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Archive for the ‘Corruption’ Category

Wal-Mart: feeding at the public trough while underpaying workers, destroying Louisiana’s mom and pop businesses

Posted in Auditor, Business, Corruption, Economy, Ethics, Exemptions, Incentives, Finances, Incentives, Jobs, Legislature, Legislators, Public Records, Revenue, Taxes on February 24, 2016| 6 Comments »

The past is prologue

                                    —William Shakespeare (The Tempest)

In 1936, Mississippi Gov. Hugh White successfully pushed through the state legislature his answer to President Franklin Roosevelt’s New Deal so despised by southern states.

Mississippi could grow and prosper through his landmark “Balance Agriculture with Industry” program, according to Mississippi native Joseph B. Atkins, author of the little-known but important book Covering for the Bosses. The book is an examination of how newspapers in the South refused to give fair coverage to labor unions in their attempt to gain equitable working conditions for workers first in the textile mills and later the automobile industry.

https://books.google.com/books?id=o6AfWT79t2MC&pg=PA237&lpg=PA237&dq=shadows+in+the+sunbelt+1986&source=bl&ots=7Wb_bKCn48&sig=FIjJetyw-Li-lCk0c3zN_muV3MA&hl=en&sa=X&ved=0ahUKEwjL-Ob4k4_LAhWFPiYKHchPD50Q6AEIUDAJ#v=onepage&q=shadows%20in%20the%20sunbelt%201986&f=false

According to Atkins, White figured he could attract industry to Mississippi through the then-radical concept of offering attractive tax incentives and promises of low wages—and, of course, no unions.

The program, Atkins writes, eventually became a model for the entire South and today, Mississippi, in the latest rankings of the best states for business, can be found sitting firmly in….47th place among the 50 states, ranked ahead of only (in order) Kentucky, Louisiana, and West Virginia. In fact, the South can lay claim to six of the bottom 10 spots in the national rankings. They also include Arkansas (42nd) and Alabama (45th). Tennessee was only slightly better at 38th. Virginia (10th) and North Carolina (15th) were the only southern state in the top 20. http://247wallst.com/special-report/2016/02/17/the-best-and-worst-states-for-business-2/

So what went wrong with White’s grand scheme for Mississippi? Simply put, the same thing that doomed Louisiana, Alabama, Arkansas and Tennessee to the bottom one-fourth of the heap. They gave away their tax bases while at the same time condemning their citizens to lives of low wages and poor benefits. And Wal-Mart was first in line to fully exploit the plethora of incentives, be they the 10-year property tax exemptions, Enterprise Zone initiatives or some other inducement.

Wal-Mart, described by Wall Street Journal writer Bob Ortega in his book In Sam We Trust as “an amoral construct with one imperative: the profit motive.”

In October 2005, Atkins writes in Covering for the Bosses, that an internal Wal-Mart memo was leaked which revealed the true, impersonal attitude of the corporate office toward its 1.3 million American workers, 30 percent of whom are part-time workers.

In her memo to Wal-Mart executive vice president M. Susan Chambers complained of the costs of long-term workers. The company, she said, spent 55 percent more on them than on one-year workers even though “there is no difference in (the employee’s) productivity.” She said because Wal-Mart pays an associate “more in salary and benefits as his or her tenure increases, we are pricing that associate out of the labor market, increasing the likelihood that he or she will stay with Wal-Mart….The least health, least productive associates are more satisfied with their benefits than other segments and are interested in longer careers with Wal-Mart,” she said.

In plain language, she was advocating throwing older workers to the curb in favor of newer, lower-salaried workers.

Yet Wal-Mart has shoved its way to the public trough, securing some $100 million in economic development subsidies from the state in 20 cities from Abbeville ($1.67 million) to Vidalia ($1.65 million), from Shreveport ($6.3 million) to New Orleans ($7 million), from Monroe ($3.9 million) to Sulphur ($1.8 million).

Nationally, estimated annual subsidies and tax breaks to Wal-Mart and the Walton family total $7.8 billion per year. This for six Walton heirs whose collective net worth of $148.8 billion is more than 49 million American families combined. http://www.americansfortaxfairness.org/files/Walmart-on-Tax-Day-Americans-for-Tax-Fairness-1.pdf

A congressional report estimated that each Wal-Mart store in America generated an average of $421,000 in Medicaid, SNAP and public housing costs to taxpayers. That’s in addition to the estimated $1 billion taxpayers anted up in local and state government subsidies to have a Wal-Mart in their communities. Wal-Mart workers, who earn less than $10 an hour (about $18,000 per year), are offered a family health care plan with a $1,000 deductible costing $141 per month.

And remember that warm fuzzy “Made in USA” advertising campaign of Wal-Mart in which Wal-Mart in 2013 said it was starting a 10-year plan to increase spending on U.S. made products by $250 billion? Well fuggeboutit. It didn’t happen and last October, the company removed the “Made in the USA” logos from all product listings on its Web site after the Federal Trade Commission caught the company (gasp) lying. http://fortune.com/2015/10/20/walmart-made-in-the-usa/

Instead, much of its merchandise, clothing in particular, comes from third-world sweatshops where workers are paid pennies per hour in wages and children work up to 20 hours per day to make the clothing we purchase from Wal-Mart. https://www.dosomething.org/us/facts/11-facts-about-sweatshops

And here’s a real eye-opener.

In her book Cheap, author Ellen Ruppel Shell reveals a dirty little secret most consumers are unaware of: name-brand clothing sold at Wal-Mart aren’t quite what consumers think they are. “Discounting dilutes brands, making it less certain that they are a mark of quality,” Shell writes. http://www.nytimes.com/2009/07/19/books/review/Shapiro-t.html?_r=0

Hundreds of brands “slice and dice their offerings for various markets, selling different products in different types of stores for different prices under the same brand,” she said. “Chains such as Wal-Mart, Best Buy, Target and Home Depot have items manufactured ‘to their specifications,’ meaning that the brand name is almost devoid of meaning.”

That means a television with a model number available only at Wal-Mart is not really a Sony or a Samsung, for example, but a Wal-Mart television.

“Brands have become an end in themselves,” she writes. “…It is not the brand alone that entices discount shoppers; it is the high value we link to the brand versus the low price we pay that is so seductive.”

In recent years, Louisiana taxpayers have subsidized the construction of Wal-Mart stores in two affluent suburbs to the tune of a $700,000 tax credit. A tax credit is a dollar for dollar reduction of a tax liability meaning a $1 tax credit reduces one’s taxes by a full dollar. Bear in mind, these subsidies were Enterprise Zone projects. The Enterprise Zone program is designed specifically to lure business and industry into areas of high unemployment in order to help economically depressed areas. Instead, one of these stores were built in St. Tammany, one of the most affluent communities in the state.

Likewise, $330,000 in Enterprise Zone tax credits were awarded in 2013 to Lakeview Regional Medical Center in St. Tammany Parish for an upgrade to its facilities which created a grand total of five new jobs.

As far back as 2012, then-Secretary of the Department of Economic Development Stephen Moret said the Enterprise Zone program no longer fulfilled its purpose. http://www.nola.com/politics/index.ssf/2012/12/louisiana_economic_development_1.html

A Legislative Auditor’s report agreed, saying that 75 percent of new jobs, 68 percent of new businesses and 60 percent of capital investments were made outside the EZs. http://app1.lla.state.la.us/PublicReports.nsf/92629A33AAE8C55F862579EB0072ACEB/$FILE/00029DFA.pdf

That’s because unlike other states, Louisiana’s Enterprise Zone program allows the generous five-year tax breaks for retail establishments, businesses whose salaries traditionally are at the low end of the pay scale. Those include, besides Wal-Mart, chain stores like Walgreens and Raising Cane’s chicken outlets.

“Most of the projects are larger companies investing in relative affluent areas in Louisiana today,” Moret said in something of an understatement. He said that fact alone underscored the importance of making changes to the program.

Were changes made? No. In fact, in 2013, the year after his comments, the state awarded EZ tax credits totaling $19.6 million for projects that produced 4,857 new jobs which in turn generated about $10 million in state income taxes, or a net loss of more than $9 million to the state.

Meanwhile, Atkins quotes author Bill Quinn as saying Wal-Mart “has done more to stomp out Middle-class America than all other discount houses put together.”

Yet, the official policy of Louisiana has been to continue to give generous tax breaks to a company that underpays its employees, deceives customers into thinking they are “buying American” when in reality, they are propping up third-world sweatshops whose workers churn out second line brand names under slave-like working conditions.

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Bobby Jindal’s parade of lies and distortions about state’s wonderful business climate exposed in yet another survey

Posted in Business, Corruption, Economy, Education, Ethics, Exemptions, Incentives, Finances, Governor's Office, Incentives, Jobs, Politicians on February 23, 2016| 20 Comments »

After eight years of Bobby Jindal’s whiz-kid ALEC-backed policies of awarding tax incentives, exemptions, and inducements to the business and industry lobby and his constant boasting to Iowans and to Fox News of his smashing successes, Louisiana remains mired as the second-worst state in the nation for business.

So says the latest report of 24/7 Wall St., a financial news and opinion company headquartered in Delaware which publishes more than 30 articles per days on economics, health, and politics.

For its most recent survey, 24/7 compiled 47 measures into eight separate categories to determine the business climate for each state: business costs, cost of living, economy, infrastructure, labor and human capital, quality of life, regulation, and technology and innovation.

The U.S. has seen 71 consecutive months of private sector job growth through January, the report noted. Despite the consistent improvement, which dates back to February 2009 (the month after Jindal was first sworn in as governor), the recovery has been uneven and some states have experienced substantially less growth than others.

One of those is Louisiana, where the gross domestic product (GDP) growth of 1.5 percent was 21st lowest in the nation and average wages and salaries of $46,136 was 24th lowest.

Both of those ratings put the state at about the middle of the pack but other indicators showed a much bleaker picture. But only one other state, Maine, has experienced an annualized GDP decline over the past five years.

The 434 patents issued to residents in 2014 was 14th lowest in the nation. The projected working-age population growth through the year 2020 of minus 3.2 percent was seventh lowest and the 22.9 percent of adults with bachelor’s degrees was fifth lowest.

A decreasing working-age population, combined with the relatively low educational attainment means trouble for employers to fill positions with qualified job candidates. That could explain the high number of tax incentives to industries with low-paying, unskilled workers such as chicken plants and Wal Marts.

Almost 20 percent of Louisiana’s population lives below the poverty line, a statistic Jindal refused to address during his entire eight years of running for president. Moreover, the state unemployment rate was 6.4 percent. Both figures are higher than the national rates.

So, if Louisiana was second worst for business, which state was worst? Well, this time it wasn’t Mississippi which traditionally holds down the anchor spot. In this case it was West Virginia with lower GDP growth, lower average salaries, lower percentage of adults with a bachelor’s degree (actually the lowest), lower number of patents issued to residents and a lower projected working-age population growth than Louisiana.

The best state for business? That would be Utah. Where Louisiana and West Virginia each had a minus projected working-age population growth rate, Utah’s projected working-age population growth of 20.5 percent was second-highest. Despite the healthy projected population growth, Utah had an unemployment rate of 3.8 percent, fourth lowest in the nation.

Just more evidence of how Jindal was perfectly willing to twist and distort numbers to fit his ambitious but hopeless agenda.

Does anyone still wonder whether he was simply clueless or callously committed to his own ambitions?

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State police hire investigators with little or no experience at salaries higher than troopers with many years of experience

Posted in Corruption, Ethics, State Police on February 22, 2016| 6 Comments »

Louisiana Voice has discovered some reasons the Louisiana Sheriffs support Colonel Mike Edmonson as LSP commander. LouisianaVoice found cases of hiring and promotion of sheriffs’ relatives.  LSP began hiring investigators after years during which LSP offered no Trooper academies to supplement the ranks because of budgetary cuts. Many were retired Troopers and most were highly qualified to do the same job as the Troopers they worked alongside.

We made identical public records requests of LSP and Louisiana Civil Service for a list of investigators and their salaries. LSP chose to play games because we asked only for “investigators” and did not specify “criminal investigators.” We received prompt records from Civil Service but we are still waiting for a response from LSP. Somehow, we’re beginning to get the feeling we’re being stonewalled by LSP.

Tommy Ambrose, Son in law of former Allen Parish Sheriff Hal Turner (Former LSA President)

Tommy Ambrose was hired as an investigator with LSP on July 29, 2013, at a salary of $40,518, about $5,000 more than a starting Trooper or the same salary as a Trooper with up to six years of experience. He resigned five months later, on Jan. 11, 2014. He was sent to the local regional law enforcement academy in Lake Charles because he was not a peace officer standard and training (POST) certified officer. According to sources, there is no other known instance of an investigator being hired who was not certified to be a police officer. According to other sources, there were applicants competing for the position with law enforcement certification and decades of experience. Public records showed Ambrose was being investigated but resigned before the investigation was complete. LSP denied our public records request for the investigation file. During his short tenure with LSP, sources say the best description was a history of inadequate performance, policy violations, and suspected criminal activity quickly overlooked after making a call to Colonel Edmonson’s cell phone. The situation got so bad Edmonson could not even justify it any longer and he resigned.

Tony Mancuso III, son of Calcasieu Parish Sheriff Tony Mancuso (Former LSA President)

Mancuso was hired by LSP as an investigator (Not a Trooper) at an exorbitant salary. Tony Mancuso III was hired on June 23, 2014, at a salary of $61,100. He got his first raise three months later to $63,564.80. He was given another raise and a promotion 8 months later in 2015 to $68,016. We compared that salary with other LSP Troopers and LSP Investigators.

  • Mancuso was hired at a salary $22,587.76 higher than a new Trooper who completed the State Police Academy. Mancuso did not attend the state police academy. We cannot confirm if Mancuso was even qualified to apply to be a State Trooper.
  • Within three months at LSP, Mancuso was making more than a Trooper with over 20 years of experience and a Sergeant with 18 years of experience. A Trooper had to meet the qualifications, go through the state police academy, and serve 20 years to get the same salary as Mancuso walked in the door with.
  • After the Troopers received two massive pay increases, his salary went up as well. He currently makes $20,000 more than a starting Trooper. He currently makes as much as Trooper with 11 years of service although he has less than two years as an investigator with LSP.
  • Mancuso is paid $11,107.20 more than an Theodore Trunick, an investigator of the same rank in the same office even though Trunick has more experience at LSP and had extensive law enforcement experience prior to joining LSP. Mancuso was hired at $61,100. Trunick was hired at $43,076, nearly $18,000 less than Mancuso.
  • Mancuso is paid more than a long line of retired LSP Troopers, Lieutenants, Captains, and other law enforcement officers with decades of experience.
  • Mancuso was hired over another applicant, Mike Hebert. Hebert, a graduate of the FBI National Academy and who had more than 30 years of law enforcement experience than Mancuso, applied for the same position. Hebert was eventually hired and remains at a salary of $61,100 which is $6,916 less than Mancuso.
  • Mancuso is the fifth-highest paid LSP Criminal Investigator in the state. Let’s take a look at the top four.
    • Shelly Hopkins: $74,422: Retired LSP explosives expert with an estimated 40 years of experience.
    • Daryle Graham: $73,902, supervisor/ criminal investigator level 4 with 37 years of experience.
    • Cayce Grimes: $70,740, former police chief, FBI National Academy, decades of Experience
    • Hampton Guillory: $68,681, decades of experience

We tried to find someone comparable to Mancuso but we found no other investigator with so little experience. Most of the investigators are retired from law enforcement agencies with decades of experience but all of whom make less than Mancuso. Mancuso is in his late twenties with an unknown history of law enforcement experience or education.

Brad Guidroz, Son of St. Landry Parish Sheriff Bobby Guidroz

Mike Hebert competed for a promotion shortly before he retired. On the surface, he would have seemed the logical choice. He was passed over for Brad Guidroz. At the time of Guidroz’s promotion, he reportedly had six years’ experience with LSP. Hebert had a distinguished career with LSP to go along with his 30 years’ experience and FBI Academy credentials. Some speculated his being passed over in favor of Guidroz this was the reason for Hebert’s retirement. Hebert retired, expecting an immediate rehire position with LSP but those plans were thwarted with the hiring of Mancuso. Hebert was eventually rehired after two months—at a lower salary than Mancuso.

Most of these hires came about during a four-year stretch when LSP salaries were frozen which meant troopers with say, 20 years’ experience, were being paid at the rate of 16-year veterans.

If it walks like a duck

When you put all this together it is difficult to come to any conclusion other than Edmonson has used his authority to hire and promote in exchange for the political endorsement of the Louisiana Sheriff’s Association. We are not ignorant to the fact this type of stuff happens all the time and know there are more stories of political favors. We just never thought it would be so out in the open. This is another example of Edmonson putting his own interests ahead of the needs of the people of the state of Louisiana. Giving away positions for political favors can result in less qualified people protecting the citizens and their fellow officers.

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Jindal tanks again, Edmonson relieves Troop D commander, Troy Hebert in need of history lessons, personal time clock

Posted in ATC, Corruption, Ethics, Governor's Office, Huey Long, Legislature, Legislators, Politicians, Senate, State Police, Transparency on February 18, 2016| 13 Comments »

Bits and pieces picked up by LouisianaVoice while out and about in the Gret Stet of Looziana:

Yet another Jindal scheme backfires

Bobby Jindal’s gambit for a hoped-for selection as a vice presidential running mate or appointment to a cabinet post may have just been shot down by another Indian-American governor.

Jindal, following Rubio’s strong showing in Iowa but before he faltered in New Hampshire, executed a calculated ploy to reignite his own fading extinguished political star. But South Carolina Gov. Nikki Haley spoiled that fantasy, a dream which was about as likely as his winning the presidential nomination.

Right about now, Bobby has to be pretty much peeved at Nikki. She, after all, is a much more attractive prospect as a running mate. She is an articulate, conservative female who would give the ticket ethnic diversity—and her response to President Obama’s last State of the Union Address was far superior than Jindal’s response to Obama’s first one. She was actually coherent and he was, well….something else.

Oh well, as our friend Stephen Winham has said on more than one occasion, there is always the chance of a hostile takeover of the 700 Club by the one-time boy blunder.

 

Phone audits and changes at the top at Troop D

Meanwhile, we have learned from within Louisiana State Police that State Police Superintendent Mike Edmonson, or at least someone acting on his behalf, has ordered that a toll analysis be pulled on department cell phones, presumably in Troop D, to try and determine who may be talking to LouisianaVoice.

As we pointed out before, it’s a classic example of shooting the messenger. LSP, aka Edmonson, does not want to know about problems in his department (and there are many, as we shall examine momentarily); he only wants to punish those vocal few who want to see the problems addressed. “They just can’t help themselves,” our source tells us. “It is the only way they know how to do business.”

Well, Mike, you can conduct all the cell phone audits you like but I’m afraid you’re going to come up empty. First of all, I don’t believe any retired troopers are going to hand over their phones and the active ones aren’t stupid. They know better than to use state-issue cell phones for such purposes for the very reason we’re now seeing played out in your little witch hunt. They wait until after work hours and when they are well away from LSP headquarters to contact us.

All of which also raises this question: Is this the same professionalism shown when you carry out investigations into criminal activity? If so, the criminals must be having a field day.

At the same time, we have learned that that Capt. Chris Guillory has been relieved of his command at Troop D—and that Ronnie Picou may even get his job back when he appeals. (We requested the investigative report now that the investigation has concluded, but our request was denied by LSP.)

Picou, it seems, was terminated for lying and not for payroll fraud in connection with all those times he was home sleeping when he was supposed to be on duty.

Funny how that works out. A state Department of Children and Family Services case worker was not only fired, but is being prosecuted for failing to carry out mandatory monthly in-home visits with foster children. Inspector General Stephen Street said her misconduct was not linked to any cases of child abuse but her pending arrest is significant for the potential of abuse. http://theadvocate.com/news/police/14884056-32/arrest-warrant-accuses-state-worker-of-reporting-at-least-20-times-she-had-checked-on-foster-childre

Picou is not accused of endangering the public while he was snoozing, but the potential was certainly there. And Guillory allowed it to occur just as he allowed other activity to occur as previously documented by LouisianaVoice. https://louisianavoice.com/2015/09/05/state-police-launch-internal-affairs-investigation-of-troop-d-commander-after-public-records-requests-by-louisianavoice/

State Police HQ sat on harassment complaint against officer in Troop D, captain for year; IA now said to be investigating

Gift cards for tickets, payroll chicanery, quotas, short shifts the norm in Troop D; troopers express dismay at problems

State Trooper in LSP Troop D is reportedly terminated in aftermath of investigation into LouisianaVoice disclosures

Edmonson solution to multitude of problems at troubled Troop D: go after messengers with a withering vengeance

Speaking of lying, it appears that Guillory may have been relieved of command for being less than truthful to investigators when he denied that he refused to take a complaint from Dwight Gerst. Guillory was initially cleared of that but LouisianaVoice subsequently published an audio of Guillory doing just that. https://youtu.be/zd-JV3rKjko

Following our posting the audio, Gerst re-filed his complaint with LSP Internal Affairs last week and on Thursday (Feb. 17), Guillory was re-assigned to State Police headquarters in Baton Rouge, effective Friday, a move tantamount to placing him on administrative leave, pending the results of further investigation.

One question to Mike Edmonson: Why did it require a series of stories in the media to prod LSP brass into action when they have known for some time that there were disturbing irregularities occurring at Troop D? Concerned troopers have complained on numerous occasions but nothing was done until a glaring light was shone on the situation.

That speaks volumes about the quality of leadership at LSP.

 

Troy Hebert just won’t go away

Also On Wednesday, Troy Hebert, former director of the state Alcohol and Tobacco Control Commission (ATC) appeared on the Jim Engster Show. http://www.jimengster.com/jim-engster-podcasts/2016/2/17/0217-wednesday-the-advocates-mark-ballard-republican-state-rep-chris-broadwater-former-senator-troy-hebert-assistant-editor-james-moran-of-tiger-rag

Hebert, who is flirting with becoming an independent candidate for the U.S. Senate seat being vacated by David Vitter, was his usual half-baked self on the show, both in terms of sheer hypocrisy and blatant ignorance.

During his 38-minute interview (which is more than double the time to which Andy Warhol said he is entitled), Hebert credited Huey Long for creating the state Civil Service system.

Wow. Huey Long? Really? The man who practically invented political patronage in Louisiana?

Troy, Troy, Troy. Try Sam Jones and Jimmie Davis.

Jones, who served as governor from 1940-1944, was the one who finally overthrew the Huey Long dynasty and is credited with restructuring state government into a civil service system which, by the way, was dismantled by Huey’s brother, Earl K. Long, when he became governor in 1948. Jimmie Davis reinstituted civil service for keeps during his second term, from 1960-1964.

Huey Long indeed. Troy, you need to brush up on your history.

You also need to brush up on consistency.

During his interview on Engster’s show, he also advocated that all state employees, including college professors, punch a time clock in order to qualify for their paychecks.

Except for college professors, who do extensive research, grade papers, give lectures, and advise students, all outside the classroom, a time clock isn’t such a bad idea in concept. It’s done in the private sector and in most public sector cases, it would work just as well.

It’s not such a bad idea to have legislators punch a time clock. As it now stands, they are paid per diem for entire legislative sessions, including the current special session. But those per diem payments are also paid on Fridays and weekends, days on which legislators do not meet except on extremely rare occasions. How do we justify paying them $149 per day for days on which they do not meet? How do we justify paying them when they do not show up to vote on key issues?

(Taking the current special session, for example, which began on Feb. 14 and ends on March 9, there are nine days—Fridays, Saturdays, and Sundays—on which the legislature does not meet. But each of the 144 members receives $149 for each of those days. That’s $193,104 in per diem payments for doing nothing.)

But… but… but, Troy, about those time clocks and your own attendance record at ATC…

How would you go about punching a time clock during the time you were out at the construction site when you were building that nice house on University Lake when you should have been tending to state business? We have it on pretty good authority that you were out there virtually the entire time construction was going on. Was there a time clock at the work site?

Was there a time clock at your apartment over the Copper Monkey Nightclub in the New Orleans French Quarter where you managed to spend quite a bit of time during working hours? Just asking.

Troy? Troy?

….Now where did he go?

 

 

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Some legislators are already diving for cover on academic funding even as they spend campaign funds on LSU tickets

Posted in Budget, Campaign Contributions, Corruption, Ethics, Finances, Higher Education, House, Senate, Legislature, Legislators, LSU, Politicians, Revenue, Taxes on February 16, 2016| 13 Comments »

True to form, some legislators are already diving for cover or accusing higher education officials of crying wolf over the state’s lack of support for state colleges and universities. Either way, it all amounts to a shameless attempt to shift the blame as a means of deflecting attention from their pitiful performance over the past eight years

Some of those doing the loudest protesting might want to look inward to examine the hypocrisy of their current positions on funding higher education.

Sen. Conrad Appel (R-Metairie), for example. Appel opined in a Senate Education Committee meeting on Monday that he just didn’t think it is fair that education leaders are getting the public all worked up with scare tactics and doomsday propheteering—not to be confused with his own profiteering, of course.

“This is the first day of the process and the news media is flashing all this stuff up and getting the people all worked up,” Appel said in accusing higher ed leaders of sensationalizing the real impact of budget cuts and of creating what he termed “a self-fulfilling prophecy.”

Of course, Appel is not one to pass up a good opportunity when he gets the chance. As Chairman of the Senate Education Committee two years ago, he was in a unique position to know of the pending deal between Discovery Education and the Louisiana Board of Elementary and Secondary Education (BESE) in time to sink between $5,000 and $24,999 into Discovery Communications stock just in time to make a killing. APPEL REPORT PDF

Senate Education Chairman Appel purchases Discovery stock week before company enters into state Techbook agreement

Since 2003, former and current members of the Louisiana House and Senate have used more than $710,000 of their personal campaign funds to purchase tickets to LSU athletic events. This despite the existence of several opinions issued by the State Board of Ethics specifically prohibiting the purchase of athletic tickets “for any personal use unrelated to a campaign or the holding of public office.” (Emphasis ours) http://ethics.la.gov/EthicsOpinion/DocView.aspx?id=7169&searchid=1e6d42e0-0081-4d47-b252-2473624ce865&dbid=0

LSU SPORTS PAYMENTS FROM CAMPAIGN FUNDS

So now we have legislators like State Sen. Mike Walsworth (R-West Monroe) criticizing taking higher education officials to task for suggesting that schools might close and TOPS may be ended because of a mere $970 million budgetary shortfall this fiscal year and a pending $2 billion budget hole for next fiscal year.

Walsworth, it should be noted, used $4,210 of his campaign funds in 2013 and 2014 on LSU athletic events.

But that pales in comparison to State Sen. Norbert Chabert (R-Houma) who went ballistic over a report that his alma mater Nicholls State University in Thibodaux might be forced to close temporarily. http://www.thenewsstar.com/story/news/2016/02/15/even-best-case-nicholls-close-temporarily/80403372/

“This is the first I’ve heard of it,” he said. “I think it’s unnecessary and a bad call. Are you telling me that the university in the fifth largest market in Louisiana that serves 6,300 students is going to close? This isn’t going to happen.”

Of course not, Norby. And Merrill Lynch, AIG, Lehman Brothers, Washington Mutual and a few hundred banks weren’t going to bite the dust starting back in 2008 either, were they? And shoot, Bernie Madoff was a man to be trusted with our investments, right? https://en.wikipedia.org/wiki/List_of_bank_failures_in_the_United_States_(2008%E2%80%93present)

While while we ponder the wisdom of Chabert’s assurances, it might be worth noting that since 2009, he spent a cool $35,750 on tickets to LSU athletic events. It seems it’s okay to plow OPM (other people’s money—and that’s what campaign funds really are) into athletics, but don’t let university come crying about the shortage of funding for academics or the deplorable conditions of university infrastructure.

It would also be timely to point out here that athletics are not the only expenditure items for legislators’ campaign funds. There are the expensive meals, the leasing of luxury automobiles, Saints and Pelicans tickets, payments of ethics fines for campaign violations (expressly prohibited but done with impunity), and in at least one case, one legislator paying his personal federal income taxes with campaign money. https://louisianavoice.com/2015/05/11/hidden-in-plain-sight-campaign-funds-provide-opulent-lifestyle-of-meals-game-tickets-and-travel-for-legislators/

But because the focus for the moment is on higher education, we will limit our examination of campaign expenditures to LSU sports.

Here are some of the more flagrant cases we found:

  • Senate President John Alario, one of those who signed off on Grover Norquist’s no-tax pledge, spent more than $19,000 on LSU tickets;
  • Rep. James Armes (D-Leesville): $11,500 since 2008;
  • Rep. John Berthelot (R-Gonzales): $19,280 since 2011;
  • Rep. Thomas Carmody (R-Shreveport): $21,660 since 2010;
  • Rep. Patrick Connick (R-Marrero): $24,540 since 2008;
  • Rep. Michael Danahay (D-Sulphur): $17,600 since 2008;
  • Former Rep. Noble Ellington (recently appointed as legislative director for Gov. Edwards): $46,500 since 2002);
  • Sen. Dale Erdy (R-Livingston): $24,000 since 2003;
  • Former legislator and former Alcohol and Tobacco Control Commissioner Troy Hebert: $13,700 since 2009);
  • Rep. Frank Hoffman (R-West Monroe): $22,700 since 2009;
  • Former House Speaker Chuck Kleckley (R-Lake Charles): $31,900 since 2008;
  • Rep. Bernard LeBas (D-Ville Platte): $18,400 since 2009;
  • Sen. Danny Martiny (R-Metairie): $13,800 since 2002;
  • Sen. Jonathan Perry (R-Kaplan): $21,000 since 2009;
  • Former Rep. Erich Ponti (R-Baton Rouge): $18,700;
  • Former Rep. Joel Robideaux (R-Lafayette): $23,600 since 2004;
  • Sen. Gary Smith (D-Norco): $33,800 since 2002;
  • Sen. Francis Thompson (D-Delhi): $15,100 since 2010;
  • Former Sen. Sherri Buffington (R-Shreveport): $23,800 since 2009.

Buffington, then Sherri Cheek, is the same legislator who, in January 2004 traveled to New Orleans to attend the NCAA national championship football game between LSU and Oklahoma but forgot his tickets. No problem. She simply called State Police and arranged for a Pony Express-type relay by state troopers from Shreveport to New Orleans to deliver the six tickets. When word of the special deliver leaked out, she expressed her regret (don’t they always feel just awful—after they’re caught?) and said she would repay State Police $448.50, based on her computation of 12 hours of trooper pay. http://www.freerepublic.com/focus/f-news/1060246/posts

So while certain members of the legislature grandstand over the current and projected budgetary issues, it is important to remember they are a large part of the problem.

And higher ed is by no means the only fiscal issues before the legislature during the current special session.

There are grave cuts being proposed for health care which will be covered in greater detail in future posts here.

But a quick overview shows drastic cuts to programs serving the elderly, those on dialysis, the developmentally disadvantaged, hospice, and, of course, the disastrous venture into privatizing state hospitals.

It’s going to be difficult for legislators to rail against those with real needs to help keep them alive or well. To do so would truly expose the hypocrisy of those who claim to represent their constituencies.

As we said in an earlier post, this is the one chance lawmakers have to get it right. Rhetoric will not save the day. Denial will not solve the problems. Continuing the same fiscally irresponsible practices will not plug the gaping hole in the state budget.

And this is not the time to be point fingers or scolding administrators.

The time is now and the place is here to come together and to do what must be done to solve the state’s multitude of problems.

Anything less and wholesale recalls should be initiated immediately as soon as this session is over.

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