Press Release: Middletown Republican Party fails to file campaign finance reports for 4 years

For Immediate Release 

10/26/2020 

 MIDDLETOWN – On October 22, 2020 -- in “Middletown GOP says they’ve filed campaign finance reports. NJ says they haven’t.” -- the Asbury Park Press reported an alleged serious violation of New Jersey campaign finance law by the Middletown Township Republican Organization, involving the Organization’s failure to file quarterly financial reports to the New Jersey Election Law Enforcement Commission (NJ ELEC) for the last four years. Even though the State sends written reminders to political organizations to file these reports, the Middletown Township Republican Organization has not filed a report since the 3rd quarter of 2016, when it reported $39,000 on hand.  State Assemblyman Gerard Scharfenberger’s daughter, Alannah, was listed as the Treasurer when the last report was filed in October 2016. She is married to Middletown’s Mayor, Tony Perry, who was appointed to the Township Committee in November 2017 to fill his father-in-law’s seat. Since 2016, the Organization has made contributions to other political campaigns and committees in the amount of $22,650, per the ELEC reports filed by those other entities. Those outflows and the initial collection of monies have gone unreported by the Middletown Republican Organization. The Asbury Park Press obtained copies of multiple violation notices mailed out by ELEC. 

These reporting requirements matter. New Jersey’s Pay-to-Play Law prohibits a local government from awarding a contract to a vendor who has made a political contribution unless a “fair and open process” has been used. For the last 4 years, the donors to the Republican Organization in Middletown are unknown. This hurts transparency and diminishes the ability of the citizenry to hold public officials accountable. The State’s Pay-to-Play laws are also intended to address “wheeling”, the practice of channeling money through different political committees to circumvent contribution limits. When political organizations ignore their reporting requirements, enforcing the law becomes difficult. 

The flagrant refusal to abide by the law is especially damaging in Middletown, where the Middletown Republican Organization oversees a network of appointments and contributions that can be financially rewarding for the professionals who participate. The all-Republican Township Committee laid the groundwork for pay-to-play when they abandoned a more rigid pay-to-play ordinance in 2012. https://patch.com/new-jersey/middletown-nj/new-pay-to-play ordinance-adopted-at-committee-meeting. Since then, Committee members Fiore, Settembrino, and Hibell have been depositing campaign checks from T&M Engineering; the firm has somehow always been appointed as Middletown’s Engineering firm under this “fair and open” process for over 30 years. This appointment can lead to revenue for the firm exceeding $1.0 Million in a single year. Campaign donations have also come from Maser Consulting, the engineering firm consistently hired by the Middletown Sewerage Authority year to year, and from the law firm of our Township Attorney (Archer & Greiner). 

 More disturbing, Gibbons PC, the law firm of the Republican Party Chairman, Peter Carton, has been appointed as bond counsel to Middletown for decades. (Mr. Carton is quoted in the APP article and claims the required ELEC reports were filed but somehow went missing, and that he, a partner at one of the largest law firms in the State, has no copies.) Middletown is also an important cog in the County Republican sphere of influence, and it is there that he makes his biggest score, where every year his law firm, Gibbons, is appointed Bond Counsel for the County of Monmouth, earning $495/hour for this work. So much for competitive bidding. Remarkably, when Middletown receives financing from the Monmouth County Improvement Authority, Carton’s firm represents both the County and Middletown.

The “fair and open process” exception in the State’s Local Unit Pay-to-Play Law is intended to drive down contract costs through competition, but is a joke when Middletown appoints the same professionals every year. The Township has had the same engineering firm for approximately 40 years. The Middletown Committee members vote together on almost every single matter put before them, because, we believe, they have no choice.

Since 2016, numerous republican candidates have been elected or appointed to the five-member Middletown Township Committee, including Patricia Snell, who is currently running for re election on the 2020 ballot. The gravy train of donations is no secret. Public records between 2016 and 2020 tell a familiar story. In 2018, Tony Perry received two donations from T&M Engineering of $1600 and $1200. (We also should not be surprised that More Monmouth Musings blogger Art Gallagher was actively blogging in support of the republican team, since his company, Gallco Media, https://www.linkedin.com/in/artgallagher/, is getting paid by them. Mr. Perry’s campaign made payments of $1360 to Mr. Gallagher’s company (Gallco) for “Social Media Consulting”.) Committeeman Rick Hibell is no stranger to the benefits of the township’s amended pay-to-play ordinance, having received in 2018 $600 from T&M and $1,000 from Archer & Greiner, the law firm of Middletown Township Attorney Brian Nelson. Newcomer Ryan Clarke has joined in this professional largesse in 2020, receiving $1,000 from the law firm of the Township Attorney, $1,750 from Maser Consulting, the engineering firm of Middletown’s Sewerage Authority, and $1,450 from the ever-reliable T&M Engineering.

But when it comes to collecting professional donations, Committeeman Tony Fiore reigns supreme. In his campaign in 2017, our Township Engineers (T&M), whom Mr. Fiore voted to reappoint every year since then, made donations of $2,600 and $600 to his campaign. Maser Consulting, our perennial Sewerage Authority Engineers, made donations of $2,600 and $1,200. Not to be outdone, Archer & Greiner, the law firm of our Township Attorney, Brian Nelson, donated $2,000. That’s $9,000 in donations for Mr. Fiore from outside professionals working for Middletown. Committeeman Settembrino was right behind him with the following donations from T&M for his 2016 campaign: $2600 on 5/10/2016, $900 on 7/21/2016 and $600 on 9/13/2016. In 2019, Settembrino raked in $1,600 from T&M, $1,000 from our Township Attorney, and $1,200 from Maser.

“This is a serious matter,” said Middletown’s Democratic Chairman, Michael Morris. “We should question not only the ethics of Republican officials, but whether taxpayers have been overcharged for contracts that were awarded without competitive bidding when the law required it,” Morris continued. “That is not putting taxpayers first,” he said.

For supporting documentation .... Click Here

 

Statement: Middletown Republicans Failed to File 4 Years’ Worth OF NJ ELEC Campaign Finance Reports

For Immediate Release: 

10/24/20

 A Statement from Middletown Democratic Chairman Michael Morris concerning the failure of the Middletown Township Republican Executive Committee to file 4 years’ worth of campaign finance reports.

 Middletown –In response to the recent Asbury Park Press article, “Middletown GOP says they’ve filed campaign finance reports. NJ says they haven’t”, which uncovered a serious violation of NJ campaign finance law by the Middletown Township Republican Organization. The Organization has failed to disclose campaign financial records to the New Jersey Election Law Enforcement Commission (NJ ELEC) for the last four years. 

 The last report on file with NJ ELEC on behalf of the Middletown Republican organization is from the 3rd quarter of 2016 and showed over $39,000 on hand. Since that time the Middletown Republican organization has made contributions to others in the amount of $22,650, all of which has gone unreported and there is now no way to tell who campaign contributions came from, to whom the Middletown Republicans donated funds to or what amount of money changed hands during this period.

New Jersey pay-to-play laws are very specific and are designed to end the practice of “wheeling”, which is when an entity channels money through different political committees to avoid contribution limits.

 Chairman Morris states:

 “It’s said that if you want to uncover the facts all you need to do is “follow the money”. Unfortunately, that isn’t possible here. There is no way for the public to know who campaign contributions came from, to who the Organization directed funds to or what it spent money on over the past four years. Apparently, the Middletown Republicans must think they’re above the law.

 “In addition, we find out the Treasurer responsible for filing these reports is none other than the Mayor’s wife, Alannah Perry who also happens to be the daughter of former mayor, now NJ State Assemblyman, Gerry Scharfenberger. You would think she’d know better."

 “When you combine this with the release of thousands of private email addresses from the township’s emergency alert database, that Tony Perry’s 2018 campaign used to make false and misleading accusations against a Democratic rival in 2018, you have to wonder about the ethics of not just the Perry family but the entire Middletown Republican Organization”.

Crooked Donald

Did Middletown Committeeman Violate State Campaign Pay to Play Laws By Contributing To Christie Campaign?

That's a question which should be answered by Tony Fiore, the Middletown Committeeman in question.

An article published online last week over at the International Business Times, "Chris Christie Maintained State Pension Investments In Prudential After Top Official Gave Contributions", is an eye opening examples of one reason as to why NJ's state pension system is in such disarray and financial trouble.  It seems that Governor Christie likes to reward those that lavish him with cash in the form of campaign contributions.

Over the past 5 years NJ has paid Prudential Financial to manage New Jersey pension funds, even after company officials made substantial contributions to Christie's 2009 gubernatorial campaign, according to International Business Times.

The IBTimes article names 2 senior Prudential officials, Jon Hanson and John Strangfeld who donated to Gov. Christie's campaign and/or nonprofits favored by Christie and who each served on various Christie transition teams and have been personal advisers to the governor.

The article also mentions one other senior Prudential executive that donated to Chris Christie's campaign for governor in 2009, Middletown's very own township committeeman, Tony Fiore:

"Campaign finance records show that at least one other Prudential executive donated to Christie’s 2009 campaign. Anthony Fiore, then a vice president with Prudential Investments, gave $2,000 to the governor’s campaign. Currently a Republican committeeman in Middletown and a senior vice president at Prudential, Fiore’s bio describes him as “a certified retirement and pension specialist.” Still, Prudential's spokesperson asserted that "Fiore did not meet the definition of an investment management professional" under New Jersey rules, though he provided no further explanation. Fiore did not respond to a request for comment about his contributions to Christie."

The article states that, New Jersey’s pay-to-play rules very are clear and restricts contributions from firms managing state pension money. The rules "explicitly define a covered “investment management professional” as “any person associated with an investment management firm, its parent company, or any other entity that controls the investment management firm, who is a member of the executive or management committee of such firm or controlling entity, or similarly situated officials.”, IBTimes stated.

You can read the full article ... Here 

“GOP-HARMONY” TAKES REPUBLICAN GOVERNORS FROM SINGLES TO SOUL MATES

For Immediate Release:
New Jersey Democratic State Committee

Two Former Prosecutors With History of Abusing Crony Contracts and Undermining Economy Connect in Garden State

(Trenton) – Today, Chris Christie and his date on the campaign trail, New Mexico Governor Susana Martinez, are showcasing their affection for cronyism and fiscal mismanagement. Even Christie’s campaign spokesman says of the governor's relationship with Martinez, "having her on the trail is going to help us tell our story.”

Indeed, Christie and Martinez have a lot in common. Both governors are former prosecutors with records of abusing their official powers to reward their political allies and tank their state economies. Martinez, who Citizens for Responsibility and Ethics included on its "Worst Governors in America" list, is one of only a few governors with a record of job creation that is actually worse than that of "America's most overrated governor," Chris Christie.

Just four years ago, Christie was under fire for receiving tens of thousands of dollars in campaign contributions from federal contractors, Stern & Kilcullen; for hiring his supervisor, former U.S. Attorney General John Ashcroft, to whom he gave a job worth as much as $52 million; and for assigning a lucrative position to the former U.S. attorney who spared Christie’s brother Todd a federal indictment in a messy investigation into 15 Wall Street trading specialists that allegedly cheated clients through some tricky trading moves. According to the New York Times, "Mr. Christie ranked fourth in the S.E.C. complaint among the 20 traders who earned the biggest profits at customers' expense. The top three were indicted, as were 11 traders lower down.” Christie’s brother Todd was not.

Meanwhile, Susana Martinez, a former district attorney, was giving out about $477,000 to employees for "out of-cycle salary increases," nearly three times as much as any other district attorney in her state.” Martinez paid many of her employees using federal grant money from a program run by the U.S. Department of Justice and other federal agencies.

In addition, from 2003 to 2005, Martinez’s office purchased more than $60,000 in office supplies without a contract or competitive bidding process from a company owned by one of her top deputies. After being told by the Department of Finance to stop buying supplies from her employee, she bought from that employee’s niece.

“Ironically, six years ago Chris Christie might have campaigned on the promise of putting people like Susana Martinez in jail. Of course, that would have been disingenuous because he too enjoys abusing the system to protect his family and enrich his friends,” said Lizette Delgado-Polanco, Vice Chair of the New Jersey Democratic State Committee. “But that’s the Chris Christie record: pledging one thing and then applying a different set of rules to himself, all while burdening middle class families. We are pleased that Governors Martinez and Christie have found each other, but it’s time for New Jersey's middle class families to move in a new direction and to elect Barbara Buono on November 5th.”

While Chris Christie’s New Jersey has languished under increased property tax burdens and high unemployment, and ranks 44th in job creation, Susana Martinez’s New Mexico ranks dead last – a sinful statistic. Of course, the dirty little secret is that Governors Christie and Martinez continue to engage in risky business when it comes to the public trust.

Besides scheduling a $24 million dollar special election that resulted in voter confusion and the lowest voter turnout ever, Christie has been busy allegedly quashing an investigation into a political ally, funneling money through national Republican organizations to avoid the state’s pay-to-pay laws, avoiding questions about "potentially illegal" closures of access lanes to the George Washington Bridge, awarding shady no bid contracts for hurricane Sandy recovery -- just a few examples of what may be considered, in the words of Mitt Romney’s background checkers, among “the garish controversies” in Christie’s past.

By comparison, Martinez’s administration is mired in her own controversies for financing an alligator hunting trip for two state police officers. The officers had planned a six-day hunting trip to Louisiana as a vacation, but, because the first gentleman, Martinez's husband, decided to attend, the officers collected their regular pay plus overtime. The officers were paid about $1,100 each, and taxpayers chipped in $630 in gasoline to fuel the state vehicle.

In addition, the former head of Martinez’s political action committee announced her compliance with questioning by the Federal Bureau of Investigation related to a controversial lease extension for the Downs at Albuquerque, a racetrack and casino. Despite objections, the New Mexico State Fair Commission used some creative procedural moves to approve a new 25-year lease for the facility after people connected to the Downs at Albuquerque ponied up more than $70,000 to Martinez's campaign.

Indeed, Susana Martinez's tenure as governor helps tell the story of Chris Christie's record. Sadly, that record is of scandalous corruption and failed economic policies.

FROELICH: County purchasing still murky, post-Birdsall

Democratic Monmouth County Candidate for Freeholder, Brian Froelich, wrote an Op-Ed that appeared in the Asbury Park Press over the weekend.

While reading Froelich's Op-Ed, keep in mind (as a friend pointed out) that this is the same Freeholder Board that repealed strong county level pay-to-play restrictions because they were 'too confusing' and didn't complement weaker state level restrictions. Shortly thereafter there is the Brookdale College scandal and the Birdsall debacle, with Birdsall being a common element in both scandals. Time to bring ethics back into goverment and the political process in Monmouth County.

From the APP:

Each of the Monmouth County Republican freeholders received campaign contributions donated illegally by the Birdsall Engineering Group that were designed to influence the county purchasing process. But the freeholders and their administrators are in constant refrain that such corruption doesn’t really affect the purchasing process.

In harmonic chorus, Freeholder Thomas Arnone says the bidding and purchasing process is “independent from the freeholders,” County Counsel Andrea Bazer says the purchasing department and process is “above reproach,” and Purchasing Director Gerri Popkin says there is no tie-in between political fundraising and purchasing.

But Chris Christie’s comment when he was U.S. Attorney that political corruption in Monmouth County was both wide and deep may ring more true. Facts indicate that Monmouth County purchasing may be neither independent, beyond reproach or disconnected from political fundraising.

While Arnone (of Neptune City) declares independence, the Monmouth County Fair and Open Process resolution indicates that purchasing is not independent and that the freeholders have control and “sole discretion” over county purchasing processes.
For example, bids for some services (e.g., engineering) often are for one year but can be renewed annually for an additional two years without bidding. In fact, the New Jersey Institute of Government Attorneys stated “the definition of the ‘fair and open process’ is so ambiguous as to be meaningless.”

Meanwhile, numerous vendor complaints about county purchasing procedures indicate that the process may be well within the realm of reproach. For example, recently various vendors complained that the purchasing department was using distributor, rather than manufacturer, part numbers; was purchasing trucks that don’t meet U.S. emissions standards; was specifying 30-day delivery on custom trucks; and that they should hold important pre-bid meetings (a common industry practice).

At a recent meeting, a vendor complained about several problems he has had with purchasing, including the department not bidding certain items, mislabeling items, etc.
Other facts indicate that the connection between political fundraising and purchasing may be longstanding as well as deep. Popkin has been Monmouth County purchasing director for 26 years, with responsibility for purchasing $100 million in goods and services annually. She also is a longtime, active and important Republican political operative.
Popkin (also from Neptune City) was the Monmouth County Republican campaign coordinator (for 23 years), the Monmouth County GOP secretary, the Neptune City GOP municipal chairwoman, and is the current vice president of the Monmouth County Affiliated Republican Club.

Popkin even advertises that she holds some of these political positions as well as her purchasing position, thus making a direct and visual connection between purchasing and political fundraising. State ethics rules prohibit a state official from using his or her official title for the purpose of fundraising for, or promotion of, a private organization.
As a matter of minimum and sound business practice, Popkin should be rotated out of such a highly sensitive county purchasing position while maintaining such a high profile political position.

THIS IS WHY THEY WOULDN’T TELL US!!!

Brian Froelich

This is why the Monmouth County Republican Freeholders wouldn’t tell us if they received any money from Birdsall- because they did!

It was reported today that all of the current Ocean and Monmouth (Republican) county Freeholders received money from the indicted Birdsall organization. The records show that Monmouth politicians got over $66 thousand dollars and Birdsall received over $4 million in contracts.

In Birdsall’s home of Monmouth County the Freeholders (Arnone, DiMaso, Burry, Curley, and Rich) received $18,200 from 2008 to early 2012. In addition Sheriff Shaun Golden, Clerk Claire French, and various Monmouth Republican organizations received Birdsall funds. Arnone and DiMaso also received donations when serving as municipal officials.

Sources said that donors understood the message to be ‘if you want to work, you better pay up’. And a Birdsall executive admitted that these illegal donations were given to "curry favor" with officials and "gain a competitive advantage" and that they "regularly won contracts" for the company. One article on the subject said that “(s)ecret donations flowed every year like free wine from Birdsall.”

For example “(i)n November 2011, at a fundraiser hosted by Birdsall, the company wrote Monmouth County Freeholders Gary Rich Sr. and Lillian Burry corporate checks for $300 each, then gave Burry another $1,200 and Rich $900 in secret checks.”

And while critics and campaign experts have said that the Birdsall money should be given back, some politicians are responding that the money has already been spent.

Interestingly, Birdsall also gave substantial donations to Manalapan Committeeman and former Mayor Andrew Lucas who was involved in a recent controversy along with the Freeholders. The Freeholders awarded Lucas over $1 million for some land preservation rights. That transaction was widely and highly criticized.

In November the voters’ broom will sweep clean the Freeholder/Birdsall mess.

Brian Froelich
Candidate, Monmouth County Board of Chosen Freeholders

Former CEO of Birdsall Engineering and 6 Others Indicted For 'Pay-to-Play'

I'm a little late on this but it's worth noting that Howard Birdsall was the Chairman of the Brookdale Community College Board of Trustees when College President Peter Burnham, was charged and subsequently sent to prison for 5 years on Theft by Deception and Official Misconduct charges. I haven't seen this little fact mentioned in any of the stories circulating since the news about this pay-to-play scheme came to light.

Here's the press release issued by the State Attorney General's Office:

TRENTON – Attorney General Jeffrey S. Chiesa announced that Howard C. Birdsall, the largest shareholder and former CEO of Birdsall Services Group, a large Monmouth County-based engineering firm, was indicted today along with the firm and six other executives and shareholders on charges that they conspired in a scheme to avoid the restrictions of New Jersey’s Pay-to-Play Act by disguising illegal corporate political contributions as personal contributions of employees of the firm.

Under the scheme, instead of Birdsall Services Group making corporate political contributions to campaigns and political organizations that would disqualify it from public contracts awarded by certain government agencies, shareholders and employees of the firm allegedly made personal political contributions of $300 or less, which are deemed unreportable. Multiple personal checks were bundled together at BSG and sent to the appropriate campaign or political organization. It is alleged that the shareholders and employees were then illegally reimbursed by Birdsall, directly or indirectly, through added bonus payments, and the firm falsely omitted the illegally reimbursed contributions in documents filed with the Election Law Enforcement Commission (ELEC) and with government agencies that awarded the firm engineering services contracts. The scheme allegedly continued for more than six years and involved hundreds of thousands of dollars in contributions.

All of the defendants face first-degree counts of conspiracy and money laundering, as well as other charges. The first-degree charges carry a sentence of 10 to 20 years in state prison, and the money laundering counts also carry fines and penalties of up to $1 million. Two employees of the marketing department of Birdsall previously pleaded guilty to participating in the scheme.

“These men allegedly participated in a corrupt scheme in which they made hundreds of thousands of dollars in corporate political contributions, but disguised them as individual contributions to evade our pay-to-play law,” said Attorney General Chiesa. “The defendants secured millions of dollars in public contracts for which they should have been disqualified. We have rules to prevent politically connected firms from stacking the deck in their favor in public contracting, but these defendants allegedly broke those rules and committed serious crimes.”

“New Jersey’s pay-to-play law seeks to ensure fair and open public contracting, free of the sway of political interests,” said Director Elie Honig of the Division of Criminal Justice. “As this indictment demonstrates, we will bring serious charges against anyone who engages in criminal conduct to skirt that important law.”

The Division of Criminal Justice Corruption Bureau today obtained a nine-count state grand jury indictment charging Birdsall Services Group, which is headquartered in Eatontown, and the following individual defendants:

1. Howard C. Birdsall, 69, of Brielle, the largest shareholder of Birdsall, who retired late last year as CEO. He allegedly made at least $49,808 in illegally reimbursed political contributions.
2. Thomas Rospos, 61, of Belmar, a former Executive Vice President of Birdsall. Rospos was charged in a prior indictment in the case, but this indictment supersedes the earlier one. He allegedly made at least $241,000 in illegally reimbursed political contributions.
3. William Birdsall, 64, of Manchester, Howard’s brother. He holds the title of Senior Vice President and is a significant shareholder of the firm. He is semi-retired. He allegedly made at least $74,459 in illegally reimbursed political contributions.
4. Alan Hilla Sr., 73, of Brielle. He is Executive Vice President for Business Development for Birdsall and a significant shareholder of Birdsall. He is also semi-retired. He allegedly made at least $148,309 in illegally reimbursed political contributions.
5. Scott MacFadden, 58, of Brick, Chief Administrative Officer of Birdsall. He allegedly made at least $77,957 in illegally reimbursed political contributions.
6. James Johnston, 51, of North Brunswick. He is President of the Environmental Consulting Division of Birdsall and a significant shareholder. He allegedly made at least $45,797 in illegally reimbursed political contributions.
7. Robert Gerard, 52, of Wall. He is the former Chief Marketing Officer of Birdsall and was formerly a significant shareholder. He allegedly made at least $48,700 in illegally reimbursed political contributions.

The amounts listed for illegal contributions by the defendants are approximate figures based on the investigation to date. The investigation is ongoing.

Each of the defendants is charged with conspiracy (1st degree), two counts of money laundering (1st degree), making false representations for government contracts (2nd degree), misconduct by a corporate official (2nd degree), tampering with public records or information (3rd degree), falsifying records (4th degree), prohibited corporation contributions through employees (4th degree), and concealment or misrepresentation of contributions or expenditures (4th degree).

The charges stem from an investigation by the Division of Criminal Justice Corruption Bureau. Deputy Attorney General Anthony A. Picione, Deputy Chief of the Corruption Bureau, and Deputy Attorney General Victor Salgado presented the case to the state grand jury and took the prior guilty pleas. Detectives Kiersten Pentony, Edward Augustyn, Janine Buchalski and Melissa Calkin have been the lead detectives.

Read More

Buono defends taxpayers while questioning AshBritt at Joint Oversight Hearing

For Immediate Release:
March 11, 2013

After Friday's hearing, we have more questions than answers about the no-bid Hurricane Sandy cleanup contract awarded to AshBritt that has raised new concerns about pay-to-play deals in the Christie Administration. Even AshBritt’s argument that FEMA “blessed” the contract during discussions with the Christie administration was directly contradicted by FEMA.

What we do know is troubling—AshBritt asked its lobbyist and Christie mentor Haley Barbour to call Christie on the company's behalf. Days later, AshBritt received the no-bid contract and has since given $50,000 to the Republican Governor's Association to support Christie's reelection. Just last month, Barbour's business partner and AshBritt lobbyist hosted a lavish fundraiser for Christie in Virginia. It's time that New Jerseyans get the whole story on why a politically connected, out-of-state firm was selected to clean up New Jersey at far higher rates than its competitors.

Just in case you missed any of it, here's a sampling of reactions to the hearing.

Buono shares heated exchange with AshBritt CEO over "piggybacking" contract
Matthew Arco // PolitickerNJ

Near the onset of a joint legislative oversight hearing called to discuss the state’s debris removal contract with the Florida-based AshBritt Inc., Sen. Barbara Buono, (D-18), asked AshBritt CEO Randy Perkins whether he was aware that “piggybacking” the state’s cleanup contract off another state’s bidding process could jeopardize Federal Emergency Management Agency funding.


FEMA 'blessed' Christie's decision to award no-bid contract, AshBritt head says
Jarrett Renshaw // The Star-Ledger

"Before our contract was signed by the state of New Jersey — this is fact, back to checking the facts — the lead counsel, the head counsel for FEMA ... and the federal government, prior to us starting work, signed off on the contracting process that the state of New Jersey was using. They blessed it, they anointed it and the state signed it."

But FEMA officials said while they are aware of the contract, the agency has not rendered any opinion.
"There was no blessing of the contract," Lars Anderson, Director of Public Affairs, said.
In a statement, the agency noted: "Neither the administrator nor the chief counsel ‘approve’ contracts entered into by State or local governments."

...The first legislative hearing on AshBritt's contract has been at times combative, particularly when state Sen. Barbara Buono (D-Middlesex), the leading Democratic candidate for governor, has grilled Perkins.

She used her time to criticize Christie for not having a contract in place before the storm, as well as raising questions about whether the firm's generous rates will jeopardize reimbursements.

"It appears the governor gave a no-bid contract to a politically-connected firm that has charged double the rates," Buono said.


Report disputes AshBritt's claim contract was 'blessed' by FEMA
 Matthew Arco // PolitickerNJ

Randy Perkins, CEO of the Florida-based debris removal company AshBritt, told lawmakers Friday FEMA “signed off on the contracting process” and that high-ranking officials, including the agency’s head of council, were at the table when New Jersey “piggybacked” off of an out-of-state contract.

However, FEMA gave a conflicting account, telling The Star-Ledger during the Friday hearing that the agency had not “blessed” Gov. Chris Christie decision to award the contract to Perkins’ company.


NJ lawmakers clash over post-Sandy debris contract
Geoff Mulvihill // Associated Press

During questioning, Perkins told Buono: "It's been stated here that this is not a political event. But with all due respect, you're running for governor."

He later apologized, but not before being reminded by Weinberg that Christie also is running for governor.


New Jersey Governor's Race Overshadows Sandy Cleanup Hearing
John Celock // Huffington Post

"With all due respect, you are running for governor," Perkins responded to a series of Buono's questions.

"That is inappropriate," Buono shot back. "That is a disservice to the people who elected me."


Debris hauler AshBritt defends NJ deal for Sandy work
Shawn Boburg // The Record

A spokesman for FEMA confirmed Friday that the agency “agreed” New Jersey could go forward but also said the contract will still undergo a review process, which includes a determination as to whether the rates New Jersey paid are “fair and reasonable.”

If they aren’t, the towns that hired AshBritt under the state contract would be on the hook for the difference.

GOP defends choice of AshBritt, despite cost
Bob Jordan // Asbury Park Press

But Buono couldn’t get Perkins to give up details of AshBritt’s initial outreach to state officials.

“This contract was entered into 24 hours after the storm hit. Who did you contact?” Buono said.

“I don’t have timelines,” Perkins responded. “I don’t have a specific time and date when these calls took place.”

“I’m just a little confused because Mr. Barbour has stated that he reached out to Gov. Christie and recommended that they hire you,” Buono said.


N.J.'s post-Sandy contractor spars with Democrats in hearing
Matt Katz // Philadelphia Inquirer

Democrats focused on how, instead of bidding out the deal, which Christie and AshBritt officials said would have taken too long, Christie simply adopted a long-standing recovery contract that AshBritt had with Connecticut. Since the Federal Emergency Management Agency discourages one state from "piggybacking" off another, Buono asked, doesn't New Jersey risk losing out on federal reimbursements?

Perkins did not answer immediately, and Buono interrupted him. He shot back: "No, you're not listening…With all due respect, I'm not trying to be combative."

Buono: Mounting Pay-to-play Concerns Regarding AshBritt Inc. Contract

Press Release:
February 25, 2013


Yesterday, former Mississippi Governor and current lobbyist Haley Barbour confirmed to the Star-Ledger that he made calls to Governor Christie on behalf of AshBritt Inc. to secure the Hurricane Sandy debris removal contract.

Gubernatorial candidate and State Senator Barbara Buono released the following statement:

"This weekend, a peculiar ally came to Governor Christie's defense regarding his handling of the bid process for Hurricane Sandy debris removal contracts: AshBritt Inc. lobbyist Haley Barbour. Mr. Barbour admitted to proposing a no-bid solution to Governor Christie and suggested that his client receive the contract. The details of the lobbying process come only days before Mr. Barbour's partner is to hold a fundraiser in Virginia for the Governor.

"Following allegations of pay-to-play political donations, the continued lack of appropriate oversight, and the Governor's unwillingness to operate transparently, New Jerseyans are entitled to a full accounting of how AshBritt Inc.'s political connections played a role in receiving the contract. As the facts stand now, there is simply no way for New Jersey's taxpayers to know whether money designated to rebuild after Hurricane Sandy is going to the families who need it or to the profits for multi-million dollar, politically connected corporations."

Below is a timeline of events preceding Mr. Barbour's admission of directly influencing Governor Christie's decision to select AshBritt Inc. at the request of the firm.

• Fall 2005 - Then Mississippi Governor, Haley Barbour hires AshBritt Inc. to remove debris caused by Hurricane Katrina.
• October 2012 - AshBritt Inc. calls its lobbyist, Haley Barbour, asking him to talk with Governor Christie about using the firm to clean up debris left by Hurricane Sandy.
• October 2012 - During Hurricane Sandy, Chris Christie awards a no-bid contract to AshBritt Inc.
• November 2012 - Days after being awarded a state contract, AshBritt Inc. donates $50,000 to the Republican Governors Association, a group Mr. Barbour once chaired and is now dedicated to reelecting Governor Christie.
• February 2012 - Ed Rogers, a founding partner in Mr. Barbour's lobbying firm, holds a Virginia fundraiser for Governor Christie.

***********************

Hmmm, Middletown has spent nearly $14 million on Hurricane Sandy clean-up, a ton of which was paid to AshBritt, and we still have debris and garbage littering the neighborhoods of North Middletown, Port Monmouth, Belford and Leonardo.  I wonder how much of those taxpayer dollars went to finance donations to the Republican Governors Association?

Middletown Township Committee Meeting 6/18/12

Here is the video of the June 18th, 2012 Middletown Township Committee Meeting; It was a long one, lasting nearly three hours.

There was a nice Proclamation to East Keansburg Fireman John Bayard Sr. for his 50 years of service. He was presented the first ever key to the city.

As reported in both the Independent and Middletown Patch, a public hearing was conducted for a new Pay-To-Play ordinance(which was adopted) that reverts the Township's more effective ordinace (adopted just a few years ago and at the time was touted by former Mayor Scharfenberger as the strongest pay-to-play ordinance in the state) to the less effective state open process, which allows town professionals to once again contribute to those who are responsible for appointing them to work for tax payer dollars. A few comments were offered by former Township Committeeman Sean Byrnes, former Township Committee candidate James Grenafege and current Township Committee candidate Linda Baum.

The public hearing on the Pay-to-Play ordinance starts at the 25:50 mark of the video and ends at the 82:30 mark.

Ordinances were adopted that established a Historic Preservation Committee, an Economic Development Committee, to increase fees such as dog and cat licenses and tattoo parlors and issued $2.1M in capital improvement bonds which 25% will go towards engineering and attorney fees.

Be sure to watch the Public Comments portion of the meeting which starts at the 130 minute mark or approximately two hours and ten minutes into the meeting, as always they are enlightening and shows what is on the minds of residents who have taken the time to attend the meeting. It's also interesting to see and listen to the responses of those up on the dais; arrogance,hubris and condescension reigns.



As a companion to the video, you can download a copy of the meeting agenda that contains the proposed resolutions and ordinances that were voted on or presented during the meeting. A box around an item is a link, bringing you further into the document to that resolution or ordinance. At the end of the resolution there will be a link bringing you back to the agenda. Attached to this agenda is also the monthly bill list, so that everyone can see how the Township is spending our tax dollars.

Letter: Middletown Township Committee Moves to Abandon Strong Pay-to-Play Rules

This letter to the editor was written by Linda Baum, Candidate for Middletown Township Committee. It appears online at the Atlantic Highlands Herald:

On May 21st, the Middletown Township Committee introduced Ordinance 2012-3060, which loosens the Township’s pay-to-play rules and reinstates the weaker state regulations that were in place prior to January 1, 2008. A public hearing on the Ordinance is scheduled for June 18 at 8 p.m.

The Township’s move follows the footsteps of the Monmouth County Freeholders, who voted unanimously on January 26th to adopt the state’s “fair and open” process in place of stronger pay-to-play rules that were put in place in the county after 2008 Operation Bid Rig.

The Township Ordinance, if adopted, opens the door to rewarding politically connected persons and businesses with municipal contracts, weakens competition, and may have the direct effect of increasing property taxes in line with higher contract costs.

New Jersey State Comptroller Matthew Boxer released a 20-page report in September 2011 entitled “Weaknesses in the Pay-to-Play Law’s “Fair and Open” Contracting System”. It states, “Qualifying for the fair-and-open exception returns the local government entity to the traditional, unregulated system of contracting.” “In effect, no-bid contracts may be awarded to favored local vendors much as they had been prior to the passage of the pay-to-play law, and without regard to issues such as vendor cost.”

Further, in order to receive certain categories of state aid, a municipality is required to have a strong pay-to-play ordinance in place. The state Department of Community Affairs recommends a model pay-to-play ordinance that is similar to the one currently in effect in Middletown.

”The main problem with “fair and open” is that it’s so easy to qualify, that it pretty much allows for business as usual,” said Heather Taylor, Communications Director for public advocacy organization The Citizens Campaign. She said, ”When we are reading in the paper that stealth PACs are springing up in Middlesex County and other places, now is not the time to be relaxing the rules, but rather the time to make sure we have the strongest laws possible.”

Linda Baum

February 9th Monmouth County Freeholder Meeting

If you are like me (and the first man to speak in front of the Freeholders) and can't make it to the Monmouth County Freeholder's meetings at 5 o'clock in the afternoon, you will enjoy watching the video below.

The video was taken at the February 9, 2012. It was at this meeting, the Freeholders decided to abolish the pay-to-play laws implemented just a few years ago.

Their reasoning was that they wanted to send a message to the State Legislature that they will not abide by these self imposed rules when the State's play-to-pay rules are not as strict.

 

APP Editorial: Shameful start out of the box

Here is an editorial that the Asbury Park Press has gotten right and if you read the comment posted by readers afterwards, they all seem to agree:

The new 5-0 Republican majority on the Monmouth County freeholder board got off to a disgraceful start this week: Its first order of business was rescinding its tough 2008 pay-to-play campaign finance restrictions. Welcome back to the world of one-party rule.

The old ground rules, passed in response to Operation Bid Rig, a sting targeting money laundering and political corruption that led to the arrests of 13 politicians in the county in 2005, was a huge step in putting an end to the sort of legal bribery that allowed graft to flow freely.

The freeholders now seem to believe that graft and corruption are a thing of the past. Either that or they want to cement their one-party grip on the board, briefly lost the past few years, by ensuring campaign contributors are aptly rewarded when it comes time to handing out contracts.

Under the previous rules, individual contributions were capped at $300, while a firm’s contribution was limited to $2,600. Candidates could not accept a contribution from another county’s political party in excess of $2,600 per election.

Now that those rules have been rescinded, the board will be guided by the state’s lenient “fair and open” bidding process for counties and municipalities, which state Comptroller Matthew Boxer has said is anything but.

In a commentary in the Press last year, Boxer wrote, “The pay-to-play law presents few, if any, real obstacles to local government entities seeking to reward politically favored vendors with public contracts ... a series of fatal flaws have essentially rendered the pay-to-play law meaningless at the local government level.”

What reason did the freeholders offer for changing their minds? Freeholder Lillian Burry, who voted for the tougher pay-to-play regulations in 2008, said they made sense then: “It appeared at the time to be a very necessary thing for us to do,” Burry said.

But now? Burry says the 2008 rules may be “too harsh” and proved “very confusing to the professionals.”

The freeholders apparently would have us believe that the people who want to do business with Monmouth County were absolutely flummoxed by the 2008 county standard, and could not fathom the differences between the county’s rules and the “fair and open” process.

If the freeholders adequately educated potential contract bidders to those differences and they still couldn’t get it, those aren’t the sort of people the county should be hiring in the first place.

What is clear is the freeholders’ action was shameless. They should reinstate the tougher pay-to-play rules. If they don’t, citizens should express their disgust at the polls.

Monmouth Freeholders adopt weak State pay-to-play rules, abandon stronger County rules in place since 2008

Fortunately, former Monmouth County Freeholder Amy Mallet is still on the job as a outspoken member of the public. The Middletown Patch reported on 1/31/12 that this year’s all-GOP Freeholder Board voted unanimously last week to loosen the County’s pay-to-play rules, and Amy was there to call them on it!

In a vote on Jan. 26th, the Board chose to abandon the tougher County pay-to-play rules for the lax State ones. The reason given by the Board is that contractors were confused by the County rules. However, many other municipalities and counties have the stronger pay-to-play rules in place, so contractors doing business in other towns would already be familiar with them.

The Board’s decision opens the door to rewarding politically connected persons and businesses with County contracts. The move weakens competition and may have the direct effect of increasing property taxes in line with higher contract costs. It’s hard to imagine why any ethical publicly-minded governmental body would do such a thing, unless for personal benefit. It appears the Board members have chosen to grant themselves the latitude to direct contracts at will to ensure their pockets will be lined at election time.

State Comptroller Matthew Boxer said himself that the State pay-to-play law does nothing to prevent the practice by local governments. In September 2011, he released a 20-page report “blasting the law for being toothless” as NJ.com put it.

The effectiveness of Christie’s Tool Kit at holding down property taxes would be vastly improved if it closed the loopholes in the State’s pay-to-play law. But until that happens, it is incumbent upon local governments to do what’s right by having strong pay-to-play rules of their own.

Public advocacy group The Citizens Campaign is calling for the public to attend the Monmouth County Freeholder meeting on Feb. 9th, when the Board will be asked to reinstate the stronger pay-to-play policy. For details, check out their facebook page and if you can, make plans to attend.

Hypocrite Handlin Took $3000 From NJEA

13th Legislative District Assemblywoman Amy Handlin(R-Monmouth) has to be one of the largest hypocrites in Trenton.

In a press release issued yesterday, before today's stunning US Supreme Court ruling that overturned decades worth of campaign finance reforms put in place by Congress, Handlin praised Governor Christie's executive order that "...created a more fair political system for taxpayers by applying pay-to-play restrictions to contributions made by labor unions or to legislative leadership committees... "

So why is Assemblywoman Handlin a hypocrite you ask? Handlin had no problems with the pay-to-play laws while taking a $3,000 campaign contribution from the New Jersey Education Association (NJEA) while seeking re-election last year!

That's right, Handlin took money from the largest labor union in the State and now says that it is wrong for unions to be politically active by making campaign donation to candidates who seek political office.

It seems that as long as Handlin got her money from the NJEA everyone else can now be damned.

Do you think she has the decency to return the money to the NJEA? I doubt it.

What a hypocrite!

Was Christie A Pay-to-Play "Pioneer"

The latest Corzine '09 campaign ad that was released today clarifies the connections between Chris Christie and his "Pioneer" status for his massive political contributions to George Bush, and his subsequently being named as U.S. Attorney—a classic example of pay to play. Once he purchased his office, Christie brazenly awarded his political allies and fellow Bush cronies millions in no bid contracts.

Here are the Facts:

Chris Christie was a George W. Bush Pioneer and helped raise over $350,000 for Bush. Gannett News Service, in 2003, asked, “What motivates a ranger or pioneer?” One of their answers was, “there's political patronage as well. Three of Bush's 21 New Jersey pioneers in 2000 won presidential appointments. Former Republican congressman William Martini was named a federal judge, Internet communications executive Clifford Sobel was named ambassador to the Netherlands, and former Morris County Freeholder Christopher Christie was named New Jersey's top federal prosecutor.” The Star Ledger, in 2004, also indentified Christie as a Bush Pioneer. According to the New York Times, “He became counsel to the Bush campaign in New Jersey in 2000, while joining Mr. Palatucci to raise more than $350,000.” The Washington Post and Bergen Record have also reported that Christie helped raise $350,000 for George W. Bush [Gannett News Service, 11/7/03; Star Ledger, 11/19/04;New York Times, 7/21/04; Washington Post, 11/27/02; Asbury Park Press, Bergen Record, 10/10/02]

Chris Christie was named U.S. Attorney in return for his Bush fundraising. A Star Ledger editorial, in 2001, decried Christie’s appointment to U.S. Attorney and stated, “What Christie brings to the table is excellent political connections. He has energetically raised money for various candidates, including George W. Bush in 2000, and his mentor and law partner is William Palatucci, a friend of the President and a powerful figure in the state GOP… It is common for U.S. attorneys to have political ties, but Christie's party links are closer than most. This is a patronage appointment, plain and simple. This is a distinguished position, one of the most important jobs in the state. It should not become a political plum.” The New York times reported that “after the Bush victory, Mr. [Bill] Palatucci sent Mr. Christie's resume to Karl Rove, the president's chief strategist. Mr. Bush, who dubbed Mr. Christie ''Big Boy'' (an apparent reference to his hulking frame), chose him for United States attorney.” [Star Ledger, 9/7/01; New York Times, 7/21/04]

Christie went soft on crime by refusing to indict companies that ripped off the American public. Chris Christie decided not to indict several companies; instead, he gave them deferred prosecutions agreements. As the Gloucester County Times noted, these “agreements basically let potential corporate criminals go free in exchange for paying millions to have ‘monitors’ oversee their affected operations.” In an editorial titled “Going Soft on Corporate Crime,” the New York Times described deferred prosecution agreements as “cozy deals” and wrote, “Federal prosecutors have been regularly offering settlements to companies for wrongdoing that, in previous administrations, would likely have led to criminal charges. It is another disturbing example of how [the Bush] administration has taken the justice out of the Justice Department…. The cost [of deferred prosecution agreements] to the public and the rule of law is too high. If corporations believe that they can negotiate their way out of a prosecution, the deterrent effect of the criminal law will inevitably be weakened.” [Gloucester County Times, 6/27/09; Associated Press, 6/24/09; New York Times, 4/10/08]

Chris Christie awarded Bush cronies millions in no-bid contracts. “When the top federal prosecutor in New Jersey needed to find an outside lawyer to monitor a large corporation willing to settle criminal charges out of court last fall, he turned to former Attorney General John Ashcroft, his onetime boss. With no public notice and no bidding, the company awarded Mr. Ashcroft an 18-month contract worth $28 million to $52 million…. The New Jersey prosecutor, United States Attorney Christopher J. Christie, directed similar monitoring contracts last year to two other former Justice Department colleagues from the Bush administration, as well as to a former Republican state attorney general in New Jersey.” [New York Times, 1/10/08]

Chris Christie is pushing for the same Bush economic policies that wrecked our economy. Chris Christie’s proposed economic policies include Bush re-treads such as tax cuts for the wealthy and corporations and opposition to government regulations that protect the public. Christie has pledged to cut income taxes for the “very top of the wage scale.” Christie has also said “it will be a priority for the Christie administration to reduce corporate business tax rates.” While Christie has been vague on specifics, he has consistently voiced broad opposition to government regulations and has said he will “rollback,” “rescind” and “freeze” New Jersey regulations. The New Jersey Department of Banking and Insurance regulations include “consumer protections through the regulation of 16 types of businesses that provide a variety of consumer financial services.” The Department regulates “state-chartered credit unions through on-site examinations and report filings to ensure safety and soundness, as well as compliance with applicable state and federal laws.” [Fox News, Neil Cavuto, 5/4/09; 55 Way Chris Christie Will Fix New Jersey, http://www.votesmart.org/speech_detail.php?sc_id=459712&keyword=&phrase=&contain=; Gannet News, 5/16/09; 88 Ways Chris Christie Will Fix New Jersey, New Jersey Department of Banking and Insurance, http://www.state.nj.us/dobi/division_banking/index.htm

Christie is recklessly calling for tax cuts without a plan to pay for them – just like Bush. The Philadelphia Inquirer opined, “Christie, incredibly, says if elected he will cut income taxes and corporate taxes across the board. Sound good? You bet it does. But as this governor's race progresses, Christie will need to fill in a few gaps of his own. He stands to inherit the same conditions that have been battering New Jersey's economy for the past two years. For example, how would Christie balance the state budget while lowering revenue further through tax cuts? Corzine will have cut the budget in absolute dollars two years in a row. That's unprecedented in any state, and especially in New Jersey. Tax cuts would require even deeper budget reductions by Christie. That's not to say it can't be done, but Christie was deliberately vague during the Republican primary campaign about how he intends to achieve even bigger savings in Trenton.... coasting time is over for Christie. Now, he must tell voters with specificity how he would tackle the same long-term problems more effectively.” [Philadelphia Inquirer 6/7/09]

The number of unemployed Americans has increased by more than 7 million since the recession began. According to the U.S Department of Labor’s Bureau of Labor Statistics, “Since the start of the recession in December 2007, the number of unemployed persons has increased by 7.2 million.” [Department of Labor, Bureau of Labor Statistics, http://www.bls.gov/news.release/empsit