The Weekly Journal - Wednesday, December 8, 2021

Wednesday, December 8-14, 2021 - // no. 137

Puerto Rico and the Caribbean

www.theweeklyjournal.com

The challenges of medicinal marijuana P7 Tourist zones and infrastructure need Improvements P10 Avoiding politicians’ access to the cookie jar P12

Puerto Rico’s Challenges and Options

for Long-term Growth Nobel laureate in economic sciences assesses the island’s potential Zoe Landi Fontana, The Weekly Journal

Tenor Justino Díaz receives Kennedy Center Honor P13

“B

uild back better,” emphasized Professor Joseph Stiglitz, encapsulating into three words the essence of what he believes is necessary for Puerto Rico to thrive.

“It is as equally important to acknowledge and understand Puerto Rico’s disadvantages, as it is to acknowledge its strengths,” said Nobel Economics

Laureate and university professor Joseph Stiglitz.

To create a comprehensive plan for the country’s economic development, Puerto Rico must understand the adverse circumstances which it faces. Stiglitz doesn’t believe the Federal Oversight and Management Board (FOMB) created under PROMESA has fully integrated those disadvantages into their decisions.

Some of these factors include Puerto Rico’s population decline, which has resulted in an obvious and significant decline in total income. The GO TO PAGE 4

The Weekly Journal > Wednesday, December 8, 2021 > 2

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a week in review MCS opens new sales and service center in Plaza Las Americas Medical Card System, Inc. (MCS) inaugurated this week a new center for its affiliates and the public to socialize and benefit from activities designed to promote their health. “At MCS we listen to what our customers have to say, so we designed this space to offer you [our costumers] a unique service experience while we attend to the needs of the population,” explained Rosadaliz Berríos, MCS’ Senior VP of operations and client experience. Located on the mall’s first floor, MCS Spot has conference rooms equipped for meetings and events, and will be open for business seven days a week during Plaza’s regular business hours. MCS invested over $600,000 in the project, which will create more than 40 new jobs.

Del Campo introduces new instant meals Seeking to expand their presence Ribera del Duero and Rueda wines will launch a promotion plan to increase their presence on the island. “Puerto Rico has welcomed Ribera del Duero wines very well through a commercial relationship of several decades. For this reason, we want to solidify our relationship with the island and increase the variety of wines and wineries that are known there,” said Miguel Sanz Cabrejas, CEO of the Regulatory Council of the Ribera del Duero Denomination of Origin. To promote the variety and richness of Ribera del Duero and Rueda wines, a series of activities aimed at importers, distributors, retailers, wholesalers, the press, as well as for wine connoisseurs and lovers are on the agenda and will include tastings, among other special events. The promotion plan is scheduled to begin on January 2022.

Powered BY El Vocero de Puerto Rico, 1064 Ave Ponce de León 2nd floor San Juan, PR Postal Address: PO Box 15074, San Juan, PR 00902

B. Fernández & Hnos., a leading distributor of food and beverages, is introducing a series of easy to cook products that will bring the flavor of traditional Puerto Rican cuisine to homes throughout the island.

“Come Christmas, we all like the taste of hot homemade soup with fresh ingredients. But we don’t always have the time or the ingredients to make it from scratch,” said Janelle Vázquez, Business Development Manager for B. Fernández & Hnos. To address that need, Del Campo has produced a series of products such as plantain soup, root vegetables stew (sancocho) or pigeon peas (gandules) soup, among others, including the classic chicken and noodles soup. “Del Campo has always been committed to provide these cherished products in the easiest possible way. Now, after just a few minutes in the microwave, anyone can enjoy some pigeon peas soup to stave-off the winter cold, or a ‘sancocho,’ in case the parranda drops by.

President Salvador Hasbún shasbun@elvocero.com

VP of Accounting Félix A. Rosa frosa@elvocero.com

Human Resources Director Arlene Rolón, PHR arolon@elvocero.com

Vp of Marketing and Business Operations Michelle Pérez Miperez@elvocero.com

VP of Production Eligio Dekony edekony@elvocero.com

VP of Editorial Content Juan Miguel Muñiz Guzmán jmuniz@elvocero.com

Multi-Platform Graphic and Technology Director Héctor L. Vázquez hvazquez@elvocero.com

Phone: 787-622-2300, 787-721-2300

Multi-Plataform Digital Director María Arce marce@elvocero.com

Customer Service: 787-622-7480

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CONTINUED FROM PAGE 1 island also lost a distinctive advantage in 1994, when NAFTA began - Mexico now had free access to the US, weakening Puerto Rico’s position as a middleman.

According to Joseph E. Stiglitz Ph.D., keynote speaker of the Center for a New Economy’s (CNE) Growth Policy Summit, going forward, Puerto Rico must focus on more than recovery. For Stiglitz, there are multiple instruments available to the island, and combining them is necessary to create a long-term growth strategy.

Creating A Growth Strategy

“In general, most financial systems do not provide enough finance for small to mediumsized businesses. Overall flow of funds from banking into ‘productive activity’ has not been kept at the levels it should be. Then, how can we be sure banks do what they’re supposed to do?

One function is to provide finance for productive

It is as equally important to acknowledge and understand Puerto Rico’s disadvantages, as it is to acknowledge its strengths.

-Joseph Stiglitz

enterprises. The Small Business Association (SBA) provides partial guarantees for lending, risk absorption,” Stiglitz explained.

Development banks, for instance, “while not always being a positive resource in Puerto Rico”, could provide support. “There are many instances of successful, good development banks,” said Stiglitz. “Today there is a big movement to

According to Stiglitz, a higher standard of living has little to do with capital accumulation. >Nahira Montcourt

establish new development banks, particularly green development banks.”

After the presumption that banks allocate local finances well was debunked in 2008, it may be of use to implement a Community Reinvestment Act that will impose requirements on banks that they lend a certain percentage of their portfolio to underserved communities.

Yet another approach to long-term growth is to fund government sponsored research. California’s Silicon Valley, an exemplary case, is a product of the prestigious research universities around it - Stanford University and University of California, Berkeley.

Opportunities in the Energy Sector

In 2017, Puerto Rico’s electric grid was destroyed

by Hurricanes Irma and Maria. Now, residents across the island suffer frequent black-outs, while LUMA Energy (the power utility administrator), the Federal Emergency Management Agency (FEMA), and the Puerto Rico Energy Bureau decide what to do with its obsolete power infrastructure.

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In fact, About Joseph E. Stiglitz

* Received the Nobel Memorial Prize in Economic Sciences in 2001. * Served as senior Vice President and Chief Economist of the World Bank, as well as on the US president’s Council of Economic Advisers as member and chairman. * He is currently a professor at Columbia University. *In 2011, Time magazine named Stiglitz one of the world’s top 100 most influential people.

Stiglitz affirms Puerto Rico must shift to renewable energy sources. >Josian E. Bruno Gómez

“In rebuilding its electric grid, Puerto Rico ought to be sensitive to the changing nature of energy systems,” said Stiglitz. “The money spent to recover from natural disasters and the pandemic should be structured as part of a growth strategy. A longterm strategy that helps create infrastructure will be the basis of Puerto Rico’s future growth and will go beyond mere recovery.”

In this area, Puerto Rico has what Stiglitz called a “climate change advantage”. Using solar energy could be an advantage for the island. Electricity prices are two to three times more expensive than the national average, but they could be lower, if the grid shifts to renewable energy sources, such as solar power.

The Territory of Puerto Rico

Sometimes advantageous, Puerto Rico’s status as a US territory has had an adverse effect on its bankruptcy. Puerto Rico was cut out of the Chapter 9 bankruptcy laws, but when they tried to pass their own, the US decided that they did not have the authority to do so. The Chapter 9 bankruptcy laws would, as stated on the US Court’s website, “provide a financially distressed municipality protection from its creditors while it develops and negotiates a plan for adjusting its debts.”

“Some countries grow, others don’t,” Stiglitz observed. “This conundrum was at the heart of Adam Smith’s Wealth of Nations in 1776.”

According to Stiglitz, a higher standard of living has little to do with capital accumulation, but much to do with developed research and learning.

Other disadvantages of being a US territory include the Jones Act, which entails high shipping

Attracting people who organize their life around not paying taxes doesn’t contribute much to the island, and only serves to create negative externalities. There’s something peculiar about people who think the main aim in life is to avoid taxes.

-Joseph Stiglitz

costs to Puerto Rico, a severe disadvantage to an island and free migration, which provides an individual advantage, but leads to brain drain as educated professionals move away.

Stiglitz also explained that Act 22 “is not a good development strategy.” The economist compared it to the growth strategy given to Native Americans –the casinos. “Attracting people who organize their life around not paying taxes doesn’t contribute much to the island, and only serves to create negative externalities. There’s something peculiar about people who think the main aim in life is to avoid taxes,” Stiglitz expressed.

The Debt Crisis

“Half the time, when there is debt restructuring,

within five years there is another debt restructuring. Too little too late” conveyed Stiglitz.

“Puerto Rico’s problems,” he explained, “are compounded by the lack of applicable bankruptcy laws, Congress’s failures in passing PROMESA, and accumulating debt of questionable legality.”

“There were constitutional provisions that tried to limit the accumulation of debt. It’s clear that lenders and investment banks tried to circumvent that provision. Additionally, some debt was based on the hypothecated growth of government tax revenues,” he explained.

“Restructuring is always difficult –creditors never want to admit they made a mistake,” said Stiglitz. He reminded that every loan is an agreement between the borrower and the creditor, and failure cannot be placed on the borrower alone; creditors should better assess the credit worthiness of the borrower before lending.

To allow for growth while bankrupt, a sustainable level of debt must be calculated. The core problem to figuring out what is sustainable requires evaluating what future growth will be.

Stiglitz highlighted that growth can’t be measured by only GDP. An initial increase in GDP reflects the repairing of losses that weren’t shown in the earlier GDP number, not an indication of the country’s actual economic growth.

“It isn’t in the interest of the creditors to demand too much of PR. If creditors ask too much, the country won’t grow, then the debt will become unsustainable,” Stiglitz said. He also expressed cynicism about debt negotiations in the private sector.

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Entrepreneurs in PR confident about recovery

Survey reveals large companies are more optimistic about the economic outlook

T

Brenda A. Vázquez Colón

bvazquez@elvocero.com

he labor shortage, the high cost of energy and the increase in the minimum wage are among the main concerns of the business sector in Puerto Rico, although businesspeople indicate that they are more confident with the current economic outlook.

“The entrepreneur’s confidence index improved, but it’s large companies that are more optimistic.

In 2022, the issue that must be addressed is how the changes are impacting the sectors by size “, said economist José Joaquín Villamil, during the presentation of the results of the Confidence Index of the Puerto Rican Entrepreneur report, carried out by Estudios Técnicos Inc. and commissioned by the Puerto Rico Chamber of Commerce (CCPR).

Villamil noted that in companies with 20 or more has been the one with the greatest growth in the employees, sales increased by 56%, but pointed past six months, with a 33% increase, followed by out that it is large companies that have been able the health sector. to recover the fastest during the past two years When approached about their concerns, from the COVID-19 pandemic. He emphasized respondents expressed they are worried about large stores have greater access to products that the cost of utilities, taxes, and government red are in short supply and can purchase them in large tape. quantities, which gives them an advantage in the Regarding the lack of recovery. employees, which has disrupted Naji Khoury, chief executive operations of many businesses officer of Liberty Puerto Rico, —particularly restaurants— characterized service as an Villamil pointed out that “it is not added value, and being able to that people do not want to work, have the necessary inventory but because of other reasons, as essential for the recovery.

Entrepreneurs in the such as lack of transportation, “If a customer asks for a services sector have they don’t know English because product and needs it in 24 experienced the of a poor education system and hours, but the business can greatest growth in mothers don’t have a place to only provide it in a week, there the past six months. leave their children.” will be no sale because it [the business] does not have that Consumer Confidence ability [to satisfy the urgency During the presentation via of the consumer],” he said.

Zoom, the Consumer Confidence Study was also The businessman recommended small discussed. Published earlier this year by Nielsen businesses to be more efficient and faster in IQ Puerto Rico, the study reflects 91% confidence offering services so that they can compete in and an increase in consumer spending per person today’s business environment, where online sales –from $486 in April, to $558 in November. are increasing every day.

“Confidence has grown and the low and medium According to Estudios Técnicos’ study, which socioeconomic classes have recovered due to the surveyed 136 entrepreneurs, the services sector

In fact,

The entrepreneur’s confidence index improved, but it’s large companies that are more optimistic.

– José Joaquín Villamil, economist

disbursement of federal incentives and nutritional assistance programs,” said Tatiana Irizarry, Commercial Director of Nielsen IQ Puerto Rico.

The Nielsen executive also mentioned the cost of products has increased by 7%, which, at least partly, has made fewer consumers able to select recognized brands when buying food and household products.

For his part, Esteban Colón, Chief Marketing Officer of Econo Supermarkets, said consumers “are looking for things that make them forget their problems” and assured that that had been noticed in recent Thanksgiving holiday sales.

“Thanksgiving and Christmas sales are already outpacing last year’s,” said Colón.

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There are currently an estimated 100,000 medicinal marijuana patients in Puerto Rico, with about 100 dispensaries to serve them. >Carlos Rivera Giusti

Puerto Rico Gets Greener

manufacture their products.

About a month ago, one large cultivation decided to offer their flower at a low price in their own dispensary because they had an oversupply of flower that was about to expire. They sold ounces at $160 when at that moment the price per ounce was Zoe Landi Fontana, The Weekly Journal usually $200 or $185. To remain competitive, other dispensaries lowered their prices as drastically as ountless dispensaries bearing was reasonable. clever cannabis-related names The Bloom Room’s next step is to begin have popped up around Puerto cultivation. “We are almost ready for cultivation, but Rico since medicinal marijuana due to delays back when opening the dispensary, was legalized in 2017. One such we had to hold back on cultivation. The license is place is The Bloom Room on paralyzed right now, but the possibility is there,” Avenue Piñero, which opened Crispo stated. Besides licensing delays, The Bloom up in November 2020. THE WEEKLY JOURNAL Room is ready to begin cultivation. Three rooms chatted with Cristian Crispo, manager and owners’ in the back sport heat lamps and fans for growing son, about the challenges and cannabis in-house. opportunities of opening a According to Crispo, there are dispensary. two main benefits to cultivating The process isn’t easy, nor your own plants. “You have two is it inexpensive. A dispensary things - some exclusivity on license alone costs $20,000, what flowers are available to the renewed annually. Another A dispensary license market, and the price of flower $5,000 is necessary to install the costs $20,000, can be offered lower,” explained Puerto Rico Health Department’s renewed annually.

Crispo. Unfortunately, energy tracking system that traces every costs on the island are very high gram back to the pot it was and The Bloom Room’s plan for grown in. Dispensary personnel boutique-style cultivation would costs are low, though; most not be able to compete with the low prices offered shops need only a couple of budtenders and a by larger operations for at least a few years. security guard to operate.

The Crispos weren’t new to the cannabis The Potential Future Of Recreational business before opening their dispensary. They Cannabis had previously invested in cannabis manufacturing.

Crispo has his sights set on the future of Sales in their first year of operation have steadily medicinal and recreational cannabis. “I really hope increased, with November bringing in over $38,000 that this industry doesn’t die out. I hope that in the in total revenue. next couple of years, people keep signing up for medicinal cannabis licenses and keep learning from The Best Of Both Worlds it. I don’t think it does any damage to society to Still, the most successful dispensaries are those keep promoting cannabis. Even if you don’t use it, that not only sell, but additionally cultivate and you don’t have to be against it,” he said.

Dispensaries operate in a challenging environment

C

In fact,

I don’t think it does any damage to society to keep promoting cannabis. Even if you don’t use it, you don’t have to be against it.

-Cristian Crispo, Manager, The Bloom Room

Juan Albors, from the dispensary Strainwise, on the corner of Calle Loíza and Jefferson, spoke with THE WEEKLY JOURNAL about what he’d like to see for the future of cannabis on the island.

There are currently an estimated 100,000 medicinal marijuana patients in Puerto Rico with about 100 dispensaries to serve them and another 100 dispensary licenses will be given out in the next year, according to Albors. A large selection of dispensaries means that patients will receive competitive prices. But, smaller dispensaries might suffer.

A few months ago, Albors visited Strainwise Consulting, the dispensary’s namesake as well as their consultant, in Colorado. There, he noticed that despite the prevalence of dispensaries, seemingly one on every corner, the marijuana business is thriving - in 2015 residents even received returns on excess tax revenue from the industry. In Puerto Rico, the situation is different.

“For every certain distance, allow one dispensary,” recommended Albors. He believes this could be key in ensuring that smaller businesses don’t get pushed out of the market. Legalizing recreational cannabis will also bring in more business. His only advice to policymakers is to do more research, and to plan better before taking the next steps, to ensure the industry thrives.

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Fed survey finds shortages boosting inflation

Supply chain problems and price increases reported across the economy

The Fed survey, which is based on interviews with business contacts last month in all 12 of the Fed’s regional bank districts, will form the basis for discussions when central bank officials hold their final meeting of the year on Dec. 14-15.

Pulling Back On Easy-Money Policies

In congressional testimony this week, Federal Reserve Chairman Jerome Powell said the central bank is prepared to speed up the pace of the pullback of the easy-money policies it has been ASHINGTON (AP) — using to support the economy for the past 20 Many parts of the months. country were hit by The Fed had been buying $120 billion in supply chain disruptions Treasury bonds and mortgage-backed securities and labor shortages in since the spring of 2020. At its meeting last month, November, the Federal the central bank announced that it would start to Reserve reported trim those purchases, which serve to keep longrecently. term interest rates low, by $15 billion in November In a survey of business conditions around the and another $15 billion in December. country, the Fed’s 12 regional banks found that Powell’s comments this week indicated the Fed the economy continued to grow at a modest-tomay announce at its December moderate pace, and the outlook meeting that it will make larger for future growth remains monthly reductions in the future positive. so that the bond purchases can But some of the Fed’s business be totally ended earlier than the contacts expressed uncertainty June end-date, which had been about when the problems The Fed had been expected. presented by supply chain buying $120 billion in That would clear the way bottlenecks and labor shortages Treasury bonds and for the Fed to begin raising its might begin to ease. mortgage-backed benchmark interest rate, which In part because of the supply securities since the was reduced to a record low of chain issues, price increases were spring of 2020.

0% to 0.25% in early 2020. reported to be widespread across Both the ending of the bond the economy. purchases and the start of “There were wide-ranging input interest rate hikes would be cost increases stemming from expected to raise borrowing costs strong demand for raw materials, for consumers and businesses as a way to slow the logistical challenges and labor market tightness,” economy and fight inflationary pressures. the Fed’s report, known as the beige book, said.

W

Martin Crutsinger, The Associated Press

In fact,

Hiring struggles and elevated turnover rates led businesses to raise wages and offer other incentives, such as bonuses and more flexible working arrangements.

-Federal Reserve’s report

Powell made his comments as inflation has surged to a three-decade high, largely because the pandemic has limited supplies at a time when the re-opening of the economy has led to high demand.

Persistent Labor Shortage

The Fed report said that companies were complaining about “persistent difficulty in hiring and retaining employees” with many leisure and hospitality firms still limiting operating hours due to a lack of workers.

The report said businesses had heard a variety of reasons for the labor shortages. Those included the lack of childcare, retirements, and continued safety concerns revolving around the persistence of COVID cases. The survey was conducted before the emergence of the new omicron variant.

“Nearly all districts reported robust wage growth,” the Fed said. “Hiring struggles and elevated turnover rates led businesses to raise wages and offer other incentives, such as bonuses and more flexible working arrangements.”

/ Wednesday, December 8, 2021

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Powell: Fed ‘not at all sure’ inflation will fade next year Economists regard price spikes as a response to the pandemic’s persistent disruptions to supply and demand

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Christopher Rugaber, The Associated Press

ASHINGTON (AP) — In a fresh sign of his growing concerns about inflation, Chair Jerome Powell has said the Federal Reserve can’t be sure that price increases will slow in the second half of next year as many economists trillion social and environmental spending bill, they expect. further argued, would further accelerate inflation.

Powell told the House Financial Services “It is the multiple trillions of dollars that this Committee that most economists regard the Congress and this administration is spending that current price spikes, which have sent consumer is putting jet fuel on the fires of this economy,” inflation to a three-decade high, as largely a said Rep. Patrick McHenry from North Carolina, response to the pandemic’s persistent disruptions the senior Republican on the committee. “It is to supply and demand. As Americans have making things worse.” spent more time at home, they have ramped Yellen countered that the new spending would up spending on furniture, appliances, laptop occur over a decade and would be paid for, which computers. Soaring demand for such goods, would reduce its inflationary impact. She also combined with parts shortages, have resulted in argued that the administration’s proposals to supply chain snarls and higher prices. spend more on child care subsidies, universal In the past, Powell, who was early child care education and nominated recently a second the child tax credit would make it four-year term by President Joe easier for many women to return Biden, has frequently expressed to work after having children. his belief that these supply-andTheir return, Yellen said, would demand imbalances should fade help address the labor shortages as the pandemic eases, which $1.9 trillion that are contributing to higher would reduce inflation. But on inflation.

Cost of financial Wednesday, he said that while The Treasury secretary also relief package such an outcome is “likely,” it is defended the administration’s approved last March only a forecast. $1.9 trillion financial relief “The point is, we can’t act as if package, approved last March, we’re sure of that,” he said. “We’re and said that “at most,” it was a not at all sure of that. Inflation has been more “small contributor” to higher prices, which she said persistent and higher than we’ve expected.” were mostly due to supply chain bottlenecks.

The financial relief bill “put money in people’s pockets, helped to meet expenses that they had Put The Blame On The Biden and contributed to strong demand in the U.S. Administration economy,” Yellen said.

At the same hearing, Treasury Secretary Janet Yellen clashed with many committee Republicans, Interest Rate Spike In The Works? who charged that excess spending by the Biden Powell’s latest remarks came a day after administration has been a major contributor to he signaled a sharp turn toward tightening high inflation. The administration’s proposed $2

In fact,

credit more quickly than the Fed has previously indicated. The Fed chair said Tuesday that it would be “appropriate” for the central bank to consider accelerating the reduction of its bond purchases at its next meeting in mid-December. That step would pave the way to the Fed hiking its benchmark interest rate as early as next spring.

Stock prices tumbled after Powell’s comments.

Low-interest rates have been a key driver of the stock market to record highs during the pandemic.

Shares recovered most of those losses in midday trading Wednesday.

Powell also downplayed sharp wage gains this year as something that could boost inflation further, suggesting that he doesn’t yet see a wageprice spiral developing. In the 1970s, as prices rose steadily, workers were able to demand higher pay to keep up with greater costs. Yet businesses then raised prices further to cover the higher wages, extending the worst run of inflation since World War II. “We like to see wages move up,” Powell said.

“At this point, we don’t see them moving up at a troubling rate that would tend to spark higher inflation, but that’s something we’re watching very carefully.”

On Tuesday, Powell said he was ready to “retire” the use of the word “transitory” to describe inflation. Instead, he said the “risk of higher inflation has increased.”

Powell also on Tuesday elevated inflationfighting to a more urgent priority than supporting job growth by noting that higher prices themselves threaten the economic recovery. A long period of growth, he said, is needed to regain the “great labor market” that existed before the pandemic.

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Tourism industry calls on central government for improvements Tourist zones and infrastructure in urgent need of revitalization

T

Brenda A. Vázquez Colón

bvazquez@elvocero.com

he country’s hotel sector called on Puerto Rico’s government to include among its priorities the development of an infrastructure that meets the expectations of tourists who choose the island as a leisure or business destination.

“We are concerned about the movement of tourists worldwide and the quality of infrastructure we need because most hotels are remodeling and improving their facilities, but the infrastructure we [the country] have is not up to par with everything we [hoteliers] are doing,” said Joaquín Bolívar III, president of the board of directors of the Puerto Rico Hotel and Tourism Association (Prhta).

His statement was based on the need to improve tourist areas and infrastructure throughout the island which, four years after Hurricane María, continues to deteriorate despite federal funds being available for repairs.

“You have to fix the roads, the street lamps and improve public safety. The sidewalks are still in bad shape and there is a lack of street lamps and lighting everywhere. Even in upscale tourist centers in the east, such as Palmas del Mar. For years we have been demanding a police task force, trained for these areas and who speaks English,” Bolívar said.

According to the president of Prhta, the investment must be made not only in hotels and their buildings, but throughout the island to meet the expectations for a competitive destination that rivals other destinations that keep their roads, their power system and tourist resources in top shape.

“We don’t have the optimal conditions needed to attract tourists, we have to invest outside the hotels. They [government officials] must take into account everything the tourism industry generates.

Until last August, hotels have already generated $68 million in room taxes alone,” the executive said.

After COVID-19

Bolívar’s biggest concern is that when the world recovers from the COVID-19 pandemic, countries will begin to compete to attract tourists, and he

The hotel sector call on the government to improve security and infrastructure in tourists areas. >Josian E. Bruno Gómez / EL VOCERO

fears Puerto Rico will not be prepared for that.

“Now we are doing well because there are many countries still closed, but when this ends, many countries and hotels will be ready to fight, and we will not. The government has to be more effective and be aware of the needs in tourist areas… if a street lamp is damaged, fix it quickly,” he pointed out.

Good occupancy

On the other hand, Bolívar informed hotel occupancy is at healthy levels and is expected to continue to improve during the winter.

“This season is looking pretty good. There is high demand, and it has attracted international attention for events like the one that will take place at the end of the year in the T-Mobile District. We are close to maximum capacity and the tourists who have been arriving since February have greater purchasing capacity than last year… they spend on hotels, restaurants and tours, among other activities,” said Bolívar.

Regarding the effects of the COVID-19 pandemic, specifically those of its most recent variant, Omicron, Discover Puerto Rico’s Chief Strategy Officer, Edward Zayas, commented it is

We don’t have the optimal conditions needed to attract tourists.

-Joaquín Bolívar III, president, PRHTA

still “premature” to determine if there will be any substantial decrease in the number of visitors to the island. Nevertheless, Zayas assured “we are closely monitoring” any changes in travel restrictions that may affect the island’s tourist season.

Puerto Rico’s DMO executive recalled the Delta variant caused “minimum impact” to the island’s tourism industry last August, and recovery was “quick.”

“The initial response from the airlines is similar [to that of the Delta variant]. They anticipate some short notice cancellations, but a continuous increase in the long run,” Zayas said.

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Christmas Party @ MAPR

jueves, 16 de diciembre de 7:00 pm a 12 medianoche.

Thursday, December 16th, 2021 7:00 pm to 12:00 midnight.

.

Separa tu espacio, sólo 300 personas.

300 people maximum, please RSVP.

Para información de auspicio o compra de boletos ($300 pp), favor de comunicarse a mperez@mapr.org, 787 977-4449 o 787 376-4317.

For information of sponsorships or to buy your tickets, please send message to mperez@mapr.org or call at 787 977-4449/787 376-4317.

Vestimenta semiformal, sugerimos rojo y dorado.

Dress code: Semi-formal red and gold.

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cero el oSilver Plata/ de Puerto Rico

Oro/Gold

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Vocero elVocero el

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< The Weekly Journal > Wednesday, December 8, 2021

NAVIDAD

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Manuel Quilichini Lawyer

Keeping their hands out of the cookie jar

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his last week, our attention was focused on the arrest of Félix Delgado, a.k.a. El Cano, Cataño’s mayor for the past five years.

Caught with his hands in the cookie jar of government contracts, the public’s reaction to the mayor’s transgression can only be described as indifferent, despite the constant barrage of news revealing the flashy lifestyle of the now former mayor. This contradicting response is troubling and show an ever-growing acknowledgment that corruption is just part of our ordinary daily life.

Our political genes seem to be infected with the impulse to do the wrong thing, and there seems to be no vaccine in sight.

One must ask, how is it possible that nobody saw any signs of corruption, given the lavish gifts showered upon the mayor? His bankroll was fattened by almost $95,000 in a mere 5 months without no one noticing. He receives five flamboyant luxury watches, and nobody raises a flag? Did everyone think they were cheap Asian knock-offs?

Corruption is part of our everyday life, but there is more to it than an individual shortcoming.

The enactment of anti-corruption laws has done little to stem the constant tide of political misbehavior. Politicians may not have the necessary motivation to reveal their colleagues’ illegal practices. Government agencies entrusted with detecting corrupt practices are ill-equipped for the task. Also, our efforts seek to identify the crooked politicians after the fact and not focused

in preventing the malfeasance. How many of them get away unpunished is anyone’s guess. But what if there was a better way? Citizen oversight and governmental transparency are the first steps.

Imagine that all public works contracts awarded by the government had to be in a public website available to all citizens upon execution of the contract. Public information to be posted would include all bidders with a summary of their bids,

Transparency might not eradicate governmental corruption but is a good first step at preventing it. and the analysis and evaluation of the adjudication of the bid, that is, why it was awarded to a particular person or company.

Now, also imagine that this website contains the progress of the public works, including, but no limited to, current budget, budget spent, information on cost overruns and delays, and other relevant information. Instead of having several governmental employees supervising the contract, we would have hundreds of thousand of citizens looking at what’s going on. All these citizens would have the ability to raise a red flag when something

is out of whack.

Add to the mix a heavy layer of transparency.

List on the same website not only the company that won the contract, but also those who compose its managerial staff, board of directors and stockholders. Major subcontractors would have to provide similar information, without exception. Finally, put in place hefty fines and bar companies, their stockholders and officials from having a government contract for a five-year period, or more, if they violate the transparency requirements.

To top it off, make sure you have a free and independent media with open access to information, as well as an educated and active civil society. It would be nice to have all political parties committed to this plan, but perhaps that is asking too much. After all, this would pose a threat to many politicians.

This proposal would work well with State and Municipal governments as well as all their branches because it shines a very bright light not only on contracts awarded but also on contract compliance.

The public, including engineers, accountants, attorneys, planners, environmentalists, and other professionals would act as watchdogs ready to pounce when they see something seemingly out of order. It is hard to put your hand in the cookie jar when there are so many eyes watching.

It is said that knowledge is power, but ignorance empowers and emboldens the corrupt.

Transparency might not eradicate governmental corruption but is a good first step at preventing it.

Certainly, it is better than being complacent.

13

/ Wednesday, December 8, 2021

Puerto Rican tenor Justino Díaz made his Metropolitan Opera debut in 1963. >AP Photo/Kevin Wolf

Justino Díaz, center, poses with his family on the red carpet at the Medallion Ceremony for the 44th annual Kennedy Center Honors. >AP Photo/Kevin Wolf

Tenor Justino Díaz receives Kennedy Center Honors

Díaz received the Kennedy Center Honors Ribbon for an artistic career spanning 40 years THE WEEKLY JOURNAL Staff

W

ASHINGTON — The Kennedy Center Honors bestowed last Sunday night a lifetime achievement award for his artistic excellence to renown Puerto Rican

Born To Sing

Born January 29, 1940, Díaz started performing at the age of eight and attended the University of Puerto Rico and the New England Conservatory of Music in Boston.

The Kennedy Center summarized Díaz’s career starting with “his operatic debut in 1957 as Ben in Menotti’s The Telephone.”

“Díaz made his Metropolitan Opera debut in 1963 in Verdi’s Rigoletto as Monterone. There he went on to sing in 400 performances, across 21 seasons, in 39 roles. In 1966, he inaugurated the new Metropolitan Opera at Lincoln Center in New York City, together with Leontyne Price in Antony and Cleopatra by Samuel Barber. In 1971, he inaugurated the Kennedy Center Opera House, where he performed the leading male role in Ginastera’s Beatrix Cenci—following Center’s opening night of Bernstein’s Mass,” concluded the Center’s biography.

tenor Justino Díaz.

Described by President Joe Biden as “one of Kennedy Center’s Tributes the legendary opera singers The Kennedy Center Honors worldwide who gives us the returned to tradition this year sound of the soul,” Díaz received with a real-life gala Sunday night the Kennedy Center Honors and the presence of the president Ribbon for an artistic career for the first time since 2016. spanning 40 years performing Justino Along with Díaz, Honors were in the world’s greatest opera Díaz Born was born presented to Motown Records stages and his advocacy and on January 29, creator Berry Gordy, “Saturday engagement with the art.

1940. He started Night Live” mastermind Lorne “From the stages of the performing at the Michaels, actress-singer Bette world’s greatest opera houses, age of eight.

Midler and folk music legend Joni his defining baritone makes as if Mitchell.

Shakespeare, Verdi, Puccini wrote This year’s event at the for him… I don’t know if you feel Kennedy Center’s main opera that way, buddy, but this is what it looks like. [You house represented a return to political normalcy, have been] a voice and a presence that represents with President Joe Biden and first lady Jill Biden the drama of the human experience as few people attending. have or ever will,” Biden said Sunday night during The theater was packed to capacity and the presidential reception at the White House.

In fact,

[You have been] a voice and a presence that represents the drama of the human experience…

-Joe Biden, US President

there were no social distancing restrictions, but vaccinations and recent negative COVID tests were required for all who attended.

The tributes featured testimonials and performances that were kept secret from the honorees. Díaz was honored by soprano Ana María Martínez and tenor Mathew Polenzani with a performance from the opera “Faust” by Charles Gounoud. Díaz’s daughters, Natascia and Katya, honored their father singing “En mi viejo San Juan,” in Spanish.

Prior to the Kennedy Center event, Biden revived another tradition that had gone dormant under Trump and held a White House reception for the honorees.

“We welcome everyone back,” he told a crowd of about 150 seated in the East Room, decked out with Christmas trees and wreaths. Guests included Vice President Kamala Harris, House Speaker Nancy Pelosi, Caroline Kennedy, Mikhail Baryshnikov, Chita Rivera, Steve Martin and Herbie Hancock.

“Our nation is stronger, more dynamic and more vibrant because of you,” Biden told the honorees.

Sunday’s ceremony, which will be broadcast Dec. 22 by CBS, is the centerpiece of the Kennedy Center’s 50th anniversary of cultural programming.

The center opened in 1971.

14

/ Wednesday, December 8, 2021

Daddy Yankee will lead Dick Clark’s New Year’s Rockin’ Eve in PR

Puerto Rican singer and actress Roselyn Sánchez will co-host the first Spanishspeaking countdown at the legendary Year-End Special

A

THE WEEKLY JOURNAL Staff

BC television network and production company MRC Live & Alternative announced reggaeton superstar Daddy Yankee will be Puerto Rico’s musical guest during the historic edition of the mostwatched year-end special on American television: Dick Clark’s New Year’s Rockin’ Eve. Sharing the stage with Daddy Yankee, Puerto Rican actress and singer Roselyn Sánchez will be the co-host of the event along with New York host Ryan Seacrest. The festivities will take place at the T-Mobile District in Puerto Rico’s Convention Center, which will be the scenario for the first Spanish countdown in the history of the event that this year celebrates its 50th anniversary. The names of other artists participating in the event will be announced in the following days.

The event will broadcast images of Puerto Rico, aspects of its culture, history, and gastronomy to Daddy Yankee will lead the show’s artistic lineup. >Archive some 18 million viewers across the US. During the broadcast, the city of San Juan’s 500th foundation mind of millions of viewers. This promotion anniversary and Puerto Rico’s holiday customs will will give an additional boost to the impressive be highlighted. recovery that the industry has had this year after “We are very excited about the adverse effects of COVID-19 this event, where we will be on the economy,” said the Chief presenting the best of our Executive Officer of Discover talent and our people. Roselyn Puerto Rico, Brad Dean.

Sánchez and Daddy Yankee are Dean said Puerto Rico ambassadors of Puerto Rican art has been receiving positive The event will and music, and having them at advertising, in the form of articles broadcast images home is a privilege. Undoubtedly, and reports in media outlets of Puerto Rico, it will be a historic night for -valued at more than $10 millionaspects of its everyone on the island and the since the event was announced. culture, history, viewers because 2022 begins in The public will have access to and gastronomy Puerto Rico,” said Mariela Vallines, the grounds outside the Puerto to some 18 million director of the Convention District Rico Convention Center and viewers across the Authority. within the T-Mobile District to US. “Daddy Yankee and Roselyn enjoy the largest New Year’s Sánchez fill us with pride, and celebration on the Island, their talents will shine as bright including a second stage with a as our beautiful island. With wide range of performers. The the celebration, Puerto Rico will receive a great Department of Health will be collaborating with promotion that will keep the island fresh in the the event to ensure that all established protocols

In fact,

are followed to safeguard the health and safety of all.

The event’s broadcast will take place Friday, December 31 at 9:00 p.m. on ABC. Puerto Rico’s celebration will be when the clock marks 11:00 p.m. in New York City.

Roselyn Sánchez will co-host the show. >Carlos Rivera Giusti

15

/ Wednesday, December 8, 2021

People look at NFT artwork at the Tezos exhibition. Tezos is an energy-efficient blockchain adopted by NFT artists. >AP Photo/Lynne Sladky

People walk through an art installation titled, “Hall of Visions,” by artist Pilar Zeta of Argentina. >AP Photo/Lynne Sladky

Celebs, fashion, 24k chicken wings at

Miami’s Art Basel

Art fair drew collectors, socialites and celebrities from around the world

M

Kelli Kennedy, The Associated Press

IAMI — After a pandemic hiatus, the official Art Basel show was back in Miami with all its eccentric glory, a dizzying list of celebrity People walk past a painting titled, “The Backside of attendees and dozens Existence,” by artist Jacqueline de Jong. of spin-off shows that >AP Photo/Lynne Sladky generated quite a buzz, including a phenom child selling Banksy’s Charlie Brown for $4 million painter and a $4 million Banksy sale. dollars. A spokeswoman for the gallery said this Ten-year-old contemporary artist Andres is the first year they’ve had a Valencia’s gallery nearly sold profound collection of Banksy out at Art Miami before it even canvases, including many began. The San Diego-based original works. artist simply saw a cubist painting in his living room two years ago and declared, ‘I can The Rich And Famous do that’.

Basel’s annual prestigious Banksy’s Charlie Actress Sophia Vergara December art fair drew Brown sold for $4 bought one of his pieces this collectors, socialites and million dollars. week and Channing Tatum, celebrities from around the Jordan Belfort, and artist world. But fashion has also Shepard Fairey stopped by his played a prominent role in booth at the Art Miami fair to recent years with Christian Dior check out his work, according to a spokesperson hosting its first ever U.S. show in 2019 as a sort of for Chase Contemporary. unofficial kick-off to Miami’s art week.

Proceeds from Valencia’s works are going to Louis Vuitton did the same, with its first ever the Perry J. Cohen Foundation, which supports the U.S. fashion show. But the sudden death of its arts, and environmental and wildlife education and 41-year-old legendary designer Virgil Abloh turned preservation. the show into a somber, yet whimsical celebration Maddox Gallery also showed at Art Miami, of life attended by Rihanna, Kim Kardashian West

In fact,

and her daughter North, Ye, the rapper formerly known as Kanye West, model Bella Hadid, Joe Jonas, Maluma and Pharrell. Kid Cudi and Erykah Badu performed at an after-party. Ivanka Trump and hubby Jared Kushner were also in the crowd.

And Chanel collaborated with artist Es Devlin for a monumental sculptural installation to celebrate its iconic fragrance. The fashion house took over Jungle Plaza to create a multisensory experience using hundreds of plants and trees.

Gucci hosted a party to celebrate Mickalene Thomas’ Monograph.

Alicia Keys, Lizzo and Cardi B were also among those performing around town last week. The rapper is launching a new line of Vodka infused whipped cream. After-party performances at various clubs last weekended include Migos, Meek Mill, Diplo and Marshmello.

While Miami’s art week is a draw for serious collectors, it is also full of the absurd, including diamond and gold chicken wings. Yep, Miami’s DJ Khaled dropped “bling wings” topped with 24-karat gold dust and edible diamonds to promote his restaurant Another Wing.

There was also an 18-carat gold bagel avocado toast on sale for $2.9 million at Galerie Rother at Art Miami.

Celebrity sightings included Martha Stewart in a gold coat and walking cane at Komodo restaurant and the Denver Nuggets and Venus Williams popped bottles all night at Pharrell and David Grutman’s restaurant Swan.

Hailey Bieber, Olivia Rodrigo, Brooklyn Beckham, Nicola Peltz were spotted loading up on cocktails and caviar at Papi Steak and singer Camila Cabello was spotted in the trendy art district of Wynwood on Monday for an unveiling at Wynwood Walls to celebrate 14 new artists with murals and sculptures.

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