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.

Moving Right Along

I’ve still have to wonder why. But this thing seems to be moving right along.

HB 112 (BR 83) - R. Damron
AN ACT relating to the purchase of real property by the Commonwealth. Amend KRS 45A.045, regarding the purchase of real property by the Commonwealth, to eliminate the requirement that the Governor approve the purchase of real property from a state employee; retain requirement that the Secretary of the Finance and Administration Cabinet approve such a purchase.

(Prefiled by the sponsor(s).)
Jan 8-introduced in House
Jan 10-to State Government (H)
Jan 15-posted in committee
Jan 24-reported favorably, 1st reading, to Calendar

Revisiting

Let us consider new ideas and revisit old ones.

October 30, 2002
FRANKFORT, KY - - Governor Paul Patton today named Henry Clay “Hank” List secretary of the Natural Resources and Environmental Protection Cabinet. List follows the late James E. Bickford as secretary of the cabinet.

Jan. 25, 2008
Henry Clay “Hank” List, of Lexington, is returning to the state’s environmental agency as deputy secretary, Environmental and Public Protection Cabinet Secretary Robert D. Vance announced today.

"This is like deja vu all over again." - Yogi Berra

Sucking Up at Taxpayer Expense

Maybe Steve Beshear is getting a clue. From the Herald-Leader:

"Perception is always the problem with these kinds of things," Beshear said Thursday after the Lexington Herald-Leader reported that the cabinet's approval process for the turn lights near (Transportation Secretary Joe) Prather's Elizabethtown home got started on Dec. 12, the first day Prather and Beshear were on the job.

Let’s break this down.

Was the stop light needed? - No.

The directional arrows went up last week despite an agency review that found they were not necessary.

Did it cost a lot of money? - Not really, in the Transportation Budget this is chump change.

Cabinet spokesman Chuck Wolfe said the turn arrows cost $5,450 and the money came out of the Elizabethtown highway district's traffic operations budget.

Did Prather want the change made? - Yes

Prather told reporters Thursday that he had been talking with Elizabethtown officials for more than a year about the turn arrows because of increased traffic on the road and had asked them to recommend the signals to the state Transportation Cabinet.

So what happened?

Simple, the guys at Transportation fast tracked a questionable expenditure to make the new boss happy. Who is really going to care about a few bucks if it makes Joe happy? Consider this sucking up at taxpayer expense; it happens all the time in Frankfort.

But the real issue isn’t just Prather’s stoplight; it’s an administration wide lack of sensitivity to what they are doing. The voters are sick and tired of corrupt politicians and anything that even smells slightly will raise their anger and media will be happy to capitalize on the slightest screw up.

Prather new about the change and didn’t stop it. Public servants need to understand they are in the public eye.

I don’t believe Joe Prather is corrupt, unlike his predecessor, but he has been out of the game for a while. I hope this hit will jar him back in to shape.

Prather said the ordeal has taught him that he must be mindful of the weight his recommendations carry.

"I have learned from this and I will be more careful as I move ahead," he said.

If he really wants to show some integrity, Prather should pull $5,450 out of his six figure salary from the Transportation Cabinet and put it in the Elizabethtown highway district's traffic operations budget. Even at more than $5,000 it would be a cheap education.

Heather Ryan Statement

Here is Heather Ryan on her firing from the Maiden Alley Cinema and Mitch McConnell, great video from Hillbilly Report: