A convention focused on medical marijuana drew several thousand people to downtown Boston over the weekend, as Massachusetts gears up for a likely ballot fight over legalizing the substance for recreational use. Watch video

A convention focused on medical marijuana drew several thousand people to downtown Boston over the weekend, as Massachusetts gears up for a likely ballot fight over legalizing the substance for recreational use.

Fifty national and local vendors hawked their wares, which included pipes, lights aimed at helping marijuana grow, and a $150 machine that can make edibles infused with the substance, along with salves.

The convention, held inside the Castle at Park Plaza, also highlighted an industry in its infancy in the Bay State, as some young men in T-shirts laid out their pipes on the table and not much else. They stood alongside older men in suits promoting medical marijuana dispensaries and software meant to help manage dispensaries' business.

Representatives from a South Boston-based insurance company, hoping to pick up business in the emerging market, sat around the corner.

Among the people in suits: Employees of New England Treatment Access (NETA), which is seeking to open medical marijuana to patients in Brookline and Northampton, had a table at the convention. Their cultivation and processing facility is in Franklin.

Stacked on the table were slick brochures outlining the NETA facilities, including "seed-to-sale tracking," "exhaustive testing," "responsible packaging," and the promise of more than 100 high definition security cameras.

Norton Arbelaez, a spokesman for NETA, said the company is reaching out to potential patients, letting them know they can pre-register with NETA if they have a card from the Department of Public Health.

"We're here representing the regulated industry," he said while walking the floor of the convention on Saturday.

Smoking was not allowed inside the convention hall.

Massachusetts voters legalized medical marijuana in 2012, and the state has been slow to get the program up and running. Voters could end up deciding whether to legalize marijuana for recreational use in 2016 if supporters clear a number of hurdles. The proposal is opposed by critics who say marijuana is a gateway drug to harder substances.

The state Department of Public Health has been charged with implementing the medical marijuana program, and so far has approved two medical marijuana dispensaries for opening in Salem and Brockton.

Arbelaez is hoping his Brookline location will be the first in the Boston area. He plans to open it by the end of the year, providing topical applications, capsules, salves and liquid extracts known as tinctures.

He hopes to open the Northampton location by the end of the month, becoming the first dispensary in Western Massachusetts.

"Effectively, Western Mass. has been forced into the black market" due to the lack of a dispensary, he said.

BioTrackTHC was located around the corner from the NETA table. Greg Welch, a national account executive with the company, said they're seeking to provide business management software, with a monthly licensing fee ranging from $200 to $400 a month.

The information will be stored on a server and not on a "cloud" on the Internet, he said.

"Nobody is going to get Ashley Madisoned," he said, a reference to the adultery website that was hacked earlier this year. The names of millions of Ashley Madison users were then leaked online.

A long-time eyesore on Orange Street is no more after the city had the three-story building razed on Monday. Watch video

SPRINGFIELD - A long-time eyesore on Orange Street is no more after the city had the three-story building razed on Monday.

Upon a command from Mayor Domenic Sarno to let 'er rip, the claws of an industrial excavator began tearing into the facade of 399 Orange St.

Workers with Jay-Mor Construction begin tearing down an abandoned building at 399 Orange St. in Springfield. (Patrick Johnson / The Republican)Patrick Johnson | pjohnson@repub.com 

The one-time apartment building had been vacant for years. The city acquired it after the previous owner became delinquent in the property taxes.

Sarno said the city tried but was unable to find a new buyer, so the decision was made to knock it down at a cost of $78,000.

Asbestos abatement and demolition was handled by Jay-More Inc., of Pelham, New Hampshire.

In addition to being a neighborhood eyesore, the building was also a magnet for criminal activity, Sarno said.

"People in this neighborhood are very happy it's coming down," he said.

One neighbor said the property has been vacant for eight years.

The property will remain an open lot for the immediate future, although Sarno said he hopes a developer will come along to rebuild on the site.

"We're very hopeful to get it back on the tax rolls as a positive property," Sarno said.

"This continues our blitz on derelict properties in the city," he said.

Steven Desiletes, the city commissioner for code enforcement, said "We're happy to see this come down."

The property is one of several abandoned properties in the city that have been eyed for demolition, he said.

"It's a problem for code enforcement; it's a problem for law enforcement," he said.

The Amherst Select Board to hold 2 public hearings.

AMHERST - The Select Board wants to hear from residents about the town's Comcast cable service and is holding two public hearings to gather testimony.

 The board is holding a hearing Sept. 24 at 6:30 p.m. in the Town Room of Town Hall and Sept. 30 at 11:30 a.m. at the Bangs Center.

The formal term for the process is called Ascertainment. Ascertainment is a series of actions taken by the Issuing Authority - which is the Select Board - "for review of the cable operator's performance under the existing license and identifying the cable-related needs and interests of the community," according to a posting.

The contract does not cover cable pricing or programming or Internet or telephone services, according to a press release.

"We encourage residents to offer testimony on current cable operations including performance (customer service, cable service interruptions) as well as future build out needs (cable coverage area for non-internet services, and Public Education and Government (PEG) Access fees)," the town stated. 

The town negotiates a new cable contract every ten years. 

Geared towards single people and boat owners, the Chelsea microlofts range from 286 square feet to 447 square feet.

CHELSEA - On Admiral's Hill, the "sharing economy" is colliding with the "tiny home" trend.

Nine new "microlofts," located on Commandants Way and next to a marina, had their grand opening on Friday. Prices started at $189,900, and top out at $300,000.

Geared toward single people and boat owners, the lofts range from 286 square feet to 447 square feet.

The lofts are above a shared workspace, known as "Commoncove," which can be rented out. "Mobile knowledge workers" are the target of those services, which became available in 2013.

Two vehicles affiliated with ZipCar, a car-sharing service, are available on the property, though each condo unit also has a parking space.

A Market Basket is nearby, as is the Chelsea stop on the commuter rail line that ends at North Station in Boston.

From the deck, residents will see the Mystic River and the Charlestown neighborhood. In the distance, the John Hancock building and the Prudential tower are largely hidden by trees.

Inside, the walls are soundproofed and the floors are made of bamboo, with a cork backing. A Murphy bed can be pulled out of the model unit's wall.

According to Weichert Realtors' Michael Albano, the building once was home to a blues-themed restaurant.

The Hospice Meadows Run--5K road race/2 mile walk is an out-and-back course that runs through the Northampton Meadows, beginning on Fair Street abd proceeding up Venture's Field Road, Henry Street, Hockanum Road, Nook Street and back.

Hospice Meadows Run

The Cooley Dickinson VNA & Hospice will hold its fourth annual Hospice Meadows Run fund-raising event on Sept. 26, at 9 a.m. at the Northampton Meadows.

The Hospice Meadows Run--5K road race/2 mile walk is an out-and-back course that runs through the Northampton Meadows, beginning on Fair Street and proceeding up Venture's Field Road, Henry Street, Hockanum Road, Nook Street and back. All participants will be receive a t-shirt, a water bottle and a fully stuffed baked potato.

Memorial signs are available for purchase should a participant want to commemorate someone in his or her life. Information about signs and registration is available at www.runreg.com.

Mass Impact Day

Northampton Senior Services is reaching out to seniors living in Northampton, Florence and Leeds who need help completing odd jobs or assistance with a project. Mass Impact Day volunteers want to help will help with a garden that needs weeding, mums that need planting and other tasks.

A few lucky seniors will be chosen to receive the help of Senior Services staff and Mass Impact Day volunteers with their projects on September 26. For more information or to enter your name & project description into the drawing call Northampton Senior Services, 67 Conz Street at 413-587-1313.

Cancer Center ribbon-cutting

The Mass General Cancer Center at Cooley Dickinson Hospital will hold a ribbon-cutting ceremony on Sept. 16 from 4-6:30 p.m. in the Healing Garden. Entry is through the North Building. Thereb will also be tours of the Cancer Center, which will officially open. Contact the Public Affairs office for additional information or call 413-582-2421.

Sewing exchange

The Florence Congregational Church at 130 Pine St. will host a craft and home sewing exchange sponsored by the church's women's group on Sept. 19 from 9 a.m. to 1 p.m. The sewing exchange will offer fabric, yarn, needlework threads, notions and supplies at bargain prices to crafters, quilters, rug makers and home sewers. More than 12 different vendors will be on hand selling their surplus supplies at reasonable prices. Lunch is from 11 a.m.-12:30 p.m.

Hearing loss at Forbes

Forbes Library will present "Now Hear This," an introduction to communication techniques, assistive listening & visual alerting devices on Sept. 23 at 7 p.m. This free workshop will provide information to improve communication access for people living with hearing loss as well as caretakers and loved ones. For more information contact 413-587-1017 or ldowning@forbeslibrary.org

The partnership between the Mohegan and Mashantucket Pequot tribes to build a third casino in Connecticut is the result of an illegal and unfair gaming act, MGM Resorts International said in a statement.

The partnership between the Mohegan and Mashantucket Pequot tribes to build a third casino in Connecticut is the result of an illegal and unfair gaming act, MGM Resorts International said in a statement.

The operators of the Mohegan Sun and Foxwoods casinos formalized their partnership to build a new gaming facility that would compete with the planned MGM Springfield casino last week. The deal brings the tribes into compliance with a June Connecticut gaming act that allows them to jointly develop a casino on non-tribal land, and which has been challenged by MGM Resorts International in federal court.

Tribal and union supporters of the deal in Connecticut have described the new development as a way of protecting jobs and revenue from cross-state competition.

But in reaction to the partnership, MGM Resorts International Executive Vice President Alan Feldman described Connecticut's gaming plans as illegitimate.

"Last week's announcement was a continuation of an unconstitutional process that does not allow anyone else to make proposals that could result in greater benefits for the state of Connecticut, its residents and consumers," Feldman said. "This is the result of a flawed, closed-door deal that shuts out voters in the approval process, eliminates all competition and doesn't provide any protections for workers."

Tribal leaders described the deal as a defense against out-of-state companies siphoning revenue from Connecticut. A study funded by the tribes found that 9,300 jobs in the state could be lost from casino expansions in Massachusetts and New York.

"With our partnership solidified, we can begin the hard work of protecting both Connecticut jobs and the critically important revenue our organizations provide to the state," said Kevin Brown, Chairman of the Mohegan Tribal Council, in a statement last week. "Outside interests have made it perfectly clear that their business model depends on taking money and jobs from our state. We're not going to let that happen without a fight." 

MassLive has reached out to the Mohegan and Mashantucket Pequot tribes for additional comment.

Three municipalities on the Interstate 91 corridor and not far from Springfield have expressed interest in a casino, according to the Hartford Courant. They are East Hartford, East Windsor and Enfield.

The agreement would be a step towards filling the gaming act's requirement that the new casino be a joint venture between Connecticut's two current casino operators, the Mohegan and Mashantucket Pequot tribes. But the project is also facing a legal challenge from MGM Resorts International, which has sued Connecticut officials in federal district court, arguing that the new gaming act is unconstitutional.

In the August legal complaint, MGM put forward a two-pronged constitutional argument: That the act violates the Equal Protection Clause of the 14th Amendment, and that it violates the Constitution's Commerce Clause.

MGM alleges the law violates equal protection by limiting development to the Mohegan and Mashantucket Pequot tribes to the exclusion of other racial and national groups, and violates the commerce clause by discriminating against out-of-state competitors.

While the Mohegan Sun and Foxwoods casinos are allowed under federal law granting tribes gaming rights on American Indian reservations, the new casino would be on state land. This, MGM says, makes the preferential treatment of the tribes illegal.

A third Connecticut casino could compete with the opening of MGM Springfield, given MGM's decision to target a 2018 opening to avoid construction on Springfield's I-91 viaduct.

Neighbors say Gawle drained and filled a pond on his 125 Northampton St. land.

EASTHAMPTON -- Developer Bernie Gawle committed no wetlands violation on his land at 125 Northampton St., even though his earth-moving operations over the years -- which ramped up over the summer -- obliterated a small body of water on the property.

That's according to an email from the Massachusetts Dept. of Environmental Protection, which recently weighed in on the controversy after being asked to do so by Melissa Coady, chair of the city's Conservation Commission.

Coady read the email from Western Division MassDEP Water and Wetlands chief David Cameron at the commission's Sept. 14 meeting. Nearly 20 residents were packed into the tiny basement meeting room, including Gawle himself -- a major landowner and builder -- who said the property off the city's main commercial strip had been run as a hayfield for years.

At the commission's August meeting, neighbors on Highland Avenue had charged that Gawle over the summer drained and filled a pond on the property, then sprinkled hay seed on the area to claim an agricultural exemption to both Massachusetts wetlands law and a local stormwater management ordinance.

Coady at the time said she believed no wetlands violation occurred, because the body of water in question never exceeded 10,000 square feet, the standard threshold for a "pond" under the state's wetlands law. She also said she had no reason to disbelieve the property had an agricultural use, which would grant Gawle more latitude under state and local law to disturb the property.

Coady read aloud Cameron's email, which agreed with her analysis, Monday night at the Conservation Commission's monthly meeting.

"Our analysis concludes that an isolated vegetated wetland, which did retain some open water, existed from at least 1998 through around 2005 in the agricultural field at this site," wrote Cameron. "We have digitally measured and presented square footage for this feature.... It does not exceed 2,567 square feet, and is not observable after 2005."

According to a historical analysis of aerial photos, the water body, including nearby water-loving plants, never exceeded 9,034 square feet total, Cameron wrote, adding that the water body did not occur within other jurisdictional wetlands.

"Based upon the above, the DEP does not see a legal basis whereby the Easthampton Conservation Commission or MassDEP is able to exert jurisdiction over this site under the Wetlands Protection Act," wrote Cameron. "The feature was too small to meet the definition of 'pond' and is well beyond the 200-foot riverfront area of the Manhan River."

Gawle himself was present at the meeting, and said that a farmer had been haying the field for years. Gawle claimed hay on the property was most recently harvested on July 23, and that they hay went to feed cattle in Westfield.

The agricultural use of the property is relevant, said Coady, because otherwise Gawle would be required to file a stormwater management plan with the city for the land disturbance, even if the former "pond" on the property were not truly a "pond" under state wetlands law.

Normal maintenance and improvement of farmland is exempt from the local stormwater ordinance, said Coady.

Easthampton does not have a local wetlands ordinance, after an ordinance that was more stringent than the state's was repealed in 1998, said City Planner Jessica Allan.

City Councilor Daniel Hagan, himself a resident of Highland Avenue, said he was disappointed that nobody from MassDEP conducted an actual site visit. "How can something go from a nine-thousasand-foot-plus vegetated wetland to nothing?" he asked. Hagan suggested that the photos used by the DEP to determine the pond's historical size were not reliable.

The land in question is located off the city's commercial strip near the 121 Northampton St. McDonald's. The front part of the land is zoned for highway business, and the back portion zoned for multi-family housing.

Some Highland Ave. neighbors said they have water in their basements already, and don't want Gawle to diverge water toward their street. Others said they had lived in the area for years, and that a sizable pond once existed on the property.

Gawle, caught in the parking lot of the city's municipal building, expressed little sympathy for the neighbors.

"Obviously, they were wrong, and they're disappointed," said Gawle. "I plan to do something on that land before I die. So they can wish me good health."

Mary Serreze can be reached at mserreze@gmail.com

 

Trading was light as investors looked ahead to a much-anticipated Federal Reserve meeting later this week.

By MATTHEW CRAF

NEW YORK -- More signs of slowing economic growth in China weighed on companies that produce raw materials on Monday, pulling the stock market to a slight loss. Trading was light as investors looked ahead to a much-anticipated Federal Reserve meeting later this week.

Brad McMillan, chief investment officer for the Commonwealth Financial Network, said the market was likely to drift until the Fed wraps up its meeting on Thursday. "Everybody is waiting to see what happens when and if the Fed raises rates."

Until recently, many in the markets thought that the Fed would raise its benchmark interest rate at the end of its two-day meeting on Thursday. Now, opinions are split. Some analysts suggest China's slower economy and turbulence in financial markets might prompt the Fed to postpone its first rate increase since 2006. But the Fed's deputy chairman, Stanley Fischer, recently said he saw a "pretty strong case" for raising rates.

Major U.S. indexes opened higher, then quickly changed course. They sank slowly through the rest of the morning and remained lower through the remainder of the day. Miners and other materials companies had some of the biggest losses. Metals companies Alcoa and Nucor dropped 3 percent, while Freeport-McMoRan lost 2 percent.

The Standard & Poor's 500 index lost 8.02 points, or 0.4 percent, to close at 1,953.03.

The Dow Jones industrial average gave up 62.13 points, or 0.4 percent, to 16,370.96, and the Nasdaq composite fell 16.58 points, or 0.3 percent, to 4,805.76.

Apple reported strong demand for its latest iPhones, driving its stock up. The tech giant said that initial sales of the iPhone 6s and iPhone 6s Plus are on track to beat the tally from last year, when it sold a record 10 million large-screen iPhones during the first weekend. Apple climbed $1.10, or 1 percent, to $115.31.

In Europe, Germany's DAX closed with a gain of 0.1 percent while France's CAC-40 lost 0.7 percent. The FTSE 100 index of leading British shares slipped 0.5 percent.

Two economic reports out Sunday rekindled concerns over China's economic slowdown. Factory output and investment grew at a slower pace than forecast. China's main stock index, the Shanghai Composite, took another hard fall on Monday, dropping 2.7 percent

Elsewhere, Hong Kong's Hang Seng added 0.3 percent. Japan's Nikkei 225 lost 1.6 percent, and South Korea's Kospi lost 0.5 percent.

Back in the U.S., Raptor Pharmaceuticals lost more than a third of its market value after the drug developer said it may scrap development of a liver disease treatment because it failed to pass a key test. The company's stock plunged $4.51, or 37 percent, to $7.52.

Prices for U.S. government bonds barely moved. The yield on the 10-year Treasury note was little changed at 2.18 percent.

In commodities markets, industrial metals finished lower while precious metals ended mixed. Gold gained $4.40 to settle at $1,107.70 an ounce, and silver sank 14 cents to $14.36 an ounce. Copper dropped 5 cents to $2.41 a pound.

The price of oil fell on weakness in the gasoline market brought on by high fuel supplies and the end of the summer driving season. U.S. crude fell 63 cents to close at $44 a barrel in New York. Brent Crude, a benchmark for international oils used by many U.S. refineries, fell $1.77 to close at $46.37 a barrel in London.

In other futures trading in New York:

1. Wholesale gasoline fell 6.6 cents to close at $1.304 a gallon.
2. Heating oil fell 4.6 cents to close at $1.504 a gallon.
3. Natural gas rose 6.5 cents to close at $2.758 per 1,000 cubic feet.

Pinterest also will help Rocky's Ace Hardware reach additional consumers who may not have been exposed to the product assortment offered at their thirty four stores and online.

SPRINGFIELD - Rocky's Ace Hardware,announces the launch of their Pinterest site.

Pinterest, a social media site, will provide the opportunity for Rocky's to demonstrate expertise and credibility in many targeted areas. The social network is akin to a digital scrapbook, allowing individuals to "pin' or "like' images of items and projects they have interest in.

Pinterest also will help Rocky's Ace Hardware reach additional consumers who may not have been exposed to the product assortment offered at their thirty four stores and online.

The site is available here.

Rocco Falcone, president and CEO said:

"At Rocky's Ace Hardware. We enjoy engaging our customers. Pinterest is a great way to share project know-how. Everyone, including homeowners, craftspeople, the gardener and the home fix-it person will find fun content and helpful project tips here."

In conjunction with the launch, Rocky's is featuring a "Creative, Crafty and Canny" Canning Sweepstakes. This contest partners with Ball brand canning jars and seeks entries that show off the many creative uses for canning jars; from traditional canning of bright, crisp fruits and vegetables to eclectic crafting projects. The sweepstakes offers a venue for people to share their works and a chance to win some fabulous prizes. The contest runs through October 15, 2015.

The news comes as Colorado prepares for a "marijuana tax holiday" on Wednesday, during which the state is suspending marijuana-specific taxes for one day.

DENVER -- For the first time in history, a state has generated more annual revenue from taxes imposed on marijuana than from taxes imposed on alcohol.

According to the Colorado Department of Revenue, the state collected nearly $70 million in marijuana-specific taxes and just under $42 million in alcohol-specific taxes from July 1, 2014 through June 30, 2015 the Marijuana Policy Project, a marijuana policy organization based on Washington, D.C., reported.

The news comes as Colorado prepares for a "marijuana tax holiday" on Wednesday, during which the state is suspending marijuana-specific taxes for one day.

"Marijuana taxes have been incredibly productive over the past year, so this tax holiday is a much-deserved day off," said Mason Tvert, director of communications for the Marijuana Policy Project and a co-director of the campaign in support of the 2012 initiative to regulate and tax marijuana like alcohol in Colorado. "This will be the one day out of the year when the state won't generate significant revenue. Over the other 364 days, it will bring in tens of millions of dollars that will be reinvested in our state."

Attorney General Martha Healey earlier this month approved 22 questions to be placed on the November ballot next year, two of which call for the legalization of marijuana. Now, competing groups are starting to collect signatures from voters which would place questions on the ballot.

According to the Marijuana Policy Project, Colorado raised nearly $69,898,059 from marijuana-specific taxes in fiscal year 2014, including $43,938,721 from a 10 percent special sales tax on retail marijuana sales to adults and $25,959,338 from a 15 percent excise tax on wholesale transfers of marijuana intended for adult use. The state raised just under $41,837,647 from alcohol-specific taxes during the same period, including $27,309,606 from excise taxes collected on spirited liquors, $8,881,349 from excise taxes on beer, and $5,646,692 from excise taxes collected on vinous liquors. These figures do not include standard state sales taxes or any local taxes.

"It's crazy how much revenue our state used to flush down the drain by forcing marijuana sales into the underground market," Tvert said. "It's even crazier that so many states are still doing it. Tax revenue is just one of many good reasons to replace marijuana prohibition with a system of regulation."

Amended regulations bring electronic smoking devices under state regulation.

BOSTON - You must be at least 18 to buy electronic smoking devices known as e-cigarettes under final state regulations published Monday by Attorney General Maura Healey.

According to the Federal Drug Administration, electronic cigarettes, which are not regulated by the FDA, "are battery-operated products designed to deliver nicotine, flavor and other chemicals. They turn chemicals, including highly addictive nicotine, into an aerosol that is inhaled by the user," and how harmful they are is understudy.

Under the federal government's 2010 Family Smoking Prevention and Tobacco Control Act, retailers may "only sell cigarettes, cigarette tobacco, and smokeless tobacco to anyone age 18 or older," and must follow any state or local laws.

The amended regulations (pdf) are scheduled to go into effect Sept. 25 in the commonwealth and bring the sale of electronic cigarettes under state regulation.

Manufacturers who see some $1.5 billion in sales of e-cigarettes annually say that they are less harmful than traditional tobacco products.

The American Lung Association, concerned about the chemicals they contain, has called for their regulation, and at least one study has linked them to later tobacco use among teens.

The new regulations amend existing tobacco regulations to "for the first time cover electronic smoking devices, which includes any product that can deliver nicotine to users through the inhalation of vapor (such as e-cigarettes), and the component parts of such products (including liquids and gels, irrespective of whether such liquids and gels contain nicotine)."

Child-resistant packaging requirements apply by March 15, 2016 to the nicotine liquid and gel substances.

The nicotine levels, depending on concentration, in the e-liquids can be deadly to young children who ingest them.

The amended regulations require all business selling e-cigarettes "to verify that the purchaser is at least 18 years old. However, if the business is located in a municipality that has adopted a higher minimum sales age, the seller or distributor must verify that higher age. No verification is required for any person who appears to be 27 years of age or older."

In Massachusetts, the statewide age for purchasing cigarettes and other tobacco products is 18, but more than 50 communities, including Greenfield, South Hadley and Montague, have raised the age to 21. Leverett raised the purchasing age as well, and included e-cigarettes in its 21 years of age limit.

Healey called the amended regulations"an important step to further reduce youth smoking."

The final regulations were filed Friday with the Secretary of State's office.

Other points in the regulations:

• Prohibit sampling, promotional giveaways and other free distributions.


• Prohibit the sale of e-cigarettes in any manner other than face-to-face exchanges (with exceptions for vending machines in establishments open to persons over 18).


• Require that e-cigarettes be out of the reach of all consumers and in a location only accessible to store employees.

Mail order sales are not prohibited under the new regulations, but certain age-verification methods must be used.

The regulations were filed with the Secretary of State's office on March 13, and were informed by members of the public who submitted comments to the AG's Office. A public hearing was held on April 23 to discuss the regulations.

According to the Centers for Disease Control and Prevention and the FDA's Center for Tobacco Products, e-cigarette use among high school students increased from 4.5 percent in 2013 to 13.4 percent in 2014, rising from approximately 660,000 to 2 million students. Among middle school students, e-cigarette use more than tripled from 1.1 percent in 2013 to 3.9 percent in 2014--an increase from approximately 120,000 to 450,000 students.

The increase offset declines in use of traditional tobacco products.

The FDA has issued a proposed rule that would ban the sale of electronic cigarettes to minors and would add the devices to the list of tobacco products it regulates. Only e-cigarettes that are marketed for therapeutic purposes are currently regulated by the FDA

Boston Police Commissioner William Evans says lawmakers should pass a bill regulating ride-hailing companies like Uber and Lyft and requiring fingerprinting. Watch video

Boston Police Commissioner William Evans is calling on state lawmakers to pass legislation regulating ride-hailing companies like Uber, requiring "stringent" background screenings of drivers, including fingerprinting, and periodic inspections of the vehicles.

Speaking on behalf of Boston Mayor Marty Walsh, the city's top cop noted that companies like Uber have had a "positive" impact on the city.

But the drivers need to be fully vetted, Evans added, and some transportation network companies (TNCs) only conduct background checks going back seven years.

"That is clearly not enough," Evans said in his testimony to the Legislature's Joint Committee on Financial Services, which is considering several bills regulating the new ride-hailing industry.

"I can attest that there are cases being investigated by the BPD where individuals were driving for a TNC and had open, active criminal cases," said Evans, whose police department oversees taxis in Boston.

Citing incidents in Boston where consumers have been assaulted after getting into a car, wrongly believing they're stepping into a TNC car, Evans said the ride-hailing vehicles should also carry "distinctive markings" that let consumers know they're legitimate.

At the occasionally raucous hearing, supporters and opponents of Uber packed a State House auditorium on Tuesday, with cab drivers wearing yellow shirts, some saying "I'm a cab driver and I VOTE." Backers of Uber donned light blue shirts with the company's logo on the front.

Cab drivers say they want a level playing field, calling Uber an illegal operation that's eating into their business. Uber supporters say the popular company is providing consumers, who can hail an Uber ride through an app on their smartphone, with transportation choices.

Gov. Charlie Baker has proposed legislation that calls for background checks, but does not include fingerprinting of drivers.

A separate bill, filed by state Sen. Linda Dorcena Forry and state Rep. Michael Moran, both of Boston, includes fingerprinting, and is opposed by Uber. The bill prohibits Uber from "surge pricing" -- increasing the price of a ride during times of high demand - during emergencies.

Moran lashed into Uber for claiming their legislation would kill thousands of jobs in Massachusetts.

"I found that there is little room for debate on these issues when dealing with Uber. It has to be done on their terms and in their way," said Moran, whose testimony drew a standing ovation from the taxi industry's supporters.

State Rep. Aaron Michlewitz, D-Boston, who co-chairs the Financial Services Committee, told Moran he was also "disappointed" in Uber's response to the Moran-Forry bill.

Uber prefers Baker's bill, calling it "pro-consumer," and said the Moran-Forry bill limits competition.

"Instead of regulating companies, [the bill] puts burdens directly on drivers that will discourage people from signing up to drive - including fingerprint checks not currently required of taxi and limo drivers and economically burdensome and duplicative insurance coverage. If such a proposal were to become law, it would effectively ban ridesharing services from Massachusetts," said Meghan Joyce, Uber's East Coast general manager.

The Financial Services Committee is expected to hammer out its version of the various bills later this year.

Earlier in the hearing, Daniel Bennett, Baker's public safety chief, said the governor's bill places the companies under the state Department of Public Utilities, provides an "equal playing field" for commercial drivers, and includes one of the strongest state-level background checks in the country.

Bennett said municipalities would still be able to include fingerprinting in their checks if they choose to do so.

The Baker bill also sets up an advisory council with representatives from local cities and towns, and calls for vehicles to be clearly marked as transportation network automobiles.

Baker administration officials noted their bill is backed by business groups, including the Greater Boston Chamber of Commerce and the Associated Industries of Massachusetts.

The testimony from Baker officials drew applause from Uber supporters and boos and hisses from supporters of cab drivers.

In his testimony, Evans said transportation network companies should more readily share information with police when a crime is under investigation.

It's sometimes been difficult to obtain the information, while in the case of all taxis in the city, police officers have "instant access" to the taxi's GPS and information on all taxi drivers, according to Evans.

Taxis are also inspected twice a year, while transportation network vehicles are currently not inspected at all, he added.

"Standards must be developed for these vehicles, and inspections done periodically to ensure the public's safety," Evans said.

The City of Westfield License Commission approved alcoholic beverage licenses for two businesses scheduled to open on Elm Street, the Westfield News reported.

Westfield residents may soon have two new places to put back a cold one.

The City of Westfield License Commission approved alcoholic beverage licenses for two businesses scheduled to open on Elm Street, the Westfield News reported.

Both businesses will be located on the now-vacant sites of former bars. The Pahk, a planned sports bar run by Richard Dowling, will occupy the 285-287 address of the former Fired Up bar, and Ebenezer's Bar and Grill, owned by Dave Ebenezer, will fill the space left by the former Paddy's Irish Pub, according to the News.

Ebenezer is the operator of Ebenezer's Pub in South Hadley and Dowling told the board he has experience in the food and alcohol service industries, the News reported. The board required that both applicants submit security plans with their applications.

Ebenzer's will offer a menu of pub dishes, while The Pahk will stick to packaged snacks, the News reported.

The filling of two Elm Street storefronts could be welcome news for the city's Community Development Office, which conducted a survey this spring which found an elevated store front vacancy rate in the city's downtown.

An online survey of Westfield residents, released last month, found an appetite for more entertainment and dining options downtown, though respondents did not voice support for adding more bars.

The state Board of Elementary and Secondary Education voted April 28 to put the Holyoke schools in receivership because of years of poor academic performances.

HOLYOKE -- Fran O'Connell Tuesday (Sept. 15) renewed the challenge to his opponents in the race for mayor to debate about education and what he called the "failures" of Mayor Alex B. Morse that led the state to seize control of the public schools.

"Of particular importance is the current administration's lack of leadership regarding state receivership of the Holyoke public school system," O'Connell said in a statement from public relations firm Market Mentors of West Springfield.

"The citizens of Holyoke deserve answers about the failure of our schools and what a new direction looks like for our students, local businesses and the taxpayers that have been the victims of this broken system," he said.

Morse said O'Connell is late to the game because Morse began calling for debates Aug. 5. Morse also said that O'Connell was failing to recognize progress in the schools and that state officials have made clear that placing the schools in receivership was a state decision alone.

The mayor in the Holyoke form of government is chairman of the School Committee.

The third candidate in the race for mayor, Anthony Soto, the Ward 2 representative on the City Council, said he agreed with O'Connell on the need to debate education issues and Morse's school leadership.

O'Connell, Morse and Soto are competing in the preliminary election Sept. 22. Those who finish first and second will move onto compete on Election Day Nov. 3 while the third-place finisher will be eliminated.

The candidates are taping a debate Wednesday (Sept. 16) at WWLP-TV, Channel 22, in Chicopee to be broadcast Sunday, Morse said.

The state Board of Elementary and Secondary Education voted April 28 to place the Holyoke public schools in receivership. The extraordinary step was necessary because students' academic abilities were chronically low and the system had failed to improve despite years of warnings, state officials said.

On June 1, Stephen K. Zrike Jr., formerly superintendent of schools in Wakefield, was appointed receiver in control of the Holyoke schools by Mitchell D. Chester, commissioner of the Department of Elementary and Secondary Education.

The receiver has complete authority over school personnel and other decisions, supplanting the superintendent and School Committee. Zrike took control July 6.

O'Connell, who founded the business O'Connell Care at Home here in 1987, has called the state take over of the schools a "travesty."

Morse said it was curious that O'Connell was showing interest in the public schools only since he became a candidate for mayor, but O'Connell said Tuesday, "My conversations with the citizens of Holyoke started long before my campaign."

"We have been frustrated and let down time and time again by the current administration. It is time to get to the bottom of why these failures happened and what we are going to do about improving our city," O'Connell said.

"I am not alone in this request for accountability and am willing to stand up and lead Holyoke in a new direction. Let's talk about this issue and set forth a plan to execute positive change," he said.

Debates would allow for such public discussions, he said.

Morse said, "I welcome any debate. In fact, I'm the one who initially called for debates. And the topic of education was debated (in a radio debate Sept. 11) as well."

Most of the city budget of $125.5 million, about $64.4 million, is devoted to the schools.
The School Department has about 1,100 employees and a student enrollment of about 5,800.

Morse, who is seeking a third term, began as mayor in January 2012 but the state was issuing warnings about the schools here years before he took office. In spring 2010, Morgan School and Dean Technical High School were among 35 statewide that were categorized as Level 4 schools, meaning they were the state's most struggling schools.

Morse said receivership was a plight "none of us wanted ... but there appears to be a new sense of hope and optimism for our district."

Planned and new programs allow for a sense of optimism, he said. They include an urban teacher academy, which would let public schools students attend college for free in exchange for teaching in the district for at least five years; pathways to success, which encourages students who dropped out to earn a diploma by attending night and online classes; the Holyoke Early Literacy Initiative, an effort to improve reading abilities by third grade, considered a key year in a child's development; and an expansion of pre-kindergarten classes, he said.

He reiterated comments he made last week in response to O'Connell's criticisms about his role in the schools falling into receivership, saying the criticisms showed O'Connell had failed to do homework about the issue.

"Had he paid any attention to our school district before he decided to run for mayor, he would know about the programs we've implemented and the progress we've made," Morse said.

"I must say, however, that I was surprised to hear such a heavy-handed condemnation of receivership from a man who, on June 26, told The Reminder that receivership was 'the ultimate opportunity' for our school district,'" Morse said.

"Now with Election Day fast approaching, he calls receivership a 'travesty' and pins the blame on me. This may be smart politics for Mr. O'Connell, but it does nothing to improve our schools."

In previous statements, Soto, who has said he opposed the state receivership decision, said the city was fortunate to have numerous organizations to work with in helping the schools.

"There is a lot to be done," Soto said.

"I agree with Fran on a debate on this important issue," Soto said Tuesday. "The current administration's record of saying this wasn't his fault is defaulting the leadership that the mayor, as school committee chair, has."

Gov. Baker called FutureWorks demand-style workforce development, preparing folks by giving them the skills employers need.

SPRINGFIELD - When Gina Cusson of Westfield told Gov. Charlie Baker Tuesday that she'd applied for a job as a payroll clerk at the Hampden County Sheriff's Department, he had a surprise for her.

Baker was visiting a class on job interview skills Cusson was taking at FutureWorks Career Center in Springfield  and he had a phalanx of public officials in tow. Baker  took Cusson by the hand and introduced her to Sheriff Michael Ashe.

Baker made the introduction and made sure Cusson, who has worked in payroll for 16 years before her recent layoff, asked for an interview.

"I've never been in this position before," Ashe said. "Out of respect for the governor, sure."

Cusson said she was learning the basics of applying for and securing a job  Tuesday.

"I haven't been on a job interview in 16 years," she said.

Baker also met with potential employers Baystate Health and its insurance arm Health New England Tuesday as well as hearing from FutureWorks staff members about how the local job market is changing and what FutureWorks is doing to link job seekers up with the skills that companies need.

"I'm a big believer in what I call demand-style workforce development," Baker said. "It looks at what kinds of skills are in demand out there in the workplace. It takes that approach to skill-building."

Baker was on a swing through Western Massachusetts during which he also announced $17 million toward the rehab of Lyman Terrace housing project in Holyoke. 

The job market is improving said Future Works Executive Director Kevin Lynn.

It's an assessment borne out by statistics. Nationally, the national unemployment rate fell in August to 5.1 percent from 5.3 percent in July and from 6.1 percent a year ago.

Locally, in July for the city of Springfield, the unemployment rate rose six-tenths of a percentage point to 9.8 percent for July, up from 9.2 percent in June. But the rate remained lower than 11.7 percent unemployment rate recorded in July 2014.

But the number of long-term unemployed remains high, said Lynn. Also, a high number of unemployed people today lack the skills that are in demand, skills in health care, machine technology and other industries.

The center gets about 12,000 customers each year looking for help finding a job or job training, he said.

"A lot of the people we see now have a barrier between them and employment. It might be a physical barrier or a skills barrier. Our job is to remove those barriers."

Funding can be an issue, said Joseph Mineo, a manager of Workforce Investment Act programs at FutureWorks. FutureWorks and CareerPoint in Holyoke  share about $600,000 a year to retrain the jobless.

"Our fiscal year begins in August and here, bu the end of September or beginning of October, the money is running out," he said.

Lynn said FutureWorks times a lot of its programs to fit in with community college semesters.

Springfield Technical Community College President Ira H. Rubenzahl also met with the governor Tuesday. Mayor Domenic J.Sarno was there as well.

Speaking with reporters, Baker answered questions about funding. He did praise a 2014 change in federal policy that added flexibility to federal work force training grants. Baker noted that the change was brought about with a bipartisan effort in Washington.

Holyoke councilors also will consider measures about spending nearly $200,000 more for school heating systems and a limit on campaign signs.

HOLYOKE -- The City Council Tuesday (Sept. 15) will receive a petition signed by dozens of residents who oppose Mayor Alex B. Morse's proposal to establish a storm water runoff fee and want the council to hold a public hearing.

Follow along as live reporting of the City Council's 7 p.m. meeting at City Hall is posted in the comments section under this story.

The council also will consider:

--its Finance Committee's report on a request to borrow $194,000, on top of $750,000 previously approved, for heating and ventilation systems at Morgan School, 596 South Bridge St., and E.N. White School, 1 Jefferson St. The projects' cost is higher than the original estimate because of design expenses that turned out to be higher than officials thought when they submitted the projects' plan to the state to get in line for reimbursement. The state will reimburse 80 percent of the cost, committee Chairman Todd A. McGee said Monday.

--a proposal from Councilor at Large Peter R. Tallman to limit when campaign lawn signs can be displayed;

--a clash between the city and Gandara Center of West Springfield over the social services organization's lease of space at the former Holyoke Geriatric Authority, 45 Lower Westfield Road.

The city began the fiscal year July 1 with a municipal budget of $125.5 million and a deficit of $2.5 million.

About half the deficit is in the sewer fund. To eliminate the sewer fund deficit, Morse has proposed the City Council establish a storm water management fee on home owners of about $50 a year and business property owners of $100 to $1,000 a year.

The residents' petition (see below) contains 66 signatures and seeks a City Council public hearing on the proposal, which Morse has yet to submit formally to the council to adopt.

Keith Davis, whose signature is first on the petition, said Tuesday a fee for storm water runoff would be unfair to residents that have private sewer systems, as well as to businesses.

"Businesses should be up in arms about this," Davis said.

Morse included plans for the storm water fee in a letter that accompanied the budget he proposed for the current fiscal year to the City Council in May.

Council President Kevin A. Jourdain said the residents' petition about the storm water fee likely would be referred to the council Finance Committee.

A proposal from the mayor to establish such a fee would go to the council Ordinance Committee, he said.

Morse has said the fee is not necessarily a new charge on taxpayers because the practice for years has been to use the general fund, which consists of revenue from taxpayers, to retire the sewer fund deficit annually. The storm water fee would just change how that cost -- which is already being paid by home and business property owners -- gets addressed, Morse has told The Republican and MassLive.com.

A storm water fee to address management of the runoff of rain is a more fair way to deal with the sewer fund deficit than a sewer rate increase, he said. That's because while some homeowners are on private systems and not the city sewer system, all property owners contribute to the runoff that filters into the sewer system, he said.

But others, including Fran O'Connell, who is running against Morse in the preliminary election on Sept. 22, have said that the proposed storm water fee is just another tax and that another tax is unacceptable.

Holyoke residents' petition vs. storm water runoff fee

Subway co-founder Fred DeLuca, who turned a sandwich shop he started as a teenager into the world's largest fast-food chain, died Monday evening. He was 67.

NEW YORK -- Subway co-founder Fred DeLuca, who turned a sandwich shop he started as a teenager into the world's largest fast-food chain, died Monday evening. He was 67.

DeLuca's death came two years after Subway said he had been diagnosed with leukemia and was scaling back on his leadership role at the company. It also came just weeks after the 50th anniversary of Subway, which is known for its "Footlong" sandwiches and says it has more than 44,000 locations around the world.

The company traces its roots to 1965, when DeLuca opened a sandwich shop at the age of 17 to help pay for college. The idea came from a family friend, Peter Buck, who was co-founder and provided the $1,000 to start the business.

"I knew nothing about making sandwiches, nor the food industry," DeLuca later wrote in a book.

DeLuca and Buck opened their first store in Bridgeport, Connecticut under the name "Pete's Super Submarines," with the priciest sub selling for 69 cents. The name was changed to the snappier "Subway" in 1968, and the pair decided to fuel growth by franchising, or letting others open Subway stores in exchange for fees.

By 1988, Subway had 2,000 locations. By 1990, it reached the 5,000-store mark. And by 1994, it had more than 8,000 locations.

Subway, based in Milford, Connecticut, is privately held and doesn't publicly report its financial performance or executive pay packages. But this year, Forbes magazine pegged DeLuca's net worth at $3.5 billion, making him the 259th-richest individual in the United States.

In July 2013, Subway announced that DeLuca had been diagnosed with leukemia. It said DeLuca was in regular contact with his management team, but on a reduced basis as he received treatment. Then earlier this summer, Subway said DeLuca's younger sister, Suzanne Greco, would take over as president and oversee day-to-day operations. DeLuca remained CEO.

The company did not immediately say Tuesday if a successor had been named as CEO.

Subway has been facing some recent challenges in addition to DeLuca's health. The company said this summer that it cut ties with longtime pitchman Jared Fogle, who agreed to plead guilty to allegations he paid for sex acts with minors and received child pornography.

In addition, some feel Subway has overextended itself with its more than 27,000 U.S. locations. Last year, average sales at established U.S. locations fell 3 percent, according to Technomic.

In DeLuca's book "Start Small Finish Big: Fifteen Key Lessons to Start -- and Run -- Your Own Successful Business," DeLuca recalled living in public housing in the Bronx as a child. His father hadn't graduated high school, but his mother had stressed the importance of education while growing up.

After he graduated high school, DeLuca had planned on becoming a doctor. That was why he started the sub shop with Buck -- to support his college education.

"It wasn't intended to support me forever," DeLuca wrote.

DeLuca is survived by his wife, son and sister, according to Subway, which announced his death Tuesday.

Policymakers at the U.S. central bank are scheduled to convene a two-day meeting on Wednesday and may decide to raise interest rates for the first time in close to a decade.

By STEVE ROTHWELL

NEW YORK -- U.S. stocks rose sharply on Tuesday, a day before the start of a crucial Federal Reserve meeting.

Policymakers at the U.S. central bank are scheduled to convene a two-day meeting on Wednesday and may decide to raise interest rates for the first time in close to a decade.

Opinions are divided among investors and economists as to whether the Fed will, or even should, raise interest rates this month. On the one hand, hiring in the U.S. is continuing to improve and the housing market is recovering. On the other, there are signs that weakness in the global economy could impact the U.S. economy.

Fed policymakers have kept the central bank's benchmark rate close to zero for almost seven years, supporting both the economy and the stock market.

The sharp gains on Tuesday came after some mixed reports that showed weakness in some parts of the economy. While retail sales edged higher last month, factory output fell in the same period as automakers cut back on production. A New York Fed survey showed that factory activity in New York state sank for a second straight month in September.

"It's almost as if the market believes the Fed isn't going to do anything on Thursday. That's why people are bidding it up," said Kevin Mahn, Chief Investment Officer at Hennion & Walsh Asset Management in New Jersey. "However, I do believe (raising rates) would be the right thing for the economy...it's time."

The Dow Jones industrial average climbed 228.89 points, or 1.4 percent, to 16,599.85. The Standard & Poor's 500 index climbed 25.06 points, or 1.3 percent, to 1,978.09. The Nasdaq composite advanced 54.76 points, or 1.1 percent, to 4,860.52.

The gains were led by industrial stocks. The sector had been among those hit worst by the recent global sell-off as investors worried about the outlook for global demand.

"People have been overly pessimistic on global growth," said Scott Wren, senior global equity strategist at Wells Fargo Investment Institute. "I think they are going to be surprised....you are going to see a little bit more stability."

The stock market has recovered some of its losses in August and early September, but is still down from its peak of the year as traders and investors fret about the possible impact of slower growth in China and other emerging markets. The S&P 500 has dropped 7.2 percent from its record close set in May.

Despite the bounce Tuesday, some investors believe that the market's slump may yet have some way to run.

Michael Ball, President of Weatherstone Capital Management, is playing it safe by holding more cash. He says that the outlook for stocks is deteriorating against a backdrop of moderately rising interest rates and the prospect of weakening corporate earnings.

"Frankly, we are very concerned about the market," said Ball. "You may get a bounce out of here, but without improving earnings and better global economic growth, it may be short-lived."

Earnings for S&P 500 companies are expected to slump 4.1 percent in the third-quarter, according to S&P Capital IQ.

Energy stocks got a lift on Tuesday as oil prices rose.

The price of oil rose on further signs of declining oil production in the U.S. The price of U.S. oil rose 59 cents to $44.59 a barrel. Brent crude, a benchmark for many international types of oil imported into the U.S., gained 26 cents to $46.63 a barrel.

In government bond trading, prices fell. The yield on the 10-year Treasury note rose to 2.29 percent from 2.18 percent on Monday. The dollar rose to 120.42 yen from 120.30 yen late Monday. The euro dropped to $1.1272 from $1.1309.

In metals trading, gold fell $5.10 to $1,102.60 an ounce. Silver fell 4 cents to $14.33 an ounce and copper gained 2 cents to $2.43 a pound.

In other energy futures trading:

1. Wholesale gasoline rose 2.9 cents to $1.333 a gallon
2. Heating oil fell less than a penny to $1.50 a gallon
3. Natural gas slipped 3 cents to $2.728 per 1,000 cubic feet.

There are voting machines for each of the 14 Holyoke precincts and two back-ups.

HOLYOKE -- All 16 of the city voting machines worked well during tests Tuesday (Sept. 15) in anticipation of the Sept. 22 preliminary election, City Clerk Brenna Murphy McGee said.

"We had zero issues. Everything went smooth and all machines were put into election mode and are ready to go," Murphy McGee said.

The city has 14 of the electronic Diebold AccuVote machines, one for each of the precincts, and two back-ups. The machines tabulate votes by reading ovals filled in by voters with black markers on paper ballots fed into the machines, which Murphy McGee said are 15 to 20 years old.

Testing is done with a test deck of 50 ballots. The ballots are filled in randomly and hand counted. The hand counted numbers must match each machines totals, she said.

The only race on the preliminary election ballot is a three-way competition for mayor between Mayor Alex B. Morse, who is seeking a third term, Fran O'Connell, founder of the business O'Connell Care at Home, and Anthony Soto, who is in his second term as Ward 2 city councilor.

The top two vote-getters in the preliminary election will move onto the Election Day ballot Nov. 3. Finishing third place means elimination.

Hewlett-Packard Co. is preparing to shed up to another 30,000 jobs as the Silicon Valley pioneer launches into a new era in the same cost-cutting mode that has marred much of its recent history.

SAN FRANCISCO -- Hewlett-Packard Co. is preparing to shed up to another 30,000 jobs as the Silicon Valley pioneer launches into a new era in the same cost-cutting mode that has marred much of its recent history.

The purge announced Tuesday will occur within the newly formed Hewlett Packard Enterprise, a bundle of technology divisions focused on software, consulting and data analysis that is splitting off from the company's personal computer and printing operations.

The spinoff is scheduled to be completed by the end of next month, dooming 25,000 to 30,000 jobs within HP Enterprise. The target means 10 to 12 percent of the 252,000 workers joining HP Enterprise will lose their jobs as part of the company's effort to reduce its expenses by $2 billion annually.

Roughly 50,000 workers will remain at HP Inc., which become the new name for the company retaining the PC and printer operations.

The cuts expand upon austerity measures that HP has been pursuing for years to offset the damage caused by acquisitions that haven't panned out and a technological shift from PCs to mobile devices that reduced demand for many of the company's key products.

HP has already jettisoned 55,000 jobs during past few years under CEO Meg Whitman, who will be the leader of spun-off HP Enterprise. In an illustration of how far HP has fallen, its job cuts are being made while many other technology companies better positioned to take advantage of the mobile evolution have been on hiring sprees.

For instance, Google's workforce has swelled by 25,000 employees, or 77 percent, during the past four years.

HP's layoffs have been demoralizing blow to a company that provided a template for future Silicon Valley entrepreneurs when William Hewlett and David Packard founded it 76 years ago in a Palo Alto, California, garage. Hewlett and Packard later embraced an employee-friendly philosophy that became known as the "HP Way."

Things began to change at the outset of this century under former CEO Carly Fiorina, now a candidate for the Republican Party's nomination in the 2016 race for president. Fiorina engineered a $25 billion acquisition of PC maker Compaq that angered many shareholders, including heirs of the company's founders. She cut more than 30,000 jobs before she was fired a decade ago.

Fiorina's successor, Mark Hurd, also lowered expenses through much of his tenure and orchestrated an acquisition of technology consultants EDS that many analysts believe did more harm than good. Hurd stepped down in 2010 in a dispute over his expenses and his involvement with an HP contractor.

Despite the upheaval, HP remains one of the world's biggest technology companies. HP Enterprise expects to have more than $50 billion in annual revenue.

Whitman is touting the splintering of HP as a way to breathe new life into two companies that will be better suited to innovate in their own product areas and take care of their customers.

HP Enterprise focuses primarily on businesses and government agencies, while the PC and printing divisions depend on the consumer market for a significant chunk of their revenue.

"Hewlett Packard Enterprise will be smaller and more focused than HP is today," Whitman promised in a Tuesday statement.