Arnold Fields, watchdog over Afghan reconstruction, resigns amid congressional pressure.

The head of the office
charged with investigating
corruption in the multibillion-
dollar effort to rebuild
Afghanistan has resigned, the
White House said Monday,
following congressional
demands that the White House
replace him.
Arnold Fields, a retired
Marine Corps major general,
was named special inspector
general for Afghanistan
reconstruction in 2008, when
the office was first established
along the lines of a similar
effort that has uncovered
billions of dollars of waste and
fraud in Iraq.
In a statement, the White
House praised Fields's "hard
work and steadfast
determination," adding, "the
President and the American
people owe him a debt of
gratitude for his courage,
leadership, and selfless
service."
The White House made no
mention of who would replace
Fields. In his own statement,
Fields said he would work for
the next month "to ensure a
smooth transition of duties."
A bipartisan group of
senators, led by Sen. Claire
McCaskill (D-Mo.), asked
President Obama in
September to "begin the
process of removing" Fields
based on concerns they had
raised repeatedly since early
2009.
The Office of the Special
Inspector General for
Afghanistan Reconstruction,
or SIGAR, is charged with
oversight of the $56 billion
that the United States has
committed since 2002 to
nonmilitary development and
humanitarian assistance
programs in Afghanistan.
But an August review of the
office by the Council of
Inspectors General on
Integrity and Efficiency found
that its audits were of poor
quality and that it lacked a
strategic plan.
"I don't mean to be cruel,"
McCaskill told Fields in a
recent hearing. "I don't think
you're the right person for this
job."
The hearing, of the
contracting oversight
subcommittee, focused on
SIGAR's completion of only
four contract audits. The
agency had identified only $8
million in misspent money with
its $46 million in office
expenditures.
Fields was also criticized for
awarding a $96,000 no-bid,
two-month contract last year
to Joseph Schmitz, who
resigned as the Defense
Department inspector general
in 2005, to "monitor" SIGAR's
performance.
Last week, Fields fired his two
deputies in charge of
investigations and audits,
saying the organization
needed "new blood."
The September letter was the
third missive to Obama on the
issue signed by McCaskill, who
chairs the subcommittee, and
Republican Sens. Tom Coburn
(Okla.), Susan M. Collins
(Maine) and Charles E.
Grassley (Iowa). It called
SIGAR a "failing organization."
"It has been clear for several
months that SIGAR's mission is
not being served effectively,"
the lawmakers wrote. "We
urge you to act now" in
replacing Fields "with an
individual who will oversee the
significant organizational
change needed within SIGAR
to provide adequate oversight
of the billions of dollars of
spending on reconstruction in
Afghanistan."


Source: http://www.washingtonpost.com/wp-dyn/content/article/2011/01/10/AR2011011005512.html?hpid=topnews

READ MORE ................... Arnold Fields, watchdog over Afghan reconstruction, resigns amid congressional pressure.

State budget plan: Five years of higher taxes, $12.

SACRAMENTO -- Saying it's "better to take our
medicine now" to get California on better footing,
Gov. Jerry Brown proposed a budget today that
would cut deeply into services but also ask voters
to continue paying the current level of sales,
income and auto taxes for the next five years.
Brown, who took office a week ago, called for
$12.5 billion in cuts and $12 billion in revenues for
the next 18 months to lead the state out of a
$25.4 billion budget deficit. Because temporary
taxes, approved in 2009, are due to expire in July,
voters would have to approve the taxes in June.
It's a gamble that could leave schools and other
state services at risk if it fails.
Central to the budget proposal is a historic reform
that would shift significant responsibilities from
the state to local governments, in which all
revenues generated from the new taxes would
go directly to local governments.
"I'm hopeful (voters will) want to do this," Brown
said at a news conference unveiling his budget
proposal. "From what I've seen, there's a
reasonable prospect. This is the best I can figure
out. If it's not enough, then let's hear about it. But
I'd say we've made some drastic cuts. To do
more is going to impair the quality of our public
services."
Brown immediately won praise from Democratic
leaders, but Republicans condemned the tax
extension, promising to fight to keep them from
reaching the ballot.
"There's not any support for tax extensions"
among
Republicans, said Assembly member Jim Nielsen,
R-Redding, a member of the Assembly budget
committee. "I believe there's $25 billion that
people don't need to be taxed for. It's the worst
signal to the economy to send a signal that taxes
will be maintained."
Senate Leader Darrell Steinberg, D-Sacramento,
called the budget a "comprehensive framework"
that he has committed to enacting despite the
tough cuts Democrats will have to agree to.
"Overall, the governor's instinct is correct, to do
everything he can to put the fiscal crisis behind us
as soon as possible," Steinberg said. "He has
been fair in asking for sacrifices across the board.
I hate these cuts, but that's a different question of
whether it's the responsible thing to do and in the
best interests of the state."
Steinberg asked Republicans to approach the
budget with shared sacrifice in mind.
"Now is the time for both parties to get out of
their corners and come to the middle and work
together to get this mess behind us," he said.
"The $12 billion in cuts is an unprecedented level
of cuts. If existing taxes are not approved, then
double that, and no one will stand for that. Let's
get real to that. Times and our duty demand we
no longer allow this fiscal crisis to linger."
Brown said he's hopeful of getting a two-thirds
vote, which would require at least four
Republicans, but he and Steinberg both
suggested that if forced to, they would seek to
get it on the ballot with just Democratic support.
Brown spared only K-12 education.
"Schools have borne the brunt of spending
reductions in recent years, so this budget
maintains funding at the same level as the current
year," Brown said.
In total, Brown is asking for nearly $28 billion in
savings over the next 18 months -- to cover an
additional shortfall in case a proposed sale of state
buildings is blocked, and to keep a $1 billion in
reserve.
The revenue generated from the taxes will go
directly to local governments to finance the first
phase of Brown's plan to shift significant
responsibilities from state to local governments.
One such transfer of authority, in community
based corrections, could save tens of millions, he
said. More than 50,000 inmates are sent to prison
and stay less than 90 days.
"I feel they should be handled locally," he said.
"And we'll send the money down to them."
Mental health, foster care and substance abuse
programs are all programs better handled at the
local level, he said.
To get the tax measures on the ballot, the
Legislature must complete its work by March,
Brown said.
The poor once again take a big brunt of the
spending cuts. MediCal will take a $1.7 billion hit;
the welfare-to-work program, CalWORKS takes
another $1.5 billion hit. The Department of
Development Services, $750 million.
"These are not affluent people -- it's very difficult,
but that's where we are," Brown said.
The University of California, $500 million,
California State University, $500 million are other
areas with significant cutbacks.
A 10 percent reduction in take-home pay for state
employees not covered under collective
bargaining agreements saves $308 million. And
another $200 million is saved through
government-trimming operations such as
reorganizations and consolidations.
Brown also proposes to eliminate enterprise
zones and phase out redevelopment agencies,
which he said will return billions in property tax
revenues to schools, cities and counties.
Brown called his proposal "a tough budget for
tough times" that eliminates the structural deficit
and sets the state on course to stable budget
practices.
"This will be painful," he said. "It's gonna take
sacrifice from every sector in California."
To get it on the ballot alone will take a stepped up
sales pitch, Brown said.
"We'll discuss this with representatives of the
business community, we'll talk to Republicans,
different people," he said.
"I'll try to win over as much support as I can. I
will sometimes go into the lion's den and see if I
can't satisfy them with less red meat than they're
accustomed."



Source: http://www.mercurynews.com/top-stories/ci_17056188

READ MORE ................... State budget plan: Five years of higher taxes, $12.

Brown proposes big cuts to higher education.

California's colleges and universities face a
combined $1.4 billion in cuts in the next budget
year under a proposal laid out Monday by Gov.
Jerry Brown.
The University of California and California State
University systems would receive $500 million
less apiece from the state in 2011-12, obliterating
gains made in this year's budget. And the state
would cut $400 million from California's 112
community colleges, although a proposed fee
hike would make up for $110 million of that.
Statewide education leaders reacted to the news
with anger and disappointment. Cal State
Chancellor Charles Reed said the 23-campus
system would likely limit enrollment next year,
and UC President Mark Yudof noted that 2011
could be the first year tuition comprises a larger
portion of the university's budget than state
funds.
"This is a sad day for California," Yudof said in a
written statement. "The crossing of this threshold
transcends mere symbolism and should be
profoundly disturbing to all Californians."
Reed criticized the budget proposal, saying,
"Higher education is the state's main economic
driver, and we cannot improve our economy
without an educated workforce."
Brown also proposed a 38-percent fee hike --
from $26 per unit to $36 -- at the community
colleges, although he acknowledged that financial
aid would cover the added cost for nearly half the
2.8 million or so students. Compared to today's
average price of $780, the average student would
pay about
$1,080 per year, still the nation's lowest fees by
far.
He also suggested the colleges could cut costs by
counting students later than the third week of
class, when the so-called "census" is now
conducted in order to determine state funding.
Close to one-fifth of community-college students
drop out after the third week, so a later census
date would lead to lower per-student funds.
Past cutbacks have left community college
students scrambling to find classes, and that will
only get worse next year, said Jack Scott, the
community college system's chancellor. As
many as 350,000 students could be turned away
in 2011-12 if Brown's proposal passes, he said.
"There are a lot of students who would be OK
with paying $10 more per unit if it meant they
were going to get a class," he said. "But I think a
lot of students are going to be disappointed."
The new governor lamented the cuts, but said
higher education was one of the few flexible parts
of the state budget.
"I don't like that we're cutting back there," Brown
said at a news conference.
In his written statement, Yudof said UC leaders
would try to avoid raising tuition -- which already
was increased 8 percent for the 2011-12 school
year -- and would do what they could to protect
academics and research. UC chancellors will
report back to him within six weeks on possible
areas to cut funding at the 10 campuses, Yudof
said.
The proposed cutbacks most likely will look
much like those of two years ago, when UC
imposed unpaid furloughs and shortened library
hours, said Steve Boilard, higher-education chief
for the state's nonpartisan Legislative Analyst's
Office.
But measures such as furloughs may not save
the university enough money, especially without
higher tuition, said Patrick Lenz, the UC system's
budget chief. Campuses could be forced to cut
academic programs and lay off workers, he said.
"We've got a structural deficit of over a billion
dollars," Lenz said. "We'd have to do something
to provide an ongoing solution, and furloughs
don't do that."
Students likely will notice the cutbacks, no matter
how they pan out, Boilard said.
"You can't absorb a $500 million cut without
changing what UC fundamentally is," he said.
"We're talking about making some real changes."


Source: http://www.mercurynews.com/breaking-news/ci_17057898?nclick_check=1

READ MORE ................... Brown proposes big cuts to higher education.