Former Gov. Jim Martin backs Harry Jones

Former N.C. Gov. Jim Martin is coming to the defense of ousted Mecklenburg County Manager Harry Jones. Martin, a Republican, writes in a letter to the Observer that Jones was a "scapegoat" for a failing board. He concludes by saying that Jones "was a giant among Lilliputian pygmies."

Here's Martin's letter:

Harry Jones is a decent and honorable gentleman. I had not met him
until a few years ago when he recruited me to chair a 35-member ad hoc
Committee for School Building Solutions. By 32-3, we recommended
policies and procedures to relieve overcrowding in suburban schools
and renovations for outdated inner-city facilities. Since then, I have
come to admire him and value his dedication. He deserved better than
to be dismissed in such a callous fashion.

As a former Mecklenburg County Commissioner (1966-72), I fully
understand the authority and responsibility of the elected Board of
Commissioners to oversee and employ the County Manager. Harry always
knew that he served "at the pleasure of the Board," and that any
mistakes or errors by any County departments ultimately were his
responsibility. As they added up over time, that made him a convenient
scapegoat for the Board. Rather than acknowledge and repair their own
mistakes, it was easier to blame Harry, knowing he was too decent and
professional to blame them.

It only added insult to injury for the Board to deny him the courtesy
of a farewell statement and even the right to retrieve his personal
belongings from his office. Instead, he was treated as if he was a
danger to the realm. Led by an inexperienced Chair driven by personal
pique, the Board acted in a dishonorable a manner.

Like the legendary Gulliver, Harry Jones was a giant among Lilliputian
pygmies.

Jim Martin

Why the New York Times likes Mel Watt

The New York Times backed U.S. Rep. Mel Watt's nomination to oversee Fannie Mae and Freddie Mac in an editorial today. The Times argues that Watt, a Democrat from Charlotte, has a keen understanding of both what the banks need and what underwater borrowers need as the housing market tries to right itself. Watt, the paper says, would "take a smarter, more forceful approach" to mortgage relief than the current director, Edward DeMarco, has.
Watt, the paper concludes, "has what it takes to explain and carry out policies to help revive credit and provide long overdue assistance to homeonwers."  

The Times' editorial is below. The Charlotte Observer backed Watt's nomination last week.

Mr. Watt, Fannie Mae and Freddie Mac

By THE EDITORIAL BOARD

There are many reasons to be bullish on housing. Valuations, affordability and supply and demand are moving in the right direction. But there are also causes for concern. Home sales and home prices can rise only so far given today’s high level of unemployment and low level of wage gains. And millions of homeowners are still in financial distress. At the end of 2012, some 11.3 million homeowners — nearly one-fourth of all those with a mortgage — still owed more on their mortgages than their homes were worth, according to Moody’s Analytics. Of those, three million are currently in or near foreclosure.

Against that backdrop, President Obama has nominated Representative Melvin Watt, a Democrat of North Carolina, to be the next director of the Federal Housing Finance Agency, the overseer of the government-backed mortgage companies Fannie Mae and Freddie Mac.

As a senior member of the House Financial Services Committee, Mr. Watt has long been a champion of homeownership and credit availability. Before credit standards were abandoned in the lending of the bubble years, careful efforts by Mr. Watt and other policy makers had prudently expanded homeownership to middle- and low-income families, without the negative consequences of the subprime era. Reviving those successful efforts, while averting the dangers, should be a priority for the next director of the agency.

As a representative from North Carolina, whose district includes parts of Charlotte, the home of Bank of America, Mr. Watt is also aware of the needs and demands of banks. He has been criticized for taking campaign donations from the financial industry, though, sadly, it is hard to find a politician who doesn’t accept special-interest money. But Mr. Watt has shown a willingness to act in the public interest — and to compromise skillfully across the aisle. During debates over the Dodd-Frank financial reform bill in 2010, he was instrumental in passing core mortgage reforms, including rules to improve and enforce underwriting standards to protect borrowers and the public from reckless lending.

The question, of course, is whether Mr. Watt can be confirmed in a Senate where Republicans block nominees for the sake of doing so. For some time, many Republicans have insisted that the most important housing issue is the privatization of Fannie and Freddie, which have been under government control since their bailout in 2008.

The debate over the future of Fannie and Freddie is legitimate, but premature. Currently, Fannie and Freddie and other federal agencies guarantee about 90 percent of new mortgages. Banks and other private sector lenders are simply in no position to fill that role anytime soon.

A confirmation hearing should focus on the real, near-term priorities for Fannie and Freddie, especially the need to ensure the flow of ample mortgage credit and to provide relief to hard-pressed borrowers.

The current acting director, Edward DeMarco, has been slow to clarify mortgage issues that impair the banks’ willingness to extend credit. He has also stood in the way of principal reductions for underwater borrowers, saying that writing off principal would be against the taxpayer interest. Mr. Watt’s record indicates that he would take a smarter, more forceful approach to mortgage relief. Research by the Congressional Budget Office confirms that principal write-downs would save the government money and reduce foreclosure and delinquency rates.

Mr. Watt has what it takes to explain and carry out policies to help revive credit and provide long overdue assistance to homeowners — if only the Senate will give him the chance.

Mark Sanford's titillating race draws to a close

The titillation factor in the Mark Sanford/Elizabeth Colbert Busch congressional race that's decided Tuesday is high. And that's not because Sanford's Argentine mistress-turned fiancee is spotted along the campaign trail or that his ex-wife, the woman scorned and maybe a bit embarrassed by the secret tryst that became public laugh fodder, has hauled him into court for trespassing.

 Well, maybe that is part of the titillation.

But a new Public Policy Polling survey of the special election for South Carolina's 1st Congressional Seat  is providing tantalizing tidbits of its own about the district's voters who go to the polls tomorrow.

Among them, Sanford has battled back from being 10 points down in the polls two weeks ago to edge ahead of Colbert Busch by 1 point. That puts the poll numbers within the margin of error and the race at a dead heat - though this is a heavily Republican district, and more Republicans might in the end vote for Sanford but are too reluctant or embarrassed to acknowledge it to a pollster.

In any event, PPP pollsters say the race may come down to who the district's voters dislike more. No that's not a popularity contest between Colbert Busch and Sanford. Said PPP president Dean Debnam: "At this point it's just a question of whether voters are more put off by Mark Sanford or the Democrats in Washington."

In fact, the pollsters think Sanford has evened the contest by using Democratic House Minority Leader Nancy  Pelosi as his proxy opponent, rather than stick to targeting Colbert Busch. That's because Colbert Busch beats Sanford handily on favorability stats: This poll has her at 50 percent favorable/44 percent unfavorable. Sanford is at 43 percent favorable/54 percent unfavorable. And Sanford doesn't best Colbert Busch much on being about right on the issues in this conservative district - she's at 43 percent; he's at 48 percent.

But when you throw Washington Democrats into the mix, those polled skew much more Sanford's way. Barack Obama is at 54 percent unfavorable on his job performance, right where Sanford is on the public's opinion of Sanford. Pelosi is even higher at 61 percent unfavorable. And Sanford comes out way ahead of Pelosi in a head to head match-up. The public has a much higher opinion of him than of Pelosi - 53 percent to 37 percent.

So, it should come as little surprise that Sanford took to debating a cardboard cut-out of Pelosi last month. South Carolina pols - you gotta love 'em.

Some pundits say Sanford has a good chance of winning Tuesday, and that could help Democrats. Read the Washington Post's rationale for that one. He has started getting vocal Republican support that had been lacking. Kentucky Sen. Rand Paul, a tea party favorite, endorsed him last week. And so did Sen. Tim Scott whose seat is being filled in this special election. S.C. Gov. Nikki Haley appointed Scott to a vacated U.S. Senate seat. Sanford had been yearning for the endorsement of Scott, also a tea party favorite.

But the PPP poll indicates the high profile endorsements might not mean much. Haley has endorsed him but the poll shows twice as many voters say they are less likely to vote for him because of the endorsement. 12 percent more likely to vote for him, 27 percent less likely. Scott's endorsement made 21 percent more likely to vote for Sanford and 24 percent less likely. Sen. Lindsey Graham's endorsement made 18 percent more likely to vote for him and 25 percent less likely.

Maybe the only endorsement that could have really boosted his numbers was ex-wife Jenny Sanford's. She has a higher favorable rating than Sanford or Colbert Busch in this poll - 54 percent and much lower unfavorable numbers - 19 percent. But judging by her pursuit of the trespassing charge, set for a hearing on Thursday, she clearly was not in the mood to give him her nod.

The X Games in an anti-skateboard city?

Charlotte resident Robert Kutrow, 19, has noticed tension between skateboarders and Charlotte-Mecklenburg police. Here's his take on the situation:

Charlotte’s skateboard culture, though under the radar for many Queen City residents, has been growing rapidly for the past decade. In fact, Charlotte Motor Speedway is a finalist to host the 2014 X Games competition.Charlotte’s South End area, specifically Camden Avenue, functions as something of a central hub for the city’s skate culture. The neighborhood is home to Black Sheep Skate Shop, a prominent skate outfitter and a meeting ground for local skaters. Shop owner Josh Frazier says many nearby businesses support the “color and diversity” skaters bring to the area.

Not everyone agrees. Residents of nearby condominiums have repeatedly expressed frustration with the noise and danger the skaters present. Skating can cause significant property damage and poses a hazard to other pedestrians, according to CMPD Police Attorney Judith Emken. In 2008, skaters caused an estimated $35,000 in damage to a sculpture outside uptown’s Mint Museum.

This difference in opinion has led to heightened tension between skaters and CMPD. Skateboarding in any roadway is banned in Article I, Sec. 14-3 of the city’s ordinance. While skating on sidewalks is OK, making contact with the street is a class three misdemeanor. It is grounds for seizure of the skateboard and a $250 fine. The skateboard can be reclaimed only after the case is closed.

This happens fairly frequently in the South End area and other areas uptown – so frequently that many skaters feel persecuted.

According to shop owner Frazier, when skateboards are seized, some police officers present the skater with a choice: pay the $250 fine, or the seized board will eventually be destroyed. The boards are actually sold at auction by the police department like any other unclaimed property. Since a brand new skateboard costs about $100 less than the fine, many skaters simply buy another board, continue skating and take their chances that the case gets thrown out.

Skaters have only one city-operated and sanctioned skate park, Grayson Skate Park on Beal Street, which is considered outdated and inferior to other popular but illegal spots uptown.  The city’s other skate park, Methodist Home, was recently permanently closed.

Hosting the X Games when the city’s native skate scene stands at odds with police, residents and the municipal government feels darkly ironic. Frazier hopes to see the construction of a new, updated skate park in the area. If you don’t want kids skating in the streets, he says, you have to give them somewhere else to go.

Using tax dollars for such a project is far-fetched, but perhaps businesses could partner with Parks and Rec to make it happen.

In the meantime, however, citing and fining skaters seems like more trouble than it’s worth. Processing these citations is costly, and is simply not enough disincentive to skaters. Without skating in South End, many businesses would lose a significant portion of their client base.

CMPD Police Chief Rodney Monroe is an outspoken proponent of the idea of community policing, described on the CMPD website as “engaging citizens as active partners in problem identification and crime reduction.” The implementation of a community policing strategy in South End would serve to end the “Us vs. Them mentality,” and foster communication between skaters and police, rather than further embroiling tension between the city and an expanding, creative skate culture.

How to move a bill without the votes

Need to get a bill out of committee but don't have the votes? Not a problem! Simply follow N.C. Republicans' razzle-dazzle system for getting around those nitpickers who think the majority rules.

A couple of Republican legislators have volunteered to demonstrate how it's done. First up, please welcome .... Sen. Bill Rabon of Brunswick County. He's the co-chairman of the Senate Finance Committee.

On Wednesday, his committee spent 45 minutes debating a bill on renewable energy. Right now, utilities such as Duke Energy are required to have 12.5 percent of their retail sales come from renewable sources by 2021. The bill would essentially end that program, reducing the requirement to 3 percent and eliminating it in 2023.

A similar bill was voted down 18-13 in a House committee last week. That was a mere speed bump, thanks to Rabon's ingenuity. Following the debate, Rabon called for a voice vote, despite protests from bill opponents who wanted a show of hands to be counted. The voice vote was evenly split, those who were there say, so Rabon simply declared that the bill had passed. At least a half dozen Republicans voted with Democrats against the bill, and both sides say they would have won had Rabon counted the vote instead of just listening to it.

But voters will never know whether it had the votes or not, and that's the beauty of the Republicans' approach. For another shining example of how to do it, please welcome ... Sen. Tommy Tucker of Union County.

Tucker, co-chairman of the Senate State and Local Government Committee, hosted a debate last month over a bill that would let local governments pull their legal notices from newspapers and run them only on their government web site. The committee was divided, and Tucker called for a voice vote. The margin was razor-thin one way or the other, so Tucker declared -- voila! -- the bill had passed. Whether it actually had the support of a majority of committee members, the public will never know, because Tucker refused to count the vote and declared the meeting adjourned.

Savvy, eh?

A Senate rule (unlike House rules) prohibits roll call votes in committee, which is a screwy rule. But the rules permit what's called "division," in which each committee member raises his or her hand as a "yea" or "nay" vote.

But that would mean actually counting the votes. And we all know how inconvenient that can be.

-- Taylor Batten

 

Mel Watt: 'Fox' or 'thoughtful policymaker'?

Weeks ago, we thought Mel Watt had a better chance of joining the Obama administration than Charlotte Mayor Anthony Foxx. Turns out the president was lasering in on both.

President Obama follows up on his nomination Monday of Foxx as transportation secretary with Watt's nomination today to head the Federal Housing Finance Agency. The long-time N.C. congressman's name has been pushed by many, including members of the Congressional Black Caucus, for a post with the Obama administration. Critics have complained about a lack of diversity at the top levels of the Obama administration. The Foxx and Watt nominations blunt that criticism.

Watt's nomination predictably is getting mixed reviews on Capitol Hill, mostly along party lines. The Washington Post's Plum Line and Post Politics, the Huffington Post, Politico, and Bloomberg News weigh in. The National Journal includes a take on what would happen to Watt's seat, in his odd- shaped district, if the nomination goes through.

Watt is the scheduled speaker at the annual Law Day luncheon here in Charlotte on Thursday.  We'll look forward to what he has to say. Watt was the first African American president of the Mecklenburg County Bar Association in 1988-89, and a longtime member of the House Financial Services Committee.

Watt would replace Ed DeMarco, acting head of the agency since 2009.

Republican Sen. Bob Corker, of Tennessee, said he "could not be more disappointed in the nomination... This gives new meaning to the adage the fox is guarding the hen house."
 On the other hand, consumer advocate Elizabeth Warren, a first-term Democratic senator from Massachusetts called Watt "a thoughtful policymaker with deep background in finance and a long record as a champion of working families." She urged his confirmation.

North Carolina's own first-term U.S. Rep. Robert Pittenger had this to say: "Congressman Mel Watt is a good man and a dedicated public servant. After decades in Congress, I'm sure he's ready for a new challenge and I wish him all the best in his new role. Mr. Watt's best service would be to responsibly and efficiently reduce the federal government's role in the housing market, freeing taxpayers from expensive bailouts brought about by handing out mortgages with lax credit requirements."

Isaac Boltansky, a policy analyst at Compass Point Research and Trading LLC in Washington, said in a note to clients that Watt would face “a very steep climb to confirmation.”

Some things people might not know or have forgotten about Watt:

• He and Eva Clayton became the first two African Americans elected to Congress from North Carolina in the 20th century when they were elected in 1992.
• Watt practiced law for more than two decades with a focus on business law.
• He served in the state Senate for one term.
• Watt was a mentor and neighbor of Anthony Foxx when he was young. Foxx's grandfather Jim Foxx was a well known political activist who worked with Watt and former Mayor Harvey Gantt.
• Watt and Gantt are long-time friends. Watt was campaign manager for Gantt when he ran for mayor in the 1980s, and when he ran and lost against Jesse Helms for the U.S. Senate in 1990.
• After Watt won his congressional seat, his district became the focus of a long redistricting fight that would end in Watt's favor.

The inaugural Mayoral Power Rankings

(Updated, May 2) Anthony Foxx has decided not to seek a third term as Charlotte mayor so he can spend more time with family. Looks like he'll have to do so in Washington, as Secretary of Transportation. Good for him.

That means Charlotte will elect a new mayor in November, and the jostling has begun. One candidate, Republican Edwin Peacock, already has declared. One possible candidate already has said he won't support another possible candidate for interim mayor. Game on.

Who will be celebrating on Election Night? Your Charlotte Observer editorial board is here for you with our Mayoral Power Rankings - the candidates we think have the best shot to be Charlotte's 56th mayor. (The 55th, an interim, will be appointed by the City Council if/when Foxx is confirmed for transportation secretary.)

The caveats: These are not endorsements. They're not necessarily who we think should have the best chance in November. Expect the list to change as folks decide they want in or out of the race, and as the campaign heats up.

Also, tell us your thoughts. Who'd we leave out? Who should be ranked higher or lower?

The inaugural rankings (updated, May 2):

1. Dan Clodfelter - D: Longtime state senator has crossover appeal, but "expanding the sales tax" isn't a great platform these days. If a white male can still win the job in Charlotte, he's the one.
2. Edwin Peacock - R: The highest ranking Republican and a former City Council member. Also has crossover appeal, but would it have killed him to wait a week to declare? 
3. Becky Carney - D: State rep and former county commission vice chairman has grassroots standing and support. Would be a force with the female vote, and many males, too.
4. Patrick Cannon - D: Mayor pro-tem has been waiting for this opportunity. Has Graham's strengths, but more controversial.
5. Malcolm Graham - D: State senator and former City Council member would prefer Mel Watt's congressional seat, but that's if Watt is approved for the Federal Housing Finance Agency. If he decides on mayor instead, Graham has strong name recognition - at least among older voters - and an extensive network of support. 
6. John Lassiter - R: Smart and earnest former councilman. If he decides to run, he shoots up this list. But he probably won't.
7. Michael Barnes - D: If City Council member runs, he'll regret saying this about the homeless in 2012: "I have no interest in trying to fix problems that are unfixable." 
8. David Howard - D: City Council member is still relatively new to Charlotte political scene. But so was the guy who’s mayor now.
9. Eric Davis – I: Former school board chairman could be formidable, but no one suggests he’s running.
10. Jennifer Roberts - D: Strong name recognition but tells the O she’d only consider the interim job. Rocky finish as county commission chair.
Others receiving votes: Former City Council member Pat Mumford, City Council member Andy Dulin, former county commissioner Harold Cogdell, school board member Tim Morgan.








 

Does Foxx have the chops to be transportation secretary?

With all the buzz swirling about Charlotte Mayor Anthony Foxx potentially being named U.S. secretary of transportation, I wondered: How do Foxx's transportation credentials measure up?

He has been mayor for a little over three years and was a City Council member for four years before that. Those roles have exposed him to local transportation issues, but I wouldn't think they'd make him a national expert on the topic.

Turns out, you don't really have to be a transportation expert to be transportation secretary. By my count, fewer than half of the country's 16 secretaries (the post was created in 1966) had significant transportation expertise when they were appointed.

Their experience runs from a lot to almost none. Mary Peters, who served in the role under President George W. Bush, had worked in the Arizona DOT for years before becoming its director. She then served as the Federal Highway Administration chief before Bush named her to his cabinet.

On the other end of the spectrum, William Thaddeus Coleman Jr. was a well-connected lawyer and an NAACP leader who had various roles in government when President Gerald Ford named him secretary.

Foxx's transportation resume would be thin for the job. But maybe a smart guy surrounded by strong managers could fill the role well. After all, had you heard of Mary Peters before now?

-- Taylor Batten

 

Barbara Bush: We've had enough Bushes

The 2016 presidential election could be a showdown between the two most prominent U.S. political families of the past quarter-century: Hillary Clinton versus Jeb Bush.

But not if former First Lady Barbara Bush has anything to say about it.

The Today show's Matt Lauer this morning asked Mrs. Bush if she would like to see her younger son run.

"He's by far the best qualified man, but no. I really don't," she said. "It's a great country, there are a lot of great families. It's not just four families or whatever. There are other people out there that are very qualified and we've had enough Bushes."

That sound you're hearing may be Marco Rubio exhaling.

Former First Lady Laura Bush, former President George W. Bush's wife, answered a little differently: "Sure, he'd be terrific. He'd be a wonderful president. But who knows? We don't know and we're just letting him decide."

Jeb's brother, the former president, is hoping he does run.

“He’d be a marvelous candidate if he chooses to do so. He doesn’t need my counsel ’cause he knows what it is, which is ‘run,’ ” the former president told ABC’s Diane Sawyer this week.

-- Taylor Batten