ࡱ> #` bjbj *PPPPPPPd''''DL'\d_'^(((((((n_p_p_p_p_p_p_$yahcX_PU((UU_PP((____U P(P(n__Un___PP_(' K'[_R__0__9d^(9d_9dP_8(6H8 _CD M(((___ (((_UUUUddd"'ddd'dddPPPPPP 17-2-News 231 Years Of Strong, Free Americans; We Celebrate There are as many ways to celebrate Independence Day as there are Americans, some with bar-b-q, some with parades, some with watching sporting events, some with contemplation. Cowboy poet Has Swift, no stranger to these pages, celebrated with this little tome he says you can read in two minutes or less. For the slightly emotional, you might want a tissue handy. Your editor did. Fourth of July by Hal Swift On the Fourth of July, Seventeen-Seventy-Six a grand new era began. The New World cut its ties with King George, and altered the history of man. The British called us the Colonies, and they didn't treat us as friends. All we produced, they took as theirs, and not once made amends. When we got angry with what they did, they sent ships and troops to guard us. When we decided to take what was ours, the soldiers they sent here barred us. Magazine editor, Thomas Paine, said, "The deeper in history one delves, you'll see we don't need to serve King George, we can run this country ourselves." With this kind of talk, plus the tea that we dumped in the Boston Harbor waters, the British vowed to punish every last one of this country's sons and daughters. Long story short, King George made his move with the shot heard around the world. And thanks to George Washington and Betsy Ross a brand new flag was unfurled. War started in Seventeen-Seventy-Five, and ended in 'Eighty-Three. On the Fourth of July in 'Seventy-Six our congress made its decree. The Declaration of Independence announced we'd taken a stand We'd govern ourselves, without a king, the people would rule our land. Each Fourth of July we salute our founders, our ancestors, battle-worn. And praise their courage and what they endured in seeing our country born. When you hear the noise this Fourth of July, the fireworks that sound like war, remind yourself that what we achieved is still worth fighting for. ____________________ 2007: The Year Of Fire -- Devastation At Lake Tahoe Hundreds Of Buildings Destroyed As Wildfire Consumes Dry Timber by Johnny Gunn They measure storms and floods by saying it is a 100-year event, a rare phenomena that has visited, and it appears the fire that devastated the southwest shores of Lake Tahoe could be described in the same way. Thousands of acres of tinder dry forest exploded in flames on June 24 and within a short couple of hours were threatening homes in the lush Lake Tahoe basin. One firefighter said the homes were blowing up from the heat of the scorching flames. Thousands of residents and visitors were evacuated, and as we go to press there has been no loss of life reported. Governor Jim Gibbons has offered Nevada's full support to California Governor Arnold Schwarzenegger as ongoing fire fighting efforts continue. "We have pledged our support in the ongoing fire fighting efforts," Gibbons said, continuing, "Nevada resources remain on standby as the fire continues to spread." Lake Tahoe separates California and Nevada and some towns and cities are split between the states. The fire started and has remained on the California side of the border. "Highway 50 is a primary artery for Californians as well as Nevadans," Gibbons said, "and while we are two separate states, we share the Lake Tahoe Basin." Highway 50 is the historic route taken first by the 49ers as an emigrant trail, and later by those in the "Rush to Washoe" following the Comstock Lode discovery in Virginia City. It is one of the natural funnels bringing tourists and supplies to the Lake Tahoe area and to Nevada. The Sierra Nevada is a rough mountain range, still young geologically, so the hillsides are extremely steep, not rounded off by time and weather, making fire fighting as difficult as any on earth. Heavy equipment can't get into the areas burning, commanders must rely on hundreds of men with shovels and axes to do the work, and in the case of what is being called the Angora Fire, gale force winds were hampering every effort to contain the inferno. Add to all that the attempts in the last 50 years or so to suppress every single fire, and you have a forest filled with dead and dying trees, underbrush that hasn't been cleared or allowed to burn, and now, residential areas building up in the forest itself. Firefighters have been saying for more than a decade that changes must be made in fire fighting philosophy in deep forestland. Blazes are a forest's friend, most in the forestry business believe, and their total suppression has led to a potential disaster some say we are witnessing at this time. Conservationists and sometimes those that actually live near thick forests adamantly oppose the thinning of trees or the clearing of the underbrush, which leads to extremely hot fires once they get started. The winter of 2006-07 was one of the driest on record but had followed two or more years of heavy precipitation, which allowed for considerable undergrowth and grasses to flourish. Food for the flames, and the conditions exist all across the Silver State. Nevada's State Forester and Firewarden, Pete Anderson, issued the following statement about Nevada's dangerous fire conditions. Nevada is faced with extreme wildfire potential as we rapidly move to summer weather conditions. This situation is primarily a result of a below-average precipitation year--less than 30 percent in some areas of the state. Fine fuels are drying and are creating extreme conditions for wildfire ignitions. Annual fine fuel production--grasses and weeds--is high, so we have an explosive situation. Of particular concern are higher elevations that are extremely dry due to a minimal snowpack. Federal, state, local and volunteer fire agencies have all ready experienced multiple wildfires. Wildfires have been started by lightning, ATV mufflers, target shooting, heavy equipment operation and burning materials." For a look at how you can protect yourself, go to  HYPERLINK http://www.livingwithfire.info http://www.livingwithfire.info. There have been hundreds of fires already this season and fire officials fear that there will be hundreds more. Nevada's mountains and valleys are filled with grasses and brush that are dry as straw and will ignite at the least flare. A golfer in Reno recently set off a blaze when his golf club struck a stone in the rough, residents in an effort to clear brush set off a conflagration when a shovel struck a stone. The least spark will touch off a fire this year. Spring and early summer rains have not materialized anywhere in the state, and dry thunderstorms coupled with strong winds have been disastrous so far. No part of the state has been safe from fire this year. As we enjoy Nevada's outdoor recreation opportunities this summer I cannot overemphasize the need for all Nevadans to be cautious with fire," Anderson said. The Angora Fire began in rough wilderness near Angora Resort, above the alpine lake, and whipped by winds reaching 50-miles-per-hour ripped down slope into heavily residential South Lake Tahoe. Thousands of homes were immediately evacuated, hundreds of building went up in smoke, and there was a fear that South Lake Tahoe High School would burn as well. The wind had flames climbing hundreds of feet into the air, a pall of smoke covered Lake Tahoe, crested the Carson Range and blanketed Nevada's capital city where residents were urged to keep inside and close their windows. In the area where the fire began some of the peaks and ridges are well over 8,000 feet, some nearing the 10,000 foot level making the use of aircraft in heavy winds a dangerous if not impossible task. The fire was such that air tankers were not called in on its first full day of burning. High and dangerous winds, cliff sides all but vertical and on fire, and a lack of planes contributed to the fire's spread. Large heavy air tankers have been grounded the last few years because of feared safety problems following several crashes that took many lives. Wings ripped right off one C-130 aircraft fighting a fire in the Sierra Nevada three years ago, and other crashes or near crashes caused officials to ground the fleet. Smaller tankers, crop dusters in reality, were not available to fight the Angora Fire on its first day. As the Angora Fire began fire crews were working three other brush and timber fires in the Reno area, two of which were actually inside the city limits. There have been brush and timber fires almost daily in the last few months due to the dry conditions. In many of the cases the fires have been attributed to human activity, in some cases, blatantly stupid human activity. At this time it isn't known what set off the Angora Fire. Fire crews announced they had the conflagration 40 percent contained when the winds whipped up and the fire jumped the lines, spreading into the Lake Tahoe Basin, creating near panic in heavily developed areas. Winds kept the fires raging, several thousand more were evacuated, and the National Weather Service said the winds would continue through the July 4 Holiday period. There is no estimate at this time on full containment. Fire officials throughout Nevada are warily looking at the Fourth of July holiday and celebration, fearful of what it might bring. Thousands will be camping, cooking outside, and some, stupidly playing with fireworks. Officials are literally begging Silver State residents to think fire safety above all else during the rest of the summer and fall. ____________________ eTreppid E-Mails Debunked In Federal Civil Case Dennis Montgomery Accursed Of Altering Inflammatory Accusations In the federal civil case between Dennis Montgomery and the owner of eTreppid Technologies, it was alleged that Montgomery altered some e-mail correspondence that has great significance to Nevada politics. eTreppid is owned by Warren Trepp who has received some lucrative federal military contracts and is also a personal friend of Nevada Governor Jim Gibbons. Gibbons has worked with Trepp during the years Gibbons was in congress to get him the contracts. For most in congress, the idea of helping a local company get federal contracts is part of the job. In Nevada, every representative in Washington has done that, and will continue doing so for eternity. Montgomery developed some highly effective secret software for use by the U.S. military while working for Trepp, and Trepp contends that the software belongs to the company. Montgomery believes he owns the software and is fighting for that right in federal civil court. Montgomery released some highly charged e-mails during Gibbons's campaign for governor claiming that Trepp had paid Gibbons large amounts of money, trips, even casino chips under the table. Trepp and Gibbons both deny the charges. There is believed to be an FBI probe, but so far no one has come forward saying they have been subpoenaed or questioned by the federal agency. The FBI rarely acknowledges that a probe may be taking place. In one of the e-mails released by Montgomery, a Trepp executive is alleged to have written, "We need to take care of him (Gibbons) like we discussed." In federal district court Trepp's attorney said that was never a part of the original message, that the message was altered by Montgomery for publicity value. In other alleged e-mails, discussed at length by Montgomery to the press, Trepp's attorney said it is questionable if the messages even exist at all. No one has actually seen them. Montgomery has insisted that Trepp has given at least $60,000 to Gibbons and his wife Dawn in unreported gifts for getting the contracts. Nothing has been said about the work that Senator Harry Reid, majority head of the senior body, or that of Representative Jon Porter has been done on behalf of Trepp and his company. There are many that believe the Montgomery charges are part of a plan to destroy Gibbons politically. Montgomery has even stated that it was Gibbons working with former federal attorney Bogden that brought about an FBI search of Montgomery's home and the taking of several computers. A federal judge ruled the search was illegal, but Bogden and Gibbons have both said they had nothing to do with the search. There is no paperwork available to indicate that either Bogden or Gibbons were involved. In a press release, Montgomery stated, "The Reno office of the FBI raided my home. The FBI raided my storage facility. Both raids were instigated by Gibbons and Trepp and others working with them inside and outside the U.S. Government." Montgomery also said he was outraged. He said, "these government agencies launched a completely fraudulent criminal assault against me," and accused Warren Trepp and Governor Gibbons as behind the effort. Montgomery has stated that former U.S. Attorney Dan Bogden was fired because of the FBI raid initiated by Gibbons. There is not a shred of evidence to back up the claim. Trepp's company developed technology that allows recognition of people and targets from photographs and video. The technology, some of which is in use today, falls under the category of secret and much of the civil case also falls under that category. The e-mail correspondence that was viewed in court recently however does not. Several copies of the original were offered in testimony and none of them carried the critical phrase "We need to take care of him like we discussed." Much of what was reported during and slightly after Gibbons's gubernatorial campaign was leaked by Montgomery, but the e-mails themselves were not. Just what they allegedly said. The major leaks were made to the Wall Street Journal and were picked up by the wire services. Montgomery and his attorneys continue to attempt to portray Trepp and his executives as being underhanded in their dealings. Trepp's background includes working as a front line trader with junk bond king Michael Milken. Trepp is also well known for his charitable work. His company has several contracts with the U.S. military. The civil case is supposed to be between Trepp and Montgomery but is directed more toward blemishing the record of Governor Gibbons than discussing ownership of software copyright. Montgomery insists that Trepp paid large amounts of money to Gibbons because of the secured federal contracts. Gibbons has said he worked diligently as a congressman should for a local company but that a single congressman could never be the responsible person for a contract such as that given to Trepp's company. "No one congressman has that kind of power," Gibbons has said many times. Contracts such as that for eTreppid go through hundreds of reviews at the highest military level and no congressman could have an affect such as alleged by Dennis Montgomery. The federal civil case is hampered for both litigants by way of the State Secrets Act. The Justice Department has filed suit to receive copies of documents that may or may not be labeled as secret while the judge in the case is demanding to know why those same documents aren't on file with the court. Decisions on just what is secret and what is not has been slow in coming, slowed in some cases by the military, and slowed in other cases by Montgomery and his attorneys. Gibbons' attorney said in court that they have been outraged by Montgomery's false allegations, that they have been offered to the press with no credibility, and now, with the e-mail being proven to be false, Gibbons is vindicated. ____________________ Chaz Higgs Guilty! Life With Possibility Trial In The Death Of State Controller Augustine by Johnny Gunn On Friday afternoon, June 29, a Washoe District Court jury handed down the verdict of guilty in the death of Nevada Controller Kathy Augustine. Augustine's husband Chaz Higgs stood silent at the verdict was read, and showed little emotion when the same jury said he should serve life in prison with the possibility of parole after 20 years. Following a two-day delay, the prosecution and defense gave their final statements on Thursday, June 28 and District Judge Kosach turned the case over to Chaz Higgs's 12-peers. There are many things that took place during this trial that could have contributed to the guilty vote including Higgs's attempted suicide, a note from him, and suggestions that the FBI forensic lab took the case on a wing and prayer. For the second time since the death of his wife, Chaz Higgs has attempted suicide without success, some saying it was a grand stand play, others saying he was sincere in trying to end his life. Regardless, his trial for the murder of Kathy Augustine, Nevada State Controller, was temporarily suspended. Higgs was free on $250,000 bail at the time, and following his release from the hospital, District Judge Steven Kosach revoked bail. He has been spending his evenings in County lockup under suicide watch. Following a day of questioning on the witness stand, Higgs apparently went home and used a kitchen butcher knife to slash his wrists. He had done the same thing following the death of Augustine. Higgs was to have faced another full day of witness stand grilling by the prosecution if the trial had continued. Speculation on the second suicide attempt wraps itself around every angle from simply an act; maybe an attempt to focus on him instead of Augustine; or he felt he had justified himself and it was time to end his time on earth. Whether or not some kind of psychological defense might develop never took place when trial resumed. Augustine had been impeached but was not removed from office and Higgs had testified that he had convinced her to get out of politics. Instead, she announced her candidacy for State Treasurer, and Higgs said that was when he asked for a divorce. Shortly thereafter, Augustine was found unconscious, not breathing, and her heart had stopped pumping. One piece of damaging evidence came from first responders who noted that Higgs was not employing CPR when they arrived. Following her death three days later it was discovered she may have been killed by an injection of the paralyzing drug succinylcholine. Higgs is a critical care nurse and at least one other nurse has testified that he said that would be his drug of choice if he was to kill someone. Defense attorneys are calling into question whether or not the drug was naturally occurring or whether it had been injected. They are also questioning the FBI forensic investigation. Augustine's impeachment led from her use of state employees and material during her reelection campaign in 2002. A state ethics panel found her guilty and fined her $15,000, which was paid before her death. In a note to the Nevada Observer the controller pointed out that the fine had been paid in full. The guilty verdict from the ethics panel automatically brought impeachment charges before the legislature. The Assembly voted unanimously on three charges and impeached Augustine who then stood trial before the Senate. That trial was more of a political show than an impeachment trial, and of the three charges, Augustine was found guilty of one. She was not removed from office. Known throughout her political career as fiery and with a quick temper, Augustine refused to relinquish her office. Because of term limits she would not have been allowed to run for reelection and opted for the office of State Treasurer. In his testimony, Higgs attempted to portray Augustine as a crusader who had found discrepancies in the treasurer's office and was being threatened by other political forces even to receiving death threats. Those have not been previously reported. Higgs believes Augustine died of heart failure brought on by the overwhelming situations she had found herself in. There has been conflicting testimony from various forensic experts on whether or not Augustine died from heart failure, poisoning, or something else. The jury believed poison administered by her husband. Higgs was led from the courtroom in shackles amid great smiles from the Augustine family. ____________________ Mobsters From Past Era On Trial In Chicago Nevada History To Be Large Part Of "Family Secrets" Investigation In Chicago they are called the Chicago Outfit, in Nevada usually just the Mob, and repercussions from their activities over the last half century or more will be felt in both areas as the "Family Secrets Investigation" trial gets underway in Chicago. Nevada hit men are expected to testify, some are already acting the coy part, the rock star equivalent in gatherings with the working press. Some have already pleaded guilty and at least one has gotten off. The charges could put many away for the rest of their lives, and possibly interrupt business in Nevada if certain names surface. The trial will focus on murders that took place years ago and over a many year period, will have testimony about conspiracy and corruption of public officials, and feature criminal testifying against criminal, in one case, brother against brother. The "family" is a word that does not include familial protection. It is me, my, mine from the gitgo. Federal racketeering laws have been toughened recently and coupled with DNA technology has led to the ability of federal prosecutors to bring members of the crime family to justice. A jury has been seated, we know that, we just don't know who they are. The federal judge imposed a little used element and declared the jury to remain anonymous. Three men have pleaded guilty so far in the case, Nicholas Ferriola, Joseph Nenezia, and Michael Marcello. Frank "The German" Schweihs was dropped from the trial for health reasons. Murderer, or in the vernacular, hit man Frank Cullotta is one of the prosecution's star witnesses, at least according to Cullotta, and is expected to testify against Joey "the Clown" Lombardo, accused of several murders, conspiracy, money laundering, political fraud, and other crimes. Lombardo is believed to be the top man in the Chicago outfit and is believed to have killed several members of the mob as well as others. Cullotta, originally from Chicago but better known as being a part of Nevada's hole in the wall gang run by Tony "the Ant" Spilotro is a convicted murderer and receives protection from the feds in their witness protection program. Cullotta plays the part of "mob associate" as often as possible and still has close ties to mob activities in southern Nevada. While Lombardo is called the clown, Cullotta plays the part, and some fear his love of the spotlight will lead to him saying something to upset the current apple cart. International gangs, sometimes known as "the family," or "la cosa nostra," or "the mob," still operate in Nevada, reduced somewhat by the corporatizing of the gaming industry, but heavily involved in the $kindustry, drug distribution, money laundering, and political and criminal conspiracy would not tolerate more fed intervention in their activities. Federal investigations of criminal activity in Clark County are continuing. Among those to be tried are Frank Calabrese, Sr., James Marcello, and others in the outfit. Among the murders that will be discussed are the brutal killings of Tony Spilotro and his brother Michael. Spilotro ran the mob's activities in Nevada, headed the group responsible for skimming millions off the top of gambling joint winnings, money laundering activities, drug running, prostitution, and murder. Cullotta now is portraying himself, not as a gun for hire, but in his words recently as "Changed." He told a reporter, "I probably couldn't kill a fly now," which of course makes him a good guy. He is known to have bombed one man to death. Spilotro kept a tight reign on Nevada operations and according to Cullotta had those that deceived him killed immediately. It is believed that when Spilotro's brother Michael started operations outside what Tony wanted that things started going bad. Michael Spilotro was viciously mean, had his own ways, and the Chicago leadership decided to get rid of both brothers. The trial might bring answers as to what actually happened. Was Lombardo the triggerman? Did he make the final decision? What was Cullotta's part in the affair? Cullotta was a boyhood friend of Spilotro in Chicago and came to Vegas when called. Spilotro organized what became known as the hole in the wall gang and Cullotta was a big part of the organization. The name came from the fact the gang would go into on office or building by punching a hole in a wall thus averting door and window alarms. Robbery, murder, drugs, and money laundering were secondary to skimming in the days of Spilotro. The Chicago Outfit was wealthy at the hands of Spilotro and Company. Rolling cartloads of money would move from the casino floors, but never quite reach the counting rooms, some believe to the tune of hundreds of millions of dollars. Questions that some hope are not answered by this trial of the century deal with the organized crime influence in Nevada today. It is well known that many of the more flamboyant members of southern Nevada's $kindustry have mob relations, many have been convicted of political corruption and bribery along with conspiracy to influence, but whether or not that organized crime connection gets any higher hasn't been proved. Members of the Clark County Commission are on their way or are already in federal prison from their relationship with mob activities, federal investigations of alleged criminal activity at Las Vegas City Hall are underway, and fingers are ready to be pointed. Will the Chicago trial bring revelations about the depth of organized crime in Las Vegas? The trial is expected to last through the summer and one never knows when one of these "clowns" might spill many beans. ____________________ Political Crime Beat Galardi, Kenny, Davidson, Rizzolo, And Etc. Clark County Filled With Conspiracy, Fraud, Favors, Cover-ups by Johnny Gunn Clark County grew to its current level of existence through International Crime Syndicates, grew from a sleepy little desert springs and crossroads into the gambling Mecca of the world because of criminal activity, so why should it surprise anyone that an indifference to political fraud, criminal conspiracy, and alleged judicial involvement be a normal part of everyday life? When one finds that almost every instance of political criminal activity is brought before a federal bar, not local, when one finds city and county election turnout in the 15 percent range, and when one reads in major newspapers published outside the state about alleged local judicial involvement in those crimes, one begins to understand the generations deep problem; a problem that won't be answered by way of local involvement in most cases. It's been noted before that the Clark County Commission is the most desired office in the state, more so than any legislative or state office, barring perhaps that of governor or attorney general and most recently many members of that august body have found themselves packing bags for a trip to federal penitentiaries. An ongoing trial involving bribery charges leveled at former County Commissioner Erin Kenny spells out how degraded the system of political power in Clark County has become. Kenny has been accursed of accepting bribes of up to $200,000 for votes and other favors while serving on the commission. Land developer Lawrence Davidson, Sr., and his son have been accused of giving the bribes in order to secure a change in land use, which would allow a pharmacy to be built. But, there's more to it than what meets the eye on first read. Davidson has also been accused of offering Kenny bribes in order to get a casino project accepted by the commission a few years earlier. All these charges are at trial now, in federal court of course, since no local charges have been filed despite the fact the feds involved local investigators in their conspiracy investigations. The Las Vegas City Attorney and the Clark County District Attorney seldom involve themselves in local political criminal investigations, and even more rarely bring actual charges to bare. That trial is continuing as we go to press. Davidson's son has also been charged in the conspiracy but is on the run from John Law at this time. In the meantime U.S. Federal Judge Larry Hicks has given Michael Galardi a few extra days to get packed for his trip to the pen. Galardi is scheduled to go behind the wall on July 6 according to the latest information from the federal court. Galardi was sentenced to 30 months in prison for his part in bribing and acting in a conspiracy with other Clark County Commissioners. In a sensational trial Galardi was found guilty of offering and giving hundreds of thousands of dollars in bribes through his bagman, Lance Malone, a former cop and former member of the commission. There was so much sex involved it was almost impossible for a family news outlet to discuss what was said in court. Galardi operated strip clubs, that is he was a part of Clark County's notorious $kindustry and has been linked on occasion with members of the mob as have most within that industry. Probably the most infamous of all the bare-breast pimps is Rick Rizzolo, operator of Crazy Horse Too $kin club. On paper, most accept that Rizzolo owns the club, but at the same time, since decisions are being made outside Rizzolo's current ability to make those decisions, it appears that organized crime pulls the strings, makes the decisions. Rizzolo is serving a 366-day sentence set down by federal judge Philip Pro, not at a federal prison just yet, there's no room at the inn, he's in Los Angeles County lockup while his strawman Mike Signorelli runs things. Signorelli managed to squeeze a "permanent" liquor license out of the Las Vegas City Council while he attempted to put together the funds to buy the club. Those funds never existed according to many, and the deal fell through. Supposedly, Signorelli is now leasing the club, but even that is being questioned. The permanent license that was granted actually ran out on June 30. As we go to press, the situation at the Crazy Horse Too is up in the are. According to the plea bargain that Rizzolo made with the federal government if the club wasn't sold or in escrow by June 30, the feds would take it over. There have been rumors of a 30-year-old coming forward saying he has the money to make the deal, but no paperwork has shown up, and many discount the idea. "Just another Rizzolo trick to stay in business," is how one city hall wag described the attempt. If the feds take over the club and simply close it, what they will be attempting to sell will be a big empty barn. If they try to run the operation, they may have something to sell. If they keep letting Rizollo (Mob) strawmen run things, they'll never see a dime. If the club goes into federal receivership, Judge Pro will have to put in a management team or close the club. If he decides to put in a management team of his own, he will probably also have to go through the process of background checks for the team to satisfy the Las Vegas City Council. Of course with Mike Signorelli as the club's current manager, satisfying that body shouldn't be too difficult. The Las Vegas City Council had a meeting scheduled on June 27 and the Crazy Horse Too license was not on the agenda. The next regularly scheduled meeting of the council is July 11. The June 30 date is a bit arbitrary in that the city licensing department can revoke the license without council action, but understanding the mayor's position on the Crazy Horse Too project, that would be doubtful. Mayor Goodman has already recused himself from voting and taking part in discussion before the council, but his relationship with Rizzolo, his attorneys, and others has not kept him from back room bargaining. If the feds take over what former Las Vegas City Councilman Steve Miller calls a slaughterhouse, it wouldn't be the first time they've been in awkward positions with strange businesses. When the IRS closed the Mustang Ranch, probably far more notorious than the Crazy Horse Too, and chased brothel owner Joe Conforte out of the country, federal agents ran the licensed and legal house of prostitution for some time. The Mustang Ranch was in Storey County, the first such house of prostitution to be licensed and taxed, not just in Nevada, but in the country. The business was just off Interstate 80 on the road between Reno and Salt Lake City. Organized crime has influenced lives in Nevada for more than half a century and it will take much more than the closing of a $kin club or two, or the guilty pleas of criminal politicians to change that. Apathetic residents of the county have allowed people less than qualified, often criminal in intent and desire, to run things in Las Vegas, in Clark County, and within the judiciary for so long that many believe it will take several generations before real government can be expected in the area. With few exceptions virtually the entire Clark County legislative delegation was reelected without opposition in 2006 despite the fact that many had been ethically challenged and found wanting. The Las Vegas Mayor thrives on being referred to as the mob's mouthpiece, members of the sewer level $kindustry thumb their collective noses at the concept of the rule of law, and only federal investigations find their way to court. But only the citizens of the Las Vegas Valley are in a position to make changes. ____________________ Repercussions From Smoking Ban Blamed For Job Losses Construction Woes Included In Long List Of Causes According to a news release from the Nevada Department of Employment, Training, and Rehabilitation (DETR), there has been a jump of more than 50 percent in the number of unemployment claims coming from the food preparation and service areas during the first quarter of 2007. Some within the department claim this is because of the passage of the statewide smoking ban in places that serve food. According to DETR director Terry Johnson, "It appears that due to the smoking ban, some establishments are choosing gaming over food service, leaving kitchen workers unemployed." The current unemployment rate in Nevada sits at 4.6 percent. Construction has also faced a hit from the unemployment bug with a 45 percent increase in the number of construction related claims with the last year. Johnson said, "This can be attributed to the continued slow down in housing." According to officials at DETR, Industries with the largest annual percentage growth in unemployment insurance claims were transportation and warehousing at 52.7 percent; professional and technical services at 50 percent; and real estate, rental, and leasing at 49 percent. The 4.3 percent unemployment rate is one tenth of a percent higher than the national rate and according to Johnson, it is the first time in five years that Nevada's rate has been higher than the national rate. In Las Vegas, the unemployment rate for May was 4.2 percent. Job growth also fell of statewide according to the latest DETR figures. Last year the growth rate was 5.2 percent, and it has dropped to 2.2 percent, the lowest in five years. The Washoe County unemployment rate stands at 4.2 percent according to the May figures, down one tenth of one percent from April but up from the 3.7 percent recorded just a year ago. Spring in northern Nevada generally brings a decline in joblessness because of good construction and tourism weather following winter woes. Construction of new housing however is off from previous years in the north as well as the south. DAVID PLEASE PUT THE PDF GRAPH HERE Governor Jim Gibbons has named a replacement for DETR Director Johnson who is leaving the department to pursue a career in law. On July 2, Larry Mosley will take the reins. "Larry is a people person," Gibbons said, "with outstanding organization and management skills proven during his three decades with IBM." The governor had considerable praise for outgoing director Johnson. "Terry has distinguished himself and the department through his leadership." Johnson will attend the Boyd School of Law at UNLV according to the governor. A change in reporting jobs available and worker availability has been announced by DETR. The U.S. Labor Department will discontinue America's Job Bank and replace it with America's Job Exchange according Cindy Jones, administrator for DETR's Employment Security Division. For more information on this, contact the department at  HYPERLINK http://www.nvdetr.org http://www.nvdetr.org. ____________________ "Insourcing" Begins In Nevada As AT&T Opens 650 Jobs Internet Activity Responsible For Customer Service Positions The communications giant AT&T has announced the openings for 650 new positions in the Nevada operations with 350 to be placed in Las Vegas and 300 in Reno. The positions with the customer service division had previously been outsourced and the jobs are now coming home; "insourcing" is a new concept for American corporate business. AT&T Nevada President Hal Lenox said, "We bring these jobs to the state of Nevada because of the visionary leadership of our legislature and our governor." Nevada is a business friendly state, he said. "They (the legislature and governor) have created a pro-growth culture and the right business friendly climate to bring hundreds of new jobs to Nevada." According to the company, hiring will begin in Las Vegas in the fourth quarter of 2007 and in Reno during the second quarter of 2008. More information, including job application papers are available on the company website  HYPERLINK http://www.att.jobs http://www.att.jobs. The jobs will support AT&T's data calling center, which handles customer service across the country according to a company press release. Increased activity from AT&T Yahoo! High Speed Internet service is what has led to the job openings. Management jobs are part of the initiative and the company said it is working in a partnership position with the Communication Workers of America (CWA). "This is a good day for the people of Nevada and for our economy. We must continue to provide incentives for companies so that they'll invest in our state infrastructure both technologically and through employment opportunities," said U.S. Sen. John Ensign. Ensign is believed to be partly responsible for removing what AT&T calls burdensome government regulations. "When we create laws that encourage companies to compete in the marketplace in Nevada, one of the added benefits is investment in technology, jobs and infrastructure, which in turn benefits Nevadans," said state Senator Randolph Townsend, R-Reno. "As legislators, we work to provide a framework that promotes competition and allows the marketplace to flourish. When that happens, we all benefit." AT&T recently purchased Bell South, which gave them the Cingular cell phone company and has signed a deal with Apple to offer the I-Phone. Communications has moved rapidly into technology that just ten years ago didn't exist with such things as complete Internet service on a telephone, music, calendar, and immediate connection to the business world. Some in the field say that devices that are available today are so far advanced that many of the users have no concept of what an instrument is capable of accomplishing. This in turn has led companies such as AT&T to invest in customer service employees that are capable of answering very technical questions from users. The CWA representative for Nevada, John Doran said, "Our Nevada telecom workforce is among the best that you will find in the country." Doran went on to say, "We have a proud history of serving customers and we plan to preserve that tradition." ____________________ Changes At Public Utilities Commission Made By Guv Soderberg Out, Thompson In, Kelly New PUC Chair Current Public Utilities Commssion Chair Don Soderberg has retired from the commission effective July 13, and Governor Jim Gibbons has appointed Commissioner Jo Ann Kelly as chair. Gibbons also appointed Samuel Thompson to fill the vacancy created by Soderberg's retirement. Sam Thompson has outstanding credentials for a PUC commissioner," Gibbons said. "He has served as a judge, a judicial referee, a mediator and a regulator. He has earned a reputation for fairness by carefully listening to both sides of a case and making a decision based on solid principle. He is exactly the sort of person who should represent Nevadans in utilities issues. Thompson currently serves on the Nevada Transportation Authority, which regulates busses, taxicabs, and moving companies. Im honored that the governor has expressed his faith in my abilities by appointing me to this important position. I share Governor Gibbonss desire to develop renewable energy sources within Nevada, and Im looking forward to working with the industry, the legislature and consumers to find the balance needed to foster the development of this energy for the benefit of all Nevadans, said Thompson. The Nevada PUC has been slow to demand full accountability to the state's rules on the amount of renewable energy that is to be distributed by the electric companies (See following article). The governor indicated that he would like to see more development in that direction. The PUC's new chair, Jo Ann Kelly shares an interest in developing renewable energy sources. Kelly has an extensive history of service in Nevada government, beginning with her appointment to the Nevada Welfare Board by Governor OCallaghan and her reappointment by Governor List in the 1970s. Governor Richard Bryan first appointed her to the Public Utilities Commission (then known as the Public Service Commission) in 1985, making her the first commissioner to serve in the new Las Vegas office. She was re-appointed by Governor Bob Miller, and continued to serve as a commissioner until 1996. Governor Kenny Guinn brought her back to the Commission through his appointment in 2005. Governor Gibbons becomes the sixth governor to appoint her to a Nevada regulatory board and the fourth to appoint her to the PUC. I appreciate the governors confidence in me, Kelly said. "As our energy demand rises with our growth, we must ensure that our utility companies are building a supply system that can provide reliable power for Nevadans for generations to come. I am committed to making sure our consumers get that reliable power at the best possible price. Kelly and Thompson will assume their new positions on July 13. ____________________ What Is Causing Foot Dragging In Renewable Resource Production? Companies Should Be Flocking To Silver State Because Of Climate by Johnny Gunn Governor Jim Gibbons has signed executive orders, solar plants are being constructed, geothermal plants are on line, wind studies are being conducted at the highest levels of academia, and the state has yet to meet the standards set for renewable energy production. Nevada is among the prime locations for large, efficient solar systems and there are only two that seem to be moving forward. Acciona Solar Power Company, now the owner of Nevada Solar One originally conceived by Solargenix, is well behind schedule for being on line and the new solar system at Nellis Air Force Base is just getting under way. Nevada Solar One is a 64-megawatt project that could be duplicated in hundreds of locations in central and southern Nevada and produce vast amounts of energy without jeopardizing the ecology of any area. Rather than a large array of solar panels, Nevada Solar One uses concave mirror systems to focus the sun's energy on tubes filled with mineral oil. Superheated, the mineral oil is then pumped through vats of water creating steam to drive turbines, thus generating electricity. There is no loss of mineral oil, minimal loss of water since the steam is recovered, and no damage to the environment or air quality. According to most, this is a win-win situation for the generating plant, for the distributing company, and for the users of electricity. The cost of the power is slightly less than equivalent power produced by natural gas and slightly more than that produced by coal. All the above leads to the question, why aren't there more plants like the Acciona Solar Power plant being considered in Nevada? When Solargenix was still in the planning stages to build Nevada Solar One, part of their financial problems came from the economic woes of Sierra Pacific Resources, home to Nevada Power in southern Nevada and Sierra Pacific Power Company in the north. The bond rating for Sierra Pacific Resources was in the basement following the energy crisis of 2000, the Enron produced energy crisis, and the response to that from Sierra Pacific Resources. Sierra Pacific took a bath from poor decisions made during that crisis and Nevada ratepayers will be paying off those poor decisions for years to come. Those wishing to get into the renewable energy game in Nevada have very few options when it comes to selling the power they generate. In reality, the only game in town is Sierra Pacific Resources, and getting financing to build something like Nevada Solar One would depend on the economic stability of the company one would wish to sell the product to. To build solar plants in the 60-megawatt or more range takes an area with abundant sunshine such as vast areas of central and southern Nevada. It also would need a buyer for that power, and that would be Sierra Pacific Resources. There are two other factors that must be addressed before one can put the blueprints to bid. Transmission lines and permitting. Gibbons addressed the permitting question by way of an Executive Order supporting development of renewable energy in Nevada. It focuses on streamlining the permitting process. County, state, and federal permits are required and the process often becomes tedious to a fault. Donald Soderberg of the Public Utility Commission of Nevada has said, "Nevada has a tremendous untapped potential for renewable energy. Cutting red tape will help us accelerate the development of these important resources." A statewide task force of energy experts has been formed by Gibbons to promote and develop renewable energy in the state. A lack of a grid of transmission lines is a major roadblock to that development. The rural areas of Nevada simply are not criss-crossed with major transmission lines. Interestingly, Nevada Power and Sierra Pacific Power are not connected by a transmission line. Northern Nevada power cannot reach southern Nevada and vice versa. Power distribution in the Silver State is still in the Jurassic Age according to some. A transmission line connecting the north and south is being planned and its planning pretty much indicates how renewable energy is not a high priority within the power industry in Nevada. The line is contemplated to connect White Pine County with Clark County. It would connect for the first time the resources of Nevada Power Company and Sierra Pacific Power Company, but only because of the planned 1500 megawatt power plant Sierra Pacific Resources has near Ely. That plant and one near it being planned by LS Power Company would be coal fired power plants. Coal fired power plants seem to the choice of the state's energy producer with renewable energy sources just an item to be discussed at PUC hearings from time to time. There is no recognizable renewable energy focus at Sierra Pacific Resources The transmission line would begin in Montana, run through Wyoming, parts of Utah and Colorado, and then along the eastern border of Nevada. It was designed to bring power to southern California, but California has enacted legislation concerning coal-fired energy that may preclude those plans. Energy from coal fired plants cannot be imported to California from other states. In the Mojave Desert of southern California there are several large solar energy plants built along the lines of Nevada Solar One with most of their energy pouring into the Los Angeles Basin. Some of the solar plants actually dwarf the large plant in southern Nevada and transmission lines were built to enable the resource to be developed. What will it take to get that type of coordinated thinking to work in Nevada? A concerted effort to develop transmission lines is the one part of the puzzle that is missing according to energy experts. Generally, the company building a power source would plan to connect to an existing grid, but in the case of renewable resources, the grids aren't there. In some cases, for instance the Ormat Industry's geothermal plant near Reno and Acciona's solar plant in Clark County, major distribution transmission lines are available. Who should build or create the grids? Many believe it is the distributor who has that responsibility. In Nevada, that would be Sierra Pacific Resources. Costs to put transmission lines and grids into place are high and the return is a long time coming. That may be why there is apparent apathy in the industry. ____________________ Nominations Due For Governor's Appreciation Awards Awards Program Now In Its 23d Year Nominations are now being accepted for the 23rd Annual Governors Industry Appreciation Awards. The awards recognize new businesses that have moved to Greater Reno-Tahoe and existing companies already within the region experiencing substantial growth. The nominations for the 2007 Distinguished Business of the Year award and company Honorees are due July 30. Nomination forms and award criteria are available at http://www.edawn.org/event/gianc.cfm. The 2007 Governors Industry Appreciation Awards will be held November 1, 2007 at the Grand Sierra Resort at 5:30 9 p.m. The event is co-sponsored by the Economic Development Authority of Western Nevada (EDAWN) and the Northern Nevada Development Authority (NNDA), in cooperation with the Nevada Commission on Economic Development. The Governors Industry Appreciation Awards began in 1984 to recognize new businesses in the region as well as existing companies that have experienced significant growth. The Distinguished Business of the Year award recognizes an outstanding company that has been in business for more than five years and demonstrates good corporate citizenship. Honorees are companies new to Greater Reno-Tahoe or have had a significant expansion in the past year. Companies are eligible if they do business in Greater Reno-Tahoe, which encompasses an eight-county region including Carson City, Churchill, Douglas, Lyon, Mineral, Pershing, Storey and Washoe county. For more information, go to http://www.edawn.org/ or call EDAWN at 775.829.3712. ____________________ Whistleblower To Get His Day In Court Ninth Circuit Denies Appeal By Washoe DA Gammick So far Washoe County has spent almost a quarter of a million dollars attempting to defend Washoe County District Attorney Dick Gammick and the trial has yet to begin, according to county officials. Rene Botello was a Washoe County Sheriff Deputy when he alleged that two nurses were not qualified to examine children in child abuse cases. When he brought his information to the attention of his superiors and to the district attorney, he was told not to pursue the situation any further. Botello said that Gammick and John Helzer, an assistant district attorney made it clear to him that the information should be kept mum. He instead went to the Nevada Attorney General and to the FBI with his information, which in turn led to serious consequences for Botello. Botello says that Gammick and Helzer were responsible for him losing his job in the sheriff's office and for him not being able to get a job in law enforcement. Gammick, he says spread the word to all law enforcement agencies in the county that Botello would not be allowed to testify in any court proceeding, thus forcing him from his stated profession. Gammick has not responded at all in federal court proceedings so far, only stating that he has absolute immunity in conjunction with everything he has done to Botello. The Ninth Circuit Court of Appeals rejected his argument and stated that the federal trial must proceed. Botello is represented by well-known civil rights attorney Terri Keyser-Cooper who says that the county and Gammick have hired at least three outside law firms to help with the case. "It's truly a case of David against Goliath," she said. If the trial does get underway it could last at least one full month or more. Washoe County has already spent $243,569 in outside legal fees, and the trial could cost hundreds of thousands more. The case revolves around testimony and investigations into child abuse and child sexual abuse when Botello says that two nurses who at the time regularly examined children for child sexual abuse and testified as to their findings, had reached incorrect medical conclusions. The nurse's conclusions could have put a person in prison for 20 years or more. Botello said at least three pediatricians at Children's Hospital in Oakland, California were his sources of information. The case had to do with the possible rape of a child and the nurses indicated there had been penetration and the doctors all said there was no penetration. The nurses in question worked for a program called CARES, which is under the direction of the district attorney's office. Botello had 16 years of law enforcement background when Gammick and Helzer allegedly created the situation that would not allow him to testify in any court proceeding handled by the Washoe County District Attorney. Without the ability to testify, Botello could not be a police officer. It is alleged that Gammick even put so much pressure on other agencies that Botello could not even be hired as a truancy officer in the school district. At this time there is no date set for trial to begin. ____________________ Big Money Heads To Industrial High School In Reno Academy For Career Education To Receive About $130,000 The charter school uses the acronym ACE, and they scored in aces recently when Kurt Busch of NASCAR fame teamed with Western Nevada Supply and Water Works Industry Solutions and offered a $130,000 donation in grants and water works training modules. Water Works Industry Solutions (WWIS) produces training DVDs aimed at the water supply and wastewater industry, specifically the proper installation of underground pipes. Trade industries are suffering from a lack of qualified workers, which as a result can increase the misuse of precious natural resources. Populated areas are suffering as a result, as drought and water waste have restricted water use in many areas. Many business and economic associations have discussed at length the problem of filling good paying jobs with local talent. This could alter the picture in the Nevada water industry. State Senator Randolph Townsend said the importance of proper pipe installation is often taken for granted, but plays a crucial role in community quality of life. "Broken mains not only mean lost water, but also lost tax dollars," he said. It is estimated that nearly $100 million each year is lost, Townsend said. "Proper installation can turn the trend around." Prior to driving very fast and turning left, NASCAR champion Kurt Busch was an employee of the Las Vegas Valley Water district. The Kurt Busch Foundation supports the advancement of technical programs in education. ACE Charter High School was recognized as the 2006 Top Construction Futures Program by the Associated General Contractors of America for integrating high school curriculum with real-life construction experience and training. Western Nevada Supply is one of the West's leading plumbing and construction supply firms. Their donation in the philanthropy package will help set up classroom modules where the pipefitting program will be taught. For more information about the Academy for Career Education, go to  HYPERLINK http://www.acehighschool.org http://www.acehighschool.org. ____________________ Community College Of Southern Nevada Is No More Name Changed To College Of Southern Nevada As is happening throughout the land, the Community College of Southern Nevada (CCSN) is dropping the community part of its name and is now known as College of Southern Nevada. The Community College Baccalaureate Association predicts that within ten years, community colleges across the United States will refer to community colleges simply as colleges. The drive to change the name was led by CCSN Student body President Presley Conkle, backed by 10,000 signatures on a petition, and by the Nevada system of Higher Education Board or Regents. Founded in 1971 and educating more than 70,000 students annually, the College of Southern Nevada ( HYPERLINK "../TNO%20Transfer%20Folder%20070701" http://www.csn.edu) is the states largest college. CSN is one of the countrys most exciting and dynamic colleges with more than 200 degrees and certificates in more than 100 areas of study. Students create flexible, personalized schedules including day, evening, and weekend classes taught on three main campuses, 14 academic and learning centers, and many satellite locations throughout Southern Nevada. Along with the name change are numerous administrative and departmental unit changes that have taken place at the school. Removing community from the name of the college falls in line with a national trend to help graduatessome who have received bachelors degreesacquire employment, said Conkle, adding that community colleges typically offer two-year associate degrees, not baccalaureate degrees. 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