Wednesday, February 12, 2014

The pros and cons of regulating business

The biggest problem with the regulation of business by government is that most of the people who compose the government never owned and operated a business of their own.  Don't take my word for it, read the words of the late Senator George McGovern:  http://thomas.loc.gov/cgi-bin/query/z?r102:S04JN2-163

That being said, it's important to remember that one of the goals of regulating businesses is to protect them as well as their customers and their employees.  I suspect that if we were to ask the customers of LA Payroll, a relatively small payroll company that appears to have ripped off 150 or so small business owners of an estimated $4 million.  Tovmas Grigoryan, owner of the company has allegedly absconded with the money and fled the country.  Time will tell if this is true or not, but in the meantime a whole lot of people are faced with paying payroll tax bills that they had been assured LA Payroll would pay.  One small business owner has already laid off one of his employees because he's out $30,000.

The Federal government doesn't regulate payroll companies.  California's government doesn't regulate payroll companies.  At least not a level of regulation that requires these companies to be bonded.  That's something that needs to change.  If I owned a small business, I could handle my own payroll.  Most small business owners can't.  It's a thankless, onerous job.  They can use a company like ADP, but they're a bit more expensive.

As for the moronic individuals who used this as an opportunity to display their bigotry by claiming you can't trust any Armenian, I feel sorry for you.  No one nationality has a monopoly on dishonesty, just as no one race, religion or any other categorization does.

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When I was a military cop, no matter what else I was doing, I was on the lookout for drunk drivers.  I've never lost a family member to DUI (and pray that streak of good luck continues).  Why this particular crime bothered me so much is something I never fully understood.

But maybe that's why the six deaths at the hand of a 21 year old woman who had already been convicted of DUI really angers me.  DUI is an entirely preventable crime.  I know lots of people who think they're okay to drive after they've had just a few.  They don't grasp the fact that they are impaired enough to slow their ability to react.  They've just been very fortunate for a period of time and the law of averages will probably catch up to them someday.  Just as you can't convince some people of their mortality, you can't make them understand that after a certain point, alcohol in the bloodstream is going to make you a much greater risk on the roads.  So unless we did something draconian like making every patron of a location that serves alcohol surrender their car keys when they walk in; and then have use the breathalyzer to blow a legal BAC of .07 or lower before they get the keys back, we can't prevent the first-time DUI offender.

The repeat offender is another matter entirely.  Studies of first-time DUI offenders and those with multiple DUI offenses show that the recidivism rate between the two groups is roughly the same.  In other words, once someone gets busted for DUI, the odds that they will do it again are higher than the rest of the population.  Therefore, once someone has a DUI conviction, stronger actions should be taken than are currently the norm.

If I had "my druthers", every single person who pleads guilty to, or is convicted of a DUI would be required to install an interlock device on every vehicle they own or drive.  Without exception.  As long as that interlock device is in use, they would be unable to commit another DUI.

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Now that the ranting by AOL's CEO Tim Armstrong about how two employee pregnancies were going to force the company to make changes to their benefits plan (and then he backed down), there's a question to be explored.  How did he know that two of his employees had incurred such large claims?  Especially when we have that HIPAA law that's supposed to protect the privacy of health information.

To understand, we have to take a quick look at how health insurance works with large employers.  Many of them choose to use a method of providing health benefits to their employees through fully or partially funded self-insurance.  There is an insurance company involved, but in the case of a fully funded self-insurance plan, the employer pays the claims as well as a fee to the insurance company to administer the program.  Partially self-funded differs in that the employer has purchased insurance from the insurance company for "shock" claims (very large claims in one plan year) and/or purchased coverage to cap their annual exposure.  They still pay out claims up to a point, and that administrative fee.

Insurance companies administering these self-funded plans for employers must provide information about claims, although there isn't supposed to be any information given that would allow the employer to determine which employee incurred which claims.  That's a nice ideal but it doesn't work that way in the real world.

I used to work for a large company that used the partial self-funding method.  The chairman and CEO of the company poured over those claims reports as though every dime mattered.  I went to the emergency room once and got a lecture afterward about not going to the ER unless I went to a doctor first (which I had done).  I knew that by going to the doctor before going to the ER I wouldn't be liable for the one-time deductible of $250 for an ER visit. 

He went to the desk of another employee to upbraid her in front of her co-workers about costing him too much money in health benefits.  She quit shortly thereafter, saying she couldn't take the pressure of him trying to force her to not use her health benefits.

Not all employers are like that.  But some do misuse the information they get access to, and if you work for a large employer, be warned.  They very well may know more about what you do with your health insurance benefits than you think they do.


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Random Ponderings:

If Bruce Jenner starts wearing skirts, would that make him "TransJennered"?  Don't blame me, I heard it on TMZ. 

If you crossed Larry Miller from Sit and Sleep and Larry H. Parker the accident attorney, would you get a mattress that will fight for you?

I think it's more amazing that Jason Belmonte was ABLE to toss a 300 game while wearing Google Glass rather than the fact he was wearing it while in competition.  I think it would be a major distraction.

So how did former New Orleans mayor Ray Nagin manage to be found not-guilty on one of the 21 charges against him?  A jury convicts on 20 out of 21?

Mariah Carey brought her own lighting team in...for a radio interview?  We need a word for something more diva than diva.

While I'm not convinced that Lindsay Lohan is beyond her substance abuse issues, she is the ideal actress to portray Stevie Nicks in a biopic.

I'm disappointed that the candidate I think would be the best replacement for Harry Waxman won't be running.

Why shouldn't Derek Jeter announce 2014 will be his last?  After seeing the farewell tours of other big-time pro athletes, he'd be foolish not to.   Then again, if you check out this clip at around the three minute mark, you'll see what could happen on a farewell tour http://www.youtube.com/watch?v=3E4TmZG-gWI.

Why all the fuss about Hilary Clinton describing Monica Lewinsky as a "narcissistic loony tune?"  It was said for public consumption and it's also highly accurate.

On a related note, if the best Senator Rand Paul has in his arsenal is to raise the issue of Hilary's reaction to Bill's infidelity, he should just quit now.

Maybe the feminist who is claiming that Air New Zealand's use of Sports Illustrated swimsuit models in a safety video is objectification of women should start with Sports Illustrated?  The airline didn't make the use of models in bikinis famous.

What does it say about our society that we're more interested in Taylor Swift's latest haircut than we are in the fact there's a debt ceiling bill making progress in Congress.

After reading the comments of Nicole Miller's co-founder and CEO Tom Konkeim that the 99% should stop whining, it isn't surprising to learn he went to Exeter and then on to Dartmouth.  What is surprising is that he apparently managed to do that without learning some of the basic principles of economics.  Otherwise he would understand that the equivalent of earning $35,000 in the U.S. doesn't translate to earning $35,000 in India.

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February 12th in history:

881 – Pope John VIII crowns Charles the Fat, the King of Italy: Holy Roman Emperor
1429 – English forces under Sir John Fastolf defend a supply convoy carrying rations to the army besieging Orléans from attack by the Comte de Clermont and Sir John Stewart of Darnley in the Battle of Rouvray (also known as the Battle of the Herrings).
1502 – Vasco da Gama sets sail from Lisbon, Portugal, on his second voyage to India.
1541 – Santiago, Chile is founded by Pedro de Valdivia.
1554 – A year after claiming the throne of England for nine days, Lady Jane Grey is beheaded for treason.
1593 – Japanese invasion of Korea: Approximately 3,000 Joseon defenders led by general Kwon Yul successfully repel more than 30,000 Japanese forces in the Siege of Haengju.
1689 – The Convention Parliament declares that the flight to France in 1688 by James II, the last Roman Catholic British monarch, constitutes an abdication.
1733 – Englishman James Oglethorpe founds Georgia, the 13th colony of the Thirteen Colonies, and its first city at Savannah (known as Georgia Day).
1771 – Gustav III becomes the King of Sweden.
1816 – The Teatro di San Carlo, the oldest working opera house in Europe, is destroyed by fire.
1817 – An Argentine/Chilean patriotic army, after crossing the Andes, defeats Spanish troops on the Battle of Chacabuco.
1818 – Bernardo O'Higgins formally approves the Chilean Declaration of Independence near Concepción, Chile.
1825 – The Creek cede the last of their lands in Georgia to the United States government by the Treaty of Indian Springs, and migrate west.
1832 – Ecuador annexes the Galápagos Islands.
1851 – Edward Hargraves announces that he has found gold in Bathurst, New South Wales, Australia, starting the Australian gold rushes.
1855 – Michigan State University is established.
1894 – Anarchist Émile Henry hurls a bomb into the Cafe Terminus in Paris, France, killing one and wounding 20.
1909 – The National Association for the Advancement of Colored People (NAACP) is founded.
1909 – New Zealand's worst maritime disaster of the 20th century happens when the SS Penguin, an inter-island ferry, sinks and explodes at the entrance to Wellington Harbour.
1912 – The Xuantong Emperor, the last Emperor of China, abdicates.
1914 – In Washington, D.C., the first stone of the Lincoln Memorial is put into place.
1934 – The Austrian Civil War begins.
1934 – In Spain the national council of Juntas de Ofensiva Nacional-Sindicalista decides to merge the movement with the Falange Española.
1935 – USS Macon, one of the two largest helium-filled airships ever created, crashes into the Pacific Ocean off the coast of California and sinks.
1946 – World War II: Operation Deadlight ends after scuttling 121 of 154 captured U-boats.
1946 – African American United States Army veteran Isaac Woodard is severely beaten by a South Carolina police officer to the point where he loses his vision in both eyes. The incident later galvanizes the Civil Rights Movement and partially inspires Orson Welles' film Touch of Evil.
1947 – A meteor creates an impact crater in Sikhote-Alin, in the Soviet Union.
1947 – Christian Dior unveils a "New Look", helping Paris regain its position as the capital of the fashion world.
1961 – Soviet Union launches Venera 1 towards Venus.
1963 – Construction begins on the Gateway Arch in St. Louis.
1968 – Phong Nhị and Phong Nhất massacre.
1974 – Aleksandr Solzhenitsyn, winner of the Nobel Prize in Literature in 1970, is exiled from the Soviet Union.
1983 – 100 women protest in Lahore, Pakistan against military dictator Zia-ul-Haq's proposed Law of Evidence. The women were tear-gassed, baton-charged and thrown into lock-up. The women were successful in repealing the law.
1990 – Carmen Lawrence becomes the first female Premier in Australian history when she becomes Premier of Western Australia.
1992 – The current Constitution of Mongolia comes into effect.
1994 – Four men break into the National Gallery of Norway and steal Edvard Munch's iconic painting The Scream.
1999 – United States President Bill Clinton is acquitted by the United States Senate in his impeachment trial.
2001 – NEAR Shoemaker spacecraft touches down in the "saddle" region of 433 Eros, becoming the first spacecraft to land on an asteroid.
2002 – The trial of Slobodan Milošević, the former President of the Federal Republic of Yugoslavia, begins at the United Nations International Criminal Tribunal for the former Yugoslavia in The Hague, Netherlands. He dies four years later before its conclusion.
2002 – An Iran Airtour Tupolev Tu-154 crashes in the mountains outside Khorramabad, Iran while descending for a landing at Khorramabad Airport, killing 119.
2004 – The city of San Francisco, California begins issuing marriage licenses to same-sex couples in response to a directive from Mayor Gavin Newsom.
2009 – Colgan Air Flight 3407 crashes into a house in Clarence Center, New York while on approach to Buffalo Niagara International Airport, killing all on board and one on the ground.

Famous Folk Born on February 12th:

Abraham Lincoln (1809)
Kujo Yoritsune, Shogun of Japan
Francis II, Holy Roman Emperor
Alexander Petrov (originator of the Petrov Defense in chess)
Charles Darwin
The 13th Dalai Lama
Charles Renault (did you know that Renault's Le Car came with Le Tow Rope?)
Omar Bradley
Ted Mack (http://www.youtube.com/watch?v=rs0bsUgB-c0)
Joseph Kearns (Mr. Wilson from Dennis the Menace http://www.youtube.com/watch?v=SKGuO1O8rew)
Joseph Alioto
Lorne Greene (http://www.youtube.com/watch?v=kA-PdP4k4Xw)
Dom DiMaggio
Forrest Tucker (http://www.youtube.com/watch?v=06rCm5jWgek)
Franco Zeffeirelli
Joe Garagiola (http://www.youtube.com/watch?v=l09v8AwGFLg)
Charles Van Doren (http://www.youtube.com/watch?v=CVnGLks--oA)
Arlen Specter
Costa-Gravas
Bill Russell (http://www.youtube.com/watch?v=yftw2SjQlOI)
Judy Blume
Ray Manzarek (an amazing musician http://www.youtube.com/watch?v=4UEVyIyibD8)
Moe Bandy (http://www.youtube.com/watch?v=_S7CAcjsLgM)
Maud Adams (only woman to be a Bond girl in three different films as three different women)
Michael Ironside (sorry for the poor quality of this video, but it's worth it to see Michael Ironside's character get his comeuppance)
Michael McDonald
Joanna Kerns
Arsenio Hall
Josh Brolin
Darren Aronofsky
Christina Ricci
Robert Griffin III

No movie quotes today.