EveryJoe » Government Accountability Office

Congressional Report: AIG Stable

Mark Ellis — Mon, 21 Sep 2009 19:03:47 +0000

According to a report from the research arm of Congress, American International Group, one of huge financial institutions to experience extremely dire straits as a result of the financial crisis, has reached a point of stability. However, the same report has raised doubts concerning whether or not AIG will ever be able to restructure and pay back the money it borrowed from the government.

This report from the Government Accountability Office came at the same time as Representative Edolphus Towns of New York was preparing to raise the possibility of renegotiating A.I.G.’s debt. Towns, the chairman of the House Committee on Oversight and Government Reform, recently met with Maurice Greenberg, former A.I.G. CEO.

So far, the terms of A.I.G.’s debt have already been eased three times because they were found to be too difficult for the company to manage. The company has taken $182 billion from the Federal Reserve and the Treasury, although it has not used all of that money at the same time. Whether or not A.I.G. will have the terms of its debt eased even further remains to be seen.

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Post from: EveryJoe

Congressional Report: AIG Stable

Are States Blind to the Big Picture?

Mark Ellis — Thu, 09 Jul 2009 01:06:46 +0000

According to a government report released today, struggling states have been using their piece of the stimulus money pie to solve immediate problems, rather than to establish the framework for fiscal strength in the future. The Government Accountability Office report reveals that many states have been divesting money from long-term programs to prevent layoffs and keep state initiatives afloat.

One of the hardest-hit sectors of most states is education, with states funneling money from education to other needs. School district officials across the country have expressed their concern over the lack of funding that has left many of them unable to expand educational programs, build new schools, or maintain the kind of quality educations to which children should be entitled.

Another example of mismanaged funds, according to the Government Accountability Office, is the funds set aside for infrastructure in many states. Instead of waiting for environmental clearance and other important steps, plenty of states have opted for pavement improvements that do not need any extensive work.

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Post from: EveryJoe

Are States Blind to the Big Picture?