Federal Agencies Brace for Deep Cuts Post-'Cliff'


Dec 7, 2012 4:22pm







gty barack obama john boehner ll 121206 wblog Federal Agencies Brace for Deep Cuts Post Cliff

Toby Jorrin/AFP/Getty Images


With the “fiscal cliff” quickly approaching, federal agencies are stepping up preparations for deep automatic budget cuts that will kick in Jan. 2 unless the White House and Congress can reach a deal.


The Office of Management and Budget told ABC News that a memo went out to federal agencies earlier this week seeking “additional information and analysis” in order to finalize spending cuts required if we go off the cliff.


The agencies are considering which workers to furlough, projects to put on hold and offices that will have to close.


The request follows the administration’s release of a 400-page report in September that outlined the budget areas to be impacted by the $1.2 trillion in automatic spending cuts and what percentages they would be slashed.


READ MORE: White House Details ‘Doomsday’ Budget Cuts


Billions of dollars could be slashed from defense operations and maintenance programs. Medicare would take a two-percent hit, trimming millions in payouts to health care providers. Scientific research programs would be gutted. Aid for the poor and needy would be sharply curtailed.


The report also detailed operations that would be exempt from any cuts, including active-duty military operations, nuclear watchdogs, homeland security officials, veterans care and other critical areas.


READ: Pentagon Begins Planning for ‘Cliff’ Cuts


Asked about the agency preparations underway, White House spokesman Jay Carney said Wednesday that OMB “must take certain steps to ensure the administration is ready to issue such an order should Congress fail to act.”


“Earlier this week, OMB issued a request to federal agencies for additional information to finalize calculations on the spending reductions that would be required,” Carney said.


“This action should not be read … as a change in the administration’s commitment to reach an agreement and avoid sequestration.  OMB is simply ensuring that the administration is prepared, should it become necessary to issue such an order,” he said. “OMB will continue to consult with agencies and will provide additional guidance as needed.  This is just acting responsibly because of the potential for this happening.”


Get more pure politics at ABCNews.com/Politics and a lighter take on the news at OTUSNews.com.


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Survey shows falling satisfaction among federal employees



The report goes a bit further, suggesting “the downward trend of many of the survey items . . . suggest that the continued tight budgets, salary freezes and general public opinion of federal service are beginning to take a toll on even the most committed employees.”

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Resale prices of non-landed private residential, HDB flats at new highs in Oct & Nov






SINGAPORE: Resale home prices of both non-landed private residential units and HDB flats continued to climb to new highs in October and November against the third quarter 2012.

But according to data released by the Singapore Real Estate Exchange (SRX), the rental market for private homes is showing signs of softening.

As a result, overall gross rental yield dropped to a six-year historic low of 3.77 per cent in the first two months of the fourth quarter.

Meanwhile, prices of private resale homes rose to S$1,222 per square foot (psf) in the first two months of the fourth quarter, up 5.4 per cent from the previous quarter's average of S$1,159 psf.

The report found that resale prices of private homes rose across all regions, with non-landed homes in the suburban region seeing the sharpest increase at 4.5 per cent, compared to the third quarter of 2012.

This is followed by a 3.3 per cent increase in the city fringes and a 2.8 per cent increase in the core central region.

Compared with the first two months of the third quarter this year, transaction volume rose by 6 per cent to reach 2,483 resale transactions in the October to November period.

Meanwhile, the average unit monthly rent of private homes dropped by 1.0 per cent, from S$3.88 psf in the third quarter to S$3.84 in the first two months of forth quarter.

Leading the drop is non-landed homes in the city fringe where prices fell by 2.5 per cent to S$3.91 after rising for the first three consecutive quarters in this year.

The other regions remained relatively stable compared to the previous quarter.

Meanwhile, the report included for the first time data about the sales of small private apartments, commonly known as shoebox units in Singapore.

Year-to-date, just 198 shoebox units changed hands in the resale market.

But the report said there was strong demand for rentals of shoebox units, with 1,328 rental contracts signed this year. This represents 6.7 times more rentals than resales for shoebox units year-to-date. In contrast, the average is 2.4 times more rentals than resales for other types of units.

As a result, shoebox units continue to draw higher rental offers in the fourth quarter.

In the HDB resale market, SRX said overall cash-over-valuation rose to S$34,000 in the first two months into forth quarter. This is S$2,000 shy of the five-year historical high of S$36,000 attained in the third quarter of 2011 since tracking began in 2007.

On a month-to-month basis, overall COV increased from S$33,000 in October to S$35,000 in November.

This has contributed to a 1.1 increase in median prices of HDB flats to a new high of S$455,000, compared to the third quarter.

Overall HDB median rents remained unchanged at S$2,400.

- CNA/ck



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Tribal women wage war against IMFL

SHIMLA: Tribal women in Lahaul-Spiti and Kinnaur district have waged a unique war to curb social inequality, especially during marriages and other social functions. In a bid to curb show of wealth, women have come up with unique idea of banning the use of English liquor and those defying ban are being imposed heavy penalty.

Liquor is an important part of tribal customs and social get together are incomplete if alcohol and mutton are not served to guests. Since ages, tribals in Kinnaur are brewing liquor locally known as "angoori" while in Lahaul-Spiti they make it from wheat. But with the coming of wealth locally brewed liquor was replaced by whisky and beer resulting into social inequality widening the gap between rich and poor.

Noted social activist of Kinnaur and chairperson of Kinnaur Mahila Kalyan Parishad Ratan Manjari said over the years serving English liquor and beer during marriages and other social functions had become a show of wealth and those not having money too were serving it and get burdened with debt. "Trend was wrong which needed to be stopped and now we have done it in many villages of Kinnaur," she said. Kinnaur Mahila Kalyan Parishad has 200 mahila mandals as its members.

Ratan Manjari said for 5-6 years, they have mobilized support of women in Kinnaur district to tell them how use of English liquor and beer during marriages is resulting in waste of money besides creating divide among rich and poor. "Today, we have succeeded in banning English liquor in social functions, especially in Kalpa, Sangla, Lippa and other areas of district," she said.

To ensure that people obey the decision, a provision of imposing fine has been made by women amicably. "We have decided to impose penalty of Rs 5,000 on people serving the English liquor and those consuming it," Manjari said. She said still a lot more is required to be done.

In Lahaul-Spiti district, Udaipur village is setting an example for others by observing complete ban on English liquor and beer during social gathering for last three years. "During marriages and other functions only locally made liquor is served. Those defying ban are punished by mahila mandal members," said Hemvati, Mahila Mandal member of Udaipur.

Hemvati said if a family in the village found serving English liquor and Beer despite ban, then Rs 10,000 fine is imposed, but if same offence is committed second time then the family is boycotted socially.

"Such decisions are in larger interest of society as seeing rich people serving liquor even poor were following the trend after borrowing money. In one wedding, people were usually spending Rs 50,000 to 1 lakh only on liquor, but now with ban enforced in many villages show of wealth has been curbed in the interest of poor," said Rigzin Samphel Hayerpa, Zila Parishad member from Kolang in Lahaul-Spiti.

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John McAfee Out of Hospital, Back in Cell













Software millionaire John McAfee has been returned to an immigration detention cell in Guatemala after being rushed to a Guatemala City hospital via ambulance.


McAfee, 67 -- who soon may be deported back to Belize, where authorities want to question him about the shooting death of his neighbor -- was reportedly found prostrate on the floor of his cell and unresponsive.


He was wheeled into the hospital on a gurney. Photographers followed in pursuit right into the emergency room, but as emergency workers eased McAfee's limp body from the gurney and onto a bed and began to remove his suit, he suddenly spoke up, saying, "Please, not in front of the press."


Earlier today, McAfee had complained of chest pains, raising concerns he might be having a heart attack.


However, that did not appear to be the case. Hours after his emergency, hospital officials sent McAfee back to the detention center, telling ABC News they found no reason to keep him overnight.


In a phone interview overnight, McAfee told ABC News, "I simply passed out, everything went black."


He said he hit his head on the floor when he collapsed. McAfee explained that for the past 48 hours he hasn't eaten and had very little to drink.


McAfee had been scheduled to be deported to Belize, ABC News has learned. But a judge could stay the ruling if it is determined that McAfee's life is threatened by being in Belizean custody, as McAfee has claimed in the past several weeks.


McAfee's attorneys hope to continue delaying the deportation by appealing to the Guatemala's high court on humanitarian grounds.


Raphael Martinez, a spokesman for the Belize government, said that if McAfee is deported to Belize, he would immediately be handed over to police and detained for up to 48 hours unless charges are brought against him.


"There is more that we know about the investigation, but that remains part of the police work," he said, hinting at possible charges.


He added that a handover by Guatemala would be "the neighborly thing to do."


A spokesman for the U.S. embassy in Guatemala said that "due to privacy considerations," the embassy would "have no comment on the specifics of this situation," but that, "U.S. citizens are subject to the laws of the countries in which they are traveling or residing, and must work within the host countries' legal framework."






Guatemala's National Police/AP Photo













Software Founder Breaks Silence: McAfee Speaks on Murder Allegations Watch Video









John McAfee Interview: Software Mogul Leaves Belize Watch Video





Just hours before McAfee's arrest, he told ABC News in an exclusive interview Wednesday he would be seeking asylum in Guatemala. McAfee was arrested by the Central American country's immigration police and not the national police, said his attorney, who was confident his client would be released within hours.


"Thank God I am in a place where there is some sanity," said McAfee before his arrest. "I chose Guatemala carefully."


McAfee said that in Guatemala, the locals aren't surprised when he says the Belizean government is out to kill him.


"Instead of going, 'You're crazy,' they go, 'Yeah, of course they are,'" he said. "It's like, finally, I understand people who understand the system here."


But McAfee added he has not ruled out moving back to the United States, where he made his fortune as the inventor of anti-virus software, and that despite losing much of his fortune he still has more money than he could ever spend.


In his interview with ABC News, a jittery, animated but candid McAfee called the media's representation of him a "nightmare that is about to explode," and said he's prepared to prove his sanity.


McAfee has been on the run from police in Belize since the Nov. 10 murder of his neighbor, fellow American expatriate Greg Faull.


During his three-week journey, said McAfee, he disguised himself as handicapped, dyed his hair seven times and hid in many different places during his three-week journey.


He dismissed accounts of erratic behavior and reports that he had been using the synthetic drug bath salts. He said he had never used the drug, and said statements that he had were part of an elaborate prank.


Investigators said that McAfee was not a suspect in the death of the former developer, who was found shot in the head in his house on the resort island of San Pedro, but that they wanted to question him.


McAfee told ABC News that the poisoning death of his dogs and the murder just hours later of Faull, who had complained about his dogs, was a coincidence.


McAfee has been hiding from police ever since Faull's death -- but Telesforo Guerra, McAfee's lawyer in Guatemala, said the tactic was born out of necessity, not guilt.


"You don't have to believe what the police say," Guerra told ABC News. "Even though they say he is not a suspect they were trying to capture him."


Guerra, who is a former attorney general of Guatemala, said it would take two to three weeks to secure asylum for his client.


According to McAfee, Guerra is also the uncle of McAfee's 20-year-old girlfriend, Samantha. McAfee said the government raided his beachfront home and threatened Samantha's family.


"Fifteen armed soldiers come in and personally kidnap my housekeeper, threaten Sam's father with torture and haul away half a million dollars of my s***," claimed McAfee. "If they're not after me, then why all these raids? There've been eight raids!"


Before his arrest, McAfee said he would hold a press conference on Thursday in Guatemala City to announce his asylum bid. He has offered to answer questions from Belizean law enforcement over the phone, and denied any involvement in Faull's death.






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Rubio, Ryan look to the future during award dinner speeches



“Nothing represents how special America is more than our middle class. And our challenge and our opportunity now is to create the conditions that allow it not just to survive, but to grow,” said Sen. Marco Rubio (Fla.), the Leadership Award recipient at a dinner hosted by the Jack Kemp Foundation, a charitable nonprofit organization named for the late congressman and Housing and Urban Development secretary.

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4 ex-SMRT bus drivers from China charged with instigating strike granted bail






SINGAPORE: The four ex-SMRT drivers from China who have been charged with instigating an illegal strike have been granted bail on Thursday.

He Jun Ling, who faces two charges of inciting SMRT drivers to take part in the strike on 26 and 27 November, was granted bail of S$20,000. His passport will have to be impounded.

According to court documents, He, 32, also made an online post about the strike on Chinese website Baidu, allegedly asking other workers to go on MC together.

Gao Yue Qiang, 32, Wang Xian Jie, 39 and Liu Xiang Ying, 33, were granted bail of S$10,000 each. Their passports will have to be impounded.

In response to a question from District Judge May Lucius Mesenas, the four accused said they're not able to raise the money.

Two officials from the Chinese embassy were present in court.

- CNA/ck



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Sonia, Manmohan in top 20; Obama most powerful person: Forbes 2012 power list

NEW YORK: Prime Minister Manmohan Singh and Congress president Sonia Gandhi have been named among the top 20 most powerful persons in the world by Forbes magazine in its annual power rankings which placed US President Barack Obama as number one for a second year in a row.

India's richest businessman Reliance Industries chairman Mukesh Ambani and and Arcelor Mittal CEO Lakshmi Mittal also feature in the list that comprises 71 mighty heads of state, CEOs, entrepreneurs and philanthropists who "truly run and shape the world of 7.1 billion people."

Gandhi dropped a notch from last year's list and ranks at number 12 this year ahead of Chinese Vice-Premier Li Keqiang and French President Francois Hollande.

Forbes said the 65-year-old leader of India's ruling political party has the reins of the world's second-most-populous country and tenth-largest economy.

"Son Rahul is next in line to take over India's most famous political dynasty," it added.

Coming in at the 20th spot is Singh, the Oxford and Cambridge-educated economist who is the architect of India's economic reforms.

Singh had ranked 19th in the list last year. "But Singh's quiet intellectualism is increasingly seen as timid and soft," Forbes added.

Ambani, owner of the world's most expensive private residence, ranks 37th in the list. Forbes said the petrochemical billionaire is India's richest and Reliance Industries is the nation's most valuable company.

It however described Ambani's support for disgraced former Goldman Sachs director Rajat Gupta as a "low point" for him in 2012.

Mittal, ranked 47th in the most powerful people list, has a net worth of USD 16 billion but also has "lots of headaches, including S&P and Moody downgrades of his company's debt to junk status." A highlight for Mittal during the past year was carrying the Olympic flame in the 2012 torch relay.

Forbes said 51-year-old Obama emerged "unanimously" as the world's most powerful person for the second year running.

The decisive winner of the 2012 US presidential election, Obama now has four more years to push his agenda even as he faces major challenges, including an unresolved budget crisis, stubbornly high unemployment and renewed unrest in the Middle East.

"But Obama remains the commander-in-chief of the world's greatest military and head of the sole economic and cultural superpower--literally the leader of the free world," it said.

The second most powerful person in the world also happens to be the most powerful woman, German chancellor 58-year-old Angela Merkel. She jumped up from the number four position last year to take the runner-up spot on the 2012 list.

Forbes termed Merkel as the backbone of the 27-member European Union, one who carries the fate of the Euro on her shoulders.

The list also includes Russian President Vladimir Putin at number three, Microsoft co-founder Bill Gates (4), General Secretary of the Chinese Communist Party Xi Jinping (9), Google co-founders Larry Page and Sergey Brin (20), Iran's supreme leader Ali Khamenei (21) UN chief Ban Ki-moon (30), North Korean leader Kim Jong-un (44) and former US President Bill Clinton (50).

Forbes dropped US secretary of state Hillary Clinton from the list this year. Clinton, who had ranked 16th last year, does not feature in 2012 rankings as she is not expected to return to her powerful post for Obama's second term.

It is for the same reason that US treasury secretary Timothy Geithner also does not feature in this year's list.

Pakistan's Chief of Army Staff Ashfaq Parvez Kayani is ranked 28th in the list.

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A 2020 Rover Return to Mars?


NASA is so delighted with Curiosity's Mars mission that the agency wants to do it all again in 2020, with the possibility of identifying and storing some rocks for a future sample return to Earth.

The formal announcement, made at the American Geophysical Union's annual fall meeting, represents a triumph for the NASA Mars program, which had fallen on hard times due to steep budget cuts. But NASA associate administrator for science John Grunsfeld said that the agency has the funds to build and operate a second Curiosity-style rover, largely because it has a lot of spare parts and an engineering and science team that knows how to develop a follow-on expedition.

"The new science rover builds off the tremendous success from Curiosity and will have new instruments," Grunsfeld said. Curiosity II is projected to cost $1.5 billion—compared with the $2.5 billion price tag for the rover now on Mars—and will require congressional approval.

While the 2020 rover will have the same one-ton chassis as Curiosity—and could use the same sky crane technology involved in the "seven minutes of terror"—it will have different instruments and, many hope, the capacity to cache a Mars rock for later pickup and delivery to researchers on Earth. Curiosity and the other Mars rovers, satellites, and probes have garnered substantial knowledge about the Red Planet in recent decades, but planetary scientists say no Mars-based investigations can be nearly as instructive as studying a sample in person here on Earth.

(Video: Mars Rover's "Seven Minutes of Terror.")

Return to Sender

That's why "sample return" has topped several comprehensive reviews of what NASA should focus on for the next decade regarding Mars.

"There is absolutely no doubt that this rover has the capability to collect and cache a suite of magnificent samples," said astronomer Steven Squyres, with Cornell University in New York, who led a "decadal survey" of what scientists want to see happen in the field of planetary science in the years ahead. "We have a proven system now for landing a substantial payload on Mars, and that's what we need to enable sample return."

The decision about whether the second rover will be able to collect and "cache" a sample will be up to a "science definition team" that will meet in the years ahead to weigh the pros and cons of focusing the rover's activity on that task.  

As currently imagined, bringing a rock sample back to Earth would require three missions: one to select, pick up, and store the sample; a second to pick it up and fly it into a Mars orbit; and a third to take it from Mars back to Earth.

"A sample return would rely on all the Mars missions before it," said Scott Hubbard, formerly NASA's "Mars Czar," who is now at Stanford University. "Finding the right rocks from the right areas, and then being able to get there, involves science and technology we've learned over the decades."

Renewed Interest

Clearly, Curiosity's success has changed the thinking about Mars exploration, said Hubbard. He was a vocal critic of the Obama Administration's decision earlier this year to cut back on the Mars program as part of agency belt-tightening but now is "delighted" by this renewed initiative.

(Explore an interactive time line of Mars exploration in National Geographic magazine.)

More than 50 million people watched NASA coverage of Curiosity's landing and cheered the rover's success, Hubbard said. If things had turned out differently with Curiosity, "we'd be having a very different conversation about the Mars program now."

(See "Curiosity Landing on Mars Greeted With Whoops and Tears of Jubilation.")

If Congress gives the green light, the 2020 rover would be the only $1 billion-plus "flagship" mission—NASA's largest and most expensive class of projects—in the agency's planetary division in the next decade. There are many other less ambitious projects to other planets, asteroids, moons, and comets in the works, but none are flagships. That has left some planetary scientists not involved with Mars unhappy with NASA's heavy Martian focus.

Future Plans

While the announcement of the 2020 rover mission set the Mars community abuzz, NASA also outlined a series of smaller missions that will precede it. The MAVEN spacecraft, set to launch next year, will study the Martian atmosphere in unprecedented detail; a lander planned for 2018 will study the Red Planet's crust and interior; and NASA will renew its promise to participate in a European life-detection mission in 2018. NASA had signed an agreement in 2009 to partner with the European Space Agency on that mission but had to back out earlier this year because of budget constraints.

NASA said that a request for proposals would go out soon, soliciting ideas about science instruments that might be on the rover. And as for a sample return system, at this stage all that's required is the ability to identify good samples, collect them, and then store them inside the rover.

"They can wait there on Mars for some time as we figure out how to pick them up," Squyres said. "After all, they're rocks."


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