‘Top Kill’ Declared a Success; New MMS Director Appointed
May 28, 2010 – Federal officials today declared the leaking oil well deep beneath the Gulf of Mexico tentatively plugged and appointed a new director of the federal regulatory body overseeing offshore drilling.
Engineers employed by the BP Corporation on Wednesday received the go-ahead from federal officials to proceed with the “top kill” plan to plug the leaking oil well with heavy sediment comprised of mud and concrete. A day later, the effort appeared to be working and seemed to have stopped the oil flow, raising hopes the operation would be successful. But video cameras indicated the sediment was leaking out along with oil and natural gas, and the process was halted for several hours.
Engineers resumed the process last night, and U.S. Coast Guard Admiral Thad Allen announced the flow of oil had been stopped as of this morning. Despite Allen’s announcement, engineers on the scene caution the process is not a complete success and the leak might resume. Engineers need to seal the leaking well with cement to ensure it is plugged permanently, and the New York Times this afternoon reported the operation was a long way from being a success and likely would continue at least another two days before success or failure could be determined.
The process never has been done underwater – and especially at the extreme 5,000-foot depth at which the leaking well is located. But it has been done successfully several times on leaking wells located above the ground. Workers for the BP Corporation amassed some 50,000 barrels of the concoction to pump down to the well at the bottom of the Gulf of Mexico, according to the Associated Press.
If the attempt ultimately fails, BP workers plan to attempt a “junk shot” and inject large quantities of shredded tires, golf balls and knotted rope in an attempt to plug the leak. If both attempts fail, the company still has a large concrete-and-metal containment dome located nearby on the seafloor that might be placed over the well to prevent additional oil from spilling into the sea.
The first attempt to use the containment dome failed when icy gas hydrate crystals collected inside the structure. Because the ice-like crystals are lighter than water, they made the dome buoyant and prevented it from sealing to the seafloor. While several short-term solutions are being worked on, a more permanent solution continues as BP workers drill additional relief wells designed to intercept and stop the leak altogether. But completing the relief wells will take about two more months as the oil well continues leaking thousands of barrels of oil every day.
As workers continue battling the source of the massive oil spill, federal officials today announced Bob Abbey would replace Elizabeth Birnbaum as director of the federal Minerals Management Service, which is the federal body in charge of overseeing offshore oil drilling. Abbey currently is the director of the federal bureau of land management and takes over the position after reports of corruption and other problems at the Minerals Management Service.
The oil leak has been declared the largest in U.S. history, surpassing the nearly 11 million gallons of oil spilled into Alaska’s Prince William Sound after the supertanker Exxon Valdez struck an underwater shoal in 1989.
Congress Allows COBRA Subsidy, Flood Insurance Program to Expire
May 28, 2010 – Barring a last minute change in plans, the U.S. Senate is scheduled to adjourn today without extending funding for the federal health insurance subsidy for unemployed Americans or the federal flood insurance program, which expires Monday night as hurricane season begins.
The federal COBRA health insurance subsidy program helps workers who lost their jobs due to the recent economic downturn maintain their prior group health insurance coverage by paying about 65 percent of the premiums. The COBRA subsidy initially lasted 9 months, but with the United States facing its worst job market in decades, federal lawmakers have voted several times to extend the health insurance subsidy, which expires May 31.
Maintaining group health insurance benefits is expensive, costing an average $400 per month for an individual and $1,100 per family to maintain prior group health insurance benefits provided while previously employed, according to the Kaiser Family Foundation. Americans who began receiving the subsidy between September 2008 and March 2009 will begin losing their subsidy after Monday.
The expiration of the National Flood Insurance Program would be the fourth time this year the program has been suspended due to Congressional inaction. The program provides flood insurance protection for homes and properties located in federally designated flood zones and is administered by private insurance companies. The program’s expiration means no new flood insurance policies may be written or renewed, but policyholders may file claims and receive payments for insured damages.
Members of Congress were considering legislation temporarily extending funding for the National Flood Insurance Program as well as extending the federal COBRA health insurance subsidy and extended unemployment benefits slated to expire along with funding for the flood insurance program. Because lawmakers can’t agree on the funding mechanism, Senate Majority Leader Harry Reid yesterday announced the funding measure won’t be considered until Congress reconvenes June 7. Several news outlets have reported Congressional Democrats want to extend the programs another two weeks, but Republicans want them paid for with funds remaining from the federal stimulus fund instead of increasing the budget deficit.
The National Flood Insurance Program provides up to $250,000 in flood insurance coverage for homes and other properties located in federally designated flood plains. The federal program insures about 5.6 million homes in the United States. Federal officials have extended the debt-riddled program’s deadline several times in lieu of enacting permanent changes. Lawmakers are divided on how to sufficiently fund the program and don’t agree on proposals to add coverage for wind damages to the National Flood Insurance Program.
Federal Forecasters Predict Busy Hurricane Season
May 27, 2010 – Federal forecasters agree the 2010 hurricane season likely will be a busy one with up to 14 hurricanes forming in the Atlantic Ocean.
Officials for the National Oceanic and Atmospheric Administration’s Climate Prediction Center today released the federal weather agency’s annual hurricane season outlook, which calls for between 14 and 23 named tropical storms – between eight and 14 of which are expected to develop into hurricanes in the Atlantic Ocean. Between three and seven storms are predicted to develop into “major” hurricanes with wind speeds of at least 111 mph.
“If this outlook holds true, this season could be one of the more active on record,” said NOAA administrator Jane Lubchenco. “The greater likelihood of storms brings an increased risk of a landfall. In short, we urge everyone to be prepared.”
Federal forecasters indicated a 70 percent confidence level in their prediction. On average, 11 named storms and six hurricanes form each year with about two hurricanes ranking as “major” storms with wind speeds of at least 111 mph. Hurricane season typically runs from about June through November, although storms can form at other times.
Forecasters cited the end of an El Nino event in the Pacific Ocean as supporting the development of hurricanes and tropical storms. An El Nino event is a naturally occurring, anomalous warming of ocean waters in the Pacific with a far-reaching impact on global climate. The strong El Nino event last year created high-level wind shear that decapitated most storm systems as they formed in the Atlantic.
The 2009 Atlantic hurricane season officially ended with no major storms landing in the United States and only two lives claimed as Hurricane Bill brushed past the East Coast some 150 miles offshore in August. Despite not landing in the United States, the hurricane created strong seas that drowned a 7-year-old girl in Maine and a 54-year-old man in Florida who attempted to bodysurf as the storm passed by the Sunshine State.
A total of nine storms – five of them hurricanes – formed last year, making 2009 the quietest Atlantic Storm season since 2006, when an identical number of storms and hurricanes were counted. The storm totals were the lowest since 1997, when only seven storms and three hurricanes formed. Early forecasts predicted up to 14 storms and seven hurricanes last year. Storm forecasters cited a strong El Nino event as the primary reason the 2009 Atlantic hurricane season passed without a single major storm or hurricane making landfall in the United States and only moderately affected other areas where weakened tropical storms landed.
The 2009 storm season was the least active in more than a decade, according to the National Hurricane Center in Miami. Storm forecasters for AccuWeather initially had predicted the 2009 Atlantic storm season would see three storms, at least one a hurricane, making landfall along the United States coastline – one fewer than the four that made landfall in 2008.
‘Top Kill’ Plug Working; Oil Spill Declared Largest in U.S. History
May 27, 2010 – Workers for the BP oil company have reported initial success in plugging the leaking oil well at the bottom of the Gulf of Mexico as the leak becomes the largest oil spill in U.S. history and possibly the largest in world history.
Engineers employed by the BP Corporation yesterday received the go-ahead from federal officials to proceed with the “top kill” plan to plug the leaking oil well with heavy sediment comprised of mud and concrete. A day later, the plug appears to be working and seems to have stopped the oil flow, which has eclipsed the 11 million gallons spilled into Alaska’s Prince William Sound after the oil tanker Exxon Valdez struck a reef in 1989.
Initial estimates suggested about 5,000 barrels or 210,000 gallons of light crude oil were leaking into the Gulf of Mexico since the undersea well began leaking after a deadly explosion aboard the Deepwater Horizon drilling rig on April 20. But more recent estimates based on video observation of the leaking well suggest it has been leaking at least double that amount and maybe as much as four times the amount. Even using the most conservative estimates, scientists say the Gulf Oil spill has eclipsed the amount spilled by the Exxon Valdez in 1989.
Although incomplete, the “top kill” approach used by BP and federal engineers yesterday at least temporarily has plugged the oil well with a heavy mixture of mud and cement pumped into the well. The oil well remains pressurized, and workers want to relieve the pressure before topping off the well with more concrete and permanently sealing the leak. Although showing progress, company and federal officials in charge of the operation would not declare it a success yet.
The process never has been done underwater – and especially at the extreme 5,000-foot depth at which the leaking well is located. But it has been done successfully several times on leaking wells located above the ground. Workers for the BP Corporation amassed some 50,000 barrels of the concoction to pump down to the well at the bottom of the Gulf of Mexico, according to the Associated Press.
Coast Guard officials yesterday gave BP the go-ahead to try plugging the leaking riser with the mud-and-concrete mixture. If the attempt ultimately fails, BP workers plan to attempt a “junk shot” and inject large quantities of shredded tires, golf balls and knotted rope in an attempt to plug the leak. If both attempts fail, the company still has a large concrete-and-metal containment dome located nearby on the seafloor that might be placed over the well to prevent additional oil from spilling into the sea.
The first attempt to use the containment dome failed when icy gas hydrate crystals collected inside the structure. Because the ice-like crystals are lighter than water, they made the dome buoyant and prevented it from sealing to the seafloor. While several short-term solutions are being worked on, a more permanent solution continues as BP workers drill additional relief wells designed to intercept and stop the leak altogether. But completing the relief wells will take about two more months as the oil well continues leaking thousands of barrels of oil every day.
BP workers partially have contained the leaking oil well, and BP officials said the company has spent at least $760 million trying to contain the problem. Company officials have said BP will pay for all cleanup costs and will reimburse local industries for lost revenues and other legitimate costs related to the oil spill.
Louisiana officials last week had to close at least one public beach after part of the giant oil slick made its way into the marshy area of the Mississippi River Delta. The oil has affected some wildlife habitat, and local officials are concerned it could kill many of the migratory birds and other animals in the area, but no massive die-offs have been reported. And Louisiana Gov. Bobby Jindal on Sunday said officials for BP and the federal government have dragged their heels in responding to the mishap and failed to rapidly provide the resources necessary to contain the oil slick as part of it began washing ashore in Louisiana over the weekend.
White House Seeks Dismissal of Virginia’s Health Care Legal Challenge
May 26, 2010 – Attorneys representing President Barack Obama’s administration have requested a federal court dismiss the Commonwealth of Virginia’s formal legal challenge to the recently enacted federal Patient Protection and Affordable Care Act.
Virginia Attorney General Ken Cuccinelli filed the legal challenge on March 23 – the same day President Obama signed the hotly contested federal health care overhaul into law. Virginia officials contend the law oversteps the federal government’s constitutional boundaries by requiring all Americans to purchase health insurance by 2014 or pay a fine. Federal officials claim the power to regulate interstate commerce gives them the legal authority to force U.S. citizens to purchase health insurance, but Cuccinelli contends people who do not purchase health insurance by definition are not engaging in interstate commerce and cannot be compelled to do so by the federal government.
Attorneys for the U.S. Health and Human Services Department say the Virginia legal challenge lacks merit, countering decisions regarding whether or not to purchase health insurance are “economic and financial” decisions that have “economic and commercial” effects falling under the purvey of the federal government’s power to regulate commerce. Although people can choose not to purchase health insurance, federal attorneys say people without health insurance still participate in the nation’s health care system. And uninsured individuals accounted for about $43 billion in health care costs passed on to others in 2008, the federal attorneys argue.
Federal attorneys also claim the Commonwealth of Virginia is not an individual and cannot challenge a lawsuit regulating individual behavior. Virginia lawmakers earlier enacted a law declaring the federal government has no legal authority to force Virginia residents to purchase health insurance.
Virginia’s legal challenge is among dozens file by states and various organizations challenging the federal government’s legal authority to force people to purchase health insurance. Some 20 states have joined a legal challenge recently filed by Florida officials, and several law centers also have filed legal challenges. Virginia’s recently enacted state law seeking to prevent federal officials from requiring state residents to purchase health insurance caused it to file its own legal challenge.
Several states already have enacted essentially toothless laws preventing the federal government from requiring residents to purchase health insurance. Federal regulative authority is limited to interstate commerce and not intrastate commerce, which is the process through which individuals obtain health insurance, many state officials argue.
But, federal officials plan to create health insurance exchanges that cross state lines, which might enhance the federal government’s authority to force residents of various states to engage in interstate commerce through the purchase of health insurance. And the Supremacy Clause in the U.S. Constitution generally means state laws only can be more restrictive than federal laws, as is the case in states in which marijuana has been decriminalized or legalized for medicinal purposes.
Given the various Constitutional measures giving the federal government authority over states, individuals likely stand a greater chance of defeating the federal heath care law requiring individuals to purchase health insurance, according to Douglas G. Smith, who is an “adjunct scholar” at the American Enterprise Institute and a “scholar in residence” at the Loyola University Chicago School of Law.
Several precedent-setting judgments by the U.S. Supreme Court have affirmed the right of individuals to refuse health care or to refuse participation in the U.S. health care system, Smith argues. Citing the Cruzan v. Director, Missouri Department of Health, Smith says the Supreme Court ruled individuals have a “constitutional protected liberty interest” to refuse medical treatment. He also cited the Washington v. Harper ruling by the Supreme Court, which upheld the rights of prison inmates to refuse anti-psychotic medication, and the Parham v. J.R. case, in which the Supreme Court ruled children have the individual right to refuse medical treatment – even if their parents want them to have it.
Given the many rulings supporting an individual’s right to refuse a medical procedure, Smith concludes individuals have a fundamental right to choose their course of health care – or none at all – without interference from the federal government.
‘Top Kill’ Plan Approved to Stop Gulf Oil Leak
May 26, 2010 – Workers will attempt to inject several tons of cement and mud into the leaking oil riser at the bottom of the Gulf of Mexico that has been spewing thousands of barrels of oil into the sea for more than a month.
The process never has been done underwater – and especially at the extreme 5,000-foot depth at which the leaking well is located. But it has been done successfully several times on leaking wells located above the ground. Workers for the BP Corporation have amassed some 50,000 barrels of the concoction and will attempt to pump it down to the well at the bottom of the Gulf of Mexico, according to the Associated Press. The muddy substance will have to overcome the pressure of the leaking oil to have any chance at succeeding.
Coast Guard officials gave BP the go-ahead to try plugging the leaking riser with the mud-and-concrete mixture, and company officials said they likely would attempt it today. If the attempt fails, BP workers plan to attempt a “junk shot” and inject large quantities of shredded tires, golf balls and knotted rope in an attempt to plug the leak. If both attempts fail, the company still has a large concrete-and-metal containment dome located nearby on the seafloor that might be placed over the well to prevent additional oil from spilling into the sea.
The first attempt to use the containment dome failed when icy gas hydrate crystals collected inside the structure. Because the ice-like crystals are lighter than water, they made the dome buoyant and prevented it from sealing to the seafloor. While several short-term solutions are being worked on, a more permanent solution continues as BP workers drill additional relief wells designed to intercept and stop the leak altogether. But completing the relief wells will take about two more months as the oil well continues leaking thousands of barrels of oil every day.
BP workers partially have contained the leaking oil well, and BP officials said the company has spent at least $760 million trying to contain the problem. Company officials have said BP will pay for all cleanup costs and will reimburse local industries for lost revenues and other legitimate costs related to the oil spill.
Louisiana officials last week had to close at least one public beach after part of the giant oil slick made its way into the marshy area of the Mississippi River Delta. The oil has affected some wildlife habitat, and local officials are concerned it could kill many of the migratory birds and other animals in the area, but no massive die-offs have been reported. And Louisiana Gov. Bobby Jindal on Sunday said officials for BP and the federal government have dragged their heels in responding to the mishap and failed to rapidly provide the resources necessary to contain the oil slick as part of it began washing ashore in Louisiana over the weekend.
Report: Toyota Vehicles Caused 89 Deaths in the United States
May 25, 2010 – Over the past 10 years, Toyota vehicles suddenly accelerating out of control might have been the cause of up to 89 deaths, according to federal officials.
The report by the National Highway Traffic Safety Administration suggests even more people have died due to problems with various Toyota models over the years than earlier estimates suggested. Federal officials previously suggested at least 52 deaths could be attributed to sudden acceleration in Toyota vehicles, which the automaker since has recalled. The new report also indicates at least 57 people were injured as a result of sudden acceleration in Toyotas.
The federal report comes just after Toyota officials last week testified before a Congressional panel investigating the automaker’s response to recent vehicle safety issues. Toyota officials testified before the House Energy and Commerce Committee regarding consumer problems regarding electrical components in Toyota vehicles, which are suspected of causing some vehicles to accelerate suddenly and created braking problems in some Toyota models. Toyota already has paid a $16.4 million federal fine for its handling of various vehicle recall issues.
Despite the latest federal report pinning the blame on Toyota, Toyota Motor Sales USA President Jim Lentz told the Congressional panel there is no evidence bad electrical components were the cause of several incidents in which Toyota vehicles accelerated out of control and at times caused accidents. Toyota officials hired a consulting firm to inspect electrical components in various vehicles and will publish its findings whether or not the final analysis is favorable toward Toyota, the Associated Press reported. The firm’s findings might prove beneficial in dealing with auto insurance companies looking to recoup losses for claims paid due to potentially faulty Toyota vehicles.
Several of the largest auto insurance companies in the United States are looking over prior auto insurance claims involving Toyota Motor Corporation vehicles accelerating out of control, including Allstate, Geico and State Farm. Toyota officials recently recalled more than 9 million vehicles for various problems, including sudden acceleration, braking problems and problems with traction control systems on various vehicles.
The subrogation clause of insurance contracts gives insurance companies the right to pursue legal remedies after paying insurance claims. The auto insurers can recoup damages arising from claims paid due to faulty Toyota vehicles, but policyholders would be entitled to at least a partial reimbursement of deductible amounts paid, the Associated Press reported.
Dozens of class-action lawsuits also have been filed regarding the recently falling values of used Toyota vehicles totaling a potential $3 billion in liabilities for the world’s largest automaker. The class action suits are in addition to existing lawsuits for legal liability in the dozens of accidents and deaths attributed to faulty Toyota vehicles in recent years.
Toyota officials recently recalled nearly 10 million vehicles worldwide to correct problems with vehicles suddenly accelerating and other problems.
BP Releases Initial Findings of Oil Spill Investigation
May 25, 2010 – A combination of factors merged to create the deadly, catastrophic explosion of an offshore drilling rig last month and leading to the massive, largely unchecked oil slick in the Gulf of Mexico, officials for the BP Corporation announced today.
A system of redundant mechanisms designed to ensure accidents won’t happen failed, resulting in the explosion that killed 11 workers and sank the offshore drilling rig Deepwater Horizon on April 20, BP officials said. The company began its investigation into the accident on April 21, as the deep-sea oil well began leaking thousands of barrels of light crude oil and natural gas each day.
“I understand people want a simple answer about why this happened and who is to blame,” BP Chief Executive Officer Tony Hayward was quoted by Reuters. “The honest truth is that this is a complex accident caused by an unprecedented combination of failures. A number of companies are involved, including BP, and it is simply too early to say who is at fault.”
Although the investigation into the accident remains inconclusive, BP officials said a series of redundant safety measures should have prevented the explosion and prevented the massive leakage that has begun washing ashore in parts of Louisiana’s coastal marshes and barrier islands. Company officials said they will continue the investigation to find more concrete answers to help prevent future incidents.
In the meantime, a report published by the federal inspector general overseeing the matter indicates employees for the federal Minerals Management Service accepted meals, tickets to sporting events and other gratuities from oil and gas firms and viewed pornography while on the job. The apparent lax attitude toward enforcing drilling regulations and cozy relationship with members of the oil and gas industry have raised questions about the actual level of oversight provided by the federal office most responsible for helping prevent such catastrophic mishaps.
The report indicates most of the behavior occurred before new ethics rules were implemented last year, but federal officials plan to investigate further. The drilling rig, Deepwater Horizon, last year was given a safety award by the Obama administration and was among finalists for another round of safety awards to be presented this year. The awards were canceled in the aftermath of the oil spill.
BP workers partially have contained the leaking oil well at the bottom of the Gulf of Mexico more than a month after it began leaking thousands of barrels of oil every day, and BP has spent at least $760 million trying to contain the problem. Company officials have said they will pay for all cleanup costs and will reimburse local industries for lost revenues and other legitimate costs related to the oil spill.
Louisiana officials last week had to close at least one public beach after part of the giant oil slick made its way into the marshy area of the Mississippi River Delta. The oil has affected some wildlife habitat, and local officials are concerned it could kill many of the migratory birds and other animals in the area, but no massive die-offs have been reported. And Louisiana Gov. Bobby Jindal on Sunday said officials for BP and the federal government have dragged their heels in responding to the mishap and failed to rapidly provide the resources necessary to contain the oil slick as part of it began washing ashore in Louisiana over the weekend.
Feds Contemplating Steep Oil Tax Increase to Fund Cleanups
May 24, 2010 – As the oil well owned by the BP Corporation continues leaking thousands of barrels of oil into the Gulf of Mexico, federal officials are considering quadrupling the tax levied on oil companies to pay for oil spill cleanups.
The current 8 center-per barrel tax would be quadrupled to 32 cents per barrel and accrue some $11 billion over 10 years toward the Oil Spill Liability Trust Fund, which has about $1.5 billion available, the Associated Press reported today. Current law allows for only $1 billion of the fund to be used to combat oil spills, and federal lawmakers might raise the ceiling to $5 billion.
The tax is applied to U.S. oil production as well as foreign oil imports, and proceeds are placed into a cleanup fund controlled by the U.S. Coast Guard. A vote to increase the oil spill cleanup tax might be held this week.
BP officials have partially contained the leaking oil well at the bottom of the Gulf of Mexico more than a month after it began leaking thousands of barrels of oil every day and have spent at least $760 million trying to find a solution. Company officials have said they will pay for all cleanup costs and will reimburse local industries for lost revenues and other legitimate related to the oil spill.
Louisiana officials last week had to close at least one public beach after part of the giant oil slick made its way into the marshy area of the Mississippi River Delta. The oil has affected some wildlife habitat, and local officials are concerned it could kill many of the migratory birds and other animals in the area, but no massive die-offs have been reported. And Louisiana Gov. Bobby Jindal on Sunday said officials for BP and the federal government have dragged their heels in responding to the mishap and failed to rapidly provide the resources necessary to contain the oil slick as part of it began washing ashore in Louisiana over the weekend.
“It is clear the resources needed to protect our coast are still not here: boom, skimmers, vacuums, jack-up barges are all in short supply,” Reuters quoted Jindal telling reporters on Sunday. “Oil sits and waits for cleanup. And, every day that it waits for cleanup, more and more marsh dies.”
BP workers recently inserted a pipe into a riser coming from the leaking oil well and say they are siphoning off up to 5,000 barrels per day in crude oil. Company officials earlier estimated the well was leaking about 5,000 barrels – 210,000 gallons – of light crude oil since the well located on the seafloor some 5,000 feet beneath the surface of the Gulf of Mexico. But a Congressional panel last week was told the well is leaking much more than 5,000 barrels of oil per day based on video evidence. Scientists testified the well is leaking between 25,000 and 100,000 barrels of oil per day. BP officials said there are almost 25,000 workers and more than 1,000 surface vessels responding to the crisis.
Federal lawmakers have been debating potential increases in liability limits arising from oil spills. Oil companies currently are 100 percent responsible for all environmental cleanup costs, but oil companies are limited to $75 million in liability for other damages, such as lost income for the local fishing and tourism industries. Members of the U.S. Senate are considering increasing the liability limit to $10 billion and possibly doing away with it altogether.
Removing liability limits is among several proposals members of the U.S. Senate are considering, including levying an up to $20 billion penalty on BP and other oil companies responsible for the current and any future oil spills or other accidents through the provisions of the proposed Oil Spill Response and Assistance Act. The measure would levy a maximum $20 billion fine or confiscate up a year’s worth of profits to help cover costs not directly related to cleanup efforts.
Report: Likely Voters Want Health Care Law Repealed
May 24, 2010 – Rather than becoming more receptive of recently enacted national health care law, those favoring scrapping the recent legislation are gaining strength, according to recent polling.
A large majority of likely voters polled – some 63 percent – favor repealing the legislation signed into law by President Barack Obama after receiving strictly partisan support and bipartisan opposition in Congress, according to the most recent national telephone survey conducted by Rasmussen Reports. Only slightly less than a third of those polled – 32 percent – oppose repealing the health care law. Of those favoring repeal, some 46 percent indicated the “strongly favor” overturning the health care law. Some 25 percent of those indicating support for keeping the health care law intact said they “strongly oppose” repealing it. In general, men were more skeptical than women of the health care measure.
Polling data suggests the perceived cost of implementing the national health care overhaul slated to take full effect in 2014 likely is driving a trend toward more voters favoring repeal at a time when Americans are becoming anxious over the growing national debt. An equal amount – 63 percent – of likely voters indicated the health care likely would increase the federal government’s deficit, and 55 percent indicated the law won’t be good for the country. Only 33 percent of those polled said the law will have a positive impact on the nation, and only 12 percent said they thought the health care law would lower the federal deficit.
Previous studies indicated between 54 percent and 58 percent of likely voters polled favor repealing the health care law but topped the 60 percent mark for the first time during the most recent polling cycle. Likewise, the percentage of people who say the health care law will be good for the nation has declined 6 percentage points from last week’s poll, according to Rasmussen Reports.
The outlook for the quality of health care provided likewise is gloomy. Some 55 percent of those polled said the new law will harm rather than help the nation’s health-care delivery system. Another 20 percent said it will improve the health care system, and 18 percent indicated there likely would be no significant impact. Attitudes toward the cost of health care were nearly identical with 55 percent saying the health care overhaul will drive up costs versus 18 percent saying costs will go down and 16 percent saying there will be no significant impact.
Researchers from the Pulse Opinion Research firm conducted the national telephone survey on May 22 and May 23 and queried 1,000 “likely voters” regarding their attitudes toward the health care law on behalf of Rasmussen Reports.
BP Web Cam Online; Oil Spill Bigger Than Estimated
May 21, 2010 – Officials for the BP Corporation today announced people can view live shots of the partially contained undersea oil gusher beneath the Gulf of Mexico and said the amount leaking is greater than earlier estimated.
The Web site is available online at www.BP.com and provides live footage of the leaking well riser shot from a remotely operated vehicle. Company officials said the underestimated the amount of oil leaking from the well for nearly a month but do not have a more accurate estimate as of today, according to a Dow Jones news report.
Although they are unsure how much is leaking, BP officials are skeptical about recent estimates of 50,000 barrels or more of light crude oil seeping into the Gulf of Mexico each day since the leak began after a deadly explosion on April 20. About half of what appears to be crude oil leaking from the well riser located at the bottom of the Gulf of Mexico in fact is natural gas, according to BP. Company officials also say they have slowed the flow by about 10 percent and continue working to contain the undersea oil gusher.
BP workers last weekend successfully inserted a pipe into a riser coming from the leaking oil well and say they are siphoning off about 5,000 barrels per day in crude oil. Company officials earlier estimated the well was leaking about 5,000 barrels – 210,000 gallons – of light crude oil since the well located on the seafloor some 5,000 feet beneath the surface of the Gulf of Mexico. But a Congressional panel this week was told the well is leaking much more than 5,000 barrels of oil per day based on video evidence. Scientists testified the well is leaking between 25,000 and 100,000 barrels of oil per day, Bloomberg News reported. BP officials testified the company has spent $625 million trying to contain the well and has almost 25,000 workers and more than 1,000 surface vessels responding to the crisis.
Federal lawmakers have been debating potential increases in liability limits arising from oil spills. Oil companies currently are 100 percent responsible for all environmental cleanup costs, but oil companies are limited to $75 million in liability for other damages, such as lost income for the local fishing and tourism industries. Members of the U.S. Senate are considering increasing the liability limit to $10 billion and possibly doing away with it altogether.
Removing liability limits is among several proposals members of the U.S. Senate are considering, including levying an up to $20 billion penalty on BP and other oil companies responsible for the current and any future oil spills or other accidents through the provisions of the proposed Oil Spill Response and Assistance Act. The measure would levy a maximum $20 billion fine or confiscate up a year’s worth of profits to help cover costs not directly related to cleanup efforts.
Toyota Recalls 3,800 Luxury Cars as Congress Grills Automaker
May 21, 2010 – Officials for the Toyota Motor Company today announced yet another recall for the automaker already under Congressional scrutiny for its recent global recall of nearly 10 million vehicles for various safety defects.
Toyota issued a recall of 3,800 Lexus LS 460 luxury sedans manufactured in late 2009 and 2010 as well as the LS 600h L luxury hybrid sedan manufactured during the same period. The vehicles are being recalled for suspected problems with electronic steering-control systems in the vehicles that might cause the steering wheel to remain “off-center.” Toyota officials said no accidents or injuries are known to have occurred and earlier recalled some 4,500 of the same models in Japan for the same reason.
The additional recall comes as Toyota officials testify before a Congressional panel investigating the automaker’s response to recent vehicle safety issues. Toyota officials were scheduled to testify today before the House Energy and Commerce Committee regarding consumer problems regarding electrical components in Toyota vehicles, which are suspected of causing vehicles to accelerate suddenly and causing braking problems in some Toyota models. Toyota already has paid a $16.4 million federal fine for its handling of various vehicle recall issues.
In prepared testimony, Toyota Motor Sales USA President Jim Lentz was to tell the Congressional panel there is no evidence bad electrical components were the cause of several incidents in which Toyota vehicles accelerated out of control and at times caused accidents, the Associated Press reported today. Toyota has fixed about 3.5 million vehicles recalled for various issues.
Toyota officials hired a consulting firm to inspect electrical components in various vehicles and will publish its findings whether or not the final analysis is favorable toward Toyota, the Associated Press reported. The firm’s findings might prove beneficial in dealing with auto insurance companies looking to recoup losses for claims paid due to potentially faulty Toyota vehicles.
Several of the largest auto insurance companies in the United States are looking over prior auto insurance claims involving Toyota Motor Corporation vehicles accelerating out of control, including Allstate, Geico and State Farm. Toyota officials recently recalled more than 9 million vehicles for various problems, including sudden acceleration, braking problems and problems with traction control systems on various vehicles.
The subrogation clause of insurance contracts gives insurance companies the right to pursue legal remedies after paying insurance claims. The auto insurers can recoup damages arising from claims paid due to faulty Toyota vehicles, but policyholders would be entitled to at least a partial reimbursement of deductible amounts paid, the Associated Press reported.
Dozens of class-action lawsuits also have been filed regarding the recently falling values of used Toyota vehicles totaling a potential $3 billion in liabilities for the world’s largest automaker. The class action suits are in addition to existing lawsuits for legal liability in the dozens of accidents and deaths attributed to faulty Toyota vehicles in recent years.
Officials for the National Highway Traffic and Safety Administration recently said they have received complaints of at least 52 deaths caused by sudden acceleration in Toyota vehicles since 2000. Toyota Motor Corporation officials recently recalled nearly 10 million vehicles worldwide to correct problems with vehicles suddenly accelerating and other problems.
BP Reports Some Success in Containing Oil Gusher
May 20, 2010 – A month after an offshore drilling rig exploded, killing 11 and pouring unchecked quantities of light crude oil into the Gulf of Mexico, officials for the BP Corporation said they now are catching most of the oil leaking from a well at the bottom of the Gulf of Mexico.
BP workers successfully inserted a pipe into a riser coming from the leaking oil well and say they are siphoning off about 5,000 barrels per day in crude oil. Company officials earlier estimated the well was leaking about 5,000 barrels – 210,000 gallons – of light crude oil since the well located on the seafloor some 5,000 feet beneath the surface of the Gulf of Mexico. But a Congressional panel yesterday was told the well is leaking much more than 5,000 barrels of oil per day based on video evidence. Scientists testified the well is leaking between 25,000 and 100,000 barrels of oil per day, Bloomberg News reported. BP officials testified the company has spent $625 million trying to contain the well and has almost 25,000 workers and more than 1,000 surface vessels responding to the crisis.
Federal lawmakers have been debating potential increases in liability limits arising from oil spills. Oil companies currently are 100 percent responsible for all environmental cleanup costs, but oil companies are limited to $75 million in liability for other damages, such as lost income for the local fishing and tourism industries.
Members of the U.S. Senate are considering increasing the liability limit to $10 billion and possibly doing away with it altogether. But Senator Lisa Murkowski (R-Alaska) used Senate procedural rules to block the measure, saying increasing the liability limit only would play into the hands of large oil companies, like BP, at the expense of smaller oil companies that could not afford such liability amounts. Senate Democrats likely will continue trying to increase the liability limit despite opposition.
Removing liability limits is among several proposals members of the U.S. Senate are considering, including levying an up to $20 billion penalty on BP and other oil companies responsible for the current and any future oil spills or other accidents through the provisions of the proposed Oil Spill Response and Assistance Act. The measure would levy a maximum $20 billion fine or confiscate up a year’s worth of profits to help cover costs not directly related to cleanup efforts.
Report: Vehicle Thefts Decline for 6th Straight Year
May 20, 2010 – Despite generally poor economic conditions, vehicle theft rates across the United States generally declined for the sixth consecutive year in 2009, but drivers living in the West need to be extra cautious.
A May 17 report issued by the National Insurance Crime Bureau indicates 304 of 366 metropolitan areas – including suburbs and neighboring communities – reported fewer auto thefts last year than in 2008. About 83 percent of metropolitan areas in 2009 experienced auto theft declines of as much as 18 percent when compared to 2008.
While no specific reason for the decline in automotive thefts was cited, the president of the National Insurance Crime Bureau attributed a group effort to the years-long decline.
“This is great news on the vehicle-theft front,” said Joe Wehrle, president and chief executive officer of the National Insurance crime Bureau. “Six straight years of vehicle-theft reductions are the result of a lot of hard work on the part of law enforcement, prosecutors, legislators, [National Insurance Crime Bureau] member companies and personnel and insurance industry trade groups who have contributed expertise and energy to have an impact on this crime.”
Although a decline in automotive thefts has been reported over the years, many metropolitan areas continue to report significant amounts of automotive theft. And if you live in the western United States, studies indicate you might be more at-risk of having your vehicle stolen.
Six of the top 10 municipal areas for automotive theft are located in California with Modesto ranking second behind Laredo, Texas, in the number of reported automotive thefts. The two municipalities swapped positions this year after Laredo ranked second to Modesto in 2008. Golden State municipalities Bakersfield, Stockton and Fresno ranked third, fourth and fifth, respectively, in automotive thefts in 2009 and were ranked among the top 10 in 2008.
Yakima, Washington, occupies the sixth spot in 2009 after falling from the third position in 2008. The San Francisco Bay area, including the cities of Oakland, San Francisco and Fremont, ranked seventh in 2009 – up from the ninth spot a year earlier. Rounding out the top 10 municipalities for automotive theft are the Visalia and Porterville area of California in the seventh position, followed by Las Vegas, Nevada, in the ninth spot and Albuquerque, New Mexico, in the tenth position.
The non-profit National Insurance Crime Bureau is headquartered in Des Plaines, Illinois, and is focused on “preventing, detecting and defeating insurance fraud and vehicle theft” through a variety of means, including political advocacy. The bureau is comprised of more than 1,100 property and casualty insurance providers representing about 93 percent of the U.S. auto insurance market in 2009.
Toyota: Electronics Not to Blame for ‘Sudden Acceleration’
May 19, 2010 – Possibly in anticipation of defending one or more lawsuits, officials for the Toyota Motor Company today said faulty electrical components likely are not the cause of recent “sudden acceleration” incidents that forced the world’s largest automaker to recall millions of vehicles world-wide and damaged Toyota’s prior stellar reputation for manufacturing safe vehicles.
Toyota officials are scheduled to testify tomorrow before the House Energy and Commerce Committee regarding consumer problems regarding electrical components in Toyota vehicles, which are suspected of causing vehicles to accelerate suddenly and causing braking problems in some Toyota models. Toyota already has paid a $16.4 million federal fine for its handling of various vehicle recall issues.
In prepared testimony, Toyota Motor Sales USA President Jim Lentz will tell the Congressional panel there is no evidence bad electrical components were the cause of several incidents in which Toyota vehicles accelerated out of control and at times caused accidents, the Associated Press reported today. Toyota has fixed about 3.5 million vehicles recalled for various issues.
Toyota officials hired a consulting firm to inspect electrical components in various vehicles and will publish its findings whether or not the final analysis is favorable toward Toyota, the Associated Press reported. The firm’s findings might prove beneficial in dealing with auto insurance companies looking to recoup losses for claims paid due to potentially faulty Toyota vehicles.
Several of the largest auto insurance companies in the United States are looking over prior auto insurance claims involving Toyota Motor Corporation vehicles accelerating out of control, including Allstate, Geico and State Farm. Toyota officials recently recalled more than 9 million vehicles for various problems, including sudden acceleration, braking problems and problems with traction control systems on various vehicles.
The subrogation clause of insurance contracts gives insurance companies the right to pursue legal remedies after paying insurance claims. The auto insurers can recoup damages arising from claims paid due to faulty Toyota vehicles, but policyholders would be entitled to at least a partial reimbursement of deductible amounts paid, the Associated Press reported.
Dozens of class-action lawsuits also have been filed regarding the recently falling values of used Toyota vehicles totaling a potential $3 billion in liabilities for the world’s largest automaker. The class action suits are in addition to existing lawsuits for legal liability in the dozens of accidents and deaths attributed to faulty Toyota vehicles in recent years.
Attorneys representing disgruntled Toyota owners are accusing company officials of deliberately ignoring reports of safety and mechanical issues with various models. The plaintiffs contend delays in correcting known problems have accelerated the loss of value for recalled Toyota models, according to the litigants. Attorneys cited recent devaluations of popular Toyota Corolla and Sequoia models, which Kelley Blue Book officials recently depreciated by up to $750 in light of the recall efforts, the Associated Press reported.
Officials for the National Highway Traffic and Safety Administration recently said they have received complaints of at least 52 deaths caused by sudden acceleration in Toyota vehicles since 2000. Toyota Motor Corporation officials recently recalled nearly 10 million vehicles worldwide to correct problems with vehicles suddenly accelerating and other problems.
The first vehicle recall issued last year was to fix floor mat problems blamed for causing some vehicles to accelerate suddenly. When that fix failed to fully address safety issues, Toyota issued another recall of several popular models, including the Camry and Corolla, to replace gas pedals in millions more vehicles in China, Europe and North America. And Toyota officials last week issued yet another recall, this time for the automaker’s popular Prius hybrid and other hybrid vehicles for braking problems blamed on faulty software programming.
The latest recall comes in addition to the about 9 million vehicles across eight model lines Toyota officials have recalled already worldwide – including about 2.3 million vehicles in the United States. The Japanese automaker has recalled all Camry models manufactured from 2007 to 2010 as well as 2009 through current-year models Corolla, Matrix and the RAV4. Also recalled are the 2005 through 2010 Avalon, the 2008 through 2010 Sequoia and the 2010 Highlander. The recall covers about 9 million vehicles sold in North America, China and Europe.
Toyota officials say the combined recall efforts could cost the company about $2 billion. Toyota is the world’s largest manufacturer of automobiles and recently overtook bankrupted General Motors as the auto industry’s top seller.