The LuLac Edition #665, Dec. 12th, 2008

PHOTO INDEX: WALTER GRIFFITH, WILKES BARRE TAXPAYER ADVOCATE, WYOU TV'S INTERACTIVE NEWS HOST ERIC SHEINER, PRESIDENT HARRY S. TRUMAN, WILKES BARRE COUNCIL PRESIDENT KATHY KANE, OUR 1968 LOGO AND CONGRESSMAN PAUL KANJORSKI.

WAR ON BLOODSUCKERS

Congressman Paul Kanjorski is doing his part to make sure the bloodsucking credit card companies don't get the chance to gouge the public in these tough economic times. The Congressman who is the Chairman of the House Financial Services Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises, sent letters to the CEOs of Capital One, Citigroup, Bank of America, and J.P. Morgan Chase expressing serious concern about reports of recent interest rate increases, especially for individuals who pay their credit card bills on time. Chairman Kanjorski urged the companies to allow customers to access credit at reasonable rates, especially considering that the banks received taxpayer assistance to keep credit available through the Troubled Asset Relief Program. Additionally, Chairman Kanjorski strongly supported and voted for H.R.5244, the Credit Cardholders' Bill of Rights, which passed in the House on September 23 and is waiting on Senate action. The bill provides crucial protections against unfair, but unfortunately common, credit card industry practices. Among other things, it ends unfair, arbitrary interest rate increases, by requiring ample notice before rate hikes and permitting lenders to raise rates on existing balances only if minimum payments are more than 30 days late (except for increases caused by changes in stated variable and introductory offers). The text of Congressman Kanjorski's letter to Capital One, Citigroup, Bank of America, and J.P. Morgan Chase follows: The purpose of this letter is to express my serious concerns about recent reports of increases in interest rates on credit cards,especially for those individuals who have played by the rules and paid their credit card bills on time. I appreciate your attention to this matter. In recent days, I have received many calls and emails from my constituents expressing their concerns about increases in their credit card interest rates. Specifically, these individuals have indicated that they have received letters from their credit card issuers notifying them of changes in the terms of their credit card agreement. In some cases, these letters indicate that interest rates on credit card balances will increase by more than 6 percent, even though the card holders have paidt heir bills on time. For many, these increases could not come at a worse moment. Earlier this month, noted economists announced what many already knew -- that our country is in a recession and has been for the last year. At a time when many Americans are facing increased financial difficulties as a result of this recession, credit cards can provide them with a safety net in the event of an emergency, such as a medical incident, a car accident,or home repairs. Moreover, many of my constituents have specifically raised serious concerns that financial institutions receiving billions of dollars in taxpayer money through the Troubled Asset Relief Program (TARP) are now raising interest rates on average Americans, the very same Americans who pay federal taxes to support the activities of the TARP. I share their well-founded concerns. In my view, individuals who have maintained good credit and who have worked to make their payments on time should not have to face increases in their interest rate in order to increase the income of a financial institution receiving direct support from the federal government.

Here's my advice on how to deal with these shylocks: do whatever it takes to pay off your credit card debt. It will be hard and it will be a sacrifice. But the relief of knowing that you are debt free of these bastards will be something to behold. The Congressman's efforts are admirable but you can't trust these banks to do the right thing, you have to force them. And his missive to them is a start.

BANK BAILOUT BUST

The bank bailout is turning out to be a bust. The greedy financial inatitutions which should be lending money to small busineses are not. They are either acquiring new assets or keeping the money in a vault.Even with his faults, you have to credit that Illinois Governor for putting the feet of Bank of America to the fire in the recent factory controversey. There has to be a board of oversight that makes sure credit is given to responmsible parties. If it is not, we should take the money back. Period.

AUTO BAILOUT

For a while there I was against the Auto Bailout. But the more I think about it, maybe we should think of this as a government sponsoed job program. Here's what I would do:

1. Give bailouts to companies willing to streamline their inventory and just make three models that are fuel efficient and attractive. Afterall, we started out with just a Black Model T with Ford and did fine.

2. Give a voucher of $20,000 to each American to buy a new car. 3. Have a board of oversight to make sure wages, profits and bottomlines are all adhered to.

4. Contract the weakest of the three if necessary.

A HOT TIME!!

Wilkes Barre City Council had a very interesting meeting this past Thursday night with the approval of a budget no one was happy with. Mayor Tom Leighton said he wasn’t happy with it as a taxpayer and not proud of as the mayor. The budget calls for a 23-mill property tax increase and hikes other fees. Council Chairwoman Kathy Kane, Vice Chairman Tony Thomas Jr., Bill Barrett and Rick Cronauer voted for the budget. Councilman Mike Merritt voted against the budget and against increasing the earned income tax to 3 percent. The tax hike represents a 31-percent increase and translates to an average annual increase of $70 for a taxpayer. A mill is a $1 tax for every $1,000 of assessed property value. Freshman Council Mike Merritt was criticized for pulling a political stunt by voting against the budget. This must have been a shock to the rubber stamp council that is used to voting like bobbing head dolls for every measure the administration wants. Merritt was criticized for being an independent voice and representing his constituents. The City Council members should take a slow walk through City Hall after traveling to their meeting on a per diem and look at those 11 by 14 photos on the wall of past Mayors. In the 60s, Wilkes Barre Council meetings were a hotbed of activity and debate. Con Salwoski, John V. Morris and Frank Slattery got their share of heat from Council members and taxpayers. Activists like Joe Noterman and Ambrose Meetsky got to say their piece and it was more than 5 minutes. And unlike Walter Griffith, Sam Troy and Bob Kadluboski weren't ridiculed for their comments. Kadluboski by the way was thrown out of the Council meeting by Chair Person Kathy Kane for making a comment she didn't like. Kadluboski came back to the meeting and only got a "time out" from the former school teacher turned politico. Kane's reaction to Kadluboski has been getting more reaction on the street than the Bobster's behavior. Unlesss it was a derogatory remark toward her personally, the man has a right to express his opinion. Wilkes Barre Council people get paid a salary and benefits. They work for the people but more importantly in their oath uphold the concepts of the Constitution which includes freedom of speech. This attitude toward the people by the Council as a body has to change. Given the attitude fellow Democrat Mike Merritt got for daring to vote no, there is little hope Council will change their ways. The only way to do that is through the ballot box and so far Wilkes Barre voters have been like sheep voting for Democrat after Democrat. It won't change unless it happens at the ballot box.

Last night Taxpayer Advocate Walter Griffith appeared on the WYOU TV Interactive program with Eric Sheiner. (Representatives from Council were invited to attend but declined. MUst be because Sheiner didn't offer mileage money!) Griffith outlined ways to save money and said he presented it to Council and the Mayor. An intriguing part of Griffith's presentation was the elimination of city jobs but yet an increase in salaries to the remaining workers. That isn't budget busting, that, according to Griffith is just moving money around. Griffith made a calm, solid case and Eric Sheiner was way more polite to him that I bet some city leaders were. Griffith also talked about the sad state of some of the neighborhoods which is echoed daily by city residents. The current administration has to realize that people like Griffith offer solutions to problems. Let them in, use one of their ideas. Walter Griffith, Sam Troy, Bob Kadluboski, Charlotte Raup and Pete Gagliardi, people of that ilk, don't strike me as power hungry people who want to take over Wilkes Barre City government. They just want respect and an opportunity to give their input. An inclusive approach would not only help the city but be smart politically in the long run. Citizens don't come out on a crappy, rainy night o a Council meeting just for the fun of it, they come, in all temprements and mannerisms to help. To not listen to give them input is not representing all of the people, just some of them. And as for Kathy Kane and her outburst against Kadluboski Thursday, she should note, as well as all other Council members the immortal words of our 33rd President, Harry Truman, "If you can't stand the heat, get out of the kitchen".

1968

Vice President Hubert Humphrey certifies the 1968 election. Richard Nixon is elected President by the Electoral College with 302 votes, Humphrey had 191 and George Wallace had 45……David Eisenhower marries Julie Nixon, the daughter of U.S. President-elect Richard Nixon………in Pennsylvania the salary of a State Senator was $7200.00 with expenses $4000.00....…Former St. Louis Cardinal and resident of Pittston Charlie Trippi was inducted into the Pro Football Hall of Fame in Canton, Ohio....and in Luzerne County Judge Bernard Brominski announces changes in the lower judiciary establishing district justices to replace the more than 132 Justices of the Peace in the County….and 40 years ago this week the number 1 song in Lulacland and America was a combined effort by the Motown greats the Supremes and Temptations with “I’m Gonna Make You Love Me”.