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2011/02/28

The Kochs Versus Main Street

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THE PROGRESS  REPORT
February 28, 2011

by Faiz Shakir, Benjamin Armbruster, George Zornick, Zaid Jilani, Alex Seitz-Wald, Brad Johnson, and Tanya Somanader


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LABOR

The Kochs Versus Main Street

Koch Industries, the private company of the billionaire Koch brothers Charles and David, is an oil and gas, chemicals, cattle, forestry, and synthetics giant -- and also a major force for punishing Main Street Americans. Charles and David Koch (pronounced "coke") have directed many millions of their shared $43 billion net worth into a vast propaganda machine that's corrupting American politics in order to reward their pollution-based enterprise. The Koch brothers have played an integral role in provoking Wisconsin Gov. Scott Walker's (R) notorious attempt to crush Wisconsin's public sector unions. Koch Industries contributed $43,000 to Walker's gubernatorial campaign, and Koch political operatives encouraged the newly elected governor to take on the unions. Koch Industries is a major player in Wisconsin: Koch owns a coal company subsidiary with facilities in Green Bay, Manitowoc, Ashland and Sheboygan; six timber plants throughout the state; and a large network of pipelines. Since the showdown began two weeks ago, Koch-funded front groups like Americans for Prosperity (AFP) -- which is chaired by David Koch -- and the American Legislative Exchange Council have organized counter-protests, prepped GOP lawmakers with anti-labor legislative talking points and even announced an anti-union advertising campaign. For now, however, the AFP message doesn't appear to be resonating: Koch-backed pro-Walker demonstrations have had low attendance and were dwarfed by pro-union supporters in Madison this week.

KNEE-CAPPING UNIONS : In a speech earlier this month at the Conservative Political Action Conference (CPAC), Americans For Prosperity-Michigan Executive Director Scott Hagerstrom revealed the true goal of his group and allies like Walker. Speaking at CPAC's "Panel for Labor Policy," Hagerstrom said that even more than cutting taxes and regulations, AFP really wants to "take the unions out at the knees ." Knee-capping free labor has long been a goal of the Koch brothers and their many front groups. In the run-up to the 2010 elections, the Kochs worked with other anti-labor billionaires, corporations and activists to fund conservative candidates and groups across the country. Now after viciously opposing pro-middle class policies for years, Koch Industries is trying to eliminate the only organizations which serve as a counterweight to its well-oiled corporate machine. Believing he was talking with David Koch, Walker told a prankster his plans to crush the unions. Koch's AFP operatives are now working with "state officials in Indiana, Ohio and Pennsylvania to urge them to duplicate Walker's crusade in Wisconsin."

PUSHING POISON : According to EPA databases, Koch businesses are huge polluters, emitting thousands of pounds of toxic pollutants. As soon as he got into office, Walker started cutting environmental regulations and appointed a Republican known for her disregard for environmental regulations to lead the Department of Natural Resources. In addition, Walker has stated his opposition to clean energy jobs policies that might draw workers away from Koch-owned interests. The Koch political poison has spread across the nation. Robocalls from Koch's Americans for Prosperity group flooded New Hampshire in support of a bill that would repeal participation in the Regional Greenhouse Gas Initiative (RGGI), which has cut greenhouse pollution and created 1,130 jobs as a result of energy efficiency benefits. AFP climate deniers in New Jersey are trying to kill RGGI there as well. Koch's main man in Congress, Rep. Mike Pompeo (R-KS), inserted an amendment to slash EPA funding in the House GOP's already wildly anti-environment budget. Koch's many subsidiaries have filed challenges against health and environmental rules from toxic chemical disclosure to dumping in streams.

RICH FINK DEFENDS KOCHS :  Even while local business leaders have called for Walker to end his assault on Wisconsin unions, Koch executives have said that they "will not step back at all" and pointed to the importance of their "grassroots" group, saying, "it is good to have them on the ground, in the battle, trying to help out." Rich Fink, the executive vice president of Koch Industries who oversees their ideological campaigns, defended the billionaire brothers in an interview with the National Review Online by blaming "the Left." "With the Left trying to intimidate the Koch brothers to back off of their support for freedom and signaling to others that this is what happens if you oppose the administration and its allies, we have no choice but to continue to fight." The Koch brothers, who have been increasing their personal wealth by billions even as they have fired thousands of workers, are really just victims of a vast left-wing conspiracy, Fink claims. "This is part of an orchestrated campaign that has been going on for many months. It involves the Obama administration, the Center for American Progress, aligned left-wing groups, and their friends in the media. This is just the latest salvo in their attacks on the Koch brothers and Koch Industries. But it is an escalation -- they're now bringing in some labor groups, which they have not done before." Somehow, Rich Fink seems unaware that his own operatives have declared open war on American workers.
 


THINK  FAST

In an interview with Politico, Gov. Brian Schweitzer (D-MT) said that it's wrong for politicians to be blaming public workers for their states' budget deficits. The governor said politicians who "aren't any good with money" shouldn't "demagogue and blame the people that actually do the work."

Despite previous warnings that protesters who remained in the Wisconsin capitol building over the weekend would be forcibly removed, local police refused to remove demonstrators from the building . "People here have acted lawfully and responsibly," said Capitol police chief Charles Tubbs. "There's no reason to consider arrests."

U.S. officials held talks yesterday with European and other allied governments about the possibility of implementing a no-fly zone over Libya to prevent further killings of civilians by forces loyal to Col. Muammar Qaddafi. Meanwhile, the Italian government suspended its non-aggression agreement with Libya arguing that there is currently no Libyan "counterpart" to apply the treaty.

Former Godfather Pizza CEO Herman Cain
, the only declared GOP 2012 presidential candidate, won a straw poll yesterday at a Tea Party convention in Phoenix. Rep. Ron Paul (R-TX) and former Minnesota governor Tim Pawlenty (R) finished second and third. However, Paul won the event's online polling "by a substantial margin."

House Speaker John Boehner (R-OH) said yesterday he is reluctant to invoke a government shutdown, because "Americans want the government to stay open." The House will pass a stopgap spending bill this week that will keep the government operating, and Democrats are likely to accept it.

Former Senate Majority Leader Trent Lott (R) is still advising his colleagues on Capitol Hill, over 8 years after resigning from the Senate. Roll Call notes that Lott "has evolved from a master vote-counter into a power broker on K Street" that frequently interacts with former colleagues on the Hill.

The hacker activist group "Anonymous" has turned its fire power on Koch Industries, taking down the website of Koch-backed front group Americans for Prosperity . Charles and David Koch's "actions to undermine the legitimate political process in Wisconsin are the final straw. Starting today we fight back," Anonymous said in a statement.

"The United Nations refugee agency says almost 100,000 people have fled Libya's fighting to neighboring Tunisia and Egypt in what it called a humanitarian emergency." The U.N.'s High Commissioner for Refugees called on Western countries to donate funds and resources to aid refugees, and said his agency will help Tunisia and Egypt deal with those fleeing Libya.

A $363,052 federal tax bill sent to a widow from a gay marriage spurred the Obama administration to shift against the Defense Of Marriage Act. Widow Edith Windsor, who would've been exempt from the bill had she been married to a man, launched a lawsuit against the act which was one of the two cited by the administration "to justify its decision to stop defending the law."

Despite the Republican refrain that "the people are ahead of the politicians on entitlement reform," the latest polls show "the public to be fiercely protective of Medicare and Medicaid." This reality is forcing many Republican freshmen to shy away from "touching the benefits in the near term, while insisting something needs to be done in the long run."

And finally: Actor and singer Jamie Foxx is not very impressed with President Obama's dance moves . "That definitely wasn't the black side in you!" he told the president Thursday night at an event honoring Motown music at the White House, making fun of Obama's dance moves when he appeared on Ellen DeGeneres' talk show.
 


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DAILY  GRILL

Q: Conservative fiscal groups said that you were a big tax-and-spender as governor of Arkansas, [including a] 3 percent income tax surcharge.
HUCKABEE: The surcharge I did not support or sign, and I did sign its repeal. So, that's a misnomer.
-- Former Arkansas governor Mike Huckabee (R-AZ), 2/27/11

VERSUS

"Huckabee says now that he didn't like [the tax surcharge] and didn't support it, though he signed it in 2003 without a peep."
-- AP, 1/24/05
 


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