US Tariff & Chinese Solar Panels

On March 21, 2012 we heard that the US would be placing a tariff on Chinese solar panels. In the May 18 LA Times it was reported that a 31% tariff was requested. Tony Clifford, chief executive of Standard Solar, a solar developer and installer in Rockville, Md. said “US imports of cheaper Chinese solar panels had provided the catalyst for an overall dramatic price reduction in the last 2 years that has made solar installations more affordable for homes and businesses; the cost of outfitting a typical home today with solar panels runs about $20,000, half of what it did 2 to 3 years ago.” Customers also benefit from a 30% tax credit until 2016. Such US firms decried the anti-dumping duties saying that they risked a trade war with China and threatened to slow or halt the momentum of solar installations in the US. This action is one of the strongest by the Obama administration in addressing complaints of unfair Chinese trade and economic practices — an area that has made Obama a target of criticism from Republicans who say he's too soft. Earlier this year, Obama established a new trade enforcement unit to crack down on violators, specifically naming China as a potential target, as part of an overall strategy to boost domestic manufacturing, exports and jobs. But it isn't clear what the Commerce Department ruling will mean for US employment. Some domestic solar makers have shut down or cut employment, partly because of weaker growth in places such as Europe, there have been significant job gains at US businesses developing and installing solar panels. Robert Atkinson, president of the Information Technology and Innovation Foundation, a nonpartisan Washington think tank said that even if the US solar energy industry loses some workers in the short run (like Solyndra) "That is never a reason for turning a blind eye to mercantilist trade practices". Of about 100,000 people employed in the industry last year, a little more than 50% were involved in solar installation, about 25% worked in manufacturing and the rest in sales and distribution, according to a Solar Foundation study.

A July 12 Washington (Platts) article said - Despite the Obama administration's imposition of tariffs on Chinese solar cells and panels US imports of the products increased 76% in May compared with April, according to data from the US Department of Commerce. The US imported $124.1 million in Chinese solar products in May, compared with $70.7 million in April. The Coalition for American Solar Manufacturing (CASM), a group of US companies that had filed a trade complaint against China that led to the tariffs, said that the tariffs are having an impact; citing that May imports were 45% below the $225.8 million imported in May 2011. "This significant decline in year-over-year totals reflects the market's rising recognition of the costs, risks and uncertainties associated with importing Chinese solar cells and panels" CASM said. For the first 5 months of 2012 the US imported $1.21 billion, up 22% from the $993.2 million in the same period last year. Commerce in March announced tariffs ranging from 2.9% to 4.73% on Chinese cells and panels to counteract China's subsidies for its domestic manufacturers; saying those subsidies are illegal under World Trade Organization (WTO) rules. The May figures do not yet reflect Commerce's decision in late May to impose additional duties on Chinese solar products, CASM said. Commerce said it would impose tariffs ranging from 31% to 250% for China's alleged "dumping" of solar panels in the US at below-market costs. China in late May filed a WTO complaint challenging the US tariffs.

The July 13 USA Weekly via China Daily said - JA Solar products (solar cells and modules) which are imported from China to the US would be subject to the tariffs. According to analytics firm HIS Inc exports of such equipment from China to the US could drop by half this year due to the tariffs. Solar installations jumped 109% last year according to the Solar Energy Industries Association and they expect that to double in 2012 although tariffs could slow the rate of growth in 2013. Shyam Mehta, an analyst with Boston-based GTM Research, estimates that the new tariffs could increase the cost of installing solar panels on a US house by 10%. The US is the world's 4^th biggest market for solar-energy equipment according to GTM. The US share of the global market could double by 2016. To avoid the US tariffs some companies are working to establish alternative manufacturing supply lines. In late May the Portland-based Oregonian newspaper reported that JA Solar was scouting Oregon and other western US states for potential factory sites; the company is also evaluating manufacturing options in other low-cost regions of Asia as "We already have supply lines in Mexico, Canada, Europe and Taiwan through our manufacturing partners. At this stage we are evaluating the business cases, making sure we fully understand the market opportunities so that we can provide the best options to support our customers." JA Solar is projecting a 10% increase in global sales this year due to strong demand in China and rapid growth in Japan since it moved to replace nuclear power following last year's tsunami-related disaster. China's solar market saw impressive 470% growth in panel installations last year. With growth prospects bright in the US and China JA Solar said "There are a lot of ways in which the US can help China and for China to help the US. We must not get distracted or discouraged by these tariffs.”

What I got from these articles is that other foreign owned companies have been successful with manufacturing in the US (e.g. Toyota) and even though Solyndra failed, US jobs can still be achieved.   

Electric Cars & Batteries

On February 7, 2012 we heard Fisker Automotive, maker of an electric car that received $500 million in government funds (from the Department of Energy’s 2009 Advanced Technologies Vehicle Manufacturing Loan Program), was forced to lay off workers. On June 22 Fisker announced that its international expansion continues with a growing dealer network and customer delivery of their cars across Europe. On this same date Advertising Age said – the company founded in 2007 has had its share of criticism: 240 Karmas were recalled due to faulty batteries late last year (Fisker abandoned its deal for A123 batteries) and another 19 were recalled earlier this month because defective hose clamps from its suppliers. The demo Consumer Reports was driving broke down and their report prompted a number of complaints from other Fisker drivers. On the other hand, Motor Trend gave the car a mostly positive review. Roger Ormisher, director of global PR for Fisker, said “There are always critics and skeptics of any new project, especially one that’s been in the political spotlight. But this is underlining what we achieved.” Karma which is the only Fisker car on the market (they did announce that the Atlantic is expected to come out in the next couple years) has sold 1,000 units in the first quarter, tallying $100 million in sales. In February Fisker began working with eMaxx to develop marketing strategy and help the carmaker choose agencies to suit its needs. In May Fisker started working with Mono a creative agency (they expect more such relationships this year). Fisker executives as of July 2 include former executives from Ford, Volvo and Chrysler. On July 3 Fisker and Leonardo DiCaprio announced they will work together to promote Global Sustainability.

On June 24 Tesla Motors released its first electric car; it’s the fastest electric car and it goes 300 miles before needing to be recharged (estimated cost about $280 a year). Tesla tested various batteries and the only thing I could find out is that the non-toxic battery pack in the Tesla Roadster is built at Tesla’s Headquarters in Northern California and is the result of innovative systems engineering and 20 years of advances in Lithium-ion cell technology (one sight speculated that they use Panasonic [Japanese] cells). I’ve focused on the car batteries because of what happened with Ener1 and the difficulty they present to the electric vehicle.

On July 13 Statesman.com said: Plug-in electric vehicle (PEV) prices have dropped and the number of models has mushroomed over the past 18 months, but full-electric cars (FECs) still make up less than 1% of total vehicle sales. Cost and range anxiety continue to plague FECs and by extension the lithium-ion battery makers. "The technology of the lithium battery has reached a fairly mature stage," said John Goodenough, an engineering professor at the University of Texas and the godfather of lithium-ion battery technology. "But they have to get the cost down and capacity up so people can have a longer driving range." The idea that you might run out of power halfway home has pushed many people toward hybrids which are cheaper and still clean enough to salve most consumers' environmental conscience (most hybrids use a different type of battery technology). In 2011 fewer than 18,000 PEVs were sold in the US said Dave Hurst, Pike Research senior analyst; he projects about 48,000 PEVs to sell in the US this year, compared with a forecast for 13.3 million cars and light trucks overall. For FECs the battery remains the single most costly component. In April, Ford said the battery pack for the Focus costs between $12,000 and $15,000 (the car starts at around $40,000). A recent McKinsey & Company report suggested that battery costs could fall from $600 per kilowatt hour to about $200 by 2020. But to date, sales of lithium-ion batteries for FECs and other industrial applications such as large-scale electricity storage haven't produced the volumes many in the industry hoped for or expected, said Brittany Gibson, an analyst at Pike Research; making matters more difficult, the big Asian competitors such as Sony, Sanyo and Samsung are large and more diversified so they "can weather the period they're in now as they wait for a lot of commercial projects to take off." As cars such as the Nissan Leaf and the Chevrolet Volt are becoming recognizable brands, 2 of the country's top lithium-ion battery makers are teetering on the brink of insolvency. Austin-based Valence Technology Inc. (launched in 1989) announced that it had filed for Chapter 11 bankruptcy protection and was negotiating a new source of funding that would boost its working capital and allow it to continue operating. The announcement came less than a week after Massachusetts-based A123 Systems Inc. told investors that it had about 5 months of cash remaining for its operations and would move to raise more funding in the interim. Once a company works through the engineering manufacturing quality issues, it still needs a market that can buy enough battery systems to start paying off those costs. Barring that, it needs subsidies (A123 raised $378 million through an initial public offering in 2009 and hauled in a $249 million grant from the Obama administration and said it was raising $39 million to handle its pending cash crunch) or investors who have a lot of money and a long-term view which is what Valence got in California billionaire Carl Berg (chairman and the holder of about 44% of the company's stock). Valence said that the Nasdaq exchange had suspended trading of its stock and noted that it currently owes Berg and his companies $69.1 million in loans. If Valence's 23 years of experience and the size of the PEV market offer a sign of what's to come, both US battery makers will need a lot more cash and time before their income can support their expenses. 

Major Energy Failure

In my November 19, 2011 - So-called Energy Failures blog I addressed what I knew at the time regarding US attempts at curtailing global warming. The January 26, 2012 Washington Post said - Ener1 is the third company to seek bankruptcy protection among those the Energy Department backed as part of the president’s signature program to invest in clean energy. Solyndra, a California solar-panel maker, and Beacon Power, a Massachusetts energy-storage firm, entered bankruptcy court proceedings in the fall, after having received taxpayer-guaranteed loans of $535 million and $43 million, respectively. One of Ener1’s key struggles has been its reliance on one financially troubled customer, Think; the Norwegian carmaker filed for bankruptcy protection in June 2010. In his State of the Union address Tuesday, President Obama foreshadowed the bad news by saying that he remained proud of his administration’s $80 billion commitment to clean-energy projects and companies, despite periodic failures. “Some technologies don’t pan out; some companies fail,” Obama said. “But I will not walk away from the promise of clean energy.” House Energy and Commerce subcommittee Chairman Cliff Stearns (R-Fla.), who has led the congressional investigation into Solyndra’s loan, called Ener1 part of the “growing list of failed companies that went belly up” with taxpayer money. Ener1’s application for stimulus money had bipartisan support among Indiana lawmakers. The company received $10.5 million in grants and contracts under the George W. Bush administration. An Energy Department spokeswoman Jen Stutsman said “While it’s unfortunate that Ener1, the parent company, has entered a restructuring process, the new infusion of $80 million in private capital demonstrates that the technology has merit”.

On April 8 the Chicago Tribune said – The company tapped the country's top scientists at Argonne National Lab in Illinois, US taxpayers pledged up to $118 million in federal funds and $80 million in state and local incentives (were committed) to help Ener1 produce cutting-edge battery technology for electric cars and the US military. Vice President Joe Biden said in a January 2011 speech (at Ener1’s facility in Indiana) "This is about the future. And the question is which nation is going to seize the future. Some nation is going to grab it by the throat. One of the nations of the world is going to lead the world in green energy and technology." That nation, it turns out, is Russia. The company's technology is owned outright by Boris Zingarevich, a Russian businessman with ties to Russian President Dmitry Medvedev, a fact that concerns some technology experts in the US. Zingarevich acquired Ener1 out of bankruptcy March 30 with an agreement to infuse $81 million in financing, giving him a sophisticated line of batteries that can power electric cars, store electricity for power grids and supply portable power for soldiers. The deal for Ener1 shows how the global economy can blur the lines between private business and national interest. While there have been instances of Russian nationals accused of using illegal means to acquire US technology, US government said there is no law that bans transferring technology paid for by US taxpayers to foreigners. Wealthy Russians are major investors in the US, owning stakes in companies such as Facebook and Twitter, and Zingarevich was Ener1's largest shareholder from the beginning in 2002. Yet there is a big difference between being a shareholder and gaining control of a company. "In a company whose ownership is connected to Medvedev, you have a golden opportunity for a military technology transfer and perhaps civil transfer from the US to Russia at no cost" said Stephen Blank, an expert on Russia and a research professor of national security affairs for the Strategic Studies Institute at the United States Army War College. Russia is second only to China in trying to gain high-tech information related to military uses, energy generation and manufacturing, according to the US Office of the National Counterintelligence Executive. In the case of Ener1, neither the Department of Energy nor the Navy checked on foreign ownership before awarding the company grants and research and development contracts. The Army, which also awarded contracts, said individual employees underwent routine background checks as contractors but scrutinizing the company's ownership structure was not part of its purview. The Department of Energy, in an email, said it was only interested in whether the company could successfully produce and sell its batteries. The Navy said it didn't place restrictions on foreign access to the company's work on unmanned aerial vehicles, a highly sought-after technology, according to the intelligence community, or to battery technology that could be used to track US military personnel. Citing national security concerns, US Rep. Cliff Stearns, R-Fla., chairman of the Energy and Commerce Committee's Subcommittee on Oversight and Investigations, is seeking internal documents from the White House, Department of Energy, Ener1 and its EnerDel battery unit. "There is definitely a growing concern about a foreign-controlled or owned company attempting to gain a foothold into our supply chain in the United States," said Stearns, whose subcommittee held a hearing March 27 about such threats. "We need to make sure the federal government isn't an unwitting accomplice to the theft of our own national secrets by providing them with multimillion-dollar government grants,'' he said in a statement, referring to battery technology produced in concert with US scientists.

Green technology (causing fewer pollutants) is the future and our public and private sector didn’t step up. It’s discerning that I didn’t hear about this in the news. 

Climate Change

On December 12, 2011, it was reported that the leaders at the UN Climate Change Conference couldn’t agree on carbon emission cuts. On January 3, 2012 we heard that scientists discovered that outside Australia 2 species of shark have combined to make a super shark that can withstand both hot and cold waters. January 5 a rare Orca (killer whale) sighting was made off the Orange County, California coast (it’s said that they’re 300 miles off course because of global warming). January 18 scientists estimated nearly 6 million bats were killed by a fungal ailment in 16 states and Canada. On January 24, 2012 we heard 36 stranded whales were dead, dozens of others were threatened off the coast of New Zealand; 2 more dolphins were stranded off Cape Cod, Massachusetts. February 1 a report from the National Oceanic and Atmospheric Administration (NOAA) said the crazy weather world-wide is due to human generated causes and they can prove it (a 12’ crack in an Antarctic glacier was found). February 4 it’s said that in the past few weeks 116 dolphins beached themselves on the shores of Cape Cod, 81 died; a group went to Congress and asked for help with NOAA’s best scientists to try and figure out why it’s happening. February 15 scientists discovered a new species (a cousin of the chameleon, one inch long that doesn’t change color) in the rain forests of Madagascar. February 22 scientists discover a new family of legless amphibians in India. March 5 a massive chunk of a glacier fell in an Argentina lake; it’s been 4 years since such an event has occurred. Hawaii’s big island volcano erupted, spilling lava on a sparsely occupied suburb; the volcano has been erupting for decades but it’s become more active recently. March 11 a freak hailstorm and tornado hit Hawaii. March 29 a UN report came out saying all nations should prepare for costly weather related disasters. March 31 the citrus disease that killed million of trees in Florida and Brazil is now found in California. April 18 a new shrimp-like species was found in a New Mexico cave. April 23 an albino Orca was spotted off the Russian coast. May 17 Texas had a rare 4.3 earthquake. May 25 it’s reported that butterflies moved north because of climate change. July 17 on my local NBC station I heard that next year Harvard scientists want to fly a hot air balloon over New Mexico and at 80,000 feet spray sun reflecting chemicals (consistent with those released by volcanoes) into the air; other scientists said wide spread use of the chemicals could have a negative effect on global warming. On July 18 it’s said an iceberg twice the size of Manhattan breaks off a Greenland glacier.

Back in November 2011 I did a couple of blogs that related to this issue (17^th - Global Warming, 18^th – Energy) because the Republican candidates were denying it. And, on January 31 on the View I heard that Fox News accused the Muppets of being anti-oil in their new movie; the Muppets response: Kermit said - if we had a problem with oil why would we have spent so much time driving around in a gas guzzling Rolls Royce; Miss Piggy said that would be like accusing Fox News of being news. June 23 it was said that the earth’s rotation is slowing and one second was added to the day; this didn’t affect the weather but some computers all over the world couldn’t handle the one second add on.

On July 10 the US government backed the newly released annual State of the Climate Report made by hundreds of scientists in 48 countries. The scientists have tested the earth’s natural greenhouse gases and found they haven’t risen so global warming and recent bad weather is the result of manmade causes (carbon dioxide, methane and nitric-oxide increases). Glaciers and sea ice around the world continue to shrink (30 times faster than expected), temperatures on land and sea are rising, over the past 100 years oceans have risen 10 inches and they’re predicting they will rise 12 inches more by 2050 (less than 40 years). We’re not at the tipping point yet but if we don’t start making changes it will come sooner than expected.

All of the odd things listed here along with the erratic weather (record breaking temperatures, floods and drought) has increased feed costs for the animals as well as destroyed many crops and it’s all because of global warming. In January we heard this along with an increase in exports (up 11% last year) there isn’t enough beef cattle to go around and the price of beef has gone up 24% in the last 5 years and it’s expected to jump another 8% this year.

We need a President that believes we can do something to slow down global warming and keep jobs and food here in the US; not someone who believes exporters should get tax credits. Tomorrow I’ll talk about the US attempts made to curtail global warming.  

Information Leaks

On April 6, 2012 we heard a former CIA officer was charged with leaking confidential information to journalists. And let’s not forget about Bradley Manning, an Army intelligence analyst, who in January 2012 was charged with disclosing more than 260,000 diplomatic cables, more than 90,000 intelligence reports on the war in Afghanistan and one video of a military helicopter attack (much of it classified) to WikiLeaks founder Julian Assange.

On June 9 the US Attorney General said he was going after those leaking government secrets (we can’t have countries not willing to work with us). The Baltimore Sun on June 13 said: Rep. C.A. Dutch Ruppersberger and the other leaders of Congress' intelligence committees this week issued a strong, bi-partisan statement of condemnation for recent leaks of classified information about America's clandestine operations abroad, including its cyber-warfare against Iran and drone strikes in Pakistan and Yemen. Republicans have also criticized the administration for disclosing details of the Navy SEAL team that killed al Qaeda leader Osama bin Laden in a raid on his Pakistan hideout last year. They promised new legislation to clamp down on leaks that they say can endanger Americans.

Sen. John McCain went further, alleging that the Obama administration has engaged in a double standard on leaking; aggressively prosecuting low-level leakers while tolerating or even encouraging high-level leaks of information that could bolster the president's re-election prospects. "Our intelligence people say this is the worst breach they've ever seen," Senator John McCain, senior Republican on the Senate Armed Services Committee, said in an interview on CNN's "State of the Union" program. "It's very clear that this information had to come from this administration. It couldn't have come from anywhere else," McCain said. "This needs a special counsel - someone who is highly independent of the Justice Department."

There is no doubt that the White House's attitude about leaking classified material during this administration and others has been selective. President Obama, who promised transparency when running for office, has prosecuted more leakers than all of his predecessors combined. But his administration has also disclosed details of drone strikes on al-Qaida operatives, even though they are run under classified CIA programs. The Bush administration likewise leaked intelligence information that bolstered its case for war in Iraq. Later, Vice President Dick Cheney's chief of staff, Scooter Libby, was convicted for his role in outing covert CIA agent Valerie Plame, another leak that served a political purpose. Classified information should not be used as a political tool.

On the June 12 NPR.com website it said - Last week's assignment of two federal prosecutors to investigate disclosures of national security information might have been the first shot in a new war on leaks. The director of national intelligence is expected soon to announce new measures to fight unauthorized disclosures, and some members of Congress say it could be time for new anti-leaking laws.

The moves are motivated by a concern that recent revelations about the successful penetration of an al-Qaida cell in Yemen, U.S. policies regarding drone aircraft strikes, and a White House-authorized cyber attack against Iran have jeopardized U.S. national security. But advocates of open government fear an overreaction. "Members of Congress in both parties have adopted an extreme knee-jerk position that presumes any and all disclosure of classified information is always wrong," says Steven Aftergood, director of the Project on Government Secrecy at the Federation of American Scientists. "That just doesn't fit the experience of those of us who gather or consume news." Not all leaks of classified information are criminal. A successful prosecution for disclosing secrets has to prove violation of the 1917 Espionage Act and show that the leaker realized it could harm the United States or help a foreign government. "Classified information [may be] disclosed not only to undermine or challenge policy, but to explain it, to defend it and to interpret it for the public," Aftergood says and he is worried. "If Congress were to assert a hard line that each and every disclosure of classified information must be punished, a lot of the news-gathering and news-production process as we have known it would have to shut down," he says.

Congress passed just such a law in 2000, only to have it vetoed by President Clinton. In a statement Clinton said he objected to a "badly flawed" provision that would have made the unauthorized disclosure of classified information a felony. Clinton said that though well-intentioned, the provision is "overbroad and may unnecessarily chill legitimate activities that are at the heart of a democracy."

According to Bloomberg Businessweek, after a closed-door hearing on July 19, California Republican Howard P. “Buck” McKeon, the House Armed Services Committee Chairman, said he’s convinced the leaks didn’t come from the Pentagon.

I believe this was just another loud mouth attempt by the Republicans to discredit the President. 

Fast and Furious Mission

On December 1, 2011 it was reported that another drug tunnel was found between Tijuana, Mexico and San Diego, California (1800 feet long). The tunnel that connected warehouses in both cities was equipped with electric rail cars; $53 million in marijuana had been confiscated. December 26 the Mexican army captured the security head of the Sinaloa cartel. January 5, 2012 a Mexican drug cartel kingpin pled guilty in a US court. February 1 Police nabbed a Mexican drug boat just north of Los Angeles, California. February 10 the US warned Americans to stay out of most of Mexico due to the war between police and drug cartels (last year 120 Americans were killed in Mexico). March 22 a drug lord hunted by ATF was discovered to be an FBI informant. July 12 DEA found a major drug tunnel (over 600’ long, 6’ High and 4’ Wide) 50 feet underground in Arizona – Mexico; the tunnel was complete with lighting and ventilation and allowed drugs to flow into the US while cash and guns flow into Mexico. Our efforts with drug cartels will probably be slowed as the newly elected Mexican President said he’ll focus on making their streets safer and work to grow their economy so children won’t want to work for the drug cartels; he’s not as concerned about the drugs coming over the US border.

All drug missions are not successful. On February 2, 2012 it was reported that the family of a slain border patrol agent is suing the Justice Department. Progress on this was kept quiet until June. At this time we hear that border agent Brian Terry was killed in 2010 while on a mission called Fast and Furious that began in 2009. Fast and Furious allowed criminals to buy guns so the government could trace/track Mexican drug cartels but the agents lost track of hundreds and they started showing up at crime scenes. The Justice Department disbanded the operation in 2011 but a Congressional investigation was initiated. On June 9 we heard Fast and Furious will be holding Grand Jury type investigations, using FBI agents and subpoenaing journalist and government officials. During the investigation, we heard that this was the first time the President exerted executive privilege to shield documents from Congress; that every email or communications between officials is not the business of Congress. On June 20 Republicans said the lack of transparency is sickening and using executive privilege to maintain the vow of secrecy is even more sickening. On June 28 the House approved a resolution holding the US Attorney General in criminal contempt of Congress.

On July 9 it’s reported that the FBI is looking for 4 men in the Fast and Furious government mission that killed Border Agent Brian Terry and a reward of $1 million each is being offered. The details of Terry’s operation are now being revealed. On December 14, 2010 at about 11pm Terry and his team were about 10 miles from the Arizona/Mexico border looking for drug runners when an electronic sensor told them that someone was coming their way. It turned out that while the Border Agents were firing bean bags the criminals that rob drug runners were using live bullets. The robbers were using weapons that had been disbursed by the US government to low level gun runners hoping they would lead to cartel leaders. I don’t know what the Agencies’ plans were for tracking the guns but apparently, the gun runners sold the weapons to the highest bidders instead and Terry got killed in the process.

This is not the only failed mission the US government has had. I am not amused by Republicans publicly overreacting to a situation and feel that they did so solely to discredit the President and not for the safety of the people. 

Tomorrow I’ll talk about the Republicans claim that the Obama Administration is exerting too much transparency. They really need to make up their minds or get to work making the line clearer. But, right now I wish they’d spend more time working on job creation. 

No Child Left Behind

On February 9, 2012 it was said that the President is to waive the No Child Left Behind requirement for 10 states. Per a July 6, 2012 Huffington Post article 26 states have now received permission to work around No Child Left Behind law (Arkansas, Colorado, Connecticut, Delaware, Florida, Georgia, Indiana, Kentucky, Louisiana, Maryland, Massachusetts, Minnesota, Missouri, New Jersey, New Mexico, New York, North Carolina, Ohio, Oklahoma, Rhode Island, South Dakota, Tennessee, Utah, Virginia, Washington and Wisconsin.) Washington's waiver is conditioned on the state finalizing its teacher and principal evaluations, in addition to crafting its school accountability system. Before the state can fully get out of the law, the US Education Department will have to approve those two facets. Until then, the state will revise its performance targets, and instead of looking to hit absolute targets, will seek to halve the percentage of students who aren't proficient within 6 years. Six states did not complete the entire waiver process and one got a one-year freeze: Alabama, Alaska, Idaho, Iowa, Kansas, Maine and West Virginia. The applications of 10 states and Washington, DC are still being reviewed.

To wiggle out of No Child Left Behind's rigorous test requirements the states are required to adopt the Obama administration's education agenda instead. More than half the states have now won exemptions from the 2002 law (a signature initiative of George W. Bush's presidency) that expired in 2007 that required standardized testing of students and a system of punishments based on the test scores. While advocates credit the law for exposing test score gaps between different groups of students, even the law's original cheerleaders acknowledge its "failing" schools label is too broad, the tutoring remedies it mandates rarely boost student achievement, and the 2014 goal that 100 percent of US students be deemed "proficient" in science and math is unrealistic.

Despite a few attempts, Congress has failed to rewrite it. After Congress missed President Obama's fall deadline for overhauling the law, the administration began offering states relief waivers from the law's toughest parts. In exchange for the waivers, states had to agree to parts of the Obama education agenda, which includes a "college and career-ready" standards and grading teachers, in part, in accordance with students' standardized test scores. And instead of subjecting all schools to potential punishments, only 15 percent of each state's lowest-performing schools would be affected. Minnesota is transitioning to new school accountability systems and when Minnesota uploaded its new education database last month, the number of schools identified as needing improvement dropped suddenly to 127 from 1,056 the previous year, wrote Charlie Weaver, executive director of the Minnesota Business Partnership, in the Minneapolis Star Tribune last month. "Either a thousand elementary, middle and high schools suddenly and collectively erased stubborn achievement gaps and radically upped test scores in the last 12 months or someone is getting cute with the numbers," Weaver wrote. The new system grades schools for students' improvement, not competence -- a switch advocates say is fairer to teachers. But Weaver asserted that the new method "makes it appear that Minnesota schools are doing better than they actually are."

A survey by consulting firm Whiteboard Advisors revealed that the controversy surrounding the process is broader. Late last month, the "education influentials" who responded to Whiteboard's survey (questions answered anonymously by White House, Education Department and congressional staffers) showed limited confidence in the waiver process. "The waivers are a complete disaster and will weaken accountability in ways that will be felt for years, if not decades," one respondent complained. "The Washington education policy world has completely looked the other way while all this has happened -- largely because they are mostly Democrats who could not bring themselves to oppose Obama’s US Secretary of Education Arne Duncan." Duncan said “It is a remarkable milestone that in only five months, more than half of the states in the country have adopted state-developed, next-generation education reforms to improve student learning and classroom instruction, while ensuring that resources are targeted to the students that need them most”.

The waiver process has resulted in a flurry of criticism from Republicans who say the administration is abusing its power and exerting too strong a federal role in education.

On July 18 it’s reported that the President wants to spend $1 billion on a group of teachers (each would get a $20,000 bonus per year) to make our students more competitive in the world in math and science; Congress has to approve the money so it probably will not happen.

Okay let’s be real. Bush made a good attempt to improve our education system but 43 states and Washington DC have had difficulty meeting the No Child Left Behind law; it expired in 2007 and Congress failed to rewrite it. Instead of having the states punished the Obama Administration came up with something that requires the states to make improvements – although not perfect, it’s better than nothing – which is what Congress did. The Republicans need to quit yapping and start doing something.