Enlightened Self Interest

I am in favor of letting universities issue bonds for construction projects. It streamlines the process. It makes sense. But when you are talking about this kind of money it’s always good to know who is really going to make a buck.

From PolWatchers:

The state House, for the fourth year running, passed a measure allowing public universities to sell bonds for constructing campus projects without those moves counting against the state government's total debt.

While the bill -- sponsored by Rep. Bob Damron, D-Nicholasville -- passed the chamber unanimously by a 91-0 vote, it only sailed through after a lengthy debate over the concept of prevailing wage.

Rep. Tim Moore, R-Elizabethtown, said on the floor that he considered attaching an amendment to Damron's university bonding bill that would repeal prevailing wage, which sets a minimum pay rate for construction workers on public projects.

By rolling back prevailing wage, Moore argued, that would save 20 percent at a time when universities are having to cut back over budget concerns.

"Because of the 20 percent premium attached onto every university project, universities in this state this year will lay off faculty, universities this year will raise tuition," Moore said.

He described it as an "unnecessary burden that I think is shameful," which prompted a smattering of applause from mostly Republican lawmakers.

I am not going to talk about prevailing wage. Let’s just say the Tim Moore is an idiot and leave it at that.

However, let’s follow the money.

According to their own claims RossSinclair is the number one Investment Banker in Kentucky advising cities, counties and school districts. Who do you think has the best chance for making millions from University Bond Issues?

Now guess who is one of the leading investment bankers for this firm?

Robert Damron -mailto:rdamron@rsanet.com

Robert (Bob) Damron joined RSA in 1997 with experience in commercial lending and risk analysis. Mr. Damron has extensive knowledge of and experience with cash flow analysis, budget preparation, financial statement analysis and is an expert in matching clients needs with innovative solutions. As Vice President of RSA's South Carolina Division, he maintains daily contact with many RSA clients and provides excellent customer service. Mr. Damron routinely assists RSA clients in their decision-making process to seek financial advisory services. He has served his home state of Kentucky as a State Representative in the Legislature since 1993 and currently serves as Vice-Chair of the House Appropriations and Revenue Committee. Mr. Damron brings a unique perspective to local political subdivisions' complex funding problems and has devised many unique solutions. Mr. Damron holds both a B.A. and an M.B.A. from the University of Kentucky, and the National Association of Securities Dealers designations as General Securities Representative (Series 7) and Uniform Securities Agent (Series 63).

Yes the same Bob Damron that has been trying to get this bill passed for four years.

Damron’s "official" focus is the South Carolina market, although Kentucky makes up the bulk of RossSinclair business and I’m sure in the four years he has been working on this he never considered how much money his company was going to make should this bill become law.

I’m sure Bob Damron and RossSinclair will take the ethical route and abstain from being involved with any University Bond Issues.