Obama plans to change student loan interest rates

Photo by Valeria Sistrunk

When President Obama proposed his 2013 budget, he also included a big change to student loans.  The president’s administration plans to change the interest rate on student loans each year based on the government’s borrowing costs.

Patricia Hudson, a Spelman alumna, says she’s been paying off her student loans for almost 10 years now. “I’ve been paying off my student loans, I would say, faithfully since 2002 or 2003,” said Hudson.

Officials say, because of people like Hudson Obama wants interest rates on federal loans to adjust to reflect today’s low-interest-rate environment.

But what if the economy were to pick back up? Of course, interest rates would rise along with it, which is why consumer groups disagree with Obama’s plan. They criticize the proposed change for not having a cap on the amount of increase.

“It’s not a very progressive way of trying to deal with a situation that’s been out of control for 20, 30 years, which should be completely revamped in the first place,” said Hudson.

Because of the possibility of loan interest rates increasing, critics predict students might search for other options to pay for school. 

Nikkita King, a senior criminal justice major at Florida A&M, says she doesn’t like the new bill and if passed, “It would really discourage me from getting loans…there are a lot of scholarships and grants out there, and I think that would probably be the best way to go.”

If President Obama’s proposal doesn’t go through, the rates on subsidized loans are set to double to 6.8 percent this summer.

EPA proposes new changes to gasoline

Photo by Valeria Sistrunk

The next time you fill up your tank, you might have to pay a little more than you expected. Last week, The Environmental Protection Agency (EPA) proposed a plan to reduce the amount of sulfur in gas by 60 percent.  However, this move could cost you more at the pump. 

David Mica, the executive director of the Florida petroleum council thanks the EPA is underestimating how much this new plan could actually cost. “They’re saying that it would cost somewhere to a penny a gallon,” said Mica, “And we believe it would cost closer to 9 or 10 cents a gallon to produce this type of fuel.”

Regardless of how much it could cost, officials say the change in sulfur will make our air cleaner and save about 2,400 lives a year.  The EPA’s new plan also includes more thorough emissions tests, which could cost about $130 per vehicle.

Alfred Henderson, a Tallahassee resident, says although it could help the environment he hates the idea of gas prices rising any higher than they already have. “Honestly, I would hate it but of course I still have to buy it because my car needs gas, but it would really suck because it’s already expensive.”

The new gas proposal is still in the early stages, and if approved it wouldn’t take effect until 2017.

Florida DMV warns public about fake websites

DHSMV official website (photo by Valeria Sistrunk)

If you’re online looking for the official Florida Department of Highway Safety and Motor Vehicles (DHSMV) website, well you better take a second look.

Today, there are a number of fake websites pretending to be the official DHSMV page.  The purpose of the fake pages is to lure people into paying unnecessary fees.

Kristin Olsen-Doolan, spokesperson for the Florida Highway Safety and Motor Vehicles, said, “Consumers have to be careful, beware and check it out. Make sure it’s actually our website and not some imitator.”

Some official-looking websites require users to pay a fee for their assistance, and provide outdated or inaccurate information.

Websites such as floridadriverslicense.org and dmvflorida.org lure people into paying for services that are usually free on the official site.  Most imitation websites place disclaimers at the bottom of the page, warning visitors it’s not an official site. However, in most cases the small print goes unnoticed.

Lisa Degiorgio, a resident of Leon County, said she had no idea about the fake websites. “If there is anything that sort of asks for information or charges for anything, I think that I might just pick up the phone and maybe try calling to get some additional information,” said Degiorgio, “Especially now that I know something like this is happening.”

When searching for the official website, DHSMV warns the public to look for the words “Official Website of the Florida Department of Highway Safety and Motor Vehicles” located at the top of their home-page.

Florida Part-Time Employees Receive Health Coverage

If you’re a part-time employee in the state of Florida, you might have one less thing to worry about. Thursday, members of a Florida House panel reluctantly agreed to extend coverage to all part-time employees.

If they didn’t agree, the state would have to pay a fine of up to almost $300 million under President Obama’s federal health care law.

At a committee meeting in Tallahassee, Republican representative Gayle Harrell said the state had no choice. “Unfortunately, we have been put in a box where the fines come so untenable, if you don’t allow for participation, that we have no choice but to allow for participation,” said Harrell.

Some lawmakers even suggest offering part-time workers scaled-down benefits as a way to save money.  State officials estimate it might cost Florida about 36 million dollars to cover part-time employees who work on average about 30-hours per week.

Some of those who are currently employed part-time welcome the new health coverage.  Zachary Taylor, a recent Florida State graduate, now works part-time at Target Copy.  He says he supports the new coverage.

“I like the bill because insurance is pretty important and a lot of people can’t afford it, especially if they have to pay for utility and school and a lot of stuff like that. Insurance is kind of a back thought, when it should be right up front,” said Taylor.

Many of the states part-time employees work in the health sector and the university system.  State officials say Florida could also face a $50 million increase in order to make its health plan for full-time employees comply with the federal health law.

From Books to Business: Flavs by 31

The turkey "Bad Boy" (photo by Autumn Harris)

She’s young, talented, and at the age of 22 she already owns her own successful business. 

Autumn Harris, creator of “Flavs by 31”, is a Florida A&M University senior majoring in social work.  Harris says despite her major she decided to start her own business doing something she’s passionate about. 

“Flavs by 31” offers customers home cooked meals every Friday, Saturday and Sunday.  From her menu, customers can choose from a variety of different soul food plates such as the Bad Boy, the Family Reunion and the Michelle Obama.  Harris also donates $1 from every order to the “National Juvenile Association for Juvenile Diabetes”.

“I had the idea in my mind awhile ago, and I just went for it.  I thought to myself ‘this is what I’m going to do’,” said Harris. 

In December she began spreading the word about her business though word of mouth and social media sites such as Instagram and Twitter.  Now, Harris says she currently sells an estimated 45 plates per weekend.

Kalena Green, a management professor in the School of Business & Industry, says she thinks its excellent for students to apply what they’re passionate about in a way that earns them income and experience. “It’s never too soon to execute a well-developed strategic (business) plan,” said Green, “A colleague of mine has a younger sibling who started an entertainment and promotion business while attending FAMU. He’s doing very well.”

In today’s unsteady economy, more students are choosing to start their own business rather than wait for after graduation employment.  For example, Mark Zuckerberg co-founded The Facebook back in 2004 from his dorm room at Harvard University.  Now, five years later, Facebook is a million dollar business with over 300 million users.

Unfortunately for some, starting a new business can be tricky. 

According to the book “The Incredible Shrinking Failure Rate”, research indicates that almost 60% of small businesses fail within five years of start up.

Green says when it comes to starting a new business hard work and capitalization is key. “The primary factor students must consider in any economy is whether or not they’re willing to put in the work,” said Green, “There’s no magic involved in entrepreneurial success.”

Harris isn’t the only student to start her own business in college, and she certainly won’t be the last.  “I love to cook for people,” said Harris, “It’s something I see myself doing for the rest of my life.”

To get more information on how to order meals from “Flavs by 31”, check out @Flavsby31 via Instagram.

New Bill Offers Clean Energy for the State of Florida

Senator Wilton Simpson

Try to imagine a future where people stop depending gasoline and diesel fuels for transportation and start using a healthier source.  Well, Senator Wilton Simpson and Rep. Lake Ray did just that when they proposed the Florida Natural Gas Vehicle Act (SB 560/HB 579) early February.

Simpson says he proposed the bill to encourage more people to use natural-gas fuel throughout Florida.  “It is important that we realize the implications of the continued use of crude oil, and take action to promote and encourage alternative means of energy production,” said Simpson.

According to the senator the price of natural gas, compared to gasoline, clearly shows its cost-saving ability. Compressed natural gas averages $2.29, where as diesel and gasoline average around $3.91 and $3.43.

Today, the state of Florida has 32 natural-gas fueling stations, but Simpson wants more. “The development of this infrastructure, as well as the savings from this less costly alternative fuel, will contribute to economic growth and expand the workforce that supports the industry,” said Simpson.

If the legislation is passed, Simpson and Ray will work together to bring more natural gas facilities to the Sunshine State.

According to the U.S. Department of Energy, natural gas powers about 112,000 vehicles in the U.S. and roughly 14.8 million vehicles worldwide. The horsepower, acceleration and cruise speed of a natural gas vehicle is equivalent to conventional vehicles.

But natural gas doesn’t just do wonders for our environment; it could also work magic on Florida’s economy. Natural gas provides clean reliable energy, and could play a role in Florida’s initiative to increase transportation and trade.

“This is our opportunity to take advantage of an abundant, affordable, and American-produced resource. It is my hope that my colleagues in the Florida Legislature and Governor Scott will support this legislation to help drive Florida’s economy and energy development to new horizons,” said Simpson.

To learn more about natural gas and how it can help our environment, visit: http://www.afdc.energy.gov/vehicles/natural_gas.html

Gateway Project Causes Traffic Concerns

The new construction site (photo by Valeria Sistrunk)

Construction began this week, and pretty soon there will be one more building added to the busy streets of Tallahassee.  It’s called The Gateway Project, and the highly anticipated 50,000 square foot building will be on the corner of Monroe and Tennessee Street.  The once vacant lot, cluttered with litter and signs, will soon be transformed into a Walgreens.

In a statement released by The City of Tallahassee, site plans for construction were approved on April 23, 2009.  This will be the first time in years residents in the area will have a store, within walking distance, to buy food, supplies and prescription drugs.

Although there is much anticipation for the new Walgreen, some residents are concerned about the affects construction will have on the already busy intersection. 

Tom Payne, who works for Traffic Mobility Management in the Public Works Division, said he doesn’t expect a big change in traffic.  “The construction itself really shouldn’t have that much of an impact, other than the fact that there will be trucks going in and out carrying supplies in,” said Payne, “They’ve already torn the building down, so the demolition’s already been done.”

Payne also predicts that once the construction is finished and excitement about the new building dies down, traffic should go back to normal.

As of now, only time will tell what affects the Gateway Project will have on traffic in the area.  The project is expected to be complete by the spring of 2014.

Pope Benedict XVI Resigns

Lent service at St. Peter's Anglican Church (photo by
Valeria Sistrunk)

Today, Pope Benedict XVI stunned the Catholic community when he announced his early retirement. The 85-year-old Pope plans to resign on Feb. 28, due to advanced age and health issues. 

Michael Petty, the associate rector at St. Peter’s Anglican Church, thinks Benedict’s decision was for good reason. “It’s, on one hand, something to celebrate,” said Petty, “Here we have an individual who has served the church at considerable costs to himself, but also it’s something to celebrate because he recognizes…that his service can’t be continued for much longer.”

Benedict’s decision comes as a surprise to many because popes usually choose to spend the rest of their lives in office.  The last pope to resign from his duties was Pope Gregory XII nearly 600 years ago, which was done to end a civil war within the church.

While the decision to retire comes as a shock to many Catholics, it hasn’t caused people to lose faith.  In fact, Michael Woodward, a FAMU alumni and a devout Catholic says he’s even more prideful of his religion now.  “The fact that this man, the face of my religion, is brave enough to realize that his time has come and gone; I really respect and admire that,” said Woodward.

Many Catholic students in Tallahassee support Benedict’s decision to retire.  They understand why he wants to leave his position, and they know an equally great man will take his place.  Once the pope steps down, the Cardinals will quickly begin voting on the next Bishop of Rome.

Christian Cobb, a 4^th-year business student, was raised Catholic and went to Catholic school for most of his life.  Cobb said, “Being at FAMU, I feel like I’m not really affected by the news.  To me it doesn’t really matter who’s the Pope, because at the end of the day I still love my faith and I still love God.”

Benedict was the 265^th pope, and the 6^th German to ever serve as the Bishop of Rome.  He took his seat in the Vatican in 2005.

Apartment Fire in Tallahassee Leaves Behind Ashes

Apartment fire leaves behind ashes
(photo by Valeria Sistrunk)

Nine adults and one 6-year-old child woke up to the smell of smoke and the sound of alarms Saturday night.  According to authorities, the fire was reported on the 800 block of California Street around 5:15 p.m.  

The Tallahassee Fire Department reported that the flames quickly spread through the back of the first floor apartment and up to the one above.  Firefighters had to evacuated nearly two buildings in the complex.  

Eight out of the nine residents who were home at the time of the fire made it out safely.  Firefighters estimated the fire caused around $200,000 worth of damages.

Florida’s Inmate Recidivism Rate Reaches an All Time Low

Tim Cannon, deputy secretary of the
Florida Department of Corrections

It’s a word few people ever hear, and even fewer know the meaning to. It’s called recidivism and it’s at a record low this year in the state of Florida.

Tim Cannon, the Deputy Secretary of the Florida Department of Corrections said, “Recidivism is the measurement of an inmate as they are released, and how many of them actually are remanded back into the departments custody within a three year period”.

The inmate recidivism rate is calculated annually.  Earlier this month, the Florida Department of Corrections announced that the rate has dropped 4 percent in the last three years. “The end result of this reduction in recidivism is a reduced number of victims in the state of Florida,” said Cannon.

A lower rate also means great news for state taxpayers.  According to Cannon, It costs the city roughly $20,000 a year per inmate.  This amount covers housing, food and other expenses that come into account while investigating a crime.  This means the reduced recidivism rate will save taxpayers millions.

Michael Crews, the secretary of the Florida Department of Corrections, said, “You have the financial aspect and the savings we see by not having them re-committed, but you also see less crime and less victims.” 

Less crime and less money aren’t the only good things to come from a lower rate, criminals can also benefit.  Ex-convicts are finding it easier to stay out of jail by finding jobs through the department, and making a better living for themselves.

Eric Smallridge, an ex-convict in Leon County, says, “I have no hard feelings against the system whatsoever. I made my bed; I had to lay in it. And now with the programs they’re putting into place to help inmates try to have an opportunity to transition into society, I think it’s an awesome thing and I’m 100 percent supportive of it.” Smallridge, was released early from his sentence in January, and currently has a job with Goodwill in Tallahassee.

To find more information about the Florida Department of Corrections visit: www.dc.state.fl.us

Costs for U.S. Postage Increase

The cost for postage rises one cent (photo
by Valeria Sistrunk)

The U.S. Postal Service is making big changes.  The cost to mail a letter shot up one penny from 45 cents to 46 cents. The postal service says overall prices for mailing and shipping services have increased by four percent.  It may not seem like a big increase, but some people think one cent can have a major affect on their wallet.

Hanai Cole, a FAMU graduate said, “I’m actually annoyed about the prices going up, and I heard that there was something posted in the post office saying it would change in October. However, even though it’s just a penny going up, it does make all of a difference.”

Postcard postage costs have also went up to 33 cents, with priority mail prices rising 6.3 percent.  The U.S. Postal Service will also introduce their new global “forever stamp”.  This new stamp will allow customers to mail first-class letters anywhere in the world for the set price of $1.10.

Imani Hill, a psychology student who frequently uses FAMU’s campus post office, said, “It’s just an inconvenience.  It might not seem like a big difference at first, but I’m a college student and pennies can add up.”

The hike in prices comes as the postal service struggles with debt, caused by the economic downturn and a rise in electronic mail, or email. In a released statement, The U.S. Postal Service said, “The postal service is not subsidized by tax dollars. As with any other business, when prices for fuel, labor and transportation rise, the sale of postal products and services must increase to cover operating expenses.”

Since 2006, the U.S. Postal Service has increased the prices of stamps five times, from 39 cents to 46 cents.  The mailing service also says they are focused on cost reduction, actions and increasing efficiency.  Each of the past several years, The U.S. Postal service has taken more than a billion dollars in costs out of the system.

For an entire list of the new price changes visit: http://www.pe.usps.com