Mexico's Presidents Are Considering Legalizing Drugs. Will the U.S. Join the Debate?

From the Huffington Post - by Daniel Sobelo - The question of whether legalizing drugs would help reduce the killings in Mexico has made front page news this week and is causing unprecedented debate around the world.Last week, former Mexican President Vicente Fox (left) called on his country "to legalize the production, distribution and sale of drugs" as the best way to weaken the drug cartels.Acknowledging that "radical prohibition strategies have never worked," Fox's recommendation echoes another former president of Mexico, Ernesto Zedillo, as well as past presidents of Colombia and Brazil, who last year issued a ringing condemnation of the failed war on drugs, in favor of alternatives that include the removal of legal penalties for marijuana possession.This latest endorsement of legalization also comes on the heels of current Mexican President Felipe Calderon's own announcement that, while he opposes legalization, he nevertheless supports an open debate about ending prohibition -- the root cause of the violence in Mexico that has now claimed over 28,000 lives. Sadly, however, legalization is not even part of the policy dialogue in D.C. In fact, the U.S. drug czar has repeatedly said it's not even part of his or President Obama's "vocabulary." Read more
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Bronx man to sue police for "contagious shooting."

From the New York Post - By EDMUND DeMARCHE - A Bronx man who was shot during a chaotic police shootout in Harlem this past weekend is planning a $20 million lawsuit against the city and the NYPD. Larry Garlick, 38, says he was the victim of "contagious shooting" by the NYPD when a bullet tore into his thigh in the early morning hours of Aug. 8. Police said they were responding to a report of a fight at a huge block party where there had been gunfire. Police initially said that Angel Alvarez had shot and killed rival Luis Soto at the Lenox Ave. party, but testing showed Soto actually died from police bullets and hadn't been shot by Alvarez. Police now contend that Alvarez had wrested Soto's gun away from him and opened fire at responding officers, who unleashed a volley of 46 shots in return. By the time the carnage ended, Soto was dead from five bullet wounds, and Alvarez was critically injured but miraculously survived, despite being hit 21 times. Three bystanders were also injured, including Garlick. The lawsuit charges the NYPD failed to properly train personnel to stop themselves from "contagious shooting." Read more
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Bond Market - A NO CONFIDENCE VOTE

Treasury 10-year notes rose, pushing the yield to a 16-month low, a day after the Federal Reserve said the recovery from recession is slowing. The government sold $24 billion of the benchmark debt at the lowest yield since January 2009 in the second of three note and bond sales this week totaling $74 billion. Two-year note yields touched a record low following the central bank’s decision to reinvest maturing agency and mortgage-backed securities in U.S. debt to support the economy. “All we’ve seen is buying of Treasuries,” said Suvrat Prakash, an interest-rate strategist in New York at BNP Paribas SA, one of the 18 primary dealers required to bid at Treasury auctions. “People aren’t looking to sell. They either stop buying and rest or keep chasing yield.” Read more here:

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City Council Needs To Address Acoustics

Jim Harbison
I attended another work session in the new City Hall Council Chambers this week. This $34 million building was supposed to be the solution to many problems that faced the City. It was touted as being a much better facility for the community. The Chambers were designed to provide greater public access to the Council and allow the public more opportunity to express their concerns. The City Council and Staff now sit in their elevated positions above the general public and talk down to them. Unfortunately, the public is unable to hear them. This is not a failure of the Council to communicate but rather a problem that seems to be the results of poor acoustics within the Council Chambers. It appears that the architectural firm that designed this room knew very little about acoustics.
Las Cruces City Hall
The Council Chambers part of the building seems to have been inadvertently designed like an echo chamber. It has been reported since the very first public meeting there that it was very difficult to hear because the acoustics were so bad because. The Council acknowledged from the beginning that they were aware of the problem and had ordered sound attenuation panels to mitigate it. The Council and the City staff have had sufficient time to correct the problem and yet it persists. Why? How effective is public participation when the public is unable to clearly hear what transpires at a Council meeting? Open public meetings are meaningless if the public is unable to hear what is being said. Members of the public are frustrated about this and some believe it is useless to attend Council meetings when they are unable to hear what City Council members, City staff and other agencies discuss.
Some of these sound quality difficulties could be mitigated if the Council and City staff members were more attentive to this issue. Specifically, they need to constantly be aware of the fact that there is a sound quality issue and speak directly and articulately into the microphone. One of the councilors speaks with a monotone and drops the volume at the end of every sentence and under the best of circumstances it is difficult to hear everything he says. Another Councilor begins talking into the “mike” and then turns her head away from the “mike” to address the other Council members. As a result many of her comments are difficult for the public to hear. Mayor Miyagishima and Councilor Silva are the most effective in using the microphones and are usually clearly understood throughout the Council Chambers. Unfortunately, the other Council Members apparently “don’t get it” when it comes to speaking so the public can hear what they say.
Another significant issue is the poorly designed steps that have caused the City to post warning signs about the steps after you enter the Council Chambers. Nearly every week someone stumbles or falls on these poorly lighted poorly designed steps. There are no handrails to assist individuals with mobility difficulties. If you are unable to negotiate the steps you are forced to use the ramp on the right side of the room. Why wasn’t this design followed for the center and left aisles as well? I would question if this room is in compliance with the American’s with Disabilities Act and apparently the City does not readily offer any hearing assistance devices to accommodate the hearing impaired. The City needs to focus on correcting the deficiencies in this room so it is safe and effective and so that it serves the public like it was originally conceived to do.
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Armstrong Williams - Who are "THEY"

Armstrong Williams
It’s hot outside. Too hot for a summer stroll or any sort of outdoor activity. So last Sunday morning, I settled in for some riveting Washington talk show action. Aside from the usual histrionics surrounding the Sherrod racial episode and the “necessary dialogues” on race the mainstream media feels compelled to hold every other month just so it can sleep well at nights, the latest argument to follow in Washington is what to do over the expiring Bush tax cuts. Specifically, in a matter of months, the tax rate cuts President Bush and the Republican-led Congress pushed through in 2001 are set to expire, returning the top bracket to its 39.6% rate up from today’s 35%. That's right, at a time when our economy is as fragile as ever, this administration is pondering tax increases. As if the race baiting by the White House weren't enough, it's now in full-throated class warfare, pitting this faceless rich no one seems to know, against the poor, who seem to be on every corner in President Obama's mind. Read more here:
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Rangel Won't Resign, Requests Ethics Hearing

Charles Rangel (D- NY)
U.S. Representative Charles Rangel of New York, accused by the House ethics committee of improper fundraising, rebuffed calls for his resignation and urged the panel to “expedite” its hearing so he can defend himself. “I am not going away. I am here,” Rangel, 80, said to applause from some fellow Democrats during a sometimes emotional 30-minute speech in the House chamber yesterday. “Don’t leave me swinging in the wind until November.” Read more here:
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Free Lunch? Nope - Free Loans? Yep

The Obama administration will offer $1 billion in zero-interest loans to help homeowners who’ve lost income avoid foreclosure as part of $3 billion in additional aid targeting economically distressed areas. Under the new $1 billion program, the Department of Housing and Urban Development will offer loans of up to $50,000 to borrowers “in hard hit local areas” to make mortgage, tax and insurance payments for as long as two years, HUD said today in a statement. The Treasury Department will also offer as much as $2 billion in aid under an existing program for 17 states and the District of Columbia, according to the news release. The initiatives “will ultimately impact a broad group of struggling borrowers across the country and in doing so further contribute to the administration’s efforts to stabilize housing markets and communities,” Bill Apgar, HUD’s senior adviser for mortgage finance, said in the statement.
Unemployment, following the worst housing crash since the Great Depression, is helping accelerate foreclosures. A record 269,962 U.S. homes were seized in the second quarter, according to RealtyTrac Inc. Foreclosures probably will top 1 million this year, the Irvine, California-based data company said in a July 15 report. Read more here:


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For Retirees, Savers, Pension Funds - Assault Continues

Frozen Landscape
Treasuries rose, pushing the two- year note yield to a record low, a day after the Federal Reserve reversed plans to exit from aggressive monetary stimulus. Benchmark 10-year notes gained for a second day after the central bank decided to reinvest maturing agency and mortgage- backed securities in Treasuries to support an economic recovery that the Fed said “has slowed.” The government is scheduled to auction $24 billion of 10-year notes today, the second of three sales this week totaling $74 billion. “This is a bullish backdrop for Treasuries,” said Nick Stamenkovic, a fixed-income strategist in Edinburgh at RIA Capital Markets Ltd., a broker for banks. “Growth is going to be sluggish, and inflation is not going to be a concern.” The yield on the two-year note fell 2 basis points, or 0.02 percentage point, to 0.50 percent at 7:15 a.m. in New York, according to BGCantor Market Data. The price of the 0.625 percent security maturing in July 2012 gained 1/32, or 31 cents $1,000 face amount, to 100 1/4. The yield dropped earlier to 0.4892 percent, the lowest on record. Read more here:
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Borrow From Beijing - Pay Paul

Beijing
Nearly $190 million is headed to New Mexico. The U.S. House of Representatives on Tuesday passed a $26 billion bill that includes extra health care funding — a projected $126 million — and additional education money — $65 million — for New Mexico at a time when many say the state is in desperate need of a cash infusion. All that’s left is for President Obama to sign the bill to make it law. State Rep. Danice Picraux, D-Albuquerque, cheered the news Tuesday. “We can keep paying our teachers, keep classrooms sizes low,” Picraux said of the extra dollars headed New Mexico’s way. “In health care, we need more money.” State House Minority Whip, Rep. Keith Gardner, R-Roswell, took a dimmer view of the cash infusion. “It’s just another Band-Aid on a gushing wound,” Gardner said. “We need surgery. Instead of making spending to equate what our revenue is, we prolong the inevitable, and that’s cutting. ”The additional federal money comes to New Mexico at a time when the state’s revenues aren’t keeping pace with expenses. State officials already have projected a sizable budget gap for the fiscal year that started July 1. Read more here:
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The Doom Loop of Quantitative Easing

Ben Bernanke
Fed Reverses Exit Plans, Sets $2 Trillion Floor for Holdings - The Federal Reserve reversed plans to exit from aggressive monetary stimulus and decided to keep its bond holdings level to support an economic recovery it described as weaker than anticipated. Central bankers meeting yesterday adopted a $2.05 trillion floor for their securities portfolio, pivoting toward a quantitative target for monetary policy. Treasuries surged and stocks pared losses as some investors judged the decision opened the door to a resumption of large-scale asset purchases. “The Fed is cognizant the recovery has lost some momentum and it is still willing to intervene,” said Paul Ballew, a former Fed economist and a senior vice president at Nationwide Mutual Insurance Co. in Columbus, Ohio. “We always thought the exit strategy would be challenging. If you’re at the Fed, it’s proven to be more problematic than what you thought.” Read more here:
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