BBA News SEP '09 by Black Business News Group

Reports to the Nation •Health Care Reform •Economic Recovery

August 2009

In This Issue… 6 Health Care Reform 12 Economic Recovery Report 16 Credit Card Rule Changes 28 Africa Focus 43 SBA ARC Loan Program

Pres. Obama Has His... You Get Yours! Black Business News SPECIAL COMMEMORATIVE LIMITED EDITION

Now On Sale! A commemorative limited-edition magazine, unlike any other special tribute issued to recognize the election of Barack H. Obama as the 44th President of the United States of America, has been published by the Black Business Association.

To order your copy, call the BBA office at (323) 291-9334 or email to: mail@bbala.org

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President’s Message Earl “Skip” Cooper, II President/Chief Executive Officer

What’s Wrong With This Picture

embers of the Black Business Association (BBA) were privileged this month to meet with David Hinson, the newly appointed National Director of the U.S. Department of Commerce, Minority Business Development Agency under President Obama’s administration. The BBA is frequently presented with tremendous opportunities to share small business resources, to help strengthen efforts toward inclusion of black-owned businesses in government contracting. Be that as it may, in this particular meeting, one circumstance reminded me of elementary school students whose teachers challenge them with brain-teasing assignments with captions that read, “What’s Wrong With This Picture?” The point that brought back this school-days memory occurred when we discussed how the Department of Commerce coordinates numerous trade missions to other countries in pursuit of growing new business alliances and commercial projects for American enterprises. The representatives mentioned that African Americans and other non-white business owners were under-represented in a considerable number of these trips, and as a consequence, the Department wants to enhance the trade mission picture by making it a more “colorful” depiction, in accordance with contemporary American commerce. My stumbling block lies in the question of why it would take new eyes in the Department of Commerce to point out such an obvious omission. Standing government leaders should not need a reminder or push relative to the importance of inclusion, especially since pro-

viding open and effective outreach to include the spectrum of our society at every viable point of interest should be routine socioeconomic development. It should be emphasized that while we do find the work of the US Department of Commerce and these newly appointed representatives most admirable, it is my hope they make it a non-negotiable practice for top Department executives and managers to clearly account for inclusion steps taken, if not achieved. Ensuring that viable African American enterprises are in the picture builds not only a more diverse workforce, but it creates the position of moving much more product than in the past. Major public and private organizations that have to have the BBA or any other advocacy group, auditor, and adversary to push their pendulum of inclusion are not contributing to the best interests of America. U.S. corporations have become savvy and matured in matters of civic development and being proactive with socioeconomic responsibility is part of that maturity. Corporations will find unexpected opportunities to raise revenues when they take time to seek strategic alliances with black business, to help expand business in geographical areas either neglected or overlooked by previously used, conservative business revenue models. Inclusion processes require active participation from all stakeholders for effecting positive change and there is no room for apathy where diverse people must make their presence and work effort known. For example, Black Enterprise magazine’s 2009 top ten blackowned companies earned revenue in excess of $11 billion. However, what

this picture is not able to delineate is how much of the contracting capacity is missed with the hiring potential of African Americans living in commercially underutilized communities. Where corporate executives have shown measurable improvement in civic responsibility activity, it remains to be told how well black firms been able to take an active role with helping to shape socioeconomic conditions in America.

A step in the right direction is to join the BBA today! Since 1970, the BBA has been relied upon to assist with shaping a more inclusive landscape through identifying black management and business talent. Renew or take out your initial BBA membership right now – we look forward to welcoming you to the table. &

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Over 35 years of service Founded 1970 Starlett Quarles, urban X marketing

CORPORATE PARTNERS

Black Business Association P.O. Box 43159, Los Angeles, CA 90043 323-291-9334 Fax: 323-291-9234 mail@bbala.org www.bbala.org

PUBLISHER/EDITOR-IN-CHIEF Earl “Skip” Cooper, II

PRODUCTION MANAGER Narishima Osei

CONTRIBUTING WRITERS W. Gladney ▪ C. Collins

PHOTOGRAPHY Ian Foxx ▪ Sabir • N. Osei

BBA BOARD OF DIRECTORS

Ted Davis, Chairman IsComp Systems, Inc. Nathan Freeman, Vice Chairman Figueroa Media Group, Inc. Eugene Jones, Secretary NVA Financial Group, Inc. Kevin M. Caliup, Treasurer AIA/E-World Strategy Narishimah Osei, Parliamentarian Osei & Associates Gwen Moore, Director GEM Communications Candida Mobely-Wright, Director Voices, Inc. Angela Walton, Director Melador Technologies, Inc. Angela Reddock, Esq., Legal Counsel

3 President’s Message Headline Here.

6 Health Care Reform •President Obama 10 Health Care Reform •Rev. Jesse Jackson 12 Economic Recovery Report 16 New Credit Card Rules 23 Tax Planning for Home Businesses 27 Remembering John Holoman 28 Africa Focus •JCongressman Rush Leads Trade Mission •Grantmakers Network Lanuched •AGOA Conference in Kenya

43 SBA News

ARC Loan Program

AFFILIATES

STAFF Earl “Skip” Cooper, II, President/CEO Kesha Vontreese, Administrative Consultants Brett Byers, Special Projects Consultant

COMMITTEE COORDINATOR

AEG American Honda Motor Company AT&T Bank of America The Boeing Company California Lottery Citibank Coca-Cola Enterprises Comerica Bank Department of Water & Power Donald Sterling Corporation Fannie Mae IBM Kaiser Permanente LAEDC Los Angeles World Airports Northrop Grumman Corporation Raytheon Company S.C.R.P.C. Sempra Energy Southern California Edison Swinerton Builders Toyota Motor Sales, Inc. Turner Construction Company Union Bank of California USBank Verizon Walt Disney Company WellPoint Wells Fargo Bank Lyceum Management Services, Ex Officio Hollis Smith, Ex Officio Paulette Williams, Ex Officio

In This Issue…

African American Unity Caucus Association of Black Women Entrepreneurs Black Women’s Network California Black Chamber of Commerce California Council of Black Chambers The Greenlining Institute Minority Business Enterprise Legal Defense & Education Fund National Black Business Council The National Association of African American Chambers of Commerce The National Black Chamber of Commerce Pan African Film & Arts Festival Recycling Black Dollars

51 Calendar Executive Promotions •David Hinson Pg 5

Columns

24 - TAke A Look! 41 - Books to Consider...

Cover image - White House Photo

THURSDAY, SEPTEMBER 3, 2009 4 T August 2009 T Black Business News T www.bbala.org

David Hinson New Minority Business Development Agency National Director

.S. Commerce Secretary Gary Locke today announced the appointment of David Hinson, a St. Louis native with more than 20 years of business experience, as the new National Director of the Minority Business Development Agency (MBDA). This agency is the only federal agency created specifically to foster the establishment and growth of minority-owned businesses in the United States. “The success of minority-owned businesses is essential to our economic recovery, and I’m counting on David to maximize their opportunities,” Locke said. MBDA, through its network of 48 minority business centers throughout the country, provides one-on-one workshops and business consulting services for minority businesses to help educate them about federal opportunities, including those related to the American Recovery and Reinvestment Act. “I’m honored to accept this position and am committed to carrying out Secretary Locke’s priority of working with minority entrepreneurs who wish to grow their businesses and increase their capacity,” Hinson said. “This work better positions these companies to create jobs, improve local economies and expand operations into national and global markets.” In 2008, MBDA negotiated more than $2 billion in contracts and capital for minority businesses. Over the past 40 years, MBDA has served more than 625,000 minority businesses and assisted in securing more than $25 billion in loans and bonding. Since MBDA’s creation in 1969, minority businesses have grown from 300,000 to nearly 4 million. Recent Census data indicates minority firms generate more than $661 billion in annual revenues and employ more than 4 million

workers.

David A. Hinson Bio Since 2002, David was President and CEO of Wealth Management Network, Inc., a multi-million dollar independent, financial advisory boutique. Prior to launching Wealth Management Network, David managed a 10-state sales region as Director of Advisory Services for Envestnet Asset Management, a $70 billion financial advisory firm. In his capacity, David advised high-end advisors in asset allocation, portfolio construction, technology, and product implementation. He also served as Managing Director of Business Development for the company. In addition, David has held a variety of seniorlevel and mid-management positions at Bank of America, Morgan Stanley & Company, First Chicago Bank (now JP Morgan Chase) and the Village Foundation. David received an MBA in finance

from The University of Pennsylvania Wharton School, and a bachelor’s degree in insurance and finance with honors from Howard University in Washington, D.C. In addition, he completed a fellowship in international finance with honors from the Stockholm School of Economics and completed graduatelevel studies in French with honors at the University of Abidjan, in the Ivory Coast West Africa. David is a member of a number of civic organizations including a member of the Board of Directors, Treasurer and Chair of the Audit Committee of the Council of Urban Professionals (CUP) in New York. In addition, David has provided on-air financial commentary for CNN, Fox News Channel, CBS News and The BE Report in addition to writing a financial column for The Network Journal and writing personal wealth analyses for Black Enterprise Magazine and Essence Magazine. David is a native of St. Louis, Mo., and currently resides in Philadelphia, Pa. &

Metropolitan Water District Begins Generating Solar Power Metropolitan board Chairman Timothy F. Brick recently flipped a switch signifying activation of a 10-acre field of solar panels at the district’s Robert A. Skinner Water Treatment Plant in the Temecula Valley of southwestern Riverside County. The 1-megawatt solar installation will generate about 2.4 million kilowatt-hours (kWh) of clean, renewable energy a year, nearly 25 percent of the power used by the plant and equal to the power used by about 250 homes annually. The produced energy will be used directly at the plant, helping to offset nearly 2 million pounds of carbon emissions a year. The Metropolitan Water District of Southern California, 700 N. Alameda St., Los Angeles, CA 90012 www.mwdh2o.com

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Health Care Reform Report

he White House has launched www.WhiteHouse.gov/realitycheck to counter the rumors and misinformation floating around the internet. You can find the information in this article, and much more, on the website. For example, you may view a video of Nancy-Ann DeParle from our Health Reform Office tackling a viral email head on.

8 ways reform provides security and stability to those with or without coverage • Ends Discrimination for Pre-Existing Conditions: Insurance companies will be prohibited from refusing you coverage because of your medical history. • Ends Exorbitant Out-of-Pocket Expenses, Deductibles or Co-Pays: Insurance companies will have to abide by yearly caps on how much they can charge for out-of-pocket expenses. • Ends Cost-Sharing for Preventive Care: Insurance companies must fully cover, without charge, regular checkups and tests that help you prevent illness, such as mammograms or eye and foot exams for diabetics. • Ends Dropping of Coverage for Seriously Ill: Insurance companies will be prohibited from dropping or watering down insurance coverage for those who become seriously ill. • Ends Gender Discrimination: Insurance companies will be prohibited from charging you more because of your gender. • Ends Annual or Lifetime Caps on Coverage: Insurance companies will be prevented from placing annual or

lifetime caps on the coverage you receive. • Extends Coverage for Young Adults: Children would continue to be eligible for family coverage through the age of 26. • Guarantees Insurance Renewal: Insurance companies will be required to renew any policy as long as the policyholder pays their premium in full. Insurance companies won’t be allowed to refuse renewal because someone became sick. Learn more and get details at www. WhiteHouse.gov/health-insuranceconsumer-protections.

8 common myths about health insurance reform • Reform will stop “rationing” - not increase it: It’s a myth that reform will mean a “government takeover” of health care or lead to “rationing.” To the contrary, reform will forbid many forms of rationing that are currently being used by insurance companies. • We can’t afford reform: It’s the status quo we can’t afford. It’s a myth that reform will bust the budget. To the contrary, the President has identified ways to pay for the vast majority of the up-front costs by cutting waste, fraud, and abuse within existing government health programs; ending big subsidies to insurance companies; and increasing efficiency with such steps as coordinating care and streamlining paperwork. In the long term, reform can help bring down costs that will otherwise lead to a fiscal crisis. • Reform would encourage “euthana-

sia”: It does not. It’s a malicious myth that reform would encourage or even require euthanasia for seniors. For seniors who want to consult with their family and physicians about end-of life decisions, reform will help to cover these voluntary, private consultations for those who want help with these personal and difficult family decisions. • Vets’ health care is safe and sound: It’s a myth that health insurance reform will affect veterans’ access to the care they get now. To the contrary, the President’s budget significantly expands coverage under the VA, extending care to 500,000 more veterans who were previously excluded. The VA Healthcare system will continue to be available for all eligible veterans. • Reform will benefit small business - not burden it: It’s a myth that health insurance reform will hurt small businesses. To the contrary, reform will ease the burdens on small businesses, provide tax credits to help them pay for employee coverage and help level the playing field with big firms who pay much less to cover their employees on average. • Your Medicare is safe, and stronger with reform: It’s myth that Health Insurance Reform would be financed by cutting Medicare benefits. To the contrary, reform will improve the long-term financial health of Medicare, ensure better coordination, eliminate waste and unnecessary subsidies to insurance companies, and help to close the Medicare “doughnut” hole to make prescription drugs more affordable for seniors. • You can keep your own insurance:

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President Barack Obama answers questions during an AARP tele-town hall on health care in Washington, DC on July 28, 2009. Official White House Photo by Pete Souza.

It’s myth that reform will force you out of your current insurance plan or force you to change doctors. To the contrary, reform will expand your choices, not eliminate them. • No, government will not do anything with your bank account: It is an absurd myth that government will be in charge of your bank accounts. Health insurance reform will simplify administration, making it easier and more convenient for you to pay bills in a method that you choose. Just like paying a phone bill or a utility bill, you can pay by traditional check, or by a direct electronic payment. And forms will be standardized

so they will be easier to understand. The choice is up to you – and the same rules of privacy will apply as they do for all other electronic payments that people make. Learn more and get details at www. WhiteHouse.gov/realitycheck or www. WhiteHouse.gov/realitycheck/faq

8 Reasons We Need Health Insurance Reform Now • Coverage Denied to Millions: A recent national survey estimated that 12.6 million non-elderly adults – 36 percent of those who tried to purchase

health insurance directly from an insurance company in the individual insurance market – were in fact discriminated against because of a pre-existing condition in the previous three years or dropped from coverage when they became seriously ill. Learn more: www.healthreform.gov/ reports/denied_coverage/index.html • Less Care for More Costs: With each passing year, Americans are paying more for health care coverage. Employer-sponsored health insurance premiums have nearly doubled since 2000, a rate three times faster than wages. In 2008, the average premium for a family plan purchased through an employer was $12,680, nearly the annual earnings of a full-time minimum wage job. Americans pay more than ever for health insurance, but get less coverage. Learn more: www.healthreform.gov/ reports/hiddencosts/index.html • Roadblocks to Care for Women: Women’s reproductive health requires more regular contact with health care providers, including yearly pap smears, mammograms, and obstetric care. Women are also more likely to report fair or poor health than men (9.5% versus 9.0%). While rates of chronic conditions such as diabetes and high blood pressure are similar to men, women are twice as likely to suffer from headaches and are more likely to experience joint, back or neck pain. These chronic conditions often require regular and frequent treatment and follow-up care. Learn more: http://www.healthreform. gov/reports/women/index.html • Hard Times in the Heartland: Throughout rural America, there are nearly 50 million people who face challenges in accessing health care. The past several decades have consistently shown higher rates of poverty, mortality, uninsurance, and limited access to a primary health care provider in rural areas. With the recent economic downturn, there is potential for an increase in many of the health disparities and access concerns that are already elevated in rural communities. Learn more: www.healthreform.gov/ reports/hardtimes

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see Health Care Reform on page 8

Health Care Reform from Health Care Reform page 7

• Small Businesses Struggle to Provide Health Coverage: Nearly one-third of the uninsured – 13 million people – are employees of firms with less than 100 workers. From 2000 to 2007, the proportion of non-elderly Americans covered by employer-based health insurance fell from 66% to 61%. Much of this decline stems from small business. The percentage of small businesses offering coverage dropped from 68% to 59%, while large firms held stable at 99%. About a third of such workers in firms with fewer than 50 employees obtain insurance through a spouse. Learn more: www.healthreform.gov/ reports/helpbottomline • The Tragedies are Personal: Half of all personal bankruptcies are at least partly the result of medical expenses. The typical elderly couple may have to save nearly $300,000 to pay for health costs not covered by Medicare alone. Learn more: www.healthreform.gov/ reports/inaction • Diminishing Access to Care: From 2000 to 2007, the proportion of non-elderly Americans covered by employer-

based health insurance fell from 66% to 61%. An estimated 87 million people - one in every three Americans under the age of 65 - were uninsured at some point in 2007 and 2008. More than 80% of the uninsured are in working families. Learn more: www.healthreform.gov/ reports/inaction/diminishing/index. html • The Trends are Troubling: Without reform, health care costs will continue to skyrocket unabated, putting unbearable strain on families, businesses, and state and federal government budgets. Perhaps the most visible sign of the need for health care reform is the 46 million Americans currently without health insurance - projections suggest that this number will rise to about 72 million in 2040 in the absence of reform. Learn more: www.WhiteHouse.gov/ assets/documents/CEA_Health_ Care_Report.pdf &

Quote of Note... “I suffer no illusions that this will be an easy process. It will be hard. But I also know that nearly a century after Teddy Roosevelt first called for reform, the cost of our health care has weighed down our economy and the conscience of our nation long enough. So let there be no doubt: health care reform cannot wait, it must not wait, and it will not wait another year.”

TSA Secure Flight Information Secure Flight is a program to provide uniform watch list matching by the Transportation Security Administration (TSA) to enhance the security of domestic and international commercial air travel through the use of improved watch list matching. Under the Secure Flight program, airlines will be required to collect Secure Flight Passenger Data (SFPD) including a passenger’s full name (as it appears on the passenger’s non-expired government issued ID), date of birth, gender, and TSA issued Redress Number (if available). TSA is implementing Secure Flight in phases. Airlines working closely with the TSA will begin collecting SFPD from customers at the time of ticket purchase in the Fall of 2009. For more information, visit www. tsa.gov/what_we_do/layers/secureflight.

Economic Recovery Websites

he websites shown here have been created to provide Californians with information on the American Recovery & Reinvestment Act of 2009. The websites will provide the information on how the funding will be used in California. The State’s website is: www.recov-

ery.ca.gov

President Barack H. Obama

The Caltrans website is: www.dot.

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ca.gov/Recovery

AT&T Small Business InSite Redesigned to Offer New and Expanded Services Announces Contest for Small Businesses

o thank entrepreneurs and small business owners for their continued support of and interaction with our online resource center, AT&T is sponsoring an online contest for small businesses to win a technology overhaul for their business. Contest prizes include Web hosting services, AT&T Secure Mail, AT&T TechSupport 360, a pair of 3G mobile smartphones and a variety of other advanced solutions that can be used to improve collaboration or drive small business productivity. Video submission by small businesses on why they think they need a technology makeover can be submitted to www.att.com/smallbizmakeover through Aug. 31, 2009. In addition to the contest, AT&T announces a redesigned online resource center. AT&T Small Business InSite (www.att.com/smallbusinessinsite), is

focused on the growth and success of small business customers by delivering robust and interactive “how-to” advice that helps both the seasoned small business owner and the “justgetting-started”entrepreneur integrate advanced business technologies into their businesses. The AT&T Small Business InSite portal provides small business owners practical “how to” articles, podcasts and video resources to help them use technology in their business. Additional site features include the ability to personalize their experience by choosing key areas of interest. Free online seminars will also be sponsored through the AT&T Small Business InSite which will feature the ability to submit questions to experts, discuss topics in real-time with other small business owners and receive one-on-one advice.

Along with the AT&T Small Business InSite online resource, small businesses can connect with AT&T Small Business through a variety of social media channels. Small Businesses can find regular updates and real-time information on the AT&T Small Business Facebook page (www.facebook.com/ATTSmallBiz), follow our updates on Twitter (www.twitter.com/SmallBizInSite), visit our YouTube channel (www.youtube. com/ATTSmallBusiness) and view or download images from our Flickr page (www.flickr.com/ATT_SmallBusiness). The AT&T Small Business InSite Web site complements AT&Ts industryleading portfolio of communications products and services for small businesses in key areas such as wireless voice and data, local and long distance voice, high-speed Internet, messaging, and advertising. &

Omni Shoreham Hotel in Washington, DC on August 26 to 28, 2009. medweek.gov

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he terrorizing has reached fever pitch. “Obama’s health-care reforms will kill your grandmother,” they scream. Beware government “death panels,” warns Sarah Palin. There will be a “government takeover” of health care. Bureaucrats will overrule doctors. Government will get its hands on Medicare. The lies and inanities keep on coming. Right-wing demonstrators organize to take over town-hall meetings. Republican leaders, intent on “breaking” Obama by stopping reform, repeat and abet the lies and distortions. Conservative Democrats cut backroom deals to benefit insurance companies and drug companies. This debate on health care is enough to turn your stomach. Stop and take a deep breath. In fact, Americans should fear failure, not reform. Our health system is broken. Health care costs -- 31 percent of which are on administration, run up by insurance companies trying to insure only those who don’t get sick-- are rising at twice the rate of inflation. We already spend about 50 percent more per capita than other industrial nations -- but they insure everyone and get better health results, while we have some 47 million and rising without insurance. Those with insurance aren’t much better off. Co-pays and deductibles are rising. Coverage is getting cut back. Businesses can’t afford rising costs. More and more is forced on taxpayers and consumers. No wonder 14,000 people lose health care every day. And those with insurance find it covers less and less. Half of all personal bankruptcies are caused by a serious illness

or injury. Two-thirds of those bankrupt have insurance -- it just doesn’t cover the costs of a serious illness. And yet, the insurance and drug company lobbies can terrorize Americans into fearing reform. They would, in the cynical words of Republican House leader John Boehner, prefer the devil they know to the devil they don’t know -- a devil that Republicans and the lobbies paint as particularly gruesome. We would all be better off with a single-payer system -- a sort of Medicare for all. The best-run in America is the health-care system administered by the Veteran Affairs Department, which is totally government-controlled. The most popular system is Medicare, which is privately provided but government-funded. The least popular and most inefficient are the privately run HMOs and the like whose insurance company bureaucrats tell doctors what treatments they can prescribe. Obama’s reform plan began with a fundamental concession. No singlepayer system. If you like your current insurance, you can keep it -- if you can afford the soaring price of it. He sought to add basic regulation of the insurance companies (prohibiting them from refusing to insure you if you are sick or from cutting you off if you get sick, banning discrimination against women, forcing them to cover preventive care). He sought to create a public option, linked to Medicare rates, that would “keep the insurance companies honest.” He wanted to cover everyone, with a mandate on businesses and individuals to have insurance, and subsidies to

Fear Failure, not Health Care Reform BY JESSE JACKSON, SR, Founder, Rainbow/PUSH Coalition

insure it was affordable. This isn’t as efficient as single-payer. But it would get 97 percent of Americans and virtually all kids covered, do a better job of catching diseases early and help eliminate the most outrageous insurance company gambits to make money. Then Obama’s principles hit the Congress. Washington is still dominated by corporate lobbies. The drug lobby and the insurance lobby are among the most powerful. They set about to gut the public option, weaken the regulation, insure that Medicare would be banned from negotiating lower prices on drugs, etc. They benefited from Republican obstruction of any change. That meant they had fewer legislators -- largely a handful of conservative Democrats -to “convince.” And a public to terrorize.

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see Fear Failure on page 41

Economic mic Recovery Report

American Recovery and Reinvestment Act hGreatest Economic Crisis in a Generation When President Obama took office, the nation was facing the greatest economic crisis in a generation and the economy was on the precipice of a second depression or great recession. •The economy that was losing, on average, 700,000 jobs a month. •The growth rate had hit negative 6.3 percent – the worstsince the 1982 recession. •Foreclosures were at record levels and residentialinvestment had fallen by more than 40 percent in just eighteen months. •Banks were in crisis and freezing lending. •And nearly $10 trillion in wealth had been lost in the stockmarket which was on a steady downward spiral.

hCreating Stability, Helping Those Harmed In the first six months, the Recovery Act – along with our other economic initiatives – has worked to stabilize economic conditions and help those

harmed by the economic crisis. We are not in recovery yet - but we have created the stability necessary to get us there. Our economic problems are years in the making and they won’t be solved overnight – but the Recovery Act has helped pull us back from the brink and avoid the peril that could have befallen us. In the first full quarter of the Recovery Act: •GDP fell much more slowly – at a rate of 1 percent - than the last two quarters when it fell at a rate of 6 percent. •State and local spending increased 2.4 percent - an unexpected reversal that links directly to fiscal relief to the states - after falling for the last six months. •Household income grew at a yearly rate of almost 5 percent following declines in the previous nine months. •Business investment contracted much less than expected, as confidence is slowly returning to the economy. We acted quickly, moving assistance to hard-hit families, businesses

and state governments to help those harmed by the recession immediately after the Recovery Act was signed. Now, because of the Recovery Act: •Ninety-five percent of working families are already seeing the benefits of the Making Work Pay tax credit in their paychecks. •Those dealing with a job loss are collecting an extra $25 a week in unemployment benefits – assistance more than 12 million Americans have already benefited from. •Families relying on COBRA health insurance are paying 65 percent less for their health coverage. •Families qualifying for food assistance through the Supplemental Nutrition Assistance Program (SNAP) have seen their benefits increase by over 13 percent. •Over fifty-one million seniors, as well as veterans and other high-need groups, have received $250 relief payments in the mail. •More than 7 million low and moderate-income students will receive a 15

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see Economic Recovery Report on page 13

Economic mic Recovery Report percent increase in their Pell Grant awards to help pay for college. •State governments have received over $34 billion in additional Medicaid funds at a time when they are facing record budget shortfalls. •And tens of thousands of teachers, law enforcement officials and firefighters are staying on the job at our schools, policestations and firehouses because of the billions of dollars in RecoveryAct assistance we moved to state and local governments.

hCreating and Saving Jobs The Recovery Act is working to stem job losses and rebuild our economic base. We are losing fewer jobs than we were before the Recovery Act was signed.

In January, the month before the Recovery Act was signed into law, the economy lost 741,000 jobs – the largest job loss in a single month in over half a century. By June, the economy was losing one-third fewer jobs than it was at the start of the year. Countless businesses – both small and large – have said they have avoided layoffs thanks to the Recovery Act. And the significant technology and infrastructure investments we aremaking today are not just creating jobs now, but laying the groundworkfor our economic growth in the future. Over 30,000 Recovery Act projects ranging from community healthcenter expansions to military facility upgrades

to transportationconstruction jobs have already been approved. More than $24 billion has been made available to fund over 7,400 shovelready transportation construction projects – over 4,000 of which are already underway.

Over $369 million has been put to work improving rural water systems. $2 billion has moved out to state governments and community organizations to fund weatherization programs that improve the energy-efficiency of lowincome homes. Nearly half a billion is funding longoverdue clean-ups of Superfund sites. These projects not only create jobs directly through contractors receiving awards, but also create a ripple effect across the entire construction industry as demand for supplies and services increases.

hSmart and Accountable Spending

We are not just working quickly to put Recovery dollars to work, but spending them wisely. We have already approved over 30,000 Recovery Act projects - while still subjecting every dollar of Recovery Act spending to unprecedented stan-

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dards for efficiency and accountability. Wasteful or unwise projects are rooted out and rejected up front. Not a single Recovery Act project is funded as a result of an earmark or political considerations. Recovery Act projects are coming in as much as 10, 20 – even 30 – percent under-budget, which means more money available to fund more projects that put more people back to work. And Recovery.gov, the one-stop shop where the public can see how Recovery dollars are being put to work is updated weekly with the latest spending information. In fact, our critics are able to crunch the latest numbers and investigate our work precisely because of the historic level of information available to the public on the site.

hRight On-Schedule We’re right on-schedule– and in many cases, we’re ahead of schedule –when it comes to putting Recovery Act funds to work creating jobs, aiding states and jump-starting shovel-ready projects. In fact, economic and budget expert Stan Collender recently noted that “it would be hard to move more quickly.” Our efforts are unfolding exactly as planned. We originally said we would spend 70 percent of the funds by September 2010 – and we’re on-track to do exactly that. So far, about 32 percent of the funds have been put to work in about 29 percent of the days of the Recovery Act. Of the $499 billion in Recovery Act spending, over $200 billion has already been obligated to programs and projects. We have been putting Recovery dollars to work at a rate of over $1 billion a day. Of the $288 billion in Recovery Act tax relief, over $53 billion has already been applied. And when it comes to two critical priorities – moving aid to states and jumpstarting shovel-ready projects that create jobs – we are actually ahead of schedule: •Highway Projects - The Recovery Act set an ambitious benchmark that

all states had to put at least 50 percent of their highway dollars to work in just 120 days. Every state not only met that goal, but exceeded it by at least 10 days. •Aid to States - At a time when states are facing record budget shortfalls, the Government Accountability Office (GAO), Congress’s watchdog, noted that Recovery Act funds are moving to states “faster than anticipated.”

hJust Getting Started We’ve made a lot of progress in the first six months – but we’re just getting started. We had always hoped that we would be able to lay the groundwork in the first 100 days to ramp up our efforts in the second – and now we’re doing exactly that. In June, the President and Vice President announced 10 major RecoveryAct projects that are starting across the country over the summer including: •Rehabilitation and improvement projects at 98 airports and over 1,500 highway locations. •Improvements to 90 veterans medical centers in 38 states. •Construction of 200 new waste and water systems in rural communities. •2,300 construction and rehabilitation projects at 359 military facilities. Billions of dollars of grant programs established in the first phase of the Recovery Act are now starting to award funds to businesses, local governments and community organizations. EPA is awarding nearly $300 million in contracts to communities in 12 states throughout the country for everything from the cleanup of abandoned industrial sites, to the securing of clean drinking water reservoirs.

Nearly a billion dollars in Community Development Block Grants are heading out the door to local government and community organizations over the summer. $2.4 billion in grants to jumpstart the manufacture of electric vehicle batteries and other next generation energy-efficient cars were awarded this month. At the end of the summer, we will start awarding over $15 billion in grant funds for three visionary Recovery Act programs – broadband, high speed rail and smart grid – that will not just create jobs now, but shape America’s economy in the 21st century. And while we made steady progress putting funds to work in the first half of this calendar year, we plan to put approximately double that amount to work in the second half of the year.

hNo Turning Back Because of our efforts, the economy has stabilized and we are beginning to see some early signs of progress – but we are not out of the woods yet. Unfortunately, the same critics who wanted to do nothing as we teetered on the edge of a depression or a great recession now want to undo the work we have done. But the risk of reversing course now remains high and the greatest mistake we could make is to let up now. We’re still far too close to the economic precipice we faced just a short time ago. Our economic challenges are the result of years of deferred problems and it’s not going to be enough to just begin to rescue the economy –we need to rebuild it better. The road to recovery is long, but with every Recovery dollar we spend and project we start, we are one step closer to getting there. &

OUR ECONOMIC RECOVERY PLAN OERP

Do Business with BBA Member Businesses & Advertisers

14 T August 2009 T Black Business News T www.bbala.org

Applications for $1.1 Billion in Recovery Funds Submited Federally Designated for Intercity and High-Speed Rail

overnor Arnold Schwarzenegger today submitted 42 applications for$1.1 billion in American Recovery and Reinvestment Act (Recovery Act) funding available through the federal High-Speed and Intercity Passenger Rail Program, under which states compete for $8 billion in funding designated for intercity and high speed rail. Federal applications for Track 1, 3 and 4 require focus on improvements to existing passenger rail services for job creation purposes. In adherence to these federal requirements, California’s Track 1, 3 and 4 applications focus on improvements to existing passenger rail lines, including the integration of highspeed rail with intercity passenger service. The federal government’s Track 2

application focuses on high-speed rail and is due on October 2, 2009. “By approving a nearly $10 billion bond in November, voters spoke loud and clear that rail, including intercity, commuter and high-speed, must play a greater role in addressing the transportation and environmental challenges we face in the 21st century,” said Governor Arnold Schwarzenegger. “On top of stimulating the California economy, federal investment in California’s rail systems will help lay a sustainable foundation for economic growth, help us meet our environmental goals and improve quality of life here in California.” California is home to the 2nd, 3rd and 6th busiest intercity passenger rail

corridors in the nation. With nearly 5.6 million annual passengers, California has more than 20 percent of all Amtrak riders and represents half of the total ridership on Amtrak’s state-supported intrastate and intercity services. Since 1990, the state has invested more than $1.3 billion in infrastructure and equipment and more than $900 million in operating support to intercity passenger rail. In Recovery Act funding federal designated for highways and local streets, California currently leads the nation with $1.9 billion in Recovery Act funding obligated to 526 projects. Of these, 135 projects worth $1.1 billion in Recovery funds have been awarded contracts tobegin work and it is expected that an additional 112 projects, including $722 million in federal stimulus funds, are expected to go to contract by the end of October. For a complete list of the 42 applications submitted please visit: http://www. dot.ca.gov/Recovery/documents/HighSpeedIntercityPassengerRailProgram. pdf. &

15 T August 2009 T Black Business News T www.bbala.org

Credit Card Rules are Changing By Connie Prater for CreditCards.com

he first phase of the new Credit Card Accountability, Responsibility and Disclosure (CARD) Act went into effect on Thursday, August 20th. Credit card users are now armed with a new right to say no to -- that is, opt out of -- interest-rate increases and other changes in their credit card agreements. Under the first phase of the new law, consumers must be given: •At least 45 days’ warning of changes to their credit card accounts. Currently, only 15 days’ notice is required unless customers default on their accounts, in which case interest-rate increases can go into effect immediately. •At least 21 days to pay their monthly credit card statements without threat of late fees. •The right to opt out of interest-rate and fee increases and the right to cancel their accounts while paying off the balances under the old, lower interest rates. Currently, issuers offer opt-out options at their discretion, and it is not a consumer right. Other aspects of the new credit card law -- such as restrictions on interestrate increases, bans on issuing and marketing credit cards to young adults, and regulations on gift cards -- take effect in February 2010 and later. In addition, starting July 1, 2010, a host of requirements for disclosing fees, rates and terms on monthly statements, credit card applications and mailers will become law as a result of new rules drafted and approved by the Federal Reserve Board and other banking regulators. Taken as a whole, the Credit CARD Act and upcoming federal rules mark a dramatic shift in how credit cards will be marketed, issued and billed. Card issuers will have to “dismantle their existing

models and then rebuild them -- just as a carmaker might have to completely redesign its models,” Nessa Feddis, a vice president and senior counsel for the American Bankers Association, said during a media briefing. She acknowledged that credit card issuers have cut credit limits, closed accounts and increased interest rates in anticipation of the changes. The reason for these and other card maneuvers seen in recent months: Making such changes won’t be so easy with the new restrictions. As a result, card issuers “have to basically frontload that risk, and risk equals cost,” Feddis said. More details on the new opt-out rules Other provisions that got into effect Thursday include: •Credit card issuers must inform card users of the right to cancel when they mail a 45-day notice of a change in terms. The notice must explain the steps cardholders can take to exercise their right to cancel, including a toll-free number to call and a deadline for opting out. •Opting out means a consumer can no longer make purchases with the card. Instead, the old, lower interest rate or fee will be applied while the consumer repays

the balance. •There are exceptions to the optout rule. Consumers cannot opt out of increases in minimum-payment amounts. •Another major exception is variablerate credit cards, whose rates are tied to an index -- almost always the prime rate. When the Federal Reserve raises interest rates, it raises the prime rate. Those increases are passed on to variable-rate cardholders; no opt-out is allowed. In recent months, card issuers have reacted by switching consumers from fixedrate cards to variable-rate cards. •Consumers who are more than 60 days late making payments do not have the right to reject rate increases. •Reductions in credit limits cannot be rejected by any cardholders. •Issuers cannot demand payment in full of outstanding balances or charge monthly maintenance fees on closed accounts if consumers reject changes in terms. More costly credit Other potential impacts of the new law: “Credit cards will be less available to consumers and to small businesses. Their limits will be lower, and they will pay more,” Feddis said. “This 45day advance notice means you can’t change the rate on somebody even though they’ve become more risky,” she added, noting the exceptions included in the law, namely, when the account has a variable rate, if a promotional or teaser rate is used or when the cardholder completes a workout debtrepayment plan. Many of the major credit card issuers contacted last week indicated they will meet the deadline; many already comply with the notice requirements. “Wells Fargo already follows many of the practices required by the new legislation -- including the 45 days’ advance notice, 21 days to pay monthly bills and disclosure of the consumers’ right to opt out of certain changes in terms,” Lisa Westermann, the assistant vice president for public relations at Wells Fargo, wrote in an e-mailed response.

16 T August 2009 T Black Business News T www.bbala.org

see Credit Card Act on page 18

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representatives also indicated they were on track to comply with the law.

from page 16

“We began informing affected card members on their July billing statements that we are extending the time period for paying bills,” according to AmEx spokeswoman Molly Faust. “They now have at least 25 days to pay their bill. In addition, we will inform card members at least 45 days in advance of a change in terms and will explain their right to opt out of that change as applicable.” Citibank spokesman Sam Wang wrote in an e-mail, “Citi will comply fully with the new credit card law, and we are committed to having all of the new rules in place by the deadlines.” Bank of America and Capital One

A struggle for smaller banks, credit unions Smaller community banks and credit unions that have limited resources to make the technical billing changes and disclosures required by the law were less confident about their ability to make the August 20 deadline. “They are scrambling just like everybody is scrambling. It’s not a lot of time to prepare,” said Linda Echard, the president and CEO of ICBA Bancard, an affiliate of Independent Community Bankers of America, a trade group of small community banks. According to Echard, the 600 credit-card-issuing banks in her association are spending several million dollars reprinting and re-

vising credit card brochures and applications to reflect the new disclosures. More on the new credit card law “They never engaged in these ‘change the terms every 45 seconds’ that everybody else has done. Yet they now have to change all their collateral materials. They will bear all the burden even though they’ve always operated as honest brokers,” she said. Credit unions, too, have complained about the burden of the requirement to provide 21 days to pay monthly credit card bills. Because many credit unions send monthly statements that include all types of customer accounts -- not just credit cards -- credit unions are having difficulty complying with the law. More than 300 comments filed on the Fed’s Web site about the first phase

18 T A ugust 2009 T Black Business News T www.bbala.org

see Credit Card Act on page 37

20 T August 2009 T Black Business News T www.bbala.org

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21 T August 2009 T Black Business News T www.bbala.org

Tax Planning for Home Businesses By Barbara Weltman

ore than half of all U.S. businesses (53%) are run from home. If you are one of these home business owners, you may wait until tax time to think about filing your return and ways to save on your taxes. However, by then it’s often too late to take steps that can dramatically and legally slash your tax bill. Tax planning year-round helps benefit your home business come tax time. To that end, here are some things you can do now to obtain a better tax outcome when you file your return.

Keep Track of Expenses The tax law requires you to keep good books and records for your business, which means recording your income and expenses in an accounting system. Just because you wear slippers and pajamas to your office doesn’t mean you can be casual about this responsibility. Keeping complete and accurate records will help you maximize your deductions for expenses such as travel and entertainment, which will help to minimize your tax bill. Recording your income and expenses is easy to do (no knowledge of accounting is required) with software or online solutions— some of which are free. QuickBooks is the leading small business software; there’s a free online version called SimpleStart Free. Microsoft also offers accounting software called Office Accounting Professional; there’s also a free online version, Office Accounting Express. In addition to recording your income and expenses, also retain receipts, invoices, and other documentation of expenses you incur. Exception: You don’t need receipts for travel expenses (other than hotel/motel bills) that are less than $75, so you don’t need a receipt from for the taxi fare.

The home office deduction is a single write-off comprised of a portion of the expenses of your home that’s used for business. This write-off for the business portion of your rent if you have a lease (or real estate taxes, mortgage interest, and depreciation if you own your home), utilities, insurance, maintenance and other costs can add up to an important deduction for a homebased business owner. But you can only claim this deduction if you use a portion of your home regularly and exclusively for business. Unless you set aside a work space, no deduction will be allowed even though you work from home. Tips: •You don’t need a full room or even a physical partition for the work space—but delineate it in some way and furnish it for business (e.g., with a desk, computer, and file cabinet). •You don’t need an “office” in the traditional sense. If you’re an artist, attic space used as a studio will do. •You can’t use space that is also used by you or your family for other purposes—no den as office by day and family TV room by night. Special rules apply to daycare providers who, by the nature of their business, can’t meet the regular and ex-

clusive use test, to allow a home office deduction for them. Other requirements for claiming the home office deduction can be found in IRS Publication 587, Business Use of Your Home.

Track Your Car Mileage Once you establish a home office, then all travel from your home and back again to any business destination—a customer or client’s location, the bank, or the office supply store—becomes a deductible business excursion. You can then deduct a portion of your personal car expenses for business—either by tracking your actual expenses for the business travel or by relying an IRS-set mileage rate (55¢ per mile for driving in 2009). However, in order to write off car expenses under either method, you’ll need to keep a record (written or electronic) of each trip: The mileage for each trip; The date; The destination and purpose of the trip. You can find a sample business mileage log in IRS Publication 463, Travel, Entertainment, Gifts, and Car Expenses. & Source: http://www.startupnation.com/articles/9481/1/tax-planning-home-business. htm

Understand Home Office Deduction Rules

23 T August 2009 T Black Business News T www.bbala.org

Technology:

Take a Look! by LaSandra Stratton Check out what these firms and organizations have to offer for your personal interests, personal wealth building, and business expansion opportunities.

www.marketingprofs.com Join the more than 15,000 marketers who will attend Digital Marketing World Fall 2009 - September 16th. This virtual conference is absolutely free - there’s absolutely no cost to you. You can attend from the comfort of your home or office. All you have to do is log-in with the email and password you give at registration and let the learning begin. Visit the Marketing Profs website, select this conference from the list of Upcoming Conferences, then register.

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www.creditcards.com CreditCards.com continuously monitors the credit card market in order to bring consumers the best credit cards, reviews and credit card o ff e r s available online. Credit Card offers are displayed side by side so you can easily compare key factors such as interest rates, annual fees as well as other key features. Once you have found the card that is

for everything epicuriously African. Yeti Ezeanii serves as chef and hostess on the Web site. She was inspired to create the site to share her love of African food to a population that had little, if any, exposure to the cuisine. AfroFoodTv may be viewed on the Dish Network Ch 751. & Submitted by LaSandra Stratton BBA member, Chair of the BBA International Trade Committee.

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To see if you qualify, stop by your local branch, call 1-888-818-6060, or visit unionbank.com/diversebizloans Crenshaw Branch: Karen Smith, Branch Manager, 3501 W. Jefferson Boulevard, (323) 737-3483 Ladera Heights Branch: Renee Givhan, Branch Manager, 6719 La Tijera Boulevard, (310) 342-1779 This is not a commitment to lend. Financing subject to credit and any applicable collateral approval. Other restrictions may apply. Eligible borrowers must meet all criteria for the Business Diversity Lending program. Financing available to businesses located in California, Oregon or Washington.Terms and conditions subject to change. ©2008 Union Bank of California, N.A. Member FDIC

24 T August 2009 T Black Business News T www.bbala.org

Tribute to a Giant - John Holoman

any remember John Holoman as an exemplary businessman, a true visionary and a man of wit and compassion. For Los Angeles’ African American business community, the loss of John Holoman, who passed away on July 24, 2009, leaves a void that many believe will never be filled. “On behalf of the black business community, we were saddened to hear of the passing of John,” said Earl “Skip” Cooper, II, president of the Black Business Association. “John was not only a lifelong member of the Black Business Association, but a very personal friend of mine,” said Cooper, who had known John for 35 years and said he talked to Holoman by telephone nearly every week. “John was someone I could get an unbiased opinion on regarding issues affecting the black business community. He provided me with a great deal of insight about business. He was also a true entrepreneur as well as a corporate executive who was able to excel in both at the same time.” Cooper said that Holoman easily mixed with corporate executives as well as the average man. “He could connect with people at all levels,” recalls Cooper. “John could have lunch at the Jonathan Club and then later that evening come down to the community and have dinner at Jerry’s Flying Foxx.” Cooper also recalls that Holoman also was deeply connected with his family. “He was very close to his wife Lucille and his kids, Eric and Stephanie. He had a very strong support base in his wife Lucille,” Cooper recalls. “Lucille helped him run the Herald Dispatch newspaper as did his daughter Stephanie. Eric,

who was then in his early 20s, ran Church’s Fried Chicken.” “He also had a deep love for his family and grand kids as well as his great-great grandson. He was extremely proud of all his grandkids,” said Cooper. Cooper said he was impressed that although Holoman was a long time Republican, he changed his party affiliation. “John became a Democrat in 2008 just so that he could vote for Barack Obama in the primary and in the general election.” Words cannot express my deep and profound sorrow in his passing,” said Cooper. Liz Chow, owner of Fidelity Title, said she met John at the Consolidated Board of Realtist, the oldest African American real estate board in the United States. She said that Holoman was a real estate trail blazer who broke the color line. Chow said Holoman became an invaluable friend who generously helped her in business. “When Home Savings made presentations, they would include a title company and John always made sure we were part of that process,” she recalled. “If he sponsored a first time buyer seminar, he would invite me or a representative from my company to speak.” Chow remembers that Holoman was deep believer in mentoring, as well. “When John worked for Home Savings, he hired African American mortgage representatives. He made sure that they were dressed properly and articulated well so that they could compete with any other ethnic groups out there. Most of the people he trained went on to own their own companies and create corporations,” recalls Chow.

Chow chuckles remembering the energetic entrepreneur.“ John was very bright, smart, and articulate. He was also very well read. But sometimes he came off as a little brash. If he thought you were a fool he would dismiss you,” she chuckled. Basil North, an attorney in private practice in Kansas City, Missouri who had known Holoman for over 50 years, said that he and John shared a special kind of affection for each other. “John had a way with people,” recalls North. “He was quick witted and a very shrewd businessman. He was able to see a lot farther than most people did. He always had vision about what course of action he should take in business. A good example of that is when he saw the Internet emerging as a primary source of news and information, he sold his newspapers at a profit before the Internet boon.” Zeke Patton, another friend who met Holoman at an Urban League dinner in the 80s, recalls, “John was a no nonsense businessman who was always on the lookout for opportunities for African Americans. He was a very honest and blunt person, I would say brutally honest, but he was always a guy you could depend on to give you the truth. John has left a big vacuum in the business community as it relates to contracts and business opportunities.” Stephanie Holoman, who worked side by side with Holoman at the Herald Dispatch newspapers for 26 years, recalls, “My father felt there was enough information out there regarding killings and shootings in other newspapers, so he

26 T August 2009 T Black Business News T www.bbala.org

see Holoman on page 41

27 T August 2009 T Black Business News T www.bbala.org

International:

Congressman Bobby Rush Leads Delegation to Africa allAfrica.com

.S. Representative Bobby L. Rush (D-IL) led a congressional delegation to Africa on a fournation tour aimed at increasing trade, commerce and investment in Africa and strengthening U.S.- Africa business relationships with American exporters and minority- and women-owned enterprises. Rush, chairman of the Subcommittee on Commerce, Trade and Consumer Protection of Energy and Commerce and co-chairman of the Africa Partnership for Economic Growth Caucus (APGc), began his trip on Aug. 15 in Liberia. The seven-member congressional delegation includes U.S. Representatives G.K. Butterfield (D-NC), Steve Cohen (D-TN), William Lacy Clay (D-MO), Gwen Moore (D-WI), and Sheila Jackson-Lee (D-TX). The group return to the United States on August 24. In addition to Liberia, they will visit Ghana, Angola and South Africa. The Illinois congressman plans in-

clude meeting with Liberian President Ellen Johnson Sirleaf, Ghana President John Evans Atta Mills, Angola President Jose Eduardo dos Santos and South African President Jacob Zuma, in addition to ministers and dignitaries in areas of economics, trade, telecommunications, foreign policy, education, arts and culture. The world is interconnected and all of our people are suffering from the global financial meltdown,” Rush said. “With Africa in mind, solutions to these problems are not limited to foreign assistance and economic bail outs. While those concepts are effective in the short-term, they do nothing for the long haul. I firmly believe Africa holds the key to its own development. As Africa is calling for more trade and investment, we are going there to identify opportunities to encourage trade between our regions. He said his mission is to create a platform for U.S. businesses, especially for

African Grantmakers Network (AGN) Launched

arah Mukasa, Director of Programmes at the African Women’s Development Fund announced, at a meeting organized to establish a network of African grantmakers, that “The African Grantmakers Network will change the face of global philanthropy. And it will happen right here in Africa”. After years of careful planning, preparations, consultations and meetings, the AGN was launched in Accra at a meeting convened by the African Women’s Development Fund, TrustAfrica and

the Kenya Community Development Foundation—and attended by key African grantmakers. “The establishment of an African Grantmakers Network is well overdue”, was the opening line of a discussion document circulated at the meeting. “This has been a long overdue dialogue that has now finally taken shape. I want to express my wish that this network will grow and become sustainable in order to develop a strong, collective voice for Africa and her needs in terms

small size, women- and minority-owned enterprises in an effort to find creative solutions to the U.S. employment crisis. Only one percent (239,000) of all small and medium sized enterprises (SME) are exporters, although they represent 97 percent of U.S. export companies. However, these SMEs account for less than one-third of U.S. exports by value. “SME trade with Africa is almost nonexistent,” Rush said. “On both sides of the Atlantic, companies are not aware of the business opportunities available to them. Business expansion leads to increased earning power and job creation.” Rush added, “Africa plays a significant role in meeting the world’s energy needs, supplying new technologies and providing vital mineral resources. For example, oil and gas from the Gulf of Guinea region in West Africa accounts for over 19.5 percent of U.S. oil imports in 2008, a greater share than oil from Persian Gulf countries. The proportion of U.S. oil imports from Africa is expected to grow to 25 percent over the next decade. Africa’s natural resources, if carefully managed, will contribute to global prosperity and expand economic growth. Coming after President Barack see Cong. Rush on page 30

of development—from Africa, for Africa”, said Christine Delport, Chief Operating Officer at the Greater Rustenburg Community Foundation. And TrustAfrica’s Executive Director, Akwasi Aidoo, emphasized that the AGN’s main function will be to “change the narrative of Africa as helpless and hapless, tilt the balance of stories, and increase the visibility and knowledge of Africa”. He went on to say, “this is a network with a solid net across our continent and lots of good work for its people”. The AGN will also: •Serve as a platform for peer learning and good practice to enhance good

28 T August 2009 T Black Business News T www.bbala.org

U.S.-African Trade Profile

“A FEW NOTES ON AFRICA”

8th AGOA Forum, August 2009

he eighth AGOA Forum was held in Nairobi, Kenya, August 4-6, 2009 using the theme “Realizing the Full Potential of AGOA through Expansion of Trade and Investment.” The Forum focused on a number of crucial trade and economic issues, including but not limited to how countries can take full advantage of the range of export opportunities that AGOA offers.

Background information on the trade relationship between the USA and Africa is available on the AGOA website (www.agoa.gov). U.S.-African Trade Profile provides the following bits of data, however, the full report may be found on the AGOA website.

U.S.-AFRICAN TRADE PROFILE U.S. total trade with Sub-Saharan Africa (exports plus imports) increased 28.0 % in 2008, as both exports and imports grew. U.S. exports increased by 29.2 % to $18.5 billion, driven by growth in several sectors including: machinery, vehicles and parts, wheat, non-crude oil, aircraft, and electrical machinery (including telecommunications equipment). U.S. imports in 2008 increased by 27.8 % to $86.1 billion. As has been the case throughout 2008, this growth continues to be due to a significant increase of 31.9 percent in crude oil imports (accounting for 79.5 %t of total imports from Sub-Saharan Africa). • Of the top five African destinations for U.S. products, exports to South Africa rose by 17.6 %, to Nigeria by 47.7 %, to Angola by 62.6 %, to Benin by 192.4 % (due to a large increase in the export of non-crude oil and vehicles and parts), and to Ghana by 46.1 %. • U.S. imports from the oil produc-

Trade Conference to be Held in South Africa Gathers Strategies, Inc. has been selected to participate in an Invite Only trade and investment conference in Johannesburg, South Africa – The Africa Dialogue 2009 – taking place in late October. This important conference will include discussions with the new government leadership in South Africa, the leadership of all nine provinces, and leading companies and business and trade organizations. Gathers Strategies, Inc. wants to use this trip as an opportunity to advance the interests of California companies seeking to identify and develop opportunities in South Africa. For further information about this opportunity and to discuss your project need, and costs associated with this research and development trip, please contact Dwayne Gathers at 213-291-6199 (direct) or dgathers@ gathersstrategies.com.

500 Million Euro Fund in Development Terra Nostra Capital Partners, an investment group, plans to raise 200 million euros ($287.9 million) in the next 18 months for investments in sub-Saharan Africa. The fund, which has a target size of 500 million euros, will invest in energy, transport and mining in eight African countries, including Mozambique, Kenya and Cameroon. Visit http://terranostra-capital.com.

Taste of Africa “Taste of Africa” now airs on Sundays at 6pm ing countries grew in every case with imports from Nigeria growing by 16.2 %, from Angola by 51.2 %, from the Republic of Congo by 65.2 %, from Equatorial Guinea by 89.5 %, from Chad by 55.4 %, and from Gabon by 4.4 %. U.S. imports from South Africa grew by 9.9 %. Declines in the import of platinum and diamonds from South Africa were more than balanced by strong growth in the import of ferroalloys and extremely high growth of over 350 % in the import of passenger vehicles (caused by a surge in

EST & various times through out the week on the Dish Network Ch 751. Yeti Ezeanii, the queen of African cuisine who was raised in Nigeria, now lives in Atlanta, Georgia. She juggles her daytime pharmacy business while kindling her passion for cooking all foods African. Yeti is determined to introduce the everyday American woman to the splendor and simplicity of African cuisine through her online tv shows.

Burundi & Rwanda Wait to be Linked to Seacom Cable The Seacom Cable was launched simultaneously in Uganda, Kenya, Tanzania, Mozambique and South Africa. The final link to Kigali, Burundi and Addis Ababa is next. This will lead to a considerable reduction in Internet consumer prices. Connection costs are expected to drop by about 90%. Altech will run a ring of fibre optics across the five East African Community nations. The current micro-wave connection is expected to remain in place as back-up. The Africa Digital Networks in Dar es Salaam, Tanzania, will open soon.

“Don’t Sell Land” Warns President President Jakaya Kikwete has cautioned residents of southern regions of Lindi and Mtwara from selling land to foreigners. The President said after the completion of the southern road, many investors would flock to the two regions. “There are other places in this country where locals have sold all their land and they are now living like servants and agents of activities done by other people to whom they sold the land.” SEE YOU ON THE CONTINENT. &

imports from South Africa as new car lines produced in South Africa came on the market at the end of 2007). • In 2008, U.S. imports under the African Growth and Opportunity Act (AGOA) were $66.3 billion, 29.8 % more than in 2007. This figure includes duty-free imports from AGOAeligible countries under both the U.S. Generalized System of Preferences (GSP) and the expanded AGOA GSP, plus textile and apparel items imported duty-free and quota-free under AGOA provisions. &

29 T August 2009 T Black Business News T www.bbala.org

Cong. Rush Delegation from page 28

Obama’s visit to Ghana in early July and Secretary of State Hillary Clinton’s seven-nation tour this month, Rush’s delegation represents various influential committees including Energy and Commerce, Transportation and Infrastructure, Financial Services, Foreign Affairs, Science and Technology, Ways and Means, Homeland Security and Oversight and Government Reform. The trip will be monitored by the U.S. State Department. “Africa’s growing importance is reflected in the intensifying efforts of China, Russia, India, Iran and other countries to gain access to African resources and advance their ties to the region. For these and many other reasons, I will use my subcommittee jurisdiction to improve U.S. business competitiveness in this untapped, important market. Having a more ambitious trade policy toward Africa will be mutually beneficial to both continents. Africa and its Diaspora is an asset in this global economy. It is time to have a more comprehensive, multi-faceted regional policy toward the African continent. &

Leon H. Sullivan Summit Awards Celebration August 27, 2009

The gala event formally announces the date and location for the upcoming Leon H. Sullivan Summit and celebrates and honors leaders in the global community who have made a significant difference in our world - particularly as it relates to uplifting the lives of the poor. Our Invited Honorees Include: Winston Duncan, Mia Farrow, Dr. Henry Louis Gates, Herbie Hancock, Dr. Mo Ibrahim, Quincy Jones, Tyler Perry

John F. Kennedy Center for the Performing Arts - Eisenhower Theater, Washington, DC Tickets are: VIP $125 and $100 To purchase tickets or for more information contact The Summit Office • 202-736-2239 • www.thesullivansummit.org

30 T August 2009 T Black Business News T www.bbala.org

U.S. Peace Corps Seeks More Volunteers and Prepares for big Celebration Peace Corp to Celebrate 50 Years of Service

n 2011 Peace Corps will celebrate its 50th anniversary. To commemorate these 50 years of service and to honor the individuals who have dedicated themselves to promoting the organization’s mission of world peace and friendship, the Peace Corps is helping organize events and exhibitions in cities across the U.S. and in each country where Peace Corps currently serves.

Africa Grantmakers Network Launched from page 28

standards and practices; •Ensure an amplification of local voices in development discourse and African perspectives in global platforms; •Reinforce the tradition of African philanthropy; •Advocate for long-term and sustainable mechanisms and resources, including investments and endowments for philanthropic institutions in Africa Serve as a reference point for Africans in the Diaspora and a point to affirm the identity of African philanthropic institutions; •Cultivate good relations with other civil society formations in Africa and increase networking for effective advocacy around the aid agenda and the legal environment, including the tax regime; and •Conduct pertinent research, capacity building and advocacy roles. A Steering Committee was elected

Please continue reading to learn how you can help celebrate Peace Corps’ rich history and dedicated Volunteers.

Grad School or and Peace Corps…Why Not do Both? The Peace Corps Master’s International program combines graduate study with Peace Corps service overseas. Prospective students apply separately to the Peace Corps and the graduate comprising: •Bisi Adeleye FAYEMI: Chair (African Women’s Development Fund, Ghana) •Janet MAWIYOO: Co-Chair (Kenya Community Development Foundation, Kenya) •Akwasi AIDOO: (TrustAfrica, Senegal) •Christine DELPORT: (Greater Rustenburg Community Foundation, South Africa) •Neville GABRIEL: (Southern Africa Trust, South Africa) •Ezra MBOGORI: (Akiba Uhaki Foundation, East Africa) •John ULANGA: (Foundation for Civil Society, Tanzania) After the launch, Neville Gabriel, Executive Director of Southern Africa Trust, stated: “The creation of the African Grantmakers Network is a historic moment in the development of African institutions that truly belong to the continent. It’s been created by grantmaking organizations that are rooted in Africa, out of their own felt need for such

program(s) of their choice. Typically, students complete one year of graduate school and then serve 27 months in the Peace Corps, after which they return to the university to complete any remaining degree requirements. More than 60 universities currently partner with the program, 11 of which offer degrees in agriculture. Since 1987, the Master’s International program has offered participants a unique opportunity to combine graduate study with significant international service, connecting theory and practice and contributing to the Peace Corps' first goal: to help the people of interested countries in meeting their need for trained men and women. The Peace Corps is interested in making this program more widely known among the agriculture and higher education communities. For more information, please visit www.peacecorps.gov/masters, or contact Eric Goldman, Manager, Master’s International, at egoldman@ peacecorps.gov or 202-692-1896. &

a network, and through their own commitment to create such a group. The network will therefore be a key platform to improve the way in which funding towards effective development results is channeled to African organizations”. And Bisi Adeleye Fayemi, Executive Director of the African Women’s Development Fund, summarized the launch as follows: “The story of Africa’s development has been told many times over with great reference to the disasters but little if any to the contributions of Africans who work to create change, to shape a new historical narrative of hope, dignity, peace and prosperity to all of the continent’s citizens. The AGN is born of these efforts. It seeks to build on the rich tradition of philanthropic giving in Africa”. Contact the Secretariat at: The AGN Secretariat, Lot 87, Sacré Coeur 3, Pyrotechnie x VDN, BP 45435, DakarFann, Sénégal; Tel: 221-33-869-4686, Fax: 221-33-824-1567, E-mail: info@ trustafrica.org, Website: www.trustafrica.org. &

31 T August 2009 T Black Business News T www.bbala.org

What is â&#x20AC;&#x153;Pass It On!â&#x20AC;? ???

n a few weeks Africare will launch an exciting new campaign to connect you to people overcoming major challenges impacting the African continent-- issues like unsafe drinking water, food insecurity, and the growing

number of children orphaned by AIDS. Our new â&#x20AC;&#x153;Pass It On!â&#x20AC;? campaign will carry these messages around the world through a series of powerful testimonies and unique stories told directly by the individuals who see, work with, or benefit from Africareâ&#x20AC;&#x2122;s assistance on the ground. The stories come from more than 20 African nations, covering a variety of key issues. They all carry positive messages of growth and empowerment on the African continent! Beginning September 1st, Africare will introduce you to a new storyâ&#x20AC;&#x201D; once

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a month for 16 monthsâ&#x20AC;&#x201D; from a child, grandmother or Africare staff member who will â&#x20AC;&#x153;have something to tell youâ&#x20AC;? about the important work Africare is implementing on the ground. Each will be packaged in a format that is ready to â&#x20AC;&#x153;pass onâ&#x20AC;? to a friend or someone you know through video, social network, and even your phone! And if you live in Washington, DC, youâ&#x20AC;&#x2122;ll see our stories on buses and in Metro stations across the city. Sign-up to receive the messages and support the â&#x20AC;&#x153;Pass It On!â&#x20AC;? campaign using this special link - www.africare.org/ news/enews_signup.php. Learn more about Africareâ&#x20AC;&#x2122;s current projects, long history and esteemed leaders at their website - www.africare. org. &

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THE WHITE HOUSE Office of the Press Secretary August 26, 2009

DEATH OF SENATOR TED KENNEDY -------

BY THE PRESIDENT OF THE UNITED STATES A PROCLAMATION Senator Edward M. Kennedy was not only one of the greatest senators of our time, but one of the most accomplished Americans ever to serve our democracy. Over the past half-century, nearly every major piece of legislation that has advanced the civil rights, health, and economic well-being of the American people bore his name and resulted from his efforts. With his passing, an important chapter in our American story has come to an end. As a mark of respect for the memory of Senator Edward M. Kennedy, I hereby order, by the authority vested in me by the Constitution and laws of the United States of America, that the flag of the United States shall be flown at half-staff at the White House and upon all public buildings and grounds, at all military posts and naval stations, and on all naval vessels of the Federal Government in the District of Columbia and throughout the United States and its Territories and possessions until sunset on August 30, 2009. I also direct that the flag of the United States shall be flown at half-staff until sunset on the day of his interment. I further direct that the flag shall be flown at half-staff for the same periods at all United States embassies, legations, consular offices, and other facilities abroad, including all military facilities and naval vessels and stations. IN WITNESS WHEREOF, I have hereunto set my hand this twenty-sixth day of August, in the year of our Lord two thousand nine, and of the Independence of the United States of America the two hundred and thirty-fourth. BARACK OBAMA

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Remembering Senator Ted M. Kennedy 1932-2009

35 T August 2009 T Black Business News T www.bbala.org

Credit Card Act from page 18

of the new law were from credit union representatives who said the Aug. 20 deadline was unreasonable. The Consumer Federation of America and Sen. Christopher Dodd, chairman of the Senate Banking Committee, have asked the Fed to extend the deadline to give credit unions more time to revamp their operations. The head of the National Credit Union Administration, which regulates credit unions, sent a letter to Fed Chairman Ben Bernanke Aug. 6 indicating that some credit unions may not be in compliance. Rate boosts under the wire American Express was the only major credit card issuer that did not previously offer customers opt-out options when rates were increased. Come August 20, that will change. AmEx is slipping some interest-rate increases in just in time to beat the arrival of mandatory consumer optout rights. CreditCards.com was contacted by several readers complaining that they had received notices of AmEx rate increases that take effect Oct. 1, 2009, but were not offered a chance to opt out. The readers questioned whether this was legal given the effective date of the Credit CARD Act. According to the Fed, issuers that provide notices of interest-rate increases and other changes before Aug. 20 do not have to offer the right to opt out, regardless of when the rate increases actually take effect. Any notices provided Aug. 20 or later must include information about opting out. AmEx spokeswoman Faust responded: “Like all companies, large and small, our pricing has to be responsive to the business and economic environment. As a result, we have found it necessary to increase rates and fees on some of our products.” Citi, which had offered customers the option to opt out of interest-rate increases and continue using their credit cards, is revising its policy to reflect

Rainbow PUSH LA Trade Bureau Re-Opens We are excited to inform you about the reestablishment of the Rainbow PUSH LA Trade Bureau with Mr. Mishael Israel as Executive Director of Rainbow Push/Citizenship Education Fund Los Angeles. Mr. Israel’s responsibilities at Rainbow Push LA relate directly to the implementation of economic, social, and education initiatives, as well as growing the office to become a strong voice for our constituents and Trade Bureau Members. As an entrepreneur, Mr. Israel remains steadfast in spearheading supplier diversity, business education, and building solid relationships with trading partners. Rainbow Push LA is implementing two important projects for our Trade Bureau Members and we need your updated contact information. •An inaugural Trade Bureau meeting in mid-September •Connecting our Trade Bureau members with our Trading Partners for the purpose of doing business Rainbow Push LA is committed to connecting our members to new opportunities that will not only bring us through the recession, but beyond it. Our innovative ideas are expressed through powerful programmatic pieces that are designed with everyone in mind. Please use the information below to contact the Los Angeles office to request a contact information form that may be completed then faxed or e-mailed to us. The information will reconnect us with you and will aid Mr. Israel in his upcoming meetings with corporate trading partners. Regina Black, Office Manager Rainbow PUSH/CEF Los Angeles New Address: 1313 W. 8th Street, Suite 232 Los Angeles, CA 90017 New Office Number: 213.483.3500 New Fax Number: 213.483.3577 Email: rblack@rainbowpush.org Website: www.rainbowpushla.org the new law, according to Citi spokesman Wang: “If we make any changes in terms to our customers’ accounts, we will notify them and explain clearly how they can reject those changes if they wish.” &

37 T August 2009 T Black Business News T www.bbala.org

38 T August 2009 T Black Business News T www.bbala.org

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39 T August 2009 T Black Business News T www.bbala.org

Procurement Trade Mission to Washington, D.C.

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Fear Failure not Health Care Reform from page 10

That battle is now joined. Will Republicans, the right and the lobbies succeed in terrorizing Americans into fearing reform of the malpractice we call

health insurance? Or will most Americans see through the lies and distortions and demand that the Congress act? We will end up getting the health system we deserve. And if reform is blocked once more, more and more of us will find the system dangerous to our health. & For more information and action opportunities visit www.rainbowpush.org.

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Comedy Night Join the Fun! Share the Laughs!

Holoman Tribute from page 26

wanted to make sure that if you read the Herald Dispatch you read positive, thought-provoking newsabout the African American community.” Stephanie also said that her father never tired of sharing his wisdom with the community. “My father was a teacher. He taught life lessons by example and he wanted everybody to have the thirst for knowledge like he did. He was a voracious reader who continuously read about sports, history, politics and black affairs. Any book you put in front of him he would read and then take that knowledge and give it to anybody who was willing to accept it.” Stephanie recalls that she will always treasure the time she spent working with her father at the newspaper. “We spent everyday together and weekends and holidays, too. Lots of people in the community would come to the Herald Dispatch and everybody had an opinion. We talked about world events and family stuff. On Fridays, you could always get a plate of food and come by and see the grandkids. It was truly a family business.” And Stephanie recalls that her father was also a shrewd businessman who constantly battled to ensure his paper received a fair rate in advertising dollars. “If the Los Angeles Times was getting a certain amount of advertising dollars, he would insist that the Herald Dispatch get the same amount,” recalls Stephanie. He taught us that there is nobody better than you. You are the best person in the world. He said don’t let anybody tell you any different.” And Holoman not only talked about supporting the community, he often placed his dollars in another black man’s hand.“My father got his

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see Holoman Tribute page 51

THE WHITE HOUSE Office of the Press Secretary August 21, 2009

RAMADAN MESSAGE, 2009 -------

REMARKS BY THE PRESIDENT OF THE UNITED STATES OF AMERICA On behalf of the American people – including Muslim communities in all fifty states – I want to extend best wishes to Muslims in America and around the world. Ramadan Kareem. Ramadan is the month in which Muslims believe the Koran was revealed to the Prophet Muhammad, beginning with a simple word – iqra. It is therefore a time when Muslims reflect upon the wisdom and guidance that comes with faith, and the responsibility that human beings have to one another, and to God. Like many people of diﬀerent faiths who have known Ramadan through our communities and families, I know this to be a festive time – a time when families gather, friends host iftars, and meals are shared. But I also know that Ramadan is a time of intense devotion and reflection – a time when Muslims fast during the day and perform tarawih prayers at night, reciting and listening to the entire Koran over the course of the month. These rituals remind us of the principles that we hold in common, and Islam’s role in advancing justice, progress, tolerance, and the dignity of all human beings. For instance, fasting is a concept shared by many faiths – including my own Christian faith – as a way to bring people closer to God, and to those among us who cannot take their next meal for granted. And the support that Muslims provide to others recalls our responsibility to advance opportunity and prosperity for people everywhere. For all of us must remember that the world we want to build – and the changes that we want to make – must begin in our own hearts, and our own communities. This summer, people across America have served in their communities – educating children, caring for the sick, and extending a hand to those who have fallen on hard times. Faith-based organizations, including many Islamic organizations, have been at the forefront in participating in this summer of service. And in these challenging times, this is a spirit of responsibility that we must sustain in the months and years to come. Beyond America’s borders, we are also committed to keeping our responsibility to build a world that is more peaceful and secure. That is why we are responsibly ending the war in Iraq. That is why we are isolating violent extremists while empowering the people in places like Afghanistan and Pakistan. That is why we are unyielding in our support for a two-state solution that recognizes the rights of Israelis and Palestinians to live in peace and security. And that is why America will always stand for the universal rights of all people to speak their mind, practice their religion, contribute fully to society and have confidence in the rule of law. All of these eﬀorts are a part of America’s commitment to engage Muslims and Muslim-majority nations on the basis of mutual interest and mutual respect. And at this time of renewal, I want to reiterate my commitment to a new beginning between America and Muslims around the world.

42 T August 2009 T Black Business News T www.bbala.org

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As I said in Cairo, this new beginning must be borne out in a sustained eďŹ&#x20AC;ort to listen to each other, to learn from each other, to respect one another, and to seek common ground. I believe an important part of this is listening, and in the last two months, American embassies around the world have reached out not just to governments, but directly to people in Muslim-majority countries. From around the world, we have received an outpouring of feedback about how America can be a partner on behalf of peoplesâ&#x20AC;&#x2122; aspirations. We have listened. We have heard you. And like you, we are focused on pursuing concrete actions that will make a diďŹ&#x20AC;erence over time â&#x20AC;&#x201C; both in terms of the political and security issues that I have discussed, and in the areas that you have told us will make the most diďŹ&#x20AC;erence in peoplesâ&#x20AC;&#x2122; lives. These consultations are helping us implement the partnerships that I called for in Cairo â&#x20AC;&#x201C; to expand education exchange programs; to foster entrepreneurship and create jobs; and to increase collaboration on science and technology, while supporting literacy and vocational learning. We are also moving forward in partnering with the OIC and OIC member states to eradicate polio, while working closely with the international community to confront common health challenges like H1N1â&#x20AC;&#x201C; which I know is of particular to concern to many Muslims preparing for the upcoming hajj. All of these eďŹ&#x20AC;orts are aimed at advancing our common aspirations â&#x20AC;&#x201C;to live in peace and security; to get an education and to work with dignity; to love our families, our communities, and our God. It will take time and patient eďŹ&#x20AC;ort. We cannot change things over night, but we can honestly resolve to do what must be done, while setting oďŹ&#x20AC; in a new direction â&#x20AC;&#x201C; toward the destination that we seek for ourselves, and for our children. That is the journey that we must travel together. I look forward to continuing this critically important dialogue and turning it into action. And today, I want to join with the 1.5 billion Muslims around the world â&#x20AC;&#x201C; and your families and friends â&#x20AC;&#x201C; in welcoming the beginning of Ramadan, and wishing you a blessed month. May Godâ&#x20AC;&#x2122;s peace be upon you.

Barack Obama

44 T August 2009 T Black Business News T www.bbala.org

Books to Consider...

Malik’s Books

Love Leadership by John Hope Bryant. In LOVE LEADERSHIP the case is made that the crisis in America today is not economic. It is a crisis of virtues and values. We must choose to prosper as a society, not just as individuals. Bryant shares the lessons and practices of many lovebased leaders he knows and respects. Love Leadership makes the case that the best way to get ahead is to figure out what you have to give to a world seemingly obsessed with only one question: “What do I get?”. Purchase the bood at www.amazon.com. African Statistical Yearbook Available at www.african-union.org. Timely and reliable statistics are considered essential for evidence-based policy and decision-making and for better support to policy implementation, monitoring progress and evaluation of outcomes and impacts of development initiatives such as the Poverty Reduction Strategies (PRSs), the new Partnership for Africa’s Development (NEPAD), and the Millennium Development Goals (MDGs). This first issue of the Joint African Statistical Yearbook is a result of the concerted and coordinated efforts among the three main continental institutions (AfDB, AUC, and UNECA) in their quest to provide users with quality statistical information to inform Africa’s development initiatives. It is part of a broader collaborative framework, set out in the Reference Regional Framework for Statistical Capacity Building in Africa (RRSF). African countries will be able to produce and use quality statistical information to support regional integration and development initiatives. &

alik’s Books is active in the South Los Angeles community. We recently asked to community to join us in supporting a deserving young man and you, our customers and supporters, responded. Thank You to the BBA and others in the community for your support and donations to help Khalfani Muhammad participate in the 2009 Junior Olympic Championship in Greensboro, North Carolina. The trip and performance was a success. Khalfani Muhammad finished 2nd place in his 100 meter heat with a time of 11.21 sec. and ran his 3rd best time ever in the 200 meters in 22.57 sec. This year was about experience since Khalfani was the only 14 year old while everyone else was 15 and 16 years of age in his age group. Thank You again for all your support and donations. Please see the picture of Khalfani Muhammad thanking you for all your support. Malik’s Books, located in the Baldwin Hills Mall in the African Marketplace on the second floor, gives you direct access to all your Obama memorabilia needs. The privately owned Malik’s Books offers a prime selection of African American books and conscious literature. Come by your community bookstore and take a look at what we have to offer. &

Malik’s Books Baldwin Hills Crenshaw Mall 2nd Level 323-292-2212 • www.Malikbooks.com • malikbooks@att.net

Back To School is Happening at the Black Book Stores!

Eso Won Books

African American Books 4331 Degnan Ave., Leimert Park, Los Angeles

“Give Books as Gifts to Friends & Family” Check out our unsurpassed collection of books, music, video, children’s books, and games!

323-294-0324 • www.esowonbooks.com //esowon.booksense.com for Calendar of Events

45 T August 2009 T Black Business News T www.bbala.org

October 22, 2009 5:00 - 9:00 PM Ontario Convention Center 2000 E. Convention Center Way Ontario, CA 91764 Join Inland Empire chambers and business organizations for the ultimate business networking event! Mix and mingle with business people representing hundreds of industries and companies in and around the Inland Empire. Inland Empireâ&#x20AC;&#x2122;s Largest Mixer is a great opportunity to reach small to large companies, meet new clients and learn how the different chambers of commerce and business organizations can make your business grow. Mixer admission: $20 per person at the door (no checks or credit cards accepted) or Purchase Online www.largestmixer.com/iemixer No Registration Necessary Parking: $8

46 T August 2009 T Black Business News T www.bbala.org

Government:

SBA ARC Loan Program

f your small business is stressed meeting expenses during these economic times, the U.S. Small Business Administration has a new loan program designed just for you. SBA’s America’s Recovery Capital Loan Program can provide up to $35,000 in short-term relief for viable small businesses facing immediate financial hardship to help ride out the current uncertain economic times and return to profitability. Each small business is limited to one ARC loan. ARC loans will be offered by some SBA lenders for as long as funding is available or until September 30, 2010, whichever comes first. Since June 15, lenders across the country have provided millions of dollars in capital to small businesses

100 percent guaranty from the SBA to the lender and require no fees paid to SBA. Loan proceeds are provided over a six-month period and repayment of the ARC loan principal is deferred for 12 months after the last disbursement of the proceeds. Repayment can extend up to five years.

through the America’s Recovery Capital (ARC) loan program. Created under the Recovery Act, the temporary ARC program offers interest-free loans to viable small businesses, which carry a

payments to investing in their businesses, to help sustain the business and retain jobs. For example, making loan payments on existing loans with proceeds from an ARC loan can allow a business to focus more funds on core operations, such as buying inventory or making payroll. The best candidates for ARC loans are small businesses that in the past were profitable but are currently struggling, yet have been making loan payments or are just beginning to miss loan payments due to financial hardship.

About the ARC Loan Program ARC loans can be used to make payments of principal and interest, in full or in part, on one or more existing, qualifying small business loans for up to six months. ARC loans provide an immediate infusion of capital to small businesses to assist with making payments of principal and interest on existing debt. These loans allow borrowers to redirect cash flow from making loan

ARC Loan Eligibility

Alberto G. Alvarado, Director Los Angeles SBA District Office

ARC loans are available to viable, for-profit small businesses in the U.S. that have qualifying small business loans and are experiencing immediate financial hardship. Your small business must be an established business, have financial statements demonstrating it was profitable in one of the past two years, and be able to project sufficient cash flow to

meet current and future loan payments over a two-year period from loan approval. If your business does not meet these criteria, you can discuss your eligibility with your lender. ARC loans are not designed for start-up businesses. ARC Loan FAQs for Borrowers. Examples of qualifying loans may include credit card obligations for your business, capital leases, notes payable to vendors/suppliers, Development Company Loan Program (504) first lien loans, other loans to small businesses made without an SBA guaranty, and loans made by or with an SBA guaranty on or after Feb. 17, 2009.

ARC loans are designed to help businesses experiencing immediate financial hardship for reasons such as: •Loss/reduction of customer base •Increase in cost of doing business •Loss/reduction of working capital and/or loss/reduction of short term credit facilities •Inability to restructure existing debts due to credit restrictions •Loss/reduction of employees (intellectual capital) •Loss/reduction of major suppliers (major suppliers out of business) Borrowers whose loans are already severely delinquent or whose past performance or future cash flow indicates that the business is not viable are not good candidates for an ARC loan..

Applying for an ARC Loan ARC Loans are provided by commercial lenders and guaranteed by the SBA. Your next step is to contact your lender who will help you determine if

47 T August 2009 T Black Business News T www.bbala.org

see SBA ARC Loan on page 49

Zizini Safaris, Inc. Zizini Safaris provides the traveller with an unsurpassed and memorable experience of a lifetime in Tanzania. We share with you the beauty of Tanzania; its rich natural resources, warm, friendly people, and a wealth of cultural experiences; offer the opportunity to gain an appreciation of the flora and fauna of these beautiful lands, which will evoke the need to protect and enhance these experiences for today and future generations.

Zizini Safaris, Inc. 466 Old Craigville Road Centerville,MA 02632 (866) 948 ZIZI (9494) info@zizinisafaris.com www.zizinisafaris.com

Tuesday, July 14th “For everyone interested in doing business with Metro”

Listen to

KDEE 97.7FM Watch & Support the Africa Channel! Time Warner • Channel 176 Don’t have the Africa Channel in your area? Call Time Warner at: 1-888-8922253 and ask that the Africa Channel be broadcast to ALL regions of California. For information on the Africa Channel visit www.theafricachannel.com or send an e-mail inquiry to info@theafricachannel.com.

The California Black Chamber Foundation’s Radio Station

LIVE on Your Computer

www.kdeefm.org

48 T August 2009 T Black Business News T www.bbala.org

SBA ARC Loan Program from page 47

you are a candidate for an ARC Loan. Questions they may ask include the following: •Does your small business have an established banking relationship? •Has your small business been in operation for a minimum of two years? •Do you have financial statements (balance sheet, income statement, and cash flow statement) which demonstrate your business had a positive cash flow in one of the past

two years (or as long as your business has been operating, if less than two years)? •Does your cash flow projection for the next two years indicate sufficient cash flow to meet your current and future loan payments? •Is your business suffering an immediate financial hardship? For example: •Declining sales and revenues; •Difficulty in making loan payments on existing debt; •Difficulty in paying employees;

$20 Billion in Infrastructure Building Bonds Can Mean Money for You!

•Difficulty in purchasing materials, supplies, or inventory; and/or •Difficulty in paying rent and/or other operating expenses. Small Businesses should use the application instructions to verify or obtain a Dun & Bradstreet DUNS Number to complete an ARC Loan application. If you would like to speak directly to a customer service representative about the ARC Loan Program, please call our toll-free number (866-947-8081) Monday through Friday during the hours of 8am to 6pm (Eastern Time). &

Economic Recovery Websites

he websites shown here provide information on the American Economic Recovery Process. Monitor the nation’s economic life cycle for yourself. The President www.whitehouse.gov National Economic Recovery www.recovery.gov Track Health Reform www.healthreform.gov U.S. Department of Education www.ed.gov/index.jhtml U.S. Department of Energy www.energy.gov

Sign Up Now for the California Construction Contracting Program If your business provides services, from asphalt to porta-potties; from backhoes to fencing; from catering to architectural and engineering services, now’s the time to prepare for the upcoming reconstruction projects from Caltrans and other municipal agencies.

U.S. Department of Commerce www.commerce.gov U.S. Treasury www.ustreas.gov Grants.gov www.grants.gov California’s Economic Recovery

FREE construction-related business management advising and training is available through the California Construction Contracting Program. Contact the El Camino College Small Business Development Center (SBDC) for more information or visit www.buildcalifornia.org.

El Camino College SBDC 13430 Hawthorne Blvd. Hawthorne, CA 90250 310.973.3177 www.southbaysbdc.org

49 T August 2009 T Black Business News T www.bbala.org

www.recovery.ca.gov Caltrans

www.dot.ca.gov/Recovery

Thursday Blues at

Uncle Darrow‛s High Noon-2pm Every Thursday

Come by for lunch and relax to blues and jazz from our house band! 2560 S. Lincoln Blvd. Marina del Rey North East corner of Washington & Lincoln

“LA Times Magazine favorite cajun food”

Joseph Business School (JBS) ANNOUNCES THE START OF THE 2009-2010 TERM

OCT 10, 2009-JUNE 2010

310-306-4862

www.uncledarrows.com

OUR ECONOMIC RECOVERY PLAN

SATURDAY STUDY SESSIONS WILL BE HELD AT ZOE CHRISTIAN FELLOWSHIP OF WHITTIER 10252 MILLS AVENUE. WHITTIER

JBS TEACHES ENTREPRENEURS HOW TO START AND OPERATE PROFITABLE AND SUCCESSFUL BUSINESSES USING BIBLICAL AND

OERP

Do Business with BBA Member Businesses & Advertisers

PRACTICAL PRINCIPLES.

For registration information, please contact Personal Services Plus Event Management Company at (626) 791-3847 or email courtney@personalserivcesplus.com.

50 T August 2009 T Black Business News T www.bbala.org

Tribute to John Holoman from page 41

shoes shined and car washed every other day,” recalls Stephanie. “Not because he needed it, but because the person who performed the services needed the money. That’s the kind of guy dad was. He was the most wonderful dad on the planet.” North reflected, “John was someone who lived a very creative full and caring life and the world is a better place because he came through it.” &

51 T August 2009 T Black Business News T www.bbala.org

Leimert Park Village An African American Cultural, Retail, Foods & Entertainment Center. Degnan Boulevard between

Crenshaw & Leimert Blvds. 43rd Street-43rd Place, Los Angeles

SPECIALTY CAKES AND CATERING 820 N. La Brea Ave., #D • Inglewood, CA 90302

(310) 677-9979 gwensspecialtycakes.com

“You’ll Love That Homemade Taste” • Cakes & Catering for All Occasions • Tuesday - Saturday 10 a.m - 6 p.m Sunday and Monday by Appointment

Shop, Eat, Relax in

Little Ethiopia

Experience Africa in America

Culture, Retail, Entertainment Fairfax Boulevard

between Pico & Olympic in Los Angeles

52 T August 2009 T Black Business News T www.bbala.org

Lucy Florence Culture Center 3351 W. 43rd St. Leimert Park Village Los Angeles, CA 90008

Shop our boutiques Enjoy our Cuisine Exquisite Venue for your Special Event ……

Tinashe @ the Boardroom inside Lucy Florence

We are open daily! 1-6pm

Tote & Satchel HANDBAGS, beautifully restored, one-of-a-kind vintage HANDBAGS, the hottest DESIGNER SHOES, Cuff links, sterling silver jewelry, and Italian handmade Murano glass JEWELRY.

Down Home Pot Roast Seafood Gumbo Chicken/Chicken Sausage Gumbo Smokey's Rice & Beans www.smokeyrobinsonfoods.com • weloveourcustomers@sfglfoods.com

International Edition Black Business News

To be added to the International Edition mailing list send e-mail:

mail@bbala.org

OUR ECONOMIC RECOVERY PLAN OERP

Do Business with BBA Member Businesses & Advertisers 53 T August 2009 T Black Business News T www.bbala.org

Calendar August… 7th-11th 2009 Leadership Institute The Tavis Smiley Foundation Youth 2 Leaders program for high school and middle school students will be held on the campus of UCLA. Participation application deadline is May 31st. See details at www.youthtoleaders.org.

9th-16th Bahia, Brazil - Festival of the Boa Morte 2009 Experience the culture of Afro-Brazil on this exciting tour. See details on page 49. For information send an e-mail query to info@ctoinc. com.

26th-28th National Minority Enterprise Development Week Conference (MED WEEK) Featured Speaker: Earvin “Magic” Johnson. Minority Enterprise Deveopment (MED) Week will be celebrated in Washington, DC. MED Week is the largest federally sponsored conference held on behalf of minority entrepreneurs and business enterprises. For information www. MEDWeek.gov.

27th 2009 Supplier Diversity Conference The Black Economic Council is hosting its First Annual Supplier Diversity Conference “Match Making and Making Connections” at the Oakland Marriott City Center, 1001 Broadway, Oakland, CA 94612. Registration fee is $175. For detailed information visit www.blackeconomiccouncil.org.

27th Leon H. Sullivan Summit Awards Celebration - Africa Rising The gala awards dinner will be held at the John F. Kennedy Center for the Performing Arts in Washington, DC. For information visit www.thesullivansummit.org.

September… 3rd BBA Economic Development Luncheon Thursday from 11:30 am to 2:00 pm join fea-

tured speakers are: Donna J. Gambrell, Director of Treasury’s Community Development Financial Institutions (CDFI) Fund and Congresswoman Maxine Waters, Member, Congressional Financial Services Committee and Chairperson, Subcommittee on Housing and Community Opportunity in discussing how the current administration’s economic stimulus plan effects job creation, business development and community empowerment. City Club on Bunker Hill, 333 Grand Avenue, downtown Los Angeles. R.S.V.P. or request information by calling 323-291-9334 or sending an e-mail to mail@ bbala.org. Also visit the BBA website at www. bbala.org.

3rd-7th BlackEnterprise/Pepsi Golf & Tennis Challenge 2009 JW Marriott Grande Lakes, Orlando, FL. Go to www.blackenterprise.com/begt.

21st 25th Annual AAI Awards Dinner The Africa-America Institute (AAI) will welcome Ghana’s president, H.E. John Evans Atta Mills, who will accept the AAI African National Achievement Award on behalf of the people of Ghana. Call 212-949-5666 or go to www. aaionline.org for details.

10th Joseph Business School (JBS) The fall term of the JBS begins. JBS trains Christians who are called to be entrepreneurs how to start and operate profitable and successful businesses using biblical and practical principles as well as empowers them to release God’s anointing to prosper and establish God’s Kingdom on earth. FALL TERM APPLICATIONS ARE DUE September 18, 2009. Call the Joseph Business School for details at 562.906.5000.

22nd Inland Empire’s Largest Mixer III Attend the ultimate business networking event! Mix and mingle with business people representing hundreds of industries and companies in and around the Inland Empire. 5:00 - 9:00 PM, Ontario Convention Center, 2000 E. Convention Center Way, Ontario, CA 91764. Mixer admission: $20 cash per person at the door or purchase admission and get more information online at www.largestmixer.com/iemixer. &

For a complete listings of events around Southern California visit SAVETHEDATECENTRAL.com

Send your event notice to:

29th-October 1st

Calendar

7th Biennial U.S. – Africa Business Summit The Corporate Council on Africa conference will be held at Walter E. Washington Convention Center, Washington, DC. Go to www.africacncl. org for details and/or to register.

at mail@bbala.org.

October… 5th-11th Africa Design Expo Unique exibit and showcase for African designers and artists will be held at the Eko Hotel, Lagos, Nigeria. For information visit www.africadesignexpo.com.

ww.bbala.org

•Contracting Information •Employment Opportunities •Links to Sponsor Websites •Event Announcements •Resources:

• President’s Message • Financial Management • Meeting Management • International News • BBA Publications • Other Information

55 T August 2009 T Black Business News T www.bbala.org

MEMBERSHIP APPLICATION Please complete then submit this form with your payment. Please type or print. Name: Title: Company: Address: City: State: Zip Code: Telephone: E-mail: URL: Type of Business: W/MBE Certified by:

Fax:

Year Established:

NAICS Codes: Briefly describe your products and/or services

New membership Renewal Membership

Select Type of Membership Regular Member-$200 annual dues 51% African-American owned, Voting membership

Corporate Member-$2,500 annual dues Major corporation, Non-voting membership Associate Member-$100 annual dues Non-business owner, Non-voting membership Student Member-$25 annual dues Full-time registered student, Non-voting membership Amount enclosed $ Payment type: credit card Visa MasterCard Card #: Signature Fax Payment to: 323-291-9234

Exp. Date

Payment type: check/money order—make payable to: Black Business Association Mail to: P.O. Box 43159, Los Angeles, CA 90043 USA For information Call: 323-291-9334 Email: mail@bbala.org Website: www.bbala.org

VERACITY REALTY, INC. “Dedicated to Truthfulness” Let us see what we can do for you in both Commercial & Residential finance!

Jonathan Thompson, Commercial Broker Phone: 800-455-2142 Cell: 323-309-2885

Rhonda Thompson, Residential Loan Officer Phone 800-455-2142 Cell: 323-387-9439 CA Dept. of Real Estate, Real Estate Broker: 01781216 *APR: Includes appraisal, title insurance, escrow, points & other loan cost is 6.487%

Four Season’s Production Multi-Cultural H Multi-Purpose Multi-Functional H Multi-Faceted Manufacturing, Productivity, Growth & Expansion Economical H Globalization H Empowerment

“We’re Fired Up and Ready to Go”

Open Supplier Certification Process The Verizon Communications Corporation is seeking to identify a greater share of African American-owned and operated businesses to match to potential operating contracts. The data base that Verizon procurement management personnel are instructed to review is the California Public Utilities Commission Clearinghouse.

Entrepreneurial Business Development Diversified H Subdivision H Product-Mix & Creating Jobs Across America City by City H State by State National and International Trade Exchange

“Yes We Can” “Something New and Excitingly Different on the Horizon” Commercial

Residential

Genell Brown, Artist Designer

Our Community Source Contact: Keasha L. Charles

888-988-8551 Phone & Fax

BBA members wanting to expand market opportunities with a telecommunication company should consider completing a supplier certification application. To obtain an application go to the Internet web address www.cpuc.gov and visit the supplier diversity page for an online application. The BBA encourages all members to participate in this process that works to create greater opportunities for all African-American owned and operated firms. Last year the California Verizon Company reported an annual spend with African American owned suppliers in excess of $40 million.

57 T August 2009 T Black Business News T www.bbala.org

If you’re having trouble making your house payment, you’re not alone. Call us. We may be able to help. If you’re a Countrywide mortgage customer having a difﬁcult time making your house payments, call one of our specially trained Home Retention Specialists. Countrywide wants to help you to keep your home. The sooner we can talk, the sooner we can try to help.

Call Countrywide Mortgage Help: 1-888-200-5872 Reference number: 222 5 AM – 9 PM PT, Monday – Thursday 5 AM – 7 PM PT, Friday

Equal Housing Lender. © 2008 Countrywide Bank, FSB. Member FDIC. Trade/service marks are the property of Countrywide Financial Corporation, Countrywide Bank, FSB, or their respective afﬁliates and/or subsidiaries.

FAME ASSISTANCE CORPORATION FREE CREDIT MANAGEMENT WORKSHOPS HELD EACH MONTH AT

OUR ECONOMIC RECOVERY PLAN OERP

Do Business with BBA Member Businesses & Advertisers

1968 W. ADAMS BLVD., LOS ANGELES CALL FOR INFORMATION OR RSVP 323-730-7720