Rebuild the Dream

by Van Jones

  Homeowners

  Another major constituency is made up of America’s homeowners who, as hardworking taxpayers, bailed out America’s banks. But America’s banks won’t return the favor and cut them a break when families cry out for alternatives to foreclosure or for the chance to renegotiate underwater mortgages. This injustice has enraged the nation.

  The salt in the wound is that there have been widespread reports of fraud and abuse by the banks as they rush to foreclose on struggling families. There are endless cases of errors by robosigning machines, lost paperwork, and instances of timely payments simply being lost by the banks.

  By some estimates, the African American community lost about 80 percent of its total wealth when the housing bubble burst. If that is true, then every gain since Dr. King was alive has been wiped out in recent years. Why? African Americans disproportionately use their homes as the cornerstone of their wealth-building strategy; they tend not to be sophisticated traders on the stock market. When the housing market collapsed, it threw a disproportionate number of African Americans out of doors. Those who stayed indoors lost a disproportionate amount of their wealth, as much as 80 percent, compared to 20 percent for white Americans across the board.

  Banking institutions have taken a very uncompromising posture with regard to people whose mortgages are underwater. And they continue to bilk homeowners, even as they report record profits for themselves.

  A movement to rescue America’s homes from the big banks’ avarice and abuse could unite the impoverished foreclosure victims with struggling, middle-class homeowners. The pain of this casualty group could be elevated as an election issue—and it could create a basis for a larger cohort to vote and protest strategically.

  The Long-Term Unemployed

  Then there are the long-term unemployed, who have résumés and work experience, but who have been laid off and can’t find work. Many of these people are in their prime working years, in their forties and fifties, but they may never work again in America. They should be teaching younger workers how to reach the heights of professional excellence; instead they are sitting on their couches across the country watching television and getting more and more depressed.

  This is a constituency that has tremendous power as a set of potential messengers on the economy. They should be in the golden phase of long careers; many are respected community members. Their plight is an ominous sign for those who still have work, even those young enough to have only recently begun to think about retirement. As a constituency, they also have a tremendous amount of free time, and many long to be involved in something meaningful. Given an opportunity to fight the injustices that led to their situation, they would fight valiantly. During the Great Depression, concerned citizens organized “unemployed councils” that were a source of energy and ideas for the New Deal Coalition. The time to revisit that strategy is now.

  The “Public Employees”

  The last constituency, one that is already emerging as a powerhouse, is the group that the media likes to call “public employees.” I take exception to this label; personally, I cannot recall ever having met a “public employee” in my life. On the other hand, I do recall meeting firefighters, teachers, nurses, postal workers, police officers, librarians, and other esteemed professionals. These are the people whom we, as children, were taught to respect and admire. They were the backbone of our neighborhoods; they were the pillars of our communities. And to this day, they still are.

  And yet, to avoid raising taxes on the richest people ever born, the political elite are perfectly happy to throw these everyday heroes and heroines out of work, in massive numbers. In the coming years, 1 million of them across the country are at risk of losing their jobs—a devastating blow to our human infrastructure, beyond al Qaeda’s wildest dreams. If the only bad thing happening in America was that we were losing 1 million heroes and heroines, that fact alone would be sufficient to declare a national economic emergency.

  Republican Party policy makers’ vicious attacks on the public sector have a particularly negative impact on people of color and women of all colors. African Americans and women are more likely to be found in public sector jobs. In 2010, nearly one in five employed blacks worked for the government compared to 14.6 percent of whites and 11 percent of Hispanics. Likewise, women make up 57 percent of the public sector workforce overall, bearing the brunt of the steady losses of jobs in that sector and the political attack by Republicans. Since the recovery began, and due to cuts demanded by Republican-controlled governments, women lost two-thirds of the 284,000 public sector jobs that disappeared, mostly in education and local government.

  There is a particular irony in seeing our political leaders abandoning these heroes in a time of national crisis. In a time of personal crisis, whom do the politicians call? Just like the rest of us, they summon the police, the ambulance, the firefighters, and other first responders. Those true public servants risk their lives and run to our rescue every day. They have never abandoned America in a crisis. But at the first sign of financial trouble, the political elites want America to abandon them. Never.

  First responders have never abandoned America in a crisis. But the political elites want America to abandon them. Never.

  The vilification of America’s everyday heroes is one of the sickest and most offensive strategies of those committed to an economy that serves only the top 1% percent. Fortunately, America’s best are fighting back. In states like Wisconsin and Ohio, where Tea Party governors have made attacks on “public employees” a cornerstone of their political strategies, the blowback has been fearsome. The 99% movement should take every step to recruit into its ranks the educated, motivated, and well-trained leaders of America’s embattled public sector. They have the moral authority, material interest, public standing, and social networks to lead the charge and help win the fight.

  THOSE FIVE CASUALTY GROUPS alone add up to tens of millions of people and could represent, if properly organized, the core of an unstoppable movement to reinvent the American Dream and revitalize America’s economy. It is a tall order to cohere a massive group of unorganized people, especially the victims of the foreclosure crisis or the newly unemployed. New techniques and tactics will have to be developed and discovered.

  On the other hand, this situation is an organizer’s dream. Millions of people have little sense of community and only weak ties to others in similar situations. Technology presents wonderful opportunities to connect quickly, share ideas, and build organizations. The opportunity is there. The question is, what tactics will allow savvy organizers and activists to seize it?

  BEYOND ENCAMPMENTS: OCCUPY EVERYWHERE

  New approaches to protest and community building are necessary for the movement to continue growing. Fortunately, a number of new tactics that operate inside the Occupy or 99% frameworks are already being explored and road-tested. These tactics provide an important pivot from the “anger” stage to the “answers” stage of the 99% movement, while still making the connection to the “Occupy” branding and themes. Tactics like these are providing an invaluable bridge from the actual occupations as the 99% movement matures.

  Additionally, other campaigns to improve the economy are gaining traction. Among the most promising are the New Bottom Line, Caring Across Generations, and Rebuild the Dream. (New Bottom Line works with grassroots organizations to challenge the banks to treat low-income people more fairly; Caring Across Generations is committed to justice for those working in the care-giving industries, including domestic workers; Rebuild the Dream anchors a national movement to fix the economy.) Some of these groups have already figured out how to assist and/or leverage the 99% movement; some provide thriving models to follow or adapt.

  Occupy Your Homes

  Occupy Homes is a loose-knit coalition of activists that help tenants fend off pending evictions by taking over homes at risk of foreclosure. In Harlem, protesters occupied a derelict building’s boiler room until the landlord agreed to provide adequat
e heat and hot water to tenants. In Los Angeles, protesters held a vigil outside a home at risk of foreclosure, then organized a sit-in at the Pasadena regional office of Fannie Mae. The bank eventually called off the eviction and agreed to renegotiate the homeowner’s mortgage. In Minnesota, small business owner Ruth Murman credited the support of Occupy protesters in helping her gain more time to move out of her foreclosed home.

  Take Back the Land is a network of local organizations (another starfish!) that has, since 2006, been identifying vacant government-owned and foreclosed homes, and moving homeless people into them. They also defend the families against eviction once that happens. They call it “liberating” homes.

  With some of the Take Back the Land actions, police have come to execute the eviction and are faced with crowds of people willing to be arrested, and in many instances, the police have just left. Then the banks have waited for things to quiet down before they make a second run at it.

  By leveraging the people power of the “Occupy” and “99%” brands, the 99% movement can keep large numbers of people housed. In early 2012, we are seeing some levels of success with that approach in Los Angeles, and with the organization City Life / Vida Urbana in Boston. Beyond securing those homes and making sure people get to stay there, the movement must champion policy changes that would help thousands of other people avoid evictions.

  Occupy Student Debt

  Students across the country have begun participating in an Occupy Student Debt campaign. Even as young people face the highest unemployment of any age group in the country, they face unfair lending practices.

  I will let them speak for themselves. They do so eloquently on the OccupyStudentDebt.com website:

  We did what we were told to do and “followed our dreams,” but we are now trapped by what was meant to be an investment in our futures, not a noose.

  Obama’s recent student loan “reform” has done nothing for those in default, or those of us with private (bank-backed) loans through Sallie Mae, Citibank, and so on.

  It is crucial for our politicians and media to understand the difference between federal and bank-backed loans when discussing the student loan crisis. Bank-backed loans have been stripped of consumer protections, such as deferment for the unemployed, fair debt collection practice requirements, or any meaningful options for lowering interest rates and monthly payments. There are no refinancing rights.

  For example, Sallie Mae, America’s largest private lender, assigns low-income students variable interest rates of up to 25 percent. This is exploitation, pure and simple, sugarcoated in pamphlets distributed by our college financial aid offices.

  Neither federal nor private loans can be discharged in bankruptcy, even for the disabled, whose Social Security checks can be garnished even when living below the poverty level. (However, back child support payments and gambling debt can be discharged in bankruptcy, so in the eyes of the law, it is better to be a deadbeat parent who went wild in Vegas than a low-income student who tried to get an education.)

  If we default, we cannot rent or buy homes, or even find jobs with the 60 percent of employers that check credit. Our professional licenses (nursing/teaching) can be revoked. And with the fees assigned to defaulted loans that double the amount owed, getting back on one’s feet is nearly impossible.

  We could not all be mythical bootstraps college students. Tuition costs have risen 600 percent between 1980 and 2010. Wages, of course, did not keep up. The predatory for-profit student loan industry has lobbied Congress to strip away necessary consumer protections, allowing our debt to snowball out of control.

  As the campaign pushes Congress to reinstate the reforms it dissolved in 2005, it hopes to draw attention to the connection between the increasing cost of college and rising student debt loads. It also aims to highlight the necessity of federally funded institutions of higher education, interest-free student loans, and a requirement that for-profit and private universities reveal their internal finances. Some activists are calling for the abolishment of all current student debt. If an educated workforce is key to our long-term national health and security, then perhaps loans for school should not be treated the same as consumer loans. Both the society and the individual benefit when graduates populate the workforce, so perhaps both should share the pain when there are too few good jobs for the graduates who have taken on the debt. Then again, maybe college should be free, like primary and secondary school.

  For more information on how the predatory student loan industry profits from lack of consumer protections and pushing students into default, check out the student loan documentary Default and studentloanjustice.org.

  Occupy Classrooms (Teach-ins)

  Movements cannot live on protest alone; there also has to be inner nurturance and strategic growth. That is why workshops and teach-ins play a vital role in any movement. Economic inequality is at the heart of the movement’s concerns. But economic issues are incredibly complex. In fact, confusion and obfuscation about how the financial sector actually works have been powerful tools in the hands of those who want to defend the status quo.

  To tear back the curtain, the 99% movement must sponsor in-person gatherings, focused on educating large numbers of citizens and community members on these complex and important topics. Such teach-ins can give Wall Street’s casualties the knowledge and tools to fight back in the battle of ideas.

  But meeting this challenge will not be easy. Where will the movement find enough qualified and sympathetic economic experts to lead thousands of such gatherings, all across the country? And if there are not enough experts, how will the movement train a sufficient number of them? Here is another problem: economic experts may be good academics, but often they are not the most engaging public speakers. Many are fairly uncharismatic and unentertaining. Meeting the educational challenge will be a real test.

  Fortunately, digital technology can help. Rebuild the Dream is producing short videos that feature powerful speakers, arresting animations, and smart infographics to break down economics for the 99%. The organization will distribute “digital toolkits” with these materials; the idea is to make it easy for people to get together, watch some captivating material, and then have a discussion. While the average American might have great difficulty standing up and giving a coherent lecture on the U.S. economy, practically anyone can press play on a video and then lead a discussion afterward. That’s called “watching TV and talking about it,” a skill that almost every American has mastered. This approach combines the best of in-person gatherings with the best of digital education.

  The opportunity underscores a larger point about the need to continue to evolve the tactics. Many people might be afraid to go to a large Occupy encampment or a street protest. This is especially true for those who may fear racial or anti-immigrant animus on the part of the police. But there are many, many people who will feel comfortable getting together with a small group indoors to attend a teach-in. The 99% movement must continue to develop forums in safer spaces, so that different kinds of people can participate.

  New Bottom Line / Move Our Money

  The New Bottom Line is a coalition of national and regional groups, including community organizations, congregations, labor unions, and individuals, all of whom share a vision of a bottom line that puts people before profits. Together, they are working to help American families build wealth, close the country’s growing income inequality gap, and advance a vision for how the economy can better serve the many rather than the few.

  In October 2011, in conjuncion with “The Other 98%,” they launched the Move Our Money campaign, to publicly move money—at least $1 billion—from Bank of America, J. P. Morgan Chase, and Wells Fargo. They began introducing local resolutions in more than fifty towns and counties around the country, to ask those municipalities to divest until those banks invest in those communities. The New Bottom Line has also joined the Occupiers in the Occupy Our Homes campaign, bringing in people to support families that are fighting foreclosure
and eviction.

  Advocates of this approach invite people to put their money where their mouths are. Across the country, people pledge to close their accounts at Wall Street banks to protest their outrageous behavior—before, during, and after our nation’s financial crash. The idea is simple: we need to stop feeding what we are fighting. We need to support good banks, banks that will fund our American Dreams, not America’s nightmares.

  We need to support good banks that will fund our American Dreams, not America’s nightmares.

  In the first wave of action, centered on November 5, 2011, hundreds of thousands of people all over the country left big banks and moved their money to community banks and credit unions. In October 2011, 650,000 new accounts were opened at credit unions nationwide. One tracking website, bankmigration.org, which reflects only those who self-reported how much money they moved, reports millions being moved out of the big banks.

  The action has even inspired one state to follow suit. In February 2010, New Mexico’s House of Representatives voted to pass a bill that allows the state to move $2 to $5 billion of state funds to credit unions and small banks.

  Within our own wallets, we have the power to hold Wall Street banks accountable. We can move our money to community banks and credit unions, institutions that are responsive and accountable to the communities we live in. Community banks know that they depend on the well being of local residents and the local economy. Credit unions know that they thrive only if their account holders thrive. In other words, they put people before reckless profit-seeking. Wall Street banks have it backward, too often sacrificing people’s life savings and homes just to prop up their balance sheets.