New Mexico Senate Minority Office
For Immediate Release Friday, January 29, 2010 Contact: 575-626-2876
Could Jackson Attorney’s Admission of overcharges be evidence of possible fraud?
Santa Fe—The typical New Mexican may be wondering if the strange statement by the lead attorney in the Jackson lawsuit is evidence that plaintiffs’ attorneys have been willfully overcharging the state. That is the reaction State Senator Rod Adair had of what an attorney reportedly said about his charges to the state of New Mexico.
“It just jumped off the page,” Senator Adair said of an Albuquerque Journal article with the headline BILL AIMS TO END LAWYERS’ PAYMENT. The lead attorney involved in a lawsuit regarding the developmentally disabled and the state of New Mexico might have been overcharging the state because he is now reportedly saying he will reduce his fee requests next year because the state is broke. “It begs the question: were the lawyers increasing their “fees” and “costs” to keep pace with state revenues and expenditures?” Senator Adair asked. “According to a statement by the lead attorney in the Jackson case, it appears plaintiffs’ attorneys charged fees based on what the state had in the treasury rather than basing fees on anything related to actual costs incurred.”
Today’s Journal article quoted Peter Cubra, the lead attorney in the Jackson lawsuit and went on to report: “Mindful of the state’s budget problems, the attorneys plan to reduce their fee requests over the next year, he also said.”
Senator Adair has charged that taxpayer dollars going to lawyers could have been going to the state’s most vulnerable population. Millions has been flowing to trial lawyers and expert witnesses in a 20 year old lawsuit. Adair said he wants the gravy train for lawyers to end and divert the funding to the developmentally disabled.
Unknown to taxpayers, the State of New Mexico has been shoveling almost $5 million a year to a small clique of lawyers and their hand-picked associates who have been serving as “expert witnesses” and “consultants” in a lawsuit that has been kept alive for 22 years and appears to be benefiting only the attorneys who are charging millions.
“Enough is enough,” said State Senator Rod Adair, “We have paid nearly $75 million just to plaintiffs’ attorneys—and that money should be going to the developmentally disabled instead. Every year we do this we are effectively cheating our most vulnerable citizens out of $20 million.” (The Federal Government would match the $5 million with an additional $15 million if the funds were spent on the disabled instead of given to lawyers.)
Friday, January 29, 2010
Senator Leavell Warns Against Tax Increases in Tough Economic Times
Re-examination of Government Services Needed as Tough times expected to continue
Santa Fe—State Senator Carroll Leavell speaks out against proposals to raise taxes during the 2010 New Mexico Legislative Session and warns that additional tax increases could severely impact New Mexicans. “Now is not the time to raise taxes,” Senator Leavell said at the state capitol today. “Our citizens could face even more problems and hardships if the tax increase bills being proposed were to pass this session.”
Senator Leavell repeats his mantra each day as he serves on the Senate Finance Committee. Much of the important work in this budget session takes place in the Senate Finance Committee where there is lively debate over the budget and how best to fund the demands of education, public safety, highways and other needed services in these times when state revenue is in short supply.
“While Southeast New Mexico is not suffering as seriously as the balance of the state, we have families that are struggling. Many jobs have been lost. Many of our citizens are living paycheck to paycheck and can’t afford increased taxes,” Senator Leavell said. “I remind committee members that state regulations on the oil and gas industry have compounded our slowdown in drilling and production, and that many in the industry are out of work and over-time is something of the past. Additional taxes could be devastating.”
The oil and gas industry is not alone.
In the past year, New Mexico has experienced a 21% decline in personal income tax collections, a 54% decline in corporate income tax collections, and a 20% decline in energy related revenues.
“It does not make any sense to increase taxes on businesses and people when they are down,” Senator Leavell said. “How can you squeeze money out of people and businesses when they do not have it?”
To fund state government for next year, Senator Leavell said the answer to is to curb spending in a state budget that has grown over 40% in the past seven years. “This is an opportune time to reexamine what vital services New Mexico should provide, those that we can afford to provide and those that taxpayers should not have to provide in the first place.”
Senator Leavell said statistics prove New Mexico taxpayers are funding much more state government than taxpayers in other states. “New Mexico ranks 3rd highest in the nation of public employees per capita and has 40% more public employees per capita than the national average when state and local employees, including those in education, are considered, “Senator Leavell said. “If we were at the national average, we could save $200 million dollars a year. We need to examine these numbers.”
New Mexico taxpayers funded a state budget that was as high as $6 billion dollars just two years ago, economists forecast revenues for the coming fiscal year to be at $5.2 billion dollars. “While it is imperative to fund critical services as adequately as possible for next year, there is not enough money to fund non-essential areas. That is not any different than what we do in our homes and businesses,” Senator Leavell said.
Senator Leavell is optimistic the legislature can be successful in managing this downturn in state revenue if there is cooperation and if legislators acknowledge a significant change in state government needs to take place because the serious reality of reduced revenue will be around for years to come.
The budget debate continues at the state capitol as the session nears its midpoint next week.
The 2010 legislative session ends on February 18, 2010.
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Eliminate Superfluous Firearms Course
Santa Fe—Senate Minority Leader Stuart Ingle is sponsoring a bill again this year that would no longer require a two-year firearm refresher course in handgun licensing. The bill would not impact the course that is required at the four-year re-licensing period. A similar bill passed the Senate last year 31 to 9.
SB 212 is titled No 2-year Concealed Weapon Refresher Course.+
“The Department of Public Safety does not think this 2 year refresher course is needed after people have passed the four-year re-licensing course. It is more of a burden and is costly and does not affect safety,” Senator Ingle said. “The course that only requires 25 shots at a target appears to require a lot of paperwork, bureaucracy and cost with no benefit.”
Senator Ingle said the two-hour firearms refresher course would not significantly enhance a person’s ability to safely handle a handgun. New Mexico is the only state currently requiring a refresher course. The course required at the four-year re-licensing period would still be required
Santa Fe—Senate Minority Leader Stuart Ingle is sponsoring a bill again this year that would no longer require a two-year firearm refresher course in handgun licensing. The bill would not impact the course that is required at the four-year re-licensing period. A similar bill passed the Senate last year 31 to 9.
SB 212 is titled No 2-year Concealed Weapon Refresher Course.+
“The Department of Public Safety does not think this 2 year refresher course is needed after people have passed the four-year re-licensing course. It is more of a burden and is costly and does not affect safety,” Senator Ingle said. “The course that only requires 25 shots at a target appears to require a lot of paperwork, bureaucracy and cost with no benefit.”
Senator Ingle said the two-hour firearms refresher course would not significantly enhance a person’s ability to safely handle a handgun. New Mexico is the only state currently requiring a refresher course. The course required at the four-year re-licensing period would still be required
As Scandal upon Scandal Rock NM, Vetoed Whistle Blower Ethics Bill introduced again this session
Public employees protection vital to uncovering unethical, illegal breaches
SB 96---Whistleblower Protection Act
Sponsored by Senator Sue Wilson-Beffort
Santa Fe—Since Governor Bill Richardson vetoed a bill that would have protected public employees who uncover and reveal illegal activity, the state continued to be rocked by scandals of alleged illegal activity. The sponsor of the ethics legislation this year hopes the public has had enough of the scandals and tells the governor not to veto her whistle blower ethics bill if it passes the legislature.
Senator Sue Wilson Beffort is sponsoring SB 96- Whistleblower Protection Act, she said she sponsored a similar bill in the passed but it was vetoed by Governor Richardson.
Senator Wilson Beffort said SB 96 is to protect public employees who report illegal and unethical conduct is critical for ethics reform. She said those who retaliate would face money damages, in addition to any criminal charges they would face based on the illegal conduct that was reported.
The Whistleblower Protection Act is to encourage employees to report illegal acts they see on the job.
“The right to come forward with important information regarding unethical or illegal conduct is vital to restoring public faith in government,” Senator Wilson Beffort said.
Senator Wilson Beffort says her bill will help restore public faith in government and will likely lead to more cases of unethical and illegal behavior.
“New Mexico has experienced serious, ethical breaches in our public offices- in the State Treasurer’s Office, the APS Police Evidence Room, in the Department of Insurance. I believe other unethical breaches will be uncovered if public employees are given protection to come forward,” Senator Wilson-Beffort said.
-more-
Senator said the bill makes illegal the blacklisting and other retaliation actions against an employee who reports illegal or unethical conduct.
Under the bill, a grievance procedure will be implemented, including a hearing with the Department of Labor’s Human Rights Commission. An employee could seek a trial in district court in lieu of a hearing with the commission.
If retaliation is proven, the court may award actual damages, punitive damages ad attorney fees.
“We need to protect employees and make them feel free to come forth with information they know about in their public offices. They will feel protected if they know there is a fair grievance in place to protect them,” Senator Wilson Beffort said..
It would be a misdemeanor, punishable by a fine up to $1,000 and up to a year in prison, for a person involved in the grievance procedure to make public any of the information from the grievance procedure.
###
Public employees protection vital to uncovering unethical, illegal breaches
SB 96---Whistleblower Protection Act
Sponsored by Senator Sue Wilson-Beffort
Santa Fe—Since Governor Bill Richardson vetoed a bill that would have protected public employees who uncover and reveal illegal activity, the state continued to be rocked by scandals of alleged illegal activity. The sponsor of the ethics legislation this year hopes the public has had enough of the scandals and tells the governor not to veto her whistle blower ethics bill if it passes the legislature.
Senator Sue Wilson Beffort is sponsoring SB 96- Whistleblower Protection Act, she said she sponsored a similar bill in the passed but it was vetoed by Governor Richardson.
Senator Wilson Beffort said SB 96 is to protect public employees who report illegal and unethical conduct is critical for ethics reform. She said those who retaliate would face money damages, in addition to any criminal charges they would face based on the illegal conduct that was reported.
The Whistleblower Protection Act is to encourage employees to report illegal acts they see on the job.
“The right to come forward with important information regarding unethical or illegal conduct is vital to restoring public faith in government,” Senator Wilson Beffort said.
Senator Wilson Beffort says her bill will help restore public faith in government and will likely lead to more cases of unethical and illegal behavior.
“New Mexico has experienced serious, ethical breaches in our public offices- in the State Treasurer’s Office, the APS Police Evidence Room, in the Department of Insurance. I believe other unethical breaches will be uncovered if public employees are given protection to come forward,” Senator Wilson-Beffort said.
-more-
Senator said the bill makes illegal the blacklisting and other retaliation actions against an employee who reports illegal or unethical conduct.
Under the bill, a grievance procedure will be implemented, including a hearing with the Department of Labor’s Human Rights Commission. An employee could seek a trial in district court in lieu of a hearing with the commission.
If retaliation is proven, the court may award actual damages, punitive damages ad attorney fees.
“We need to protect employees and make them feel free to come forth with information they know about in their public offices. They will feel protected if they know there is a fair grievance in place to protect them,” Senator Wilson Beffort said..
It would be a misdemeanor, punishable by a fine up to $1,000 and up to a year in prison, for a person involved in the grievance procedure to make public any of the information from the grievance procedure.
###
Thursday, January 28, 2010
Stop the Lunacy of it All
Bill to stop state from working against itself to prove fraud in same lawsuit
Friday, January 29, 2010
SB- 220 -News Availability After Committees Committee
Senate Lounge, approximately 10:30 a.m.
Senator John Ryan- 505-238-3733
Santa Fe--Ask the average citizen what he or she thinks about the state working against itself and paying for lawyers to defend state employees it has an interest in suing and you’d probably hear, “It’s crazy.”
But that is exactly what the state of New Mexico is doing.
One state senator wants the lunacy to end.
State Senator John Ryan (R-Bernalillo-10) wants to stop the state from having to pay to defend state employees who are being sued for fraud or other government wrongdoing on the job when it is the state that is also involved in pressing the charges.
Senator Ryan has introduced Senate Bill 220 in reaction to the high-profile whistleblower case of Foy v. Vanderbilt lawsuit. In that case, the state’s risk management division is paying to defend state employees the state itself has an interest in suing for alleged fraud. According to news reports, that lawsuit alleges the former state investment officer and other state employees were instructed to make investments in exchange for political contributions.
“This is just crazy, the state is working against itself and its interests,” Senator Ryan said. “In a case like this, the state spends millions and millions to defend state employees it is also has an interest in suing to recover money that was defrauded. My bill would not require the state to use taxpayer dollars to defend state employees it also has an interest in suing for fraud or other wrongdoing. The state is paying legal fees against our own state interests to prove fraud and recover millions in damages. How ridiculous is that?”
Senator Ryan said the state would not have to defend cases where the Attorney General has applied the current Fraud Against Taxpayer Act to determined that a alleged fraud case against government employees is legitimate and can move forward.
The bill is scheduled to be presented before the Senate’s Committees Committee on Friday morning to determine whether it is relevant to this budget session. Senator Ryan said it is. “It is germane because it is budget-related. It protects the state from also paying a judgment in fraud cases where the state is being the sued, where it is the plaintiff.”
Senator Ryan said, “If the state is the plaintiff, if the state is suing a state employee for fraud, the state is not required to then turn around and defend the employee and would not be required to pay a judgment if fraud is proven against the state employee.”
Bill to stop state from working against itself to prove fraud in same lawsuit
Friday, January 29, 2010
SB- 220 -News Availability After Committees Committee
Senate Lounge, approximately 10:30 a.m.
Senator John Ryan- 505-238-3733
Santa Fe--Ask the average citizen what he or she thinks about the state working against itself and paying for lawyers to defend state employees it has an interest in suing and you’d probably hear, “It’s crazy.”
But that is exactly what the state of New Mexico is doing.
One state senator wants the lunacy to end.
State Senator John Ryan (R-Bernalillo-10) wants to stop the state from having to pay to defend state employees who are being sued for fraud or other government wrongdoing on the job when it is the state that is also involved in pressing the charges.
Senator Ryan has introduced Senate Bill 220 in reaction to the high-profile whistleblower case of Foy v. Vanderbilt lawsuit. In that case, the state’s risk management division is paying to defend state employees the state itself has an interest in suing for alleged fraud. According to news reports, that lawsuit alleges the former state investment officer and other state employees were instructed to make investments in exchange for political contributions.
“This is just crazy, the state is working against itself and its interests,” Senator Ryan said. “In a case like this, the state spends millions and millions to defend state employees it is also has an interest in suing to recover money that was defrauded. My bill would not require the state to use taxpayer dollars to defend state employees it also has an interest in suing for fraud or other wrongdoing. The state is paying legal fees against our own state interests to prove fraud and recover millions in damages. How ridiculous is that?”
Senator Ryan said the state would not have to defend cases where the Attorney General has applied the current Fraud Against Taxpayer Act to determined that a alleged fraud case against government employees is legitimate and can move forward.
The bill is scheduled to be presented before the Senate’s Committees Committee on Friday morning to determine whether it is relevant to this budget session. Senator Ryan said it is. “It is germane because it is budget-related. It protects the state from also paying a judgment in fraud cases where the state is being the sued, where it is the plaintiff.”
Senator Ryan said, “If the state is the plaintiff, if the state is suing a state employee for fraud, the state is not required to then turn around and defend the employee and would not be required to pay a judgment if fraud is proven against the state employee.”
Stop Immoral Gravy Train for Lawyers that is diverting Money from the
Most Vulnerable
Santa Fe--Money that could have been going to the state’s most vulnerable population has instead been going to trial lawyers and expert witnesses in a 20 year old lawsuit. Some state senators want a gravy train for lawyers to end and divert the funding to the developmentally disabled.
Unknown to taxpayers, the State of New Mexico has been shoveling almost $5 million a year to a small clique of lawyers and their hand-picked associates who have been serving as “expert witnesses” and “consultants” in a lawsuit that has been kept alive for 22 years.
“Enough is enough,” said State Senator Rod Adair, “We have paid nearly $75 million just to plaintiffs’ attorneys—and that money should be going to the developmentally disabled instead. Every year we do this we are effectively cheating our most vulnerable citizens out of $20 million.” (The Federal Government would match the $5 million with an additional $15 million if the funds were spent on the disabled instead of given to lawyers.)
“This lawsuit is sucking a full 1% of the entire state health budget for a small group of lawyers and their friends,” Adair said, “The Department of Health should be spending these millions each year on the needs of the developmentally disabled,” Senator Adair said. “This has been going on for years and no one has asked why? I am asking that it stop, and that it stop now.”
Senator Adair’s bill prohibits the DOH from using any funds for the purpose of paying plaintiffs’ attorneys or their expert witnesses or any other expense claimed for fiscal year 2010 beyond those already disbursed in the Jackson v. Ft. Stanton lawsuit or any other Jackson et al cases that began in 1987 or 1988.
Senator Adair said funds saved shall be appropriated for the developmentally disabilities waiver waiting list. Currently there are over 3700 New Mexicans on the waiting list to receive services for the developmentally disabled.
According to Adair, the $75 million spent on legal fees over the past 20 years could have been matched by the federal government and generated up to $300 million for the developmentally disabled.
Most Vulnerable
Santa Fe--Money that could have been going to the state’s most vulnerable population has instead been going to trial lawyers and expert witnesses in a 20 year old lawsuit. Some state senators want a gravy train for lawyers to end and divert the funding to the developmentally disabled.
Unknown to taxpayers, the State of New Mexico has been shoveling almost $5 million a year to a small clique of lawyers and their hand-picked associates who have been serving as “expert witnesses” and “consultants” in a lawsuit that has been kept alive for 22 years.
“Enough is enough,” said State Senator Rod Adair, “We have paid nearly $75 million just to plaintiffs’ attorneys—and that money should be going to the developmentally disabled instead. Every year we do this we are effectively cheating our most vulnerable citizens out of $20 million.” (The Federal Government would match the $5 million with an additional $15 million if the funds were spent on the disabled instead of given to lawyers.)
“This lawsuit is sucking a full 1% of the entire state health budget for a small group of lawyers and their friends,” Adair said, “The Department of Health should be spending these millions each year on the needs of the developmentally disabled,” Senator Adair said. “This has been going on for years and no one has asked why? I am asking that it stop, and that it stop now.”
Senator Adair’s bill prohibits the DOH from using any funds for the purpose of paying plaintiffs’ attorneys or their expert witnesses or any other expense claimed for fiscal year 2010 beyond those already disbursed in the Jackson v. Ft. Stanton lawsuit or any other Jackson et al cases that began in 1987 or 1988.
Senator Adair said funds saved shall be appropriated for the developmentally disabilities waiver waiting list. Currently there are over 3700 New Mexicans on the waiting list to receive services for the developmentally disabled.
According to Adair, the $75 million spent on legal fees over the past 20 years could have been matched by the federal government and generated up to $300 million for the developmentally disabled.
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