Updated

Now some fresh pickings from the Political Grapevine:

Diplomatic Distress

Libya may have finally restored diplomatic relations with the U.S. after 25 years, but it still can't reopen its embassy in Washington.

That's because the city has refused to turn on water services saying Libya owes more than $27,000 in delinquent water and sewer bills.

Libya calls that claim ridiculous since it hasn't occupied the property since the U.S. cut diplomatic ties in 1981.

Libya has filed suit in federal court to get the water flowing and is seeking $1 million in damages.

Self-Destructive Strategy?

A Washington Post reporter says Israel wants Hezbollah to kill civilians because it's good PR.

Appearing on CNN, Tom Ricks said military analysts tell him: "Israel purposely has left pockets of Hezbollah rockets in Lebanon because as long as they're being rocketed they can continue to have a sort of moral equivalency in their operations in Lebanon." He added: "It helps you with the moral high ground problem because you know your operations in Lebanon are going to be killing civilians as well."

Ricks is standing by his comments despite a public outcry, but tells radio's Hugh Hewitt, "I wish I'd kept my mouth shut."

Democrat Drama

Pollster Dick Bennett has been surveying New Hampshire voters for 30 years and says he's never seen a candidate get a more unfavorable reaction from her own party than Hillary Clinton.

Forty-five percent of likely Democratic voters are as negative about the New York senator as Republicans are. But Bennett says the real story is just how much they dislike her.

Bennett tells the Boston Herald that Democrats describe Sen. Clinton with words like "criminal," "fraud" and "satanic," calling her everything from a "Machiavellian shrew" to an "evil, power-mad witch."

And those are the Democrats.

Campaigning From the Grave

And if you ever wondered about the impact of negative campaigning, listen to this.

Former Nevada Controller Kathy Augustine, who surprised local pundits by running for state treasurer after being impeached, is now running neck and neck with her main opponent in advance of next week's Republican primary.

Augustine has one big disadvantage though: She died on July 11.

A GOP insider tells the Las Vegas Review Journal that Augustine has benefited from a brutal campaign between the other two candidates, leaving her the only one who hasn't gone negative.

If Augustine wins, state Republicans will pick a replacement candidate for the general election.

Naked Protest

An Alabama man arrested for walking along the highway in just his boots and a cowboy hat last month — naked to his eyebrows as they say — now says the move was a protest against the war in Iraq.

Gerald Lynn Kelley was charged with public lewdness and says he hopes his nude jaunt will encourage people to speak out against the war — though it's not clear how.

His only regret? His naked protest happened to pass by a church event in a nearby park.

—FOX News Channel's Aaron Bruns contributed to this report.