Month: March 2017

China Begins Opening Up $9 Trillion Bond Market

China, the world’s third-largest bond market accounting for $9 trillion in debt instruments, has started the process of opening up to foreign investors. Two major investment banks, including Citigroup, have announced plans to join the fray and several others are expectantly watching the unfolding situation.

It’s not a sudden desire to liberalize, but pressure from shrinking foreign capital inflows and expanding outflows that has motivated Beijing’s communist leaders into this new and uncertain path.

“China’s purpose is to attract capital inflows from investors needing RMB [Chinese yuan] assets for their portfolio,” said Jacob Kirkegaard, economist with the Peterson Institute of International Affairs. “This will also help to stabilize RMB exchange rate.”

China has suffered some serious loss of capital because of uncontrolled outflows and a recent decline in its foreign direct investments, which saw a drop of 9.2 percent in January. The country also suffered its first trade deficit in three years last month.

To overcome the situation, Beijing recently allowed overseas investors to hedge their currency risks at the local derivative market. This partially opened the doors to foreign players who saw currency risk as a major deterrent in the Chinese bond market.

Chinese Premier Li Keqiang threw in a sweetener in mid-February, saying the government would launch a trial program to connect the bond market in mainland China with Hong Kong, which is the base of operations for a large number of foreign investors. The bond connect will make it easier for Hong Kong-based investors to access domestic Chinese instruments without leaving the city.

“I see that as a part of China of becoming a major player and becoming an important destination for financial investors, ” Lourdes Casanova, Director of Emerging Markets Institute at Cornell University’s SC Johnson School of Management, said.

International currency

This move is also meant to promote the use of RMB as an international currency.

“These efforts indicate that China wants to assert its economic, business and financial power with all the inherent advantages and risks,” Casanova said.

The past few weeks have seen Bloomberg Barclays become the first major index provider to include Chinese yuan bonds in its global offerings. Citigroup has announced plans to embed China bonds into its bond market benchmark WGBI-Extended. JPMorgan Chase & Co., another index maker, said it is evaluating the entry of China markets into its JPMorgan Global Emerging Market Bond Index.

This is not surprising because the RMB, or the Chinese yuan, is now part of the International Monetary Fund’s coveted special drawing-rights basket.

“There are global investors who wish to shadow the IMF SDR basket, and needs RMB exposure,” Kirkegaard said.

At present, foreign investments account for just about $120 billion, or 1.33 percent, of China’s bond market. But the situation is expected to change soon as investment banks and index makers have started the process of measuring steps before entering the market in a big way.

Given China’s role as the second-biggest economy, it is natural for Chinese investors to want Chinese bonds in their portfolio, Casanova said. In fact, foreign investors face fewer challenges in China’s bond market compared to what they are up to in other emerging markets, she said.

“Yes, there are many doubts, there are many doubts in many countries. I am European, I am from Spain, there are doubts about the viability of the euro. In the U.S. there are other types of worries,” she said adding, “That’s why also for the international investors, China is not as risky as it used to be.”

Casanova said, “The risk of default is minimal given the amount of Chinese reserves and the risk related to currency swings are also much less than, let’s say, Argentina, which has been issuing debt recently.”

Doubts and challenges

But foreign investors will have to tread carefully because it is not easy to seriously analyze credit risk in China where the markets are not transparent and there is not much information available about issuers and major buyers of debt instruments, he said.

“Their [foreign investors’] willingness to invest will be dependent on the implicit government guarantee against default… foreign investors won’t be able to seriously analyze credit risk in China,” he said.

Casanova sees the situation differently. She points out there are risks in most markets across the globe, and international investors will choose what suits them best.

Minimum-wage Increases Could Deepen Shortage of Health Aides

Only 17 snowy miles from the Canadian border, Katie Bushey’s most basic needs are met by traveling health aides who come into her home to change her diapers, track her seizures, spoon-feed her fettucine Alfredo and load her wheelchair into the shower.

But that’s only if someone shows up.

Bushey, 32, who lost her vocal and motor skills shortly after birth, is one of more than 180,000 Medicaid patients in New York who are authorized to receive long-term, in-home care, the most in the state’s history. But there are increasingly too few aides to go around, especially in remote, rural areas.

When there aren’t enough aides for Bushey — over a recent two-day stretch there were workers for only four of the 26 hours of care for which she is authorized — her mother must stay home from her job at an elementary school, forgoing a day’s wages and scraping her savings to pay the bills.

Minimum wage

It’s a national problem advocates say could get worse in New York because of a phased-in, $15-an-hour minimum wage that will be statewide by 2021, pushing notoriously poorly paid health aides into other jobs, in retail or fast food, that don’t involve hours of training and the pressure of keeping someone else alive.

“These should not be low-wage jobs,” said Bruce Darling, executive director at the Center for Disability Rights. “We’re paying someone who gives you a burger the same as the person who operates your relative’s ventilator or feeding tubes.”

There are currently 2.2 million home health aides and personal care aides in the U.S., with another 630,000 needed by 2024 as the Baby Boomer generation ages, according to the nonprofit research and consulting group PHI. New York state employs about 326,000 home health workers but is predicted to need another 125,000 by 2024.

For now, home health aides in New York state earn an average of about $11 an hour, though wages are lower in upstate regions. Advocates say the system needs a complete overhaul that focuses on higher pay, worker retention and finding methods of compensation beyond what is provided through Medicaid.

Democratic Gov. Andrew Cuomo has committed nearly $6 billion in funding for home health care reimbursements in coming years as the agencies transition to the $15 minimum wage.

Statewide initiative

The state’s health department has said it is developing an initiative to attract, recruit and retain home health workers.

New York lawmakers have held hearings on the issue, and both the Senate and Assembly have so far included language in their budgets that would review and restructure how the state transfers Medicaid dollars to the providers, agencies and workers with the aim of providing workers and hours where they are needed most.

Other states are grappling with how to address the dwindling workforce as their minimum wages climb.

In Maine, legislation in 2015 attempted to make personal care worker wages more competitive with specific reimbursements for worker compensation. But a popular initiative will raise the minimum wage to $12 by 2020, minimizing those differences.

In Arizona, minimum wage increases have been accompanied by increased reimbursement rates, and in Washington state, workers negotiated a $15 wage for some home-care workers for when the state minimum increases to $13.50 in 2020.

New York advocates say a higher state minimum wage won’t attract any extra workers in rural regions such as Clinton County, where Bushey lives.

A single agency, North Country Home Services, hires and trains about 300 home health aides and personal care aides for about 1,000 people throughout a mountainous region the size of Connecticut. In any given week, the agency says, it leaves 400 hours of state-authorized care unfilled due to staffing shortages.

Special type of worker

The aides who continue despite the wages are a special breed, said Erica Stranahan, of Plattsburgh, who has worked as a home health aide with North Country for nine years and earns about $12 an hour. Stranahan said several of her co-workers have recently left home care for less-intensive professions that will soon have similar wages.

Stranahan acknowledged she makes it work only by sharing rent and living expenses with her boyfriend. She said she feels a responsibility to those she cares for, and would rather find a second job than quit caring for others.

“I enjoy helping people,” she said. “We’re with them for so many hours. It’s almost like we’re a second family for them,” Stranahan said.

But Rosalie Kline, a personal care aide in Canandaigua for nearly 13 years who also struggles to make ends meet, said that if worse came to worst, she would find another job that paid more.

“I wouldn’t want to. I love my job,” she said. “But I might need to.”

Germany’s Merkel and Japan’s Abe Urge Free Trade With Jabs at US

German Chancellor Angela Merkel and Japan’s Prime Minister Shinzo Abe spoke up for free trade at a major technology fair on Sunday with jabs clearly pointed at an increasingly protectionist United States.

Both called for a free trade deal to be reached quickly between Japan and the European Union, in comments made after G-20 finance ministers and central bankers dropped a long-standing mention of open trade in their final communique after a two-day meeting in Germany.

Neither leader named the U.S. government as they opened the CeBIT technology fair in Hanover, but both used the opportunity to distance themselves from protectionist tendencies coming from the Trump administration.

“In times when we have to argue with many about free trade, open borders and democratic values, it’s a good sign that Japan and Germany no longer argue about this but rather are seeking to shape the future in a way that benefits people,” Merkel said.

As G-20 president, Germany feels especially committed to these principles, she added.

After meeting President Donald Trump in Washington on Friday for the first time, Merkel said she hoped the United States and the European Union could resume discussions on a trade agreement. Trump said he did not believe in isolationism but that trade policy should be fairer.

Merkel stressed that Germany was strongly in favour of free trade and open markets.

“We certainly don’t want any barriers but at a time of an ‘Internet of things’ we want to link our societies with one another and let them deal fairly with one another, and that is what free trade is all about,” she said.

Speaking at the same event, Abe said: “Japan, having gone through reaping in abundance the benefits of free trade and investment, wants to be the champion upholding open systems alongside Germany.”

He added: “Of course to do so it will be necessary to have rules that are fair and can stand up to democratic appraisal.”

He also said the European Union and Japan should soon reach an economic deal. Merkel welcomed his comments, saying: “It’s very, very good that Japan says we want a free trade agreement, we want it soon because that could be the right statement and Germany would love to be a driving force behind this.”

European Commission President Jean-Claude Juncker told Bild am Sonntag newspaper he was pleased that he would be meeting Abe on Tuesday and said the bloc wanted to conclude a free trade deal with Japan this year.

US Supports Fair Trade But Rejects Ban on Protectionism

U.S. Treasury Secretary Steve Mnuchin said the meeting of finance ministers of the G20 countries was a success Saturday despite the ministers not reaching agreement on trade protectionism.

“I will leave here confident that my colleagues and I are able to work in partnership to …foster and promote global growth and financial stability,” he said.

Citing President Donald Trump’s commitment to American companies and workers, Mnuchin pushed back on and effectively omitted a ban on protectionism from the joint statement released at the end of the summit.

Mnuchin did, however, say that the United States still believed in free trade.

“We believe in free trade, we’re one of the largest markets in the world, we’re one of the largest trading partners in the world,” Mnuchin said. “Having said that, we want to re-examine certain agreements,” he continued, speaking specifically about NAFTA.

Other world powers present played down any disagreement between the countries.

“It’s not true we are not agreed. It’s completely clear we are not for protectionism,” Wolfgang Schaeuble, finance minister of host country Germany, told reporters, though he did, without mentioning a country by name, say that “maybe one or the other important member state needs to get a sense of how international cooperation works.”

The G20 is a informal forum on economic cooperation between 19 countries plus the European Union. Representatives from the 19 countries and the EU will meet for a formal summit in July.

 

‘Match Day’ for Foreign Medical Students Runs Into US Travel Ban

For some medical students, getting a yes or no Friday was more important than finding the right life partner.

Friday was “Match Day,” the annual day when medical students find out which U.S. medical institution has accepted them for a residency program. It is a competition, of sorts: 32,000 training slots are available for 42,000 applicants, according to this year’s data.

A residency, three to five years of practical experience and training in a student’s chosen medical specialty, is the next step after medical school, which in the United States generally means four years of postgraduate university studies.

Of those 42,000 applicants vying for residencies, all but about 6,000 are foreign nationals. And that is where their aspirations could collide with President Donald Trump’s latest executive order regulating immigration to the United States.

‘Extensive upheaval’

The National Residency Match Program (NRMP), a nonprofit group that organizes the matches between students and hospitals, said the new immigration order has had a substantial impact on its program. In its current revised form, the order bans citizens from six Muslim-majority countries from traveling to the U.S., at least temporarily.

“The consequences of the [January 27] executive order are far-reaching for match applicants, and the upheaval it is causing is extensive,” NRMP’s chair, Dr. Maria Savoia, and CEO Mona Signer said in a joint statement.

“The affected applicants have worked hard for many years to achieve their goal of becoming physicians,” the two medical-education experts said, “and they should not be denied that opportunity because of a blanket policy that does not consider the individual.”

U.S. courts have issued a restraining order preventing enforcement of the travel ban, pending further legal arguments, but NRMP says it is concerned that some immigrants or foreign medical students with valid visas will nevertheless be delayed or rejected at U.S. borders.

Holidays at home are not care-free

In addition, foreign medical students who travel to their home countries during holidays or breaks in their university studies fear they may not be able to return in time to take up their new residencies in the U.S. Such medical programs typically begin each year on July 1.

“U.S. training programs should be able to select applicants based on their excellent character and qualifications, without regard to nationality. Both applicants and programs benefit from an orderly process for entry into graduate medical education,” said Signer, who is a public health specialist, and Savoia. “The executive order disrupts that process very considerably.”

Hospitals and other medical institutions that offer residencies worry that foreign students they choose for the multiyear training programs will be unable to begin their studies on schedule, Signer said.

Medical residencies are sometimes known as internships, or first-year post-graduate studies, because they occur during a fledgling doctor’s first year of practical training alongside or under direct supervision of a fully qualified physician in one of 21 recognized medical specialties.

Is US becoming less welcoming?

Those who administer medical residency programs do not directly choose the candidates they would like to attract. Instead they rank applicants in order of preference. Under those conditions, Signer said, “It seems likely that residency program directors will be reluctant to rank J-1 visa applicants because they may not be able to enter the country to begin training.”

The U.S. State Department’s J-1 visa program offers foreign nationals an opportunity to come to the United States “to teach, study, conduct research, demonstrate special skills or receive on-the-job training for periods ranging from a few weeks to several years,” according to Cultural Vistas, a nonprofit American group that has been organizing international exchange programs since 1963.

The perception that the United States is becoming less welcoming to foreign nationals in the medical professions appears to be having an effect.

Fewer non-U.S. citizen “international medical school graduates,” or IMGs, submitted program choices for this year: 7,284 in 2017 vs. 7,460 in 2016. However, NRMP said more of these candidates (52.4 percent) were matched with institutions – the highest match rate since 2005.

Foreign physicians benefit all Americans

About 1,800 IMGs already enrolled in accredited residency and fellowship programs in the U.S. are impacted by the travel ban, according to Dr. Thomas J. Nasca, CEO of the Accreditation Council for Graduate Medical Education.

“These physicians are providing much needed medical care to a conservatively estimated 900,000 patients in urban, suburban and rural communities across the country annually. They are a valued and welcomed group of colleagues,” he wrote in a statement.

“Many communities, including rural and low-income areas, often have problems attracting physicians to meet their health care needs. To address these gaps in care, IMGs often fill these openings. These physicians are licensed by the same stringent requirements applied to U.S. medical school graduates,” the chief executive officer of the American Medical Association, Dr. James Madara, wrote last month.

“The medical education community must support all international medical graduates and their families during these difficult times,” NRMP’s statement said.

Stanford Doctors Help Ease Emergency Shortage in Nepal

In a medical emergency, an ambulance with a qualified medical team on board can be a lifesaver. But in Nepal, this service is rare if not nonexistent. To help provide the best possible medical emergency services, a team of doctors from Stanford University in California spent 12 weeks training four dozen medical technicians in Kathmandu. VOA’s Faiza Elmasry has more. Faith Lapidus narrates.

As Greek Economic Crisis Grinds On, Children Pay Price

In Greece’s grinding economic crisis, a home for abused children is now taking in those whose parents are struggling to feed them.

It is perhaps the darkest sign of economic devastation in Greece, where traditionally strong family ties are starting to crumble after years of depression.

A quarter of Greece’s workforce is unemployed and a quarter of its children live in poverty, according to United Nations figures, forcing parents to depend on grandparents for handouts.

But pensions too have been cut a dozen times.

In Athens, the Model National Nursery, set up a century ago for orphans of war, can hardly keep up with the number of parents turning to it for help. Unable to cover their basic needs, parents leave their children in the home all week.

Iro Zervaki, its head, says at least 40 children are on the waiting list, four times as many as a couple of years ago.

The home sleeps 25 in a bare room with rows of beds draped in blue blankets, and lacks the staff and funds to increase capacity, she said. Most places are for abused children.

Dozens of other children, all aged two to five, come in daily, but the days away from their parents are long.

“We had incidents where children even attempted to leave, to run away, to go to their mother,” Zervaki said.

In the buzzing playground, a little girl tugged the social worker’s blouse and yelled: “Miss! When will I go to my mum?” “They can’t tell the days apart so every day they ask: ‘Is it Friday?'” Anthoula Zarmakoupi, the social worker, said. “They know mum will pick them up at the weekend.”

But sometimes even that was not possible, she said. “We have children whose parents are homeless so it’s very difficult for them to even collect them for the weekend.”

 

For the home too, brighter days seem as far away as ever.

State funding has been cut and covers just half of the staff’s wages. The home depends on donations for food and clothes, and Zervaki says it is hard to tell if she will be able to make next month’s payments.

“It doesn’t look like tomorrow will be any better,” she said. “It will take some years. I hope not too many.”

Couple Quits Finance, Wins Brazil’s Top Coffee Prize

It could be a Hollywood screenplay. Juliana Armelin and her husband Paulo Siqueira decided to radically change their lives in 2010, quitting jobs in Sao Paulo’s financial sector and moving to a farm seven hours away to start growing coffee.

Seven years later, they clinched for a second consecutive year Brazil’s most prestigious coffee award, beating hundreds of established producers in a country that has exported coffee for more than 200 years.

“I would never imagine we could reach this status in such a short period,” Siqueira told Reuters on Friday after the couple received the annual award from Italian roaster Illy.

“I used to say that we don’t have a story on coffee, but only some chapters so far,” said Armelin.

The couple met during college, graduating in engineering from Brazil’s top ranked university, USP. They spent some years together in the United States getting Master of Business Administration degrees at the University of Chicago before starting careers in Sao Paulo.

Armelin is a former Mckinsey & Company consultant, while Siqueira held positions as a fund manager at Credit Suisse and boutique investment firm Vector Investimentos.

They ended up in the coffee business due to Armelin’s father, who decided to start producing the beans.

“I helped him in the research and started to like the idea.

We already had thoughts at running something together,” Armelin said.

After studying the possibility, they bought a 210-hectare (518 acres) farm in the municipality of Ibiá in a coffee-producing region known as the Cerrado Mineiro, in Minas Gerais state.

“It was an old cattle ranch, only pasture,” Siqueira recalled. They planted the first trees in 2011, collected the first beans two years later and had their first full harvest in 2015. Within a year, they received the first award.

The couple’s farm is a state-of-the-art facility. The fields are 100 percent irrigated, with a fully mechanized harvest. The washed arabicas are put to dry in raised beds to avoid contact with the soil, which could affect the flavor.

“We studied a lot, talked to a lot of people who knew how to produce high quality coffee and we did everything they said we should,” said Armelin. “Some people used to say that we were nerds that went to coffee production. And we used to say, ‘yes, we are.'”

The Terra Alta farm was chosen for aspects like the plentiful availability of water and its flat terrain to allow for mechanization.

The couple used as much government-backed credit as they could to buy all the equipment. “We have debt for the rest of our lives,” said Armelin, smiling.

The farm today exports 80 percent of its production, which varies from 10,000 to 13,000 60-kg bags per year. Many deals are done directly with gourmet coffee sellers in the United States.

Siquiera said the coffee community in the Cerrado region has always been very receptive, despite their unusual background.

But the couple stops short of recommending their experience to others.

“Even if you have the money, it really is not easy. Growing coffee requires extreme dedication,” Armelin said, adding that she takes care of the financial details while her husband likes to be out in the fields.

But they have no regrets. “We like this a lot. We will probably be coffee growers for the rest of our lives,” she said.

Airbnb Aims to Double African Customers This Year

Airbnb expects to maintain its rapid growth in Africa this year and double its customer numbers to 1.5 million, its Chief Executive Brian Chesky and regional head told Reuters on Friday.

The number of people using the online room rental service on the continent rose by 143 percent to about 765,000 guests in 2016 from the year before, said Nicola D’Elia, the firm’s Africa and Middle East chief.

“If you just look at 2017, it’s going to double, you will have 1.5 million people at the end of this year,” added D’Elia.

Airbnb CEO Chesky confirmed that the California-based company expected to double African customer numbers this year.

“Certainly that would be the forecast,” he said in an interview in Cape Town, adding: “This is literally just the beginning. It [Africa] is still relatively under-penetrated.”

Chesky said the company had 77,000 homes across Africa – out of its 3 million globally – but that it could easily have “hundreds of thousands” in a continent that’s home to over a billion people.

The 77,000 homes represented an increase of 95 percent from 2015 to 2016, the company said.

South Africa, which was an early adopter of Airbnb, is the top-ranked country in Africa in terms of listings and visitors, who mainly come from the United States, Germany, Britain and the Netherlands.

The top five cities in Africa are Cape Town, Marrakesh, Johannesburg, Nairobi and Casablanca, although listings are found in diverse locations from St Helena island in the south Atlantic Ocean to Freetown in Sierra Leone, and even a smattering in Somalia.

Chesky, who described Africa as “an incredibly exciting emerging market for travel”, was speaking to Reuters in Langa, Cape Town’s oldest township where he put in an appearance to surprise graduates from an Airbnb training program.    

US City Alleges Drugmaker Let OxyContin Flood Black Market

As deaths from painkillers and heroin abuse spiked and street crimes increased, the mayor of Everett took major steps to tackle the opioid epidemic devastating this working-class city north of Seattle.

 

Mayor Ray Stephanson stepped up patrols, hired social workers to ride with officers and pushed for more permanent housing for chronically homeless people. The city says it has spent millions combating OxyContin and heroin abuse – and expects the tab to rise.

 

So Everett is suing Purdue Pharma, maker of the opioid pain medication OxyContin, in an unusual case that alleges the drugmaker knowingly allowed pills to be funneled into the black market and the city of about 108,000. Everett alleges the drugmaker did nothing to stop it and must pay for damages caused to the community.

 

Everett’s lawsuit, now in federal court in Seattle, accuses Purdue Pharma of gross negligence and nuisance. The city seeks to hold the company accountable, the lawsuit alleges, for “supplying OxyContin to obviously suspicious pharmacies and physicians and enabling the illegal diversion of OxyContin into the black market” and into Everett, despite a company program to track suspicious flows.

 

“Our community has been significantly damaged, and we need to be made whole,” said Stephanson, who grew up in Everett and is its longest-serving mayor, holding the job since 2003.

 

He said the opioid crisis caused by “Purdue’s drive for profit” has overwhelmed the city’s resources, stretching everyone from first responders to park crews who clean up discarded syringes. The lawsuit doesn’t say how much money the city is seeking, but the mayor says Everett will attempt to quantify its costs in coming months.

 

Connecticut-based Purdue Pharma says the lawsuit paints a flawed and inaccurate picture of the events that led to the crisis in Everett.

 

“We look forward to presenting the facts in court,” the company said in a statement.

 

Purdue said it is “deeply troubled by the abuse and misuse of our medication,” and noted it leads the industry in developing medicines with properties that deter abuse, even though its products account for less than 2 percent of all U.S. opioid prescriptions.

 

In 2007, Purdue Pharma and its executives paid more than $630 million in legal penalties to the federal government for willfully misrepresenting the drug’s addiction risks. The same year, it also settled with Washington and other states that claimed the company aggressively marketed OxyContin to doctors while downplaying the addiction risk. As part of that settlement, it agreed to continue internal controls to identify potential diversion or abuse.

 

While numerous individuals and states have sued Purdue, this case is different because Everett is getting at the results of addiction, said Elizabeth Porter, associate law professor at the University of Washington.

 

She thinks Everett may have a shot at winning, though it will have to overcome some legal burdens, including showing that diverted OxyContin from rogue doctors and pharmacies was a substantial factor in the city’s epidemic.

 

Stephanson said he was “absolutely outraged” after the Los Angeles Times reported last summer it found Purdue had evidence that pointed to illegal trafficking of its pills but in many cases did nothing to notify authorities or stop the flow. That newspaper investigation prompted the city’s lawsuit.

 

In response to the newspaper’s reporting, Purdue said in a statement that in 2007, it provided LA-area law enforcement information that helped lead to the convictions of the criminal prescribers and pharmacists referenced by the Los Angeles Times. The company also pointed to court documents that showed a wholesaler alerted the Drug Enforcement Administration about suspicious activity at a sham clinic noted in the newspaper’s story.

 

Still, Everett contends Purdue created a market for addicts that didn’t exist until the company let its pills flood the streets.

 

The region saw two spikes in overdose deaths: first from OxyContin and other opioid painkillers in 2008 and then, after the drug was reformulated in 2010, a spike from heroin as people switched to a potent but cheaper alternative, officials said.

 

The city contends Purdue’s wrongful conduct fueled a heroin crisis in Everett. Between 2011 and 2013, nearly one in five heroin-related deaths in Washington state occurred in the Everett region.

 

In response to the drug epidemic, Everett last year began sending social workers on routine patrols with police officers. Sgt. Mike Braley says the community outreach and enforcement team strikes a balance between enforcement and connecting people to addiction treatment, mental health and other services.

 

“We understand that we can’t arrest our way out of problems that addiction is causing our city,” Braley said.

 

Sometimes it takes many follow-ups and hours of handholding to get people help. On their first stop one morning, Braley and his team check under a street overpass, a popular hangout for addicts. They find plenty of needles, drug packaging and mounds of garbage but none of the people they had encountered there recently.

They swing by a woody vacant piece of city property to follow up with a homeless man who told social workers he was on a housing list. He previously was reluctant to talk but opens up this time.

 

Social worker Kaitlyn Dowd offers to check on the man’s housing status with a local nonprofit provider and then punches her number into a cellphone he recently got.

 

“You can call me, and I have your number,” she tells him.

 

Social worker Staci McCole said they come across many cases where highly functioning residents were introduced to opiates or heroin.

“So many of these people – somehow it’s taken a hold of them, and their lives now have forever changed,” she said.

US EPA Awards $100 Million to Upgrade Flint Water System

The U.S. Environmental Protection Agency said on Friday it had awarded $100 million to upgrade Flint, Michigan’s drinking water infrastructure to address a crisis that exposed thousands of children to lead poisoning.

The grant to the Michigan Department of Environmental Quality will enable the city to “accelerate and expand” its work to replace lead pipes and make other improvements, according to the EPA. Estimates of the upgrade’s cost range from $200 million to $400 million.

Friday’s announcement made the disbursement official. Last year, Congress passed and former president Barack Obama signed the Water Infrastructure Improvements for the Nation Act to allocate $100 million to aid Flint.

$31.5 million to be paid immediately

The EPA’s state revolving funds, which Congress can allocate to help with cleanup efforts, were one of the few programs that the Trump administration did not slash in its proposed budget for the agency.

“Flint’s water infrastructure as part of our larger goal of improving America’s water infrastructure,” said a statement from agency Administrator Scott Pruitt.

The EPA will make $31.5 million immediately available for lead pipe replacements and upgrades, and Michigan will provide a $20 million required match.

The remaining $68.5 million will come after the city and Michigan complete additional public comment and technical reviews.

“Today we have good news for families in Flint who have already waited far too long for their water system to be fixed,” said a statement from U.S. Senators Debbie Stabenow and Gary Peters, and Congressman Dan Kildee, all Michigan Democrats.

Flint mayor meets Trump

Flint Mayor Karen Weaver, also a Democrat, said the funds would help the city reach its goal of replacing 6,000 pipes this year. She met briefly with President Donald Trump on Wednesday.

In January, 1,700 Flint residents filed a lawsuit in the U.S. District Court in Michigan, saying the EPA failed to warn them of the dangers of the toxic water or take steps to ensure that state and local authorities were addressing the crisis. The plaintiffs seek $722 million in damages.

Midwestern politicians are worried about the elimination in the proposed U.S. budget of funding for an effort to clean up the Great Lakes, from which some states draw their drinking water.

Flint was under the control of a state-appointed emergency manager when it switched its water source to the Flint River from Lake Huron in April 2014. The more corrosive river water caused lead to leach from pipes and into the drinking water.

The city returned to its original water source in October 2015.

Tech Workers Find Communal Living a Solution for High Rents

Zander Dejah, 25, pays $1,900 a month rent to live in a downtown San Francisco house with at least 40 other people, many of whom sleep in bunk beds.

Dejah is a resident of The Negev, a communal living space that styles itself as a home for millennial tech workers to brainstorm ideas, write code and create apps, even if they have to share toilets and bathrooms with dozens of others.

Houses like The Negev, located in a neighborhood known as “SoMa” or South of Market, have cropped up around San Francisco as an influx of young professionals, many of whom are tech workers, have faced the city’s notoriously high rents and apartment shortages. It has three floors and roughly 50 rooms, filled with bunk beds, beer bottles and laptops, according to residents.

Dejah, born and raised in New York, graduated last year with a degree in computer science and math from McGill University.

Unemployed, he moved to California six months ago and found his  room at The Negev on Craigslist.

“I thought New York was expensive,” said Dejah, who quickly landed a job as a virtual reality engineer at consulting firm moBack. “It’s basically an extension of college. We sort of live in a frat house.”

The home is certainly filled with parties on weekends, but the residents make sure to sit down every Sunday for a communal dinner, akin to a traditional family gathering.

While some say communal housing provides a solution for many first-time workers fresh out of college, such housing also has created its share of controversy. Housing advocates have complained that this new dorm-like style of living has pushed up rents and forced longtime residents to move out.

Alon Gutman, who co-founded a company called The Negev and began leasing the building on Sixth Street in 2014, said, “We have never made somebody move out of that building,” adding that his tenants pay 30 percent to 50 percent less than others in the neighborhood.

“We are trying to solve the housing crisis and increase density in a positive way.”

The Negev company runs nine communal properties, three of which are in San Francisco. The others are in Austin, Texas, and Oakland, California.

The Negev properties, generally in run-down, low-income neighborhoods, are restructured to accommodate a large number of tenants, Gutman explained.

Sarah Sherburn-Zimmer, executive director of the Housing Rights Committee of San Francisco, said housing problems have arisen because occupants leave buildings being converted to communal homes and cannot afford to move back in or the space is no longer suitable for them.

“The Negev house takes affordable housing and makes it unaffordable,” said Sherburn-Zimmer. “All they’ve done is take away housing from people who had it and loved it and pushed them out to make a quick buck.”

Kumar Srikantappa, 31, who also pays $1,900 a month for a single room at The Negev, said he chose the house because of the social experience. After eight months there, the software engineer for Oracle Corp said he would soon be ready to live elsewhere.

“I met a bunch of friends, and I just want to move on to another location and into a bigger place,” he said. “It’s time.”

Australian Scientists Tackle Myanmar Snake Bite Problem

Australian scientists, working with counterparts in Myanmar, are hoping to reduce Myanmar’s high death toll from snake bites in rural communities, especially among vulnerable populations facing inadequate emergency care.

The official toll from snake bites in Myanmar is 600 deaths a year out of some 13,000 cases among a rural population dependent on rice harvesting for a living. But rice paddy fields and rice stacks lure rats and mice, and in turn draw snakes, the most venomous being the Russell’s vipers and cobras.

But the hopes for survival are often challenged by long distances from emergency care, with poor roads and infrastructure between snake bite victims and life-saving medical treatment.

Chen Au Peh, a renal specialist at the Royal Adelaide Hospital in South Australia, said speedy access to emergency medical treatment is crucial.

“So all these factors accumulate to a long delay between bite and administration of an anti-venom. So to help them, we have to help them produce more anti-venom, to get the anti-venom to where it’s required to help them keep the anti-venom in the refrigerator and to help the health professionals,” Peh said.

Lifestock also affected

The project has also involved ensuring higher survival rates of horses used in the production of the anti-venom after being injected with snake venom. High mortality rates were evident among the horses due to anemia, nutritional problems and veterinary practices. Changes in practice included learning the skills developed by Myanmar horse handlers.

“In the last 10 months the average horse mortality is something like six or seven per month – compared to 50 per month – and this is very good news not only for horses but for human patients who may need the anti-venom. The more horses that survive the month, the more vials of anti-venom you can produce,” Peh said.

As a result, production of anti-venom has risen sharply to 100,000 vials from 60,000 vials.

The team’s work, part of a $1.77 million effort begun in 2014 with support from the Australian Department of Foreign Affairs and Trade (DFAT) and working with Myanmar’s Ministries of Industry and Health, is focused on the northern city of Mandalay, a region that faces an estimated 700 to 800 snake bite victims each year.

The Australian team, which includes Afzal Mahmood, a senior lecturer in public health at the University of Adelaide and Julian White, a world renowned toxicologist from the Women’s and Children’s Hospital in Adelaide, is working with specialists in Myanmar and local partners on guidelines, protocols and standard operating procedures for the health sector.

Real numbers higher

Mahmood said a recent survey indicated the rate of snake bites was considerably higher than official figures.

“It is not a new phenomenon, it happens because many people do not reach the health system where recording takes place. Some people get treated by the traditional healers; some may die without actually reaching the health system and some may suffer and get healed,” Mahmood told VOA.

But he said the program has succeeded in boosting the skills among the local medical and non-medical community.

“We have produced revised guidelines for the doctors [and] some diagnostic tests, and the training of some 200 health care providers,” he said.

The work has reached about 150 villages with local community meetings targeting around 7,000 people to promote awareness of snake bite treatments.

The goal, the scientists said, is to shorten the time to treatment by providing solar powered refrigerators near to local communities with supplies of anti-venom.

Mahmood says the challenges go beyond the initial treatment.

“Psychological issues post-bite [affect] not only the person but the family themselves suffer. It’s a very life-changing experience,” he said.

Victims of snake bites are among Myanmar’s poorest. They often face long periods of hospitalization, leaving families facing high medical bills, often equivalent to several months of real earnings as they struggle to meet hospital and transport expenses, even those receiving subsidies.

To ensure the project is sustainable, its goal is to provide a model that can be applied elsewhere in Myanmar.

Trump Aides, Daughter Meet with Hispanic Business Owners

In the latest outreach effort following a contentious campaign, top Trump administration officials – as well as first daughter Ivanka Trump – met Thursday with Hispanic business leaders.

 

Underscoring her unusual role working outside the administration, Ivanka Trump attended a round-table discussion Thursday morning with Hispanic women business owners in Washington.

 

Later, White House officials, including chief of staff Reince Priebus, held a meeting with other Hispanic business leaders, focused on jobs, the economy and access to capital.

 

The meetings were organized by the U.S. Hispanic Chamber of Commerce, whose president, Javier Palomarez, slammed Donald Trump during the presidential campaign, calling him a buffoon, among other slights. He has since joined the president’s National Diversity Coalition and says he’s open to working with the president on issues they agree on.

 

“The reality of it is,” Palomarez said, “I’d much rather campaign from the inside than complain from the outside.”

Trump has been eyed warily by the Hispanic community since the beginning of his presidential campaign, when he claimed Mexico was sending its criminals over the border and railed against illegal immigration. Nonetheless, Trump won about 28 percent of the Latino vote – a similar share to Mitt Romney in 2012, according to exit polls.

 

“My representatives had a great meeting w/ the Hispanic Chamber of Commerce at the WH today,” the president tweeted after the meetings.”Look forward to tremendous growth & future mtgs!”

Palomarez said Ivanka Trump, who has no official role in the administration, spent an hour and a half with the women business owners, talking about issues such as entrepreneurship and science education.

 

“She made it clear that she has a passion around empowering women,” Palomarez said in an interview between the two meetings, adding that the topics of Trump’s proposed border wall and his crackdown on people living in the U.S. illegally had not been raised.

 

“There will be time and the circumstances to do that,” said Palomarez, adding: “They’re not done deals. The negotiation, the conversation continues.”

 

Trump said Thursday night at a rally in Nashville that his wall is “way ahead of schedule,” and he has signed orders making it easier to deport people living in the U.S. illegally.

 

Travel Restrictions Worry US Tourism Industry

Foreign tourism to the United States, which supports millions of American jobs, is slowing, possibly because President Donald Trump sought controversial travel restrictions on some Muslim-majority nations. Online searches for flights to the United States are down in most major nations, not just those hit by restrictions. Jim Randle reports some travel experts say the push to restrict immigration is making some foreign tourists and students wary of visiting.

Carmakers Differ Widely on When Self-driving Cars Arrive

Carmakers and suppliers gave widely differing timelines Thursday for the introduction of self-driving vehicles, showing the uncertainties surrounding the technology as well as a split between cautious established players and bullish new entrants.

Chipmaker Nvidia, facing direct competition with the world’s top chipmaker after Intel’s $15 billion deal to buy Mobileye, an autonomous driving technology firm, this week, gave the most optimistic predictions.

Chief Executive Jens-Hsun Huang said carmakers may speed up their plans in the light of technological advances and that fully self-driving cars could be on the road by 2025.

“Because of deep learning, because of AI [artificial intelligence] computing, we’ve really supercharged our roadmap to autonomous vehicles,” he said in a keynote speech to the Bosch Connected World conference in Berlin.

Germany’s Bosch, however, the world’s biggest automotive supplier, gave a timetable as much as six years longer to get to the final stage before fully autonomous vehicles, and declined even to forecast when a totally self-driving car might take to the streets.

Technology, liability among hurdles

Progress is fraught by issues including who is liable when a self-driving car has an accident, bringing down the costs of sensor technology and guarding against hacking.

“Of course, we still have to prove that an autonomous car does better in driving and has less accidents than a human being,” Bosch CEO Volkmar Denner told a news conference.

Nvidia has applied its market-leading expertise in high-end computer graphics to the intense visualization and simulation needs of autonomous cars, and has been working on artificial intelligence — teaching computers to learn to write their own software code — for a decade.

“No human could write enough code to capture the vast diversity and complexity that we do so easily, called driving,” Huang said.

Together with Bosch executives, Huang presented a prototype AI on-board computer that is expected to go into production by the beginning of the next decade. The computer will use Nvidia’s processing power to interpret data gathered by Bosch sensors.

Degrees of autonomy

On the way to fully self-driving cars, levels of autonomy have been defined, with most cars on the road today at level two, and Tesla ready to switch from level four to five — full autonomy — as soon as it is permitted.

Level three means drivers can turn away in well-understood environments, such as highway driving, but must be ready to take back control, while level four means the automated system can control the vehicle in most environments.

Independent technology analyst Richard Windsor wrote this week that he doubted automakers would have autonomous vehicles leaving factories by a typical self-imposed deadline of 2020, mainly because the liability issue was unresolved.

“This is good news for the automotive industry, which is notoriously slow to adapt to and implement new technology as it will have more time to defend its position against the new entrants,” he wrote.

But Nvidia’s Huang said he expected to have chips available for level three automated driving by the end of this year and in customers’ cars on the road by the end of 2018, with level four chips following the same pattern a year later.

That is at least a year ahead of the plans of most carmakers that have an autonomous-driving strategy.

BMW says market will decide

The head of autonomous driving at BMW told the conference the luxury carmaker was on its way to deliver a level three autonomous car in 2021, but could produce level four or five autonomous cars in the same year.

“We believe we have the chance to make level three, level four and level five doable,” he said. He told Reuters the decision on which levels to release would depend in part on the market, and that cars with more autonomy might first be produced in small batches for single fleets.

Bosch said it saw level three vehicles being released with its on-board computer at the end of the decade, and level four driving not before 2025.

Uber, Baidu and Google spin-off Waymo are testing self-driving taxis, while carmakers including Volvo, Audi and Ford expect to have level four cars on the road by 2020 or 2021.

Nvidia’s Huang predicted those plans would speed up: “In the near future, you’re going to see these schedules pull in.”

Breathe Easy: Nose Shape Was Influenced by Local Climate

The human nose, in all its glorious forms, is one of our most distinctive characteristics, whether big, little, broad, narrow or somewhere in between.

Scientists are now sniffing out some of the factors that drove the evolution of the human proboscis.

Researchers said on Thursday a study using three-dimensional images of hundreds of people of East Asian, South Asian, West African and Northern European ancestry indicated local climate, specifically temperature and humidity, played a key role in determining the nose’s shape.

Wider noses were more common in people from warm and humid climates, they found. Narrower noses were more common in those from cold and dry climates.

The nose’s primary functions are breathing and smelling. It has mucous and blood capillaries inside that help warm and humidify inhaled air before it reaches more sensitive parts of the respiratory tract.

Having narrower nasal airways might help increase contact between inhaled air and tissues inside the nose carrying moisture and heat, said Penn State University geneticist Arslan Zaidi, lead author of the study published in the journal PLOS Genetics.

“This might have offered an advantage in colder climates. In warmer climates, the flip side was probably true,” Zaidi said.

Our species appeared in Africa about 200,000 years ago and later migrated to other parts of the world. The researchers said people with narrower nostrils may have done better and produced more offspring than those with wider nostrils in colder, drier locales, driving a gradual decline in nose width.

The finding generally supports what’s called Thomson’s rule, formulated by British anatomist and anthropologist Arthur Thomson (1858-1935), that people from cold, dry climates tend to have longer and thinner noses than people from warm, humid climates.

Zaidi said most previous evidence regarding Thomson’s rule came from skull measurements, while this study expanded on that by analyzing external nose shape.

The researchers studied nose width, nostril width, nose height, length of the nose ridge, nose tip protrusion, external surface area and total nostril area.

“What we have tested is a very simple hypothesis about the nose, which likely had a very complex evolutionary history. There’s a lot we don’t know,” Zaidi said, citing the need to probe genes underlying nose shape.

“One can imagine how cultural differences in attractiveness could have led to some of the differences in nose shape between populations. For example, were wider noses considered more attractive in some populations relative to others?”

Brazil Yellow Fever Cases Pass 400; More Than 130 Dead

Brazil’s Health Ministry says 424 people have been infected with yellow fever in the largest outbreak the country has seen in years. Of those, 137 have died.

 

An update published Thursday said that more than 900 other cases are under investigation. During the current outbreak in the Southern Hemisphere’s summer rainy season, the vast majority of the confirmed cases have been in the southeastern state of Minas Gerais.

 

Much of Brazil is considered at risk for yellow fever, and people in those areas are supposed to be vaccinated. But this outbreak struck some areas not previously considered at risk, and Brazil is rushing vaccines to those areas.

 

Yellow fever is a mosquito-borne disease that cause causes fever, body aches, vomiting and can cause jaundice, from which it gets its name.