Satellite Could Find Hidden Archaeological Sites by Remote Sensing



SAN FRANCISCO – Light reflected by the Amazon rainforest’s vegetation could help an orbiting satellite find the elusive fertile patches of soil known as terra preta — or ‘black earth’ — that mark archaeological sites where pre-Columbian populations settled.


Finding these rich patches of earth has been a challenge. They’re sprinkled throughout the enormous Amazon basin, hidden beneath an impenetrable forest, and embedded in a land with few roads.


So a team of scientists is testing whether satellite measurements of the light reflected by tree canopies could help researchers panning for black soil gold, a team of scientists reported here Dec. 3 at the American Geophysical Union conference.


The black earth patches, otherwise invisible from above, mark the locations of pre-Columbian archaeological sites, remnants of a civilization that lived in the Amazon for thousands of years. Wherever settlements sprang up, decades of discarded fish and animal bones, charcoal and other waste transformed the typically yellow and nutrient-poor Amazonian soil into nuggets of black gold.


“They’re super enriched with artifacts, charcoal – it’s like a giant compost,” paleoecologist Crystal McMichael of the University of New Hampshire said here Dec. 3 at the American Geophysical Union conference, where she presented the work. The sites vary in age from about 500 years to more than 2,000 years old. “They’ve retained nutrients for that long, which is incredible,” she says.



McMichael and her colleagues studied whether remote sensing could be used to help find archaeological sites. First, they assembled a database of known black earth and typical soil sites – about 2,900 of them — illustrated by the black and white circles in the map.


Then, they looked at data returned by the Hyperion spectrometer, which rides aboard the Earth-orbiting satellite EO-1, run by NASA and the USGS.


Hyperion scans tree canopies at a range of wavelengths [scans outlined in red on the map]. The team sorted through about 1,600 scanned areas, removing those blocked by clouds or with improper location tags. Then, they found the scans that contained patches of known black and normal soils. In those data, they saw differences in the vegetation reflectance – five wavelengths, in particular, were diagnostic of the different soil types.


“You have a different set of species that grow on those super-enriched soils as compared to the ones that grow on those crappy soils,” McMichael said. “You can use it to map species distributions or target archaeological sites.”


Next, McMichael and colleagues hope to confirm the result using data from other orbiters, and test their ability to find previously unknown patches of black earth. If confirmed, remote spectral imaging could help archaeologists find these remnants of an ancient civilization.


“There’s no stone, there’s no metal,” McMichael says. “Basically all that’s left of those people are earthen structures and these modified soils.”




Read More..

Fleetwood Mac readies tour and new music












NEW YORK (AP) — Fleetwood Mac is heading back on the road, and that means the top-selling group will release new music — sort of.


On its 34-city North American tour, which kicks off April 4 in Columbus, Ohio, the band will perform two new songs, and it could mean a new album will follow. Or not.












Stevie Nicks recently sang on tracks that Lindsey Buckingham, Mick Fleetwood and John McVie worked on, calling the sessions “great.” But Nicks also says she’s not sure where the band fits in today’s music industry.


“Whether or not we’re gonna do any more (songs), we don’t know because we’re so completely bummed out with the state of the music industry and the fact that nobody even wants a full record,” she said. “Everybody wants two songs, so we’re going to give them two songs.”


Nicks said depending on the response to the new tracks — which Buckingham calls “the most Fleetwood Mac-y stuff … in a long time” — more material could come next.


“Maybe we’ll get an EP out of it or something,” Buckingham said.


Nicks will continue to record solo albums, though. The group is celebrating the 35th anniversary of the best-selling “Rumours” album, which has moved some 20 million units in the United States. She knows that’s not possible again, despite the success of Adele’s “21,” which has sold 10 million units in America in less than two years.


“This is Adele’s ‘Rumours,’” Nicks said. “She had a baby, she’s going to take a year off to take care of her baby — that’s why I never had any kids. She’s going to go back and start writing again, you never know what the next record’s going to be. Is it going to sell 10 million records? You don’t know,” she said.


Buckingham said he initially wanted to record a new album, but Nicks “wasn’t too into that.” But the guitarist and singer knows that new music isn’t a priority for the band’s fans.


“It wouldn’t matter if they didn’t hear anything new. In a way there’s a freedom to that — it becomes not what you got, but what you do with what you got. Part of the challenge of this tour is figuring out a presentation that has some twists and turns to it without having a full album,” he said.


Fleetwood Mac, which was formed in 1967, last released an album in 2003, though they hit the road in 2009. Nicks and Buckingham — who originally joined the band in 1974 as a couple — both released solo albums and toured last year. Buckingham had suggested that Fleetwood Mac tour last year, but says getting everyone to agree was tough.


“If you look at Fleetwood Mac as a group, you can make the case of saying we’re a bunch of individuals who don’t necessarily belong in the same group together, but it’s the synergy of that that makes us so good. But it also makes the politics a little more tenuous,” he said. “You can say that not only can it be a political minefield, someone’s always causing trouble, right? I caused trouble for years so I can’t point any fingers.”


The tour also includes cities such as New York, Chicago, Boston, Las Vegas and Los Angeles, and will end June 12 in Detroit.


_____


Online:


http://www.fleetwoodmac.com/


You can follow Music Writer Mesfin Fekadu on Twitter at twitter.com/MusicMesfin


Entertainment News Headlines – Yahoo! News


Read More..

Sign Language Researchers Broaden Science Lexicon





Imagine trying to learn biology without ever using the word “organism.” Or studying to become a botanist when the only way of referring to photosynthesis is to spell the word out, letter by painstaking letter.




For deaf students, this game of scientific Password has long been the daily classroom and laboratory experience. Words like “organism” and “photosynthesis” — to say nothing of more obscure and harder-to-spell terms — have no single widely accepted equivalent in sign language. This means that deaf students and their teachers and interpreters must improvise, making it that much harder for the students to excel in science and pursue careers in it.


“Often times, it would involve a lot of finger-spelling and a lot of improvisation,” said Matthew Schwerin, a physicist with the Food and Drug Administration who is deaf, of his years in school. “For the majority of scientific terms,” Mr. Schwerin and his interpreter for the day would “try to find a correct sign for the term, and if nothing was pre-existing, we would come up with a sign that was agreeable with both parties.”


Now thanks to the Internet — particularly the boom in online video — resources for deaf students seeking science-related signs are easier to find and share. Crowdsourcing projects in both American Sign Language and British Sign Language are under way at several universities, enabling people who are deaf to coalesce around signs for commonly used terms.


This year, one of those resources, the Scottish Sensory Centre’s British Sign Language Glossary Project, added 116 new signs for physics and engineering terms, including signs for “light-year,”  (hold one hand up and spread the fingers downward for “light,” then bring both hands together in front of your chest and slowly move them apart for “year”), “mass” and “X-ray” (form an X with your index fingers, then, with the index finger on the right hand, point outward). 


The signs were developed by a team of researchers at the center, a division of the University of Edinburgh in Scotland that develops learning tools for students with visual and auditory impairments. The researchers spent more than a year soliciting ideas from deaf science workers, circulating lists of potential signs and ultimately gathering for “an intense weekend” of final voting, said Audrey Cameron, science adviser for the project. (Dr. Cameron is also deaf, and like all non-hearing people interviewed for this article, answered questions via e-mail.)


Whether the Scottish Sensory Centre’s signs will take hold among its audience remains to be seen. “Some will be adopted, and some will probably never be accepted,” Dr. Cameron said. “We’ll have to wait and see what happens.”


Ideally, the standardization of signs will make it easier for deaf students to keep pace with their hearing classmates during lectures. “I can only choose to look at one thing at a time,” said Mr. Schwerin of the F.D.A., recalling his science education, “and it often meant choosing between the interpreter, the blackboard/screen/material, or taking notes. It was like, pick one, and lose out on the others.”


The problem doesn’t end at graduation. In fact, it only intensifies as new discoveries add unfamiliar terms to the scientific lexicon. “I’ve had numerous meetings where I couldn’t participate properly because the interpreters were not able to understand the jargon and they did not know any scientific signs,” Dr. Cameron said.


One general complaint about efforts to standardize signs for technical terms is the idea that, much like spoken language, sign language should be allowed to develop organically rather than be dictated from above.


“Signs that are developed naturally — i.e., that are tested and refined in everyday conversation — are more likely to be accepted quickly by the community,” said Derek Braun, director of the molecular genetics laboratory at Gallaudet University in Washington, D.C., which he said was the first biological laboratory designed and administered by deaf scientists.


Since at least the 1970s, deaf scientists have tried to address the lack of uniformity by gathering common signs for scientific terms in printed manuals and on videotapes. The problem has always been getting deaf students and their interpreters to adopt them.


Often, at science conferences, “local interpreters that we never met before would often use different signs for the same terms, leading to confusion,” said Caroline Solomon, a biology professor at Gallaudet University who is deaf.


This article has been revised to reflect the following correction:

Correction: December 4, 2012

An earlier version of this article misstated the origin of the ASL-STEM Forum.  It was developed by researchers at the University of Washington, not Gallaudet University.  Researchers at Gallaudet and the National Institute for the Deaf work with the University of Washington to provide content and help the forum grow.



Read More..

Republicans Balk at Obama’s Short-Term Stimulus





WASHINGTON — Republicans and Democrats are struggling to find common ground on a long-term debt deal. But as economic growth has weakened this quarter, they are at odds over what the flagging recovery needs in the immediate future, too.




The Obama administration is arguing that the sluggish economy requires a shot in the arm, and it included tens of billions of dollars of little-noticed stimulus measures in its much-noticed proposal to Congressional leaders last week. But Republicans have countered that the country cannot afford to widen the deficit further, and have balked at including the measures in any eventual deal.


The stimulus measures in the White House’s debt proposal stem from President Obama’s long-since-scuttled American Jobs Act proposal, and include a continuation of emergency support for long-term unemployed workers, an extension of the payroll tax cut, billions in infrastructure investment and a mortgage-refinancing proposal.


“We have a very good plan, a very good mix of tax reforms” and savings, said Timothy F. Geithner, the Treasury secretary, on ABC News last weekend. “We can create some room to invest in things that make America stronger, like rebuilding America’s infrastructure.”


But in his counteroffer, made on Monday, House Speaker John A. Boehner of Ohio did not mention any such measures. Republican aides said that securing stimulus was not the main priority given concerns about the country’s fiscal state, and they appeared to be holding back on supporting any stimulus measures to bolster their bargaining position.


“The president is asking for $1.6 trillion worth of new revenue over 10 years, twice as much as he has been asking for in public,” Mr. Boehner said on “Fox News Sunday.” “He has stimulus spending in here that exceeded the amount of new cuts that he was willing to consider. It was not a serious offer.”


As the debate rages in Washington, data has shown the recovery once again sputtering, with the underlying rate of growth too slow to bring down the unemployment rate by much and some of the economic momentum gained in the fall dissipating in the winter.


The weakness comes from the manufacturing and exports slowdown, disruptions from Hurricane Sandy and sluggish underlying wage and spending growth. The storm hit the economic juggernauts of New Jersey and New York hard, pushing down work and wages. On top of that, consumers and businesses might be holding back out of concern for the tax increases and spending cuts scheduled to take place at the first of the year unless Congress and the administration come to some agreement.


In recent weeks, many forecasters have slashed their estimates of growth in the fourth quarter. Macroeconomic Advisers, for instance, estimates the economy is expanding at only a 0.8 percent annual pace, down from 2.8 percent in the third quarter.


“It’s a pretty dramatic slowdown,” said Joel Prakken, the chairman of Macroeconomic Advisers, the St. Louis-based forecasting firm. “There’s weak demand, which just does not portend well for the coming quarters,” he said.


RBC Capital Markets put the current pace of growth at just a 0.2 percent annual rate. The chance of seeing “a negative sign in front of fourth-quarter gross domestic product is nontrivial, to say the least,” Tom Porcelli, chief United States economist at RBC Capital Markets, wrote in a note to clients last week.


If Congress and the Obama administration are able to agree on a budget deal, economists expect that economic growth will pick up in 2013. Stock markets might cheer, businesses might feel more confident about hiring workers and signing contracts and investors might feel more comfortable investing if Congress struck a deal.


The turnaround in the housing market, rising auto sales and higher consumer confidence all bode well, they note. Refinancing — supported by the Federal Reserve’s effort to buy mortgage-backed securities — would also flush more money into households.


Much of the current slowdown might be a result of temporary factors that might fade away, like fluctuations in how factories stock their inventories or the lingering effects of Hurricane Sandy.


Still, recent economic data has come in surprisingly weak. On Monday, the Institute for Supply Management reported that the manufacturing sector contracted in November, with an index of purchasing activity falling to the lowest level since mid-2009.


The report said manufacturers expressed “concern over how and when the fiscal cliff issue will be resolved” as well as a slowdown in demand.


Over all, unemployment remains high, and wage growth weak. Global growth has gone through a slowdown as well. It all adds up to a United States recovery that might remain vulnerable to shocks — like the Midwestern drought that slashed agricultural production this year, or the Japanese tsunami that depressed exports in 2011, or the long-simmering European debt crisis that has spooked financial markets — for years to come.


Economists remain nervous about the combination of the already weak recovery and the prospect of the tax increases and spending cuts — with billions of dollars of fiscal contraction likely to take place even if the White House and Congress reach a deal.


“We are worried about going too fast, too quick on the cuts side,” said former Senator Pete V. Domenici, Republican of New Mexico, on Monday at a meeting with reporters at the Bipartisan Policy Center. He was presenting a plan for a deficit reduction framework along with Alice M. Rivlin, the budget director under President Bill Clinton.


Ms. Rivlin added, “We don’t need an austerity budget.” Indeed, the two budget experts proposed including a one-year income tax rebate to give the recovery some breathing room.


Read More..

Supreme Court keeps California in suspense on gay marriage

































































The U.S. Supreme Court did not address the California gay-marriage case on Monday morning. The next time they can consider it is on Friday.


The case against Proposition 8, the 2008 ballot initiative that banned gay marriage in California, had been discussed by justices last Friday, but was not on the list of cases the court said it would review.


Many speculated that the court might have decided not to take the case, which would let an appeals court ruling on the matter stand. The 9th Circuit Court of Appeals found earlier this year that Proposition 8 was unconstitutional, clearing the way for same-sex marriage in California unless the Supreme Court decides to get involved.








But the matter will remain in suspense for a while longer. The court could continue to discuss the case at conferences this year and early next year in advance of possibly hearing the case in June. They could also hold the matter over for the fall. 


Gay-marriage activists expressed disappointment that there was no news Monday.


"We understand that it is a complex case, and if they need another week to reach the right decision, we're fine with that," said Adam Umhoefer, executive director of the American Foundation for Equal Rights, which is fighting to overturn Proposition 8.






Read More..

Induction Charging Comes to Public Transit



Say goodbye to catenary wires. Utah State University has unveiled an electric bus that charges through induction, topping off its batteries whenever it stops to pick up passengers.


Designed by USU’s Wireless Power Transfer team and the Utah Science Technology and Research initiative’s Advanced Transportation Institute, the prototype Aggie Bus is already on the road. It uses the same wireless charging principle as an electric toothbrush or a wireless smartphone charger, except optimized for a massive public-transit vehicle.


As in all modern inductive-charging setups, a transformer is “split” between the bus and a charge plate under the bus stop. When the bus drives over the charging plate, current flows with no physical contact required. Engineers at USU designed their system so that the Aggie Bus can be misaligned up to 6 inches from the charge plate and still get 25kW of power and 90 percent efficiency from the power grid to the battery.


Because of the fixed routes they run and frequent stops they make, induction charging is ideal for buses. Instead of charging up a massive battery overnight before a route, the Aggie Bus features a smaller battery setup that recharges every time the bus reaches a predetermined stop. The smaller batteries free up interior space, reduce downtime and lower battery costs — although induction plates must be added to bus stops.


Though the Aggie Bus is a working prototype, USU is working with Wireless Advanced Vehicle Electrification (WAVE) — a company spun-out from USU — in order to bring a commercialized bus to market. In mid-2013, WAVE and the Utah Transit Authority are planning to unveil a 40-foot induction-charged transit bus on the USU campus that’s capable of taking a 50kW charge. The project was funded by USU, who will purchase the bus, and a $2.7 million grant from the Federal Transit Administration.


Charging a bus through induction may be a new idea in the U.S., but bus routes with similar wireless charging systems have been in place in Torino, Italy, since 2003 and Utrecht, the Netherlands, since 2010. Ideally, induction charging would be used in city centers to replace noisy, smoky diesel buses. It would also work on already electrified routes, allowing cities to take down unsightly hanging catenary wires.


Read More..

Palace says Duchess of Cambridge expecting a baby












LONDON (AP) — Get the nursery ready: Prince William and his wife Kate are expecting their first child.


St. James’s Palace announced the pregnancy Monday, saying that the Duchess of Cambridge — formerly known as Kate Middleton — has a severe form of morning sickness and is currently in a London hospital. William is at his wife’s side.












The palace said since the pregnancy is in its “very early stages,” the 30-year-old duchess is expected to stay in the hospital for several days and will require a period of rest afterward.


It would not say how far along she is, only that she has not yet reached the 12-week mark.


News of the pregnancy drew congratulations from across the world, with the hashtag “royalbaby” trending globally on Twitter.


Not only are the attractive young couple popular — with William’s easy common touch reminding many of his mother, the late Princess Diana — but their child is expected to play an important role in British national life for decades to come.


William is second in line to the throne after his father, Prince Charles, so the couple’s first child would normally eventually become a monarch.


In recent days, Middleton has kept up her royal appearances — recently playing field hockey with schoolchildren at her former school.


The confirmation of her pregnancy caps a jam-packed year of highs and lows for the young royals, who were married in a lavish ceremony at Westminster Abbey last year.


They have traveled the world extensively as part of Queen Elizabeth II’s Diamond Jubilee celebrations and weathered the embarrassment of a nude photos scandal, after a tabloid published topless images of the duchess.


Joe Little, managing editor of Majesty magazine, said the news bookended a year that saw the royal family riding high in popular esteem after celebrations of Queen Elizabeth II’s 60 years on the throne.


“We’re riding on a royal high at the moment at the end of the Diamond Jubilee year,” he said. “People enjoyed the royal romance last year and now there’s this. It’s just a good news story amid all the doom and gloom.”


Speculation about when the couple would start a family has been rife since their wedding.


William’s mother — the late Princess Diana — got pregnant just four months after her wedding in 1981. Diana reportedly suffered from morning sickness for months and complained of constant media attention.


“The whole world is watching my stomach,” Diana once said.


American tabloid speculation of the pregnancy has been rampant for months. One newspaper even cited anonymous sources talking about Kate’s hormone levels. Others have focused on the first signs of the royal bump.


The palace said the royal family was “delighted” by the news, while British Prime Minister David Cameron wrote on Twitter that the royals “will make wonderful parents.”


Whether boy or girl, the child will be next in line behind William in the line of succession to the throne, Cabinet Office officials have said.


Leaders of Britain and the 15 former colonies that have the monarch as their head of state agreed in 2011 to new rules which give females equal status with males in the order of succession.


Although none of the nations had legislated to make the change as of September 2012, the British Cabinet Office confirmed that this is now the de-facto rule.


On the couple’s recent tour of Malaysia, Singapore, the Solomon Islands and Tuvalu in September, William reportedly said he hoped he and Kate would have two children.


___


Associated Press writers Jill Lawless and Paisley Dodds contributed to this report.


Entertainment News Headlines – Yahoo! News


Read More..

Call That Kept Nursing Home Patients in Sandy’s Path


Chang W. Lee/The New York Times


Workers were shocked that nursing and adult homes in areas like Rockaway Park, Queens, weren’t evacuated.







Hurricane Sandy was swirling northward, four days before landfall, and at the Sea Crest Health Care Center, a nursing home overlooking the Coney Island Boardwalk in Brooklyn, workers were gathering medicines and other supplies as they prepared to evacuate.




Then the call came from health officials: Mayor Michael R. Bloomberg, acting on the advice of his aides and those of Gov. Andrew M. Cuomo, recommended that nursing homes and adult homes stay put. The 305 residents would ride out the storm.


The same advisory also took administrators by surprise at the Ocean Promenade nursing home, which faces the Atlantic Ocean in Queens. They canceled plans to move 105 residents to safety.


“No one gets why we weren’t evacuated,” said a worker there, Yisroel Tabi. “We wouldn’t have exposed ourselves to dealing with that situation.”


The recommendation that thousands of elderly, disabled and mentally ill residents remain in more than 40 nursing homes and adult homes in flood-prone areas of New York City had calamitous consequences.


At least 29 facilities in Queens and Brooklyn were severely flooded. Generators failed or were absent. Buildings were plunged into a cold, wet darkness, with no access to power, water, heat and food.


While no immediate deaths were reported, it took at least three days for the Fire Department, the National Guard and ambulance crews from around the country to rescue over 4,000 nursing home and 1,500 adult home residents. Without working elevators, many had to be carried down slippery stairwells.


“I was shocked,” said Greg Levow, who works for an ambulance service and helped rescue residents at Queens. “I couldn’t understand why they were there in the first place.”


Many sat for hours in ambulances and buses before being transported to safety through sand drifts and debris-filled floodwaters. They went to crowded shelters and nursing homes as far away as Albany, where for days, they often lacked medical charts and medications. Families struggled to locate relatives.


The decision not to empty the nursing homes and adult homes in the mandatory evacuation area was one of the most questionable by the authorities during Hurricane Sandy. And an investigation by The New York Times found that the impact was worsened by missteps that officials made in not ensuring that these facilities could protect residents.


They did not require that nursing homes maintain backup generators that could withstand flooding. They did not ensure that health care administrators could adequately communicate with government agencies during and after a storm. And they discounted the more severe of the early predictions about Hurricane Sandy’s surge.


The Times’s investigation was based on interviews with officials, health care administrators, doctors, nurses, ambulance medics, residents, family members and disaster experts. It included a review of internal State Health Department status reports. The findings revealed the striking vulnerability of the city’s nursing and adult homes.


On Sunday, Oct. 28, the day before Hurricane Sandy arrived, Mr. Bloomberg ordered a mandatory evacuation in Zone A, the low-lying neighborhoods of the city. But by that point, Mr. Bloomberg, relying on the advice of the city and state health commissioners, had already determined that people in nursing homes and adult homes should not leave, officials said.


The mayor’s recommendations that health care facilities not evacuate startled residents of Surf Manor adult home in Coney Island, said one of them, Norman Bloomfield. He recalled that another resident exclaimed, “What about us! Why’s he telling us to stay?”


The commissioners made the recommendation to Mr. Bloomberg and Mr. Cuomo because they said they believed that the inherent risks of transporting the residents outweighed the potential dangers from the storm.


In interviews, senior Bloomberg and Cuomo aides did not express regret for keeping the residents in place.


“I would defend all the decisions and the actions” by the health authorities involving the storm, said Linda I. Gibbs, a deputy mayor. “I feel like I’m describing something that was a remarkable, lifesaving event.”


Dr. Nirav R. Shah, the state health commissioner, who regulates nursing homes, said: “I’m not even thinking of second-guessing the decisions.”


Still, officials in New Jersey and in Nassau County adopted a different policy, evacuating nursing homes in coastal areas well before the storm.


Contradictory Forecasts


The city’s experience with Tropical Storm Irene last year weighed heavily on state and city health officials and contributed to their underestimating the impact of Hurricane Sandy, according to records and interviews.


Before Tropical Storm Irene, the officials ordered nursing homes and adult homes to evacuate. The storm caused relatively minor damage, but the evacuation led to millions of dollars in health care, transportation, housing and other costs, and took a toll on residents.


As a result, when Hurricane Sandy loomed, the officials were acutely aware that they could come under criticism if they ordered another evacuation that proved unnecessary.


Read More..

Texas Business Incentives Highest in Nation


DALLAS — The Preston Hollow neighborhood has been home to many of Texas’ rich and powerful — George and Laura Bush, Mark Cuban, T. Boone Pickens, Ross Perot. So it is hardly surprising that a recent political fund-raiser was held there on the back terrace of a 20,000-square-foot home overlooking lush gardens with life-size bronze statues of the host’s daughters.


The guest of honor was Gov. Rick Perry, but the man behind the event was not one of the enclave’s boldface names. He was a tax consultant named G. Brint Ryan.


Mr. Ryan’s specialty is helping clients like ExxonMobil and Neiman Marcus secure state and local tax breaks and other business incentives. It is a good line of work in Texas.


Under Mr. Perry, Texas gives out more of the incentives than any other state, around $19 billion a year, an examination by The New York Times has found. Texas justifies its largess by pointing out that it is home to half of all the private sector jobs created over the last decade nationwide. As the invitation to the fund-raiser boasted: “Texas leads the nation in job creation.”


Yet the raw numbers mask a more complicated reality behind the flood of incentives, the examination shows, and raise questions about who benefits more, the businesses or the people of Texas.


Along with the huge job growth, the state has the third-highest proportion of hourly jobs paying at or below minimum wage. And despite its low level of unemployment, Texas has the 11th-highest poverty rate among states.


“While economic development is the mantra of most officials, there’s a question of when does economic development end and corporate welfare begin,” said Dale Craymer, the president of the Texas Taxpayers and Research Association, a group supported by business that favors incentives programs.


In a state that markets itself as “wide open for business,” the lines are often blurred between decision makers and beneficiaries, according to interviews with dozens of state and local officials and corporate representatives. The government in many instances is relying on businesses and consultants like Mr. Ryan for suggestions on what incentives to grant and which companies should receive them, as well as on other factors that directly affect public spending and budgets, the interviews show.


Mr. Ryan does not claim to be neutral on where the money should go. “It’s widely known that I represent a lot of taxpayers,” he said in an interview. “I have client relationships with people who hopefully, if they invest in Texas, they’ll receive incentives.”


Granting corporate incentives has become standard operating procedure for state and local governments across the country. The Times investigation found that the governments collectively give incentives worth at least $80 billion a year.


The free flow of tax breaks and subsidies in Texas makes it particularly fertile ground to examine these economic development deals and the fundamental trade-off behind them: the more states give to businesses, the less they have available in the short term to spend on basic services, a calculation made more stark by the recession.


To help balance its budget last year, Texas cut public education spending by $5.4 billion — a significant decrease considering that it already ranked 11th from the bottom among all states in per-pupil financing, according to recent data from the Census Bureau. Yet highly profitable companies like Dow Chemical and Texas Instruments continue to enjoy hefty discounts on their school tax bills through one of the state’s economic development programs.


In the Manor school district, which comprises the town and part of Austin, Samsung has been awarded more than $231 million in incentives from state and local officials. But the recent budget cuts have left the district with crowded classes and fewer programs.


Mr. Perry, who took office at the end of 2000, has been a longtime proponent of lowering taxes. He said in an interview that companies could put the money to better use than the government and would spend it in ways that would create jobs and help Texans.


“Facebook, eBay, Apple — all of those within the last two years have announced major expansions in Texas,” Mr. Perry said. “They’re coming because it is given, it is covenant, in these boardrooms across America, that our tax structure, regulatory climate and legal environment are very positive to those businesses.”


He acknowledged that the state’s job growth was not erasing persistent poverty, saying that “we are going to have people that fall through the cracks.” He said creating jobs was the best way to help Texans, who “don’t want government assistance when they can do it themselves.”


But relying on companies does not always turn out well. When Amazon set up a distribution center outside Dallas, it received incentives from the state. Six years later, when the company got into a tax dispute with the state, it shut the warehouse, which employed as many as 2,000 people during its peak season.


Nationwide, a whole industry of consultants has grown up around state efforts to lure companies with incentives. Companies like Ernst & Young, Deloitte and Automatic Data Processing, a payroll company, have divisions dedicated to helping companies search for the best deals.


Mr. Ryan’s Dallas-based firm, Ryan LLC, operates in 27 states and seven countries and represents numerous Fortune 500 companies. Texas alone is a big source of business for Mr. Ryan, who has won tax refunds of more than $20 million each for ExxonMobil and Raytheon. This year, he sought similar amounts for Verizon, Freescale Semiconductor and several other companies, according to state documents obtained through an open records request.


At the same time, Mr. Ryan has become one of the state’s most generous political donors. He co-founded a political action committee last year that supported Mr. Perry’s bid for the Republican presidential nomination and donated $250,000.


Even as business leaders press local governments to give out more incentives, they warn against requiring too much in return.


In Travis County, which includes Austin, commissioners recently passed new rules for companies that receive tax abatements. One requires paying employees $11 an hour, an amount the county considers to be a living wage.


The rules had been contested by the business community. “The more stipulations you put into an agreement, the more complicated it becomes and the less competitive we become,” Gary Farmer, a local business leader who runs an insurance company, told the county commissioners at a hearing. “We’re concerned about including a living wage into the policy, as we believe that could have a chilling effect on certain companies.”


The Money Starts Flowing


When Mr. Perry became governor in 2000, Texas was not a major player in the incentives game. He quickly got his first taste during a bidding war among states when Boeing was hunting for a new location for its headquarters.


Texas ultimately lost to Illinois, which awarded Boeing $52.5 million in incentives, but the episode was a turning point. “We came back in here after we lost that,” Mr. Perry said, “and we analyzed our economic development efforts, and that’s when we started making some changes.”


Mr. Perry got the money flowing through two new cash funds created to recruit businesses. One, the Texas Enterprise Fund, awarded more than $410 million over eight years, according to the governor’s office, and the recipients said they would create more than 54,000 jobs. The fund requires companies that do not meet their job targets to return incentive money.


The state has also embraced a popular program that establishes enterprise zones where companies can receive refunds on some taxes they pay in exchange for moving there. The exemption has added up to big money for retailers like Walmart. Not coincidentally, the company has opened stores in similar enterprise zones across the country.


Walmart owed some of its other tax savings to Mr. Ryan, who counted the retailer among his earliest clients in the 1990s. Once an accounting firm, Ryan LLC transformed itself in recent years into a powerhouse focused on corporate tax breaks.


Mr. Ryan is a familiar presence at the state comptroller’s office in Austin, which must sign off on many tax breaks. He is known there for his laser focus and forceful negotiating skills. “It’s gloves-off, full-frontal assault,” said a former official, who requested anonymity because of state confidentiality rules.


Mr. Ryan agrees that he is aggressive, saying that “guys like me are all that stand between the government fleecing taxpayers.” He has at times filed lawsuits over tax rules he does not like, including one against the head of the Internal Revenue Service and Treasury Secretary Timothy F. Geithner.


In one of his most lucrative deals, Mr. Ryan in 2006 helped Texas Instruments win tens of millions of dollars in tax refunds, according to the comptroller’s office. Ryan LLC often gets to keep around 30 percent of its clients’ awards, according to former employees.


That same year, Mr. Ryan was a top donor to the campaign of the comptroller at the time, Carole Keeton Strayhorn, personally giving $250,000, according to campaign finance records. Over the course of Ms. Strayhorn’s tenure, Mr. Ryan, his employees and his company’s PAC would donate nearly $3 million, including when the comptroller ran for governor, the records show. He and his employees have made campaign contributions to the current comptroller, Susan Combs, totaling more than $600,000.


Ms. Strayhorn declined to comment, and a representative for Ms. Combs said the donations did not affect her decisions.


Since 2000, Mr. Ryan and his wife, Amanda, have contributed over $4 million to a variety of state officials and political causes, including the governor. Mr. Perry declined to comment on Mr. Ryan, but at a local event in 2010 he called him “the type of visionary that every community wants to have,” according to The Abilene Reporter-News.


Mr. Ryan said that he gave to candidates in many states and that his donations brought extra scrutiny, not favorable treatment.


Others see it differently. “When you give money to a state regulator who you appear before, there are potential conflicts of interest,” said Craig McDonald, the executive director of Texans for Public Justice, a liberal watchdog group. “And Texas law is way too weak in allowing those conflicts to exist.”


Mr. Ryan set his own sights on public office in 2009, running for the Dallas City Council on a platform that pushed cutting public spending. Simultaneously, Mr. Ryan was pursuing state aid for his own company, applying for an enterprise zone designation for his business.


Mr. Ryan lost the race but won the incentive. “In these tough economic times, our city officials must use every tool available to ensure job growth and expand the tax base,” he said of the award in a news release.


Mr. Perry has made corporate recruitment a hallmark of his administration. The governor frequently makes trips to cities like Chicago, New York and San Francisco to lure prospective businesses.


During a visit to San Diego in June, he proudly told local officials that about a third of the companies moving to Texas were from California, said Ruben Barrales, the chief executive of the San Diego Regional Chamber of Commerce.


“Governor Perry is here quite a bit,” Mr. Barrales said. “He meets with companies. He’s letting people know if they’re interested in further growth, Texas will greet them with open arms. He’s not very shy about it.”


Asked if he had qualms about taking jobs from other states, Mr. Perry said, “Competition is what drives this country.”


A nonprofit group called TexasOne recommends potential businesses to the governor and then pays for his travel and other expenses during the recruiting trips. The group is financed by large corporations like Shell and AT&T, as well as by consultants like Ryan LLC.


The governor’s office allocates the awards, which state records show amount to millions of dollars each year. In the enterprise zone program, 82 of the 222 awards granted from March 2008 to June 2012 went to companies represented by Mr. Ryan’s firm, according to public records provided by the governor’s office. The list included General Motors, Tyson Foods and the German chemical giant BASF.


Until recently, the cash incentives were overseen in Mr. Perry’s office by a top aide, Roberto De Hoyos. In September, Mr. De Hoyos took a new job — at Ryan LLC.


Companies Gain, Schools Lose


Lines of new students show up each August at the public schools in Manor. The town is mostly rural, with fields of hay and cattle in every direction. Some of the students’ families came to double up with relatives or friends, others were pushed outward by Austin’s gentrification.


Downtown Manor consists of a couple of blocks lined with spots like Ramos Cocina and a smoke-filled convenience store. There are few doctors and no real place to buy groceries.


About six miles away, a fabrication plant for the South Korean company Samsung looms over one of Manor’s elementary schools, a symbol of corporate interests juxtaposed with a pillar of public spending. The complex, which makes memory chips for smartphones and other products, includes some of the largest buildings in the area: one covers 1.6 million square feet, or about nine football fields.


Since Mr. Perry took office, companies have seen a drop in their school property taxes because of a special incentives program, as well as an across-the-board cut in the school tax rate. The recession has made the squeeze all the more difficult for schools.


In the Manor district, spending shrank by about $540 per student this year, according to the Equity Center, an advocacy group for Texas schools. The cuts came even as school enrollment has nearly tripled since 2000.


The cracks in financing were on display this summer, as families filled a school cafeteria to register for a prekindergarten program with shortened days. For parents like Tommy and Melissa Sifuentes, the cutback means they have to leave work early or hire a baby sitter. “It’s harder,” said Ms. Sifuentes, who is still grateful that her son will learn socialization skills at school.


About 80 percent of Manor’s students are low-income, according to the E3 Alliance, a nonprofit group in Austin that focuses on education. For about a third of the 8,000 students, English is a second language.


In 2005, Manor’s school board gave Samsung eight years of tax abatements worth $112 million as part of the company’s incentives package for its fabrication plant. Under the special incentives program, known as Chapter 313, school boards approve tax abatements for companies. The state then reimburses the district for the amounts they give up.


In many districts, the awards were granted after little review. Robert Schneider, a member of Austin’s school board, said the district was nonchalant when it gave an abatement to Hewlett-Packard in 2006.


“The board took it as ‘we don’t lose in this deal,’ because we knew we were going to get reimbursed by the state,” Mr. Schneider said. “I can tell you there wasn’t any analysis done that said, ‘Ten, 15 years from now, they will be here and we’ll get such and such out of it.’ ”


School boards statewide have approved abatements worth at least $1.9 billion through the program, according to the comptroller’s office. Although the districts are not paying for the abatements themselves, budget experts point out that the reimbursements come from the state’s general fund, which like most state treasuries is running low.


In Texas, tax revenues for schools took a direct hit when Mr. Perry created a commission in 2005 to evaluate the state’s tax system. The State Supreme Court was questioning districts’ property tax rates and warned of a school shutdown if legislators did not intervene. The tax rates had been criticized for years by businesses and residents, but some districts countered that they could not afford to cut them without additional state financing.


Mr. Perry turned to John Sharp, a Democrat and former comptroller, to lead the commission. At the time, Mr. Sharp worked for Ryan LLC. The commission called for districts to cut school property taxes by around one-third. To make up for some of the lost revenue, it recommended adding a business tax, as well as increasing some sales taxes.


“I did what I thought was the best for the state of Texas,” said Mr. Sharp, adding that his position at Ryan LLC did not affect his decisions. “We saved the state of Texas from complete collapse of the school system, and I’m very proud of that.” Mr. Sharp left Ryan last year to become the chancellor of Texas A&M University.


In 2006, the Legislature largely adopted the commission’s proposals and required the state to give districts billions of dollars to allow time for the business tax to make up the difference.


Some six years later, things have not worked out as planned.


The business tax has not yielded anywhere near what Mr. Sharp’s panel projected, and the state has cut its aid to the districts by $5.4 billion. A spokeswoman for Mr. Perry noted that one of the state’s cash incentive funds was also cut back.


Leslie Whitworth, who oversees the curriculum in Manor, said that the district was doing its best to make do with less, but that “it wears on people, the constant crisis, the constant increases in students and constant pressure on budgets.”


Among other things, the cuts have meant overcrowding across Texas: the number of classrooms over the state’s student limit nearly quadrupled last year.


Some companies recognize the trade-off. Daimler, the German maker of the Mercedes-Benz, accepts incentives in the United States but tries to avoid ones that come out of school budgets, said David Trebing, who manages the company’s relationship with local governments. “We want to make sure they have enough money for their schools,” Mr. Trebing said. “Our workers send their kids there.”


Even members of the Austin Technology Council, which includes Samsung, identified an educated work force as among their biggest concerns for the area, according to a recent survey.


Of the $231 million in incentives Samsung received, it donated $1 million back to Manor for a scholarship fund. The company also mentors district students.


Catherine Morse, Samsung Austin’s general counsel, said the abatements from the Manor school board were crucial because of the company’s expensive machinery. Samsung also received $10.8 million from Mr. Perry’s cash fund, but Ms. Morse said the money had not swung the decision. “It was more like it showed respect,” she said.


Ms. Morse noted that Samsung was still the county’s largest taxpayer and that locating the facility in Texas had been a tough sell inside the company. “It was very unpopular to take jobs out of South Korea,” she said.


Samsung said it had created 2,500 jobs on its payroll and 2,000 more for contract employees. Ms. Morse said that 495 of those on its payroll lived in the Manor school district. The company is currently seeking additional incentives for a $4 billion retooling of its facility, though it is not expected to add many jobs.


Amazon Plays Hardball


Tarik Carlton gathered with other workers in February 2011 to hear the bad news: Amazon was shutting its distribution center in Irving, where he loaded trucks for $12.75 an hour.


Business had been strong, but the online retailer did not want to pay a $269 million tax bill from the state comptroller. A standoff with the state ensued, and Amazon laid off the workers. “They didn’t have our interests in heart, truth be told,” Mr. Carlton said.


Amazon opened the distribution facility in 2005 in Irving, near Dallas-Fort Worth International Airport, and local officials awarded the company tax breaks on its inventory.


Positions at the warehouse included product pickers, dock crews and truck loaders. The employees were typically on the young side, and some had served in the military. The warehouse churned through workers because many could not meet the quota of products they were supposed to move each day, according to Frankie Lloyd, who helped Amazon find temporary workers to fill many of the jobs.


“It’s all about what you can do physically,” Ms. Lloyd said. “Like manufacturing, but without the great pay.”


The distribution business grew as manufacturing moved overseas and online shopping boomed. It is big in the Dallas area because two main train lines run here from Long Beach, Calif., where goods arrive from Asia.


The work is highly physical. One Amazon worker wore a step counter that logged five miles during one shift, according to Mr. Carlton, who only recently found a new job. He was among 12 former Amazon workers, including two warehouse managers, who agreed to be interviewed.


There was no air-conditioning in the warehouse, and Mr. Carlton and others said the temperature could reach 115 degrees. They said it was difficult to take breaks given the production quotas.


The pay was typically $11 to $15 an hour, Ms. Lloyd said. Amazon gave out small shares of stock and some bonuses, but the amounts were minimal, she said.


Amazon said it had been working to upgrade its warehouses, which it calls fulfillment centers. The company has installed air-conditioning in all its centers over the past year, said Dave Clark, the vice president for global customer fulfillment.


Mr. Clark said workers always received breaks, and sometimes free ice cream when the facilities did not have air-conditioning. He said the quotas were akin to “expectations that go along with every job, mine included.”


“I really do think these jobs get a bad rap,” Mr. Clark said. “They’re great jobs. They’re safe jobs.”


Mr. Carlton said he had no idea the company was being partly subsidized. “If you give them money, I think more should be expected,” he said, adding that Amazon should have been required to hire more people to handle the heavy workload.


John Bonnot, the director of business recruitment for the Irving Chamber of Commerce, said the city did not impose wage or benefit requirements on companies that received incentives. Irving had required that Amazon create only 10 jobs to receive the tax break.


Mr. Bonnot said Amazon “would have nothing but praise” for the original assistance from the state and the city, which outsources its economic development to the local chamber.


Things began to slide downhill in late 2010 when the state comptroller, Ms. Combs, demanded that Amazon pay the $269 million sales tax bill. The retailer had never charged its Texas customers the tax, giving it an advantage over on-the-ground competitors.


The company hired three powerful advocates with ties to the governor, according to state lobbyist disclosure records. One, Luis Saenz, had been the director of Mr. Perry’s political operation. Days after the warehouse closed, Mr. Perry said he disagreed with the comptroller’s decision to demand the taxes.


As it was battling with the comptroller, Amazon began negotiating with the Legislature, which was debating whether online businesses should be required to charge sales tax. The company told lawmakers that it would create up to 6,000 jobs in exchange for delaying sales tax collections, similar to a compromise it had struck in states like South Carolina and Tennessee.


The lawmaker with the most power in the decision was John Otto, a Republican member of the Texas House of Representatives. Like all Texas legislators, Mr. Otto’s government job is part time. He also works at Ryan LLC — a job that is not disclosed on his legislative Web site.


Mr. Otto drafted legislation that said online retailers like Amazon would not have to charge sales tax as long as it did not have distribution facilities in Texas. By then, the company had already shut the Irving warehouse.


Mr. Otto and Mr. Saenz declined to comment about the legislation. Amazon would not comment on its negotiations with Texas.


In July, Amazon began collecting sales tax from customers in Texas after the comptroller agreed to release the company from most of its $269 million bill. The company has also promised to open new distribution facilities and hire 2,500 workers. Amazon will owe the state a $1 million penalty if it fails to deliver.


The math on the new deal angers former Amazon workers, especially those who are still unemployed. For Texas to give up more than $250 million in tax revenues in exchange for 2,500 jobs amounts to about $100,000 per job. Most distribution workers are paid $20,000 to $30,000 a year. The rest benefits the company’s bottom line, which generally increases executive bonuses and shareholder returns.


King White, a consultant who helps Amazon choose locations, would not comment on the online retailer but said that companies in general had come to view incentives as entitlements. “Everybody thinks they deserve something,” Mr. White said. “ ‘If I’m creating jobs, what’s in it for me?’ ”


The deal on the sales tax did not require Amazon to reopen the Irving facility. That touched off the latest state competition to win over Amazon.


Last month, the city of Schertz beat out neighboring San Antonio for one of Amazon’s warehouses. The company is currently in negotiations with Coppell, outside of Dallas, about an additional center. Like Schertz, Coppell has offered Amazon a deal to keep a part of the sales tax it collects there, among other incentives.


If Amazon accepts, it will be located near Irving and many of its former workers. Sharon Sylvas, 47, had moved from Kansas seven years ago to help Amazon set up the Irving facility. She lives nearby in a one-bedroom apartment with her partner, daughter and two grandchildren.


After Amazon closed, she was out of a job for over a year. With limited options, Ms. Sylvas took a temporary position in October at another company’s distribution center. It is a tougher job than the one at Amazon, and it pays less. For $11 an hour, Ms. Sylvas moves heavy inventory and other items.


She said that if Amazon returned to the area, she would work there again, despite the rigors of warehouse jobs. “It’s real miserable,” Ms. Sylvas said. “But you do it to make a living.”


Both Player and Referee


For the past few months, a commission created by the Texas Legislature has been taking a broad look at the state’s economic development efforts. It will report back in January with recommendations. Four members of the commission are specifically focused on evaluating the state’s cash grants and the school tax abatement programs. This means that companies in Texas have a lot at stake in the panel’s work.


So does at least one of the commissioners: G. Brint Ryan.


He was appointed to the commission by the state’s lieutenant governor, David Dewhurst, who has received more than $150,000 in campaign donations from Mr. Ryan.


At a meeting in mid-September, the panel invited business representatives to testify. Among them was Ms. Morse, the general counsel at Samsung Austin, who urged the commission to continue the school property tax program that benefits her company in the Manor district.


During Ms. Morse’s testimony, it went unmentioned that Samsung is a Ryan client. Ryan LLC had helped the company gain designation as an enterprise zone in 2010, enabling it to receive sales tax refunds from the state on many of its purchases, according to documents obtained by The Times under a public records request.


Mr. Ryan said the commission had never asked him whom he represents.


No representatives from Texas schools spoke at the hearing. But Mr. Ryan said in an interview that school financing and poverty could best be addressed by emphasizing economic activity. He noted his own humble beginnings. “Frankly, I never got one single government handout,” he said.


Over the years, of course, Mr. Ryan has profited by helping many companies obtain checks from the government. In at least one instance, he was more eager to get the money than his client was.


The client, a computer chip maker called Advanced Micro Devices, had hired Mr. Ryan’s firm to review its books. But when the firm found what it believed would be a way to save more than $30 million in taxes, the chip maker decided it was not worth pursuing. Ryan LLC responded by suing its client, saying AMD owed it to the firm to seek the money. Ryan LLC would have received a cut of the savings.


AMD declined to comment on the case, which was settled last year. But in a deposition contained in the court filings, a representative of the chip maker described numerous e-mails and phone calls by Mr. Ryan, who was trying to persuade the company to file for the refunds.


“It’s continuing evidence that they’ve placed their interest above our own and continued to press this issue,” the representative said. The company said Ryan LLC’s behavior “bordered on harassment.”


At one point, Mr. Ryan wrote to the chip maker’s chief financial officer. “At stake is tens of millions of dollars in tax recovery and future tax savings on an issue I have WON for other fabs in Texas,” he said, referring to fabrication facilities.


The company’s choice not to seek the tax break, Mr. Ryan said in a deposition, was an “irrational and unreasonable decision.”

Read More..

Egypt's top court postpones ruling amid pressure









CAIRO -- Egypt's highest court postponed ruling on a case against the constitutional assembly after Islamist supporters of President Mohamed Morsi blocked judges Sunday from entering their chambers in an escalating struggle over the nation’s political charter.

Protesters rallied in front of the Supreme Constitutional Court, which was expected to rule on the legitimacy of the constitutional assembly in defiance of Morsi’s decree that the assembly was not subject to judicial oversight. The case has heightened the political divisions and created a backlash against judges connected to the deposed regime of longtime autocrat Hosni Mubarak.


The judges announced the "suspension of court sessions until the time when they can continue their message and rulings without any psychological and material pressures," according to a statement released by the court.





TIMELINE: Revolution in Egypt


The protest against the court was the latest skirmish in a separation-of-powers battle over the nation's constitution. The assembly approved a rushed draft constitution on Friday to preempt a court decision that was expected to rule against the body. Morsi ordered that the proposed constitution be voted on in a national referendum on Dec. 15, essentially sidelining the court.


Opposition movements across the country have been protesting Morsi's power grab for more than a week, reviving the revolutionary fervor that brought down Mubarak in February 2011. The opposition says Morsi, who was elected in June, has made a sham of democracy and that the constitution raises the prospect that Islamic law could jeopardize civil rights.


Morsi and his Muslim Brotherhood have stressed that the president'’s expanded powers were necessary to blunt attempts by Mubarak-era courts from derailing Egypt’s political transition. If the constitution is passed, a new parliament -- the court dissolved an earlier Islamist-led legislature in April -- will be voted in early next year.


The Ahram Online news website reported that the constitutional court blamed Morsi and Islamists for the "lies" in a smear campaign to "taint the court’s image." The court added that it was operating in a "climate filled with hatred."


PHOTOS: Pro-Morsi protests in Cairo


ALSO:


North Korea plans long-range rocket launch


Egypt's Islamists rally in support of President Morsi


Amid protests, Enrique Peña Nieto sworn in as Mexico's president


jeffrey.fleishman@latimes.com


 


 


 





Read More..