Degree of Madness

Barack Obama's housing policy: Who benefits? Hint...not the poor

Chicago's grand experiment.  What went wrong?  Maybe someone should ask Barack Obama.  He's intimately familiar with most of the players.  Public housing limbo.  All emphasis mine:

Chicago's grand experiment to transform public housing is lagging nearly a decade after Mayor Richard Daley's administration turned to private developers to shape the future of housing for the city's poor.

Conceived amid a rising housing market, the city's Plan for Transformation used hundreds of millions in taxpayer dollars and virtual giveaways of public land to reverse decades of neglect that confined the city's poorest residents to racially segregated ghettos.

Demolition of Chicago's reviled high-rises became a national symbol of change and hope, but little attention has been focused on what happened next as rhetoric collided with realities.

A Tribune investigation found that almost nine years into what was billed as a 10-year program, the city has completed only 30 percent of the plan's most ambitious element—tearing down entire housing projects and replacing them with new neighborhoods where poor, working-class and wealthier families would live side by side.

The problems with Chicago's public housing have been well documented.  What seems to be missing in all the excellent reporting is accountability.  I guess that's because there is none.  While so many of Chicago's poor have been displaced, more than a few Chicago insiders are making out quite well.  On taxpayer money.  Consider Allison S. Davis, Barack Obama's former boss:

As the largest redevelopment of public housing ever undertaken in the country, Chicago's effort mirrors the ambition of other Daley efforts to reshape the city. It also parallels major Daley endeavors in featuring a roster of high-profile allies and friends.

At what once was Stateway Gardens, part of the most infamous wall of public housing in the world, construction is being overseen by a team that includes Allison Davis, a powerful developer with close ties to City Hall. The new Park Boulevard on South State Street sits not far from U.S. Cellular Field, home of the White Sox, on what has become prime real estate. It also stands as the most dramatic example of troubles with the city's strategy.

As of the end of March, Davis' team had managed to complete just 53 of the 439 public housing units planned—the lowest number of any CHA development. Another member of the development team has filed for bankruptcy in the wake of the national housing slump.

Although there is a bright spot:

Amid all this, one aspect seems to be prospering: On the site's northeast corner, a Starbucks, Jimmy John's and FedEx Kinko's have moved into one of Park Boulevard's new storefronts.

Guess who controls that property?

Those who control the commercial strip would be familiar to anyone wise to the ways of Chicago: Davis himself and Robert Vanecko, a nephew of the mayor.

How very cozy.  The mayor's nephew. 

In 1993 Obama was hired as an associate attorney with Davis' Chicago law firm, Davis Miner Barnhill & Galland.  That same year, Obama began serving on the board of the Woods Fund of Chicago.  In 1996 Davis quit the law firm to become a developer but his former law firm represented him.  When Davis needed a little money, he knew where to turn:

Seven years ago, Sen. Barack Obama was on the board of a Chicago charity when his former boss, Allison S. Davis, came looking for money.

At the time, Davis was a developer represented by the law firm where Obama worked, as well as a small contributor to Obama's political campaign funds. He wanted the charity to help fund his plans to build housing for low-income Chicagoans.

Obama agreed. He voted with other directors of the Woods Fund of Chicago to invest $1 million with Neighborhood Rejuvenation Partners L.P., a $17 million partnership that Davis still operates.

As an Illinois state Senator Obama also proved helpful to Davis and his business partner Tony Rezko:

...1998, then-state Sen. Obama wrote to state and city officials urging them to provide funding for New Kenwood LLC, a company formed by Rezko and Allison Davis. Obama wrote the letters, first reported by the Chicago Sun-Times, on Illinois Senate stationery, saying: "€œThis project will provide much needed housing for 4th Ward citizens".

Davis and Rezko made out pretty well on that deal:

The deal included $855,000 in development fees for Rezko and his partner, Allison S. Davis, Obama's former boss, according to records from the project, which was four blocks outside Obama's state Senate district.

Public housing is supposed to benefit low-income families.  In Obama's Chicago it's the "insiders" who benefit at the expense of low-income families:

Mixing apartments for the poor with upscale homes was supposed to do more than create diverse neighborhoods. Those expensive homes, city officials argued, also would help pay for the public housing.

Stateway's developers have agreed to use a share of what they earn from home sales for upkeep of the public units. That amount was expected to total about $2 million for the first on-site construction phase, covering 311 public and private dwellings, according to a court filing by Habitat.

But developers are getting something as well: millions of dollars worth of public subsidies to build condos and town homes.

The CHA practically gave away 7 acres at Stateway, paid to clean up the property and picked up the tab to tear down the old high-rises. The city paid millions more for new roads, water pipes and sewers.

Developers say the cheap land - $1 per year for 99 years - €”and other benefits are needed so they can compete with projects that don't include public housing. Building costs are high at the new communities because of government construction requirements for subsidized properties. The public units also are expensive to build because, from the outside, they're supposed to look the same as the private homes.

Commercial space presented another way for developers at Stateway to make money.

The development team, including Allison Davis, leased that land from the CHA for 99 years in exchange for a one-time payment of about $200,000. It then built the storefronts that were later sold to a firm controlled by Davis and Vanecko, the mayor's nephew, which used money from city employee pension funds to purchase the space for $4.2 million.

The pension funds, in turn, are paying Davis and Vanecko fees to manage their investment in the property.

What say you, Mr. Obama?  From the Boston Globe article:

As a state senator, the presumptive Democratic presidential nominee coauthored an Illinois law creating a new pool of tax credits for developers. As a US senator, he pressed for increased federal subsidies. And as a presidential candidate, he has campaigned on a promise to create an Affordable Housing Trust Fund that could give developers an estimated $500 million a year.

But a Globe review found that thousands of apartments across Chicago that had been built with local, state, and federal subsidies - including several hundred in Obama's former district - deteriorated so completely that they were no longer habitable.

Grove Parc and several other prominent failures were developed and managed by Obama's close friends and political supporters. Those people profited from the subsidies even as many of Obama's constituents suffered. Tenants lost their homes; surrounding neighborhoods were blighted.

[...]

Among those tied to Obama politically, personally, or professionally are:

Valerie Jarrett, a senior adviser to Obama's presidential campaign and a member of his finance committee. Jarrett is the chief executive of Habitat Co., which managed Grove Parc Plaza from 2001 until this winter and co-managed an even larger subsidized complex in Chicago that was seized by the federal government in 2006, after city inspectors found widespread problems.

Allison Davis, a major fund-raiser for Obama's US Senate campaign and a former lead partner at Obama's former law firm. Davis, a developer, was involved in the creation of Grove Parc and has used government subsidies to rehabilitate more than 1,500 units in Chicago, including a North Side building cited by city inspectors last year after chronic plumbing failures resulted in raw sewage spilling into several apartments.

Antoin "Tony" Rezko, perhaps the most important fund-raiser for Obama's early political campaigns and a friend who helped the Obamas buy a home in 2005. Rezko's company used subsidies to rehabilitate more than 1,000 apartments, mostly in and around Obama's district, then refused to manage the units, leaving the buildings to decay to the point where many no longer were habitable.

Campaign finance records show that six prominent developers - including Jarrett, Davis, and Rezko - collectively contributed more than $175,000 to Obama's campaigns over the last decade and raised hundreds of thousands more from other donors. Rezko alone raised at least $200,000, by Obama's own accounting.

One of those contributors, Cecil Butler, controlled Lawndale Restoration, the largest subsidized complex in Chicago, which was seized by the government in 2006 after city inspectors found more than 1,800 code violations.

Is this what Obama means when he says he helped lift neighborhoods stung by job loss?   

President Bush can still raise the bucks

Here is a little gem from a Washington Post column, President Remains A Skilled Fundraiser:

...Since the start of 2007, Bush alone is responsible for raising more money than the entire Democratic National Committee.

How divine!

President Bush has answered Bush Derangement Syndrome with class and dignity.  He has remained true to his convictions despite repeated, and often vicious, attacks on his integrity, his intelligence, and his motivations.  It is no wonder millions of Americans still regard him as a great President, even those of us who disagree with some of his positions.  His presidency has not been perfect, the war in Iraq has not been perfect.  But as my friend, who is teaching attempting to teach me to play golf, would say, perfection is unattainable.  (He obviously stole the line from Tin Cup).

If you can keep your head when all about you
Are losing theirs and blaming it on you,
If you can trust yourself when all men doubt you
But make allowance for their doubting too,
If you can wait and not be tired by waiting,
Or being lied about, don't deal in lies,
Or being hated, don't give way to hating,
And yet don't look too good, nor talk too wise...

I believe Kipling's poem describes President Bush (almost) perfectly.

The President is clearly not going to fade away just yet:

"I don't know about you, but my energy is up and my spirits are high, and I'm going to finish my job with a sprint to the finish line."

Leaving the DNC in the dust.

"A message to friend and foe alike.”

Bob Krumm:

How are you spending your 4th of July holiday? While most Americans probably slept, 1,215 Soldiers, Sailors, Airmen, and Marines raised their right hands and committed to a combined 5,500 years of additional service during the largest reenlistment ceremony in the history of the American military. Beneath a large American flag which dwarfed even the enormous chandelier that Saddam Hussein had built for the Al Faw Palace, members of all services, representing all 50 states took the oath administered by Gen. David Petraeus, Commander of Multi-National Forces Iraq.

Petraeus, reiterating earlier remarks made by Command Sergeant Major Hill, said that the unprecedented ceremony sends a “message to friend and foe alike.” He told those assembled that it is “impossible to calculate the value of what you are giving to our country . . . For no bonus, no matter the size, can adequately compensate you for the contribution each of you makes as a custodian of our nation’s defenses.”

In Saddam Hussein's wildest dreams I'm sure he never imagined such a ceremony taking place in his palace.  I hope wherever he is he has Internet access:

Jesse Helms, R.I.P.

Jesse Helms has died:

Former five-term Republican U.S. Senator Jesse Helms has died at 86.   

Helms died at 1:15 a.m., said the Jesse Helms Center at Wingate University in North Carolina.

John J. Miller at The Corner:

It's too bad that he's gone, but everybody has to go—and isn't it kind of wonderful that he died on the Fourth of July?

I think Senator Helms would agree. 

R.I.P.

***Update 11:25 AM CT***

Some comments from those who apparently think they are far superior to Helms.  My opinion...Not so much:

Matthew Yglesias:  Good riddance

Ann Althouse questions whether Helms really died on the Fourth of July (and pretty much bids good riddance as well):

Did he really die on the 4th of July? The president of the Jesse Helms Center announced that the time of death was 1:15 a.m. on Friday. It has long been considered an important distinction to die on the 4th of July, as, most notably, both Thomas Jefferson and John Adams did in 1826. And now Jesse Helms has that distinction.

But death is an end, and the 4th — though it is a famous death day — more properly represents a beginning. In the hope that the era of Jesse Helms is really dead...

And that's the mild stuff.  (Oh, and I didn't know there was a "Jesse Helms era".  If by that Althouse is referring to racism, it's definitely not dead).

I believe a man should be judged on his entire life.  Helms was outspoken, he offended many people  (sometimes intentionally).  He has been labeled a racist (even though his 1984 campaign spokesman, Claude Allen, is an African-American.  James Meredith, the first African-American student at the University of Mississippi also served on Helms' staff at one time). 

Here is how Sister Toldjah will remember Helms:

While the corks may be popping off the champagne bottles today of those who hated Helms the most, he’ll be remembered by yours truly as someone who refused to be politically correct in a world where attempts to choke off real debate about the issues continue to this day with almost reckless abandon. I’ll also remember him for unashamedly standing up for family values as he spoke out in favor of not changing the definition of marriage to whatever happened to be popular at the time, and for speaking out against irresponsible sexual behavior which led to the AIDS outbreak in the 80s and 90s. His opposition to radical liberalism and big government earned him a prominent, permanent spot in the hearts of many conservatives. If there was such a thing as a “Conservatives Hall of Fame” there’s no doubt that Helms would be one of the first inducted.

God bless and may you rest in peace, Senator

Amen.

***Update 9:28 PM CT***

Jesse Helms in a 1995 interview with The Middle East Quarterly.  Via The Corner.

And a 2005 interview with Jay Nordlinger.

Pizzas for Patriots

It started with a couple of questions, asked by 15 year old Kent Evans.  What kind of pizza do our soldiers serving in the War on Terror get?  Can we send some Lou Malnati's pizza to them?

The answer was YES!  This is amazing:

Less than a week after a retired Air Force sergeant's son cooked up the idea, volunteers on Friday formed a pizza-packing assembly line at Lou Malnati's Pizzeria's warehouse on the city's north side.

It took a monumental effort by many volunteers but the pizzas made it to Iraq.  Every obstacle was overcome and today our troops, who overcome (so many) monumental obstacles every day, will get a real taste of home.  The pizzas made it to Iraq but logistically they could not get them to Afghanistan too, this time:

(Retired Master Sgt. Mark) Evans said he hopes to turn this effort’s success into a recurring charity. He’s disappointed that despite everyone’s work pizzas won’t make it to Afghanistan, and already has plans to fix that for future holidays. But he’s also thrilled that he could bring a small slice of home to troops on July Fourth.

Encouraged by the "outpouring of support for our troops" Pizzas4Patriots was formed with the goal of providing "for all troops in 2009":

We are so deeply touched by the outpouring of support for our troops that we are forming a non for profit long term organization. This will give all of us the oppurtunity to continue to support our troops. You included. Without you, none of this would have been possible. We are still accepting donations to enable us to repeat the mission. This year we were able to provide for 8,000 troops. We will continue to work at our new goal which will be to provide for all troops in 2009. We ask for your support.

Click the donation page.  Hats off to all who made this possible, what an effort!

One person can make a difference.  Sometimes it starts with a question. 

Here is another person who's making a difference:

Operation Gratitude was founded in 2003, by one mother (That's right, just one), Carolyn Blashek.  Carolyn has no children in the military.  She doesn't come from a military family.  She's not particularly political either. Shortly after 9/11, though, Carolyn got her patriotic calling.

Operation Gratitude was started in Carolyn Blashek's living room.  To date the organization has sent over 350,000 care packages to our troops.

One mother.  Over 350,000 care packages. 

This Independence Day we can make a difference too.  Each one of us. 

Can you dig it?

Digging Obama

Hey Barack, Who Sent You?

Dumpster Muffin climbs down...

Quitter.

Some background here.

Barack Obama worked his way through college?

And Harvard Law? 

Barack Obama's new campaign ad, "Dignity", does not pass the "fact-check" test.  From Newsweek (reprinted from factcheck.org):

Obama: I'm Barack Obama, and I approve this message.

        Announcer: He worked his way through college and Harvard Law.

Apparently Barack was able to pay his way through college and law school by working two summer jobs:

...The only back-up the campaign provided for this claim was a quote from Obama's book "Dreams from My Father" having to do with a construction job he had one summer while he was in college, and an article mentioning his job as a summer associate one year at a big Chicago law firm. We asked campaign spokesman Tommy Vietor if Obama held jobs during the school year, or other summer jobs, but he said only, "He had the two jobs I told you about." Unless Obama had a good bit more employment than his spokesman was able to describe for us, it's a real stretch to claim he "worked his way" through school.

What about those student loans Michelle Obama talks about?:

It wasn’t until Barack Obama wrote a pair of best-selling books that he and his wife escaped their student loan debt, an experience Michelle Obama said Tuesday helps the couple understand everyday challenges better than policymakers in Washington.

[...]

Obama told the crowd that when she and her husband left law school, the monthly payments on their school loan debt was more than their monthly mortgage payment. She said they only got out of that debt when Barack Obama wrote his two books, “The Audacity of Hope” and “Dreams from My Father.”

Both Obamas graduated from Harvard Law School.

I hope Obama is questioned further about the claims he makes in this ad.  It should not be too hard to provide details on where one worked while in college.  There's nothing wrong with taking out loans for college and no shame in working only two summers.  Lying Deliberately misleading voters about it in a campaign ad is a different story. 

More on Obama's "Dignity" here.

Flag in a Pawn Shop

Freedom Never Cries.  Five For Fighting:

Via: Michelle Malkin:

For every blessing of liberty secured by our forefathers and defended by our men and women in uniform on the front lines, we thank you.

A priceless gift:

You've given our citizens a priceless gift, the opportunity to live in freedom and to pursue their dreams, and enjoy lives of purpose and dignity.  You've kept America what our founders meant her to be:  a light to the nations, spreading the good news of human freedom to the darkest corners of earth.

Here's a great movie to watch on the Fourth.  A little excerpt:

Israel to release child killer for bodies of two Israeli soldiers

A prisoner swap?  Israel has agreed to release child killer Samir Kuntar, convicted "by an Israeli court in a 1979 attack that ended in the deaths of three members of an Israeli family. Kuntar, then 16, shot and killed Danny Haran in front of his 4-year-old daughter, and then smashed her head with his rifle butt. Haran's wife accidentally smothered their 2-year-old daughter as she attempted to quiet the girl in their hiding space. Two Israeli policeman also were killed".

Hezbollah has agreed to release the bodies of two Israeli soldiers.  Soldiers they kidnapped in 2006...for the express purpose of trading them for Samir Kuntar.  The child killer.  The two Israeli soldiers are presumed dead.  Kuntar is very much alive.  I'm not exactly sure what one would call it but calling it a "prisoner swap" is laughable.  (my emphasis):

Israel’s cabinet on Sunday approved a rare prisoner swap with the Shiite militia Hezbollah, agreeing to free a convicted murderer and others in exchange for two Israeli soldiers who are believed to be dead. The soldiers — Ehud Goldwasser and Eldad Regev — were captured in a 2006 cross-border raid by Hezbollah...

[...]

Officials expect the latest deal to be completed within two weeks. By Sunday night, Hezbollah was boasting about the exchange, with one leader calling it "proof that the word of the resistance is the most faithful, strongest and supreme."

Sandmonkey on August 13, 2006:

Samir Kuntar, in case you didn't know, is the main guy that Hezbollah kidnapped the 2 israeli soldiers to get back.

So, they finally get him back.  Think Hezbollah won't try this again?  Caroline Glick, writing on June 27:

It is impossible to know precisely how many Israelis will be killed in the future if the deals now on the table are approved. But past experience shows that at a minimum, dozens of Israelis now innocently going about their business will be murdered by the terrorists Israel releases. And at a minimum, one or two Israelis will be abducted by Hamas or Hizbullah or one of their sister terror organizations. They will be abducted in Israel or while they are travelling abroad and they will be brought to Lebanon or Gaza and the cycle of blood extortion and psychological warfare will begin anew.

That Israel will pay a price in blood if the deals go through is a certainty. That more Israelis will meet the fates of Schalit, Regev and Goldwasser is a certainty. The only thing we do not know today is the names of the victims. They could be any one of us. Indeed, they are all of us. For all of us are equally targeted simply by virtue of the fact that we are Israelis.

The fate of another kidnapped Israeli soldier, Gilad Shalit, is still being negotiated:

Hezbollah seized the two Israeli soldiers shortly after the Palestinian group Hamas captured an Israeli soldier, Gilad Shalit, in southern Israel, and it was the one-two punch of such actions that partly pushed Mr. Olmert to order such a fierce response against Hezbollah in 2006.

[...]

Sami Abu Zuhri, a Hamas spokesman, said there had not been progress on the release of Corporal Shalit, who is known to be alive and whom Israel wants desperately to bring home. Mr. Abu Zuhri said Hamas was demanding 1,000 prisoners in return for Corporal Shalit, 450 of them serving life sentences in Israeli prisons. Israel has apparently objected to releasing some of them, and the negotiations continue.