Newsletter about the City Council meeting of July 17, 2012

  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 7/17/2012 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. Mark Andrews, Lead Pastor, St. Lukes United Methodist Church

Special Presentations:
A. Presentation of Retiring Members of Volunteer Boards and Commissions - The Mayor passed out plaques to the retiring members of the boards and commissions as he does annually about this time. He stated that we get valuable input through these organizations. 1/2 percent of Hickory citizens serve in these organizations.


B. Presentation by Court Hogan regarding Purple Heart Homes and the work they are doing
For a Hickory, NC veteran - Derek Pope a veteran of the Marine Corps and National Guard was awarded money to help with his house. Mr. Pope was injured while serving. A group of carpenters from Goldston, NC helped with construction on Mr. Pope's roof. Mr. Hogan is asking the City to help with veterans in the community who need assistance. They can help with contacts. Hickory can become a Purple Heart Homes Community. This group has been approved by the League of Cities. Mr. Pope served in Desert Storm and Desert Shield and spoke about how he wanted to get the word out to Hickory of what this group does.

Consent Agenda:
A. Request by Hickory Police Department for Approval to Apply for a Grant from the US Department of Justice to Assist in Funding the Purchase of 30 Bulletproof Vests - Hickory Police Department requests permission to apply for a grant from the US Department of Justice to assist in funding the purchase of bulletproof vests for police officers. If awarded the grant, the City will receive up to 50% of the cost (30 vests @ $675 each). Hickory Police Department is committed to improving officer safety and has a “mandatory wear policy” in effect, with monies being budgeted annually to purchase vests. HPD will be notified after July 1, 2012 if awarded the grant.

B. Renewal of Taxicab and Other Passenger vehicles for Hire Franchises Company Taxicabs Passenger Vehicle for Hire
Mile High Enterprises - 0 - 5
Yellow Cab - 12 - 1
Diamond Cab Company - 3 - 0
Select Car Service - 0 - 1
Hickory Limousine - 0 - 3
Total - 15 - 10
Annually, these companies apply for a renewal of their Certificate of Convenience and Necessity for the operation of taxicabs and other vehicles for hire.

C. Special Events/Activities Application for United States Flag Retirement Ceremony by Gene Baker, Commander of Post 544, Sandy Ridge American Legion Post 544, on Saturday, September 22, 2012 at L.P. Fran Stadium from 4:00 pm to 10:00 pm, Veterans Groups in Hickory will dispose of flags.


D. Special Events/Activities Application for NC Nursery & Landscape Association/ NC Urban Forest Council Networking Dinner by Cody Lewis, NCNLA Director of Operations, on
Wednesday, August 8, 2012 at Ivey Arboretum Carolina Park from 8:30 am to 10:00 pm

E. Approval to issue a pyrotechnic display permit to Hickory Motor Speedway - Kevin Piercy, General Manager of the Hickory Motor Speedway, has submitted a request to obtain permission to have a public fireworks display on Saturday, July 28, 2012, with a rain date of July 29, 2012. Zambelli Fireworks Company will conduct the fireworks display.

F. Offer to Purchase Contract between Clay H. and Jennifer Gosnell and City of Hickory for the Purchase of Approximately 0.7 Acres of Property Adjacent to the Northeast WWTP Located on 1st Street Place, NE in the Amount of $30,500.00, City Council approved the purchase of this property in the Regular Council Meeting held on June 5, 2012.

G. Consideration and Acceptance of a $2000 Grant from the National Recreation and Park Association and the Coca-Cola Company to Refurbish the Outdoor Basketball Court at Southside Heights Park - The NRPA partnered with the Coca--Cola Company to manage the “2012 Sprite Spark Parks with Lowe’s Promotion.” The program is a grant opportunity to refurbish outdoor basketball courts in public parks. After voting took place by shoppers at Lowes Foods throughout May and June, staff was notified on June 28th, 2012 that Southside Heights Park is a potential $2000 grant winner. Official notification will be given upon NCRPA’s receipt of a Memorandum of  Understanding from the City of Hickory within 30 days of June 28th. The funds must be used to construct, refresh, and/or refurbish the outdoor basketball court at Southside Heights Park. No matching funds are required. The project must be completed by December 31, 2012.

H. Request from Hickory Police Department to Award Police Badge and Service Weapon to
Retiring Lieutenant Floyd Yoder - By authority of NC General Statute §20-187.2, City Council may award the service weapon and police badge to retiring Lieutenant Floyd Yoder upon his retirement from Hickory Police Department on August 1, 2012 after completing 30 years of service with Hickory Police Department. Upon approval from City Council, the police badge and service weapon will be declared surplus and removed from the city’s fixed asset inventory.

I. Offer and Acceptance and Resolution for State High Unit Cost Grant Account of the Water Infrastructure Fund for Random Woods, Sherwood Forest and East Woods Subdivisions Sanitary Sewer Lines - This project includes construction of approximately 25,100 linear feet of 8-inch PVC sanitary sewer lines. Serving three subdivisions, Random Woods, Sherwood Forest and East Woods consisting of approximately 226 homes. The application requesting $2,946,043 which represents the entire anticipated construction cost including contingencies was approved for award. Maximum award available for project from this program is $3.0 Million. The Engineers estimate for the project is $2,780,000. This grant offer represents award of grant funds with no match required.


J. Resolution for Three year update to the Solid Waste Management Plan - In accordance with NCGS § 130A-309.90A, The Board of Commissioners adopted an updated Ten Year Solid Waste Management Plan, as submitted to the NC Department of Environment and Natural Resources originally in FY 1989-90. The Plan must be updated every three years. The Plan update runs July 1, 2012 to July 1, 2022. A copy of the plan can be found at http://www.catawbacountync.gov/ue/_docs/SWMPUpdate.pdf Catawba County Utilities & Engineering Department and the County’s eight incorporated municipalities have prepared this three-year update. Its purpose is to meet Catawba County’s solid waste disposal and waste reduction needs as well as protect the public health and environment. The planning areas include Catawba County and the Cities/Towns of Brookford, Catawba, Claremont, Conover, Hickory, Long View, Maiden and Newton. The ten-year Solid Waste Management Plan update presents a look at recent and current solid waste disposal and waste reduction practices in the County and provides for the future management and reduction of solid waste.

Informational Items
A. Report of City Manager Mick Berry’s travel to Town Hall Day, in Raleigh, NC on June 6, 2012 (Meals - $9.83, Gas in city vehicle - $37.41) (Exhibit IX.A.)

New Business - Public Hearings


1. The Historic Preservation Commission’s Design Review Guidelines - The Design Review Guidelines assist staff and the commission in determining whether projects are in general harmony with adjacent properties and the district as a whole. The update aims to clarify the document and address unforeseen situations where there is no guidance in the current document. The Historic Preservation Commission voted unanimously to approve the proposed changes.Presentation by Dave Leonetti. Planning Department has been working on this for 6 to 8 months to update these Guidelines that came into existence in 1994.

The Guidelines were created to ensure that changes to historic properties are in harmony with the district and the particular property. One new section is being created to deal with additions to historic homes. Current guidelines have 8 pages pertaining to new construction and building new homes within historic districts. Currently there are 6 vacant lots within historic districts. Much of the guidance will be tailored towards the "additions" issue. Currently there are 115 designated historic properties in the city (Claremont, Oakwood, and Kenworth along with 14 historic landmarks). This will take guidelines down from 13 sections to 6 - Introduction, Site and Setting, Changes to the Building Exterior, Changes to the Building and new Construction, Relocating and Demolishing Historic Structures, and an Appendix. This will be easier to navigate.

The first section is a basic overview of Historic Hickory and the design review process. Site and setting is everything that happens outside the building walls. They have changed issues about signs and fences to be more contextual in nature. They should be in Harmony with properties in the vicinity. Changes to building exteriors. There is basically one change pertaining to utilities and retrofitting that addresses applying artificial siding to a historic home and additional guidance pertaining to utilities retrofitting - storm doors, awning condition. Additions and new Construction - Current Guidelines address decks and additions. New Homes must meet setbacks and placement of homes. In Relocating and demolishing the issue of salvaging building materials is addressed. Demolition cannot be prohibited, but guidelines help to delay that demolition, up to one year, to negotiate and try to save the structure for sale or relocation. Appendix has resource info with maps and a work matrix. Minor work can be approved by staff. Major Work has to go through the Commission.


New Business - Departmental Reports:
1. Appointment of Inspiring Spaces Plan Advisory Committee Members - To appoint members of the community to the Inspiring Spaces Plan Advisory Committee. This is the first step in a city-wide planning process to develop a list of construction projects, their associated costs and implementation schedule for improving the appearance and functionality of streets, parks and public areas of Hickory.

City Manager Berry went over the Initiative. This was addressed earlier in the year by City Council and is related to the junkets they made late last year. He says that these communities have done a lot with their public spaces that the city has control over. He talked about a plan to make these areas more appealing and aesthetically pleasing. He talked about attracting people and economic development. 13 individual were named and they will meet once a month over the next 6 to 8 months. He says the plan will address specifics and budget numbers and the council will know the price tag of things. Judy Harris, Elvie Shuford, Meg Jenkins Locke, Mary Boone, Mike Johnson, Nancy Zagaroli, Paul Kercher, Scott Mitchell, Steve Shuford, Steve Mull, Thelma Harold, Rick Berry, and Don Norwood. It was added that a couple more members could potentially be added. It was basically admitted during the comments that they came up with a big list and each approached a couple of people.


Newsletter about the City Council meeting of May 1, 2012  - No. 2 Departmental Report


The Hound can't wait to see how this Worm turns. I have always found Great Leaders/Mentors to be more Inspirational than Streetscapes, Light Poles, and Benches. None of these people are commoners. Don't shoot the messenger. I just think having some regular citizens and some younger people whose future is at stake on board with initiatives such as these helps with perspective and buy in. Sorry, but I get the sense that this is going to be another shove it down your throats, Good Ole Boy/Gal, process.


Recognition of Persons Requesting To Be Heard
A. Natalie Carroll requests to speak to Council regarding recreational services for people with developmental disabilities. Ms. Carroll has lived in Hickory for 10 years. She is a Special Ed teacher and an advocate for people with developmental disabilities. She has worked in this endeavor for 32 years. She has a Bachelor's degree in special education from Appalachian State, a Master's from Western Carolina, and is national Board Certified. She would like to see more Recreational activities for people with Developmental Disabilities. She Grew up in Brevard County Florida and they have had such activities for 50 years. It is for regular citizens as well. She provided a calendar to the City Council. She was seeking information and asked if there has ever been any such recreational activities here in Hickory. She stated that her church (Northminister Presbyterian) has provided outreach for these activities, but they haven't had a large turn out.She would like to use Neill Clarke Recreation center for this endeavor. She talked about Brevard County Florida's website and how easy it is to navigate. She has tried to find such information at the Hickory Website and Catawba County Website and you find fragmented pieces of information. The Mayor wanted her observation on the website issue and wanted her to meet with Parks and Rec. Alderman Guess talked about Zahra Baker's playground and the Police department involvement in Special Olympics.

B. Harry Hipps on Council's Leadership role
At the end of the regularly scheduled City Council meeting,  Harry Hipps addresses the City Council by asking about where they stand on the Ward Specific Voting issue. He talked about this process being Participatory Democracy Well Crafted. He thinks it is time for Council to take a stand. Political bodies are here to debate and inform the public. He doesn't see the intellectual rigor and things are done in a southern genteel way that never allows issues to see the light of day. He wants to see a vote by council on this issue. He hopes there is a diversity of opinion on this issue. Hickory's issue isn't frivolity. It is apathy and disenfranchisement. Council should weigh in on this issue so that there is a public record for the council to be accountable to.

Oops! - Caption says Hal Row Show, but it is the Harry Hipps presentation to Council



Link below to the Special Meeting on the "Ward Specific Voting" Referendum issue:

Special Meeting on Ward Specific Voting Referendum

City Council should arrange forum on ward issue - Hickory Daily Record - July 18, 2012

Newsletter about the City Council meeting of July 17, 2012 - Special Meeting on Ward Specific Voting Referendum

For the document below, Click on the document, then right click view document, the click the magnifier. Or you can CTRL+ the original screen to magnify.

The message below is from David Hood,the Chairman of the Catawba County Board of Elections, to Hickory City Manager Mick Berry. The Hard copy of the document is above. I let someone have my copy and had to have this copy sent to me as an image, so I have re-submitted the wording below. If you have listened to the meetings of the Catawba County Board of Elections pertaining to this Ward Referendum issue as presented here on the Hickory Hound, then you will know that the BoE was emphatic in their desire that this Special Election be held sooner rather than later. No one understands why the City tried to institute the October 2nd date as reported in the Hickory Daily Record and given by the Mayor on yesterday's Hal Row Show on WHKY.

Dear Mick:

I write today in my capacity as chairman of the Catawba County Board of Elections. I understand that City Council is having a special meeting tonight at 7:30 regarding the special election. We understand that it is the city's prerogative to set the election date. However, we would like you to consider the proximity of the November election. Given that this is a presidential year, our staff and resources will already be stretched to the limit. Training for our election workers will have already begun by the beginning of October, and early voting for the November election will commence on October 18. If your Council selects a day in early October, it will play havoc with our operations as we prepare for what is always a taxing presidential election.

As a board we have always valued our great working relationship with the city of Hickory. In the spirit of that historically productive and cordial relationship, I ask the council to consider selecting an election date sometime in the middle of September so that we can deliver the best service we can to all the voters in Hickory, and throughout Catawba County. Please pass along this letter to the council tonight if you would, since our board will be busy at 7:30 to accept the election returns from today's runoff election. We cannot be present at your City Council meeting in person.

At the end of the regularly scheduled City Council meeting,  Harry Hipps addresses the City Council by asking about where they stand on the Ward Specific Voting issue. He talked about this process being Participatory Democracy Well Crafted. He thinks it is time for Council to take a stand. Political bodies are here to debate and inform the public. He doesn't see the intellectual rigor and things are done in a southern genteel way that never allows issues to see the light of day. He wants to see a vote by council on this issue. He hopes there is a diversity of opinion on this issue. Hickory's issue isn't frivolity. It is apathy and disenfranchisement. Council should weigh in on this issue so that there is a public record for the council to be accountable to.

Oops! - Caption says Hal Row Show, but it is the Harry Hipps presentation to Council

The Special Meeting on the Ward specific Voting Referendum

During the course of the discussion there was confusion, because the proposed date had not been laid out. Initially Mr Lynn Spees and Charlotte Williams spoke and made the point that the Council could forgo the election and institute the Ward Specific system themselves. The question was asked about whether those who spoke supported the wording and date.

This past weekend in the newspaper and yesterday on the radio, the date of the Special Election was announced to be October 2, but the Council came forward and announced that in light of what the Board of Elections had asked for that the date would be moved up to September 18. Joe Brannock came to the podium to make the point that the timeframe to hold the election was from September 1 to October 7. It can be held any day, but he believes that Tuesday is the natural thing to do. September 4th was the best date on a Tuesday, but is the day after Labor Day... September 11th is a day of reverence.... The Mayor then went into the philosophy of why October 2 was the least subjective day, but that David Hood has asked that the election be held in Mid September. September 18 was the date chosen (-- Thank You David Hood!!!)

Cliff Moone strongly urged the Mayor and Council to commit to Town Hall meetings involving this issue.
Citizens who spoke were Lynn Spees, Charlotte Williams, Jimmy Davis, Larry Pope, Steve Ivester, Margaret Pope, Cliff Moone, Joe Brannock, Teresa Norris, Don Baldwin, Janice Johnson and Walter Witherspoon were among those who sanctioned the Sept. 18 date. Everyone seemed to support the wording, but Mr. Pope and Mr. Ivester preferred earlier dates.

 Oops! - Caption says Hal Row Show, but it is the Special Meeting






For the documents below, Click on the document, then right click view document, the click the magnifier. Or you can CTRL+ the original screen to magnify.

TITANIUM

"Titanium" - (Feat. Sia) - David Guetta

Songwriters: GUETTA, DAVID / TUINFORT, GIORGIO / FURLER, SIA / VAN DE WALL, NICK

[Sia]
You shout it out
But I can't hear a word you say
I'm talking loud not saying much
I'm criticized but all your bullets ricochet
You shoot me down, but I get up

[Chorus]
I'm bulletproof, nothing to lose
Fire away, fire away
Ricochet, you take your aim
Fire away, fire away
You shoot me down but I won't fall
I am titanium
You shoot me down but I won't fall
I am titanium

[Sia]
Cut me down
But it's you who has further to fall
Ghost town, haunted love
Raise your voice, sticks and stones may break my bones
I'm talking loud not saying much

[Chorus]
I'm bulletproof, nothing to lose
Fire away, fire away
Ricochet, you take your aim
Fire away, fire away
You shoot me down but I won't fall
I am titanium
You shoot me down but I won't fall
I am titanium
I am titanium


[Sia]
Stone-hard, machine gun
Firing at the ones who run
Stone-hard, those bulletproof guns

[Chorus]
You shoot me down but I won't fall
I am titanium
You shoot me down but I won't fall
I am titanium
You shoot me down but I won't fall
I am titanium
You shoot me down but I won't fall
I am titanium
I am titanium

[ Lyrics from: http://www.lyricsmode.com/lyrics/d/david_guetta/titanium.html ]

The Mayor on Hal Row's Show about the Ward Referendum - July 16, 2012

The Mayor was on Hal Row's "First Talk" ,show on WHKY this morning for the "Monday morning meeting with the Mayor." He was asked by Hal about the Ward Specific voting referendum. The Mayor seemed to state that the Council and he were all for this referendum, but that they chose to allow the petition process to play out, because they didn't want to set a precedent and have people coming forward with frivolous requests for referendums.

The Mayor couldn't be more full of (propaganda). People have told us that the Mayor volunteered to open dialogue about the issue of the petition and expressly told some not to sign it. When members of the CEG openly expressed that they wanted the issue of Ward Specific Council Elections versus the Current At Large model discussed, the Council steadfastly refused to even discuss the issue. They were never going to address this issue. We forced their hand through the necessary means.

The Mayor talked spin about 3,500 people participating in City wide elections and seemed to poo-poo the number of signatures that were received, when in the last two Council elections respectively 2,300 and 1,100 people voted. 2,707 people signed this petition, which is very nearly double the support that the winners received in the 2009 election. This petition garnered 10.6% of the registered voters signatures in the City of Hickory and in actuality many more people than that signed the petition and very few of those signatures were disqualified for reasons other than the legibility of the name or a missing address. We learned from on-the-job training during this process. It was new to us and we learned as we went along. What people can take to the bank is that we learned a lot about this process; and as we move forward, we now have valuable experience to fall back on should we need to revisit this process about other issues that this Council refuses to engage the public on.

A Council member talked about how changing to the Direct ward system would institute walls. What we see now is one wall. That if you went to your Ward Representative and they would not listen that you could go to another. What we have seen is a Council of Unanimous Consent. Why should anyone feel that going to another Ward Representative is going to result in anything different when they are "All of one mind." I have addressed what appears to be this Council's Us versus Them mentality. That is the real wall that the people face. That is what brought this petition about. It is about representation and accountability. Not really for this particular Council, but for Councils going forward.

I think many people look forward to tomorrow night and the debating of this issue that will take place throughout this community. Usually Hickory Inc. is in charge of processes. Well, now we see the playing field leveled to a large degree. The Mayor is right about one thing. The changing of this system would completely change how the City of Hickory Inc. operates. The old saying goes "If it ain't broke don't fix it." For many, they view the system of political governance in Hickory as broken and so they haven't been participating in it. This is the chance to bring government back to those who feel disenfranchised. This petition screams loud and clear, "This system is broke and it's time to fix it."

And for all of those who complain about how Hickory's local economy isn't working, but continue to go along to get along by suppressing messages that interested parties attempt to deliver, it is time that you stand down and let processes happen naturally. Democracy isn't always pretty. Politics is never a comfortable thing, but this is how the decisions that affect our every day lives are made. It is time to allow the people of this community to be heard!

A Message to Hickory about the Ward Specific Voting Referendum

To whom it may concern about the Referendum on Ward Specific voting:

Those who support this referendum have always intended to remain calm, cool, and collected and just make the points of support in a clear manner and stick to the issue that this is about bringing representation to everyone in Hickory... No one really understands who the current council is representing, and not many think the Council really understands who they are representing other than a few specific interests. What we do know is that people of every demographic and characteristic and from every ward in this community signed this petition and we believe that they signed it because they feel disenfranchised. This disenfranchisement, we believe, is caused not as much by the character of this City Council, but because of the current system in place. The representation of the current council, or the lack thereof, has been tainted by the current flawed at-large system.

The Council is firmly entrenched in a box that not one of them understood until we brought this issue forward. They should recognize that this isn't personal and if they take a step back and realize that and look at this with an empathetic-objective eye, then maybe they might see where we are coming from.

The Council didn't even want the issue addressed. When the Ward Map Redrawing took place and we asked that they at least take a look at the Direct Ward versus At Large issue, they said that wasn't what they were here for and completely dismissed the issue and that is what forced us to start doing our homework. When the City refused to listen to citizen's concerns, they forced us to do our due diligence and reexamine ourselves and readdress what our mission really was. We should thank the Mayor and the City Council, because their steadfast refusal to listen to citizen concerns about representation forced us to look at where all of this began and from there, with the effort and research of Walter Witherspoon, we were able to find out about 1967. We were able to see that 4 City Council members thought that they knew what was best for the thousands of people in Hickory. The citizens of Hickory weren't allowed to make the determination about how their representatives would be voted upon, instead those who received the votes made the determination about how they would be elected. That is the definition of the Fox guarding the hen house.

All we are trying to do is make participation in local government more user friendly. Whether you are Black, White, Rich, Poor, Woman, Man, Baptist, Lutheran, or whatever, it isn't about labels. It is about the stake you have in this community. Everyone has something to contribute. This issue brings everyone together. It brings everyone in this community to the decision making table. It makes the representatives on City Council responsible and accountable to the people closest to them. It makes them attentive to the 6,700 people in their ward, instead of diluting that representation to a bloc of people outside of their ward. That will not dilute the interest of the City as a whole. We believe it enhances it. Ward empowerment is not a plus and minus affair. It is a plus and plus affair.

Economic Stories of Relevance in Today's World -- July 15, 2012

Food crisis fears as US corn soars - The Financial Times of London - Jack Farchy - July 13, 2012 - It has become a distressingly familiar question. With the price of agricultural staples such as corn, soyabeans and wheat soaring for the third summer in five years, the prospect of another price shock is once again becoming a prominent concern for investors and politicians alike...                  

High quality global journalism requires investment.                             The debate marks a dramatic shift from just a few weeks ago, when traders were expecting bumper crops and policy makers were comforting themselves that – if nothing else – falling commodity prices would offer some relief to the troubled global economy.                    But since then, scorching heat and a paucity of rain across the US has withered the country’s corn and soyabean crops, with the US Department of Agriculture this week making the largest downward revision to its estimate for a corn crop in a quarter of a century.                     The US is crucial to supplying the world with food: the country is the largest exporter of corn, soyabeans and wheat, accounting for one in every three tonnes of the staple grains traded on the global market.                    Prices for this year’s corn crop, deliverable in December, have jumped 44 per cent in a month, wheat has rallied 45 per cent, and soyabeans 17 per cent.

The rise in grain prices has inspired comparisons with 2007-08, when a price surge triggered a wave of food riots in more than 30 countries from Bangladesh to Haiti, and 2010, when Russia banned grain exports, setting off a price jump that some have argued helped to cause unrest across the Arab world last year.

Drought stretches across America, threatens crops - CNN - Moni Basu - July 13, 2012 -  As of Tuesday, 61% of land in the lower 48 states was experiencing drought conditions -- stretching from Nevada to South Carolina -- the highest percentage in the 12-year record of the U.S. Drought Monitor.               The parched conditions come after some areas of the United States suffered record-setting heat waves, killer storms and blazing wildfires.                   In America's Corn Belt, the prognosis for farmers is grim as fields and pastures become drier by the day....                       He says 30% of the corn crop in the 18 primary corn-growing states is now in poor or very poor condition, up from 22% the previous week.                    Half of America's pastures and ranges are in poor or very poor condition, up from 28% in mid-June, he says........                                 Consumers will be hurting as well down the line when they feel the drought in their pocketbooks, says Miller, who is also the director of research and commodity services at the Iowa Farm Bureau.

Corn prices have climbed 45% already, Miller says; soybeans, 22%.                         "In the short run, that doesn't show up in the grocery store," he said, since most of this corn is used as livestock feed.

In fact, he said, meat prices could fall at first if farmers slaughter more animals to decrease the cost of buying feed.                      But eventually, Americans will pay more at the checkout counter.                   "It's likely that in three to six months from now, you will start seeing an increase in prices in the meat case," Miller said. "There will be a quicker impact on eggs and poultry because the production cycle is shorter."                   And even milk could see 4% to 6% price hikes if there are reductions in dairy herds.

The Real Libor Scandal ~Paul Craig Roberts and Nomi Prins - PaulCraig Roberts.org - Paul Craig Roberts and Nomi Prins - July 14, 2012 - ...Banks are not the only beneficiaries of lower Libor rates. Debtors (and investors) whose floating or variable rate loans are pegged in some way to Libor also benefit. One could argue that by fixing the rate low, the banks were cheating themselves out of interest income, because the effect of the low Libor rate is to lower the interest rate on
customer loans, such as variable rate mortgages that banks possess in their portfolios. But the banks did not fix the Libor rate with their customers in mind. Instead, the fixed Libor rate enabled them to improve their balance sheets, as well as help to perpetuate the regime of low interest rates. The last thing the banks want is a rise in interest rates that would drive down the values of their holdings and reveal large losses masked by rigged interest rates.                 Indicative of greater deceit and a larger scandal than simply borrowing from one another at lower rates, banks gained far more from the rise in the prices, or higher evaluations of floating rate financial instruments (such as CDOs), that resulted from lower Libor rates. As prices of debt instruments all tend to move in the same direction, and in the opposite direction from interest rates (low interest rates mean high bond prices, and vice versa), the effect of lower Libor rates is to prop up the prices of bonds, asset-backed financial instruments, and other "securities." The end result is that the banks' balance sheets look healthier than they really are...                      In other words, we would argue that the bailed-out banks in the US and UK are returning the favor that they received from the bailouts and from the Fed and Bank of England’s low rate policy by rigging government bond prices, thus propping up a government bond market that would otherwise, one would think, be driven down by the abundance of new debt and monetization of this debt, or some part of it. How long can the government bond bubble be sustained? How negative can interest rates be driven?                         Can a declining economy offset the impact on inflation of debt creation and its monetization, with the result that inflation falls to zero, thus making the low interest rates on government bonds positive?                       According to his public statements, zero inflation is not the goal of the Federal Reserve chairman. He believes that some inflation is a spur to economic growth, and he has said that his target is 2% inflation. At current bond prices, that means a continuation of negative interest rates.                   The latest news completes the picture of banks and central banks manipulating interest rates in order to prop up the prices of bonds and other debt instruments. We have learned that the Fed has been aware of Libor manipulation (and thus apparently supportive of it) since 2008. Thus, the circle of complicity is closed. The motives of the Fed, Bank of England, US and UK banks are aligned, their policies mutually reinforcing and beneficial. The Libor fixing is another indication of this collusion.                 Unless bond prices can continue to rise as new debt is issued, the era of rigged bond prices might be drawing to an end. It would seem to be only a matter of time before the bond bubble bursts.


New York Fed Knew of False Barclays Reports on Rates - New York Times - By MICHAEL J. DE LA MERCED and BEN PROTESS - July 13, 2012 - The Federal Reserve Bank of New York learned in April 2008, as the financial crisis was brewing, that at least one bank was reporting false interest rates.                    At the time, a Barclays employee told a New York Fed official that “we know that we’re not posting um, an honest” rate, according to documents released by the regulator on Friday. The employee indicated that other big banks made similarly bogus reports, saying that the British institution wanted to “fit in with the rest of the crowd.”                  Although the New York Fed conferred with Britain and American regulators about the problems and recommended reforms, it failed to stop the illegal activity, which persisted through 2009.                           British regulators have said that they did not have explicit proof then of wrongdoing by banks. But the Fed’s documents, which were released at the request of lawmakers, appear to undermine those claims.
The revelations fuel concerns that regulators are ill-equipped to police big banks and that financial institutions can game the system for their own purposes.....                         Regulators are now expanding their global investigation into the manipulation of key interest rates, a multiyear inquiry that has already examined more than 10 big banks, including UBS, JPMorgan Chase andCitigroup. In June, Barclays agreed to pay $450 million to settle claims that it reported bogus rates to deflect concerns about its health and bolster profits.                            The Barclays case is the first major action stemming from the inquiry into how big banks set major benchmarks like the London interbank offered rate, known as Libor. The rate is essentially how much interest banks would pay to borrow money on a short-term basis from other financial firms, a process that is overseen by the British Bankers’ Association, an industry trade group. Such benchmarks are used to determine the price of trillions of dollars of financial products, including mortgages and credit cards.
Since the Barclays settlement, lawmakers have focused their attention on regulators’ role in the rate-manipulation controversy.                  “As much as $800 trillion in financial products are pegged to Libor, so any manipulation of this rate is of serious concern,” said Representative Randy Neugebauer, the chairman of the House Financial Services Subcommittee on Oversight and Investigations, which initially requested the documents from the New York Fed. “We’ll continue looking into this matter to determine who was involved in this practice and whether it could have been prevented by regulators.”
              


Market Savior? Stocks Might Be 50% Lower Without Fed - CNBC.com - John Melloy - July 12, 2012 -  A report from the Federal Reserve Bank of New York suggests that the bulk of equity returns for more than a decade are due to actions by the US central bank.               Theoretically, the S&P 500 [.SPX  1356.78    22.02  (+1.65%)   ] would be more than 50 percent lower—at the 600 level—if the bullish price action preceding Fed announcements was excluded, the study showed....                   What they found was that the Federal Reserve has had an outsized impact on equities relative to other asset classes.                         For example, the market has a tendency to rise in the 24-hour period before the release of the Fed’s statement on interest rates and the economy, presumably on expectations Chairman Ben Bernanke and his predecessor, Alan Greenspan, would discuss or implement a stimulus measure to lift asset prices.                          The FOMC has released eight announcements a year at 2:15 ET since 1994. The study took the gains in the S&P 500 from 2 pm the day before the announcement to 2 pm the day of the statement and subtracted that market move from the S&P 500’s total return over that time span.                     Without the gains in anticipation of a positive Fed action, the S&P 500 would stand at just 600 today, rather than above 1300.

JPMorgan loses $5.8 billion on trades; traders may have hidden losses - Reuters through CNBC - (Reporting by David Henry and Jed Horowitz in New York, additional reporting by Chuck Mikolajczak; Editing by Lisa Von Ahn) - July 13, 2012 -  JPMorgan Chase & Co lost $5.8 billion in 2012 from disastrous credit bets, and traders might have tried to conceal the extent of the losses earlier this year, the biggest U.S. bank said on Friday.               The bank still managed to earn nearly $5 billion in overall profit in the second quarter and said it had fixed the problems in the Chief Investment Office, which was responsible for the trading losses. In the worst-case scenario, JPMorgan will lose another $1.7 billion on the trades, it said.             But JPMorgan's disclosure that traders may have deliberately lied about their positions could bring even more intense regulatory scrutiny to the bank, analysts said. It is already under investigation by everyone from the FBI to the UK's Financial Services Authority.               The trading losses and possible deception from traders are a black eye for JPMorgan Chief Executive Officer Jamie Dimon, who was respected for keeping his bank consistently profitable during the financial crisis...                      A host of international regulators and agencies are probing the trading mishap. Besides the FBI and FSA, they include the U.S. Securities and Exchange Commission, the Federal Deposit Insurance Corp, the U.S. Commodity Futures Trading Commission, the U.S. Treasury's Office for the Comptroller of the Currency, and the Federal Reserve Bank of New York.

JPMorgan's Drew Forfeits 2 Years' Pay as Managers Ousted - Reuters - Dawn Kopecki - July 13, 2012


How Your Bank Account Could Disappear (BAC, C, JPM) - ETF Daily News - Jeff Neilson - July 11, 2012 - ... We are being led to believe by the Corporate Media (another unreliable source) that this problem is only a risk for all individuals with “brokerage” accounts, however as we piece together all the pieces of the puzzle (already revealed) this is what we see before us:

1) Our banking regulators knowingly allow financial institutions to engage in recklessly misleading (if not outright fraudulent) contracts with their clients, through the use of complex “small print” in their account contracts with clients.

2) The three largest U.S. “banks” by deposit JP Morgan (NYSE:JPM), Bank of America (NYSE:BAC), Citigroup (NYSE:C) have made bets in their own rigged casino, which total well in excess of $100 trillion, an amount which completely dwarfs their total, combined deposits (and assets).

3) A large portion of those bets occur in the $60+ trillion credit default swap market. Pay-outs in these markets can (and do) exceed 300 times the amount of the original bet. It is bets in this market which “blew up” AIG, requiring more than $150 billion in immediate government aid.

4) Following the Crash of ’08; these same banks mooched a package of hand-outs, tax-breaks and “guarantees” (i.e. future hand-outs) from the Bush regime in excess of $15 trillion, the last time their gambling debts went bad on them – and all of these banks have been allowed to dramatically increase the total amount of their gambling since then.

5) It would take only a minor change in the gambling contracts in which these bankers engage to allow their creditors to seize funds out of ordinary bank accounts.

6) The existing language for the bank accounts of these U.S. banks is possibly already so vague (and prejudicial to clients) that it would allow these banks to reinterpret the terms of these bank accounts – and allow rehypothecation to be used to rob the holders of ordinary bank accounts, people who themselves make no “bets” in markets whatsoever. Alternately, customers could be blitzed with an offer for “new and improved” bank accounts, where terms allowing rehypothecation are slipped into the contract, with the banks knowing that the “regulators” will do nothing to warn account-holders of the gigantic risk they are taking.


Producer prices rise despite drop in energy costs - Reuters through CNBC - July 13, 2012 - 
Producer prices unexpectedly rose in June despite big drops in energy prices, a sign that some inflation pressures could keep the Federal Reserve on guard.                     The Labor Department said on Friday its seasonally adjusted producer price index rose 0.1 percent last month. Analysts polled by Reuters expected the index to drop 0.5 percent.                The increase was driven by gains in consumer goods like household appliances, light trucks and pet food.               That led so-called core inflation, which strips out more volatile food and energy prices, to rise 0.2 percent, in line with expectations.                   While overall inflation has cooled recently, core inflation has held at higher levels. Some policymakers at the Fed worry that further moves to lower borrowing costs could fuel higher inflation, though the central bank has said it was ready to do more to help the economy if needed. Energy prices dropped 0.9 percent in June, dragged down by a record drop in prices for residential electric power, which fell 2.1 percent. Diesel fuel prices sank 8.8 percent.                The fall in energy prices is likely to help the economy as lower costs for fuels and other input prices leave companies more money to spend on other things, such as equipment or even hiring.

Postal Service default appears likely - USA Today - Sean Reilly, Federal Times - July 13, 2012 - The cash-strapped U.S. Postal Service is within weeks of defaulting on a legally required $5.5 billion payment into a health benefits fund for future retirees....                           Under a schedule laid out in the 2006 Postal Accountability and Enhancement Act, the Postal Service also is supposed to make a $5.6 billion payment into the retiree health fund at the end of September....                   Lawmakers appear likely to let the Postal Service default, representatives of mailing industry groups said Thursday......                        Both the House and Senate will be on break Aug. 6 to Sept. 7; after that, the House is scheduled to be in session for only three weeks in September and October, according to a schedule posted on its website.                  Tony Conway, executive director of the Alliance of Nonprofit Mailers, sees little chance of an intervention from Congress before next month's deadline. Lawmakers have "got all this stuff on their plate, and they're running out of time. And there's no vehicle, so it doesn't appear it's something they're going to get to," he said.                  The health-care payment originally was due in September 2011, but Congress deferred it until Aug. 1.

In requiring the Postal Service to build up the health benefits fund, lawmakers' stated purpose was to ensure coverage for future retirees without resorting to taxpayer assistance. But Postal Service executives and unions have objected that no other business or government agency faces a similar mandate.                  Although the agency has struggled to make the payments in recent years, Congress has twice stepped in, either to reduce the legally required amount or to push back the deadline.

Banks Lend Money into existence as Debt - Max Keiser ...most people assume that a Bank takes in a deposit and then they loan that deposit out and this creates liquidity in the system , that's false , in today's banking system Banks first lend money into existence that's where money comes from it is loaned into existence as debt , a small fraction of that ends up in another bank's balance sheet that they then call collateral but it is just debt , there is no hard collateral ...that's why at this time around the world there is a mad scramble to try to reclassify gold as a tier one asset because that's the only intangible collateral that you can have at this point to solve the fact that none of these banks have any collateral that's worth anything in the resale market , they are all technically bankrupt .... this is what they discovered in Island .....

Special Hickory City Council meeting to discuss ward referendum on July 17, 2012

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