Wednesday, 7 May 2014

3rd time not the charm on casino bill in House


Casino supporters who hoped the third time would be the charm in New Hampshire's House after suffering two defeats in the past two months were shut out again Wednesday.


The House voted 192-172 not to reconsider last week's vote to kill a bill that legalized two casinos sharing a total of 5,000 video slot machines and 240 table games. The measure also called for distributing $25 million of state revenues from the casinos to local communities to provide property tax relief.


The fight was to reconsider last week's House close vote to kill the bill — 173-172, with the tiebreaking vote by the presiding officer.


Supporters pleaded with the House to consider the state's need for revenue to potentially replace money from a tax on hospitals a superior court judge recently ruled was unconstitutional. They noted that two Wall Street bond rating firms had subsequently put the state's credit rating on watch.


But gambling opponents said the House had spoken repeatedly on the question of legalizing casinos — twice killing bills this year and once last year.


"It does not need to be reconsidered and brought up a fourth time," said Rep. David Hess, R-Hooksett.


But the House voted 183-179 not to bar considering different casino measures before adjourning June 5.


Judiciary Chairwoman Marjorie Smith argued in vain that it was time for the House to move on and block attempts to bring the issue up in the remaining weeks of the session.


"In baseball, you can hit foul balls again and again to keep your at bat going, but once you hit three strikes, you're out," said Smith, a Durham Democrat.


Executive Departments and Administration Chairwoman Lucy Weber, D-Walpole, countered that it was unwise to foreclose any option to raise revenue in the remaining weeks.


The House has consistently rejected efforts to legalize casino gambling. It rejected a bill to legalize a single casino in March. The Senate then passed a revised bill to legalize two casinos, which the House killed last week.


Gov. Maggie Hassan, a Democrat, has repeatedly said she supports only one casino. She and other casino supporters have said they believe New Hampshire should legalize a casino to capture gambling profits that otherwise will be spent in Massachusetts, which is licensing three casinos and one video slots parlor.



How the Dow Jones industrial average did Wednesday


The stock market ended mostly higher Wednesday even as several Internet companies including AOL and Groupon took a plunge. Whole Foods dropped 20 percent after cutting its profit forecast. Molson Coors and video game maker Activision Blizzard rose after reporting higher earnings.


The Dow Jones industrial average rose 117.52 points, or 0.7 percent, to 16,518.54.


The Standard & Poor's 500 index rose 10.49 points, or 0.6 percent, to 1,878.21.


The Nasdaq composite dropped 13.09 points, or 0.3 percent, to 4,067.67.


For the week:


The Dow is up 5.65 points, less than 0.1 percent.


The Standard & Poor's 500 index is down 2.93 points, or 0.2 percent.


The Nasdaq is down 56.22 points, or 1.4 percent.


For the year:


The Dow is down 58.12 points, or 0.4 percent.


The S&P 500 index is up 29.85 points, or 1.6 percent.


The Nasdaq is down 108.92 points, or 2.6 percent.



Florida man wins progressive jackpot


A Florida man has won a $911,230 progressive jackpot at the Palace Casino in Biloxi.


Palace Casino spokeswoman Lisa Quirchix tells The Sun Herald (http://bit.ly/1imam7z ) the man, identified only as Stephen S. from Deltona, Florida, won on the Willie Wonka and the Chocolate Factory penny slot machine on Tuesday.


She says the man had been playing for 15 to 20 minutes. He was playing the maximum bet of $4 a spin necessary to win the progressive jackpot, and had wagered about $40 when he hit the jackpot.


Quirch says Stephen, a sheet-metal fabricator, told her he plans to take his grandchildren to Disney World with his winnings.



Fiat shares shed 10 pct on plan financing concerns


Fiat shares sank more than 11 percent Wednesday as investors expressed skepticism over a new business plan to launch Fiat Chrysler Automobiles as a leading global player.


Analysts said that the ambitious plan to invest 48 billion euros ($67 billion) to boost volumes to 7 million by 2018 from 4.4 million last year failed to adequately address the financing requirements. The plan does not include a capital increase, and the company left its options open, including the possibility of a convertible bond.


CEO Sergio Marchionne emphasized that cash-generating Ferrari was not for sale — a topic of frequent market speculation — and that an initial public offering was not imminent.


Bernstein analyst Max Warburton said Fiat's first-quarter results, which showed losses widening, "provided a sobering reminder of the fragile foundations on which FCA must build its ambitious plans."


Expressing reservations over business plan, Warburton noted that Fiat "is weighed down with huge debt, burdened by financing costs and is only thinly profitable."


Meanwhile, Mediobanca analyst Massimo Vecchio called the plan "challenging but achievable" and said he expected clarification on the capital structure after the new company is listed in New York and Milan, expected by Oct. 1.


Vecchio said Marchionne made clear a capital increase "would be prudent" but any decision to pursue one through a corporate bond issue was complicated by the company's stock performance, which the CEO said was undervalued.


Fiat shares, which had gained more than 40 percent since Fiat announced the deal Jan. 1 to take full control of Chrysler, closed Wednesday at 7.48 euros.



Grain lower, beef and pork lower


Grain futures were lower Wednesday on the Chicago Board of Trade.


Wheat for July delivery fell 1.25 cents to $7.3775 a bushel; July corn was 3.50 cents lower at 5.14 a bushel; July oats were 3.50 cents lower at $3.56 a bushel; while July soybeans declined 13.75 cents to $14.4625 a bushel.


Beef and pork were lower on the Chicago Mercantile Exchange.


June live cattle fell .73 cent to $1.3757 a pound; August feeder cattle was .58 cent lower at $1.9067 a pound; while June lean hogs fell 2.05 cents to $1.2117 a pound.



Hezbollah members’ trial delayed until June


BEIRUT: The trial of five Hezbollah members accused of complicity in the assassination of former Prime Minister Rafik Hariri will not resume until at least late June, in yet another delay for the court prosecuting the case.


The delay came as the Special Tribunal for Lebanon announced the timetable for the controversial first hearing on May 13 involving senior Lebanese editors who will stand trial for contempt.


Karma al-Khayyat, the deputy head of news at Al-Jadeed, is scheduled to appear before an STL judge Tuesday at 11:30 a.m. Beirut time. Ibrahim al-Amin, the editor-in-chief of the pro- Hezbollah daily Al-Akhbar, is set to appear at 4:30 p.m., the court announced in a statement.


The two journalists are charged with contempt for “knowingly and wilfully interfering with the administration of justice,” according to the STL. The accusations are related to Al-Jadeed and Al-Akhbar publishing personal details of individuals who they said are witnesses in the case.


Khayyat and Amin can appear in person before the court or via video-conference, and if convicted could face a maximum sentence of seven years in prison, a fine of 100,000 euros, or both.


The STL, which is tasked with prosecuting those responsible for the 2005 Valentine’s Day bombing that killed Hariri and 21 others, issued a robust defense of its contentious decision to try the journalists.


Critics accused the tribunal in recent days of throttling freedom of the press in Lebanon, abusing its power and double standards, since it did not fight Western news outlets that published sensitive, leaked details of the Hariri investigation.


In a detailed rebuttal to the attacks, the STL argued that the trial “would reduce the risk [that] the public will lose confidence in the ability and will of the tribunal to protect witnesses.”


It also defended itself against charges of curtailing freedom of the press by saying that publicizing the names of protected witnesses has serious consequences on the STL’s work.


“The freedom of expression guarantees everyone’s right to hold opinions and expressions, receive and impart information and ideas as long as they are in accordance with the applicable laws,” the court said. “The freedom of expression is not absolute and journalists and media organizations must comply with the law.”


The STL also confirmed the investigation into the Al-Jadeed and Al-Akhbar incidents showed the alleged witness details were likely not leaked to the outlets by tribunal personnel.


But the court did not offer a convincing argument for why the leaking of sensitive investigation details was not considered a serious enough violation to be prosecuted.


German magazine Der Spiegel first disclosed the alleged involvement of Hezbollah members in the Hariri assassination in 2009, relying on leaked documents. The Canadian Broadcasting Corporation published a report in 2010 that revealed sensitive details including the investigation’s breakthroughs in tracking phones used by the suspects involved in the assassination.


The Hague-based court initially indicted four members of Hezbollah in connection with the killing. Their trial in absentia began in January.


But a fifth member of the party, Hassan Merhi, was indicted last summer and his trial was joined to that of the other four suspects. Merhi is accused of being one of the leaders of the assassination team, allegedly playing a key role in plotting a false claim of responsibility for the attack by a fictitious, extremist group.


While joining the two cases makes logical sense – Merhi is accused of conspiring with the other suspects to carry out the same crimes – it poses a dilemma for the court which is obliged to give Merhi’s lawyers enough time to conduct investigations and prepare their defense.


The court’s trial chamber said in a filing on the STL website that trial would resume shortly after June 16, the date when Merhi’s lawyers are expected to file their “pre-trial brief” – a document outlining their theory in the case.


Judges had initially said they would need until at least the middle of May before resuming trial.


The court is expected to decide on a new date for resuming trial at a “status conference” Monday, during which it will address issues related to Lebanon’s cooperation with the STL. Defense lawyers accuse the Lebanese authorities of failing to cooperate with their investigations.


The court’s dilemma was sharply illustrated in a dissenting opinion published on the court’s website and written by Judge Janet Nosworthy, a sitting judge on the trial chamber.


Judge Nosworthy said Merhi’s defense lawyers should be given until mid-July to file the pre-trial brief, and trial should not begin again until September or October.


She argued that the high volume of evidence, expert reports and testimony, as well as the highly technical nature of the telecommunications evidence that forms the backbone of the prosecution’s case requires giving the defense more time to prepare.


“Giving the Merhi defense a longer and more appropriate period ... will provide additional time for research and investigation, and allow them to be suitably informed and bring them to a sufficient stage of preparedness,” Judge Nosworthy said.


“This in turn will better serve the judicial process in its search for truth and justice, being also consistent with the primary interests of the victims.”



AUB to award honorary doctorate to luminaries


BEIRUT: The American University of Beirut announced Wednesday the names of three international luminaries who will receive the honorary degree of Doctor of Humane Letters at the university’s 145th commencement later this month.


This year’s recipients are Lebanese sculptor and painter Saloua Raouda Choucair, entrepreneur Samih Darwazah, who founded global enterprise Hikma Pharmaceuticals, and Yusuf Hannun, an award-winning molecular biologist and Director of Stony Brook University Cancer Center, according to a statement from the university. The commencement exercises are set to take place May 30.


Choucair, born in the Beirut neighborhood of Ain al-Mreisseh in 1916, is known for her complex sculptures of interlocking pieces that can be taken apart and re-ordered. She is also an accomplished painter, tapestry maker and jeweler and was awarded the National Council of Tourism Prize in 1963 for a stone sculpture she made in Beirut. She also received an appreciation prize from the General Union of Arab Painters in 1985 and a medal by the Lebanese government in 1988.


Samih Darwazah was born in Nablus in 1930, and has served as energy minister to Jordanian King Hussein, as a senator and as a member of the Advisory Economic Council. In 1978, Darwazah founded Hikma Pharmaceuticals, later expanding to operations throughout the Middle East and North Africa, as well as Europe and the United States. He has been awarded two honorary doctorates as well as the AUB Distinguished Alumnus Award.


Yusuf Hannun, born in Saudi Arabia to Palestinian parents, is an award-winning molecular biologist, clinician and professor of medicine and has been leading the charge against cancer. He is director of Stony Brook University Cancer Center, vice dean for cancer medicine, Joel Kenny professor of medicine and professor of biochemistry and cell biology. He is the recipient of a Merit Award from the National Institute of Health, the Avanti Award for Lipid Research from the American Society of Biochemistry and Molecular Biology and the Kuwait Prize in Basic Sciences.



Palestinians in limbo at Syrian border


BEIRUT: Three Palestinians who were deported last weekend from Lebanon back to Syria, where they had been living, are still waiting in a no-man’s land between the two countries’ borders, according to Human Rights Watch, amid claims that a discriminatory entry policy against Palestinian refugees is in place.


“I spoke with them this morning and they were still waiting,” Lama Fakih, Syria and Lebanon researcher at Human Rights Watch, told The Daily Star, adding that 35 others had returned to Syria.


“They told me that the Lebanese Red Cross might be able to intervene on their behalf or that Lebanon might let them in if a third country agrees to resettle them.”


Some 49 Syrians and Palestinians previously living in Syria were arrested at Beirut airport last Saturday, suspected of possessing forged documents. About 40 were deported back to Syria the next day and are believed to be Palestinian. HRW said it was not clear what happened to the others. General Security could not immediately be reached for comment.


Fakih said it was the first deportation of refugees HRW had recorded since August 2012.


The incident comes amid reports – not the first of their kind – that the Lebanese authorities have been preventing Palestinians from entering the country from Syria.


A statement Tuesday by HRW said: “Such a policy violates the international law principle of nonrefoulement, which forbids governments from returning refugees and asylum seekers to places where their lives or freedom would be threatened.”


A statement Tuesday by the Central Security Council said: “No decision has been taken to prevent the entry of [any] refugees and the borders remain open.”


However, HRW and the U.N.’s Palestinian refugee agency (UNRWA) said Palestinians were being denied entry.


“UNRWA has been monitoring the situation at the crossing point at Masnaa between Lebanon and Syria and can report that no Palestinian refugees from Syria have been allowed to cross into Lebanon today,” Chris Gunness, an UNRWA spokesman said.


“It became clear at the weekend that ... new restrictions had been introduced,” he added.


“I can say that we have been in contact [with the Lebanese authorities] to discuss the issue and we have been given assurances that the restrictions are temporary. We hope they will be lifted soon.”


The allegedly discriminatory policy appears to date back to Aug. 6, 2013, when HRW criticized ambiguous new border regulations, saying they adversely affected Palestinians in Syria after about 200 were left stranded between the Syrian-Lebanese borders and forced to turn back.


“Last summer, that was when they started to put some restrictions on Palestinians entering Lebanon,” said Louise Lemari, communications officer at local non-governmental Organization Anera, which works in Palestinian camps in Lebanon.


“It’s not very new but it’s the first time that it’s making a noise. I don’t know the extent of the problem, but I know it’s been happening.”


It is not known whether the practice is part of a wider attempt to cut down on the number of refugees fleeing from Syria to Lebanon. Around 1.5 million people – 52,000 of whom are Palestinian – are already believed to have done so.


The Central Security Council Tuesday asked General Security to design a new plan to control the flow of all refugees from Syria into the country. Social Affairs Minister Rashid Derbas Tuesday told Voice of Lebanon radio that the country could no longer endure the influx of “socio-economic” refugees from Syria and suggested limiting the number permitted to enter.


Hala al-Helou, an adviser to the Social Affairs Ministry, clarified Derbas’ remarks, saying: “We need to have stricter criteria of who can enter, but not closing the borders.”


According to HRW’s Fakih, the only acceptable way to do this would be via an individualized screening process, a costly and time-intensive process.


“International refugee law requires that neighboring states allow individuals fleeing violence to do so,” she said.


“The Lebanese government could implement a screening process to check whether those coming in were refugees or migrants but there cannot be a policy of deporting refugees or pushing them back ... at the border.”



Palestinian camps strained by refugee influx


BURJ AL-BARAJNEH, Lebanon: Resentment competes with empathy in Lebanon’s Palestinian camps, where, despite their shared history, tensions are rising between recently displaced Palestinians from Syria and established residents.


“I don’t feel like I know my camp any longer. It used to be my small homeland, but now it’s been taken over by Syrians,” says Kholoud Hussein, a resident of the Burj al-Barajneh camp south of Beirut who runs a small center for disabled children.


She says that security in the camp has worsened, prompting her and her family to avoid going out at night, something they never feared before.


Adham Hammad, a Syrian Palestinian refugee from Damascus, says he would be happy to return to Syria if the situation allowed, but after a year living in Burj al-Barajneh, he barely has any money left, he says.


“We suffer in the camps, and we face a new crisis here, since our money is slipping away and rent is expensive,” he says, adding that the cheapest rent he could find was $300 a month – three times the amount they receive in housing aid from the U.N.


He says he does not know what to expect in the future, but clings to the hope of return to the only home he has ever known.


“I’m not optimistic about going back to Syria,” he says. “I might go to Europe, but it’s difficult.”


Some of those who have attempted to leave resorted to illegal methods and were punished for it. Earlier this week, Lebanon came under fire from UNRWA, the U.N. agency responsible for Palestinian refugees, and international rights groups for deporting at least 40 Syrians, including Palestinians, to Syria for allegedly attempting to travel from Beirut’s airport with forged documents.


Lebanon also denied reports that restrictions had been placed on Syrian Palestinians entering the country. The country is currently hosting over a million Syrian refugees, including some 54,000 Palestinians, most of whom have settled in existing camps.


Ahmad Mustafa, head of the Syrian Palestinian Organization, which is active in camps throughout Lebanon, acknowledges the shifts occurring across the country, which include increasing competition among Palestinians for space and resources.


“The situation is bad – mostly because the camps are now so heavily populated,” he says, adding that an additional 5,000 to 7,000 Palestinians from Syria have moved into Burj al-Barajneh, which he estimates is at double capacity.


The additional burden creates friction with host communities.


Mustafa points out that Palestinians coming from Syria typically accept lower salaries, boosting competition for jobs and creating resentment among the original residents, who, in turn, overcharge new arrivals for rent and other necessities.


“[Lebanese] Palestinians find it reasonable to take advantage of the Syrian [Palestinians] coming here, since they took away funds and jobs from the Palestinians [in Lebanon] when they came,” Mustafa says.


The increased demand for housing is also creating a construction boom in the camps, he adds.


“We have been forced to build everywhere where there was space, so all gardens and playgrounds have now been built on. The graveyard is the only place where our children can play, and it is almost full,” Mustafa says.


In a recent briefing, UNRWA warned that over-population was negatively affecting water supplies, infrastructure, sewage management, education, employment and cost of living, which takes a toll on all Palestinians living in the camps.


Ann Dismorr, Lebanon director of UNWRA, denies that less aid is flowing to Lebanese Palestinians who lived in the camps for decades.


“I think [these concerns] show that, although we do a lot, there is never going to be enough help,” Dismorr says.


She says that the response of Palestinians in Lebanon to those coming from Syria has been both generous and exploitative, echoing Mustafa’s concerns about rent fixing.


“At one side, you have seen a large hospitality movement, although people are poor and have limited resources,” she says. “But at the same time, we do hear stories about exploitation of the refugees in the camps.”


“For me, it really is a reminder that we should not forget the Palestinian refugees from Lebanon in the process of helping Syrians.”


Although the situation is difficult, she insists schooling and primary health care needs are being dealt with in the best way possible.


“What I find of really increasing concern is the number of refugees who have been here for more than one year and now have no visa,” Ann Dismorr says. “And if you don’t have a valid visa in some of the camps, you can’t enter them, so out of the fear of getting caught by the Army without a visa, they stay in the camps.”


Dismorr says she has met refugees who barely leave their homes and remain in the smaller camps with no jobs and with no hope of getting out.


“They are barely getting through. Many of them are borrowing money, many are staying with relatives and friends, and many have family left in Syria. Many have huge concerns, and still their main concern is when they can go back,” Dismorr says.


Fadi, who declined to give his last name, tends his small grocery store in Burj al-Barajneh, but business is slow, and he is eager to discuss the camps’ many problems.


“Things have changed a lot with the Syrians coming here to the camps. The people who already lived here can’t find jobs and can hardly afford buying from my shop,” he says.


“I wanted to find another job. But what should I do? What jobs are out there now?”



Shinseki: 'Swift Action' If Problems At VA Hospital Are True



Veterans Affairs Secretary Eric Shinseki, center, flanked by President Obama and Vice President Joe Biden, at the White House last month.i i


hide captionVeterans Affairs Secretary Eric Shinseki, center, flanked by President Obama and Vice President Joe Biden, at the White House last month.



Carolyn Kaster/AP

Veterans Affairs Secretary Eric Shinseki, center, flanked by President Obama and Vice President Joe Biden, at the White House last month.



Veterans Affairs Secretary Eric Shinseki, center, flanked by President Obama and Vice President Joe Biden, at the White House last month.


Carolyn Kaster/AP


Veterans Affairs Secretary Eric Shinseki tells NPR that he's determined to "get to the bottom" of allegations that veterans may have died at a Phoenix Veterans Affairs hospital while waiting for care.


The accusations of extended delays in providing health care at the Phoenix Veterans Affairs Health Care system surfaced last month. The facility reportedly kept two lists of veterans waiting for care, one it shared with Washington and another secret list of wait times that sometimes lasted more than a year.


"Allegations like this get my attention," Shinseki tells All Things Considered. "I take it seriously and my habit is to get to the bottom of it.


"If allegations are substantiated, we'll take swift and appropriate action," he tells host Robert Siegel.


Last week, Shinseki announced that three officials had been placed on leave at the facility in Phoenix, where up to 40 patients reportedly may have died while on a wait list for care.


The VA has acknowledged that 23 patients have died as a result of delayed care in recent years, according to The Associated Press. At one clinic at a Fort Collins, Colorado, the VA's inspector general says officials were instructed on how to falsify appointment records. Other problems have occurred in Pittsburgh, Atlanta and Augusta, Georgia, according to the AP.


On Tuesday, Senate Minority Leader Mitch McConnell (R-Ky.) called the problems "an embarrassing period for the VA." Three GOP Senators, John Cornyn of Texas, Jerry Moran of Kansas and Richard Burr of North Carolina, have called for Shinseki to resign.


The VA's inspector general has been tasked with investigating the Phoenix hospital. Asked if the allegations are substantiated whether he'd step down, Shinseki said "Let's see what the inspector general comes back with."


The retired U.S. Army four-star general and former Army chief of staff says that the question of resignation is "a hypothetical.


"But what's not a hypothetical is that I serve at the pleasure of the president," he tells NPR. "I signed on to do this to help him make things better for veterans in the near term, as quickly as possible, but also to put in place for the long term those changes to this department that will continue to help veterans well into this century."


Shinseki, who was unanimously confirmed by the Senate to the Veterans Affairs post in 2009, has pledged to clear up the backlog of disability claims and to end the problem of homeless veterans, says he's confident that the numbers showing progress in those two areas are solid.


"In the case of disability claims, that's a number we can see because the claims are in the system and we can measure decisions going out the door, so that's one I am very confident of," he said. On the question of homelessness, "I am confident that we have taken veterans off the street."



Yellen foresees continued low borrowing rates


Federal Reserve Chair Janet Yellen said Wednesday that the U.S. economy is improving but noted that the job market remains "far from satisfactory" and inflation is still below the Fed's target rate.


Speaking to Congress' Joint Economic Committee, Yellen said that as a result, she expects low borrowing rates will continue to be needed for a "considerable time."


Yellen's comments echo earlier signals that the Fed has no intention of acting soon to raise its key target for short-term interest rates even though the job market has strengthened and economic growth is poised to rebound this year. The Fed has kept short-term rates at a record low near zero since December 2008.


At the same time, Yellen cautioned that geopolitical tensions, a renewal of financial stress in emerging markets and a faltering housing recovery pose potential threats.


In response to a question, Yellen described rising income disparities in the United States as a "very worrisome trend" that could undercut economic stability and democratic principles. But she cautioned that "it's hard to get clear evidence" that pay or wealth disparities have slowed economic growth.


Sen. Roger Wicker, R-Mississippi, argued that the Fed's own policies had helped widen the wealth gap in the United States: The Fed-engineered low rates, intended to fuel the economy, have boosted stock prices and wealth for the richest Americans, Wicker contended.


Yellen countered that low rates had strengthened overall economic growth and helped home prices recover from the housing bust, thereby helping ordinary households.


Rep. Kevin Brady, R-Texas, the committee chairman, pressed Yellen to specify when the Fed might start raising short-term rates and how it will act to pare its record holdings of Treasury and mortgage bonds.


Yellen said she couldn't give a date. But she said the Fed expects to begin raising rates when it sees enough progress in restoring full employment and when inflation has returned to its target of 2 percent.


She pointed to the Fed's latest quarterly economic forecasts, which showed that most members expect the Fed to begin raising short-term rates in 2015 or 2016.


Yellen noted that even when the Fed's bond purchases end, it intends to maintain its high level of holdings and will begin to reduce them only when the economy can withstand the pullback. The Fed's record investment portfolio exceeds $4 trillion.


But Yellen also stressed that the Fed wants to avoid past mistakes of keeping its policies loose for too long and thereby fueling inflation. She noted the prolonged bout of high inflation of the 1970s.


"The lessons of that period are very real to all of us, and none of us want to make that mistake again," Yellen said.


Yellen's testimony marked her first chance to discuss the economy since the Fed met last week and the government said Friday that the economy added 288,000 jobs in April, the biggest hiring surge in two years. The unemployment rate dropped to 6.3 percent, its lowest point since 2008, from 6.7 percent in March.


But the unemployment rate fell that far because many fewer people began looking for work in April, thereby reducing the number of unemployed. The proportion of Americans who either have a job or are looking for one has reached a three-decade low.


On Wednesday, Yellen cautioned that the share of the unemployed who have been out of work for more than six months and the number of people working part time who would prefer a full-time job were at historic highs.


She also said weak wage gains are a signal of a subpar job market.


Still, at last week's Fed meeting, the central bank indicated that it saw signs of a strengthening economy. It approved a fourth $10 billion reduction in its monthly bond purchases to $45 billion, down from an original $85 billion. The Fed has been buying bonds to try to keep long-term rates low.


The Fed is expected to end its bond purchases by year's end. But even when it does, the Fed will maintain its holdings at a record level above $4 trillion and provide continued downward pressure on long-term rates.


Last week, the Fed reiterated its expectation that short-term rates would remain near zero for a "considerable time" after the bond buying program ends. Yellen repeated that language Wednesday.


"Many Americans who want a job are still unemployed, inflation continues to run below (the Fed's) longer-run objectives and work remains to further strengthen our financial system," she said.


In a speech last month, Yellen had stressed the need for the Fed to remain flexible in deciding how to manage interest rates. She said that it was important to be able to respond to "significant unexpected twists and turns the economy may make."


Many Republicans have expressed concerns that the Fed's low-rate programs are raising the risks of financial market instability and high inflation in the future.


Addressing those concerns, Yellen said the Fed recognized that an extended period of low rates could foster risky behavior in which bond investors "reach for yield" and thereby take on greater risks.


She said there was some evidence that this was occurring in the market for junk bonds where "underwriting standards have loosened." But she said the risks so far appears "modest."



AP Economics Writer Josh Boak contributed to this report.


2 weeks to go for 2018 Super Bowl hopeful cities


Organizers of Minnesota's bid for the 2018 Super Bowl said Wednesday that local companies have already stepped up to cover most of the costs.


Richard Davis, co-chair of the bid committee and chief executive of U.S. Bancorp, told reporters that just within the first seven days of the drive, local companies pledged enough money to cover 75 percent of the estimated $30 million to $40 million needed to defray the costs. They expect to line up the rest within the next few weeks.


Davis and his fellow co-chairs gave reporters few details about the 180-page proposal they submitted to NFL team owners and officials on iPads donated by locally based Best Buy Co. Inc. He said they didn't want to divulge their "secret weapons" to Indianapolis and New Orleans, the other cities competing for the 2018 game.


The three cities will make their presentations to NFL team owners in two weeks and a decision is expected soon after.


Minneapolis last hosted the 1992 Super Bowl. Indianapolis hosted it in 2012. New Orleans has hosted it 10 times, most recently in 2013.


New Orleans also is keeping some specifics of its bid confidential, but, if successful, intends to promote the Super Bowl as the kickoff to the city's 300th anniversary celebration.


"A good portion of our bid focuses on the year 2018, which will be a major milestone for the city with a number of new capital improvement projects benefiting the Super Bowl," said Sam Joffray, a spokesman for the Greater New Orleans Sports Foundation.


Those projects include upgrades to the state-owned Superdome, additional streetcar lines and new public spaces such as the riverfront Crescent Park, not far from the French Quarter.


"New Orleans presented a very flexible bid allowing the NFL a number of choices in terms of how they would like to configure the Super Bowl footprint for official events and fan activities at multiple venues," Joffray said.


Indianapolis bid leaders released details of their plan Wednesday, highlighted by the news that Colts owner Jim Irsay is expected to make the final pitch for his city to fellow owners on May 19 in Atlanta. Irsay has been undergoing treatment since March when he was arrested near his home in an Indianapolis suburb. The arrest report said he had $29,000 in cash and bottles of prescription drugs in his car.


Davis said the Minnesota proposal includes tax rebates that would be a fraction of the extra revenue the state stands to collect if it's chosen to host the game.


Mostly, Davis and his fellow co-chairs stuck to broad themes about the benefits to the community and the NFL and the chance to show off — on an international stage — Minnesota in winter and the Vikings' futuristic new indoor stadium now rising from a pit where the old Metrodome once stood. Davis said they'll also highlight how a February 2018 Super Bowl in Minneapolis would come just a week ahead of the Winter Olympics. The festivities would be coordinated with other events such as the St. Paul Winter Carnival.


"We're going to celebrate winter. And we should, because we do it well — better than anyone. We're going to talk to the owners about how it's about time that the NFL brought America's game around the country, like a caravan, and started taking it out from the southern states and bring it around to the rest of the world. We should be the first," Davis said.


Davis said the $1 billion new stadium will be "the biggest and the best in the NFL" with some of the closest seating to the field.


The co-chairs said any Super Bowl bid requires some tax breaks but promised that state and local governments will come out ahead on taxes. Some of the breaks will require legislative approval, they said, while an exemption from state sales taxes for Super Bowl tickets remains on the books from 1992. They said political leaders have provided assurances there won't be a problem.



AP Sports Writers Brett Martel and Michael Marot contributed to this report.


Lamar narrows first-quarter loss


Baton Rouge-based Lamar Advertising Co. lowered its first-quarter losses to $4.8 million, or 5 cents per share, compared to $10.3 million, or 11 cents per share, a year ago.


The outdoor advertising giant increased revenue to $284.9 million, compared to $276.6 million a year ago.


The Advocate reports (http://bit.ly/1irAMAs ) the company's results fell short of Wall Street's forecasts.


However, Lamar said Wednesday its loss reflects the company's status as regular domestic C Corporation for federal income tax purposes. If the company converts to a Real Estate Investment Trust, the company said its tax expenses would be lower. The trusts don't have to pay corporate income taxes on profits if at least 90 percent of profits go to shareholders.


Lamar is expected to convert to a REIT in 2014. Although shareholders must still approve the switch, the company said the Internal Revenue Service has signed off on the conversion. The company completed the internal restructuring needed to comply with REIT rules in 2013.


The company reported Funds From Operations of $60.4 million, compared to $59.3 million a year ago. The company's Adjusted Funds From Operations was $58.8 million, up from $50.2 million a year ago. Those numbers have not been adjusted to reflect the lower tax expenses Lamar would have as a REIT.


Lamar said it expects second-quarter revenue to fall in the range of $331 million to $334 million, an increase of 1 percent to 2 percent.



New Mexico oil country struggles as cities boom


The oil field trucks and big rigs rumble through morning and night, creating a first-ever rush hour in this otherwise sleepy 1960s-era tourist and mining town. Hotel rooms along the clogged two-lane highway are mostly booked, some of them fetching nightly rates that rival those in Manhattan.


Businesses desperate for workers will hire anyone who can pass a drug test, locals say. Finding a house, however, is another issue. So is getting a hamburger at the local McDonald's, where crowds make a meal a drawn-out ordeal.


Carlsbad is centered in one of the most productive regions of the oil-rich Permian Basin, which is concentrated in Texas and stretches into New Mexico. The basin has long been a robust oil corridor, but the discovery of rich fields in southeastern New Mexico and advances in drilling technology have transformed once-quiet cities like Carlsbad into boom towns.


As a result, the city of 26,000 people is struggling to keep up with its fast-growing population and the accompanying challenges, from housing shortages, higher crime rates and a spike in deadly accidents between big rigs and cars on narrow country roads. It's one of the few areas of New Mexico experiencing an economic boom.


"We just can't keep up," Carlsbad Mayor Dale Janway said.


The upswing mirrors those in North Dakota and Montana where the discovery of oil turned towns into thriving cities virtually overnight, creating similar issues of crime, road safety and lack of housing.


Despite the growing pains of New Mexico's boom, the oil industry points to the economic benefits it can bring in the form of jobs, business development and taxes. An industry trade group says it's worked with governments to solve problems like housing.


With more workers pouring into the state, crime has been rising. Last month, police say an oil worker from Texas admitted killing his visiting girlfriend after an argument in a local bar.


But officials here and in the nearby city of Hobbs say the biggest challenge is keeping up with housing demand and other infrastructure needs.


Lexi Allen of Hobbs said she and her family got a letter ordering them to move from the mobile home they rented for seven years after an oil company offered her landlord $2,000 a month to house its workers. Allen was paying $1,300 monthly.


"They didn't even have the courtesy to talk to us," Allen said. "It said we were offered more money by the oil company ... so you have to be out in 30 days."


New apartment complexes have waiting lists as soon as construction starts. RV parks are overflowing with oil workers and families, who have given up on finding anything else affordable. And roadside hotel brands like the Hampton Inn and Holiday Inn Express are charging as much as $300 a night.


"We have a new society out there that's called an RV society," Hobbs real estate broker Bobby Shaw said.


The problem is that the oil industry has the unique ability to expand almost overnight, Hobbs Mayor Sam Cobb said.


"You can stand up a drilling rig in two days. Twenty-five jobs are created that quickly," said Cobb, whose town has been struggling for years to build enough houses and hotels to catch up.


And given the region's boom-and-bust history, some development is hampered by an underlying fear that the riches will fade as fast as they came.


"There isn't a major lender in the country that hasn't had some foreclosed property in the energy sector," Cobb said.


Wally Drangmeister, a spokesman for the New Mexico Oil and Gas Association, said the group has met with members of Congress and local lawmakers, working to expedite housing and underscore challenges that accompany quick expansions.


"There's obviously not a silver bullet answer for things like the housing or the roads, but we've been active, we've been trying to do everything we can to be supportive," he said.


Drangmeister acknowledged communities' fears of a bust.


"We don't know any more than anybody what the price of oil will be in the future," he said, adding that there will be high levels of development "as far as the eye can see" if prices stay above $80 per barrel.


Carlsbad, meanwhile, is struggling to adapt to the influx of transient oil workers, a new breed for a city that previously existed more along the fringe of oil country. Past booms here have brought miners, scientists to the federal government's underground nuclear waste dump and tourists visiting Carlsbad Caverns National Park.


Eddy County, where the city is located, last year became the top oil-producing county in New Mexico, pumping out 51.5 million barrels of crude.


In Carlsbad, perhaps the biggest public safety danger is the unchecked heavy truck traffic and DWIs on the narrow rural roads lined by oil rigs, said Janway, the mayor. Eddy County has already recorded nine roadway fatalities this year, compared with 15 in all of 2013.


Janway recently sent a letter to Gov. Susana Martinez, pleading for help to increase patrols on rural roads.


The city also is struggling to meet housing demands. It's working on annexing a new master-planned community that would ultimately house about 9,000 people south of town.


Still, housing is less of a challenge in Carlsbad than in the traditionally more oil-dependent Hobbs, Janway said, because it never suffered the long bust and subsequent dramatic boom. But Carlsbad trails in attracting retail, restaurants and hotels because of its more remote location, he said.


With each new business comes increased competition for workers. The McDonald's in Carlsbad is offering up to $55,000 a year for a manager. Virtually every company in Hobbs has posted a help-wanted sign.


"We cannot even begin, though our economic development corporation, chamber of commerce, to consciously go out on an employment campaign across the country because if we had 100 people come to town hunting for jobs we'd have no place for them to live," Shaw said.



U.S. to Help Nigeria in the Search for Kidnapped Girls

More than three weeks ago, on the night of April 14, a group of militants kidnapped more than 200 teenage girls from the Government Girls Secondary School in Chibok, Nigeria. In a video released earlier this week, Abubakar Shekau, who leads the terrorist organization Boko Haram based in northeast Nigeria, claimed that his group was behind the kidnappings.


“I abducted your girls,” Shekau said, adding that Boko Haram was holding the girls and would “sell them in the market.”


Yesterday, while talking with Al Roker of “The Today Show,” President Obama called it a “terrible situation,” and explained that the U.S. will send military and law enforcement advisors to Nigeria support its efforts to find and free the girls:



Boko Haram, this terrorist organization that’s been operating in Nigeria, has been killing people and innocent civilians for a very long time. We’ve always identified them as one of the worst local or regional terrorist organizations there is out there. But I can only imagine what the parents are going through.


So what we’ve done is we have offered -- and it’s been accepted -- help from our military and law enforcement officials. We’re going to do everything we can to provide assistance to them. In the short term, our goal obviously is to help the international community and the Nigerian government as a team to do everything we can to recover these young ladies. But we’re also going to have to deal with the broader problem of organizations like this that can cause such havoc in people’s day-to-day lives.



In additional comments with Ginger Zee of “Good Morning America,” the President shared his hope that, after the teenage girls are rescued, this event will help “mobilize the entire international community to finally do something against this horrendous organization that’s perpetrated such a terrible crime.”


Legendary TV producer Asmar released on bail


BEIRUT: Legendary television producer Simon Asmar was released on bail Wednesday after spending nearly one year in prison over murder charges, a judicial source told The Daily Star.


The 71-year-old Asmar, who was released from the Batroun prison, was arrested in summer 2013 over the killing of a Syrian national.


He was initially detained in the Kesrouan town of Ghazir over outstanding debts. But during the probe, police discovered that Asmar had links to Syrian national Mohammad Ragheb Darwish who reportedly worked in his restaurant.


Darwish was found shot and stabbed to death on the outskirts of Shahtoul, another town in Kesrouan.


Police also investigated witness testimonies alleging that Asmar and Darwish were engaged in a sexual relationship, claims categorically denied at the time by Bachir Asmar, Simon’s son.


The Asmars could not be reached by The Daily Star for a comment on Wednesday.


A prominent director and producer, Asmar, is best known as the creator of the Middle East’s earliest talent shows Studio al-Fan (Art Studio).


Studio al-Fan launched the careers of countless Lebanese pop stars, including Majida al-Roumi, Ragheb Alama, Nawal Zoghby, Wael Kfoury and Assi al-Hellani, among others.


Asmar worked at prominent Lebanese television stations. He kicked off his career at the state-run Tele Liban and in 1985 thanks to good ties with late President Bashir Gemayel, he moved to LBCI, Lebanon’s first private sector TV channel. At the time LBCI was owned by Gemayel’s Lebanese Forces.


He left LBCI in the early 2000s and joined Murr TV after it re-launched in 2009.


Asmar produced several widely popular game shows throughout his career including Bab al-Haz (Gate of Luck), Laylet Haz (A Lucky Night), Ahla bi Hal Tali (You’re welcome).


Asmar’s collaboration with late charismatic TV presenter Riad Sharara has marked the history of Lebanese TV.



Floods in the Bekaa Valley due to unseasonal rains


BEIRUT: Several areas in the Bekaa Valley were flooded due to unseasonal heavy rains Wednesday, a phenomenon expected to happen again in the next two days, according to a source at the Meteorology Department of the Rafik Hariri International Airport.


Floods covered swathes of land in the village of Ras Baalbek and blocked roads in the village of al-Qaa.


Speaking to The Daily Star, the source said that the country would witness sporadic rain on Thursday and Friday.


He expected that the rainfall would become heavier in Bekaa Valley areas where floods could happen again.


The source expected temperatures to drop to 21 degrees Celsius on the coast and range between 12 to 18 degrees Celsius on the mountains and between 12 to 20 degrees Celsius in the Bekaa Valley.


Temperatures significantly dropped Tuesday, following days of warm winds and high temperatures.


Several people were injured when six vehicles crashed into each other in north Lebanon due to bad weather conditions.


The weather also caused high waves on Beirut’s Ain al-Mreisseh road, causing heavy congestion on the bustling seaside street. In the coastal city of Sidon, high waves forced many fishermen to return to the docks and remain indoors. – The Daily Star



Court sets arguments in Biloxi hospital dispute

The Associated Press



The Mississippi Court of Appeals will referee a dispute between Gulf Coast hospital systems over the location of a proposed new medical center in Biloxi.


The court will hear oral arguments June 12 in Jackson from Singing River Health System, which opposes the new hospital, and Health Management Associates, which wants to build it.


State health officials issued a certificate-of-need for the project in 2012. Singing River sued the state, saying there already are too many unfilled beds in the area and a new hospital would worsen the situation.


A state judge ruled for the Mississippi Department of Health.


Health Management Associates argues it is not proposing a new hospital, but is replacing one left in ruin by Hurricane Katrina in 2005.


A ruling is expected later in the year.



Aspen Surgical to expand operations in Puerto Rico


A disposable surgical supplies company is investing more than $3 million to expand its operations in Puerto Rico.


Aspen Surgical Puerto Rico said Wednesday that it will improve its operational efficiency and add 30 new jobs to its plant in the eastern town of Las Piedras.


The Michigan-based Hill-Rom Company said there are currently 200 workers at that plant, which produces some 110 million razor blades a year.


The announcement comes as Puerto Rico seeks to diversify its economy and strengthen its manufacturing sector amid a recession.



Editorials from around Pennsylvania


Editorials from around Pennsylvania:


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STATE'S JOBLESS RATE INDICATES A POSITIVE TREND


This is a political year on the state level, so it's best to just stick to the numbers when considering Pennsylvania's unemployment figures.


According to the state Department of Labor and Industry, Pennsylvania's jobless rate in March was 6 percent.


That's below the national jobless rate of 6.7 percent.


The data also marks a drop in the number of unemployed state residents for the eighth consecutive month, falling 8,000 to 390,000 in March.


Pennsylvania's labor force — the number of people working or searching for work — rose by 12,000 in March.


You will be bombarded by advertisements and political stump speeches in the coming months highlighting how horrible the state's economic situation is.


While the state's economy clearly needs to be better, it is not the quagmire it is often made out to be.


The numbers don't support the cries of economic disaster area.


And the jobs situation is clearly better than it was five years ago.


Eight consecutive months of lower unemployment represents more than a statistical or seasonal quirk.


It is short of a long-term trend but certainly an indicator of a state that is yielding some economic opportunity.


—Williamsport Sun-Gazette


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TIME TO LET PA. VOTER ID LAW GO


You might have missed it amid the Benghazi thundering on Fox and the airplane searching on CNN. But a Commonwealth Court judge has denied a request that he reconsider his earlier ruling that struck down Pennsylvania's 2012 voter ID law.


Judge Bernard L. McGinley initially torpedoed the law in January. On Monday, he issued another decision shrugging off Gov. Tom Corbett's insistence that he revisit the case. McGinley said the law did not "provide liberal access to compliant photo ID" and deprived "numerous electors of their fundamental right to vote, so vital to our democracy."


Well, of course it does. That's the point. State party officials and lawmakers have openly admitted that the main reason the law was passed by the Republican-dominated Legislature was to make it easier for Republicans to win elections.


Let's think about how.


In the first place, as observers noted immediately after Corbett signed the law, having to produce an ID to vote fundamentally changes the nature of voting. What was once a welcoming, participatory process suddenly becomes an adversarial, exclusionary transaction fraught with suspicion. Right or wrong, that alone might be enough to keep people away from polling places.


Far more likely is that those who really want to show up will do so, and produce their ID to a poll worker they've known for decades. Except, you know, those who don't have approved IDs. Those people would be given a provisional ballot that wouldn't count unless they made an extra effort after the election at a different location to prove their identity. Many might jump those extra hurdles, and many might not.


We shouldn't be in the business of erecting barriers to voting in front of anyone. But it also happens that the people who would most likely be affected by voter ID laws are African-American, Hispanic, elders who no longer drive, college students, and more generally people of lower academic attainment of all ethnicities and backgrounds. As voting blocs most of those groups lean toward Democrats.


The overall effect is that voter ID laws reduce turnout, and consensus of those who have studied the matter is that turnout suppression hovers about 2 to 3 percent. Which seems small, until you realize that statewide elections involve millions of registered voters. The legitimacy of an election as an expression of the will of the people hinges most on voter turnout, and we shouldn't be doing anything to actively reduce it.


So McGinley should be applauded for taking a stand. He's not the only one, either. A federal judge on Tuesday struck down a similar law in Wisconsin, noting the twin troubles that also played roles in McGinley's decision: The disenfranchisement of voters and the sheer impossibility of proving that voter impersonation is a problem. Because it isn't. It's the unicorn of voter fraud, due to its absurdly small risk-to-reward ratio. It's also the only form of voting fraud that voter ID laws can prevent.


At this point, Corbett's only option is to appeal to the state Supreme Court. He really shouldn't. The law has been suspended (once again) for this year's elections, but the state has wasted millions of dollars on this boondoggle and it's time to give it up.


—(Chambersburg) Public Opinion


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PA. PROPERTY TAX REFORM MOVING AT SNAIL'S PACE


The wheels of justice have nothing on property tax reform and education funding in this state.


Both grind away at a snail's pace.


In the meantime, senior citizens and others on fixed incomes struggle to meet the bane of the Pennsylvania homeowner, the yolk of paying for public education on the backs of those who deign to own property.


With the state preparing for a battle royal of an election in which a bevy of Democrats are running to unseat Gov. Tom Corbett, it's not surprising that education funding is zooming to the top of the list of hot issues in the race. Corbett is taking heat for the austere budgets in his first three years in office, ones that squeezed local education funding. The governor insists he's gotten a bad rap, saying that the real culprit in recent education funding crises are local school boards who ignored warnings not to use federal stimulus funds for recurring projects. When the federal money dried up, the local boards hit up taxpayers to make up the difference.


Everybody agrees education funding is a critical issue. That's the easy part. Where to get it is a little harder. There is a growing push to tap into the state's burgeoning Marcellus Shale regions for new revenue. Corbett remains steadfast against any such move, fearful that it will drive the drillers — and the economic boom — out of the state.


This week the heat on property tax reform will be cranked up even more, with the possibility that the state Senate will vote on Senate Bill 76, which would eliminate property taxes. The bill's sponsor, Sen. David Argall, R-Schuylkill County, believes he has the votes to pass the measure, which would make up the revenue from property taxes by hiking both the personal income tax and sales tax. The income tax would go to 4.34 percent, from the current 3.07, while the sales tax would inch up to 7 percent from the current 6 percent levy.


As you might expect, not everyone is a fan. State business groups have lined up against the plan, wary of the hit small businesses would take in terms of the sales tax. Not terribly surprisingly, the Pennsylvania School Boards Association blasted the bill in advance of the expected vote.


The state did not get in this mess overnight, seeing the state's portion of education spending fall from 50 percent in the mid-1970s to where it stands today, a miserly less than 34 percent. That leaves Pennsylvania in a lowly 47th position nationwide in education funding. Getting out of this hole will not be easy, or without pain. In addition, the focus on revenue does nothing to address the many underlying causes of soaring education tabs, things like state mandates, pension costs, special education and charter school issues.


Not helping in the least was news this week that the state's finances were less than rosy. In fact, despite the governor's constant trumpeting of an economic turnaround, the state is in the red, staring at a $1 billion deficit. Corbett's budget proposal calls for 3.7 percent more spending, with much of that money earmarked for a new grant program for public schools, and feeding the public pension crisis. That pension saga, which Corbett has referred to as a "tapeworm" in the budget process, threatens to derail the entire budget process, leaving public school administrators with skyrocketing costs, which could end up in the lap of taxpayers.


All of which leaves us a bit mystified as to why Corbett and state officials abandoned an important shift in how education funds were allocated a couple of years ago. The result of a costing-out study, did something not always popular in Harrisburg, directing money where it was needed most. In other words, to ailing districts like so many here in Southeastern Pennsylvania and Delaware County hit hard by increasing poverty levels, with a large population of English as Second Language learners, and struggling to keep pace with special education and charter school costs.


Act 61, which stemmed from the costing-out study, included a formula to more equitably allocate funding. Unfortunately, fearful of the cost, the formula was only in place for a few years when Corbett pulled the plug.


The governor this year has gone on record as saying he believes the state is in dire need of "a true, fair funding system" for education the state's children.


We couldn't agree more, and we've been saying so for months.


Might we make this one small suggestion: Why not use as a starting point returning to the funding formula already put in place by the costing-out study and Act 61. It proved effective in getting more money into the hands of those districts that needed it most.


The property tax reform questions are not going away any time soon. This would be a good place to start.


—The (Pottstown) Mercury



EPA pledges cooperation in internal investigations


The Environmental Protection Agency assured Congress on Wednesday it will resolve a sensational dispute with its inspector general over allegations that an EPA office run by President Barack Obama's top political staff interfered with independent investigations.


EPA's deputy administrator, Bob Perciasepe, told the House Oversight and Government Reform committee that he will instruct EPA's little-known Office of Homeland Security to seek permission to share information with the inspector general's office.


The announcement came during a congressional hearing after a top investigator with the inspector general testified that the office, run out of the EPA administrator's office, had for years systematically refused to share information on external threats, computer security and employee misconduct, citing national security.


The 10-person office was initially set up in 2003 by then Administrator Christine Todd Whitman to coordinate EPA activities such as hazardous materials cleanup and water contamination that can stem from terrorist attacks.


In 2012, the office signed an agreement with the FBI to be the point of contact for all investigations with a national security connection. But Patrick Sullivan, an assistant EPA inspector general for investigations, told lawmakers that national security was an excuse to keep his office in the dark on misconduct allegations.


"I have zero visibility on what the Office of Homeland Security is doing. That is the problem," Sullivan said.


In response, Deputy EPA administrator Bob Perciasepe said he would direct the office to seek permission of the FBI to be more forthcoming with the agency.


"We do not want to have a problem with the inspector general's access," said Perciasepe, adding that since Obama took office EPA personnel had cooperated with more than 2,600 audits and investigations.


"The vast majority of work is done efficiently, appropriately and with good result," he said.


The turf battle between the two offices is the latest under the Obama administration to question the effective independence of the government's inspectors general, which are also political appointments but are expected to work outside any political influence.


Two weeks ago, the Homeland Security Department put its former inspector general on administrative leave after senators concluded that he was too cozy with senior DHS officials and improperly rewrote, delayed or classified some critical reports to accommodate Obama's political appointees.


Last year, the Defense Department's inspector general removed material from a draft report that concluded then-Defense Secretary Leon Panetta had improperly disclosed classified information about the raid that killed Osama bin Laden to a producer for the movie "Zero Dark Thirty."


The dispute between the inspector general's office and the EPA's homeland security office came to a head last year when Republicans in Congress investigated the agency's handling of John C. Beale, a former deputy assistant administrator. He pleaded guilty in federal court last fall to stealing $886,186 between 2000 and April 2013, falsely claiming he was working undercover for the CIA. The Beale case was initially investigated by the homeland security office months before the IG's office was made aware of it.


Chairman Darrell Issa, R-Calif., said EPA leadership prevents the inspector general's office from doing its job. Issa highlighted other cases of employee misconduct inside the EPA, including one employee who confessed to spending hours viewing pornography at work and another selling jewelry and weight loss pills out of her office. Those cases are under investigation by the IG, and one has been referred to the Justice Department.


"Until (the inspector general's office) is allowed to do their job to extent they are mandated we will never know more about John Beale and cases like that," Issa said.


The committee's top Democrat, Rep. Elijah Cummings of Maryland, characterized the issue as a jurisdictional dispute. He said the IG's office, EPA senior leadership and the FBI are sitting down next week to work out a resolution. But even he expressed frustration with the EPA's ability to get its internal affairs in order.


"It's a damn shame," he said, "we had to call a hearing for you all to communicate."



Surgeon, Mom, Republican — But Conservative Enough?



Oregon Republican Senate candidate Monica Wehby, right, talks to supporter Marvin Hausman in Lake Oswego, Ore. Wehby has drawn national attention and money in her effort to win her party's nomination.i i


hide captionOregon Republican Senate candidate Monica Wehby, right, talks to supporter Marvin Hausman in Lake Oswego, Ore. Wehby has drawn national attention and money in her effort to win her party's nomination.



Jonathan J. Cooper/AP

Oregon Republican Senate candidate Monica Wehby, right, talks to supporter Marvin Hausman in Lake Oswego, Ore. Wehby has drawn national attention and money in her effort to win her party's nomination.



Oregon Republican Senate candidate Monica Wehby, right, talks to supporter Marvin Hausman in Lake Oswego, Ore. Wehby has drawn national attention and money in her effort to win her party's nomination.


Jonathan J. Cooper/AP


Monica Wehby is the Senate candidate Republicans have been waiting for: a camera-ready pediatric neurosurgeon, mother of four, in a party that desperately needs to elect more women.


Make that a candidate some Republicans have been waiting for.


The GOP establishment that wants her to be the party's Senate nominee in Oregon this fall has showered her with big money, attention and endorsements from the likes of Newt Gingrich, Mitt Romney and more than a dozen sitting senators.


But she's hit some resistance from conservatives — and from another Republican with a story as compelling as her own.


Wehby, 51, a moderate on social issues, is considered by many to be the best positioned Republican to put in play the blue state seat held by one-term Democratic Sen. Jeff Merkley. And she's already begun developing a national profile.


"She would put this race on the map," says Jennifer Duffy, senior political analyst at the non-partisan Cook Political Report.


"Democrats," she says, already scrambling to defend more than a half dozen in-play Senate seats, "don't want that to happen."


In an early salvo, the Oregon Democratic Party this week filed an election law complaint claiming that Wehby had improperly coordinated campaign activities with a super PAC supported by a lumber company executive she's close to.


But Wehby is also facing strong and familiar criticism from within her own party that she's not conservative enough on social issues – particularly on abortion, which she has said is a woman's choice.


"Monica Wehby has her way of describing herself as pro-life, which is a little disingenuous," says Gayle Atteberry, executive director of Oregon Right to Life. "She says she's pro-life because she saves little babies with her medical skills, but the fact is she supports abortion rights."


Atteberry's group, which is backing the other top candidate in the primary race, social conservative state Rep. Jason Conger, 46, has launched fierce radio attacks against Wehby.


With polling in the primary race both scarce and unreliable, it's unclear whether the attacks have gotten traction with GOP primary voters. Or, conversely, whether voters have been persuaded by Wehby's well-funded effort, including a heart-tugging ad that featured her life-saving medical work and attracted national attention.


Wehby defeated Conger 182-131 in an early March straw poll at the Dorchester Conference, an annual party event founded five decades ago by former GOP Sen. Bob Packwood. Some social conservatives, however, boycotted and held a separate event. (Conger shuttled between the two.)


"The race is clearly between Dr. Wehby and Jason Conger," says former state GOP chairman Perry Atkinson. "And the two are representing the differences within the Republican Party."


Atkinson, president of a Christian broadcasting company in Medford, Ore., where he hosts a weekday program, says he's been careful not to endorse either candidate. But he says he believes that nominating more moderate Republicans like Wehby has not paid dividends in the liberal-leaning state.


Ronald Reagan, in 1980 and 1984, was the last Republican to carry the state in a presidential election. And a Republican hasn't captured a statewide race in Oregon since 2002 when moderate Gordon Smith won his second term as U.S. senator.


Merkley, 57, defeated Smith in his 2008 reelection bid, the same year Obama won the state by a 16-point margin. Obama captured nearly 55 percent of the vote four years later in the high-turnout state where Democrats have an 8-point voter registration advantage over Republicans. (About a third of Oregon's voters are not affiliated with either major party.)


"This is the frustration – we haven't been able to get a moderate Republican elected to anything, yet the establishment side of the party keeps bringing these candidates forward," Atkinson says.


Wehby's position on abortion and her tacit support of same-sex marriage — government, she has said, shouldn't be involved in personal decisions — stand in stark contrast to Conger's opposition to both.


She's also being dinged by Conger backers for her 2008 support of health care legislation written by Oregon's other U.S. senator, Democrat Ron Wyden, which had similarities to the federal Affordable Care Act. Wehby in 2009 appeared in a national television ad strongly criticizing Obamacare, though she has subsequently expressed support for aspects of it.


"She is saying she wants to repeal and replace Obamacare," Atkinson says. "That's a red flag for conservatives – repeal is one thing, replace is just putting another government program in place."


In interviews, Wehby has advocated scrapping the ACA and starting over.


The issue of Obamacare is in play in Oregon, which recently scrapped a failed $248 million-plus health care exchange system, which Conger voted for, and began directing residents instead to the federal exchange system.


The failure was so catastrophic — no one was enrolled through the exchange — that it was featured in a segment on the recent debut of comedian John Oliver's cable talk show, "Last Week Tonight." The sharp, mocking episode merited wide press coverage in the state, and illustrated the hurdle Merkley faces on the ACA issue in November.


"I think both Dr. Wehby and Jason Conger can whip Merkley," says state GOP chairman Art Robinson. "Both of them are very strong."


"Both candidates adhere to most Republican positions," he says.


National Republican leaders have clearly bet that Conger, the father of five and with a compelling biography that arcs from poverty and homelessness to Harvard Law School, will find his path to statewide success blocked by his opposition to abortion and same-sex marriage.


Packwood, who represented Oregon in the Senate for more than 26 years before resigning under an ethics cloud in 1995, has been brutally blunt.


"I cannot pick a guaranteed winner," he said during the Dorchester event in March. "But I can pick a guaranteed loser. Jason Conger is a guaranteed loser."


Wehby's path, however, is not without its own complications. The Oregonian reported Wednesday that surgeries performed by Wehby are under scrutiny in a medical child abuse case brought against a woman accused of putting her children through unnecessary procedures. Wehby has referred questions to her employer, Legacy Health. The case goes to trial one day before the official primary day, May 20.


Primary voting has already begun. Oregon is a vote-by-mail state, and election officials started mailing ballots to registered Republicans on April 30.


The editorial board of Portland's alternative newspaper, Willamette Week, last week surprised some with its endorsement of Conger in the GOP primary. The board allowed that while its members probably agreed on more issues with Wehby, they found her wobbly on some, and "all over the map" on Obamacare.


Conger, they concluded, is "far more prepared" to give the low-key, low-profile Merkley a stiff challenge.


Duffy, the political race analyst, however, rates the race in the "solid Democrat" category unless it's Wehby who emerges as the nominee. Then?


"I'll rethink the rating," she says. And the Democratic Senatorial Campaign Committee, struggling to keep the party in control of the Senate, may have to cough up some money for a race strategists never expected to worry about.