Corzine freezes 'slush fund'
By BETH DeFALCO Associated Press Writer
TRENTON, N.J. (AP) -- Hours after being sued by a private citizen who accused New Jersey lawmakers of illegally tapping into a multimillion dollar slush fund, the governor on Thursday publicly announced that he had already frozen the program's remaining money.
Gov. Jon S. Corzine agreed to halt payments from the grant program earlier in the week, his spokesman said, but didn't announce the decision until after David Robinson, an attorney from Cranford, filed a lawsuit in Superior Court in Mercer County on Thursday.
"The money for these grants was authorized and approved well before Gov. Corzine took office," Corzine spokesman Anthony Coley said. "He has directed a review of this program and ordered no further grants be distributed until that review is complete."
Over the past two years, lawmakers have set aside some $128 million for the Property Tax Assistance and Community Development Block Grant program, which Robinson characterized as "nothing more than a state-funded piggy bank for the politically connected."
"I'm outraged, plain and simple," Robinson said of the program.
After receiving no response to a March 15 letter he sent to Corzine and State Treasurer Bradley Abelow, Robinson decided to sue the pair to stop the state from spending any more of the estimated $25 million left in the grant program.
A March 29 memo from Corzine's chief counsel, Stuart Rabner, said the governor's decision to freeze the program was in response issues raised in Robinson's letter.
According to extensive public records contained in Robinson's lawsuit, some of the projects given one-time grants include: $200,000 for a Newark day care center; $125,000 for a New Brunswick teen center; $16,000 for equipment at a dog park in East Brunswick and $25,000 for a wrestling club in Paulsboro.
"Almost all of the grants have ties to some lawmaker," said Robinson's attorney, Mark Sheridan.
Several members of the Legislature are also mayors, comptrollers or are otherwise employed by municipalities that have received grant money, according to public records obtained by Robinson and included in his lawsuit.
Albio Sires, who in 2005 held the top leadership position in the state Assembly, was simultaneously the Democratic mayor of West New York. That town pulled in more approximately $3 million in grant money in 2005 to pay for street paving and recreational facilities upgrades. The $3 million included $250,000 for "downtown beautification."
Union City Mayor Brian Stack, who is also an assemblyman, saw $400,000 go to his city for parks, public works and other improvements.
In December, Camcare Health Corp. was approved to receive $200,000 from the grant program. Camcare's executive director, Mark Bryant, is the brother of Sen. Wayne Bryant, D-Camden.
Calls for comment to Sires, Stack, Mark Bryant and Wayne Bryant were not immediately returned Thursday.
Assembly Democratic spokesman Joe Donnelly said Sires understood that the funding decisions were made by the executive branch under a grant application process.
But Robinson's lawsuit cites then-Treasurer John McCormac saying that in lieu of an application process, he received lists from legislative leadership identifying which organizations were to receive grants from the fund.
Robinson's lawsuit alleges that the one-time grants were unconstitutional because while they were doled out by the Treasurer's Office in the executive branch, the legislative branch did the decision making. Robinson said that is a violation of the constitution's separation of powers provision.
Although Corzine has agreed to stop any grants from being awarded until his review is complete, Robinson said he would continue with the case until the fund was permanently closed.
His lawsuit also asks the court to order that all grants from the fund be returned.
As per the 2003 Victory Fund Annual Report cofounded by David Mixner.
http://www.victoryfund.org/clientuploads/documents/Victory_2003_E-Resolution.pdf
Page 25 specifically says The Gay & Lesbian Fund provides financial support to openly lesbian, gay, bisexual, and transgender candidates and officials.
Page 18 of the Gay & Lesbian Victory Fund 2004 Annual Report shows Jon Corzine is a Silver Victory Council member
http://www.victoryfund.org/clientuploads/documents/Victory_2004_Annual_Report.pdf
ping
Always liked the Admiral.