Subject: Daily News Clips 2/19/14
From: "Sam Losow" <[email-masked]>
To: "undisclosed-recipients:"
Date: Wed, 19 Feb 2014 11:02:23 -0500

*National News:*

*CBO says raising the minimum wage will cost 500,000 jobs*
The Congressional Budget Office released a
report<http://theweek.com/article/index/256563/does-obama-have-a-cbo-problem>
on
Tuesday forecasting that raising the federal minimum wage to $10 would cost
the economy 500,000 jobs, but would also help nearly a million Americans climb
out of poverty<http://theweek.com/article/index/256407/how-a-1010-minimum-wage-could-raise-46-million-americans-out-of-poverty>.
Polls showing three-fourths of the public favor increasing the minimum
wage, which Democrats want to push to $10.10 per hour from $7.25.
Republicans have called the proposal a certain job killer, but the Obama
administration said increased worker productivity would offset any
drawbacks. [*Reuters*<http://www.chicagotribune.com/business/sns-rt-us-usa-wage-cbo-20140218,0,274811.story>
]

..........................................................................................

*Obama calls for higher fuel-economy requirements for trucks*
President Obama on Tuesday said his administration would impose tougher
fuel economy standards for medium-size and heavy trucks by 2016. Obama said
boosting the mileage of the nation's truck fleet would make the U.S. less
dependent on imported oil, save consumers money, and reduce pollution blamed
for climate change<http://theweek.com/article/index/255504/why-climate-change-is-inevitable>.
"It's not just a win-win. It's a win, win, win," Obama said at a Maryland
distribution center for Safeway, where he was flanked by two delivery
trucks. "You got three wins." [*Al Jazeera
America*<http://america.aljazeera.com/articles/2014/2/18/obama-fuel-efficiencycarbonpollutioncoalregulationsepa.html>
]

..........................................................................................

*Los Angeles Archdiocese makes $17-million settlement in abuse case*
The Catholic Archdiocese of Los Angeles has agreed to pay $13 million to 17
men who said they were sexually molested as children by a visiting Mexican
priest in 1987, lawyers said Tuesday. The cleric, Nicholas Aguilar-Rivera,
spent nine months at two Los Angeles parishes, then fled to Mexico days
before police were notified of the abuse allegations. He was never charged.
Lawyers for the alleged victims accused Archbishop Roger Mahony and his top
aide with letting Aguilar-Rivera flee. [*Los Angeles
Times*<http://www.latimes.com/local/lanow/la-me-ln-la-archdiocese-settlement-20140218,0,2602019.story#ixzz2tNbZJ6Jh>
]
..........................................................................................

*Tesla stock jumps on speculation of a merger with Apple*
Shares of Tesla Motors surged by 2.8 percent to close above $200 for the
first time on Tuesday, after a report on a 2013 meeting between the
electric-car maker's CEO, Elon Musk, and Apple's head of mergers and
acquisitions fueled speculation that the iPhone and iPad maker might buy
Tesla. Both Tesla and Apple declined to comment. Tesla, maker of the trendy
Model S sedan, reports quarterly earnings on Wednesday. It's stock was
already hot, having risen fivefold since last February. [*Bloomberg
News*<http://www.sfgate.com/business/bloomberg/article/Tesla-Shares-Rise-to-Record-on-Apple-Acquisition-5245837.php>
]

..........................................................................................
The huge downside to fracking that everyone is
ignoring<http://theweek.com/article/index/256547/the-huge-downside-to-fracking-that-everyone-is-ignoring>

Indeed, fracking has caused major economic booms in places like North
Dakota and southern Texas, which are awash in a sea of drilling money. The
U.S. market is swamped with cheap natural gas, and even some
environmentalists have lauded the fracking boom, largely because natural
gas tends to displace coal, a much dirtier fuel that is both polluting our
air and driving climate change.

However, there are reasons to be skeptical of this success story. The
environmental benefits of natural gas are critically dependent on the
security of pipelines and generators involved in fracking, which entails
shooting a slurry of chemicals into shale rock, an intensive process that
can unleash many dangerous pollutants and chemicals if drillers aren't
responsible.

One of those chemicals is methane, a much more powerful greenhouse gas than
carbon dioxide. Even small leaks can seriously erode any climate benefits
provided by natural gas. And if there are such leaks and pollution, then
fracking must be stopped, and fairly soon.

*Ukraine police rush protesters in bloodiest clash of uprising*
Ukrainian riot police launched a new assault on protesters in Kiev's
Independence Square on Wednesday as the death toll from Tuesday clashes
rose to 25. The dead included nine police officers, 15 protesters, and a
journalist. Tuesday's violence was the deadliest since the at-first peaceful
protests broke out<http://theweek.com/article/index/255371/has-ukraine-passed-the-point-of-peaceful-resolution>
three
months ago after President Viktor Yanukovych scrapped promises to make a
trade deal with Europe, and took a Russian
bailout<http://theweek.com/article/index/256568/russia-is-winning-the-battle-for-ukraine>
instead.
The government called the clashes an attempted coup; the E.U. threatened
sanctions. [BBC News
<http://www.bbc.co.uk/news/world-europe-26252679>,
CNN<http://edition.cnn.com/2014/02/18/world/europe/ukraine-protests/index.html?hpt=hp_t1>
]
..........................................................................................

DSCC raised $6.55 million in
January<http://www.politico.com/story/2014/02/dscc-january-numbers-103637.html?hp=l12>
The Democratic Senatorial Campaign Committee raised $6.55 million last
month -- nearly $2 million more than its Republican counterpart and the best
January in its history.

The DSCC has $15 million cash on hand and $2.5 million in debt, a source
told POLITICO.

President Barack Obama has committed to at least six DSCC fundraisers in
2014. The first two are expected to be held in New York and Washington in
the next few weeks.The National Republican Senatorial Committee announced
Tuesday that it raised $4.62 million in January. It has $10 million cash on
hand and no debt.

DSCC officials said they have raised $59.2 million so far this cycle, $18
million more than the NRSC.

*2016 Presidential News:*

Climate billionaire aims to set stage for
2016<http://www.politico.com/story/2014/02/tom-steyer-political-spending-103636.html?hp=f2>
California billionaire Tom Steyer turned heads in Washington with the news
that he plans to spend $100 million to help make climate change a defining
issue in this year's elections.

But it gets even bigger: The hedge fund executive turned green activist
might be willing to lay out even more than that eye-popping number, and
he's looking to spend it in places that are also important for 2016.

Steyer's strategy calls for targeting races including Senate or
gubernatorial contests in Iowa, New Hampshire, Florida and possibly
Pennsylvania -- all key battlegrounds in presidential politics, sources
familiar with the plan told POLITICO on Tuesday.

The fleshed-out details paint a picture of a big-pocketed donor who is
going beyond his early efforts to help individual Democrats, such as
Massachusetts Sen. Ed Markey and Virginia Gov. Terry McAuliffe, as well as
address specific issues like the Keystone XL pipeline -- and instead wants
to give his signature climate cause a starring role in the next
presidential race.

..........................................................................................

Ryan keeping 2016 options
open<http://www.politico.com/story/2014/02/paul-ryan-2016-election-103653.html?hp=l20>
MANCHESTER, N.H. -- Rep. Paul Ryan, the most recent Republican nominee for
vice president, said Tuesday he's keeping his options open about a
prospective run for president but won't look at the 2016 contest in earnest
until after Congress breaks for the year.

Ryan (R-Wis.) said he is focused on his job as House Budget Committee
chairman and would "worry about those things later on."

Ryan briefly visited New Hampshire's largest city to headline a Tuesday
night fundraiser for a former House colleague, Frank Guinta, who is running
for the seat he lost in 2012 -- the year GOP presidential nominee Mitt
Romney and Ryan lost their bid against Democrats Barack Obama and Joe Biden.

..........................................................................................

Probes could complicate Walker's 2016
plans<http://www.washingtonpost.com/politics/scott-walker-eyeing-2016-faces-fallout-from-investigations-as-ex-aides-e-mails-are-released/2014/02/18/8b26bfa4-98b2-11e3-b931-0204122c514b_story.html>

MILWAUKEE -- Wisconsin Gov. Scott Walker, who has been eyeing a 2016
presidential run since his battles with labor unions made him a Republican
star, is in the midst of dealing with the fallout of two criminal
investigations at home that could complicate his move to the national stage.

One is ongoing, and while the other is now closed with no allegations of
wrongdoing by Walker, it has the lingering potential to embarrass him.
*Biden News:*

Biden urges restraint in
Ukraine<http://www.politico.com/story/2014/02/joe-biden-viktor-yanukovych-ukraine-103638.html?hp=l13>
WASHINGTON -- Vice President Joe Biden has called Ukraine's president to
express "grave concern" about violent clashes in the capital of Kiev.

The White House says Biden called on President Viktor Yanukovych on Tuesday
to pull back government forces and exercise maximum restraint. Riot police
armed with stun guns and water cannons attacked a protest camp in Kiev
Tuesday, killing at least 18 people and injuring hundreds.

Biden has spoken frequently with Yanukovych during the standoff between the
government and protesters.The White House says Biden made clear that while
the United States condemns violence by all parties, the government bears
"special responsibility to de-escalate the situation." Biden also called on
Ukraine's government to address the protestors' "legitimate grievances" and
put forward proposals for political reform.

*Opinion:*

North Korea isn't Nazi Germany -- in some ways, it's
worse<http://theweek.com/article/index/256523/north-korea-isnt-nazi-germany-mdash-in-some-ways-its-worse>

On Monday, the United Nations released a scathing report on North Korea,
strongly criticizing its alleged human rights abuses as without "any
parallel in the contemporary world." The36-page report and its 373-page
addendum<http://www.ohchr.org/EN/HRBodies/HRC/CoIDPRK/Pages/ReportoftheCommissionofInquiryDPRK.aspx>
add
gruesome details to what the world already knew or at least suspected:
North Korea is a totalitarian state that, as official policy, does some pretty
awful things<http://www.telegraph.co.uk/news/worldnews/asia/northkorea/10645015/North-Korea-10-starkest-paragraphs-from-UN-report.html>
to
its citizens and quashes most basic freedoms.

The United Nations Commission of Inquiry on human rights in the Democratic
People's Republic of Korea, led by retired Australian judge Michael Kirby,
based its report on a year of public
hearings<http://www.un.org/apps/news/story.asp?NewsID=47160&Cr=Korea&Cr1=#.UwM8t0JdXw0>with
about 80 witnesses and private, confidential interviews with another 240
victims, including people who'd spent time in North Korean prison camps,
and other experts. North Korea did not allow the U.N. team into the country
to collect information firsthand.

Pyongyang's "crimes against humanity entail extermination, murder,
enslavement, torture, imprisonment, rape, forced abortions and other sexual
violence, persecution on political, religious, racial and gender grounds,
the forcible transfer of populations, the enforced disappearance of
persons, and the inhumane act of knowingly causing prolonged starvation,"
the report says. It includes satellite photos and grisly cartoon images of
life inside North Koran gulags, based on interviews with survivors:
..........................................................................................

Change the Rules on Secret
Money<http://www.nytimes.com/2014/02/19/opinion/change-the-rules-on-secret-money.html?partner=rssnyt&emc=rss>In
November, when the Internal Revenue Service finally stirred itself to
propose a modest crackdown on the abuse of the tax code by political
groups, it was immediately attacked by tax-exempt nonprofit groups on the
right. That wasn't too surprising; secret donations from conservatives to
these groups are the principal reason American politics is now dominated by
those with huge bank accounts.

But now liberal tax-exempt groups are also raising their voice in
protestover the I.R.S.'s plans, afraid that they will be caught in the same
crackdown, and will be unable to engage in political activity. The best
thing the I.R.S. can do is to ignore both sides and proceed swiftly ahead,
making its proposed rules even stronger to squeeze the influence of money
out of politics.

*DE News:*

Bill to combat prescription drug abuse wins Senate approval

Legislation drafted by Attorney General Beau Biden's office and introduced
by two registered nurses was unanimously approved by the state Senate.

House Bill 154, sponsored by Rep. Rebecca Walker, D-Townsend, and Sen.
Bethany Hall-Long, D-Middletown, seeks to ensure that medications
prescribed to patients are not diverted into the wrong hands. It passed the
House unanimously in June 2013. It is part of a two-bill package that
Biden, Hall-Long and Walker introduced last spring to increase the state's
efforts to fight prescription drug abuse.

Last year when the bill was unveiled Biden said "Prescription drug abuse is
a growing problem in Delaware and around the country, and we need to do
more to stop it. This proposal will hold offenders accountable for putting
patients at risk and reduce the flow of prescription narcotics into the
black market. While our state has taken much-needed action in recent years
to combat the epidemic, addicts and dealers are finding new ways to game
the system and steal from patients."

Specifically, HB 154 would create a new criminal offense of "Medication
Diversion" that applies to anyone who intentionally diverts prescription
narcotics from patients who are under the care of a healthcare program in
medical or other 24-hour facilities such as hospitals, group homes, or
nursing homes. This felony-level charge subjects offenders - whether
licensed healthcare workers who provide treatment to patients, patients'
family members or their visitors, or non-healthcare workers employed by
programs and facilities that serve patients - to potential jail time. In
addition, a conviction more adequately subjects offenders to being placed
on the Adult Abuse Registry and more specifically addresses criminal
conduct that subjects an individual to professional licensing discipline as
opposed to current law which subjects an offender to a misdemeanor-level
conviction for theft.

"As a nurse, I felt this legislation is an important step in combating
prescription drug abuse," Walker said. "This will award broader protections
to the patients we care for, the family members we love and the communities
we serve. There must be accountability and consequence."

Hall-Long, the measure's chief Senate sponsor said she hopes the bill will
put a damper on efforts to divert drugs from medical facilities. "This is
important because there is an unfortunate issue with staff who have
diverted drugs from patients and sold them," Hall-Long said. "This is a
problem we need to deal with, both for the good of patients and the general
safety of the community and I think this legislation helps us reach that
goal."

The other bill in the package, Senate Bill 119, was approved by the General
Assembly and signed into law last summer. The measure enhances Delaware's
prescription monitoring efforts to respond to the recognition that
increasing numbers of addicts are turning to emergency rooms and urgent
care clinics to obtain narcotics as enhanced enforcement has limited
previous sources of drugs. The bill's chief provisions limit all medical
facilities except licensed pharmacies from dispending more than a 72-hour
supply of a controlled substance to patients and requires all dispensers to
enter any prescription of a controlled substance into the state's
Prescription Monitoring Program, just as pharmacies are currently required
to do.
..........................................................................................

*Law signed limiting Treasurer Flowers' authority*

Gov. Jack Markell signed legislation last week limiting state Treasurer
Chip Flowers' ability to manage the state's $2 billion cash portfolio, the
governor's office announced Tuesday in a release rounding up signed bills.

The new law, quietly signed Friday, spells out theCash Management Policy
Board's role in investing the state's cash portfolio, and Flowers'
responsibility to carry out the board's wishes, even if he disagrees with
them.

Flowers, who has also battled state budget officials over travel expenses
for his former deputy, repeatedly clashed with the appointed board and has
opposed the measure, saying lawmakers are giving the unelected board
members too much power. Board members argue Flowers has attempted to exert
inappropriate control over investments in the portfolio.

"My Valentine's Day gift was a box of chocolates for my girlfriend and over
$44 million in returns to the people," Flowers said in a written statement.
"The governor's gift was giving the Treasury to the Cash Board and
proposing tax increases."

The measure, backed by Democrat leadership in the General Assembly and the
governor, sprung up last year after board members appointed by Markell
pleaded for legislation that would settle the ongoing dispute.

The governor's office issued a statement Tuesday saying the new law "should
clear up any confusion about the process for investing taxpayer funds" and
allows "the board to continue to make these decisions as it has without
significant incident for more than 30 years."

Markell served as treasurer before being elected governor.

Flowers traded jabs with leadership during the hearing, saying he trying to
watch out for the state's taxpayers and is wading through "uncomfortable"
situations with the board.

Barney launches treasurer primary against Flowers

The law doesn't give him appeal rights on board decisions, Flowers said,
and gives him no authority to act if he's uncomfortable with a board
decision. Flowers is a member of the board.

..........................................................................................

*Auditor says lawmakers are jeopardizing investigations*
State Auditor Tom Wagner, the only Republican statewide officeholder, says
Democratic lawmakers are jeopardizing watchdog investigations of state
agencies by blocking higher pay for his employees, raises that were
approved months ago by the Delaware Office of Management and Budget.

"What is at risk is there are a lot of issues out at the state agency
level," Wagner said. "Those do not get looked at because there are not the
resources to do it."

In an interview, Sen. Harris McDowell, co-chair of the budget-writing Joint
Finance Committee and one of two lawmakers blocking new raises, took Wagner
to task for his complaint.

"Of all the thousands of people we turned down for requests last year,
including requests for money, he's the first one to cry about it," McDowell
said, who gave no specific reason for blocking raises.

Asked if the lower funding was preventing watchdog investigations of state
agencies, McDowell fired back, "What watchdog?"

Wagner appeared before the Joint Finance Committee on Tuesday, telling
lawmakers that "salary inequities" in his office have caused high turnover
among state auditors and difficulty hiring replacements. Wagner has 10
vacant auditing positions in his office. The starting salary for state
auditors is $32,500.

McDowell and Rep. Melanie George Smith, D-Bear, the other co-chair of the
budget-writing committee, have not given approval to the pay plan, which
would raise auditing salaries by 15-30 percent.

Kathleen Davies, Wagner's deputy, said the auditor's office is able to
perform its statutory duties, including overseeing an annual financial
audit of state agency spending and examining school construction budgets.
But other investigations are getting left behind.

"I really strongly believe that across the board, with our state agencies,
we're all doing a lot with less," Smith said.

Rep. Joe Miro, R-Pike Creek Valley, said the low levels of funding, and
staffing, in the auditor's office, could lead to a lack of transparency in
state government.

Study: Delaware legal defense of poor risks lawsuit

"It's hard for me to understand that in this environment that we live in,
when auditing a particular agency or particular government entity is so key
for the accountability," Miro said, "that we are preventing the auditor
from really conducting the type of work that will reveal some type of
perhaps inappropriateness."
..........................................................................................

*Does Wilmington help or hurt small businesses?*
We wish the people behind Eastside Rising the best of luck in launching an
incubator for startup businesses. There's been a lot of talk over the years
about creating jobs, but economists still believe the best indicator of a
thriving local economy is the number of start-up businesses.

In other words, the entrepreneur may be Wilmington's - or any city's - best
friend.

Eastside Rising is an effort to revitalize that section of the city. Part
of the plan is the establishment of the Eastside Rising Economic
Empowerment Center.

It would help small businesses and entrepreneurs develop their ideas, which
in turn would stimulate the economy and create much-needed jobs.

"We're looking to revive the neighborhood back to what it once was,"
Wilmington Councilwoman Hanifa Shabazz said, "and that would require
businesses that provide goods and services, and also provide part-time
employment."

There also is the chance that these businesses would grow into larger
enterprises and create even more jobs.

It has happened in the past and it is happening in other cities now. The
desire to start a business is strong in many people and those with the
drive and ideas should be encouraged and helped.

Institutions like the Empowerment Center and movements like Eastside Rising
play a crucial role.

The role of government, however, is probably more important.

For example, to what extent do Wilmington's regulations and taxes help or
hinder entrepreneurs?

To what extent does the city's method of enforcing those regulations added
unneeded costs on businesses just starting to hatch?

Regulations, such as for fire and environmental safety, are necessary in
any community.

The challenge is in the way they are administered.

Does obtaining permits or getting inspections completed turn out to be an
onerous, costly and time-consuming task?

Or are they executed in a timely and efficient manner? The answer can mean
the difference between giving a startup business a chance at success and
trampling on

Edward Glaeser, a Harvard University economist, said a local economy's
health can be judged by how many small businesses exist outside the circle
of the dominant industry. The more of them there are, the greater is the
chance of growing more jobs.

Entrepreneurship develops in an ecosystem of its own. The better the
conditions are, the stronger it becomes. Soon a city or neighborhood with
the right qualities begins attracting more entrepreneurs. Not all of these
new businesses will be successful. But enough of them will help draw
like-minded individuals.

So what are the needed qualities? The quality of life matters. Crime and a
lack of city services hurt. Few businesses will thrive with piles of trash
on a neighbor's sidewalk.

The skills of the labor pool matter, too. That is why it is important that
local colleges are a part of the effort to attract creative business
people. The University of Delaware and Delaware State University have
programs on entrepreneurship. Delaware Technical Community College is a
nearby resource.

In his book "Triumph of the City," Professor Glaeser urges leaders to look
at the work of the economist Benjamin Chinitz from more than 50 years ago.

Professor Chinitz examined the entrepreneurial attitudes of New York City's
garment district and Pittsburgh's steel industry. The garment industry was
made up of small businesses. Knock one down, another popped up.

Pittsburgh's steel industry was top heavy and slow to react to change. New
York City continued to thrive, while Pittsburgh went into a long decline
when the steel industry faded.

New York, of course, is made up more than small businesses. So is
Wilmington. But creating a home for entrepreneurs would go a long way to
helping Wilmington thrive.

-- 

Sam Losow
*Finance Assistant*
Beau Biden, DE Attorney General
Office: (302) 295-8340
Cell: (202) 821-3399
[email-masked]