Hoyt says Times erred on MoveOn ad

Accusations that the New York Times gave a price break to MoveOn.org for its ad attacking Gen. David Petraeus didn’t strike me as all that interesting. When it comes to newspaper advertising, everything is for sale, and the official rate card is often just a way to start negotiations.

But Times public editor Clark Hoyt says the Times made a mistake — that the price MoveOn paid ($65,000 as opposed to $142,000) was for a “standby” ad for which a specific day of publication could not be guaranteed. The MoveOn folks wanted their ad run on the Monday of the week that Petraeus was to testify on Capitol Hill, and they got their wish.

So how did it happen? Hoyt doesn’t quite say. But it sounds like an ad salesman wanted a commission.

Hoyt also doesn’t think the ad should have run at all. I disagree. As I’ve said before, the ad was an unfair attack on an honorable public official, although it’s hardly so offensive that it warranted breaking out the smelling salts.

The Times is a public trust, and its ad pages ought to be as open to political speech as possible, offensive or otherwise. Publisher Arthur Sulzberger Jr. gets it right when he tells Hoyt, “If we’re going to err, it’s better to err on the side of more political dialogue.”

Update: Looks like MoveOn just cost Rudy Giuliani $77,000. From a press release:

Now that the Times has revealed this mistake for the first time, and while we believe that the $142,083 figure is above the market rate paid by most organization, out of an abundance of caution we have decided to pay that rate for this ad. We will therefore wire the $77,083 difference to the Times tomorrow (Monday, September 24, 2007).

We call on Mayor Giuliani, who received exactly the same ad deal for the same price, to pay the corrected fee also.

Howie’s generic rant

Just a guess, but I’m betting Howie “What Is the Frequency?” Carr wrote this Boston Herald column long before Star Simpson walked into Logan Airport yesterday. After Simpson got arrested for wearing a blinking jacket, all Carr had to do was call up his generic rant about “wacky college kids” and update it with a few details.

OK, I’m kidding. But he could have save himself, oh, four or five minutes yesterday if he’d had this one parked on his laptop.

Paying for the news

“Recovering Journalist” Mark Potts has a great post on New York Times executives’ decision to get rid of their pay service, TimesSelect.

I’ll confess that my glee over the demise of TimesSelect earlier this week was a bit knee-jerk. For consumers, there’s nothing not to like about free. As a blogger, I like being able to link to all Times content. And since the Times Web site is by far the largest news newspaper site, it may be uniquely suited to the advertiser-only model.

But the Times’ move still doesn’t address the question of how to pay for journalism, especially at news organizations that lack the Times’ cachet. (That is, everybody else.) Even Times executives may not have thought this through completely. Potts writes:

[C]ommitting good journalism is expensive, and so far, there’s no indication that advertising will pay the entire way, especially for premium content from the likes of organizations like the Times. By dropping TimesSelect, the Times is walking away from more than $10 million in annual revenue, and it remains to be seen how quickly the resulting traffic bump — and attendant advertising — can make that up. A blanket statement that “content is now and forever free,” as Jeff Jarvis put it in his triumphant posting is just misguided — and belied by ESPN.com, ConsumerReports.org and Zagat.com, not to mention countless high-end subscription-based information and analysis services that serve professional markets. Oh, and print media are still successfully enjoying a revenue stream from subscriptions, you may have noticed.

Typical news junkies may regularly visit five, 10 or more sites. Given that, I think the subscription model remains impractical. (And thus I still don’t lament the passing of TimesSelect.) But microtransactions of some sort — that is, an account from which some small amount of money, perhaps on the order of less than a penny, would be deducted for every article you read — loom on the horizon as a possible solution of how to pay for the news.

Bill Densmore, the founder of one such system known as Clickshare, has further thoughts here.

Gannett’s same old tune

Gannett, the nation’s largest newspaper publisher, is in the midst of an important experiment to re-invent daily newspapers around various forms of online citizen journalism. It also has a reputation for being among the most profit-obsessed media companies extant.

So when you read about downsizing and dumbing-down of the Burlington Free Press, you’ve got to wonder: Is Gannett serious about creating a 21st-century newspaper? Or is it just looking for a new ways to save money? (Via Romenesko.)

Gambling while blindfolded

What was Gov. Deval Patrick doing during all those months when he was trying to make up his mind about casino gambling?

Well, here’s one thing he wasn’t doing: He wasn’t consulting with outside experts, even though his own internal task force had urged him to do just that. Here’s a key paragraph from Ken Maguire’s Associated Press report:

The memo [from the task force] with the disclaimer about estimates states: “Realistic employment and revenue projections would be particularly important if the commonwealth wished to enter into any agreement with a federally recognized Native American tribe or a private developer to expand gaming in the state. To do otherwise would be to risk entering negotiations over license fees, tax rates, etc. on an uneven information playing field.”

(Note: You won’t see Maguire’s byline, but I found it elsewhere.)

Maguire also quotes Patrick spokeswoman Cyndi Roy as saying that Patrick’s economic team conducted its own review, and that no outside experts were consulted.

Pretty amazing, no?

Update: Then again, as Jay Fitzgerald reports in today’s Boston Herald, who needs to talk with experts when you can schmooze with Donald Trump’s peeps?

My standard disclosure.

Literally shocking

If you haven’t seen video yet of a University of Florida student being subdued and tasered by police during an appearance by Sen. John Kerry, well, here’s one of them:

Yes, it’s pretty shaky, and this package from MSNBC is clearer. But the amateur video captures the entire incident. It’s kind of astounding to hear Kerry droning on while the student, Andrew Meyer, is screaming from the electric shocks.

Meyer was being an obnoxious jerk, but I didn’t realize that was a criminal offense. As for Kerry — wow, talk about clueless.

More: Blue Mass. Group’s David Kravitz, who worked on Kerry’s 2004 presidential campaign, links to an AP story suggesting that Meyer was engaged in some sort of stunt. Well, maybe. But I don’t think his getting electrocuted zapped by police was a stunt. And why couldn’t Kerry bring himself to say, “I want the police to stop that”?

Spending the same money twice

Gov. Deval Patrick may be conjuring up visions of casino riches for the state, but it’s not necessarily so. Numbers are slippery, of course, and a skilled advocate can make them stand up and bark on command. But state Rep. Dan Bosley, D-North Adams, a casino opponent who’s been studying the issue for more than a decade, makes a compelling case for why Patrick’s fondest desires are unlikely to come true.

At a forum this morning sponsored by the Massachusetts Institute for a New Commonwealth (MassINC), Bosley said that Patrick is depending on money that is already being spent for other purposes. According to various studies, between 30 percent and 70 percent of money spent on casino gambling is nothing more than an “economic transfer.” (David Kravitz live-blogged the event at Blue Mass. Group.)

“Even though you’ve created a new revenue source … it’s not new revenue,” Bosley said. “I think it is very disappointing that the governor has decided to do this.” Later, he added: “It’s not new money. It’s just rearranging money.” And money that is spent on casino gambling may be money that isn’t spent at local restaurants and other small businesses.

More than 100 people crowded into a function room at the Omni Parker House for the nearly two-hour event, with television cameras lined up in the back of the room. With the governor making his unfortunate announcement yesterday, casino gambling has become the top issue on Beacon Hill.

Nothing particularly surprising was said. Joining Bosley on stage were state Treasurer Tim Cahill, who repeated his well-known support for casino gambling, which he explained most recently in an op-ed piece for the Boston Globe today. The third speaker, the Rev. Richard McGowan, a Boston College economist and casino expert, offered analysis.

It was an in-depth, civil discussion of an issue that has often become obscured by the vehemence with which many of the combatants express their views. (I am definitely not excluding myself.)

Another challenge was raised by state Sen. Susan Tucker, D-Andover. After offering some numbers on the state’s already-high dependence on gambling revenues from the lottery (numbers that were disputed with surprising vehemence by Father McGowan), Tucker noted that there are two racetracks in New Hampshire just over the border from her district.

According to Tucker, New Hampshire legislators have told her that they currently have no interest in building casinos — but that they would seek to transform those racetracks into casinos if gambling venues in Massachusetts began eating into their business. Worse, she observed, New Hampshire might tax its casinos at a lower rate than Massachusetts, which could then force Massachusetts to do the same.

“The fact is that this is an industry that depends on addiction for its revenues,” Tucker said, expressing puzzlement over the argument put forth by Patrick, Cahill and others that money from casino gambling would be set aside to help chronic gamblers with their addiction. “If a medication harms three people, we take it off the shelves,” she said.

At one point, Cahill offered a familiar argument — that Native American tribes such as the Mashpee Wampanoags, who propose building an enormous casino in Middleborough — have a right under federal law to operate casinos, and that the state should get ahead of the issue in order to protect its own interests.

“Even if we’re saying no, we’ve got two Indian tribes that are pushing very hard,” he said.

But Bosley said he “disagree[d] strongly with that,” explaining that federal decision-makers must, under the law, take into consideration where the state stands on casino gambling. Bosley added that the state’s leverage to stop tribal casinos from coming to Massachusetts was undermined considerably by Patrick’s announcement. “We’ve just blown that,” he said.

Of course, in order to become law, Patrick’s proposal must pass muster with the Legislature. And though it seems likely to win approval in the Senate, there’s a good chance it will die in the House. Speaker Sal DiMasi is a longtime opponent of casino gambling, and Bosley is one of his lieutenants.

Bosley said the House would give Patrick’s bill — not yet filed — serious consideration. But his remarks suggested that he can’t wait to kill it, and that he’s confident he’s got the votes. “There’s nothing new in the governor’s proposal,” Bosley said, noting that previous gambling plans have also come with promises of endless wealth for the state, and that the House has defeated every one of them — and by increasing margins over the years.

No doubt the pressure to approve gambling will be greater this time, especially with proposals for steep transportation taxes (Globe; Herald) looming. But there are plenty of people and institutions who’ve come out against gambling, too. At the moment, there’s no reason to think that House members won’t stick to their principles.

Still standing: The Herald’s Dave Wedge reports that Mashpee Wampanoag tribal-council president Shawn Hendricks wants to discuss the troubled Middleborough proposal with Patrick. This past Saturday, I linked to an item by Cape Cod Today blogger/reporter Peter Kenney claiming that Hendricks and two other tribal leaders would resign later that day. Obviously that didn’t happen.

That’s the problem with predictions. In fact, on Saturday a newspaper reporter asked me to predict what Patrick would say. I declined the invitation; but if I had taken her up on it, I would have said that Patrick would probably say “no.” I’m glad I kept my counsel.

Disclosure #1: I write the “Mass.Media” feature for MassINC’s quarterly magazine, CommonWealth.

Disclosure #2: Just click here.

Original photo online at state Treasurer Tim Cahill’s Web site. From left, Bosley, McGowan, Cahill and CommonWealth acting editor Michael Jonas, the moderator.

Free the Times!

TimesSelect is dead. Mickey Kaus explains why he’s glad (actually, he throws a bunch of gibberish on the screen, but you’ll get the idea), and Dan Gillmor explains why it’s smart.

I don’t blame publisher Arthur Sulzberger Jr. for trying to get readers to pay for content. Nevertheless, the number of potential readers who were shut out had to be enormous. As Web advertising continues to grow, it makes sense for the Times to return to the wide-open Net.

Indeed, Sulzberger and company’s decision to open some of the Times’ archives shows that they’ve decided to embrace the future and figure out later how to pay for it. This is the right thing to do, and I hope this proves to be a risk that pays off. If it does, it will change the entire business for the better.