Politics
Massive Data Breach Could Affect Every Federal Agency

This Feb. 24, 2015, file photo, shows the Homeland Security Department headquarters in northwest Washington. The Department of Homeland Security said in a statement Thursday, June 4, 2015, that data from the Office of Personnel Management and the Interior Department had been hacked. (AP Photo/Manuel Balce Ceneta, File)
KEN DILANIAN, Associated Press
RICARDO ALONSO-ZALDIVAR, Associated Press
WASHINGTON (AP) — China-based hackers are suspected once again of breaking into U.S. government computer networks, and the entire federal workforce could be at risk this time.
The Department of Homeland Security said in a statement that data from the Office of Personnel Management — the human resources department for the federal government — and the Interior Department had been compromised.
“The FBI is conducting an investigation to identify how and why this occurred,” the statement Thursday said.
The hackers were believed to be based in China, said Sen. Susan Collins, a Maine Republican.
Collins, a member of the Senate Intelligence Committee, said the breach was “yet another indication of a foreign power probing successfully and focusing on what appears to be data that would identify people with security clearances.”
But in Beijing Friday, the Chinese Foreign Ministry dismissed the allegations.
A spokesman for the ministry, Hong Lei said at a regular news briefing that Beijing hopes the U.S. would be “less suspicious and stop making any unverified allegations, but show more trust and participate more in cooperation.”
Beijing routinely dismisses any allegation of its official involvement in cyberattacks on foreign targets, while invariably noting that China is itself the target of hacking attacks and calling for greater international cooperation in combating hacking.
“We know that hacker attacks are conducted anonymously, across nations, and that it is hard to track the source,” Hong said. “It’s irresponsible and unscientific to make conjectural, trumped-up allegations without deep investigation.”
A U.S. official, who declined to be named because he was not authorized to publicly discuss the data breach, said the breach could potentially affect every federal agency. One key question is whether intelligence agency employee information was stolen. Former government employees are affected as well.
The Office of Personnel Management conducts more than 90 percent of federal background investigations, according to its website.
The agency said it is offering credit monitoring and identity theft insurance for 18 months to individuals potentially affected. The National Treasury Employees Union, which represents workers in 31 federal agencies, said it is encouraging members to sign up for the monitoring as soon as possible.
In November, a former DHS contractor disclosed another cyberbreach that compromised the private files of more than 25,000 DHS workers and thousands of other federal employees.
Cybersecurity experts also noted that the OPM was targeted a year ago in a cyberattack that was suspected of originating in China. In that case, authorities reported no personal information was stolen.
Chinese groups have persistently attacked U.S. agencies and companies, including insurers and health-care providers, said Adam Meyers, vice president for intelligence at Irvine, California-based CrowdStrike, which has studied Chinese hacking groups extensively.
The Chinese groups may be looking for information that can be used to approach or compromise people who could provide useful intelligence, Meyers said. “If they know someone has a large financial debt, or a relative with a health condition, or any other avenues that make them susceptible to monetary targeting or coercion, that information would be useful.”
One expert said hackers could use information from government personnel files for financial gain. In a recent case disclosed by the IRS, hackers appear to have obtained tax return information by posing as taxpayers, using personal information gleaned from previous commercial breaches, said Rick Holland, an information security analyst at Forrester Research.
“Given what OPM does around security clearances, and the level of detail they acquire when doing these investigations, both on the subjects of the investigations and their contacts and references, it would be a vast amount of information,” Holland added.
DHS said its intrusion detection system, known as EINSTEIN, which screens federal Internet traffic to identify potential cyberthreats, identified the hack of OPM’s systems and the Interior Department’s data center, which is shared by other federal agencies.
It was unclear why the EINSTEIN system didn’t detect the breach until after so many records had been copied and removed.
“DHS is continuing to monitor federal networks for any suspicious activity and is working aggressively with the affected agencies to conduct investigative analysis to assess the extent of this alleged intrusion,” the statement said.
Cybersecurity expert Morgan Wright of the Center for Digital Government, an advisory institute, said EINSTEIN “certainly appears to be a failure at this point. The government would be better off outsourcing their security to the private sector where’s there at least some accountability.”
Senate Intelligence Committee Chairman Richard Burr, R-N.C., said the government must overhaul its cybersecurity defenses. “Our response to these attacks can no longer simply be notifying people after their personal information has been stolen,” he said. “We must start to prevent these breaches in the first place.”
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Associated Press writers Donna Cassata, Alicia A. Caldwell and Kevin Freking in Washington, Brandon Bailey in San Francisco and Ian Mader in Beijing contributed to this report.
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Follow Ken Dilanian on Twitter at https://twitter.com/KenDilanianAP
Copyright 2015 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
Bay Area
Attorney General’s Office Denies Helping Holy Names University Sell Campus, Contrary to HNU’s Claims
In a recent letter to City of Oakland officials, Jeanine Hawk, HNU’s vice president for finance and administration, claimed that the university has been working closely with Bonta’s office and that the university’s decision to sell the property to the highest bidder is based on and guided by discussions with the Attorney General’s Office.

“Our office has not provided HNU with direction, approval or guidance,” said AG’s office”
By Ken Epstein
Holy Names University in Oakland continues to be not transparent or truthful with the public and Oakland officials in its claims that HNU is acting with the approval and guidance of the office of California Attorney General Rob Bonta to sell the 60-acre campus in the Oakland hills for high-end residential development when the campus permanently closes, currently scheduled for the end of the current semester in May.

Jeanine Hawk, HNU’s vice president for finance.
In a recent letter to City of Oakland officials, Jeanine Hawk, HNU’s vice president for finance and administration, claimed that the university has been working closely with Bonta’s office and that the university’s decision to sell the property to the highest bidder is based on and guided by discussions with the Attorney General’s Office.
“HNU has been in constant communication with the California Attorney General’s office regarding the manner of ensuring that any transfer of its property satisfies the requirements of California law,” Hawk said.
Further, she alleged that “discussions with the Attorney General’s office have resulted in an effort to market the property both through a real estate broker (Mike Taquino at CBRE) and through our continued communications with potential successor universities.”
Hawk also dismissed the City of Oakland’s offer to help maintain HNU as a center of higher education. “At this point it is unclear to HNU how the City of Oakland can assist with the process of achieving the objectives of obtaining the highest and best use of the HNU property for public good, particularly when HNU’s efforts to date have been in cooperation with the AG’s office,” she said.

Chief Deputy Attorney General Venus D. Johnson
However, in a strongly worded denial, Venus D. Johnson, Chief Deputy Attorney General in AG Bonta’s office, wrote in a March 17 letter to Oakland officials, “While HNU has kept the Attorney General’s Office apprised as to its efforts to secure a successor educational institution, our office has not provided HNU with direction, approval or guidance with regard to these efforts.”
“Any assertion to the contrary is inaccurate,” Johnson wrote.
“Specifically, although HNU has reported to you that this office has told HNU that it must sell to the highest bidder and that we have provided HNU with direction related to its marketing efforts, the Attorney General’s Office has done neither of these things,” according to Johnson’s letter.
Johnson emphasized that under the law the decision whether to sell the property is up to the HNU Board of Trustees. “A nonprofit corporation only needs approval from its board of directors to sell or transfer all or substantially all of its assets under terms the board deems is in the best interests of the corporation,” she said.
Johnson added that there are no legal reasons why HNU cannot work with a Historically Black College or University (HBCU) or other educational institution to maintain the campus as a center for higher education.
She wrote: “Let me be clear: HNU absolutely may consider entering into an agreement with a successor educational institution and continue to operate with an educational purpose and mission. While my office cannot require HNU to do this, neither can we prevent them from doing so: The decision is HNU’s and HNU’s alone.”
Several HNU students and an Oakland City Councilmember spoke this week about the potential for maintaining HNU as an institution of higher education on the “Education Today” program aired on radio station KPFA FM94.1.”
“There are a lot of unanswered questions: how did we get to this place?” Asked Aniya Bankston, chair of the HNU Black Student Union (BSU) and a pre-nursing student.
“There’s a very confusing time on campus, (and) anxiety is super high” among the students, she said.
Kiara Evans, a member of HNU student government and the also a BSU member, said she and other student leaders met with the HNU Board of Trustees, which she was disappointed to see was all white.
“They were very nonchalant,” said Evans. “Whatever we said, they just brushed us off. They didn’t really want to hear from us, and it’s pretty sad and disappointing that these people are in charge of our education. They’ve never even gotten to know us.”

Oakland District 4 Councilwoman Janani Ramachandran
City Councilmember Janani Ramashandran, who represents the area that includes the HNU campus, said she is working with other city leaders “to see this site used for higher education … not to follow the path of building luxury housing.”
“I’m cautiously optimistic,” she said. “It comes down to the will of the Holy Names board (to negotiate)” and some of the proposals for educational uses for the property.
In response to questions from the Oakland Post, HNU Vice President Hawk wrote:
“The AG wanted to emphasize that it does not direct organizations in these matters. The letter confirmed that HNU has been apprising the AG’s office of the current situation to share HNU’s proposed path forward and to make sure that HNU’s interpretation of applicable laws regarding the sale or transfer of property of a non-profit corporation will properly inform decision making by our Board of Trustees.”
Business
Pres. Biden Appoints ‘Activist Entrepreneur’ Kerman Maddox to Trade Advisory Body
Last summer, the White House offered Southern California small business owner Kerman Maddox a unique opportunity to serve on a national committee set up to advise President Joe Biden’s administration on educational matters. The Los Angeles resident declined. Maddox, who is also a communications specialist — most recently a member of Los Angeles Mayor Karen Bass’ transition team — felt he did not have enough expertise in the educational space.

By McKenzie Jackson
California Black Media
Last summer, the White House offered Southern California small business owner Kerman Maddox a unique opportunity to serve on a national committee set up to advise President Joe Biden’s administration on educational matters.
The Los Angeles resident declined.
Maddox, who is also a communications specialist — most recently a member of Los Angeles Mayor Karen Bass’ transition team — felt he did not have enough expertise in the educational space.
Then, this month, the right opportunity came for Maddox to take his expertise, passion and ambition to Washington. The White House appointed Maddox, along with 14 others, to serve on the United States Advisory Committee for Trade Policy and Negotiations.
“I’m an African American male. I’m a small business owner. There is nothing in my background that ever would have indicated this was even in the realm of possibilities,” he stated. “I am going to do the best to represent other African American small business owners. When you get an opportunity like this, you want to do a good job — not embarrass folks.”
Maddox, president and majority owner of K&R Hospitality and managing partner of Dakota Communications, had said he would be interested in serving on any commission that dealt with United States’ commerce, small business, trade or other related fields if a position became available.
Maddox, who was once appointed to serve on the Executive Committee of the Democratic National Committee by former President Barack Obama, says he is excited about his new role.
The other new advisory body appointees are Revathi Advaithi, Manish Bapna, Timothy Michael Broas, Thomas M. Conway, Erica R.H. Fuchs, Marlon E. Kimpson, Ryan LeGrand, Sean M. O’Brien, Javier Saade, Shonda Yvette Scott, Elizabeth Shuler, Nina Szlosberg-Landis, and Wendell P. Weeks.
Along with the other appointees, Maddox will provide policy advice to U.S. Trade Representative Katherine Tai, who spearheads American trade policy across the globe.
The new committee members were recommended by Tai’s office and appointed by Biden. They make up one of several advisory committees established by Congress to ensure U.S. trade policy and trade negotiating objectives adequately reflect American public and private sector interests.
In a March 10 statement announcing the appointees, Tai said she looked forward to working with the new appointees.
“Developing a worker-centered trade agenda means bringing together a range of perspectives and backgrounds to design and implement our policies,” she stated. “The Advisory Committee for Trade Policy and Negotiations is an important forum to guide USTR’s work and ensure that the benefits of trade are equitably distributed across our economy and to all people. President Biden has nominated a diverse group of men and women that will help us carry out his vision for sustainable, inclusive and durable trade policy in 2023 and beyond.”
Maddox wants to align with the trade agenda set by the Biden administration. He also has his own objectives he aims to rally for.
“Number one, I’m really going to play a space as a small business guy to see if we can get small businesspeople to export products overseas — whether it is technology or manufacturing or retail or professional services,” he noted. “Number two, figure out a way to rein in climate change. What can we do to get people to understand that it is real and what should we be doing by the way of trade policies to combat the escalation of global warming and climate change?”
Maddox received a call from the White House late last year inquiring whether he would be interested in joining the committee. He jumped at the opportunity. In January, he learned his position on the panel was finalized.
Maddox now has a lot of homework to do on trade policy before the group meets in April. Tai’s office is introducing the new committee members to trade experts.
“I’m trying to quickly study to get up on this,” Maddox noted.
Maddox founded Dakota Communications, the marketing, public relations and public affairs consulting firm, in 1996. In 2010, he started K&R Hospitality, a food and beverage concession business.
He had a role in Obama’s historic 2008 campaign and was part of Biden’s presidential campaign 12 years later. Maddox worked as an aide and advisor to past L.A. mayors Tom Bradley and Antonio Villaraigosa and for Bass when she was in Congress.
He was also an adjunct professor of Political Science at USC and a full-time Political Science professor for the L.A. Community College District. Maddox has several honors from community service organizations and radio and television awards under his belt.
Maddox described himself as an “activist entrepreneur.”
“I do a lot of community stuff,” he said. “I’m very active in my church, but I’m also a businessman. I’m interested in making money, but I’m also interested in hiring as many people that look like me as possible. I’m interested in growing my business and bringing people along at the same time.”
Due to his business experience, Maddox brings a breadth of viewpoints to the commission.
“I have a unique perspective to talk about professional service businesses and how that works and discuss retail, food, and beverage concussion-oriented businesses,” he explained. “One is people, food, merchandising, quality standards, and more. The other is professional services — you are brainstorming and creating.”
Maddox will meet with other committee members via video conference, but expects to also assemble with the group in Washington, D.C.
He said being involved with Obama’s initial presidential run was his greatest professional experience. However, having the chance to pitch Biden, who Maddox has met before, trade policy insights is a close second.
“There is nothing in my background that would indicate I would be talking to the president, let alone advising the president,” Maddox declared. “If I can make it, anyone can make it. I’m a pretty regular guy that worked his way up.”
Business
California Black News Round-Up
Last week, California First Partner Jennifer Siebel Newsom announced five cities — Oakland, San Francisco, Los Angeles, San Diego, Long Beach, and Fresno — have signed the California Equal Pay Pledge. “The California Equal Pay Pledge is a partnership between the Office of the First Partner Jennifer Siebel Newsom, the California Commission on the Status of Women and Girls, and the California Labor and Workforce Development Agency to turn the strongest equal pay laws in the nation into the smallest pay gap in the nation,” according to the governor’s office.

By Tanu Henry
California Black Media
Your weekly news roundup of stories you might have missed.
Five California Cities Sign First Partner’s Equal Pay Pledge
Caption: Kimberley Ellis, Director of the San Francisco Department on the Status of Women speaking at a press conference March 14 in Sacramento. Standing behind her is First Partner Jennifer Newsom and Government Operations Secretary Amy Tong. Photo by Felicia Rule.
Last week, California First Partner Jennifer Siebel Newsom announced five cities — Oakland, San Francisco, Los Angeles, San Diego, Long Beach, and Fresno — have signed the California Equal Pay Pledge.
“The California Equal Pay Pledge is a partnership between the Office of the First Partner Jennifer Siebel Newsom, the California Commission on the Status of Women and Girls, and the California Labor and Workforce Development Agency to turn the strongest equal pay laws in the nation into the smallest pay gap in the nation,” according to the governor’s office.
Kimberly Ellis, director of the San Francisco Department on the Status of Women, said closing the gender gap is something California “must do.”
“From building credit to building wealth, we know that the wage gap has greatly hindered progress toward actualizing women’s equality,” says Ellis. “The City and County of San Francisco is proud to support the First Partner’s initiative and looks forward to doing our part to making pay equity a reality for all women in the Golden State.”
Siebel Newsom said public and private partnerships are essential to closing the gender gap.
“Pay inequity stems from a patriarchal system that was not built with gender equity in mind, but instead built to keep money and power in the hands of few men in control,” she said.
California Black Media is following up with a report on gender and employment that focuses on data specific to Black women.
California Turns San Quentin Prison Into ‘Rehabilitation and Education’ Center
Last week, Gov. Newsom announced that the state is transforming California’s most notorious maximum-security prison San Quentin, — known for having the largest death row in the United States — into the country’s largest rehabilitation and education center.
The prison, renamed “San Quentin Rehabilitation Center,” will operate under the direction of an advisory group comprising public safety and rehabilitation experts.
“California is transforming San Quentin into the nation’s most innovative rehabilitation facility focused on building a brighter and safer future,” said Newsom, standing with legislators, civil rights leaders and victim advocates. “Today, we take the next step in our pursuit of true rehabilitation, justice, and safer communities through this evidence-backed investment, creating a new model for safety and justice — the California Mode — that will lead the nation.”
State Invests $1 Billion in New Homelessness Funding
Last week, Gov. Newsom announced $1 billion in new funding for local communities to address homelessness and take emergency action to construct new homes to move unhoused Californians off the street.
Homelessness remains one of the state’s most stubborn problems as California’s homeless population keeps mushrooming, growing to approximately 160,000 people (about half the population of homeless people in the United States). Per every 100k people, California’s homeless population ranks third after New York and Hawaii.
“In California, we are using every tool in our toolbox — including the largest-ever deployment of small homes in the state — to move people out of encampments and into housing,” said Newsom. “The crisis of homelessness will never be solved without first solving the crisis of housing — the two issues are inextricably linked. We are tackling this issue at the root of the problem by addressing the need to create more housing, faster in California.”
Under his new plan, Newsom has deployed the California National Guard to assist in the preparation and delivery of approximately 1,200 small houses free of charge to four local communities: Los Angeles (500 units); San Diego County (150 units); San Jose (200 units) and Sacramento (350 units).
Uber and Lyft Drivers Can Be Contractors, State Court of Appeals Rules
Last week, the California Court of Appeals ruled that Uber and Lyft drivers and other freelancers can be classified as independent contractors. The court’s decision came after a long fight dating back to 2019 when AB 5, the law that first reclassified contractors as employers, passed. The next year, AB 5 was challenged and overturned when voters approved Prop. 22 — a ballot measure that gave rideshare companies the greenlight to hire freelancers.
Former Black Caucus Member Jim Cooper Appointed to State Commission
Last week, Gov. Gavin Newsom appointed former Assemblymember and current Sacramento County Sherriff Jim Cooper, a Democrat, to the Commission on Peace Officer Standards and Training (POST).
The California Legislature created POST in 1959 to “set minimum selection and training standards for all law enforcement in the state,” according to the office’s website.
Cooper was elected to the Assembly in 2014 and served until last year representing the 9th Assembly District in Sacramento County.
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