Hagel to stress opposition to a nuclear Iran in Senate testimony

WASHINGTON -- President Obama's nominee for secretary of Defense, former Sen. Chuck Hagel, will stress at his confirmation hearing Thursday that he opposes letting Iran acquire nuclear weapons and will focus on developing military options to set back Tehran's program, according to a U.S. official familiar with his planned testimony.

It will be Hagel's first chance to explain his views publicly since his selection last month ignited fierce opposition from several former Republican colleagues and pro-Israel groups. They contend Hagel was not tough enough on Iran during his two terms as a GOP senator from Nebraska, and warn he might not push for a U.S. attack on Iran if one is needed.

"He's going to be very clear that he fully supports the president's policy of preventing Iran from getting a nuclear weapon," said the U.S. official, who spoke on condition of anonymity because Hagel had not yet testified. "His job as secretary of Defense is to ensure that the military is prepared for any contingency, and he believes all options should be on the table, including military options."

Hagel's willingness to back the use of force against Iran is likely to be the key area of questioning during what is expected to be a daylong hearing with the Senate Armed Services Committee.

After a shaky start, Hagel's nomination has picked up increasing support from Democrats, and the first Republican, Sen. Thad Cochran of Mississippi, announced Monday that he would vote for Hagel.

White House officials say they expect more Republicans to back Hagel and predict that when the full Senate votes, he will win more than the 60 votes necessary to avoid the threat of a filibuster.

Some pro-Israel groups have greeted Hagel's nomination with opposition or lukewarm support. Even Democrats who back Hagel are determined to press him for greater clarity on how long diplomatic pressure and sanctions on Iran should be given to work before a military strike becomes necessary.

Sen. Carl Levin (D-Mich.), chairman of the committee, said "most Democrats are leaning very strongly" for Hagel, including himself. "That doesn't mean I don't have questions," he added.

Many Republicans have not forgiven Hagel for publicly criticizing the George W. Bush administration for its handling of the war in Iraq, and they are likely to be considerably harsher in tone.

Sen. John Cornyn (R-Texas), speaking on the Senate floor Wednesday afternoon, said Hagel's nomination had "already done damage to the United States' credibility" in dealing with Iran.

"I realize that Sen. Hagel is now repudiating many of his past actions and statements," he added. "But we've seen this before."

Like Obama, Hagel has long called for a mix of negotiations and international economic sanctions to pressure Iran, insisting that military action should be considered only as a last resort. As he has sought support for his nomination, Hagel has emphasized that unilateral U.S. sanctions and even military action could be required.

"If Iran continues to flout its international obligations, it should continue to face severe and growing consequences," Hagel said in response to written questions from the committee. ''While there is time and space for diplomacy, backed by pressure, the window is closing. Iran needs to demonstrate it is prepared to negotiate seriously.''

Ironically, the pressure on Hagel to come out strongly for a possible military strike against Iran comes as some Israeli officials, who have long pressed the Obama administration to consider a preemptive attack, say Iran appears to have backed away, at least for now, from what the West believes is a program to develop a nuclear bomb.

Sen. James Inhofe (R-Okla.), the top Republican on the panel, said last week that he and Hagel were "too philosophically opposed on the issues" for Inhofe to support his nomination, citing Hagel's support for defense budget cuts and for cutting nuclear stockpiles. Inhofe was one of three Republicans who voted Tuesday against confirming Sen. John F. Kerry (D-Mass.) as secretary of State.

Senate Minority Leader Mitch McConnell (R-Ky.) on Tuesday declined to rule out the possibility that Republicans would require a 60-vote threshold for confirming Hagel.

"Sen. Hagel hasn't had his hearing yet, and I think it's too early to predict the conditions under which his nomination will be considered," McConnell said.

Sen. Lindsey Graham (R-S.C.) has said he would block Hagel's nomination from coming to a vote unless the current Pentagon chief, Leon E. Panetta, agrees to testify about the Sept. 11, 2012, attack on the U.S. compound in Benghazi, Libya. A White House official downplayed the possibility that Hagel's nomination could be blocked, saying negotiations were underway to let Panetta testify.

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Bell city clerk testifies signatures on documents were forged

A key prosecution witness in the Bell corruption case testified Wednesday that signatures on city contracts, minutes for council meetings, agendas and even resolutions were forged.

Bell City Clerk Rebecca Valdez's testimony could bolster the defense's argument that record-keeping in Bell was so sloppy that it would be difficult to prove that six former council members inflated their annual salaries to nearly $100,000 by serving on boards and commissions that met for a few minutes, if ever.

On her third day on the witness stand, Valdez said she noticed the forgeries in 2010 when pulling together records requested by investigators looking into possible wrongdoing. She said she never looked into the forgeries, and didn't make a list of the questionable documents.

Los Angeles County Superior Court Judge Kathleen Kennedy ordered Valdez to look through the paperwork being used as exhibits for the trial.

After thumbing through binders filled with documents from 2005 to 2010, the city clerk said she detected about eight agendas from 2005 to 2006 that had forged signatures.

"It looks like R Valdez, but that's not the way I sign," Valdez said of the name written in cursive. She said the forgery appeared to be the work of her predecessor, Theresa Diaz.

"That appears to be her handwriting?" defense attorney Alex Kessel asked Valdez.

"Yes."

"So from your knowledge of her penmanship you believe she signed your name?"

"Yes."

As the city clerk, Valdez was responsible for keeping accurate records of public meetings but her testimony has revealed that she signed minutes for meetings she didn't attend, sometimes made mistakes in her records and for three years was the clerk in name only, performing almost none of the required duties.

"Forgery is another area that questions the legitimacy and accuracy of the minutes and agenda which is the cornerstone of the district attorney's argument that no work was being done," Kessel told The Times.

The prosecution has used many documents signed by Valdez to illustrate that Luis Artiga, Victor Bello, George Cole, Oscar Hernandez, Teresa Jacobo and George Mirabal did little work when it came to the authorities that beefed up their paychecks.

Among those is the Solid Waste and Recycling Authority, which Deputy Dist. Atty Edward Miller has labeled a "sham."

On Wednesday Miller read the ordinance for that authority, which said it could be created "for the purpose of acquiring, constructing, maintaining or operating an enterprise for the collection, treatment or disposal of waste."

Miller then asked Valdez: "Have you seen an enterprise for the collection, treatment or disposal of waste in the city of Bell?"

"No," she replied.

Defense attorneys have attempted to pin much of the city's alleged corruption on former City Administrator Robert Rizzo. Valdez said Rizzo expected people to do what he said and was a chronic micromanager.

"It was pretty well-known to the employees that important events that happened in your life, like going to school, having a baby or buying a house — he had to be the first one to find out," Valdez said. "If he found out through a second person or third person, the employee would kind of be in the doghouse.

"When I got married," she said, "he was the first one to know before any of my peers knew."

Valdez said Rizzo questioned her about a house she was thinking of buying and urged her to make a 20% down payment. When she told him she didn't have the money, Rizzo offered her a $48,000 loan, she said.

Prosecutors say her loan, along with dozens of others provided to city employees, was given without proper authorization.

Valdez, who was granted immunity for her testimony, said she processed the repayment of such loans. She also prepared salary contracts for the council members, as well as Rizzo. She said she was aware of Rizzo's salary before the news became public.

Valdez testified that during a July 2010 meeting requested by Times reporters, Artiga and Hernandez appeared shocked when they heard that Rizzo was making nearly $800,000.

She also recalled that Hernandez, "said something to the effect of 'To have a good city manager you have to pay him well.' "

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Wendy Greuel's $160-million savings claim raises questions

At virtually every campaign stop, Los Angeles mayoral candidate and City Controller Wendy Greuel points to eliminating $160 million in "waste, fraud and abuse" she's found at City Hall as a solution to the city's fiscal troubles and evidence that she would be a tough fiscal manager as mayor.

But most of the dollar total in Greuel's claim, now featured in television ads, relies on two audits that depend on an accounting maneuver and a large revenue projection that the controller's office itself said was unrealistic from the start.

Many of the dozens of audits cited by Greuel's campaign to support the $160-million claim reveal shortcomings in municipal policy and recommend "best practice" reforms that many people inside and outside of City Hall would agree are needed.

While the reports identified potential new revenue and elimination of waste, the amounts cited by Greuel's campaign would not be immediately available to the incoming mayor, although Greuel has suggested otherwise.

"My first day in office, I'm going to stop the cycle of crisis and layoffs and lack of services," she told the Sherman Oaks Homeowners Assn. at a debate. "And I will implement the $160 million worth of waste, fraud and abuse that I found."

Greuel said in a statement Wednesday evening that she stands by her audit findings. She called the $160 million "just the tip of the iceberg" and added that, as mayor, she would "change the way government works so that we spend our precious taxpayer dollars more wisely and efficiently."

Greuel's supporters say she deserves credit for being specific about how she would make the city bureaucracy more efficient. And Greuel campaign spokeswoman Shannon Murphy said the projections used by the controller's office were compiled by professional auditors who had no political motivation.

But City Councilman Eric Garcetti, a rival for mayor, has attacked Greuel's claims. His aides say the savings and new revenue actually produced for the city amount to just $239,000.

Half of Greuel's $160 million — as broken down on her campaign website — comes from a single audit on unrealized revenue from a "street furniture" contract between the city and a company called CBS Decaux.

That 2012 audit said the city lost $23.1 million because the company hadn't paid as much as predicted to place advertising on bus shelters, newsstands, public restrooms and kiosks. An additional $57 million "could be lost" in the future if Los Angeles does not improve the contract, for a total shortfall of $80.1 million, Greuel's office contended.

But CBS Decaux said it would come nowhere near the $150 million it promised to pay the city over 20 years because bureaucrats, and especially City Council members, rejected many of the locations the company wanted for its shelters and advertising "pillars."

The city's Bureau of Street Services, the chief legislative analyst and the city attorney all agreed that the advertising company had properly paid the city at a reduced rate. And Greuel's audit acknowledged that $8.2 million was "not recoverable."

The controller's office called for a renegotiation of the agreement and calculated future losses of $57 million using a best-case scenario: that the company would be able to place all of the advertising initially planned and the city would be paid at the rates originally agreed to. Greuel, in her own cover letter for the audit, concluded: "It is clear, however, that this contract was unrealistic in terms of expectations from the very beginning."

Murphy, the Greuel campaign spokeswoman, said auditors working for the controller "felt compelled to highlight the $57-million figure."

"This is absolutely a warning call that Controller Greuel put out. She is saying, 'This is going to be a huge problem for the city if nothing is done differently.' And, in fact, nothing has been done differently."

The city had made no progress on renegotiating with CBS Decaux.

The controller's audit notes that the City Council caused the "majority of delays" in the program by blocking or delaying approval of the street advertising. Murphy blamed the "failed leadership" of city lawmakers, saying it had cost Los Angeles millions in revenue.

City records show that Greuel, who served on the City Council from 2002 to 2009, contributed to the bottleneck in her San Fernando Valley-based district. A 2005 report by the chief legislative analyst's office found 11 other council offices approved the advertising structures more frequently than Greuel's office, although her approval rate improved slightly by 2007. Greuel staffers Wednesday blamed the approval process for the problems and noted that Greuel's audit recommendations would have streamlined placement of the advertising structures.

The second-biggest example of waste, fraud and abuse on Greuel's list is $24.7 million from the Real Property Trust Fund. The 2010 audit on that topic did not identify missing or uncollected funds, but rather money that Greuel concluded should be transferred between city accounts.

At issue was the 50% of funds from sales of surplus public property and from oil pipeline franchises that traditionally has gone into council members' discretionary accounts. The money has been used to pay for pocket parks, graffiti removal and, occasionally, salaries for City Council staff.

Greuel suggested in her audit that the money be shifted to the city's cash-strapped general fund. The council voted in 2010, after the Greuel audit, to give up $12 million that normally would have paid for special projects in members' districts and instead use it to replenish the city's emergency reserve.

james.rainey@latimes.com

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Man behind Manti Te'o hoax wants to 'heal'

The 22-year-old Palmdale man who created Manti Te'o's fake girlfriend broke his silence for the first time, saying he perpetrated the elaborate hoax to build a relationship with the football star.

Ronaiah Tuiasosopo pretended to be Te'o's girlfriend, Lennay Kekua, for months, communicating on the phone and through social media. Tuiasosopo went so far as to disguise his voice to sound like a woman's when he spoke to Te'o on the phone, his attorney, Milton Grimes, said in an interview with The Times.

Grimes said his client decided to come clean about the hoax in an attempt to "heal."

"He knows that if he doesn't come out and tell the truth, it will interfere with him getting out of this place that he is in," Grimes said.

TV talk show host Dr. Phil McGraw, who spoke with Tuiasosopo for an interview set to air this week, described the 22-year-old as "a young man that fell deeply, romantically in love" with Te'o. McGraw, speaking on the "Today" show, said he asked Tuiasosopo about his sexuality, and Tuiasosopo said he was "confused."

In a short clip of the "Dr. Phil" interview, Tuiasosopo told McGraw that he wanted to end his relationship with Te'o because he "finally realized that I just had to move on with my life."

"There were many times where Manti and Lennay had broken up before," Tuiasosopo said. "They would break up, and then something would bring them back together, whether it was something going on in his life or in Lennay's life — in this case, in my life."

Tuiasosopo's comments add another twist to a story so bizarre that reporters from across the country have converged on Tuiasosopo's home in the Antelope Valley. News of the hoax was first reported earlier this month on the website Deadspin.com.

Tuiasosopo, the report said, was the mastermind behind the hoax and used photos from an old high school classmate and social media to connect Kekua with Te'o.

During the college football season, Te'o repeatedly spoke to the media, including The Times, about his girlfriend, the car accident that left her seriously injured and the leukemia that led to her September death. The tale became one of the most well-known sports stories of the year as Te'o led his team to an undefeated season and championship berth.

Te'o has denied any role in the ruse, saying he spent hours on the phone with a woman he thought was Kekua.

Those who know Tuiasosopo said they were baffled when they first learned of his involvement in the hoax. Neighbors and former high school coaches described him as popular, faith-driven and family-oriented.

"I've done a lot of thinking about it," Jon Fleming, Tuiasosopo's former football coach at Antelope Valley High, said in the days after the ruse was revealed. "It's all speculation. He's goofy just like any other kid. The question that comes up in my mind is: 'What could he possibly gain from doing something like this?' It would really surprise me. What would he gain?"

Te'o said in an interview with ESPN that Tuiasosopo called to apologize for the hoax.

"I hope he learns," Te'o said. "I hope he understands what he's done. I don't wish an ill thing to somebody. I just hope he learns. I think embarrassment is big enough."

Diane O'Meara, the Long Beach woman whose photos were used to represent the fake girlfriend, said in an interview with The Times that Tuiasosopo was a high school classmate.

She said he repeatedly asked her for photos and videos of herself.

O'Meara, 23, said that during a six-day period in December, Tuiasosopo contacted her through social media, texting and phone calls about 10 times, asking her to send a photo of herself. Then, after she sent the photo, in part to "get this guy off my back," she said Tuiasosopo messaged her asking for a video clip or another photo.

By that time, his requests were "kind of annoying, kind of pestering," O'Meara said.

Tuiasosopo is seeing a medical professional and "feels as though he needs therapy," Grimes said.

"Part of that therapy is to … tell the truth," he added. "He did not intend to harm [Te'o] in any way. It was just a matter of trying to have a communication with someone."

Grimes said he warned his client that he could face legal consequences for admitting that he falsified his identity on the Internet. But Tuiasosopo insisted that going public was something he had to do.

"This is part of my public healing," Grimes quoted Tuiasosopo as saying.

matt.stevens@latimes.com

ann.simmons@latimes.com

kate.mather@latimes.com

Times staff writers Kevin Baxter and Lance Pugmire contributed to this report.

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Hagel counters critics as confirmation hearing begins

WASHINGTON -- Making his first public comments after his nomination to lead the Pentagon, former Sen. Chuck Hagel said Thursday he stood by his record but also urged senators to look beyond controversial votes and statements he has made, which critics have seized on.

Appearing before the Senate Armed Services Committee for his confirmation hearing as defense secretary, Hagel sought to rebut critics who contend he may not push hard enough to prevent Iran from obtaining nuclear weapons, declaring himself "fully committed to the president's goal of preventing Iran from obtaining a nuclear weapon."

"My policy is one of prevention and not one of containment, and the president has made clear that is the policy of our government," Hagel said.

The hearing is Hagel's first chance to explain his views since his selection last month ignited fierce opposition from several former Republican colleagues and pro-Israel groups. They contend Hagel was not tough enough on Iran during his two terms as a GOP senator from Nebraska, and warn that he might not push for a U.S. attack on Iran if one is needed.

[Updated, 8:32 a.m. Jan. 31: In a sharp exchange, Sen. John McCain (R-Ariz.) criticized Hagel's opposition to the George W. Bush administration's decision to send more troops to Iraq in 2007.

"The question is, were you right or were you wrong?" McCain said.

"I'm not going to give you a yes or no answer," Hagel said. "I think it's far more complicated than that."

The nominee said his opposition to the so-called surge was rooted in his opposition to the decision to invade Iraq in the first place.

He said he would leave the question of whether he was correct about the surge to the "judgment of history."

McCain responded: "I think history has already made a judgment about the surge, and you are on the wrong side of it."

Hagel acknowledged that he also disagreed with President Obama's decision to send 30,000 additional troops to Afghanistan in 2009.]

Hagel has already met privately with dozens of senators and won over key Democratic support, most notably Charles E. Schumer of New York. Hagel used his opening statement before the committee to publicly defend himself, saying he was "proud" of his record.

He noted that in two terms in the Senate, he'd cast thousands of votes and given hundreds of interviews and speeches.

"As you all know, I am on the record on many issues. But no one individual vote, no one individual quote, no one individual statement defines me, my beliefs or my record," he said. "My overall worldview has never changed: that America has and must maintain the strongest military in the world; that we must lead the international community to confront threats and challenges together -- and take advantage of opportunities together --  and that we must use all tools of American power to protect our citizens and our interests."

Hagel offered a broad overview of his views on the issues that would be most pressing at the Pentagon, all in line with Obama administration policy.

On Afghanistan, he said U.S. forces' role should be limited to counter-terrorism and the training of Afghan forces.

He also said he would "keep up the pressure" on militant groups in Yemen, Somalia and North Africa. But his opening statement did not refer to the controversial campaign of drone strikes that is the core of the administration's counter-terrorism effort.

Though Hagel appears likely to win confirmation, he faces tough questioning, even from lawmakers who have announced they intend to vote for him. Sen Carl Levin (D-Mich.) referred to what he called Hagel's "troubling" statements about Israel, his calls for direct talks with the militant group Hamas, and his calls for not isolating Iran.

"While there is value in communicating with our adversaries, the formulation used by Sen. Hagel seemed to imply a willingness to talk to Iran on some issues that I believe most of us would view as non-negotiable," Levin said.

Even more critical was Sen. James Inhofe (R-Okla.), the committee's new ranking Republican, who said that "too often, it seems he is willing to subscribe to a worldview that is predicated on appeasing our adversaries while shunning our friends."

Asked about his votes against some bills imposing sanctions against Iran, Hagel acknowledged that he has long opposed unilateral sanctions but had supported other legislation targeting Iran.

"We were in a different place with Iran at the time," Hagel said. "It was never a question of did I disagree with the objective" of denying Iran a nuclear weapon.

Hagel was introduced by two other former senators, both former chairmen of the Armed Services Committee: Democrat Sam Nunn of Georgia and Republican John Warner of Virginia.

The confirmation of Hagel may be the most difficult of the slate of new Obama appointments for his second-term Cabinet, though John Brennan, the president's choice to lead the CIA, may also face resistance. John Kerry is set to be sworn in as secretary of State after a 94-3 confirmation vote Tuesday.

Just one Republican, Thad Cochran of Mississippi, has publicly stated his support for Hagel. Democrats have, though, begun to coalesce around his nomination, with Levin saying earlier this week that his colleagues were "leaning strongly" in his favor.

Outside groups have been mobilizing against Hagel, however. The group Americans for a Strong Defense, led by former Mitt Romney campaign aides, launched television advertisements in Alaska, Arkansas, Colorado, Louisiana and North Carolina, all states represented by Democratic senators facing reelection in 2014.

Senate Minority Leader Mitch McConnell (R-Ky.) on Tuesday declined to rule out the possibility that Republicans would require a 60-vote threshold for confirming Hagel.

"Sen. Hagel hasn't had his hearing yet, and I think it's too early to predict the conditions under which his nomination will be considered," McConnell said.

Sen. Lindsey Graham (R-S.C.) has said he would block Hagel's nomination from coming to a vote unless the current Pentagon chief, Leon E. Panetta, agrees to testify about the Sept. 11, 2012, attack on the U.S. Consulate compound in Benghazi, Libya. A White House official downplayed the possibility that Hagel's nomination could be blocked, saying negotiations were underway to let Panetta testify.

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South Korea launches satellite into orbit

SEOUL -- In danger of falling behind in the space race on the Korean peninsula, the South Korean government announced Wednesday that it had successfully launched a rocket into space.

Pressure had been mounting ever since mid-December when communist arch-rival North Korea managed to launch a multi-stage rocket and put a satellite into orbit.

South Korea's Satellite Launch Vehicle-1, also known as Naro, blasted off at 4 p.m. local time from a space center in Jeolla province on the southwestern coast.

"Five hundred forty seconds after the launch, Naro successfully separated the satellite," South Korean Science and Technology Minister Lee Joo-ho said at a news briefing Wednesday. "After analyzing various data, we have confirmed that [the satellite] has been successfully put into orbit." 

Officials said the launch made South Korea the 13th country to get a satellite into orbit from its own territory. Iran on Monday announced that it had launched a monkey into space using its own technology.

The sky was clear and the weather had warmed up on Wednesday afternoon at the space center, where about 3,000 people gathered to observe the latest attempt to launch Naro. The crowd excitedly cheered and waved national flags during the countdown.

Two attempts to launch a space vehicle, in 2009 and 2010, ended in failures. The third attempt was to take place in October but was delayed due to a damaged rubber seal that caused a fuel leak. The next try came in November, but it was canceled 17 minutes before the rocket set to be launched due to a technical glitch.

The failures looked all the more embarrassing after the successful Dec. 12 launch of the Unha-3 rocket by North Korea, which has an economy less than one-twentieth the size of South Korea's. What North Koreans have dubbed a "peaceful satellite launch" was a part of the legacy of North Korean leader Kim Jong Il, who died in December 2011.

The international community condemned North Korea as its rocket launch was suspected to be a cover for a test of ballistic missile technology.

Lee Sang-ryul, a South Korean scientist with the Korea Aerospace Research Institute, said the launches seven weeks apart were not comparable because the South Korean objective was purely scientific.

"The exterior of Unha-3 and Naro seems to be very much alike. It is about the same weight, the shapes are similar, and the fact that it puts a satellite in the orbit is the same. However, I believe North Korea's purpose is not to develop a satellite launch vehicle but a weapons development," South Korean television quoted Lee as saying Wednesday.

North Korea said earlier this month it would also conduct a nuclear test and that "the various satellites and long-range rockets that we will fire ... are targeted at the United States, the archenemy of the Korean people."

Independent scientists say the North Korean satellite was not a complete success because its transmitter failed during the launch, but that it achieved a reasonably accurate orbit.

"Most countries when they launch their first satellite don't get too close," Jonathan McDowell of the Harvard-Smithsonian Center for Astrophysics said in a recent interview.

He added that South Koreans shouldn't feel that North Korea has beaten them.

"It is difficult, but it is basically high-tech plumbing," McDowell said. "It is not as sophisticated as creating the industrial base to make a Samsung monitor."

South Korea's Naro program began in 2002 with the help of Russian technology. Before Wednesday's launch, the country had sent about 10 satellites into space, but they were all launched from foreign rockets overseas.

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-- Barbara Demick reported from Beijing.

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Economy unexpectedly contracts in fourth quarter

Holiday shoppers crowd the sidewalk outside Macy's department store in New York City. (Victor J. Blue / Bloomberg / December 23, 2012)

By Jim Puzzanghera

January 30, 2013, 6:25 a.m.

WASHINGTON -- The U.S. economy shrank at a 0.1% annualized rate in the last three months of 2012 amid fears about the fiscal cliff, the Commerce Department reported Wednesday.

It was the first time economic growth contracted since the end of the Great Recession in mid-2009 and showed how much the concerns about large tax hikes and federal spending cuts weighed on businesses as last year drew to a close.

A last-minute deal in Washington averted most of the tax increases and delayed the automatic spending cuts. Economists say they believe that will lead to economic growth in the first three months of 2013.

But Thursday's report -- the government's first estimate of fourth-quarter economic activity -- was a surprise.

QUIZ: Test your knowledge about the debt limit

Economists has projected that the gross domestic product -- the nation's total economic output -- would expand about 1% in the fourth quarter, a slowdown from the 3.1% growth in the July-through-September period.

But a drop in inventory investment by businesses, federal government spending and U.S. exports led to the first contraction since the economy shrank 0.3% in the second quarter of 2009.

Leading the drop in government outlays was a 22.2% drop in defense spending.

"The economy ended 2012 on a very sluggish pace, even though one-time factors put the number below the trend," said Kathy Bostjancic, director for macroeconomic analysis at the Conference Board.

"While the inventory runoff and the steep decline in defense spending in the fourth quarter made economic activity look weaker than it really was, the underlying demand from consumers and businesses kept moving forward at a moderate pace," she said.

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Gun hearing starts with plea from Giffords

Wounded former Congresswoman Giffords tells Congress `you must act' to curb gun violence.

By Melanie Mason

January 30, 2013, 7:51 a.m.

WASHINGTON -- The year's first congressional committee hearing on guns began with an emotional jolt Wednesday, with former Rep. Gabrielle Giffords, who was seriously wounded in a mass shooting two years ago, urging senators to "be bold, be courageous" in addressing gun violence.

Bucking tradition, Giffords spoke at the outset of the Senate Judiciary Committee hearing, before senators made their opening statements. She and her husband, former astronaut Mark Kelly, were escorted to the witness table by the committee's chairman, Sen. Patrick J. Leahy of Vermont, and its ranking Republican, Sen. Charles E. Grassley of Iowa.

Giffords, whose speech is impaired after being shot in the head by Jared Loughner two years ago, spoke slowly and emphatically in a minute-long statement.

"Speaking is difficult, but I need to say something important. Violence is a big problem. Too many children are dying. Too many children. We must do something," she said.

"It will be hard, but the time is now," Giffords added. "You must act. Be bold. Be courageous. Americans are counting on you."

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Toyota recalls more than 1 million Corollas, Lexus IS sedans

Toyota is recalling 907,000 vehicles, mostly Corolla models, around the world for faulty air bags and another 385,000 Lexus IS luxury cars for defective wipers. (Justin Sullivan / Getty Images / January 30, 2013)

From the Associated Press

January 30, 2013, 1:56 a.m.

Toyota is recalling 907,000 vehicles, mostly Corolla models, around the world for faulty air bags and another 385,000 Lexus IS luxury cars for defective wipers.

Toyota Motor Corp. spokesman Naoto Fuse said Wednesday there have been no accidents or injuries related to either of those defects, but the Japanese automaker received 46 reports of problems involving the air bags from North America, and one from Japan.

There were 25 reports of problems related to the windshield wipers.

Being recalled for air bags that can improperly inflate are 752,000 Corolla and Corolla Matrix cars in the U.S. as well as thousands of similar vehicles in Japan, Mexico and Canada, manufactured between December 2001 and May 2004.

The problem windshield wipers can get stuck if there is heavy snowfall, according to Toyota.

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2-mile stretch of La Cienega Boulevard to be closed throughout morning

By Nicole Santa Cruz and Robert J. Lopez

January 30, 2013, 6:23 a.m.

A two-mile stretch of La Cienega Boulevard in Baldwin Hills is expected to be closed throughout the Wednesday morning commute after a police officer discovered that the road was buckling, authorities said.

The boulevard, a major north-south artery, was shut down in both directions between Stocker Street and Rodeo Road on Tuesday night, said Sgt. Carlton Brown of the Los Angeles Police Department.

Crews will be working on the problem throughout the morning, but it is unclear how long the road will be closed, he said.

The road was shut down shortly after 9 p.m. after an officer drove over a bump and stopped to inspect the pavement, officials said.

"He saw some other gaps in the road, and that's when he called it in," said LAPD Officer Bruce Borihanh.

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Doctor fatally shot near Hoag Hospital in Newport Beach

A doctor was shot and killed Monday in a building near Hoag Hospital in Newport Beach, police said.

Multiple people have identified the victim as a doctor at Orange Coast Urology, but police have not released the victim's name pending notification of relatives. An outgoing phone message said the office had to close Monday because of an emergency.

Workers in the building said the shooting occurred in the doctor's exam room.

Newport Beach Police Department Deputy Chief David McGill confirmed that the slain man was a doctor but had no other details about him or a suspect who was taken into custody without incident at the scene, which was on the second floor of an office building at 520 Superior Ave.

"I sit right at the front desk. I would have caught the first bullet," said Becky Calderwood, who works two doors down from the office where the shooting occurred. "This is nuts. People are just shooting everyone all the time."

Calderwood said the gunman was a 70-year-old patient. Shortly after the shooting, police led a handcuffed older man wearing a baseball cap out of the building.

Authorities received a call about 2:45 p.m. that six or seven shots had been fired, according to police spokeswoman Kathy Lowe.

"We won't know a motive until our detectives have a chance to interview the suspect later" Monday night, Lowe said.

A source with knowledge of the shooting said the building was a medical office affiliated with Hoag. The shooting occurred in an office portion of the building, Lowe said.

Kristin Crotty works directly above the office. She said she heard gunshots but "blew it off as construction."

She said what she heard sounded like a nail gun and she didn't know what was going on until she called building services and was told to lock her door.

A sign outside says the three-story medical building houses Hoag outpatient services and lists the Allen Diabetes Center, physicians' offices and a CHOC diabetes center as occupants.

lauren.williams@latimes.com

jeremiah.dobruck@latimes.com

jill.cowan@latimes.com

Times staff writers Rick Rojas and Sam Quinones contributed to this report.

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Ex-Cudahy Mayor David Silva gets prison in bribery

A former Cudahy mayor was sentenced Monday to a year in federal prison for his part in taking $17,000 in bribes from a man who wanted to open a medical marijuana dispensary in the city in southeast Los Angeles County.

David Silva, 62, is the second Cudahy official to be sentenced after pleading guilty to bribery and extortion. As in the previous case, U.S. District Judge Manuel Real ignored the prosecutor's sentencing recommendation. In Silva's case, Assistant U.S. Atty. Joseph Akrotirianakis recommended that he receive 41 months in prison.

Earlier this month, Angel Perales, Cudahy's former head of code enforcement and acting city manager, was sentenced to five years' probation. Akrotirianakis had recommended that Perales serve two years in prison.

Both men could have received 30 years in prison.

Former Councilman Osvaldo Conde is scheduled for sentencing Feb. 25.

The medical marijuana bribes led the FBI and the U.S. attorney's office to open an investigation into corruption in Cudahy. Documents revealed Cudahy as a place where bribes were common for anyone wanting to do business with the city; where longtime City Manager George Perez rigged elections; where city employees served as armed bodyguards for council members; and where city workers brought Perez illegal pain pills.

Perales' attorney, Carlos Juarez, called Perez "the mastermind behind the bribery scandal in Cudahy" and much of the investigation appears to be centered on him.

The investigation is continuing. Perez's attorney, Stanley L. Friedman, has said his client denies any wrongdoing.

Silva's attorney told Real that his client had cooperated to the fullest extent with authorities. "If there is anyone from the L.A. Times here, put it in the paper: I am sorry to the people of Cudahy," Silva said.

In addition to prison time, Real placed Silva on three years' probation, ordered him to serve 1,500 hours of community service and pay $17,000 restitution.

In his sentencing memorandum, Akrotirianakis said the longer prison term would serve as a deterrent to other elected officials. "Corruption at the highest levels of smaller cities ... appears to be rampant in Los Angeles County and in this judicial district, and general deterrence appears to be necessary."

As part of the Cudahy investigation, the former mayor of Santa Fe Springs, Joseph Serrano Sr., was sentenced to two years in prison for taking $11,500 in bribes from the marijuana dispensary owner.

jeff.gottlieb@latimes.com

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Revved up about motorcycles zooming between cars

During his nearly 40 years as a columnist for this newspaper, my late father occasionally tweaked his readers — quite disingenuously — by belittling his cat, knowing the slur would stir invective so passionate and erudite that he could fill another column without having to do much writing of his own.

I had no intention of employing that device when I recently wrote — quite sincerely — in defense of motorcyclists who navigate the space between cars to get ahead on crowded freeways.

To be sure, I knew some motorists would object out of fear of hitting a rider, or annoyed by the intrusion on their space. I was prepared to shrug them off because, I thought, my opinion was based on logic, experience and the law.

How fragile is the hard shell of reason! Among the emails that flooded my inbox, those that left me most humbled were from motorists who mostly agreed with me. But they were hurt by my admonishment that they should not move slightly out of my way.

Specifically, I wrote: "If you want to show solidarity, just hold your course and be sure you're a little in front or a little behind the car beside you."

Joe Edward of Beverly Hills was insulted. "Moving over, even briefly, gives you more room and I, maybe mistakenly, thought it shows courtesy," he wrote. "I thought it was the olive branch between those on four and two wheels, and is confirmed when I get the two-fingered 'thank you' wag from cyclists. When that happens, just for a moment, LA freeways are a nicer place and, yes, to the late Rodney King, we can all just get along.... But now you say NOT to move over? Ok. Forget the olive branch. Forget wanting to get along. It's on!"

I certainly never intended to turn plowshares into swords. And I'd like to think that if Joe knew me personally he'd see I'm not like the name he called me at the end of his email.

But I do apologize. I was myopic when I wrote, "Hold your course." The comment was aimed at drivers who turn their wheels sharply when surprised by a motorcycle. I appreciate drivers who ease slightly left or right, giving me the room to slide by comfortably, but more important letting me know they too are attuned to their surroundings.

And yes, I always give them the wave and momentarily feel better about humanity.

As you may have noticed, motorcyclists also give each other the two-finger salute when passing, a mutual acknowledgment of our membership in a minority that embraces the fun and physics of vehicular transportation along with its practical benefits.

The wave is also a silent bond between boomers like me and gen-whatevers who wear red mohawks on their helmets and wouldn't notice me under any other circumstances.

My aggressiveness in standing up for our somewhat outcast status surprised and pleased many fellow riders.

"Doug! You are the bomb!!!" wrote Arlene Battishill, who produces a line of head-turning women's motorcycle apparel and rides a Kawasaki. "I nearly screamed out loud.... Man oh man, I could just kiss you right now!"

Yes, we can be an exuberant bunch, inebriate of air, as Emily Dickinson so nicely put it. I can't deny that a few respondents castigated me for being irrational and self-aggrandizing, predicted my untimely demise or, worse, implied that such might be the due reward for my impudence.

I think my cat-baiting father would have gotten a sly smile from the reaction of an anonymous trucker who asked, "Ever heard of a CB?

"I know when one of you guys is coming for miles," he wrote, warning that outside my state I could become "road pizza" for riding like a Californian. He claimed to have seen semis "run bikes off in the grass more then once."

To my surprise, though, the critiques that hit home were also from fellow motorcyclists.

Some noted the bad behavior of "squids," those hyper riders who weave back and forth on screaming "crotch rockets." No wonder the "cagers," those dull people imprisoned in their cars, are up in arms.

David Lasher, who makes a continuous video of his commute from Northridge to Santa Monica, sent me a clip of his own crash when a car veered into his lane seemingly in contradiction of my assertion that a motorist cannot swerve fast enough to hit me as I pass by.

Lasher followed the cowboy mantra and got right back on a replacement Suzuki. Another, John Greenwood, told me of his "deal with God" never to ride again after one bad day ended 20 great years of riding.

By carefully parsing these scary stories, I can show that none directly refute the thesis that motorcycles are safer between lanes than in them, assuming a few guidelines are followed. Lasher, for example, conceded that he shouldn't have been lane-splitting in the HOV transition zone. Some materials I got from motorcycle safety experts convinced me further.

But instead of lining up the reaction as pro versus con, I think the collective lesson I've drawn from 100 emails is that Angelenos are up for a reasoned conversation about bettering the quality of life on L.A.'s freeways, the one place that draws us all together, whether we like it or not.

Sandy Driscoll epitomized this conciliatory effect, writing to me about an encounter on Pico Boulevard.

"A motorcyclist very quickly passed me on the left (lane splitting) gave a quick (and I must say, graceful) arm signal, and moved in front of me," she wrote. "Just as quickly, I saw him move in and out of traffic ahead of me, always with an arm signal. It was like an amazing ballet, and I was mesmerized. Thanks for your article."

"Motorcycling is not for me, but I hope you keep spreading the word about its benefits," wrote Dan Brooks of Santa Barbara. "In the meantime, I'll try to heed your driving advice and will offer a respectful salute rather than a New York salute."

Reading numerous such comments I've done some self-searching about my own behavior on the road.

As a result, I find I've become a more conservative, patient and polite rider in the last couple weeks.

So, a two-finger wave to all you "cagers."

doug.smith@latimes.com

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Mayoral debate focuses on city's troubled finances

In the highest-profile debate so far in the Los Angeles mayoral race, three longtime city officials defended their records Monday night as two long-shot challengers accused them of putting the city on a path to insolvency.

The city's chronic budget shortfalls dominated the event at UCLA's Royce Hall, televised live on KNBC-TV Channel 4. Entertainment lawyer Kevin James and technology executive Emanuel Pleitez sought to maximize the free media exposure, portraying themselves as fresh alternatives to business as usual at City Hall.

James, a former radio talk-show host, described himself as an independent and accused rivals Wendy Greuel, Eric Garcetti and Jan Perry — all veteran elected officials — of being cozy with unions representing the city workforce.

"Bankruptcy doesn't happen overnight," said James, the only Republican in the race. "This happened over a period of time and it happened because of a series of bad decisions."

Pleitez struck a similar note.

"Our politicians in the last decade made decisions on numbers they didn't understand," he said.

"I'm the only one that has worked in the private sector and on fiscal and economic policies at the highest levels," Pleitez said, citing his experience as a special assistant to economist Paul Volcker on President Obama's Economic Recovery Advisory Board.

Greuel, Garcetti and Perry, in turn, pledged to show fiscal restraint as the city grapples with projected budget shortfalls totaling more than $1 billion over the next four years.

City Controller Greuel cited the "waste, fraud and abuse" her office's audits have identified at City Hall, saying they demonstrate her independence.

"As mayor of Los Angeles, I get not only being the fiscal watchdog, and showing where we can find this money, and knowing where the bodies are buried," said Greuel, who served on the City Council for seven years. "I've learned as city controller, you don't always make friends when you highlight what can be done better."

Garcetti, a councilman for more than a decade, said he had a record of "not just talking about pension reform, but delivering on it." When tax collections dried up in the recession, he said, the council and mayor eliminated 5,000 jobs and negotiated a deal with unions requiring some city workers to contribute to their health and pension benefits.

"Those are the things that kept us away from our own fiscal cliff," he said.

Perry also stressed her support for increasing worker contributions to health and retirement benefits.

"This is about long-term survival," she said.

By the normal standards of election campaigns, it was a remarkably genteel debate, at least among the three city officials.

Only Perry attacked her rivals, and even then, not by name.

Recalling her work with Garcetti and Greuel in talks with city unions, she faulted them for engaging in "side meetings and side negotiations," saying she was more transparent.

"As mayor, I will make sure that practice stops, that everything is done on the record — that all employees are treated fairly and all employees are given the same information," Perry said.

Neither Greuel nor Garcetti answered the attack.

As in previous forums, the most obvious contrasts among the candidates Monday night were in biography and style — rather than policy positions.

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Sheriff's response time is longer in unincorporated areas, audit finds

It took Los Angeles County sheriff's deputies a minute longer to respond to emergency calls from unincorporated parts of the county than from cities that contract with the department for police services, according to a county audit.

The finding comes days after Supervisor Gloria Molina accused Sheriff Lee Baca of "stealing" police resources from residents in unincorporated neighborhoods and threatened to hire "independent private patrol cars" to backfill cuts in sheriff's patrols. She has accused Baca of providing better service to contract cities than to unincorporated areas.

According to the audit, which examined the last fiscal year, it took deputies, on average, 4.8 minutes to respond to emergency calls in contract cities compared with 5.8 minutes in unincorporated areas.

Sheriff's officials said the extra minute was because neighborhoods in unincorporated areas are more spread out and have more difficult road conditions.

The audit also found that Baca provided 91% of promised patrol hours to unincorporated areas, compared with 99% for cities and agencies that buy his services. Sheriff's officials blamed the difference on deep budget cuts imposed by the board that caused the department to leave dozens of deputy positions unfilled.

Adjusted for those cuts, the department was much closer to its goal — averaging 98.5% fulfillment of its pledged patrol hours, according to the audit.

The findings by the county's auditor-controller are expected to add more fuel to the ongoing debate between the sheriff and the board about whether the sheriff is shortchanging county residents who live outside city borders.

Baca and his predecessors have long wrangled with supervisors over funding and patrol resources.

Although the board sets the sheriff's budget, Baca, an elected official, has wide discretion on how to spend it. The Sheriff's Department polices about three-fourths of the county. Along with the unincorporated areas, Baca's deputies patrol more than 40 cities within the county that don't have their own police forces. The patrol obligations for those cities are set in contracts with the department, so county budget cuts are more likely to affect unincorporated areas.

On Tuesday, the board is expected to discuss Molina's idea to empower unincorporated neighborhoods to negotiate police contracts with the Sheriff's Department or some other agency — the same way incorporated cities do.

According to the audit, it costs the sheriff about $552 million to provide police services for contract cities and agencies, but the department gets approximately $371 million back. The auditor-controller suggested pursuing changes in state law or board policy to allow the sheriff to recoup more.

State law prohibits sheriffs from billing contract cities for non-patrol services provided countywide. So the department has provided a broad range of services — such as homicide and narcotics detectives, bomb squads and the county crime lab — at no extra charge.

Sheriff's spokesman Steve Whitmore said those rigid agreements — with contract cities, the county's courts, community colleges and public transit lines — limited where the sheriff could slash in the face of county budget woes.

The board has cut the sheriff's budget — now at $2.8 billion — by $128 million in 2010, $96 million in 2011 and $140 million last year, according to Whitmore.

The sheriff has already reassigned about two dozen gang enforcement deputies to patrol in unincorporated areas and has identified more than 90 other deputies to do the same, Whitmore said.

Molina's spokeswoman declined to suggest other areas where sheriff's officials should slash in light of funding cuts from the board but said that services to unincorporated areas should not be one of them.

"We respectfully request they go back to the drawing board," spokeswoman Roxane Márquez said.

robert.faturechi@latimes.com

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Fire Department is the hot topic at mayoral candidates forum

Residents in Pacific Palisades were deeply critical when cuts to the Los Angeles Fire Department were proposed nearly four years ago. At a forum for mayoral hopefuls there on Sunday, community members arrived with a question: What would the candidates do to beef up emergency operations and bring down response times?

Front-runners Wendy Greuel and Eric Garcetti each portrayed themselves as fighters for the beleaguered department, which has been under scrutiny since fire officials admitted they'd released misleading performance data for years.

Greuel, who conducted an audit of emergency response times as city controller, blamed the City Council and Mayor Antonio Villaraigosa for slow responses since the budget reductions began.

She complained that the city hasn't hired a new firefighter in four years and said firefighters have told her: "I don't understand why the mayor and council cut us … and didn't expect it to be a problem."

Councilman Eric Garcetti tersely pointed out that Greuel played a role in the cuts while serving on the council before she was elected controller in 2009.

"We both voted for $56 million in cuts to the Fire Department along with cuts to all of our departments," Garcetti said.

Lawmakers had no choice, he said. When the economy bottomed out during the economic recession, Garcetti said, the cuts helped the city stay afloat. "I will never apologize for balancing the budget in those years."

"The question now," he said, "is what are we doing to restore?" He pointed out that he approved increases to the department's budget last year and has pushed Fire Chief Brian Cummings to draw up a plan mapping out where he would like to add back resources.

"You've seen me hold this chief's feet to the fire," Garcetti said.

Two years ago, the department closed units at more than one-fifth of the city's stations, including in Pacific Palisades, which lost an engine company. Residents feared the cuts would mean longer waits in the hard-to-reach hilly neighborhoods.

Last year, a Times analysis of Fire Department response times found that residents in many of the city's hillside communities wait twice as long as those who live in more dense areas in and around downtown.

Garcetti and Councilwoman Jan Perry said the department needs to focus on upgrading its technology. Plans to install GPS devices in city firetrucks have been in the works for years but slow to be implemented.

Candidate Emanuel Pleitez pledge to install "an in-house roving engineering team" that would look at data in the Fire Department and across the city.

The forum was sponsored by the Pacific Palisades Democratic Club. A fifth candidate, Kevin James, was excluded because he is a Republican.

After the forum, the club's board of directors held a vote to decide whom to endorse in the mayor's race. Garcetti was the winner, receiving at least 60%.

kate.linthicum@latimes.com

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Unarmed man killed by deputies was shot in the back, autopsy says

A Culver City man who was fatally shot by Los Angeles County sheriff's deputies after a pursuit in November was struck by bullets five times in the back and once each in the right hip and right forearm, also from behind, according to an autopsy report obtained by The Times.

Jose de la Trinidad, a 36-year-old father of two, was killed Nov. 10 by deputies who believed he was reaching for a weapon after a pursuit. But a witness to the shooting said De la Trinidad, who was unarmed, was complying with deputies and had his hands above his head when he was shot.

Multiple law enforcement agencies are investigating the shooting.

De la Trinidad was shot five times in the upper and lower back, according to the Los Angeles County coroner's report dated Nov. 13. The report describes four of those wounds as fatal. He was also shot in the right forearm and right hip, with both shots entering from behind, the report found.

DOCUMENT: Jose de la Trinidad autopsy report

"Here's a man who complied, did what he was supposed to, and was gunned down by trigger-happy deputies," said Arnoldo Casillas, the family's attorney, who provided a copy of the autopsy report to The Times. He said he planned to sue the Sheriff's Department.

A sheriff's official declined to discuss specifics of the autopsy report because of the ongoing investigation. But he emphasized that the report's findings would be included in the department's determination of what happened that night.

"The sheriff and our department extend its condolences to the De la Trinidad" family, said Steve Whitmore, a sheriff's spokesman.

"Deadly force is always a last resort," he said. "The deputies involved were convinced that the public was in danger when they drew their weapons."

On Saturday, relatives of De la Trinidad and about 100 other people marched through the streets of Compton, shouting, "No justice, no peace! No killer police!"

His widow, Rosie de la Trinidad, joined the march with the couple's two young daughters.

"He was doing everything he was supposed to," she said of her husband, fighting back tears. "All we're asking for is justice."

Jose de la Trinidad was shot minutes after leaving his niece's quinceañera with his brother Francisco. He was riding in the passenger seat of his brother's car when deputies tried to pull them over for speeding about 10:20 p.m., authorities said. After a brief car chase, De la Trinidad got out of the car in the 1900 block of East 122nd Street in Compton and was shot by deputies.

The Sheriff's Department maintains that the deputies opened fire only after De la Trinidad appeared to reach for his waist, where he could have been concealing a weapon.

But a woman who witnessed the officer-involved shooting told investigators that De la Trinidad had complied with deputies' orders to stop running and put his hands on his head to surrender when two deputies shot him. The witness said she watched the shooting from her bedroom window across the street.

"I know what I saw," the witness, Estefani — who asked that her last name not be used — said at the time. "His hands were on his head when they started shooting."

According to the deputies' account: De la Trinidad jumped out of the passenger seat. His brother took off again in the car. One of the four deputies on the scene gave chase in his cruiser, leaving De la Trinidad on the sidewalk and three deputies standing in the street with their weapons drawn.

The deputies said De la Trinidad then appeared to reach for his waistband, prompting two of them to fire shots at him. The unarmed man died at the scene.

Unbeknown to the deputies at the time, Estefani watched the scene unfold from her bedroom window. A short while later, she told The Times, two sheriff's deputies canvassing the neighborhood for witnesses came to her door.

The deputies, she said, repeatedly asked her which direction De la Trinidad was facing, which she perceived as an attempt to get her to change her story.

"I told them, 'You're just trying to confuse me,' and then they stopped," she said. Authorities later interviewed Estefani a second time.

Whitmore said the two deputies involved in the shooting were assigned desk duties immediately after the incident but returned to patrol five days later. He said this was standard practice for deputies involved in shootings.

Although such investigations typically take months, Whitmore said the department has given special urgency to this case and hopes to complete its probe in a timely manner.

"We want to have answers about what happened that night soon rather than later," he said. "Even then, we know it doesn't change the grief the family is experiencing."

As with all deputy-involved shootings, De la Trinidad's killing is subject to investigation by the district attorney, the sheriff's homicide and internal affairs bureaus and the Sheriff's Executive Force Review Committee.

wesley.lowery@latimes.com

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Hillary Clinton's legacy at State: Splendid but not spectacular

Clinton and Obama explain their reasons for granting "60 Minutes" a rare joint interview.

WASHINGTON — Hillary Rodham Clinton leaves her post as secretary of State next month with a split judgment on her diplomatic career: She's won rave reviews from the American public and the president, but maybe not a prominent place in the diplomatic history books.

Job approval ratings for the former senator and first lady are at stratospheric levels, suggesting that her four years as chief U.S. diplomat could be an important asset if she runs for president in 2016.

But scholars and diplomatic insiders say she has never dominated issues of war and peace in the manner of predecessors Dean Acheson or Henry Kissinger, or laid down an enduring diplomatic doctrine.

President Obama has tightly controlled foreign policy in the last four years — more so even than his recent predecessors. Clinton has had a seat at the table on every key issue, officials say, but she did not "own" any of them.

She devoted long hours to signatures issues, including empowerment of women and girls, gay rights, Third World development, health and Internet freedoms. Clinton lent her support to a wide range of new projects and organizations, and she appointed new officials in the State Department to shepherd them. Some of these may eventually have huge effects, but many are at an early stage.

At the same time, the most important and toughest foreign policy issues of the day — Iran, North Korea, Afghanistan-Pakistan, the Arab-Israeli standoff — weren't resolved during the four years. Some grew more intractable. Though none of that may be Clinton's fault, the lack of diplomatic breakthroughs on her watch limits her legacy.

"She's coming away with a stellar reputation that seems to have put her almost above criticism," said Aaron David Miller, a longtime U.S. peace negotiator who is a vice president at the Woodrow Wilson International Center for Scholars. "But you can't say that she's really led on any of the big issues for this administration or made a major mark on high strategy."

Expectations ran high that Clinton would be a heavyweight — maybe even a "co-president" on foreign policy — from the time Obama picked his bitter rival in the 2008 Democratic presidential primary campaign to take the Cabinet's senior spot. She had star power from 20 years in national life that dazzled foreign audiences and guaranteed worldwide attention to whatever issue she focused on.

"She's the first secretary who's also been a global rock star," said a senior State Department official who was not authorized to be quoted by name. "It's allowed her to raise issues on the global agenda in a way that no one before her has been able to do."

Obama praised her performance Sunday in a joint interview with Clinton that he proposed to CBS' "60 Minutes." Obama described her as "one of our finest" secretaries of State and one of his most important advisors on a range of issues, including Iraq, Afghanistan, Libya and Al Qaeda.

In the interview, Clinton brushed aside questions about her future in politics and pronounced her health as good — although she said she had some "lingering effects" from a concussion she suffered in December when she fainted and hit her head after suffering from a virus that left her dehydrated. The concussion led to a blood clot behind her right ear, for which she was hospitalized.

"The doctors tell me that will all recede," she said, referring to the continued symptoms. "And so, thankfully, I'm looking forward to being at full speed."

As secretary of State, Clinton has shared Obama's democratic take on the proper role of American diplomats, believing that the world is no longer a place where a handful of powers can dictate the terms of the world order. Rather, the job of U.S. diplomats is collaborating with dozens of other countries in the "constant gardening and tending" of institutions and projects that advance common goals, the senior State Department official said.

Foreign audiences warmed to this attitude, which they found appealing after eight years of a George W. Bush administration many associated with a go-it-alone approach. As they did, the American image abroad improved.

At the same time, Clinton quickly removed a potential internal stumbling block, insisting on no infighting between her loyalists at the State Department and Obama's team. Former President Bill Clinton's kibitzing on foreign policy never became the problem some had predicted.

A hard worker and team player, Clinton won praise from many in Obama's circle who had initially doubted her.

But as time passed, it became clear that she wouldn't have the lead role on key issues of war and peace.

Clinton's original plan was to have three powerful "special envoys" in charge of key security issues and reporting to her — a flow chart that would have enabled her to tightly control the biggest security issues.

But Richard C. Holbrooke, in charge of the Afghanistan-Pakistan militant threat, was marginalized after clashing with White House officials. Former Senate Majority Leader George J. Mitchell resigned in May 2011 after the painful collapse of the administration's opening Middle East peace initiative; and diplomat Dennis Ross, the envoy for Iran, moved to the White House in June 2009 to better help manage the range of Mideast problems that were bubbling over.

"She was a fully functioning member of the team," said a former administration official, who asked to remain anonymous speaking about a former colleague. "But not a first among equals."

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L.A. Unified's college-prep push is based on false data

Eleven years ago, the San Jose school district began requiring all students to pass the classes necessary for admission to the state university systems. Educators elsewhere watched with enthusiasm as early results showed remarkable success.

But San Jose Unified has quietly acknowledged that the district overstated its accomplishments. And a Times analysis of the district's record shows that its progress has not, in fact, far outpaced many other school systems' and, more important, that most San Jose students have never qualified to apply to a state college.

Those results should raise warning flags for other school systems, including Los Angeles Unified, that based key policy decisions on San Jose's misreported data. The risk is that L.A. Unified's version of a college-prep policy could drive students to drop out or delay graduation.

In 2000, before the college-prep program took effect, 40% of San Jose graduates fulfilled requirements for applying to University of California and Cal State University. In 2011, the number was 40.3%. Latino and black students have done worse. Among those who entered high school in fall 2007, about 1 in 5 black and Latino students were eligible to apply to a state college four years later.

Students could graduate without fulfilling college-prep requirements because of two escape hatches: Students were allowed to get only a D in these classes, whereas the state colleges demand a grade of C or better to be eligible. And students who are failing the rigorous classes could transfer to alternative schools and graduate from there.

About 15% of traditional high school students in San Jose Unified don't finish the college-prep sequence, primarily because of credit deficiencies, according to the district. Some — mostly minority students — transfer to an alternative school as early as 10th grade.

A notable difference was visible last spring at two graduation ceremonies in San Jose's Rose Garden.

In the afternoon, seniors from Leland High School gave speeches about college and the world beyond, of curing cancer or pursuing world peace. They talked about the robotics club, the debate team presidential awards and National Merit Scholars.

The school's enrollment is 85% white and Asian; less than 8% of students are from low-income families.

Earlier that day, at a more sparsely attended affair, the district held its alternative education graduation for 304 mostly Latino students who had transferred out of traditional high schools. Students spoke about overcoming tough times and thanked those who believed in them.

Compared with its traditional high schools, San Jose's alternative programs enroll nearly 50% more Latinos.

The ethnic imbalance is ironic given that San Jose's college-prep program grew out of concern that far too many Latino students, the largest group in the district, were not on track for college.

Taking simpler courses, they would "end up with a diploma that means very little in today's world," said former Supt. Linda Murray, who led the effort.

Murray, who left San Jose in 2004, said the college-prep program was a success because many students took classes that they would not have otherwise. But it also was important, she added, to have an alternative program so that students who didn't pass all the rigorous courses were not pushed out of school.

Overall scores on state standardized tests have improved, and the percentage of students taking Advanced Placement courses increased incrementally; the dropout rate did not worsen.

"This policy raises expectations for our students," said San Jose Supt. Vincent Matthews, "which in and of itself is a compelling strategy to drive student achievement — especially for students who have historically not achieved success in educational institutions."

The classes necessary for entrance to the UC and Cal State systems include two years of history or social science; four years of English; three years of math (through Algebra 2); two years of lab science; and two years of foreign language.

The San Jose class of 2002 was the first required to take the minimum college-prep workload and pass each class with at least a D.

For six years, the district misreported its results, counting seniors who were close to completing the college-prep requirements as having done so. San Jose claimed that the percentage of graduates who got at least a C in all these classes rose to nearly two-thirds from just over a third. The rate for Latino students rose to nearly 50% from 18.5%, and for black students to more than 50% from 27%, the district incorrectly reported.

After the district corrected its errors, the district reported only incremental progress that was comparable to school systems without the requirements. Of that class of 2011, a little more than a third completed the college-prep sequence.

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'Argo' producer scours for the next stranger-than-fiction story

Hunched over a desk in his spartan Westwood apartment, David Klawans squints at his computer monitor and knits his brow in concentration. "I'm perusing," he says.

His eyes dart between headlines almost indecipherable on a Web page displaying about 800 stamp-sized images of newspapers from 90 different countries.

"Two kids running? What's that?" he exclaims before clicking on a photo. "Oh, it's refugees. Whatever. Moving on."

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Nearly every day, for upward of 10-hour stretches, the independent film producer speed-reads police blogs, articles from RSS feeds and niche-interest journals in dogged pursuit of an elusive prize: a story on which to base his next movie.

His biggest hit to date is "Argo." Before the film landed seven Oscar nominations (including one for best picture) and two Golden Globes (including best drama picture), before it generated more than $180 million in worldwide grosses, "Argo" existed as a declassified story in the quarterly CIA journal Studies in Intelligence, which Klawans happens to have been perusing one day in 1998.

"It's like going on the beach with a metal detector," the self-described news junkie says of his process. "Like Kanye West looks through records to sample on his songs, I'm looking for stories to turn into films."

Klawans, 44, has established himself as Hollywood's least likely movie macher by heeding the advice of his mentor, the old-school producer David Brown ("Jaws," "A Few Good Men"): "Read everything you can get your hands on."

Indefatigable in his quest to root out oddball, overlooked true-life stories, Klawans spins material most others ignore into cinematic gold.

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"Argo" took nearly 14 years to reach the big screen after Klawans read about CIA exfiltration expert Tony Mendez's rescue of six American diplomats hiding in Tehran during the 1979 Iran hostage crisis. Mendez (portrayed in the movie by "Argo's" director, Ben Affleck) posed the group as Canadian filmmakers scouting locations for a science-fiction film, created a fictitious production company and planted articles about the bogus project in Hollywood trade papers.

Throughout the '90s Klawans was scraping by as a production assistant for an L.A.-based Japanese TV commercial firm. He didn't own a car, so he bicycled to UCLA's magazine archive to check the story. In microfiche files, he came across the CIA's planted articles in the Hollywood Reporter and Variety from January 1980. "My jaw dropped," he says.

Problem was, Mendez already had representation at Creative Artists Agency and was preparing to publish a memoir, "The Master of Disguise." Even so, Klawans persuaded Mendez to let him attempt to set up a movie project. He eventually bought the rights to Mendez's life story as well.

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"I'm cycling to pitch meetings wearing a backpack with a change of clothes. It's summertime and I'm sweating. And I'm getting to know studio security. They call me 'bike boy,'" remembers Klawans, who would switch from bike to business attire outside the studio gates. "I would basically throw my backpack behind a bush — I was embarrassed to look like a messenger guy."

The New York University film school graduate was born in Chicago. His family moved to Belgium when he was 2 and he grew up in Europe and the U.S. consuming a steady diet of sci-fi and fantasy films including "Star Wars."

He came close to setting up the "Argo" project as a cable TV movie. But when that deal fell through, Klawans says, "it hit me that Tony had planted stories in Variety and Hollywood Reporter as a cover. For the CIA, it's all about illusions and perception. I thought, 'That's what I'm going to do. I'm going to plant an "Argo" story in a magazine.'"

The producer had met former L.A. Weekly staff writer and "This American Life" contributor Joshuah Bearman through friends who thought the two shared an appreciation for offbeat material. Bearman also had experience turning a magazine story into a movie; an article he reported for Harper's became the 2007 documentary "The King of Kong: A Fistful of Quarters," about two die-hard video game players vying for the world's highest score in the vintage arcade game "Donkey Kong."

Klawans handed over his research and contacts to Bearman and proposed that the journalist write "Argo" as a magazine article that would entice movie backers.

Bearman landed an assignment from Wired magazine, then interviewed everyone he could: Mendez, officials in the State Department with knowledge of the exfiltration and Ken Taylor, the Canadian ambassador to Iran who housed some of the fugitive American diplomats, as well as the six embassy "houseguests."

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Colorado's new growth industry: pot

DENVER — Two hedge-fund partners — monogrammed shirts, taut Windsor knots, cuff links — step into a hipster cafe called Sputnik on an unorthodox mission.

They are meeting a business consultant to discuss a way to boost share prices at one of their portfolio companies, which sells indoor garden kits for tomatoes, herbs, flowers and salad greens. Their idea is to tap into a new market, one they need to be discreet about for fear of blemishing the publicly traded company's reputation:

Marijuana.

Similar meetings have been taking place across Colorado in the two months since state voters approved a constitutional amendment allowing the adult use of recreational weed. The state has become a nucleus of the rapidly evolving marijuana industry, offering a glimpse at what life might be like if weed is legalized nationwide, with companies, entrepreneurs and investors maneuvering for a piece of the expected boom.

Dispensaries are handing out glossy prospectuses to lure investors. Luxury cannabis leisure magazines in the vein of Cigar Aficionado are promoting the industry and cannabis tourism. Companies are jostling for various sectors of the market, from grow lights to point-of-sale systems. And marijuana growers are shedding the pothead vibe to sell their services to MBAs, who may have the capital to get started but not the arcane knowledge required to produce good weed.

The hedge-fund partners from Lazarus Management Co. are among the new breed. They have come to Sputnik to talk to Ean Seeb, a consultant specializing in marijuana.

"In the past you had a bunch of marijuana enthusiasts with little or no business acumen looking to get into this industry," said Seeb, 37, co-founder of Denver Relief Consulting. "Now we're seeing a complete role reversal. A bunch of businessmen with a lot of money who recognize this opportunity, and they have no clue what they're doing as far as cultivation."

The state already boasts a regulated for-profit market of medicinal marijuana. It's much more regimented than California's industry, which operates under murky, ever-changing rules that vary from place to place.

In Colorado, sellers of medical marijuana must go through a background check, pay between $15,000 and $20,000 a year in licensing fees and submit to regular inspections by the state. Every plant is tagged and numbered, from seed to sale. No such system exists in California.

Seeb and his partners have run a dispensary for medical pot since 2009, and they know the key players in Colorado and how to get licensed. They tapped that expertise to start consulting in 2011. Their first client was a 97-year-old Denver institution, Central Bag and Burlap, which wanted to provide packaging for pot shops and marijuana edible products.

"We helped them create their name, their logo, their product line, the initial marketing," Seeb said. "They are now the premier packaging supplier for the industry in Colorado."

Other businesses are hoping the new law will spur even more growth. Toni Fox, owner of 3-D Denver's Discreet Dispensary, is seeking investors. She printed a company prospectus the moment Amendment 64 passed.

With $500,000, Fox could build grow rooms in a warehouse next door and buy another dispensary in the mountain town of Buena Vista. She expects to produce 75 pounds of marijuana a month, worth well over $300,000 by 2014, when businesses will get the first licenses to sell recreational pot.

It hasn't been easy to get this far. Banks don't give loans to dispensaries because they are illegal under federal law, so Fox and her husband sold the assets of their commercial landscaping business — as well their boat, a motor home, her Mercedes-Benz and his Hummer — and invested it all in the dispensary. They spent $300,000 in construction costs before she could even get her certificate of occupancy and state license.

Last year, their net income was $17,040. But they see a big boost coming, with a rise in volume and price. She has a big advantage because existing dispensaries will get first dibs on the retail licenses, which are expected to be limited in number. Their prospectus predicts net income jumping from $338,190 this year to $5,888,990 in 2014 and $6,770,990 by 2015.

Expecting to draw tourists, they decorated the waiting room like a Rocky Mountain cabin and installed an 80-foot "viewing corridor," with windows so customers can see the marijuana plants being grown.

"I am the closest dispensary to the airport," she said.

The giant caveat hanging over this new marketplace is how the Justice Department will react.

President Obama signaled early in his first administration that prosecutors would not go after medical marijuana users, which all but launched an industry in California and, to a lesser extent, other states. Then in 2011, U.S. attorneys around the country began a campaign of raids, civil suits and prosecutions to rein it all back in.

After marijuana legalization measures passed here and in Washington state in November, Obama said in a television interview that it "would not make sense for us to see a top priority as going after recreational users in states that have determined it's legal."

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As Obama takes up immigration, strategy poses a challenge

WASHINGTON — As President Obama settles on a strategy to overhaul the nation's immigration laws, he faces a quandary that speaks volumes about the bitter nature of politics in a divided capital: The very fact that a plan has Obama's name on it might be enough to kill it.

Obama will relaunch his drive for an immigration overhaul Tuesday in Las Vegas, where heavy turnout by Latino voters in November helped seal his reelection. But some allies in Congress warn that embracing too specific a proposal could mean its death warrant.

Republicans, they say, would feel compelled to oppose a bill identified explicitly with the president. Better, they advise, to announce broad principles and avoid particulars, even if that means violating a campaign pledge to propose legislation. Obama promised to do that in his first campaign, did not deliver, and repeatedly vowed during his reelection campaign to make up for that failure.

The toxic nature of the Obama brand in Republican circles has become a factor that affects White House decisions large and small. Aides still recall with astonishment that when Obama invited members of Congress to the White House to watch the movie "Lincoln" last year, at a screening attended by some of the film's stars, not a single GOP lawmaker attended.

That acute Obama aversion has forced the White House to step carefully as it moves ahead on second-term priorities. On gun control, Obama aides felt he had little to lose by laying out specific recommendations because most Republicans were certain to oppose them.

But on immigration, a bipartisan group of senators is working on a proposal. Legislation from the White House could disrupt that and reduce hopes for major legislation, some lawmakers have warned.

This fight over tactics belies some substantial agreement emerging on the broad areas that must be addressed — the most notable being a growing consensus that any legislation must create a way for the country's estimated 11 million illegal immigrants to obtain legal status. Both Democrats and Republicans also are primed to make changes to the way businesses verify a worker's legal status and to update the criteria for legal immigration.

But in a capital ruled by partisan interests, ambition and egos, agreeing on policy doesn't get the deal done. Democrats remain divided over how aggressively the president should lead, and Republicans — the few who are publicly endorsing the effort — want Obama to stay at a distance.

In a sign of the tension, the bipartisan Senate group, upon hearing of the president's plans for a speech, hustled to finish a statement of principles on immigration to unveil Monday or Tuesday, ahead of Obama's official launch, according to a Senate aide who, like other congressional and White House officials, asked not to be identified to discuss private conversations.

The White House is mindful of the pitfalls ahead, and officials said Obama was moving cautiously.

In his remarks Tuesday, his first major policy speech of his second term, Obama is expected to draw from his May 2011 immigration blueprint and may declare some elements non-negotiable. Among other measures included in the 29-page proposal, Obama emphasized improving border security, expanding the system employers use to verify the legal status of workers and creating a path to citizenship for illegal immigrants.

This leading from the bully pulpit has become Obama's strength in his frequent tussles with Republicans in Congress. Obama has pressured them into raising taxes on the wealthy and giving students a break on their loans, but has had less success in leading by trying to legislate, as Senate Judiciary Committee Chairman Patrick J. Leahy (D-Vt.) encouraged him to do earlier this month.

"If the president does send up specific language, that would make it easier because we'll work from that," Leahy said in an interview on C-SPAN. "[We] may not accept all of it, may add to it. But at least we have something to work from, so that would be very helpful."

Not all Democrats agree. At a meeting with Latino lawmakers at the White House on Friday, Obama heard both pieces of advice, according to people who attended the meeting.

Some lawmakers urged Obama to move quickly, leaving behind the bipartisan effort, while others asked him not to put forward a bill. Obama appeared frustrated, said one congressional aide. "He seemed to say, 'Which is it, you want me to lead but not drop a bill?'" the aide said.

This frustration is familiar to the White House. Obama, who has been described as "leading from behind," has often chosen to take a less engaged role in legislative battles, only to take heat from people in his own party who say he is being too passive.

When Obama does engage directly, his unpopularity among Republicans works against him.

The president complained about this Catch-22 in his last news conference, when he tried to explain his frosty relationship with Republicans. "I think a lot of folks say, 'Well, if we look like we're being too cooperative or too chummy with the president that might cause us problems. That might be an excuse for us to get a challenge from somebody in a primary,'" he said.

The bipartisan Senate group on immigration has been meeting for eight weeks. Its members are Democrats Charles E. Schumer of New York, Richard J. Durbin of Illinois and Robert Menendez of New Jersey; and Republicans John McCain of Arizona, Lindsey Graham of South Carolina and Marco Rubio of Florida.

These six senators have committed to a bipartisan statement on what should be in a bill, a Senate aide said, including a path to legal status for illegal immigrants already in the country, increased border security and tougher immigration checks by employers.

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'Argo' wins Producers Guild award

Ben Affleck, George Clooney and Grant Heslov won the the Darryl F. Zanuck outstanding producer of motion picture for "Argo," besting "Lincoln" and other contenders in the category.

It was the latest triumph for the film, which won the Golden Globes motion picture-drama earlier in the month. With the win, the film establishes itself firmly as a solid contender for Oscar best picture after earlier being thought out of the running when Ben Affleck was snubbed for best director by the motion picture academy.

"Searching for Sugar Man," the story of the forgotten '70s singer Rodriguez, snagged the prize for documentary theatrical motion picture. Also in documentaries, the school-bullying film "Bully" won the Stanley Kramer award for illuminating social issues.

On the animation side, "Wreck-It Ralph," a story of a disenchanted video-game character, took the prize for best animated feature at the PGA's.

In television categories, "Modern Family" took home the prize for TV episodic comedy, "Homeland" won for episodic drama, while the outstanding longform TV prize was scored by HBO's Sarah Palin pic "Game Change." "The Amazing Race" walked away with competitive-television honors.

Meanwhile, "The Colbert Report" won for live entertainment/talk and "American Masters" for nonfiction television.

J.J. Abrams, who's had a busy week since being hired as director of the new "Star Wars" film, received a lifetime achivement award; a milestone award went to Harvey and Bob Weinstein. The Visionary Award for Work of Uplifting Quality or Vision went to Russell Simmons.

The PGAs are considered a bellwether of the best picture prize at the Oscars and can turn a race in a movie's favor. Two years ago, for instance, "The King's Speech," facing a challenge from "The Social Network," picked up the top prize at the PGAs en route to its Oscar triumph.

"Argo" beat out nine other contenders for the Darryl F. Zanuck producer of the year award for theatrical motion pictures. The other nominees were: "Beasts of the Southern Wild"; "Django Unchained"; "Les Miserables"; "Life of Pi"; "Lincoln"; "Moonrise Kingdom"; "Silver Linings Playbook"; "Skyfall"; and "Zero Dark Thirty."

The PGA award, handed out at the Beverly Hilton Hotel, is considering one of the leading indicators for the best picture Academy Award. For the last five years, the PGA winner has gone on to win best picture. One reason: The 5,400-member PGA and academy use the same preferential system to count final ballots.

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The last time the PGA and the Academy of Motion Pictures Arts and Sciences didn't agree was six years ago when the PGA chose "Little Miss Sunshine," while the best picture Oscar went to Martin Scorsese's"The Departed."

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California still hasn't bought land for bullet train route

Construction of California's high-speed rail network is supposed to start in just six months, but the state hasn't acquired a single acre along the route and faces what officials are calling a challenging schedule to assemble hundreds of parcels needed in the Central Valley.

The complexity of getting federal, state and local regulatory approvals for the massive $68-billion project has already pushed back the start of construction to July from late last year. Even with that additional time, however, the state is facing a risk of not having the property to start major construction work near Fresno as now planned.

It hopes to begin making purchase offers for land in the next several weeks. But that's only the first step in a convoluted legal process that will give farmers, businesses and homeowners leverage to delay the project by weeks, if not months, and drive up sales prices, legal experts say.

One major stumbling block could be valuing agricultural land in a region where prices have been soaring, raising property owners' expectations far above what the state expects to pay.

"The reality is that they are not going to start in July," said Anthony Leones, a Bay Area attorney who has represented government agencies as well as property owners in eminent domain cases.

State high-speed rail officials say it won't be easy, but they can acquire needed property and begin the project on time.

"It is a challenge," said Jeff Morales, the rail agency's chief executive. "It is not unlike virtually any project. The difference is the scale of it."

Quickly acquiring a new rail corridor is crucial to the project, which Gov. Jerry Brown touted last week as the latest symbol of California's tradition of dreaming big and making major investments in its future.

Delays in starting construction could set in motion a chain reaction of problems that would jeopardize the politically and financially sensitive timetable for building the $6-billion first leg of the system. Under its deal with the Obama administration, which is pushing the project as an integral part of its economic and transportation agenda, the state must complete the first 130 miles of rail in the Central Valley by 2018, an aggressive schedule that would require spending about $3.6 million every day.

California voters in 2008 approved plans for a 220-mph bullet train system that would initially link the Bay Area and Southern California at a cost of $32 billion, less than half the estimated cost of the project.

If the construction schedule slips, costs could grow and leave the state without enough money to complete the entire first segment. Rail agency documents acknowledge initial construction may not get as close to Bakersfield in the southern Central Valley as planned.

In addition to property, the rail authority still needs permits from the Army Corps of Engineers and approval by the San Joaquin Valley Air Pollution Control District, two more potential choke points that Morales says can be navigated.

The land purchases are waiting on the hiring of a team of specialized contractors, but they cannot start their work until the rail agency gets approval from another branch of the state bureaucracy. About 400 parcels are needed for the first construction segment, a 29-mile stretch from Madera to Fresno.

The formal offers will start an eminent domain action, the legal process for seizing land from private owners. The owners have 30 days to consider the offer, and then the state must go through a series of steps that can add 100 more days of appeals and hearings, assuming the state can get on the court calendar, according to Robert Wilkinson, an eminent domain litigator in Fresno. If the state fails to convince a judge that a quick takeover of property is justified, formal trials could stretch on for 18 months, he added.

"I would think a lot of these are going to end up in litigation," he said. "It is a tight schedule, no question about it."

Indeed, the rail authority's formal right-of-way plan indicates it does not expect to acquire the first properties until Sept. 15, despite other documents that indicate construction would start in July. Rail officials said they padded the schedule to avoid claims for additional payments by construction contractors should land not be available by July.

Last month, the federal Government Accountability Office reported that about 100 parcels were at risk of not being available in time for construction.

That assessment was based on information the office collected last August. Susan Fleming, a GAO investigator, testified at a House hearing last month: "Not having the needed right of way could cause delays as well as add to project costs."

Morales said in a recent interview that he would not argue with the warning in the GAO report but still sees nothing that would delay the start of construction. Technically, the rail authority could meet the July target date by beginning demolition or other construction on a single piece of property, he said.

Anja Raudabaugh, executive director of the Madera County Farm Bureau, which is suing to halt the project under the California Environmental Quality Act, said the rail authority will face strong opposition to condemnation proceedings in the Central Valley. The bureau has hired a condemnation expert to help battle the land seizures.

"It is a harried mess," she said.

She noted that agricultural land prices rose rapidly last year across the nation. In the Central Valley, the average price of farmland is $28,000 per acre, while the rail authority's budget anticipates an average price of $8,000 per acre, she said.

Kole Upton, an almond farmer who leads the rail watchdog group Preserve Our Heritage, questioned the rail agency's expertise in conducting complex appraisals of agricultural land that has orchards, irrigation systems and processing facilities.

"I am not sure this thing has been well thought out by people who have a deep understanding of agriculture," Upton said. "I live on my farm, and my son lives on my farm. My dad started it after World War II. This is our heritage and our future."

Morales said he believes the agency's budget for property acquisitions is adequate and he did not want to negotiate prices publicly.

"We don't think we are wildly off," he said.

ralph.vartabedian@latimes.com

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