Google Groups
Join To Get Blog Update Notices
Email:
Visit the Hickory Hound Group

Tuesday, June 5, 2012

Larry Pope addresses Hickory Citizens

Larry Pope has been told by the City of Hickory that he will no longer be allowed to address the Hickory City Council except pertaining to matters on the Agenda. In this short video he talks about his concerns related to openness and accountability when it comes to the Hickory City Council and their relationship with the people they are supposed to represent.



I would like to afford anyone who would like to address the people of Hickory this forum as a platform. I am not here to censor people. If you don't agree with the message of this blog, you will be afforded the same opportunity as anyone else. The only thing that we don't want to do is resort to threats or obscenity.

I feel that this is a much better platform to bring issues to the people. The audience is limited at Hickory City Council because you are talking to a wall of non-response and maybe 50 people in the audience. This blog has the capability to reach a world wide audience and bring your concerns to the fore.

The City Council could do a few things to open up governance on the local level and take actions towards being transparent. 1) Televise (or at least Audio Record) the meetings and make them available on the Internet in an expeditious manner, 2)Town Hall Meetings a few times per year, and 3) Move Citizens Requesting to be Heard to the front of the City Council Meeting Agenda and if something happens during the meeting that piques curiosity, then people should be allowed to address those issues at the end of the meeting as part of "Matters not on the Agenda."

Letter sent to Larry Pope by Hickory City Attorney John Crone






Microlending - Still No Action



Microlending is something we will continue to focus on with the Hickory Hound. One year ago (May 2, 2011) I had a discussion with the Mayor about this issue on Hal Row's Radio Program. It is an issue that Harry Hipps ran on during his campaign for Hickory City Council in 2009. He was the first person I have heard in Hickory talk about fostering a capital mechanism such as this to help start-ups be able to take that first step towards Free Enterprise. We aren't talking about a handout. We are talking about loans. Microlending was first established in Third World Emerging nations, such as India, as a way to facilitate entrepreneurship amongst the poor. Harry first addressed this issue, because we have seen the lack of a credit function in this community and in many ways this relates to the grass roots business development we have seen in these emerging nations.

This issue was also carried forward by the initial Small Business Task Force and research was executed to establish its legitimacy as a viable economic/financial function in relation to small business start ups. When this issue was brought forward at the City Council retreat of December 2009, our City Manager Mick Berry stated that it was illegal and would not let the presenter even address the issue to the City Council. Not only that, but a question was asked about could one of the businesses start a Sign Company and the answer was that they might be able to, which I feel is a petty/ignorant/selfish question. It shows that the aim, first and foremost IS to protect a personal vested interest at the expense of community growth. Microlending functions have been established in large Metro areas such as Charlotte, NC and San Francisco, CA, as well as locally in Valdese and Burke County and other communities in the Advantage West Economic Development Group. This proves that the premise of Hickory's City Manager is 100% false.

The most egregious issue is that the Microfinancing wasn't even allowed to be discussed with the City Council in 2009-10 and more than 2 years later we have still seen that this issue has been squelched. This is the pattern that I have alluded to over time relating to Hickory's governance. The stifling of debate and critical thinking about how to move this community's economy forward. 99% of the time, City "Leadership" makes up their minds about processes before they are even discussed. This closed mindedness is not leadership. It is also a reason why people don't participate in government around here and frankly I think Rudy Wright and Mick Berry like it that way.

You have seen me espouse this issue many times before related to the duplicity on the issues that face the community. The Mayor in the presentation above talks about needing to know a little more. He had the opportunity in December 2009 to hear a lot more about MicroLending/Microcapital/Microfinancing, but he chose to participate in stifling the discussion, which seems to be his forte. This issue, by the way, was discussed a lot by the Task Force that Mayor Wright personally created a few years ago.

I have been told personally that a Microlending function would be very helpful to Innovators who have had contact with the Manufacturing Solutions Center. Dan St. Louis, the head of the center, said that sometimes these people might only need a few hundred or a few thousand dollars. These people are usually working full time jobs and have families. In this economy, their personal budgets are stretched and they don't have money laying around to help with their side venture, so it is put on hold. So our economy is put on hold by the shortsightedness of a leadership looking to protect some theoretical interest that may not even exist. Luckily for Dan, the Manufacturing Solutions Center will soon be relocating to Conover, which surely seems to be a much more economically progressive community than Hickory.

I was in a discussion related to the local economy last week and a question was asked about how we felt about the economic condition of the community compared to last year. There were 9 people present. One person said they saw signs of progress. One said that they were seeing signs of signs of progress -- People finding work. Five people, including myself, said the economy was the exact same and 2 said it was much worse. One who said it was worse, said it was because people had used their reserves and they no longer have that cushion to fall back on, but the near term future didn't look to be improving and that malaise together with the loss of the cushion is very scary. Another person said that it depended on who you are. If you are at or near retirement, then your perspective is going to be different than a younger person. We still have a huge problem with the slow velocity of business in our local community.

In my opinion, the Mayor has only been working for years to serve the interests of a handful of people. Many of these people are operating in Cruise Control and they can't relate to the people that are struggling. The people who do know that people are struggling are growing perturbed by the priorities of Hickory City Leadership and their lack of real action related to the local economy. The Mayor has always said that we need to bring our ideas to him and he is looking for the "Right" idea. Well, look, this microlending idea was brought to him and he has done absolutely nothing. Yet, we have a half a million bucks to put up a tent on Union Square.

The Banks in this community have pulled back on their lending and that is understandable. We have seen a local bank bought out because they lost their A-double-you know whats playing the Credit derivatives game on Wall Street. Back in the early 2000's would you have ever thought that this bank would have found itself in a bind?

We need alternative sources of capital to move this community forward and microlending is a good start. All anyone wants is the City to be supportive of this process. No one is looking for a handout. No local government official can give you a valid reason not to try this. I just don't think they like the people that are promoting it and I also do believe that they are worried about how some Bogey Man might have an effect on their personal business venture.

I get tired of saying this, but we have got to do something. We have got to try some things. Last year, the Mayor kept throwing around this $20 million idea/figure. We don't even need $20 million. Put $1 million into a Microlending trust. Draw up contracts to get the money back and eventually you can decide after ten years whether you want to leave that money in there for the public good or take it out and use it for something else for the public good. This money would be a dynamic investment that would feed off of itself. It is the public's money and this is the kind of investment we would all hope the government would make. An investment than can benefit the whole community and not just a few.

Sunday, June 3, 2012

Economic Stories of Relevance in Today's World -- June 3, 2012

Morganton man still waiting for mom's death certificate - WCNC Channel 36 Charlotte - AMY COWMAN - May 31, 2012 - Morganton man says he’s had to wait nearly a month for his mother’s death certificate after Mecklenburg County sent an incorrect death certificate and he never received a new one. He says that has affected his ability to pay bills, even the mortgage on her house.                    Richard Garrison is still mourning the loss of his mother, Jean Pruett Garrison, who died on May 5 at Carolina's Medical Center and he says it's been impossible for him to move on since he's still waiting for her death certificate.


Debt Up $1.59T Under GOP House—More in 15 Months Than First 97 Congresses Combined - CNSnews.com - Terence P. Jeffrey - June 1, 2012 - In the fifteen months that the Republican-controlled House of Representatives--led by Speaker John Boehner--has effectively enjoyed a constitutional veto over federal spending, the federal government’s debt has increased by about $1.59 trillion.                    Article 1, Section 9, Clause 7 of the Constitution says: “No Money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law.” A law appropriating money cannot be enacted unless it is approved by the House.                The approximately $1.59 trillion in new debt accumulated since the Republican-controlled House gained a veto over federal spending legislation is more than the total increase in the federal debt between 1789, when the first Congress convened, and October 1984, when the 98th Congress was nearing the end of its second session.


Hospitals fight drug scarcity, fear patients harmed - Reuters - Anna Yukhananov - June 2, 2012 - At the Henry Ford Hospital in Detroit, pharmacists are using old-fashioned paper spreadsheets to track their stock of drugs in short supply - a task that takes several hours each day.                         Most of the hospital's medicines - with usage estimated at $100 million a year - are tracked by automated systems that allow for quick reorders when the supply runs low. But these automated systems, designed to help the hospital avoid purchases and storage costs of unused pills and vials, do not work if it is uncertain when the next batch of drugs will come in.                       A few hundred medicines make the list of drugs in short supply: anesthetics, drugs for nausea and nutrition, infection treatments and diarrhea pills. A separate list has scarce cancer drugs for leukemia or breast cancer.....             The growing scarcity of sterile, injectable drugs is one of the biggest issues confronting hospitals across the country, and will be a key issue at the annual American Society of Clinical Oncology meeting in Chicago this weekend.                     Health officials blame the shortages on industry consolidation that has left only a handful of generic manufacturers of these drugs, even as the number of drugs going off patent is growing. Some drugmakers have been plagued by manufacturing problems that have shut down multiple plants or production lines, while others have stopped producing a treatment when profit margins erode too far.


Former Hedge Funder Presents A Terrifying Vision Of THE END GAME - Business Insider - Max Nisen - June 1, 2012 - Everyday, we hear some pretty grim predictions about the markets and the economy.  But this is one of the more comprehensive and most gloomy outlooks we've ever seen.
Raoul Pal expects a series of sovereign defaults, the "biggest banking crisis in world history", and asserts that we don't have many options to stop it....                A note on the presentation; the last slide is not meant to suggest that we're going back to the economic activity of 3000 years ago. It refers to the 3000 year old trade links between the nations along the Indian Ocean, which Mr. Pal believes will be the center of world's opportunities. Just like the West 50 years ago, they have "...low debts, high savings and a young population".


Top Mitt Romney Campaign Contributors - (Open Secrets.Org):




Top Barack Obama Campaign Contributors - Open Secrets.Org:




How The Super Rich Avoid Taxes Even As They Demand That The Rest Of Us Pay More - The Economic Collapse Blog - The way that we tax people in the United States is fundamentally broken and should be completely discarded.  The U.S. tax code is absolutely riddled with loopholes that allow the super rich to legally avoid taxes while many of the rest of us are being taxed into oblivion.  In our system of taxation, middle class families that work hard and try to play by the rules are deeply penalized while those that are willing to abuse the system make out like bandits.  There is something fundamentally wrong with a system that enables wealthy politicians such as Barack Obama and Mitt Romney to pay a smaller percentage of their incomes in taxes than millions of middle class families.  Mitt Romney has millions of dollars parked down in the Cayman Islands and in other tax havens.  He does this to avoid taxes.  Unfortunately, most Americans do not have the resources to funnel money through offshore tax havens.  Most Americans just automatically have their paychecks shredded by taxes and then try to live on whatever is left over.  Most Americans are just trying to survive financially from one month to the next.  But the super rich have options.  Thanks to technology, they can live almost anywhere they want and they can run their companies and manage their investments from anywhere in the world.  The truth is that the wealthier you are the easier it is to avoid taxes.  But even as the ultra-wealthy do their best to avoid taxes, many of them still feel free to demand that the rest of us be taxed more...                            If you are interested in digging into some of the technical details of tax avoidance, a recent Businessweek article detailed 10 ways that the wealthy use our current tax code to avoid paying billions of dollars in taxes.  It is an article worth reading if you have the time.                               It has been reported that 80 percent of all international banking transactions involve offshore banks.  A whopping 1.4 trillion dollars is being held in offshore banks in the Cayman Islands alone.                             An article that appeared in the Guardian estimated that a third of all the wealth on the entire planet is being kept in offshore banks.  One of the primary reasons for this is tax avoidance.



Anger over Christine Lagarde's tax-free salary - The Independent - Rob Hastings - May 30, 2012 - The IMF chief Christine Lagarde was accused of hypocrisy yesterday after it emerged that she pays no income tax – just days after blaming the Greeks for causing their financial peril by dodging their own bills.                         The managing director of the International Monetary Fund is paid a salary of $467,940 (£298,675), automatically increased every year according to inflation. On top of that she receives an allowance of $83,760 – payable without "justification" – and additional expenses for entertainment, making her total package worth more than the amount received by US President Barack Obama according to reports last night.                   Unlike Mr Obama, however, she does not have to pay any tax on this substantial income because of her diplomatic status.                      The news will intensify criticism of the former French Finance Minister following her controversial remarks on the increasingly bleak prospects for the Greek economy last week. Stating that she had more sympathy for poor African children with little education than for jobless people complaining about austerity measures in Greece, she said last week: "As far as Athens is concerned, I also think about all those people who are trying to escape tax all the time. All these people in Greece who are trying to escape tax."                         Speaking to The Guardian, she added that they could "help themselves collectively" by "all paying their tax," and agreed that it was "payback time" for ordinary Greeks.


America's Transition To A Part-Time Worker Society Accelerates As Part-Time Jobs Hit Record - Zerohedge.com - Tyler Durden - June 2, 2012 - Back in December 2010 Zero Hedge was the first to point out what is easily the most troubling characteristic within America's evaporating labor force: its gradual transition to a part-time worker society. We elaborated on this back in February when we noted that the quality assessment of US jobs indicates that this most disturbing trend is accelerating. Finally, yesterday, the BLS' latest jobs report confirmed that our concerns have been valid all along: as of May, part-time jobs just as disclosed by the Bureau of Labor Statistics hit an all time high, over 28 million! These are people who traditionally have zero job benefits, including healthcare and retirement, and which according to the BLS "work less than 35 hours per week." In other words, as little as one hour per week of "work" is enough to classify one a part-time worker. More disturbing: the increase in part-time jobs in May compared to April: 618,000, or the fifth highest on record. It gets better: when added with the 508,000 increase in part-time jobs in April, this is the largest two month increase in part time-jobs in history. Which means of course that full time jobs in May must have declined: sure enough, at a -266,000 drop in full time jobs, the quality composition of the NFP report was just abysmal and makes any reported "increase" in those employed into a sad farce.




Max Keiser on the Bilderberg meeting in Chantilly, Virginia

Saturday, June 2, 2012

Competition, Jobs, & Entrepreneurship

Everybody talks about competition in the marketplace being good and yet what we have seen over the last several years is consolidation in the marketplace, which limits competition. We see that locally, nationally, and internationally. We see that both in relation to the government and the private sector to the point where the private sector has become the quasi-private sector.

When we look at the current jobs picture, we see the inability to find traction towards growth because there are fundamental flaws in the current economic model. The marketplace is essentially run through speculation that obsesses over short term profit models at the expense of long term viability. It all becomes how can you sock it to the customer? How do we keep the disposable goods model going/growing at the expense of quality/durability? and How you can cut costs to the bone, even at the expense of service and quality?

Laissez Faire types seem to think this is good, but I don't feel they are grasping the big picture. What happens to service, quality, and innovation when companies are allowed to stamp out competition and/or create barriers to entry within their business sector? What are their incentives to improve service, quality, or foster innovation?

We have fought this battle before in the history of our nation. In the 1890s, we saw the creation of the Sherman Antitrust Act and the Clayton Antitrust Act (1914) that related to how businesses could operate in relation to competition. The problem is that the megacorporations have transcended these laws buy making their companies Transnational in nature. At the moment there really are no governing rules that oversee how these companies will operate. Many of these Corporations have assets worth more than most countries' GDPs. This allows these companies to have free reign to manipulate foreign governments towards their personal interest.

How can this be fixed? I don't think, nor do I want, an International Body administrating the governance of these corporations. I think the better route is for the United States to make these companies abide by our structure of governance and in the interest of this nation. And if they do not, then they can't operate in the United States. And the goods that they sell in the U.S. will be taxed to equability.

On the local level, I am tired of seeing some favored and the rest rendered mute. Many in local leadership seem to think it is their job to protect certain businesses over the overall health of the marketplace. They seem to think that companies are more important than people. Local unemployment is reported at 10.4%, but the true reflection is the reduction in the workforce in Catawba County from 82,245 people in February 2001 to 73,305 in April 2012. That loss of 8,940 people in the workforce equals a shrinkage of 10.87%.

If we look at that reduction in the workforce with a common sense belief that many of these people would prefer to be working, then by extrapolating that half of that reduction in the workforce is a false reduction, then that would figure to a workforce capacity of 77,775 people.

By looking at the current given workforce 73,305 and multiplying it times the given Unemployment rate of 10.4%, we estimate that 7,623 people are unemployed. If we add the additional estimated 4,470 that have fallen off the workforce rolls, then we estimate that the number of truly unemployed stands at  12,093 ( =7623+4470 ). If that is the case, then the real unemployment rate in Catawba County is really right at 16.5%. This does not even factor the number of teens who have been delayed entering the workforce because of the poor economy. 16.5% is the minimum unemployment rate that we see in the area.

You may believe that the assumptions are off, but you can't say that the shrinkage in workforce is attributable to a loss of population. Despite the travails we have seen with the local economy, we saw an increase in population  from 2000 (142,515) to 2010 (154,389) of 11,874 people, which is a growth rate of 8.33%. In 2001, 56.6% of the people/population were considered in the workforce (82,245 workforce/145,405 population). Today that number has shrunk to  47.5% (73,305 workforce/154,389 population). The bottom line is that the jobs that we need to move towards recovery obviously aren't there. It has to be our number one priority.

For every anecdote that I am given about how lazy people are, I can show you people that a busting their butts and struggling to make ends meet.

Management will always look at the working class with scornful eyes. I have never understood this. Nor do I understand people playing the class warfare game against middle managers. We've got to meet somewhere in the middle if we have any hopes of turning our economy around.

We talk a good game about wanting more entrepreneurs. Well, the local community is going to have to put some skin in the game if we are to move forward with that effort. That means looking out towards the best interests of the community and not personal self interests. Can we do this? We haven't shown that ability in the past. Must we do this? Yep, if we aren't to see an implosion of population from our area moving to green pastures - to areas that would rather be ahead of the curve than run over by it.

Wednesday, May 30, 2012

Ulysses Long - America's Got Talent - My extended family

I call him Ulysses S. Long - U.S. Long. He was the entertainer at my Aunt's restaurant on weekends, mainly Saturday Evenings, until she closed last August. Ulysses sang "How Great Thou Art" at my Uncle Alex Moore's and my Grandmother Martha Shell's funerals. He has been like an extended member of my family since around 1987 when he began playing regularly at 1859 Cafe.

Ulysses lives in Statesville, but has been a big part of the Hickory music scene. I think this community should fully embrace Ulysses and his talent in this quest to make a name for himself on the national scene. Ulysses is amazing with the amount of material that he has memorized and that memorization does not come across as being mechanical. Ask him a pop or religious song and he probably knows it. He sang "On The Road Again" at my Uncle's funeral in his honor, because Alex loved Willie Nelson.

I know that his hobby is collecting old television programs and other events that have cultural significance. He loves old Ed Sullivan shows. I think that is where the whole Love Boat theme came from. He has an archive of old shows that a lot of people would envy and he can talk to you about specific episodes of old shows. He also can tell you all kinds of rare facts about music. If Ulysses is given a chance to succeed he will surprise these pop culture icons and you will find out how amazing someone from our community truly is.

Stuff like this makes life worth it. It puts life in perspective. It shows that we all have got a chance to do great things if we put ourselves forward. Thank You Ulysses... I needed the inspiration. We all could use a little inspiration!

I have created a Facebook Fan Club Page for Ulysses - please feel free to join and show your support.


Ulysses on America's Got Talent




Ulysses performing Rollin on a River at 1859 Cafe




Ulysses sings How Great Thou Art at my Grandmother's Funeral




Tuesday, May 29, 2012

The Mayor on Hal Row's show from April 2, 2012 about Larry Pope

The information presented here is part of the pattern that I discussed with you on Saturday. I don't think that anyone's goal is to  slander or libel the Mayor as he stated that Larry Pope had gone right up to the edge of doing related to his address of the City Council on March 6, 2012. That subject came up in the Hal Row show interview below and Larry calls in to defend himself. Then there is the Mayor's submission to the HDR this past weekend (May 26, 2012) where he states that there are "inaccuracies, errone­ous conclusions and misquotes" in Harry Hipps' presentation from two weeks prior in relation to comments made on Hal's Monday May 7, 2012 interview with the Mayor.

Mayor Wright doesn't seem to want to have any back and forth discussion with anyone about city issues. He has told Rebecca Inglefield to call him on his cell phone, but mainly refuses to engage her in discussions at City Council meetings in relation to her concerns. People have tried to engage the Mayor at City Council to no avail. The Mayor tells people "This is not a debate" when they request to be heard. It makes people feel like the Mayor and City Council could care less about their concerns. Hal offers the Mayor a chance to respond to Larry's comments made during that April show and the Mayor states that he isn't going to respond to (Larry's comments), because he has responded time and again... and then goes on to say that Larry's comments aren't worthy of response.

I don't think anyone wants to have this kind of public relationship with Mayor Wright. They want to understand where he is coming from. They want to understand his decision making process. That is what would happen with open processes and engagement. The Mayor constantly tells us we are wrong, but never gives us reasons why we are wrong.

One suggestion that I have made is to have Town Hall meetings. Another idea is that we move Citizens Requesting to be heard to the beginning of City Council meetings, instead of at the end where eveyone is looking to wrap up the session. This would correlate perfectly with the problems we have seen with the Consent Agenda. People could voice concerns about issues with the Meeting Agenda before the items are voted upon. This would be the best move towards open engagement and full disclosure relating to pertinent city issues.

Like I have said, I don't think anyone is purposefully mischaracterizing the positions of the Mayor, Hickory City Council or Administration. And personally, I don't feel like they have been mischaracterized. I don't think we are on the wrong path. If we don't have the facts, figures, and information, then open the books and give us the facts that might sway our opinion. If we don't have the information, then whose fault is that? Superfluous propaganda isn't going to cut it though. We need substance, not rhetoric.

Mayor Wright on Hal Row's Show in which Larry Pope calls in




Larry Pope's address of City Council on March 6, 2012