Tag: deregulation

Wisconsin Republicans and corporate Democrats attack a successful business

A large number of Republicans and twelve corporate Democrats in the Wisconsin State Legislature have decided to target a successful Wisconsin business: Union Cab of Madison Cooperative.

The Wisconsin State Legislature is on track to pass legislation, Wisconsin Senate Bill 106 (SB106), or, as I like to call it, the Julie Lassa-Cory Mason Bill to Revoke Local Control on Taxicab and Ridesharing Services, that would allow ridesharing companies, such as Uber and Lyft, to operate statewide in Wisconsin with very few regulations. Ridesharing companies allow people who drive automobiles to offer rides to those who pay the ridesharing fee for a particular trip, usually via a mobile phone application that both the driver and the passengers are required to have.

These ridesharing companies engage in predatory practices that screw over customers, workers, and taxpayers. While I could write a 100,000-character blog post about the negative aspects of ridesharing companies, I’ll mention three of them in this blog post. First off, ridesharing companies screw over customers by raising their rates by using dynamic pricing, which is also called surge pricing. Surge pricing allows the ridesharing companies to raise their rates when their computer algorithms tell them that traffic is heavy, demand for rides is high, or something else that their algorithms factor in, such as, in at least one documented instance, a terrorist attack, allow them to raise their rates. Secondly, ridesharing companies screw over workers by taking a sizable chunk of the money that the drivers collect from offering rides. In some instances, ridesharing drivers are effectively paid a negative salary (i.e., effectively charged money to work) because the portion of the ridesharing fee that the driver keeps is less than the vehicle-related costs of the trip. Furthermore, ridesharing companies are a burden to taxpayers for two main reasons. First, taxpayers will end up on the hook for accidents involving ridesharing drivers who don’t have commercial automobile insurance. Second, there will be tons of lawsuits over liability claims over crashes involving ridesharing drivers, resulting in court cases that clog up the justice system and result in more taxpayer money being spent on trials.

However, the main reason why I oppose the Lassa-Mason Bill is because it’s clearly designed to take away local control from Wisconsin’s second-largest city, Madison, in regards to taxicab regulation. Furthermore, I highly suspect that this is part of a coordinated attack to put a successful business, Union Cab of Madison Cooperative, out of business for purely political reasons, something which I strongly oppose. Also, I strongly believe that any Democratic elected official who supports legislation that allows companies like Uber and Lyft to operate with very few regulations is effectively a traitor to the progressives who vote them into office, and I would have no problem supporting progressive-minded primary challengers to corporate Democrats who support the Lassa-Mason Bill and/or other parts of the political agenda of Uber and other ridesharing companies.

Tell Congressman Ron Kind to denounce attacks on progressives by his fellow corporate Democrats

Several members of the New Democratic Coalition, a group of pro-greed and anti-middle class Democrats led by U.S. Representative Ron Kind of Wisconsin, are attacking progressive members of Congress for opposing efforts by Republicans and corporate Democrats to repeal financial regulations, enacted by the Dodd-Frank bill, that are designed to protect American consumers from predatory banking institutions.

According to a report by POLITICO, at least three members of the New Democratic Coalition, U.S. Representatives Gerry Connolly of Virginia, John Carney of Delaware, and Jim Himes of Connecticut, openly attacked progressives for standing up against Wall Street greed:

Tension reached a boiling point during a closed-door caucus meeting Wednesday over the party’s stance toward Wall Street banks, according to multiple sources at the meeting.

Liberal Massachusetts Rep. Mike Capuano incensed the moderates when he said if Democrats support rolling back Dodd-Frank regulations, “you might as well be a Republican.”

[…]

At the New Democrat meeting, (House Minority Whip Steny) Hoyer was on the receiving end of impassioned concerns by his moderate colleagues. Reps. Gerry Connolly (Va.), John Carney (Del.) and Jim Himes (Conn.) all voiced strong opinions, according to sources in the room.

The 40-member group expressed anger at the liberal faction for name calling and for dismissing their point of view outright. The lawmakers told Hoyer that any future Democratic majority would look more like them than the liberal faction of the caucus.

You can read more about the New Democratic Coalition’s War on Progressives from DailyKos’s own Kerry Eleveld here.

The New Democratic Coalition is not new (they’ve been in existence for nearly two decades as a Congressional Member Organization), and they’re certainly not progressive. They are a group of corporate Democrats who support a pro-Wall Street, pro-special interests, anti-worker, anti-consumer, and anti-middle class agenda that is nearly as bad as the Republicans’ far-right economic agenda. Most notably, they’re known for supporting deregulation of the banking industry to make it easier for the American economy to crash because of greed and speculation on Wall Street and put American consumers even more at the mercy of predatory banks than they currently are now. Furthermore, New Democratic Coalition members support free trade agreements, such as the proposed Trans-Pacific Partnership (TPP), that drive down wages, move American jobs overseas, and destroy what little of our country’s economic sovereignty remains.

Regarding the New Democratic Coalition’s claim that regaining Democratic majorities in both houses of Congress is only possible by supporting giveaways to Wall Street and other Big Business special interests, that claim is absolutely absurd. Future Democratic majorities in both houses of Congress would, more than likely, be built mostly, if not entirely, by progressive Democrats who champion lifting Americans out of poverty, ending corrupt special interest giveaways, restoring the American middle class, protecting and expanding the social safety net, restoring protections of the American economy, and protecting American consumers, and other progressive, pro-middle class ideals. The only thing that the New Democratic Coalition is doing by openly antagonizing progressives is dividing the party and making it virtually impossible for Democrats to win congressional majorities in its current state.

As I stated above, the Chairman of the New Democratic Coalition is Congressman Ron Kind of Wisconsin. While it’s not known if Kind himself was part of the attacks on progressives (although Kind did brag on tape about being a key part of the “global trading regime”, as he called it, to enact free trade agreements and ship American jobs overseas), I believe that it is Congressman Kind’s responsibility to denounce the divisive attacks on pro-consumer and pro-middle class progressives by members of the organization that he leads. You can sign an online petition to call for Congressman Kind to publicly denounce the New Democratic Coalition’s attacks on progressives here.