit card fraud working part-time at a mall jewelry store where most of the items are under $50. She marked up items, then returned them at the original price and somehow pocketed the difference. She made eight fake transactions totally more than $540,000. As though somehow the store wasn’t going to notice something funny going on.
I’m pro-life but this is stupid. “Texas Lawmaker Looks to Restrict Online Access to Materials Assisting or Facilitating Abortion.” You can’t ban access to information you don’t like, that’s prior restraint and illegal under the U.S. Constitution.
Speaking of violating rights, a judge was suspended for not allowing a defendant access to legal council. Again. The dumbass in question was Kenton County District Judge Ann Ruttle in Kentucky.
The most surprising component of Gov. Greg Abbott’s largely unsurprising slate of emergency items this session is a prohibition on COVID-19 restrictions and directives — not because of what the governor hasn’t done, but because of what he did.
During the pandemic’s height, Abbott, like many other GOP governors across the country, issued his own executive orders closing businesses, restricting the ingress and egress of persons, and mandating masks — the lattermost of which was announced only weeks after the office’s official position stated that “no jurisdiction can impose a civil or criminal penalty for failure to wear a face covering.”
A similar instance occurred in 2021 relating to vaccine mandate bans when Abbott’s spokesman stated that “private businesses don’t need government running their business.” A couple of months later, the governor expanded his vaccine mandate ban to include private companies along with governmental entities.
Abbott is now embroiled in a legal fight — to be featured at the Texas Supreme Court this week — with school districts who tried to preserve their own mask mandates well after the state ended its own.
The goalposts of pandemic policy across the country have moved constantly over the last three years, including in Texas — attributable in part to the giant uncertainty about the situation, especially early on. Mixed messages from officials were a common theme in the first few months.
“People didn’t know what we were dealing with with COVID, so there’s some grace that has to be extended,” state Rep. Matt Schaefer (R-Tyler), a frequent critic of the governor’s emergency response, said at The Texan’s 88th Session Kickoff in January. “I think there’s some grace that is extended to our leaders for getting through a chaotic period of time.”
Some grace is fine. After all, Flu Manchu was new and potentially deadly, and no one knew just how deadly at the start. It became evident very early on that Mao Tse Lung was not remotely as deadly as Ebola, yet Abbott still took six weeks of two weeks to bend the curve before he even started lifting the lockdown by a magnanimous 25% (remember the absurdity of tapped over restaurant tables you couldn’t sit at), markedly slower than many other Republican governors. Florida’s Ron DeSantis was notably faster at lifting all his markdown restrictions than Abbott was.
Finally, keep in mind that just renewed his own Flu Manchu disaster declaration February 13th. There’s never been a good explanation of how Flu Manchu lockdown restrictions were compatible with basic constitutional rights. So why has Abbott kept that disaster declaration going years after everyone else has moved on with their life?
The first target of Greg Abbott’s 2023 ire over “COVID-19 restrictions and directives” should be the Greg Abbott of 2020.
