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Archive for the ‘Civil Service’ Category

State Civil Service employees have gone without a 4 percent merit pay raise for three years now because of budgetary restrictions, brought on in large part by a Piyush Jindal administration that refuses to apply for federal grants for needed projects and by Jindal’s insistence on granting more and more tax breaks to corporate entities who take the money and, in at least one case, cease operations within a year or so.

No one is saying that grant money can be used to fund employee pay raises but when federal funds for broadband internet ($80.6 million), early childhood development ($60 million), and $5 billion a year in tax exemptions are taken out of the budgetary mix, the money must be made up from other sources.

Because of constitutionally mandated spending, there are only two areas where cuts may be made: higher education and health care. And of course, there is always the suspension of pay raises.

Accordingly, Curt Eysink, executive director of the Louisiana Workforce Commission (LWC)–once known by its archaic nom de plume, the Department of Labor–sent an email to all his employees on Sept. 26 which informed them thusly:

Dear Fellow LWC Employees,

As you are aware, the LWC has experienced significant reductions in funding over the last four years as the demand for our services increased. That has put a lot of added pressure on many of you, and you should know that your efforts are greatly appreciated. Unfortunately, the combination of funding reductions and increased services also puts a tremendous strain on our budget, and we continue to struggle to maintain staffing levels in certain areas.

Yesterday afternoon, I submitted a request to Civil Service for the Layoff Avoidance Measure of withholding performance adjustment pay increases (or merit increases) for the upcoming year. I sincerely regret that this is necessary for a third year in a row, but I made this request to minimize the impact of budget pressures on our levels of staffing and on the agency.

I appreciate your dedication and patience as we work through these tough financial times. If you have any questions, please feel free to contact me.

Well, wasn’t that special? Eysink, in an effort to avoid layoffs, was willing to allow his employees to bite the bullet on behalf of the greater good by denying them pay raises, even though he “sincerely” regretted the action.

But wait. While he was sacrificing 4 percent increases for virtually his entire agency, Eysink was apparently attempting a backdoor salary bump of some $20,000 per year (40.8 percent), from $47,570 to $67,000, for a single employee.

Jonie Smith, Emerging Workforce Manager (for programs involving community action agencies, veterans and disabled workers), was approved by the state Civil Service Commission for an increase from $47,570 to $67,000 despite restrictions that would have limited her increase to only $53,000.

This is the same Civil Service Commission that rubber stamped the privatization plan for the Office of Group Benefits that will cause about 120 workers in that agency to lose their jobs. (Is it just us, or does anyone else see the Civil Service Commission as becoming just another Jindal dancing monkey in much the same mode as the Ethics Commission and the Louisiana Legislature?)

Not that one member, at least, didn’t try to discourage the big raise.

Briefly, here’s a recap of what went down:

Smith apparently got a job offer from the private sector and Eysink felt she was just too valuable to lose. Civil Service rules allow a state agency to match a private sector offer and in this particular case a match would have boosted her salary by $5,430, or 11.4 percent—nearly three times the 4 percent merit raise for state employees—if such raises still existed, which, of course, they don’t.

Even at that, agency officials lobbied for $67,000, causing commission member Scott Hughes to balk. Hughes observed that a lot of good employees have already been lost to layoffs. Another 1500 or so are slated to lose their jobs (just in time for Christmas, no less) through massive cutbacks in services by the LSU healthcare system.

“I’m not going to cast a vote to set a precedent for one employee,” he said, adding that other agencies might attempt similar moves. “I believe it’s a barn door we are opening that will not get shut.”

Commission Vice Chairman John McLure pooh-poohed Hughes’s concerns. “Given the current economic situation and the downsizing we have approved, we won’t see much of this,” he said somewhat incredulously.

Apparently, McLure has not been paying close attention to the news lately (see Tim Barfield, whom Jindal appointed Revenue Secretary at twice the salary of his predecessor).

It should also be noted that while Eysink pays the obligatory lip service to his employees by telling them how much he values and appreciates their dedication and patience, at least one staff member is valued and appreciated considerably more than the rest. Either that or he’s simply lying about how much he appreciates his workers in the first place. Of course, lying is certainly not new to this administration.

Remember Jindal’s disingenuous State Employee Appreciation proclamations the past three years? Were they not so cynical and such classic examples of sick humor, they’d almost be laughable. Almost.

Hughes did have one ally in Civil Service assistant director Jean Jones.

While Ashley Gautreaux, LWC human resources director described Smith, who has worked for the agency since December of 2010, a “critical” employee, Jones said based on Civil Service records, Smith barely meets minimum job qualifications for the job she is in.

The commission predictably went along with the $19,430 per year pay raise with Hughes casting the only negative vote.

One LWC employee emailed LouisianaVoice expressing an attitude of being quite “p—sed” at the action.

That’s certainly easy to understand. Jindal has completely ignored this state since his re-election (with the exception of opportunities for camera face time during Hurricane Isaac). He is rarely even in the state anymore even as a dangerous sinkhole has caused evacuations in Assumption Parish. He is nowhere to be found even as the state’s economy is tanking, causing cutbacks in medical care, budget cuts to higher education which in turn precipitated tuition increases for already financially-strapped students—all while he pumps up salaries for his appointees (see Tim Barfield), fires doctors and college presidents and attorneys and continues to campaign for president—a goal, by the way, that he will never reach.

The question then is, with more than three years left for him to turn his nose up at the citizens who elected him, how much more of this boorish behavior is the state citizenry—and the legislature—willing to take off this arrogant Alfred E. Newman lookalike?

Perhaps Hammond attorney C.B. Forgotston said it best when he said it is time for us to move on because Bobby has. “It’s time for us to admit the truth: Bobby Jindal is finished with Louisiana,” he said.

“Bobby’s future is beyond the borders of Louisiana and he shows it every day. It’s time for the legislators to determine what type of state in which they want to live, not what Bobby leaves us.”

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A Louisiana Attorney General’s opinion released Friday has accused the administration of Gov. Piyush Jindal of attempting an end run around the legislature in its efforts to privatize the Office of Group Benefits (OGB).

Meanwhile, another state prison is abruptly closed by Jindal.

The eight-page opinion, written by Assistant Attorney General Michael J. Vallan, says that the proposed privatization of the Office of Group Benefits and the ensuing contract with Blue Cross/Blue Shield of Louisiana must be approved by the House Appropriations Committee and the Senate Finance Committee, as well as the Office of Contractual Review.

But don’t expect Jindal to capitulate too easily, for while the opinion, which boiled down to a interpretation of under which state statute the privatization action was taken, is just that—an opinion. It has no force of law and the likely action to be taken by Jindal and the Division of Administration (DOA) is to simply ignore it and proceed as planned.

The only recourse in such a scenario, would be for the legislature to file suit against Jindal to get a determination of which statute should apply in the privatization process—one which effective bypasses legislative authority or one which specifically requires approval of the two committees.

The requirement for approval of the Office of Contractual Review may as well have been deleted from the opinion since the office is a part of DOA and answers directly to Commissioner of Administration Paul Rainwater, making that agency’s approval a virtual given.

The Division of Administration, through OGB issued a request for proposals (RFP) earlier this year and on April 30 issued a Notice of Intent to Contract (NIC) for Administrative Services Only (ASO), meaning for the awarding of a contract to a third party administrator (TPA) to take over the administrative duties for the state’s Preferred Provider Organization (PPO) plan, the High Deductible Health Plan (HDHP) with Health Savings Account (HAS), and the LaChip Affordable Health Plan (LaCHIP).

Blue Cross Blue Shield of Louisiana (BCBS) was already serving as third party administrator for the state’s HMO coverage for state employees and their dependents through OGB and on July 20, OGB issued a report and recommendation to the Evaluation Committee in which it proposed awarding the PPO, HDHP, HAS and LaCHIP business to BCBS as well.

That recommendation was approved by the State Civil Service Commission on Aug. 1.

State Rep. Katrina Jackson (D-Monroe) two days later requested an expedited legal opinion from the attorney general’s office based on her belief that the legislature had to sign off on the awarding of such contracts.

Vallan, in his opinion, said that Louisiana Revised Statute 42:802(B)(8)(b) “clearly provides that any such contract shall be subject to review and final approval by the appropriate standing committees of the Legislature having jurisdiction over review of agency rules by OGB as designated by (statute), or the subcommittees on oversight of such standing committees, and the Office of Contractual Review of the Division of Administration.”

“It is our understanding that the House Appropriations Committee and the Senate Finance Committee are the appropriate standing committees having jurisdiction over OGB rules.

“Therefore, pursuant to the plain language of …42:802, it is the opinion of this office that any contract negotiated by OGB pursuant to the authority granted by …42:802(B)(8) shall be subject to review and final approval by the House Appropriations Committee and the Senate Finance Committee.”

The entire issue hangs on which statute was used in the issuance of the NIC and the subsequent awarding of the contract to BCBS.

“According to OGB,” Vallan said, “the contract at issue was not negotiated pursuant to the provisions of …42:802(B), but was instead negotiated pursuant to the authority provided by Louisiana Revised Statute 42:851.”

While acknowledging that 42:851 does not require legislative approval of contracts, Vallan said, “Our reading of …42:851 is that it applies to situations where a particular state governmental or administrative subdivision, department, agency, school system, etc., intends to procure private contracts of insurance for its respective subdivision, department or agency.

“We do not believe that …42:851 provides OGB with the authority to enter into the proposed contract with BCBS. We are of the opinion that such authority is clearly granted by …42:802. An interpretation of both …42:802 and 42:851 authorize OGB to execute the proposed contract with BCBS would render the provisions of (the two statutes) duplicates of each other and their provisions superfluous and/or meaningless. Such an interpretation should be avoided.”

Vallan said that by enacting 42:802, it was clear that the legislature “has expressed its desire that contracts governing the provision of basic health care services, as well as certain other related contracts be subject to review and final approval by the legislature.

“To interpret …42:851 as offering some sort of alternative route to execute such contracts, thereby escaping legislative oversight, appears to be contrary to the logic and presumed fair purpose the legislature had in enacting …42:802.

“In summary, it is the opinion of this office that the proposed contract between OGB and BCBS is a contract negotiated pursuant to the provisions of …42:802. As such, the contract is subject to review and final approval by the appropriate standing committees of the legislature having jurisdiction over review of agency rules by the Office of Group Benefits.”

Almost lost in all the legalese is the fact that if Jindal’s privatization plan is ultimately approved—by the legislature or by the courts—121 state employees who show up each day to see to it that the medical claims of more than 100,000 state employees, retirees and their dependents are paid in a timely fashion will see their jobs vanish.

Jindal sees privatization through rose-colored glasses—provided him, no doubt, by generous corporate campaign contributors—despite the obvious pitfalls.

Take the Office of Risk Management (ORM), for example. It was the first state agency to be privatized and the company that the state paid $68 million to take over the TPA functions. The takeover was to occur in phases, with the worker’s compensation section one of the first to go and the road hazard section scheduled later this year as the last section to go over.

One of the conditions of the privatization contract was that the TPA absorb displaced ORM employees for a minimum of one year.

In only about eight months after taking over ORM in September of 2010, the contractor, F.A. Richard and Associates (FARA) of Mandeville, was back, asking for an amendment of a tad over $6.8 million to its contract, bring the total to just under $75 million.

Because the request was for an additional 10 percent, legislative approval was not necessary; there is a provision that contractors may get a one-time bump of 10 percent without legislative concurrence.

Legislators were not too happy to learn of that provision but in less than a month, FARA sold out to a company in Ohio which in a matter of only a few more months, sold out to a company in New York.

But here’s the clincher: the contract with FARA contains a clause which specifically says that its contract with ORM may not be transferred or reassigned without prior written approval. When DOA was asked for a copy of the written approval to transfer the contract to each of the out-of-state companies, the response was no such document existed.

So, because of not one, but two flagrant violations of its contract for privatization, ORM is being run by an out-of-state corporation even before all the ORM sections were phased into the contract.

And where are those former ORM employees today? Well, it seems, only a handful of former ORM employees remain there.

OGB remains on the privatization chopping block despite the encouraging legal opinion of the state’s highest legal office. It remains to be seen how it all will play out.

Meanwhile, Jindal, having failed to privatize state prisons as he wished, is simply closing facilities. J. Levy Dabadie Correctional Center was closed earlier this year with nary a word to area legislators of his intent.

On Friday, September 14, Jindal dropped another bombshell.

C. Paul Phelps Correctional Center in DeQuincy is being closed with its 700 medium security prisoners to be transferred to Angola State Penitentiary.

Again, state employees, about 150 of them, have had their livelihoods jerked from under them with no prior warning. About 70 of those will be given the opportunity to transfer to Angola. As for the rest?

Apparently they’re not Jindal’s problem. After all, he likes to say do more with less.

And now, with such a stellar record to back him up, Jindal is turning his attention to the privatization of the LSU Health System and its 10 affiliated hospitals statewide that treat the state’s poor and which train medical students.

Does anyone see a trend?

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LouisianaVoice is going to conduct an experiment, but it will require the cooperation of as many of our readers as possible to make it work.

We are asking each or our readers (who are not state employees: that might constitute immediate Teaguing) to email their state legislators—representatives and senators—to ask them:

As critical as the LSU hospitals are to our LSU and Tulane Medical School Students, our indigent population, our medical research efforts, and much more, why is this being allowed to take place without so much as a peep from you? Are you unconcerned? Do you favor privatizing all primary services and assets of the state such as schools, prisons, hospitals, retirement benefits, medical insurance administration, surface water rights, roads and bridges, financial management, and so much more? What’s next, the sale-leaseback of the Pontchartrain Causeway?

Are you aware that the interim President of the LSU Medical School has been granted the power to sell the entire LSU Medical School program and all of its facilities? Are you? Do you think this is the power that should be vested in an appointed position made by the governor? Do you? What then is your role in state government? Apparently nothing more than to meet annually for 30 days and pass resolutions congratulating couples for being married 50 years, or a football player for being named as an honorable mention all-state, or something equally unrelated to the general welfare of the state that has no business cluttering up the legislative agenda. You might as well just leave your rubber name stamp on your legislative desk and stay home and make luncheon talks to the “Save the Ring-tailed Raccoon Society.”

I want to know where you stand on these issues and what you intend to do. Are you going to continue to allow your authority to be usurped by Jindal and his minions? Worse, are you going to Baton Rouge with hat in hand asking what else you can do to help Jindal legitimately rape the citizens of the state?

Moreover:

When are you, as my (representative/senator) going to stand up to Gov. Jindal and his runaway efforts to:

• Disembowel higher education;

• Destroy public education to the financial benefit of private contractors/campaign supporters;

• Dismantle the state’s flagship university by appointing political hacks to the LSU Board of Supervisors, firing capable administrators and closing/privatizing state hospitals;

• Allow voucher and online courses to take the place of public education without even a smidgen of accountability or standards to which public education is held;

• Continually allow our governor to usurp the powers and responsibilities that rightfully belong to the legislative branch, including the choosing of House Speaker and Senate President?

I want and expect a public and publicized answer by you on the entirety of this subject. You’ve been silent long enough.

Click here for a list of House members: http://house.louisiana.gov/H_Reps/H_Reps_ByName.asp

Click here for a list of Senate members: http://senate.legis.louisiana.gov/Senators/

Scroll down the list until you find your representative/senator and click on the name. The legislator’s email address will on the page that will appear. For representatives, you need only click on the email address but you will have to type the senators’ email addresses.

(Do NOT send this complete post; cut and paste only the part that is in italics. It’s not that we don’t want legislators to know the source of this idea (because we really don’t care if they know) but it’s best if the questions come from you, the reader. So, again, do not send the introductory paragraphs in which we solicit readers to send the emails. Send ONLY the text that is in italics. If you don’t know how to cut and paste, simply re-type the questions and send them as originals from you.)

When you have done this, be sure to keep accurate records as to which legislators, if any, respond and record each response verbatim. Also, keep records of those who do not respond. Set a deadline of Sept. 21 and beginning on Sept. 22, forward all responses to LouisianaVoice at louisianavoice@cox.net

Accordingly, we will publicize each response and we also will out those who ignore your emails.

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The procedure for laying off up to 121 employees of the Office of Group Benefits (OGB) has been initiated by the Jindal administration in the aftermath of the privatization of the OGB Preferred Provider Organization (PPO).

A memorandum dated Aug. 23 has been circulated to OGB employees by Steven Procopio of the Office of Human Resources in the Division of Administration setting the effective date of the staff reductions as Jan. 2, 2013.

The layoffs must be approved by the State Civil Service Board but the board on Aug. 1 approved the awarding of the contract for the PPO to Blue Cross/Blue Shield (BCBS) of Louisiana, so the consideration of the layoff proposal should be little more than a formality by the board which has demonstrated a propensity to roll over and play dead for the administration.

BCBS already is the TPA for the state’s HMO.

Positions affected by the termination notice are in Internal Audit, Administration, Quality Assurance, Fiscal, Flexible Benefits/Imaging Services, Legal and HIPAA (Health Insurance Portability and Accountability Act) Compliance, Customer Service, Information Technology, Claims and Provider Services.

Employees of these offices are domiciled in the parishes of East Baton Rouge, Jefferson, Lafayette, Ouachita, Caddo, Calcasieu and Rapides.

The BCBS assumption of the third party administrator (TPA) duties for the PPO is scheduled to take effect with the beginning of the new calendar year in January.

Gov. Piyush Jindal and Commissioner of Administration Paul Rainwater have consistently insisted that the state should not be in the insurance business and that a private entity can administer insurance claims on behalf of state employees more cheaply and more efficiently than the state—despite OGB’s having built reserves of $500 million over the past half-dozen years.

Several independent studies have intimated that premiums are likely to increase after the first year because a private TPA will face the double whammy of the need to show a profit and the requirement to pay taxes on profits—factors the state never had to consider when it administered the claims.

Jindal, who made a point of voicing his concern and respect for state employees when he ran for governor has shown little, if any, of either sentiment since becoming governor. In fact, he has consistently attacked state employees at every turn including the orchestration of failed attempts to dismantle Civil Service and to gut the state employee retirement system—both to the detriment of state workers.

Jindal, after failing to sell state prison facilities, simply closed two of them and then announced the closure of Southeast Louisiana Hospital in Mandeville without notifying the legislative delegation in that part of the state—a delegation which until then had been fiercely loyal to him.

The closure of the Mandeville facility will adversely affect more than 500 employees and up to 170 inpatient recipients of mental health care. Moreover, with its closure, there will be no state facility offering mental health care for an entire section of the state that includes the parishes of Tangipahoa, St. Tammany, Washington, Orleans, St. Bernard, Plaquemines and Jefferson.

Other state medical facilities and LSU teaching hospitals also are threatened by the lost of some $800 million in Medicaid funding and higher education also has taken a major hit with near catastrophic budgetary cutbacks.

Yet, as all this economic train wreck careens out of control down the tracks, Jindal continues to travel the country—initially auditioning for the vice presidential nomination on Mitt Romney’s ticket and when that failed, soldiering on as the dutiful lap dog in support of the Republic Party that has relegated him to a minor speaking role at next week’s GOP convention.

Hardly an appropriate token of appreciation, considering all he has done on behalf of his second choice for the nomination while ignoring a state falling apart back home.

The leadership vacuum experienced by Louisiana during this administration is not what one would expect to read of in Jindal’s book Leadership and Crisis, now is it?

The real of the crisis, after all, is his abysmal lack of leadership.

If, as New Orleans’ Gambit so succinctly pointed out, he truly has the job he loves, he should return to Louisiana to address the myriad of problems facing the state and in so doing, put his money (read: efforts) where only his mouth has been.

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(Editor’s note: at least one person failed to detect the parody in a recent posting about the Delhi Charter School, so leaving nothing to chance, we’re letting everyone know up front that the headline is tongue-in-cheek as are a couple of comments in the body of this story.)

Not only was Gov. Piyush Jindal not among the top six finalists in the recent Mitt Romney Vice Presidential Sweepstakes, it now turns out that Louisiana’s absentee governor is not even among the top 15 in what he does best: eliminating state jobs.

That may explain in part why Romney, who once said he likes to fire people, did not include Jindal on his short list of five potential running mates whom he called last week to let them know he had decided on Rep. Paul Ryan of Wisconsin. Jindal was so far down that list that he didn’t even warrant a courtesy call.

Even though the Governor in-Abstentia has eliminated more than 6,000 state jobs during the months between June 2011 and June 2012, that wasn’t good enough to put him in the top 15 for placing workers in the unemployment lines who have mortgages, tuition costs, and other living expenses, according to a report just released by the National Governors’ Association and the National Association of State Budget Officers (NASBO).

Apparently, the 6,400 positions cut in this year’s budget were not factored into the equation. If they had been, that almost certainly would have vaulted Piyush to within a heartbeat of the presidency. State job losses, after all, appear to translate to economic gains in the eyes or our globetrotting governor.

“States go to great lengths to avoid layoffs,” NASBO Executive Director Scott Pattinson said, exposing the naked truth that he has not been to Louisiana since 2008.

For that matter, the Disappearing Governor hasn’t been in the state much since then himself.

Pattinson also pointed out that laying off employees is not always the best fiscal strategy. “Firing state government workers often does not result in money saved in the short term. Once required benefits and severance (unemployment payments) are included, states may not see savings for at least a full fiscal year.”

The study attributed the widespread layoffs of state government employees to a stalled recovery from the recession and “shifting political pressure.” That shifting political pressure alluded to may be traced back to the American Legislative Exchange Council (ALEC), which is very up front in its advocacy of massive state employee layoffs and equally impressive tax breaks for corporate friends of all politicians of a Republican stripe.

To that end, Jindal, the Incredible Vanishing Governor, invisible to the naked eye, has been most compliant. While many corporate tax breaks and incentives were already in place well before he assumed office in January of 2008, he has nevertheless encouraged the continuance and expansion of those breaks—to the state treasury’s financial detriment of approximately $5 billion per year.

But have no fear, Ghost-Governor Piyush the Magnificent, upon his return—if he ever does return—is almost certain to pick up where he left off. With the announced closure of prisons and state hospitals, teacher layoffs in virtually every parish because of his ill-conceived voucher scheme, and deep cuts to the LSU medical school’s programs, he is sure to begin cutting into the lead of the states ahead of Louisiana in the layoff game.

If Piyush truly is a disciple of “trickle-down economics” (and Rush Limbaugh did refer to him as the next Ronald Reagan), then we can anticipate additional layoffs at the local level—by parish and municipal governments—as the excrement begins to flow downhill.

In case you may be curious, in no particular order other than alphabetical, here are the top 15 states in layoffs:
• Alabama
• California
• Connecticut
• Florida
• Maryland
• Massachusetts
• Michigan
• Missouri
• Nebraska
• Nevada
• New Mexico
• Ohio
• Oregon
• South Dakota
• Washington

It should be pointed out that there was no significant edge for one political party over another in the layoff Race to the Top (where have we seen that before?): The party representation is as equal as possible, given there is an odd number of ranking states. Eight of the top 15 states have Republican governors and seven of the governors are Democrats.

And lest political observers worry about the state’s rankings, not to worry.

We’re pretty sure that Louisiana easily ranks No. 1 in the number of days in which the Phantom of Governor’s Office has been out of state.

That’s gotta count for something.

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