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Earmark Reform, Connecticut’s Corrupt-Cup Overflows

Ain’t it perfectly honest to charge a good price and make a profit on my investment and foresight? Of course, it is. Well, that’s honest graft -- George  Plunkitt of Tammany Hall

 

Corruption, we know, is a staple of kingly arrogance.  In a unitary one party state, corruption corrupts absolutely, for obvious reasons. When power remains undivided in a state, the only guard against political corruption, so we have been told, is a vigilant media.

 

A nudge from the Feds and a six month old attempt by Connecticut Republicans to reform the state’s earmarks structure has awakened the virtuous juices of a handful of Connecticut’s reporters.

 

About six months ago, Republican leaders in the General Assembly – state representative in the House Vince  Candelora and state senators Rob Sampson and Steve Harding -- issued a mini-manifesto on earmarks and ended by “proposing the following legislative reforms which would apply to all grant recipients receiving a grant-in-aid earmarked from a state appropriation or bond allocation from the state.  They include:

Transparency of Purpose

As a condition of receiving funds, grant recipients must submit a written request to the Appropriations Committee which shall include the following information:

The amount of funds requested

The necessity for and intended use of such funds;

A clear description of the public purpose furthered by the granting of such funds; and

The legislator/requestor who made the initial request for funds, including a certification that they, their family members, or any business with which they are associated, have no financial interest in and will receive no financial benefit from the grant of funds.

Such information shall be publicly posted online.

Grant recipients must participate in a public hearing conducted by the Appropriations Committee, which shall also include the agency of cognizance (DECD, DSS, etc), to give the committee an opportunity to gather additional information and solicit public input.

Grant recipients must disclose any convictions of its officers or board members of any financial related crimes and any cases where an officer or board member was the defendant in a lawsuit related the handling of funds or the discharge of fiduciary duty.

Grant recipients must submit to random state audits and financial reconciliations to verify that the funds are being used as intended.

Transparency in Reporting

Prior to receiving an initial grant and annually thereafter, no later than 60 days before the end of the fiscal year in which the funds were received, the grant recipient must submit to the Appropriations committee a certified, detailed accounting of the recipient's budget for the previous fiscal year that includes:

Each amount spent on administrative costs; each amount spent on lobbying, political and advocacy activities, including but not limited to, funds paid to any tax-exempt organization recognized under IRS Code 501(c)(4); a detailed reporting of all sources of income, in addition to the state funds; a detailed accounting of all disbursements; if applicable, a detailed accounting of how third-party and subsequent grant recipients expended the funds they received; a list of all current Board Members.

 

The Republican leaders also included in their manifesto a few pertinent remarks that might have caught the eyes of federal investigators/prosecutors:

 

The budget bill which passed this year included $13.3 million in Fiscal Year 26 and $5.6 million in Fiscal Year 27 for legislatively directed appropriations under the Youth Services Prevention and Youth Violence Initiative lines.

There are 289 separate lines which list only the organizations' names and amount appropriated to each.

There are multiple organizations listed twice. Some organizations are either misspelled or have incorrect names. Some of the organizations have little to no information available online.

Examples of the grantees include:

“Sports Academy” is receiving $250,000.  It is unclear what “Sports Academy” is, or does. The only organization with an exact match of this name that registered with the state was dissolved in 2021.

Blue Hills Civic Association, Inc. is receiving $20,000. This organization has been under FBI investigation since December of 2024.  The organization has received $14.42 million from the state since 2016 with a vast majority coming in the past four years.

The lawmakers also highlighted a Special Act which passed this year that directs state funds to a long list of nonprofit groups (attached).

We hope these common sense reforms receive bipartisan support, and if we are called into Special Session this month, we urge Democrats to add these good government solutions to the list of action items to vote on. We urge Democrats to work with us in bipartisan fashion on these ideas.  We should be spending taxpayer money as prudently and as transparently as possible. The candy store Connecticut government giveaways must end."

 

The earmarks presently under scrutiny by the Feds may be the tip of a very large and menacing iceberg. Bob Swick, who has been ringing Connecticut’s fraud alarm bell for two decades, notes in Connecticut Centinal: “Looking at the Governor and his dealings, he represents all that is bad in our political system. One can safely state this as the corruption does get answered about “Thermo Fisher Scientific’, ‘Sema 4’, ‘Core Infomatics’, ‘Centrellis’, ‘Ocrulus’, ‘Urjanet’, ‘1life Healthcare’, ‘Galileo Health’, ‘Castlight Health’, "‘Paladina Health’, and "‘VillageMD‘, the Lamont-related Cayman Island partnerships, large Cayman Islands deals such as the ‘Horsebarn Hill Investment Fund’ hiding in the UCONN Foundation, and other deals working through ‘quasi-public’ organizations such as Lamont-connected (and covert) ‘Connecticut Innovations’”.


In a recent Hartford Courant story, reporter Chris Keating noted: “Prompted by an FBI investigation and complaints by legislators [for the most part, aggressive, morally awake Republican Party leaders in the state’s General Assembly] about state spending, the state House of Representatives voted unanimously for a reform bill that calls for greater oversight for nonprofits that collectively receive millions of dollars annually in state funding.

 

Keating noted in his story, “Some lawmakers [chiefly Republicans] said the measure, known as House Bill 5039, was not as strong as it could have been. First, the judicial and executive branches, which are separate branches of government, are not included in the bill, despite millions of dollars that often flow to nonprofits. Second, Lamont’s proposal to include the name of the legislator who proposed the specific earmark was dropped from the bill.”

 

In his remarks on Tammany Hall, boss George Plunkitt makes a careful distinction between honest and dishonest graft:

 

EVERYBODY is talkin’ these days about Tammany men growin’ rich on graft, but nobody thinks of drawin’ the distinction between honest graft and dishonest graft. There’s all the difference in the world between the two. Yes, many of our men have grown rich in politics. I have myself. I’ve made a big fortune out of the game, and I’m gettin’ richer every day, but I’ve not gone in for dishonest graft—blackmailin’ gamblers, saloonkeepers, disorderly people, etc.—and neither has any of the men who have made big fortunes in politics. There’s an honest graft, and I’m an example of how it works. I might sum up the whole thing by sayin’: I seen my opportunities and I took “em.”…

 

 Every good man looks after his friends, and any man who doesn’t isn’t likely to be popular. If I have a good thing to hand out in private life, I give it to a friend  -- why shouldn’t I do the same in public life?

 

Another kind of honest graft. Tammany has raised a good many salaries. There was an awful howl by the reformers, but don’t you know that Tammany gains ten votes for every one it lost by salary raisin’?

 

Now, in conclusion, I want to say that I don’t own a dishonest dollar. If my worst enemy was given the job of writin’ my epitaph when I’m gone, he couldn’t do more than write:

 

“George W. Plunkitt. He Seen His Opportunities, and He Took ‘Em.”

 

The more things change, the French say, the more they remain the same.


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