Monday, 17 March 2014

States looking at $0 community college tuition


Nothing sparks consumer demand like the word "free," and politicians in some states have proposed the idea of providing that incentive to get young people to attend community college.


Amid worries that U.S. youth are losing a global skills race, supporters of a no-tuition policy see expanding access to community college as way to boost educational attainment so the emerging workforces in their states look good to employers.


Of course, such plans aren't free for taxpayers, and legislators in Oregon and Tennessee are deciding whether free tuition regardless of family income is the best use of public money. A Mississippi bill passed the state House, but then failed in the Senate.


The debate comes in a midterm election year in which income inequality and the burdens of student debt are likely going to be significant issues.


"I think everybody agrees that with a high school education by itself, there is no path to the middle class," said State Sen. Mark Hass, who is leading the no-tuition effort in Oregon. "There is only one path, and it leads to poverty. And poverty is very expensive."


Hass said free community college and increasing the number of students who earn college credit while in high school are keys to addressing a "crisis" in education debt. Taxpayers will ultimately benefit, he said, because it's cheaper to send someone to community college than to have him or her in the social safety net.


Research from the Oregon University System shows Oregonians with only a high school degree make less money than those with a degree and thus contribute fewer tax dollars. They are also more likely to use food stamps and less likely to do volunteer work.


A Gallup poll released in late February found 94 percent of Americans believe it's somewhat or very important to have a degree beyond high school, yet only 23 percent of respondents said higher education is affordable to everyone who needs it.


As at four-year universities, the price of attending a community college has risen sharply because of reduced state support and higher costs for health care and other expenses. The average annual cost of tuition nationally is about $3,300, and books and fees add to the bill.


It's cheaper than university, but expensive enough to dissuade someone who's unsure whether to pursue higher education.


In Tennessee, Republican Gov. Bill Haslam wants to use lottery money to create a free community college program for high school graduates. It's central to the Republican's goal of making the state more attractive to potential employers by increasing the percentage of Tennesseans with a college degree to 55 percent by 2025 from 32 percent now.


If approved by the Legislature, the "Tennessee Promise" would provide a full ride for any high school graduate, at a cost of $34 million per year.


Meanwhile, Oregon Gov. John Kitzhaber signed a bill March 11 ordering a state commission to examine whether free tuition is feasible. Among other things, the study will determine how much money the program will cost, whether the existing campus buildings can accommodate extra students and whether to limit free tuition to recent graduates.


The commission will also look at California, which offered no-cost community college until the mid-1980s, when a state fiscal crisis contributed to its demise.


The findings are due later this year and will help lawmakers decide whether to pursue the idea in 2015.


"What is exciting to us about the idea is that it signals that the state understands there needs to be significant reinvestment in community colleges in some way, shape or form," said Mary Spilde, the president of Lane Community College in Eugene, Ore., where in-state students pay $93 per credit hour. Back in 1969-70, baby boomers paid $6 per credit hour — about $37 in today's money, adjusted for inflation.


Tennessee and Oregon are looking at the "last-dollar in" model, where the state picks up the tuition not covered by other forms of aid. Because students from poor families often get their tuition covered by Pell Grants and other programs, the state money would disproportionately help those from more comfortable backgrounds.


"If you're paying for two years for everybody, then you're paying for students whose families can afford to do it," said Kay McClenney, director of the Center for Community College Student Engagement at the University of Texas. "And is that your best use of dollars within the public interest?"


There are other concerns. Molly Corbett Broad, president of the American Council on Education, generally praised the bills, but said students are more likely to be successful if they have "skin in the game" and pay something toward their education.


Patricia Schechter, a Portland State University professor active in the faculty union, worries that students will be induced into taking the community college route — "arguably against their interests" — and about the effect on public universities, whose students won't get a tuition break.


"We start competing for first-year students in a way that seems a little unfair if they can go somewhere for free," she said. "It doesn't address the creeping costs of higher ed. It just diverts them."


Hass, the Oregon state senator, countered that the university presidents he's spoken with, including Portland State's, support the idea.


"There's an old saying," he said of the criticism. "You can marshal an army to preserve the status quo."



Lippo, Caesars to open casino resort in SKorea


South Korea says a consortium of Caesars Entertainment and Indonesia's Lippo conglomerate has received a preliminary license to build a casino-resort near the country's largest airport.


South Korea's culture ministry said Tuesday the Indonesian-U.S. consortium plans to spend 743.7 billion won ($696 million) to open a casino town in Incheon in 2018.


It is the first South Korean casino license given to foreign investors. The ministry said it would boost the tourism industry and tax revenues.


The ministry said it would become South Korea's largest casino serving exclusively foreigners.


Local law bans South Koreans from gambling in casinos and the issue of opening a casino for South Koreans has long been contentious.


The ministry said getting the final license would hinge on whether the consortium carries out the planned investment.



Wal-Mart to accept video game trade-ins in stores


Wal-Mart plans to expand its video game trade-in program to its stores, offering store credit for thousands of video games.


The world's largest retailer plans to let video game owners trade in used video games online and in Wal-Mart and Sam's Club stores for store credit but not cash. Previously they offered trade-ins on a more limited basis online.


It will also offer refurbished used games in its stores for the first time. Wal-Mart has been seeking new ways to boost revenue as its low-income customers remain under pressure due to a weak jobs picture and shaky economy. In its most recent fourth quarter, net income dropped 21 percent, and the Bentonville, Ark.-based company gave a subdued forecast for the current year.


"Gaming continues to be an important business for us and we're actively taking aim at the $2 billion pre-owned video game opportunity," said Duncan Mac Naughton, chief merchandising and marketing officer for Wal-Mart U.S.


In a call with journalists, Wal-Mart executives said CE Exchange, the company that partnered with them on their trade-in program for smartphones and tablets launched in the fall, will also be in charge of the new video game program.


The value for each trade-in video game will vary by the title, console and age of the game. The amount will range from just a few dollars for older games to $35 and more for newer ones.


Amazon, Target, Best Buy, GameStop and others also offer video game trade-in programs that offer store credit or cash for video games.



Oil down after Crimea votes to split from Ukraine


The price of oil fell Monday near $98 a barrel after Crimea voted to split from Ukraine and join Russia, a development already anticipated by investors. The vote triggered sanctions by the EU and U.S. against Russia, but none that affected the country's energy industry.


Benchmark U.S. crude for April delivery fell 81 cents to close at $98.08 on the New York Mercantile Exchange.


Brent crude, used to set prices for international varieties of crude, dropped $1.97 to $106.24 on the ICE Futures exchange in London.


Crimea's parliament on Monday declared the region an independent state, following its residents' overwhelming decision in a referendum held Sunday to break away from Ukraine and seek to join Russia. The United States, the European Union and others said the vote violated the Ukrainian constitution and international law.


EU foreign ministers announced travel bans and asset freezes on 21 individuals seen pushing for the secession and possible annexation of the Crimean Peninsula. While Russia is a major oil and gas producer, sanctions are not seen stretching that far for now.


For Russia, around 70 percent of export revenues come from energy sales, analysts said.


Natural gas rose 11 cents to $4.54 per 1,000 cubic feet as forecasts call for cooler than normal temperatures in the northern parts of the U.S. through the end of March.


In other energy futures trading on Nymex:


— Wholesale gasoline fell 8 cents to $2.88 a gallon.


— Heating oil dropped 5 cents to $2.89 a gallon.



Maine tribes resist elver bill that limits access


Officials with an American Indian tribe in Maine are resisting an initiative to impose the same restrictions on all elver fishermen, saying a cap on individual catches would force them to abandon tradition by limiting who has access to natural resources.


Members of the Passamaquoddy tribe say a bill to be considered by the House on Tuesday is against their tribal values because it could prevent some of its fishermen from gaining access to the fishery.


Under the bill, elver fishermen would be subject to the same individual catch limits as other Maine fishermen. But the Passamaquoddy contend the tribe has made numerous other concessions, limiting itself to just one type of gear and agreeing to a decrease in its overall share of the elver harvest.


Passamaquoddy officials say choosing who can fish is cultural, not just a matter of conservation.


"The issue here is who gets to decide tribal culture," said Fred Moore, the fisheries specialist with the Passamaquoddy who drafted its elver management plan. He said the tribe supported the bill as part of the state's conservation plan.


The tribe, he said, enacted its own conservation measures years ago, including weekly catch reports from its elver fishermen.


Elvers are baby eels that have ballooned in value in recent years to become the second most valuable fishery in the state behind lobster.


As the state considers the bill, Moore said the tribe would continue to press the state to honor an earlier agreement. That agreement was the result of months of negotiations and had the approval of the Atlantic States Marine Fisheries Commission but state officials abandoned it after the attorney general voiced concern it would not be constitutional to apply two sets of rules in the same fishery.


That move also shed doubt on the authority of tribes in regulating marine resources.


The sponsor of the bill says the tribe's position is understandable.


"The tribes have a valid point," said Rep. Walter Kumiega, D-Deer Isle, who also co-chairs the joint Standing Committee on Marine Resources. "They have said that they have been treated differently over the years many times and maybe we should take that" into consideration, he said.


Still, Kumiega said, lawmakers would continue to take into account the concerns raised by the attorney general.


Both state and tribal officials have said they would like to avoid the types of disputes that arose last year when the commissioner of the Department of Marine Resource invalidated all Passamaquoddy elver fishing licenses.


The commissioner has said he would take similar steps this year if the tribe did not follow state law.



Attorney general issues warning on tax credit bill


Soon after the state Senate on Monday approved a measure to create tax incentives for large businesses, the attorney general's office warned that the bill could leave Idaho "constitutionally vulnerable."


The legal opinion objects to giving the seven-member Economic Advisory Board the final word on which companies get tax breaks, with no option to appeal the decisions. Under the legislation, Idaho would refund up to 30 percent of state corporate income taxes, payroll taxes and sales taxes to businesses that create 50 new jobs in urban areas and 20 in rural areas.


The lack of an appeals process means identical applicants could receive different tax incentives based on their ability to negotiate, Deputy Attorney General Chelsea Kidney wrote in the opinion.


She wrote that the issue could be fixed by allowing the panel's director to consider an appeal if an application is denied or if a company contests its tax rate or other terms of an incentive agreement. The board is made up of citizens appointed by the governor to three-year terms advising the commerce department.


After the opinion was released, Senate Majority Leader Bart Davis, R-Idaho Falls, gave a notice of reconsideration that allows him to call for another vote and that stalls the bill in the chamber until Tuesday.


Before the attorney general's opinion threw the Senate's 29-6 vote into limbo, backers touted it as a way to entice companies to expand in the Gem State.


Sen. Jim Rice, R-Caldwell, said it was a low-risk way to compete with other areas for new projects. Typically, he said, states hand out tax breaks and hope businesses hold up their end of the bargain — with no recourse if the company goes belly up.


Under the legislation, companies wouldn't reap the tax benefit until hitting the job creation mark, even if it takes several years.


"They start getting it when they perform sufficiently," he said. "What they receive back is money that they've paid in, so the state has already received the funds."


Sen. Todd Lakey, R-Nampa, agreed, noting that bringing in businesses will help fill Idaho's coffers even if it has to hand some of that money back.


"Do we want to have 70 percent of a good thing or 100 percent of nothing?" he asked. "This is a competitive tool we need in Idaho."


The measure also mandates workers must be paid wages that at least match the county average.


That's something lawmakers hope could lift Idaho from its position as the state with the second-lowest average wage and the nation's highest share of workers per capita earning the minimum wage.


But other legislators warned that deep tax breaks for incoming big businesses would clear the way for them to squeeze out smaller competitors who don't qualify for the incentive.


Sen. Clifford Bayer, R-Meridian, said it was unfair for business owners who have only a handful of employees. He said that even if they double their ranks, they wouldn't come close to the numbers needed to qualify for an incentive. The bill could lead to two very similar companies paying vastly dissimilar tax burdens.


"I think it can create some disparities," he said.


Others — including Sen. Steve Vick, R-Dalton Gardens, who requested the attorney general's opinion — offered up doubts about the fairness of a process that couldn't be appealed, saying it has the potential to open the door to cronyism.


The measure passed the House on a 63-5 vote earlier this month.



Yellen to put Fed's new leadership on display


The Janet Yellen era at the Federal Reserve begins in earnest this week with a two-day meeting, a policy statement and fresh economic forecasts. Yet all that will be a prelude to the marquee event: Yellen's first news conference as Fed chair.


The financial world will be parsing every word for any hint of a policy shift.


Will Yellen, having succeeded Ben Bernanke, embrace Bernanke's approach of keeping rates low while gradually paring the Fed's economic stimulus?


Or, as some speculate, might she prove even more inclined than Bernanke to favor low rates to try to accelerate job growth, even at the risk of high inflation?


No major announcements are expected when the meeting ends Wednesday. But many analysts think the Fed could make one change in its statement: They think it may drop any reference to an unemployment rate that might cause the Fed eventually to raise short-term rates. Eliminating that reference would help the Fed maximize its flexibility on rates.


The Fed's most recent policy statement said it planned to keep short-term rates at record lows "well past" the time the unemployment rate falls below 6.5 percent. The rate is now 6.7 percent. But several Fed officials have recently suggested scrapping the 6.5 percent threshold and instead describing more general changes in the job market and inflation that might trigger a rate increase.


Charles Evans, president of the Federal Reserve Bank of Chicago, said last week that there's "not a large expectation" that the 6.5 percent threshold will remain much longer, a point also made recently by William Dudley, president of the New York Fed.


One reason for dropping the threshold, as Yellen among others have noted, is that the unemployment rate can overstate the job market's health. In recent months, for example, the rate has fallen not so much because of robust hiring but because many people without a job have stopped looking for one. Once people stop looking for a job, they're no longer counted as unemployed, and the rate can fall as a result.


"There is a growing consensus to go with more nuance instead of a specific number," said Diane Swonk, chief economist at Mesirow Financial. "I think they are just too close to 6.5 percent on the unemployment rate."


Yellen, who was sworn as chair on Feb. 3, has spoken of seeking continuity with Bernanke, under whom she served as vice chair. That's partly why the Fed will likely announce this week a third reduction in its monthly bond purchases. Those purchases have been intended to keep long-term loan rates low to encourage spending and growth.


In December and in January, the Fed cut its monthly pace of bond buying from an original $85 billion in $10 billion increments to $65 billion. If the economy keeps improving, the Fed will likely keep paring its bond purchases until ending them altogether in December.


The pullback is expected to occur despite challenges the U.S. economy and financial markets face, from a brutal winter that's depressed growth, to fears about how Russia's aggression toward Ukraine might slow the global economy.


Still, Fed officials, including Yellen, have signaled their belief that the weakness in U.S. economic data is temporary rather than a sign the economy is losing momentum.


The Fed and most private economists foresee faster economic growth in 2014. Many think the economy, which grew a lackluster 1.9 percent in 2013, will rebound to around 3 percent this year.


"We had a tough start to the year with the winter storms, but it looks like we are starting to pull out of those weather effects," said David Jones, chief economist at DMJ Advisors.


Economists point to several hopeful signs — from a rebound in retail sales to an increase of 175,000 jobs in February despite continued harsh weather.


Even if the economy strengthens and the Fed ends its bond purchases late this year, it will still be stimulating the economy. It has no plans to start selling its enormous portfolio of bonds — a step that would likely send loan rates up. Nor is it likely this year to raise the benchmark short-term rate it controls.


More than five years ago, the Fed cut that rate to a record low near zero, where it's remained since. Most analysts think the Fed will keep its target for short-term rates near zero until late 2015.


One reason the Fed may choose this week to drop its mention of a 6.5 percent unemployment rate as a threshold for an eventual rate increase is that Yellen will hold a news conference. Her question-and-answer session with reporters would allow her to explain the Fed's reasoning for any change.


Under a plan established by Bernanke, the Fed's chair holds news conferences after four of the eight meetings each year. The next news conference isn't scheduled until June.


Not all economists expect the Fed this week to drop a link between a specific unemployment rate and an eventual rate increase.


"I don't think they will tweak the language," said Brian Bethune, an economics professor at Tuft University. "There is enough wiggle room currently."



Syria’s Moallem recovering after surgery in Beirut


BEIRUT: Syrian Foreign Minister Walid Moallem is recovering from heart surgery he underwent at a Beirut hospital, a medical source told The Daily Star Monday.


Moallem underwent successful bypass surgery and is in good condition, the source, who spoke on condition of anonymity, said.


Moallem, 73, was admitted to American University of Beirut Medical Center late Thursday.


Meanwhile, Lebanese lawyer Tareq Shandab requested that the prosecutor's office take action against Moallem, accusing the Syrian official of several crimes including “committing murder” and “establishing terror groups in Lebanon.”


Shandab asked the prosecutor to arrest, interrogate and refer Moallem to an investigative judge after issuing a charge against the Syrian official for “committing murder and terrorism, forming terror groups to kill Lebanese civilians, sending arms and bombs to Lebanese mobs with the aim of inciting strife and killing among the Lebanese.”


" Walid Moallem is one of the main pillars of the Syrian regime which has for three years killed Lebanese citizens through air raids on Arsal [northeast Lebanon] and other northern villages, killing tens of people and destroying dozens of homes,” Shandab wrote in his request.


“Moallem has claimed and justified such attacks, which only means that they were carried out with his knowledge and that makes him an instigator and complicit.”


Shandab, who is currently representing a number of terror suspects in Lebanon, also said Moallem's position in the Syrian government also made him complicit in the twin car bombings outside separate mosques in Tripoli, north Lebanon, as well as in former Minister Michel Samaha’s terror plot.


Consequently, Shandab concluded, Moallem “is punishable under Lebanese law and international law.”


“We cannot take as an excuse diplomatic immunity because international law’s jurisprudence sees that no official or president can enjoy such immunity if they committed crimes against humanity,” he said.



Is Obama Still 'Deporter In Chief'?



Audio for this story from Tell Me More will be available at approximately 3:00 p.m. ET.





Janet Murguia of the National Council of La Raza recently called President Obama 'deporter in chief.' She discusses the administration's review of deportations with Fernando Espuelas of Univision.



JetBlue to start service at Albany airport in '15


JetBlue says it plans to start daily service at the Albany airport, the last of the large airports in New York state to land the low-cost airline.


Sen. Charles Schumer has joined local officials and executives from New York-based JetBlue to make the announcement Monday at Albany International Airport in suburban Colonie (kah-luh-NEE').


JetBlue will start operations at the airport in 2015. Schumer says Florida will be one of the destinations serviced by JetBlue. Specific routes haven't been announced.


Albany will be the airline's eighth market in the state. JetBlue already services Buffalo, Rochester, Syracuse, Newburgh, Westchester and both New York City airports.


Schumer was at the Albany airport last month to call on JetBlue to start serving the state capital, a move that's seen as potential boost to the local economy.



Grain mixed, cattle mixed and pork higher


Grain futures were mixed Monday in early trading on the Chicago Board of Trade.


Wheat for May delivery was 11.25 cents lower at 6.76 a bushel; May corn was 4.50 cents lower at 4.8150 a bushel; May oats were unchanged at 4.4375 a bushel; while May soybeans was 1.50 cents higher at 13.90 a bushel.


Beef mixed and pork was higher on the Chicago Mercantile Exchange.


June live cattle was .20 cent higher at $1.3805 a pound; May feeder cattle was .20 cents higher at 1.7850 a pound; June lean hogs gained 2.25 cent to $1.3010 a pound.



Sally Beauty releases details on data breach


Sally Beauty is reporting that a security breach discovered on March 5 affected fewer than 25,000 a credit and debit card accounts.


The seller of beauty supplies is pursuing its investigation with a forensics firm and says that it's working with the U.S. Secret Service on a preliminary investigation into the matter.


Sally Beauty Holdings Inc., which is based in Denton, Texas, will provide more information on its website in coming days and it says that and it will inform affected customers on the steps it will be taking.


Other recent data breaches include those at Target Corp. and Neiman Marcus.


Sally Beauty says that a security breach discovered on March 5 affected fewer than 25,000 credit and debit card accounts.


The seller of beauty supplies is pursuing its investigation with a forensics firm. It is also working with the U.S. Secret Service on their preliminary investigation into the matter.



The Greatest Mysteries in Aviation History

At the height of World War II, the United States Navy dispatched five torpedo bombers on a routine training flight over the Bermuda Triangle. The Bermuda Triangle is somewhat famous for eating airplanes, so it is hardly surprising that all 14 crewmembers aboard the five military aircraft were never seen or heard from again. But hours later, the Navy sent an additional 13 men on a search-and-rescue mission in a Mariner flying boat . . . and, wouldn't you know it, they didn't return either. To this day, the fate of Flight 19 remains a mystery, and reminds us to just stay away from the triangle.

U.N. voices concern over security in Lebanon


BEIRUT: U.N. Special Coordinator for Lebanon Derek Plumbly Monday voiced concern over the deteriorating security in Lebanon linked to the three-year crisis in Syria.


“[He] expressed concern at incidents of violence in Tripoli, north Lebanon, and in areas of eastern Lebanon during the past few days, which have led to tragic loss of life, both among civilians and the Lebanese Armed Forces,” a statement from his office said.


Plumbly also deplored Sunday’s suicide car bombing in the east Lebanon town of Nabi Othman that killed three people.


The U.N. official extended his condolences to the families of the victims.


Lebanon has been reeling under the impact of the Syrian war with more than a dozen car bombings and rocket attacks across the country. Many of the attacks have been claimed by radical Islamist groups, citing Hezbollah’s military intervention in Syria.


The U.N. official said the recurrence of “such indiscriminate acts of violence should serve as further encouragement for all Lebanese to rally around state institutions, particularly the army and the security forces, as they work to protect Lebanon from the impact of the crisis in neighboring Syria.”


He also welcomed the formation of a new government under Prime Minister Tammam Salam and the recent agreement over its policy statement, describing them “as important steps towards reinforcing Lebanon’s institutions in the face of the numerous challenges confronting the country including at the security level.”


Plumbly reiterated the U.N.’s readiness to stand by Lebanese authorities and expressed hope those responsible for recent acts of violence would be brought to justice as soon as possible.


Meanwhile, the U.S. Embassy in Beirut condemned Sunday's suicide car bombing.


On its Twitter feed, the embassy renewed its call for insulating Lebanon from the violence in Syria, calling on all parties to respect the policy of disassociation and "abstain from acts that endanger Lebanon’s stability and security."



Unemployment rates drop in 43 US states in January

The Associated Press



Unemployment rates fell in 43 U.S. states in January as more Americans began looking for work and most quickly found jobs.


The Labor Department says the unemployment rate rose in just one state — Iowa — where the rate increased to 4.3 percent from 4.2 percent. That's far below the national rate of 6.6 percent that month.


Twenty-three states reported more hiring in January, while 27 said that the number of jobs fell. Harsh winter weather weighed on hiring nationwide, with employers adding just 129,000 jobs that month, below the average monthly gain of about 180,000 in the previous two years.


Rhode Island had the highest unemployment rate, at 9.2 percent, while North Dakota had the lowest rate, at 2.6 percent.



What It Feels Like to Be in an Earthquake


Originally published in the August 2003 issue of Esquire. Adapted from the account of the 1868 San Francisco earthquake in Roughing It.


There came a really terrific shock; the ground seemed to roll under me in waves, interrupted by a violent joggling up and down, and there was a heavy grinding noise as of brick houses rubbing together.


I fell up against the frame house and hurt my elbow. As I reeled about on the pavement, trying to keep my footing, I saw a sight! The front of a four-story brick building on Third Street sprung outward like a door and fell sprawling across the street, raising a dust like a great volume of smoke!


A streetcar had stopped, the horses were rearing and plunging, the passengers were pouring out at both ends, and one fat man had crashed halfway through a glass window on one side of the car, got wedged fast, and was squirming and screaming like an impaled madman.


Every door of every house was vomiting a stream of human beings. Gentlemen and ladies who were sick, or were taking a siesta, thronged into the public streets in all sorts of queer apparel, and some without any at all. One woman who had been washing a naked child ran down the street holding it by the ankles as if it were a dressed turkey.


Dozens of men rushed from barbershops, lathered to the eyes or with one cheek clean shaved and the other still bearing a hairy stubble.


A lady sitting in her rocking and quaking parlor saw the wall part at the ceiling, open and shut twice, like a mouth, and then drop the end of a brick on the floor like a tooth. Suspended pictures were thrown down, but oftener still, by a curious freak of the earthquake's humor, they were whirled completely around with their faces to the wall!



In Illinois, A Governor's Luck Gets Tested Again



Gov. Pat Quinn delivers the State of the State Address to a joint session of the General Assembly at the Illinois State Capitol on Jan. 29.i i


hide captionGov. Pat Quinn delivers the State of the State Address to a joint session of the General Assembly at the Illinois State Capitol on Jan. 29.



Seth Perlman/AP

Gov. Pat Quinn delivers the State of the State Address to a joint session of the General Assembly at the Illinois State Capitol on Jan. 29.



Gov. Pat Quinn delivers the State of the State Address to a joint session of the General Assembly at the Illinois State Capitol on Jan. 29.


Seth Perlman/AP


The numbers look bad for Illinois Democratic Gov. Pat Quinn.


Illinois has remained in lousy shape throughout Quinn's five years in office.


The state's jobless rate is the worst in the Midwest and among the highest in the country. Quinn pushed through a sizable tax increase early in his term, yet Illinois's finances remain among the shakiest in the nation, with its overall budget gap continuing to increase.



Republican gubernatorial primary candidates from left, state Sen. Bill Brady, state Treasurer Dan Rutherford, state Sen. Kirk Dillard and businessman Bruce Rauner prepare for their March 13 debate.i i


hide captionRepublican gubernatorial primary candidates from left, state Sen. Bill Brady, state Treasurer Dan Rutherford, state Sen. Kirk Dillard and businessman Bruce Rauner prepare for their March 13 debate.



Charles Rex Arbogast/AP

Republican gubernatorial primary candidates from left, state Sen. Bill Brady, state Treasurer Dan Rutherford, state Sen. Kirk Dillard and businessman Bruce Rauner prepare for their March 13 debate.



Republican gubernatorial primary candidates from left, state Sen. Bill Brady, state Treasurer Dan Rutherford, state Sen. Kirk Dillard and businessman Bruce Rauner prepare for their March 13 debate.


Charles Rex Arbogast/AP


"We were one of only two states in the entire country where the unemployment rate got worse last year," says Andrew Welhouse, communications director for the state Republican Party. "Illinois is getting worse, as all of our neighbors are getting better."


For all these reasons, Quinn's approval ratings are underwater and polls indicate he trails Bruce Rauner, a multimillionaire venture capitalist expected to win Tuesday's Republican primary.


Yet few people in Illinois are ready to rule out Quinn, who took the reins in 2009, after fellow Democrat Rod Blagojevich was impeached for trying to sell President Obama's Senate seat to the highest bidder.


Last fall, Hillary Clinton joked that Quinn belonged in the Guinness Book of World Records as the "luckiest politician" in the world — an acknowledgment of the governor's good fortune in avoiding a tough primary election fight.


"People have written Mr. Quinn's epitaph too early too many times before," says Gregg Durham, a pollster with We Ask America, a firm based in Springfield. "He always seems to bounce back."


Running Against A Newcomer


Democrats are eager to paint Rauner as the second coming of Mitt Romney, only worse — an arrogant rich guy seeking to buy his way into top political office.


"There is hardly a more flawed candidate running for office in the country today," claims Quinn consultant Mark Mellman. "He's done Romney-like dismemberment of companies to his own benefit."


Rauner handed the Quinn campaign a gift recently when he said the minimum wage should be reduced by a dollar an hour. Rauner quickly backpedaled, saying he would favor a wage increase under certain circumstances.


But Democrats intend to pounce on Rauner on wage and equality issues, as well as the management of his own companies.


"He's got to establish that he's more than just a rich guy who wants to buy his way into the governorship, and that's how Democrats will portray him," says John Mark Hansen, a political scientist at the University of Chicago.


Outpacing The Field


Rauner has spent at least $6 million of his own money on the race, raising even more from other donors. He has vastly outspent his three rivals, including state Sen. Bill Brady and state Treasurer Dan Rutherford, for the Republican nomination.


Rauner's leading opponent, state Sen. Kirk Dillard, lost the nomination by less than 200 votes four years ago. It appears he will come up short again.


Dillard had received backing and financial support from a number of public-employee unions. But they pulled their money out of the race last week, a clear indication they thought he couldn't catch Rauner.


The unions are unhappy with Quinn for having pushed through a pension bill last year that raises retirement ages and reduces cost of living increases. But they prefer him to Rauner, who talks openly of his disdain for "union bosses."


"Rauner scares them so much that they're swallowing hard and realizing that Pat Quinn is a better deal for them than Rauner would be," says David Yepsen, who directs a public policy institute at Southern Illinois University.


Mending Fences


Quinn has some work to do in rallying Democrats to his cause. Illinois is a blue state — no Republican has been elected governor since 1998 — but like Democrats across the country, he has to worry about a midterm fall-off in turnout.


Four years ago, Quinn's margin of victory was less than 1 percentage point. He lost all but four of the state's 102 counties, racking up his winning margin in the populous Chicago area.


What's more, a recent poll indicated that a third of Illinois Democrats aren't certain they will vote for him this fall.


"That's a devastating number," says Durham, who conducted the poll.


Rauner, meanwhile, has proven himself to be a disciplined candidate. He has essentially no public record, but with the exception of his minimum wage comment has stayed strictly on message and pounded his GOP opponents with well-timed attacks.


"Rauner has shown two things that most of the rich guys who run haven't, which is kind of a killer instinct in terms of his campaign approach and great opposition research," says Dennis Culloton, a public relations consultant and former GOP gubernatorial aide.


Rauner will have to mend fences himself, with a majority of Republican primary voters likely to vote against him. They haven't all warmed to his moderate-to-liberal stances on social issues such as abortion and same-sex marriage.


Luck Is Residue Of Work


Quinn, meanwhile, managed to avoid a bruising primary challenge that he might well have lost. And his pension law, while not a panacea, gives him a powerful argument about being able to push through difficult changes in a legislature that will remain dominated by Democrats.


Quinn sought to cut off pay for legislators until they passed the bill, which angered them but played well with the public.


"He's begun to solve the pension crisis that has bedeviled the state," says Mellman, Quinn's campaign consultant. "He had to knock some heads together to do it, but he's starting to bring the state back."


People in Illinois know that, when it comes to the campaign, Quinn will not be outworked — and he's a master at attracting free media.


"It's the toughest race Quinn will ever see," Culloton says. "By the same token, this is a guy who doesn't need millions of dollars to run a campaign. He needs a push mower, a little bit of protein and a flashlight, and he's good to go. This is a guy who can live off the land."



SC jobless rate falls to 6.4 percent in January


South Carolina's unemployment has gone down for the eighth month in a row.


The state Department of Employment and Workforce said Monday that unemployment was 6.4 percent in January.


That's a drop from December's jobless rate of 6.6 percent. State officials said December was the first time in more than a decade that South Carolina's unemployment had been below the national rate.


In January, the number of employed people in South Carolina reached a record high of nearly 2,031,000. That's an increase of more than 22,000 people over the past year.


Non-agricultural jobs in South Carolina went down by 4,800 in January but are up by 37,000 compared to a year ago.



Crimea moves to integrate financially with Russia


Crimea's deputy prime minister says the region has set up a new central bank and is expecting to get $30 million in support from Russia.


Ukraine's Crimean Peninsula on Monday declared itself an independent state after its resident voted overwhelmingly in support of seceding and seeking to join Russia.


The West does not recognize the referendum, saying it violates both Ukrainian and international norms. Moscow considers the vote legitimate and Russian President Vladimir Putin will address his parliament on the issue Tuesday.


Rustam Temirgaliyev was quoted by the Interfax news agency as saying Russia will send to Crimea 1 billion rubles "in the coming days" to help it stabilize its financial situation. Temirgaliyev said the new central bank will later function as a regional branch of the Russian central bank.



Salam condemns violence in east, north Lebanon


BEIRUT: Prime Minister Tammam Salam Monday denounced recent violence in east and north Lebanon and urged politicians in Tripoli to help the Army restore security in the northern city.


Following a meeting with Army chief Gen. Jean Kahwagi, Salam urged the military to take measures to control the situation in border regions in the eastern Bekaa Valley.


“The prime minister instructed the military to take all the necessary measures to control the situation in border areas of the Bekaa [Valley] and do what is necessary to protect civilians and consolidate stability in Arsal, Labweh and nearby towns,” a statement from Salam’s office said.


Salam also condemned “terrorist bombing” in the village of Nabi Othman and offered his condolences to the families of the victims.


He also slammed “the shelling of Arsal and Labweh and the surrounding area,” saying innocent civilians were paying the price for such attacks.


Salam also urged political figures in Tripoli to fully support security forces operating in the city.


“All effective political forces in the northern capital are required to support the military and the security forces in their mission and should try their best to salvage the city and prevent the warring sides from tampering with security,” he said.


The prime minister also called on the Lebanese to exercise vigilance and wisdom “at such difficult times” and “to refuse violence and maintain contact between the sons of the same city or region.”



Zoning issue heads back to Gonzales council


A property owner plans to ask the Gonzales City Council to reconsider a rezoning request for a site that's become a symbol for a growing divide in the council over how to deal with zoning changes.


At issue is a 22-acre tract on La. Highway 44, part of which local developer Jimmy Boyce III sought to be rezoned as the future site for a Gonzales location of a national electrical supply company, Crawford Electric.


The request received strong support from local civic and business leaders who seem increasingly frustrated by some council members' resistance to changes from C-1 retail zoning.


At Monday night's meeting, Mayor Barney Arceneaux tells The Advocate (http://bit.ly/1mcoEdu ) a representative of the property owner will ask the council to reconsider the matter.



Hydroxycut returns to KVSH Racing with Bourdais


Hydroxycut will return to KVSH Racing this season as sponsor for seven race weekends, and co-primary for Sebastien Bourdais in the Indianapolis 500.


Hydroxycut was on the No. 11 Chevrolet last season when Tony Kanaan won the Indy 500 for the organization. The weight loss supplement remained with the team with a driver change from Kanaan to Bourdais, a four-time Champ Car champion.


The sponsorship extension of Hydroxycut fills the car for KVSH. Mistic Electronic Cigarettes had already signed on for seven races and will share sponsorship with Hydroxycut at Indy.


Hydroxycut will be the primary sponsor for the season-opener at St. Petersburg, as well as Barber, Texas, Toronto, Sonoma, Pocono, and the season finale at California.



Indianapolis Colts owner arrested for DWI


Authorities say Indianapolis Colts owner Jim Irsay is in jail after being stopped for suspected drunken driving.


Hamilton County Sheriff's Department Deputy Bryant Orem says Irsay was arrested Sunday night in the northern Indianapolis suburb of Carmel.


Irsay is being held on preliminary charges of driving while intoxicated and possession of a controlled substance.


Details on the circumstances of the arrest weren't immediately available.



Indianapolis Colts owner arrested for DWI


Authorities say Indianapolis Colts owner Jim Irsay is in jail after being stopped for suspected drunken driving.


Hamilton County Sheriff's Department Deputy Bryant Orem says Irsay was arrested Sunday night in the northern Indianapolis suburb of Carmel.


Irsay is being held on preliminary charges of driving while intoxicated and possession of a controlled substance.


Details on the circumstances of the arrest weren't immediately available.



Sally Beauty releases details on data breach


Sally Beauty is reporting that a security breach discovered on March 5 affected fewer than 25,000 a credit and debit card accounts.


The seller of beauty supplies is pursuing its investigation with a forensics firm and says that it's working with the U.S. Secret Service on a preliminary investigation into the matter.


Sally Beauty Holdings Inc., which is based in Denton, Texas, will provide more information on its website in coming days and it says that and it will inform affected customers on the steps it will be taking.


Other recent data breaches include those at Target Corp. and Neiman Marcus.



EU poised to slap further sanctions on Russia


European Union foreign ministers on Monday moved toward imposing more sanctions on Russia over its role in the breakaway of Ukraine's Crimea region, setting up a target list of people linked to the secession of the peninsula.


The 28-nation EU condemned the Crimea referendum which overwhelmingly backed a return to Russia, and the EU foreign ministers were expecting to have agreed a full list of individuals to target for asset freezes and travel bans by late Monday.


Because Russian support of the secession of Crimea has continued unabated, "sanctions will become inevitable," said Dutch Foreign Minister Frans Timmermans.


British Foreign Secretary William Hague hinted more measures against Russia could be taken at a summit of EU leaders starting Thursday, further widening the rift between the wary trading partners that had been seeking closer contact for years until the Ukraine crisis. The United States is also prepared to impose additional penalties on Russia.


At the same time, ministers suggested they wanted to keep any punitive measures from being too drastic, hoping to keep Russia within diplomatic earshot to find a solution to the crisis.


German Foreign Minister Frank-Walter Steinmeier said any measure must leave "ways and possibilities open to prevent a further escalation that could lead to the division of Europe."


Steinmeier pushed again for Russia to accept the sending of an impartial observer mission to eastern and southern Ukraine "to observe closely whether Russia is still active beyond Crimea and destabilizing Ukraine."


The EU has already suspended talks with Russia on a wide-ranging economic pact and a visa agreement. Following the likely travel bans and asset freezes of key individuals involved in the secession, EU leaders could start slapping economic sanctions on Russia this weekend.


"I hope the Russians will realize that sanctions will hurt everyone, but no one more than the Russians themselves," said Timmermans.


---


Geir Moulson in Berlin contributed to this story.



Treasurer promotes personal finance competition


Missouri Treasurer Clint Zweifel (ZWY'-ful) is urging high school students to participate in a competition designed to teach them about personal finances.


Four-member teams have until Friday to take an online test dealing with protecting income, using credit, saving and investing. The top two teams from four regions within Missouri then compete at a statewide competition in Warrensburg next month.


The winning team will compete against those from 20 other states in St. Louis on May 2.


High school teachers must register at http://bit.ly/1ebgyx2 and then can sign up students.



Michigan governor plans trade trip to Europe


Michigan Gov. Rick Snyder plans to travel to Europe in early April for a trade mission focused on the automotive industry and manufacturing.


Spokeswoman Sara Wurfel tells the Detroit Free Press (http://on.freep.com/1lHGZMf ) the weeklong visit will include meetings and events in Italy and Germany.


Wurfel says the trip will be "automobile industry and manufacturing focused in nature." She says Snyder will be accompanied by officials from the Michigan Economic Development Corp. and the Detroit Regional Chamber. More details are to be released later.


Europe has big ties to Michigan's automotive industry. Chrysler and Italian automaker Fiat, for example, are moving forward as a single company.


Snyder has made several trade trips out of the U.S., including an earlier one to Europe. That visit also included stops in Germany and Italy.



Rockets hit east Lebanon village

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Mufti Shaar says absence due to foreign engagements


BEIRUT: Mufti of Tripoli and North Lebanon Sheikh Malek al-Shaar Monday ended speculation about his whereabouts telling The Daily Star he was back in his home city after a series of engagements abroad.


“I was not missing, it just so happened that I was taking part in several conferences abroad and I preferred to link all my travels together,” Shaar told The Daily star.


"Now, I am back and I am staying here," he said.


Shaar, a prominent moderate sheikh, said he had traveled to three Arab countries to sit on panels focusing on Islamic religious affairs.


The mufti said his travels had lasted for almost a month before he returned to Tripoli several days ago.


The mufti has spent prolonged periods abroad because of death threats. In 2012, Shaar said police had recommended he leave Lebanon as his life was in danger.


The mufti, who hails from Tripoli, also commented on the recent clashes in the northern city, describing them as “futile and unjustified.”


He appealed to President Michel Sleiman to call for a meeting that would include political figures and officials from Tripoli to help restore stability in the city that has been engaged in intermittent battles linked to the crisis in Syria.


“President Michel Sleiman was right when he said that some politicians had not lifted political cover from gunmen in Tripoli after claiming otherwise,” he said.


“The futile and unjustified battles in Tripoli will end once the state takes an effective decision to end them,” the mufti added.


“The president should call all politicians in Tripoli for an expanded meeting and urge them to end this farce.”


A tenuous calm prevailed in Tripoli Monday, after days of clashes between pro and anti-Assad fighters that left 11 people dead and more than 60 people wounded.



Hyundai overstated mileage for revamped sedan


Hyundai Motor Co. said Monday it overstated the gas mileage of its revamped Sonata sedan in publicity material for the media.


South Korea's largest automaker said it was a mistake that a tentative mileage figure from internal tests was included in a presentation to reporters.


The government Friday said the mileage of the upcoming Sonata was 12.1 kilometers per liter (28.4 miles per gallon) instead of the 12.6 kilometers per liter (29.6 mpg) Hyundai said on March 4.


In 2012, Hyundai and its affiliate Kia Motors Corp. were found to have overstated gas mileage on 900,000 vehicles sold in the U.S. They agreed to pay up to $395 million to consumers as part of a settlement. Then Hyundai blamed procedural errors.


Hyundai vice president Hwang Chung-yul had touted the new family sedan's fuel economy, saying it was a 6 percent improvement from its predecessor's 11.9 kilometers, or 28 miles.


Hyundai said the mistake resulted from its effort to emphasize the improved fuel economy of the new Sonata, even though it was heavier than the previous model. It apologized in an emailed statement for not being more prudent.


Hyundai began receiving pre-orders for the revamped Sonata earlier this month. It is scheduled to go on sale in South Korea later this month.



Sheep, goats focus of forum at LSU


A field day program for people who raise sheep and goats in Louisiana is scheduled for April 26 at the LSU School of Veterinary Medicine in Baton Rouge.


Registration will start at 7:30 a.m.; the program will begin at 8:30.


The field day will cover topics such as farm biosecurity, improving pastures, controlling parasites and managing the integration of cattle with small ruminants on a farm.


Cost to attend is $5 per person or $10 per family with a maximum of five people. Lunch will be provided.


Specialized certification training also will be offered to help farmers identify parasite infection in small ruminants, and training for parasite control. The training will require an additional $10 fee.


The small-ruminant field day is sponsored by the LSU AgCenter, the LSU School of Veterinary Medicine and the Southern University Agricultural Research and Extension Center.


More information about plans for the field day is available by phoning Kenneth McMillin at 225-578-3438 or by email at kmcmillin@agcenter.lsu.edu.



Prosecutors say they won't appeal Hoeness sentence


German prosecutors say they won't appeal against Uli Hoeness' 3½-year sentence for tax evasion, clearing the way for the former Bayern Munich president to start his prison term.


Hoeness, one of German football's most prominent figures, was convicted last Thursday of evading about 28.5 million euros ($39.6 million) in taxes via an undeclared Swiss bank account. He subsequently said he wouldn't appeal and resigned as Bayern president.


Prosecutors also are entitled to appeal in Germany and could have sought a tougher sentence. At the trial, they called for a 5½-year sentence; the legal maximum for tax evasion is 10 years.


However, Munich prosecutors said in a statement Monday they won't appeal, news agency dpa reported. Hoeness is likely to go to prison in a few weeks.



Lebanese Army detains 15 Syrian gunmen


TRIPOLI, Lebanon: A Lebanese Army unit Monday detained 15 Syrian gunmen trying to cross into Lebanon through a border town in the north of the country, security sources told The Daily Star.


The sources said the gunmen were arrested in the northern Akkar region of Wadi Khaled near the border with Syria.


The authorities have launched an investigation, the sources said.



Vodafone agrees to buy Spanish network


Vodafone, one of the world's largest cellphone companies, has agreed to buy Spain's Ono for 7.2 billion euros ($10 billion) as it seeks to expand operations in its primary European market.


The British company will gain Grupo Corporativo Ono S.A.'s 1.9 million customers and a network that reaches as many as 7.2 million homes, or 41 percent of the Spanish market. Vodafone says Grupo has abundant spare capacity, allowing it to expand in the future.


Vodafone is flush with cash after agreeing last year to sell its stake in a U.S. venture to Verizon for $130 billion in cash and stock — one of the biggest deals in corporate history.


Monday's deal marks its second major acquisition in Europe, after its purchase of Kabel Deutschland last year.



Unions Mobilize To Fight Political Novice In Illinois' GOP Primary



Audio for this story from Morning Edition will be available at approximately 9:00 a.m. ET.





Republicans hope to take the governor's mansion in the Democratic stronghold of Illinois. If Bruce Rauner wins the GOP nomination as predicted Tuesday, he'll take on incumbent Pat Quinn, who has lost popularity in the state.



Google Glass: Coming Soon To A Campaign Trail Near You


Google Glass is looking to be the next must-have digital device. The small computer you wear like eyeglasses allows you to surf the web, email, text, take photos, shoot and stream live video and more — hands-free.


For now Google Glass is in very limited release, but even so, political professionals are eagerly exploring how it could become a powerful campaign tool.


I have been covering big, crowded, political events of all kinds for a long time; conventions, campaign rallies, caucuses, committee meetings. But at this month's Conservative Political Action Conference I encountered something I'd not seen before, an activist working the bustling hallways wearing Google Glass.


"I'm trying to figure out ways activists can use it in the field," says Peter Ildefonso, a 25-year-old Republican and software developer from Severna Park, Md.


Ildefonso works for a non-profit called the Leadership Institute that trains young conservatives. In an online webinar, two members of their team discuss Google Glass and its uses as a tool to capture video of the opposition at public events and rallies. They cite its advantages over a cell phone camera and the ability to "capture more footage and to move around more freely without being as obvious."


Meanwhile, digital strategists for President Obama's campaigns are also studying how to take advantage Google Glass. Betsy Hoover is with a group called 270Strategies.


"I do think that wearable technology, Google Glass being the front runner of that right now, is fascinating," Hoover says.


Glass could make it easier to communicate more seamlessly with campaign workers. Someone at HQ could send a message to the screen of a volunteer standing on a porch knocking on a door. Or watch a live video stream of volunteers talking to voters — depending on privacy laws, of course.


Then there's social media. The 2012 Obama campaign used Twitter and Facebook to connect supporters with one another. Hoover says those sites became even more important because people could access them on their smartphones. Hoover says Google Glass takes things to the next level.


"They don't have to pull their phone out of their pocket; they don't have to unlock it and go to the app they want," she says. "Rather, that experience is layered right on top of what they are doing when they're walking around, when they are reading street signs [or] when they are waiting for the bus."


And, she says, a Google Glass wearer may even be able to receive information about a rally nearby, or volunteer opportunities, all based on their location at any moment.


"People are instantly available, and that's really exciting in terms of what campaigns and elected officials can do," she says.


Daniel Kreiss, a professor at the University of North Carolina, studies the impact of evolving technology on political campaigns, says more ways in which those involved in politics can share their experiences with their social networks would be very valuable for campaigns.


"It potentially could encourage people who might be disengaged and less interested in politics to get more involved," Kreiss says.


Kreiss cautions, though, that since Google Glass isn't available to the general public yet, it's not yet known if it will take off commercially, something that would be necessary for it to be a hit in the political world as well. He suggests that it's most likely that it will help campaigns get even better at the basics.


"Which is making voter contacts and monitoring the opposition, whether it's on the campaign trail or whether it's making contact with a voter on the doorstep [or] at a party convention," he says.


Don't look for Google Glass to play a big role in the 2013 elections. Recall that in 2008, Twitter was around, but not a big deal. By 2012, both major presidential campaigns had Twitter war rooms. Google Glass might one day have a story like that of its own.



Itawamba County purchases land for growth


Itawamba County now has 261 acres to market to prospective companies.


The land is located about three miles south of Fulton. A portion of the land runs along the Tennessee-Tombigbee Waterway and provides access to the county's port and local railway.


The county paid $380,122 for the land in January. It used some of the money made during the sale of the Townhouse Furniture building in Mantachie, now home to Jackson Furniture. The building sold for just more than $690,000.


The last time the county made a land purchase of this size was in 2007, when officials bought 300 acres in Fawn Grove, now home to the industrial park that houses Toyota Boshoku.


Greg Deakle, executive director of the Itawamba County Development Council and director of the Itawamba County Port, said the county has very few potential industrial sites available, making it difficult to woo prospective companies into the area.


"Over the last two or three years, we've had around six prospects looking for 100-acre or greater sites," Deakle told the Northeast Mississippi Daily Journal (http://bit.ly/1i9s3G4 ).


He said companies are often shipping large materials, making waterway transportation an attractive, usually cheaper option.


"Most people looking at 100 acre-plus sites are also looking for port and rail service .We've looked all up and down the waterway for sites. Unfortunately, there aren't many large properties left along the waterway," Deakle said.


Deakle said there is around 20 acres of space near the port currently viable for development.


"It's hard to look at where you want to go with only 20 acres available," he said. "We needed this room to grow the port."


The land, Deakle said, should be relatively easy to develop.



Jack Daniel's opposes changing Tenn. whiskey law


If it isn't fermented in Tennessee from mash of at least 51 percent corn, aged in new charred oak barrels, filtered through maple charcoal and bottled at a minimum of 80 proof, it isn't Tennessee whiskey. So says a year-old law that resembles almost to the letter the process used to make Jack Daniel's, the world's best-known Tennessee whiskey.


Now state lawmakers are considering dialing back some of those requirements that they say make it too difficult for craft distilleries to market their spirits as Tennessee whiskey, a distinctive and popular draw in the booming American liquor business.


But the people behind Jack Daniel's see the hand of a bigger competitor at work — Diageo PLC, the British conglomerate that owns George Dickel, another Tennessee whiskey made about 15 miles up the road.


"It's really more to weaken a title on a label that we've worked very hard for," said Jeff Arnett, the master distiller at the Jack Daniel's distillery in Lynchburg, Tenn. "As a state, I don't think Tennessee should be bashful about being protective of Tennessee whiskey over say bourbon or scotch or any of the other products that we compete with."


Republican state Rep. Bill Sanderson emphasized that his bill wouldn't do away with last year's law enacted largely on the behest of Jack Daniel's corporate parent, Louisville, Ky.,-based Brown-Forman Corp. The principal change would be to allow Tennessee whiskey makers to reuse barrels, which he said would present considerable savings over new ones that can cost $600 each.


"There are a lot of ways to make high-quality whiskey, even if it's not necessarily the way Jack Daniel's does it," Sanderson said. "What gives them the right to call theirs Tennessee whiskey, and not others?"


Sanderson acknowledged that he introduced the measure at Diageo's urging, but said it would also help micro distilleries opening across the state. Diageo picked up on the same theme.


"This isn't about Diageo, as all of our Tennessee whiskey is made with new oak," said Diageo executive vice president Guy L. Smith IV. "This is about Brown-Forman trying to stifle competition and the entrepreneurial spirit of micro distillers.


"We are not sure what they are afraid of, as we feel new innovative products from a new breed of distillers is healthy for the entire industry," he said.


The standards and special branding of Tennessee whiskey are an outgrowth of the special designation granted long ago to bourbon. A half-century ago, Congress declared bourbon a distinctive product of the United States. By law, bourbon must be made of a grain mix of at least 51 percent corn, distilled at less than 160 proof, have no additives except water to reduce the proof and be aged in new, charred white oak barrels.


Spirits that don't follow those guidelines can't be sold as bourbon. One example is Brown-Forman's own Early Times, which is marketed as a "Kentucky whisky" because it is made in reused barrels.


Billy Kaufman, the president Short Mountain Distillery in Woodbury, Tenn., said it is more difficult to distinguish spirits not meeting the Tennessee standard.


"If I made whiskey in Tennessee in a used barrel, what it would be called then?" he said. "Whiskey, made in Tennessee?"


David McMahan, a lobbyist representing Dickel and Popcorn Sutton Distilling, said the law passed last year would require all Tennessee whiskies to taste like Jack Daniel's.


"It's not unlike if the beer guys 25 years ago had said all American beer has to be made like Budweiser," McMahan said. "You never would have a Sam Adams or a Yazoo or any of those guys."


But Tennessee craft distillers are divided about the state law. Charles Nelson, the CEO of Nelson's Green Brier Distillery in Nashville, said he supports tighter regulation.


"Holding ourselves to a higher standard will ultimately be better for all the people in the category," he said. "If we lower the standards, it could lead to more products and brands that could lower the reputation of Tennessee whiskey."


Whiskey is clear when it goes into the barrel. It's during the aging process that the whiskey acquires color and flavors. Jack Daniel's Arnett said other distillers reusing barrels might resort to using artificial colorings and flavorings that wouldn't match the quality of the whiskey stored in new barrels.


"We've been making whiskey a long time, and we know that would not uphold the quality that people expect from Tennessee whiskey," he said. "So we wouldn't dare consider doing it, even though it would save us millions of dollars every year."


Jack Daniel's stores its whiskey in new barrels made at a Brown-Forman plant.


Sanderson argues that the flavor and color of the whiskey is determined more by the charring of the inside of the barrels, which he said is a process that can be repeated. Consumers would ultimately decide whether the end product matches up.


"If they're making an inferior product, the market will decide," he said.



Schreiner reported from Frankfort, Ky.


Geagea ‘ready for serious dialogue’ with Hezbollah


BEIRUT: Lebanese Forces leader Samir Geagea says he is ready to engage in a “serious dialogue” with Hezbollah and describes the upcoming presidential election as the “mother of all battles.”


“I am the first person ready to engage in dialogue with Hezbollah if the dialogue is serious and not a waste of time,” Geagea said in comments published Monday in Al-Akhbar newspaper.


“There is no tension with Hezbollah. Our differences are not personal or sectarian,” he said.


“Our differences are over viewpoints because I consider that what [the party] is doing will lead to destruction,” he added, referring to Hezbollah’s military involvement in neighboring Syria.


“Differences in points of view are common among all parties.”


The LF boycotted the Cabinet of Prime Minister Tammam Salam, citing its refusal to take part in a government with Hezbollah.


In his comments to Al-Akhbar, Geagea also criticized the government’s policy statement that was approved last week.


He said the thorny clause dealing with the resistance “paves the way for every group to arm itself under the excuse of the resistance.”


“What would the government do if a group of citizens in Jbeil, Tripoli or Hasbaya decided to get arms to resist the occupation?” Geagea asked.


He also criticized the policy statement for not clearly referring to the Baabda Declaration, a 2012 pact among political rivals to distance Lebanon from regional turmoil, particularly the Syria crisis.


The ministerial statement was adopted after a month-long deadlock over the role of the resistance.


Replacing Hezbollah’s “army, people, resistance” defense formula, the policy statement now stresses “the right of Lebanese citizens to resist Israeli occupation, repulse its attacks and recover occupied territories.”


The new formula has also provoked criticism from Kataeb Party ministers as well as Justice Minister Ashraf Rifi. Slight modifications to the document are expected as a result before it is put to a vote of confidence in Parliament.


Geagea said LF MPs would not give a vote of confidence but would take part in Parliament sessions dedicated to discussing the policy statement set for this week.


He also said that the March 14 coalition should prepare for the upcoming presidential election.


“This is a chance that comes only every six years; if [March 14] does not know how to seize it, it will be wasted ... the presidential election should be the mother of all battles for the March 14 coalition,” he said.


During the anniversary ceremony of the March 14 coalition last week, Geagea called on the March 14 camp to nominate and unify behind a presidential candidate from the movement. The LF leader is widely assumed to be eyeing the post.


Lebanon’s presidential election is due in May 2014.



Itawamba County purchases land for growth


Itawamba County now has 261 acres to market to prospective companies.


The land is located about three miles south of Fulton. A portion of the land runs along the Tennessee-Tombigbee Waterway and provides access to the county's port and local railway.


The county paid $380,122 for the land in January.


The Northeast Mississippi Daily Journal reports (http://bit.ly/1i9s3G4 ) the last time the county made a land purchase of this size was in 2007, when officials bought 300 acres now home to the industrial park where Toyota is located.


Officials say the land purchase is important because the county has very few potential industrial sites available to offer to industrial prospects. They say the land should be relatively easy to develop.



Connecting residents to jobs focus of conference


Gov. Rick Snyder is expected to share ideas about connecting Michigan residents to jobs during a two-day conference with business, academic and government leaders.


The Governor's Economic Summit kicks off Monday at the DeVos Place Convention Center in Grand Rapids. Organizers say it's a continuation of last year's summit, and officials plan to explore ideas that emerged at that gathering in Detroit.


Snyder is scheduled to speak Tuesday. Michigan Economic Development Corp. President and Chief Executive Michael Finney will give opening remarks on Monday.


Other planned speakers include Amway President Doug DeVos and professor Jeff DeGraff of University of Michigan's Ross School of Business.



Oil down after Crimea votes to split from Ukraine


Oil prices were slightly lower Monday after Crimea's vote to split from Ukraine and join Russia.


Benchmark U.S. crude for April delivery was down 9 cents to $98.80 a barrel at 0715 GMT in electronic trading on the New York Mercantile Exchange. The contract rose 69 cents to close at $98.89 on Friday.


Brent crude, used to set prices for international varieties of crude, was down 21 cents to $108 on the ICE exchange in London.


Residents in Crimea voted Sunday overwhelmingly in favor of the split in a referendum that the United States, European Union and others say violates the Ukrainian constitution and international law.


The U.S. and its allies in Europe are expected to announce sanctions against Russia, including visa bans and potential asset freezes, on Monday. Russia is a major oil and gas producer.


The tensions that are helping boost prices are being countered in recent weeks by worries about slowing demand from China, one of the world's top energy consumers.


In other energy futures trading on Nymex:


— Wholesale gasoline fell 0.5 cent to $2.945 a gallon.


— Heating oil dropped 1.1 cent to $2.918 a gallon.


— Natural gas added 8.6 cents to $4.515 per 1,000 cubic feet.



Security forces detonate rigged car in e. Lebanon: sources

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