Three Years into the Economic Depression (2008-????)

The Hound says be wary of this Christmas. Don't spend money you don't have. Family is more important than trinkets. You can enjoy Christmas by committing to action and helping others. Don't be sold that everything is about money and materialism. Let's say that the economy completely collapses. Will those trinkets provide comfort or will they be a burden. You can call me crazy. I have no problem with that. I'm just telling you to be prepared. What do you lose by being prepared. I am sure that I am preaching this message to the choir of those who visit this blog. I don't need to tell you to wake up, because you are already awake. That is the reason why you are here. Your curiosity about the world surrounding you has brought you here. To you I say thank you from the bottom of my heart. Now go forth and plant seeds and seek to wake up at least one person today. Most likely you aren't even going to know that you have woke that person up. But, at a time in the near future that seed you have sown will sprout. This is the only chance we have got to turn this mess around. I think that is an optimistic message. That we control our destiny.


Secret Fed Loans Gave Banks $13 Billion Undisclosed to Congress - Bloomberg - Bob Ivry, Bradley Keoun and Phil Kuntz - November 27, 2011 - Banks worldwide earned an estimated $13 billion by taking advantage of below-market rates on emergency U.S. Federal Reserve loans from August 2007 through April 2010.                     The Federal Reserve and the big banks fought for more than two years to keep details of the largest bailout in U.S. history a secret. Now, the rest of the world can see what it was missing.                           The Fed didn’t tell anyone which banks were in trouble so deep they required a combined $1.2 trillion on Dec. 5, 2008, their single neediest day. Bankers didn’t mention that they took tens of billions of dollars in emergency loans at the same time they were assuring investors their firms were healthy. And no one calculated until now that banks reaped an estimated $13 billion of income by taking advantage of the Fed’s below-market rates, Bloomberg Markets Magazine reports in its January issue.

The Fed, headed by Chairman Ben S. Bernanke, argued that revealing borrower details would create a stigma -- investors and counterparties would shun firms that used the central bank as lender of last resort -- and that needy institutions would be reluctant to borrow in the next crisis. Clearing House Association fought Bloomberg’s lawsuit up to the U.S. Supreme Court, which declined to hear the banks’ appeal in March 2011.                   $7.77 Trillion               The amount of money the central bank parceled out was surprising even to Gary H. Stern, president of the Federal Reserve Bank of Minneapolis from 1985 to 2009, who says he “wasn’t aware of the magnitude.” It dwarfed the Treasury Department’s better-known $700 billion Troubled Asset Relief Program, or TARP. Add up guarantees and lending limits, and the Fed had committed $7.77 trillion as of March 2009 to rescuing the financial system, more than half the value of everything produced in the U.S. that year.

Bankers didn’t disclose the extent of their borrowing. On Nov. 26, 2008, then-Bank of America (BAC) Corp. Chief Executive Officer Kenneth D. Lewis wrote to shareholders that he headed “one of the strongest and most stable major banks in the world.” He didn’t say that his Charlotte, North Carolina-based firm owed the central bank $86 billion that day. 


Home Prices in 20 U.S. Cities Fall More Than Forecast, Case-Shiller Says - Bloomberg - Alex Kowalski - Nov 29, 2011 - Residential real estate prices dropped more than forecast in the year ended September, showing the industry at the center of the 2008 financial crisis continues to struggle.            
The S&P/Case-Shiller index of property values in 20 cities dropped 3.6 percent in September from the same month in 2010 after decreasing 3.8 percent in the year ended August, the group said today in New York. The median forecast of 32 economists in a Bloomberg News survey projected a 3 percent decrease.... “We continue to expect home prices to fall through mid- 2012,” said Anika Khan, an economist at Wells Fargo Securities LLC in Charlotte, North Carolina. “We still have an oversupply of existing homes, and distressed transactions continue to drive down home prices.”

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I Got Effed by MF Global. Who’s Going to Eff U?  KINGSTON, NY, 28 November 2011 — The MF Global bankruptcy has more far reaching implications than are currently being acknowledged. Not simply an isolated instance of corporate mismanagement resulting in disastrous and irreparable effects on options and commodity futures markets, the MF bankruptcy – the eighth-largest in US history – is a harbinger of much worse to come. Don't be taken in by today's stock market bounce that's based on the belief that Europe is coming closer to resolving its debt crisis, and that strong US Black Friday retail sales are a sign recession has been averted.  The European debt crisis is a long term trend with no quick fixes. And the retail surge is no more than a flash mob spending spree hyped by a corporate media. The more they hype it and the more consumers spend, the more advertising space the media sells to retailers The MF meltdown, however, is symptomatic of a global economic system on the verge of collapse. No financial sector will escape unscathed: banks, brokerages, hedge funds, insurance companies, stocks and stock markets are all at risk. Do you know where your money is? Will you get it back? Are you prepared? When the evidence is pieced together, it proves how corrupt, bankrupt and dishonest the financial/political cabal that runs America is, and reveals the complicity of the media in covering up their masters’ misdeeds. The MF crash provides glaring examples of the failure of the CME Group (the options and commodity exchange of which MF was a member) to do its own due diligence of member firms. It exposes the incestuous relationship between government agencies, such as the Commodity Futures Trading Commission, and the entities they are charged with regulating and monitoring – in this case, the CME and its member firms (such as MF Global). The government’s response to the crash exposes a terminally corrupt justice system, committed to prosecuting any minor violation of the law by any average citizen, but turning a blind eye on the rich, powerful and well connected. It shows how, as in any authoritarian, fascist or communist system, members of the “party” are granted party privileges … immunity from prosecution among them. Such is the case for Jon Corzine, the man who headed MF Global and brought it to bankruptcy. The former Democratic Governor and Senator of New Jersey and former co-head of Goldman Sachs, has been given a free pass. Despite authorities’ inability to find more than a billion dollars of customers’ segregated funds, enforcement agencies, DA’s, the FBI et al., have not even called Corzine in for questioning, much less indicted him. For a media that feasts on titillation, gossip, scandal and sleaze – and has shown its passion for accusing, trying and convicting people before they are accused of a crime or brought to trial – it is instructive to note that when it came to White House-connected Corzine, his privacy was respected and he was left unaccused. There were no camera crews massed outside his house or reporters hounding him, demanding to know, “Where’s the money?” It is becoming clear that, in the final days before bankruptcy, MF Global raided its customer accounts. The failure to separate customer and house funds is a violation of US law. Moreover, even if MF Global were to claim the comingling of funds was inadvertent, that would not serve as a valid excuse. CFTC enforcement chief David Meister has stated that proof of intent was not a requirement for his agency to take action. “You should know the commission takes the laws on segregated funds very seriously,” Meister said. But evidently, not too “very seriously.” For the White House-connected and White Shoe Boy lawyer-protected Corzine, no questions asked, no indictments, no Perp walk and, as yet, no trial. So far, the only inconvenience facing Corzine is his scheduled testimony before Congress on December 15th (a full month and a half after the bankruptcy), at which time he will be allowed to plead the Fifth and refuse to testify on grounds that he could incriminate himself. How I got Effed by MF Global, And Why it is Important to You I’ve been trading and buying gold since 1978. I am not a “speculator.” I buy coins and bullion as well as futures contracts. My involvement with MF Global went like this: I made an agreement with the well-respected firm Lind-Waldock (subsequently bought by MF Global) to purchase gold future contracts, with due date for delivery of the gold in December 2011. Holding the gold “contracts” entailed a substantial “margin” requirement … in essence a deposit (similar to a lay-away plan at a retail store). From the time I bought the contracts, I kept building my account so that when it came time to take delivery in December, I would have a substantial amount of money in my account to complete the purchase. Within days of announcement of the MF Global bankruptcy, I received a call from my broker informing me that the funds had been taken from my account and transferred to a trustee, and that my gold contracts were now with another brokerage firm. Because most of my funds were no longer in my account, he said, I now faced a margin call to cover my open gold positions. Concerned with the integrity of the futures exchange itself (CME Group) and its failure to honor its claim to be “the guarantor of every transaction that happens in our markets” (click here for CME Group’s statement of “guarantee”). I refused to put up more money, so they closed out a number of my open positions at the current market price. Subsequent to the transfer of my contracts, statements from the new brokerage to which they’d been assigned indicated that that I had bought gold at $1,767 an ounce … the price of gold on the day of the transfer from MF Global to the assigned brokerage. This was not the case. Earlier statements prove that I bought my December gold contracts at $1,443 … not $1,767. So, although I had contracted to take delivery at $1,443, under the rules of the “we will do as we please, shut your mouth and do as you’re told” dirty deal made by the inside dealmakers, I was told I would have to pay $1767 an ounce. I had been Effed, and I had a lot of company. Others, who had seen the bankruptcy coming, closed out their accounts. But rather than wire transferring them their funds, MF Global Effed them by mailing checks that bounced. Those who had previously taken delivery but were holding warehouse receipts for physical gold and silver being stored via an MF appointed repository, also had their assets seized by the trustee. I want to make this absolutely clear: Buying gold to take delivery is NOT speculation! And it is delusion to believe that you are immune to the systemic criminality that pervades virtually every aspect of the financial sector. MF Global, Lehman, Merrill Lynch, Washington Mutual, IndyMac Bank, Bear Stearns, Northern Rock, Countrywide, Dexia, Anglo Irish, Wachovia, Goldman Sachs, Citigroup, Bank of America, Wells Fargo, Morgan Stanley, Fidelity, Schwab, Vanguard … do you really know what went on, or is now going on behind the closed doors of these firms? Which will be the next crooked insurance company, bank, brokerage, savings and loan, or financial institution to go belly up? And if and when it happens, what assurance do you have that you won’t be robbed and victimized? Sure, sure, your savings and checking accounts, up to $250,000, are protected by the FDIC in the event of bank failure. But how long will it take to get your money when banks start falling like dominoes? Sure, sure, under SIPC rules, stock accounts are partially protected when your broker/dealer goes bankrupt. But will you still be alive by the time the legal fight is over? The Big EFF is Coming The Berlusconi government fell on November 16, and bond yields have risen to unsustainable levels in Italy, the euro-zone’s third largest economy. Before that, it was the ongoing Greek sovereign debt crisis, and the fall of that nation’s Prime Minister. Last week, Hungary was begging for an IMF bailout that, 18 months ago, it pledged it would never need. Spain has just celebrated the election of a new Prime Minister who ran on a pro-austerity platform. To the bond markets, his election changed nothing. Spanish borrowing costs continued to rise, approaching their highest levels since the European debt crisis began. Distress signals were even sounding from Germany, the strongman of the euro-zone, considered a safe haven of financial stability amid the ongoing euro crisis. Last Wednesday, just two-thirds of the once much sought-after German bonds were sold at what has been described as a "disastrous" government bond auction. One analyst called it “…a complete disaster," while another said the auction was a "vote of no confidence against the entire euro zone … a change in sentiment has taken place." On Thursday, the “change in sentiment” hit Hungary and Portugal: Hungary Cut to Junk at Moody’s After IMF Plea Nov. 25 (Bloomberg) -- Hungary lost its investment-grade rating at Moody’s Investors Service after 15 years as the Cabinet seeks International Monetary Fund help to boost confidence in the European Union’s most-indebted eastern member. Elliott Gotkine reports on Bloomberg Television's "Countdown" with Owen Thomas. Fitch cuts Portugal credit rating to junk status FRANKFURT, 25 November 2011 – Fitch Ratings on Thursday cut Portugal's sovereign credit rating to BB-plus from BBB-minus, putting the country's rating in junk status. The rating carries a negative outlook, which means a further cut is possible. "The country's large fiscal imbalances, high indebtedness across all sectors, and adverse macroeconomic outlook mean the sovereign's credit profile is no longer consistent with an investment-grade rating,” Fitch said in a news release. Meanwhile, in the United States, the failure of the optimistically named “Super Committee” to reach a deal to rein in America’s spiraling deficit, was being blamed for dragging down financial markets around the world. MF Global, Europe’s sovereign debt crises, the intractable American deficit and all the other financial problems plaguing the planet are interconnected and cumulative in their impact. Want to Buy a Bridge in Brooklyn? The big lie being peddled by politicians and parroted by the media, is that star-studded groups – possessed of superior brain power far beyond that of mere mortals – are putting their heads together to solve the mounting crises. Don’t buy into the lie. The same people that removed regulations and safeguards while passing laws and promoting policies that helped produce the global financial crisis are now undertaking the task of fixing what they have broken. Germany brags about its kitchen cabinet of economic “wise ones.” The Italians and Greeks celebrate their technocrats. The US simply assembles a bipartisan dozen of Republican and Democratic hacks, repackaging and promoting them to the public as a “Super Committee.” Even those of us with lesser brains know full well that the crises cannot be solved by these people or by the methods they prescribe. In a few weeks, we will be releasing a synopsis of our Top Trends for 2012. Among them will be a warning of the high probability for some form of “economic martial law” to be imposed early in the New Year to stop runs on banks and equity markets from collapsing. The reason we believe it will not occur sooner? Governments will wait until consumers finish their holiday spending spree. The Lesson I Learned The MF Global bankruptcy is just one example of how even knowledgeable and cautious people taking precautionary measures to protect their assets can still be robbed by the Wall Street mob. Having taken a hard hit from the MF Global scandal, it is now extremely difficult for me to put any trust in any financial institution. The Trends Research Institute is not permitted to provide financial advice or to recommend investments to prepare for the coming “Winter of Economic Discontent.” However, my own strategy (as I have repeatedly stated) is to keep only operating expenses in banks, and to invest only in gold and silver. Furthermore (again speaking only for myself), it makes absolutely no sense to leave my hard-earned money in the hands of others and get virtually no interest on deposits while taking the risk that I may never see my money again.

©MMXI The Trends Research Institute®

Governor Perdue's former assistant Morganton Attorney Juleigh Sitton indicted on Felony Campaign charges

Associated Press - Grand jury indicts 3 with ties to Perdue campaign - Associated Press - GARY D. ROBERTSON & MICHAEL BIESECKER - November 28, 2011 - Grand jurors handed up indictments in state court against former Perdue campaign finance director Peter Reichard of Greensboro; Juleigh Sitton of Morganton, until recently the director of the governor's Western Office in Asheville; and Trawick H. "Buzzy" Stubbs Jr. of New Bern, a former law partner with Perdue's late first husband. Stubbs and Sitton were each charged with one count each of filing false campaign reports and obstruction of justice, according to the indictments, while Reichard was charged with one count of obstruction of justice. All the charges are felonies, with potential penalties ranging from community service to prison time.

The indictments accuse Sitton and Reichard of hiding that Sitton was being paid an additional $32,000 — $2,000 a month for 16 months — to work full-time for Perdue's campaign through outside money. The money was funneled through a merchant banking firm operated by Reichard called Tryon Capital Partners. Reichard solicited and accepted money from Morganton business owner Charles M. Fulenwider, according to the indictment. The money paid by Fulenwider, who has not been charged, was disguised as consulting services to Tyron that were never provided, the report said.

PDF Link to the Indictments  - (Charlotte Observer)

PDF of Governor Bev Perdue's statement on the issue  - (Charlotte Observer)



From the News and Observer (Raleigh) - 3 Perdue associates indicted - Dan Kane -  November 28, 2011 - A Wake County grand jury today handed down indictments alleging that a top aide to Gov. Bev Perdue's 2008 campaign schemed to pay a staffer $32,000 for work that was kept off the books in violation of state election laws.

The new charges, all felonies, are part of a long-running investigation into Perdue campaign activities that have focused on expenditures that would have triggered election law violations for exceeding the limit on personal donations if they had been reported. Earlier this year a retired state magistrate was charged with obstruction of justice for allegedly trying to hide an illegal campaign flight.

The indictment against him said his business, Tryon Capital Ventures, received $32,000 in contributions or loans from Charles Michael Fulenwider, a Perdue contributor from Morganton who owns fast food restaurants and had arranged several campaign flights for her. Reichard used the $32,000, disguised as consulting services, to compensate Julia Leigh Sitton, who later became the director of the governor's Western office. She is also known as Juleigh Sitton.

Sitton was charged with obstruction of justice and causing the Perdue campaign to file false reports. She resigned from the director's position in August and had been making $50,000 a year. She is a Morganton attorney who has long been active in Democratic political campaigns. Perdue campaign finance records show she was reimbursed for roughly $4,500 in campaign expenses in the 2008 election.

From the Burke Ed Blog: Judge Claude Sitton's Daughter Indicted by Grand Jury... but Morganton businessman Mike Fulenwider was not charged. - According to AP reports (which are everywhere on the World Wide Web since this story broke on 11/28/11 at 12:51pm), the Wake County grand jury indicted two attorneys (WPCC Trustee Juleigh Sitton, and Trawick "Buzzy" Stubbs, Jr.), as well as a Greensboro businessman, Peter Reichard, with campaign violations. According to the AP, all charges are felonies with potential penalties ranging from community service to prison time. 

 The News & Observer's report states that Mike Fulenwider donated or loaned funds to Reichard's business, Tryon Capital Ventures, which then compensated Juleigh Sitton $2,000 per month for work on the Perdue campaign that was kept off the books. Sitton was charged with obstruction of justice and causing the campaign to file false reports, according to the News & Observer.

People seemed to know something was up when Juleigh Sitton resigned in August 2011. Recently, blog searches for "Juleigh Sitton", "Claude Sitton", "Juleigh Sitton resignation" have been prevalent, indicating someone was looking for the indictment story to break soon. The Hickory Hound blog ran their story on Morganton's Shenanigans on September 1, 2011. This was the first inclination that Juleigh Sitton may be accused in the matter.

From the Hickory Hound: Morganton Shenanigans - Wide Ranging & Far Reaching Implications - September 1, 2011 - The Governor is feeling the heat of corruption in the Democrat party. This is the reason for her "shake-up." Juliegh Sitton, an attorney from Morganton and until late last week was the Director of the Governor's Western Office, is accused of campaign "issue" involving a local millionaire in Morganton who is a Fast Food magnate. This Fast Food magnate has been implicated in several scandals including with the former Governor Mike Easley, Governor Bev Perdue, and from what I have read and heard the Football Scandal at the University of North Carolina at Chapel Hill.

Juleigh Sitton is the daughter of former Superior court Judge Claude Sitton.

Connect the Dots:
SBI investigates contributions for Perdue's campaign flights - Morganton News Herald - Mike Baker - October 8, 2010

Why Did Perdue Campaign Not Use Cheaper State Plane? - Carolina Journal - Don Carrington - September 30, 2010

Dozens Involved in Aircraft Provider Program for Perdue, Easley - Carolina Journal - Don Carrington - October 28, 2010

Unnamed Source Paid for Perdue Campaign Flight - Lincoln Tribune - February 24, 2011

 

( The Hound ): Who can you trust in this area. Every time we see the light shined upon one of these issues it looks dirty. We always look to the eastern side of North Carolina and point a finger towards the corruption we see there. What about the corruption we see in our own backyard? It's the same thing!

  

The Hound: This is why the Hound is real journalism. We don't mind talking about the issues and we are constantly at the forefront of the issues. Where are the other local media outlets. You want to know what is going on, then this is the place to come find out.

Economic Stories of Relevance in Today's World -- November 27, 2011

Contagion in the System - The Hickory Hound - November 24, 2011 - The problem lies with these Huge Multi-National Mega-Corporations and their marriage to global governance. They are supposed to represent all interested parties. The customer/client, the employee, the community where they do business, as well as the shareholders. Instead they have only looked towards the interests of Executives at the top and the largest shareholding interests. Everyone else is screwed.

Who has control over these entities, which many have deemed "too big to fail?" Domestically, these entities have bought into every facet of our political party structure through lobbying influence and political contributions. This means that Mega-Corporate Interests take precedence over those of the American people. When these entities break the law they are rarely held accountable, especially in a punitive fashion.

In Theodore Roosevelt's autobiography (from 98 years ago) he addresses this issue in relating the Progressive Platform of the Bull-Moose party, which was formed as a splinter group from the Republican Party led by President William Taft who had succeeded Roosevelt in 1909. This was during the first Robber Baron period of this nation, when Incorporated Business growth was leading to monopolies, collusion, price fixing, anti-competitive practices, and other unregulated power through these interests, which led to such regulation as the Sherman Antitrust Act and the Clayton Antitrust Act...

 "Behind the ostensible Government sits enthroned an invisible Government, owing no allegiance and acknowledging no responsibility to the people. To destroy this invisible Government, to dissolve the unholy alliance between corrupt business and corrupt politics, is the first task of the statesmanship of the day.... This country belongs to the people. Its resources, its business, its laws, its institutions, should be utilized, maintained, or altered in whatever manner will best promote the general interest." This assertion is explicit. We say directly that "the people" are absolutely to control in any way they see fit, the "business" of the country. I again challenge Mr. Wilson to...

MF GLOBAL REVELATIONS KEEP GETTING WORSE - Pragmatic Capitalism - Janet Tavakoli, Tavakoli Structured Finance - November 22, 2011 - When MF Global collapsed on October 21, it was the biggest financial firm to collapse since Lehman in September 2008. Then Chairman and CEO Jon Corzine is connected to the head of one of his key regulators, the Commodity Futures Trading Commission (CFTC), through his former protégé at Goldman Sachs, Gary Gensler. He also knows the Fed’s William Dudley, a key member of the Fed’s Open Market Committee, from their days at Goldman Sachs. The Fed approved MF Global’s status as a primary dealer, a participant in the Fed’s Open Market Operations, just before Jon Corzine took its helm and beached it on a reef called leveraged credit risk. MF Global’s officers admitted to federal regulators that before the collapse, the firm diverted cash from customers’ accounts that were supposed to be segregated.... Cash in customers’ accounts may be invested in allowable transactions, and MF was allowed to make extra revenue from the income. But what isn’t allowed, and what MF Global apparently admitted to doing, is to commingle customers’ money with its own and take money from customers’ accounts to meet margin calls on MF Global’s own allowable transactions. Even if all of the money is eventually clawed back and recovered, this remains an impermissible act. Moreover, full recovery—even if it is possible—is not the same as restitution. People have been denied access to their money, and businesses and reputations have been tarnished. MF Global reportedly employed 35:1 leverage—some reports are 40:1—against a portfolio comprised around 20% of European Sovereign risks including Belgium, Italy, Spain, Portugal, and Ireland. MF Global would have had several trading days in 2011 with moves of 5% to 10% on this sovereign risk. MF Global was so thinly capitalized that this trade alone could eat up half of its capital. Any of MF Global’s other asset positions moving the same way in 2011’s highly correlated markets would have put MF Global in a position of negative equity. From a risk management point of view, examiners have to consider the very strong possibility that MF Global had several negative equity days throughout 2011. How did MF Global meet margin calls throughout 2011? It seems an investigation into money flows throughout 2011 is in order. By the end of October, the combination of a $90 million August legal settlement against MF Global coming due, increased capital calls by FINRA, and margin hikes from counterparties worried about MF Global’s credit made it impossible for MF Global to cover up its shortfall. The Financial Industry Regulatory Authority Inc. (FINRA) gave Jon Corzine a waiver from his Series 7 and Series 24 exams when he took the helm of MF Global in March 2010. The former is required for anyone involved in the investment banking or securities business including supervision, solicitation, or training of persons associated with MF Global, and that included Corzine. As an officer of MF Global the latter was required for Corzine, since he had been out of the business for around 12 years or more than six times the 2 year expiration date for reactivating these qualifications..... The test waiver by regulators seems to be blatant cronyism, because Corzine not only hadn’t been involved in the day-to-day markets for more than a decade, his responsibilities at MF Global included active decision making. The waiver wasn’t justified. Corzine reportedly authored the strategy for the MF Global killing trades, and he also had authority on the trading floor..... Gary Gensler, head of the CFTC, did not investigate or begin transferring accounts out of MF Global before the bankruptcy, and that is unprecedented for the CFTC. Given that Gary Gensler was a protégé of Jon Corzine at Goldman Sachs, one should question why Gary Gensler didn’t act and why he should be allowed to remain head of the CFTC..... Gary Gensler, Jon Corzine’s former Goldman Sachs colleague and current head of the Commodities Futures Trading Commission (CFTC), had reason to be concerned about MF Global’s risk management. In early 2008, a rogue trader racked up $141.5 million in losses in unauthorized trades that exceeded his trading limits. It seems he accomplished this in under seven hours. In August of this year, MF Global and the underwriters of its 2007 initial public stock offering (IPO) paid around $90 million to settle claims by investors that they were misled about MF Global’s risk management prior to the rogue trader’s actions. Since 2008, MF Global’s financial condition has been nothing to brag about. Now the settlement is in jeopardy due to the bankruptcy. [Michael Stockman, the chief risk officer of MF Global as of January 2011 (after the previous mentioned incident) was in my Liar’s Poker training class lampooned by another classmate, Michael Lewis.]...... The “risk wizards” of Goldman Sachs once again look like market wrecking balls. The futures market is a globally connected market and it is a key mechanism for farmers, metals miners, and metals fabricators (among others) to hedge their risk. Confidence in the futures market has been shaken. No one knows if their money is safe, but what is more disturbing is the appearance of crony capitalism once again giving favored treatment, lax regulation, and absent oversight to a crony capitalist that abused all of these perks to blow up a large financial firm and damage a key global market.



Jefferies Bankruptcy Imminent? CEO Is "Weighing Whether Firm Can Remain Independent" - SilverDoctors - November 22, 2011 - Jefferies' CEO Richard Handler is reportedly looking for buyers for the distressed firm, and is "weighing whether the firm can remain independent". 

The Doc's Translation (in the MF Global timeline of events):  We are currently in a mad rush to confiscate client funds and gold and silver warehouse certificates, receipts, and bullion in a desperate attempt to secure a short term loan to make it until we reach a deal with JP Morgan. If we can't secure a short term by Wednesday, don't expect to see us in the office on Monday or your segregated funds ever again. 


Gerald Celente : we look at a Global Meltdown - Pakalert Press - Michael Harris - November 23, 2011 - Michael Harris – 21 November 2011 : The white shoe boyz are immune to this and this is the immorality that is running through America , not one head has rolled from the financial panic of 2008 and all the dirty deals that were done , justice means Just US says Gerald Celente , ” I am the only guy that broke the story about the CME group” he added , and by the way the CME is the Chicago Mafia Enterprise , they do not have gold to deliver we look at a Global Meltdown the whole global financial system is in collapse look at what’s going on in Europe.


THE RETURN OF DEBTORS PRISONS: Collection Agencies Now Want Deadbeats Arrested - By Henry Blodget | Daily Ticker – Tue, Nov 22, 2011 - As if life wasn't already tense enough for Americans who can't pay their debts, collection agencies are now taking advantage of archaic state laws to have some debtors arrested and sent to jail. More than one-third of US states allow debtors to be arrested and jailed, says Jessica Silver-Greenberg in the Wall Street Journal. Judges typically grant arrest warrants when the debtors have failed to show up for court dates or failed to make court-ordered payments. Of course, the reason debtors have failed to make court-ordered payments is often the same reason they didn't pay their debts in the first place: They don't have any money.


The truth behind the new jobless generation - The Telegraph (London) - Emily Gosden, and Neil Tweedie - November 26, 2011 - As the economy continues to splutter, with third-quarter growth of 0.5 per cent, the Coalition is faced with a political running sore. A sticking plaster was applied yesterday when the Government announced £1 billion of spending over three years to provide young people with subsidised places in the private sector. From next April, employers will be offered £2,275 per recruit for taking on people aged 18 to 24 for six months. Some 160,000 young people should benefit from the scheme, and up to 410,00 are to be offered placements of some kind or another, but the number of real jobs created is anyone’s guess. In any case, such solutions do nothing to address one of the central failings of the British economy: the chronic inability of the British education system to deliver useful employees to commerce and industry. People like the tongue-tied business studies graduate illustrate a problem cited time and time again by employers: young people lacking basic skills, even at the graduate end of the scale, but imbued with an over-healthy sense of entitlement. “It’s all very good going to university and coming out with these degrees, but you must have the social skills to go with them,” says Mandy Brook, director of the Eastbourne-based agency, Recruitment South East. “You need to be able to look someone in the eye and have a conversation. I would say 70 per cent of the children out of university and further education can’t do those things.” Few applicants, she says, are prepared to lower their sights and take more menial jobs to gain knowledge of the workplace. “They turn around and say: 'That’s not what I was looking for.’ You explain the market to them but they say they will wait or they strop off. They are hoping for £20,000 or more.” A solution is readily available: thousands of polite, hard-working, well-qualified young people from the eastern countries of the European Union and elsewhere. With much of Britain’s human capital wasted, the gaps have been filled by foreigners. Of the 29.17 million people aged 16 and over in employment in the United Kingdom, 2.56 million are non-British nationals. At the same time there are 2.62 million in this country unemployed and 9.36 million people classed as economically inactive. While the British component of the workforce shrank by 280,000 in the year to September, the overseas workforce in Britain expanded by 147,000. By far the biggest foreign contingent is from the eastern EU – Poland, the Czech Republic, Hungary, Slovakia, Slovenia and the Baltic states. There are 669,000 workers from those countries here, an increase of 94,000 on last year. “The foreigners are the keenest,” says Miss Brook. “They have the skills and they will work for pretty much any money. They are hard working, there on time and stay late if needed. It’s easier to take someone like that on than someone who thinks the world owes them a living.” The competition for British young people comes not only from foreigners of a similar age. Miss Brook says she is encountering more applicants aged 55 and over, people driven back into work by inadequate pensions and rising prices.


Scott Millar - The Future Economy Council - Catawba County Economics 101 - The Hickory Hound - November 22, 2011

What does America's Economic Future Look Like?

Contagion in the system

Below is Warren Pollock's Open Letter to the CME Group.

Wednesday, November 23, 2011

Open Letter to the CME
To: Terrence A Duffy, Chairman CME Group

As illustrated by the failure of MF Global, I am of the opinion that, the CME has not met its basic obligations to the marketplace as a “public fiduciary.”

Our society depends on “basic finance” to provide “utility function” such as banking, hedging, insurance, and/or capital formation. Presently, we have an “innovative system” that degrades the integrity needed for “basic finance” to perform as required in a well-structured economy.

Worse yet, our “innovative” financial system impedes the effectiveness of the greater “physical economy.” The “physical economy,” consisting of all those individuals and entities tasked with meeting actual need. The "physical economy" consists of many of your customers including farmers, manufactures and electric companies.

Our society needs people working in the "physical world" to create jobs more desperately than it needs the continuity of the CME. Must we endure another market catastrophe to figure this out?

The 2008 bailouts defined “moral hazard,” as the socialization of losses due to over-leverage. MF Global consumers are currently subsidizing losses attributable to over-leverage and “innovation.” Perhaps, small percentage moves in speculation rationalized an internal choice between corporate survival and the sanctity of customer funds. Complexity has been specifically designed, by “modern finance” to intentionally allow over-leverage leading to out sized profits and reactively-subsidized losses.

The word, “theft,” comes to mind.

I believe that, the products traded by your member firms, at the CME exchange and elsewhere, well exceed the capacity of the monetary system to cover relatively small percentage losses or speculative miscalculations. Clearing OTC derivatives on an exchange does not, and will not, correct the problem.

With repeal of Glass Steagall, and the conversion of mutual companies to publicly traded entities, meaningful regulation has proved to be politically impossible to recapture. The solution therefore resides in simplification from “innovative” towards “basic” finance.

Presently, I would urge you to make MF Global customers whole as a perquisite to market reform towards a “utility function.” More than just the continuity of the CME may be at stake.

Warren E. Pollock

What is the CME Group? (Wikipedia) - CME Group Inc. (NASDAQ: CME) owns and operates large derivatives and futures exchanges in Chicago and New York City, as well as online trading platforms. It also owns the Dow Jones stock and financial indexes. The exchange-traded derivative contracts include futures and options based on interest rates, equity indexes, foreign exchange, energy, agricultural commodities, rare and precious metals, weather and real estate.[1]

The corporate world headquarters are in the Chicago Loop financial district The corporation was formed by the 2007 merger of the Chicago Mercantile Exchange (CME) and the Chicago Board of Trade (CBOT). On March 17, 2008, it announced its acquisition of NYMEX Holdings, Inc., parent company of the New York Mercantile Exchange and Commodity Exchange, Inc (COMEX), which was formally completed on August 22, 2008.[2] The four exchanges now operate as designated contract markets (DCM) of the CME Group.[3]

On February 10, 2010, CME announced its purchase of 90% of Dow Jones Indexes including the Dow Jones Industrial Average.[4]


Problems in the system - Insight: Farm belt rage over MF Global could chill markets - Reuters - By Bob Burgdorfer and Philip Shishkin - CHICAGO/WASHINGTON | Mon Nov 21, 2011 - When the CME Group pledged $300 million of its own money to help former MF Global customers get their cash back faster, the exchange was likely thinking of customers like Kansas cattle rancher Tim Rietzke. Fed up and frustrated with his broker's collapse and what he sees as the CME's slow efforts to help him retrieve $30,000 in stranded capital, Rietzke says his faith in the futures industry has been shaken to its core. "I would be hedging some feeder cattle right now, but I'm not going to do it. I'm leaving them exposed to the cash market and I don't like that," Rietzke said. Rietzke may reside far from the trading pit in Chicago, but he and thousands of other ranchers and farmers across the country are at the heart of futures trading. With billions of their dollars locked up by MF Global's October 31 bankruptcy filing, they are a key voice in determining if and when the futures business regains its poise and reputation. "I have no confidence in the market, because it could happen at any other brokerage," Rietzke told Reuters from his 8,000 acre ranch near the southwest Kansas town of Coldwater......

CRISIS OF CONFIDENCE - The victims of MF Global's bankruptcy have experienced a range of emotions, from anger and betrayal over the missing funds to criticism of regulators being slow to spot problems. With billions of dollars still frozen at MF Global, the outrage has turned to the CME Group for failing to help its customers regain speedy access to their accounts. Far more than the failure of Refco six years ago, MF Global's downfall has triggered a call to arms for medium-and small-scale traders across the marketplace who say it has exposed previously obscured risks in the system -- and the fact that there's no 'white knight' to save them. "The exchange should make this right. Let them hold the bag instead of us," says cattle broker Lynn Wagnon. "We can't trust the system anymore." So far, the CME has offered $300 million to help MF Global's bankruptcy trustee make up for potential customer losses. But even that measure has been criticized. Some of the MF Global's former clients argued in a recent court filing that the guarantee was "an insufficient band-aid, at best." Some $50 million of the offer is from an emergency fund that will help make up for any customer account shortfall; the remainder is simply a "limited guarantee" to allow the trustee to return client funds more quickly. Crain's Chicago Business wrote in an editorial that the CME had suffered "a dramatic and unforgivable void in leadership." CME's shares have fallen nearly 14 percent since the day before MF Global's collapse through to Monday's close....

FOR TRADERS OR PROFIT? - And yet many traders still look to the CME Group to make it right somehow, a sentiment that dates back more than a century to the CME's roots as the Chicago Butter and Egg Board. Until its listing in 2002, the Chicago Mercantile Exchange was run as a member-owned club, providing a degree of comfort to traders that the exchange had their best interests at heart. But as big money hedge funds replaced traders as its main constituency, the CME focused on boosting profits, buying first the Chicago Board of Trade in 2007 and the New York Mercantile Exchange the following year, even as exchange members complained loudly they were being short-changed by the deals. CME executives regularly emphasize they are bound to put their "fiduciary duty" to shareholders above any loyalty to their members and Chicago, promising this year they will leave the city -- the home of many of their traders -- unless the state reverses a tax hike made earlier this year. That shift in allegiance may be fueling criticism from market participants.....


The Hound: The problem lies with these Huge Multi-National Mega-Corporations and their marriage to global governance. They are supposed to represent all interested parties. The customer/client, the employee, the community where they do business, as well as the shareholders. Instead they have only looked towards the interests of Executives at the top and the largest shareholding interests. Everyone else is screwed.

Who has control over these entities, which many have deemed "too big to fail?" Domestically, these entities have bought into every facet of our political party structure through lobbying influence and political contributions. This means that Mega-Corporate Interests take precedence over those of the American people. When these entities break the law they are rarely held accountable, especially in a punitive fashion.

In Theodore Roosevelt's autobiography (from 98 years ago) he addresses this issue in relating the Progressive Platform of the Bull-Moose party, which was formed as a splinter group from the Republican Party led by President William Taft who had succeeded Roosevelt in 1909. This was during the first Robber Baron period of this nation, when Incorporated Business growth was leading to monopolies, collusion, price fixing, anti-competitive practices, and other unregulated power through these interests, which led to such regulation as the Sherman Antitrust Act and the Clayton Antitrust Act.

Theodore Roosevelt: An Autobiography - NEW YORK: MACMILLAN, 1913 - NEW YORK: BARTLEBY.COM, 1999
(Chapter) XV - THE PEACE OF RIGHTEOUSNESS - APPENDIX B - THE CONTROL OF CORPORATIONS AND "THE NEW FREEDOM"
"Behind the ostensible Government sits enthroned an invisible Government, owing no allegiance and acknowledging no responsibility to the people. To destroy this invisible Government, to dissolve the unholy alliance between corrupt business and corrupt politics, is the first task of the statesmanship of the day.... This country belongs to the people. Its resources, its business, its laws, its institutions, should be utilized, maintained, or altered in whatever manner will best promote the general interest." This assertion is explicit. We say directly that "the people" are absolutely to control in any way they see fit, the "business" of the country. I again challenge Mr. Wilson to...

We need to get these corporate structures back under control and number one they must adhere to the rules and regulations of this nation. Corporate Powers have a fiduciary responsibility to protect all interested parties, not just executives and shareholders. When you represent to a client/customer that their money is secure, then it damned well better be there and available.

Mr. Pollock was not invested in a Derivative contract, at the time, so his money should be secure. Everyone understands the inherent risks of Futures Commodity investments. That is not the issue. This issue is not about day traders and hedge funds. The issues involve the separation of cash accounts and contracts. If one makes a bad investment, then it is understandable that they can lose, but if their money is parked, then it should be secure.

The big issue is the purpose of these markets. These markets were initially implemented to allow  Enterprises that need to procure commodities in huge volumes over extensive periods of time to be able to smooth out waves (price fluctuations) in the market. Without a reliable market, we are all going to be left vulnerable to shocks (price fluctuations) in the market place involving short term crises leading to panics.

This is the reason why the Federal Reserve needs to be taken out of the marketplace. Their manipulations are what have caused many of these issues and they are an unelected (and basically unregulated) body.  I believe the Fed is using their recently printed up Federal Reserve Notes to manipulate the commodity markets. It is the paper precious metal markets that are driving the price of precious metals, much like the paper (derivative) markets are driving up most commodities at this time. In reality there are shortages in relation to the paper assets. As an example, right now it is hard to get a hold of U.S. Mint Walking Liberty silver ounces, because the U.S. Mint is having a hard time sourcing the metal. There are several times multiples of paper versus actual physical metals in the futures market. Listen to what they are saying about MF Global. It is (could be) basically the beginning of a cascading default in the futures market. What is a future? It is a derivative investment off of the actual physical asset, but in the end it is backed by nothing other than a guarantee of delivery. The same holds true whether for a long or short position. What if the deal is that all of these future contracts are looking to take delivery and the metal isn't there? Do you see where this is leading? It is leading to a default and a cascading effect. It can take down the CME and then it will take down the hedgefunds, which leads to the financial houses going down and who owns the financial houses? That would mean that the economy would be tied up in knots and non-functional.

We are in big trouble folks!!!

Happy Thanksgiving from The Hickory Hound

Miss You Mammaw

Norman Rockwell Thanksgiving

Scott Millar - The Future Economy Council - Catawba County Economics 101

I don't think that one can help but like Scott Millar, the CEO of the Economic Development Corporation of Catawba County. This guy is constantly on the go and you see him everywhere. He's also easily approachable in a job that requires him not to divulge everything he knows. I think he has done an excellent job under trying circumstances.

The following is his presentation from his visit with us at the Chamber of Commerce as part of the monthly Future Economy Council meetings. This is the second such meeting that Scott has held with us over the last couple of years. I call it a lesson in "Catawba County Economics 101," because from nearly the beginning this discussion went into critical thinking mode. I appreciated the way that Scott acted as a mediator and professor in allowing the people of the group to ask candid questions and express concerns with issues and the direction of the area's economy. If you listen to this meeting, then you will understand why we all walked away from this meeting feeling better about the direction we are headed and the steps we (all of us) need to take to move our area forward.




Part 1 - Intro and discussion about long term economic objectives.

Part 2 - Attracting and growing Small Businesses versus recruiting established major corporations. Success and failure of start-ups and complaints about competition from existing businesses.

Part 3 - Why do businesses we recruit go elsewhere? Developing and Marketing Assets... Breaking down Silos...Vision and Credibility

Part 4 - Perception is Reality... Scott talks about the Apple facility... and about Turbocoating

Part 5 - Energy, Information, and manufacturing possibilities... Why companies come to Catawba County... Developing specific opportunities that are fertile for targeted market centers... Utilizing existing vacant infrastructure.

Part 6 - Problems with the existing regional Economic Development Partnership... and the positive developments of the Regional Partnership to the west... We will sell where we can sell... Opportunities and needs to watch developments... Makers and Doers... A Life Well Crafted... The Big Elephant Issue... Attracting 20 to 44 year olds... State Incentives and the problems with the tier system... Danny Hearn talks about strategies and hiring someone from the outside a leader, that can help get a collaborative investment action plan.

Economic Stories of Relevance in Today's World -- November 20, 2011

MF Global: Was It A Hit? - Zero Hedge - Lawrence Lepard - Submitted by Tyler Durden - 11/18/2011 - Imagine you are Ben Bernanke, or on the Board of Governors of the Federal Reserve. The time frame is July and August of 2011 and the price of gold is on a tear. Commodities inflation has been persistent and is breaking out everywhere. Your prediction that inflation “is contained” and is a “temporary phenomena” are beginning to look absurd. What do you do?..... Simple. Hint that QE3, the primary drive of inflation, is coming and then fail to deliver at the September FOMC meeting. That takes care of the price of gold and the gold stocks. Ah, but those pesky commodities speculators keep making money and trading against what you want the markets to do. So what is to be done there? Hey Jon Corzine, how about you tank the largest broker for the small commodities punters in the world, and we let them twist in the wind? That will serve them right. Teach them to bet against the government approved scenario..... Think it did not happen? Well think again. All of the pieces fit. It sure is convenient that all those commodities speculators are now out of the box. Also, who will want to speculate on commodities in the future given customer funds are no longer protected. Furthermore, commodities speculators are not a very “All American” group. From the authorities point of view they can say: screw them, who will feel sympathy? Hell, James Bullard, Fed Governor, in an interview on CNBC yesterday said the MF Global collapse proves that the system works. Yes it does Jim, for you. Personally, I have $90,000 at MF Global and I would like to have my honestly earned money returned. Unfortunately, the odds of that happening any time soon seem slim. In part because when MF Global entered bankruptcy the judge appointed a Trustee whose law firm has done substantial work for JP Morgan, a deeply interested party. We will probably never find out what happened here. But for those of us whose eyes are open the results speak for themselves.



Supercommittee failure could trigger US credit downgrade, economists warn - Economists predict dire consequences if committee fails to reach agreement on how to reduce America's massive debt - The Guardian (UK) - Dominic Rushe in New York November 18, 2011 - Economists are warning of dire consequences if US politicians fail to make progress this weekend in tense talks aimed at reducing America's massive deficit ahead of a Wednesday deadline. The bi-partisan congressional super-committee is charged with drawing up plans for a $1.2tn reduction in the nation's deficit by the middle of next week. Failure to do so will trigger an automatic "sequester" that will make cuts of that size to defence and social welfare programmes starting in 2013. But the two sides seem far from finding a solution after clashing over tax revenues. While Wednesday is the official deadline for the supercommittee to report back, it has until Monday to tell the Congressional Budget Office about the impact any plan they send to Congress will have on the budget. "Time is running out. What I can say is we are leaving no stone unturned, negotiations continue and we are looking to find a way. We recognise what's at stake and we're hoping to reach an agreement," Democrat committee member Chris Van Hollen told CNN Friday.


Oil hits $100 as US economy slowly improves - Chris Hahn - AP - November 16, 2011 - Oil prices hit $100 a barrel on Wednesday after a six-week surge that may drive gasoline prices higher in coming months and slow the fragile economic recovery. For now, there a few reasons to explain why oil jumped 30 percent higher since early October. One is promising. The U.S. economy continued to show signs of strength, meaning that the thirst for fuel may grow. The other factor is troublesome, as concerns rise about potential disruptions to critical -- and tightening -- world oil supplies, including unrest in the key oil-producing areas of the Middle East and Africa. The price run-up has led to increasing numbers of investors, such as major investment funds, pension funds, money managers and other speculators, to flood back into commodities markets. "This thing is on fire," independent oil trader Stephen Schork said. "Everyone's gobbling oil up."


Eight SEC employees disciplined over failures in Madoff fraud case; none are fired [A
key employee was not fired because he knew too much.] - Washington Post - By David S. Hilzenrath, November 11, 2011 - The Securities and Exchange Commission, which failed to stop Bernard Madoff’s long-running investment fraud despite repeated warnings, has disciplined eight agency employees over their handling of the matter but did not fire anyone. The SEC’s head of human resources and a law firm hired to advise the agency had recommended that SEC Chairman Mary L. Schapiro fire one person, whom the SEC described as a manager in the office that inspects investment firms. But the chairman decided not to fire the employee, because doing so “would harm the agency’s work,” SEC spokesman John Nester said. The disclosure that no one was terminated comes at a time when street protesters and other critics who blame Wall Street for the country’s economic plight are questioning whether the government is serious about holding powerful wrongdoers accountable. This week, a federal judge excoriated the SEC for letting firms such as Citigroup settle fraud charges without admitting or denying wrongdoing. Madoff’s fraud cost investors billions of dollars, shattered lives and became perhaps the biggest embarrassment in the SEC’s history. Many clients who had entrusted Madoff with their savings were left struggling to make ends meet.


Why Your Tax Bill Might Surge Next Year - Yahoo/Fox Business - by Bob Jennings - November 9, 2011 - In a recent tax planning meeting with one of our clients, we shocked them with what their income tax future looked like for 2013 if -- on the off-chance -- Congress continues to do nothing to provide a long-term permanent set of tax laws. They had no idea what tax breaks were expiring this year and next year, and how much it would cost them personally in extra income tax. But they aren't alone, many Americans and even tax professionals aren't aware that their tax bill could rise dramatically next year These clients are your average American family and their situation is a good example of the law changes that will affect all of us. Here's their tax situation with a table summarizing the expiring tax laws that are scheduled to occur in 2011 and 2012......


Major Individual Income Tax Benefits Expiring 12/31/2011:
• Personal tax credits applied against income tax no longer apply
• Higher alternative minimum tax exemptions revert back to extraordinarily-low thresholds
• $250 school teacher expense deduction ends
• Mortgage insurance premium deduction expires
• State and local sales tax deductions expire
• Tuition and related fees deduction end
• IRA to charity tax-free transfers stop
• 2% Social Security tax reduction ends

Major Individual Income Tax Benefits Expiring 12/31/2012:
• Marriage penalty equalization ends
• Dividends taxed at capital gains rates removed, taxed at regular rates now
• Capital gains low tax rates expires
• Removal of itemized deduction phase out for higher income Americans
• Removal of personal exemption phase out for higher income Americans
• Child care deduction limit of $3,000 reverts to $2,400
• Child credit reduces from $1,000 per child to $500 per child
• Low 10% tax bracket for low income Americans is eliminated
• Lower income tax rates and smaller brackets expires
• Refundable adoption credit and reduced deduction
• American Opportunity college education credit expires
• Major reduction in earned income credits and refunds
• Income tax exemption for debt forgiven on home foreclosures and repossessions
• Deduction for student loan interest ends
• Education IRA limit drops from $2,000 to $500

What actually happened with MF Global - November 15, 2011 - Trends Research Institute - Gerald Celente

Gerald Celente, on the MF Global scandal and the meltdown of the futures market

Gerald Celente, about the MF Global scandal and the meltdown of the futures market , this theft of clients' money has never happened before, the clients' accounts should have been kept as SEGREGATED accounts, so the clients could get all of their money back even if the company files for bankruptcy. I feel sorry for all the people who lost their money by MF Global . MF Global is a glip non important to markets, although its messed up, markets are only moving on the cnbc and other media headlines that continue to talk about europe and there problems. Its total manipulation to keep using media headlines about greece, italy, france, spain, to keep bringing the markets down. They keep fear mongering! There creating volitality, and once we have to talke about our debt issue on november 23 our markets will probablly go down more. Its total media manipulation

When will Jon Corzine and his cronies be arraigned?

MF Global is the tipping point. This is a meltdown right along the lines of the contagion created by Bear Stearns relating to the Mortgage Backed Securities market in 2008. This is about Precious Metals. There are a lot of people who have been ripped off.

The clowns that back the Republicans and Democrats keep the game rolling by buying into the con. Republicans for Small Gubment. The Democrats for the Common Man. Do you realize what dupes you are? You are dupes people... You are freaking dupes... And I have gotten to the point where I just have to laugh when I hear people talking about the debates and how they support this con man or that con man... And you do zero research.

You better get your provisions ready and figure out what you are going to do when the banks start going down, because when they merged the Holding Bank Corporations with the Investment Bank Corporations and allowed the revolving door between "Public Servants," Lobbyists, and Corporate Execs, the rigged game was on. The Real Estate mess happened, because Banking became all about Sales and the fees associated with sales. You ever traded stocks? It's hard to make a real return, because these investment companies basically try to encourage you to day (flip)trade and then they fee you to death, If you don't day trade, then they fee you to death with inactivity penalties. Then they have been caught frontrunning trades to make fees on the margins when you buy and when you sell. I know, because I lost a few thousand before I figured out that scheme.

You look at the Mortgage Industry. They certainly weren't doing anything that I was taught in school. But, the banks weren't going to hire someone like me with a degree in Finance. They wanted a psychology or marketing major who is taught how to push sales and talk customers into agreeing to purchase instruments that they don't need. The slow and steady pace of investment will win you the race,when it comes to building wealth, but that limits the ability of the bank to make convoluted paper profits. For years, the banks haven't been realizing substantive/real profits. It has all been on convoluted accounting gimmicks involving mark to fantasy when assessing the value of toxic financial instruments. They aren't investing in productivity. They have been flipping these electronic derivative instruments and rigging the markets through electronic/programmed trading schemes. And they have committed fraud all along the way, because they haven't been fulfilling their duties as a public trust or their fiduciary responsibilities towards individual investors or their clients.

It is time for hearings and trials. If the congress is unwilling, because of their conflicts of interest and prostituting themselves to these Banksters, then try these criminals on the State level. If not with the States, then let's have some D.A.s prosecute and Sheriffs arraign some of these people.

Study the MF Global incident that has started this contagion involving commodities.

Fund Transfers Are Focus of MF Global Probe - Wall Street Journal - SCOTT PATTERSON - November 18, 2011

Regulators have unearthed new details indicating MF Global Holdings Ltd. shifted hundreds of millions of dollars in customer funds to its own brokerage accounts in the days before its bankruptcy filing, according to people familiar with the matter.

Such moves could violate regulations stipulating that commodities brokers can't mix customer funds with brokerage funds. Brokerage funds often are used to back proprietary trading positions.

According to MF Global's internal records, the transactions were as large as hundreds of millions of dollars at a time, these people said.

It is common practice among futures brokers to maintain a buffer of firm capital in customer-segregated accounts to protect against possible customer losses, industry officials said. However, MF Global officials believe it was acceptable to use those funds when required for the company's needs, people familiar with the matter said.

It appears likely to regulators from their investigation so far that MF Global burned through all of its capital buffer during the week before the Oct. 31 bankruptcy filing, and then started tapping customer funds, according to people familiar with the matter.

The executives at MF Global knew exactly what they were doing. It does not matter if they were desperate. The bottom line is that they have broken the law. Jon Corzine may have been a Senator and Governor of New Jersey. Whoopty Freaking Do. One thing we see is another person in the long line of the revolving door of Goldman Sachs and the government -- where Corzine was once the CEO.

In the real world, we have people out here that are desperate and they go rob a person or a store. Nobody is cutting them any slack. They do time. It is time to quit cutting these con men posing as financial experts any slack. Why are we cutting these Bankster Robber Barrons any slack?

This is the reason why we can't find traction to get on the road towards an economic recovery, because we are endorsing malfeasance, corruption, and criminal activity based upon stature and cronyism. This is the cause of the Breakdown Crisis we see with the World Economy. These people have created the negative Economic Vortex, because there is no trust in the Economic/Commercial system. You can't trust what you are getting into when making an investment. No one minds assuming risk, but this corruption creates an unquantifiable risk to investments.

Morons lambast those kids who are protesting as part of the occupy movement. The maroons ought to realize that we should all be protesting. Instead of holding the door open for the white collar bank robbers, we should be slamming the door shut on their holding cells!!!

Paranoia?, Security?, and East Carolina University on Lockdown -- Silence DoGood

Flash, East Carolina University on lock-down because a man was spotted with an… umbrella.” That’s right, an umbrella. I don’t know if it was a single shot, semi-automatic, or belt fed umbrella, but apparently there was an expectation of rain yesterday in that part of North Carolina and the man who possessed said umbrella had it at sling arms as a means of preventing raindrops from interrupting the flow of his day as he went about his business.

Am I being remotely sarcastic? Remotely, yes. How anyone that has any knowledge of firearms could mistake an umbrella for an assault rifle is beyond me. And yes, the presumption there is the fact that someone has knowledge of weapons that made those calls. Of course, perusing the websites from that part of the State, one learns that several calls were made, the lock-down proceeded, and then all the kids in the lockdown with their cell phones began to throw gallons of gas on the fire with false reports, rumor, and innuendo. Reports of hostages being taken, an armed person in a building, were all flying because of social media access and became incredible wastes of time and resources.

Besides my umbrage with the umbrella being a weapon of mass death and destruction, my other issue is that of the necessity and use of social media during this or any other crisis. Texting, blogging, twittering, and anything else not relevant and not relaying exactly what is happening, with who, what, when, where, why, and how should be curtailed, halted, or have the binders put on it. In this instance rumor ran rampant fueled by and because of this cyber discussion. The situation thus, from the reports on file, quickly devolved into chaos and only served to as fodder to the hysteria and panic of the moment. These ne’er do well folks added their 2.5 cents worth of absolutely nothing but fear, paranoia, angst, and any other adjective you can think of for mindless behavior, to this scenario. It divided the response, it diverted resources from the initial objective and it was based in no fact whatsoever, was added to, then bent and twisted into nothing resembling what was actually transpiring.

Think about this if you please. You arm your children with cell phones for God only knows what reason and these little electronic distractions are erstwhile tolerated in the classroom for the same reason they’re supplied. However, if you receive a message from Chipper that the school is in lockdown or there is an armed person on campus in the monumental odds of such an event actually ever transpiring, do you think you’re going to be allowed into the school or even get close during a lockdown? Guess again. You will not be allowed anywhere close and if you insist, you will be detained or arrested. So you’re being part of the problem, citizen individual. And, by your knowing what is going on, how does that change things? Now that you’re in the know, does that somehow make it better? What can you do? We’ve already determined that you’re not getting into that perimeter, how is your knowing in real time beneficial? It’s not about you or your child, per se. It’s about all of the children and the people in that school. While you direct attention is for that one or two, the folks responding in have to take the entire population of that building or gathering into consideration. Every one understands you love your child and I think it unreasonable to expect anything to the contrary. You and every other parent of every other child that attends that institution. In those situations, stay out of the area, stay out of the way, and let those tasked with their safety and security do their job. It’s not about you get over yourself.

I do not want to see anyone harmed or injured as a result of inaction or ambivalence on the part of the police or any school official. Some that read this will argue that it is better to be safe than sorry in situations such as these. They will say that when you have reports such as the one with the assault umbrella, it is best to err on the side of caution. Absolutely, but to stage a panic? And in essence, that is exactly what transpired, panic. Just like walking into a crowded theatre and shouting, “FIRE.” There are two different modes of response in this quandary. The first is an investigatory response to a reported sighting of a person with a presumed weapon and the second is response to an active shooter. One involves a measured and controlled response and the other taking everything you have and piling it on fast.

I think this speaks as well to a decade of fear mongering and feeling safe and secure about terrorists, extremists, militiamen, fanatics, and your general all around whack-a-loons. We are captive in our own home, city, county, state, and nation. Freedom? Really? When you can shut down an entire college campus with an umbrella, what does that tell you about group think paranoia? We have become a nation of sheeple that have lost their zest to live and choose instead to exist. A nation who can’t seem to do anything for themselves, who depend or demand that everything be done for them, and cower in the shadow of an image of a man wielding an umbrella.

You cannot live in a country such as ours with the liberties and freedoms we enjoy and be completely safe. There is always a risk. There will always be a risk or there will not be any freedom or liberty. You don’t get served security and freedom on the same absolute plate. You get to have a choice. Now, you can reduce your risks, you can lessen the chances of such a travesty happening, but you can’t remove it. Otherwise you can talk about it, install cameras to see it, and station police in every school in every community in this nation. Does that render them or you safe? No, that gives you the illusion of safety, the feeling of being safe, doesn’t make it so. Next you’ll be talking about Big Brother and how oppressive they are and spying, checking, watching, looking, and tracking you. I’m sorry, scratch that last sentence in part. By the time we reach that phase, you won’t be allowed to discuss the Government or things going on… ever. You read and hear every now and again how the Federal agencies or intelligence services are winning the war on terror. They’ll break a plot or stop someone and come and tell us about it. This is called validating what they do and what you and I pay for. And for every one they stop, how many more do you think get through or continue on with their plans? Rest assured, our turn is coming around again. So, put down the phone, pay attention to your surroundings, and don’t make things worse by continually screaming “FIRE” or “ME, MY, or MINE” every time you see an umbrella.

Newsletter about the City Council meeting of November 15, 2011

This newsletter is about the Hickory City Council meeting that I attended this past week. City council meetings are held on the first and third Tuesdays of each Month in the Council Chambers of the Julian Whitener building.

At right of this page under Main Information links is an Hickory's City Website link. If you click on that link, it takes you to our city’s website, at the left of the page you will see the Agenda's and Minutes link you need to click. This will give you a choice of PDF files to upcoming and previous meetings.

You will find historic Agenda and Minutes links. Agendas show what is on the docket for the meeting of that date. The Minutes is an actual summary of the proceedings of the meeting of that date.

Here is a summary of the agenda of the 11/15/2011 meeting. There were a couple of important items that were discussed at this meeting and the details are listed further below:

Please remember that pressing Ctrl and + will magnify the text and page and pressing Ctrl and - will make the text and page smaller. This will help the readability for those with smaller screens and/or eye difficulties.

Invocation by Rev. Charles Kyker, Pastor, Christ United Methodist Church

Consent Agenda:

A. Call for Public Hearing - Ordinance Amending Hickory City Code Chapter 21, Section 21-13, “Use of Weapons” Regarding Firearms in City Parks (Authorize Public Hearing on December 6, 2011) This public hearing is required to make the City Code consistent with state law changes enacted in the 2011 Legislative Session.

B. Community Appearance Grant to Mayberry Partners, LLC – Non-Residential Property Located at 910 - 950 Tate Boulevard, SE in the Amount of $3,000 - This non-residential property, owned by Mayberry Partners, LLC, is located at 910 – 950 Tate Boulevard, SE. The applicants plan to purchase and place a sculpture on the property, including the installation of appropriate lighting. These properties are located within the Commercial Revitalization Area, and as such, are eligible to receive funding under the Appearance Grant Program. Prior to making its recommendation to City Council, the Community Appearance Commission requested the sculpture be reviewed by the Public Art Commission, which resulted in positive comments. The total cost for purchase and placement of the sculpture is $6,000, including an allowance for lighting. Given the standard 50/50 match, the proposal is eligible for an appearance grant in the amount of $3,000. On October 24, 2011, the Community Appearance Commission unanimously voted to recommend grant funding in the amount of $3,000.


C. Landscape Grant to Ryan Lovern (Fever Properties, LLC) – Non-Residential Property Located at 3031 North Center Street (NC 127N) in the Amount of $1,650 - This non-residential property, owned by Ryan Lovern (Fever Properties, LLC), is located at 3031 North Center Street. The applicant recently purchased the property (formerly, the Sunflower Nook), and the property has remained vacant for a period of time, allowing the existing landscaping to become overgrown and unkempt. The applicant proposes to upgrade the landscaping and add lighting, and has provided two bids which total $3,300 and $3,460. The applicant desires to go with the lower of the two bids, which would qualify her for a $1,650 grant, based on the standard 50/50 match. On October 24, 2011, the Community Appearance Commission unanimously voted to recommend grant funding in the amount of $1,650.

D. Approval to Apply for 2011 United States Environmental Protection Agency (EPA) Brownfield Assessment Grants (Hazardous Materials Grant - $200,000 and Petroleum Grant - $200,000) - The Planning and Development Department requests approval to apply for 2011 US EPA Brownfield Assessment Grants as follows: Hazardous Materials Grant - $200,000 and Petroleum Grant - $200,000. There is no required local match, and the grants are 100% federally funded. The application deadline is November 28, 2011.


E. Memorandum of Understanding Between the City of Hickory and Catawba County Regarding the County’s Voluntary Agricultural District Program - The City of Hickory has been asked to partner with Catawba County in an effort to support agriculture in our region. The Catawba County Board of Commissioners has adopted an ordinance establishing voluntary agricultural districts. This program is modeled after a state statute which gives local governments the authority to establish a program that recognizes working farms and other agricultural land as a benefit to the area. Since the program is county-wide, city residents with tracts of land that meet the minimum qualifications can enter into the program. The program is completely voluntary, does not involve zoning regulations, and agricultural uses are provided specific benefits that normally would not be available. Participants who meet the minimum criteria are identified on official county maps as being agricultural land uses, and the properties are also eligible to be identified through the installation of appropriate signage indicating an active agricultural use is nearby. These identification procedures are provided to serve as an announcement to neighboring property owners of the presence of active agricultural operations, and are provided in an effort to curtail complaints with respect to odors, noise and similar items. Staff Members from the City of Hickory and Catawba County have been discussing the City’s involvement in the program. By agreeing to the Memorandum of Understanding, the City essentially signs onto the County’s program.

F. Award Bid to Carolina Paving of Hickory, Inc. for Paving of Portions of Center Street in the Amount of $159,906 ($58,000 in CDBG Funds) - City Staff evaluated the existing conditions on portions of Center Street and determined that portions from the railroad along South Center Street to NC 127 and from 3rd Avenue NW along North Center Street to 5th Avenue NW require repaving. Portions of both roadway sections are in poor condition, and without repaving, the condition will continue to degrade, and the cost of repairs will increase significantly. Community Development Block Grant Funds (CDBG) in the amount of $58,000 will be used for part of the project, as limited funds deemed that all of the areas needing repaving might not be feasible. This prompted separating the project into two areas that the contractors priced individually. This particular project is a long-term upgrade for the roadway and supports continued high-level service to the area. Staff recommends that bid be awarded to Carolina Paving of Hickory, Inc. in the amount of $159,906, as a complete turnkey project to include all permits and inspections.


G. Citizens’ Advisory Committee Recommendations for Assistance Through the City of Hickory’s Housing Programs - The following requests were considered by the Citizens’ Advisory Committee at their regular meeting on November 3, 2011:
Kenneth Knight, 1149 15th Street SW, Hickory, was awarded a City of Hickory’s Housing Rehabilitation Loan. The Citizens’ Advisory Committee recommends approval for assistance not to exceed $8,000 for sewer and HVAC repairs to his house. Assistance would be in the form of a 3% interest loan for a 10 year period. Funds are budgeted for these items through the City of Hickory’s former Rental Rehabilitation Program income received in FY 2009 and/or program income received
through the City of Hickory’s Community Development Block Grant Program. Each of the following applicants is being recommended for approval for assistance under the City of Hickory’s 2011 Urgent Repair Program. This program provides qualified low income citizens with assistance for emergency-related repairs not to exceed $5,000.
Vermerrial Bennett, 167 12th Street Court SE, Hickory
Una Hunt, 1333 13th Street NE, Hickory
The Citizens’ Advisory Committee considered these requests at their November 3, 2011 Meeting and recommends approval of the above applicants.

H. Application for the Use of Frans Stadium by Girls on the Run Catawba Valley for “New Balance Girls on the Run 5K” Event to be held on December 10, 2011 from 6:00 a.m. to 2:00 p.m.

I. Proclamation – Proclaiming Sunday, October 30, 2011 as John Link Day in the City of Hickory

J. Proclamation – Veterans Day – November 11, 2011

K. Budget Ordinance Amendments
1. To budget a $58,000 Community Development reimbursement to the General Fund Street Paving line item for a long-term upgrade of South Center Street. The project includes the repaving of South Center Street from the railroad tracks to NC Hwy. 127. $58,000 of Community Development Block Grant funds will be used for part of the South Center Street portion of the project. The Street Division will use $101,906 of budgeted street paving funds in addition to the $58,000 reimbursement for a total $159,906 paving project.

2. To transfer $60,000 of Water and Sewer Fund Contingency to the Collection System Contracted Services line item. This transfer is necessary to pay KRG Utility Contractor for an emergency repair of 8" ductile iron sewer line. The bottom lining of the line is corroded due to problematic sewer; therefore the
repair is necessary.

3. To appropriate $7,196 of Restricted Government Revenue from the City of Claremont and budget in the Water and Sewer Claremont Division Repair of Equipment line item. This payment is for billable work the Water and Sewer department completed at the Claremont Plant.



New Business:- Public Hearings

1. Rezoning Petition No. 11-01 – Annual Process for Minor Amendments to Hickory By Choice 2030 and the Land Development Code - Rezone 56 Properties Along Highway 321 NW, Clement Blvd, NW and 9th Avenue NW from CC-1 Community Commercial to C-2 General Business - City staff has identified an area to be rezoned from its original designation in the Hickory By Choice 2030 Zoning Map. A total of 56 properties along Highway 321 NW, Clement Blvd. NW and 9th Avenue NW from CC-1 Community Commercial to C-2 General Business. These properties are located in Ward 5. The Hickory By Choice 2030 Comprehensive Plan classifies the properties as Community Commercial; however, at its October 26, 2011, the Hickory Regional Planning Commission unanimously recommended re-classifying this area as C-2 General Business because that classification is a better fit with both the existing land uses on the subject properties and the uses and character of development likely to occur in the future. The properties are currently used for commercial, office and light industrial purposes, which are permitted in the C-2 General Business District. Staff finds that it is reasonable to amend the Zoning Map due to the character of the existing development and future development that is likely to occur on the subject properties. Dave Leonetti made the presentation, which received the unanimous consent of the Council.

The change is sought to address the issues of vacant properties and the future proposed widening of Highway 321. The difference between the two classifications deal with building design and building placement. CC1 requires buildings to be closer to the street, which doesn't work along a 5 lane divided highway.

2. Rezoning Petition No. 11-02 – Annual Process for Minor Amendments to Hickory By Choice 2030 and the Land Development Code - Rezone Portion of 1415 and 1445 16th Street NE from R-4 Residential to NC Neighborhood Center Commercial - City staff has identified an area to be rezoned from its original designation in the Hickory By Choice 2030 Zoning Map. The request is to rezone a portion of 1415 and 1445 16th Street NE from R-4 Residential to NC Neighborhood Center Commercial. These properties are located in Ward 3. A portion of each property is already zoned NC Neighborhood Center Commercial. The proposed rezoning corrects a mapping error that occurred when the current zoning map was adopted. These two properties had been zoned NC-1 Neighborhood commercial in their entirety under the previous zoning map. The Hickory By Choice 2030 Comprehensive Plan classifies the properties as high density residential; however, the land uses on the subject property have been present fora number of years. Staff finds that it is reasonable to amend the Zoning Map due to the character of the existing development. Dave Leonetti made the presentation, which received the unanimous consent of the Council.

This redrawing of the map is meant to address a mapping error. There were GIS issues related to street numbering/naming.

 


3. Rezoning Petition No. 11-03 – Annual Process for Minor Amendments to Hickory By Choice 2030 and the Land Development Code - Rezone Six Properties Along the South Side of 2nd Avenue SE Between 2nd Street SE and 3rd Street SE from R-4 Residential to OI Office and Institutional - City staff has identified an area to be rezoned from its original designation in the Hickory By Choice 2030 Zoning Map. The request is to rezone six properties along the south side of 2nd Avenue SE between 2nd Street SE and 3rd Street SE from R-4 Residential to OI Office and Institutional. These properties are located in Ward 4. The proposed rezoning corrects a mapping error that occurred when the current zoning map was adopted. These properties had been zoned OI-1 Office and Institutional under the previous zoning map. The Hickory By Choice 2030 Comprehensive Plan classifies the properties as high density residential. This rezoning is consistent with Hickory By Choice 2030 because the properties are located along a major thoroughfare and act as a transition between commercial and residential land uses. The intent of the adoption of the new zoning map was to translate existing uses into similar zoning districts rather than
create non-conforming uses. The properties are currently used for residential and office purposes, which are permitted in the OI Office and Institutional District. Staff finds that the proposed rezoning is consistent with Hickory By Choice, and therefore, recommends approval. On October 26, 2011, the Hickory Regional Planning Commission voted unanimously to recommend approval of the requested rezoning. Dave Leonetti made the presentation, which received the unanimous consent of the Council.

 This is the northern boundary of Kenworth. This is also a mapping error that needs to be corrected. Future Land use would have this area becoming High Density residential.

 4. Text Amendment Petition No. 11-01 – Annual Process for Minor Amendments to Hickory By Choice 2030 and the Land Development Code - Land Development Code Article 3 (Zoning Districts), Article 4 (Overlay Districts), Article 6 (Use Regulations), Article 7 (Intensity Dimensional and Design Standards), Article 9 (Standards of General Applicability), Article 10 (Signs), Article 12 (Nonconformities), and Article 14 (Definitions) - City staff is initiating on behalf of the City of Hickory a text amendment to the Land Development Code. When the current Land Development Code was adopted in February, 2011, Staff stated it would suggest minor modifications to the document on an annual basis to correct inconsistencies, ensure the document remains user-friendly, and help implement the comprehensive plan. The proposed changes address issues found by Staff in the implementation of the code since its adoption. Therefore, Staff recommends approval of the proposed text amendments. On October 26, 2011, the Hickory Regional Planning Commission voted unanimously to recommend approval of the proposed text amendments. Brian Frazier made the presentation, which received the unanimous consent of the Council.



Overview of Proposed Changes
• Changes to the building design standards in Article 3 to make them easier to understand and implement while still requiring high quality development.
• Corrections of errors and inconsistencies in the Use Table related to Drinking Establishments, Marinas, Duplexes, Daycares, and Schools.
• Changes to the manufactured home appearance criteria that will facilitate the replacement of manufactured homes with newer units that meet Department of Housing and Urban Development standards
• Changes to the use standards that address signage at nursing homes and the location of accessory dwelling units.
• Changes to the standards governing accessory structures that are more flexible while still protecting adjacent properties and ensuring accessory structures do not overwhelm the primary structure.

• Changes to nonresidential district setback stand .-irds to he mor( consistent across zoning districts.
• Changes that permit a reduction in the parking requirements for existing parking lots to allow for the provision of parking lot landscaping,
• Clarification of affirmative methods of compliance with the city's Iandscape and buffer requirements by allowing a waiver option through an agreement between property owners.
• Changes to the sign code regarding sign heights window sign.iae, directional signage, directional signage, high rise signs, and projection signs.
• Addition to the nonconformities section to permit the rebuilding of nonconforming duplexes. This is necessary because the elimination of duplexes as a permitted use in the R-2 district has created a number of nonconforming duplexes in these areas.
• Defining ground floor elevation. This definition was accidentally removed from the new code and its inclusion will make calculating window requirements much easier.


New Business - Departmental Reports:

1. Request for Second Reading - Award Bid to Carolina Paving of Hickory, Inc. for Paving of Portions of Center Street in the Amount of $159,906 ($58,000 in CDBG Funds) - Portions of this repaving project do not have adequate drainage capability and will need to be milled to remove part of the existing asphalt. Also, the repaving of the section in the immediate vicinity of Frye Regional Medical Center will be done at night to minimize disruption to the hospital, and portions of that roadway section also require milling. Approval on second reading is requested in order to complete the work before winter weather sets in.

2. Presentation – Playground Design/Layout and Award of Bid to Playworld Systems in the Amount of $122,231 for the Zahra Baker All Children’s Playground - That Will Be Located in Kiwanis Park – 805 6th Street SE - This community effort, spearheaded by the Kiwanis Clubs of Catawba County, has resulted in the collection of more than $170,000 from the community, businesses, foundations and grant funds for the Playground for Zahra. The playground will be in Kiwanis Park, which is located at 805 6th Street SE, just off Lenoir-Rhyne Boulevard. The playground is to be built in the spring of 2012 utilizing a community build process. A groundbreaking ceremony is scheduled for Wednesday, November 16, 2011 at 10:00 a.m. at Kiwanis Park.

Playworld Systems is the only vendor that provided all minimum play element requirements as specified in the Request For Proposal. Playworld Systems is also providing the City of Hickory with the best playground design. Therefore staff recommended that the bid be awarded to Playworld systems for $122,231.

The significance of tomorrow is that it would be Zahra Baker's Birthday.  Site Solutions volunteered to put together the conceptual site plan. Request For Proposal were issued on September 28 and due back by October 28th. Due to the $20,000 grant from KABOOM, the RFP required that they be one of Kaboom's preferred vendors. Some minimum requirements include that all decks must be accessible by ramps or accessible stairs, the safety surface is poured in place, a glide-saw motion activity will accommodate wheelchair participants and able body children simultaneously, there will be a wheel chair platform and two other accessible swings...

The Hound thinks this is a very good effort and shows the role that public-private partnerships can play towards leveraging capital to accomplish Public/Quality of Life endeavors when a community works together. The Mayor should be applauded for championing such an effort and worthy cause. As was mentioned by Mac McLeod and others, this park will not only be a place for Hickory Children of all abilities to enjoy together, but this will be a park that will be enjoyed by people throughout the region. And it will remind people about the effects of child abuse and neglect on the specific victims, such as Zarha Baker, as well as the effects on our society overall.


3. Hickory By Choice 2030 – Proposed Map and Demographic Updates - When Hickory By Choice 2030 was formally accepted by the Hickory City Council in January, 2011, Staff stated it would suggest minor modifications to the document on an annual basis to correct inconsistencies and ensure the document remains up to date. The proposed changes address demographic updates with new data from the 2010 Census. Staff also suggests one land use map amendment due to changing conditions in the area. On October 26, 2011, the Hickory Regional Planning Commission voted unanimously to recommend approval of the recommended amendments.

This is the same as the presentation made in Text Amendment Petition No. 11-01

 Overview of Proposed Changes
• Changes to the building design standards in Article 3 to make them easier to understand and implement while still requiring high quality development.
• Corrections of errors and inconsistencies in the Use Table related to Drinking Establishments, Marinas, Duplexes, Daycares, and Schools.
• Changes to the manufactured home appearance criteria that will facilitate the replacement of manufactured homes with newer units that meet Department of Housing and Urban Development standards
• Changes to the use standards that address signage at nursing homes and the location of accessory dwelling units.
• Changes to the standards governing accessory structures that are more flexible while still protecting adjacent properties and ensuring accessory structures do not overwhelm the primary structure.
• Changes to nonresidential district setback stand .-irds to he mor( consistent across zoning districts.
• Changes that permit a reduction in the parking requirements for existing parking lots to allow for the provision of parking lot landscaping,
• Clarification of affirmative methods of compliance with the city's Iandscape and buffer requirements by allowing a waiver option through an agreement between property owners.
• Changes to the sign code regarding sign heights window sign.iae, directional signage, directional signage, high rise signs, and projection signs.
• Addition to the nonconformities section to permit the rebuilding of nonconforming duplexes. This is necessary because the elimination of duplexes as a permitted use in the R-2 district has created a number of nonconforming duplexes in these areas.
• Defining ground floor elevation. This definition was accidentally removed from the new code and its inclusion will make calculating window requirements much easier.

Context of Hickory By Choice 2030:
Newsletter about the City Council meeting of January 18, 2011 - Addendum Hickory By Choice 2030

General Comments:
***Alder Patton spoke about her mother's participation in the Hickory Police Academy and listening to the participants and what they got out of attending the 12 week course.
***Alder Fox gave appreciation to Mac and the Parks and Recreations Department's partnerships with Rotary and Hickory Landmark Society in the restoration of the Boy Scout Place. Alder Patton added that these public-private collaborative partnerships to (get people to) chip in and not rely on one person to help make this community better.