4 Questions for Julia Letlow

Posted on by Jeremy Alford

Beltway Beat: What’s your take on the revised party platform approved during the GOP Convention, particularly the new abortion language?

Congresswoman Julia Letlow: I think it addresses what it needs to address, and the Dobbs decision made it very clear those decisions need to be made by the states, on the local level. I’m encouraged by the rhetoric coming down from the party and I plan to share that with my constituents.

With so many Louisiana folks playing big roles at the convention, is it a safe bet Louisiana would have unique access to another Trump White House?

Let me put it this way: It’s an awesome time to be from Louisiana and in this delegation! I’ve met with President (Donald) Trump and he wants to be accessible to members of Congress. There’s a lot of excitement in the air.

There are plenty of races going on back home this fall. Do you plan on getting involved in any other elections, aside from your own?

Luke (Letlow) was really great at all of that, but I’m still new to this and navigating that. I want to help good people who want to run, and I’m passionate about recruiting more women to run. There aren’t exactly clear pathways into elected office. The last woman we had serving was Lindy Boggs, and her pathway was similar to mine. I want to work with young girls so they know there can be paths to public service.

What’s on tap for the Appropriations Committee after this break?

We got all of our appropriations bills through the committee, which was a feat in itself. I think we set a record for how fast we moved those bills. I am so encouraged by Chairman Tom Cole’s leadership on that committee. Now we have to get those bills through the floor. I really hope we get these bills through quickly and get back to regular order. 

Convention Chatter (07.17.24)

Posted on by Jeremy Alford

— JML HAS ARRIVED: When is Gov. Jeff Landry going to arrive in Milwaukee for the GOP Convention? That question was answered yesterday afternoon when Landry visited the convention floor wearing an unmissable pink seersucker suit. Not to be outdone, Public Service Commissioner Eric Skrmetta happened to be wearing his own pink seersucker suit.

— SPEAKING OF…: Public Service Commissioner Eric Skrmetta had his moment in the spotlight this week when he was selected to deliver Louisiana’s delegate votes for former President Donald Trump. Some delegates are wondering what might be next for Skrmetta, who’s close to the Trump campaign. Most of those conversations this week seem to eventually land on Louisiana’s 2026 U.S. Senate race, when Sen. Bill Cassidy, a sometimes anti-Trump voice, will be up for re-election.

— A GROWING FOOTPRINT: For many at the convention, networking is the name of the game. That’s the case with Attorney General Liz Murrill, who has spent much of her few days here meeting with attorneys general from other states. She also took meetings with a couple of conservative AG candidates. Murrill told Beltway Beat she will support various bids in the coming months and possibly even visit different states to help with campaigning. It’s all part of Murrill’s role with the National Attorneys General Association, which she has been involved with for the last two terms of state government. Her predecessor, now-Gov. Jeff Landry, previously served as president of the association and he used the role to help build out a national footprint of his own.

— ABOUT TODAY: Delegates gather at 5:45 p.m. for their fourth floor session of the convention. It’ll be another late night of speakers, with adjournment slated for 10 p.m. Elsewhere today, the Log Cabin Republicans, American Jewish Committee and Serbs for Trump all have events on the calendar. Congresswoman Marjorie Taylor Greene also has a book signing this afternoon, among a full day’s worth of other events.

GOP Convention: Mike & Steve Speak

Posted on by Jeremy Alford

7 CORE PRINCIPLES

Speaker Mike Johnson has enjoyed plenty of screen time as chairman of the convention. But last night he had his own speaking slot.

It only took Johnson five sentences to dive into the attempted assassination of former President Donald Trump.

“Everyone hear me clearly and listen to me at home and make no mistake: The House is conducting an immediate and thorough investigation of these tragic events and that work has already begun,” Johnson said.

The speaker also unleashed what may become a calling card: his “seven core principles of American conservatism.”

Johnson noted “individual freedom, limited government, the rule of law, peace through strength, fiscal responsibility, free markets and human dignity.”

While the list is being seen by new eyes this week, Johnson actually drafted the seven principles six years ago when he was working his way up through the Republican Study Committee.

Johnson ended his speech by quoting Abraham Lincoln, who referred to American as “the last best hope of man on the Earth.”

(Quoting the 16th president is a go-to for Johnson, who, when discussing times of reckoning, often cites “the better angels of our nature” from the late president’s inaugural address.)

‘COURAGEOUS UNDER FIRE’

During his roughly five-minute speech before the convention, House Majority Leader Steve Scalise got right to the point and he let folks know where he’s from.

“I was born in New Orleans,.” Scalise said as he opened his speech, “so I’ve seen some crazy things in my time.”

His big soundbite, however, was policy-based, which is what he told reporters over the weekend he really wanted to focus on.

“We will lock down the border and yes we will finish building the wall,” Scalise said to applause.

The majority leader, of course, understands better than most what the president recently suffered, and he wasn’t shy about sharing his thoughts.

“Many of you know I was the survivor of a politically motivated shooting in 2017,” Scalise said. “Not many know that while I was fighting for my life, Donald Trump was one of the first to come console my family at the hospital. That’s the kind of leader he is. Courageous under fire. Compassionate towards others,” Scalise said.”

ARE YOU QUALIFIED?: GOP Convention prompts proxies

Posted on by Jeremy Alford

U.S. House Speaker Mike Johnson, who’s serving as chairman of the Republican National Convention in Milwaukee, will qualify for re-election Thursday via a proxy that will be delivered to Baton Rouge by his daughter Hannah Johnson.

And he’s not the only one. U.S. House Majority Leader Steve Scalise, who spoke at the convention last night, will likewise qualify by proxy today.

Congressman Clay Higgins, a member of the House Oversight Committee who is already carrying out Johnson’s call for an investigation of the shooting of former President Donald Trump, is expected to follow suit this week.

That leaves Congresswoman Julia Letlow as the only GOP incumbent from the Hill who will make the journey back home to personally sign her name.

“It’s a top priority for me to be visible,” Letlow told Beltway Beat. “As you know, I have 42 percent of a new district, so I need to be down there to introduce myself, meet some new folks and make some connections.”

The GOP Convention certainly won’t impact the schedule of Congressman Troy Carter, the lone Democrat representing Louisiana.

Carter spent part of this week in Nevada campaigning for President Joe Biden alongside other members of the Black Caucus, but is back home in New Orleans today for a noon fundraiser at the Four Seasons. (RSVP: Kate Magsamen at 443-243-0552 or [email protected].) Carter, however, chose to qualify by proxy, like his colleagues.

Congressman Garret Graves, of course, has decided not to seek re-election to his old district, which is now a Democrat-majority district due to redistricting.

Jenkins: 1964 GOP Convention launched the modern conservative movement

Posted on by Woody Jenkins

U.S. Sen. Barry Goldwater’s campaign for president in 1964 marked the beginning of the conservative movement. For the first time, Goldwater made the South a battleground not only for himself but for Republican candidates for Congress and local offices.

At the time, Woodlawn High graduate and LSU student Morton Blackwell, now president of the Leadership Institute, was serving as director of the Louisiana Young Republicans. Fewer than 1 percent of Louisiana voters were Republicans, and Morton knew that finding and training young conservatives was the key to building a strong Republican Party.

In 1963, I was a junior at Istrouma High School in Baton Rouge. Morton asked me to serve as the first teenage Republican chairman in Louisiana and to organize teenage Republican clubs across the state.
In those days, delegates to the national conventions were chosen by party officials, and there were few presidential primaries. Morton and I were hopeful Goldwater would win at the Republican National Convention at the Cow Palace in San Francisco.

Morton was selected as a delegate from Louisiana. He told me that if I could get to San Francisco, I could be his page. He said, “You will always remember being the page to the youngest delegate to the convention that nominated Goldwater.” Morton was 24, and I was 17.

However, I had a conflict. The Key Club International Convention was meeting in Dallas, and I was a candidate for international trustee. There would be just enough time to win my election and then jump on a Greyhound bus to San Francisco by myself.

I had saved some money and had just enough for the bus ticket and a few meals but no money for a hotel. I resolved to sleep on the bus all the way to San Francisco.

On stops along the way, I was able to cross the border to visit Juarez, Mexico, and spend a day at Disneyland. After all, I was still just a kid!

I arrived just in time to get to Morton’s hotel, stow my suitcase, and head to the Cow Palace. The convention hall was very much like political conventions today without the high-tech graphics. The excitement was palpable.

The convention featured a classic showdown between conservatives and liberals led by Gov. Nelson Rockefeller and Gov. George Romney. Since I had floor privileges, I had the freedom to walk up to any delegation and introduce myself. Everyone was so kind and welcoming to a 17-year-old boy from Louisiana!

I had met Sen. Goldwater twice already. This time I carried my personal copy of The Conscience of a Conservative, which he was kind enough to sign.

After the convention, Morton and I drove back to Baton Rouge. There was a lot of time to talk about the future of the conservative movement and of our tiny Republican Party back home in Louisiana.

We could hardly have predicted that 60 years later we would both not only be alive but be named as delegates to the Republican National Convention in the strange-sounding year called 2024.

[Editor’s note: This column has been edited for length and style.]

Woody Jenkins served 28 years in the Louisiana Legislature. He currently chairs the East Baton Rouge Parish Republican Party and directs governmental affairs and external relations for Louisiana State Treasurer John Fleming.

Kansas Daily News Wire July 17, 2024

Posted on by Matt Resnick

Welcome to the Kansas Daily News Wire, your daily roundup of top state and political stories from newsrooms across Kansas. — Hawver’s Capitol Report/State Affairs

STATE

Statehouse Briefs: Whisman tapped for high-ranking lobbying post; Schmidt surpasses state’s congressional fundraising record: Katie Whisman, a former 18-year veteran of the Kansas Bureau of Investigation, was recently named to a lead role within the lobbying arm of Husch Blackwell Strategies, a multi-jurisdictional governmental affairs agency. (Resnick, State Affairs)

Storm bringing 70 mph winds cuts power to 10,000+ Topeka homes and businesses: A storm bringing 70 mph winds swept through the Topeka area Tuesday morning, leaving thousands of homes and businesses without electrical power. (Topeka Capital-Journal)

Build Kansas committee says cities must contribute to projects: Entities seeking state money for infrastructure projects must commit to their own matches or provide a solid reason why they can’t, the Build Kansas Advisory Committee said Tuesday. (Richardson, State Affairs)

Wyandotte County to offer home repairs, relocation and counseling for gun violence victims: During a Tuesday press conference, Wyandotte County District Attorney Mark Dupree Dupree announced a new initiative meant to assist crime victims as well as reduce and prevent gun violence in the community. (TheKansas City Star)

LOCAL

Shawnee Mission School District adds language about racist slurs to discipline guide after protests: Racial conflicts reported by Shawnee Mission high school students, in the wake of a fight in the hallways of Shawnee Mission East last fall, have resulted in changes to the district’s student handbooks on conduct and discipline. (KMUW)

Lawrence school board’s spyware renewal leaves student journalists’ concerns unresolved: Former Lawrence High School students say school board members ignored their concerns with privacy, free speech and intellectual property rights by extending the district’s contract with AI surveillance company Gaggle. (Kansas Reflector)

Wonder Workshop celebrates 30 years of serving local children: The Wonder Workshop Children’s Museum celebrated 30 years of serving the Manhattan area on Saturday, which also was the birthday of its late founder, Richard Pitts. (Manhattan Mercury)

Goals related to parks, trails and more added to Overland Park’s 2025 budget: Overland Park has added four additional budget priorities for 2025, focusing specifically on quality of life and mobility.  (Johnson County Post)

From walk-on to MLB draft pick, Wichita State ace Caden Favors selected by Guardians: He began as a walk-on, played for three different head coaches, ascended to stardom and earned his way to becoming a Major League Baseball draft pick. (The Wichita Eagle)

Kansas Food Bank to open a new facility in Garden City: Residents of western Kansas struggling with food insecurity can expect more help in the coming months. (KSN)

Howey Daily Wire July 17, 2024

Posted on by Howey Politics Indiana

Welcome to Wednesday!

Many Hoosier Democrats appear to be content with President Joe Biden remaining atop the Democratic national ticket, Brian Howey of State Affairs writes. And Jarred Meeks reports Democratic attorney general nominee Destiny Wells was critical of an X post by her Republican opponent, incumbent Todd Rokita, following the assassination attempt on former President Donald Trump. More news below. — Howey Politics Indiana/State Affairs

Most Hoosier Democrats still back Biden: At Saturday’s state convention, a unanimous resolution backing the Biden-Harris ticket was passed a little less than three weeks after President Biden’s first debate performance was widely dubbed a disaster. (Howey, State Affairs)

Wells lambasts Rokita’s rhetoric after Trump assassination attempt: Democratic attorney general nominee Destiny Wells criticized Indiana Attorney General Todd Rokita for posting what she considered vitriolic rhetoric immediately after a failed assassination attempt on former President Donald Trump. (Meeks, State Affairs)

STATE

Holcomb breaks ground in Kokomo on first READI 2.0 project: Gov. Eric Holcomb helped break ground on the first project of READI 2.0, a housing development in Kokomo. (Smith, WFIU-FM)

Rokita co-leads 22 states calling on Congress to pass SAVE Act: Attorney General Todd Rokita announced he is co-lead on a letter calling on Congress to pass legislation requiring individuals to provide proof of citizenship when registering to vote. (Howey Politics Indiana/State Affairs)

2024 ILEARN results released: The Indiana Department of Education presented results from the spring 2024 administration of the Indiana Learning Evaluation and Readiness Network. Most grade levels had a slight increase in English/language arts proficiency, while math proficiency slightly decreased following significant growth since the pandemic, according to an email to Howey Politics Indiana/State Affairs.

Appeals court rules Columbus City Council member not a valid candidate, declares 2023 opponent the winner: An Indiana appeals court has ruled that Columbus City Council member Joseph “Jay” Foyst was never a valid candidate and directed a lower court to declare his opponent, Bryan Muñoz, the winner of the District 6 seat. (East, The Republic)

Tomorrow: Indiana Grain Indemnity Corp. meeting — The Indiana Grain Indemnity Corp. will hold a public board of directors meeting tomorrow at 9 a.m. EDT at the Indiana Soybean Alliance Building, 8425 Keystone Crossing, Indianapolis, according to a news release. (Howey Politics Indiana/State Affairs)

State to dedicate shipwreck nature preserve: The shipwreck of the SS Muskegon near Mount Baldy Beach in Michigan City will become Indiana’s second underwater preserve, following the J.D. Marshall Preserve just offshore at Indiana Dunes State Park. (Pete, NWI Times)

Great Lakes steel production rises by 13,000 tons: Steel production rose last week by 13,000 tons in the Great Lakes region, according to the Washington, D.C.-based American Iron and Steel Institute. So far this year, steel production nationally is trailing last year’s pace by 2.5%. (Pete, NWI Times)

Hoosier hospitals ranked among best by US News: U.S. News & World Report recognized five Indiana hospitals among the nation’s best: IU Health University Hospital, Indianapolis; Deaconess Hospital, Evansville; Franciscan Health Indianapolis; Community Hospital, Munster’ and Parkview Regional Medical Center, Fort Wayne. (Brown, Inside Indiana Business)

Fatality reported as at least 3 tornadoes hit northern Indiana: The National Weather Service confirmed at least three tornadoes hit northern Indiana early Tuesday morning, including one that traveled through residential areas in Elkhart. The Lake County Coroner’s Office reported Laura Nagel, 44, died after a tree fell on her home in Cedar Lake. (Montgomery, Browns & AP, WISH-TV)

Hoosier farmers and landowners break conservation record for third year in a row: The latest results from the Conservation Tillage Transect survey reveal that 1.7 million acres of farmland are now under living cover across all crops in Indiana, according to a news release. (Howey Politics Indiana/State Affairs)

Indiana corn, soybean farmers advocate for policy in DC: Members of the Indiana Corn Growers Association and Indiana Soybean Alliance Membership and Policy Committee are advocating for policy in Washington, D.C., this week as they meet with other corn and soybean growers from around the country. (Pfeiffer, Hoosier Ag Today)

LOCAL

Fastpitch Softball World Series expected to generate $9.5 million economic impact in Northwest Indiana: Thousands of visitors are descending on Northwest Indiana this week for the Fastpitch Softball World Series, with games happening across the Calumet Region in a multimillion-dollar boost for the local economy. (Pete, NWI Times)

HUD awards $2.3M to Fort Wayne Housing Authority: The U.S. Department of Housing and Urban Development announced the Fort Wayne Housing Authority will receive $2.3 million to help impoverished residents find and keep stable housing. (Sandleben, WBOI-FM)

LaPorte considers limits on vape, smoke shops: LaPorte officials are looking to discourage the opening of additional smoke and vape shops. (Maddux, NWI Times)

GENERAL ASSEMBLY

Black Legislative Caucus shares teachers’ concerns over proposed high school diplomas: “If these new diplomas go into effect, Indiana students may not meet the basic requirements to enroll in our state universities, and they will most certainly fall short of the requirements needed for out-of-state enrollment,” state Rep. Earl Harris Jr., D-East Chicago, who chairs the Indiana Black Legislative Caucus, said in an op-ed. (Howey Politics Indiana/State Affairs)

CONGRESS

Young joins bipartisan proposal to improve cybersecurity in health care: U.S. Sen. Todd Young, R-Ind., introduced the bipartisan Healthcare Cybersecurity Act to bolster the health care and public health sectors’ cybersecurity in light of recent cyberattacks, according to a news release. (Howey Politics Indiana/State Affairs)

Pence joins calls for investigation into Trump shooting: U.S. Rep. Greg Pence, R-Ind., said multiple House committees will likely investigate how a would-be assassin was able to climb onto the roof of a building less than 500 feet from Donald Trump and fire shots without anyone stopping him. (Bergquist, WISH-TV)

Congressional schedule: The House and Senate are out.

CAMPAIGNS

Chambers, Doden topped Braun’s spending in $48M Republican race: U.S. Sen. Mike Braun’s wide victory in the Republican gubernatorial primary came even as he finished third in campaign spending for the race. (Davies, State Affairs)

Here is who’s running for office in Indiana this year: State political party conventions have ended, and the list of candidates running for office at the top of Indiana ballots is now finalized. (Appleton, State Affairs)

Today: McCormick at Fort Wayne town hall — The Allen County Democratic Women’s Club will host a town hall focusing on reproductive rights with Democratic gubernatorial candidate Jennifer McCormick. The event will begin at 7 p.m. EDT at the Allen County Public Library, 900 Library Plaza, Fort Wayne. (Martin, WXKE-FM)

Banks tells RNC: ‘No time for wimpy Republicans’ — During his address at the Republican National Convention last night, Indiana GOP senatorial candidate U.S. Rep. Jim Banks said of Republicans who aren’t supporting Trump’s 2024 candidacy: “This is no time for wimpy Republicans.” (Dwyer & Carloni, IndyStar)

RNC: GOP platform promises funding cuts for ‘woke’ schools, no teacher tenure, school choice for all — Formally adopted by delegates at the Republican National Convention, the platform calls for expanding parental rights and school choice, promoting career training and “patriotic” civics education, and beefing up student discipline. (Chalkbeat)

PRESIDENTIAL 2024

House Democrats warn DNC against moving ahead with virtual roll call to nominate Biden: House Democrats are warning the Democratic National Committee not to go ahead with its plan to formally nominate President Biden through a virtual roll call a month before the August convention. (The Hill)

NATION

White House schedule: President Joe Biden is in Las Vegas and will receive the Daily Brief at 10 a.m. After noon, he will participate in a radio interview with Univision and deliver remarks at the UnidosUS Annual Conference. Then he will participate in a community event before departing for Rehoboth Beach, Delaware. Vice President Kamala Harris in the afternoon will fly to Kalamazoo, Michigan, where she will deliver remarks at two political events before returning to Washington, D.C., in the late afternoon.

More motions filed under the cover of secrecy in Phoenix Solutions case

Posted on by Erik Schelzig

Cade Cothren, the onetime chief of staff to House Speaker Glen Casada, has been granted the authority to make yet another filing in his bribery and kickback case that will be kept from the view of his co-defendant or the public.

Cothren and Casada are awaiting a federal trial over allegations that they obscured their roles in the operation of a political vendor called Phoenix Solutions that received taxpayer funds to design and send constituent mailers for Republican lawmakers. Cothren and Casada were forced out of their positions leading the state House in 2019 amid a racist and sexist texting scandal and member pushback against their heavy handed management of the chamber.

U.S. The District Judge Eli Richardson agreed to the request to file the ex parte motion, saying: “it is clear that the interests in favor of sealing the document outweigh the legitimate interests of the public or the government in accessing the sealed document.”

Cothren lawyer Cynthia Sherwood said secrecy was necessary to preserve attorney-client privilege and her client’s privacy. SImilar requests were granted in January and March. Richardson in April found Cothren to no longer be able to afford his legal team. The judge chose Cothren’s existing lawyers as his court-appointed attorneys for the remainder of the case.

The trial had originally been scheduled for October 22. It was then delayed for a year before it was then moved again to March of this year before being shoved off until Nov. 6.

Ex-Rep. Robin Smith, a former Tennessee Republican Party chair from Hixson, was also charged in the case. She pleaded guilty and is cooperating with investigators. 

We are nearing Fed rate cuts

Posted on by Michael Hicks

MUNCIE, Ind. — The past three months of economic data offer an increasingly clear picture to Federal Reserve policymakers wrestling with the moment to begin cutting interest rates. The next meeting to consider rate cuts occurs July 30 and 31. It is possible the Fed will cut rates at that meeting. Instead, it might hold rates constant until the September 17-18 meeting.

I prefer a July rate cut, with a couple caveats.

The Federal Reserve is tasked with controlling the supply of money by setting borrowing rates for banks and buying or selling government debt. By lowering borrowing rates and purchasing government debt, the Fed increases the money supply. That causes a short-term increase in economic activity as businesses and consumers sense increased demand for goods.

The Fed slows short-term economic activity by raising rates and selling government bonds. That causes businesses to pay more for capital and consumers to pay more for borrowing to buy cars and homes. Those changes to the money supply really affect only the short run. You cannot make the economy grow over the long run by changing the money supply.

Getting all that right is devilishly hard, if not impossible.

The Fed has about 600 economists studying national and local economies. They read studies, convene conferences and solicit economic advice from various sources. They also collect comments from local business leaders, who might have a better handle on up-to-date changes on local conditions than economists looking at data that are weeks or months old.

The Fed also runs more than a dozen forecasting models and watches dozens of other models run by economists around the country. It creates and monitors new data sources, like the Atlanta Fed’s “GDP Now,” which is a constantly updated estimate of the nation’s gross domestic product. The Fed also monitors frequently updated data products, like the Sahm Rule for recessions and the University of Michigan’s Consumer Sentiment Survey.

All this work is done transparently, with formal public statements. Fed economists speak publicly about their models, publish them in journals and often move in and out of universities.

The Fed sees what the rest of us see but with 600-plus sets of eyes all over the country. So, what are they seeing?

First, Fed economists are looking at inflation. The whole of their efforts for more than two years has been to restrain inflation enough that we don’t plunge the economy into recession. What they’re now seeing is inflation slowing dramatically. As of the June release, the U.S. actually slipped slightly into the deflationary range with the Fed’s preferred measure of inflation.

Over the past three months, the average annual growth rate is at 2.4%, or just inside the targeted rate of 2% to 2.5%. There are several reasons for this target. First, if inflation is pushed too low, the economy will slow too much and we could slip into a recession. So, it is better to accommodate some modest inflation.

The Fed also knows that measuring inflation isn’t a perfect business. In particular, it is difficult to include quality improvements in products in the inflation measure. Deflation is far riskier than inflation, so it is important to remain safely above zero.

There will be one more measure of personal consumption expenditure data released before the July Fed meeting. If it is low, or even modestly negative like it was last month, that will at least trigger the Fed to say it expects to cut rates in September. If it is high, say above 2.5%, we should expect them to hold off on rate cuts past their September meeting.

The Fed also looks at economic growth, which has been sustained but slowing in recent months. Labor markets have remained strong, with American businesses creating between 160,000 and 310,000 jobs per month for the past year.

Gross domestic product growth also has been surprisingly strong over the past year. The U.S. is clearly outpacing other developed nations in the value of goods and services we produce. The Fed’s forecast is for us to end 2024 with 2.1% GDP growth in 2024 (inflation adjusted), dropping to 2% in 2025. By comparison, the economy in 2017-2020 grew at an average annual rate of 1.8%.

This strong economic growth allows the Fed to delay reducing interest rates until it is more certain about inflation. Remember, the senior Fed economists are mostly in their 50s and 60s and attended graduate school in the 1980s. At the time, inflation had plagued the U.S. economy for two decades. In 1990, the consumer price index had been under 2.5% only for a few months in 20 years. Throughout the 1980s, it averaged 6.4%, compared with 4.4% since the COVID-19 pandemic.

Fed economists are rightly concerned with inflation. With unemployment rates at more than 50-year lows, there’s little in the macroeconomic data to suggest risk of a recession. It is difficult to find real data that indicates economic or financial stress in the country.

Delinquency rates on credit card loans sit at 3.16%, well below the 30-year average of 3.73%. Mortgage delinquency rates are at 1.71%, a low point since the summer of 2006. Household debt payments, as a share of family disposable personal income, are lower now than at any time from 1980 to the pandemic. Wages are up more than 4.08% from this time last year, while inflation is up 3.25%.

In other words, all the talk of a crashing, risk-filled economy where people are struggling is unsupported by actual data. The adults at the Fed are worried about data.

However, the strong performance of the domestic economy is not an absolute brake on the Fed lowering interest rates. In fact, several prominent economists, including Claudia Sahm, have argued the risk to inflation by cutting rates is very modest. Rather, the risk to further weakening labor markets when inflation is now so modest should be the Fed’s focus.

I agree.

Absent a hot inflation report in late July, the Fed should cut interest rates a quarter point at its July 30-31 meeting. It should also make clear it is unlikely to cut rates in September. A modest reduction in interest rates would signal we have entered a period of declining borrowing costs. I haven’t seen a single study or heard a single economist suggest such a modest cut would endanger the fight against inflation.

Michael J. Hicks, Ph.D., is the director of the Center for Business and Economic Research and the George and Frances Ball distinguished professor of economics in the Miller College of Business at Ball State University. Contact him at Michael Hicks, [email protected].

Insider for July 17, 2024

Posted on by NC Insider

YOU DON’T SAY

“A political party is intended to be more than a transitory entity designed to be a vehicle for a single candidate.”

Siobhan Millen, a Democratic member of the State Board of Elections, on Robert F. Kennedy Jr. and Cornel West’s attempts to appear on the ballot. (The News & Observer, 7/16/24)

Third Parties

Kyle Ingram, The News & Observer, 7/16/24

Robert F. Kennedy Jr. will appear on North Carolina’s 2024 ballot as a presidential candidate, the State Board of Elections decided on Tuesday.

However, the board voted to deny ballot access to left-wing candidate Cornel West. In a 4-1 vote, the board voted to recognize Kennedy’s “We The People” party. As for West’s “Justice For All” party, the board voted 3-2 to deny certification, with the board’s Democratic majority carrying the vote.

Despite initially voting against Kennedy last month, two Democrats joined the board’s Republican minority to approve We The People.

Board Chair Alan Hirsch said he was reluctantly voting in favor of the party, though he believed there had been “subterfuge.” However, West’s campaign raised too many questions about where signatures came from and whether signers were adequately informed about the purpose of his new party, the board’s Democrats said. They also said an investigation into potentially fraudulent signatures is ongoing.

The board’s Republicans disagreed with that decision — with member Stacy “Four” Eggers noting that the party had passed the threshold of signatures required to form a new party.

“I do think this board is making a tragic error in not deferring to the verified signatures that have been determined through our county board process,” he said.

The board has faced a wave of criticism from Republicans and independents since it initially voted to deny ballot access to Kennedy and West last month.

State lawmakers, advocacy groups and even congressional leaders accused the board’s Democrats of trying to boost President Joe Biden’s reelection campaign by eliminating third-party challengers.

“The actions today from the Democrat-majority NC State Board of Elections confirms our belief they were explicitly acting out of political expediency for Democrats and Joe Biden,” NC GOP Chair Jason Simmons said in a statement on Tuesday.

When board members initially voted against certification last month, they expressed concerns about petition-gatherers misleading people into signing and about voters who asked for their signatures to be removed. They also stressed that their decision was not final and they would vote again after further investigation.

“I am going to reluctantly vote to recognize We The People even though I believe there has been subterfuge,” Hirsch said. “… I think that it is such a close call, that ultimately a court would have to decide it. And therefore, I’m not sure if the board should be the one that is standing in the way.”

Siobhan Millen, a Democrat, voted against recognizing the party, saying that Kennedy was circumventing state law by trying to create a new political party for the sole purpose of achieving ballot access for his presidential campaign. “A political party is intended to be more than a transitory entity designed to be a vehicle for a single candidate,” she said.

State law provides for a different process for unaffiliated candidates to appear on the ballot and requires a much higher signature threshold than the process for recognizing new parties. Millen also noted that Kennedy and West had achieved ballot access in other states under different third parties.

Board members last month noted concerns about the fact that Justice For All allowed outside groups to gather signatures for the party. One of those groups, called People Over Parties, drew particular attention from the board. Hirsch said the leader of that group refused to comply with a subpoena.

Staff for the board attempted to contact a randomized list of 250 Justice For All petition signers. They were only able to reach 49. Eighteen of those signers said they did not actually sign the petition and three said they didn’t remember if they signed it. Several more signers said in interviews with board staff that they were not told the purpose and intent of the party.

“Given that 50% and more of these signatures (in the sample) are highly questionable — if that were applied to the total, it would bring them well below the requirement of signatures,” Hirsch said.

Republicans on the board said these statements could not be used to make broader generalizations about the party’s petition process. “Not in the history of my knowledge of this board have we ever taken a random sample, then extrapolated that polling to try and undo a decision that we’ve had before us,” Eggers said. [Source]

 

Elections Board Ad

Kyle Ingram, The News & Observer, 7/16/24

A new group that says it wants election integrity is spending hundreds of thousands of dollars on ads in North Carolina targeting the State Board of Elections for blocking independent presidential candidates from ballot access.

The group, called The Fair Election Fund, will spend $200,000 on digital ads and billboards that accuse the board’s Democratic members of having “blocked your voting rights by blocking Biden’s competition from the ballot.” The board, through a spokesperson, declined to comment on the ad campaign.

The campaign comes as conservatives and independents have railed against the board’s Democratic majority for initially denying certification to Robert F. Kennedy Jr. and Cornel West’s new political parties. The group announced the campaign hours before the elections board voted Tuesday to approve ballot access for Kennedy’s party, while continuing to deny a ballot spot for West’s party.

“They will not get away with this blatant Biden bailout and we will not rest in the fight to stop this hypocritical attempt at election interference,” former U.S. Rep. Doug Collins, a Georgia Republican and a senior adviser to the Fair Election Fund, said in a statement.

The fund, which is referred to as a nonprofit in a press release, only launched a few months ago and does not currently appear in the IRS database for nonprofits. It also does not show up as a registered business entity in Pennsylvania, the state where the group is located, per a press release.

The group’s website does not include information on who works for it, and Collins is the only leader for the fund that has been quoted in statements.

When the Fair Election Fund first launched in May, it said it was seeking input from anyone who was an “election worker, organizer, or concerned citizen who has seen corruption in our elections firsthand.” Anyone who reported fraud could get paid from the group’s $5 million fund, it said. [Source]

 

Clemmons Resignation

Brian Murphy, WRAL News, 7/16/24

Rep. Ashton Wheeler Clemmons, a Democrat from Guilford County, resigned Tuesday from her seat in the North Carolina House of Representatives. She was the No. 2 Democrat in the House.

Clemmons’ resignation comes one day after Republican Rep. Jason Saine announced his resignation, effective Aug. 12. Clemmons is the third House member to resign from the legislature this year, following Rep. Jon Hardister and Saine.

Clemmons is taking a policy position in the University of North Carolina System. She will be the associate vice president of P-12 strategy and policy. She has been in the House since 2019. “It has truly been a great honor to serve the people of Guilford County,” she said.

Clemmons was an elementary school teacher, a principal and a central office administrator before being elected to the House in November 2018.

“Representative Clemmons came to the General Assembly for the right reasons — she wanted to help the people of our state,” said Rep. Robert Reives, the House’s Democratic leader. “She has authentically stayed true to that calling.” [Source]

 

Candy Expansion

Clifton Dowell, State Affairs Pro, 7/16/24

Officials ranging from county commissioners to members of Congress gathered in Hillsborough on Tuesday to celebrate the expansion of a Japanese confectionery company’s Orange County operations.

Commerce Secretary Machelle Baker Sanders said Morinaga America Foods, Inc., will expand its current operations in Mebane, investing $136 million and creating more than 200 jobs. Morinaga America’s parent company opened the Mebane facility — its first outside of Asia — in 2015 to produce its popular HI-CHEW candy, Sanders said. 

“More candy, more jobs. What better setup is that?”

The company received a performance-based grant of $100,000 from the One North Carolina Fund to facilitate the expansion, contingent on an investment of $115.4 million and the creation of 40 jobs. The average salary for those tracked jobs will be $67,075, according to a news release from the office of Gov. Roy Cooper.

“Over the past few years, we have had and seen unprecedented growth from our Japanese business partners,” Sanders said. More than 30,000 North Carolinians go to work every day at one of the 225 Japanese-owned companies operating in the state, she said.

U.S. Rep. Valerie Foushee said she remembers county staffers laying the groundwork for economic growth during her time on the Orange County Commission, and that during negotiations to open the Mebane plant Morinaga had promised to add more jobs later. 

“True to that promise, here we are today talking about an additional 204 jobs,” Foushee said.

The news release from Cooper’s office noted that since he and Sanders led a North Carolina delegation to an economic development conference in Tokyo in 2023, Japanese companies have announced 4,379 new jobs in the state. Those companies include Toyota, Fujifilm Diosynth, Dai Nippon Printing, Kyowa Kirin and Morinaga. 

“North Carolina continues to attract large investments from companies in Japan because we offer the advantages they look for,” Cooper said in the news release. “It was great to visit with Morinaga’s leadership when I was in Japan and it’s clear that the relationships we’ve made, along with our great workforce, infrastructure and quality of life, continue to bring good jobs to our state.”

In April, Cooper hosted Japanese Prime Minister Fumio Kishida. In October, the Southeast U.S./Japan Association economic conference will be held in Charlotte. 

Sen. Graig Meyer, D-Orange, said the Legislature seeks economic development opportunities large and small. “This is a great example of an international partnership that does play out in a small town, in a small area,” he said. “It’s a lot of jobs for a very small part of Orange County.”

Looking ahead, the hope is to see economic growth expand into all parts of the state. “The I-40 corridor between the Triangle and the Triad is going to fill up with amazing business opportunities,” he said. “We hope that will spur economic development along the Virginia border where we’ve got some relatively struggling counties. They can get the benefit of the roll off.”

Medical Devices

Jack Hagel, WRAL News, 7/16/24

Japanese medical device maker Nipro Corp. is poised to announce a roughly $400-million expansion that is expected to bring more than 230 jobs to Pitt County.

The Osaka, Japan-based company has been the subject of incentives discussions with state and local officials, people familiar with the company’s plans told WRAL on Tuesday. An announcement on the deal is expected as early as Wednesday.

The Pitt County Board of Commissioners met last month to consider economic development incentives related to the project, dubbed “Project Bluefin,” which would be on land currently owned by the county. The county approved tax breaks worth up to $9 million for the project, which would be built in phases over seven years, according to county records that don’t identify the company.

The company expects to create 232 jobs that would pay an average annual salary above Pitt’s current median average wage of $50,937, county records show.

Officials with the North Carolina Department of Commerce scheduled a special meeting for Wednesday. The department’s Economic Investment Committee is expected to discuss one or more economic development projects at the meeting. A commerce spokesman declined to disclose details about the agenda.

Economic development deals tend to be highly secretive; companies request anonymity as they weigh expansion plans, negotiate with state and local governments and work to line up real estate. Information about such deals are often exempt from open records laws.

Nipro’s expansion would be the latest in Pitt County, and another win for the BioPharma Crescent, the five-county region in Eastern North Carolina that is home to a large cluster of biotech and pharmaceutical manufacturers. [Source]

Fundraising Reports

Colin Campbell, WUNC Radio, 7/16/24

Attorney General Josh Stein has raised more than double the contributions made to his Republican opponent, Lt. Gov. Mark Robinson, in the latest campaign finance reports.

The reports — which cover the period from February to the end of June — show Stein raising a total of $13.8 million during that period. The Democrat’s campaign has raised a total of $32.9 million, well ahead of the $19.3 million that Gov. Roy Cooper had raised by this point in the 2020 election cycle.

Robinson reported raising $5.07 million in the latest campaign finance reports, for a total of $15.8 million in his campaign for governor. The total far exceeds the $6.9 million raised by 2020 Republican gubernatorial candidate Dan Forest at this stage of the election.

Outside groups are expected to spend even more, making it likely that this year’s race for governor will be the most expensive in North Carolina history. In addition to their campaign organizations, both Stein and Robinson will benefit from fundraising by what are known as Council of State affiliated committees, which can accept contributions of unlimited sizes.

Democrats are also raising more money than their Republican opponents so far in other key statewide races, including lieutenant governor and superintendent of public instruction. In the superintendent race where Michele Morrow upset incumbent Superintendent Catherine Truitt in the Republican primary, Democrat Mo Green has raised nearly four times as much money as Morrow.

Reports show relatively few major GOP donors have contributed to Morrow since her primary victory, while national attention for the candidate’s old social media posts about executing Democrats has resulted in a major fundraising haul for Green.

Businessman and private school operator Bob Luddy, Raleigh developer John Kane and their spouses — along with High Point doctor Lenny Peters — are the only donors who have given the maximum contribution to Morrow.

Green’s maximum contributions came from Ann Goodnight of SAS Institute, Raleigh businessman Dean Debnam, California philanthropist Elizabeth Simons and Replacements, Ltd., Chairman Bob Page.

The GOP, however, holds fundraising advantages in races for state treasurer, state auditor and agriculture commissioner. And in the state’s only toss-up congressional race, Democratic incumbent Congressman Don Davis raised $1.02 million in the second quarter, while Republican Laurie Buckhout raised $704,439.

Money isn’t always a sign of a successful campaign: Many of the top fundraisers in past elections have gone on to lose in November.

Here’s a look at fundraising numbers from the latest campaign finance reports for other statewide races.

Lieutenant Governor:

  • Democrat Rachel Hunt: Raised $963,985, for a total of $1.9 million
  • Republican Hal Weatherman: Raised $404,871, for a total of $929,847

Attorney General:

  • Democrat Jeff Jackson: Finance report not posted as of Tuesday
  • Republican Dan Bishop: Raised $1.4 million, for a total of $2.98 million

Superintendent of Public Instruction:

  • Democrat Mo Green: Raised $667,132, for a total of $975,545
  • Republican Michele Morrow: Raised $206,974, for a total of $255,293

State Treasurer:

  • Democrat Wesley Harris: Raised $418,411, for a total of $819,403
  • Republican Brad Briner: Raised $544,078, for total of $1.4 million

Insurance Commissioner:

  • Democrat Natasha Marcus: Raised $281,092, for a total of $427,346
  • Incumbent Republican Mike Causey: Raised $38,035, for a total of $228,662

State Auditor:

  • Incumbent Democrat Jessica Holmes: Raised $134,259, for a total of $177,490
  • Republican Dave Boliek: Raised $480,853, for a total of $1.01 million (of note: after a competitive May runoff, Boliek’s campaign only had $62,474 on hand by the end of June)

Secretary of State:

  • Incumbent Democrat Elaine Marshall: Raised $298,483, for a total of $480,428
  • Republican Chad Brown: Raised $36,425, for a total of $94,199

Agriculture Commissioner:

  • Democrat Sarah Taber: Raised $165,180, for a total of $233,233
  • Republican Incumbent Steve Troxler: Raised $140,970, for a total of $335,916

Labor Commissioner:

  • Democrat Braxton Winston: Finance report not posted as of Tuesday
  • Republican Luke Farley: Raised $121,370, for a total of $309,137

N.C. Supreme Court:

  • Democratic Incumbent Allison Riggs: Raised $650,109, for a total of $1.11 million
  • Republican Jefferson Griffin: Raised $463,887, for a total of $1.36 million [Source]

 

RNC Safety

Danielle Battaglia, McClatchy, 7/16/24

At the Republican National Convention, it’s nearly impossible for a North Carolina delegate or alternate to go anywhere without being reminded of the near-assassination of former President Donald Trump.

Republican National Committee Chairman Michael Whatley told the North Carolina delegates Monday morning that 50,000 people are attending the convention, making it the largest ever held. There are several layers of security perimeters around the convention site, a large police presence, and precautions for allowing cars anywhere near the facilities; it took anywhere from two to four hours to reach parking garages Monday afternoon.

“We were sickened,” said Jason Simmons, North Carolina’s Republican Party chairman. “You’re scared and you’re afraid to see what happened.” Simmons was gathered with several members of North Carolina’s delegation at their convention hotel when they learned Trump had been shot. They watched the television coverage together in horror. He said they were grateful to see Trump get up, but their hearts break for the family of 50-year-old Corey Comperatore, who was killed, and the two others who were seriously injured. “We’re grateful that President Trump is safe, and that he’ll be with us, and then we’ll be able to celebrate and to be able to put forward again, as we just did, on the floor our nomination for Donald J. Trump to be the next President of the United States,” Simmons said.

As the state’s party leader, Simmons not only attends dozens of rallies across the state and country, but he also takes part in putting them together. He said he’s always grateful for the local and federal law enforcement officials who work during these events. “And you’ve never given a thought about your own safety, because you’ve got such a (police) presence there,” Simmons said.

Simmons said he’s looking to find out what the investigation uncovers about weaknesses and failures, and to make sure safety and security is at the forefront of future events.

On Monday, Sen. Thom Tillis of North Carolina was one of nine senators requesting that the Senate Judiciary Committee hold a hearing on what led to the near-assassination. The committee oversees the Secret Service, Homeland Security and FBI.

State Rep. Jarrod Lowery of Lumberton is in Milwaukee for the convention this week. He initially joked that he isn’t worried about his own safety because he’s from Robeson County, but then he got serious. “I have thought about it,” Lowery said. “It’s one of those thoughts you have from time to time.”

“I think I’m fine,” Lowery said. “But you just never know.” [Source]

Harris Event

Beth Hutson, The Fayetteville Observer, 7/16/24

Vice President Kamala Harris will be in Fayetteville this week, the Biden-Harris Campaign said Monday. The vice president is scheduled to make remarks at a campaign appearance in Fayetteville on Thursday, the campaign said in an email to media Monday. No further details were available.

Last week, Harris was in Greensboro, speaking at James B. Dudley High School, the first Black high school in Guilford County.

The vice president was last in Fayetteville on the eve of the 2020 election, when she made a campaign stop at Fayetteville State University on Nov. 1, 2020. [Source]

 

Leadership Academies

Emmy Martin, The News & Observer, 7/16/24

Shaw University will replace St. Augustine’s University as the higher-education partner for Wake County’s two early college leadership academies, the school board voted unanimously Tuesday.

Students in the Wake Young Men’s Leadership Academy and Wake Young Women’s Leadership Academy previously took tuition-free college courses at St. Aug’s. But the Wake school board voted in March to end its partnership with St. Aug’s at the close of last school year because of the school’s financial and accreditation struggles.

“I cannot be more excited to have Shaw University as our partner,” school board member Sam Hershey said. “They are everything that our families, our students and our staff are looking for. They are incredibly enthusiastic about this partnership and presenting opportunities for us to grow with them, particularly on the leadership side.”

The school district is on track for the Shaw academies in the 2025-26 academic year, thanks to a bill passed by the legislature and signed into law by Gov. Roy Cooper that allows a new early college partner and the continuation of state funding under North Carolina’s Cooperative Innovative High Schools program.

For the upcoming school year, students will take early college courses at Wake Technical Community College while preparations continue for the 2025-26 year. The academies will follow the Wake Tech calendar for the 2024-25 school year, with students’ first day of class being Aug. 7.

Administrators narrowed the list of contenders for the next partner down to N.C. State University and Shaw last month after meeting with administrators from the two schools, along with N.C. Wesleyan University, Wake Tech and William Peace University.

Seydric Williams, Northwestern Area Superintendent for the school system, said key contributors in the decision to select Shaw included courses offered on campus, leadership development opportunities, university amenities the students will have access to, academic support and proximity to the academy main campuses. [Source]

Mission/HCA Suit

Joel Burgess, Asheville Citizen Times, 7/16/24

Buncombe County can’t join a suit against HCA-owned Mission Health in which the county hoped to recover $3 million in Emergency Medical Services it said it spent caring for patients not helped in the hospital.

The judge’s July 9 decision against the county is part of the high-stakes lawsuit over whether the massive for-profit HCA reneged on the deal it made when it bought the nonprofit Asheville-based Mission in 2019. North Carolina Attorney General Josh Stein brought the suit in 2023, saying HCA failed to maintain promised levels of care in cancer treatment and emergency services. HCA has said maintaining such levels of care was not part of the Asset Purchase Agreement.

In more recent action, Stein filed a July 12 motion against HCA’s attempt to depose him, saying state rules shield high-ranking government officials from having to give out-of-court sworn testimony except under “extraordinary” circumstances. Stein is the Democratic candidate for governor, running against Republican Lt. Gov. Mark Robinson.

The case, which was originally filed in Buncombe County, has moved to N.C. Business Court in Greensboro because of its complex nature.

Responding to the order against them by Judge Juliana Theall Earp, county officials said the decision was not a rebuke of their arguments. Rather, the problem was the county and Stein were seeking different things, they said: the county wants money, while Stein wants a court order changing how HCA operates.

“The business court denied our motion to intervene mainly because the AG’s complaint seeks injunctive relief to require HCA to comply with the Asset Purchase Agreement while the County sought the same plus monetary damages,” county spokesperson Lillian Govus told the Citizen Times on July 15.

Asked if there was a way for the county to recover the $3 million, Govus said, “We’re not certain one way or the other at this time.” [Source]

 

VinFast Investment

Ray Gronberg, Business NC, 7/16/24

The state has spent $95.7 million of the $450 million legislators set aside in 2022 to entice Vietnamese company VinFast to build an electric vehicle factory near Moncure in Chatham County.

The budget bill authorized the N.C. Department of Commerce to spend up to $125 million to reimburse VinFast for site work, road work and wetlands mitigation. Of that, the department’s paid out $51.7 million, spokesman David Rhodes said. He added that the company has until the end of 2026 to seek reimbursements under that part of the deal.

There was another $250 million set aside for Commerce and the N.C. Department of Transportation to upgrade the roads to the factory (much as DOT is doing for the Toyota battery factory near Liberty). Of that, DOT has spent $28.4 million as of Monday, department spokesman Aaron Moody said.

The remaining $75 million was to become a grant to the city of Sanford to pay for water and sewer upgrades. Of that, $15.6 million has been paid out, Rhodes said.

Those numbers are pertinent because VinFast officials have announced that they’re delaying the intended start of manufacturing at the Moncure facility until 2028. The postponement is the second VinFast has announced since state officials recruited it — and a potential 7,500 jobs — in 2022.

The company was originally supposed to start making battery-powered SUVs there later this year, but that got put back to 2025. But given that VinFast is a new entrant in the car-making game, founded in 2017, there’s been skepticism about its ability to deliver. And it’s fair to say that in some quarters — looking at you, Locke Foundation — there are people openly rooting for it to fail.

But in the halls of the Capitol, the general attitude seems to be nothing ventured, nothing gained.

Legacy automakers aren’t building assembly plants in North Carolina because they already have all they need elsewhere in the country, and then some. And if the VinFast project falls through, well, the upgraded Chatham megasite will remain, likely as a top prospect for recruiters. The state holds a 12-year option on the VinFast site good through 2034 that says it can acquire ownership if the company doesn’t meet its agreed-on schedule and benchmarks.

That wouldn’t come free, as the state would have to pay the lesser of $175 million or VinFast’s purchase and site-prep costs net of any incentives it’s received. There’s also a $316.1 million JDIG attached to the project, but none of that has been paid out yet as it’s tied to job creation and investment targets. [Source]

 

Smell Searches

Evan Donovan, WSOC News, 7/15/24

A new filing with the North Carolina Supreme Court argues police shouldn’t be able to search your car based on what they smell. If the argument is successful, it could have a big impact on future cases and current inmates.

It started with a man from Durham who says he wouldn’t have pled guilty to a gun crime if officers hadn’t searched his car. His attorneys argue that since hemp is also legal in North Carolina, it’s impossible for a human to smell the difference between legal and illegal cannabis.

In a court filing on Thursday, his attorney challenged an appeals court ruling that was made in April. They argue that police officers shouldn’t be able to establish probable cause to search a car based on the smell of marijuana and a “cover scent.”

One local attorney in the Charlotte area referred to that as an “odor-plus” policy. “For the Charlotte-Mecklenburg Police Department, they specifically have a policy that states you cannot arrest or search just for the smell of marijuana or what’s called the odor alone,” Lauren Newton told Channel 9′s Evan Donovan. “It has to be odor-plus. And this is kind of an internal policy, obviously not state law.”

Newton is the attorney who represents Christina Pierre, the woman who was punched more than a dozen times by police during her arrest in November. CMPD officers claimed to smell her and her fiancé smoking marijuana at a bus stop near a southwest Charlotte Bojangles. Newton agrees with the Durham man’s attorney.

“Every police department is different, and unfortunately the criminal laws have not caught up with the hemp laws. So it is impossible to distinguish the smell of illegal marijuana with legal hemp products such as THC-A, which is not the same as marijuana,” Newton said.

The Durham man claims police shouldn’t be able to search a vehicle based on those smells, saying in the filing, “The issues raised here cut straight to the heart of one of the most sacred of our constitutional protections: the right to be free from unwarranted government intrusion in one’s personal life.” [Source]

 

Educator Prep

Hannah Vinueza McClellan, Education NC, 7/15/24

The State Board of Education’s virtual meeting last week included multiple discussions related to educator preparation and licensure — including the approval of a portfolio assessment for principals.

The 2023 budget directed the Department of Public Instruction (DPI) to create a portfolio-based assessment for principal licensure. This change was recommended by DPI.

On Thursday, the Board approved the North Carolina Principal Portfolio Assessment (NCPPA), created by a task force on principal standards, licensure, and evaluation. The task force researched the portfolio-based assessment system and met from January 2024 to May 2024. Five states are currently implementing a portfolio assessment, the task force found.

“The most viable choice was to leverage an existing state-specific assessment (CalAPA) and work with Pearson to contextualize to North Carolina needs,” DPI’s presentation says.

According to state law, principal candidates who have “completed at least one course as part of a master’s degree program or a post-master’s certificate designed for school administrators that was offered by an educator preparation program approved by the State Board of Education” by Aug. 31, 2024, will not be required to take the new assessment.

In an 8-3 vote, the Board also recommended removing a preprofessional skills assessment as part of the criteria to enter an educator preparation program (EPP). The Board will include the recommendation in its legislative agenda for an upcoming legislative session. [Source]

Class Recordings

Emmy Martin, The News & Observer, 7/16/24

After a professor’s classes were recorded this spring without his consent, some members of the UNC-Chapel Hill faculty called on the university to create a policy regarding such recordings. Now, the university is taking steps to create one.

Provost Chris Clemens said he supported developing a formal policy governing the secret recording of professors’ classes in a May 20 Faculty Executive Committee meeting. He confirmed plans to create such a policy in a statement to The News & Observer on Monday.

The demand comes after the Kenan-Flagler Business School recorded several of economics professor Larry Chavis’ classes unbeknownst to him, a move that has generated conversation in the media and among the university community.

In an April 22 letter that Chavis posted on LinkedIn, Christian Lundblad, senior associate dean for faculty and research at the business school, informed him of the recording and that the school was reviewing his “class content and conduct” following reports of concern. Chavis’ teaching contract, which expired on June 30, was not renewed following the incident.

Faculty Chair Beth Moracco brought up Chavis’ situation to the Faculty Executive Committee on Thursday, saying the university needs to create an institutional policy on classroom surveillance “because there is no existing policy about these types of recordings.”

At the May 20 Faculty Executive Committee meeting, committee member and law professor Andy Hessick brought up North Carolina’s status as a one-party consent state, which means it is legal to record a conversation if one person within that conversation consents to it.

“I keep looking through North Carolina law, criminal and civil laws, on recording conversations and it’s just not obvious to me that it’s legal,” Hessick said. “It probably is, but it’s not obvious because it says you have to have one party to the conversation consent to the recording.”

While UNC does not have a formal policy, the university’s listed Best Practices for Recording Classes state that recordings of classes should only be available to students in the course. It also says that students cannot record a class unless they have an Accessibility Resources and Services accommodation or prior authorization from the university.

In a statement to The N&O, Clemens said he will work with faculty thoughtfully to develop a “transparent policy for the use of video cameras in classrooms.” [Source]

Discrimination Lawsuit

DJ Simmons, WFDD Radio, 7/16/24

A federal lawsuit alleges a contractor at the Greensboro-Randolph megasite committed safety violations, retaliated against whistleblowers and engaged in racial discrimination. In January 2022, Ames Construction was awarded nearly $18 million to build a Toyota battery plant at the site.

Lawyers for Vick Companies, a minority subcontractor, say their employees began reporting safety violations that year. The suit, filed in June, says they then faced racial discrimination and retaliation from Ames Construction.

An internal investigation by the North Carolina Department of Transportation, or NCDOT, concluded in 2023 that the construction company engaged in discriminatory acts. It recommended the case be turned over to the agency’s general counsel. But the suit alleges NCDOT failed to take adequate action after the review.

A spokesperson for the department said it doesn’t generally comment on active litigation.

In a statement, Ames Construction said it “does not tolerate racial harassment at any of its sites or offices and takes appropriate action upon receiving report of such misconduct.” [Source]

 

Harnett Jetport

Sharryse Piggott, WUNC Radio, 7/16/24

Harnett County now has a new $6 million jetport terminal aimed at attracting more growth to the area. The Harnett Regional Jetport Terminal has replaced the old one that was built in the 1980s.

“One of the things that we wanted to do was not only bring the airport, hopefully up to standards of the counties around us, but to also have our economic development office in the airport,” said Jerry Milton, the chairman of the Harnett Regional Jetport Advisory board. He said that means it’s not just for small planes. They’re also hoping the two-story facility — spanning over 7,000 sq. ft. — will accommodate business jets.

The building has a classroom and large conference room as well. The funding that the project received came from the state legislature. A ribbon-cutting ceremony was held on Tuesday to celebrate the opening. [Source]

 

Dog Sales

Joe Marusak, The Charlotte Observer, 7/16/24

People are selling caged puppies in the parking lot of a Lake Norman Walmart despite complaints from the public, repeated visits by police and orders from store managers to leave.

In sweltering heat, shoppers spotted sellers again in the parking lot of the Walmart off Interstate 77 exit 36 (N.C. 150) in Mooresville over the July Fourth weekend.

“We’re aware these sellers sometimes set up in our store parking lot,” Alicia Anger, director of global communications for Walmart corporate affairs, told The Charlotte Observer in an email. “When brought to our attention, we instruct them to leave the property.” She referred the Observer to the town of Mooresville regarding laws and ordinances governing the sale of puppies in parking lots.

Who the sellers are and where they’re getting the puppies wasn’t known last week.

Police told the Charlotte Observer that puppies for sale outside the Walmart appeared in good condition when officers responded to eight calls between Jan. 1 and Thursday. Officers spoke with the sellers each time and “verified that they are providing food, water, and shelter for the dogs,” according to a Mooresville Police Department statement to the Observer on Thursday.

Sales are legal if the puppies are at least eight weeks old, according to Iredell County Animal Control, which enforces animal control ordinances in the Mooresville town limits. The seller must provide food, water and shelter to the puppies, animal control officials said.

In its statement, the Mooresville Police Department said it “understands the concern expressed by members of the public about puppies being sold in the parking lot of Walmart.”

“Unfortunately,” police said, “selling puppies in local parking lots is not illegal under Mooresville Town Ordinances, Iredell County Animal Control Ordinances, or State Statutes.” [Source]

 

Crop Loss

WTVD News, 7/15/24

The drinking water for more than 2.5 million North Carolinians is affected by per- and polyfluoroalkyl substances (PFAS) — commonly known as forever chemicals. Those chemicals have been linked to health problems — including an increased risk of cancer. More of their effect is being seen in North Carolina.

A farmer in New Hanover County said his produce has been left to rot after his water source was linked to PFAS. The area is one of 47 drinking-water systems with concerning levels of PFAS. The source of the contamination can be traced to the chemical company Chemours.

“We had contamination, total PFAS level is between 50 and 60 parts per trillion, which is a little over, I think 10 to 12 times what the current EPA safe standard is,” said Ty Jacobus of Honeybird Organic Farm in Castle Hayne. “We can’t sell those. I mean, we could, there’s no law preventing us but we’re not selling them.”

In April, the EPA set new standards for PFAS levels. Last week, the state’s Environmental Management Commission failed to adopt new regulations on PFAS. The commission will meet again in November. [Source]

 

Truist Cuts

Chase Jordan, The Charlotte Observer, 7/16/24

Truist is cutting jobs from its technology department, the bank confirmed to The Charlotte Observer on Monday. Tech employees were notified about certain roles that will be impacted by the Charlotte-based bank’s strategic initiatives. Truist did not disclose how many jobs will be cut.

The news comes just a week before the company announces its second-quarter earnings, scheduled for July 22. The bank announced cuts to branches and ‘sizable layoffs’ last year as part of a $750 million cost-cutting plan.

Truist now has 40,000 employees, the company said. More than 3,000 workers are in the Charlotte area, the Observer previously reported.
The bank said it will help impacted workers by finding other opportunities internally and externally. Truist will make the cuts in the next three to four months but the impact to Charlotte is unknown, the Charlotte Business Journal reported.

In September, Truist CEO Bill Rogers said there would be “sizable” layoffs at the bank as part of the $750 million companywide cost-cutting plan, The Charlotte Observer previously reported. [Source]

Legislative Sessions, Studies and Meetings

LB: LEGISLATIVE BUILDING. LOB: LEGISLATIVE OFFICE BUILDING

HOUSE COMMITTEE MEETINGS

Tuesday, July 23

  • 9:00 A.M. | House Select Committee on Oversight and Reform, Auditorium.

HOUSE CALENDAR

Wednesday, July 29, 2024

  • House Convenes at 12:00 P.M.

SENATE CALENDAR

Wednesday, July 29, 2024

  • House Convenes at 12:00 P.M.

HOUSE & SENATE: Reconvening allowed under provisions of SB 916, if no sine die adjournment previously adopted.

  • Monday, July 29 to Thursday Aug. 1
  • Monday, Sept. 9 to Wednesday, Sept. 11
  • Wednesday, Oct. 9
  • Tuesday, Nov. 19 to Friday Nov. 22
  • Wednesday, Dec. 11 to Friday Dec. 13

N.C. Government Meetings and Hearings

BOLD ITEMS ARE NEW LISTINGS

Wednesday, July 17

  • 9 a.m. | The North Carolina Real Estate Commission Meeting, 1313 Navaho Drive, Raleigh.
  • 11 a.m. | The Economic Investment Committee (EIC) meets, 301 North Wilmington St, Raleigh. Teleconference Number: +1-415-655-0003 (toll charges might apply) Teleconference Access Code: 2422 672 3002.
  • 1 p.m. | N.C. Plant Conservation Board meets to discuss items related to land conservation, stewardship efforts of the N.C. Plant Conservation Program, and regulatory matters, Rankin Science South, Room 210B Appalachian State University, Boone; for information on joining remotely, visit: Joining Remotely. Contact: Julian Wilson, 919-707-3758 or [email protected].

Thursday, July 18

  • 8 a.m. | North Carolina Medical Board Meeting – July 2024 Meeting, 3127 Smoketree Court, Raleigh.
  • 9:30 a.m. | North Carolina Turnpike Authority meets, 1 S. Wilmington St, Raleigh.

Thursday, Aug. 1

  • 6 p.m. | The North Carolina Department of Environmental Quality’s Division of Air Quality Public Hearing on Moriah Energy Center Draft Air Quality Permit, Vance-Granville Community College, 200 Community College Road, Henderson.

Monday, Aug. 5

  • 9 a.m. | The Board Development Committee of The North Carolina Partnership for Children meets, The meeting will be held via Zoom. You may contact Yvonne Huntley at 984.221.1242 or email at [email protected] for additional information.

Tuesday, Aug. 6

  • 9 a.m. | The Council of State meets. 1 South Wilmington St, Raleigh.

Monday, Aug. 19

  • 2 p.m. | The Executive Committee of The North Carolina Partnership for Children meets, The meeting will be held via Zoom. You may contact Yvonne Huntley at 984.221.1242 or email at [email protected] for additional information.

UNC Board of Governors

23 S. WEST STREET, SUITE 1800, RALEIGH

Wednesday, July 24

  • T.B.A. | The UNC Board of Governors, UNC System Office.

Thursday, July 25

  • T.B.A. | The UNC Board of Governors, UNC System Office.

N.C. Utilities Commission Hearing Schedule

DOBBS BUILDING, 430 NORTH SALISBURY STREET, RALEIGH

Monday, July 22

  • 2 p.m. | Expert Witness Hearing – Duke Energy Carolinas, LLC and Duke Energy Progress, LLC 2023 Biennial CPIRP | E-100 Sub 190
  • 2 p.m. | Expert Public Witness Hearing – Joint Application of DEP and NCEMC for CPCN to Construct a 1360MW Electric Generating Facility in Person County, NC | E-2 Sub 1318, EC-67 Sub 55
  • 2 p.m. | Expert Witness Hearing – Application for CPCN for 850 MW Natural Gas-Fired Combustion Turbine Electric Generating Facility Located at 8320 NC Highway 150 E, Terrell, NC 28682 in Catawba County | E-7 Sub 1297

Other Meetings and Events of Interest

BOLD ITEMS ARE NEW LISTINGS

Wednesday, July 17

  • 10:45 a.m. | Gov. Roy Cooper to join Federal Highway Administrator Shailen Bhatt to make major transportation infrastructure funding announcement. Dram Tree Park, 602 Surry St, Wilmington.

Saturday, July 27

  • 9 a.m. | North Carolina Federation of Young Republicans Convention, The Farm at 95, Selma.

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