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Privatization

Honduras Repeals Colonialist ZEDEs

President Xiomara Castro fulfilled a major campaign promise last week when she signed the decree to repeal the ZEDEs law. We spoke to Honduran Vice Minister for Agrarian Reform, Rafael Alegría, on this important victory for the campesinos and social movements of Honduras. Rafael is a historic leader of the international peasants movement, La Vía Campesina. Having been at the forefront of years of struggles in Latin America, he’s now a strong anti-imperialist voice with the Partido Libre administration. Kawsachun News’ Camila Escalante sat down with Rafael in Managua, where he and other movement leaders participated in commemorative events marking the 30th anniversary of the founding of La Vía Campesina.

Oakland Teachers And Dockworkers Fight For Their Community

Oakland, California - On April 29, thousands of teachers, students and parents from Schools and Labor Against Privatization (SLAP) rallied at Oscar Grant Plaza next to City Hall in Oakland, California, then marched to the Port of Oakland where they held a picket line that shut the port down. The innovative joint labor action was an historic day in the campaign led by SLAP, union teachers of the Oakland Education Association (OEA) and International Longshore and Warehouse Union (ILWU) Local 10, against racist gentrification in Oakland. Local 10 honored the picket line with a stop-work action in solidarity with the teachers and community to fight the privatization and destruction of the port and Oakland’s public school system engineered by billionaire John Fisher.

School Privatization Movement’s Scheme To Undermine Public Education

Last August, when the school year began at Tyner Academy in Chattanooga, Tennessee, nearly 100 students walked out to protest the conditions at their public school building. These students were demonstrating because the freshman building had closed due to structural problems, while other parts of the school faced issues of mold, rust and leaky ceilings. Marching across the campus, students held signs reading “Fix our school,” “Water is dripping on our food” and “Stop diverting our funds.” While local officials approved funding to construct a new school building for Tyner by 2024 after meeting with student protest leaders, the problem is widespread—more than half of public school buildings in the county have been rated either fair, poor or unsatisfactory as opposed to “good” or “excellent.”

Lessons On Fighting Privatization From The Recent Postal Service Victory

Congress recently passed the Postal Service Reform Act - the result of 15 years of organizing to end the mandate to prefund 75 years worth of retirement benefits and other changes that were hurting the people's post office. The new act opens the door to building on the current postal infrastructure to provide more services to people, especially in poor and rural communities. Clearing the FOG speaks with Chuck Zlatkin, the legislative and political director of the largest local postal worker union, about what the new law will do and how it was won. Zlatkin also discusses the fight over making the new postal fleet electric and Biden's new nominees to the Board of Governors. Zlatkin warns us not to underestimate the Postmaster General Louis DeJoy, who is playing a long game to privatize the postal service.

Medicare For All Is Not Enough

We have long advocated for single-payer national health insurance. By eliminating private insurers and simplifying how providers are paid, single-payer would free up hundreds of billions of dollars now squandered annually on insurance-related bureaucracy. The savings would make it feasible to cover the uninsured and to eliminate the cost barriers that keep even insured patients from getting the care they need. And it would free patients and doctors from the narrow provider networks and other bureaucratic constraints imposed by insurance middlemen. We still urgently need this reform. However, the accelerating corporate transformation of US health care delivery complicates this vision. In the past, most doctors were self-employed, free-standing hospitals were the norm, and for-profit ownership of facilities was the exception. 

Colorado Community Stops Profit-Driven School Closure

Aurora, CO - On March 22, residents of the Sable Altura Chambers community in Aurora, Colo., won a four-month-long struggle to keep Sable Elementary School from being shut down by the Aurora Public Schools Board of Education. This grassroots struggle, its members made up primarily of parents and teachers, has called into question the true motives behind the BOE’s “Blueprint APS initiative” and the decision to close Sable Elementary. Blueprint APS is a plan created by Aurora Public Schools Superintendent Rico Munn that aims to consolidate and repurpose multiple public schools in Aurora due to what Munn refers to as “changing enrollment trends.” Blueprint APS divides Aurora into seven geographical regions.

Physicians Slam Industry Push To ‘Fix’—Not End—Medicare Privatization

Physicians and progressive advocates on Tuesday urged the Department of Health and Human Services to reject an industry appeal to tweak and rebrand—not end altogether—a Medicare privatization scheme known as Direct Contracting, which the Trump administration launched in 2020. Members of Physicians for a National Health Program (PNHP), which represents 24,000 doctors and other health professionals, has been working for months to bring lawmakers' attention to the DC program and pressure the Biden administration to terminate it while it's still in an experimental phase. As a result of PNHP's efforts, dozens of Democrats—including Rep. Pramila Jayapal (D-Wash.) and Sen. Elizabeth Warren (D-Mass.)—have spoken out against the DC pilot, opposition that appears to have caught the notice of healthcare industry groups that stand to benefit from the program.

Chicago Parking Meters: Harbingers Of Neoliberal Privatization

Chicago, IL - Parking on most streets in Chicago will cost you at least $2 an hour. In some busier areas that jumps up to $4.50, and the downtown Loop area can run as high as $7. You’d be hard pressed to find pricier street parking in the United States. A 2019 study by the parking services company Parkopedia found only Miami Beach and New York City are more expensive.  But this wasn’t always in the case. Before 2008, parking in the Windy City was a relatively reasonable 50 cents per hour, no matter where in town you were. But 14 years ago the City Council, at the urging of then-Mayor Richard M. Daley, sold the entirety of the city’s street parking system to a private company for a cool $1.15 billion.

Rethinking Land And Relation In Berlin’s Struggle For Housing Justice

Across Europe, affordable housing is being pushed farther and farther out of reach. Homes are increasingly owned not by the people who live in them, but by companies who rent them out for profit. Housing is no longer treated as a public good, but as a commodity and vehicle for wealth and investment. In Berlin, which currently boasts some of the fastest-rising housing prices in the world, the situation is particularly extreme. Following the collapse of the Berlin Wall in 1992, private investors flocked to the city to capitalize on the state-supported financialization of the housing market. As of today, more than a quarter of Berlin’s roughly two million apartments are owned by private companies. According to researcher Christoph Trautvetter, more than half of the city is owned by fewer than one thousand multimillionaires.

The Limits Of Privatized Climate Policy

For many in the climate movement, Donald Trump’s defeat in 2020 was a moment of euphoric optimism. With Joe Biden in charge, we could look forward to a possible return to climate action and diplomacy. No longer would policy be shaped by denialists, politicians proudly in Exxon’s back pocket, and a media fixated on the “costs” of public investment. A year on, it’s become easier to see the limits of the Biden administration’s approach, and how little has really changed. There have been moments of genuine ambition from the Oval Office. The clean electricity pledges of the fall 2021 budget package and the climate-related investment promised in early versions of the Infrastructure Investment and Jobs Act were among the most significant climate commitments we’ve seen from the U.S. government (hence the staunch resistance to their passage from Exxon’s man on Capitol Hill, Joe Manchin).

On Contact: Corporate Assault On US Postal Service

The corporate seizure of public utilities and privatization of schools is part of a broad assault to turn government assets into assets that will swell corporate profit. The post office has been a coveted target for decades. Corporations such as FedEx and UPS have used their lobbyists and campaign contributions to cripple the government postal service in an effort to destroy it and take it over. These corporations engineered a congressional mandate in 2006 that requires the post office to pre-fund the next 75 years of retiree health benefits in one decade. No other federal government agency is required to carry out a similar pre-payment plan, nor is there any actuarial justification for this measure.

Elizabeth Fowler Defending Trump Program To Privatize Medicare

Put aside Democrat versus Republican. Let’s just look at corporations versus people. Elizabeth (Liz) Fowler has a stellar corporate resume. For seven years, she worked at Johnson & Johnson, as vice president for global health policy. Before joining Johnson & Johnson, she was chief health counsel to Senate Finance Committee chair Max Baucus, who banned single payer advocates from the deliberations that led to the insurance company dominated Affordable Care Act. In her off time, Fowler is a runner. She runs marathons and triathlons around the world. During work hours, she carries the torch for the health insurance industry and big pharmaceutical companies. And it doesn’t matter whether she is in the public or private sector. 

100 Ohio School Districts File A Lawsuit Against EdChoice Vouchers

On Tuesday, 100 Ohio public school districts and the Ohio Coalition for Equity and Adequacy of School Funding filed a lawsuit challenging the legality of Ohio’s EdChoice Scholarship Program under the provisions of the Ohio Constitution. EdChoice is Ohio’s rapidly growing, publicly funded school voucher program. The *Cleveland Plain Dealer*‘s [Laura Hancock reported](https://www.cleveland.com/news/2022/01/100-school-districts-sue-ohio-over-private-school-vouchers-saying-they-unconstitutionally-take-money-from-public-ed.html): “A coalition of 100 school districts sued Ohio over private school vouchers Tuesday, saying that the hundreds of millions of public dollars funneled away from public schools have created an educational system that’s unconstitutional.” The lead plaintiffs are Columbus City Schools, Cleveland Heights-University Heights City Schools, Richmond Heights Local School District, Lima City Schools, Barberton City Schools, Cleveland Heights parents on behalf of their minor sons—Malcolm McPherson and Fergus Donnelly, and the Ohio Coalition for Equity and Adequacy of School Funding. The Cleveland law firm of Walter Haverfield is representing the plaintiffs. In their lawsuit, [plaintiffs declare:](https://vouchershurtohio.com/wp-content/uploads/2022/01/Final-Version-of-Complaint-03990616x9EF3B.pdf) “The EdChoice Scholarship Program poses an existential threat to Ohio’s public school system. Not only does this voucher program unconstitutionally usurp Ohio’s public tax dollars to subsidize private school tuitions, it does so by depleting Ohio’s foundation funding—the pool of money out of which the state funds Ohio’s public schools… The discrepancy in per pupil foundation funding is so great that some districts’ private school pupils receive, as a group, more in funding via EdChoice Vouchers than Ohio allocates in foundation funding for the entire public school districts where those students reside. This voucher program effectively cripples the public school districts’ resources, creates an ‘uncommon’, or private system of schools unconstitutionally funded by taxpayers, siphons hundreds of millions of dollars of taxpayer funds into private (and mostly religious) institutions, and discriminates against minority students by increasing segregation in Ohio’s public schools. Because private schools receiving EdChoice funding are not subject to Ohio’s Sunshine Laws or most other regulations applicable to public schools, these private facilities operate with impunity, exempt from public scrutiny despite the public funding that sustains them.” The Ohio Legislature incorporated a new “Cupp-Patterson” Fair School Funding Plan into the current biennial budget last June, but plaintiffs charge that the simultaneous expansion of EdChoice vouchers in that same budget has blocked the phase-in and full funding of that school funding plan: “The Ohio Department of Education funds EdChoice Program Vouchers from the budget appropriation designated for public schools. Because public funds are finite, funding EdChoice Program Vouchers out of the foundation funding designated for public school districts inevitably depletes the resources designated by the legislature for educating Ohio’s public school students. H.B. 110 (the state budget bill) initially incorporated the salient features of the Cupp-Patterson Fair School Funding Plan, a bipartisan effort to fund Ohio’s public schools adequately and equitably as required by the Ohio Supreme Court in *DeRolph v. State*…. However, due to the ballooning effects of the EdChoice program, the enacted version of H.B. 110 funded only up to one-third of the increases required by the proposed Fair School Funding Plan over the next two fiscal years.”  “(T)he Fair School Funding Plan was not fully funded due to the ballooning costs of the EdChoice Program. Only 16.67% of the Fair School Funding Plan is being funded through Fiscal Year 2022 and 33% of the Fair School Funding Plan will be funded through Fiscal Year 2023, as specifically delineated in H.B. 110.  This means the General Assembly will meet only a fraction of its constitutional obligation, *by the standards it has adopted,* to provide a thorough and efficient system of common schools for Fiscal Year 2022.” The new lawsuit charges that the Fair School Funding Plan had been formulated to address inadequate state funding of public schools over recent years: “Over the last decade, the formulas implemented by the General Assembly for funding Ohio’s public schools reflected the amount the General Assembly was willing to spend on public education, rather than the realistic cost of providing a thorough and efficient education to all of Ohio’s students. Due to budget freezes or minimal increases over the last decade, state funding to Ohio’s public school districts has not even kept pace with inflation since Fiscal Year 2011. Additionally, because the funding formula was frozen in Fiscal Year 2020-21 at the 2019 level, but vouchers and “community schools” (which is what Ohio calls charter schools) were funded by way of deductions from total school funding,  affected public school districts lost approximately $193 million in state funding during these formula freezes. In contrast, the per pupil EdChoice Program Voucher payments rose by 15% for a grade 1-8 voucher and by 25% for a grade 9-12 voucher for Fiscal Year 2022 alone.” The lawsuit delineates the losses in public school funding for one of the plaintiff districts: “The Cleveland Heights-University Heights City School District, for example, is expected to receive from the state of Ohio a total of approximately $5.6 million in foundation funding for Fiscal Year 2022 to educate the 5,000 students who attend its schools. The state of Ohio, however, will pay out over $11 million for private school tuition to the approximately 1,800 EdChoice Voucher recipients residing within the Cleveland Heights-University Heights City School District in Fiscal Year 2022. In other words, approximately twice as much public funding will be paid in Fiscal Year 2022 for private school tuition for CH-UH residents as the foundation funding allotted to the entire student body of the Cleveland Heights-University Heights District.” The Complaint names five counts: 1. “Creation of one or more systems of uncommon schools in violation of the Ohio Constitution, Article VI, Section 2.” 2. “Failure to secure a thorough and efficient system of common schools in violation of the Ohio Constitution, Article VI, Section 2.” 3. “Segregation in violation of the thorough and efficient system of common schools as provided in Article VI, Section 2 of the Ohio Constitution.” 4. “Diversion of funding in violation of the “No Religious or Other Sect Shall Ever Have Any Exclusive Right To or Control Of, Any Part of the School Funds of the State” clause of Article VI.” 5. “Declaratory Judgement—Violation of Ohio Constitution, Article I, Section 2 (asserted by Malcolm McPherson and Fergus Donnelly only).” This section continues: “No compelling or legitimate state interest can account for this discriminatory treatment of Plaintiff Students in comparison with their private school counterparts. No valid government explanation can justify spending two to ten times more per pupil to subsidize private school tuition than the per-pupil amounts paid by the state to educate Ohio’s public school students… Based on the foregoing, Plaintiff Students are also entitled to permanent injunctive relief barring further EdChoice Program payments to subsidize private school tuition made from the state’s foundation school fund.” At the [press conference where the lawsuit was announced](http://ohiocoalition.org/vouchers-hurt-ohio-and-ohio-ea-coalitionfile-lawsuit-against-private-school-voucher-program/), a member of the Richmond Heights Local School Board of Education, Nneka Jackson addressed the third count, that EdChoice Vouchers have illegally exacerbated racial segregation in Ohio’s public schools: “If someone tells you this is about helping poor minority children, hook them up to a lie detector test ASAP and stand back because the sparks are going to fly… About 40 percent of Richmond Heights residents are white. Before the EdChoice private school voucher program, about 26 percent of the students in the Richmond Heights School District were white and 74 percent were students of color. Today, after EDChoice, Richmond Heights is three percent white and 97 percent students of color. Private schools are allowed to discriminate, plain and simple, based on disability, disciplinary records, academic standing, religion and financial status. These are often proxies for race and other protected characteristics. Ohio is essentially engaged in state-sponsored discrimination in admissions and retention. You know who can’t do this? Public schools. Common schools.”

Pressure Grows On Biden To Shut Down Medicare Privatization Scheme

Calls are mounting for President Joe Biden to terminate an under-the-radar Trump-era pilot program that—if allowed to run its course—could result in the complete privatization of traditional Medicare by the end of the decade. A petition recently launched by Physicians for a National Program (PNHP) has garnered more than 10,000 signatures as doctors and other advocates work to raise public awareness of the Medicare Direct Contracting program, which the Trump administration rolled out during its final months in power.

A For-Profit Company Is Trying To Privatize Public Libraries

"Even if we don’t see a written-out master plan, the banning of books, the attacks on teaching real US history, the efforts to push out professors with views that transgress official US policy: In their myriad forms, these actions tell us that it’s important to powerful people to restrict what ideas people can access. It’s the land of the free and the home of the brave—except if you want to know what’s happened, and happens, here, or to tell people about it. It all shows us the power of ideas. As infuriating and sad and enervating as it all is, it reminds us that knowledge is power."
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