Nation Glance
Michigan St. athletic director retires over Nassar sex abuse
EAST LANSING, Mich. — Michigan State University’s athletic director retired Friday, two days after the university president resigned over the school’s handling of sexual abuse allegations against its disgraced former sports doctor, Larry Nassar.
Mark Hollis, who had been in the job for 10 years, disclosed the move during a meeting with a small group of reporters on campus. He was asked why he would not stay on.
“Because I care,” Hollis said, holding back tears. “When you look at the scope of everything, that’s the reason I made a choice to retire now. And I hope that has a little bit, a little bit, of helping that healing process.”
Hours later, the university named its vice president to serve as acting president after the departure of President Lou Anna Simon. Bill Beekman is expected to serve briefly in the role until the board of trustees can hire an interim president and then a permanent leader.
Also Friday, USA Gymnastics confirmed that its entire board of directors would resign as requested by the U.S. Olympic Committee. The USOC had threatened to decertify the organization, which besides picking U.S. national teams is the umbrella organization for hundreds of clubs across the country.
U.S. economy grew at solid 2.6 percent rate in fourth quarter
WASHINGTON — The U.S. economy grew at a solid rate of 2.6 percent in the final three months of last year, helped by the fastest consumer spending since the spring of 2016 and a big rebound in home construction.
The fourth quarter advance in the gross domestic product, the country’s total output of goods and services, followed gains of just above 3 percent in the second and third quarters, the Commerce Department reported Friday. The slowdown in the October-December period reflected a worsening trade deficit and less growth in inventory restocking by companies.
For all of 2017, the economy grew 2.3 percent. That is a significant improvement from a 1.5 percent gain in 2016 but little changed from the modest 2.2 percent average growth rate turned in since the Great Recession ended in June 2009.
Economists are looking for even better growth this year, propelled by the $1.5 trillion tax cut that President Donald Trump pushed through Congress in December. The Trump administration contends that its economic program of tax cuts, deregulation and tougher enforcement of trade laws will lift economic growth to sustained rates of 3 percent or better in coming years.
Trump has said his tax plan will serve as “rocket fuel” for the economy by prompting Americans to spend more and businesses to step up investment.
Economists, however, believe the growth spurt will be short-lived.
“Deficit-financed tax cuts will provide some nearterm juice to the economy but it will prove to be temporary because we are already at full employment and the Federal Reserve will respond by raising interest rates more aggressively,” said Mark Zandi, chief economist at Moody’s Analytics.
Group sues for communications with Trump voter fraud panel
ATLANTA — A civil rights group is filing a federal lawsuit against the U.S. Department of Justice and Department of Homeland Security for failing to release information connected to President Donald Trump’s now-disbanded voter fraud commission.
The Lawyers’ Committee for Civil Rights Under Law filed the suit Friday in Washington, D.C.
It wants the agencies to release emails, calendars and other communications they had with members and staff of the Presidential Advisory Commission on Election Integrity.
Voting-rights advocates are concerned that the agencies might be working together as part of an effort by Trump and some commission members to justify his unsubstantiated claims of widespread voter fraud.
A Homeland Security spokesman said the department does not comment on pending litigation. An email seeking comment from the Justice Department was not immediately returned.
Wynn Resorts shaken by misconduct claims against founder
NEW YORK — Wynn Resorts is denying multiple allegations of sexual harassment and assault by founder Steve Wynn detailed in a Wall Street Journal report that sent shares of the casino company tumbling more than 10 percent Friday.
The paper reported that a number of women say they were harassed or assaulted by the casino mogul and finance chair of the Republican National Committee.
One case led to a $7.5 million settlement with a manicurist, the paper reported. The detailed report relies on interviews with dozens of people who corroborate a decades-long pattern of sexual misconduct with female employees.
The company says it is committed to operating with the “highest ethical standards and maintaining a safe and respectful culture.” In a statement sent to The Associated Press, it called the allegations part of a smear campaign related to divorce proceedings from Wynn’s ex-wife.
Wynn also denied the allegations personally.