Friday, March 30, 2018

How Entrepreneurship Is Helping to Save Puerto Rico

When Hurricane Maria raked across Puerto Rico last September with wind speeds of up to 155 miles per hour, it left a path of unprecedented destruction. The storm flattened houses and forests, flooded towns and made hundreds of thousands of people homeless. It knocked out most of the island’s power grid, leaving nearly all 3.7 million residents in the dark, and severed 95 percent of cell networks as well as 85 percent of aboveground phone and internet cables. Eighty percent of the island’s crops were decimated.

Once the hurricane moved on, an all-too-common aftermath unfolded. Local emergency responders became overwhelmed. There was, memorably, public fighting among political officials -- San Juan’s mayor versus President Trump. Relief agencies and volunteers flooded in. People who wanted to help could find long lists of organizations to donate to, though, as is typical after a disaster, it wasn’t clear where the money was best spent. Dollars often flowed indiscriminately. 
Ten days after the hurricane, a different kind of responder arrived on the island. His name was Jesse Levin, a 32-year-old serial entrepreneur with close-cropped hair and aviators, and the co-founder of a series of rock-climbing gyms called Brooklyn Boulders. He had no military background, though he had volunteered in past disaster zones and spoke the language of relief -- casually discussing “air assets” and “force multipliers.” Before he arrived he’d made plans to help, help that didn’t necessarily involve the cluster of government agencies and NGOs that were scrambling to advance their operations. “It was mind-boggling,” he recalls now. “There was just completely ineffective communication going on.”
A rented jeep was waiting for him.
Once in Puerto Rico, Levin spent several days crisscrossing the island’s debris-strewn roads, talking to residents, business owners, mayors and policemen. He rarely came across an aid worker or a utility truck. In the media, he’d kept hearing that people were desperate for food and water. But in village after village, Levin encountered grocery stores open and stocked with enough provisions to sustain the local communities. Enterprising merchants had even rustled up generators to keep on the lights. But many customers couldn’t buy anything: Around 40 percent of Puerto Rico’s population depends on food stamps, which require Electronic Benefit Transfer (EBT) cards to make purchases. With the island’s telecommunications network down, the cards couldn’t be processed. This particular problem didn’t require an intensive governmental effort to distribute food and water. It was just a connectivity issue that nobody else was solving. 
So Levin coordinated with Steve Birnbaum, a satellite communications expert he works with, who had arrived on the island a week before the hurricane to prep for the storm’s aftermath. Their plan: to personally buy a bunch of small satellite terminals from Focused Mission, an emergency response business on the island. Levin then worked some local government contacts until he wrangled a helicopter. Among them was Puerto Rico’s chief information officer, Luis Arocho, who came along for a beta test to see if their plan would succeed. Soon this small team was airborne and installing terminals on two grocery store rooftops. They flipped the switches and boom -- EBT purchases now worked. Levin would go on to install 12 more.
The experience was validating. “If the economy is broken in a place, the location can’t heal,” Levin says. But now, functioning EBT machines can lead to more products sold, more employees paid and more shelves restocked -- an economic system revived, and saved from further dependence on FEMA aid. He says the hard costs totaled $33,000, which was ultimately reimbursed by the Foundation for Puerto Rico, and that around $3 million in transactions have since passed through the satellite terminals.
But it was legitimizing on a far larger level as well. Levin isn’t here in Puerto Rico simply to do one-off projects like this. He’s here to advance a concept -- an audacious idea that he calls “expeditionary entrepreneurship.” In essence, it’s disaster relief in the form of entrepreneurship. Governments and NGOs are important, he says, with their standard operating procedures and approaches to administering aid. But entrepreneurship -- not profiteering, but the principles of entrepreneurship -- can accomplish what those bodies cannot: quick and nimble responses to ground-level problems, and connective tissue between foreign aid resources and capable local actors like grocery store merchants who are often not engaged. The same instincts that help an entrepreneur build a business, in other words, can help them rebuild a region from catastrophe.
Levin explains this to me as we drive past toppled power lines and landslide debris in Puerto Rico’s lush interior mountains. It is mid-January, four months after the storm has passed. “An entrepreneur looks at systems and comes up with creative fixes,” he says. “We start from the bottom up.”
Image Credit: Andy Isaacson

Levin didn’t just dream up “expeditionary entrepreneurship” one day. Instead, he came to it after pursuing two parallel paths: He was an adventurer, and an entrepreneur.
He’s always had an entrepreneur’s sensibility -- that ability to sniff out an opportunity and boldly claim it. As a middle schooler in Connecticut, he launched a guerrilla marketing company called Jesse Levin’s Adrenaline Marketing. (Slogan: “With all due respect, you need a kid.”) He talked the beverage company SoBe into paying him $15,000 and helped promote them at extreme sports events by dyeing his, his friends’ and even his dog’s hair the brand’s hue of green. 
During summers, meanwhile, he also attended wilderness survival classes, learning how to build shelters and track animals through the woods. He became captivated by the power of resourcefulness -- how solutions exist all around us. “Survival school informed every facet of my life,” Levin says. “My relationships, how I see things, how I conduct my business.”
After graduating from Babson College in 2007, those two passions continued apace. He moved to Panama, got into real estate, eventually bought a farm, and then launched a consulting firm. A Dutch company hired him to do project management and cultural mediation work in a remote coastal area where it had acquired land. The area -- a haven for narcotraffickers and local mafia -- was prone to flooding, and Levin inadvertently became the go-between for the special maritime police and the Red Cross to deliver medical care and supplies to his local community. The experience got him interested in disaster relief, so he followed the typical path: He volunteered. Following the historic earthquake in Haiti in 2010, he joined the NGO Hope for Haiti and spent six months crawling around the rubble. After the 2013 typhoon in the Philippines, he split his time between Manila and a town named Tacloban, where he worked alongside Team Rubicon, a relief organization made up of veterans.
Amid these overseas excursions, he was also pursuing traditional entrepreneurship. He became co-founder of Brooklyn Boulders, a New York climbing gym that was expanding into new cities. The first location was just outside Boston, and Levin’s goal was to draw people to the space. He realized that the same principles he’d learned in Haiti and the Philippines -- drop in with no agenda, assemble a capable operational team and work closely with locals to find culturally relevant solutions -- could work here as well. “We found the bike builders, the finger painters, the VCs and the nonprofits, and as we built, we said, ‘Here’s our philosophy: How can you leverage this space to amplify what’s going on here locally?’ ” Soon the place became a hybrid gym/community center/co-working space, hosting drone races, TEDx events and nude drawing classes, with MIT engineering students mingling with graffiti artists. Levin would replicate the concept in Chicago, and sell most of his stake in 2016.
Throughout this period, starting in 2010, he also launched and ran a company called Tactivate, which pitches itself as a project manager inspired by the strategies and tenets of Special Operations. Through his disaster work, Levin had befriended many Air Force pararescuemen and Army Ranger types. He found them to be inherently entrepreneurial, but their resourcefulness, wide-ranging capabilities and “operational mentality” often went unappreciated in the civilian world. Tactivate could bridge that divide, he reasoned, by combining military veterans with what its website describes as “installation artists, hospitality gurus, bootstrap entrepreneurs, branders” and more, for whatever project needs doing. 
That’s turned out to include running events, art installations and a “pop-up outdoor survival training bar” in Miami. His parallel life pursuits had begun to bleed together, each informing the other. In entrepreneurship, he was channeling disaster relief -- the idea of moving quickly, identifying needs and bringing people together. In disaster relief, he’d been applying entrepreneurship -- dropping into post-disaster environments and creatively supporting local capacity.
Along the way, Levin had assembled a vast Rolodex of relief operatives, from medics, communications specialists and private pilots to people involved in emergency logistics and air freight transport. “We all just kind of team up and see how we can fix things,” he says. “We’re fixers.” By last year, he’d come up with the phrase “expeditionary entrepreneurship” as a way to formalize his approach to disaster relief. Now he wouldn’t just be freelancing his way through regions; he’d be enacting a named strategy, which he could communicate to others. 

Andy Isaacson


How Entrepreneurship Is Helping to Save Puerto Rico

After Hurricane Maria savaged Puerto Rico, a man named Jesse Levin used what he'd learned as an entrepreneur and applied it to disaster relief. And it worked.
How Entrepreneurship Is Helping to Save Puerto Rico

Wednesday, March 28, 2018

Let Puerto Rico stand on its own

Last week, the archbishop of San Juan, Roberto Gonzalez Nieves, stated that Puerto Rico should never become a state, and that if it did, the island would lose its culture, language and identity as a "people." Many residents of Puerto Rico agree, although they are afraid of what the island would become if it were an independent and sovereign country.

I believe that after many years of colonial rule by the Spaniards and then the United States, Puerto Rico should be allowed to flourish as its own nation — one with a strong trade and protective treaty with the United States. It should not depend on U.S. entitlement programs but be based on the ability to grow as an independent country that can negotiate commercial treaties with other countries — treaties that would make Puerto Rico great again.
For decades in the past century, the U.S. and Puerto Rico were interdependent. The United States depended on the island for several commodities — mostly sugar, but also tobacco and coffee. Unfortunately, agriculture gave way to manufacturing plants and an ever-growing government bureaucracy on the island. Today, Puerto Rico imports 85 percent of its food, even though most of the land is fertile. Only a mere 6 percent is arable, a fact that threatens Puerto Rico's food security.
Also, it’s no doubt that the U.S. depended on Puerto Rico to provide men to serve in the military. In fact, the main reason Puerto Ricans are U.S. citizens today is due to the passage of the Jones-Shafroth Act in 1917. The U.S. was about to enter World War I and needed men to rebuild its military. This is the law, still in the books today, that essentially “imposed” U.S. citizenship on Puerto Ricans. The law, indeed, converted Puerto Ricans into second-class citizens, as it did not provide the residents of the island with the full rights and privileges granted under the U.S. Constitution to those born on the mainland, Alaska or Hawaii. President Wilson signed the law in 1917, barely a month before the U.S. entered the war.
History shows that not one Puerto Rican enlisted when the law was signed. It took instituting the draft to eventually bring about 20,000 Puerto Rican men into the military. Like my grandfather, most of them served in Panama, protecting the Panama Canal. The U.S. imposed citizenship on the residents of the island without Congress consulting with the people of the United States or the residents of Puerto Rico.
Given the 100-plus years of close ties between the U.S and Puerto Rico, and the size of the population and the economy of Puerto Rico, vis-a-vis that of the United States, interdependence will never be balanced and equal.
Today, Puerto Rico depends almost 100 percent on the U.S. In addition to strategic security, the U.S. provides the island with markets for 90 percent of those goods manufactured or grown on the island. Furthermore, the economic conditions in Puerto Rico have created a growing dependency on federal government welfare programs. Pew Research Center reports nearly 6 in 10 children, 58 percent, live in poverty. If not for aid from the U.S., Puerto Rico could be facing the same calamity as Haiti or Venezuela.
If Puerto Ricans fear that statehood would rob the island of its culture and language, this implies that keeping one’s culture and language overrides the economic well-being and security of the residents. If this is truly the case, there’s only one choice: independence for Puerto Rico. Residents would get to keep their culture and language. They would control all strategic, economic and insular matters. They would have to stand up their own military, their own Coast Guard, their own Border Patrol, and their own Federal Emergency Management Agency. But with what economic resources? Puerto Ricans don’t pay a penny for any of these services today. They’re included under the laws and budgets that have been passed by the U.S. Congress.
Entitlement programs targeted for Puerto Rico cost the U.S. billions each year with no true return on the investment. Puerto Ricans have had their own insular-constitutional government since 1952. They have had the opportunity to learn and grow as a self-governing entity. Granted, they haven't done very well, with billions of dollars owed to its investors and with hardly any attention paid to maintaining or enhancing the island’s infrastructure.
However, given the trillions in debt the U.S. has today, I believe the U.S. should begin divesting itself of the costs incurred yearly maintaining the residents of the island. Statehood or independence? It’s time to decide.
Angel “Hank” Cintron, a Puerto Rico native, is a past president of the Puerto Rico Chamber of Commerce, Gulf Coast of Florida, and a U.S. Army veteran.
Guest Columnist
Let Puerto Rico stand on its own

Wednesday, March 07, 2018

U.S. agency proposes nearly $1 billion to revamp Puerto Rico, Virgin Islands communications

The chairman of the U.S. telecoms regulator proposed on Tuesday directing $954 million to restore and expand communications networks in Puerto Rico and the U.S. Virgin Islands that were heavily damaged during the 2017 hurricane season.
Chairman of the Federal Communications Commission Ajit Pai speaks at the Conservative Political Action Conference (CPAC) at National Harbor, Maryland, U.S., February 23, 2018. REUTERS/Joshua Roberts
Wireless and broadband communications networks in the U.S. island territories were devastated after Hurricanes Maria and Irma swept through the region in September.
As of Monday, the Federal Communications Commission (FCC) said 4.3 percent of cell sites in Puerto Rico and 14 percent of sites in the U.S. Virgin Islands remained out of service.
“The FCC’s work is far from over,” FCC chairman Ajit Pai said in a statement. “With the 2018 hurricane season less than three months away, we need to take bold and decisive action.”
Pai wants to spend $64 million on short-term restoration, $631 million on long-term funding for the restoration and expansion of fixed broadband and $259 million on medium-term funding for the restoration and expansion of 4G LTE mobile broadband connectivity.
The plan needs FCC approval and would be largely funded by the Universal Service Fund, which provides federal subsidies to companies to make communications services more accessible and affordable in places where the cost is high.
In October, the FCC approved $77 million to fund repairs in the islands.
FCC Commissioner Jessica Rosenworcel, a Democrat, is visiting Puerto Rico this week and Pai will visit Puerto Rico and the Virgin Islands later this week.
Reporting by David Shepardson; editing by Diane Craft and Rosalba O'Brien
David Shepardson
U.S. agency proposes nearly $1 billion to revamp Puerto Rico, Virgin Islands communications

Tuesday, March 06, 2018

Puerto Rico's Governor Promotes Privatizing Electrical Grid [Video]

Puerto Rico’s Governor Ricardo Rossello on Monday pressed proposals for privatizing the U.S. commonwealth’s shattered electrical grid as part of its painstaking recovery from devastating September hurricanes. Puerto Rico Governor Ricardo Rossello speaks during a Facebook live broadcast in the library of the governor's mansion, in San Juan, Puerto Rico January 24, 2018.

REUTERS/Alvin Baez Rossello used his State of the State speech to say that he had introduced an energy reform bill on Monday, while outlining ideas for cutting taxes, increasing police pay and introducing education

Puerto Rico's Governor Promotes Privatizing Electrical Grid

Puerto Rico governor to reduce taxes, increase salaries

SAN JUAN, Puerto Rico (AP) — Puerto Rico's governor is pledging to reduce taxes, raise pay for police officers and implement work requirements for those on welfare to help the U.S. territory recover from Hurricane Maria amid the island's 11-year-old economic crisis.

Gov. Ricardo Rossello said Monday night during his annual address that he will reduce a sales-and-use tax for processed food from 11.5 percent to 7 percent as well as lower taxes on individuals and corporations.
He also said he plans to help secure property deeds for hurricane victims who didn't have them and as a result were not able to obtain federal funding after the storm.
Rossello said the Category 4 storm that struck nearly six months ago caused more than $100 billion in damage.

Puerto Rico governor to reduce taxes, increase salaries

The nor’easter was so big that its waves reached Puerto Rico — and the result was not good [ Video ]

The nor’easter is nowhere near the Caribbean, yet its influence is rippling — literally — far and wide across the Atlantic. Huge waves are spreading out from the center of the storm, and they just arrived in Puerto Rico and the surrounding islands.
John Morales, a TV meteorologist in Florida who was raised in Puerto Rico, is calling it “one of the worst ocean swell events in recent decades,” and not just for Puerto Rico. Hispaniola and the Virgin Islands are getting smacked by these waves, too.
Andy Rivera, who runs the Puerto Rico Historic Building Drawings Society and captured the waves lashing Old San Juan in the photo above, agreed that these are the worst waves in decades. Rivera said Hurricane Maria didn’t affect Old San Juan as much as it did the other parts of Puerto Rico. But the hurricane made the historical town “softer” — in other words, Maria made Old San Juan more susceptible to damage from waves like these, or even everyday storms.

A huge wave breaks on the Paseo de la Princesa, damaging part of the promenade. (Andy Rivera/Puerto Rico Historic Building Drawings Society)
“The ocean swell event has been so impactful in the Caribbean,” Morales wrote on Twitter, “that even within San Juan Bay the rising water and wave action caused damage along the outside of ancient wall surrounds Old San Juan.”
Old San Juan is the oldest settlement in Puerto Rico. San Juan is the oldest city in the United States, founded in 1521. Puerto Rico has a lot of history — and it has been through plenty of storms.
On Monday, the same nor’easter that battered the New England coast managed to do more damage to San Juan than many of the hurricanes it has faced over the centuries.
Across the northern shore of Puerto Rico, waves were crashing onto beaches and flooding coastal roads. Huge waves pounded Old San Juan on Monday morning, damaging some historical landmarks, including Paseo de la Princesa, a roadway turned promenade around Old San Juan that is popular for its food vendors and artist stalls.
The waves are expected to last into at least Tuesday, according to the Ocean Prediction Center.




Hi @JohnMoralesNBC6
Powerful waves this morning in San Juan Bay and coastal flood in La Puntilla, Cataño


Angela Fritz is an atmospheric scientist and The Washington Post's deputy weather editor. She has a BS in meteorology and an MS in earth and atmospheric science.
  Follow @angelafritz

A powerful storm that pummeled the East Coast over the weekend spread huge waves to San Juan, Puerto Rico on March 5.
The nor’easter was so big that its waves reached Puerto Rico — and the result was not good

6 months after Hurricane Maria, life in Puerto Rico is better — but will 'never be normal again'

Life is better for Michelle Rebollo since Hurricane Maria upended her world last year. The electricity vanishes at times, often for hours, but is largely back on, water flows steadily from faucets and work crews finally hauled away piles of debris left by the storm.
Yet life is still far from normal. She’s a month behind in her bills. Her income is unsteady. Worst of all, the jovial unity forged among her neighbors in the storm’s immediate aftermath has faded to sullen despair.
“Recovery here has been so slow that it’s affected people,” said Rebollo, 45. “Everyone’s tense. No one’s talking to one another. You see it in their faces: They’ve changed.”
The powerful Category 4 Hurricane Maria raked across the island Sept. 20, killing at least 60 people and causing widespread damage. It was the strongest storm to hit the U.S. territory in 89 years.
As the six-month anniversary of the storm approaches, Puerto Ricans are trudging slowly away from survival and into the difficult realities of long-term recovery.

USA TODAY first met Michelle Rebollo collecting water on a mountainside days after Maria. The small business owner struggles to pay bills since tourism has dwindled. She and her family now have power, but every day or two they have to manage outages. USA TODAY
6 months after Hurricane Maria, life in Puerto Rico is better — but will 'never be normal again'

7 Decades Ago, Puerto Ricans Helped Transform New York City's Workforce [ Radio ]

Thousands of Puerto Ricans who came to the mainland to flee Hurricane Maria damage have settled in New York City. This mimics the influx of Puerto Ricans 70 years ago.


STEVE INSKEEP, HOST:
Tens of thousands of Puerto Ricans have moved to the mainland since Hurricane Maria devastated the island last fall. Many have moved New York City, which has seen this story before. Around 70 years ago, some half a million Puerto Ricans moved to New York. Alexandra Starr reports.
ALEXANDRA STARR, BYLINE: The Extended Stay America Hotel in Queens, N.Y., has become Rosa Basora's temporary home. FEMA's paying for it through a program that provides housing to people displaced by Hurricane Maria. From behind the sink in the hotel room's kitchenette, Basora watches as her baby grandson Skype's with relatives in Puerto Rico.
UNIDENTIFIED PERSON: (Speaking Spanish).
(LAUGHTER)
STARR: This is a kind of homecoming for Basora. Born and raised in Brooklyn, she didn't move to the island until she was 28.
ROSA BASORA: Everybody's telling me, ah, you're not going to get used to it, you're not going to get used to it. Guess what? I just came back to New York this past October.
STARR: In 23 years, she hadn't visited once. She came back because Hurricane Maria left her home with no water and no electricity. In returning, Basora retraced the steps of her parents. They came to New York in the 1950s, in search of work.
BASORA: My dad was a steel metal polisher.
STARR: And her mother, grandmother, grandfather, all worked in garment factories. Kat Lloyd is an educator at the Tenement Museum in New York City. She explains that Puerto Ricans, like the Basora family, helped drive a transformation in the city's workforce.
KAT LLOYD: Puerto Rican migrants, African-American migrants coming from the South, start to fill the jobs that had previously been held by Jewish immigrants.
STARR: The Tenement Museum recently opened an exhibit, called "Under One Roof," documenting that transition. It starts with the Epsteins, a Jewish family from Poland. They worked in the needle trades in the 1940s. The museum has recreated their dining room.
LLOYD: On the side table, we see candlesticks and prayer books.
STARR: Now, by the 1950s, Eastern Europeans, like the Epsteins, were leaving their jobs in the garment industry, and their kids weren't replacing them. Factory owners couldn't bring in new workers from Eastern and southern European countries because of the tighter immigration laws. So they recruited citizens from poorer parts of the U.S., like the South and Puerto Rico.
LLOYD: So we'll be moving now into Ramonita Rivera Saez's kitchen.
STARR: Saez was a Puerto Rican who moved to New York in 1955 and became a seamstress. The Tenement Museum has recreated the apartment she lived in right next to the Epstein's. While Saez spent most of her life in New York, she frequently flew back to Puerto Rico. Lloyd says that was common. There were a lot of flights, and they were cheap.
LLOYD: The flight between JFK and San Juan was packed every week.
STARR: That ensured a lot of Puerto Ricans maintained close ties to the island. Hector Codero is a professor at Baruch College. He says this is a reason why we see thousands of Puerto Ricans coming to New York today.
HECTOR CORDERO: New York City has 700,000 to 800,000 Puerto Ricans. Those connections at a time of a crisis are activated and become really important.
STARR: Rosa Basora, who currently lives in that hotel in Queens, she wants to return to Puerto Rico. Her son and daughter, however, say that the migratory cycle will end with them. The damage caused by Maria means they don't see a future on the island. New York will be their permanent home. For NPR News, I'm Alexandra Starr in New York.
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ALEXANDRA STARR
7 Decades Ago, Puerto Ricans Helped Transform New York City's Workforce

Monday, March 05, 2018

U.S. government extends foreclosure relief in Puerto Rico, Virgin Islands

The Federal Housing Administration on Thursday extended through May 18 a foreclosure moratorium for certain homeowners in Puerto Rico and the U.S. Virgin Islands, which were devastated last September by Hurricane Maria.
Homeowners whose mortgages are insured by the FHA will get an additional 60 days of foreclosure relief on top of the previously-imposed 180-day moratorium, according to a statement from the U.S. Department of Housing and Urban Development, the FHA’s parent agency.
FHA insures more than 117,000 mortgages in the U.S. territory of Puerto Rico, or about one-third of all mortgages on the island. Though Puerto Rico is home to 3.4 million U.S. citizens, the number of mortgages is limited by the prevalence of illegal housing, thought to comprise around half the homes on the island.
FHA also insures around 600 mortgages in the Virgin Islands. Both territories’ economies are struggling to bounce back from the Sept. 20 hurricane.
In Puerto Rico, the local power grid was virtually destroyed, and thousands remain without power, more than five months after the storm.
Puerto Rico Governor Ricardo Rossello welcomed the extension, saying it would help the island’s low-income and elderly populations.
“My thanks to [HUD Secretary Ben] Carson for extending the moratorium so that American citizens living on the island receive a relief and are not exposed to losing their homes,” Rossello said in a statement.
About 90,000 borrowers in Puerto Rico were delinquent in their payments as of December, according to the statement from Rossello’s office. Nearly half the island’s population lives under the poverty line.
Maria exacerbated a decade-long financial crisis in Puerto Rico, which culminated in May with the island filing the largest bankruptcy in U.S. government history.
Puerto Rico has some $71.5 billion in bond debt, and another $50 billion or so in unfunded public pension liabilities.
Reporting by Nick Brown; Editing by Tom Brown
Nick Brown
U.S. government extends foreclosure relief in Puerto Rico, Virgin Islands