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Archive for the ‘Finances’ Category

Predictably, the business community is in high dudgeon over Gov. John Bel Edwards’ initial proposals to address the fiscal mess left by his predecessor—you know, the guy who thought he was presidential timber.

Judging from the early reaction of his die-hard opponents, including the Louisiana’s Rush Limburger wannabe Jeff (so) Sadow, Edwards is already a major flop just two weeks into the job. As much as I detest Mike Foster’s love child, I gave him nearly four years before abandoning any hope that he had the slightest concern for the people of this state.

Personally, I can’t think of a single person on the face of the good earth who could come into this job and successfully turn the state around in eight years, let alone four. It’s a daunting task that no sane candidate should relish.

In coaching, no one wants to be the one to follow a legend. You want to be the one who follows the one who follows the legend. Well, no one should want to be the one to inherit a disaster. You want to be the one who follows the one who tried to right the ship so if things are looking up, you can ride the momentum and take credit for the recovery.

With that in mind, here are a few observations:

The Baton Rouge Advocate on Sunday ran an outstanding analysis of the undeniable disaster in high education funding left by Jindal. The story was especially timely in light of Edwards’ announcement of even more draconian cuts facing high ed as he tries to cope with $750 million in budget deficits for the current fiscal year and a $1.9 billion budget gap for next fiscal year—all to be covered with shrinking revenues. http://theadvocate.com/news/14621878-123/special-report-how-startling-unique-cuts-have-transformed-louisianas-universities

LSU President F. King Alexander has gone on record as saying summer school may have to be cancelled at LSU. That’s the same type of dire warning as his “financial exigency” threat last year. That worked to get legislators’ attention and warded off the threatened bankruptcy. This threat of the cancellation of summer classes is a similar wakeup call to lawmakers—if they can get their heads from the place where only their proctologists can find them.

Even Jindal’s head cheerleader Rolfe McCollister inexplicably allowed Jeremy Alford to reveal in McCollister’s Baton Rouge Business Report that Edwards learned to his surprise that Piyush had approved millions of dollars in pay raises and made almost two dozen board and commission appointments that were not announced.

As a sign that McCollister may not be paying enough attention to his publication, he also allowed an Associated Press story that said Jindal left Edwards a gaggle of economic development deal IOUs.

But when Edwards suggested a tax package to help meet the fiscal disaster head-on, you’d have though from LABI’s reaction, that he was demanding the first-born of every businessman in the state.

Never mind that the Tax Foundation released a report last week that revealed that Louisiana has the sixth-lowest tax burden in America in the 2012 fiscal year.

While the rest of the country was paying an average of one dollar for every $10 earned in state and local taxes (exclusive of federal taxes), Louisiana citizens were paying only 76 cents for every $10 earned.

The per capita state and local taxes of $2,940 paid is fourth-lowest in the country and the state’s cigarette tax is one of the lowest. Edwards is seeking to increase the 86-cent cigarette tax to $1.08, which would bring Louisiana more in line with other states.

The state’s effective property tax rate of .5 percent is third lowest but the combined state and local sales tax rate (arguably the most regressive tax) of 8.9 percent is third highest.

Edwards says the days of using budget gimmicks are over. “This administration will remove the smoke and mirrors and provide the facts about where we are,” he said, in a not-so-subtle slap at Jindal. http://theadvocate.com/news/14619324-75/gov-john-bel-edwards-outlines-budget-options

State Sen. Jack Donahue, in a rare exhibition of lucidity for a legislator, told The Advocate, “…the proof of the pudding is in the eating, and so what did we spend (state revenue) on? Motion pictures; we spent it on solar power; we spent it on enterprise zone tax credits; we spent it on new market tax credits. We spent millions and millions and millions of dollars on all those things; so obviously, they were more important than our education.” http://theadvocate.com/news/14621878-123/special-report-how-startling-unique-cuts-have-transformed-louisianas-universities

Well, Senator, you said it. And you were oh, so accurate to employ the pronoun “we.” Hindsight, as they say, is 20/20 and yours is flawless. Other than Edwards, Rep. Rogers Pope, and Sens. Ed Murray and Dan Claitor, and maybe a couple others, I can’t recall many objections to the Jindal giveaway years coming from either chamber over the past eight years.

So now, Edwards wants to roll back some those insanely, ill-advised, foolish, thoughtless corporate tax breaks, and the corporate world is already screaming rape. Hey, guys, the honeymoon is—or should be—over. It’s way past time for the middle- and low-income citizens of this state to be relieved of the heaviest tax burdens while you guys get all those tax breaks, exemptions and incentives to create minimum-wage jobs—if jobs are even created at all. I mean, does anyone really think oil and gas will leave Louisiana when the oil and gas is here? To get to it, they have to come here. Do we really need Enterprise Zone credits for Wal-Marts in St. Tammany Parish?

As Edwards said, it’s time for the governor’s office to be “not business as usual.”

He will make mistakes. He will do things I don’t agree with. I was never under the illusion that I would agree with every single action he takes. No politician, like a rooster in a henhouse, could ever please everyone all the time.

And when he does displease me, I will say so. But for now, I’m more than willing to at least let him get his feet wet. We all owe him that much.

 

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The legal counsel for the Louisiana State Troopers Association was true to the time-honored tradition of blaming the messenger for bad news during Thursday’s meeting of the Louisiana State Police Commission.

According to lawyer Floyd Falcon, yours truly is the bad guy in all the flap about the LSTA’s contributions to political campaigns during the recent election cycle.

Never mind that active troopers as well as retirees who are members of LSTA have openly voiced their objections to the decision of the LSTA board to launder more than $45,000 in contributions through executive director David Young.

As publisher of LouisianaVoice, I apparently am the problem. I am a “common complainant,” according to Falcon, who said he would refused to respond to any questions put to him by me.

I guess we’re just supposed to sit still and shut up and not ask questions about how our public officials comport themselves. Perhaps Mr. Falcon spent so much time watching the legislature do just that during the eight years of the Bobby Jindal administration that he truly believes that’s how it should be.

Well, Mr. Falcon, my grandfather always taught me to question motives and to never accept things at face value. “Never listen to what a politician says,” he told me over and over. “Listen to what they don’t say.”

And at Thursday’s commission meeting, there was plenty that wasn’t said.

Never mind that the contributions were fronted by Young who was then repaid from a slush fund handed by LSTA: I am the one who writes “convoluted stories,” according to Falcon.

Never mind that Falcon, when asked point-blank, said he did not know why the checks to various political candidates, including Gov. John Bel Edwards, were made in Young’s name.

Never mind that Young said he made the contributions as a non-state employee so “there could never be a question later that a state employee made a contribution,” which is against state civil service rules.

But the fact is, the state employees, in this case, state troopers, did make the contributions since the LSTA is supported in large part by membership dues from troopers and retired troopers.

When retired state trooper Scott Perry of Opelousas, complained that he was refused copies of checks and receipts after making a public records request, Falcon said those records were available for the asking.

When I asked him to confirm that, and he responded in the affirmative, I then asked why the checks and receipts for reimbursement to Young were not made available, Falcon bristled. “Mr. Aswell is not a member of LSTA. He is a common complainant and I decline to answer his questions,” he said.

If exposing questionable activities of governmental agencies and officials defines me as a “complainant,” it is a mantle I wear with considerable pride, Mr. Falcon’s intended insult notwithstanding. No less a statesman than Thomas Jefferson said, if given a choice of government without a free press or a free press without government, “I would not hesitate to choose the latter.”

Mr. Falcon may not like it, but I am every bit as qualified as a member of the Fourth Estate as any reporter for any medium. I hold a degree in journalism and I spent more than 25 years as a reporter and editor of several Louisiana newspapers and even owned and ran my own news service in the State Capital for a number of years, providing coverage of state government for about 30 newspapers across the state. Along the way I’ve managed to pick up a few awards for feature writing, breaking news coverage, and investigative reporting.

I will put my credentials as a reporter alongside Mr. Falcon’s credentials as an attorney any day of the week. And I damn sure don’t mind being labeled a “complainant.”

At least I didn’t go before the commission to argue that there was nothing for it to investigate as did Mr. Falcon. LSTA, he huffed, is a private entity and not subject to public records requests and not subject to any investigation by the State Police Commission. Well, that certainly makes everything hunky dory. LSTA, he said, is no different than a teachers union or other union of public employees. Well there is one slight difference, Mr. Falcon. The teachers unions and other public employee unions, when political contributions are made, they are done in the name of the union and not through some straw donor. And the union membership generally knows about the endorsements and contributions—or at least knows there will be endorsements and contributions to someone.

One retired member of LSTA, when informed of the contributions said, “Holy s—t! We had no idea this was going on.” Another said LSTA’s membership had never been told of the contributions. “They knew nothing about it,” he said. “We’re not supposed to get involved in politics.” https://louisianavoice.com/2015/12/09/more-than-45000-in-campaign-cash-is-funneled-through-executive-director-by-louisiana-state-troopers-association/

Tanny Devillier, a retired state police deputy commander, said he was “one of two members still alive” who founded LSTA in 1969. “LSTA was not created for political contributions,” he said. “It was created to provide support for troopers who suffered misfortune.”

“It almost makes me think there was something suspect here because of the check writing,” said commission Vice Chairman Lloyd Grafton. “Why wouldn’t the association have made the contribution? It looks like someone was trying to circumvent something.”

Perry, who now works as an investigator for the Office of Inspector General, cited Louisiana revised statute 18:1505.2 which says, “No person shall give, furnish, or contribute monies, materials, supplies, or make loans to or in support of a candidate or to any political committee, through or in the name of another, directly or indirectly. This prohibition shall not apply to dues or membership fees of any membership organization or corporation made by its members or stockholders, if such membership organization or corporation is not organized primarily for the purpose of supporting, opposing, or otherwise influencing the nomination for election, or election of any person to public office.”

He said if LSTA establishes a precedent of making campaign contributions, it will encourage candidates for every office “to come to LSTA with their hands out and that’s not what LSTA is for.”

Leon Millet, a retired lieutenant who served more than 20 years with LSP, reiterated the payments were made without the knowledge or consent of the membership. At the same time, he said members who are still active troopers refuse to come forward out of fear of reprisals.

State Police Commission Chairman Franklin M. Kyle III said the commission lacks jurisdiction over private groups such as LSTA but that the commission and LSTA have a “common denominator,” which he described as the shared membership of state troopers. He requested that LSTA provide more documentation on its finances and issued an invitation to the unhappy retired troopers present to reappear at a future meeting.

A spokesman for Gov. Edwards, Richard Carbo, told the Baton Rouge Advocate that if it is determined that the contributions were made improperly, the LSTA contribution to the Edwards campaign ($8,000) would be returned. http://theadvocate.com/news/14574305-124/head-of-state-police-group-says-nothing-wrong-with-his-political-donations-gov-edwards-said-he-will.

Meanwhile, Mr. Falcon, I will happily continue being the “common complainant” whenever I see things that don’t appear in the best interest of the citizens of Louisiana.

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JINDAL'S 700 CLUB PLANS

JINDAL BUDGET CRASHCLICK ON IMAGES TO ENLARGE

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Those Duck Dynasty folks up in West Monroe are riding their gravy train for all it’s worth, scoring a $415,000 tax break every time one of their sappy episodes airs, lavishing the kiss of death (disguised as endorsements) on unsuspecting politicians hoping to capitalize off their name, bashing anyone who happens to think or act differently, licensing merchandise, and demanding exorbitant fees for personal appearances.

Take Vance McAllister, the notorious kissing congressman endorsed by the Duck Dynasty’s Robertson family in his initial run against State Sen. Neil Riser. He won that race but was out a year later, disgraced by that grainy video of him swapping chewing gum with a female staffer who happened not to be his wife.

Then there was the entire Robertson family making nice with Bobby Jindal during the latter’s disastrous term as part-time governor and presidential nominee wannabe.

More recently, Willie Robertson made that painful but hilarious video with U.S. Sen. Dave Vitter in which Robertson tried to convince us (a) that the two had been traipsing about in the woods together (Vitter was in a camo top but was also wearing pressed slacks and a dress belt—not really conducive to stalking wildlife but apparently suitable for a cheesy video) and (b) to be sure and vote for Vitter who Willie said had made mistakes “but who hasn’t?”

McAllister first lost his re-election bid for a full term in Congress last year and this year lost in his attempt to unseat State Sen. Mike Walsworth in the Oct. 24 primary election. Meanwhile,  Jindal and Vitter last week tanked just days apart, underscoring the value of a Duck Dynasty endorsement.

By my count, that puts the Duck commanders at 0-3, which pretty much tracks Phil Robertson’s career as the Louisiana Tech quarterback back in the late ‘60s. I know. I was sports editor of the Ruston Daily Leader at the time and had the unenviable task of trying to write something positive about that Shreveport Thanksgiving Day game in 1966 when Phil completed more passes to Southern Mississippi defensive backs than to Tech receivers.

But now it’s been learned—if it wasn’t known already—that the Duck boys are mercenary money grubbers on top of everything else.

Recently, I accompanied my grandson to Louisiana Tech to tour the campus where he intends to enroll next year. We were paired with a couple from St. Charles Parish whose daughter also plans on joining the computer engineering program there. Her dad and I struck up a conversation during the tour and the talk soon turned to sports and politics as it generally does with men. An executive in the offshore oil industry, he made it clear he was a fan of neither Jindal nor Vitter.

When I mentioned the common affiliation the two had with the Robertsons, he grunted and related a story about how he was charged with obtaining a celebrity guest for the St. Charles Parish Catfish Festival a couple of years ago.

With the Robertsons riding the crest of their popularity, the choice was a natural one. He called them to obtain the particulars of booking one or more Robertson family members for the event.

“They wanted $100,000 as their fee, plus luxury hotel accommodations and luxury transportation to the Monroe airport and from Louis Armstrong Airport in New Orleans to the festival,” he said, adding, “We don’t even have a luxury hotel in St. Charles.”

I opined that the fee they were demanding told me one of two things: They are either full of themselves or they just didn’t want to participate.

“I think they were full of themselves,” he replied, “but if they didn’t want to do it, they sure got their way. I fell out with Phil Robertson right then and there.”

Apparently a tax break of up to $415,000 per show even as state colleges took repeated budget cuts just isn’t enough. http://www.bloomberg.com/politics/articles/2015-05-04/-duck-dynasty-keeps-tax-break-as-jindal-cuts-louisiana-colleges

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The numbers just don’t add up.

  • $130,000: The annual salary for the Louisiana governor;
  • 48,014: The number of broadcast TV ads for the four major candidates for governor through Nov. 16, 2015;
  • 24,007: The number of minutes of TV ads we were subjected to through Nov. 16 (at an average length of 30 seconds per ad);
  • 400: The total number of hours of TV ads for governor through Nov. 16;
  • 16.67: The number of days it would have taken you to watch every single ad through Nov. 16;
  • $17,333,920: The total cost of the 48,014 TV ads for the four major gubernatorial candidates (No wonder that Baton Rouge TV station fired the reporter who dared ask Vitter about his prostitution scandal; the station stood to lose lucrative ad revenue from the Vitter camp);
  • 13,654: The number ads purchased directly by David Vitter’s campaign (6,827 minutes, 113.8 hours, 4.7 full days of ads;
  • $3,816,660: Total cost of TV ads purchased by Vitter’s campaign;
  • 6,771: Number of ads purchased by Fund for Louisiana’s Future on behalf of Vitter (and make no mistake, while super PACs are prohibited from planning strategy or even consulting with a candidate, they can trash opponents freely and FLF trashed everyone but Vitter—3,385 minutes, 56 hours, 2.4 days);
  • $3,185,640: The cost of TV ads purchased by FLF through Nov. 16;
  • 9,259: Number of ads purchased by John Bel Edwards campaign (4,629 minutes, 77 hours, 3.2 days)
  • $2,675,600: Cost of TV ads purchased by John Bel Edwards;
  • 2,315: Number of TV ads purchased by Gumbo PAC on behalf of Edwards (1,157 minutes, 19.3 hours, .8 days)
  • $1,204,010: Cost of TV ads purchased by Gumbo PAC, the bulk of which was purchased after the Oct. 24 open primary;
  • 4,679: Number of TV ads purchased by Scott Angelle through Oct. 24 (2,340 minutes, 39 hours, 1.6 days)
  • $1,528,340: Cost of TV ads purchased by Scott Angelle;
  • 3,968: Number of TV ads purchased by Jay Dardenne through Oct. 24 (1,984 minutes, 33 hours, 1.4 days)
  • $1,285,380: Total cost of TV ads purchased by Jay Dardenne;
  • 7,368: Total number of TV ads purchased by smaller PACs (3,684 minutes, 61.4 hours, 2.6 days)
  • 0: The number of ads, the minutes, hours and days and the cost of TV ads in which any of the four candidates actually discussed their plans for resolving the multitude of problems facing Louisiana in public education, higher education, health care, prison reform, employment, coastal restoration and preservation, the environment, the economy, the state budget, or infrastructure.

And therein lies the real shame of the 2015 gubernatorial election.

With so much at stake for the state and with more than 16 full days of TV ad time in which to address our problems, not a word was said by any candidate about what he intended to do to turn this state around after eight years of the amateurish experimental governance of one Bobby Jindal that has brought us to the brink of ruin.

I repeat. Not a single word.

Instead, we were treated to a never-ending barrage of:

  • David Vitter is a snake for his tryst(s) with one or more hookers and is not only despised in the U.S. Senate but is largely an ineffective senator;
  • David Vitter betrayed his family 15 years ago but has been forgiven by his wife and has fought valiantly in the U.S. Senate on behalf of Louisiana’s citizens;
  • John Bel Edwards is joined at the hip with President Obama and desires to turn 5,500 hardened Angola convicts loose to prey on our citizenry;
  • John Bell Edwards has an unblemished record of achievement as evidenced by his graduation from West Point and his subsequent leadership role in the U.S. Army’s 82nd Airborne and has fought Bobby Jindal’s disastrous programs for eight years.

As the voters of this state who have to make a decision tomorrow (Saturday, Nov. 21), we are tired—tired of the negative campaigning, tired of the distortions of records and outright lies about opposing candidates, tired of the endless succession of robocalls that give us not a live person with whom we can debate issues, but a recording that pitches one candidate’s positives over another’s negatives. (It’s just not the same when we curse and scream our frustrations at a recording.) We deserved better from all the candidates. We got a campaign long on accusations, name-calling and finger-pointing and one woefully short on solutions.

And lest readers think I am directing all of my disdain at the gubernatorial candidates, let me assure you I am not. I have equal contempt for the legislature, PACs and corporate power brokers.

Consider for a moment how approximately $31 million (that’s the total cost of this year’s governor’s race when all media advertising—radio, newspaper, robocalls and mail-outs, along with campaign staff and assorted expenses—are factored in) could have been put to better use. http://theadvocate.com/news/acadiana/13971699-123/louisiana-governor-race-spending-close

True, $31 million isn’t much when the state is looking at yet another $500 million budgetary shortfall, but every little bit helps. These donors, so concerned about the governor’s race, could, for example, feed a lot of homeless people or purchase quite a few text books for our schools. I’m just sayin’….

Most of that money, of course, is from PACs, the single worst plague ever visited upon a democratic society. PACs, with their unrestricted advertising expenditures, along with large corporate donors who also manage to circumvent the campaign contribution ceilings, remove the small contributors and the average citizen from the representation equation.

And why do they pour money into these campaigns? For benevolence, for the advancement of good, clean, honest government.

You can check that box no. It’s for the same reason they pay millions of dollars to lobbyists.

If you really want to know their motivation, just take a look at the list of state contracts http://wwwprd.doa.louisiana.gov/latrac/contracts/contractSearch.cfm or the impressive list of appointments to state boards and commissions.

Our thanks to the Center for Public Integrity for providing us with the television advertising cost breakdowns for the candidates and the various PACs. http://www.publicintegrity.org/2015/10/01/18101/2015-state-ad-wars-tracker

 

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