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John White just doesn’t get it. A few months ago he went ballistic over information leaked to LouisianaVoice and sources inside the Department of Education (DOE) told us he launched an in-house investigation, including employee emails, in an effort to learn the source of the leaks.

We responded to that report by sending an email to White informing him that none of his employees were as careless with emails as he (remember the “Dude, you are my recharge” email he sent to Pete Gorman, senior vice president of News Corporation’s education division Amplify when Gorman asked White to dinner?).

We informed White that the information we received had been downloaded on a flash drive and passed along to us. We even offered to supply White with a blank flash drive in case he had any information he would like to provide. He never responded to our offer.

Then there was that mysterious email accidentally copied to us from DOE legal counsel Joan Hunt to Troy Hebert, director of the Office of Alcohol and Tobacco Control (ATC) as a result of one of our many requests for public records that DOE loves to ignore until they’re hauled into court and hit with fines, court costs and attorney fees. The message to Hebert, who apparently has wormed his way into Gov. Jindal’s inner circle, said, “Troy, we need to reply and say that.”

That’s it. Nothing else. And when we tried to obtain a copy of that email, we were informed that it was subject to attorney-client privilege despite the fact that Hebert, as head of ATC, is not affiliated with DOE, is not an attorney, and certainly is not a client of Hunt.

But now, a new twist has surfaced that may be (or maybe not) related to that exchange between Hunt and Hebert.

Were they laying the groundwork to set up a couple of internet bloggers who have been an ongoing nuisance to White and DOE? If current reports are accurate, it could well be.

Word out of DOE is that administrative types (we have their names but we are not prepared to release them at this time) are leaning hard on DOE employees in the Information Technology (IT) section, even to reviewing all their emails and harassing them in attempts to learn who is leaking information to Jason France of the Crazy Crawfish blog and to Tom Aswell of LouisianaVoice.

Also part of the alleged game plan is to plant tantalizing—but bogus—stories in an effort to get our sources to leak the information to us and to get us to publish them so that we can be discredited publicly and revealed as hacks—and so the leakers can be nailed to the wall.

Silly rabbits, you can’t even devise a plan to plug leaks without the plan itself being leaked. You couldn’t plant petunias without growing a crop of ragweed. I’ve known mayonnaise farmers in Missoula, Montana, who were better at planting things.

As we said earlier, we know the identities of three of the administrative types at the center of this little high school stunt but we’ll keep them confidential for now with the option of releasing them down the road.

Finally, we would be remiss if we did not remind White that our sources are not stupid, nor are they careless. Anything they reveal to us will never be through a state computer—unlike the state employee (Department of Public Safety) who used his state email account to log a commit on our blog today (Tuesday)—at the bottom of our June 28 IT consolidation story—asking us if racism was at the root of our criticism of Jindal. (First of all, we’re anything but racist. Secondly, Lord knows we don’t need racism as grounds for offering legitimate criticism of this administration.)

Finally, Mr. White, we have already been investigated by the best (in Gov. Jindal’s eyes, apparently, and of course, in his own mind). Mr. Hebert ordered an investigation of us some months ago and that came up empty.

Seems we’re actually pretty boring but you’d never know it by the amateur sting operation being concocted by DFA (Detectives for America, the investigative arm of TFA— Teach for America).

Wonder if we should submit a public records request for interoffice emails dealing with planting fake news stories with a couple of pesky blogs?

ESSAGEMAY OTAY OURCESSAY: IXNAY NOAY HETAY TATESAY OMPUTERSCAY.

Louisiana Secretary of State Tom Schedler and former Secretary of the Department of Health and Hospitals (DHH) David Hood recently expressed their surprise that the Medicaid Trust Fund for the Elderly has shrunk from $830 million to $410 million under the administration of Gov. Bobby Jindal.

The fund balance is expected to drop to $250 million or less by the end of the current fiscal year (June 30, 2014) and at the present rate of depletion, could be gone in its entirety by the end of Jindal’s term of office, leaving the next governor with having to close a huge health care financing gap.

Schedler and Hood shouldn’t be surprised. In fact, by now they should expect no less from Jindal who, despite his 2003 campaign promises to the contrary, has consistently dipped into one-time money to pay recurring expenses in an effort to plug gaping deficit holes in the state budget.
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The original intent of the fund was to use only the interest and investment earnings to provide a stream of funding to pay for nursing home care and other health care services.

Revenue in the fund was to be used as a source of state matching funds for Medicaid funds to make enhanced payments to local government-owned health care facilities.

In fact, a 2012 constitutional amendment to “prohibit monies in the Medicaid Trust Fund for the Elderly from being used or appropriated for other purposes when adjustments are made to eliminate a state deficit” was approved by voters by a 71 percent to 29 percent margin (1.3 million to 527,000).

The amendment specifically prohibits dollars in the trust fund from being used for anything other than the intended purposes and “not (for) helping to balance the state budget” and “to constitutionally protect a specific fund from being raided to help make up for shortfalls in state revenue,” according to the Council for a Better Louisiana (CABL).

Ironically, CABL took no position on the constitutional amendment prior to the election, calling it “unnecessary.”

But Jindal has consistently worked to cut mental health benefits through closure of Southeast Louisiana Hospital (SELH) in Mandeville, elimination of Early Childhood Supports and Services, vetoing funds for the developmentally disabled and even resorting to using personal email accounts to plot strategy on Medicaid cuts.

About $300 million of the money has been spent to stop cuts to the rates paid to private nursing homes for the care of Medicaid patients, according to DHH Undersecretary Jerry Phillips.

In the current budget year that began July 1, Louisiana nursing homes, which have some 29,000 residents, are slated to receive $893 million in state and federal Medicaid payments with $184 million to come from the elderly trust fund used to attract about $500 million in federal matching funds.

It should come as no surprise that with all the cuts to Medicaid, mental health treatment, early childhood support and funds for the developmentally disabled, Jindal would ensure uninterrupted funding for private nursing homes.

Jindal, after all, has received more than $380,000 in campaign contributions from nursing homes and nursing home owners.

Of that amount, $228,500 came from a single source—Elton Beebe of Ridgeland, Mississippi. Beebe, who owns several Louisiana nursing homes, funneled campaign contributions to Jindal through himself, family members, business associates and 21 nursing homes and corporations controlled by him.

The corporations list P.O. Box 6015 and 6016 or 763 Avery Blvd. North as their address. Beebe himself gave P.O. Box 6015 as the address on two of his contributions of $5,000 each and 763 Avery Blvd. North on another $5,000 contribution.
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Elton Beebe’s Ridgeland, MS Headquarters

One company, Magnolia Management, gave the Avery Boulevard address on three contributions totaling $10,000 and 3900 Lakeland Drive, Ste. 400 in Jackson, Mississippi, on two others totaling another $10,000.

The contributions date back to Jindal’s first unsuccessful gubernatorial campaign in 2003.

Each of the corporations shares either a physical address or a post office box in Ridgeland.

The remaining $155,000 in nursing home contributions were made by some three dozen Louisiana facilities besides those owned by Beebe. They were scattered throughout Louisiana.

Following are contributions by Beebe, his wife, a business associate and corporations which gave the same Ridgeland address, with the number of contributions and the years the money was given in parenthesis followed by the aggregate amount:

• E.G. (Elton) Beebe: (3 from 2007 to 2011) $15,000;

• Carol Beebe: (2 in 2010 and 2011);

• Lansing Kolb (1 in 2008) $1,000);

• Louisiana Extended Care Centers: (4 from 2003 to 2009) $17,000;

• Magnolia Properties, Inc.: (4 from 2003 to 2011) $14,500;

• Magnolia Manor Properties: (3 from 2009 to 2012) $7,500;

• Magnolia Management Services of Louisiana: (3 from 2003 to 2010) $12,500;

• Magnolia Management of Louisiana: (2 in 2008 and 2009) $5,000;

• Magnolia Management Corp.: (5 from 2003 to 2011) $20,000;

• Magnolia Health Service of Louisiana: (2 in 2007 and 2008) $7,000;

• Medico, Inc.: (4 from 2003 to 2009) $15,000;

• Administrative Systems, Inc.: (3 from 2007 to 2010) $10,000;

• Provider Professional Services: (3 from 2007 to 2010) $10,000;

• HR Property Investments, LLC: (3 from 2010 to 2012) $10,000;

• Southern Magnolia, LLC: (3 from 2010 to 2012) $10,000;

• Transmed, LLC: (2 in 2011 and 1012) $7,500;

• Lena Heritage, LLC: (3 from 2010 to 2012) $10,000;

• Lake Charles Properties: (1 in 2012) $5,000;

• Extended Care Associates: (4 from 2003 to 2009) $15,000;

• EGB, LLC: (3 in 2010 and 2011) $5,000;

• Account Management Services, Inc.: (1 in 2010) $2,500;

• AGF, LLC: (2 in 2010 and 2011) $5,000;

• Caddo Property, LLC: )2 in 2010 and 2011): $5,000;

• Alexandria Investments, LLC: (3 in 2008 and 2011).

Contributions of $2,500 each were all made by 10 of the corporations and another contributed $3,000, all on the same day: Oct. 4, 2010.

Five corporations also made contributions of $5,000 each and another gave $2,500, all on Oct. 24, 2012, a year after Jindal won re-election to his second term. That $27,500 in contributions feeds speculation that Jindal is building up a campaign war chest for a run at a national office.

Here are the other nursing homes and the amounts contributed to Jindal campaigns:

• Alpine Guest Care of Ruston: $8,000;

• Courtyard Manor Nursing Care of Lafayette: $6,000;

• Golden Age of Welsh; $9,000;

• Golden Age Nursing Center of Jena: $2,000;

• St. Agnes Healthcare of Breaux Bridge: $5,000;

• Booker T. Washington Guest Care of Shreveport: $8,000;

• Ringgold Care Center: $2,000;

• Colonial Oaks Guest Care Center of Bossier City: $8,000;

• The Guest Care Center at Spring Lake, Shreveport: $7,000;

• Pilgrim Manor Guest Care of Bossier City: $8,000;

• St. Martin De Porres Multi-Care Center of Lake Charles: $3,000;

• Norhridge Care Center of Pineville: $2,850;

• Savoy Care Center of Mamou: $5,500;

• Morgan City Health Care Center: $2,500;

• The Woodlands Healthcare Center, Leesville: $3,000;

• Franklin Health Care Center: $2,500;

• Matthews Memorial Health Care Center, Alexandria: $1,000;

• Crescent City Health Care Center, Mandeville: $1,000;

• West Carroll Care Center, Oak Grove: $1,000;

• Pinecrest Healthcare Center, Bernice: $1,000;

• Riverview Care Center, Bossier City: $2,000;

• Basile Care Center: $700;

• Guest House Properties, Winnfield: $7,500;

• The Guest House, Shreveport: $8,000;

• Louisiana Guest House, Alexandria: $1,425;

• West Monroe Guest House: $6,800;

• Rayville Guest House: $500;

• Rosepine Retirement & Rehabilitation Center: $6,450;

• River Oaks Retirement Manor, Lafayette: $6,000;

• De Soto Retirement & Rehabilitation, Mansfield: $4,350;

• Kinder Retirement & Rehabilitation: $4,950;

• Sabine Retirement & Rehabilitation Center, Many: $4,700;

• DeRidder Retirement & Rehabilitation Center; $4,450;

• River Oaks Retirement Manor, Lafayette: $6,000;

• The Retirement Center, White Plains, N.Y.: $3,000;

• The Retirement Center, Baton Rouge: $1,000.

These contributions did not include and separate contributions that may have been made by owners of these nursing homes.

Let’s review:

The Medicaid Trust Fund for the Elderly has been reduced by half since Jindal took office.

Only interest and investment revenue from the Medicaid Trust Fund for the Elderly is supposed to be used to pay for nursing home care and other Medicaid expenses.

More than $300 million of the fund’s principal has been used to keep nursing home Medicaid rates afloat.

Nursing homes and their owners have contributed more than $380,000 to Jindal’s three gubernatorial campaigns.

With Jindal, it always seems to come down to a single precept: follow the money.

“We approached the state…about how we might be able to help solve the problem with Southeast closing.”

—Meridian Behavioral Health Systems CEO Wes Mason, discussing his company’s selection as the private firm to take over operations of the privatized Southeast Louisiana Hospital (SELH) last October.

“Meridian was the only company that met all of DHH’s requirements and expectations…”

—DHH Public Information Officer Ken Pastorick, on the selection of Meridian, which operates Northlake Behavioral Health System, formerly SELH. (Northlake has been notified by the Center for Medicare & Medicaid Services that deficiencies at the facility have caused it to lose eligibility to participate in Medicare.)

It’s been all of nine months since Meridian Behavioral Health Systems took over operation of Southeast Louisiana Hospital (SELH) in Mandeville in what we like to call the Jindal Swindle and already the facility has been notified that it has been found to have deficiencies serious enough to threaten its eligibility to continue participation in Medicare.

Meridian, a Florida-based company chosen to run SELH after Gov. Bobby Jindal chose to close the hospital, has been running the 58-bed facility under the name of Northlake Behavioral Health System.

Jindal announced last year that he was closing the hospital, effective Oct. 1, a move that left mental patients in all of southeast Louisiana, including the New Orleans, Houma and Thibodaux metropolitan areas, with no access to any state mental treatment facility. The move threw more than 300 SELH employees out of work.

Formed as a company less than a year before taking over the Mandeville hospital, Meridian had never handled a facility the size of SELH and in fact, listed no facilities it had ever run on its application.

And it didn’t take long for that inexperience to surface.

Northlake Behavioral Health System CEO Richard Kramer was notified by the Center for Medicare & Medicaid Services (CMS) on June 3 that Northlake no longer qualified for participation in Medicare.

“After a careful review of the May 23, 2013, survey report, we have determined that Northlake Behavioral Health System no longer meets the requirements for participation in the Medicare program,” wrote Greg Soccio, manager of the CMS Non-Long Term Care Certification and Enforcement Branch.

“Although the deficiencies do not constitute an immediate threat to the health and safety of patients, the deficiencies have been determined to be of such a serious nature as to substantially limit your hospital’s capacity to render adequate care and prevent it from being in compliance with all the conditions of participation for hospitals,” Soccio’s letter said. “Consequently, we plan to terminate participation in the Medicare program if compliance is not achieved within the given timeframes specified.”

Soccio, in his letter, gave Sept. 1, exactly 11 months after Meridian took over the facility, as the date of its termination in Medicare. “CMS will monitor your progress in correcting the deficiencies cited,” he said. “You must submit by June 14 a plan of correction with acceptable time schedule.” His letter, while imposing a July 3 deadline for completion of corrective action, listed criteria Northlake must meet for recertification:

• The plan must address correcting the specific deficiency cited;

• The plan must address improving the processes that led to the deficiency cited;

• The plan must include procedures for implementing the acceptable plans of correction for each deficiency cited;

• A completion date for the implementation of the plans of correction for each deficiency cited;

• All plans of correction must take a QAPI (Quality Assurance/Performance Improvement) approach and address improvements in its systems in order to prevent the likelihood of the deficient practice reoccurring;

• The plan must include the monitoring and tracking procedures to ensure that the plan of correction is effective and that specific deficiency cited remains corrected and/or in compliance with the regulatory requirements;

• The plan must include the title of the person responsible for implementing the acceptable plan for correction.

Subsequent to Soccio’s letter, Kramer submitted a 43-page plan of correction to CMS on June 14, the deadline given by CMS.

As serious as the letter may have been to Northlake and as welcome as it may have been to those opposed to the privatization, it did leave one gigantic loophole for Jindal:

“The Louisiana Department of Health and Hospitals (DHH) will conduct a focus Medicare survey of your facility to assess your hospital’s compliance with the conditions of participation that were found out of compliance and assess your corrective actions,” Soccio’s letter said.

“Compliance must be achieved at the time of this revisit if further action is to be avoided. If you remain out of compliance at the time of your revisit, you can expect to receive another letter advising you of the continuation of the termination process and your appeal rights.

“You will again be asked to submit an acceptable plan of correction to our office and we may conduct one final revisit before the termination date,” it said.

That July 3 deadline was more than a week ago and a CMS spokesperson in Dallas said on Wednesday that no new paperwork had been received on Northlake by his office.

But allowing DHH to make the determination of compliance? This is the same agency that, under former Secretary Bruce Greenstein, was allowed to manipulate specifications to allow Greenstein’s former employer, CNSI, to bid on and win a $280 million contract that is now the subject of a federal investigation.

Greenstein may be gone but his successor, like Greenstein, was appointed by Jindal and does anyone really doubt that the governor maintains an iron grip over DHH? And Jindal doesn’t like to admit he ever made a mistake.

Anyone care to take any bets on the outcome of that DHH focus Medicare survey of Northlake?

“I believe that all elected officials should—as I have always endeavored to do—act with the interests of our citizens in mind.”

—State Rep. Chris Broadwater (R-Hammond), vice chairman of the House Labor and Industrial Relations Committee and former director of the Office of Workers’ Compensation, defending his work as attorney for insurance companies seeking to deny or reduce workers’ compensation claims and his admitted practice of routinely consulting with his successor OWC Director Wes Hataway on pending matters before OWC that directly affect his clients.