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Astroturf U: Goldman's For-Profit College Battles Obama Crackdown
It's a classic move by an industry player feeling the squeeze of pending regulation: Hire a lobbying firm to create the appearance of widespread opposition via a carefully stage-managed astroturf campaign. One of the latest outfits to give this strategy a try: Education Management Corporation (EDMC), a multibillion-dollar heavyweight in the for-profit higher education industry that's the subject of multiple lawsuits and ample criticism from investors, lawmakers, and government officials who accuse the company of a range of deceptive business practices. The company, whose majority stockholder is Goldman Sachs, recently hired a GOP-linked lobbying shop known for its astroturfing prowess to fight a proposed federal rule that has the entire industry fretting about its future.
Education Management Corporation operates Argosy University, Brown Mackie College, South University, and various Art Institutes. On August 24, EDMC CEO Todd Nelson blasted out an internal email, first reported on by the New America Foundation's Higher Ed Watch blog, saying that the company had hired DCI Group, a Washington-based lobbying and public relations firm with a controversial history, to coordinate a campaign against the Education Department's proposed "gainful employment" rule. The rule would establish metrics for assessing graduates' ability to repay their student loans as a way of judging whether an academic program is truly fulfilling its mandate: preparing graduates for "gainful employment."
For-profit colleges have made no secret of their opposition to this rule; Harris Miller, president of the Career College Association, the industry's top trade group, described it as "unwise, unnecessary, unproven." And for-profit colleges have let the Education Department know their displeasure in a major way. Little wonder why: Education Department officials say the new rule would disqualify 5 percent of programs from receiving federal student aid money, and 55 percent would face limits on growth and mandates to warn students about the risks of excessive borrowing.
Kettleman City's Toxic Web
In the small Latino farmworker community of Kettleman City, California, at least 11 babies in the past three years have been born with serious birth defects, and several infants have died. Residents blame the recent spate of tragedy on the vast hazardous-waste dump three miles from town. But Kettleman City has numerous environmental villains, including contaminated tap water, heavy air pollution, and daily toxic pesticide exposure. In fact, residents' health is compromised in so many ways that Rachel Morello-Frosch, an environmental health researcher at UC-Berkeley, calls Kettleman City "a poster child for cumulative impacts." You can read the full story here, or view a photo essay exploring the tragic impact of cumulative pollutants on Kettleman City families.
Interstate 5 and State Route 41 Each day up to 400 semitrucks pass within 4 miles of residential homes in Kettleman City. Nearly 100 trucks, some of them bearing toxic waste, roll directly through town on State Route 41.
Farms The state of California is investigating possible links between pesticide exposure and Kettleman City's birth defects.
Waste Management landfill The largest hazardous-waste dump west of the Mississippi stores asbestos, pesticides, and petroleum products, as well as PCB-contaminated wastes, which the EPA suspects may be linked to birth defects. A recent EPA investigation found PCBs in the soil (PDF) outside a storage building and concluded that Waste Management had improperly disposed (PDF) of waste.
Gas fumes The California EPA says pollution from gas stations—there are 5 in the town of 1,500—could be linked to the birth defects.
Petroleum deposits Potential contamination from oil and gas drilling in the Kettleman Hills includes toluene, which has been linked to birth defects.
Food desert Cleft palates and neural tube defects are associated with deficiency in the vitamin folic acid, which is found in leafy green vegetables as well as fortified baked goods and cereals. Some researchers suspect diet might be a factor in the Kettleman City mystery.
Contaminated tap water Kettleman City's two municipal wells contain what the California EPA calls "elevated levels" of arsenic and benzene, both carcinogens that are also suspected of causing birth defects.
California Aqueduct The state Department of Toxic Substances Control is testing the aqueduct for toxic chemicals; some Kettleman residents eat fish (PDF) from the waterway.
No Comments | Post CommentWhat's Killing the Babies of Kettleman City?
[Editor's Note: See a related photo essay here.]
THE FIRST BABY'S NAME was America. She was born in September 2007, with Down syndrome, two heart murmurs, and part of her upper lip missing. She couldn't suck from a nipple, so her mother, Magdalena Romero, would stay up through the night to feed her with a special tube. America showed pleasure in music and delighted in being held by her four siblings. Magdalena thinks they felt a special tenderness for her because of her vulnerability.
Hospital officials told Magdalena that the baby wouldn't live a year, but she didn't want to believe it. Then, one morning when America was nearly five months old, her lips turned purple. Concluding that paramedics would consider a rescue futile, Magdalena drove the baby to the hospital herself and insisted that all efforts be made to save her. For a few days, America survived, tethered to machines. Then she died in her mother's arms.
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