KeNo's Housing and Economic Portal: Thursday May 26 Housing and Economic stories

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Lifeguarding in OC is totally lucrative; some make over $200k - (www.ocregister.com) When thinking about career options with high salaries, lifeguarding is probably not one of the first jobs to come to mind. But it apparently should. In one of Orange County’s most desirable beach destinations, Newport Beach, lifeguards are compensated all too well; especially compared with the county annual median household income of $71,735. According to a city report on lifeguard pay for the calendar year 2010, of the 14 full-time lifeguards, 13 collected more than $120,000 in total compensation; one lifeguard collected $98,160.65. More than half the lifeguards collected more than $150,000 for 2010 with the two highest-paid collecting $211,451 and $203,481 in total compensation respectively. Currently, Newport Beach has 13 full-time active lifeguards and hires about 210 seasonal and part-time “tower” guards, Newport Beach City Manager David Kiff told us. Lifeguards are organized as part of the fire department. The Lifeguard Management Association represents the 13 full-time, salaried employees in collective bargaining with the city whereas the Association of Newport Beach Ocean Lifeguards represents the part-time, seasonal lifeguards.

Foreclosures Prompt Four U.S. Cities to Sue Banks for Mowing, Home Repairs - (www.bloomberg.com) Four major U.S. cities that pay for the upkeep of foreclosed properties are trying to recoup the costs of services including lawn mowing, repairs and security by suing banks they claim contributed to their “urban blight.” A federal judge in Memphis, Tennessee, on May 4 and another in Baltimore on April 22 deniedWells Fargo & Co. (WFC)’s request to dismiss the predatory-lending lawsuits brought against the bank. A lawsuit by the city of Cleveland against JPMorgan Chase & Co. (JPM) and Ally Financial Inc. is also pending before an Ohio judge. In one case, Deutsche Bank AG, described by Los Angeles City Attorney Carmen Trutanich as one of the city’s “major slumlords,” may be found liable for hundreds of millions of dollars, including restitution for current and former tenants, according to a statement by the city. “We started out looking to sue as many as 16 lenders,” Webb Brewer, a lawyer who represents Memphis, said in a telephone interview. “It’s a tall order to fight all those banks at once. We never alleged that Wells Fargo was alone in employing these practices.”

Battle over national debt ceiling has negotiation experts shaking their heads - (www.washingtonpost.com) These professionals are ex-FBI agents, labor mediators, divorce counselors. They have learned the rules that help resolve unsolvable standoffs: Don’t lie to a man on a high ledge. Don’t box yourself in with sweeping threats. Don’t tell your adversary to “act like an adult.” Now, they have watched the two parties bend or break those three rules. They worry that the politicians’ mistakes might only prolong their dispute — at a moment where every day of delay adds to Wall Street’s worries. And it bugs them to see their art practiced this way. It’s one thing, negotiators say, to threaten the country with financial calamity if your demands aren’t met. It’s another thing to do it incorrectly. “There are ways to do this. There are tried and proven ways to deal with difficult negotiations,” said William Ury, who helped found Harvard’s Project on Negotiation and co-wrote the negotiation-lit classic “Getting to Yes.” “They work daily, in difficult hostage negotiations. Why not apply them?

How much do oil companies really pay in taxes? - (www.washingtonpost.com) Just how much do big oil companies pay in taxes? Exxon Mobil says it pays plenty — more in U.S. taxes than it earned in the United States last year. Not so, say critics of the oil industry; theCenter for American Progress says the oil giant’s effective federal income tax rate is about half the 35 percent standard for U.S. companies. The liberal-leaning think tank, citing Exxon Mobil’s filings with the Securities and Exchange Commission, says the corporation didn’t pay any federal income tax in 2009. It all depends on how you count. Exxon Mobil counts everything — not just federal income taxes, but also local property taxes, state taxes, gasoline taxes and payroll taxes. The Center for American Progress (CAP) and other analysts count only the company’s federal corporate income taxes.

20 Shocking Facts About Housing's Brand New Crisis - (www.businessinsider.com) Unless you have been asleep or hiding under a rock for the past five years, you already know that we are experiencing the worst real crisis that the U.S. has ever seen. Home prices in the United States have fallen 33 percent from the peak of the housing bubble, which is more than they fell during the Great Depression. Those that decided to buy a house in 2005 or 2006 are really hurting right now. Click here to see the facts > Just think about it. Could you imagine paying off a $400,000 mortgage on a home that is now only worth $250,000? Millions of Americans are now living through that kind of financial hell. Sadly, most analysts expect U.S. home prices to go down even further. Despite the "best efforts" of those running our economy, unemployment is still rampant. The number of middle class jobs continues to decline year after year, but it takes at least a middle class income to buy a decent home. In addition, financial institutions have really tightened up lending standards and have made it much more difficult to get home loans.