Tuesday, July 31, 2012

Reuters: U.S.: Iconoclastic American author Gore Vidal dead at 86

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Iconoclastic American author Gore Vidal dead at 86
Aug 1st 2012, 04:51

Writer Gore Vidal is pictured at the ''2005 Literary Awards'' hosted by PEN USA in Los Angeles in this November 9, 2005 file photograph.

Credit: Reuters/Mario Anzuoni/Files

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Reuters: U.S.: University of Montana quarterback charged with rape

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University of Montana quarterback charged with rape
Aug 1st 2012, 03:58

By Laura Zuckerman

Tue Jul 31, 2012 11:58pm EDT

(Reuters) - University of Montana quarterback Jordan Johnson was charged with rape on Tuesday, becoming the second member of the team to face such charges amid investigations by U.S. authorities into the handling of sexual assault reports by school and local officials.

Jordan Johnson, 20, was formally charged with sexual intercourse without consent, Missoula County District Attorney Fred Van Valkenberg said in a written statement.

According to an affidavit filed by prosecutors, the charges stem from accusations by a fellow student, identified only as Jane Doe, that Johnson raped her in her bedroom on February 4.

"Jordan strongly maintains his innocence and looks forward to the opportunity to prove his innocence at trial, clear his name and return to pursuing his education," Johnson's attorney, David Paoli, said in a statement.

Paoli said Johnson and his family were "surprised and saddened" by the charges "given that the encounter between Jordan and the complainant occurred in early February and the police have been aware of the allegation since she filed a report six weeks later."

Johnson was suspended from the football team on Tuesday and prohibited from engaging in team activities pending the outcome of criminal proceedings, said Jean Gee, the university's interim athletic director.

Speaking for the university, Kevin McRae, Montana's associate commissioner of higher education, said the school has no basis for expelling Johnson, who has not yet been convicted of a crime and is registered to attend classes in fall.

"The university will be a very interested observer of the district court proceeding to see how the due process plays out," McRae wrote in an email to Reuters.

'DISAPPOINTMENT, SORROW AND FEAR'

Johnson is one of two members of the Montana Grizzlies charged with rape this year amid renewed scrutiny of the university by the U.S. Department of Education and its football program by the National Collegiate Athletic Association.

Running back Beau Donaldson was charged in January with raping a woman at his residence while she slept. He has pleaded not guilty and has been suspended from the team.

U.S. Justice Department officials on May 1 announced that an investigation of the handling by the university, police and the county attorney of more than 80 reported rapes in Missoula during the past three years would include a review of sexual assault and harassment claims on campus.

At least 11 student-related sexual assaults have been reported there since 2010.

The university, the city and the Missoula police department pledged cooperation with the investigation even as Van Valkenburg defended his office and other local authorities and called the probe an "overreach" by the federal government.

The U.S. Department of Education on May 23 said it was also investigating whether the university had responded promptly and appropriately to the 11 reported rapes and sexual assaults on campus since 2010.

Like the Justice Department, the Education Department's inquiry seeks to determine if gender discrimination was at issue in the 11 cases. At least three of those involved rape accusations, including an alleged gang rape, against Grizzly players, including Johnson and Donaldson.

The NCAA in January notified the university it was conducting an investigation of the football program.

The sexual assault allegations and investigations have shaken Missoula, a city of 86,000 whose identity and economy are tied to the university and its football team.

"There is confusion and disappointment, sorrow and fear," Missoula Mayor John Engen told Reuters in a recent interview.

(Reporting By Laura Zuckerman in Salmon, Idaho; Editing by Cynthia Johnston and Stacey Joyce)

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Reuters: U.S.: United flight temporarily diverted because of camera

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United flight temporarily diverted because of camera
Aug 1st 2012, 03:19

Tue Jul 31, 2012 11:19pm EDT

(Reuters) - A "suspicious item," which turned out to be a camera, caused a United Airlines flight bound for Geneva, Switzerland, to be temporarily diverted to Boston on Tuesday night, according to officials.

Flight 956 from Newark, New Jersey, landed safely at Logan International Airport in Boston at about 9:10 p.m. so authorities could investigate a "suspicious item," Massachusetts Port Authority spokesman Richard Walsh said.

Passengers were taken off the plane and state police scanned the aircraft, Walsh said.

The troublesome item turned out to be a camera, which was x-rayed and cleared, Massachusetts State Police Trooper Thomas Murphy said. Passengers reboarded the plane, which took off again for Switzerland at approximately 10:30 p.m., Murphy said.

A spokesperson for United Airlines was not immediately available for comment.

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Reuters: U.S.: Courts mull whether illegal immigrants can be licensed to practice law

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Courts mull whether illegal immigrants can be licensed to practice law
Aug 1st 2012, 02:02

By Mary Slosson

SACRAMENTO | Tue Jul 31, 2012 10:02pm EDT

SACRAMENTO (Reuters) - A law school graduate seeking to join the California bar despite his status as an illegal immigrant may soon become a test case for other young and undocumented professionals as the state's highest court weighs whether he can be admitted to practice law.

The state Supreme Court is mulling the case of 35-year-old Sergio Garcia, who has already found strong support both from California's attorney general and the state bar association. The court has requested guidance from the U.S. Justice Department on the matter that could come as early as Wednesday.

The case is the latest battleground in the nation's immigration wars that have seen the Obama administration grant leniency to some young illegal immigrants brought to the country as children even as a number of states have sought to crack down on illegal immigrants within their borders.

Garcia, who passed the bar exam, was brought to the United States when he was 17 months old by his parents. They left to return to their native Mexico when Garcia was eight or nine, only to return to the United States again when he was 17.

His father was a U.S. permanent resident at the time, and later became a citizen. In 1994, he filed a petition for his son to be granted an immigrant visa. Approved in 1995, Garcia has been waiting 17 years for a visa that will allow him to become a lawful permanent resident and, eventually, a citizen.

The Justice Department declined to comment on the case, but could soon weigh in after requesting in mid-July that it be granted an extension to August 1 to file a brief with its views on the matter. That opinion will carry weight for similar cases in Florida and New York.

"I am very hopeful and confident that they will weigh in my favor," Garcia told Reuters, declining to comment further.

Garcia has already won support from state Attorney General Kamala Harris, who wrote an amicus brief to the state Supreme Court urging that he be admitted to the bar and describing him as "a model of the self-reliant and self-sufficient immigrant."

Critics, however, say that allowing immigrants who are in the country illegally to become lawyers undermines the justice system, and that they should become legal immigrants first.

"Mr. Garcia is not qualified to practice law because he continually violates federal law by his presence in the United States," retired prosecutor for the state bar of California, Larry DeSha, wrote in an opposition brief.

The California Supreme Court has not given any indication of how long it might take to make a decision on Garcia's case after it receives guidance from the U.S. Department of Justice.

LIKEWISE IN FLORIDA, NEW YORK

Whatever the guidance, it could impact the cases of other young law school graduates in other states who find themselves in similar circumstances including a case that is making its way through Florida's legal system.

A 26-year-old Eagle Scout who has the backing of his former law professors at the Florida State University College of Law to enter the legal profession, Jose Manuel Godinez-Samperio arrived in the United States at the age of nine, when his parents illegally carried him across the border from Mexico.

The Florida Board of Bar Examiners asked that state's Supreme Court for guidance on whether Godinez-Samperio and others like him could be admitted to the state bar association as full-fledged lawyers. The court has yet to issue an opinion.

In New York, immigrant rights activist Cesar Vargas finds himself in a similar position. A law school graduate, he passed the bar exam and will face the same issues when he applies to be admitted to the bar as a lawyer.

Vargas was brought to the United States from Mexico when he was five years old. He put himself through college and then law school thanks to private scholarships and community support.

"My graduation was bittersweet, since I was accomplishing something that made my family proud, but knew I wasn't going to be a lawyer because of my status," Vargas told Reuters.

The Obama administration announced in June that hundreds of thousands of illegal immigrants brought into the United States as children will be able to avoid deportation and get work permits.

That move was a nod to supporters of the DREAM Act, legislation that would allow certain children of illegal immigrants to stay in the United States to pursue college education and jobs and put them on a path to citizenship.

(Reporting by Mary Slosson; Editing by Cynthia Johnston and Lisa Shumaker)

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Reuters: U.S.: Plaintiffs rest case in Arizona sheriff's racial profiling trial

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Plaintiffs rest case in Arizona sheriff's racial profiling trial
Aug 1st 2012, 02:05

By Tim Gaynor

PHOENIX | Tue Jul 31, 2012 10:05pm EDT

PHOENIX (Reuters) - Lawyers representing Hispanic drivers who say they were racially profiled by a controversial Arizona lawman who bills himself as "America's toughest sheriff" rested their case on Tuesday in the third week of a federal class-action trial.

The case in U.S. District Court in Phoenix against Maricopa County Sheriff Joe Arpaio and his office will test whether police can target illegal immigrants without racially profiling Hispanic citizens and legal residents.

The judge in the case, Murray Snow, ordered closing statements to be submitted in writing on August 9, with rebuttals submitted a week later. He said he would rule after that.

The trial has focused attention again on law enforcement and immigration issues in Arizona. In June, the U.S. Supreme Court upheld a key element of the state's crackdown on illegal immigrants requiring police to investigate those they stop and suspect of being in the country illegally.

Arpaio, 80, testified under oath last week that he was against "anyone racial profiling" and denied his office arrested "people because of the color of their skin."

Cecillia Wang, a counsel for the plaintiffs, said her side had proven the charges against Arpaio and his office, and that sheriff's officers had admitted in court that "Hispanic ethnicity" was a factor in developing suspicion of illegal immigration status during traffic stops.

Other evidence presented showed "top brass" at the office circulated anti-Latino materials, "sending the message that race discrimination would be tolerated," Wang said.

The sheriff, who is seeking re-election to a sixth term in November, has been a lightning rod for controversy over his aggressive enforcement of immigration laws in the state bordering Mexico.

The suit was brought against Arpaio and his office on behalf of five people of Hispanic background who said they were stopped by deputies because of their ethnicity, which Arpaio denies.

Tim Casey, counsel for the defense, asked the judge on Tuesday to dismiss the case, saying the plaintiffs had not showed sufficient evidence for him to rule in their favor.

The judge denied the motion.

(Editing by Cynthia Johnston and Mohammad Zargham)

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Reuters: U.S.: Judge bars "hitman" testimony at Peterson murder trial

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Judge bars "hitman" testimony at Peterson murder trial
Aug 1st 2012, 01:19

Drew Peterson leaves his arraignment at the Will County Courthouse in Joliet, Illinois May 18, 2009. REUTERS/John Gress

Drew Peterson leaves his arraignment at the Will County Courthouse in Joliet, Illinois May 18, 2009.

Credit: Reuters/John Gress

By Joseph Hosey

JOLIET, Illinois | Tue Jul 31, 2012 9:19pm EDT

JOLIET, Illinois (Reuters) - A judge on Tuesday would not allow testimony to be used from a man who said former Chicago area policeman Drew Peterson offered him $25,000 to find a hitman to kill Peterson's third wife, dealing a blow to prosecutors on the first day of the murder trial.

Peterson is charged with the murder of third wife Kathleen Savio, who was found dead in a dry bathtub in 2004. Her death initially was ruled an accident. But when Peterson's fourth wife, Stacy Peterson, disappeared in 2007, suspicions were raised and the Savio death was ruled a homicide. Stacy Peterson has never been found and is presumed dead.

The Peterson case has drawn national attention and was the subject of a popular Lifetime television network movie "Untouchable" starring Rob Lowe as Drew Peterson.

Prosecutor James Glasgow began his opening statement on Tuesday by telling the jury that Jeffrey Pachter, a man Peterson worked with at a cable television installation company, has said under oath that Peterson offered him $25,000 to find a hitman to kill Savio.

Defense attorney Steve Greenberg immediately called for a mistrial. Judge Edward Burmila cleared the jury out of the courtroom and allowed Greenberg to make his case for a mistrial.

Burmila rejected the mistrial motion, but ruled that the prosecution could not use anything from Pachter during the trial.

The ruling was a blow to the prosecution because there is little physical evidence to link Peterson to Savio's death and prosecutors hoped to use the testimony of family and associates as evidence of Peterson's guilt.

The judge also admonished defense lawyer Joel Brodsky for launching into a story of Peterson's early life rather than focusing on the facts of the case.

"Mr. Brodsky, you're testifying to the jury about Mr. Peterson's life story, which is completely inappropriate," Burmila said.

Brodsky then focused on Savio's character, calling her a liar who had a nasty temper and had attacked Drew Peterson.

Following opening statements, only one witness took the stand Tuesday.

Mary Pontarelli, a close friend and next-door neighbor of Savio, told the jury about discovering Savio's drowned body in a dry bathtub in March 2004.

Pontarelli was the second person to see Savio dead. She went into the bathroom right behind Steve Carcerano, another of Savio's neighbors.

Peterson had asked Carcerano and Pontarelli to go inside the house ahead of him because he was concerned Savio would be angry if she saw him in the house. Peterson wanted to go in the house because he had his and Savio's sons for weekend visitation and had been unable to return them for two days.

He called a locksmith to break in and then had Carcerano, Pontarelli, and Pontarelli's husband and son, go look for Savio.

Pontarelli sobbed at one point when she was shown a photograph of Savio curled naked and dead in the bloody tub. The image was flashed on a large courtroom screen for the jury to see. Peterson stared at it without emotion.

Peterson's first and second wives have remarried.

(Editing by Greg McCune, Mary Wisniewski, Andre Grenon and Lisa Shumaker)

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Reuters: U.S.: Climate change threatens California power supply-report

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Climate change threatens California power supply-report
Aug 1st 2012, 00:58

By Rory Carroll

SAN FRANCISCO | Tue Jul 31, 2012 8:58pm EDT

SAN FRANCISCO (Reuters) - California's electricity sector is more vulnerable to climate change than previously thought, as higher temperatures will impede the state's ability to generate and transmit power while demand for air conditioning rises, a report said Tuesday.

The data is part of the latest report released by the California Natural Resources Agency and the California Energy Commission, which are trying to help state and local leaders prepare for life in the hotter, drier California of the future. (Report: r.reuters.com/zag79s)

Wildlife, agriculture and coastal communities are also at serious risk from climate change, the report said. Sea levels could rise by more than a foot by 2050, and more intense storms combined with less overall precipitation will present a host of challenges.

California is considered a national leader in setting policies to combat climate change, with a strong renewable electricity mandate in place and a carbon cap-and-trade program coming into force next year.

"We know that climate change will significantly affect the state's energy supply and demand," said Robert B. Weisenmiller, chair of the California Energy Commission.

"This groundbreaking research gives us the data and analytical tools we need to better plan, forecast and prepare to meet the state's energy needs as we face climate challenges," he said.

The warmer climate will decrease hydropower generation in the summer months when it is needed most, the report said. High-elevation hydropower plants, which supply about 75 percent of the state's hydropower, are especially at risk, since the small size of their reservoirs allows little flexibility to cope with reduced snowpack.

At the same time, higher temperatures alone will require the state to increase its electricity generating capacity 38 percent over current levels by 2100.

The report notes that renewable energy facilities, like wind and solar, are less threatened by climate change conditions, use less water, and produce none of the heat-trapping greenhouse gas emissions that come from natural gas-fired plants.

California has set a goal of cutting its output of greenhouse gas emissions to 1990 levels by 2020, the most ambitious target of any state.

WILDFIRES THREATEN TRANSMISSION LINES

The ability to move electricity from power plants to end users will also be threatened by climate change, since electrical transmission lines lose 7 to 8 percent of their transmitting capacity in high temperatures--just when demand for power rises.

Key transmission corridors are also vulnerable to more frequent and severe wildfires. The report said that the threat of wildfire to the transmission lines will increase by 40 percent.

Transmission lines with a high risk of wildfire interference include those that bring hydropower from the Pacific Northwest into California during peak demand periods as well as the lines bring power to the Los Angeles metropolitan area.

Those risks can be reduced by introducing more locally produced and distributed electricity, the report said.

HOTTER DAYS AHEAD FOR CALIFORNIA

Statewide average temperatures are expected to climb by 2.7 degrees above 2000 averages by 2050, according to climate scientists.

That will lead to an increase in mortality and health problems for at-risk populations, the report said.

The hotter climate will also mean that by the latter half of the century, dry water years are expected to increase by 8 percent in the Sacramento Valley and by 32 percent in the San Joaquin Valley, compared to the latter half of the 20th century.

The rise in sea level along California's coastline is also expected to accelerate, climbing 10 to 18 inches higher by 2050 and 31-55 inches higher by the end of this century. That creates the risk of saltwater intrusion into coastal groundwater supplies and into the Sacramento-San Joaquin Delta.

"These studies show that climate change is being felt in California now and will have more severe impacts in the future unless we plan ahead," said Susanne Moser, a Santa-Cruz based researcher who contributed to the assessment studies.

(Reporting by Rory Carroll. Editing by Jonathan Weber and Lisa Shumaker.)

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Reuters: U.S.: New York urges new mothers to breastfeed babies

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New York urges new mothers to breastfeed babies
Aug 1st 2012, 00:00

By Ray Sanchez

NEW YORK | Tue Jul 31, 2012 8:00pm EDT

NEW YORK (Reuters) - New York City Mayor Michael Bloomberg and state officials are pushing initiatives aimed at encouraging new mothers to breastfeed their babies, drawing criticism from some parents who say officials are interfering with their health choices.

State health commissioners announced on Tuesday that letters highlighting the importance of breastfeeding were being sent to hospitals, reminding them of regulations limiting unnecessary formula feedings for breastfed newborns.

The state initiative coincides with Bloomberg's call for hospitals to lock away their baby formula and have nurses encourage new mothers to breastfeed.

Under the mayor's plan, slated to start September 3, the city will keep a record of the number of bottles that hospitals stock and use. Formula would be signed out like medication.

The pro-breastfeeding campaign has drawn the ire of some women who argue it stigmatizes infant formula and interferes with a mother's choice of what to feed her child.

A number of the city's other health initiatives -- including cracking down on large-sized sodas and banning smoking in public places -- have attracted similar criticism from those who accuse the mayor of creating a "nanny" state.

"I breastfed both of my kids and it took me a good three weeks before I figured it out," said Rene Syler, who wrote about the issue on her website Goodenoughmother.com. "I can't imagine what it must be like to be in the hospital with someone sort of standing over your shoulder and lecturing you every time you ask for a bottle to feed your crying baby."

Under current regulations, hospitals are only allowed to provide formula to infants who have an indicated medical reason and a doctor's order for the supplemental feedings, the state health department said in a statement.

Still, only 39.7 percent of newborn infants in New York are exclusively breastfed -- well below the federal government goal of 70 percent, the state health department said. Roughly half of breastfed infants received supplemental formula in the hospital.

"We recognize that there are women that won't be able to breastfeed or chose to not breastfeed for a variety of reasons and that is a choice they should be able to make," said Dr. Barbara Wallace, the state health department's director of chronic disease prevention.

The state health department said the benefits of breastfeeding included fewer episodes of acute respiratory illnesses, inner-ear infections and gastroenteritis.

Mothers who do not breastfeed are at increased risk for postpartum bleeding and anemia, and have higher rates of breast cancer later in life, the health department statement said.

(Editing by Paul Thomasch and Lisa Shumaker)

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Reuters: U.S.: Illinois governor proposes assault weapons ban

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Illinois governor proposes assault weapons ban
Jul 31st 2012, 23:43

Illinois Governor Pat Quinn delivers his State of the State address to the joint session of the General Assembly in the House Chambers of the Illinois State Capitol in Springfield, Illinois February 1, 2012.

Credit: Reuters/Sarah Conard

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Reuters: U.S.: Teacher union boss bends to school reform winds

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Teacher union boss bends to school reform winds
Jul 31st 2012, 23:42

American Federation of Teachers President Randi Weingarten testifies during the U.S. House Ways and Means Committee hearing on economic recovery and job creation options on Capitol Hill in Washington October 29, 2008. REUTERS/Mitch Dumke

American Federation of Teachers President Randi Weingarten testifies during the U.S. House Ways and Means Committee hearing on economic recovery and job creation options on Capitol Hill in Washington October 29, 2008.

Credit: Reuters/Mitch Dumke

By James B. Kelleher

DETROIT | Tue Jul 31, 2012 7:42pm EDT

DETROIT (Reuters) - In the maelstrom of criticism surrounding America's unionized public teachers, the woman running the second-largest educator union says time has come to collaborate on public school reform rather than resist.

Randi Weingarten, re-elected this week for a third term as president of the American Federation of Teachers (AFT) with 98 percent of the vote, wants her 1.5 million members to be open to changes that might improve public schools.

That willingness to engage, she says, could win over parents, taxpayers, voters, well-funded pressure groups and cash-strapped cities that have blamed unionized teachers for high costs and poor performing schools.

"We have to unite those we serve and those we represent," Weingarten said in an interview with Reuters at the AFT convention in Detroit. "And we have to think ... what's good for kids and what's fair for teachers?"

Weingarten rebuffed her critics in the union for mistaking collaboration with surrender and said her overwhelming victory in the election showed rank-and-file members supported the move.

"There are a lot of people who are very angry for legitimate reasons and want to hear simply the 'fight back'," Weingarten said. "But this is about fighting for things as well as fighting against things."

Across the United States, public education -- and the often unionized teachers and support staff employed in the sector -- are under attack from reformers who argue the country's schools need to be reformed and partially privatized in order to improve student performance.

Weingarten was attacked by critics for a willingness to throw her support behind deals in places like Philadelphia and Cleveland, where AFT locals bargained away tenure protections, or New Haven, Connecticut, where the union accepted a teacher evaluation system that removes teachers whose students don't perform well on standardized tests.

"Some people would argue what happened in New Haven is not solutions-driven unionism," Weingarten told Reuters. "Do I embrace every single aspect of that agreement? Is everything single aspect of that agreement part of my particular belief system about how education should run? Of course not."

Weingarten's call for greater community outreach strikes many observers as a realistic strategy for building support for public education, long attacked for high costs and poor results.

"She has said she's open to any reform, under certain conditions, except private school vouchers. She's drawn the line there," said Richard Kahlenberg, a senior fellow at a liberal-leaning think tank, The Century Foundation, and author of "Tough Liberal" a biography of former AFT President Albert Shanker.

"But on every other issue - charter schools, merit pay for teachers - she has said that the AFT is willing to talk. And I think that's the right track to take."

SUMMER OF DISCONTENTS

But activists in the union, hardened by the layoffs, furloughs, pay freezes and benefit cuts that states and municipalities have forced on teachers nationwide in a weak economy, remain vocal and leery of Weingarten's blueprint for the future.

"We have to ask ourselves what are the solutions that are driving the particular model that Weingarten is talking about," said Jeff Bale, a professor at Michigan State University who spoke at a panel discussion hosted by AFT dissidents from Chicago and Detroit.

"Concessions don't lead to more prestige with the public. Concessions don't win more credibility at the bargaining table. They lead to more concessions."

Critics say Weingarten's willingness to see traditional job protections like tenure disappear and to accept charter schools, merit pay and other changes is a retreat from core principles and plays into the hands of those who want to eliminate public education, privatize government services and curb the ability of workers to unionize.

What the new approach will mean for AFT's membership remains to be seen. Like its bigger counterpart, the 3.2 million-member National Education Association, AFT has seen its full dues paying membership decline in recent years, according to its official filings with the United States Department of Labor.

AFT spokeswoman Carolyn Fiddler says total AFT membership -- which includes retirees and members paying partial dues -- is actually up from "1.5 million and change" in 2010 to "1.5 million and some more change" in 2012, a claim repeated in the state of the union report issued at the Detroit convention.

At the event, officials said AFT, which represents teachers and other school staff as well as healthcare workers, had signed up 79 new bargaining units in 18 states in the past year.

REAL FIGHT LEFT?

Weingarten told Reuters that there was "real fight left" in the AFT. But the question is how widespread and deep it is.

One convention highlight came when the 3,000 delegates, in a spirited floor vote, unanimously backed a "special order of business" promising the union's full support for "AFT educators in hostile bargaining environment who are fighting to defend fair contracts and the right to bargain collectively."

That describes just about every AFT local in the country.

But the resolution specifically cited five cities, including Chicago, the nation's third-largest public school system, where teachers represented by the Chicago Teachers Union (CTU) have been involved in bitter contract talks with Mayor Rahm Emanuel, a Democrat, and could walk out beginning on August 18.

At a weekend caucus on the sidelines of the convention, delegates from Chicago and Detroit, where an emergency manager has imposed a 10 percent pay cut on teachers, were skeptical the national union has the appetite for strikes or walkouts.

But they agreed, as William Weir, a Detroit public school teacher put it, that "it's time to do things differently."

Activists seemed especially excited by CTU, which resisted an effort by Emanuel to unilaterally impose a longer school day and won -- a rare victory these days for a teachers union.

Debby Pope, who works in the CTU's grievance unit, said the message from Chicago was simple: old-fashioned hardball, combined with outreach to parents and communities likely to be hurt by public school closings, works better than compromise.

"We will not be heard at the table unless we are out there in the streets seen and heard fighting," she said.

(Edited by Peter Bohan and Mary Milliken)

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Reuters: U.S.: Unsecured creditors ally with bankrupt Alabama county

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Unsecured creditors ally with bankrupt Alabama county
Jul 31st 2012, 23:44

A general view of the city of Birmingham, Alabama, August 9, 2011. REUTERS/Marvin Gentry

A general view of the city of Birmingham, Alabama, August 9, 2011.

Credit: Reuters/Marvin Gentry

By Michael Connor

Tue Jul 31, 2012 7:44pm EDT

(Reuters) - Alabama's bankrupt Jefferson County got some unexpected allies on Tuesday, when unsecured creditors lined up with the county in America's biggest municipal bankruptcy to fight a proposed September 28 deadline for a workout plan.

Assured Guaranty Municipal Corp, which insures some of the county's $3.14 billion of defaulted sewer-system warrants, on July 10 asked the federal judge overseeing the case to set a hard deadline for the county to develop an exit plan.

If Jefferson County, whose finances were ravaged by soured sewer-system debt and the 2011 loss of a local jobs tax, failed to produce an adjustment plan by a deadline set by Judge Thomas Bennett, the bankruptcy case could be thrown out, lawyers said.

Bennett has not ruled on the request by Assured, which argued the county has been dragging its heels in developing a workout plan on reorganizing its $4.23 billion of debt since declaring Chapter 9 bankruptcy on November 9.

On Tuesday, unsecured creditors Wells Fargo and National Public Finance Guarantee Corp, which insures county general obligation debt, filed briefs saying Assured's proposed deadline would hobble their efforts to secure payments.

Creditors without collateral rights need more time beyond September 28 "to request, receive, and evaluate information regarding the county's assets, liabilities, and operations," lawyers for Wells Fargo Bank and National Public Finance Guarantee, said.

In addition, the cash-strapped county government needs time to work out an operating budget and to lobby Alabama state lawmakers to restore the lost local jobs tax that is central to its revenue stream, the lawyers for Wells Fargo said. The jobs tax was declared unconstitutional.

"Imposing any deadline that would preclude a complete investigation of the county's finances and foreclose the possibility of meaningful negotiations ... could be highly prejudicial to unsecured creditors," Wells Fargo said.

Jefferson County, which has the sole right under Chapter 9 law to hammer out an adjustment plan, said in a separate filing that other municipal bankruptcies had much longer periods to develop plans.

Denouncing Assured's deadline request as a legal ploy, lawyers for Jefferson County said they were in talks with major creditors on a workout plan and were conducting public hearings on locally unpopular sewer-system rate hikes that would benefit bondholders.

"The county anticipates that it will continue to engage in a process of negotiation with the full spectrum of its creditors in the coming weeks and months," the county's lawyers said.

Jefferson County's workout plan, which must be judged fair to creditors and reasonable in light of its finances and obligations, must be approved by Bennett and can include reductions in bonds and other debt.

Jefferson County in June lost a courtroom fight over the size of payments due to creditors from the sewer system's monthly revenues. Bennett ruled county officials had been improperly holding back about $54 million a year.

Home of Birmingham, Alabama's business hub, Jefferson County filed for bankruptcy after a tentative agreement with creditors unwound. That deal might have delivered a $1 billion reduction in the county's debts and possibly eased hundreds of government job cuts and reductions in public services.

(Reporting By Michael Connor in Miami; Editing by Bob Burgdorfer)

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Reuters: U.S.: Drought deepens worries about food supplies, prices

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Drought deepens worries about food supplies, prices
Jul 31st 2012, 23:32

A drought-damaged corn field is pictured near Emery, Iowa July 27, 2012. REUTERS/Karl Plume

1 of 10. A drought-damaged corn field is pictured near Emery, Iowa July 27, 2012.

Credit: Reuters/Karl Plume

By Bob Burgdorfer

CHICAGO | Tue Jul 31, 2012 7:32pm EDT

CHICAGO (Reuters) - Alarm grew over the unrelenting Midwest drought on Tuesday, as one of the top corporate leaders in agriculture warned that the government must act quickly to reduce the amount of corn going to ethanol to prevent a sharp spike in food prices.

Worries about the worst drought in more than half a century afflicting the world's largest grain exporter also deepened overseas, where buyers in China and other hungry nations fret that the expected sharp drop in U.S. harvests will cause shortages and price spikes.

Greg Page, chief executive of global grains trading giant Cargill Inc, joined a chorus of critics of biofuels by urging the U.S. government to temporarily curb its quotas to produce corn-based ethanol fuel.

Page said on CNBC that the U.S. biofuel mandate "needs to be addressed" through existing policy tools. Otherwise, the spike in U.S. corn and soybean prices to record highs will "ration" demand in ways that will hurt food production too much.

"If all of that is only on livestock or food consumers, it really makes the burden disproportionate. What we see are 3 or 4 percent declines in supply lead to 40 to 50 percent increases in prices, and I think the mandates are what drives that," he said.

In 2011, almost 40 percent of the giant U.S. corn crop went into making ethanol, and the United States still exported more than half of all corn shipments worldwide.

"There is a methodology to reduce the amount of biofuels that is mandated in the U.S," Page said.

The U.S. Agriculture Department last week raised its estimates of food price inflation due to soaring grain prices tied to the drought, saying prices could rise as much as 3.5 percent this year and another 3-4 percent in 2013, led by meat.

On Monday, U.S. livestock groups appealed to the Environmental Protection Agency (EPA) to curb or suspend the mandate, warning against the ruinous impact of soaring feed costs. Corn and soybean meal make up basic animal feedstuffs.

Page said the shortfall in supply would be "manageable" provided that consumers ration their use, that producers don't impose export constraints and importers don't embark on a panicked buying spree, as some did in 2008 -- a beggar-thy-neighbor approach widely seen to have worsened the price spike.

"We need thoughtful responses from governments. We need to be sure free trade remains. In past periods of shortage of crops, we've had embargoes, which have exacerbated peoples' supply concerns and caused people to take actions that were not helpful to global aggregate food security," he said.

CROP OUTLOOK WORSENS

Grain analysts polled by Reuters pointed to a U.S. corn crop of 11.2 billion bushels, the smallest in six years and down 14 percent from USDA's latest forecast of 12.97 billion. Initial forecasts were for a crop of more than 14 billion bushels.

Soybeans, which were planted later and until now escaped the drought's pressure, are now also being hurt. Analysts predict a 2.834 billion bushel harvest, the smallest in four years, and down from USDA's latest estimate of 3.05 billion bushels.

The drought is hitting other food producers besides Cargill.

Oilseed processor and ethanol producer Archer Daniels Midland Inc reported a larger than expected 25 percent drop in quarterly profit on Tuesday due in part to higher corn prices causing it to lose money making ethanol.

"In a challenging fourth quarter, solid results from our global oilseeds business, particularly in South America, were more than offset by negative U.S. ethanol margins and weaker U.S. merchandising results." ADM CEO Patricia Woertz said.

Brokerage BB&T Capital Markets last week lowered its earnings forecasts for U.S. pork producer Smithfield Foods Inc and U.S. chicken producer Sanderson Farms Inc, citing corn prices.

But some said that easing off ethanol production -- already at a two-year low amid soaring corn prices -- was unnecessary.

In Iowa, the largest U.S. corn and soybean producer, Gov. Terry Branstad said on Tuesday he opposed an ethanol waiver.

"Even if you took that kind of action, it probably would have no action on soybean and corn prices," Branstad said.

Ray Bardole of Rippey, Iowa, a soybean farmer and industry official now touring China, told reporters by phone that he has been reassuring the worried Chinese, who are the biggest importers of U.S. soybeans.

"As we have met with folks from the government, as well as the Chinese media and our customers themselves, that is absolutely the very top thing on their mind," he said. "'What is the dry weather going to do to our supply?'"

At the Chicago Board of Trade corn and soybean markets eased back from new record highs this week as traders took their profits. Even with Tuesday's drop, corn prices are up 20 percent in July to post the biggest two-month rally since the last major drought in 1988.

December corn futures closed down 1.1 percent at $8.05-1/4 per bushel and November soybeans closed down 0.2 percent at $16.41 per bushel.

"We are continuing to see a deterioration of the crops," grains analyst Karl Setzer of MaxYield Cooperative in West Bend, Iowa said, referring to the U.S. Department of Agriculture's crop progress report issued on Monday.

That report said 24 percent of the domestic corn crop was in good-to-excellent condition as of Sunday, down from 26 percent the previous week. That was a tad better than trade expectations for a three-point drop.

The soybean crop was 29 percent in that category, down from 31 percent in the previous week.

Those ratings were the worst for those crops since the last major drought in 1988.

(Additional reporting by Jonathan Leff and Brian Winter. Editing by Peter Bohan and Leslie Gevirtz)

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Reuters: U.S.: Provo, Sioux Falls ranks best U.S. cities for elderly

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Provo, Sioux Falls ranks best U.S. cities for elderly
Jul 31st 2012, 22:37

A pair of elderly couples view the ocean and waves along the beach in La Jolla, California March 8, 2012. REUTERS/Mike Blake

A pair of elderly couples view the ocean and waves along the beach in La Jolla, California March 8, 2012.

Credit: Reuters/Mike Blake

BOSTON | Tue Jul 31, 2012 6:37pm EDT

BOSTON (Reuters) - Provo, Utah, and Sioux Falls, South Dakota came out on top in a new index of the best U.S. communities to live for senior citizens, based on factors that promote successful and healthy aging.

The Milken Institute's "Best Cities for Successful Aging" study, released on Tuesday, took into account 78 factors that affect senior citizens' quality of life including affordability, safety, health, financial security, and transportation.

Job prospects were among the criteria as well, reflecting a "new economic and social reality" that many seniors want to, or will be forced to, continue to work during their so-called retirement years.

Out of the 100 largest metropolitan areas in the United States, Provo, the home of Brigham Young University, scored top marks for its healthy lifestyle, small-business growth, and numerous medical centers.

Sioux Falls ranked first among 259 smaller cities because of its senior-friendly programs, such as its Medicare and state funding for seniors, and booming economy, the Milken Institute said.

Other large cities termed good for seniors include Madison, Wisconsin, Omaha, Nebraska and Boston while seniors looking for smaller cities to call home were directed to Iowa City, Iowa, Bismarck, North Dakota, and Columbia, Missouri.

"The question wasn't 'what's the best place to retire,' but what areas have the best amenities in the future," said Ross DeVol, chief research officer at the Milken Institute and co-author of the study.

DeVol noted that the presence of universities boosted the rankings of some cities. Not only do they offer their educational services to seniors, but residents often benefit from their health services, including specialized forms of health care.

There was "virtually a complete absence" of cities in the Sunbelt region of the southern and southwest United States, which DeVol said was surprising given its popularity with retirees, but was likely because of poor employment.

Still, Gainesville, Florida, made the top ten list among smaller metropolitan areas.

The study also split out the best cities for people over the age of 80, when access to health services, public transportation and cost of living become dominant.

Boston jumped to the top among larger cities for those over 80. Among smaller communities, Iowa City took the lead because of its specialized units for geriatric, hospice, and Alzheimer's services.

The full index can be found here

(Reporting By Joseph O'Leary; Editing by Ros Krasny and Diane Craft)

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Reuters: U.S.: New York City penthouse lists for $100 million

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New York City penthouse lists for $100 million
Jul 31st 2012, 20:57

By Lily Kuo

NEW YORK | Tue Jul 31, 2012 4:57pm EDT

NEW YORK (Reuters) - An 8,000-square-foot penthouse in midtown Manhattan is on sale for $100 million, the most expensive apartment currently on the market in New York and a price that would set a record for the city.

"If someone paid $100 million for this apartment it would be record-breaking, said Ashley Murphy, director of public relations at Prudential Douglas Elliman, which listed the apartment on Friday.

Raphael De Niro, the son of actor Robert De Niro, is one of the agents selling the six-bedroom, nine-bathroom home that sits atop the CitySpire skyscraper near Central Park, Carnegie Hall and Fifth Avenue.

The current record sale price for a Manhattan apartment is about $90 million, paid by an unidentified buyer in May for a penthouse apartment in a luxury residential building just south of Central Park.

That topped a record set in February when it was revealed that family of Russian billionaire Dmitry Rybolovlev bought a Central Park West penthouse for $88 million.

The CitySpire penthouse is a sign of the upward tick in prices of luxury, or "trophy apartments," in New York, which are often snatched up by foreign buyers.

"The higher end seems to be getting higher," Murphy said.

The owner of the CitySpire penthouse, New York real estate developer Steven Klar, originally bought the apartment in 1993 for about $4.5 million and spent almost the same amount renovating the space, he told The New York Times.

De Niro and Klar were not immediately available for comment.

The apartment, outfitted by interior designer Juan Pablo Molyneaux boasts wrap-around terraces for 360-degree views of the city, a formal gallery, a conference room, a separate guest or staff apartment, and a private elevator for its three floors, according to the listing description.

(Editing by Leslie Adler)

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