calgov2002:
 calgov2002: for old calgov2002 articles. calgov2002: for new calgov2002 articles. Other Bump Lists at: Free Republic Bump List Register |
Posted on 05/09/2002 11:49:50 PM PDT by JohnHuang2
Can Gov. Davis do the right thing? Forty-nine percent of California voters just aren't sure.
A landmark lawsuit was filed in Pasadena, Calif., this past Tuesday that could save $14 billion on a budget that is nearly $20 billion in debt.
According to the lawsuit, State Sen. Tom McClintock, R-Thousand Oaks, alleges that the state's famous "long-term contracts" are null and void due to the corruption of one of the administration's lead negotiators.
Now, let me step in here and offer you the details …
Documents report that Vikram Budhraja, Gov. Davis' lead man on the contract negotiations, was on the payroll of Edison International at the same time he was negotiating the contracts for the state of California. According to Fair Political Practices Commission forms filed on March 12, Budhraja was paid a retainer of more than $100,000 from Edison during the year of 2001.
The case is based upon a California conflict-of-interest law. Government Code Section 1090 calls any contract negotiated by a "conflicted" employee as void. This same law was used to remove California's Superintendent of Public Instruction, Bill Honig, in 1993. Seems that the current governor and state leadership are ignoring state law – or simply hoping that nobody cares enough to check.
Sen. Tom McClintock is one of those caring leaders. McClintock explained from the courthouse on Tuesday why he believes the court will move to void the contracts.
"It is necessary to prove just three things," said the senator and GOP candidate for state controller, "First, that Mr. Budhraja was involved in any way in the negotiation or approval of the contracts. This is obvious under the terms of his own agreement with the state."
"Secondly, that Southern California Edison had either a direct or indirect financial interest in the contracts – the declared purpose of which was to prevent its bankruptcy," stated McClintock.
"Thirdly, that the more than $100,000 payment Mr. Budraja received from Southern California Edison constituted at least 5 percent of his income." (One of the clarifying rules of Code 1090 is that the employee's conflict must exceed 5 percent of the party's income.)
Richard Ackerman, for the United States Justice Foundation, is submitting the lawsuit. Ackerman has assured those behind the effort that he will aggressively serve subpoenas and be taking depositions to prove these facts surrounding the scandal of the secret contracts.
However, there is one individual who could make this process much easier. The individual is Gov. Gray Davis.
If Davis really wants to defend the citizens and taxpayers of California and support the "changing of these contracts," then Davis should be in favor of voiding the originals and starting from scratch. He has a law on his side to do just that – the right thing!
Sure, Gov. Davis is bragging about his "adjusting" of the Calpine contracts. Truth be told, these restructured contracts are unimpressive at best. Davis calls the "victory" over the Calpine contracts a big win for California when, in reality, truth calls him a liar once again.
Davis has been talking a big game about big savings with his Calpine muscle deal. Yet, the numbers reveal the price in the contracts dropped from $61 per mega hour to $59.60 per mega hour at a time when the spot market is as low as $13! Even the modest concession cost the state another $200 million in up front payments to Calpine.
Can someone say "window washing"?
If the governor would like to void the contracts – he can! The law allows for such a re-negotiation and restructuring. Davis should join the attorneys in Pasadena and reiterate the facts that Sen. Tom McClintock and the state law affords. The contracts would go away and the state would save nearly $14 billion.
But there is that one problem … "scandal"! Gov. Davis would have to admit to another administration scandal.
Try telling 35 million people that the power crisis cost them millions and billions of dollars so their beloved governor could add to his campaign war chest and a staffer could clear $100,000 annually.
Is it any wonder why 49 percent of California voters have trouble trusting this guy?
It could be that a hot summer, will be hot for Davis, too. And a cool victory in November, for Simon? Stay tuned.
A few thousand bucks out of my hide for this scoundrel. I hope the contracts are voided.
Is it any wonder why 49 percent of California voters have trouble trusting this guy?
It's incredible that the other half either support him or have no opinion.
calgov2002:
|
calgov2002: for old calgov2002 articles. calgov2002: for new calgov2002 articles. Other Bump Lists at: Free Republic Bump List Register |
Sen. Tom McClintock is one of those rare people in politics. He calls reality as it, and he has had this entire power problem nailed even before it hit California.
Criminals must not be allowed to enter into long term contracts even with good companies behind closed doors.
The Kali Fascist Davis had his petty little criminals break law after law before, during and after the power crisis of 2001.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.