Ten Bush Executive Orders to Toss

September 25, 2008

Slate has published the top ten Bush Executive Orders that should be revoked by the new president.  It’s quite telling actually…

No. 1: Gutting the Presidential Records Act
Executive Order 13233 (PDF)

Nov. 1, 2001

What the order says: With Executive Order 13233, the Bush administration tried to gut the Presidential Records Act, passed in 1978 to make sure that the internal documents of the executive branch are public and generally will become part of the historical record. The 1978 law itself was a compromise in favor of privacy in some respects: Presidential records aren’t disclosed for up to 12 years after an administration leaves office, and requests for them are subject to the limits imposed by the Freedom of Information Act, which means that classified documents stay secret. But the Bush order essentially threw out the law’s bid for transparency altogether. After stonewalling for months over access to documents from the Reagan era, former Attorney General Alberto Gonzales drafted an order that gives a sitting president, or the president whose records are being requested, the power to review a documents request, with no time limit. If either president says no, you have to sue to get the records.

Why it should go: The American Historical Association hates this order for good reason: It puts a president’s interest in secrecy—to prevent embarrassment, inconvenient revelations, whatever—over the public’s interest in understanding past events of national import. In 2007, a federal judge struck down part of EO 13233 for conflicting with the Presidential Records Act—which trumps a presidential order, since it’s a law enacted by Congress. But parts of the order remain in effect, and a bill in Congress to scrap the whole thing has stalled. The next president shouldn’t wait for the judiciary or the legislature: He should throw out this order on his own, as proof that a dozen years after he leaves office, he won’t be afraid of an inside view of his White House.

No. 2: Blocking Stem-Cell Research
Executive Order 13435 (PDF)

June 20, 2007

What the order says: In August 2001, Bush issued a rule limiting federal funding for embryonic-stem-cell research to existing colonies of such cells. Five years later, he expended the first veto of his presidency to reject legislation served up by a Republican Congress to ease those restrictions. This subsequent executive order a year later, issued the same day he vetoed the legislation a second time, encourages research into alternative measures of creating pluripotent stem cells. The order directs the Department of Health and Human Services and the National Institutes of Health to prioritize research consistent with Bush’s previous directives and devote resources to finding other means of creating human stem cells.

Why it should go: Supporting alternative means of creating stem cells is a fine idea—just not at the expense of supporting the more immediately available source of stem cells, which are among the most promising lines of medical research today. There is certainly hope that the debate over whether to destroy human embryos to collect these valuable one-size-fits-all cells will eventually be moot. Researchers have found ways to turn back the clock on adult skin cells, reprogramming them as embryonic cells. But this is a tricky process that involves inserting new genes, and it’s not yet a sufficient alternative to embryonic stem cells. In the meantime, Bush’s order is diverting funds even from research that could eventually sidestep his ethical concerns; scientists have successfully harvested bone fide stem cells without harming the nascent embryo. Both McCain and Obama supported the legislation that would have loosened Bush’s research restrictions when it came before the Senate in 2006 and 2007. While some supporters of embryonic-stem-cell research have questioned McCain’s resolve, his campaign says his position is unchanged. This order should go no matter who is elected.

No. 3: Finessing the Geneva Conventions
Executive Order 13440 (PDF)

July 20, 2007

What the order says: After the Supreme Court pushed back against the Bush administration’s efforts to hold the Guantanamo detainees indefinitely and without charges, doubts arose about the legality of the CIA’s use of coercive interrogation techniques (or torture, if you think water-boarding amounts to that). For a time, the CIA’s interrogation squeeze was on hold. Then Bush issued Executive Order 13440, and the interrogators started rolling again. The order isn’t explicit about which practices it allows—that remains classified—but it may still sidestep the protections in the Geneva Convention against humiliating and degrading treatment. According to the New York Times, water-boarding is off-limits, but sleep deprivation may not be, and exposure to extreme heat and cold is allowed.

Why it should go: EO 13440 looks like an improvement on previous directives to the CIA, like the memos from the Justice Department written by John Yoo, which narrowly defined torture and Geneva’s protections. (According to Barton Gellman’s new book about Cheney, the only technique Yoo rejected on legal grounds was burying a detainee alive.) Still, the executive order leaves the door open to techniques that the United States would not want used against its own soldiers and so is part of the Bush administration detritus that has damaged the United States’ moral authority abroad. The administration’s record is so tarnished on this score that the next president should declare that he is scrapping this order, so he can start over and come up with his own policy on interrogation and the CIA.

No. 4: Handing the Keys to the Vice President
Executive Order 13292 (PDF)

March 25, 2003

What the order says: In 1995, then-President Bill Clinton issued an executive order that made it easier to declassify documents, and hundreds of millions of pages of information about the White House tumbled forth. In 2003, the Bush administration took another tack, amending Clinton’s order to get the vice president into the business of classifying whatever he wants. Executive Order 13292 gives the vice president the same power to classify documents that the president has.

Why it should go: EO 13292 is a twofer: It both expands the scope of secrecy and the powers of the vice presidency. As Byron York argues in the National Review, “Since the beginning of the administration, Dick Cheney has favored measures allowing the executive branch to keep more things secret. And in March 2003, the president gave him the authority to do it.” This is reminiscent of Cheney’s efforts to prevent the National Archives and Records Administration from enforcing the rules that govern classified information as they pertain to the vice president. Cheney is famous for wanting his office to be a closed box. Executive Order 13292 looks like it was written expressly for him. We hope that the next vice president won’t also want to keep secrets to this extent. But the boss should eliminate this worry by revoking this order.

No. 5: Free Rein in Iraq
Executive Order 13303 (PDF)

May 28, 2003

What the order says: Issued two months after the invasion of Iraq, this order offers broad legal protection for U.S. corporations dealing in Iraqi oil. Bush’s directive, justified as a means of protecting Iraqi oil profits, nullifies any sort of judicial proceedings relating to either Iraqi petroleum or the newly created Development Fund for Iraq. The executive order also declares a national emergency to deal with the threat to a peaceful reconstruction of Iraq, which Bush has renewed every year since, most recently in May 2008.

Why it should go: This directive is the foundation for all of Bush’s subsequent executive orders on Iraq (see No. 6, below), so it’s the logical place to begin rolling back abuses of authority relating to the war. Given the many concerns over cronyism and waste by U.S. contractors in Iraq, revoking their blanket legal protection when oil is on the table is justified. Watchdog groups originally feared that the order could be used to prevent people with tort claims from suing corporations working in Iraq. That hasn’t come to pass so far—Tom Devine, the legal director at the Government Accountability Project, says he has not seen the order applied in any legal case. Still, given that the United States will probably be in Iraq for at least 16 months after the next president takes office, it’s not too late to inject a little accountability into the contracting. As the Government Accountability Project wrote at the time, “The scope of the EO’s mandate for lawlessness is limited only by the imagination.” The order is also overkill; the U.N. resolution that passed concurrently with it, which was hailed as a major diplomatic victory for the United States and Britain at the time, contains more limited legal immunity for oil-related commerce in Iraq.

No. 6: Going After Troublemakers in Iraq
Executive Order 13438 (PDF)

July 17, 2007

What the order says: This order grants the administration the power to freeze the assets of an abstract but broadly defined group of people who threaten the stability of Iraq. The list of targeted people includes anyone who has propagated (or helped to propagate) violence in Iraq in an effort to destabilize the reconstruction. Most ominously, it also applies to anyone who poses a “significant risk of committing” a future act of violence to that end. The order, which applies to anyone in the United States or in U.S. control abroad, also declares, “Any conspiracy formed to violate any of the prohibitions set forth in this order is prohibited.” The order appears to acknowledge that it could conflict with constitutional protections but then states that targets of its provisions do not need to be notified ahead of time that their assets will be frozen.

Why it should go: The Fifth Amendment has a few interesting things to say about the seizure of property without due process—namely, you can’t do it. While this is far from the first time the Bush administration has trampled constitutional rights in the name of national security, this order, if broadly interpreted, could target war protesters in the United States. Then-White House spokesman Tony Snow said at the time that it was intended to target terrorists and insurgents, but the language of the order is vaguer. This EO drew condemnation from all ideological directions, from Swift-boater Jerome Corsi to the ACLU. One needn’t be a civil libertarian to see the danger of the order’s loose definitions or wonder why we needed the order in the first place. Bonus: The next month, Bush issued a similar order targeting mischief-makers in Lebanon and their supporters. That one can go, too.

No. 7: Eyes and Ears in the Agencies
Executive Order 13422 (PDF)

Jan. 18, 2007

What the order says: Recent presidents have gone back and forth over how much control the White House should exert over writing federal regulations, particularly in contested areas like environmental policy. Unsurprisingly, Bush came down on the side of strong White House influence. This order mandates the designation of a presidential appointee in each federal agency as “regulatory policy officer,” with authority to oversee the rule-making process. This largely revises Bill Clinton’s 1993 executive order granting agencies more regulatory independence from the White House (which nullified two of Reagan’s executive orders). Defenders contend that it is important for the administration to be able to balance regulatory policy with business and economic concerns.

Why it should go: The Bush administration has shown no qualms about interfering with federal regulations normally left to civil servants, particularly on environmental fronts like ozone limits, as Democrats like Rep. Henry Waxman, the chairman of the Committee on Oversight and Government Reform, have pointed out. Repealing the order would be a step toward scrubbing the agencies of the stench of political tampering. The next president shouldn’t mix political appointees with civil servants from the inception of the regulatory process by requiring a company man in each agency to supervise.

No. 8: Letting Religious Groups Call the Hiring Shots
Executive Order 13279 (PDF)

Dec. 12, 2002

What the order says: Adding to the pair of 2001 executive orders that encouraged religious groups to apply for federal money for social services, Bush’s December 2002 order made it easier for churches and synagogues to take the money by letting them skirt certain anti-discrimination laws. Because of this order, the faith-based groups can take federal funds while refusing to hire people who aren’t of the faith the groups espouse.

Why it should go: As Timothy Noah pointed out in Slate at the time, this seems sensible enough at first: “Why shouldn’t government-funded religious charities be allowed to favor members of their own religion when hiring, firing, and promoting?” But there are a couple of problems here. The first is that the groups get to define for themselves who counts as a good Baptist or a good Jew—and what if they decide someone is out because he or she is gay, for example? The second problem is that it’s not really clear why Catholic charities should be able to hire only Catholics to serve meals to the homeless, if that work is being funded by the government. In a debate on The NewsHour With Jim Lehrer, Christopher Anders of the ACLU framed the order this way: “What this is about is creating a special right for some organizations that don’t want to comply with the civil rights protections.” James Towey, then director of the White House Office of Faith-Based and Community Initiatives, said, “The question is, ‘Do they lose right to hire according to religious beliefs when they take federal money?’ ” Either way you frame it, the order is a bad idea. Both John McCain and Barack Obama have pledged to continue federal funding of faith-based programs, but Obama has promised that groups taking the money won’t be able to make social-services hires on the basis of religion.

No. 9: The Alternative-Fuel Fix-All
Executive Order 13423 (PDF)

Jan. 26, 2007

What the order says: Shortly after his 2007 State of the Union address, in which he devoted significant time to environmental proposals, Bush signed Executive Order 13423. Among other things, the order requires federal agencies to cut petroleum-based-fuel usage by 2 percent annually through 2015 while increasing alternative-fuel use by 10 percent each year. The order also requires agencies to reduce overall energy consumption and purchase more hybrid vehicles.

Why it should go: On the face of it, Bush’s directive seems like a step in the right direction. Officials in California, however, were quick to question the policy’s ecological bottom line. Producing alternative fuels, they argued, can result in a large spike in greenhouse-gas emissions, particularly when harvesting resources like oil shale and coal. There’s also doubt that the alternative-fuel industry simply has the capacity to meet the order’s requirements. As the Washington Post editorialized, “Where might 20 billion alternative-fuel gallons come from?” To complicate matters, the Supreme Court ruled two months later that the Environmental Protection Agency does have the authority to regulate greenhouse gases under the Clean Air Act, prompting Bush to issue another executive order directing several agencies to draft guidelines for reducing emissions from cars and trucks. The sound, responsible energy policy that should be at the top of the list for the next president—and Congress—will need realistic goals and a big-picture understanding of costs and benefits of alternative fuels.

No. 10:
Got a least-favorite Bush executive order that we missed? Send your suggestions to document.write(“<a href=’mailto:”+”JurisprudenceContest”+”@”+”gmail.com’>”)document.write(“JurisprudenceContest”+”@”+”gmail.com”);JurisprudenceContest@gmail.comdocument.write(‘</a>’);. E-mails may be quoted by name unless you specify otherwise.


The Sarah Palin Hypocrisy

September 4, 2008

Is anyone else sick of the Republican hypocrisy train?  Jon Stewart helps point it out for us…

Karl Rove taunts Obama for considering Virginia governor Tim Kaine as a VP saying it is the 105th largest city in the country and he’s only been a governor for 3 years, and then lauds Palin as being from the second largest city in Alaska and having been governor for 2 years

Bill O’Reilly tells us to lay off Palin’s family because it’s a personal matter and you should withhold judgement.  But Britney Spears’ parents are “pinheads” who have little control over their daughter.

Dick Morris tells us the biased news media is attacking Palin with deep sexism.  But he also tells us that Hillary Clinton needs to play with the big boys and stop complaining about gender bias.

Nancy Pfotenhauer tells us that Hillary shouldn’t play the gender victim card.  But the attacks on Palin as a woman are unacceptable!

And Sarah Palin herself says you shouldn’t play the gender card!  No whining about criticism from women!

Watch it here yourself…

And in her speech last night, Palin taunts Obama and Biden for having “ZERO” executive level experience, but fails to point out that McCain falls into the same category.

And the Washington Insiders they are out to smash?  Last time I checked, we’ve had 8 years of Republican insiders.  They’ve built this house themselves.


Nuclear Revival and Leaded Gasoline

December 29, 2007

The website “Damn Interesting” has a great article on the history of Thomas Midgley and leaded gasoline, who might be considered a scientific pariah for inventing both leaded gas (health effects) and CFCs (ozone effects). In “The Ethyl Poisoned Earth” we learn that the health effects of lead were well known in the 1920’s and 1930’s, as corporate types continually lied to the public over and over and over, covered it up over and over and over, and influenced political attempts to address it over and over and over. Sound familiar? (DDT, global warming, smoking, etc)

And the Utne Reader has an article, “Atomic Dreams,” which talks about the revival of the nuclear industry in light of global warming and some arguments that it’s a necessary evil to deal with global energy needs.


20 Things You Have to Believe to be a Republican

December 11, 2007

This has been posted in numerous places online, but I thought I’d continue the virus (Source):

1. Being a drug addict is a moral failing and a crime, unless you’re a conservative radio host. Then it’s an illness and you need our prayers for your recovery.

2. The United States should get out of the United Nations, and our highest national priority is enforcing U.N. resolutions against Iraq.

3. Government should relax regulation of Big Business and Big Money but crack down on individuals who use marijuana to relieve the pain of illness.

4. “Standing Tall for America” means firing your workers and moving their jobs to India.

5. A woman can’t be trusted with decisions about her own body, but multinational corporations can make decisions affecting all humankind without regulation.

6. Jesus loves you, and shares your hatred of homosexuals and Hillary Clinton.

7. The best way to improve military morale is to praise the troops in speeches while slashing veterans’ benefits and combat pay.

8. Group sex and drug use are degenerate sins unless you someday run for governor of California as a Republican.

9. If condoms are kept out of schools, adolescents won’t have sex.

10. A good way to fight terrorism is to belittle our longtime allies, then demand their cooperation and money.

11. HMOs and insurance companies have the interest of the public at heart.

12. Providing health care to all Iraqis is sound policy. Providing health care to all Americans is socialism.

13. Global warming and tobacco’s link to cancer are junk science, but creationism should be taught in schools.

14. Saddam was a good guy when Reagan armed him, a bad guy when Bush’s daddy made war on him, a good guy when Cheney did business with him and a bad guy when Bush needed a “we can’t find Bin Laden” diversion.

15. A president lying about an extramarital affair is an impeachable offense. A president lying to enlist support for a war in which thousands die is a solid defense policy.

16. Government should limit itself to the powers named in the Constitution, which include banning gay marriages and censoring the Internet.

17. The public has a right to know about Hillary’s cattle trades, but George Bush’s driving record is none of our business.

18. You support states’ rights, which means Attorney General John Ashcroft can tell states what local voter initiatives they have a right to adopt.

19. What Bill Clinton did in the 1960s is of vital national interest, but what Bush did in the 1980s is irrelevant.

20. Trade with Cuba is wrong because the country is communist; but trade with China and Vietnam is vital to a spirit of international harmony.

[Update 1/5/08: It's pretty sweet when your blog has thousands of hits, not because of something intelligent you wrote (if I've in fact done that), but because of humerous crap that you passed along.]


Lies, Music, and Bathroom Sex

October 4, 2007

(Source: Joe Jaszewski, Idaho Statesman)

At what point does a lie become delusional? At what point should you just give up, and say, “You caught me.”? Two totally unrelated liars, caught in a web of clear evidence, seem awfully similar in their denials:

Jammie Thomas illegally downloaded music and is being sued by the music industry. The evidence (Star Tribune):

  • She used the online name “Tereastarr,” which was implicated in the download and distribution (how many “Tereastarrs” can there be?)
  • Her Internet IP Address was assigned to her computer at her home at the time of implication (someone must have broken into her house and used her computer to download music)
  • She listened to the artists that were in question
  • She wrote a college paper on Napster, but had never heard of Kazaa (it’s like Ford and Chevy of online file sharing)
  • She said her hard drive was installed in January 2004, but Best Buy actually put a new one in March 2005, 2 months after coming under scrutiny

Senator Larry Craig (Republican from Idaho) was busted in a bathroom sex sting but denies everything. The evidence (Star Tribune 1, StarTribune 2):

  • He entered a restroom, stood outside the door of a stall with an undercover police officer, and peered in
  • Entered the adjascent stall and tapped his foot, slid it closer to the next stall, and moved it up and down slowly (he said it was because of a “wide stance”)
  • Swiped his left palm under the stall, more than once, exposing more fingers each time (he said he was picking up a piece of paper…many times)
  • The officer saw his wedding ring on his left hand, but Craig insists it was his right hand that “picked up the paper”
  • When the officer placed his badge under the stall, Craig yelled “No!” (why would he care if he didn’t know what he was doing?)
  • He didn’t flush the toilet and wouldn’t leave until told he was under arrest
  • He asked the officer of soliciting him and said “Am I going to have to fight you in court?”

I absolutely agree that people lie and that human nature is to divert and lie when confronted. But when presented with overwhelming and public evidence, don’t make a fool of yourself, just admit it. Clinton lied. Bush II lies. (But Clinton never killed anyone.) Say your sorry and take your medicine.

I find it especially amusing that moral majority likes to throw stones, while they are doing the same things behind the scenes. I bet there’s a high correlation between the strength of one’s public moral fundamentalism and engaging in the exact activites you decry.


Minneapolis Bridge Collapse – a teammates’s wife walked away

August 2, 2007

We live in DC now but the wife of an old ultimate frisbee teammate from Minneapolis and her friend survived the bridge collapse yesterday. They crawled out of the silver car above and are standing on the collapsed part of the bridge to the right. Here is a picture they took after getting out:

Here is a diagram of the bridge pre- and post-collapse. Her car is located on the water section: Click Here

They took many of the eye witness photos from the bridge: Click Here

Here is a video of her on Good Morning America: Click Here

Minnesota Public Radio story: Click Here

Real-Time Video of the Bridge Collapsing: Click Here

Associated Press Diagrams of the Bridge: Click Here

And a couple of days later, with the police markings:

Here is the location:


Not All That’s Renewable is Green (Part 1 of 3)

February 14, 2007

(Courtesy: NREL)

[Update 8/27/07: CitizenRE now has a competitor...]

[Editor's Note: This is a repost of a 3 part series I'm writing on CitizenRE at GreenOptions.com, titled "Not All That's Renewable Is Green" (Part 1 of 3). It will attempt be a more formal accounting on CitizenRE than previous blog posts. Access Part 2 and Part 3.]

Green Options Editor’s note: Most of us in the Green Blogosphere have followed new company Citizenrē, and its REnU program, with great interest. Mike has been analyzing the company at Solar Kismet, and we asked him to share his thoughts with our readers.

As Green Options launches new features and tools in the coming weeks, you’ll see that we’ll be involved in helping consumers consider their options for solar power. As such, we firmly believe that full transparency is necessary for the solar industry’s continued growth. Mike’s thoughts and ideas are his own, and do not necessarily reflect those of Green Options, its management or staff.

Green products come in all shapes and sizes, with many varying claims about their content, performance and cost. Sometimes it’s hard to understand the nuances of something you don’t want to become an expert in – you just want it to be excited about your green choice and have it work. Renewable energy is no exception.

Renewable energy captures everyone’s imagination, much more so than its practical cousin, energy efficiency (those funny-looking lightbulbs really do work). But it’s hard to evaluate what the best renewable energy options are environmentally and economically. You can buy green electricity (but is that really helping anything?), you can install a solar system on your house (but it’s so expensive!), you can get more energy efficiency (so boring!), or you can have a solar system installed on your house for no money down and fix your electricity rates for the next 25 years (really?).

Did you catch that? “No money down” and “solar energy” aren’t two words that normally come together. But they have in the last two months and it’s caught the eye of thousands of people interested in selling and buying these systems. But what’s the catch? Exactly. Here’s a short lesson in “too good to be true”…

I should preface this by saying that I’m a skeptical person. I’m not going to be the one leading the masses with inspiration, so when I first heard of Citizenrē, a new solar energy company and their “no-money down” solar business model, small flags went up. I didn’t think too much of it at first. But when I started to get questions from multiple, non-related sources (consumers, industry, consultants, etc), I realized that Citizenrē had started to gain real marketing traction and decided to look into it a little more…

Citizenrē purportedly offered consumers the best of all solar energy worlds – a solar electric system on your home for no money down, no risk, and insurance against future electricity cost increases. Their goal was to install 100,000 solar systems per year on homes across America and they were recruiting salespeople from all over the internet, as well as pushing press releases, websites, and blogs touting their goals and promises everywhere. (Editor’s note: According to Renewable Energy Access, Citizenrē now plans to install 25,000 systems annually).

Here’s how Citizenrē’s model would theoretically work:

Interested consumers sign a contract with Citizenrē to have a solar system installed in exchange for a monthly solar system rental fee; reportedly, if you signed a 25 year contract, no deposit was required. Homeowners and businesses in more than 35 states would be eligible (those with net metering and a retail electric rate of 7 cents per kilowatt-hour or more). The monthly rental fee would be equal to the amount of electricity the solar system would produce annually multiplied by your cost of electricity (or even less). So instead of paying your electric company $100, you might pay them $50 and Citizenrē $50, if it offset 50% of your electricity use that month. Note that you haven’t saved any money at this point. Theoretically, you could pay Citizenrē a little less, say $45, if your Citizenrē rate was lower than your electricity rate. But the main benefit is that you lock in your electricity prices for the length of the contract and assuming electricity rates go up over time, you started to pocket the difference as personal profit.

A quick example:

  • A 3 kilowatt solar electric system installed in Colorado might produce 4000 kilowatt-hours per year;
  • If a home uses 8000 kilowatt-hours per year, it will offset 50% of your use;
  • If your electricity rate was 9 cents per kilowatt-hour (cents/kWh) and you signed a contract with Citizenrē for the same amount, you pay each $360 per year (save nothing);
  • If your electricity rate went up to 10 cents/kWh the next year, you would pay the utility company $400 and Citizenrē $360 (save $40);
  • You can move your solar system once at no charge, or reassign the contract to the new homeowner.

What’s in it for Citizenrē? They take your monthly rental fee, the federal solar tax credits, accelerated business depreciation benefits, potentially lower costs from vertical business integration, and potentially the renewable energy credits (if legal).

I should stress that this business model in and of itself is not new. At least three companies (SunEdison, MMA Renewable Ventures, and Solar Power Partners) offer the same concept to companies or utilities installing large solar systems in limited markets where the incentives and policies align. And I suspect the concept will trickle out to more states and smaller solar systems over time. But not now and not Citizenrē.

Unfortunately, Citizenrē has put their marketing cart before their solar panel horse. They have built up a salesforce of thousands and pre-sold thousands of solar systems, but they have nothing to install for at least a year. Not one solar panel.

Next Time: If the business model isn’t new, why does Citizenrē raise so many flags? (part 2 of 3)


CitizenRE II – No Cost Solar Energy or Hype?

February 1, 2007

[Update 1/3/08: CitizenRE has two competitors...]

[Update 2/21/07: Media Articles]

[Update 2/8/07: update about half-way down]

Here is an email I wrote to someone on CitizenRE yesterday that probably says some of the same things as before, but organized differently:

There is a lot of internet website, blog, and marketing materials flying around about CitizenRE, a multi-level marketing company out of Delaware. Unfortunately, most of it is either coming straight from the company or being reiterated by people interested in and theorizing about the concept, but not necessarily having any additional information beyond speculation. Any critical analysis is generally overwhelmed by the hype (and exclamation points!!!!). Why are they marketing it long before they have any product to offer? I have read that they will be making more announcements in the coming weeks, probably about their new manufacturing plant.

The premise is a service oriented, vertically integrated solar installation company on the residential scale – consumers want green electricity and economic value, not to actually own a solar system. CitizenRE intends to build a large solar manufacturing plant and develop a network of salespeople and installers across the country. Rather than buying the panels themselves, consumers will sign a rental contract with the company for little or no money down at a rate equal to or less than their current electricity price in markets where they pay 7 cents/kWh or more. I question their ability to operate in more than a few states with higher incentives and rates but they claim anywhere with net metering and at least that rate.

Example:
Consumer signs a 25 year contract at 9 cents/kWh with CitizenRE, with a waived down-payment because of the long-term contract. Their monthly “rental fee” is equal to the solar system’s production at the contract rate – maybe $30/month for a 3 kW system (actual amount depends on your production amount). If the consumer is paying 10 cents/kWh retail to their utility, they pocket 1 cents/kWh difference as immediate savings ($3+/month) but if it’s equal to their retail cost, they only save on future utility cost increases as a hedge. If rates go up 2 cents/kWh the next year, they save $6+/month. If they install a 3 kW system and it offsets 50% of their annual consumption, they’ve hedged that much against future increases, but not all of their consumption. This is not green pricing because they’re not paying more and they are offsetting their onsite consumption. Consumers can move once and have their system reinstalled elsewhere for free (theoretically) or pass along the contract to the next owner. CitizenRE takes the tax credits, the rebates, potentially low costs from vertical integration, and probably the renewable energy credits (if legal under net metering, which isn’t the case in every state).

This is not actually a new concept. SunEdison, MMA Renewable Ventures, and Solar Power Partners offer this in limited markets (NJ, CA, CO, i.e. incentives) on big commercial systems (500 kW or larger). CitizenRE is jumping two steps by offering it to residential consumers and offering it in all states with net metering, again theoretically.

Everything is theoretical because even though they have reportedly signed up thousands of consumers, their target date to start installations is fall 2007. But, to my knowledge, they haven’t built the 500 MW manufacturing plant, UL listed the panels, CEC certified the panels, trained installers, etc. They are talking about spending $650 million dollars as if that’s not a big deal to get this going – somebody like the Google Foundation has to be behind this to make it work (you heard it here first), but that doesn’t seem to be the case given the poor execution. They haven’t announced where the plant is going to be located yet either and no one in the solar industry has heard of them or this plant. Where are they getting the silicon which is really expensive and scarce right now? Do they have inverter deals or are they building their own? Just this manufacturing issue alone would seem to delay them at least another 2 years.

There are also obviously issues with installing all of these systems too – certified installers, priority in the queue, variable profitability across markets with different electric rates, systems malfunctioning, quality control, inspection, interconnection, delays, etc.

The September install time is extremely naive (or I am severely underestimating something) and consumers will become dissatisfied as things get delayed. If they have a secret manufacturing plant or are partnering with one currently under construction, that changes some things but fall is still too ambitious. If the federal tax credit dies in 2007, their model is dead.

Having said all this about CitizenRE in particular, which I am severely skeptical of, I think this business model is coming over the next 5-10 years. Consumers will be able to effectively reduce their consumption by 20-50% with little or no risk on their part, but they aren’t pocketing all that as savings (remember, the monthly rental fee negates most of the savings, and instead you gain a hedge against future cost increases). What companies do it and when is an open question…If CitizenRE made all these announcements and were saying 2009 or 2010, I wouldn’t be this critical necessarily. But they are putting their marketing horse before the product cart, which is suspicious.

2/8/07 UPDATE: CitizenRE internal information leaked

Apparently some CitizenRE internal information has been leaked by an EcoPreneur (click here to download):

“Citizenre Warnings & Red Flags: Immediate Action Required to Prevent a Complete Loss of Confidence and Severe Negative PR”

1. Overall: “Powur of Citizenre Network Completely Out of Control” (page 2)

  • Exponential Demand Growth with Production Supply Constraints
  • Training inadequate and tests compromised
  • Looming PR Disaster
  • Deceptive income claims…with no prospect for any significant return for >95% of ecopreneurs
  • Risk of Regulatory Investigations and Sanctions
  • Excessive unethical behavior driven by lack of training, skewed incentives, and lack of controls
  • Excessive Secrecy & Lack of Verification

2. February Sales Won’t Be Installed Until January 2008 (page 10)

3. Security Deposit (page 16):

  • $1,452 (that’s over $14 million for 10,000 systems)
  • 13.5% qualify for no money down

4. Big Issues ( page 18, 19, and 61):

  • >90% of sales force pitching free installations and cheap solar with expectation of Sept 2007 installations
  • Current path is unsustainable and risks severe alienation of customers and the loss of >80% of associates
  • It is unethical to encourage associates to make marketing investments in regions where they cannot expect installations in 2007 or the 1st half of 2008?
  • If there really is $650 Million Invested, Citizenre’s Executives and Officers Are Accountable to Both the Board of Directors and the Investors

5. Sales Force – EcoPreneurs (page 20 and 51)

  • Sales force training completely inadequate and missing
  • Get 30,000 associates who have no hope of ever being successful
  • Complete lack of renewable energy and solar product knowledge
  • Horde of inadequately trained associates polluting internet with Citizenre spam and creating a potential PR nightmare
  • Please explain to us why rapidly expanding the size of the network is in the interest of anyone but the handful of
    individuals at the top of the pyramid?
  • The median associate sells 0 per month, and the average sales per associate is below 1 per month.

6. Who’s making money? (page 35, 43, 44, and 48)

  • Possibly greater than 80% of funds go to those at the top
  • Very clever marketing but how does operating a pyramid scheme where only the 20 to 50 individuals at the top of the pyramid obtain the vast majority of the cashflow make you any different from the other MLMs?
  • Very few Ecopreneurs will ever achieve residual income on thousands of homes, especially given the 2007 and 2008 production constraints. So why are you pushing deceptive view of the opportunity?
  • The compensation plan does tell lot about the company – a pyramid is a pyramid…

7. Marketing (page 43, 55, and 57)

  • Hype the opportunity but zero discussion of the risks and real returns for anyone that sign up
  • If >30% of customers are part of the Powur network, the Federal Trade Commission would sanction Citizenre for being a Pyramid Scheme
  • Citizenre has a major snowballing problem with trust and its image

What Happens When the Wonkette Picks Up Your Blog

January 26, 2007

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It was a normally quiet Friday afternoon. I had just gotten back from a work trip to California and was catching up.I decided to repost a blog entry I’d written last fall (“Metro Sexual or Hexagonal“), largely because I thought it was well written, amusing, and had specific DC content that readers of the DC Blogs Live Feed might find interesting (I wrote it before getting in on DC Blogs so it was never posted there). So I re-read, edited a bit, re-named it, and re-dated it to today and in a few minutes, it was listed.

Later, I logged into my WordPress account to (obsessively) check my blog stats and noticed that someone had arrived at my site from the Wonkette (the Wonkette incidentally left the blog to promote her book last year, so it wasn’t the Wonkette herself…but I digress).

I went to see why there was a link to my blog and saw that it was picked up in a little tiny blurb that said “Metro is getting new, square tiles for reasons not entirely clear.” Hmm. So I checked my blog stats…

Nine people had looked at the post and I decided to refresh… 16… refresh… 22… refresh… 30… refresh…now it’s up to 387 for that one post, 250 and 248 in the last two days, and I made it into a Top Post on WordPress:

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My previous “biggest day” was 135 when I wrote an online article for Grist Magazine (“Count Him In“) and I probably average 50 per day normally.

Who is the Wonkette? The Wonkette is a DC gossip blog that became famous for publishing the story of a Capitol Hill blogger who was having an affair with a Bush staff (Wikipedia entry). According to Technorati, the Wonkette blog ranks 54th in their database of over 2.5 million and has over 31,000 links to it. This website says the Wonkette is ranked 12th overall for blogs and is worth over $2.7 million. According to Technorati, my blog ranks 113,581 and has 97 links. Surprisingly my blog is supposedly worth over $18,000, which makes that estimate very suspect. Click here to appriase your blog, although cashing in obviously requires a willing buyer.

So what? Exactly. Some people will read the blog entry and a few others might click around my site, but it will lose it’s luster soon enough. My content is too scattered to get a dedicated following. But in my little world of blog uselessness, it’s like meeting someone on my celebrity list (“Hello, Ms. Judd…”).


Top 10 Signs that Winter is Missing in DC

January 8, 2007

So the weather in DC has obviously been warm lately…70 degrees last weekend and 70 this coming one as well.

Having moved to DC from Minnesota last fall, which is obviously colder but doesn’t have any snow on the ground either, I’ll take warm and no snow over cold and no snow…

Here are my “Top 10 Signs that Winter is Missing” in DC:

10. Bar patios are open again

9. Wearing shorts and t-shirts to go jogging

8. A friend is still harvesting from her garden

7. A traffic jam at Great Falls National Park last Saturday

6. No need to plan a ski trip to West Virginia searching in vain for a cross-country skiing location

5. Impulsively looking for a non-existent jacket when leaving a friend’s house

4. More people at ultimate frisbee pickup in January than September

3. Turned off the heat over the weekend

2. Cherry blossoms are blooming

1. Found several mosquitos inside the house