Understanding Government

Doug Palmer and Rachelle Younglai of Reuters report that the Treasury Department will be pulling in $6 billion in a sale of AIG stock the government owns as the result of saving AIG from collapse in 2008.  The American electorate’s ownership of this major global insurance company will still be a hefty 70% after the sale.   But we are getting paid.  In other words, the government is keeping its word, though some people swore the government “never really believed” it would get anything back for the taxpayers.

Several new trains capable of considerably higher speed should begin plying the rails in California in about four years time, thanks to an infusion of federal cash, reports Tim Sheehan of The Fresno Bee.

California received 68 million dollars from the federal government to buy 15 new American passenger cars and four new U.S.-made locomotives for the state’s three regional rail routes. The funding is a portion of the $336 million worth of Recovery Act funding — economic stimulus money — awarded as federal matching funds to California and outright grants to Illinois, Iowa, Michigan, and Missouri. (more…)

Headwinds  are building against California’s planned high-speed rail system, with congressional opponents attempting to kill funding, and new reports generating ever more negative rhetoric. That’s the  bottom line in Carolyn Lochhead’s piece in the San Francisco Chronicle.

Meanwhile, though significant cuts to transportation funding — both for road construction and maintenance as well as mass-transit are likely in the coming transportation bill, Los Angeles Mayor Antonio Villaraigosa has introduced an innovative financing scheme aimed at speeding up transit construction.  Villaraigosa’s initiativemay become a nationwide program, according to Rick Orlov of the Torrance Daily Breeze.

Criticisms at the policy end of high-speed rail are hardly new. Here’s a standard sample: (more…)

Is Diablo Canyon destined for disaster? Well, according to a story by Suzanne Rust of California Watch published by the San Francisco Chronicle, that all depends on which government agency you believe.

According to the Nuclear Regulatory Commission (and the utility that owns the plant, Pacific Gas & Electric Co.), the plant is safe. Totally safe. So safe, the NRC insists, that further studies are unwarranted. (more…)

San Bruno, CA October 2010

Assailing federal and state regulators, San Francisco’s city attorney is threatening to file a federal lawsuit both the U.S. Pipeline and Hazardous Materials Safety Administration and the California Public Utilities Commission for lax oversight, regulatory capture and a cozy relationship with Pacific Gas & Electric Co., according to reporting by Jaxon Van Derbeken of the San Francisco Chronicle.  “The public is at risk because the mandates of federal law have not been followed by PG&E or enforced” by regulators, [San Francisco City Attorney Dennis] Herrera said, adding, “it has become increasingly clear that regulators bear some fault here and were either asleep at the switch or too cozy with the industry they are supposed to regulate.”   Herrera said the goal of the suit he intends to file is to prompt regulatory authorities to do their job or be forced to do so — under court-ordered supervision. (more…)