US embassy cable - 05SANTODOMINGO3946

UNCLAS SECTION 01 OF 02 SANTO DOMINGO 003946 
 
SIPDIS 
 
SENSITIVE 
 
DEPT FOR WHA, WHA/CAR, WHA/AND, INR, EB/ESC/IEC/EPC; NSC 
FOR SHANNON USCINCSO ALSO FOR POLAD; TREASURY FOR 
OASIA-MAUREEN WAFER; USDA FOR FAS; USDOC FOR 
4322/ITA/MAC/WH/CARIBBEAN BASIN DIVISION; USDOC FOR 
3134/ITA/USFCS/RD/WH; DHS FOR CIS-CARLOS ITURREGUI 
 
E.O. 12958: N/A 
TAGS: DR, ETRD, PGOV, Dominican Politics 
SUBJECT: DOMINICAN POLITICS #35: PRD OUTLINES THE FUTURE 
 
REF: 05 SANTO DOMINGO 3877 
 
1.  (SBU) Following is number 35 in our series on Leonel 
Fernandez's first year in office: 
 
PRD Decision Makers Outline the Future 
 
Senate vice president Cesar "Yayo" Matias and three of his 
senatorial colleagues invited the political officer to lunch 
on August 5, along with PRD student leader Rudy de los 
Santos.  Matias, Senator "Chu" Vasquez, Senator Ramon 
Alburquerque (new PRD party president), and Senator Angel 
Perez (PRD) collectively emphasized their desire to continue 
their exchanges with the Embassy.  Matias said they 
appreciated our help on repeal of the protectionist tax on 
corn syrup-sweetened beverages last year and the debate on 
DR-CAFTA this year.  Poloff said we were receptive to further 
dialog on issues of mutual interest.  "Chu" wanted us to pass 
his greetings to the Ambassador. 
 
Wind shifting toward DR-CAFTA:  All said that the Senate is 
ready to ratify as soon as possible after it reconvenes. 
When questioned, Alburquerque - who has taken a hard public 
line emphasizing a need for fiscal reform and compensator 
measures to be enacted along with DR-CAFTA - said that the 
Senate should ratify right away and deal with tax reform 
later.  The compensatory measures in a bill that he submitted 
last November and resubmitted more recently - including 
automatic reimbursement of the ITBIS on imports of machinery 
and tax breaks for modernization of agroindustries - 
certainly should be considered, he said.  But would he hold 
DR-CAFTA hostage to compensatory measures?  No, he replied. 
 
Timing of DR-CAFTA ratification:  Matias initially said this 
would occur within days after August 16.  Vasquez said that 
was unrealistic given required activities at the start of a 
new legislative sesson; the Senate would be likely to ratify 
DR-CAFTA sometime in September. 
 
Concern over illegal drugs:  "Chu" Vasquez said he is 
increasingly and specifically concerned over the impact on 
the political parties of drug trafficking and consumption and 
drug-related money.  New legislation is needed; he plans to 
propose a law requiring that all PRD candidates to elective 
office submit to drug testing and get a good conduct 
certificate from the DNCD.  He said the Senate would like to 
have discussions with DEA at the Embassy. 
 
Modernization and Reform of the Congress:  Regarding the 
IDB-funded project that is moving toward completion, a code 
of ethics is still pending approval.  "Chu" Vasquez, chairman 
of the Senate Ethics Committee, said he had not been invited 
by Senate president Andres Bautista to participate in a 
working discussion of the proposed code.  "Chu" has his own 
draft ethics code that he believes could make a contribution 
to the discussion. 
 
New PRD leadership:  Sen. Ramon Alburquerque was elected PRD 
president and Yayo Matias, and "Chu" Vasquez were elected 
vice presidents of the PRD in the July 10 national election 
for party officers.  They are also members of the 57-member 
Presidium, the 189-member Political Committee, and the 
1350-member National Executive Committee (which includes 
provincial and local party officials).  This was the first 
real grass-roots election the PRD had held since long before 
Pena Gomez's death in 1998.  Elections for the leaders of the 
12 "mass fronts" - of women, youth, professionals, et al - 
will take place September 18. 
 
One of the decisions taken by hand vote among the 5000 
delegates to the convention that installed the new officials 
on July 16 was that any PRD member or officeholder who does 
not follow the party's positions could lose the PRD 
endorsement as a candidate in a future election.  "Chu" 
Vasquez believes this will improve party discipline so the 
PRD can provide united and constructive opposition.  This 
will also make the PRD a more valuable interlocutor for the 
Embassy, he commented. 
 
Elections of Senate officers:  The senators confirmed the PRD 
decision to present Andres Bautista for reelection as Senate 
president on August 16.  Matias, who had also run for the 
job, barely concealed his disappointment.  When asked who 
would be the new vice president, Matias and Vasquez looked at 
each other uncertainly, then said maybe both of them would be 
chosen as co-v.p.'s;  Both evidently are contending for the 
spot.  Several secretaries will also be elected for the 
one-year term of house officers.  Senator Anibal Garcia 
Duverge, newly elected PRD secretary of organization, has 
also been chosen to continue serving as the PRD spokesman in 
the Senate. 
 
Impression:  Matias (from Valverde), Vasquez (from Maria 
Trinidad Sanchez), Alburquerque (from Monte Plata), and Perez 
(from Pedernales) appear to be loosely allied against Senate 
president Bautista, at least in politicking for positions. 
Alburquerque, until he left early for another engagement, 
dominated the conversation in an avuncular way and outshone 
the others in general knowledge, drawing on his experiences 
as a student in Canada, France, and the United States. 
 
2.  (U) Drafted by Bain Cowell. 
 
3.  (U)  This piece and others in our series can be consulted 
at our SIPRNET site 
http://www.state.sgov.gov/p/wha/santodomingo/  along with 
extensive other material. 
MEIGS