SOUTH DAKOTA STRAIGHT TALK

Pennsylvania U S Senator Arlen Specter’s switch from Republican Party is all about saving his political hide.

Senator Specter concluded that he was 20 points down in polling against former Representative and until just recently President of the Club For Growth Chairman Pat Toomey. Specter wants to stay in the Senate and he simply did not see that happening as a Republican. All his comment is nothing more than window dressing.

Office holders who switch parties while holding office just make me want to barf. Republicans who now are throwing a hissy fit over Specter a moderate don’t have their shorts in a bunch when then Democrats switch to the GOP. Think Senator Richard Shelby or Ben Nighthorse Campbell switched from Democrat to Republican. Likewise Democrats should not be gloating now.

When candidates run for office with a party designation they are using that party’s brand. They are telling voters they are a party member and will caucus with that party. Jumping ship is disingenuous.

Former U S Senator Phil Gramm set the gold standard for party switching. When he was a member of the U S House and decided to switch from Democrat to Republican, he resigned his seat and caused an election to be held. He said that the voters needed to affirm his decision to switch. Though laws do not require resignation it is the honest course of action. Obviously there are seniority and cost considerations that come from having a special election, but it is the right thing to do.

Arlen Specter has been in the public arena and controversial before and really raised the ire of both sides of the aisle. Today it is the GOP that is mad as we were when he borked President Reagan’s nomination of Robert Bork to the Supreme Court. Republican’s cheered though when Specter grilled Anita Hill and even claimed she had committed perjury during the Clarence Thomas Supreme Court confirmation hearings. His prosecution like questioning of Hill some claimed single handedly saved the nomination for Justice Thomas. Specter as Chairman of the Senate Judiciary Committee spearheaded Samuel Alito’s Supreme Court nomination through Committee and the full Senate. Nor was the GOP booing Specter when he killed Hillary Care in 1993. It was Specter’s famous organizational chart of the bureaus, agencies and boards that would oversee national health care that turned the politicians away from the Clinton plan.

Sidebar – Speaking of not being a stranger to controversy, Specter before serving as Prosecutor of Philadelphia, was assistant counsel to the Warren Commission that investigated the assassination of President Kennedy. Specter is the author of the miracle bullet theory.

This is not the first time that Specter has switched parties. In 1965 he ran for Philadelphia District Attorney in the Republican primary although he was a registered Democrat. He subsequently switched parties and became a Republican. He won the primary and the general election.

No one seems to be happy with Senator Specter. He along with the two GOP moderated Maine Senators, Snowe and Collins voted for President Obama’s Stimulus Package in February. The Dems felt that they needed a few Republicans to buttress their claim of bi partisan support. Specter had earmarked in the “stimulus” bill $4 Billion for medical research at the University of Pennsylvania. Dear reader you make your own conclusion about that buy off of bi partisanship.

Since the switch on April 28^th there has been some interesting kabuki as only practiced in Washington. Upon the announcement of the switch it has been assumed that Specter would be the critical 60^th Democrat Senator (assuming Al (now we have a real comedian in the Senate) Franken’s legal victory election.) Specter had spoken to Senate Leader Harry Reid and was assured that if he changed parties he would retain his seniority though he would not assume during this Congress any Chairmanships of full committees.

Interestingly several days later the Democrat Caucus would not affirm Reid’s deal with Specter. It seems that no Democrats wanted to give up their fiefdoms as Sub Committee Chairman. Snubbing their filibuster buster was a dumb move on the part of the Democrats. Killing the deal now cast the maverick minded Specter into the catbird seat over that important 60^th vote. Democrats now would have to buy off Specter each time they wanted to kill a GOP led filibuster.

Subsequently to get the maverick back into the Democrat caucus corral, Senate Democratic Whip, Dick Durbin, on apparently his own initiative has worked a deal to give Specter a sub committee chairmanship on the Crime and Drugs sub committee of the Judiciary Committee.

There have been some suggestion that Democrats will not support the Specter re election. Since President Obama has welcomed Specter to the Party, met with him at the White House and promised to campaign for him, I would not put any stock into Specter having a credible primary opponent. The suggestion is reminiscent of President Bush’s campaigning for Specter in the 2004 Pennsylvania primary when Specter was opposed by Pat Toomey. Specter won the primary 50.82% to 49.18%. Whether Specter will retain his seat is an open question but I wouldn’t sell him short just yet.

Endbar – another factoid about Specter is that his hometown growing up was Russell, Kansas also the home of Bob Dole. It was sometimes said that Russell Kansas had two U S Senators.

Jack Kemp, the heart and soul of the Reagan Revolution in the Republican Party passed away on Saturday.

Kemp was a friend whom I was privileged to know and spend some time with. I am one of his disciples of economic growth, low taxes, and an inclusive Republican Party that seeks opportunity for all. Numerous times both on and off the campaign trail I spent quality time with him.

I first met Jack Kemp when he served as New York’s member of the 1984 GOP Convention’s Platform Committee and I represented South Dakota. Working on that Committee was one of the most thrilling weeks of my life. Also serving as members were other Conservative Opportunists including Newt Gingrich, Vin Weber, Bob Walker, Bill McCollum, Trent Lott, Bob Kasten, and Tom Loeffler. Other members included, Bob Dole, Henry Hyde, Jesse Helms, John Warner, Lowell Wiecker, Kay Orr, and even Phyllis Schafly.

Jack had an affinity for South Dakota as his grandfather and great Uncle were the original settlers of Watertown, South Dakota. The main street in Watertown is Kemp Avenue.

I met with him perhaps fifteen times over the years. I have several notable remembrances of him to relate.

When running for Vice President on the Dole Kemp ticket in 1996 he made one of his first campaign stops to Watertown for a huge rally at the Codington County Courthouse. I greeted him on the tarmac at the Watertown airport and he gave me a bear hug greeting with his huge shoulders, arms, and hands on his athletic frame.

In 1987 when running for the GOP nomination for President, I spent about an hour with him and former Governor Joe Foss in the executive office of then Business Aviation in Sioux Falls. In 1988 South Dakota had the early February primary and was an important State on the election calendar. Joe Foss was joined Kemp in Sioux Falls to endorse his candidacy. Kemp had been the player representative (union head) of the AFL Players Union while Foss was the President of the AFL. While Kemp was the union man and they were on opposite sides of the bargaining table, Foss had great respect for Kemp. They were lifelong friends and both strong Conservatives.

My father was with me that day, and he and Foss spoke of their wartime experiences. Foss of course was the Flying Ace of the South Pacific and a Congressional Medal of Honor winner, while dad was an Army tanker in North Africa and the Italian campaigns. Dad fought and survived the Battle of Kasserine Pass. Later that day after Foss’ endorsement, I observed Kemp when he was interviewed by Jules Witcover, renowned political reporter for the Baltimore Sun. It was fun watching the Big Leagues and fascinating that this jock was so impressive of his understanding on public policy, economics, and domestic and foreign affairs.

The time I probably most remember is when Jack Kemp gave me an economics lesson. He came to Pierre to speak to our annual GOP Legislative Dinner in 1987. I picked him up at the Pierre airport in the afternoon and briefed him on the local political landscape. Governor Mickelson had just been sworn in and had proposed creating the REDI Fund for economic development with a temporary one cent sales tax increase. I wanted to make sure that Kemp understood the local situation before talking about the futility of tax increases before a group of Republicans that did not have to be convinced of that message, while a new Republican Governor was trying to persuade the party faithful at the dinner that his plan was an exception to the rule.

Jack Kemp proceeded to nicely but forcefully lecture me that taxes stymie rather than increase economic growth. He intoned that the worst thing government can do is become a bank. When that happens Kemp said, financial decisions are made based on politics not markets and economics. Since our liquidity crisis ensued last September, I have thought of that day sitting in a motel room at the Kings Inn on that cold February day.

Since the Stimulus Package was passed this February and our federal debt is being increased exponentially, I keep coming back to the only way we will get back to fiscal sanity is supply side economics. Our government must halt the growth of spending and entitlements, cut taxes, create economic growth and literally grow our way to surplus. It is a big if, but if surpluses happen, they should not be another pot of money for the politicians to spend but be used to pay down the debt by buying Treasury securities.

One cannot talk of Jack Kemp without understanding he believed in the worth and potential of all. After the 2008 election, he wrote of the Republican Party:

“The Party of Lincoln, needs to rethink and revisit its historic roots as a party of emancipation, liberation, civil rights and equality of opportunity for all.”

Editorializing Monday “The Wall Street Journal” said of Jack French Kemp, “Importantly, however, and unlike many of today's Republicans, Kemp's populism was inclusive. Across his career, he ventured into neighborhoods where Republicans too rarely tread. His policy innovations included enterprise zones, public-housing vouchers and a free-trade pact for all of North America. Also like Reagan, he believed that immigrants made America stronger and more vibrant. His religious faith was strong but never censorious. Kemp's loquacious optimism was contagious, even if he did sometimes get carried away.” I could never say it any better.

Jack Kemp will be remembered and sorely missed.

A beautiful Spring Saturday was again spent inside the Qwest Center figuratively at the knee of the Greatest Capitalist of our times, Warren Buffet and his sidekick Charlie Munger.

For the past four years I have been privileged to make the Pilgrimage on the first Saturday in May to the Berkshire Hathaway Annual Meeting. My first time was in 2006 as a guest and my last three trips as a fortunate shareholder.

I went this year with the great expectation to hear Buffet’s wisdom among what has been an economically chaotic past ten months. Buffet and Berkshire both have been part of the story. Buffet said he sees some sparks in the economy particularly in housing, though at lower prices.

The mood at the meeting while not as festive as the past three years was generally optimistic that recovery was not far off. Far off here is being defined generally as six months to three years. When I attended four years ago there were 24,000 in attendance, this year 35,000 despite what was thought would be a smaller crowd because of the flu scare.

Many of those in attendance as did Buffett and Munger believe there are great companies whose shares and bonds are a great value. In sum for those with Cash, there are significant investment opportunities. Timing doesn’t concern the dynamic duo – only value.

As Warren Buffet so simply and eloquently says – investment should be looked at as putting cash out and getting cash back. What investment presents the best opportunity to secure a great return. Berkshire though only invests in businesses they understand and generally avoids whatever is being hyped as the latest and greatest.

Clearly what seemed the Universal Pronouncement was that America still has great days ahead of her. Both agreed that we will see renewed inflation shortly down the road.

On a political note – Warren believed that Government intervention and TARP were justified and need last October to avoid an economic meltdown. When asked about the Stimulus bill, Charlie replied rather emphatically there were not enough real stimulus and not enough tangible physical results. It was referred that a 1930’s style Works Progress Administration program of public facilities construction with real job creation would have been preferable. I agree on both points.

The Future of Newspapers – Berkshire Hathaway owns the Buffalo News and has a substantial holding in The Washington Post Company. When asked about his view of the future of the Newspaper business, Buffet essentially said it is dead. He said “they have the possibility of going to just unending losses.” Of newspapers he said news is available from so many other places and thus the business model can not attract and sustain the necessary advertising revenues. Particularly to the Washington Post their substantial cable business justifies holding onto it.

Munger added thoughtfully, “It’s really a national tragedy.” “These monopoly daily newspapers have been an important sinew to our civilization, they kept government more honest than they would otherwise be.”

Omaha Economic Development Endbar – Shareholders, interested persons, and the financial media come from all over the world to Omaha for this event. It is estimated that this is a $100 million dollar event for Omaha. For example, my modest room at the Comfort Inn on Omaha’s far southwest side went for $165 for the night. My guest and I also had a couple of nice restaurant meals.

Buffet at the meeting was asked with such large crowds why the meeting would not be broadcast on the Internet? Buffett, ever the salesman, responded that it was widely reported by the media and he mentioned specifically the bloggers. Therefore he saw no reason to have any broadcast and thus keep the Woodstock of Capitalism exclusive.

News reports in the last few days have gently picked up the pace of political speculation about the top of the ticket races in 2010.

While politicos and the media have been waiting and waiting to hear what the South Dakota Princess has decided to do, she let it be known she has been thinking and talking to Max about the future and is leaving a run for Governor open as a possibility. As Gomer Pyle would say “Surprise, Surprise, Surprise.” Mrs. Herseth Sandlin is going to wait a little longer. Waiting is becoming the South Dakota Democrat’s MO.

Today’s Argus Leader carries a My Voice column by Mike Huether imploring South Dakota government to share his values and balance its budget. While there is much in Huether’s letter to agree with, it is little more than a thinly veiled campaign piece. Titled: State Must Balance Budget, it indicates a strong interest by Huether in the Governorship.

Given the recent feature on Huether in Sioux Falls Business Journal (one might even consider it a putting one’s toe in the political water); you have to wonder if the Argus Leader (also publisher of the Business Journal) is not shilling for Huether.

Sidebar –Hopefully I will comment on Huether’s Op-ed soon.

I have vacillated (several times) on what our Congresswoman’s plans are. Within the past few months I believe she has settled on keeping her House Seat.

Much of this opinion is based on her recent big spending votes and the fact that she is a Columbia girl. Not Columbia, South Dakota which is near the Herseth farm in Houghton, but the District of Columbia. With her record in the last three months most South Dakotans would not support her for Governor, presumably not even Mike Huether who claims he understands fiscal responsibility.

My opinion is reinforced by the waiting. Waiting keeps the Republicans at bay and even makes it harder, should she announce that she is running for re election, to recruit what is probably the sacrificial candidate. Of course should she step up to run for Governor or Senator, there will be no shortage of candidates from either major Party.

Reading the tea leaves - Herseth stays put and another Mike wants to sit on the People’s throne in Pierre. Our U S Senate race remains the open question. Unlike others, John Thune can make a decision. He has a campaign manager, a skeleton campaign staff and has $4.4 million in his war chest. National analysts currently show Senator Thune as the safest of bets for re election.

Daydreaming here, there is a reasonable chance that Senate Minority Leader Scott Heidepriem who has been in speculation mix will take on Thune. Heidepriem has said he will defer to our Stephanie in any office she might seek, thus making him the Democrat utility man. The Dems have No candidate for Governor – Scott, No candidate for U S House – Scott, thus if No candidate for U S Senate – Scott.

Scott has always had an interest in not only public service but in serving in the U S Congress. He ran unsuccessfully for the GOP nomination in 1986 and has written a biography of US Senator Karl Mundt (A Fair Chance for a Free People). Beyond political ambition, dedication to public service, the required ego, Heidepriem has run a statewide race and has fairly well honed campaign skills. Additionally he has the intellect and depth to make a serious challenge and will be given generous assistance from the White House and Democrat Senate majority (who want to get to veto proof majority of 60 members, want to avenge Tom Daschle’s defeat, and want to derail a GOP star in Thune) and the probable $10 million to run a serious challenge campaign.

Huether, Heidepriem and Herseth Sandlin seem reminiscent of the Democrats 2002 ticket they called their Dream Team of Jim Abbott, Tim Jonson and Stephanie Herseth. It was a dream team because they were dreaming. Johnson was the only winner. Oh those 524 votes.

Time will tell if 2010 will be different.

Crystal Ball readings are rarely perfect but it is interesting to speculate occasionally.

President Obama held his first cabinet meeting yesterday. The purpose of the meeting was to demonstrate his commitment to fiscal responsibility.

At the meeting he asked his Cabinet Secretaries to go through their budgets line by line and cut $100 million collectively from their budgets.

Remember that candidate Obama promised in his nomination acceptance speech last August in Denver to put our federal government on a pay as you go basis. Those were his words. This is the same President who has passed a special appropriation of the stimulus package without paying for it of $800 plus Billion dollars; and has proposed a federal budget that has a $1.6 trillion deficit.

Now he wants us to believe that he is fiscally responsible looking for $100 million. The USA Today reports this is like cutting spending by $3 on a budget of $100,000.

What a Joke!

Bill Gates and Warren Buffet have more in common today than just being bridge partners and America’s two wealthiest people.

They seem to be doing something that America’s beleaguered automakers are incapable of doing – looking ahead, innovating, and thinking out of the box.

William Henry Gates III on Monday filed for patents on a new type of electromagnetic engine and plasma injectors. The engine combines attributes of the internal combustion engine and power generators. It is believed that these technological developments both decrease pollution and increase energy efficiency.

Meanwhile Warren Buffett has purchased a 10% stake in BYD “an obscure Chinese battery, mobile phone, and electric car company.” Buffett who has been more than shy of buying technology (he by passed the dot com bubble) preferring instead staples, doesn’t lay down cash on emotion and hunch. His investment requires solid fundamentals.

Gates and Buffett unlike many in Congress and the Big 3 understand we have a global economy. With the communication and transportation we have today, there is no economic isolationism.

While our government is subsidizing failure at the Big 2, these two captains of American industry are looking to the future with real prospect of success.

Success means profit. Government edict, throwing good money after bad, and over socialization of commerce is not the answer. Government penalizing reward means that no one will take the risk.

Free Enterprise unfettered from excessive government control is the answer.

The association of Buffet and Gates is well known. Warren Buffet served on the National United Way Board with Gates’ mother who introduced her son to Buffet. Gates serves on Buffet’s Berkshire Hathaway Board of Directors and Buffet has left most of his fortune (the gift valued at the time at about $30 Billion) to the Bill and Melinda Gates Foundation.

When these two birds get together Green usually means more than the environment.

Straight Talk Commentary – Jews are celebrating Passover the holiday of Freedom this week.

In this context when thinking about freedom, I am troubled by the inclination of the new administration in Washington to continue to increase government control as their policy prescription to every problem. While I want to believe their intentions are well meaning the loss of freedoms undermines both long term solutions as well as what makes America great.

Just for reference Merriam-Webster OnLine defines fascism as:

a political philosophy, movement, or regime (as that of the Fascisti) that exalts nation and often race above the individual and that stands for a centralized autocratic government headed by a dictatorial leader, severe economic and social regimentation, and forcible suppression of opposition

Blogging Note – Straight Talk has been out of the saddle on blogging the past several weeks for a combination of reasons (Big Dance, Tax preparation, Passover, business responsibilities, and a couple of political campaigns that I am working on). Hopefully with some focus posts will pickup shortly.

Whatever holiday you celebrate, have a good one and let’s all be look forward to spring, renewal and be positive that better times are ahead.

Following are thoughts on Passover by Israeli Statesman Yoram Ettinger.

Passover Guide for the Perplexed 2009

1. David Ben Gurion, the Founding Father of Israel (UN Commission, 1947): “300 years ago, the Mayflower launched its historical voyage. How many remember the data of the voyage, how many passengers were on the Mayflower and what kind of bread did they consume? However, 3,300 years earlier, the Exodus from Egypt took place. Every Jew knows the date of the Exodus – 15^th of the month of Nissan – and the kind of bread – Matza, leaven bread – consumed. Until today, Jews all over the world, tell the story of the Exodus and eat Matza on the 15^th of Nissan. They conclude the story of the Exodus [Hagadah] with the statement: 'This year we’re slaves, but next year we shall be liberated; this year we’re here, but next year in Jerusalem.'” The prayer Next Year in Jerusalem is recited twice a year: Yom Kippur and Passover, the most sublime spiritual and physical Jewish experiences.

2. Passover highlights the fact that the Jewish People have been passed-over by history's angel of death, in defiance of conventional wisdom. Non-normative salvation has characterized Jewish history ever since the Exodus, the Parting of the Sea, destruction of the Temple, exiles, pogroms, expulsions, Holocaust, Communist and other forms of Anti-Semitism, on-going Arab/Muslim wars and terrorism, etc. However, the involvement of Moses, Aaron, Joshua, Caleb and Nachshon (the first to jump into the Red Sea before its parting) attests to the crucial role played by principle-driven leaders.

3. Passover commemorates the transformation from Diaspora- slavery to national-deliverance. The difference between the spelling of Ge'oolah (deliverance in Hebrew) and Golah (Diaspora in Hebrew) is the first Hebrew letter Alef, the root of the Alpha-Bet. The Hebrew spelling of critical root values and terms begins with Alef: G-D, Truth, Faith, Covenant, Credibility, Awesome, Power, Abraham, Light, Father, Mother, Love, Soil, Adam, Courage, Spring, Unity, Food, Responsibility, Immortality/Everlasting, Cure, Horizon, Patrimony, Tree. In order to transform (personal or national) Diaspora into Deliverance one must return to the roots.

4. The Exodus took place around 1,300BC, 600-700 years before Greek philosophers promoted democracy, establishing the Jewish People in the forefront in the on-going battle against rogue regimes. Passover is celebrated on the 15^th day of the Jewish month of Nissan – the first month of the Jewish year and the introduction of natural and national spring (Nitzan is the Babylonian word for spring and the Hebrew word for bud). Nissan (its root is Ness – miracle in Hebrew) is the month of miracles, such as the Exodus, the Parting of the Sea, Jacob wrestling the Angel, Deborah’s victory over Sisera, Daniel in the Lion’s Den, etc. The 15^th day of any Jewish month is endowed with full moon, which stands for optimism in defiance of darkness and awesome odds. It is consistent with 15 parts of the Hagadah (the chronicles of Passover), 15 generations between Abraham’s message of monotheism and Solomon’s construction of the first Temple and the 15^th day of the Jewish month of Shvat, Arbor Day – the “Exodus” of vegetation.

5. Passover has four names: Holiday of Pesach (Passed-over; sacrifice), Holiday of Liberty, Holiday of Matza and Holiday of Spring. It is the first Jewish holiday, according to the Jewish calendar, which starts in the spring (Aviv in Hebrew, which consists of two Hebrew words: Father of 12 months), the bud of nature. The word spring is mentioned 3 times in the Torah, all in reference to Exodus.Passover – which commemorates the creation of the Jewish nation - lasts for 7 days, just like the creation of the universe. Passover is the first Jewish pilgrimage and the basis for the other two annual pilgrimages. Thus, the first stop of the Exodus was at Soukkota (Soukkot/Tabernacles - the 3^rd pilgrimage), and Passover is the prelude to the receipt of the Torah/Ten Commandments (Shavou’ot/Pentecost - the 2^nd pilgrimage).

6. Passover (role model of Liberty/Exodus) interacts with Pentecost (role model of Morality/Ten Commandments), since Liberty interacts with Morality. The one constitutes a prerequisite for the other. The absence of one means the absence of the other. The Liberty-Morality interaction/interdependence distinguishes Western democracies from rogue regimes. No appeasing-rhetoric would transform rogue regime into a free/moral entity. Herut is the Hebrew word for Liberty and Harut (spelled with identical Hebrew words) is the Hebrew word for Inscription, which refers to the Ten Commandments.

7. Passover – just like monotheism, the Sabbath, Ten Commandments, repentance/Yom Kippur – constitutes a Jewish gift to humanity. It constitutes inspiration to liberty and to national liberation ("Let My People Go"). Jews have been targeted by enemies of Liberty (from Pharaoh, Nazism, Communism to Palestinian/Arab/Islamic terrorism and Ahmadinejad), because Jews have been rightly perceived as the messengers of liberty as a God-given natural right and equality before the law.

8. Moses, the hero of Passover, has become a role model of principled leadership. Moses’ name is mentioned only once in the Passover Hagadah, as a servant of G-d, a testimony to Moses' humility, in order to humanize – rather than deify – Moses and to highlight the role of God in the Exodus. Similarly, Moses’ grave site is purposely unknown, and the only compliment accorded by the Torah to Moses – a prime leader in human history - is "the humblest of all human beings". The Mosaic legacy has greatly impacted US democracy, hence Moses’ marble replica at the House Chamber on Capitol Hill, at the Rayburn House Office Building's subway station and at the Supreme Court (holding the Ten Commandments).

9. Passover inspired Puritans, Pilgrims and the US Founding Fathers:

*George Washington and John Adams were compared to Moses and Joshua.

*Adams, Jefferson and Franklin proposed the Parting of the Sea as the official US seal.

*John Locke considered Moses’ 613 Laws as the most fitting legal foundation of the new society in America.

*Ezra Styles, the President of Yale University, stated that “Moses, the man of God, assembled three million people – the number of people in the America in 1776…” (May 8, 1783).

*President Calvin Coolidge: “The Hebraic mortars cemented the foundations of American democracy…” (May 3, 1925).

*John Winthrop, the first Governor of Massachusetts: “God has entered into a Covenant with those who are on their way to wilderness in America, just as he had entered into Covenant with the Israelites in the wilderness of Sinai…” (1630 sermon on the Arbella).

They considered themselves "the modern day People of the Covenant ", King George III was "the modern day Pharaoh", the Atlantic was "the modern day Red Sea" and America was "the modern day Promised Land".

The term Federalism is based on “Foedus”, the Latin word for “The Covenant.” The Founding Fathers considered the political structure of the 12 Tribes, sustaining semi-independence, governed by their own Governors and by Moses the Chief Executive, Aaron, Joshua and the 70 person Legislature, a model for the 13 colonies and the US political system.

10. The Exodus is mentioned 50 times in the Torah, equal to the 50 years of Jubilee, a historical pivot of liberty ("Proclaim liberty throughout the land to all the inhabitants thereof”, Leviticus, 25, 10, inscribed on the Liberty Bell). 50 days following the Exodus, Moses received the Torah, which includes – according to Jewish tradition – 50 Gates of Wisdom.Where does that leave the 50 States?! The commemoration of the Exodus is one of the 613 Jewish/Mosaic laws. It is highlighted in most Jewish prayers and rituals, such as the daily prayers, the welcoming of the Sabbath, the blessing over wine, each holiday, upon circumcision, at the door step (Mezuzah) of Jewish homes, etc.

11. Passover commemorates the victory of Jewish demography. Jacob arrived to Egypt with 70 members of his family, but Moses launched the Exodus with 600,000 adult males and a total of some 3 million people – quite a demographic momentum. The Exodus was the first case of a massive Jewish immigration (Aliya) to Israel, in defiance of odds and projections – as have been all major Aliya waves since 1948 - but in touch with Jewish history and destiny. A Jewish Demographic tailwind has currently been in motion between the Jordan River and the Mediterranean. While Herzl launched the Zionist voyage – in 1897 - with an 8% Jewish minority west of the Jordan River in 1900, and Ben-Gurion celebrated the 1947 UN vote with a 33% minority, today’s Jewish State is endowed with a 67% majority over 98.5% of the land west of the River (without Gaza) and a 60% majority with Gaza.

Straight Talk Commentary – With the mess in the Washington, the mess in the White House and seemingly no one able to figure out how to liquefy the banks, put people back to work, jump start our economy, and increase consumer confidence I often wish for a nice story or a little good news.

I read the following feature in “Sports Illustrated” over the weekend and it lifted my spirits and thought to pass it along to Straight Talk readers. It’s a nice respite from greedy government, greedy Wall Streeters, and greedy doped up millionaire sports stars. Just as I was getting ready to post I read Doug Lund’s blog What A Team. As they use to say about Coke, “it’s the pause that refreshes”. Like to hear a little good news for a change.

Brackets? Minnesota's high school hockey tournament is a purist's dream

Sports Illustrated

By: Michael Farber

March 23, 2009

THE BOYS made a pledge, like many 13-year-olds do. No contract. No blood oath. Just a promise. In 2004, five eighth-graders from Edina, Minn., teammates in the youth hockey program, committed to the same dream. Brendan Baker, Zach Budish, Marshall Everson, Connor Gaarder and Patrick Regan would not merely win the state high school hockey championship someday. They would win it together, for Edina High.

It might not have been an extraordinary pledge in other sports, but in hockey, star players have the opportunity to leave high school for prep schools, junior leagues or the national development program in Ann Arbor, Mich. The idea of playing against better competition, developing more rapidly and enhancing their value to Division I schools or NHL scouts is too seductive for many boys to resist. Stay at your high school and you'll go to your prom—but you might not go to the pros.

No matter: For kids steeped in Minnesota's puck culture some things are more important. "My heroes [growing up] weren't guys who played for the [NHL's Minnesota] Wild," says Baker, 17, a defenseman who will play for Holy Cross next year. "They were guys who played at the high school."

Of course, by pledging to stay in school Edina's Faithful Five were taking another gamble: No matter how skilled they became, their team still might not win the tournament, a feat that carries huge cultural cachet. (Miracle on Ice coach Herb Brooks always said the highlight of his hockey life was not the Olympic gold medal in 1980, but taking the state title with St. Paul's Johnson High in 1955.) Last year when the Faithful Five were juniors, the Hornets lost in the AA final to Hill-Murray, a result that crushed the boys even as it probably tickled the rest of the state. The citizens of Edina, an affluent Twin Cities suburb, have been scornfully dubbed Cake Eaters for at least 50 years. (A Marie Antoinette joke—that is old-time hockey.)

Last Thursday Edina entered the quarterfinals as the No. 1 seed, facing the unranked Spuds from Moorhead, a city of 35,000 on the Red River known for its russet potatoes and as the destination of Buddy Holly, Ritchie Valens and the Big Bopper on the day the music died. Moorhead, a team without a Division I prospect, had lost eight straight during one stretch of the season. Edina was going to eat the Spuds' lunch. Instead, Moorhead ate cake, 5--2.

In a postmatch press conference that bubbled with emotion, Baker was asked if he would have made that eighth-grade vow again knowing that he would never achieve his goal. A catch in his voice, he replied, "I wouldn't give up growing up with my friends for anything."

"This is what youth sports should be about," says Lee Smith, the coach of Eden Prairie, an Edina rival. "It's not about rushing your kids out of their households. They can stay back and do something within their own communities, their own schools."

Consider Eden Prairie's star, Nick Leddy, who on Sunday was named the state's Mr. Hockey and might go in the first round of the NHL draft in June. He made the same decision as the Faithful Five, resisting the blandishments of the USA Hockey development program to be, well, a stay-at-home defenseman. "When Nick comes back for his fifth or 10th high school reunion, he'll be a god," Smith says. "If he had traveled to Ann Arbor, where do you go back to when all is said and done?" Leddy weighed the option but chose to stay at Eden Prairie—because, he said in reference to the huge crowds the state tournament draws each year, "where else can you play before 19,000 people?"

He was off by a few thousand. There were 15,967 at Xcel Energy Center in St. Paul for the Moorhead--Eden Prairie final—a throng, incidentally, larger than that for the men's Big 12 basketball tournament final in Oklahoma City that same day.

There is the embroidery of big-time sports on the fringe of the Minnesota tournament—impressive crowds, statewide television coverage—but it has retained a dewy innocence. Juxtaposed with March Madness, it is March Sanity, a Norman Rockwell painting in which the subjects leap out of the frame and go hard to the net. There are no names on the backs of players' jerseys. The fans wear so many varsity jackets and letter sweaters that the arena looks like an Ozzie and Harriet convention. Even the cheers from the student sections are G-rated, and clever. When a Spuds player was crunched into the end boards in the final, Eden Prairie students chanted, "Mashed po-TA-toes!"

The wholesomeness, coupled with the quality of play, makes the tournament's appeal universal—or at least intercontinental. There are eight or nine fans who come from Sweden every year. (When tiny but storied Roseau High, a tournament darling, didn't get out of its sectional, the Swedes were so disappointed, you would have thought somebody had overcooked their meatballs.) Says Tim Schroeder, a 59-year-old physician's assistant and native Minnesotan who lives five hours away in Dubuque, Iowa, but takes vacation annually to attend the event, "If you like hockey, it's the best you'll ever see. Better than colleges or pros. The Wild is boring compared to high schools."

You might have missed it, but last Saturday's final will never be forgotten by the players and their towns. Leddy went coast-to-coast and snapped in an NHL-heavy 35-foot wrist shot, and Eden Prairie won its first championship, 3--0. Moorhead players were disconsolate, but the news that a celebration was scheduled for them back home the next day should have lightened their moods. "Little kids are asking us for our [broken] sticks and our autographs all the time," says Trent Johnson, Moorhead's 18-year-old captain. "They look up to us." Johnson is 5'4".

Future Spuds don't have to raise their gazes too high to see a reflection of themselves. Like the Edina seniors who gambled and lost a state championship but won everything else, the Moorhead players are a template for the valor and value of youth sports in a nation where kids' fun and games have lost their way.

America, these Spuds are for you

Prediction - In a twist of fate, the opponents of the smoking ban that was enacted by the Legislature and is scheduled to go into effect July 1 will be referred to the 2010 general election ballot.

The opponents primarily the tobacco industry, bars and restaurants, Deadwood casinos, and the video lottery industries will with the prescribed time period (I believe 90 days from the Govs signing) must get a sufficient number of South Dakota voters to sign petitions to have a vote to overturn the Legislature’s handiwork.

The opponent’s primary argument is that the ban would cause a loss of revenue to both the State and themselves. Consequently I believe they will refer this law not because they truly believe they will be successful in overturning the law but they will stay it’s enactment for 18 months or so. Deferral will in effect allow smoking’s proponents to continue enjoying the financial benefits of a no ban environment. Proponents will have a petion drive despite at least two thirds or more popular support for a smoking ban. Beyond buying the deferral, I would not expect them to wage a real campaign to defeat the enacted law.

Historical Factoid – Tobacco has played a significant role in the history of the United States. Many of the columns of the U S Capitol Building are adorned with tobacco leaves and tobacco flowers. The adornment was a tribute to recognize the wealth of the Nation. In fact for the first many years of our history a large portion of the federal revenue was from the federal tobacco tax. On some columns corn also is paid tribute acknowledging the bounty of America.

The White House and the Democrats in Congress are in a frenzy and out of control in dealing with the Economy. They are so busy reacting to everything instead of actually having a real economic plan. Their lack of purpose this week has become a fiasco. The White House and Congress are in overdrive and high anxiety concerning the bonus payments and subsequent public outrage over the bonus payments paid by big time bailout recipient AIG to their employees.

Their actions are Abbott & Costello like. Everyone is talking and no one listening. It’s really been quite a week and it looks like the Democrats have lost it.

The plot line – The Secretary of the Treasury Timothy Geithner was informed last week (sometime midweek) that AIG was going to pay some select employees what has been characterized as retention bonuses. These bonuses were in the amount of $165 to $170 million. Geithner who was concerned notified the White House. It is unclear (at least to me) as to whether the President was told directly by Geithner. The point here is the White House was told last week. On Sunday, the news media reported that Big Time Bailout Recipient AIG was paying the bonuses.

The Treasury Secretary appeared on one of the Sunday talk shows and expressed his displeasure and said there was in effect nothing that could be done about it. By Monday morning the country and the average citizen who has not received a bailout, is paying for the bailout, has lost tremendous value in their retirement plan and many who have even lost their jobs fermented and you might say went into Pitchfork Rebellion mode.

Well the politicians woke up on Monday and felt their constituents’ pain. President Obama said he would have the Treasury Department work on it and find a way to stop the bonuses. It is interesting if not comical and sad that the Administration’s position changed from nothing we can do about it to stop the bonuses. Congress also got into the act and said something must be done about it. All of Washington was in OUTRAGE. Only the Democrats are in power. Everyone said something must be done. Hearings were scheduled for Wednesday to scalp, tar and feather the Edward Liddy, CEO of AIG. Liddy escaped though not without some Congressional torture promising that some Execs would/might return some of their bonus payment.

On Tuesday it was reported that prohibitions against such bonus payments were incorporated into the American Recovery and Reinvestment Act of 2009 otherwise known as the stimulus bill. The catch though is that bonuses earned before the date of enactment of the law were sanctioned. That means the AIG payments are legal and were approved by Congress.

With all the outrage, understand that Congress had already dealt with the issue and obviously did not get it right. It would be far too repetitive and rhetorical to ask didn’t anyone read the bill? Or was the process rushed?

It seems that Senator Dodd, Chairman of the Senate Banking Committee, inserted an amendment into the bill prohibiting such payments. But (and this is a big but) when the bill went to the Conference Committee to reconcile the differences between the House and Senate versions, Dodd’s prohibition was changed to allow bonuses promised before the date of enactment. Dodd on Tuesday said he did not know how this change happened. Yesterday (Wednesday) Dodd changed his story and said that yes he was aware of the change but that the change was made at the behest and pleading of Treasury Secretary Geithner and Lawrence Summers, Director of the White House National Economic Council. Dodd claims the changes were made to avoid what would be legal challenges.

Dodd had lied and then when correcting his memory blamed the White House. The White House is a little vague at this point but “said they noted legal issues that could likely lead to challenges, but was the end of their involvement. The official said Mr. Dodd and Congress made the final changes on their own.”

Today, Thursday, the House has passed a confiscatory tax on bonus paid within firms that have received federal bailout help. The Senate is up next. This is interesting of course because Congress already got one big bite at the apple and screwed it up.

Today House Speaker Nancy Pelosi speaking at a presser blamed Federal Reserve Board Chairman Bernanke. Specifically to the point about the Dodd Amendment, she incredulously said, House Democrats were never involved in the negotiations and had nothing to do with it. (emphasis added)

If our Government cannot get this right (and here I am referring to the Democrats – remember the GOP is not included negotiations) how can we expect them to seriously deal with serious issues. While they are acting like clowns – this is no laughing matter.

Endbar – I am not in sympathy with giving bonus with taxpayer money (and I have previously expressed this on several occasions. But it is a big problem for me to see laws made that are in effect ex post facto and in this case specific to certain persons. We must not overturn established legal precedence. As bad as matters are and public confidence is, we should not allow our government to change the rules in the middle of the game. It is a slippery slope. $175 million is a small price to pay to avoid what seems to becoming government in chaos.