Stimulus Money is Going to Churches

The Daily Escape:

View of Mt. Rainer from Reflection Lake WA – 2018 photo by NathanielMerz

Here is the 7-day look at the national numbers for COVID-19:

The rate of growth in deaths as a percentage of cases continues to rise, while the rate of increase in cases picked up slightly on 4/6, although overall, it is slowing vs. 7 days ago. Testing is still growing, although the rate of growth in tests is now about equal to the growth in cases.

A little-noticed part of the $2 trillion stimulus package allows the federal government to provide money directly to US churches to help them pay pastor salaries and utility bills. From NPR: (emphasis by Wrongo)

“…the $2 trillion economic relief legislation…includes about $350 billion for the Small Business Administration (SBA) to extend loans to small businesses facing financial difficulties as a result of the coronavirus shutdown orders. Churches and other faith-based organizations are among the businesses that qualify for aid under the program, even if they have an exclusively religious orientation.

So, we’re not simply speaking of not-for-profit subsidiaries of churches such as charities. The Trump administration is saying churches themselves will qualify for direct loans. Apparently, the program is based on the average monthly payroll of a church school or the parish, which is extrapolated to eight weeks. The cost of maintaining staff for that period becomes the loan amount.

From the SBA’s statement:

“Faith-based organizations are eligible to receive SBA loans regardless of whether they provide secular social services….No otherwise eligible organization will be disqualified from receiving a loan because of the religious nature, religious identity, or religious speech of the organization.”…

The SBA’s regulations currently exclude some religious entities. Because those regulations bar the participation of a class of potential recipients based solely on their religious status, SBA said it will decline to enforce those subsections and will propose amendments to conform those regulations to the Constitution.

The SBA is quoting a 2017 Supreme Court decision, Trinity Lutheran v. Comer, which was the first time the Court said the government is required to provide public funding directly to a religious organization. Chief Justice Roberts wrote for the majority in the 7-2 decision. The key argument was that Trinity Lutheran faced discrimination solely because of its identity as a church. That, the Court decided, was discrimination. From the opinion:

“There is no question that Trinity Lutheran was denied a grant simply because of what it is….A church.”

The grant was for refurbishing the church’s playground.

But in this case, the SBA is offering direct funding of religious entities with money provided by tax dollars from the rest of us. We’re likely to see this in the courts soon.

This isn’t the first time that the Trump administration provided funds directly to churches, synagogues, mosques and other religious organizations. In 2018, the Federal Emergency Management Agency (FEMA) changed its rules to make houses of worship eligible for disaster aid.

First Amendment watchers have reacted. Alison Gill, legal and policy vice president of American Atheists said:

“The government cannot directly fund inherently religious activities….It can’t spend government tax dollars on prayer, on promoting religion [or] proselytization. That directly contradicts the Establishment Clause of the First Amendment.”

If they want Federal funds, shouldn’t they pay Federal taxes?

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Is The Cure Worse Than The Disease?

The Daily Escape:

Sunrise, Alabama Hills, near Lone Pine, CA – photo by kristophershinn

Here are the latest national pandemic numbers from The COVID Tracking Project: (as of 4/5)

  • Number of daily cases: 333,747, up 27,992 or +9.2% vs. April 4
  • Rate of case increase: 9.2% vs. 12.4% on 4/4 and 13% average for the past week
  • Number of deaths: Total 9,558, up 1,244 vs. April 4
  • Rate of deaths increase 4/5 vs 4/4: 14.9% % vs. 19.4% on 4/4
  • Daily number of tests 4/5 vs. 4/4: 1,778,487, up 154,680 over 4/4
  • Rate of increase in tests: +9.5% vs. previous day

The rate of growth in cases and deaths are slowing. Testing is still growing, although slowly.

Two pandemic-related stories today, each purporting to offer a cure. First, from the Guardian:

“Neo-Nazi groups in the US are looking for ways to exploit the coronavirus outbreak and commit acts of violence, according to observers of far-right groups, law enforcement, and propaganda materials…”

The Guardian says that the Southern Poverty Law Center (SPLC) raised an alarm about opportunism from far-right so-called “accelerationist” groups who believe sowing chaos and violence will hasten the collapse of society. More from the Guardian:

“Late last month, the FBI warned such extremist groups were encouraging members to deliberately spread the virus to Jewish people and police officers.”

Apparently, the shorthand in a variety of extremist and fringe movements and subcultures is the word “boogaloo”, used as shorthand for a future civil war:

“From militia groups to white supremacists, extremists on a range of online platforms talk about—and sometimes even anticipate—the “boogaloo.” The rise of “boogaloo,” and its casual acceptance of future mass violence, is disturbing.”

Similar sentiments may have motivated a Missouri man who planned a car bomb attack on a hospital which was treating coronavirus patients. He was shot dead by FBI agents who were seeking to arrest him on March 24th. The man was active in chat rooms associated with two neo-Nazi groups: the longstanding National Socialist Movement (NSM) and the accelerationist group Vorherrschaft Division (VSD).

The NSM was involved in the 2017 “Unite the Right” rally in Charlottesville, Virginia, and is facing a federal lawsuit for its role there. VSD is an organization that urges members to engage in mass shootings or terror attacks to help bring about the collapse of modern civilization. This is disturbing and distracting when we are seeing a few nascent signs that Americans are coming together in the fight against COVID-19.

Second, many saw, or have heard about Trump’s Sunday “briefing” where he doubled down on his pushing chloroquine or hydroxychloroquine as a possible cure for Coronavirus. Trump again said “what do you have to lose?” Remember that chloroquine and hydroxychloroquine are used to treat malaria and lupus.

It turns out that many of us may indeed have something to lose. In an abstract from researchers at Johns Hopkins entitled: “Fatal toxicity of chloroquine or hydroxychloroquine with metformin in mice” they say: (emphasis by Wrongo)

“…we report a cautionary note on the potential fatal toxicity of chloroquine (CQ) or hydroxychloroquine (HCQ) in combination with anti-diabetic drug metformin. We observed that the combination of CQ or HCQ and metformin, which were used in our studies as potential anti-cancer drugs, killed 30-40% of mice.”

Metformin is the fourth most prescribed drug in the US and is used by more than 150,000,000 people worldwide. It is usually the first drug prescribed for Type 2 diabetes. Its side effects are usually mild, and it is even being researched as a possible “longevity” drug.

Now, these mice results aren’t conclusive, so it may or may not be lethal in humans. This is why we test before prescribing an approved drug for another disease.

BTW, Drugs.com says there are 332 HCQ drug interactions (59 of them are major), but it doesn’t list Metformin as one of them. Feeling lucky?

Despite this, the NY Post reports that as many as 4,000 patients are currently being treated with hydroxychloroquine:

“A state Health Department official said the DOH has shipped doses of hydroxychloroquine to 56 hospitals across New York…”

And NYU Langone Medical School is conducting a random trial with a $9.5 million grant from the Bill & Melinda Gates Foundation. Sooner or later, we’ll have some proof if it helps with COVID-19, and whether it is safe for people who take Metformin.

So, the answer is, at this point, you may have a lot to lose.

Remember the guy pushing this told us that the cure can’t be worse than the disease, so we should all go back to work, before he had to admit that he had spoken too soon. Now, he’s pushing a cure that MIGHT be worse than the disease.

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Monday Wake Up Call – April 6, 2020

The Daily Escape:

Texas bluebonnets, Round Rock, TX – 2018 photo by dried_fruit

Here are the latest national numbers (which will be out of date by the time you read them). From The COVID Tracking Project: (as of 4/4)

  • Number of daily cases: 305,755, up 33,767 or +12.4% vs. April 3
  • Rate of case increase: 12.4% vs. 13.75% on 4/3 and 15% average for the past week
  • Number of deaths: Total 8,314, up 1,352 vs. April 3
  • Rate of deaths increase 4/4 vs 4/3: 19.4% % vs. 20.4% on 4/3
  • Daily number of tests 4/4 vs. 4/3: 1,623,807, up 226,945 over 4/3
  • Rate of increase in tests: +16.2% vs. previous day

The rates of growth in cases and deaths have begun to slow. In the past week, they are in a decelerating trend, declining by about 1%/day. Testing is growing, which is a very good thing.

Just when you think you can’t get any more cynical about America’s response to the pandemic, we tumble to the fact that about a third of hospital emergency rooms are now staffed by doctors on the payrolls of two physician staffing companies, TeamHealth and Envision Health. They are owned by two Wall Street private equity firms. Envision Healthcare employs 69,000 healthcare workers nationwide while TeamHealth employs 20,000. Private equity firm Blackstone Group owns TeamHealth; Kravis Kohlberg Roberts (KKR) owns Envision. Private equity is the term for a large unregulated pool of money run by financiers who use that money to invest in, lend to, and/or buy companies and restructure them.

Wrongo began hearing that despite the urgent pleas from hospitals on the front lines of the COVOID-19 outbreak, nurses and doctors were being taken off schedules in nearby places once “elective” procedures were suspended, as they are at many hospitals and clinics. That means the associated revenues were lost, or at the very least, postponed.

Here’s a report from Yahoo Finance:

“KKR & Co.-backed Envision, which carries over $7 billion of debt amassed through one of the biggest leveraged buyouts in recent years, reported steep drops at its care facilities. In just two weeks, it suffered declines of 65% to 75% in business at its 168 open ambulatory surgical centers, compared to the same period last year, the company said in a private report to investors. About 90 centers are closed.”

Private equity has taken over more and more of hospital staffing, including emergency departments. The legal fig leaf that allows private equity firms like Blackstone and KKR to play doctor is that their deals are structured so that an individual MD or group of MDs is the nominal owner of the specialty practice, even though the business is stripped of its assets. The practices’ operating contracts are widely believed to strip the MDs of any say in management.

Care of the sick is not the mission of these companies; their mission is to make profits for the private equity firms and its investors. In 2018, Paladin Healthcare, an entity owned by private equity baron Joel Freedman, bought Philadelphia’s Hahnemann University Hospital. This hospital served the poor, and Freedman closed it down so he could use the land to build luxury apartments.

When the city recently asked to use the empty hospital as part of its solution for the Coronavirus pandemic, Freedman demanded $1M/month in rent. Overcharging patients and insurance companies for providing urgent and desperately needed emergency medical care is bad enough. But holding a city hostage?

In another example, STAT reports on another private equity firm: (emphasis by Wrongo)

“Alteon Health, which employs about 1,700 emergency medicine doctors and other physicians who staff hospital emergency rooms across the country, announced it would suspend paid time off, matching contributions to employees’ 401(K) retirement accounts, and discretionary bonuses in response to the pandemic…The company also said it would reduce some clinicians’ hours to the minimum required to maintain health insurance coverage, and that it would convert some salaried employees to hourly status for “maximum staffing flexibility.”

NY’s Governor Cuomo and others are pleading to have doctors come out of retirement, and here we have skilled doctors who have the training and are being asked to work fewer hours? All of the Republican talk about “choice” and “markets” in healthcare is just self-serving BS that benefits their buddies.

Time to wake up America!

Why do private equity firms continue to benefit from the “carried interest” tax loophole? Shouldn’t they shoulder their part of the financial grief the pandemic is causing to our country?

To help you wake up, here is John Lennon’s 1970 song, “Isolation”. It appeared on John Lennon/Plastic Ono Band. It has a whole new meaning in today’s context:

Sample Lyric:

We’re afraid of everyone,

Afraid of the sun.

Isolation

The sun will never disappear,

But the world may not have many years.

Isolation.

Those who read the Wrongologist in email can view the video here. 

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Sunday Cartoon Blogging – April 5, 2020

We’ve already lost more Americans to the Coronavirus in the month of March than we lost during the 9-year long Iraq war.

Here are the latest national numbers (which will be out of date by the time you read them). From The COVID Tracking Project: (as of 4/3)

  • Number of daily cases: 271,988, up 32,889 or +13.75% vs. April 2
  • Rate of case increase: 13.75% vs. 15% for the past week
  • Number of deaths: Total 6,962, up 1,178 vs. April 2
  • Rate of deaths increase 4/3 vs 4/2: 20.4% % vs. 23.1% on 4/2
  • Daily number of tests 4/3 vs. 4/2: 1,407,344, up 139,596 over 4/2
  • Rate of increase in tests: +11% vs. previous day

There is some evidence above that “flattening the curve” is working. Wrongo recommends visiting The COVID Tracking Project which has the most comprehensive data, both nationally, and by state. It is updated several times a day and can be exported to your device, if you are interested.

On to cartoons, starting with a chart Wrongo originally posted on Wednesday, now updated by Sharpie, showing why wearing a mask may be a very good idea:

Georgia governor Kemp said he didn’t know the virus could be spread without symptoms. Why do so many Republicans excuse their behavior by saying “I didn’t know“? Aren’t they the party of personal responsibility?

Kushner and Pence: little men trying to operate WAY beyond their abilities:

Remember when George W. Bush was the most incompetent president imaginable?

Remember when George W Bush was the most incompetent president imaginable?

Perhaps, “Thou shall not run a church as a money making enterprise” might help:

Why is gathering in a church not as dangerous as sitting in a restaurant? Is it because God will protect you in a church but not at Applebees? Or is group praying simply worth the risk? Or that Republican governors are afraid of pissing off their evangelical base?

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