Days before crucial deadline, NCL joins 300+ groups call for Congress to rescind ‘Fake Lender’ rule that facilitates predatory loan schemes

/in Consumer policy, Consumer Protection, Featured Home - Consumer Protection, Personal finance, Press release/by

Only a majority vote in Congress would be needed to overturn rule that helps triple-digit interest rate loans evade state and voter-approved interest rate caps and spread across the country

March 23, 2021

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC—With just a few days left before a crucial deadline, the National Consumers League (NCL) joined a broad coalition of 324 organizations from all 50 states and the District of Columbia calling for Congress to eliminate a Trump-era regulation that took effect in December and could “unleash predatory lending in all 50 states.” The rushed “fake lender” rule, which was issued by the Office of the Comptroller of the Currency (OCC), would facilitate “rent-a-bank” schemes whereby predatory lenders launder their loans through a few rogue banks, which are exempt from state interest rate caps, through a superficial partnership meant to evade critical predatory lending rules. *Linked here and included at bottom is the coalition’s letter to Congress.

“States across the country have passed laws to protect their citizens from predatory lending. This harmful rule undoes that progress,” said Sarah Robinson, Public Policy Manager at the National Consumers League.  “We call on Congress to protect consumers from these types of predatory loans that target vulnerable communities and seek to trap borrowers in a cycle of debt.”

As was done more than a dozen times under President Trump, this Congress could use the Congressional Review Act (CRA) to rescind recently finalized regulations, including the OCC’s “fake lender” rule, with just a majority vote in both chambers, limited debate, no filibuster, and the president’s signature. However, to be considered, there is a strict deadline for CRA resolutions to be introduced, estimated to be April 4. With spring recess coming up, the practical deadline is likely the end of this week. A CRA of the OCC “fake lender” rule has not yet been introduced. These resolutions also must be voted upon by a certain date, currently estimated for sometime between May 10 and May 21.

The coalition of signatories to the letter consists of 325 groups, including civil rights, community, consumer, faith, housing, labor, legal services, senior rights, small business, student lending, and veterans organizations representing all 50 states and the District of Columbia. The letter states that “[t]he rule replaces the longstanding ‘true lender’ anti-evasion doctrine with a ‘fake lender’ rule that allows lenders charging rates of 179 percent or higher to evade state and voter-approved interest rate caps merely by putting a bank’s name on the paperwork – just as payday lenders were doing in the early 2000s.”

The groups warn, “These lenders charge triple-digit interest rates, target the financially vulnerable and communities of color, and trap consumers in devastating cycles of debt…. Currently, there are only a few of these rogue, predatory lenders, but they will spread to all 50 states if the OCC rule is not overturned.”

A 2-pager explanation of the “fake lender” rule is here.

*Links are no longer active as the original sources have removed the content, sometimes due to federal website changes or restructurings

###

About the National Consumers League (NCL)

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.
[/av_textblock]

National Consumers League letter in support of Gilbride to DC Circuit Court of Appeals

/in Uncategorized/by

NCL sent the following letter to the Counsel of the President in support of Karla Gilbride’s nomination to serve on the D.C. Circuit Court of Appeals.

March 11, 2021

Ms. Dana Remus
Counsel to the President
The White House
1600 Pennsylvania Avenue, NW
Washington, DC 20500

Re: Support for the nomination of Karla Gilbride to the D.C. Circuit Court of Appeals

Dear Ms. Remus:

The National Consumers League urges the Biden Administration to nominate Ms. Karla Gilbride to serve on the D.C. Circuit Court of Appeals. As an organization founded in 1899 to advocate for the interests of consumers and workers, NCL believes that Ms. Gilbride would be an outstanding judge on one of the United States’ most important courts.

Ms. Gilbride’s legal acumen, combined with her compelling character traits of perseverance and integrity, make her uniquely suited to serve on our nation’s courts.  She has devoted her career to representing the underserved and most vulnerable members of our society. From her early legal work representing disabled Americans fighting for equal treatment and opportunity, to her extraordinary appellate work on behalf of citizens returning from incarceration who, as consumers, were being charged outrageous prepaid card fees, to her successful legal work to hold predatory debt collectors accountable, Ms. Gilbride has demonstrated not only superior oral and written legal skills, but also an unyielding dedication to protecting and serving the public interest.

As the executive director of the National Consumers League, I have witnessed Ms. Gilbride’s stalwart legal advocacy on behalf of consumers. She is a precise and thoughtful legal thinker. Many of us in the consumer community have admired her ability to explain complex legal concepts in basic terms, have benefitted from her willingness to comment on draft briefs and help other attorneys prepare for oral argument. She is a skilled advocate, a generous colleague, and a powerful public ambassador to policymakers on issues that are important to consumers.

Our federal courts must reflect the full range of professional legal experience, including those with legal services backgrounds. Karla Gilbride, who has used her prodigious legal skills to effectively represent marginalized people while also combatting challenges in her own life, is exactly the kind of judge the D.C. Circuit Court of Appeals needs.

We thank you for your consideration and ask if you have any questions at all, please feel free to contact us.

Sincerely,

Sally Greenberg

Executive Director

National Consumers League

###

About the National Consumers League (NCL)

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.
[/av_textblock]

National Consumers League applauds House passage of American Rescue Plan

/in Coronavirus, Featured Home - Health, Personal finance, Press release/by

March 10, 2021
Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC—The National Consumers League (NCL) applauds the House of Representatives’ action to approve President Joe Biden’s relief package, known as the American Rescue Plan.

“The American Rescue Plan is a monumental relief package and critical antipoverty measure that will give desperately needed support to average Americans who have been devastated by COVID-19, including sending out $1,400 checks and funding states’ efforts to streamline and speed up vaccine distribution. This is a much-needed measure, and we are grateful to the Administration and Congress for their round-the-clock work in getting this essential support into the pockets of hard working Americans,” said NCL Executive Director Sally Greenberg.

With the 220-211 House vote, the bill will go to the President’s desk for signature. NCL applauded specific measures included in the legislation:

  • $300 federal boost to weekly jobless payments and extension of two key pandemic unemployment benefits programs through September 6.
  • Expansion of the child tax credit to up to $3,600 per child and $3,000 for each child under age 18 . Currently, families can receive a credit of up to $2,000 per child under age 17.
  • The first $10,200 worth of benefits payments are tax-free for households with annual incomes less than $150,000.
  • The Pandemic Unemployment Assistance program, which provides benefits to freelancers, gig workers, and independent contractors.
  • The Pandemic Emergency Unemployment Compensation program, which increases the duration of payments for those in the traditional state unemployment system.
  • $350 billion in relief to states, local governments, territories. and tribes.
  • $10 billion Coronavirus Capital Projects Fund.
  • 15 percent increase in food stamp benefits through September (it was previously set to expire at the end of June).
  • $880 million for the Special Supplemental Nutrition Program for Women, Infants, and Children, known as WIC, to help increase participation and temporarily improve benefits, among other measures.
  • $30 billion to help renters and landlords weather economic losses.

“It’s a great relief that passage of the bill comes ahead of a Sunday deadline, when a federal boost to unemployment benefits was set to expire,” said Greenberg.

###

About the National Consumers League (NCL)

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.
[/av_textblock]

NCL encourages HHS nominee Becerra to continue efforts to help lower consumer out-of-pocket costs at the pharmacy counter

/in Featured Home - Health, Health, PBM, Personal finance/by

March 1, 2021
Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC—The National Consumers League is encouraging the Department of Health and Human Services (HHS) nominee Xavier Becerra to continue critical efforts to help drive down consumer out-of-pocket costs of medicines at the pharmacy counter.

Last week, Becerra testified before the Senate HELP Committee as his confirmation hearings were underway. If confirmed, Becerra would play a critical role in helping consumers pay no more than necessary for the medications they need by addressing the role pharmacy benefit managers (PBMs) play in determining what consumers pay and why.

NCL Executive Director Sally Greenberg weighed in with the following statement:

“PBMs have repeatedly promised to lower costs for patients, but unfortunately we’ve not seen this in action. When it comes to prescription drug access and affordability, we should all be on the side of consumers, rather than middlemen corporations. The challenges posed by COVID-19 serve as a daily reminder of the importance of standing up for individuals and families that don’t have the knowledge or patience to understand why they’re subjected to PBM schemes. If confirmed, Attorney General Becerra will have the opportunity to continue working on this issue and helping to ensure PBMs uphold their promise to consumers. Everyone in the health care system needs to work to reduce costs for consumers, who are burdened by high costs across the board. We look forward to joining with him to get to the heart of why out-of-pocket costs are rising and, most importantly, what can be done about it.”

###

About the National Consumers League (NCL)

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.
[/av_textblock]

NCL applauds White House efforts to expand vaccine rollout

/in Coronavirus, Featured Home - Health, Health, Press release/by

For immediate release: February 22, 2021

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC—The National Consumers League (NCL) strongly supports the White House’s latest efforts to ramp up supplies to help expedite the national vaccine rollout plan. The Biden Administration has unveiled plans to mobilize federally-organized distribution channels to ensure Americans get as many shots in arms as possible. President Biden has promised to increase vaccine supply capacity to inoculate *100 million people within the first 100 days of his presidency. The ultimate goal is to have 300 million vaccines (600 million doses) in supply by this summer, which means that at least 50 percent of the population can be partially vaccinated by June. At this rate, we can expect that nearly 90 percent of the population will be fully vaccinated by December.

To meet these demands, the President has invoked the Defense Production Act to ramp up production of vaccines and personal protective equipment (PPE). The Administration has also partnered with the Federal Emergency Management Agency (FEMA), to set up *vaccination sites around the country. To help expand capacity and access to vulnerable communities, President Biden has galvanized *Federally Qualified Health Centers (FQHCs) in the national response. As of February 15, FQHCs will receive supplies of the vaccines to reach individuals most at risk during the pandemic. *Community pharmacies have also been engaged in rollout efforts to broaden access to historically disadvantaged communities, located farther from health services.

NCL appreciates the confidence this administration has placed in community health centers and pharmacies as a critical component in the national COVID-19 response.

“NCL has long recognized the vital role that pharmacists and other health professions play in our nation’s public health, through our decade of hosting the public health outreach campaign, Script Your Future,” said NCL Associate Director of Health Policy Nissa Shaffi. “We commend the Administration’s efforts to augment access to vaccines by leveraging federal and community resources. These newly-forged relationships will bring the nation closer to reaching herd immunity and making strides in achieving health equity.”

*Links are no longer active as the original sources have removed the content, sometimes due to federal website changes or restructurings

###
About the National Consumers League (NCL)
The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

National Consumers League statement in support of HR 40, the Commission to Study and Develop Reparation Proposals for African-Americans Act

/in Consumer policy, Consumer Protection, Featured Home - Consumer Protection/by

For immediate release: February 18, 2021

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC—The National Consumers League (NCL) is proud to join hundreds of like-minded groups in supporting HR 40, which would create a commission to study and develop reparations proposals for African Americans. The House Judiciary Committee hearing on HR 40 on February 17, 2021 gave witnesses the opportunity to talk about the reason for and impact of reparations. The hearing also included several witnesses who oppose the concept of reparations.

Introduced by Rep. Sheila Jackson Lee (D-TX), HR 40 would create a commission to identify: (1) the role of the federal and state governments in supporting the institution of slavery, (2) forms of discrimination in the public and private sectors against freed slaves and their descendants, and (3) lingering negative effects of slavery on living African-Americans and society.

This statement is attributable to NCL Board Chair Dominique Warren:

America has never reckoned with its 400 years of enslavement of 12 million Africans, brought to our shores shackled in fetid ships where huge numbers died of disease. As Michelle Singletary, Washington Post columnist has observed, reparations are not handouts, they are redress.

Beginning in 1619, enslaved people were brought to America and sold by those who profited from the slave trade, bought by plantation owners, farmers, businesses, and households, separated from siblings, parents, spouses and children and forced to work for free. After the Civil War, many freed slaves purchased land, only to see it stolen. Prosperous Black towns were looted and burned. Blacks have been beaten and murdered, many lynched on false allegations of criminal conduct  because of their race. Throughout America’s history, Blacks have been denied the right to vote and redlined from living in certain neighborhoods. Black Americans were and still are discriminated against in the workplace and prevented from earning fair and equal pay.

A new book on reparations, “From Here to Equality: Reparations for Black Americans in the Twenty-First Century,” recommends a number of possible compensation programs, including the establishment of a trust that could make grants to eligible Blacks to help start a business or buy a home.

NCL agrees with these recommendations, made by authors William A. Darity Jr. and A. Kirsten Mullen, that “the U.S. government, as the federal authority, bears responsibility for sanctioning, maintaining, and enabling slavery, legal segregation, and continued racial inequality.”

America has benefited from the institution of slavery. Segregation and voter suppression has given advantages to White Americans in the form of cheap Black labor, reduced employment competition, and the power to elect politicians who enacted laws that worked in the best interest of Whites and against equal opportunities for Black people.

Redress is part of the American justice system, indeed part of the international justice system. The federal government issued an apology and cash reparations to Japanese Americans who were interned in camps during World War II.  Germany paid reparations to Jewish survivors of the Holocaust.

Studying reparations for African Americans as one approach to redress by setting up a Commission to thoroughly study the cost of slavery, Jim Crow policies that followed it, and the ongoing discrimination against black Americans would truly begin the national discussion and the reconciliation and healing that needs to take place. The National Consumers League strongly supports HR 40 and urges its swift passage by members of Congress.

###
About the National Consumers League (NCL)
The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

National Consumers League supports the FAIR Act to end forced arbitration

/in Consumer policy, Consumer Protection, Featured Home - Consumer Protection/by

For immediate release: February 17, 2021

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC—NCL is pleased to support the Forced Arbitration Injustice Repeal Act (FAIR Act), a bill to re-establish Americans’ 7th Amendment right to seek justice and accountability through the court system. NCL applauds Representative Hank Johnson (D-GA) for introducing this critically important consumer and worker protection legislation as well as the Subcommittee on Antitrust, Commercial, and Administrative Law of the House Judiciary Committee for holding its February 11 hearing on the bill.

The bill previously passed the House of Representatives during the 116th Congress on Sept. 20, 2019 by a strong bipartisan vote of 225 to 186. The FAIR Act (H.R. 963) would eliminate forced arbitration clauses in employment, consumer, and civil rights cases and would allow consumers and workers to agree to arbitration after a dispute occurs. The House bill has 155 cosponsors.

This statement is attributable to NCL Executive Director Sally Greenberg:

Forced arbitration is a glaring marketplace injustice that undermines key worker and consumer protections. Thanks to a series of unfortunate Supreme Court decisions, forced arbitration clauses are ubiquitous throughout the marketplace. Thus, it falls to Congress to correct this injustice. Arbitration clauses are buried in the fine print of consumer and employment contracts for everything from cell phones, credit cards, cable service, nursing homes, employment, bank loans, student loans, apartment leases, and video subscriptions. Their practical effect is to block consumers’ and workers’ right to go to court. The actual arbitration process is fraught with problems; everything can be done in secret and without public rulings. Discovery is limited, and there is no meaningful judicial review, so consumers and employees are often unable to appeal a decision even if the arbitrator gets it wrong. Corporations can also choose where the arbitration will take place, what the rules will be, and how the costs will be borne.

Simply put, arbitration lacks the safeguards of a fair, impartial, and accessible court proceeding to protect people and hold accountable corporations that have committed widespread abuses, or marketed unsafe products or services.

As the late Justice Ruth Bader Ginsburg said about the Supreme Court’s rulings on forced arbitration, they ‘have predictably resulted in the deprivation of consumers’ rights to seek redress for losses, and turning the coin, they have insulated powerful economic interests from liability for violations of consumer protection laws.’

Congress never intended this. The Federal Arbitration Act was enacted in 1925 to give businesses — with relatively equal bargaining power — options for resolving their business disputes.

The FAIR Act would even the playing field. Contrary to industry arguments, it would not ‘ban’ arbitration; instead, it would stop forced arbitration from being imposed as a precondition for obtaining a product, or for obtaining or continuing service or employment, and closing off access to the courts for consumer law claims, employment law claims, civil rights claims, and antitrust claims by small businesses. Once a dispute actually arises and the stakes are clear, consumers, workers, or small businesses could freely choose arbitration, if they determine it to be a better option for them than the courts.

NCL encourages all members of Congress to support the FAIR Act; it is pro-worker, pro-consumer, and pro-small business legislation and helps to bring fairness to the marketplace and restore the basic American right to our day in court.

###
About the National Consumers League (NCL)
The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

NCL supports the Black Maternal Health Momnibus

/in Featured Home - Health, Health, Prevention/by

For immediate release: February 16, 2021

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC—The National Consumers League (NCL) is proud to support the Black Maternal Health Momnibus Act introduced last week by Representatives Lauren Underwood (D-IL) and Alma Adams (D-NC), Senator Cory Booker (D-NJ), and members of the Black Maternal Health Caucus. The Momnibus includes 12 bills intended to comprehensively address the maternal health crisis that disproportionately impacts Black, Indigenous, and women of color in this country.

Among other measures, the Momnibus calls for improvements to data collection and quality measures to help policymakers better understand the causes of maternal mortality in the United States. NCL has long supported policies to improve maternal health outcomes and advocated for increased access to healthcare for vulnerable populations. NCL’s founders supported early studies on the causes of infant mortality at the Hull House in Chicago in the 1890’s.

“It’s inexcusable for a nation as advanced and well-resourced as the United States to have the highest pregnancy-related death rate in the developed world. Our current healthcare system is failing to protect black women, who are three to four times more likely than white women to die from pregnancy-related complications,” said NCL Director of Health Policy Jeanette Contreras.

“We must also recognize the association between institutional racism and adverse birth outcomes among Black, Indigenous, and women of color,” said Contreras. The Momnibus provides investments to address the social determinants of health that create inequality, such as access to housing, transportation, and adequate nutrition. The legislation also provides funding to the community-based organizations whose work is integral to the support system shown to be effective at improving maternal health outcomes. The legislation further ensures that our most vulnerable moms have access to quality care throughout the pregnancy and during the critical first year of the infant’s life.

“NCL strongly supports the proposal to extend Medicaid and CHIP coverage to 12-months for postpartum care to mothers,” said Contreras. “As well as the legislation’s investments in diversifying the perinatal workforce—critical to providing culturally competent care to Black, Indigenous, and women of color. We enthusiastically call on Congress to support the passage of this comprehensive legislation to address the escalating maternal mortality crisis in this country.”

###
About the National Consumers League (NCL)
The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

NCL: Biden pandemic plan is a welcome step towards an equitable COVID-19 response

/in Coronavirus, Featured Home - Health/by

For immediate release: February 10, 2021

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC—Today the National Consumers League applauds the Biden’s Administration’s focus on addressing health disparities in its national response to the COVID-19 pandemic.

“The Executive Order on Advancing Racial Equality is a clear and welcome indication that the health and well-being of racial and ethnic minority communities is a priority for this administration,” said NCL Director of Health Policy Jeanette Contreras. “We are also encouraged by the fact that the leadership within the Biden Administration is the most ethnically diverse in our nation’s history. Our nation’s leaders can no longer turn a blind eye to the consequences of racial inequality on the health and economic status of people of color. As a result, the White House Domestic Policy Council is being tasked with applying a racial equity lens to all policies impacting the American people.”

The White House *COVID-19 response plan has called for the establishment of a COVID-19 Racial and Ethnic Disparities Task Force to provide oversight on disparities in the public health and economic response. The Administration has also demonstrated its commitment to racial equity by establishing that the COVID-19 Task Force will become a permanent Infectious Disease Racial Disparities Task Force after the pandemic has ended.

In order to address health disparities and implement an equitable response to the pandemic, advocates argue it is critical that race and ethnicity data be collected. President Biden’s plan calls for the creation of a Nationwide Pandemic Dashboard that provides real-time data on key metrics, such as cases, testing, vaccinations, and hospital admissions. The Centers for Disease Control and Prevention (CDC) will host a public dashboard tracking transmission rates by zip code.

“Current reporting of transmission rates reveals the inconsistent collection of data across the country—data that is incredibly important to decision-making across all aspects of daily life,” said Contreras. For example, school boards across the country rely on *local transmission data to base their decisions on when it’s safe to return to in-person instruction, and city officials rely on this data to decide when to allow indoor dining at restaurants.

Access to testing will remain a vital tool in curbing the pandemic. The Administration has pledged to double the number of drive-through testing sites to alleviate the long lines and shortages that characterized the pandemic in 2020. As remotely-functioning employees return to worksites, there will be an ongoing need for employee testing. President Biden’s plan calls for a Pandemic Testing Board that will ensure the production of testing supplies meets the increased demand. Advocates welcomed the Administration’s swift enactment of the Defense Production Act to produce more vaccination supplies, at-home tests, and personal protective equipment.

“The lack of leadership from the Trump Administration left state and local health officials essentially flying blindly without data to inform their decisions,” said Contreras. “We are facing the consequences today, with evidence that communities of color are being vaccinated at disproportionately lower rates than their white counterparts. The Biden Administration’s COVID-19 plan offers federal officials a comprehensive framework for coordinating an equitable response to the pandemic. The National Consumers League applauds this Administration in its foresight and intention to build trust in communities of color to ensure our most vulnerable populations are not ignored moving forward.”

*Links are no longer active as the original sources have removed the content, sometimes due to federal website changes or restructurings

###
About the National Consumers League (NCL)
The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

No PPP for anti-vaxxers! Ten advocacy groups tell SBA to claw back $850,000 in PPP Funding to anti-vaxxers

/in Coronavirus, Featured Home - Health/by

For immediate release: February 5, 2021

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Taun Sterling, tauns@nclnet.org, (202) 207-2832

Washington, DC—Ten patient and consumer advocacy organizations are demanding that the Small Business Administration claw back nearly a million dollars worth of Paycheck Protection Program (PPP) monies granted to the leading American anti-vaccine groups.   

The advocacy organizations sent a joint letter to the U.S. Small Business Administration to express their collective concerns about the fact that, according to the Washington Post, five of the most virulent anti-vaccine organizations—each of which has spread misleading information about the coronavirus—were granted more than $850,000 in loans from the federal PPP. 

“Recipients of PPP loans include organizations that engage in conspiracy theories and lies about the safety and efficacy of vaccines generally and in this current environment, have spread misinformation about the COVID-19 vaccine,” stated the letter. 

Operation Warp Speed—the federal government’s program to develop, produce, and distribute enough COVID-19 vaccine doses to inoculate 300 million Americans in record time—has cost the American taxpayer roughly $12 billion so far, a number expected to grow more than two-fold at $26 billion.  

“It is unfathomable and utterly counterproductive that taxpayer money was awarded to anti-vaccine groups during this national public health crisis,” the groups wrote. They called upon the Small Business Administration and the Biden Administration to investigate and rescind the loans made to the following anti-vaccination groups:    

Mercola.Com Health Resources ($335,000) 

Mercola.Com Health Resources received an astonishing $335,000 to maintain its operations during the pandemic. In December 2019, Mercola’s founder, Joseph Mercola, authored an article falsely stating that COVID-19 vaccines released via emergency authorization may cause massive side effects. In 2019, Mr. Mercola funded pervasive anti-vaccine efforts while the nation was grappling with widespread spikes of measles cases.  

Informed Consent Action Network ($166,000) 

The Informed Consent Action Network (ICAN), founded by anti-vaccine activist Del Bigtree received approximately $166,000 in PPP funding. Bigtree has attracted more than 43,000 followers via ICAN, and regularly posts about his skepticism regarding the COVID-19 vaccine, actively downplaying the severity of the pandemic. In a December 2020 interview, Bigtree falsely stated that the COVID-19 vaccines would lead to “vaccine-enhanced diseases” and could cause infertility in women, arguing that the antibodies could potentially attack a woman’s placenta, rather than the spike protein as intended. “If it starts attacking placentas, no one will be able to get pregnant. These are legitimate theoretical issues.” 

National Vaccine Information Center (Less than $150,000) 

Robert F. Kennedy, Jr., head of the National Vaccine Information Center (NVIC), took to social media in December of 2020 to call into question the safety of the COVID-19 vaccines: “We clearly have a systematic problem when government health regulators have utterly abdicated their responsibility to safeguard public health and refer safety concerns about shoddily tested, zero-liability vaccines to pharmaceutical companies.” Kennedy’s claims regarding the safety of the COVID-19 vaccines have not been validated and are irresponsible. 

Children’s Health Defense (Less than $150,000) 

NVIC’s Kennedy also founded Children’s Health Defense. His group’s misinformation campaign has contributed to widespread vaccine hesitancy around the country—primarily via social media, stirring up unfounded concerns among the population. 

Tenpenny Integrative Medical Center ($72,000) 

Tenpenny Integrative Medical Center, spearheaded by physician, Sherri Tenpenny, was awarded $72,000 in PPP loans. Tenpenny is the author of a book titled “Saying No to Vaccines: A Resource Guide for All Ages.” Additionally,  Tenpenny’s online forums promote alternative health in lieu of immunization and argue against vaccinations across an individual’s lifespan. One of Tenpenny’s pages was banned from Facebook in December for spreading misinformation. 

In the joint letter to the SBA, the advocacy organizations insist that taxpayer dollars be well spent on efforts to vaccinate 60-70 percent of Americans.

“Operation Warp Speed and other related efforts are the right investment. Funding groups with a long history of using junk science to question the safety and efficacy of vaccines is a colossal waste of taxpayer money. Any funds provided to groups that oppose the rollout of COVID-19 vaccines must be returned to the Treasury. PPP funding should not contribute to efforts aimed at undermining our national efforts to fight the SARS CoV 2 virus,” said the groups.  

The advocacy organizations signing the letter are listed below:  

Alliance for Aging Research
American Immunization Registry Association
American Medical Student Association
American Muslim Health Professionals
Families Fighting Flu
Idaho Immunization Coalition
Kimberly Coffey Foundation
Meningitis B Action Project
National Consumers League
Vaccinate Your Family 

Read the letter here.

###
About the National Consumers League (NCL)
The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.