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Spokane Chiefs owner sees Seattle NHL team creating hockey family for Northwest cities

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Bobby Brett, the long-time owner of the major-junior hockey Spokane chiefs who is heading into the Western Hockey League finals this weekend, is convinced the advent of National Hockey League (NHL) play in Seattle come 2021 will create a family among the Northwest's local hockey teams.

Brett, part of professional baseball's best-known band of brothers who bought Spokane's class A short-season professional baseball team, the Indians, in 1985 and added the junior hockey team in 1990, says the yet-to-be-named Seattle NHL team "will be the region's team."

Bobby Brett Journal of Business photoBobby Brett
Journal of Business photo
"The time will come when players drafted by the Seattle NHL team will be assigned to one of the region's junior-league teams and develop a following and then wind up being called up to Seattle, and people will follow the deeds in the NHL with a 'that's our guy," Brett predicted.


Brett uses the easy example of Tyler Johnson, a local Spokane kid when he was drafted by the Chiefs in 2005 at the age of 15. Three years later he began a three-year starring role with his hometown team before he was drafted by the Tampa Bay Lightning in 2011. In his 2014-15 rookie season where he was named to the NHL All-Rookie team.

Had a Seattle NHL team been around and been the team to draft Johnson and help him move to stardom, he would have been the embodiment of every teen-age hockey hopefuls dream and his fans firm fans of Seattle's NHL team.

This column was meant to be about Brett's more than three decades of ownership of the Spokane Indians, which the Brett brothers bought after a seven-city search for a minor league baseball team they would buy. They bought the team for less than $150,000 and grew it into what has been described as "a gold standard of minor league ball" in its value today.

As we sat down in the office of our mutual friend, Spokane angel-investment leader John Pariseau for an interview this week, it was meant to be focused on baseball. But Brett's hockey team and its performance and its role in Spokane sports since Brett bought the team in 1990 drew my attention.

The Chiefs begin their best-of-seven WHL Western Conference championship series against the Vancouver Giants this weekend.

Bobby and his brothers have been about baseball their whole lives. Ken, drafted by the Boston Red Sox in 1966, was an athletic phenomenon, equally gifted as a hitter or a pitcher. And while he wound up as a journeyman pitcher playing for 10 teams, several teams had considered drafting him as a left-handed center fielder.  

Ken, who was a co-owner with his brothers when they finally settled on Spokane, died of a brain tumor in 2003.

Younger brother George played 21 years for the Kansas City Royals as a perennial American League All-Star who was eventually named to baseball's Hall of Fame.

Bobby played in the minor leagues in Billings and San Jose before deciding he could make more money in business, building and owning apartments in Southern California.

Of the brothers' search for a baseball team to buy, Bobby explained the process: "I'd looked at seven cities, and Spokane just happened to be my seventh stop. With the first six places I visited, the town wasn't right or the ballpark wasn't right or something wasn't right. So I was very discouraged."  

"I landed in Spokane. We wanted to buy a team, and this was the place I liked. There was a real airport, a real downtown with a beautiful downtown park," He told an interviewer a few years ago. "I went out to the baseball park, and it was all run down, but I thought, geez, you just need a little paint, a little of this and that. So, Spokane was the one we bought."

And Bobbie, with the support of his brothers, quickly created a winner with the Indians winning the Northwest League title in four consecutive years from '87 to '90 and winning four more titles since then.

Although Bobby was involved in the Spokane community from the moment the Bretts bought the team (they also own the Class-A Rancho Cucamonga Quakes in California and the Tri-City Dust Devils, also of the Northwest League), Bobby remained an absentee owner, visiting maybe four times a year.

But that changed with the purchase of the Chiefs.

"I had gotten married in 1988 and we had a kid a year later," Brett explained. "We lived in Manhattan Beach, which is a great area to live in if you're single or married with no kids. But it's hard to raise a kid with all the stuff that happens at the beaches in California."

"I thought, if we buy the hockey team, maybe I'll move up there for six months and get it off the ground and see how I like it," Bobbie explained. Six months has turned into nearly 30 years.  

He's become more than a sports-teams owner.
Major junior hockey, for those not familiar with it, becomes not just a community thing but a family affair. And that's part of his community commitment.

"We draft the kids when they are 15 and they can play on our team at 16 and continue until they are 20 so some kids are with us for four years," Brett explained, noting that the team helps find homes for the kids to stay in and families to live with and makes sure they become part of their high school environment.  

"Fully 70 percent of the players in the NHL came from major-junior hockey." Brett said.

There are 60 cities in three leagues of the Canadian Hockey League with the four Northwest cities of Seattle, Everett, Portland and Spokane part of the Western Hockey League.

His involvement in real estate since he was in his mid-20's and has continued into today is a focus that has also benefited Spokane.  

As one Spokane business leader explained to me: "Bobby is a master preservation person."
When I asked Brett about that, he explained: "We own 13 or 14 buildings downtown, older properties in need of renovation for which we got property-tax abatement.

So in some respects, it might be said that Brett is not only at work building Spokane's sports future but with real estate investment expertise, helping preserve its past.

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Birthday reflections on the healthcare people who added interest to my 70's

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Advancing age brings with it the desire to pause at certain benchmarks to assess how the trip is going, Thus the pause to celebrate today's benchmark as the birthday that brings the last year of pre-octogenarian status and to reflect on things related to healthcare that became a theme over my 70's decade.
 
The healthcare issues that added interest to my 70's decade did include the most likely kinds of healthcare issues for someone of advancing years as I had to overcome two cancers.
 
But what made healthcare memorable these recent years is that it has been the connection point for the people I am writing about in this column who have joined the ranks of friends important to me. They are friends from conventional medicine, friends in alternative medicines of forms many people seem only vaguely or maybe not at all familiar with, and close friendships with the leadership of a biotech company likely to change the world.
 
And amusingly to some, the relationships with practitioners of alternative forms of healthcare have become a form of bonding because we share the same workout guru and all met through her.


Ann-Marie Anderson who, with her Ideal Exercise gyms (founded in 1994 with her late husband) in Seattle and Bellevue and her now 25-year practice, is a nationally recognized leader of a small but growing group of practitioners of an exercise technique called high-intensity resistance training.
 
Her 10-minute weekly regimen continues to draw chuckles from those who have yet to experience what those of us who are her clients have experienced. Those clients, some in their third decade of weekly visits, ranging from teens to octogenarian and from athletes to top business executives to college presidents.  
 
In my case, the leg press on one of the nautilus-equipment units of the workout has gone from 260 to 350 pounds by the end of six or seven repetitions I can do before the muscles say "no more!" But the progress is similar to what other clients experience because of what an observer might characterize as "sadistic" her requirement that each workout must add exercise duration (a second or so) and weight (a pound at least) to the previous workout.
 
But of course, a routine providing for 10 minutes a week, a single client at a time, is never going to be promoted by gyms or sports clubs so it's promoted by word of mouth. And some of us are now working to broaden her visibility, particularly among senior.
 
But now for the rest of the story.
 
The more likely kind of healthcare challenge did, in fact, occur for me when I had to overcome two cancers, colon at age 71 and prostate at 72, thereafter helping friends faced with something similar be aware that what was ahead was a winnable challenge.
 
Recovery from the colon cancer included proving to myself that I could come back from it five months later by running the 100 meters in the 25thanniversary Huntsman World Senior Games in St. George, UT, where I finished third in my age group. That set off the goal of my workouts for the remainder of my 70's.  Preparing to compete in those annual Games.
 
And the following year's prostate cancer surgery led to a special friendship with founder Paul Lange of the globally respected Institute for Prostate Cancer Research in Seattle, and a friendship with Dr. William Ellis, star UWMC surgeon for both Paul and my prostatectomies. Both are heroes of conventional medicine at its finest.
 
Then came Ann-Marie, whom I learned about three years ago from CEO Leen Kawas and board chair John Fluke of M3 Biotechnology. Both are clients and friends of Ann-Marie's as well as close friends of mine who welcomed my investor introductions and involvement as the first, albeit it a small, investor for M3 five years ago. That was early on in the emergence of a company that now stands on the threshold with its new round of human trials of introducing a drug that will regrow brain cells and thus slow or reverse the course of Alzheimer's and Parkinson's Disease.
 
The story of Ann-Marie and the healthcare friends who have become close because we are all close to our trainer is the rest of this column.
 
The beyond-the-norm healthcare practitioners that have become part of my unusual circle of friends and Ann-Marie clients are:
 
--Joe Pizzorno, founder of Bastyr University and its president for 22 years and perhaps the nation's best-known naturopath. His writings and his lectures and teaching now focus on the impact of toxins, "our exposure to a barrage of chemicals, heavy metals, radiation, electromagnetic frequencies, and pollution that are the hidden poisons in our air, water, food, and products."
 
--Jeff Haller, a nationally known teacher of teachers of the Feldenkrais Method, which is about being sensitive to your body and having the ability to choose effortless movement over struggle. It's about knowing that the brain has the ability to guide healing. If you don't know of Moshe Feldenkrais or his teachings, search him.
 
--Robert "Dr. Bob" Greczanik, who has a doctorate in acupuncture and is licensed as an East Asian Medical Professional with an amazing array of clients from professional and college basketball, professional football as well as Olympic decathlete Jeremy Taiwo and high school athletes from all sports. Clients included the Jacksonville Jaguars in the playoffs and Super Bowl a year ago.
 
Ann-Marie just returned last week from the national Resistance Exercise Conference in Minneapolis where she was a key speaker and actually hand young attendees gather around gushing with questions after her presentations.

Her clients and supporters have decided it's time for her to grow her business and thus John Fluke and I are helping prepare a plan, including introductions, to attract a wider range of business opportunities.

Meanwhile, there's a sense of a growing interest in the resistance exercise of which she is a master and in the momentary muscle failure that signals you have reached the point where you are done. And for her clients, they know that means your muscles can begin their week-long recovery course,

Intriguingly, that doesn't mean you can't do other exercises, as Dr. Bob, Joe Pizzorno, and Jeff Haller, who was a basketball star at Oregon State University, all play basketball and I do my sprint workouts. And some of her high school clients are star performers in their sports. But those are different forms of exercise than her slow, high-intensity workouts.

So my goals in the coming year, last before octogenarian status, include helping Ann-Marie, as the most senior female, and one of the best regarded, in the super slow high-intensity training ranks move successfully into broadening the awareness of her training and maybe get a book out of it.

Then there's the hope of seeing M3's neuro-regenerative drug reach all those with diseases like Alzheimer's and Parkinson's that are killing people's brain cells.

Finally, I'd love to help create a broader recognition for my alternative-medicine friends. They don't particularly need the recognition, but those who don't know of them could use the healthcare they provide.

So what of year 80? Well, my son Michael will then be 50, the threshold age the qualify for the World Senior Games. So I thought it would be cool if my son, who also ran the 400 meters in high school and college but made it more difficult by doing that distance with hurdles, could be a father-son team at the games, although in different age groups.
 
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Port of Seattle plan, Department of Commerce Spain agreement key step toward Land of OZ

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Lisa BrownLisa Brown

As states begin to compete to create the most attractive Land of OZ to lure investors and create new businesses and jobs, the state of Washington and the Port of Seattle have taken key steps in the past few weeks that could put them at the front of the pack employing the benefits of new federal tax law.
 
OZ refers to what is officially called Qualified Opportunity Zones that come about under the Tax Cuts and Jobs Act of 2017. The QOZ provision in the legislation approved by Congress will permit those owing capital gains tax to delay, reduce or even totally avoid those taxes by investing in special funds designed to start businesses and provide other steps to help economically distressed communities.
 
Virtually every major accounting or law firm or wealth management company in the country has been inviting clients and prospects to learn all about the details of what have become known simply as Opportunity Zones, or OZ.
 
And while the message in many of those explanatory sessions by professional firms has been the prospect to create funds for investment in real estate projects, funds could be particularly appropriate for energizing the prosperity of small and diverse firms that have not had access to equity capital to grow and expand.
 
And that's where the recent separate initiatives by the State Department of Commerce and the Port of Seattle come into play in a manner that gives this region a leg up in that competition among states for attracting new investment to job creation.
 
Ralph Ibarra 
The development for the state was Spain's first-ever Memorandum of Understanding with a state to promote economic cooperation to benefit trade relations and boost business opportunities for small and medium-sized businesses in both Spain and Washington State.  
 
The agreement was signed in Madrid March 1 between Lisa Brown, the new director of the state Department of Commerce, and Maria Pena Matcos, chief executive officer of the public agency attached to Spain's Ministry of Industry.
 
The Port of Seattle's initiative was issuing a "Request for Qualifications" for a $200 million renovation of 29 acres near Pioneer Square in Seattle to provide for the port's fourth cruise ship berth that would accommodate super-size cruise ships.  
 
That parcel, for which the Port is seeking a partner, is located within an Opportunity Zone that extends across the property on which T-Mobile Stadium and CenturyLink Field are located and extends into the International District.
 
The Port's Request for Qualifications intriguingly contains the sentence: "It should be noted that Terminal 46 is located within a Qualified Opportunity Zone," suggesting it intends to use the tax-break incentive in seeking to attract a wide array of businesses to develop on the site, or nearby.
 
So what kind of developments are being created in other regions with Opportunity Zone funds? A potentially appropriate example was the announcement by a Scottsdale, AZ, based wealth development company called Caliber of plans for a new hotel development at Tucson Convention Center, which is in a designated OZ.
 
For Ralph Ibarra, president of DiverseAmerica Network, the agreement with Spain and the Port's announcement represent important steps to dramatically benefit small and diverse businesses.    

Ralph IbarraTo Ibarra, a consultant to the public and private-sector corporations and institutions who has brought long-standing support of small and diverse business to his consulting activities,
the agreement with Spain and the Port's announcement represent important steps to benefit small and diverse businesses.  

He sees both developments as important steps"particularly appropriate for energizing the prosperity of small and diverse firms that have not had access to equity capital to grow and expand."

In fact, Commerce Director Brown said her immediate priorities include helping address the sustainability of infrastructure financing programs and enhancing the agency's outreach activities - especially with rural and underserved areas - to ensure communities in need can access Commerce programs and services.
 
The statement put out following the signing of the agreement noted that it 'builds on a foundation of approximately $9 billion in trade activities currently taking place between Spain and the State of Washington. It acknowledges common strengths in aerospace, information and communication technology, cybersecurity, clean energy technology, life sciences, maritime, agriculture, and other sectors, and formalizes plans to explore opportunities for Washington companies in the Spanish market and establish future opportunities for Spanish companies to create jobs in Washington."

Ibarra, who chairs the Washington District Export Council, suggests Opportunity Zones "hold great promise to accentuate and expedite beneficial outcomes" from the Agreement with opportunities for Washington companies in the Spanish market and for Spanish companies to create jobs in Washington.

Ibarra brings some awareness of the extent of potential represented by the state's agreement with Spain since some years ago he prepared and escorted an aerospace manufacturing firm from this state to various meetings with Spanish aerospace companies at a U.S.-Spain Aerospace Industry Summit.

"And now, whether its Spain or Washington State, any individual relationship that comes about is going to need some sort of facility, whether distribution or manufacturing, in place and that's where Opportunity Zones can come into play to facilitate those relationships," Ibarra said.
 
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Faux Feud between Jimmy Kimmel and Gonzaga Fans isn't "imaginary"

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Jimmy Kimmel's late-night comedy bit at the start of this year's NCAA tournament insisting that Gonzaga is "an imaginary university" with a team created for its annual tournament appearance has set off what bloggers have dubbed a "faux feud" (which mean fake news in political language) between the comedian and Gonzaga's hometown and state.

The ongoing routine is now making Gonzaga and its basketball team well known beyond the sports world with Kimmel jabs like: "Now people from Spokane, Washington, are claiming Gonzaga is real and it is located there."  

The dean of the Gonzaga law school and Washington attorney general even got involved in the humor, sending Kimmel a video of law students swearing the university is real.  

Kimmel responded with a bit featuring comic actor Fred Willard pretending to be the chancellor of Gonzaga, named Dr. Gonzo Aga who, after his story fell apart, allowed Kimmel to use that as proof Gonzaga is a myth.  

In fact, there really is something almost mythical about the rise and continuing role atop basketball's collegiate ranks for the little Jesuit school with an enrollment of just over 5,100 students. That's less than a third of the enrollment of Duke University, which is frequently referred to as the small school with the powerhouse collegiate basketball reputation.

In fact, if Gonzaga should finally prevail and win the tournament this or some future year, they will be the smallest school to ever do so.

This is the 20th anniversary of Gonzaga's continuous run since 1999 as a part of the March Madness that is the NCAA tournament. And it's the 20th year of head coach Mark Few's leadership of the program he inherited after Dan Monson rode the Zags' shocking Elite Eight appearance to a head coaching job at the University of Minnesota.

There are a couple of lesser-known, or maybe lesser remembered, things about Gonzaga basketball before moving on to answer the question of "is there more to know about Gonzaga than basketball?"

First, there was the African-American young man who, fresh out of the U.S. Army and with family at 26, walked onto the basketball court as an unknown to try out for the team in 1959. He soon became the star and two years later, in 1961, Frank Burgess led the nation in scoring with an average of 32.4 points per game.

It would be 45 years later that the Bulldogs produced another nation's leading scorer, in 2005 when Adam Morrison averaged just over 28 points a game.

Then, of course, there was home-grown John Stockton, who starred for the Zags in the early '80s before winning a spot on the 1984 U.S. Olympic basketball team then going on to a career with the Salt Lake City NBA team and eventually becoming an NBA hall of famer.

Whenever Stockton's name is mentioned to those familiar with Gonzaga sports lore and the fact that the school pursued a delusion of becoming a football power like that other small Catholic school, Notre Dame, there's a knowing smile at the fact another Stockton was prominent in that 1920s effort.

That was John's grandfather, Houston Stockton, who was one of the finest backs in the nation from 1922 to 1924. In '22 he not only scored 46 points in one game when he had six touchdowns and 10 extra-point conversions as Gonzaga swept over Wyoming, 77-0, but he guided the school that year to its only bowl game, That's right, the school with then a couple of hundred students became the smallest school to ever compete in a bowl game, the first and only Christmas Day Classic in San Diego.

The game was envisioned as a marketers dream, matching the Notre Dame team coached by Knute Rockne against the Gonzaga team coached by Gus Dorais, who had been the passer who teamed with Rockne in the Notre Dame playing days to popularize, if not invent, the forward pass.  

But the dream match never came about because when Notre Dame lost its last game of the season, Rockne decreed that they didn't deserve a post-season game so the promoters of the San Diego game had to race to find a replacement and found one in West Virginia, which actually had beaten Rose Bowl-bound Pittsburgh that season.

Gonzaga lost, 21-13, but the game and Gonzaga's performance earned a front-page headline the next day in the sports section of the New York Times. "Hous" Stockton went on to a pro career as the star quarterback of the Frankfort Yellowjackets, forerunner of the Philadelphia Eagles, in the latter years of the '20s.

Interestingly, Stockton wasn't the only Gonzagan to star in the NFL. Ray Flaherty, who had played at the same time as Stockton, went on to be an NFL All-star with the New York Giants.

Then in 1937, Flaherty was tapped to be the coach of the team nicknamed the Redskins, who were just relocating that year from Boston to Washington. It was there st Washington that he became one of the most successful NFL coaches over the next six years, until he went in the Navy in World War II, winning the NFL championship in 1937 and 1942 and being league runner-up in 1940.

So what of non-sports things about Gonzaga? Well, There was its likely most famous grad, Harry Lillis Crosby. So what was he famous for? Oh, forgot to add his nickname, "Bing," which answers the question.

Then there was Tom Foley, whose five years as Speaker of the U.S. House of Representatives ended with the Republican congressional sweep of 1994.

Then there's the fact that Betsy and I met there in freshman math class, which I was taken as a super-senior (beyond four years) because I had to have the course and even though I didn't care for math, there was no more time to wait. We were married two years later so I tell people "don't say nothing good ever came out of math class.

So back to basketball and Coach Few. It could be that the respect the school has gained on the basketball court may not be the success most other colleges would like to emulate. Rather the "nice guy" image that Few has legitimately earned and the "family" characteristics engendered by Few, the school and its supporters may be the most envied part of what Gonzaga has brought to college basketball.

Longtime King County land developer and 20 year Regent of Gonzaga Jack McCann of Jack McCann Company once summarized the Gonzaga story for me as "a magic carpet ride for all the segments of the 'family.'"

"I always wondered if Few and (athletic director) Mike Roth were just lucky or were incredible people. Well, I think the last 20 years have answered that question," McCann told me for this column.

Oh, and as for Kimmel, he said in explaining his pick of Gonzaga to win it: "I figured if these are so good they can concoct an imaginary university, and get almost everyone to go along with it, they could easily win a basketball tournament. So, go Zags!"

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Recalling eastside business journal's impact - 20 years on from launch

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A LinkedIn entry from my son, Michael, noting the 20th anniversary of the launch of 
eastside business journal brought back memories of the effort to create the "local" business voice for Bellevue and other Eastside communities as they were starting to emerge as economic entities more independent from Seattle.

Eastside Business JournalEastside Business JournalMy decision, as publisher of Puget Sound Business Journal, to create a separate weekly business publication with its own staff, readership and highly focused coverage of business on the Eastside, as well as involvement with its business community, was a realization that a Seattle-based and focused publication couldn't build close relationships east of the lake.

Michael was an experienced young public relations and marketing professional when I convinced him to leave the public relations firm, The Fearey Group, to become general manager and overseer of a weekly start-up business newspaper.  

Microsoft was already more than a decade along in turning out young millionaires with its stock, as well as new software and computer products from its Eastside headquarters, and in fact, that year spun out its Expedia division into a separate Bellevue-based public company.

And the Eastside had become the global mecca for the rapidly growing telecom and cellular industry as home to not just McCaw Cellular and Nextel but also Western Wireless, which in 1999 spun off its star telecom subsidiary, VoiceStream, which has since become T-Mobile.

Willows Road, along with the west side of the Redmond Valley, had actually become the region's high-tech highway more than a decade earlier with a number of companies like Physio-Control and Rocket Research building their headquarters along the west hillside above Willows Road.

And of course, Kemper Freeman had already, for a couple of decades, been scaling the retailers' mountain and reigned as the most prominent retailer developer in the region.  

By 1999 he was on the way to creating a retailing center that would make his Bellevue Collection of Hotels, retailers, and restaurants leap past Seattle as a destination for shoppers and diners.

Of course, the EBJ launch came two years after Amazon's IPO changed the nature of Seattle's ability to compete with the tech growth on the Eastside, and soon surpass all in growth of revenue, profits and employment. Of course, now Amazon seems intent on possibly turning the Eastside into a second headquarters now that New York has been jettisoned.

Thus 1999 was an interesting time to seek to create a successful and impactful special-interest (business) publication in Bellevue and the Eastside, a time when two Seattle daily newspapers, The Times and Seattle P-I, made life difficult for the much smaller and profit-stretched Eastside Journal in the quest for readers and dollars from the Eastside.

So I told Michael to come up with some events that EBJ could put on to attract visibility and support and promised to make sure PSBJ didn't do the events as a counter to keep EBJ from gaining a foothold, which interestingly PSBJ adverting and editorial leadership hoped to do. It was a competitor, after all.  

Thus I took the unusual business role of holding the big dog back so the puppy had a chance to grow.

For a newly minted young newspaper executive with a twenty-something staff and seeking to carve out readers and advertisers from a young, partly tech, audience, the logical event for Michael to create was one honoring youth.

So he launched Eastside 40-Under-40, geographically designated even though there was no other 40-Under-40 event in the Northwest. In fact, I don't think there was one on the West Coast at that time.

That eventually became the regional event run by PSBJ, with the "Eastside" dropped from the 40-Under-40 name.

One day in summer of 1999, I wandered over to Bellevue from my PSBJ office to check in and found folks on the staff en route to a day-long Going Public seminar that attracted a large audience of entrepreneurs, prospective investors and wealth managers to listen and learn from a panel of experts Michael had assembled.

Then Michael came up with a CEO interview breakfast event he dubbed Eastside Executive Forum, with his first interviewee being the region's then Beer Master, Paul Shipman, creator of Redhook.

Another CEO interview featured HomeGrocer.com CEO, Terry Drayton. Do you remember that Bellevue based company that sprang into existence with the first fully integrated Internet grocery that grew across the West and across the south before being forced by tight cash for growth to sell out in the fall of 2000 to competitor Webvan?

It wasn't long before the reality of having created a direct and growing competitor in basically the same market began to sink in for the parent company and EBJ and its staff were folded into PSBJ. Michael soon departed the media business to focus on a business-development career in other industries.

And with the demise of the P-I and the closing of the Eastside's daily newspaper, by then renamed the King County Journal, in 2006, and the recent dramatic cutbacks by profit-focused Sound Publishing as owner of the area's shrinking pool of weekly newspapers, memories of the local business newspaper that was have been stirred anew.

"A lifetime ago and yet there isn't a day I'm not reminded of something I learned in those years," Michael wrote in his LinkedIn message. "Thanks, Pop and EBJ Peeps."

The LinkedIn message got several thousand views and many comments, including this from the head of an Eastside wealth management firm.

"Michael: you and your team's work had a huge impact on the Eastside at a critical juncture of growth along every path - business, economic, community, stature, maturity, and poise. I miss the voice of EBJ. I relish my fond memories of all of your events and the friendships forged over robust dialogue."

 
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Biotech veteran Rhonda Rhyne guides growing & innovative cardio-diagnostic company

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Rhonda Rhyne, whose leadership as president of an innovative cardiovascular medical device company made her one of the most honored biotech CEOs in San Diego for over a decade until she guided the sale of the publicly traded company, may be headed for a repeat performance, this one on Seattle's Eastside.
 
Rhyne is now CEO, president, and director of Prevencio Inc., a Kirkland company that has developed a test that is purported to be "significantly more accurate than stress treadmills for diagnosing obstructive coronary artery disease." She has guided the company since August of 2013, a few months after its conversion to a C corporation.
 
Rhonda RhyneRhonda RhyneRhyne's San Diego honors over 12 years at the helm of publicly traded CardioDynamics included the 2003 Entrepreneur of the Year award for medical products and Deloitte's Fast 50 Award for 50 Fastest Growing Tech/Life Science Companies in Southern California for nine consecutive years from 1999 to 2007. It was exactly a decade ago that she led CardioDynamics into a sale to Bothell-based SonoSite at a 69 percent premium.
 
This past year was one of the significant developments for Prevencio, with major presentations on its series of cardio-related tests in which Prevencio's focus has been on demonstrating improved diagnostic accuracy and helping keep patients from undergoing unnecessary, expensive, and invasive tests.
 
This year is a key one for the company as Rhyne has just returned from major presentations at a Biocom event in San Diego where Rhyne says she had an opportunity to advance discussions with potential partners and to "educate the biotech, medical device and venture capital worlds on what Prevencio is doing to advance cardiac medicine."
 
Now she heads to New Orleans late this week for sessions at the American College of Cardiology where researchers from Europe and from a major U.S. healthcare system will present accuracy studies which she says "further validate the robustness of our AI-driven, multi-protein novel HART blood tests." HART is the company's trademarked name for Heart-related ARtificial Intelligence-driven, multiprotein Tests.
 
The studies, Rhyne says, 'help drive awareness and adoption, partnerships, and eventual exit."
 
In the short term, the American College of Cardiology sessions will pave the way for the company's next fund-raising round in April when its B-1 round of $7-$9 million, which will include conversion of a $4 million note that is part of Prevencio's total to-date $11 million funding, is planned.
 
Prevencio's product explanation is complex to the layman. But Rhyne explains the company "utilizes Machine Learning (Artificial Intelligence) plus Multi-Proteomic Biomarkers plus Proprietary Algorithms to deliver cardiovascular diagnostic and prognostic tests that are significantly more accurate than standard-of-care stress tests, individual biomarkers, genetic markers, and clinical risk scores."
 
Study results announced last year, including by the European Society of Cardiology, credit Prevencio's diagnostic testing with producing promising results for an array of cardio-related diseases, including those relating to kidney disease and to peripheral artery disease (PAD) in diabetes mellitis.
 
The company's lone competitor for diagnosing coronary artery disease was a Stanford spinout whose lab tests had what Rhyne describes as "significant limitations" that led to Medicare canceling coverage late last year and thus the company went out of business after raising and spending more than $300 million.
 
"Our plans for partnering with other companies for licensing and commercialization will keep our burn rates low and facilitate partnerships, widespread dissemination, and exit," Rhyne said.
 
Rhyne's introduction to the medical instruments industry and coronary testing came early in her career when, after quickly tiring of being a pharmacist, she went to work for Quinton Instrument Co., the Bothell-based company that was a pioneering innovator in medical devices.


The devices she sold for Quinton ranged from stress treadmills to cardiac diagnostic equipment.
 
So she sports a smile when she suggests that her company is positioned to replace the diagnostic treadmill systems that were the medical devices with which she started her career in that field more than 30 years ago.
 
I asked Rhonda, during one of our interviews, why she had returned to Seattle after establishing a dominant Biotech presence in San Diego.
 
"My husband was in Seattle so after 12 years of being a couple (met, dated, engaged, and married) and not living together I thought it was prudent for our relationship and marriage," she replied.

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Cuomo blasts critics who doomed Amazon deal - "...stupid or liars..."

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New York Gov Andrew Cuomo has laid to rest any doubt that the political fallout from Amazon's decision, in the face of loud but relatively small opposition, to abandon its plan to bring its HQ2 to New York will drift across the national Democratic party landscape heading toward the 2020 elections.'
 
An open letter released last Sunday on Cuomo's web page was written by New York State Budget Director Robert Mujica who basically derided those whose opposition led to Amazon's decision as either stupid or liars.
 
As Mujica ungently said of opponents of the project who claimed Amazon was getting $3 billion in government subsidies that could have been better spent on housing or transportation: "This is either a blatant untruth or fundamental ignorance of basic math by a group of elected officials."
 
Mujica, whose letter has become fodder for blog comments across the political and economic spectrums, said there were three reasons the Amazon deal fell apart.
 
"First, some labor unions attempted to exploit Amazon's New York entry. Second, some Queens politicians catered to minor but vocal local political forces in opposition to the Amazon government incentives as 'corporate welfare.' Third, in retrospect, the State and the City could have done more to communicate the facts of the project and more aggressively correct the distortions."
 
On the third point is where Mujica took opponents of the project to task for his charge of "blatant untruth or fundamental ignorance."  
 
He explained that "The city, through existing as-of-right tax credits, and the state through Excelsior Tax credits -- a program approved by the same legislators railing against it -- would provide up to $3 billion in tax relief IF Amazon created the 25,000-40,000 jobs and thus generated $27 billion in revenue."
 
The fallout from Coumo's withering criticism of Amazon critics, through Mujica's superbly crafted narrative, coupled with the emerging influence of newly elected congresswoman Alexandria Ocasio-Cortez, could make New York ground zero for a major rift among Democrats, and not just those in New York.
 
Those elected officials scorned by Cuomo through Mojika's commentary, included Ocasio-Cortez, who has gathered growing support from elected Democrats on the left as well as left-leaning groups around the country, particularly after she promised that candidates like her will be on the ballot in an array of locations next election.
 
I looked through a variety of political and economic blogs about the Amazon debacle and found several that made compelling reading.

But the one that I found most compelling, though politically partisan, was from an economics blog called Marginal Revolution done by a couple of economics professors at Gorge Mason University in Virginia.
 
"I can only think that this is some sort of cognitive dissonance that prevents people of a certain politics slant from mentally processing words that go against a deeply held stereotype," wrote the prof, Alex Tabarrok. "Amazon is big. Bezos is rich. Obviously then the state gave them unique benefits. That's the only message that the left wing brain is neurologically capable of hearing, even though, in this case, it is the opposite of what happened."
 
His comment made me think his "certain political slant" likely fits both political fringes and it was then I realized it's been exactly a decade since the modern-day Tea Party came into existence, in either February or April of 2009, depending on which event its fans took to be the launch.
 
There obviously isn't going to be a liberal Tea Party, even if "neurological incapacity" can be found far out on either fringe. But what's happening in New York in the Amazon aftermath makes it clear there could be a mirror image of the Tea Party with the mirror folks shouting "yes, taxes!" in reply to the "no on taxes!" Or "more government" to"no government."
 
That's the "balance" of equally potent fringes which, even if each appeals to about 15 percent of their parties, will be reflected in pressures on the middle as the next election nears.
 
And because the liberal "Tea Party" mirror is coming about a decade on from the original, it will be affecting political positions more than in the past for Democrats. And thus it will be interesting to see how the positions of Washington State's two presidential wanna be's, Gov. Jay Inslee among the Democrat hopefuls and Starbucks' Howard Schultz as an independent, might change.

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Amazon/New York - Are the days of corporate incentives or breaks coming to an end?

nyc

Watching the free-for-all of analysis and commentary over Amazon's misadventure romance with New York City, we're talking about the company now, now its CEO, over a second headquarters made me think of my senior-sprinter friend and author Steve Robbins. Although he is acknowledged as the most prolific author of management textbooks, he may now have an outline for one he's never written.
 
I'm referring to Amazon's unprecedented suddenly announced decision that it was no longer planning to build a second headquarters in a section of New York City's Queens neighborhood of Long Island City.  
 
I say suddenly announced because no one can be certain that Amazon's decision to turn away from New York was as quickly made as the announcement might suggest. Like the world third's richest company may have begun to have a change of heart soon after its early November announcement that unexpectedly there would another "second headquarters", adding Northern Virginia in the announcement that New York was the pick.
 
Is it possible Amazon execs hadn't thought things through about New York until Gov. Andrew Cuomo and New York Mayor Bill de Blassio pointed out, as they welcomed the company, that New York is a union town? That fact had assumedly already been digested by a company that doesn't go for union organizing.
 
The business fallout from this may simmer for a time but will likely disappear. Bu the political fallout will likely continue for New Yorkers into the next general election and maybe beyond.

Meaning from a business sense, Amazon will likely be able to go on as if nothing happened. As a former top Amazon executive told me, "the world is a very big place. If one doesn't want us, others will."
 
But politically, the rift between the New York Democratic party power structure and the newly emerging powerhouse of left-wing forces, some elected and some not elected, will echo down the coming months.
 
I called my roommate from college days at Marquette, who retired after fashioning a prominent New York legal career, to ask him his thoughts.
 
"A lot of the politicians who were against the Amazon deal didn't represent the district so they had no skin in the game and Governor Cuomo is outraged at the politicians who had no constituent reason to get involved but screwed it up," he said.
 
"Regarding the idea that unions opposed Amazon, a non-union giant, coming to New York: that doesn't make sense," he said. "The municipal employees union was very opposed because they feared the multi-billion dollar package the city had put together for Amazon would come out of their salaries and future raises.
 
"But a majority of the unions are upset that Amazon walked away. Do you think any of the construction-related unions weren't excited about what the future held for them?"
 
The Amazon-New York situation represents the conundrum that areas seeking to attract new business face. If a city or state don't offer the incentives, they are often out of consideration.  If they do play the game, they are open to public pressure to back off.
 
A longtime business leader in this state, when I asked about that conundrum, told me he thinks the days of corporate incentives or breaks are coming to an end.
 
"This movement among millennials to the left is going to reset the political system, including things like corporate incentives," he said.
"The selection process was, in my judgment the height of corporate arrogance in a time when the tide is going the other way," added my business-leader friend.
 
"The variables which help strengthen public support for a company's actions are the goodwill a company builds in the community and the public support they build," he added. "Boeing has been a master at that, something they learned after the 1972 cutbacks from the demise of the SST."
 
So back to Steve Robbins and his management textbooks. I haven't seen Robbins, who moved from Seattle to Cleveland a few years ago and turned 76 last month, for a decade but was caused to recall his leaving me far behind in various 100-meter races in masters and senior games events. But fortunately, I got to talk with him after or over coffee about both writing and running.
 
I'd love to get hold of him now to get his view of the management aspects or lack thereof, that might have been in evidence in the non-dramatic drama of Amazon's decision.
 
I flipped through his nearly three dozen titles, of which he has sold 10 million copies and that have been translated into 20 languages, to see if any of the titles, all available on Amazon, might suggest he's already been there in the discussions and lessons in his management textbooks.
 
Robbins' books focus on conflict, power, organizational politics and interpersonal skills. Which of those were in evidence or absent, and to what extent, would make interesting cocktail lounge or boardroom, discussion.
 
I was intrigued at the title of one of Robbins' books: "Divide and Conquer: The ultimate guide for improving your decision making."
 
It occurred to me that the way Amazon left the New York political scene in taters definitely demonstrated an ability to divide, as was also evidenced in the embarrassing snafu of the Seattle City Council and its aborted head tax.
 
I'll leave the "conquer" to those cocktail lounge conversations.

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The Future Role Of Newspapers And To Whom It Really Matters

Ben-Franklin-at-Printing-Press

A most interesting, and broadly important, corporate takeover battle is taking place in full national view but unfortunately, it's apparently attracting only modest attention from the general public, perhaps because of declining numbers of the public view the issue at stake as all that important.

That issue is the future of daily newspapers, framed against the hostile bid by Alden Global Capital, a New York hedge fund that has bought and then proceeded to suck the life from scores of newspapers in this country, to buy Gannett, owner of the country's largest newspaper chain.

If Alden's hostile takeover succeeds, the hedge fund's Digital First Media company would gain control of Gannett's 100-plus local newspapers as well as Gannett's flagship publication, USA Today. Digital First, which has a long record of stripping the staff and assets of newspapers, would become the largest newspaper chain in the country.

In the view of traditionalists, journalism, the kind that presumes investment in people and tools to deliver the kind of information that enables the informed public opinion that some of us believe democratic governance requires, would suffer another grievous blow at the hands of Digital First.

But the intriguing question is: does anyone other than those instilled with traditional journalistic mores, or moral compass, really care in an era of internet and social media and social network platforms that reach audiences with whatever information or messages they wish to receive or share. And there is coming to be an almost limitless number of those information alternatives, well beyond Facebook, Twitter, LinkedIn, and YouTube, each attracting not only customers but also ad revenue in increasingly clever and user-intrusive ways.
 
As far back as the turn of the last century, local daily newspapers were attracting ambitious men who wanted to own a lot of them. First, it was newspapermen like William Randolf Hearst and E.W. Scripps, and a small-town New York newspaper owner named Frank Gannett, who all had a personal zeal to expand their newspaper holdings as much for personal influence as for profit.

Soon companies that owned groups of newspapers, each of which could be expected to post profit margins approaching 50 percent, realized that as public companies they could return dramatic shareholders profits. Thus emerged newspaper companies like Knight-Ridder, McClatchy, Newhouse and Lee Newspapers and a host of smaller, lesser-known chains. And of course Gannett, the nation's largest.

But even the most committed newspaper groups, while pressing to maintain quality coverage for each of the communities they served, realized that delivering continually increasing profits required cost-cutting focus in all areas, not just logical ones like travel and meals and entertainment but also, inevitably, personnel.  

Then as daily newspapers began a long and slow but steady decline in circulation and advertising revenue, both the result of waning customer interest, newspaper acquisitions become appealing for far different reasons than the surging profits that once marked the industry.

So the sharks began to circle and there were a number who created profits by acquiring newspapers and imposing devastating cost constraints, which inevitably meant editorial staff reductions and thus the quality of the news coverage.

And Alden's Digital First found even greater investor appeal, realizing that after they bought a newspaper at a distressed price, they could not only reap the cash flow and lay off employees, but then sell the buildings the newspapers had owned. Thus disappeared or shrank dramatically dailies of onetime major prominence like the San Jose Mercury News, the Denver Post, the Orange County Register or the Oakland Tribune, which Alden merely closed.
At first, readers looked to television to provide news in a much more timely fashion than newspapers. Then social media platforms emerged to provide people with an outlet to feel like they could escape from the real world and interact with people who shared like minds and common interest on one of the web-based communities.   

Suddenly alternatives to conventional media like newspapers provided places to unplug from the grind of corporate America, family or whatever a person needed a break from, which was frequently the onslaught of information about wars, politics, disasters, or combinations of all three.

Meanwhile, most daily newspapers have fallen short in efforts to replace lost circulation and advertising revenue with revenue from digital news and product offerings. Though the device of luring readers to websites and then requiring a subscription in order to proceed beyond the first paragraph is benefitting those with higher-quality editorial offerings.  

So what of that conventional wisdom about the fate of newspapers holding the key to the health of democracy?  

Well, first those engaged in the demonizing of media for political reasons are having an active impact on the declining acceptance of newspapers. In addition, an article in Wired magazine last week included an article entitled "Journalism isn't dying. It's returning to its roots."

"If men like Ben Franklin or Samuel Adams, both newspapermen returned to today, they'd find our journalistic ecosystem, with its fact-checked-both-sides-ism and claims to 'objectivity' completely unrecognizable," suggested the Wired writer. Both founding fathers wrote under numerous pseudonyms and Franklin pioneered placing advertising nest to content.

"We take journalistic objectivity to be as natural and immutable as the stars, but it's a relatively short-lived artifact of 20th-century America," the Wired article continued. "Even now it's foreign to Europeans-cities such as London cultivate a rowdy passel of partisan scribblers who don't even pretend there's an impregnable wall between reportage and opinion."

The Wired article, written by Antonio García Martínez, who worked on Facebook's early monetization team where he headed its targeting efforts, suggests that "While the tone of journalism might be headed back to the 19th century, clearly the business models are not. Revenue-wise, the Great 21st Century Journalism Shakeout will likely end with smaller organizations inventing new business models that the villains-the internet and social media-enabled."
There's a local aspect to this column: it's the observation that this state benefits unusually from the number of local and family-owned daily newspapers operating here, compared to other states.  

But those newspapers in Spokane with the Spokesman-Review, Vancouver with the Columbian and Seattle with the Seattle Times, plus Yakima and Walla Walla that I also include as a local family owned since they are Seattle-Times owned, face dramatic financial challenges that do threaten their survival.

I also include the Lewiston Morning Tribune among the local, family-owned in this state because The Trib serves an audience across parts of Southeast Washington and the Palouse, through its Moscow-Pullman Daily News. And also because two of the stories about the community service that comes with local ownership relate to the late A.L. Alford and his son, A.L. "Butch" Alford Jr., former publisher, now president and chairman of TPC Holdings, an umbrella for the Tribune and Daily News. Butch succeeded his father upon his death in 1968 and passed the publisher Baton to his youngest son, in 2008.

Seems that years ago, The Trib was writing some stories critical of Potlatch, the then locally based lumber-products public company that was a major advertiser, when the CEO one day paid a call on publisher A.L. Alford Sr., and made it clear there would be no more Potlatch advertising in the Tribune unless the critical stories stopped. So the senior Alford, without further ado, asked his assistant to please show their guest to the door and the CEO, true to his word, stopped advertising and the critical stories continued.

A few years after he became publisher, Butch Alford was appointed to Idaho Board of Education and took the occasion to write a front-page column detailing his various business and community involvements and ties, explaining to readers that he felt it important that they be able to be aware if his newspaper's coverage seemed to be influenced at any time by his involvements and interests, so they could call him to account if it seemed appropriate.

Without offense to the journalistic stints of our founding fathers, I'd personally prefer that the future of newspapers was in the hands of those like the Alfords rather than Franklin. I only hope the future is not in the hands of Alden. Or Facebook's Mark Zuckerberg.
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WA legislature and Congress in crosshairs over consumer privacy

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Lawmakers in both Washingtons are in the consumer-privacy crosshairs amid a growing awareness, and thus anger, of how little people are able to keep private about themselves.  
 
While both the Washington Legislature and Congress are deliberating bills the lawmakers hope can be crafted to satisfy both tech giants and consumers, there is an increasingly uncomfortable sense among legislators at both the state and federal levels that they had better not rile consumers further on the privacy issue.
 
And interestingly, part of the script for how this struggle between the tech industry and individuals over privacy plays out may be written in Washington state, either with the legislative tax hammer that is almost uniquely available in this state or by an emerging Bellevue company that hopes to take the privacy issue out of the hands of the tech giants.  
 
The tax tool is the state's business and occupation tax, a use tax on gross receipts rather than profits, which can and has been imposed in a punitive manner. The business start-up company is Helm, which has created a relatively inexpensive device, about the size of a router, that lets consumers send and receive emails from their own domain. More on both the b&o and Helm later.
 
At the federal level, Sen. Ron Wyden, D-Ore., is proposing sweeping new legislation that would empower consumers to control their personal information, create radical transparency into how corporations use and share their data, and impose harsh fines, even prison terms for executives at corporations that misuse Americans' data.
 
As Wyden has put it: "Today's economy is a giant vacuum for your personal information - Everything you read, everywhere you go, everything you buy and everyone you talk to is sucked up in a corporation's database. But individual Americans know far too little about how their data is collected, how it's used and how it's shared,"  
 
Washington Gov. Jay Inslee said he expects the state legislature to address privacy in the upcoming session, saying he has begun discussions with tech leaders in the state "about a privacy policy that is consistent with innovation and also consistent with fundamental rights of privacy." And Inslee expressed confidence about getting a policy, probably in this session, that will be pleasing to innovators and consumers."
 
"Pleasing" to the big tech companies like Facebook, Google and hometown Amazon is an almost amusing word for a governor to use when "acceptable" to the tech giants is the best that is likely to happen with any state legislation that constrains the manner in which personal information is being collected and used.
 
That's particularly true with citizen pressure on lawmakers here and in other states after California's Assembly and Senate overwhelmingly passed a far-reaching piece of legislation called the California Consumer Privacy Act of 2018 (CCPA). The measure largely mirrors protections offered to European citizens under the recently implemented General Data Protection Regulation (GDPR), is likely to drastically change the ways that American companies store and trade in consumer information for Californians.
 
The law allows Californians to ask firms collecting and selling data: what do you collect, why and with whom do you share it? And it allows California residents to opt out of the sale of their data and to request deletion of their data.
 
And in addition to Wyden's zeal on behalf of privacy, the passage of CCPA is spurring the tech industry to seek Congressional action on something they could at least reluctantly accept to avoid what they are protesting as a possible "patchwork approach to privacy policy" if each state enacts its own version.
 
So in the event Washington lawmakers approve legislation that makes its citizens happy about new state protections for privacy, and then Congress approves a law that offers dramatically less protection that supersedes what states like California, and Washington, have put in place, how can this state preserve the protections it will have given its citizens.?
 
A suggestion, borne or my political-writing background: The state, led by its Democrat Atty. Gen. Bob Ferguson, could put in place a privacy policy that companies would be told they must comply with or a special B&O tax rate of some compelling amount, maybe even 25 percent, will apply to those firms not honoring our privacy policy.  
 
Would Ferguson have the courage to confront major tech companies either located here, like Amazon or having a significant presence here like Google and Facebook? Given the fact that he'd like to be Inslee successor as governor and that his key role is first and foremost "preserving the rights of the individual," he could fatally impact his political hopes if he failed to follow the public demands on this issue. And in fact, if he failed to take a protective step demanded by citizens, they could use the initiative process to create a special b&o tax rate themselves.
 
This wouldn't be a law, since the federal government if Congress passes a privacy act, would likely have pre-empted states passing laws governing privacy. But legislation imposing a different b&o tax and the significantly higher rate has a long tradition protected by decisions of the Washington State Supreme Court.
 
Would what I am talking about be legal blackmail? Consider that there are almost three dozen B&O classifications with rates often unexplainable, like parimutuel wagering having a rate of .0013 and gambling contests of chance, .015. The latter, incidentally, is the rate for "service and other activities," which includes professional firms like attorneys as well as consultants-the rate I pay.
 
And how law firms came to be taxed at the highest rate is instructive for how lawmakers in Washington can use the b&o. In the 1993 session, lawmakers sought to extend the sales tax to the legal profession but the attorneys brought their lobbyists to the fray and successfully defeated the effort. Presto, came the highest b&o tax suddenly applying to attorneys, just about tripling their tax.
 
I once asked the late Gov, Mike Lowry if that came about as punishment by a Democratic governor (him) and Democratic legislature and he let out one of his classic shoulder bouncing laughs.
 
When I discussed the privacy issue with Bellevue-based research analyst Jim Hebert, he noted that Congress has been through a major privacy-invasion crisis and solution before. He was referring to the reforms in consumer credit law to combat excesses of the credit agencies.  
 
"The agencies collected information on you, kept it and sold it to banks and others, with statistics disclosing that 40 percent of the information was wrong and no one knew it," Hebert said.  
 
The outcome was legislation enacted requiring that all such data the credit agencies collect is now turned over to a third-party organization that polices the data's accuracy and makes it available to consumers.
 
"Credit bureaus weren't put out of business or even really damaged by the corrective legislation," Hebert noted.
 
So back to Helm, the Bellevue company that was the idea of  Giri Sreenivas and Dirk Sigurdson, two entrepreneurs who had sold a security startup and raised a $4 million seed round from top venture capital firms last year.
 
"Right now, nearly all of the data that comprises your online life is stored in a massive data center," Sreenivas wrote in a blog he posted. "You don't own it. You can't see it, you can't touch it - and you don't know who can. That dream of a device that would make data 'ownable' to the individual - not a stranger - is what led to Helm."
 
Their device connects to a home network and pairs with a mobile app that lets users create their own domain name, passwords, and recovery keys. Helm supports standard protocols and works with regular email clients such as Outlook or the Mail app, with encryption protecting the connection between the device and the apps.
 
A key challenge for privacy champions is the apparent uncertainty about the extent to which younger generations will care enough to get into the fray as opponents of the big tech data collectors, although a recent survey I saw said there's growing disillusionment among people in their twenties and thirties surrounding social media.
 
But in a comment that leaders of the privacy battle would find disappointing, one of the millennials in the survey was quoted as saying "I feel like our generation has been raised to not be so worried about online privacy because it just feels like there is no alternative. Ultimately I do value privacy in theory, but it feels like it's a cost of participating in society. Not just online."

-0-

An amusing post-script to last week's column
 
An email from a Russian friend provides a post-script to last week's column in which I suggested the formation of a business that, for a fee, could crowd the fringe in congressional or legislative races, helping ensure the re-election of moderates of either party.
 
Natalia Blokhina, who helps guide a Moscow-based fund management company that invests in U.S. companies, as well as companies elsewhere, sent me an email saying it was an interesting column.
 
Because I sought to help introduce Natalia to companies in which her fund might invest, I emailed her back asking if her fund might be interested in being an investor if the idea of a Save Our Middle LLC took hold.
 
"It would be interesting to tell people we have Russian investors in our company," I joked to her.
 
"We wouldn't want to be involved in a political company," she replied quite seriously.
 
You can search the column I did about Natalia at Flynn's Harp: Natalia Blokhina.

Continue reading

WA legislature and Congress in crosshairs over consumer privacy

privacy_banner

Lawmakers in both Washingtons are in the consumer-privacy crosshairs amid a growing awareness, and thus anger, of how little people are able to keep private about themselves.  
 
While both the Washington Legislature and Congress are deliberating bills the lawmakers hope can be crafted to satisfy both tech giants and consumers, there is an increasingly uncomfortable sense among legislators at both the state and federal levels that they had better not rile consumers further on the privacy issue.
 
And interestingly, part of the script for how this struggle between the tech industry and individuals over privacy plays out may be written in Washington state, either with the legislative tax hammer that is almost uniquely available in this state or by an emerging Bellevue company that hopes to take the privacy issue out of the hands of the tech giants.  
 
The tax tool is the state's business and occupation tax, a use tax on gross receipts rather than profits, which can and has been imposed in a punitive manner. The business start-up company is Helm, which has created a relatively inexpensive device, about the size of a router, that lets consumers send and receive emails from their own domain. More on both the b&o and Helm later.
 
At the federal level, Sen. Ron Wyden, D-Ore., is proposing sweeping new legislation that would empower consumers to control their personal information, create radical transparency into how corporations use and share their data, and impose harsh fines, even prison terms for executives at corporations that misuse Americans' data.
 
As Wyden has put it: "Today's economy is a giant vacuum for your personal information - Everything you read, everywhere you go, everything you buy and everyone you talk to is sucked up in a corporation's database. But individual Americans know far too little about how their data is collected, how it's used and how it's shared,"  
 
Washington Gov. Jay Inslee said he expects the state legislature to address privacy in the upcoming session, saying he has begun discussions with tech leaders in the state "about a privacy policy that is consistent with innovation and also consistent with fundamental rights of privacy." And Inslee expressed confidence about getting a policy, probably in this session, that will be pleasing to innovators and consumers."
 
"Pleasing" to the big tech companies like Facebook, Google and hometown Amazon is an almost amusing word for a governor to use when "acceptable" to the tech giants is the best that is likely to happen with any state legislation that constrains the manner in which personal information is being collected and used.
 
That's particularly true with citizen pressure on lawmakers here and in other states after California's Assembly and Senate overwhelmingly passed a far-reaching piece of legislation called the California Consumer Privacy Act of 2018 (CCPA). The measure largely mirrors protections offered to European citizens under the recently implemented General Data Protection Regulation (GDPR), is likely to drastically change the ways that American companies store and trade in consumer information for Californians.
 
The law allows Californians to ask firms collecting and selling data: what do you collect, why and with whom do you share it? And it allows California residents to opt out of the sale of their data and to request deletion of their data.
 
And in addition to Wyden's zeal on behalf of privacy, the passage of CCPA is spurring the tech industry to seek Congressional action on something they could at least reluctantly accept to avoid what they are protesting as a possible "patchwork approach to privacy policy" if each state enacts its own version.
 
So in the event Washington lawmakers approve legislation that makes its citizens happy about new state protections for privacy, and then Congress approves a law that offers dramatically less protection that supersedes what states like California, and Washington, have put in place, how can this state preserve the protections it will have given its citizens.?
 
A suggestion, borne or my political-writing background: The state, led by its Democrat Atty. Gen. Bob Ferguson, could put in place a privacy policy that companies would be told they must comply with or a special B&O tax rate of some compelling amount, maybe even 25 percent, will apply to those firms not honoring our privacy policy.  
 
Would Ferguson have the courage to confront major tech companies either located here, like Amazon or having a significant presence here like Google and Facebook? Given the fact that he'd like to be Inslee successor as governor and that his key role is first and foremost "preserving the rights of the individual," he could fatally impact his political hopes if he failed to follow the public demands on this issue. And in fact, if he failed to take a protective step demanded by citizens, they could use the initiative process to create a special b&o tax rate themselves.
 
This wouldn't be a law, since the federal government if Congress passes a privacy act, would likely have pre-empted states passing laws governing privacy. But legislation imposing a different b&o tax and the significantly higher rate has a long tradition protected by decisions of the Washington State Supreme Court.
 
Would what I am talking about be legal blackmail? Consider that there are almost three dozen B&O classifications with rates often unexplainable, like parimutuel wagering having a rate of .0013 and gambling contests of chance, .015. The latter, incidentally, is the rate for "service and other activities," which includes professional firms like attorneys as well as consultants-the rate I pay.
 
And how law firms came to be taxed at the highest rate is instructive for how lawmakers in Washington can use the b&o. In the 1993 session, lawmakers sought to extend the sales tax to the legal profession but the attorneys brought their lobbyists to the fray and successfully defeated the effort. Presto, came the highest b&o tax suddenly applying to attorneys, just about tripling their tax.
 
I once asked the late Gov, Mike Lowry if that came about as punishment by a Democratic governor (him) and Democratic legislature and he let out one of his classic shoulder bouncing laughs.
 
When I discussed the privacy issue with Bellevue-based research analyst Jim Hebert, he noted that Congress has been through a major privacy-invasion crisis and solution before. He was referring to the reforms in consumer credit law to combat excesses of the credit agencies.  
 
"The agencies collected information on you, kept it and sold it to banks and others, with statistics disclosing that 40 percent of the information was wrong and no one knew it," Hebert said.  
 
The outcome was legislation enacted requiring that all such data the credit agencies collect is now turned over to a third-party organization that polices the data's accuracy and makes it available to consumers.
 
"Credit bureaus weren't put out of business or even really damaged by the corrective legislation," Hebert noted.
 
So back to Helm, the Bellevue company that was the idea of  Giri Sreenivas and Dirk Sigurdson, two entrepreneurs who had sold a security startup and raised a $4 million seed round from top venture capital firms last year.
 
"Right now, nearly all of the data that comprises your online life is stored in a massive data center," Sreenivas wrote in a blog he posted. "You don't own it. You can't see it, you can't touch it - and you don't know who can. That dream of a device that would make data 'ownable' to the individual - not a stranger - is what led to Helm."
 
Their device connects to a home network and pairs with a mobile app that lets users create their own domain name, passwords, and recovery keys. Helm supports standard protocols and works with regular email clients such as Outlook or the Mail app, with encryption protecting the connection between the device and the apps.
 
A key challenge for privacy champions is the apparent uncertainty about the extent to which younger generations will care enough to get into the fray as opponents of the big tech data collectors, although a recent survey I saw said there's growing disillusionment among people in their twenties and thirties surrounding social media.
 
But in a comment that leaders of the privacy battle would find disappointing, one of the millennials in the survey was quoted as saying "I feel like our generation has been raised to not be so worried about online privacy because it just feels like there is no alternative. Ultimately I do value privacy in theory, but it feels like it's a cost of participating in society. Not just online."

-0-

An amusing post-script to last week's column
 
An email from a Russian friend provides a post-script to last week's column in which I suggested the formation of a business that, for a fee, could crowd the fringe in congressional or legislative races, helping ensure the re-election of moderates of either party.
 
Natalia Blokhina, who helps guide a Moscow-based fund management company that invests in U.S. companies, as well as companies elsewhere, sent me an email saying it was an interesting column.
 
Because I sought to help introduce Natalia to companies in which her fund might invest, I emailed her back asking if her fund might be interested in being an investor if the idea of a Save Our Middle LLC took hold.
 
"It would be interesting to tell people we have Russian investors in our company," I joked to her.
 
"We wouldn't want to be involved in a political company," she replied quite seriously.
 
You can search the column I did about Natalia at Flynn's Harp: Natalia Blokhina.
Continue reading

Wrongful convictions 'fundamental failure of justice' - Mike Heavey

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Mike Heavey is a decorated Vietnam veteran, former Washington State legislator and retired King County Superior Court judge who each year marks his now 15-year remission from non-Hodgkin's lymphoma by climbing a mountain, with his 30-year friend, U.S. Sen. Maria Cantwell, sometimes among the climbers.

But it's likely Heavey, 72, will want to be best remembered for his creation of an organization called Judges for Justice, which he formed in 2013 to identify wrongful convictions that leave innocent people imprisoned who can only be freed if someone makes the effort to have them exonerated.

Heavey's comments and the phrases that pepper them leave little doubt that the man who spent 14 years in the Washington State legislature and a dozen years as a superior court judge views the conviction and imprisonment of people who turn out to be innocent as a scar on the face of a nation.

"A wrongful conviction is a failure of the justice system in the most fundamental sense," says Heavey.
 
"Shocking crime generates fear in the community, fear generates pressure on law enforcement, pressure leads to tunnel vision and can create what we call a 'wrongful conviction climate' where the psychological drivers lead to tunnel vision and confirmation bias," says Heavey. The last is a term psychologist's use for the human tendency to interpret new information through the lens of existing convictions.
 
The case that launched Judges for Justice was one with the highest possible visibility, the trial, conviction, and imprisonment of his daughter's high-school friend, Amanda Knox. He got involved in the case of Knox and Raffaele Sollecito's in 2008, shortly after they were arrested for the murder of Meredith Kercher.
 
He said he found this case unsettling because his personal knowledge of Amanda, who grew up in his neighborhood, differed so greatly from the portrayal on the news. He began examining the case more closely and said he saw distinct indicators of a wrongful conviction.
 
He complained about the tactics of the Italian prosecutor, police and prison officials, saying Knox was "in grave danger of being convicted of the murder because of illegal and improper poisoning of public opinion and judicial opinion."
 
Heavey's ongoing criticism of Italian justice in Knox's case even included a Seattle Rotary presentation that embodied his criticisms. His comments and actions drew a rebuke from the Committee for Judicial Conduct, which said his actions "violated the judicial canons that require judges to 'uphold the integrity and independence of the judiciary' and 'avoid impropriety and the appearance of impropriety in all their activities.'"

Heavey promised not to do it again, as he recalls.

On December 5th, 2009, Amanda and Raffaele were convicted of murder. Amanda spent four years in prison until, finally, on October 3rd, 2011; her conviction was overturned in an appel­late court. Amanda was free to go home to her family. She returned to her home in Seattle, Washington and published a memoir recalling her horrific ordeal.
 
The effort by Heavey and his nonprofit organization aren't viewed kindly by law enforcement and justice agencies in cases where he has gone on the attack and it is with his current campaign in an explosive case in Hawaii.

It's the case of Dana Ireland, the 23-year-old victim of a Christmas Eve abduction, rape, and murder on the Big Island in 1991. Three men were convicted of the murder and imprisoned.
 
But in a luncheon speech last month before the Exchange Club of Downtown Honolulu, with the picture of the beautiful young woman on the projection screen behind him, Heavey said the DNA evidence from the crime scene matched none of the men convicted.
 
Then for emphasis, Heavey said to the audience, "the man who left the DNA, he's the killer. And he's still out there."
 
The Big Island prosecutor and the Hawaii Innocence Project question his motives, but Heavey presses on with a campaign to reopen the notorious murder case.
 
In an interview this week for this column, Heavey flatly accuses the prosecutor and the Hawaii Innocence Project of seeking to cover up the fact that the DNA evidence that was uncovered was not disclosed before or after the trial.
 
That failure, Heavey contends, led to the fact that Frank Pauline, one of the three men convicted of the murder, was himself murdered in a New Mexico prison by a fellow inmate. Heavey and Pauline had had several contacts via email and telephone about the fact undisclosed DNA evidence from a bloody tee-shirt found at the scene of Dana Ireland's murder should have been made available to Pauline' attorney.
 
The fact that Heavey's efforts get strong pushback from the justice and law enforcement establishments is evidenced by the Hawaii Innocence Project filing a complaint with the Washington State Bar Association over Heavey's involvement in the case.
 
It was Heavey's work in another case that earned him a nomination for an award from the bar association, an award of merit for what the nomination described as his :"literally thousands of hours over the past four years to achieve the release of Chris Tapp, wrongfully convicted in Idaho of first degree murder and rape."
 
Thanks to Heavey's efforts, Tapp walked out of the Kootenai County jail in March of 2017, a free man after serving more than 20 years of a life sentence for a crime he didn't commit.
 
As to Heavey's long remission from the type of cancer that has claimed, among others, Paul Allen and Blake Nordstrom, he explains that
he decided he was going to do all that he could to get better. "I was going to maximize my ability to heal," he said.  
 
In addition to standard Western medical care, he read that diet had a lot to do with spontaneous remissions, so he changed the way he ate, replacing processed foods with fresh fruits and vegetables, and coffee with green tea. He prayed to maximize the spiritual side of healing as well.
 
"We all have a higher essence down deep, a healing force inside of us. Praying and meditating helps connect with that force," Heavey said.
 
Mountain climbing became a part of his "healing force" in 2006 when, at the age of 59, he climbed Mt. Rainier for the first time. "I had started hiking with friends after my cancer went into remission and years of back pain went away," he said.
 
He climbed Rainier every year for five years. He has summited Mt. Hood and Mt. Baker in Washington and Grand Teton in Wyoming. In 2013, he climbed to the "Roof of Africa," the 19,340-foot Mt. Kilimanjaro in Tanzania. "I like to climb because it means I'm healthy," he said.
 
Cantwell, who was elected to the state House or Representatives the same year Heavey was, has been part of the climbing team on several climbs, including Kilimanjaro, led by their mutual friend, Seattle investment advisor John Rudolf.
 
To emphasize the importance of his Judges for Justice efforts, which he says will take on a new case in Pennsylvania shortly, Heavey notes that a recent study of those freed after being imprisoned for crimes that they were innocent of finding that 117 of those exonerated had been on death row.
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Santa's 'Magic dust' descends on kids & elves via Alaska's 'Fantasy Flight'

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It was a decade ago that what I like to refer to as the "magic dust of caring" was first sprinkled on a planeload of orphans and homeless kids from the Spokane area, and on their elves, aboard an Alaska Airlines flight to the North Pole for a visit with Santa Claus.  

Steve Paul - Elf BernieSteve Paul - Elf BernieThis "Fantasy Flight" to the North Pole has been an annual event in Spokane, with only occasional visibility, for almost 20 years. But it wasn't until Alaska got involved in 2008 at the request of Steve Paul, President, and CEO of the 501c3 that he guides and who has personally overseen the event since 2000, that the real magic arrived as well.
    
Thus, last Saturday, 57 of the Spokane and Coeur d'Alene area's most needy children, each with an elf personally assigned to them, hurried aboard an Alaska 737-900 for a 20-minute flight to visit Santa and Mrs. Clause at their North Pole home, in reality a specially set-up hanger on the other side of the airport, for their memorable visit.

This 10th anniversary year for Alaska involvement included a special gift to all involved as the airlines' Alaska BEYOND magazine had its cover story for this month about the event in an article filled with photos as well as the story so Alaska's passengers across the system learned of this unique event and their favorite airline's role in it.

This year was also marked by a special "first." As Paul was pleased to share.

"In 2018, we had our first Escort Elf (this is an elf that is assigned to a child) that had attended as a child, back in 2003. Today, she is an employee of United Airlines. We have come full circle!"

Thus when the Spokane area orphans and homeless kids and their elves take off on a December Saturday each year from Spokane International Airport aboard flight 1225 for the North Pole to meet Santa, it's proof of both the "impossible things" that Paul, officially Chief Elf Bernie, believes in, as well as evidence of that "Magic Dust of Caring."

I first wrote of the event in 2010 when I learned of it from my friend, Blythe Thimsen, then editor of a Spokane magazine, who was to be an elf that year, an experience she shared with me then subsequently wrote about and sent me a copy of the article.
 
Retelling and updating this story has been my holiday gift to readers of The Harp since then because it's a story of human caring and compassion that not only won't get old but perhaps becomes more needed each year.
 
Paul, president of the non-profit Northwest North Pole Adventures (NNPA), is senior IT Project Manager at Engje Insight, an energy management company rebranded a year ago from Ecova. But he spends much of the year preparing for the flight. He works with social agencies that select the children, gathers sponsors and oversees details like elf selection, all on a budget of about $200,000 that includes in-kind, like the Alaska flight.
 
Alaska Beyond CoverAlaska Beyond CoverPaul, who was 43 in people years when he first got involved in 2000, says his elf age is 907 years, but that is really only middle age for elves so he still has a ways to go.
 
United was the airline partner for the first eight years and provided the little organization that was then called North Pole Adventure with a plane that, once loaded with the children, taxied around the airport before coming to a stop at Santa's place.
 
But when United was unable to provide a plane in 2007, Paul recalls: "we threw together the 'magic buses' to get from the Terminal to the North Pole."
 
For the 2008 flight, Paul approached Alaska, which he notes "is, of course, more familiar with the North Pole than any other airline." Those he contacted at the airline said "sure," and asked, "why can't we actually take off with the kids?"
 
So it began. Before boarding their plane, the children are fed and receive backpacks filled with school supplies, winter woolies and a T-shirt that says, "I Believe" on the front and "I've Been to the North Pole" on the back. Then their "passports" are validated with the "North Pole Approved" stamp and they're on their way to a magical time the elves, Elf Bernie and Alaska's employees will try to make unforgettable.
 
Perhaps the most visible in his commitment is Alaska pilot Eric Hrivnak, who has been the pilot at the controls for a half dozen or so years by being at the front of the line as Alaska employees sign up for roles. He was beaten to the request by another pilot a few years ago so made sure that wouldn't happen thereafter.
 
Hrivnak and his Alaska crew are part of the magic since as the flight nears its conclusion, the passengers are told to pull the window shades down and chant the magic words that will allow them to land at the North Pole.  
 
As the kids pull down their shades and do a chant, each wave a magic light wand they were given as they boarded and then Hrivnak deploys the engine thrusters when Santa and Rudolph appear on the radar screen, providing the confirmation that the "Santa 1" flight has entered North Pole airspace.
 
The jetliner taxis to a hanger on the other side of the airport, where the passengers are greeted by a group of elves, with live reindeer milling about, and are they taken to meet Santa and Mrs. Clause. 
 
"When we send out invitations to the kids, we have them give us a wish list of what they want for Christmas," explains Paul.
 
 Pilot Eric HrivnakPilot Eric Hrivnak
and friend
"We take those lists and buy each of them a toy from that list. So as each child tells Santa what he or she wants, Santa can reach into his bag and pull that present out for them," adds Paul "The looks on their faces as he hands it to them is priceless."
 
I asked Paul for some thoughts to sum up his role of almost 20 years with this event.
 
"This is my 19th year as a volunteer and my 12th year as Chief Elf and each year, the event improves from the years before and even though we've done this many times, we can continue to do better," he said. "Leading an organization that embraces change for improvement's sake makes this position fulfilling and humbling at the same time."
 
"The Fantasy flight is a chance to share the joy and the magic of flight with those who need it most," said Diana Birkett Rakow, Alaska's vice president for external relations. "The volunteers, including many of our employees, are incredible, and while we set out to lift the spirits of our littlest guests on the way to the North Pole - inevitably, they lift ours."
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State offers session focusing on new tax break - Opportunity Zones

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The state Department of Commerce is convening a day-long session in Seattle next week to help an army of accountants, attorneys, developers, and investment advisors get a better grasp of the unlikely new Federal tax tool that will allow the wealthy to make money while making a difference.

That tool is the Qualified Opportunity Zone provision in the Tax Cuts and Jobs Act of 2017 that will permit those owing capital gains tax to delay, reduce or even totally avoid those taxes by investing in special funds designed to start businesses and provide other steps to help economically distressed communities.

What's referred to as the OZ act wasn't actually contained in the original major rewrite of the tax reform act that was crafted by congressional Republicans and the Trump Administration. Rather it grew out of a measure filed a year earlier called the Investing in Opportunity Act.

Sen. Tim Scott, R-South Carolina, who wrote The 2017 Investing in Opportunity Act measure that was filed and then forgotten in committee, gathered support from moderates of both parties in a true example of working together to revive the bill as an addition to the major tax bill.

Its inclusion in the Tax Act has attracted comments like "for investors who want to make money and make a difference," and "for investors who want to make money and do good in one fell swoop.'

Governors of the 50 states were brought into the implementation of the act by having the opportunity to designate census tracts where various business ventures would be eligible for the OZ benefits, through investment by Qualified Opportunity Funds.

The program pinpointed more than 8,500 eligible census tracks in the U.S., with 139 of them in this state. Most of the tracts where businesses and projects can be located to attract capital are single tracts but in one area in this state, 11 tracts were put together as a unit.

While the IRS must still announce final details, like who can legitimately invest in projects, interested investors and those who would like to attract investors have been poring over details of the legislation.

Sarah Lee, project director in the office of Economic Development and Competitiveness in the State Department of Commerce, who has been closely involved with Washington State's role implementing the act, told me "listening sessions" in Wenatchee, Spokane, Tacoma, and Clallam County led up to the Seattle session next week.

She invited the Federal Reserve Bank of San Francisco to join the Department of Commerce and the National Development Council (NDC) to plan and put on the day-long event at the Bell Harbor Conference Center.

Lt. Gov. Cyrus Habib, who with the state treasurer Duane Davidson and Commerce Director Brian Bonlender took the first pass at the census tracts to include, then forwarded the list Inslee for final determination, will welcome attendees at the Bell Harbor event, in remarks expected to tout the opportunity the act presents.

Chuck Depew, senior director and West Team Leader at the NDC, said: "In the development world, you don't often meet people with high net worth looking to be involved, but that world is now going to change."

Depew provides technical assistance in project finance, development negotiation and housing finance to communities throughout the Northwest, including Utah and Wyoming and Northern California, for the NDC, which for more than 30 years has worked with local jurisdictions on multiple housing and economic development efforts.

The challenge in the program is how can Opportunity-Zone communities, rural, urban and tribal, encourage mission-driven investors, including private, community and family foundations and social impact investors to be involved.

After Washington Gov. Jay Inslee made it clear to OZ planners in this state that the native-American tribes had to benefit from the program, five tribes participated with six communities in creating an 11-tract zone on the North Olympic Peninsula.

The tribes, along with the key communities in Clallam and Jefferson counties and two port districts, have invited the public to participate and make suggestions for projects that will address economically distressed areas in the two counties in what they have dubbed the Emerald Coast Opportunity Zone.

The project to create the Emerald Coast Opportunity Zone (ECOZ) will be on display at the Bell Harbor event next week and Lee said there is already interest from the Colville Confederates Tribe in Central Washington in looking into the planning that led to the ECOZ.

The Bell Harbor gathering will feature panels of philanthropists, social impact investors, banks and lending entities as well as what is being called a "pitch fest" at which individual entrepreneurs and project innovators will have a chance to "sell" individual projects to the attendees.

Advance billing for the event suggests that Participants "will have the opportunity to work together to engage, inform, and influence key projects in shaping the future of Washington State through investing in local communities with thoughtful leadership and empowering innovative projects.

U.S. investors currently hold an estimated $2.3 trillion in unrealized capital gains on stocks and mutual funds alone-a significant untapped resource for economic development. The QO Zone legislation allows investors to temporarily defer capital gains recognition from the sale of an appreciated asset, but only if they reinvest the gains into a QO Fund.

One analysis of the tax deferral funds suggested: The new QO Funds will "democratize" economic development by allowing a broad array of investors throughout the country to pool resources and mitigate risk. That will increase the scale of investments going to underserved areas and thereby increase the probability of neighborhood turnaround."

It occurred to me that the OZ effort could provide a new recruitment tool for state and local communities since a person owing capital gains can invest those in a qualified census tract in any part of the country.

"While the state hasn't talked about using this for recruitment of companies, it makes perfect sense," Depew said after I told him that officials in Montana told me at an outreach event to Montanans who now live in the Seattle area that they are already seeking to learn how they could make that a state growth strategy.

Thus the logical next step is for states and possibly regions of multiple states, along with businesses and developers, to develop marketing programs to reach out to those seeking to figure out how to invest their capital gains.

The act specifically prohibits any of the approved funds from investing in what the act describes as "sin" businesses, a list that specifically excludes commercial golf courses, country clubs, massage facilities, liquor stores, suntan facilities, and "race track or other facilities used for gambling."

So obviously one business that won't be permitted, particularly where the tribes are involved n an Opportunity Zone, would be a new casino.
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One-time phone company exec recalls two memorable political campaigns

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It was 50 years ago that James Elias, then a local Portland area telephone company manager, suddenly became a political giant killer when he agreed to run the U.S. Senate campaign of a popular Republican legislator and proceeded to guide the defeat of an Oregon icon known as "the tiger of the Senate."

Elias was a 33-year-old Portland district manager for the old Pacific Northwest Bell (PNB) when Robert Packwood, who had been a force in the Oregon legislature since his election in 1962, asked Elias to manage his 1968 campaign, an unlikely quest to topple one of the most respected men in the Senate, Wayne Morse.

Before continuing with the Packwood story, It's important to note the second chapter of this column is the gubernatorial campaign in Washington State four years later when Elias guided the precedent-setting re-election of Republican Dan Evans to a third term.

Ironically, both Evans' opponent in the third-term bid, former Gov. Albert D. Rosellini, and Packwood as a prominent Oregon legislator had served as consultants for Elias in speaking to PNB managers and doing some training about political issues in the two states.

But back to Packwood, whom Elias recalls wasn't even mentioned by name at first in the state's major newspaper, The Oregonian, which merely referred to him as "Morse foe."

After all, Morse was one of only two Senators who voted against the Gulf of Tonkin resolution that basically gave President Lyndon Johnson carte blanche to pursue the Vietnam War any way he wished, without again having to ask Congress. And Morse had remained one of the Senate's most vocal critics of the war.

But he had made enemies over time because of his switch of parties from Democrat, as which he was originally elected, to Independent, for which he proudly claimed for himself the role of the Senate's one-man Independent Party, and eventually to Democrat.

And in facing Packwood, he had an opponent of broad appeal. As Elias recalled: "We had thousands of young people all across the state working for what they viewed as a different sort of candidate, liberal on social and women's issues, although fiscally conservative."

"We put out position papers on any issues anyone could care about, dozens of them," Elias said. "After a while, people couldn't believe anyone was on top of so many issues."

"In the end, The Oregonian did an editorial page column saying, basically, that Packwood seemed to be 'more knowledgeable on more issues than we've ever seen,'" and they began calling him by name. Packwood kept climbing in the polls and eventually won.

Elias recalls that after Packwood's election, the new Senator wanted him to come to Washington as his administrative assistant and when he learned Elias had no interest in going to Washington, D.C., "Packwood wouldn't talk to me for six months."

Taking on the Evans third term campaign brought about one of the all-time strangest political stories when Elias hired a young Ted Bundy, who would later be found to be a serial rapist and killer of young women but was then an intelligent and personable political science student.

"I always hired 'spooks' to hang out with the competing campaign," Elias explained. "They'd pick up things the candidate said more candidly with those close to him, then I could use that information to frame questions comparing private comments with what they were saying in public."

"So Bundy was our 'spook' in the '72 campaign. He was a smart kid and I sent him to hang out in Rosellini's campaign and Al got accustomed to talking with Ted and eventually had Bundy ride along with him and talk," Elias said with a chuckle.

Elias' wife, Ann, a partner in any campaign he was involved with, did the polling research and determined that Rosellini was ahead in the polls and continued so until the two candidates debated.

"As the debate ended, the floor was opened for questions and answers and I had our people, with their prepared questions, hurry to the mike and they were the first dozen people to ask questions," Elias said. "One of them was Bundy and when Rosellini realized the kid he had trusted was actually in the Evans camp, he could only stammer and his jaw clicked in the classic 'Rosellini is upset' reaction."

It was then that Rosellini mouthed his "Danny Boy" reaction to Evans that observers said turned the campaign. Ann's polling showed that Evans climbed from that time on and he won a third term.
 
Jim and Ann Elias were stunned, as were all those who knew Bundy, when he was jailed three years later in Utah as his string of murders of young women began to unfold. 

Elias shared that Ann, his wife of 52 years, played key roles in both the Packwood and Evans campaigns.

"For Packwood, Ann managed all of the county chairmen statewide as well as all who volunteered to work in the headquarters," he said. "After Packwood was elected, he got her appointed to manage the largest 1960 census district in the country."

 "For Evans' campaign, Ann was responsible for the polling. She drew the sample of voters to interview, constructed the questionnaires and supervised the people conducting the research," Elias said.
 
Packwood served four terms in the Senate and was always in the forefront of women's issues, including being an early and ardent advocate for abortion rights and a strong supporter of the Roe vs. Wade decision of 1973.
 
 Thus it was a stunning fall from grace when the Washington Post, in 1992, published a series of articles chronicling accusations of sexual harassment against Packwood, who fought the charges. but more women came forward to make the same claims. After three years of controversy, the Senate Ethics Committee recommended his expulsion and Packwood resigned from the Senate on October 1, 1995.
 
Elias returned to his Northwest management role with the phone company, turning down opportunities to go to New York and Washington, D.C.,(again) but by the early '80s he became part of a new challenge, the breakup of AT&T and the spinoff of the local phone companies that became known as " Baby Bells."

He recalled skiing in Sun Valley when he was notified that "Mr. Smith (Andy Smith, PNB president) was sending a plane to pick him up to return to Seattle.

"Divestiture had been ordered by the Federal Court and Smith wanted Elias to handle the public relations challenge of convincing the public that "just because we were being spun out from AT&T didn't mean we were now adrift in relating to our customers."

But as AT&T sought ways to come back from the breakup, it apparently sought legislation in Congress that might have allowed it swallow its orphaned children.

Elias recalls going to Packwood to get him to kill the legislation, which he did, getting back to Elias with a comment he well remembers: "You just cut the heart out of AT&T."
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High Court ruling outlawing death penalty stirs memory of hanging

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The Washington Supreme Court's decision to strike down the death penalty as unconstitutional brought back memories of the 1963 hanging of Joseph Chester Self, which I covered for United Press International as a young reporter. It would be the last hanging in Washington State for nearly 30 years.

Last week's ruling in which the court held unanimously that the death penalty was "arbitrary and racially biased" was the fourth time that a high court has decreed that Washington's death penalty was unconstitutional, for a variety of reasons, but capital punishment was approved anew after each of the three previous occasions.

And while the court's ruling last week included the comment "death as a penalty for crime is not in itself unconstitutional," and "We leave open the possibility that the Legislature may enact a 'carefully drafted statute," the decision noted that it would be very difficult to do that in a constitutional manner.

At the time of Self's execution 55 years ago, the state didn't have a gallows in the Old West style, but rather a large room at the Washington State Penitentiary in Walla Walla, a "death chamber" as it was referred to, a short walk from Death Row where those sentenced to die awaited the outcome of their appeals process. It was later, to rectify a court decision throwing out the death penalty, that a legislature made fatal injection an option for the condemned prisoners.

Only men have been executed in Washington and, interesting in light of the court's statement about the death sentence being "racially disproportionate," of the 14 who went to their deaths between and 1947 and 1993, 13 were Caucasian, including Joe Self, and one was Hispanic.

Washington's governors have routinely passed on the opportunities over the years to interfere with the death penalty being carried out, until current governor Jay Inslee imposed a moratorium on the death penalty and has now announced he would veto any effort to restore it.

Mike Lowry, who was then in his first year as Washington governor, was the last to weigh whether to permit a condemned man to hang, although two men were subsequently executed by lethal injection during Gary Locke's time as governor.

I once asked Lowry to recall that hanging and his thoughts about it. In the process of answering, he disclosed that a personal visit with the condemned man at the state penitentiary had been part of what he referred to as "the considerable time" he spent reviewing the case of Charles Rodman Campbell.

"I received delegations from opponents of capital punishment and, of course, from family and friends of the people he murdered," Lowry recalled. "In the end, I could not justify in my own mind reversing the 13-year legal process that included all the appeals that were made by his defense lawyers exercising his constitutional rights."

"One of the reasons I did not commute Mr. Campbell's sentence to life without the possibility of parole is that there was a very legitimate fear that he might try to kill a prison employee or other inmate," Lowry added.

I chuckled at the thought that Inslee might have taken Lowry's example and met with either one of the death row prisoners or members of the family of one of the victims before rendering his far-reaching decision

Lowry, who died 18 months ago, conceded during our conversation that is was possible there would be other executions in Washington State, noting: "I feel for whoever is governor at that time and I hope he or she will explore every opportunity to find a solid justification to commute the sentence to life without possibility of parole."

In fact, Campbell, who was executed for the murders of two women and the eight-year-old daughter of one of the women, all of whom had their throats slit, perfectly fitted the profile of a killer who deserved to die, for those who believe there may be a societal issue, not merely a legal issue in capital punishment discussion.

The late true-crime author Ann Rule wrote a chapter about Campbell in one of her books and described him as "a killer straight out of a nightmare." And then-Atty. Gen Christine Gregoire observed after Campbell's execution: "The death penalty is not something to be taken lightly and should be reserved for only the most heinous crimes. If anyone deserved the death penalty, it was Charles Campbell."

Chief Justice Mary Fairhurst wrote that "no penological goal" was served by capital punishment. But some would argue that capital punishment could also have a societal aspect, since academic discussions of the purposes of punishment always refer to five purposes, including retribution.

And as a friend who spent years in the prosecutor's office observed to me, "closure for the families of murder victims should be a very important consideration."

But the case of Joe Self perhaps fitted the Supreme Court's comment about the arbitrary aspect of the death penalty's imposition.
 
Self was convicted and sentenced to die for shooting a cab driver to death in a $15 robbery, the final criminal chapter in a life of otherwise petty crimes, none of which qualified as "heinous."
 
When he made the short walk from his death-row holding cell to the door of the chamber, he had long-since converted to Catholicism and he had willed his eyes to an eye bank.
 
Two other young journalists and I were among the group of about 35 people on hand for Self's hanging, by tradition just past midnight, "the first minute of the new day."
 
Self, Warden Bobbie Rhay, a Catholic priest who had become Self's regular death-row visitor, and a couple of guards entered a door to the cement balcony against the back wall of the chamber, with the witnesses looking up from below. They walked to the center of the platform and stopped as Self stood above the steel door through which he would fall to his death when the door was sprung open.
 
Rhay asked Self if he had any final words and the condemned man replied: "Ask me if I've said my prayers, warden."
 
With that, a hood was pulled over Self's head. A straightjacket pinned his arms to his body. Rhay flipped a wall switch, signaling three men in a room below the death chamber that they should each flip the switches in front of them. Only one of the switches activated the trap door, through which Self fell in a moment, his neck snapping before onlookers could even grasp what they had witnessed.
 
That only three reporters, all print journalists in their early '20s, were on hand (no radio or television news people and no seasoned reporters) to cover the execution was a commentary on the relative importance of a hanging then, though there was certainly media coverage in the weeks prior. After all, hangings occurred on average about once a year. But Self's would be the last for decades.
 
By the time 30 years after Self that another death row inmate was to be hanged, the attention was widespread and went on for weeks, and all three of us who had been at Self's execution found ourselves being interviewed by various media on "what it was like."
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Alaska Air CEO's travels bring message that attention is important to build loyalty

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If there was a need for evidence that Alaska Air Group Chairman and CEO Brad Tilden and his executive team understand that attention is a key to affection, in the form of loyalty, visits Wednesday to one of the airline's major West Coast markets following a Monday visit to one of its smallest should provide it. 

The Wednesday visit will be with a Tilden-hosted gathering of business and civic leaders in San Diego, which has become a major Alaska Airlines market where its service has grown dramatically in volume and importance since Alaska completed its acquisition of Virgin America Airlines in early 2018.

The San Diego event will follow by two days the visit by Tilden and his executives to Pullman and the Washington State University campus, where Alaska recognized important ties of a different, but no less important, kind.

The visits exemplify that affection, or regard, from its customers and the communities it serves has long been a point of pride for Seattle-based Alaska Airlines and a principal reason for the company's financial success and its ability to successfully push back against the competitive pressures from Delta Airlines over the past few years.

Tilden's San Diego remarks will amount to an update on Alaska's growing service to that city in the form of new non-stops added since the January completion of Alaska's acquisition of Virgin America, including the addition of 19 non-stop flights from San Diego this year.

Tilden and his execs who will be on hand for the event at The Prado in San Diego's historic Balboa Park want it to serve as an example of how they are working to deepen the Airline's relationship with the San Diego community.

The visit by Tilden and his team to the WSU campus Monday was for a series of events, including a prize-filled paper airplane toss, to recognize the airline's relationship with the university, which includes research there on sustainable fuels and Alaska's Imagine Tomorrow Competition.

Alaska Airlines Imagine Tomorrow is an interesting story in its own right as it challenges 9th through 12th graders to seek new ways to support the transition to sustainability. Students research complex topics related to sustainability, then innovate technologies, designs, or plans to mobilize behavior.

As Alaska's website for Imagine Tomorrow notes, students "forge connections in their communities and create positive change. In this competition, as in life, solutions are limited only by imagination."

And WSU is an important partner with Alaska through the Northwest Advanced Renewables Alliance with which Alaska and WSU are advancing the production and use of aviation biofuels.

Back to the San Diego visit, Tilden and his team will be providing an update on San Diego service, focused on the non-stop service additions of the past year, and discuss more broadly Alaska's West Coast growth, the strength of its presence in Southern California and its support of the community.

Alaska's San Diego passenger load has been growing an average of 13 percent per year over the past five years, including 22 percent in the past year. The airline recently announced new Spokane service and plans to add a San Diego from Paine Field when service commences next year from there. And the airline just announced the addition of service to El Paso, TX.

But underlying those statistics will be Tilden's message of the important, longstanding and growing role Alaska's business, employees and loyalty in Southern California play and how the Airline's strength in California supports strength for local business in the Pacific Northwest.

I've been intrigued to watch, in recent years as San Diego has become an important personal tie for both business and friendships, how a number of businesses in either Seattle or San Diego have reached out to open offices in the other market.

Thus Perkins-Coie, Seattle's largest law firm, opened a San Diego North County office a few years ago, as did Seattle commercial real estate firm Kidder Mathews, while San Diego is a key part of Seattle-based HomeStreet Bank's Southern California commercial banking business. Seattle

Barter company BizX expanded into San Diego in 2017, and Bastyr University in Kenmore on Seattle's Eastside became the first Naturopathic College in California in 2012 when it opened a branch campus in San Diego.

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An appropriate time for 'We The People' student focus on U.S. Constitution

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At a time when the U.S. Constitution has become the focal point of conversation and discussion across the nation, with an alarming amount of the discussion heatedly political, it's heartening to learn about the little-known competition among high school students across the country to create a deeper knowledge of the nation's founding document.

The program is called "We the People: The Citizen and the Constitution" with programs in all 50 states involving thousands of students in a national competition that culminates in the spring with national finals sponsored by the Center for Civic Education and conducted at the national conference center in Leesburg, VA.

The finals are designed to simulate a congressional hearing, presumably without the rancor that characterized the convention that adopted the constitution and that has been passed down through legislative bodies since then to the Congress of today.

I learned about the program from my granddaughter, Emma, then a senior at Portland's Franklin High School, a year before her mother, Oregon Supreme Court Justice Meagan Flynn, became part of an unusual lineup of coaches at Franklin. 

That team of coaches this year includes, in addition to Meagan, fellow Supreme Court Justice Rives Kistler, as well as a retired Oregon appellate court judge.

Grant and Lincoln high schools in Portland have carved out roles as perennially among the top three high schools in the nation with Grant finishing first in the national competition last year and Lincoln third.

There's little likelihood that when Grant or Lincoln teams return with their national recognition there are celebrations to congratulate the winners, or that the parents at those schools even know much about the event. Anyone aware of the importance of informed citizens in creating forms of governance would find that disappointing.

But apparently among the students at Grant and Lincoln, the old story of "success breeds success" is at work.

"They are very selective in who they pick and they have developed a strong draw to students,' Meagan said.

Washington State high schools lag far behind the performance of their Oregon counterparts. Six Washington high schools are involved in the constitution competition.

They are: Eastlake Evergreen, Heritage, Orting, Overlake, Tahoma (Tahoma frequently winds high on the list of national honorable mentions)

Students from the six Washington State High Schools participate in the We the People State Competition on the Capitol Campus in Olympia each spring.

About 40 Franklin students gather each Monday evening with 15 to 20 coaches and the high school's advanced placement teacher to go over questions and discuss aspects of the constitution.

The questions they deal with would make interesting fodder at adult gatherings if the idea of discussing the constitution in other than the occasional irrelevant conversations about getting a new one occurred to them.

As Meagan explained to me when I asked her how the evenings go, "We usually split into six individual units during the evening and help the kids work on their answers to the prepared questions or have them practice answering random questions about their topics.  In the competition rounds, they give their prepared answer and then spend six minutes fielding any questions about the topic that the judging panel wants to ask. The questions are mostly along the lines of taking a position and defend your answer with specific examples, rather than closed-ended questions."

The questions the students deal with are compelling and hopefully could prompt some of their parents to gather and say "hey, let's have a discussion about this."

Three questions gleaned from a multi-page list that the students deal with attracted my attention:

  - "How does the Constitution limit government power to protect individual rights while promoting the common good?"

  - "what arguments can you make for and against giving each state the right to send the same number of members to the Senate?

  - "If a law has been properly passed by the law-making branches of a democratic government, why should judges have the power to declare it unconstitutional? Do you agree or disagree with the position implied by this question? Why or why not?"

During the national finals, more than 1,200 students testify before a total of 72 judges, in panels of three. The judges are history, political science, law, and education professors, members of the legal community, and others with knowledge of the Constitution and Bill of Rights.

According to the Center for Civic Education, "Since the inception of the We the People program in 1987, more than 28 million students and 90,000 educators have participated in the program and more than 30,000 students have participated in the national finals."

I asked Meagan what she views as the value of the program.

"It makes good citizens," she said. "Students learn about the Constitution and how it relates to current events and they learn to take information and form an opinion, based on facts."

I think we should form an adult version of "We the people."

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Seattle area brain science innovators on display at Jackson Hole Global Summit

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The Seattle area's brain science leadership, specifically the Allen Institute for Brain Science and the Seattle biotech company that has become a focal point of the battle against neurodegenerative disease, is on display this week in Jackson Hole, WY, where the annual Wyoming Global Technology Summit is taking place.

Leen KawasLeen KawasLeen Kawas, CEO of Seattle-based M3 Biotechnology, and Amy Bernard, product architect for the Allen Institute, will be members of a panel moderated by former Seattleite Amber Caska, CEO of NEXT Family Office, that will explore "The New Frontier: Innovations in Neuroscience." Rachael Dunlop, Senior Research Fellow at the Brain Chemistry Labs in Jackson, WY, is the third panelist.

It's an opportune time for Kawas to be appearing before an audience that includes potential investors since her company and its novel regenerative therapies for Alzheimer's, Parkinson's and other neurodegenerative diseases has completed Phase 1a and 1b with its lead compound.  

M3, which has been described as being at the leading edge in the new field of regenerative medicine, is now actively recruiting Alzheimer's patients in Phase 1c and plans to begin Phase 2 trials next year.

Amber Caska 
The clinical trials that have been completed with M3's lead compound NDX-1017 have been designed to assess safety, toxicity and tolerability while evaluating a biomarker strategy for the therapy for Alzheimer's that are intended to slow or even stop the progression of the disease.

Caska pointed out to me that "The Allen Institute of Brain Science independently highlighted a lead target through separate gene studies that M3 Biotechnology was pursuing research on, showing the important role of these independent research institutes." 

In a column a year ago, as M3 began human trials, I wrote that "The manner in which Kawas, in just under four years as president and CEO of M3 Biotechnology Inc., took the young company from the lab toward commercialization and has ascended to virtually the top of the visibility pyramid in her industry is storybook material."

In fact, as I said in that Harp, Kawas, as a 33-year-old woman from Jordan, has become the new face of biotech in Washington State, and beyond, since she is in demand to be on hand for seminars, conferences and investor gatherings relating to life sciences, biotech or Alzheimer's across the country.

As Carol Criner, who has served as CEO and turnaround executive at various companies in an array of industries and is an M3 investor and advisor, told me for that year-ago column, "Now that she is a celebrity CEO, it's hard to imagine this all began a few short years ago."

"I witnessed her face the headwinds of giant egos and sexism with resilience," Criner noted. "She never gave up. Her success largely silenced a lot of vocal-doubters. I love it.  She's amazing and strong."

Amber CaskaAmber CaskaThe panel on which Kawas is featured was Caska's idea. As a transplant to Jackson Hole, she approached the organizers of the event that was created five years ago by the non-profit Jackson Hole Technology Partnership about putting together an all-female panel and they seized on the idea.

Caska is an angel investor with an impressive background, having come to Jackson Hole from the Bay Area where she had managed the family office fund for former Google CEO Eric Schmidt and his wife, Wendy, before taking the role as president and COO of the women angel organization Portfolia. Prior to that she ran Microsoft founder and pro sports owner Paul Allen's family office fund and helped guide a number of his investments, including the NBA Portland Trailblazers.

In addition to Caska's panel, the 2018 summit will feature an array of leaders of various industries and innovators on the topics of Blockchain, Artificial Intelligence, Fintech, Venture Capital, Quantum Computing and Digital Healthcare Technology.

Caska isn't the only female executive with impressive credentials to have been recent newcomers to Jackson Hole.

Debbie Hopkins, who was CEO of Citi Ventures and led Citigroup Innovation, moved to Jackson Hole this year, and she also is moderating a panel, titled "High Altitude Entrepreneurship, from Founders to Funders."

"Debby and I have been brainstorming on how we could convene more diversity in leadership to discuss innovation and investment in Wyoming," Caska said.

The event itself, being held in one of the wealthiest per-capita cities in America, is a model for what could be done in other less populated states.

The Jackson Hole Technology Partnership founded the event to identify new technologies relevant to rural populations and accelerate access to those technologies on a global scale. In addition to the summit, the organization holds follow up workshops.  

The JHTP touts its focus as solving rural challenges by accelerating technologies that improve biotech and healthcare delivery, energy, information security, mobile banking, agriculture, transportation, communication, and clean water and clean air.

As Caska noted to me for this column: "Wyoming wants to attract more science, innovation, tech, and jobs here.  The Governor hosts this annual summit to convene global speakers to share innovation projects they are working on and see if there is a way to tie into partnership opportunities for the State of Wyoming."

"I think there is a great opportunity for rural areas to collaborate with innovation and education centers from around the globe," Caska said. "Many experienced professionals are moving to rural states looking for a different quality of life to that of the overcrowded cities. There is a ton of talent to be tapped and so building innovation centers in places such as Jackson Hole totally makes sense."

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Shared global grief for us on 9/11 deserves being recalled, pondered

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On the 10th and 15th anniversaries of 9/11, I shared an article written a few days after that tragic 2011 September day by a former, now late, United Press International colleague, Al Webb.  From his post in UPI's London bureau, Webb did a wrap-up of the grief that citizens of every country shared on our behalf. As another anniversary of 9/11 arrives, I share again Webb's article that captured that display of shared pain in a way that deserves, or rather requires, remembering. And its rereading stirs a compelling question to ponder: whether the global regard for us that outpouring of affection evidenced remains our national treasure or whether it is now merely a squandered legacy.    

By Al Webb
LONDON (UPI) -- A small girl with a Cockney accent shyly waved a tiny American flag, and a queen brushed away a tear. In a Scottish town that has known its own tragedy, a lone church bell tolled. On a German river, foghorns sounded a low moan.

Across countries and continents, waves of sympathy for a nation in anguish rolled on. A young woman in a Kenyan park wept over the sad headlines in newspapers spread on the ground. A one-time terrorist donated blood for the victims. Hundreds stood in line in cities from Dublin to Moscow to sign books of condolences.  

And over the outpouring of grief and mourning for the lives lost in the boiling flames and rubble of the World Trade Center towers and a wing of the Pentagon, time and again came the strains of "The Star-Spangled Banner," sometimes in places where it had never been sung before.

In a gesture reminiscent of John F. Kennedy's "Ich bin ein Berliner," symbolizing his solidarity with another troubled people a half-century ago, the Paris newspaper Le Monde perhaps summed it up best: "We are all Americans."

In London, where the little girl with the funny accent and her American flag pressed her damp face against the gates, the band performing the traditional Changing of the Guard at Buckingham Palace suddenly did something it had never done before -- it struck up "The Star-Spangled Banner."

For 45 minutes, the Mall in front of the palace became a little piece of America for hundreds of its citizens who were there because there were no planes to take them home. And the band of the Coldstream Guards played on.

As tear-stained faces lifted and sang along, as Americans and British and other nationals waved Old Glory, the marches rolled -- "The Liberty Bell" after the national anthem, followed by "The Washington Post March" and "Semper Fidelis" and finally, heart-rendingly, "When Johnny Comes Marching Home."

What the Coldstream Guards had triggered was the greatest mass demonstration of grief in Britain since Princess Diana was killed in a car crash four years ago. And as with Diana's death, a carpet of flowers, children's toys, poems, letters, all illuminated by tiny candles, built up this time at the fortress-like U.S. Embassy in London.

Amid the hundreds of bouquets, a single American flag was wrapped around a tree. One woman pressed her tear-dampened lips to its fringe in a soft kiss.  

The sweeping tide of mourning reached its crescendo at 11 o'clock Friday morning when Britain, France, Germany and scores of other countries in Europe, Africa and Asia went silent for three minutes, in honor of the innocent dead in America.

In Paris, the elevator at the Eiffel Tower stopped halfway to the top. Buses, trams and cars halted in their tracks across the continent.

In Spain, more than 650 city and town halls became gathering centers for tens of thousands who bent their heads in silent prayer -- and then, at the end of the three minutes, they lifted their eyes and applauded in that people's traditional tribute to the victims of terrorism.

On the River Elbe leading into Hamburg, ships flew their flags at half-mast. The minutes of silence crept by -- and at the end were broken by the sound of a thousand foghorns rolling across the water into the city's very heart.

In Lockerbie, Scotland, there was no applause, no singing, no bands, only the ringing of a single church bell and the flutter of flags at half-mast. This is a town with singular links to America, forged in a terrorist attack in the skies 13 years ago.

In all, according to an estimate by The Daily Telegraph newspaper in London, some 800 million people across Europe joined in the three minutes of silence.

At Berlin's Brandenburg Gate, once part of a dividing line between freedom and tyranny, a crowd of some 200,000 -- among them Germans whose relatives had died in terrorist attacks -- gathered beneath a black banner bearing the words, "We Mourn With You."

In Paris, crowds jammed the Place de la Concorde, itself a symbol of reconciliation, while church bells rang for five minutes before the silence.

In the government's Elysee Palace, "The Star-Spangled Banner" rang out, while over the French airwaves, radio stations played John Lennon's "Imagine."

The bankers of Switzerland are not noted for their sentimentality, so they dealt in their own currency. At the end of the three minutes of silence, they announced they were donating more than $500,000 to the families of the victims of the atrocities in America.  

Lloyd's of London, the insurance market-based in the British capital and one of several insurers of the World Trade Center, rang its Lutine bell and observed a minute of silence in memory of the dead in America -- some of them in the several broker offices Lloyd's has -- had -- in the WTC.  

In Belfast, the bullets and bombs of Northern Ireland's own form of terrorism, known as sectarian violence, went silent as tens of thousands from both sides of the divide -- Roman Catholic and Protestant - gathered in front of a makeshift stage at City Hall, to stand in silent tribute.

It is a city that knows the heartache of terrorism. "We have suffered for 33 years," said Betty McLearon. "People here have to be admired for the way they can cope with it. It will take the people in New York a long time to get over this."

In Moscow, the Russians observed a minute's silence as they laid wreaths and floral tributes outside the U.S. Embassy, once a symbol of the Cold War. Thousands of Muscovites lined up patiently to sign books of condolences.

In turbulent Israel, a nurse gently inserted a needle into the right arm of Yasser Arafat, himself a one-time terrorist who is now head of the Palestinian Authority. In a demonstration of support, he was donating blood to help the American injured.

Back in London, the minutes of silence were followed by a service of remembrance in the capital's majestic St. Paul's Cathedral, led by Queen Elizabeth II herself. In the audience of 2,400 inside, Americans hoisted the Stars and Stripes for the rest of the world to see via television.

Outside the cathedral, the tens of thousands who could not get in waved their own tiny flags and listened over the loudspeakers that carried the words and music for blocks around.  The cathedral's huge organ rumbled into life, to open the service, appropriately, with the American national anthem.

Then something happened that has never happened before, certainly not in public and doubtless not even in private. Softly, the queen began to sing "The Star-Spangled Banner."

Now, the British monarch does not "sing" national anthems. When they are played, she never even opens her mouth. Until now.

 But Queen Elizabeth sang it all, this song whose words were written 187 years ago during Britain's last war with her lost American colonies, through the final words, "O'er the land of the free, and the home of the brave." With the last note, the queen gently brushed away a tear.  

That said it all. 
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(Note:Al Webb, who died in January of 2015 at the age of 79, spent most of his career with UPI, separated by a few years in the 1980s for a stint with U.S. News and World Report. His reporting ranged from the civil rights struggles to the battlefields of Vietnam to the Houston Space Center covering the conquest of space. Webb, along with Joseph L. Galloway, another UPI colleague and friend, were two of only four civilian journalists who were decorated for their battlefield heroism, in Webb's case a silver star for evacuating under fire a wounded marine during the Tet Offensive in 1968.)
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