Thanks! I hope you're having a great New Year, too!
The problem you have is that the redirection is absolute - as far as Apache knows, you've redirected to a DIFFERENT domain. Because there is no need to repeat the domain with an internal redirection, just leave off the http://localhost/. Then, there is no reason to duplicate the regex which is (and should be) in the RewriteRule with your RewriteCond so just eliminate the RewriteCond statement (it's redundant - which makes its use wasteful of your Apache resources).
In other words, all you need is ...
... which can be transferred to your production website without changing the domain name!
RewriteRule news/$ menu.php?ph_sc_menu_id=9 [L]