UPI's Capital Comment for Dec. 4, 2002

WASHINGTON, Dec. 4 (UPI) -- Capital Comment -- Daily news notes, political rumors and important events that shape politics and public policy in Washington and the world from United Press International.

Just call him 'Tax Hike Mike' ...

Michael Bloomberg, New York's billionaire mayor, made the largest tax increase in city history law Monday by affixing his signature to it. When city property tax bills go into the mail Thursday they will be 18.5 percent higher than they would have been if they had been mailed last week. And it won't stop there. The city is facing a deficit of close to $3 billion next year and Bloomberg is saying other tax hikes are in the works -- not to mention a commuter tax on those who work in the city but don't live in it. Before he can get that, however, he must have the approval of the state Legislature in Albany and Republican Gov. George Pataki who, as of now, looks disinclined to go along with his fellow Republican's plan to tax residents of his home county of Westchester to pay for city services in the Bronx and Brooklyn. Taxpayers who own single-family residences can anticipate the hike will take another $344 out of their wallets over the next 18 months after the bills hit.

Ullico be hearing more about this ...

AFL-CIO President John Sweeney and two other labor leaders have reportedly resigned from the board of directors of the Union Labor Life Insurance Company after company officials refused to release the results of an investigation into alleged insider stock trading by former Illinois Gov. Jim Thompson. The deals at Ullico, a privately held insurance concern once known as the Union Labor Life Insurance Company, are said to have netted more than $1 million as a result of stock trades involving several firms including the now-infamous Global Crossing concern, which made a rich man out of Democratic National Chairman and Clinton intimate Terry McAuliffe. Advocates like Stephan Gleason of the National Right to Work Committee are calling for continued action from outside the company, which is rumored to be the target of a grand jury investigation. "The federal grand jury should hand down its indictments, and the National Labor Relations Board should get moving on its investigation of unfair labor practice charges," Gleason said.

In case you were up nights wondering ...

People magazine has named U.S. Secretary of Defense Donald Rumsfeld as the "sexiest" member of President George W. Bush's Cabinet. Rumsfeld, who was widely viewed as a "has-been" when he was selected for the Defense post, has apparently charmed the press corps and become something of a Washington legend as the war on terrorism has progressed. His no-nonsense style and the ease with which he handles reporters during his Pentagon briefings have even been lampooned repeatedly on NBC's long-running "Saturday Night Live."

Welcome home ...

The remains of Air Force Capt. Francis W. Townsend were buried Monday in his hometown of Rusk, Texas. Townsend had been unaccounted for since Aug. 13, 1972, when he and his pilot were flying their RF-4C Phantom over Quang Tri Province, North Vietnam. The aircraft was struck by enemy fire and the pilot, unable to maintain control, ordered Townsend to eject. Following the release of U.S. prisoners of war in 1973, the pilot stated he learned in captivity that Townsend had been killed in the crash, though he initially believed he had ejected. Using DNA tests, the U.S. Army's Central Identification Laboratory in Hawaii was able to identify Townsend's remains. Approximately 1,900 American servicemen remain missing in action from the Vietnam War, while the remains of nearly 700 have been located, identified and returned to their families since the end of the war.

In ...

As expected, Kentucky Attorney General Ben Chandler, scion of one of the state's most notable political families, has thrown his hat into the gubernatorial ring. He is the first Democrat to announce for the race. In something of a surprise move, Chandler has selected businessman Charlie Owen, who had been rumored to once again be a candidate for the state's top office, as his running mate. Other Democrats considering the race include Lt. Gov. Steve Henry, who has been hobbled by ethics issues, and state House Speaker Jody Richards.

Republican U.S. Rep. Ernie Fletcher entered the race Monday.

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