Dump the CDO 3

Saturday, September 27, 2008

By John Nordquist

Driving out to Waterford today Lisa read me the Gary Kunich article in Kenosha News about the Thomey announcement. Got to hand it to Kunich again for his excellent reporting, and I have to say I am impressed as well with Mr. Thomey's challenge to the board seat he hopes to take on. He very clearly proves what we all hypothesize; the board was fully aware of the risks, took the risks anyway, and are now doing everything they can to weasel out of it.

ALL THREE NEED TO GO.
As de facto head of the board, spokesperson, and strongman, Eric Olson has directed and presided over this entire messy affair. Would you keep a manager in your company who lost millions of dollars and tried to cover it up and nastily accused probers of being trouble-makers? No. Get rid of him now before the feds do it for us. Marc Hujik, a professional finance/investment consultant was most instrumental for advising the rest of the board to sign on. Of all members responsible for this incredible loss, he should have known more. Its a dangerous precedent, I think, to put a professional 'gambler' (investment consultant) in charge of millions of public, no-personal-risk tax dollars. Pam Stevens, as President of the Board of Education, elected on her promise to always be up front and accessible and work for us, the people of Kenosha, very quickly joned the hush-hush good-ole-boy network and helped propagate the lies associated with the CDO, refuses to answer public inquiries and deflects them to a public relations firm, shirking her sworn duties and ignoring law. It's really personally disappointing because I was always one of her cheerleaders in the past

It's ironic the the three chief's of the CDO tragedy are up for re-election. Its a great opportunity though for Kenosha to clean up the mess and re-create the board and focus its efforts back to running schools and serving the public.

Amusement or Obsession? The Spread of Video Poker in Kenosha

Friday, September 12, 2008

By Lisa Loring and John Nordquist

KENOSHA, WI - From bars to gas stations, restaurants and convenience stores, video poker machines seem to have appeared out of nowhere. Officially for amusement only, since state gaming laws prohibit gambling except in licensed Class B establishments, the proliferation of these video poker games and the scores of addicted gamers, are a violation that apparently falls below the radar of law enforcement.

A casual visit to MIAN'S Gas, a convenience store gas station located at 50th Avenue and 60th Street, will find a number of elderly patrons stting at one of their 4 gaming machines shoving dollar bills into the slot in hopes of winning 3 7's, or a good poker hand. At Miraz Restaurant on 75th and Sheridan, patrons who are not there to eat sit at the video-poker and winners are pulled aside by the management. In one restaurant near Milwaukee, we stood for ten minutes waiting to pay for our dinner while management and staff stood intently as a patron worked a video slot machine.

Video poker machines may be legal in Class B establishments like taverns with proper permits, but State of Wisconsin statutes prohibit gaming in other establishments and businesses. Under a state law, which was changed in 2003, it is not a criminal offense for establishments with Class B liquor licenses to have five video poker machines or fewer. Violation of this law is a misdemeanor. Class B establishments are places where alcohol is both sold and consumed, such as restaurants or taverns.

According to the state website, The Wisconsin Department of Revenue has sole jurisdiction over Class B establishments’ poker machines. According to statutes, it is a criminal offense to have video poker machines at locations that do not have a Class B liquor license, such as gas stations and convenience stores. State Law describes gaming machines as:

A contrivance which for a consideration affords the player an opportunity to obtain something of value, the award of which is determined by chance, even though accompanied by some skill and whether or not the prize is automatically paid by the machine.

While a gambling place is described as:

Any building or tent, any vehicle (whether self-propelled or not) or any room within any of them, one of whose principal uses is any of the following: making and settling bets; receiving, holding, recording or forwarding bets or offers to bet; conducting lotteries; or playing gambling machines.

A person may be accused of operating a commercial gaming establishment and be charged with a Class I Felony if they:

(a) Participates in the earnings of or for gain operates or permits the operation of a gambling place; or
(b) For gain, receives, records or forwards a bet or offer to bet or, with intent to receive, record or forward a bet or offer to bet, possesses facilities to do so; or
(c) For gain, becomes a custodian of anything of value bet or offered to be be

A person in violation of these state laws may be required to forfeit not more than $500 if 1 gaming machine was in use.. If the violation involves 2 video gambling machines, the forfeiture is $1000, for operating 3 machines the forfeited sum would be not more than $1,000. For 3 machines it is $1500, for 4 it is $2000, and for 5 machines it is $2500. As far as other establishments offering poker games and other gambling devices,such as convenience stores and gas stations, local law enforcement agencies have jurisdiction. It would then be up to the District Attorney to bring about charges and prosecute the cases. Local law doesn't differ. According Kenosha's local ordinance on gambling - 11.04 GAMBLING

A. Forbidden. No person shall keep any gambling resort, or keep or use any article or device for gambling purposes, or permit any person to gamble, bet or play for money or gain, with or by means of any such article or device, in any room or place under his control; nor shall any person gamble, bet or play for money or gain with or by means of any such article or device.
No person shall bet or wager any money or other thing of value upon the result of any trick, contested skill, speed or bets of endurance of man or beast, or upon the result of any political nomination, appointment or election.
B. Seizure. The members of the Police Department are hereby authorized to seize and hold all gambling articles and devices found by them, and dispose of the same in accordance with the directions of the court.
C. This Section is not violated by activities and the devices authorized under the provisions of Chapter 563 of the Wisconsin Statutes - Regulation of Bingo.

We have talked about this many times after noticing poker machines spring up in local gas stations. This interest was heightened when a newspaper from another city discussed how some of their alderpersons were concerned about the increase in gambling, and were pushing for a crack down. We're not sure that this is a high priority, or if this ordinance is enforced often in Kenosha, but, an ordinance is in place for a reason. We have to wonder why new ordinances such as the new smoking ban would even be proposed if compliance with existing laws are being ignored.

Be Honest: How Important is Race in Your Kenosha View?

Sunday, September 07, 2008

Education “is the civil rights issue of this century,” John McCain said in his acceptance speech at the Republican National Convention. "Equal access to public education has been gained, but what is the value of access to a failing school? We need to shake up failed school bureaucracies with competition, empower parents with choice. Let’s remove barriers [...]"

This one statement is perhaps the most impacting and revealing than any other in defining where our country is and what has been accomplished in 232 years. It didn't matter that it came from McCain's mouth. It could very well have come from Obama, or George Bush, or anyone else and still accurately depict how far we have come and what struggle lie
ahead of us as a nation.

The 19th Century struggle was to define America as a nation, to expand
our borders, and to stake our claims. In the process, millions of our
people were enslaved, millions died in genocidal death camps
(reservations), and millions died in civil war as we tried to set the
course of civil rights straight.

The 20th Century, coming of age with a 100 year old constitution,
matured and tested, struggled to ensure that all people and all races were included and protected and not just the white male dominant majority population. Though our national creed included near holy
mantras like "all men are created equal" and "e pluribus unum (out of many, one)," the shameful reality was an America with no equality among races and genders at all. Constitutionally, racism was illegal at the federal level, but state and local governments, as well as institutions like schools, hospitals, even churches, remained racially segregated. African-American's may have been freed from slavery in the 1860's, but in the 1960's they were still segregated from an affluent white America and excluded from the political process.

The idealism of the founding fathers that created a union of free peoples could not carry the hearts and minds of a racially diverse population. Jews could not be members in most country clubs. Indians died off on shrinking reservations. Blacks were denied education in public schools segregated in all facets of society.

In the 1950's, the great civil rights struggle went national, with President Eisenhower committing federal troops to force states to comply with equality law. By the 1960's, the Rev. Dr. Martin Luther, Jr. inspired the mass movement to ensure that all racial barriers were removed from society, and over the next 40 years, government, business, media, and education moved with it.

Racism is not eradicated. Race is still a factor in many different facets of life. Disparities in income and education, crime statistics, and job opportunity are still evident, yet with each new generation of American born, equality is more a reality.

As we move into the 21st Century, we do so knowing that discrimination based on race, religion, gender, national origin, and any other designations that define our diversity, shall not be tolerated, and in fact, intentionally violating the civil rights of another based upon any of the above will result in criminal liability.

If anyone doubts that the great American struggle for civil rights has been won, they need to explain how Barack Obama, a racially mixed American, could stand at this moment just a breath away from becoming the leader of all Americans, capturing the hearts and hopes of half of the country and the respect of the rest.

Defining education of our children as the civil rights struggle of the 21st century is the quiet declaration of peace and victory in the stuggle for equality of the 20th century.

In 1965 there were probably only a handful of Americans, perhaps idealistic followers of the Rev. Dr. Marin Luther King, who could look to the future and see an America where a black man could be nominated by a ruling party to be their candidate for President.

Kenosha Unified Investment should be prosecuted by U.S. Attorney

Saturday, September 06, 2008

Written by John Nordquist and Lisa Loring

It is the position of The Daily Kenoshan that the CDO cloud hanging over our Kenosha public schools be referred to the U.S. Attorney for investigation and prosecution. From its inception the investment, which has lost $23,000,000 to date, has been cloaked in lies, false characterizations of the nature of the investment, and was illegal under state law.

Documents received by KENOSHA NEWS reporter Gary Kunich show that KUSD board members knew as early as May of 2007 that the investment was in danger, yet despite that knowledge, board and district officials persistently lied to the public by insisting that the investment was sound and safe. Under State law, speculative and risky investments of public money is illegal. The KUSD Board knowingly and incorrectly characterized the investment as "bonds" which would mature in 2112. The investments in no way resemble bonds, but are in fact Credit Default Swaps with no promise of return.

The State Department of Public Instruction warned the KUSD, many months prior to the commitment of public funds, that they must not risk public money in risky investments.

The original advisor guiding the District in the CDO investment characterized it as risky and warned the board accordingly.

In addition to these facts, the relationships and associations of key players in this scheme suggest that the investment was made with no regard to future loss. The same investment firm is also accused of duping Lac du Flambeau of nearly $30 million in risky and failing casino schemes, while the former KUSD Board President has inherited the Troha Kenosha Casino scheme.

The fact that the Board of Education persistently and knowingly lied to the public and to those inquiring about the investment, and even attempted to discredit those asking questions by referring to them as 'troublemakers' makes it painfully clear that without the full weight of the U.S. Attorney's office investigating the matter, the truth would be covered up and responsibility denied. At this time, anyone inquiring from the elected officials about the investment are referred to a PR firm for answers rather than providing facts to their constituency. Since the investment involves banking interests that are outside of the United States, local and State authorities would be less likely to succeed in investigating and prosecuting the matter.

We are therefore pressing for this matter to be taken up by the U.S. Attorney for the Eastern District of Wisconsin to properly investigate, assess responsibility and prosecute as necessary.

"Should the Common Council for the city of Kenosha be advised to prohibit smoking at all workplaces?"

Thursday, September 04, 2008

This will be the question posed to all Kenosha voters in a special referendum on the November ballot, in regards to a proposed ordinance banning smoking in all public places of employment, including bars and restaurants.

The City Council Wednesday evening, voted to put the Smoking Ban on an advisory referendum on the November ballot. By a vote of 11-5, the council voted in favor of allowing the citizens of Kenosha to decide whether or not to prohibit smoking in all places of employment.

The current smoking ordinance, passed in 2000, banned smoking in restaurants except when a separate smoking area is provided or when more than 50% of the sales of the establishment come from alcohol. The new ordinance goes a step further, no longer allowing businesses to choose whether or not their establishments will allow for an area for their patrons and employees to smoke.

Tavern owners have been critical of the plan, fearing their businesses would be negatively impacted and placing a financial burden on them. Aldermen voting against the referendum included Steve Casey, Kathy Carpenter, Patrick Juliana, Anthony Kennedy and Jesse Downing.

A group calling themselves Breathe Free Kenosha has been supportive of the ban, along with a group of aldermen sponsoring the ordinance who say it is for the "health and comfort" of the citizens of Kenosha.

An August Council meeting drew well over 100 people, a majority of which were opposed to the proposal.

Smoking Ban back on agenda

Sunday, August 31, 2008

The Kenosha City Council will again address the proposed SMOKING BAN ordinance at this weeks council meeting. The Ban prohibits smoking in most all public places, including all places of employment, such as bars and restaurants. The proposal had been deferred until November at a meeting of the Public Health and Safety committee meeting earlier this month.

Per the City of Kenosha's website, the resolution sponsored by 8 aldermen and introduced by Alderperson Donald K. Holland is as follows:To Support Placing An Advisory Referendum On The November 4, 2008, Election Ballot, To Determine If The Citizenry Of The City Of Kenosha, Wisconsin, Favor Extending The Smoking Prohibitions Of Section 4.05 Of The Code Of General Ordinances To Be Inclusive Of All Places Of Business.

Some aldermen have proposed the issue be put on a resolution on the November ballot, so the citizens of Kenosha will have the final say on the matter.

The ordinance was initially set to go to vote in the council at the Sept. 3 meeting, however, due to a large and vocal opposition the issue has demanded further discussion. Many business owners, especially those who own taverns have complained that the ordinance will be harmful to their businesses. Many of them have supported a public referrendum.

Section 4.04 of the Code of General Ordinances for the City of Kenosha entitled 'SMOKING PROHIBITED" can be read in its entirety on the Daily Kenoshan, as well as previous articles and editorials on the matter.

A Kenosha based group, "Breathe Free Kenosha" has said, "We support the council making decisions for the health and safety of the city of Kenosha. Big Tobacco and the Wisconsin Tavern League have poured money into these elections (in other communities), and it takes the power out of the City Council and grass-roots organizations."

The City Council will discuss this issue at 7 p.m. on Wednesday at the Municipal Building, 625 52nd St. There is no public hearing scheduled for this item, but public comments can be given before the meeting.

Anti-crime initiative introduced

Thursday, August 28, 2008

KENOSHA - Kenosha law enforcement and elected officials gathered today in the Kenosha neighborhood of 61st St and and 20th Ave to introduce a new initiave to combat increasing gang activity and violence in the area. The Kenosha Police Department described the initiative to the crowd of citizens, media, and politicians as a way for the city to take their neighborhoods back.

"This area belongs to the citizens of Kenosha, it doesn't belong to a bunch of rats .... Don't let these punks and thugs and rats run your lives. ... We are going to get rid of the rats, and that's what I call them." - Kenosha Police Chief John W. Morrissey.

The KPD, in cooperation with the Kenosha Sheriff's Dept. The Wisconsin State Patrol, and the US Marshalls embarked on a 5 week long plan to sweep the area of the criminal element and root out thugs and gangbangers.

"The State Patrol is going to be helping, US Marshals, and of course the police department ... Last night the first twenty arrests were made in these neighborhoods to start cleaning them up ... There's one clear message: if you don't want to follow the law, get out, because we're going to be here." - Kenosha County Sheriff David Beth

Kenosha's Mayor Keith Bosman had an easy message to the criminals, "Our message to the gangbangers and the thugs: obey the law, or leave"

Photos by Vince Mutchler