The Subprime Mortgage Crisis Devastated From The Global...

Writing Assignment #2 Financial Market Yuxue Zhang The 2008 subprime mortgage crisis devastated from the global financial market. People believed that the â€Å"Big Three† credit rating agencies played a significant role at various stages in the crisis. The Reuters, in an article published in 2011, even claimed that credit rating agencies triggered the financial crisis. The Reuters believed that Moody’s Corp and Standard and Poor triggered the worst financial crisis in decades by downgrading the rating on complex mortgages securities triggered the worst financial crisis in decades. However, the problems of rating agencies have existed for quite a long time and accelerated the crash down in some extend. In my opinion, despite the significance of the â€Å"trigger†, the credit rating agencies served as the â€Å"catalyst† for the crisis by inducing the investor to enter under-served markets. First, there is too much trust and investors are over confident about the rating from the â€Å"Big Three†. R ating agencies are remarkably profitable businesses, and they exhibit exceptional influential in the global financial market. As the global capital market grows rapidly, investors seek trustworthy and standardized tool to help their investment decisions. Therefore, when Moody first introduced the rating system in his â€Å"Moody’s Analyses Railroad Investment†, the system gained recognition quickly and became popular to investors. When problems of credit risk quickly escalated as financial market grew,Show MoreRelatedThe Subprime Mortgage Crisis Devastated The Global Financial Market1031 Words   |  5 PagesWriting Assignment #2 Financial Market Yuxue Zhang The 2008 subprime mortgage crisis devastated the global financial market. People believed that the â€Å"Big Three† credit rating agencies played a significant role at various stages in the crisis. The Reuters, in an article published in 2011, even claimed that credit rating agencies triggered financial crisis. The Reuters believed that Moody’s Corp and Standard and Poor’s action of downgrading the rating on complex mortgages securities triggered theRead MoreFinancial Crisis After The Great Depression1229 Words   |  5 Pages2008 Financial Crisis Not since the great depression was there such a devastating economic crisis as the 2008 financial crisis. A crisis rooted from the burst of the housing bubble in the U.S. thus leading to the government being brought down, ruined economies, crumbled financial corporations and impoverish lives of numerous individuals. As reported in McClean and Nocera’s All the Devils Are Here: The Hidden History of the Financial Crisis, â€Å"the seeds of [the] financial disaster were sown more thanRead MoreA Brief Note On The Economic Impact On The Economy1533 Words   |  7 Pagesstill rebounding from the 2007-2010 subprime mortgage crises. There was a sudden expand in mortgages which contributed to the subprime mortgage crises. The expand in mortgages resulted from an increase of mortgages obtained from borrowers who couldn’t qualify for a mortgage previously. Since more people were eligible for mortgages, house prices increased (Duca, 2013). Before the subprime mortgage crises, it was harder for people with low credit to receive an approval for a mortgage. Lower creditRead MoreThe Stock Market Crash Of 19291590 Words   |  7 PagesThe cause of the crash in the stock market in 1929, was an incident that occurred on October 29, which was called Black Tuesday. Investors traded 16 million dollar of shares toward the New York Stock Exchange in a day, upon that billions of dollars were lost and investors lost their business or their jobs. one of the major reason why was that car and other factory produced certain quota of cars. during the great depression people who were rich is now poor and the poor and the poorer. people wereRead MoreThe Birth Of Structured Products3512 Words   |  15 Pagescould give to the greediest investors exposure to markets that they could not enter into by themselves. Because of the recent history and wide variety of structured products, no standard definition exists. In general they are defined as â€Å"financial instruments with cash flows that depend on the value or performance of underlying assets or embedded derivatives† (Bennett, 2013, p.19). Their three main characteristics are: †¢ They derive their rating from the quality of the collateral; †¢ Their credit ratingRead MoreThe American Dream And The Mortgage Crisis Essay1743 Words   |  7 PagesWriting 102 9 November 2016 The American Dream and the Mortgage Nightmare Every country’s economy is greatly impacted by the beliefs and the attitudes of its citizens; conversely, the action of the people is affected by the country’s economy. In other words, economy of a nation and character of the citizens are correlated. For instance, in the United States, the â€Å"American Dream† to own a home had a huge influence on the mortgage crisis in 2008. However, the economy at that time period had beenRead MoreCorporate Governance RBS Essay1516 Words   |  7 Pagesrampant, unchecked empire-building at the cost of shareholder value and led to a spiral of unaccountability and gross incompetence. Stakeholders’ loss of confidence from misinformation and misdirection was an inevitability that sealed RBS’s fate. The Royal Bank of Scotland (RBS) Group is a publicly traded firm that began its ascension as a global banking entity under the leadership of Sir George Mathewson1. In 2000 RBS was able to secure a hostile of the National Westminster Bank2,3 leading Mathewson toRead MoreThe Crisis And Financial Crisis2128 Words   |  9 PagesSince 1970s, with the continuously deepened process of financial liberalisation and financial deregulation, the increasing improvement of financial innovation and the intensified fierce competition, diversified operational strategy has shown an increasingly apparent trend among financial institutions. A wave of business diversification swept global financial firms from the later 1980s until the recent financial crisis happened. From the microeconomics perspective, comparing with specialised businessRead MoreThe Federal Reserve System Financial Crisis5929 Words   |  24 PagesThe Federal Reserve System amp; Financial Crisis Alejandro Cuervo Wilmington University Abstract As we go into our research on the financial crisis of 2007, we will try to answer some questions about what actually cause of the failure of our financial system, which almost collapse the dollar. While there are plenty of faults to go around on what cause this crisis, there was never a clear path on how to reverse the demand that was cause by repealing the Glass-Steagall Act of 1933. AlthoughRead MoreQuantitative Easing Explored Essay2977 Words   |  12 Pages The recent recession lasting from 2007 until 2009, and the effects of which are still highly visible in the U.S. economy, led the Federal Reserve to use new and largely untested methods for protecting the country from a total financial collapse. The new strategy, which blurs the lines between monetary and fiscal policy, had been attempted only once before, and is open to criticism from several difference angles. This report documents the history, purpose, and controversy surrounding quantitative

Kellie P. Tindley. Professor Tavel. March 07, 2017. English

Kellie P. Tindley Professor Tavel March 07, 2017 English 204 Sing Those Spiritual Secrets â€Å"My music is not for everyone. It’s only for the strong-willed, the (street) soldiers music. It’s not like party music-I mean, you could gig to it, but it’s spiritual. My music is spiritual. It’s like Negro spirituals, except for the fact that I’m saying ‘We shall overcome.’ I’m saying that we are overcome. -Tupac Shakur- As of 2017 we are 152 years free of slavery in America. But, that doesn’t mean that mentally we as a people aren’t still singing through spirituals. There are many movements that are going on in America as of today that are still fighting for freedom of rights, equality, love and speech. Those empowerment movements beat from the same†¦show more content†¦Then not just known as slaves but as Africans. Africans came from the land in which the rivers and food for hunting flowed abundantly and their land was their land. Africans came from the land where tribal dance and song were praises to the gods or just to rejoice in happiness. Though Africans also kidnapped or own other slaves it wasn’t in brutality and they may even have a chance to escape because they were in their own land. When Africans were brought over to the US territories they had no form of communication with outsiders but only within their own. And, the only way they could hold on to land of t heir home was to still give way to their traditional form of dance and tribal praise. After years of enslavement, the African slaves became Americanized and later converted to African-Americans, understanding English but not all could read or write English. The master’s thought their slaves Christianity; the stories of Moses, Jesus and the Bible in whole. The slaves endure hardship after hardship, that today Americans couldn’t hold the strength capacity to survive. The slaves had white masters that looked at them as nothing more than cattle or property; not all but most. The slaves were field workers of inhuman tolerances, house workers, toys for the master’s children, and forced sexual objects (rape). The slaves may have not known yet how to physically escape the endeavors of their white slave master’s but

Computer Addiction Essay Example For Students

Computer Addiction Essay March 2, 2000 There once was a time when the only computers known to the averageperson were those the military possessed. Eventually, large corporations foundmany different uses for computers in the business world, and today, computersare as common in numerous households around the globe. People from all agegroups are learning to operate computers and anyone who has worked withcomputers for long periods of time knows that computers can be just as addictingas smoking. Computer addiction can have a number of physical, social, andpsychological effects on a person and it is to be taken as seriously as anyother addiction that a person is battling. One common physical effect computeraddiction can have on a person are back problems. Sitting for so long can take atoll on a persons muscles and can result in poor posture. Poor posture canresult in chronic back problems that require the services of a chiropractor. Dryeyes, carpal tunnel syndrome, and vision complications are some eye problemsca used by over use of a computer. Migraine headaches are quite common incomputer addiction and are linked to the straining of the eyes. Because of thelong hours spent engrossed in a computer, addicts often have eatingirregularities, such as skipping meals and binge eating. Computer addictsexperience sleep disturbances, or changes in sleeping patterns, which are mostlikely due to late hours on the computer and low blood sugar from eatingirregularities. One last effect is the failure to attend to personal hygiene,such as bathing, combing hair and brushing teeth. All of these physical effectscan be linked to computer addiction. Social effects of computer addictioninclude reduced time spent socializing with others. People may begin to feelthat their computer is the only relationship that they have the time to focuson. They lose the desire for human contact and communication and in a way theyare breaking away from reality. Lacking the desire to make contact with others,means lacking the de sire to create new relationships or to build on alreadyexisting ones. After a certain amount of time, they lose their conversationskills completely. Within the lives of computer addicts it is their friends andfamily that suffer the most from this form of alienation. They are often movedto the very bottom of the computer addicts list of priorities. Computeraddiction has the power to cause serious social effects and cannot be leftuntreated. Along with the physical and social effects of computer addictionthere are also psychological effects. Some psychological symptoms experienced bycomputer addicts when they are not at the computer are feelings of depression,emptiness, irritability, distraction and withdrawal. Feelings that are commonwhen addicts are at the computer are a sense of euphoria or well-being. Thesesenses of complete ecstasy and pleasure also causes and inability for people whoare addicted to computers to stop the activity. They end up having a constantcraving for more time at the computer, and this is where one can identify anaddiction. Along with addiction comes a need to cover up their secret andcomputer addicts often lie to those around them. For example lying to employers,and family members about their hours spent at the computer and also denying theyhave a problem. This lying a sneaking around eventually results in problemseither at school or at work. The psychological effects of computer addiction maynot only lead to distraction and emptiness but may also lead to criticaldepression. When people think of addictions, no one ever thinks of computeraddiction to actually be common. In this age of computers, computer addictionwill only increase as time passes. More and more people will experience thephysical, social, and psychological effects of computer addiction but,thankfully, like other addictions, this condition is treatable. .u2aae0ad4f04ab39b7208f1a1993fa274 , .u2aae0ad4f04ab39b7208f1a1993fa274 .postImageUrl , .u2aae0ad4f04ab39b7208f1a1993fa274 .centered-text-area { min-height: 80px; position: relative; } .u2aae0ad4f04ab39b7208f1a1993fa274 , .u2aae0ad4f04ab39b7208f1a1993fa274:hover , .u2aae0ad4f04ab39b7208f1a1993fa274:visited , .u2aae0ad4f04ab39b7208f1a1993fa274:active { border:0!important; } .u2aae0ad4f04ab39b7208f1a1993fa274 .clearfix:after { content: ""; display: table; clear: both; } .u2aae0ad4f04ab39b7208f1a1993fa274 { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .u2aae0ad4f04ab39b7208f1a1993fa274:active , .u2aae0ad4f04ab39b7208f1a1993fa274:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .u2aae0ad4f04ab39b7208f1a1993fa274 .centered-text-area { width: 100%; position: relative ; } .u2aae0ad4f04ab39b7208f1a1993fa274 .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .u2aae0ad4f04ab39b7208f1a1993fa274 .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .u2aae0ad4f04ab39b7208f1a1993fa274 .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .u2aae0ad4f04ab39b7208f1a1993fa274:hover .ctaButton { background-color: #34495E!important; } .u2aae0ad4f04ab39b7208f1a1993fa274 .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .u2aae0ad4f04ab39b7208f1a1993fa274 .u2aae0ad4f04ab39b7208f1a1993fa274-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .u2aae0ad4f04ab39b7208f1a1993fa274:after { content: ""; display: block; clear: both; } READ: Oxygen Essay Thesis

Operation Management Efficient Possible Product Process

Question: Discuss about the Operation Management for Efficient Possible Product Process. Answer: Introduction: Operation management relates to the control of the business process and the production process in an efficient possible manner. The management of the operation involves the certain responsibilities. The operation management involves the efficient operation of the business both in the terms of using the minimum resources that are essential and in meeting the requirement of the customers with a high standard. The management of operation involves the process that converts the labour, raw material and energy into the product and services (Ribeiro, 2008). The creativity and skills of the people, rational analysis, and the technological knowledge are the important aspects of the operation management. Hawkesbury Cabinets current production system and processes The Hawkesbury Cabinet Company designs and manufactures the kitchen cabinetry. In 2008, the company founded by the siblings Mei Chen and Fung in Mulgrave, Sydney. The Mei Chen is the qualified interior decorator and the Fung is the master cabinetmaker. The Hawkesbury Cabinet Company, is originally working according to the needs of the Chinese community. As the company grows day by day, the company found that the customers have more and more diverse interest. Fung works as the production and operation manager and Mei Chen has found her interest in the management of the finance and the enterprises overall. The company mostly focuses on the custom-based kitchen cabinetry, but as the reputation of the company increases, it also signed the small contracts from the small spec builders for the standardized kitchen cabinetry. The builders clients are more sensitive to the delivery requirement and more stringent to the price than the custom-based buyers (Radomska, 2014). The company more focu ses on the custom-based kitchen cabinetry, but the builders kitchen cabinetry also become important. The standardized kitchen accounted the 25% revenue of the company and 40% of the factory volume. The current production process for the company is as follows In Mulgrave, the company operates the single manufacturing unit. In this manufacturing unit, both the standardized and the custom-based cabinet manufacturer. The equipment that used for the manufacturing of the cabinets for the general purpose to fulfil the needs of the customers in the custom-based cabinets (Thomason, 2004). In the layout of the factory, the various types of the equipment grouped together. The saws and the cutting tables placed in the one section, the shapers and routers in the other sections, while the less using equipment such as lathes placed in other section away from the work area. In the factory premises, there are numbers of the assembly sections. In the environmentally controlled section, painting and finishing did in the rear of the facility. The quality of the finished product reflects the superior quality of the raw material used and craftsmanship of the cabinet makers. Both the standardized and custom-based cabinets have to compete for the time for the processing on the same equipment and from the same cabinetmakers. This is the current production process of the company (Ortgiese and Hubschneider, 2008). The company is not using the Business Process Redesign, Six Sigma, reconfigurable manufacturing system and Lean manufacturing theories in the operational management. The effect of the new builders kitchen line The current operation of the company is not managed properly, as the operation management is the management related to the minimum use of the resources for the production of the goods and services of the highest quality. That is the operational management is the production of the best quality product through the minimum cost in the terms of the resources to gain the maximum profit. As in the essay, it already discussed that the demand for the builders kitchen line also increased with the increasing demands of the custom-based kitchen cabinets. The Hawkesbury cabinets mostly focus on the production of the custom-based kitchen cabinets because of their higher sale and profit as compared to the builders kitchen. However, in the production process, both the standardized kitchen line and the custom-based kitchen line have to compete with each other because of the same equipment and the same craftspeople. As the company gives priority to the custom-based kitchen line, the components of the standardized kitchen line left sitting in the manufacturing plant in the different sections (Alfaro, Ortiz and Poler, 2007). Thus, the company that has enough space now becomes congested factory because of the clogging of the partially completed standardized kitchen cabinets. Both the products also faced the problem of the late deliveries that affect the reputation of the company. Hence, the builders kitchen line affects the production of the custom kitchen cabinets because both use the same equipment and the cabinetmakers. Both of the products face the late delivery problem. The production and the business process of the company do not manage to gain maximum profits from the minimum cost. The effect of the new builders kitchen on the financial position The standardized builders kitchen has a negative impact on the financial position of the company. As the sales of the both of the product increased, but the profits are not as such they required. Because, the cost associated with the manufacturing of the standard kitchen cabinets increased, the excess capital used for the work in process, raw material inventory and the finished product. The company had rented the space for the accommodation of the inventory increased volume. In the manufacturing unit, there is no space for the expansion. As in the essay, it is already discussed that the standardized kitchen cabinets have less profit and less sales, but they have more impact on the financial position of the company (Graham, 2010). The company more of the space of the company occupied by the partially completed work of the standardized kitchen cabinets and the company have rented the warehouse for the inventory. The Hawkesbury Cabinets Pvt Ltd Company is not able to manage its operation because of the production of the two products that use the same equipment and the craftspeople. The company gives important to one of its products than the other. There is not proper management of the production of the both products that is why the company is facing the financial and other operational related problems (Ozbilgin and Penno, 2005). The operational management of the company is unable to produce the goods and services of the highest quality at the minimum cost in terms of the resources. Conclusion The Hawkesbury Cabinet Company is the manufacturing the kitchen cabinets. The company does the excellent growth in the few years. The company mainly focuses on the custom-based kitchen cabinet manufacturing, but it also manufactures the standardized kitchen cabinet of the builders. The sale of the both types of the cabinets increased, but now the company is unable to manage the production of the both types of the cabinets with high quality at the minimum cost. The company is not making as much profit as expected from the sale of the products. The main reason behind this problem is the company is using the same equipment and the same craftspeople for the manufacturing of the two products and the company give importance to the manufacturing of the custom-based cabinets. References Alfaro, J., Ortiz, A. and Poler, R. (2007). Performance measurement system for business processes.Production Planning Control, 18(8), pp.641-654. Graham, M. (2010). The Digital Economy. Business Organisation, Production Processes, and Regional Developments.Regional Studies, 44(3), pp.385-386. Ortgiese, M. and Hubschneider, H. (2008). Operational Aspects of Cooperative Systems Organisation, Operation and Financing of Innovative Telematics Services (Betriebsaspekte kooperativer Systeme Organisation, Betrieb und Finanzierung innovativer Telematik-Dienste).it - Information Technology, 50(4/2008). Ozbilgin, M. and Penno, M. (2005). Corporate Disclosure and Operational Strategy: Financial vs. Operational Success.Management Science, 51(6), pp.920-931. Radomska, J. (2014). Operational risk associated with the strategy implementation.Management, 18(2). RIBEIRO, L. (2008). Operational Aspects: Practical aspects of conducting a trial.Acta Ophthalmologica, 86, pp.0-0. Thomason, D. (2004). Strategic, tactical, operational [demand management].Manufacturing Engineer, 83(3), pp.34-37.

Literature Review Essay Sample With Abstract

Literature Review Essay Sample With AbstractA literature review essay is a method to summarize all the topics and ideas discussed in the paper. This article will give you a literature review essay sample with an abstract.An abstract generally consists of a few lines. It contains important information about the work that is being reviewed. The purpose of the abstract is to clearly describe the subject or topic of the work that has been reviewed. An abstract generally gives the reader a detailed summary of the main points discussed. The abstract typically starts with a single paragraph about the work or topic.An abstract begins with the main body of the paper giving important information about the literature that is being reviewed. The outline also should give a general idea of the work and how it will be reviewed. The overview should also contain a brief explanation of the results or findings from the literature review.The next paragraph provides an introduction to the ideas or conten t of the abstract. The abstract should start with a description of the subjects and topics that have been reviewed. The author then gives a brief summary of the conclusions or findings found in the literature that has been reviewed.After the overview, the author then gives key points that were found in the works reviewed. This summary basically describes what the reader should expect when they read the paper. It gives the readers a general idea of what the paper is about.The author then concludes the summary by giving a conclusion to the abstract. The conclusion usually summarizes the research that was done and provides an answer to the question being raised in the literature review. This is a brief summary of the topic and may be accompanied by an explanation or a conclusion.Finally, the abstract gives the reader the idea of what to expect when they read the paper. An abstract is one of the most important parts of a review and is a must for every paper.When writing a literature rev iew, an abstract should be written to make the reader understand what is expected when they read the paper. They should also be given attention so that they do not lose the reader during the reading.

TITANIC LIABILITY Essays - Film, Academy Awards, RMS Titanic, Canada

TITANIC LIABILITY April 14, 1912, the ship that even God could not sink met an untimely demise. The "unsinkable" R.M.S. Titanic set out on its maiden voyage to ferry 2,227 men, women and children to America from Southampton. Some of the wealthiest people on the planet were passengers on the ship while others were simple folk traveling in search of a better life for themselves and their families. The following is an account used as a "mock" trial developed by the Anderson, Kill Olick, P.C. law firm to explore a case of tort for negligence in Jensen v. White Star Line. Hans Jensen, a 20-year-old carpenter, and his fiance' Carla Jensen, her brother, Svend, and her Cousin, Niels, were traveling on the "unsinkable" R.M.S. Titanic to The United States. Hans had hoped to make a better wage in America. Hans and Carla shared the same last name but were neither related or married at this time. Because of this, Carla resided in the back part of the ship on Deck F with the other single women, while the boys were stationed on the opposite side of the boat. The facts show that the Titanic was warned well enough ahead of time of possible icebergs and impending danger ahead. The ship did not alter its course or speed. At the time the Titanic hit the iceberg, and the evacuation of the ship began, Hans was already on the top deck helping to load lifeboats. He grew concerned when he did not see his fiance' and began to search for her. Hans found Carla and helped her navigate the subdued crowd to the lifeboat area. He remained with her until she was placed on the boat and was gently lowered into the water below. Hans made a commitment to Carla that he would reunite with Carla in a few days. Alas, he never made it to New York, and his body was never found. Hans and Carla made a wise decision before departing, they choose to create their separate wills before the voyage. Hans named Carla as his sole beneficiary and estate executor. Because of this legal document, Carla takes Hans place as his estate's representative and plaintiff against White Star Lines. Carla Christine Jensen(Hans Jensen's fiance') sued on his estate's behalf. The defendant is WHITE STAR LINES and the witnesses, the Titanic's Second Officer Lightoller and Swedish military attache' Bjornstrom-Steffansson. The remedy being sought in the suit of Jensen v. White Star is compensatory damages to Mr. Jensen's estate for his death. The lawsuit claims the following: physical injuries and the pain and suffering Hans incurred as he froze to death in the cold waters of the North Atlantic, the emotional and anguish of knowing he was going to die which would leave his fiance' alone, and the financial losses for the wages he would have earned performing carpentry work. The plaintiff explained that the White Star Line was grossly negligent and how it was responsible for killing almost 1,500 children, women, and men many of whom were third class passengers including Hans Jensen. The plaintiff also sought punitive damages as punishment of White Star Lines for its wanton and reckless behavior of failing to operate and control the Titanic properly. Not only will punitive damages punish the company monetarily, but also hopefully deter a similar situation occurring in the future. Carla Jensen as the pl aintiff charged that White Star had been incredibly irresponsible in the duty of care for their passengers. She felt that White Star was negligent by failing to provide care as a reasonably careful person would have acted under the same circumstances. The White Star's reckless behavior of failing to properly operate and control the Titanic explain they had not cared about their duty to the passengers. Duty is defined as an obligation or conduct identified in the law as a reasonable behavior in light of a perceived risk. The White Star Line failed to conform to the required standard of care. The White Star Line and its agents, the crew of the Titanic, behaved in an unreasonable manner in many ways. They had the most modern ship in the world, equipped with a modern radio and

Low Income Home Energy Assistance Program Case Study

Low Income Home Energy Assistance Program Case Study Free Online Research Papers Part I. Introduction The economy in today’s society is in an unstable position. The costs of living, including energy bills are increasingly expensive. The heavy impact of economic hardships has trickled down into the low-family income bracket. The increase in gas and electric bills are significantly affecting low-income families in the District of Columbia. To mention, D.C. has the highest rate of child poverty in the nation. The percentage of African-American D.C. children living in poor families was 62%.2; more than half of D.C.s children live in low-income households. However, families in poverty and the increase in gas prices is a new problem. This crisis derived many years ago, but it is a continuing issue that led to a many legislative acts and the creation of a energy assistance program. Enabling Legislation For the most part, industrialized economies relied on crude oil, and OPEC was their predominant supplier. The Low Income Home Energy Assistance Program was established as a result of the increase in oil prices resulting from the Organization of Petroleum Exporting Countries (OPEC) oil embargo in 1973. In detail, the 1973 oil crisis started in October 1973, when members of Organization of Arab Petroleum Exporting Countries (OAPEC), consisting of the Arab members of OPEC, plus Egypt and Syria proclaimed and oil embargo â€Å"in response to the U.S. decision to re-supply the Israeli military† during the Yom Kippur war which lasted until 1974. OAPEC declared it would limit or stop oil shipments to the United States and other countries if they supported Israel in the conflict. To address these developments, the Nixon Administration began parallel negotiations with both Arab oil producers to end the embargo, and with Egypt, Syria, and Israel to arrange an Israeli troop withdrawal fr om the Sinai and the Golan Heights after the fighting stopped. By January 18, 1974, Secretary of State Henry Kissinger had negotiated an Israeli troop withdrawal from parts of the Sinai. The promise of a negotiated settlement between Israel and Syria was sufficient to convince Arab oil producers to lift the embargo in March 1974. By May, Israel agreed to withdraw from the Golan Heights. Independently, the OPEC members agreed to use their leverage over the world price-setting mechanism for oil to stabilize their real incomes by raising world oil prices. The action followed several years of steep income declines after the recent failure of negotiations with major western oil companies earlier in the month. Figure 1: The fluctuation in oil prices through the years (wikipedia.org) Legislative History The mid-to-late -1970’s, a time marked by rapidly rising fuel prices, also marked the beginning of federal energy assistance funding for low income households. The first national program to help low-income households was created in early 1975 to assist families with energy conservation primarily through home weatherization. This assistance was provided through a new Emergency Energy Conservation Program (EECP), enacted as part of the head start, Economic Opportunity, and Community Partnership Act of 1974. The funds were administered by the Community Services Administration (CSA), the successor agency to the Office of Economic Opportunity, which was responsible for many of the programs created as part of the 1964 war on poverty. Beginning in 1977, funds were also made available through the CSA to help families directly pay for fuel. Congress continued to appropriate funds for energy assistance programs through FY 1980, at which point a new program, the Low Income Energy Assi stance Program (LIHEAP) was enacted as part of the Crude Oil Windfall Profits Tax Act of 1980. The program was introduced in the Senate as the Home Energy Assistance Act, the bill that would become the Crude Oil Windfall Profits Tax Act. LIHEAP allocated funds to states in order to help low income households pay their home energy cost (www.neada.org.) The LIHEAP statute provides for two types of program funding: regular funds sometimes referred to as block grant funds - and emergency contingency funds. Regular funds are allotted to states on the basis of the LIHEAP statutory formula, which was enacted as part of the Human Services Reauthorization Act of 1984. LEGAL CITATIONS FOR ENERGY ASSISTANCE PROGRAM ADMINISTERED AT THE FEDERAL LEVEL BY THE DEPARTMENT OF HEALTH HUMAN SERVICES STATTUTE AND DATE OF ENACTMNENT PUBLIC LAW TITLE CITATION FISCAL YEAR AUTHORIZED PROGRAM NAME Department of the Interior and Related Agencies Appropriations for Fiscal Year 198011/27/79 96-126 N/A Supplemental Energy Allowance Program for the Low Income Population 1980 Energy Assistance Program (EAP) Crude Oil Windfall Profit Tax Act of 19804/2/80 96-223 III Home Energy Assistance Act of 1980 1981 Low Income Energy Assistance Program (LIEAP) Omnibus Budget Reconciliation Act of 1981 (OBRA)8/13/81 97-35 XXVI Low Income Home Energy Assistance Act of 1981 1982-1984 Low Income Home Energy Assistance Program (LIHEAP) Human Services Reauthorization Act of 1984 (HSRA)10/30/84 98-558 VI Low Income Home Energy Assistance Act of 1981, as amended 1985-1986 LIHEAP Human Services Reauthorization Act of 1986 (HSRA)9/30/86 99-425 V Low Income Home Energy Assistance Act of 1981, as amended 1987-1990 LIHEAP Augustus F. Hawkins Human Services Reauthorization Act of 1990 (HSRA)11/3/90 101-501 VII Low Income Home Energy Assistance Act of 1981, as amended 1991-1994 LIHEAP National Institutes of Health Revitalization Act of 19936/10/93 103-43 XX Low Income Home Energy Assistance Act of 1981, as amended 1995 LIHEAP Human Services Amendments of 19945/18/94 103-252 III Low Income Home Energy Assistance Act of 1981, as amended 1995-1999 LIHEAP Coats Human Services Reauthorization Act of 199810/27/98 105-285 III Low Income Home Energy Assistance Act of 1981, as amended 2000-2004 LIHEAP Energy Policy Act of 200508/08/05 Low Income Home Energy Assistance Act of 1981, as amended 2005-2007 LIHEAP Mission Statement The mission of the Low Income Home Energy Assistance Program is to assist low income house- holds, particularly those with the lowest incomes that pay a high proportion of household income for home energy, primarily in meeting their immediate home energy needs. Objectives U.S Department of Health and Human Services (DHHS), Administration for children and Families, Office of Community Services, Division of Energy Assistance LIHEAP is a federally funded block grant program that is implemented at the State, Tribal, and Insular Area levels. Grantees serve from low income households who seek assistance for their home energy bills. LIHEAP has been operating since 1982 and its purpose is: to assist low-income households, particularly those with the lowest incomes, that pay a high proportion of household income for home energy, primarily in meeting their immediate home energy needs. The program encourages priority be given to those with the â€Å"highest home energy needs†, meaning low income households with a high energy burden and/or the presence of a â€Å"vulnerable† individual in the household, such as a young child, disabled person, or frail older individual. Some forms of assistance available to low income households through state LIHEAP programs include: financial assistance towards a household’s energy bill, emergency assistance if a household’s home energy service is shut off or about to be shut off, and a range of other energy-related services that States may choose to offer, such as weatherization improvements, utility equipment repair and replacement, and budgeting counseling. LIHEAP grantees, i.e., States, Tribes and Insular Area governments, receive block grant funding from the Administration for Children and Families to run their LIHEAP programs. Additionally, LIHEAP grantees may receive separate contingency funds, which are released at the Presidents discretion to supplement needs in areas during times of energy emergencies, such as extreme weather or high fuel prices. State grantees may also apply for additional Federal funds through the optional LIHEAP leveraging program where the federal government provides funds to grantees that leverage their Federal LIHEAP funds with non-Federal energy assistance resources. Each year LIHEAP also awards a limited amount of funds under the REACH program to grantees that provide innovative plans through local community-based agencies to help LIHEAP-eligible households reduce their energy vulnerability and minimize health and safety risks from inadequate home temperatures. (www.acf.hhs.gov) LIHEAP remains dependent on federal appropriations process for its funding, which means the amount granted to the program varies from year to year. Federal funds for LIHEAP have fluctuated from a high of 2.1 billion in FY 1985 to a low of 1.0 billion in FY 1997. In FY 2006, Congress appropriated 2 billion for LIHEAP, however President Bush approved an additional $1 billion ($500 million in regular program funds and 500 million as emergency contingency funds), bringing the total funding up to 3 billion. In June of 2006, the House Appropriations Committee voted to cut LIHEAP funding by one third, returning LIHEAP’s funding to the 2 billion levels. It remains to be seen whether the Senate will accept the proposed cuts. Source: LIHEAP Report to Congress for FY 2000, Table 2 Even with the relatively high funding level for FY 2006, LIHEAP program directors faced an ongoing crisis. According to the US Department of Health and Human Services, between 1981 and FY 2000, the number of federally eligible households rose over 49 percent; however, federal fuel assistance funds rose only 22 percent. As a consequence, the percentage of federally eligible households receiving LIHEAP assistance has declined sharply, from 36 percent in 1981 to 20 percent in FY 2000. [1] The funds allotted to states cannot meet growing needs for heating and cooling assistance. The total number of recipient households has declined from 7.1 million in 1981 to 3.9 million in 2000, as states have had to restrict eligibility to the neediest of the needy. Despite the additional $1 billion appropriated for FY 2006, only 15 percent of households that were eligible received LIHEAP assistance. Source: LIHEAP Home Energy Notebook for FY 2001, page 26, figure 3-20 The residential energy burden (including heating, cooling and all other energy uses in the home) for all U.S. households in 2001 was $1,537 per household, or 7.0 percent of income. For LIHEAP recipient households, the respective figures are $1,301 and 17.2 percent, nearly two and one half times the average burden. At this level, many poor and elderly, including households with children, are forced to choose between heating their homes and purchasing food and/or important medications. Increasingly, the energy markets at the wholesale level have been deregulated and behave now like other commodity markets where price volatility exists. But price volatility adversely affects the poor, because they enter the market at the highest times of demand. Low-income consumers generally do not have the disposable income to purchase fuels off-season at lower costs. Thus, while energy prices have remained fairly stable on an annualized basis, seasonal price spikes have had terrible effects on the poor (www.liheap.org.) Clientele/ Special Interest Groups The clientele for LIHEAP are vulnerable individuals in households, such as a young child, disabled persons, or frail older individuals. TANF recipients- The Temporary Assistance for Needy Families Low Income recipients Disability recipients LIHEAP has proven to have successful relationships between the government, businesses, gas and electric utilities and community-based social service organizations. The Public Service Commission requires Potomac Electric Power Company (PEPCO), and Washington Gas to offer discount rates to low-income residential customers. Their special interest groups and networks are listed below: Change Incorporation- offer emergency rent, mortgage, and utility assistance to residents in Ward 1 Columbia Heights Shaw Family Collaborative- strives to build neighborhood-based systems that strengthens and nurtures families and keeps children, youth, and families safe from abuse; provides emergency assistance Community Council for the Homeless at Friendship Place- provides FEMA emergency rent and utilities in Ward 3 Intergovernmental Relations LIHEAP intermingles with governmental agencies at various levels of government. First, the LIHEAP program is an in sync with their state government and federal government. This program is regional and located in Boston, Dallas, New York, Kansa City, Philadelphia, Denver, Atlanta, San Francisco, Chicago and Seattle. There are also many federal agencies collaborating with the low income home energy assistance program on a federal and state level. FEDERAL AGENCIES Department of Energy o Energy Hog Energy Efficiency Campaign o Low Income weatherization Program o Monthly Energy Review o Residential natural Gas Customer Choice Programs o Short-Term Energy Outlook Department of Health and Urban Development Federal Emergency Management Control and Prevention Federal Energy Regulatory Commission NATIONAL ORGANIZATIONS Alliance To Save Energy American Council for an Energy-Efficient Economy Part II. PROGRAM MANAGEMENT Introduction There are different strategies organizations use to deal with business of managing a program. Moreover, program management is the process of managing several projects, often with the intention of improving an organizations performance based on planning, organizing, staffing, directing, budgeting, controlling, and evaluation. Managing an effective and efficient program means that leadership acknowledges the daily operations and implements order to maintain and organization. Briefly, on December 5, 2009, I meet with Mr. William Vazquez, Chief of the Low Energy Assistance program regarding managing this program. He was very resourceful and disseminated information. This section of the paper entails the structure of the how LIHEAP operates in terms of providing quality services to the public. Planning When planning for a new fiscal year, a detailed plan is submitted to the Department of Health and Human Services (DHHS). This plan includes the District of Columbia’s code that designates Administration for Children and Families as the agency to administer the Low-Income Home Energy Assistance Program (LIHEAP) for the District of Columbia and present information based on Assurance, Certification to the Assurances, Components Operated Under LIHEAP, Use of funds, Alternate Use of Crisis Assistance Funds Eligibility, Outreach Activities, Coordination and Benefit Levels: Equal Treatment and Determination of Benefits. This will provide in depth information for the Office of Budget management to distribute a sufficient amount of dollars in order to service as many individuals in need. The Governor of DC has delegated authority to make the assurances and certifications required as part of the LIHEAP application to the Executive Director of the DC Department of Health and Human Services. The detailed plan for future funding entails planning and administering of funds under the titled amount not to exceed 10 percent of the funds payable to such state under the title for the fiscal year. Also the state will pay from non-federal sources the remaining costs of planning of the program. So in the beginning of the fiscal year , LIHEAP provides such services at the local level, outreach and intake functions for crisis situations and heating and cooling assistance that is administered by additional State and local governmental entities or community-based organizations (such as community action agencies, area agencies on aging and not-for-profit neighborhood-based organizations), and in States where such organizations do not administer functions as of September 30, 1991, preference in awarding grants or contracts for intake services shall be provided to those agencies that administer the low-income weatherization or energy crisis intervention programs. However, LIHEAP plans to provide services that encourage and enable households to reduce their home energy needs and thereby the need for energy assistance, including needs assessments, counseling, and assistance with energy vendors, and report to the Secretary concerning the impact of such activities on the number of households served, the level of direct benefits provided to those households, and the number of households that remain unserved. The federal government strategically plans and set guidelines for the program. In planning for worst case scenarios and state emergencies, management combines different approaches, urban and regional, crisis management and rational Organizing and Leadership LIHEAP use a cross-functional team approach; employees from various departments meet as a team and resolve problems regarding civilians in need of energy assistance. The division maintains organization by using a matrix system. What helps distinguish who is eligible for the program is the guidelines. Cutomers’ information is in a particular database for tracking. Quarterly, data is retrieved from the system to calculate for future statistics and to maintain order. Leadership in the department comes from Keith Anderson, Director of Energy, following the chief of each division. Mr. Anderson gives directions to the chiefs and they implement each task throughout each division. Below is LIHEAP organizational chart. Organizational Structure of LIHEAP and Public Health Service Director of Energy Mr. Keith Anderson Chief of LIHEAP Mr. William Vazquez Chief of SEU Ms. Teresa Lawrence CAC Ward One ________________________________________ COC Ward Two ________________________________________ CAC Ward Three ________________________________________ CAC Ward Four ________________________________________ CAC Ward Five ________________________________________CAC Ward Six ________________________________________CAC Ward Seven ________________________________________ Chief of Weatherization Menda Richardson Intake workers(15) ________________________________________Staff Assistant Mr. Keith Anderson- Has a strong background in Finance and was recently promoted from chief of LIHEAP to the Director of Energy. Mr. William Vazquez- is responsible for proving low-income families with energy assistance o Intake workers- checks the eligibility of customers using a matrix system Mrs. Teresa Lawrence- is responsible for the sustainable energy utility programs Mrs. Menda Richardson- is the responsible for home visits and weatherize those in need Leadership Mr. Anderson, Director of Department of Energy sets realistic standards, encouraging efficient, productive performance, sets direction, organizes, encourages, inspires, and motivates others to do what needs to be done for the benefit of the department and overall institution. Also he is assertive and self confident in a tactful and positive manner in the discharge of his responsibilities. LIHEAP reinvents its organizational chart less frequent then other organization. They have a great over turn rate. Majority of employees remain with this division for a numerous years and some exceed 15 to 20 years; it varies. Staffing and Personnel Employers understand their requirements for hiring new employees. Specifically, LIHEAP want employees to know and understand the responsibilities for the specific job. Next, the position is advertised, current employees are entitled to apply, resumes are screen, candidates are interviewed, and candidates are selected based on the criteria. Majority of LIHEAP staff are civilians. During the hiring process, human resource management and superiors look for specific qualities. Mainly, employees are hired based on competency of computer skills, they are also trained and must sustain a level of sufficient experience they must be competent, and computer literate. In taker’s job description entails using the matrix system that is software on the computer. Potential candidates must rank high in the personality dimension and emotional intelligence section. After employed, management take approaches to motivate and promote growth within the organization. They monitor employee performanc e, appraise mid-year performance, determine the outcomes of performance ratings, reward excellence, determine how to manage poor performance and keep records. Budget, Control, Evaluations The U.S. House of Representatives Committee on Appropriations began the process of working on the spending guidelines for the federal government for fiscal year 2010, which begins on October 1, 2009. The Subcommittee on Labor, Health and Human Services, Education and Related Agencies marked up the appropriations bill in its jurisdiction on July 10. The Low-Income Home Energy Assistance Program (LIHEAP) has received a funding level of $5.1 billion, the maximum allocation allowed by law and the same level of funding with which the program operated in FY 2009. The basic grant would receive $4.5 billion, and $590.3 million would be available in emergency contingency funds. The basic grant would be allocated as follows: $3.669 billion would be allocated under the Tier 1 part of the formula and $839.9 million by the Tier 2 and Tier 3 parts. Like FY 2009, the program will continue to allow states to use an eligibility ceiling of 75% of state median income; however, unlike FY 2009, the funds will not be required to be completely distributed 30 days after enactment of the bill. On July 17, the Committee on Appropriations held a markup and adopted the legislation. The legislation, with the LIHEAP provisions included, then passed out of the House on July 24, and was sent to the Senate. In the Senate, the legislation passed out of the Labor, Health and Human Services, and Education Appropriations Subcommittee on July 28, and then out of the Appropriations Committee on July 30 with the same LIHEAP provisions as in the House version. The legislation will be taken up by the Senate as a whole in September. Although the House of Representatives succeeded in passing the Labor, HHS and Education appropriations bill, as well as the other 11 spending bills, before the August recess, the Senate has only passed four bills. Due to the remaining amount of work, it is expected that a stop-gap spending bill will be introduced when Congress returns from the August recess to ensure that the federal government runs passed the September 30, 2009 deadline. It is unsure as to how long an initial Continuing Resolution will last, or how many will be required. There is also a possibility of an omnibus spending bill if the Senate is unable to complete its work or if there are complications in any conferences that may need to be held between the two chambers of Congress on any of the bills. A breakout chart provided by the National Energy Assistance Directors Association (NEADA) that states how the grant money would be distributed to the states based on the House legislation can be found at neada.org/appropriations/2009-08-05-FY10AppropriationStatus.pdf. FY 2009 was the first year that the LIHEAP program was funded at its full appropriations level. Due to the level of allocated funds, LIHEAP was not a beneficiary of the stimulus bill at the beginning of the year. The American Recovery and Reinvestment Act did not include additional funds for LIHEAP; instead, Congress decided that this program would be best served through the traditional appropriations process. The program is evaluated by contractors and subordinates are evaluated quarterly and yearly on performance. Human resources developed a new computerized system especially for evaluations. The E system measure the performance of intake processes. After assuring that performance elements and standards are understandable and fair employees and supervisors will sign the Position Description and Performance Plan Certification of the PMR. The approving supervisor, who is generally a level above the immediate supervisor, signs stating that the Position Description and Performance is accurate. Employees are monitored in a variety of ways by holding periodic meetings to be updated on employee progress. Within 30 days of the mid-point of the performance cycle, the supervisor must initial a formal, face-to face progress review with each employee. Conclusion The Low Energy Assistance Program is available is assist eligible low-income families with many barriers due to the increase in energy prices and there are executing the policy proficiently. Many citizens are being helped with expensive Pepco and Washington Gas utility bills. Now that many legislative acts have been passed, citizens that are mobile inclined and low-income recipients, some forms of assistance will remain available. Throughout each state, LIHEAP programs will include: financial assistance towards a household’s energy bill, emergency assistance if a household’s home energy service is shut off or about to be shut off and a range of other energy-related services that states may choose to offer, such as weatherization improvements, utility equipment repair and replacement, and budgeting counseling. Work Cited 1973 Oil Embargo. www.en.wikipedia.org. Http://www.wikimediafoundation.org/, 15 Oct. 2009. Web. 27 Oct. 2009. . Wolfe, Mark. LIHEAP Brief Issue. National Energy Assistance Directors Association, Nov. 2007. Web. Oct. 2009. . LIHEAP Summary. www.ach.hhs.gov. Low Energy Assistance Program, 27 Feb. 2008. Web. 25 Oct. 2009. . 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