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P 081909Z FEB 08
FM AMEMBASSY LA PAZ
TO RUEHC/SECSTATE WASHDC PRIORITY 6395
INFO RUEHAC/AMEMBASSY ASUNCION 7562
RUEHBO/AMEMBASSY BOGOTA 4933
RUEHBR/AMEMBASSY BRASILIA 8838
RUEHCV/AMEMBASSY CARACAS 3269
RUEHPE/AMEMBASSY LIMA 3490
RUEHQT/AMEMBASSY QUITO 5904
RUEHSG/AMEMBASSY SANTIAGO 0517
RUEHSO/AMCONSUL SAO PAULO 2183
RHEHNSC/NSC WASHINGTON DC
RUEAIIA/CIA WASHINGTON DC
RUCQSAD/USSOCOM SORTS MACDILL AFB FL

C O N F I D E N T I A L LA PAZ 000259 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: DECL: 01/03/2017 
TAGS: PGOV PREL KPAS EAID MGMT PINR BL
SUBJECT: SANTA CRUZ CALLS FOR MAY 4 VOTE ON AUTONOMY WHILE 
EMBASSY INAUGURATES VPP SITE 
 
REF: LA PAZ 150 
 
Classified By: ECOPOL Counselor Mike Hammer for reason 1.4 (b) and (d). 
 
¶1. (U) The Ambassador's January 31-February 1 visit to Santa 
Cruz coincided with Prefect Ruben Costas' call for a 
referendum on the Santa Cruz autonomy statute to be held on 
May 4, 2008.  The prefect and the departamental council 
issued a resolution calling for the vote, and the 
Constitutional Court must approve or negate the resolution 
within eight days.  Vice Minister for Coordination of Social 
Movements and Civil Society Sacha Llorenti declared the 
resolution illegal, arguing that referenda can only be 
convoked by the Congress. 
 
¶2. (C)  Costas told the Ambassador that Santa Cruz was 
determined to follow through, step by step, on its quest for 
autonomy.  He did not expect the national dialogue between 
President Evo Morales and the nine departamental prefects to 
achieve the desired results for the opposition: reversing the 
cuts in hydrocarbon revenues (IDH) distributed to the 
prefects and making significant changes to the government's 
draft constitution, including significant powers for 
autonomous departments.  Forseeing an eventual breakdown in 
the dialogue, Costas and the other opposition prefects would 
then push for a recall referendum to stall any constitutional 
referendum.  Costas believes most, but not all, prefects 
would win any recall referendum.  The prefect also expressed 
his extreme displeasure with OAS SYG Insulza's recent visit 
to Bolivia and public remarks endorsing the Morales 
government.  Costas spoke in depth about the crisis caused by 
heavy rains and flooding throughout Santa Cruz Department and 
the need for heavy investments in infrastructure, including a 
new dam and road repairs, to prevent further losses of lives 
and livelihood.  The cuts in IDH directly affect the 
prefect's ability to carry through on those urgently-needed 
projects. 
 
¶3. (SBU) Similarly, interlocutors from the Santa Cruz Civic 
Committee opined that the national dialogue was going 
nowhere.  They repeated previous claims (reftel) that it was 
a useful delaying tactic while they worked at the grass-roots 
level to promote the autonomy statute.  On the other hand, 
they admitted the ruling MAS party is working equally hard at 
the grass-roots level to promote the draft constitution. 
 
¶4. (U) In addition to meeting with political and business 
leaders, the American Presence Officer and mission personnel 
organized an aggressive agenda of public outreach to 
highlight U.S. activities in Santa Cruz: 
 
-- The Ambassador inaugurated the new Virtual Presence Post 
website "Enfoque Santa Cruz," with participation by the 
Prefect, the Mayor, the Municipal Council President, and 400 
guests including all the major local press.  Personnel from 
embassy agencies/sections were on hand to explain the various 
USG programs in Santa Cruz. 
 
-- The Ambassador announced a donation of humanitarian aid 
for flood victims, and the USAID Director delivered relief 
supplies to citizens in the municipality of San Pedro. 
 
--The Ambassador visited the Santa Cruz Binational Center and 
met with beneficiaries of the John F. Kennedy scholarship 
program, which grants English scholarships to poor students 
in public high schools who excel in academics and leadership. 
 At the same time, he inaugurated a poster show on civil 
rights and announced a new English scholarship program 
"Martin Luther King: College Horizons" for Afro-Bolivian and 
indigenous students. 
 
-- The Ambassador highlighted USAID's Santa Cruz Business 
Development Center assistance to small and medium 
enterprises, including a metallurgical company that is the 
first in Bolivia to obtain certification by the American 
Society of Mechanical Engineers thanks to USG assistance. 
 
-- The Ambassador visited Peace Corps Volunteers working on 
agricultural and microenterprise projects, and met with 
beneficiaries of the volunteers' programs. 
GOLDBERG