555 Banksy lawsuit drawing to conclusion

Last spring the 555 Gallery, a Detroit non-profit, salvaged artwork created by the world renowned anonymous, artist Banksy from the crumbling Packard plant. The action created quite a stir among Detroit's art community.

Was the work salvaged or stolen from the abandoned facility? A debate in the media and online ensued. As the story drew more attention, a group claiming to own the Packard Plant filed a suit against the 555 Gallery.

Friday July 11, 2010 Yahoo Wire Service via The Detroit News:  What began as a scandal in the Detroit art community has now, like so much in America, turned into a lawsuit.

Bioresource Inc., the company that claims to own the derelict Packard Motor Car plant on Detroit's east side, is suing the 555 Nonprofit Studio and Gallery in Detroit, demanding the return of a mural removed from the plant. Ownership of the plant has been the subject of a long-running legal dispute.

The art in question was allegedly painted by the celebrated English graffiti artist Banksy, who's won worldwide fame for his politically charged artworks.

Almost a year later the lawsuit is nearing an end. The legal question of who actually owns the Packard plant seems to be behind the dropping of the suit. Pursing a suit case against the 555 Gallery could put the alleged owners (Bioresource Inc.) on a legal hook.

The suit against the 555 is asking for hundreds of thousands of dollars, the City of Detroit wants the owners to raze the structure and that costs a lot more. Why try to sue for thousands  if the result would be (by admitting ownership) paying potentially millions to Detroit?

555 Gallery Director Carl Goines says the whole ordeal should be wrapped up within two weeks. "The plaintiffs unexpectedly dropped the suit last week, so it's in the public record. But it's  not completely done."

Goines says the lawyer representing Bioresource Inc is requesting the 555 Gallery pay his legal fees.

The 555 board of directors will meet and make a decision on a response to the lawyer's request. According to Goines if the suit is not completely dropped, depositions are scheduled to begin in April.

Goines did not say what the future holds for the Banksy piece. Banksy works have sold for as much as $500,000. He was the subject of a 2011 academy award nominated documentary.

Le Nain Rouge racist? the origins of Detroit's newest celebration

This Sunday, hundreds of Detroiters will participate in the second annual Marche du Nain Rouge. It is based on a mythical, evil creature known as Le Nain Rouge or Red Dwarf that inhabits the city. The supposed purpose of this parade is to appease this creature as spring approaches.

Anyone and everyone is encouraged to join in this Mardi Gras, Carnival style parade. The crazier the attire, the better. This year's march includes the Detroit Party Marching Band and non-motorized chariots. It starts at the corner of Forest and 3rd, just south of Wayne State. It concludes at Cass Park.

Marche du Nain Rouge: La Marche du Nain Rouge is an annual Detroit tradition that purportedly dates back to shortly after the city’s founding by the French in 1701. Annually held on the Sunday closest to the Vernal (Spring) Equinox, it is parade and street theater similar in sensibility to Mardi Gras and other Carnival celebrations. However the impetus for La Marche is different.
La Marche drives Le Nain Rouge (The Red Dwarf) out of Detroit, preventing its evil spirit from plaguing the people of the city for the rest of the year. By forcing Le Nain Rouge from the city (and into the spirit plane), Le Nain is banished, transforming Detroiters’ fears and doubts into the hopes of new life and the coming Spring season.

It seems like a great tradition has been revived but the parade has been viewed with suspicion by some in Detroit political activist circles.The irony of celebrating a bunch of "white" people (French colonists) running a "red man" (Le Nain Rouge) off his land is, at the very least, odd.

To compound the matter, the parade takes place in Midtown (other wise known as the Cass Corridor to hardcore Detroiters). It is a neighborhood that is experiencing an economic revival. Major employers in the area are offering employees incentives to move there. It is part of a master plan to revitalize the neighborhood.

But revitalization to some is gentrification to others. And the vast majority of parade participants are part of the growing white population in Detroit. Hmmm......

Looking at things this way could easily make one question the parade. That is, if the history of the Le Nain Rouge Parade was accurate.

One of the organizers of the celebration, on the condition anonymity, admitted to detroitblank that the story of French settlers holding a parade is a complete fabrication. In other words, there never was a parade. Notice the use of the word "purportedly" on their site.

However, that does not mean the parade has no historical basis. Accounts of Le Nain Rouge can be traced to the Ottawa tribe that lived near Detroit. The tribe did not live near the banks of the Detroit River because they believed there was an entity, similar to the description of Le Nain Rouge. It probably made Cadillac's (Detroit's founder) task of constructing a fort easier. No locals crying NIMBY (not in my back yard).


Jay Shem of the Little River Band of Ottawas says the tribe recognized such creatures. In their language, the creatures like Le Nain Rouge are called "pukwujie." The entities or spirits live near rivers. If one is discovered, the tribe will hold an annual appeasement ritual.

Sunday's parade may be honoring a fake French tradition, but honors (without realizing it) an Ottawa tradition.

And if local bands of Ottawas recognized the entity that became known as the Le Nain Rouge, any arguments about the racial overtones of the modern celebration are mute.

UAW supports tailpipe regulations, prepares for contract strategy sessions

The United Auto Workers union is busy these days. Yesterday, UAW president Bob King addressed the  House Energy and Commerce Committee. As part of the BlueGreen Alliance, a consortium of four environmental groups and 10 unions, King urged Congress to keep tailpipe regulations.

March 15, The Detroit News:  UAW President Bob King said the regulation of tailpipe emissions has been a "win-win" for the auto sector.

"This is a pretty simple equation: new technologies required by such standards bring additional content on each vehicle, and that requires more engineers, more managers, and more construction and production workers," said King. "Meanwhile, we achieve greater oil independence for our nation and a cleaner, healthier environment for ourselves and our children."

The proposed legislation would remove the Environmental Protection Agency's authority to regulate greenhouse gas emissions under the Clean Air Act. If it passed it would return power to set standards for fuel economy back to the National Highway Traffic Safety Administration.

In theory, the Republican sponsored legislation would be a job maker, because there would be less regulation. It also stops states like California from creating their own standards.

The BlueGreen Alliance argues standards create jobs.

In addition to testifying before congress, the UAW is preparing for upcoming strategy sessions next week. Contracts with Ford, Chrysler and GM expire this September. UAW President King says workers should share in rewards after the past decades sacrifices.

March 16, Crain's Detroit Business: King, 64, will negotiate new contracts this year with General Motors Co., Ford Motor Co., and Chrysler Group While the agreements don't expire until September, King has said workers must be rewarded for sacrifices they made to help the automakers survive.

He said UAW members each gave $7,000 to $30,000 in concessions since 2005."All the sacrifices that our members made to turn these companies around were part of the process that's really led to this amazing turnaround," King said in a January interview. "We want our membership to share in a very meaningful way in the upside of these companies."

This year's contract negotiations are the most important yet for the UAW.

After decades of shedding jobs, the U.S. auto industry (thanks to a govt. bailout to GM and Chrysler) is slowly rebounding.

Ford executives were recently rewarded handsomely for steering the company from the brink.  Are workers going to be rewarded as well?

UAW workers did not make the executive decisions that nearly destroyed the U.S. auto industry. But they did pay a price in terms of decreases in wage and benefits and loss of jobs.

They have been given the stick, will they finally get a carrot?

 

Belle Isle: beaches, bar-b-ques, and.... vineyards?

A group of wine producers called Detroit City Cellars wants to build a 10 acre vineyard on the island. A winery would be located in the Belle Isle Casino building.

Their proposal is gaining momentum. The Michigan Economic Development Corporation has written a letter in support of the project.

March 16, Detroit Crain's Business: In a letter, the MEDC (Michigan Economic Development Corporation) says the winery and vineyard will bring tourism to the city.

"The combination of grape growing on Belle Isle and winemaking/wine tasting in a compelling venue like the historical casino building will draw new visitors to Detroit," George Zimmermann, vice president of Travel Michigan, said in the letter.

John Burtka, owner of three wineries including Jackson-based Cherry Creek Old Schoolhouse Winery, hopes to open the Detroit winery in the Belle Isle Casino.

Belle Isle is the largest city owned park in the United States. It's history of being a free park for all the public to enjoy is a source of pride for many Detroiters. Will residents accept a private business on public land?

A Belle Isle winery would be the first in the metro region. It could potentially increase tourism and bring more people to the island who might never visit otherwise. Sitting on the shores of the Detroit River, sipping a Detroit wine is a delicious image.

Further details are needed for the winery to gain more support. It is unclear what government entity would have to give final approval before vineyard construction begins.

The group wants to start planting a plot on the east-side of the island by the lighthouse in May.

Detroit Teachers Union promises legal battle over charter conversion provisions

Detroit Public School's Emergency Financial Manager Robert Bobb's plan to convert 41 under performing schools to charters schools would save the district millions.

The district would generate revenue from renting out the buildings and save money by not having to close down, secure and patrol vacant campuses.

But the Detroit Federation of Teachers says not so fast.

March 16, The Detroit News: Keith Johnson, president of the teachers union, said DPS Emergency Financial Manager Robert Bobb had told him that because the schools would be chartered by DPS, teachers would fall under the current collective bargaining agreement and be entitled to the same benefits, including state pensions.

"It now appears what he wants to do is issue these schools as charters and not have to deal with part of the pension plan," Johnson said. "That's an admission you failed in your responsibility as an EFM."

Johnson says the teacher's union will use every legal option available. The public to charter school conversion process could become bogged down in a legal war of attrition.

Well, that's a possibility under today's law on the power of an EFM. But tomorrow is another day.

Governor Snyder is ready to sign a bill to give EFM's like Bobb, greater control. Bobb's new powers could potentially negate any legal maneuvering by Detroit's teachers union.

The Detroit Federation of Teachers would have to challenge the legality of the soon to be signed EFM bill. Even if the union won in court, decisions would likely be appealed to the State Supreme Court. Republicans hold a 5 -2 majority, so the new EFM bill probably wouldn't be overturned.

How far is the teacher's union willing to go? How much money can it spend on lawyers?

And what about the group most affected by the changes, the children who attend schools in Detroit? They are pawns on a convoluted chess board. Just how many will be lost as this game is played out?

Detroit Charter Commision supports council by district

In 2009, Detroit voters elected a new commission to rewrite the city charter. Flaws in the current charter, only recently revised in the 1990s, were revealed during the Kilpatrick administration. Vague wording left the City Council powerless to remove Mayor Kilpatrick.


Besides the Kilpatrick saga, public spats at council meetings were made (in)famous by the Internet. Those episodes left a bad taste in voter's mouths.


Currently, The nine Detroit City Council members are elected at large in a city wide vote. That will change.

 March 16, The Detroit News:  The panel has tackled the most controversial issue that helped bring it together in 2009: electing council members by districts. Still undecided, though, is how much power the council would have in day-to-day affairs.

    "That balance is the most important part of the discussion," said Detroit-based political analyst Eric Foster. "If the council has the same power and influence as they do today, they will be an unproductive, politically ineffective operating body. If you balance it out between the two, then you have a good check and balance structure that exists.

    Electing council by districts, rather than citywide, has been a contentious issue in Detroit for nearly two decades. Aside from Columbus, Ohio, Detroit is the last big U.S. city that elects all nine members at-large. Residents indicated they wanted to switch to districts in a non-binding 2009 referendum.

Of all the issues facing the charter commission, council by district will be the biggest change. Right now, five council members reside in Northwest Detroit, three in the Midtown/Downtown area, and one on the Eastside.


The configuration leaves huge areas of  the 139 sq mile city with no council members living in the vicinity.

In the past, the at-large system led to potentially unqualified candidates who used name recognition to claim or retain a seat. (cough...) Remember Martha Reeves and federal inmate No. 43693-039 a.k.a. Monica Conyers?


The charter is not releasing details. But it appears it will give the current council the power to draw districts. It could follow the Detroit Public School district setup: 7 districts, with 2 at large seats. The districts would simply use the same borders as the school system.

Other Charter recommendations require candidates to live in the districts they want to represent for at least one year prior to an election. After an election, council members would have to live in the district they represent.

The charter will also recommend the Council President be elected by it's members, rather than receiving the most overall votes in the general election.Former television and radio reporter and current Detroit Council President Charles Pugh had no prior legislative experience before his election to the current council.

Are there winners and losers?

• Current council members may have to relocate to retain a seat, but after years of neglect, would they be popular in the neighborhoods they move to? 

• Detroit residents would finally have a council member beholden to their districts. Street lights out? Call your council member

• The predominantly Latino Southwest Detroit, with it's growing population, would finally have representation.

•  If the council is split between districts and at-large seats, residents will have more than just their district representative to call on.

Further details may come as soon as this Saturday. The new charter will be on the November ballot.

The ultimate question is, will a new council configuration make a difference in the life of an average Detroiter? Only time will tell.

Homes sales in Metro-Detroit fall as foreclosures thin

Legal questions about bank procedures are slowing foreclosures across the nation. The result in Metro Detroit has been a decline in home sales.

The Detroit News, March 15:The region's nonforeclosure sales increased 10.7 percent from February 2010, but sales of foreclosed properties dropped 16.6percent, for a total sales drop of 4.9 percent, according to Realcomp II Ltd., the Farmington Hills multiple listing service.

The reason, says Realcomp Chief Executive Officer Karen Kage, is that fewer foreclosed properties are coming on the market, a trend seen in the 15.2percent decline in total listings during the month.

"That's because there are far fewer foreclosures on the market," Kage said. "But as foreclosures come on the the market, I think we're going to see them sell quickly."

In more simple language, home sales are declining  because the über-cheap foreclosed properties are no longer as plentiful.

The Obama administration has been setting up programs to help homeowners avoid foreclosures. The measures are important to hard hit areas like Metro-Detroit.

However, recent moves by the House of Representatives may limit those programs.

The most pressing issue for many metro-municipalities is when will property values begin to rebound?

Local and state revenue is tied to property values. When folks stay in their home, property values stabilize and that's a good thing for local communities and local governments.

On the flip side, when folks are able to stay in their homes, those homes are not put on the market. Hence, sales drop. What is good for the real estate goose is not necessarily good for the Michigander.

Romulus Police Department served warrant

Michigan State Police in conjunction with F.B.I. visited the Romulus Police Department. It was not an ordinary visit. They were there to serve a warrant.

Michigan Radio News, March 15: The Michigan State Police are saying little about a search warrant served today at the Romulus Police Department.

State Police Inspector Garth Burnside would only confirm that state troopers, along with FBI agents and the Wayne County Prosecutors Office served the warrant at 7 a.m. this morning.

No details were released on why the Romulus Police Department was searched. Officials stated it was part of an ongoing investigation.

Romulus is located is Southwest Wayne County, close to the border with Monroe County. Last month two Michigan State Troopers were arrested and charged with running a criminal syndicate out of nearby Monroe.

It is also worth noting that Romulus is home to two idle injection wells. Detroit businessman Dimitrious “Jim” Papas tried to purchase the wells a few years back. His name is mentioned in the F.B.I. case against former Detroit Mayor Kwame Kilpatrick.

Fight over new International crossing heats up as it nears conclusion

In his first State of State address Republican Governor Rick Snyder revealed his new bridge cards. Like on many issues, Snyder did not give too many specifics during the campaign about his opinion on the competing  visions.

Surprising many Republicans, Snyder threw his full support behind the publicly owned Detroit International river Crossing (DRIC). Snyder concluded as a businessman that DRIC is good for Michigan business. But that has not stopped the Ambassador Bridge Company to use every weapon available to stop it.

The Detroit Free Press, March 15:
And the governor's team is upping the ante to win over reluctant legislators.

The governor's office already announced in January that the federal government would count Canada's $550-million advance payment to pay to connect the bridge to expressways on the Detroit side of the border as a local match for federal highway funding for Michigan.

But Ambassador Bridge owner Manuel (Matty) Moroun is lining up his big guns to stop a publicly owned bridge that will compete with his privately owned span.

Moroun has hired Fox News conservative commentator Dick Morris as a spokesman for the project, and he has launched a series of ads claiming that the publicly owned bridge would cost Michigan taxpayers $100 million a year to cover shortfalls in operating costs.

This battle is expected. According to Forbes magazine, Ambassador Bridge owner Matty Moroun is one of the 400 richest Americans. He and his company will use every monetary, media, and legal move possible to stop a public bridge and maintain its monopoly. What business owner would not fight to keep his business as profitable as possible?

However, the choice between a public and private bridge is not that simple. If the Michigan legislature approves the DRIC project, construction could start quickly. The Ambassador Bridge Company's proposed twin span may never gain approval, particularly in Canada. It could takes years, perhaps decades of lawsuits.

Republican Oakland County executive L. Brooks Patterson says "The DRIC is the only game in town. If we don’t partner with Canada on this deal and accept its offer of funding, the only alternative is to sit back and watch New York builds its fifth span. I encourage support on this important project.”

Can Governor Snyder convince fellow republicans that hurting one private business (the Ambassador Bridge Company) is far better than hurting all Michigan business?

Jury begins deliberations in Quiken Loans labor suit

A suit against Detroit based Quiken Loans is in its final stages. More than 300 former employees of the mortgage company filed the suit in federal court. The trial began in February 

They allege Quiken owes them, under a federal law, overtime pay for their 60 hour work weeks. The jury starts deliberations today.

The Detroit Free Press, March 15:
An attorney for the former employees, Paul Lukas, displayed e-mails to the jury during the trial to show that Quicken Loans repeatedly referred to its "sales" teams.

He explained how the workers sat at computers, made phone calls and tried to get people to agree to a loan and pay $500 to get an application started.

The average pay was $40,000 a year -- "good money, but not when you're working 60 hours a week," Lukas said.

Quiken's lawyer Mayer Morganroth (made famous in Detroit for his work in the Kilpatrick scandals) argues the workers are professionals, like doctors and  lawyers, and therefore, exempt from overtime pay.

The jury's decision may come down to semantics. Depending on how exactly the Federal law is written could be the determining factor. Jurors may have a hard time swallowing the argument that cold-calling consumers about loan applications from a cubicle is the same as a 14 hour heart surgery.

Morganroth, arguing for Quiken Loans said, "None of the plaintiffs kept track of their hours. There was no reason to do that. They were salary, not hourly,"

Regardless of the jury's decision, a precedent will be set. And there's a good chance that the loser will appeal to a higher court.

Detroit could get first taste of new EFM powers, Charter decision could be Bobb's alone

The Detroit Public School system could very well be the first to experience the proposed new powers of Emergency Financial Managers. DPS emergency financial manager Robert Bobb recently suggested converting 41 failing public schools to charter schools. He says this is a better alternative to putting 60 kids in a class.

Today, the decision is up to the elected school board. By the end of the week, the decision could be solely in the hands of former Gov. Granholm appointed Robert Bobb.

The Detroit News March 15:
The Michigan House and Senate this week are reconciling bills that would radically increase the authority of emergency financial managers. The changes called for in the bills would shift control over charter schools to Bobb.

Last week, the state Senate approved a measure that would allow emergency financial managers to throw out union contracts and overrule elected officials in financially distressed municipalities and school districts. Similar legislation passed in the House in February. Once differences are resolved, a final version can be sent to Gov. Rick Snyder for his signature.

The legislation grants emergency financial managers of school districts total authority over academics and curriculum. And that would include charter schools, DPS spokesman Steve Wasko said Monday.

Despite large protests planned in Lansing this week, the Michigan legislature looks poised to pass a bill to give EFMs new and sweeping powers. Governor Snyder has indicated he will sign the bill.

Michigan's first city, Detroit, will most likely be the first to taste the new EFM power's medicine. Detroit Public School's EFM Robert Bobb has to act. He is required by his contract to get the  DPS's financial house in order. The district is hundreds of millions of dollars in the hole. Detroit is poor and despite some signs of economic revival in specific neighborhood's, is getting poorer.

The options for Bobb range from bad to worse. No one wants to put 60 kids in a classroom, but something must be done. Bobb will soon have the power to make unilateral decisions, without the consent of the elected school board.

Whatever Bobb's decision is, who will be held responsible for them in the long term? Bobb's contract ends this year. He has indicated he is not going to stay. He will soon leave Detroit and it's failing public school system behind.

That is the big problem with the GOP backed EFM bill. Whether you you agree with it or not, the bill removes responsibility from elected officials and gives it to an autocratic manager with no responsibility or connections to the communities they affect.

The next two years will allow Detroiters and Michiganians a chance to see if they can stomach this harsh form of fiscal medicine.

Conyers says Obama needs to help Detroit

Speaking to the National Press Club, U.S. Rep. John Conyers openly criticized President Obama for not being pro-active enough on job creation in Detroit. The octogenarian lawmaker asserts his district, situated mostly in the city, is suffering from a 1930s style depression. Conyers says Detroit has an unemployment of 38%.

March 14, The Detroit News: The auto industry won't create enough jobs to fill all the gaps, said Conyers, the ranking Democrat on the House Judiciary Committee.

"With the auto industry decimated, we're not likely to get those jobs back in that industry. So the government has to come in and do the hiring," Conyers said. "Without that, Obama's going to have a difficult time, because creating jobs is the last economic indicator that improves when you are coming out of a deep recession. It's a big problem. But I don't think he's tackling jobs the way I'd like to see him tackle it."
Conyers has introduced legislation to boost government hiring to combat unemployment.

Conyers has every right to ask, or even is obliged to demand the President to help his battered district. However, his proposed legislation has little chance of moving forward in the GOP controlled U.S. House.

Today's announcement begs to question, where was Conyers during the first two years of the Obama Administration? As a senior lawmaker (he was first elected in 1964), he had the bully pulpit to bring attention to Detroit. The unemployment rates were roughly the same in 2009 as in 2011.

If a legislator is measured by how well his district is doing, where does Rep. Conyers stand? Will he resign or run again? It's a solid Democratic district any challengers will have to come from within the party.

Ask residents of the 14th district if things are better now than in 1964, you'll get some interesting answers.

struggle to keep Troy libraries open continues

Troy resident Edward Kempen is on a crusade. He wants Troy to keep its public library system running. Kempen led a campaign to keep Troy libraries open last fall by means a city ordinance amendment. This time he wants to put the issue directly before the voters. He is collecting petitions.

March 14, The Oakland Press: Kempen’s latest petition reads: In order to assure affordable access to quality local library service, and to honor the spirit of Section 2.2(W) of this charter, the City of Troy shall dedicate funds from its general operating fund sufficient to operate and maintain a public library open to the public for not less than 55 hours each week.

As opposed to a city ordinance amendment, Kempen said, “A charter amendment allows you to set the character for the city, something that residents want as a permanent part of the city and the oath of office says that elected officials are to uphold.”

Kempen first petition was rejected in February by Oakland Circuit Judge Denise Langford Morris. Judge Morris decided that the petition “would impair the efficient administration of the municipality and therefore concludes it is not legislative."

Troy City Council in a 5-2 vote on Feb. 21 decided not place the library system on the budget table.

Kempen is not deterred in his quest. He says,  “Since I’ve been involved with this I’m not going to give it up until it’s accomplished.”

He has been recently joined by two children Ariela and Elian Yashinsky in the petition drive.

Public libraries across Metro-Detroit have experienced an increase in patronage, even as budgets have been slashed during the economic recession. They provide access to books, films and the Internet.. As job searching has been shifting to more and more cyber platforms, Internet access is becoming crucial for the unemployed.

The question for Troy residents specifically and all Metro-Detroit residents in general is: are public libraries worth paying taxes for?

If no action is taken in Troy, the libraries will shut their doors on April 30.

Detroit Incinerator meeting this week, tax breaks to be discussed

A public meeting involving the much-maligned Detroit Incinerator is coming up on Thursday. The meeting will provide information to the public about $4 million in brown-field tax incentives. The waste to energy facility provides steam to about 150 buildings in Midtown and Downtown Detroit.

March 14, The Detroit Free Press:  The City of Detroit Brownfield Redevelopment Authority will host public hearings Thursday on the Brownfield Tax Credit for the Detroit incinerator.

An informational session will be held at 5:30 p.m. The hearing on Detroit Thermal, which would purchase steam from the incinerator, begins at 6 p.m. and will be followed at 6:30 p.m. by a hearing on the incinerator, to be owned by Detroit Renewable Energy.

Built in the early 1980s amid much protest, the incinerator has been an issue of contention among environmentalists, civil rights activists and city budget watchers.It was built at a time when the costs of solid waste management and landfill fees were expected to explode, they haven't. Detroit would save money by sending its garbage to landfills instead of burning it.The incinerator was shut down temporarily in 2010.

The Incinerator is currently owned by Detroit Renewable Energy LLC which is owned by Detroit Thermal which is owned by the New England investment firm Atlas Holdings. The Incinerator is operated by the Greater Detroit Resource Recovery Authority (GDRRA), a quasi governmental board appointed by the City of Detroit. Simple enough.

There are recent accusations that GDRRA may owe Detroit $40 million.

The public is meeting is this Thursday at the College of Creative Studies. Will this hearing be another smoke screen or will it clear the air?

'Buy Detroit' initiative revs up Midtown's economic engine

The three major employer's in Detroit's Midtown district plan to spend money locally. Wayne State University, the Detroit Medical Center, and Henry Ford Health System are directing spending to focus on nearby vendors and suppliers.

March 11, The Detroit News:  Combined, the DMC, Henry Ford Health and Wayne State spend $1.6 billion a year on everything from dinner rolls to janitorial supplies, but less than 10 percent is spent in Detroit, said Katy Locker, program director for the Hudson-Webber Foundation, which is leading Midtown's revitalization.

The three institutions already have redirected nearly $400,000 in purchases to Detroit businesses, said Omar Blaik, founder and president of the Philadelphia-based consulting firm U3 Ventures, which Hudson-Webber and other organizations hired to help with Midtown's revitalization.

"We think the opportunities are in the tens of millions of dollars," Blaik said.

The move is part of the over-all vision of the three institutions to make Mid-town into an economic dynamo and first class urban residential neighborhood. The three are currently offering housing incentives to bring more employees to the area. Detroit Mayor Dave Bing says the influx of young urban professionals is essential for the revitalization of the city.

The 'Buy Detroit' campaign will expand over the next few years as current contracts with suppliers and vendors expire

Detroit needs committed employers and residents if it is to rebound. Wayne State University, Ford Health System and the DMC are stepping up to the plate. The questions is: who else is warming up in the on-deck circle?

consolidate or die: fiscal crunch forces Metro Detroit to face the facts of balkanization

Metro Detroit communities are exploring ways to consolidate services. Financial realities are forcing municipalities to consider options that have long been politically unpopular. Governor Snyder's proposed budget will reward local governments that work together.

March 14, The Detroit News:  The governor's 2012 budget proposal, unveiled last month, includes a $200 million incentive-based revenue sharing program for local governments that adopt "best practices" in regard to consolidation. He is expected to release more details this month to clarify his offer.

Communities would continue to get state-shared revenue guaranteed by the state Constitution, but Snyder wants to replace so-called statutory funds — which are distributed by the Legislature based on the amount cities received the previous year — with incentives for pooling services.

"Local governments had been collaborating on the easy, low-hanging fruit — the things that weren't really noticeable, like sharing building inspectors or joint payroll processing," he said. "Now, increasingly, they're looking at the bigger-ticket items like police and fire."

Detroit communities have a long history of going it alone. The roots are deep. During the early 20th century Henry Ford quickly moved his company to Highland Park and later Dearborn, to find a better deal. The Dodge brothers used all their politically might to ensure Hamtramck would not be incorporated into Detroit. The action kept Hamtramck a separate city and the Dodge brother's tax rates lower. These precedents set the course the Metro area was to follow the rest of the century. Detroit vs suburb, suburb vs suburb.

The system sort of worked when times were good but property values in the region are down 32 percent since 2007. That means less money for local governments.

One of the most obvious signs that Detroit communities are not working together is the area's two transportation departments;. D-Dot for the city, SMART for the suburbs.  The redundancy is big as a bus.

Communities that see the writing on wall have a head start. If local governments work together with close neighbors they will benefit separately and the Metro area benefits as a whole.

Municipalities that dither face drastic budget cuts or Emergency Financial Managers with their new potential powers. The choice for each is change now or be forced to change.

Japan's Big Three Stop Production, are US automakers ready to pick up slack?

Japan's big three automakers, Toyota Motor Corp., Nissan Motor Co. and Honda Motor Co. have shut down production. The moves comes after a massive earthquake and subsequent tsunami battered the island nation last Friday.

March 14 The Detroit News:  Toyota Motor Corp., Nissan Motor Co. and Honda Motor Co. reported damage to more than a dozen plants and facilities, mostly in and around the hardest-hit Tohoku region more than 200 miles north of Tokyo.

Toyota's big plants southwest of Tokyo were able to resume operations Friday, but the automaker is halting its domestic output for Monday as the country grapples with what Prime Minister Naoto Kan called the biggest crisis since World War II.

 "Toyota has decided to suspend production at all Toyota Motor Corp. plants, as well as all subsidiary vehicle-manufacturing plants on Monday," the automaker said.

The natural disasters affected more than a dozen auto plants and facilities owned by the three companies. Production is further impacted by the failure of nuclear power plants. The halt in production may not have any immediate impact in North America. Nissan, Honda, and Honda have major production centers in the United States.

However, as in any business, time is money. The longer the plants are closed, the greater the impact on Japan's auto industry. Even if the damage to the plants is assessed to be negligible questions remain.

• Will Japan be able to produce the energy the facilities need?
• Are shipping ports in good enough condition to move the vehicles out?
• If Japan is unable to produce energy, will it import more oil and thereby raising gas prices?

As repugnant as the thought may be, US automakers may benefit. If conditions in Japan worsen, automakers there will not be able to compete and the nation faces economic catastrophe. In the long term, the potential holes left in the car market will be filled by other manufacturers, particularly US automakers.

In the short term, Japan must figure out how to supply electricity. Right now, oil prices are dropping slightly because much of industrial Japan is shut down. But if Japan has to import more crude, world oil and gas prices could increase dramatically. $5 a gallon gas makes the Chevy Volt and other fuel efficient US vehicles even more palatable to consumers.

Borders is closing Detroit area stores and it's your fault

Hey you! yeah, you...Internet reader! What are you doing?!?  Don't you know you're hurting the economy and lowering property values?!!? Thanks to you (and me), book stores are closing.

You remember book stores, don't you? Y'know that place where, instead of reading electronically illuminated digital representations of ones and zeros, you'd grab a physical object with words in it that actually exists in time and space, peruse it ...and maybe get a coffee while you were there.

Well, thanks to your selfish efficiency and your constant need for instant information, there's going be huge holes in commercial districts.


March 9, The Detroit News

Borders Group Inc is sending more than 100,000 square feet of commercial space back into Metro Detroit's already glutted market, leaving potential holes in four communities where its superstores stand.
The store closings will hurt Dearborn, Ann Arbor and Utica, but the biggest impact will hit Grosse Pointe, where the shuttering of a nearly 18,900-square-foot superstore on Kercheval Avenue will loom large over the commercial district.

Okay, okay that intro might have been over the top, but it's true. Society, and specifically that way information is shared, is going through some big, big changes. Human systems of communication and information exchange wax and wane. From smoke signals, to carrier pigeons, to telegraph lines, to radio waves and now the Internet, modes of human interaction have changed but the impetus remains: humans want to communicate and share knowledge.

The written word has been around since the days of ancient Egyptian and Chinese civilizations. There is something in our tactile nature that makes us want to hold things. And the written word on paper has been one of the few consistent forms of information exchange to survive through to the modern age. However, the sun is setting on those days. Technology is forcing us forward, even if we don't like its immediate impact.

As we continue to progress, (dare I say evolve?) systems of  information exchange will change. One day the Internet will be recalled as fondly by some as the Western Union telegram are remembered by some today.

Unless there's a solar flare that fries the world's electrical system (don't laugh, it happened before) big bookstores will continue to close and holes in commercial districts will be left.

Don't worry, it's nobody's fault, it's everyone's fault.

Macomb County hitting speed bumps as it transitions to new form of governance

Macomb voters approved a new form of government a few years back. Replacing a system of twenty-some odd commissioners, the new system has fewer commissioners and a strong county executive. It is similar to the system used in neighboring Oakland County. 2011 is the first year for the system.

Last fall the voters of Macomb County elected Sheriff Mark Hackel as County Executive. It was a logical choice, Hackel has proven credentials and worked within the county government for a long time. Supporters of this new form believe it will create new opportunities and flexibility for Macomb to be a first class county. But as Macomb County transitions not all has been smooth sailing.

March 9, 2011 The Macomb Daily

Two leaders of the black community in Macomb County are suspicious that an effort might be afoot to reject an African-American woman appointed by county Executive Mark Hackel to serve as director of the Department of Senior Services.

The Rev. D.L. Bradley, pastor of  Bethlehem Temple Apostolic Church in Clinton Township, and Greg Murray, chairman of the Macomb County Democratic Black Caucus, say they suspect that the qualifications of Rhonda Powell – but no other Hackel appointee – may be questioned. Their concerns were raised when Powell was initially left out of the confirmation process.

According to one Macomb County Commissioner, Rhonda Powell was not intentionally left out of the confirmation process. The commission is setting a strict precedent that certain issues and procedures must be submitted one week prior in order for the issue to be brought up and possibly voted on. This gives the commissioners time to study the issue. The move also stops last minute issues coming before the commission and commissioner being blind-sided with no time to research and speak with constituents. The confirmation of Powell was not submitted in time to be brought up before the commission. It will be reviewed in the near future.

Macomb County, like many muncipalities in Michigan is facing tough budget issue. So far the Macomb Board of Commissioners has yet been be able to address them. Why? They are waiting for County Executive Mark Hackel to present a plan.

Hackel has 120 days to give a budget plan to the Board. He has 52 days left. Hackel raised hundreds of thousands for his campaign and ran virtually uncontested. It was almost a sure thing. So why the delay in presenting his plan. As compared to other politicians, he had much more time to come up with a vision for Macomb's future.

Macomb county is home to Michigan's 3rd largest city, Warren. The new form of government may hold the keys to a bright future. But as it stands the Macomb County Board of Commissioners is in the hurry up and wait mode.

The new Board has been warming up the engine but needs Hackel's plan to drive the county into the future.

GM Volt not Flash in the Pan, 2nd Shift Ordered

General Motors announced today a 2nd shift for the Detroit-Hamtramck plant which produces the Chevy Volt. Nearly 1,000 jobs will be created. A pool of 2,500 laid off auto workers will have first dibs on the positions.

March 9 The Detroit Free Press

GM is seeking to build more than 25,000 Volts this year, up from the original target of about 10,000, CEO Dan Akerson has said, as the automaker prepares to battle higher gas prices and make money on the Volt. Executives are debating a decision to produce 120,000 Volts annually starting next year, well above the current estimate of 45,000.

The timing for adding the shift could change as GM continues to weigh its Volt production schedule amid rising oil prices.

Ramping up production for the Volt, might be viewed as a risk. The car list price is $41,000. If you add the cost of marketing the Volt actually costs more than that. Granted, buyers of the Volt are eligible for up to $7,500 in tax incentives, but are there enough folks who can afford a $30,000-odd car? That's  a gamble.

However, oil prices will continue to rise. The recent spike at the pump because of the civil war in Libya is just a pinch compared to the roundhouse the economy will receive if unrest continues to spread across oil producing nations. Even if things calm down and a thousand years of peace reign oil prices will still go up.

There are 7 billion people on the planet. There will be 9 billion by 2050. Most of the population growth will occur in regions where cars have been monetarily out of reach. That will change. Like the Ford Model T of 20th century, owning a car is a sign of financial success and economic progress. The emerging middles class, particularly in China and India,  wants cars. There is a rising demand (cars). And so, the cost of the supply (oil) will increase. It's economics 101.

It appears that the leadership at GM understands this. If they make this investment in the Volt the car maker will be at the fore front of the electrical vehicle industry. And when the oil prices explode GM, American workers, and Detroit will benefit, instead of suffering declines.

The Volt is a risk GM has to take.

Wayne State's Graduation Rate; it's in the math

Wayne State University is studying its admission process. The University accepts 8 out of 10 applicants. However, the school has the state's 2nd lowest graduation rate for public universities. WSU just squeaked by Lake Superior State, 23% to 22%.

March 9, The Detroit News

A task force recently began studying admissions practices at the university, which accepts about eight out of 10 incoming freshmen applicants. The move is one of the first major policy issues that incoming president Allan Gilmour is tackling.

It comes as the university faces one of the largest state budget cuts, and some states begin tying financial support to student success.

"We are going to find that there are students who do not have the wherewithal to succeed at Wayne State," said Gilmour, who began his permanent post in January.

As Michigan trims its budget, public universities will take a hit. Wayne State is staring down the gun of one of the biggest cuts.They could become even larger in the future if the State reforms the way it funds public schools. There are strong advocates in the legislature of tying funding to results, specifically graduation rates.

On paper this makes sense, but reality is not black ink on white paper (or the Internet equivalent 1s and 0s). Reality is far more complex. If one wants to examine the graduation rates at Wayne State there many issues that typical public universities in the state.

Wayne State's student body is extremely diverse. It is a microcosm of Metro Detroit itself. A typical classroom might have 38-year-old unemployed factory worker from Lincoln Park sitting next to 19 Chaldean girl from Utica sitting next to a 25-year-old Latino from Southwest sitting next to 18-year-old suburban boy from Berkely sitting next to a 48 African-American grandmother from the Eastside sitting next to ...... well you get the point. The ages and backgrounds are interchangeable, but the students at Wayne are the typical 18-year-old looking to get to grad school, of course, Wayne State has those too.

Students may not graduate because of economic problems rather than merely academic. If you are a returning or older student with family, housing, or other financial obligations ( you know, people who already dealing with reality as opposed to a kid a year out of High School), how far are you willing to go into debt? $20,000? $50,000? And that's with no guarantee of work after getting the diploma.

School is expensive and getting more so. Some argue there is an academic bubble that's about to pop just like the real estate bubble. But at this moment the price is and getting higher. If school gets too expensive, folks with, let's say 40 credits, stop going. Hence the graduation rate drops. It's simple math. Maker it cost more by tying funding to graduation rates won't help. There's good chance it could make things worse.

A Kinder, Gentler Union Bust

Thousands of union members and union supporters are converging on Lansing, They're there to show their disapproval of a proposed bill that would give Emergency Financial Managers more powers. The bill would also make it easier for the State to appoint EFMs.

March 8th, Associate Press.

...protesters are at the Capitol objecting to bills that would give broad new powers to emergency financial managers appointed by the state to run struggling cities and schools.

The Senate plans to vote on the measures Tuesday. The House passed the bills two weeks ago.
Groups opposed to legislation they consider anti-union are holding the morning rally and also are chanting inside the Capitol.

Municipalities across Michigan are facing tight budgets and this is before the state revenue sharing checks are drastically reduced. Up to 75 communities could have EFMs within the year. Many also have contracts with unions that are locked in. This makes it harder to implement cost-cutting measures. If the bill passes an Emergency Financial Manager would have the power to void contracts, essentially ending collective bargaining rights.

Our Great Lakes neighbor Wisconsin is facing similar problems. Their Republican governor decided to attack the issue much like the (in)famous Michigan General. George Armstrong Custer; charge right in and to hell with the consequences.

Michigan Republican Governor Rick Snyder is much more pragmatic and is using a tactical maneuver. Michigan, arguably, is the birth place for labor rights in the United States. A head-on assault on union rights in Michigan could be disastrous politically and could potentially log jam the Governor and the legislature.


It makes sense, politically, to have a hired gun (some might say mercenary) to come in on the local level and be the bad guy. Since Emergency Financial Managers are supposedly apolitical positions, they shield the GOP from direct attacks. It's the classic good cop, bad cop routine.

Of course, the whole situation could be avoided. However, anyone who advocates raising revenue (ie taxes) is treated by conservatives with the same scorn as the Catholic Church put upon those those who pointed out the world is round, not flat, during the middle ages. How dare you say the world is round/raise taxes when everyone knows the world is flat/taxes are bad.... no matter what.

The proposed bill being debated in the Senate today is about the power of Emergency Financial Managers. But the real debate is really, is civilization and Michigan worth paying for?

If this is the richest country in the world, why is there no money?

Injection Wells, Arkansas Earthquakes and Detroit Pensions

Nearly 900 earthquakes have rocked Arkansas over the last six months. The state is situated along the New Madrid fault line, but the number of quakes is highly unusual. The culprit may be injection wells. Arkansas has ordered a temporary halt to them. An investigation has started.


March 5 Wall St. Journal

Arkansas authorities on Friday ordered two companies to temporarily stop injecting wastewater into deep underground storage wells, as regulators investigate whether they are linked to a recent spate of earthquakes in the area.

Chesapeake Energy Corp. and Clarita Operating LLC didn't oppose the order affecting the two storage wells but said their operations weren't related to the 850 or so mostly minor quakes that have agitated north-central Arkansas since September.

"We remain confident that the facts and science will lead to a more constructive and satisfactory conclusion to this matter," said Danny Games Sr., a Chesapeake official in Arkansas, in a statement.

Injection wells are a source of controversy. Environmentalists say injection wells are dangerous and will have long term ecological ramifications. Toxic waste industries say burying hazardous materials in the earth is safe and creates jobs. After all, toxic waste has to go somewhere.

Both sides have valid points. Are the earthquakes part of a natural cycle? Does injecting liquid into the ground force earth upward causing earthquakes? The conclusion of the Arkansas investigation will be interesting.

If injection wells are causing earthquakes, Detroit and Romulus will have missed a bullet. Beginning in 1994 Romulus residents and environmental activists have battled against a proposed injection well. And for a brief moment, two deep-injection hazardous waste wells operated for 10 months before being shut down in 2006. Leaks were found during a routine inspection.

It didn't end there. The battle continued. Romulus residents continued to fight and even enlisted the help of Rep. John Dingell. Pressure from Mayor Kwame Kilpatrick helped persuade the Detroit fire and police pension boards to invest in the injection wells. The move became a target of an F.B.I. investigation. The pension board system invested millions and lost.

As of today the injection wells stand silent and there are no strange earthquakes. Thanks, in part, to the bumbling of the corrupt Kilpatrick. However, the issue may rise again. A new company or investor could apply for permits to resume operations.

Of course, the investigation in Arkansas might be the game ender.

Cannabis bars bad, Alcohol bars good says Michigan Senate

The fall out over Michigan's medical marijuana law continues. The loosely worded proposal was approved by 61% of Michigan voters in 2008. However, many politicians, some law enforcement officers and a few local governments do not like it. Cannabis bars or clubs have begun to pop up around the state. The medical marijuana law does not forbid such clubs, but does not necessarily allow them either. Senate Republicans decided to take action this week.

WDIV March 3

The Republican-led Senate Health Policy Committee passed the bill Thursday. The legislation advances to the Senate floor.

 The bill defines the clubs and bars as places where medical marijuana is used for a fee. Violations would be punishable by up to 90 days in jail with fines of up to $500.

Grand Ledge Republican Sen. Rick Jones sponsored the bill. He says the bars endanger the public because people might drive afterward. That makes sense on paper. People using strong medication shouldn't drive. But doesn't anyone else see the obvious hypocrisy?

Alcohol clubs... er I mean bars, are everywhere. They are a source of revenue for the state. Thousands are employed in the alcohol distribution industry. From the Teamster beer truck driver to your favorite local bartender, all are in employed in a business that serves poison. This may seem over the top, but if you drink enough alcohol will you die. In fact, this year nearly 11,000 people will die in the country from crashes caused by drunk driving, roughly one person every 50 minutes.

So why is one industry the creates addicts, destroys health, and plays a role in the death of tens of thousands approved of and another is not? Simple, folks are used to it. Whether you agree with alcohol consumption or not, it is accepted. Cannabis is still an unknown for many. It has been illegal in the Untied  States for a long time. It is human nature to fear change and unknowns.

It is not that ensuring the safety of motorists is wrong. In fact, it is good. However, this is the 21st century. The ante has been upped.. Politicians must be held accountable. They need to have statistics that prove their actions are appropriate. And if there is proof, they then must explain why alcohol is exempt.

The disaster of prohibition should have taught a great lesson. Unfortunately, the same arguments are being made. The same game is being played. It is time for politicians to stop attacking marijuana users and the popular medical marijuana law. Instead,  figure out how to use it to raise revenue and create jobs. Lessons from the 20th century have already shown the way.

Donde esta el Puente?

Metro-Detroit motorists are used to seeing tractor trailers with foreign plates. Canadian trucks are common. The Detroit-Windsor crossing is the busiest border in North America. Shipments with tight deadlines cross the Detroit River every hour of everyday. Now Mexican trucks will join the mix.

March 4 Michigan Radio

  The Obama administration announced a deal Thursday that will allow Mexican truck drivers to ply their trade on US roads.    The deal ended a nearly 20 year ban. Under the deal, Mexican drivers and their trucks will have to meet US safety and other standards.

The US Chamber of Commerce applauds lifting the ban on Mexican truckers. Mexico imposed high tariffs on more than 2 billion dollars worth of US products annually, in retaliation for the ban, which Mexican officials claim violated the North American Free Trade Agreement.      

Mexican trucks have been banned for almost 20 years. Mexico has long argued that the ban violates NAFTA. The Obama administration ended the ban Thursday.

Truck drivers in the States, both union and independent are concerned. Businesses may begin to choose to ship products with Mexican drivers. Mexican truckers are paid less than their American counterparts. It only makes sense that corporations, bound by law to make as much money as possible, would choose a more affordable shipping option.

Environmentalists are concerned that Mexican trucks may not pass safety and exhaust standards.

US business leaders, lead by the US Chamber of Commerce applaud the move. They argue more shipping means more business, which in turn, means more jobs. Mexican tariffs on US goods will also by removed. This would increase trade.

So how does the decision affect Detroit?

• Local unionized and independent truckers may see pay cuts as competition increases.

• Increased traffic would place greater demand on the Windsor Detroit crossing. Pressure to get the 2nd bridge (DRIC) done would increase. It might be the straw the breaks the Michigan GOP's back. Many republican lawmakers have be cool to the idea of a publicly owned bridge, even as Gov Rick Snyder pushed for it during his State of the State address.

• Southwest Detroit with its large Latino population might really benefit. Southwest is one of few economic engines in Detroit. Detroit Businesspeople of Mexican origin could use their connections in Mexico to streamline shipments and save money.

Mexican trucks are coming to Detroit, that is for sure.. It is up to us to ensure the positives outweigh the negatives.

Bing wants insider for DPS Finanical Manager, Friday Firing revealed

As reported on Friday by detroitblank, Detroit Mayor Dave Bing sacked a longtime friend and ally. The move seemed somewhat odd and uncharacteristic for the Mayor who is known to keep long-term relationships close.  The firing of Kirk Lewis, former liaison for Bing to the Obama and Snyder administrations, was awkward. Lewis was and is considered extremely reliable and loyal to Bing. It led to some speculation there might have been a falling out. And with the City's history of corrupt politics, it would not be unrealistic to surmise that Bing discovered something he did not like and took care of it. Also, the firing of Lewis was thrown in with others dismissals and administration shuffling and created a smoke screen.

48 hours later the reasoning behind Lewis' dismissal has been revealed. Bing wants Lewis to take over for Robert Bobb as the Detroit Public Schools financial manager. Mayor Bing and community leaders met with Gov. Snyder for nearly an hour, trying to persuade Snyder to hire Lewis.


 March 6 The Detroit Free Press

During an hour-long meeting with Snyder, Bing and other community leaders urged the governor to reconsider appointing Kirk Lewis, who abruptly resigned from a top position in the mayor's office Friday, to avoid the appearance of a mayoral takeover of the struggling school system.

 

"This is not an intent to compromise his qualifications, but we realize that while Detroit Public Schools is an integral part of the city's success, it is also a very sensitive subject," mayoral spokeswoman Karen Dumas said. "We don't want to give any appearance of impropriety. We have worked hard to gain the trust of the citizens and feel this will compromise that."

Mayor Bing is walking a political tightrope. Technically, the Mayor's office is not responsible for the public schools. However, he will be blamed if the situation worsens. The DPS has almost the same debt as the City itself, hence the creation of a financial manger. Current manager Robert Bobb was hired by Governor Granholm and the contract expires in June. Decisions have been getting harder for Bobb. Under the proposed budget by Governor Snyder, DPS might have to close 1/2 the schools and put 60 kids in a classroom.

If this happens Detroit residents will react. Bing does not want this. He needs the next financial manager to be trustworthy and someone the public might grudgingly support.. Bing thinks Lewis is that man. However, can Lewis pass a GOP test in Lansing. Some members of the legislature do not want anyone with the slightest connection to Detroit; like the consultant who comes in and fires half the office, never to be seen again. Bing is not that naive. He knows Detroiters want someone they can trust. Someone who can put a little sugar in the medicine as it goes down. Time will tell if Snyder gets the prescription right.

Another Benefit is held in Detroit, Should You Care?

Last night roughly 100 hip hop fans and political activists attended a benefit show at the Trumbullplex in Detroit. The show included performances by local hip-hop crews Passalacqua, United States of Mind, and MC Kadence. Proceeds went to a legal fund supporting Bradley Manning.

O.K. so what? Another small benefit was held in Detroit for some guy named Bradley Manning. But who the hell is he? Why should any of us care?

Well, remember the media uproar a little while back about those leaked secrets on Wikileaks? Yes, the very same leaks that some have argued have helped topple governments in the Middle-East. Pfc. Bradley Manning is the man behind those leaks that have exposed alleged corruption and war crimes. The penalty for shining the light on truth: death. This weak Manning was charged with aiding the enemy. Conviction on such a count can result in life in prison or the death penalty. This past week Pfc Bradley Manning was literally naked in a cell despite never displaying any violent action. Although, the story has not gained much media coverage in the States, the rest of the world is watching.... and judging.


March 6, The Sydney Morning Herald

WASHINGTON: The army private suspected of giving classified US documents to the anti-secrecy group WikiLeaks was stripped of all clothing for two nights to keep him from hurting himself in his military jail cell, a Marine Corps spokesman said.

The brig commander issued the order on the same day Private First Class Bradley Manning was hit with a new charge - aiding the enemy - which could carry the death penalty.

Private Manning's civilian lawyer, David Coombs, called the treatment degrading. He said the brig commander, Chief Warrant Officer Denise Barnes, had issued the order without consulting the brig's mental health providers. Mr Coombs has repeatedly complained that his client's strict confinement conditions are punitive, which the military denies.

Manning's lawyer David Coombs says his client has not been allowed to sleep with normal regularity or even exercise in place. Coombs says his client is subsequently suffering down the long slide towards mental deterioration. Supporters of Manning charge the US military is committing torture. But as the Bush administration proved torture is in the eye of the legal beholder.

Whether you believe Pfc. Manning should be released and awarded a medal of honor for exposing the truth or that he is an enemy of the state and should be hanged; there is one item of contention we should agree on. All prisoners held in or by the United States should be treated with basic human dignity. That means being allowed to sleep a minimum of hours, able to exercise at least 30 minutes (even if it is calisthenics standing in place) and clothes. Anything less is inhuman.

Snyder's Farewell to Tax Credits = Buh-bye Detroit Development

"taxes are the price we pay to live in a civil society"

 - Oliver Wendell Holmes Jr, Supreme Court Justice 1902 - 1932

 

As details of Gov. Rick Snyder's budget plan begin to become clear, the ramifications of his proposed changes are becoming apparent. The cash strapped City of Detroit may be a big loser. The City said yesterday that the proposed changes could scrap 5 large developments in Detroit. The City claims the developments could generate more than $300 million in new investment.

March 5 The Detroit Free Press

George Jackson, head of the Detroit Economic Growth Corp., traveled to Lansing late this week to lobby Snyder's aides on the need to retain the existing tax incentives for redevelopment efforts.

 "There never has been a level playing field for the older urban cities," Jackson said this week. "We're already at a competitive disadvantage, and then to take away some of the tools and incentives that allow us to approach being competitive really sets us back."

The developments in danger are the old Redford High School site in Northwest Detroit, the vacant David Whitney building and Capitol Park downtown, the former Uni-Royal site next to the entrance to Belle Isle and the Gateway Shopping center to be built on a portion of the State Fair grounds near 8 Mile and Woodward. Each area is in desperate need of development. The potential loss could arguably propel Detroit into an economic free-fall just when the City is finally tackling its budget in realistic ways.

It's not that Snyder's proposed changes are necessarily wrong. Michigan must balance its budget by law. The question is how do you do it without throwing a pipe into the works. The developments in question may fall through not because of taxes, but because of the loss of tax incentives. The Detroit Economic Growth Corporation maintains the incentives must remain in place to bring development to Detroit. Business-wise, it is almost always cheaper to build fresh as compared re-habing or refurbishing an existing property. Unfortunately, Detroit does not have any fresh, virgin land available for development.

A simple solution to this specific problem could be a moratorium on these type of tax incentives for future developments. This means any existing developments that have already applied for incentives could continue. New projects would not be eligible.

Another answer to Michigan's budget woes is simple but blasphemy to some. Raise revenue. Yes taxes. It does not have to be painful. Michigan's current bottle deposit law covers only beverages with carbonation. It could be easily expanded to cover all bottles. The result would be increased revenue and a cleaner Michigan. The infrastructure for bottle returns is already in place. It's a no-brainer. 

Or perhaps Michigan or Detroit could follow up on one of disgraced former Mayor Kwame Kilpatrick's good ideas. A tax on fast food. The health cost put upon the state by this nutritional deficient food industry is reason enough. Keeping developments going is another great reason. Perhaps a 1 cent tax would be painless. It is not likely someone is going to stop eating a $1 burger because the state or city put an extra cent on the price tag.

It is the 21st century. Americans, Michiganians and Detroiters have to realize civilization costs money and it is a price worth paying.

First GOP contender to Stabenow Steps Up: replay of past elections?

Kent County native and former Judge, Randy Hekman announced his his plan to run against Democratic Senator Debbie Stabenow yesterday. Although the election is more than a year and a half away, Republican Hekman plans to visit to Grand Rapids, Lansing, and Detroit on Monday to promote his campaign. Hekman is a pastor at Crossroads Bible Church in Grand Rapids. He helped start and direct the conservative lobbyist non-profit Michigan Family Forum. In a written press release Hekman revealed his goals and his desire to "heal" the nation.

March 4, 2011 standardnewswire.com

Hekman's platform is built on four main planks: job creation, budget reform, entitlement reform and energy innovation.

"Each of these areas needs renewed focus, change, and growth. Most critically, however, is that we must drastically reduce the size of government now and together address the resulting human needs with significant growth in the non-profit sector. Unless we do so, the nation we love is heading to oblivion," said Hekman. "I believe I'm the person who can help bring healing to our hurting nation."

If Hekman wins the GOP nomination, he will face a tough fight against the well-funded and popular Stabenow.

But hasn't Michigan seen this before? For offices such as Governor and Senator the faces may change but the options remain the same. Not always (Gov. Synder and former Senator Spence Abraham are notable exceptions), but often, the Republican candidate is from West Michigan. The GOP candidate usually espouses conservative business ideals placed neatly besides moral beliefs based on religion.

The Democratic candidate is usually from lower or Southeast Michigan. The candidate is supported by labor unions, progressives and the working poor. It's been this way for a long time in Michigan.

The Democratic candidate for Senate usually wins because most of Michigan's population is in the Southeast, especially if the election coincides with a Presidential election. Republican candidates have a better chance at the Governor's office because the election does not coincide with Presidential elections. Michigan Democratic voters tend to not show up at the poll in as large as numbers during off year elections.

The winner of the 2012 Michigan Senate campaign will most likely be determined by two factors:

• Will the drastic cuts proposed by the tea-party and Republicans sour voters who might begin to wonder  why there are tax breaks for the rich but no local fire and/or police department? 
• Will 2012 voter turnout for Obama be the same as 2008? If so Hekman, or whomever the GOP candidate is, may have no chance at all.

Either way, this election will be a re-run. In this Coke or Pepsi American reality, where is the RC cola?

Chrysler to Re-enter Van Market

The rebounding commercial van market will have to make room for a new/old player. Chrysler Group LLC announced it plans to import the Fiat Ducato and the smaller Fiat Doblo. The vans will be put under the Ram brand and given new names. Chrysler has been out of the commercial van market since it's divorce with German car maker Daimler. The former Chrysler Sprinter was picked up by Mercedes, leaving Chrysler empty handed.

March 5, The Detroit News

The automaker will use its partnership with Fiat SpA to bring a pair of Italian commercial vans, the Ducato and the smaller Doblo, to North America next year to compete in a segment that is rebounding as businesses start spending again.

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The plan is to introduce the two vans under the Ram brand next year as 2013 models, said Fred Diaz, Ram president.

The question is: why now? The commercial van is slowly rebounding with 218,170 sales in 2010. However, the numbers are still far below the average of 325,000 annually until 2007. Currently, the market is dominated by General Motors and Ford. The two sell 95% of the commercial vans in North America. Perhaps Chrysler actually recognizes the elephant in the room the rest of the Auto Industry and most of the American public ignores: gas prices will go up. Believe it or not, Michigan Senator Carl Levin recently argued for reducing fuel efficiency standards.

The civil unrest in oil producing Arab states has already spiked fuel prices. Libya produces only 2% of the world's oil supply. Imagine what might happen if Saudi Arabia, another autocratic regime supported by the United States, experiences political upheaval. It's possible $5 a gallon gas will become the standard.

Even if nothing happens in these oil producing states, the future is inevitable. Oil prices will steadily increase over the next decades. The growing populations, and the emerging new middle class of India and China will drastically increase the demand. There's a reason why GM and Ford are investing heavily in China.


The most fuel efficient vehicles and the automakers who produce them will be the winners. Perhaps, Chrysler with it's partnership Fiat realizes this. Fiat has a history of producing smaller, less thirsty vehicles. Maybe these commercial vans will get slightly better gas mileage. And for a business purchasing a commercial van in a volatile oil market, fuel efficiency in the long term will become the deciding factor.

Asian Carp: Next Stop Toronto

The Canadian Government has fined 52-year-old Feng Yang $50,000. The violation? Bringing 4,000 pounds of carp into the country. More specifically Asian Carp. Yes, the very same Asian Carp that is the center of the controversy between Great Lakes supporters and Chicago shipping businesses.

This is Mr Yang second violation. He was fined for the same infraction in 2006. Apparently Mr. Yang is owner of a fish import company. The live carp would have been sent to fish markets in Toronto. A growing Chinese population in Canada's first city has led to a demand for the prohibited fish.

March 5 Detroit Free Press,

"Ontario Ministry of Natural Resources Officer Bill Ingham said officials believe Yang obtained the fish in the South, where they are legally raised and sold, and then drove them through Michigan into Ontario, where possession of live Asian carp is prohibited.

Scientists fear Asian carp might spread rapidly into the Great Lakes, crowding out other species. So far no known breeding population has been established in the Great Lakes."

This story makes one question the carp battle currently taking place. Right now Asian Carp are supposedly being kept out of the Great Lakes System by a series of electrical barriers. The Army Corp of Engineers operates and maintains the barriers. The Carp are currently at the Great Lakes' door step. They came up through the Mississippi River and are now in the shipping canals that artificially connect the Great Lakes to the Mississippi basin.

As it stands, the situation is kind of like a bad professional wrestling match. For most Michiganians it plays out like this: the heel (bad guys for wrestling unaware) are the evil business leaders and their partner the political machine from Chicago. They claim that shutting down the artificial canals would cost them jobs and money in a bad economy. They want to sick the Carp on the Great Lakes, like Jake the Snake sicked his boa constrictor after beating an opponent.

In the other corner, are the good guys. Folks like Rep. Camp and Senator Stabenow teaming up with Great Lakes Tourism and fishing Industries. They say the Asian Carp would cost them jobs and money in a bad economy. Plus, they can use environmental protection as the high ground.

And, like any semi-decent pro-wrestling match there needs to be an incompetent, easily fooled referee: the Army Corp of Engineers. The same referee which makes the ultimate decision of winners and losers.

This Battle Royale du Carp will play out over the next few years. There are many variables. But even if  a decision or compromise is finally reached, it may not matter. We live in a society of supply and demand. And if there is demand for Asian Carp anywhere in the Great Lakes Basin, you can count on another Mr. Yang bringing in another illegal shipment of Asian Carp. The future Mr. Yang will probably also be a businessman. And he has a family to feed.