Puerto Rico News Digest For August 8, 2017

FAMILY KILLED IN DORADO NIGHTMARE

Fall victim to shooting between crooks; Feds may take over

A young married couple, Zuleika Rivera Negrón, age 27 and her partner Angel Pérez Polanco, age 30 were killed along with three of their children last Friday in the town Dorado as the result of a shooting on the same road, with only the couple's 12-year-old daughter surviving. Jaime Joel Ferrer Rivera, a 38-year-old man with an extensive criminal record, was shot at by unidentified assailants as he drove his Land Rover, causing him to lose control of his vehicle, which then crashed into the family's 1992 Toyota Tercel. The family's vehicle then violently smashed against a tree, killing the five victims. Ferrer Rivera died at the scene due to the shooting, after which the perpetrators escaped. Due to Ferrer Rivera being a federal convict, having been sentenced to 30 months in prison in 2004 for stealing shipments of air conditioners, US Attorney for the District of Puerto Rico Rosa Emilia Rodríguez stated that her office may take over the investigation.

PUERTO RICO SUED OVER CONTOL BOARD'S POWERS

From Caribbean Business:

"Puerto Rico was hit with two lawsuits Monday that for the first time challenge the constitutionality of a federal control board overseeing the island’s finances and its power to start a bankruptcy-like court process for some of  the U.S. territory’s more than $70 billion public debt..."

FEMA OK'S FUNDS FOR SALINAS AQUIFER PROJECT

From News Is My Business:

"The Federal Emergency Management Agency has approved a $2.8 million hazard mitigation project for the island’s  southern coastal area, which considers its adaptive capacity, and uses surface and ground water to reduce the need for future water rationing in the town of Salinas..."

PPD PROPOSES UNITED FRONT TO FIGHT FURLOUGHS

From The San Juan Daily Star:

"Popular Democratic Party (PDP) President Héctor Ferrer announced on Friday that he is willing to join efforts and accompany Gov. Ricardo Rosselló Nevares to the courts if he decides to sue the federal Financial Oversight and Management Board if the reduction of public workers is implemented..."

JOINT VENTURE TO MANUFACTURE POT PRODUCTS IN PR

From Area Development:

"Tropizen, a grower and manufacturer of medical marijuana in Puerto Rico, will partner with WonderLeaf, a Colorado company that makes raw cannabis concentrates and oils, to establish a cannabis manufacturing plant  in Puerto Rico..."

Puerto Rico News Digest For March 1, 2016

ZIKA CAN INFECT 1 IN 5 PUERTO RICANS

From The Washington Post:

"There are 117 confirmed cases of the virus in Puerto Rico, four times the
number at the end of January. The island territory, which has a population
of 3.5 million people, is “by far the most affected area” in the United States,
Tom Frieden, director of the Centers for Disease Control and Prevention
(CDC), said Friday...Experts say urgent action is needed before mosquitoes
reach their peak with the start of the rainy season in April. Experts from the
CDC estimate that 700,000 people — about 20 percent of the population —
could be infected across the island by the end of the year..."

STEM CELL BILL UNDER CONSIDERATION

From The San Juan Daily Star:

"The Health Committee of the Puerto Rico House of Representatives is
investigating the viability of establishing stem cell banks through private
and public collaboration in a bill entitled “Anatomical Donation Law.” The
measure would authorize mthe extraction of blood from placentas and umbi-
lical cords of newborns, with the goal of utilizing the mother’s cells for re-
search and for the treatment of more than 70 illnesses, according to Inter
News Service..."

ROSELLO CRITICIZES PDP ON IVA TAX

From Caribbean Business:

"Gubernatorial candidate for the New Progressive Party (NPP) Dr. Ricardo
Rosselló reacted to Gov. Alejandro García Padilla’s State of the Common-
wealth address Monday by stating that “the governor has missed the oppor-
tunity to repent and admit the mistakes of his administration. He should
have taken back his failed public policy. However, he continues lying to
the people and with his stubbornness to continue raising taxes and squee-
zing the poor, hard-working and productive class of our island,” the NPP
leader said after the governor’s message..."

FORUM TO EXPLORE FISCAL LAW FOR PR

From News Is My Business:

"Chile’s former finance minister and an ex-lieutenant governor of New York
will be among five panelists appearing Wednesday in Washington, D.C., to
discuss how a Fiscal Responsibility Law (FRL) might help stabilize Puerto
Rico’s public finances and overhaul the island’s fiscal infrastructure. The fo-
rum, organized by the San Juan-based Center for a New Economy (CNE), is
to take place at the National Press Club..."

Puerto Rico News Digest For December 31, 2015

GOVERNOR: PR WILL DEFAULT ON $37 MILLION

From News Is My Business:

"The government of Puerto Rico will make most of its $1 billion debt pay-
ment due Jan. 1, defaulting only on some $37 million of the amount, Gov.
García-Padilla said Wednesday. The government will pay some $434 mi-
llion after deductions for capitalized interest and certain federal subsidies
in debt issued or guaranteed by the Commonwealth, also known as Gene-
ral Obligation bonds. To cover the payment, the Commonwealth will use
$174 million in amounts collected via the enactment of clawback provisi-
ons that redirect revenue earmarked for one debt to cover another expense..."

PDP LEADERSHIP INITIATES TRANSITION

From Caribbean Business:

"Former Secretary of State and Popular Democratic Party (PDP) candidate
for governor, David Bernier, officially took office as party president Wed-
nesday afternoon. Bernier met with the president of his transition commi-
ttee, Rep. Jesús Santa, to outline a transition plan prior to the first meeting
of the PDP’s Governing Board, which will take place on January 7th, 2016
...The official transition will take place on January 7th and will culminate
with a public event dedicated to the people..."

PR DRIVER'S LICENCES STILL VALID FOR TRAVEL

From The San Juan Daily Star:


"Department of Transportation and Public Works Secretary Miguel Torres
urged Puerto Rico residents on Tuesday to remain calm as he assured them
that island driver’s licenses remain an accepted form of identification to tra-
vel to the U.S. mainland. “It is a reality that the current license will undergo
changes so they meet Department of Homeland Security standards, but those
changes will take place in the first half of 2016,” he said. Torres’ remarks
came after the U.S. Transportation Security Administration (TSA) announ-
ced it may stop accepting certain state driver’s licenses, including Puerto Ri-
co’s, as identification when clearing airport security as early as Jan. 10..."

Rep. Vargas Passes Away After Auto Accident

From Caribbean Business:


Popular Democratic Party (PDP) Rep. Carlos Vargas Ferrer died Monday
after an auto accident in San Juan’s Hato Rey sector. He was 44. Accor-
ding to police investigators, Vargas Ferrer was taking Exit 18 from Las
Américas Expressway toward Jesús T. Piñero Avenue when, at around
9:20 a.m., he lost control of the vehicle, hit a newspaper vendor and cra-
shed against an electric utility pole. The circumstances that led to the fa-
tal crash are as yet unclear...[CONTINUE READING]

The End Of The "Populares"

Opinion

Pedro Vega

Originally posted July 30, 2015

The Popular Democratic Party as we have known it may very well soon
cease to exist.

Since the middle of the last century, the PDP has been the standard bearer
of Puerto Rico's colonial status. Creating and then defending the Common-
wealth has long been the party's main objective. Besides their colonial mi-
ssion, the populares played the role of the island's main left-of-center party,
and borrowed much from social democratic ideas in the formulation and
execution of government policy. It could be said that during most of the
latter half of the 20th century, the PDP actually did a decent job of growing
Puerto Rico's economy and building a social safety net. But the party's work
in those areas has been unraveling over the last 30-plus years.

The Puerto Rican economic 'miracle' of the 1950s to the 1970s was largely
built on a foundation of lavish tax breaks for corporations (allowed by the
colonial master, of course). In tandem with corporate welfare, the PDP turned
towards the public sector, creating  "jobs" for scores of new government em-
ployees who in many cases seemed to do next to nothing. For the most part,
the opposing New Progressive Party simply continued these policies when-
ever they were in power. Eventually, though, the colonial administration
could no longer keep all of the plates spinning in the air.

The first plate to come crashing down and break was Section 936, which
allowed for the corporate tax breaks. The US Congress took away that option,
and many stateside employers promptly packed up and left; those still left
probably have their days in Puerto Rico counted. With less employers around,
and workers falling more into poverty, tax revenues decreased. Add to that a
large, mismanaged government and tons of corruption, and you have a go-
vernment which is desperately bleeding money.  And what of all of those
make-work government jobs? The money to pay those workers began to
evaporate. So the next band-aid was taking advantage of the triple-tax exempt
status of Puerto Rico government bonds to borrow eye-watering sums of mo-
ney. Inevitably, the house of cards was bound to collapse, as no one wants to
lend Puerto Rico money anymore,  recognizing the fact that more debt won't
bring the island out of the debt it already has. Puerto Rico has seemingly no
good way out. The island can't declare bankruptcy or take other independent
steps, since we're not a state, but also not a sovereign nation.

While both major political parties share the blame for the current situation,
this rickety house was built on the defective foundation that the Popular Demo-
cratic Party laid down. With the colonial Commonwealth status now thoroughly
discredited and  Puerto Rican society in a state of slow-motion collapse, the
PDP has not only nothing left to offer, but also no real reason for being. The
Commonwealth is doomed; no sane person can now believe that there is a fu-
ture for the island under its current political status. The drive for decolonization
is gradually strengthening, and will eventually be unstoppable. The party is dea-
ling with its imminent irrelevance by fragmenting, engaging in infighting and
making bad decision after bad decision. The choice of a lightweight like Ale-
jandro Garcia Padilla  to be the party's standard bearer was one notable symptom
of their disorientation. The recent fights within the party over tax reform, the
debt and other issues may be creating fissures that cannot be repaired. The pro-
sovereignty wing of the PDP may well go off on its own at some point, leaving
the party gutted and moribund. But the bottom line is that the PDP no longer
has anything useful to offer on seemingly any front.

Would handing things over to the pro-statehood New Progressive Party again
be an improvement? Only if having people in power who have made extreme
corruption into an art form can be considered an improvement. And it's not as if
they have made any headway in moving Puerto Rico towards decolonization; if
anything, they have hindered and tarnished the push for statehood. The NPP is
not the answer. The Puerto Rican people need to stop being hypnotized by party
labels and colors and start getting more involved in who is handling their govern-
ment and their economy. It is time to vote for those who are most qualified and
have the best, most innovative ideas. There are good candidates out there...you
just have to do a little homework.

Is it time for a new, mass political party on the center-left? Without a doubt, it is.
Something will have to fill the vacuum after the PDP completely loses all rele-
vance. But only time will tell when this particular patient will die, and what new
entity will grow out of its grave. Whatever that may be, it had better have a real
reason to exist, and something to fight for, as well as the willingness to really
fight for it. May it all be for the best.

Puerto Rico News Digest For October 19, 2015

GOV'T OFFICIALS GO BEFORE GRAND JURY

From The San Juan Daily Star:

"La Fortaleza Public Aff airs Secretary Jesús Manuel Ortiz said he
and former La Fortaleza Chief of Staff Ingrid Vila were summoned
to appear before a federal grand jury, but he stressed that Gov. Ale-
jandro García Padilla has not been cited in relation to a probe into
alleged contracts given to a huge Popular Democratic Party (PDP)
donor. The STAR learned that House Speaker Jaime Perelló was al-
so summoned, but his office did not confirm the information. Also
cited was PDP Sen. Mari Tere González, who said federal officials
requested certain information from her that she declined to divulge.
Federal officials are allegedly investigating contracts awarded to
Anaudy Hernández Pérez, who testified in the corruption case aga-
inst former judge Manuel Acevedo..."

RESERVOIR LEVELS RISE OVER WEEKEND

Rains over the weekend boosted the water levels for several reser-
voirs across Puerto Rico. La Plata, the only reservoir which is still
under a water rationing plan, saw its level increase by 39 centime-
ters to 40.58 meters. La Plata, which serves much of the San Juan
metro area, would have to reach at least 43 meters for rationing to
be discontinued.

PR BOXER IN CRITICAL CONDITION IN VIRGINIA

From Caribbean Business:

"Boxer Prichard Colón was in critical condition Sunday after suffe-
ring a brain bleed from an injury during a bout in northern Virginia,
an official said. Colón underwent surgery to relieve pressure on his
brain after his bout Saturday afternoon against Terrel Williams in the
Washington, D.C., suburb of Fairfax, Virginia, said Lou DiBella, pre-
sident of DiBella Entertainment. Within moments of showing symp-
toms in his dressing room after the fight, Colón was under the care
of emergency medical technicians and rushed to Inova Fairfax hos-
pital, DiBella said. "He suffered a brain bleed as a result of an inju-
ry during the bout and underwent immediate surgery to relieve pre-
ssure on his brain," DiBella said in a statement. "His condition re-
mains critical..."

HYATT HOUSE BEATS 1ST YEAR EXPECTATIONS

From News Is My Business:

"With prolonged and recurrent stays, the guests of Hyatt House San
Juan, located at the Convention Center District in Miramar, have pro-
pel the propert to surpass its first-year expectations, Francisco Maria-
ni, manager of Hyatt Puerto Rico said. The opening of the Hyatt Hou-
se San Juan in October 2014, introduced the tourist market to the first
and only hotel, with a select style, that offers deals in extended-stay
in Puerto Rico..."

The End Of The "Populares"

Opinion

Pedro Vega

The Popular Democratic Party as we have known it may very well soon
cease to exist.

Since the middle of the last century, the PDP has been the standard bearer
of Puerto Rico's colonial status. Creating and then defending the Common-
wealth has long been the party's main objective. Besides their colonial mi-
ssion, the populares played the role of the island's main left-of-center party,
and borrowed much from social democratic ideas in the formulation and
execution of government policy. It could be said that during most of the
latter half of the 20th century, the PDP actually did a decent job of growing
Puerto Rico's economy and building a social safety net. But the party's work
in those areas has been unraveling over the last 30-plus years.

The Puerto Rican economic 'miracle' of the 1950s to the 1970s was largely
built on a foundation of lavish tax breaks for corporations (allowed by the
colonial master, of course). In tandem with corporate welfare, the PDP turned
towards the public sector, creating  "jobs" for scores of new government em-
ployees who in many cases seemed to do next to nothing. For the most part,
the opposing New Progressive Party simply continued these policies when-
ever they were in power. Eventually, though, the colonial administration
could no longer keep all of the plates spinning in the air.

The first plate to come crashing down and break was Section 936, which
allowed for the corporate tax breaks. The US Congress took away that option,
and many stateside employers promptly packed up and left; those still left
probably have their days in Puerto Rico counted. With less employers around,
and workers falling more into poverty, tax revenues decreased. Add to that a
large, mismanaged government and tons of corruption, and you have a go-
vernment which is desperately bleeding money.  And what of all of those
make-work government jobs? The money to pay those workers began to
evaporate. So the next band-aid was taking advantage of the triple-tax exempt
status of Puerto Rico government bonds to borrow eye-watering sums of mo-
ney. Inevitably, the house of cards was bound to collapse, as no one wants to
lend Puerto Rico money anymore,  recognizing the fact that more debt won't
bring the island out of the debt it already has. Puerto Rico has seemingly no
good way out. The island can't declare bankruptcy or take other independent
steps, since we're not a state, but also not a sovereign nation.

While both major political parties share the blame for the current situation,
this rickety house was built on the defective foundation that the Popular Demo-
cratic Party laid down. With the colonial Commonwealth status now thoroughly
discredited and  Puerto Rican society in a state of slow-motion collapse, the
PDP has not only nothing left to offer, but also no real reason for being. The
Commonwealth is doomed; no sane person can now believe that there is a fu-
ture for the island under its current political status. The drive for decolonization
is gradually strengthening, and will eventually be unstoppable. The party is dea-
ling with its imminent irrelevance by fragmenting, engaging in infighting and
making bad decision after bad decision. The choice of a lightweight like Ale-
jandro Garcia Padilla  to be the party's standard bearer was one notable symptom
of their disorientation. The recent fights within the party over tax reform, the
debt and other issues may be creating fissures that cannot be repaired. The pro-
sovereignty wing of the PDP may well go off on its own at some point, leaving
the party gutted and moribund. But the bottom line is that the PDP no longer
has anything useful to offer on seemingly any front.

Would handing things over to the pro-statehood New Progressive Party again
be an improvement? Only if having people in power who have made extreme
corruption into an art form can be considered an improvement. And it's not as if
they have made any headway in moving Puerto Rico towards decolonization; if
anything, they have hindered and tarnished the push for statehood. The NPP is
not the answer. The Puerto Rican people need to stop being hypnotized by party
labels and colors and start getting more involved in who is handling their govern-
ment and their economy. It is time to vote for those who are most qualified and
have the best, most innovative ideas. There are good candidates out there...you
just have to do a little homework.

Is it time for a new, mass political party on the center-left? Without a doubt, it is.
Something will have to fill the vacuum after the PDP completely loses all rele-
vance. But only time will tell when this particular patient will die, and what new
entity will grow out of its grave. Whatever that may be, it had better have a real
reason to exist, and something to fight for, as well as the willingness to really
fight for it. May it all be for the best.

Governor Creates Debt Work Group

From News Is My Business:

Puerto Rico Gov. Alejandro García-Padilla announced Monday a multi-pronged
plan to address the island’s fiscal crisis to work with creditors on restructuring
what he described as the “unpayable” $73 billion debt.

During a televised speech, García-Padilla said a group — comprised of Chief
of  Staff Víctor Suárez, Government Development Bank President Melba A-
costa, Justice Secretary César Miranda, Senate President Eduardo Bhatia and
House Speaker Jaime Perelló — will be tasked with striking up “conversations
to achieve, with transparency and consensus, the restructuring of our public
debt.”

“The ultimate goal is a negotiated agreement with bondholders for a deferrment
of payments on the debt for a number of years so that the money can be invested
here in Puerto Rico,” he said...[CONTINUE READING]

The End Of The "Populares"

Opinion

Pedro Vega

The Popular Democratic Party as we have known it may very well soon
cease to exist.

Since the middle of the last century, the PDP has been the standard bearer
of Puerto Rico's colonial status. Creating and then defending the Common-
wealth has long been the party's main objective. Besides their colonial mi-
ssion, the populares played the role of the island's main left-of-center party,
and borrowed much from social democratic ideas in the formulation and
execution of government policy. It could be said that during most of the
latter half of the 20th century, the PDP actually did a decent job of growing
Puerto Rico's economy and building a social safety net. But the party's work
in those areas has been unraveling over the last 30-plus years.

The Puerto Rican economic 'miracle' of the 1950s to the 1970s was largely
built on a foundation of lavish tax breaks for corporations (allowed by the
colonial master, of course). In tandem with corporate welfare, the PDP turned
towards the public sector, creating  "jobs" for scores of new government em-
ployees who in many cases seemed to do next to nothing. For the most part,
the opposing New Progressive Party simply continued these policies when-
ever they were in power. Eventually, though, the colonial administration
could no longer keep all of the plates spinning in the air.

The first plate to come crashing down and break was Section 936, which
allowed for the corporate tax breaks. The US Congress took away that option,
and many stateside employers promptly packed up and left; those still left
probably have their days in Puerto Rico counted. With less employers around,
and workers falling more into poverty, tax revenues decreased. Add to that a
large, mismanaged government and tons of corruption, and you have a go-
vernment which is desperately bleeding money.  And what of all of those
make-work government jobs? The money to pay those workers began to
evaporate. So the next band-aid was taking advantage of the triple-tax exempt
status of Puerto Rico government bonds to borrow eye-watering sums of mo-
ney. Inevitably, the house of cards was bound to collapse, as no one wants to
lend Puerto Rico money anymore,  recognizing the fact that more debt won't
bring the island out of the debt it already has. Puerto Rico has seemingly no
good way out. The island can't declare bankruptcy or take other independent
steps, since we're not a state, but also not a sovereign nation.

While both major political parties share the blame for the current situation,
this rickety house was built on the defective foundation that the Popular Demo-
cratic Party laid down. With the colonial Commonwealth status now thoroughly
discredited and  Puerto Rican society in a state of slow-motion collapse, the
PDP has not only nothing left to offer, but also no real reason for being. The
Commonwealth is doomed; no sane person can now believe that there is a fu-
ture for the island under its current political status. The drive for decolonization
is gradually strengthening, and will eventually be unstoppable. The party is dea-
ling with its imminent irrelevance by fragmenting, engaging in infighting and
making bad decision after bad decision. The choice of a lightweight like Ale-
jandro Garcia Padilla  to be the party's standard bearer was one notable symptom
of their disorientation. The recent fights within the party over tax reform, the
debt and other issues may be creating fissures that cannot be repaired. The pro-
sovereignty wing of the PDP may well go off on its own at some point, leaving
the party gutted and moribund. But the bottom line is that the PDP no longer
has anything useful to offer on seemingly any front.

Would handing things over to the pro-statehood New Progressive Party again
be an improvement? Only if having people in power who have made extreme
corruption into an art form can be considered an improvement. And it's not as if
they have made any headway in moving Puerto Rico towards decolonization; if
anything, they have hindered and tarnished the push for statehood. The NPP is
not the answer. The Puerto Rican people need to stop being hypnotized by party
labels and colors and start getting more involved in who is handling their govern-
ment and their economy. It is time to vote for those who are most qualified and
have the best, most innovative ideas. There are good candidates out there...you
just have to do a little homework.

Is it time for a new, mass political party on the center-left? Without a doubt, it is.
Something will have to fill the vacuum after the PDP completely loses all rele-
vance. But only time will tell when this particular patient will die, and what new
entity will grow out of its grave. Whatever that may be, it had better have a real
reason to exist, and something to fight for, as well as the willingness to really
fight for it. May it all be for the best.

New VAT System Too Complex

Editorial

Caribbean Business

Puerto Rico Treasury Secretary Juan Zaragoza has his hands full these days
as he is trying mightily to explain the reasoning behind Gov. Alejandro
García Padilla's new tax reform, which calls for a transformation to a value-
added tax (VAT, or IVA by its Spanish acronym) system. Zaragoza's job
couldn't be more difficult as the measure is drawing the broadest opposition
that this newspaper has witnessed in a long time.

Important mayors belonging to the incumbent governor's Popular Democra-
tic Party (PDP), such as those of San Juan, Caguas and Mayagüez, as well as
former PDP Govs. Rafael Hernández Colón and Aníbal Acevedo Vilá have
come out against the VAT proposal; their voices of dissent are joined by
leaders from the opposition...[CONTINUE READING]

Puerto Rico News Digest For November 4, 2014

.

NPP CANDIDATE WOULD BEAT PADILLA

According to a new poll from El Nuevo Dia, either of the top two 

likely gubernatorial nominees from the pro-statehood New Progre-

ssive Party would defeat sitting PDP Governor Alejandro Garcia

Padilla, if the election were held today. In a hypothetical match-

up against Ricky Roselló, AGP would get 24% of the vote, with 

Roselló getting 43%, while current Resident  Commissioner Pedro

Pierluisi would garner 37% of the vote versus the Governor's 23%. 

In either scenario, PIP candidate Juan Dalmau would receive

about 6% of the vote.

PR JOINS GLOBAL TREND WITH IVA TAX

From The San Juan Daily Star:

"The value-added tax (IVA by its Spanish acronym) that 

the Puerto Rico government is slated to implement

hovers at around 14 percent, but with the repeal of 

income taxes for many taxpayers and exemptions that

will be part of the proposed tax reform, officials do 

not expect it to have a negative impact..."

VIOLENT WEEKEND LEFT 14 DEAD

From Fox News:

"Fourteen people were killed over the weekend in Puerto 

Rico, to make it the second most violent so far this year, the 

Caribbean island's police told Efe on Monday..."

PR MANUFACTURING INDEX SLIDES

From Caribbean Business:

"A gauge of Puerto Rico’s manufacturing industry backed 

off in September, posting a fifth drop in six months 

below the growth threshold. The Purchasing Managers Index 

(PMI) for Puerto Rico’s manufacturing sector slid to 48.4 

in September..."

PR TO HOST 96 CONVENTIONS THROUGH JAN.

From News Is My Business:

'Puerto Rico has been selected to host 96 events including, 

conferences, annual meetings and sports activities for 

this winter season. This represents an estimated 40,894 

room nights and a total direct spending of $23 million 

into the local economy, Meet Puerto Rico President Milton 

Segarra said Monday..."