Capital Watch September 2013

CA P I TA LWAT C H PA . c o m

CAPITALWATCH 5TH YEAR

ANNIVERSA

VOL. 6 NO. 9

RY

INSIDE PSEA likely to stay out of the Democratic primary election PAGE 3 Transportation debate could test new Team Corbett PAGE 6 FEATURE: Ex-Rep DeWeese speaks from behind bars PAGES 8-9 Governor’s popularity plummets says poll PAGE 10 Life on welfare: Cato gets it very wrong PAGE 12 Vereb legislation giving crime victims a voice now law PAGE 13

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SEPTEMBER 2013

Judge hears arguments on lawsuit to block same-sex marriage licenses At the Sept.4 hearing, Commonwealth Court Judge Dan Pellegrini promised a quick ruling as to whether or not Montgomery County Register of Wills D. Bruce Hanes should stop issuing marriage licenses to same-sex couples.

Lawyers for Gov. Tom Corbett’s administration say Hanes’ decision is not allowed under state law. The lawyer for Montgomery County, where Hanes works, says the court can tailor its decision in a way that won’t create chaos.

Pennsylvania is the only northeastern state that does not allow gay marriage and has no system of civil unions. A 1996 state law says a marriage must be between a man and a woman.

Hanes has issued more than 150 to gay and lesbian couples since July 24.

“I don’t want to speculate about the outcome of the case. But I firmly believe that I’m on the right side of history,” said Hanes.

But it was one paragraph on page 15 of the 25-page legal brief filed Aug. 28 that raised eyebrows and ire across the commonwealth.

James Schultz is the state’s top lawyer and he was trying to make the point that same-sex couples don’t have legal standing in the

Montgomery County Register of Wills, D. Bruce Hanes, has become a progressive hero in Pennsylvania. Hanes, a lawyer and law professor, said he consulted county attorneys before issuing a samesex marriage license.

violation of state law, would anyone seriously contend that each twelveyear-old has a legally enforceable ‘interest’ in his ‘license’ and is enti-

Same-sex advocates call the language, comparing them to children, insulting.

“The legal fact that gay and

“I don’t want to speculate about the outcome of the case. But I firmly believe that I’m on the right side of history.”

Montgomery County case. He wrote: “had the clerk issued marriage licenses to twelve-year-olds in

tled to a hearing on the validity of his ‘license,’ else his due process rights be violated? Obviously not.”

lesbian adults have about as many rights as 12-year-olds to marriage may be true,” said Louie Marven,

Executive Director of the Lesbian, Gay, Bisexual, Transgender Center of Central Pennsylvania.

“But that’s not a respectful way of tallking about a community of people who has been struggling for these rights and will continue to struggle until we get them.”

A spokesman for Schultz called the criticism a “distortion” the next day. But by the afternoon, Governor Corbett agreed with the complaints and called the offending paragaraph “inappropriate.”

The state Department of Health brought the case against Hanes.

Hanes, who says the state law is unconstitutional and discriminatory.

More than 30 gay and lesbian couples that received marriage licenses from Hanes say a ruling against him could invalidate their marriages, and they’ve sought to participate in the case.

The state opposes their participation and their efforts to defend what it calls their “purported marriage licenses.” It said the gay and lesbian couples should file their own lawsuits or wait to see what happens with a federal challenge to the state’s marriage law.

“This case is about one thing: whether a local official may willfully disregard a statute based on his personal legal opinion that the statute is unconstitutional,” the state’s lawyers wrote.

Also at issue are whether the Department of Health has standing to sue, and, if not, the effect of Democratic Attorney General Kathleen Kane’s delegation of defense of the law to the governor’s legal staff. CW

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NEWS 3

SEPTEMBER 2013 CAPITAL WATCH

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PSEA likely to stay out of the Democratic primary election The head of Pennsylvania’s teachers’ union expects the Pennsylvania State Education Association to stay out of next year’s Democratic primary election.

Mike Crossey, PSEA president says the leading candidates for the Democratic nomination for governor are “all friends” of the PSEA, which represents 180,000 teachers and school workers and retirees. It represents teachers in most of the state except for Philadelphia, Pittsburgh and Scranton.

Crossey said: “We’re not inclined to use our resources against friends,” including the four top-tier candidates seeking votes at the parade and union picnics that followed it here today: U.S. Rep. Allyson Schwartz, D-Montgomery, York businessman Tom Wolf, former state DEP Secretary Katie McGinty from Chester County and State Treasurer Rob McCord of Montgomery County. McCord is the only member of that quartet yet to formally announce his candidacy. He is expected to do so in the next month or so. A number of other potential candidates, including former DEP Secretary John Hanger, Allentown Mayor Ed Pawlowski and Lebanon Commissioner Jo Ellen Litz are also seeking the Democratic nomination.

Crossey said his union is keeping its eye on its goal: “At this point, the PSEA is formally committed to the fact that Tom Corbett must go” as governor. “My job is to make sure Gov. Corbett ends his reign

of terror on public schools. I don’t want to waste our money in the primary.

“At this point, my anticipation is that PSEA will stay out of the primary.”

Mike Barley, campaign manager for Gov. Tom Corbett, responded: “This proves the PSEA union bosses are not impressed with any of the candidates running in the Democratic field, that they believe it will be very difficult to defeat Governor Corbett, and will do anything to protect their bottom line and advance their own personal special interests over those of our teachers and children.

“Despite their self-serving rhetoric, Governor Corbett’s priority is ensuring our children receive the best education possible while respecting hard-working Pennsylvania taxpayers. We would hope that would be a goal shared by everyone, but it appears the PSEA union bosses will only endorse a plan that raises taxes and spends more money with little or no accountability. “ The comments by Crossey were somewhat surprising since the union endorsed in the 2010 four-way Democratic gubernatorial primary. They not only gave big bucks to then-Allegheny County Executive Dan Onorato, but also helped vouch for him among liberal voters initially wary of the pro-life, pro-gun-rights Democrat, who ameliorated both stances while winning his party’s nomination.

Analysts believe other unions and big Democratic donors could follow the PSEA in reserving their funding for the fall election.

One major Democratic strategist unconnected to any of the Democratic gubernatorial candidates said: “Look, there are going to have to be some folks who are ready to fund the fall election the day after the primary is over, when our nominee will be out of money and exhausted. And a number of folks are thinking about playing that role, both among organized labor and the donor base.

“Why? Because a lot of us are concerned that that this will turn into Democrats spending $30 million to tarnish each other and re-elect Tom Corbett. And none of our donors want to pay for that.”

Franklin & Marshall political science professor Dr. Terry Madonna said: “It wouldn’t stun me if we have a lot of Democratic unions not endorsing until the primary is over, because it’s too unsettled and too expensive and they like them all, and don’t want to make enemies.”

If a fair number of the unions and donors who are the biggest traditional funders of Democratic candidates close their checkbooks for the primary, candidates who are self-funded or can raise big bucks otherwise will get an advantage that could be significant, Madonna said.

“It could make it difficult for some of the candidates to reach the level of funding you need in a primary, and historically that is a lot of money, $9 million to $11 million,” said Madonna. In 2002, later-Gov. Ed Rendell and later-Sen. Bob Casey Jr., combined to spend $34 million opposing each other.

In 2010, Onorato spent about $8 million to defeat his Democratic opponents: then-Auditor General Jack Wagner of Allegheny, and former U.S. Rep. Joe Hoeffel, D-Montgomery, who each spent less than $1 million, and state Sen. Anthony Williams, D-Philadelphia, who spent about $7 million.

One obvious beneficiary – if primary funding decisions, such as the one Crossey expects the PSEA to make, are made in the coming year - is Wolf, who has pledged to fund his campaign with $10 million from his own bank account. Analysts also said Schwartz and McCord could benefit, since they have the longest and strongest fundraising records.

Some major Democratic players warned that decisions, like the one expected by PSEA, could change.

If some candidate unacceptable to unions like Crossey’s or other major Democratic constituencies were to run, like Wagner for example, or if Wolf were to thrive in polls but not suit the taste of unions or other Democratic power brokers, Madonna said, “Those folks saying they will sit out the primary could always change their mind if it gets down to two or three candidates and they have a strong preference.”

Crossey said he is still exploring a candidacy for lieutenant governor as a Democrat, and will decide whether to run for that office by December. Former U.S. Rep. Mark Critz, D-Cambria, also at the parade, said he is running hard and expects to win that office.

Crossey said Critz’s candidacy will not deter him, if he decides to run. CW

4

NEWS

SEPTEMBER 2013 CAPITAL WATCH

Long-awaited construction industry recovery at risk, officials warn An estimated 1,400 people working for Pittsburgh area construction firms and their suppliers will lose their jobs because a Pennsylvania Senate-passed transportation funding measure failed in the state house, according to an analysis just released by the Associated General Contractors of America (AGC). Those job losses would be three times higher than the number of construction jobs added in the area during the past year and threaten to reverse recent industry job gains, association officials cautioned.

“Because the House failed to act, Pennsylvania is on track to invest hundreds of millions less per year in its highway system than what Republicans and Democrats in the state Senate approved,” said Richard Barcaskey, the executive director of the Constructors Association of

Western Pennsylvania, the local highway chapter for the AGC. “The reduction from what could have been invested in transportation statewide will undermine the construction industry’s recovery and hurt the commonwealth’s economy.”

Barcaskey noted that the Pennsylvania Department of Transportation will be forced to reduce highway funding by $500 million next year because the state House failed to enact a Senate-passed measure that would have provided $1.9 billion a year for road and bridge repairs. He added that an estimated $98 million of those cuts will occur in the Pittsburgh metro area at a time when the local construction industry has only recently begun adding new jobs.

An analysis conducted by the AGC found that the local highway funding cuts

will cost Pittsburgh contractors 1,400 jobs, including 950 on-site construction jobs and another 350 jobs with suppliers of construction equipment, materials and services. Another 1,400 jobs in the broader economy will be lost as unemployed Pittsburgh area construction workers scale back spending on goods and services, Barcaskey said.

Association officials added that statewide highway funding cuts will amount to roughly 7,200 lost jobs for Pennsylvania’s construction contractors and their suppliers, including roughly 4,900 on-site construction jobs and another 2,300 jobs with construction equipment, materials and services suppliers. Another 7,200 jobs will be lost in the broader economy, they added, since those unemployed construction

workers will be unable to afford items like new cars, taking their families to dinner or getting new school clothes for their children.

Barcaskey said the transportation cuts were coming amid a “fragile” recovery for construction employment across the state and in Pittsburgh. He said that after years of job losses that cost 3,200 Pittsburgh area construction jobs and 16 percent of Pennsylvania’s construction workforce, employment had begun to rebound. He noted that between July 2012 and July 2013 Pennsylvania added 1,900 new construction jobs and the Pittsburgh area added 400.

“Because of the House’s failure to enact transportation legislation, this may be the last happy Labor Day for thousands of Pennsylvania workers for some time,” Barcaskey said. CW

Common sense must be part of transportation discussion says AFP-PA Americans for Prosperity-Pennsylvania, the state’s largest grassroots free market organization, is calling for common sense to be a part of ongoing transportation funding discussions.

AFP-PA Policy Director Anna McCauslin participated in the Bridge Safety Emergency First Initiative press conference on Sept. 4. Also participating at the press conference were Rep. Stephen

Bloom, and representatives from the Commonwealth Foundation.

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with tight budgets, they are not an endless resource for increasing taxes for bike lanes and other extraneous expenditures,” said McCauslin.

“Pennsylvania families want to be safe on the roads and bridges that carry them to their children’s day cares and schools and that bring them to work and home and to soccer games and the endless stops in between. But they also need their state government to prioritize, and utilize their tax dollars for the essentials first. That is why we want to thank Representative Bloom for interjecting common sense into the transportation discussion through HB 1717 by prioritizing current dollars to fix what is necessary, instead of what is nice – without raising a dime more in tax dollars to do it.”

McCauslin pointed out that Pennsylvanians currently send more than $6 billion every year to the state government for transportation funding. In fact, Pennsylvania has the 11th highest in the country for dollars going toward roads and bridges.

Rep. Stephen Bloom who represents Pennsylvania’s 199th District in the Pennsylvania House has introduced legislation (HB 1717) which will prioritize transportation spending by requiring the state Department of Transportation to make the replacement and/or restoration of closed or posted bridges the top priority among construction projects.

“We need to have good roads and structurally sound bridges. Bike lanes are nice to have, but sooner or later bicyclists will need to cross a bridge. Safety comes first,” continued McCauslin.

“While it is never acceptable to raise taxes, doing so during these difficult economic times is simply unthinkable.

Before any politician considers increasing taxes on our working families, they must first address the cost drivers on these projects by fully repealing prevailing wage.” CW

6 NEWS

SEPTEMBER 2013 CAPITAL WATCH

Transportation debate could test new Team Corbett

BY KEVIN ZWICK, CAPITOLWIRE

The Corbett administration renewed what could become a contentious transportation debate by admonishing the Republicancontrolled Legislature recently for failing to pass a funding plan to fix deteriorating roads and bridges.

The administration’s oft-stated threat of placing weight restrictions on bridges came to fruition, and it’s likely to be a thorn in the side of lawmakers. Rural-based industries like timber, farming and agriculture say the restrictions will hurt their businesses, which provide jobs for thousands of constituents in rural districts. And motorists will have to deal with congestion and possibly, officials say, an increase in the price of goods as shippers plot alternative routes around weight-restricted bridges.

It’s unclear yet whether Gov. Tom Corbett will call a full-court press on this single issue in hopes of scoring a big legislative victory, as he tried when promoting a liquor privatization plan that ultimately failed.

Corbett spokeswoman Lynn Lawson said the governor believes funding repairs for roads and bridges is “a core function of government,” but she wouldn’t say if Corbett plans to travel the state to promote a proposal.

“Corbett needs a big legislative victory to stop the narrative that he’s not effective,” said Dr. Terry Madonna, a political science professor and pollster at Franklin and Marshall College. “The bridge weight

limits, while needed, conceivably puts pressure on the House Republican caucus but ideologues are not often moved by a willingness to compromise. They also don’t need to worry about their own reelection since most of them are in safe seats. Big question – can Corbett move them, if so how?”

If Corbett takes a run at transportation this fall, it would be the first test of the new Team Corbett.

“The Governor needs some type of legislative success – and soon – in order to quell not only the increasing speculation that he is going to be a one-term governor within his party and by the media but also to hold off potential primary challengers,” said Thomas Baldino, a political science professor at Wilkes University. “Transportation funding remains his best option to pass the General Assembly.”

The issue itself is delicate for Corbett.

Polls show voters think the state should spend on infrastructure, but don’t support funding it through proposals promoted in Corbett’s and the Senate’s proposals.

Different versions of a transportation funding proposal relied on uncapping the Oil Company Franchise Tax on wholesale gasoline as the primary revenue generator.

Some believe that would cause an increase in the price at the gas pump.

A $2.5 billion proposal passed the Senate with a strong bi-partisan majority, supported by both the Republican

and Democratic Senate Transportation Committee chairmen, labor and business, and a variety of other interest groups. The proposal was trimmed down to $2.1 billion by the House Republicans, which in turn caused the House Democratic leadership, who believed the Senate spending level was the floor, to abandon the proposal.

And if Corbett’s low job approval numbers don’t rebound next year, he could see some of his Republican colleagues in the Legislature run for the hills as he travels across the state promoting what many conservatives consider a tax increase. Conservative House Republicans pushed back against an infrastructure spending proposal in June, and their sentiment is likely to continue into the fall.

“I think, first of all, people need to be asking if Pennsylvania isn’t already taking enough money out of the taxpayers’ pockets,” Rep. Daryl Metcalfe, R-Butler, one of the biggest critics of the transportation proposals, recently told the Pennsylvania Independent. He says PennDOT should re-prioritize spending of its roughly $7 billion budget. PennDOT Secretary Barry Schoch noted only $3.8 billion of that budget is earmarked for roads and bridges.

Baldino says “a small but vocal contingent” will object to lifting the franchise tax cap as the funding source, but a majority could be mustered.

“I think a majority of Republicans in both houses will support a transportation

bill that increases taxes or fees or both that are dedicated to roads and public transportation,” Baldino said. “I don’t think that low poll numbers would deter most Republicans from supporting a transportation funding proposal from Corbett. The real problem is that the bill must also appeal to House Democrats, as their votes will be needed to pass the bill there.”

“It wasn’t that long ago when the parties reconciled their differences and moved legislation through the process. I remain optimistic that they’ll be able to do so again,” he added.

Also on the horizon are primary elections, which could add pressure to Republicans whose vote for more transportation spending brings a difficult primary challenge. But that doesn’t apply to all Republicans.

Leo Knepper, executive director of the ultra-conservative fiscal hawks Citizens Alliance of Pennsylvania, said transportation won’t be “a make or break vote for us.”

“We will oppose any transportation legislation that does not address the cost drivers in terms of prevailing wage or the massive levels of waste in public transportation,” Knepper said. “Furthermore, the legislature needs to prioritize what projects it funds before looking for new sources of revenue. There is no excuse to raise taxes or fees while money that could go to roads and bridges goes to beautification, bike paths or other superfluous projects.” CW

Sen. Costa optimistic about Medicaid expansion Senate Democrats once again are aiming to push a Medicaid expansion proposal to the forefront of the political agenda, voicing support for a GOP lawmaker’s proposal expected to move this fall in the Senate.

Senate Health and Public Welfare Committee Chairwoman Pat Vance, R-Cumberland, is planning to introduce a bill to expand Medicaid rolls with language identical to what passed the Senate in June, before House Republicans stripped it out of the welfare code.

A stand-alone bill, without the pressure of budget dealings, has Senate Democratic Leader Jay Costa more optimistic about the plan receiving legislative approval. He also thinks fiscal pressure due to the sagging economy also could help tilt the governor’s hand toward supporting expansion, which would bring in billions in federal subsidies.

“I do believe we are getting closer, but it’s not because the administration I think has come around on the merits, but rather because of some of the fiscal realities they see that need to be addressed,” said Costa, D-Allegheny.

But the real challenge for expansion proponents, as was the case in June, is overcoming the high hurdle that is the House Republican Caucus, which continues to be staunchly opposed.

“Are we willing to take up Medicaid expansion right now? No,” said Steve Miskin, spokesman for House Majority Leader Mike Turzai, R-Allegheny. “There has been absolutely no intention or discussion to bring it up in its current form. Will that change? A lot’s going to depend on the negotiations between the administration and [U.S. Health and Human Services] Secretary [Kathleen] Sebelius.”

Democrats and some Republicans in the House and Senate touted Medicaid expansion throughout the spring budget season, saying it would deliver health insurance to hundreds of thousands of uninsured people, while at the same time producing economic growth and state budget savings due to billions in federal subsidies.

In June, 17 out of 27 Senate Republicans joined the 23 Senate Democrats to approve Medicaid expansion language contained in

Sen. Jay Costa believes fiscal pressure due to the sagging economy also could help tilt the governor’s hand toward supporting Medicaid expansion, which would bring in billions in federal subsidies.

the public welfare code. The language was then removed from the code in the House Rules Committee the following day. Turzai said at the time House Republicans didn’t think Medicaid expansion language belonged in a budget-related code bill, and that passing the bill would tie Gov. Tom Corbett’s hands in negotiations with the federal government.

Costa believes now the expansion has a better shot since the language won’t be tied up in the budget-related welfare code.

“At that point in time, it was pre-budget.

It’s important to remember the governor needed support to get the budget done,” Costa said. “When you pull out 30-some Republicans on a budget it makes it more difficult. Now that the budget leverage is no longer there … I think you might have a different outcome.”

Unlike some of his fellow GOP governors in swing states bucking their party on Obamacare, Corbett hasn’t yet made a decision on expansion due to negotiations with Sebelius over certain provisions. As attorney general, Corbett sued to block the federal health law. CW

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8 FEATURE

SEPTEMBER 2013 CAPITAL WATCH

Ex-Rep. DeWeese speaks from behind bars

BY DENNIS OWENS

S

Bill DeWeese was once one of the most powerful politicians ever to hit Harrisburg. First elected from Greene County in 1976, he was a former speaker and longtime Democratic leader.

tate Correctional Institute Retreat is two hours north of Harrisburg in Luzerne County, about 12 miles south of Wilkes-Barre.

It’s remote.

Across a bridge and behind seven rows of razor wire, a former state hospital has been converted into a prison that houses a former state representative.

It is home to Bill DeWeese, one of the most powerful politicians ever to hit Harrisburg. First elected from Greene County in 1976, he was a former speaker and longtime Democratic leader until being forced out at sentencing.

DeWeese will not call the institution Retreat. He prefers its geographic title Hunlock Creek because, he says, it sounds less wussy than Retreat.

It is not easy for a television reporter to interview a state prison inmate - and I’m not suggesting it should be. We must be put on a list by the inmate and get prior approvals and set a time and then show up and when we do, no cameras are allowed, only notebooks.

In mid-August, we took the trip to Retreat and sat down with DeWeese for three-and-a-half hours, nearly filling a legal-sized notepad. Because hearing his voice is a better alternative for television, we then arranged for DeWeese to call abc27 collect and recorded his voice - with his approval - during the interview.

After crossing the bridge, passing the razor wire and going through two rows of bars, we check in at a front desk of sorts.

There is a metal detector and a huge sign, “No underwire bras.”

No problem there.

After a half-hour wait, we are escorted to a wide-open meeting room with about a dozen other inmates who are visiting with friends or family. There are vending machines, a guard sitting at a raised desk, and an inmate offering to take photos of the reunions.

The pictures are taken in front of a pull-down backdrop resembling a lush Pennsylvania forest. It is the only thing in the room that could be described as “lush.” The photos cost $2 and I bought one since it was the only way to show a TV audience how DeWeese looks after more than a year in prison.

DeWeese has lost his freedom, but not his sense of humor or his infamous vocabulary, which he unleashed on the food at Retreat.

“Deplorable, horrific, ignominious in the extreme,” said the man who would frequently wine and dine at the Midstate’s finest establishments, often on a lobbyist’s dime.

While I was there, he ate a vending machine salad, chips, iced tea, candy bar and coffee. He calls it the best meal he will have until the next visitor.

DeWeese has so much to say and is so happy to have someone to listen that he gushes forth a stream-of-consciousness diatribe that’s hard, at first, to follow. He tells me to take notes on things he wants to revisit later in the interview.

But there are a few broad themes and they mostly revolve around prison reform that he’d like to champion when he’s released, which could happen in March or April.

He points out that he’s a minimum security prisoner who’s been placed in a medium security prison. He doesn’t specifically say it, but infers that it’s payback for being an outspoken critic of Governor Tom Corbett, and calling his prosecution politically motivated.

“There are 1,200 men in this camp and there may be one more white collar person here, but I haven’t met that person. I’m the only person here that’s white collar,” he said. “These people are here for murder, for bank robbery, for rape, for gun violations. It’s

FEATURE 9

SEPTEMBER 2013 CAPITAL WATCH

just an amazing array of people. When I do contemplate “Prisons in Pennsylvania are more and more a warethat I’m here for allegations that people campaigned in housing phenomenon and less and less a rehabilitative the Capitol before 5 o’clock, it does cause me momentary mission,” he said. reflection.”

Rendell is confident DeWeese will be successful upon Of his current felonious friends he adds with a hearty release. laugh: “It’s almost like the caucus. I love these characters.

“He’s done well, by all accounts, in prison and I think There’s a lot of conviviality and good chemistry among the he’s gonna do well afterwards because that optimism,” 100 men on my block.” he said. “That boundless energy he has I think will serve DeWeese does have his escapes: softball, a TV with him well.” cable in his cell, and the gym.

Corbett, who began the Capitol corruption probe as “The dominant focus of my world is weightlifting.” DeWeese attorney general, was less effusive. says and flexes his bicep for proof. “At the age of 63, at least I’ve “He’s there. He’s serving time,” Corbett said. “I’m realized a brand new sense of my youthful muscularity.” sure that when he comes out he may have some thoughts DeWeese says he’s allowed five visitors per month. His about the prison system. I wish him well.”

93-year-old mother, Dotty, has made the six-hour trek to see DeWeese does not share the same warm wishes for his State Correctional Institute Retreat, a former state him four times since his incarceration. They’re bittersweet governor, who he believes pursued politicians to further hospital, has been converted into a prison that houses former state representative Bill DeWeese. reunions. his own political ambitions.

“She cries for about 30 seconds and then we laugh and He also thinks justice has been jaundiced by politics. carry on for about three hours, but then she cries for another minute or two as I’m escorted Why, DeWeese wonders, is he behind bars while the wife of Corbett’s budget secretary back to the full-body cavity search to make sure nothing illicit was exchanged,” he said. was given just probation after two DUI’s, two retail thefts, and eluding state police?

DeWeese is appealing his conviction. He was recently rejected at the Superior Court Why, he also wonders, were House Democrats targeted for bonuses while Senate level but promises to appeal to the Supreme Court. He thinks his trial was unfair and his Republicans were not? DeWeese uses a baseball analogy: “If House Democrats were sentence unduly long. But then he catches himself. journeymen infielders, Senate Republicans were Babe Ruth.”

“Complaining seldom evokes pity,” DeWeese said. “It mostly evokes contempt, so I But the three-and-a-half hours are up. We didn’t get to all the items he wanted me to don’t complain.” remind him about. He’s led away. I’m escorted out.

It’s hard for many to pity Bill DeWeese. As Democratic leader for nearly two decades, As I pass back through the two gates protecting society from the inmates at Hunlock he was at times mean-spirited, tyrannical, petty and arrogant.

Creek, I’m reminded of a comment DeWeese made during his final speech on the House The stories are legendary in the Capitol and there are numerous examples: floor; probably more true now than when he uttered it in the ornate chamber: “I may not - trying to have his lobbyist ex-wife, Holly Kinser, black-balled by Harrisburg lobbyists; be as humble as I’d like to be. But I’m humbler now than I used to be.”

- stripping lawmakers who refused to vote for the ill-fated pay raise of their committee Fellow lawmakers gave him a standing ovation. chairmanships; and Reprinted with permission from abc27 WHTM. - reportedly directing state staffers to run personal errands like picking up his dry cleaning, even purchasing condoms.

Dennis Owens currently anchors abc27 News at 6:00 p.m. with Alicia Richards and A jury convicted him of using state-paid staff for campaign-related work.

On the one hand, no one’s sleeping better because Bill DeWeese is behind bars. On the abc27 News at 7:00 p.m. with Valerie Pritchett. A native Pennsylvanian, he attended La Salle Univeristy in Philadelphia, earning a B.A. in Communications. other, a message needs to be sent to politicians who abuse the system.

“If you believe the jury’s verdict, public officials can’t violate that trust without having some punishment,” former Governor Ed Rendell said.

There are also former staffers and underlings who feel DeWeese threw them under the bus as Corbett’s Bonusgate probe closed in to save his own skin. They are not sad to see him sitting in Retreat.

While DeWeese feels the specific charges that landed him in prison are either bogus or overblown, he does concede to me that perhaps karma caught up with him. He admits to doing things in his past, and in his relationships, that were unkind or wrong and perhaps they played a role in his current plight.

“The bowels of Hunlock Creek cannot be characterized as anything but a fall from grace,” he said. “The stark reality of PA State visitors ramp up seven rows of razor wire evokes incontestspending to + $ 37.2 billion with able humility.”

But DeWeese says he has learned much increases in both lodging ( + 5.7%) in his incarceration and he intends to use that knowledge to change the criminal jusand entertainment. tice system. He wants to be an advocate for inmates and travel the state speaking at colThe Commonwealth hosted nearly 185 million leges and universities about his experiences.

He says mandatory life sentences withdomestic and international travelers out any chance of parole are a bad idea.

Judges, he says, need more leeway and These visitors generated $ 3.8 billion in state and local inmates need a chance, even if it’s remote, to earn their freedom. taxes plus $ 3.9 billion in federal taxes But he’s most passionate about the incarceration of low-threat, non-violent offenders. He thinks taxpayers will agree One out of every 16 Pennsylvania workers is supported by when they’re told that they’re spending travel - representing 461,249 jobs and 6.4% of $35,000 per prisoner, per year.

“We are just spending so much money state’s total employment. that does not need to be spent keeping people behind razor wire when I think many of *Tourism Economics - Pennsylvania State Tourism Office Economic Impact of them could be on ankle bracelets,” he said.

Ankle bracelets, DeWeese said, cost Travel and Tourism in Pennsylvania - 2011 $3,500 per year to administer and would be just as effective for most drug offenders.

TRAVEL & TOURISM

KEY TO PA STATE ECONOMY

10 NEWS

SEPTEMBER 2013 CAPITAL WATCH

Governor’s popularity plummets says poll By overwhelming numbers, voters don’t like the way Gov. Tom Corbett is doing his job, don’t like him and don’t think he deserves re-election next year, according to a recent Franklin & Marshall College poll.

The new poll shows a governor whose unpopularity seems to know no final depth.

Each succeeding independent poll shows voters further souring on him and his standing lower than other governors at the same point in their terms. Even many in his own party are down on the Republican governor.

“You find nothing but trouble for him,” said G. Terry Madonna, the noted political analyst and the F&M poll’s director. “I think there’s just a big disconnect between what he wants to do and what their (voters’) concerns are.”

The poll of 594 registered voters - 292 Democrats, 217 Republicans and 85 independents or otherwise affiliated voters was conducted between Aug. 21 and Aug. 26. It has a margin of error of plus or minus 4 percentage points.

Mike Barley, a spokesman for Corbett’s re-election campaign, played down putting “too much stock in any polling data” so far away from an election, pointing to a poll released last week by U.S. Rep. Allyson Schwartz’s pollster last week that had Corbett’s favorability at 46 percent.

Schwartz is a leading Democratic contender for governor.

“Our campaign will remind voters the governor has kept his campaign promises to lower taxes, curb wasteful government spending and create jobs in the private sector,” Barley said in an emailed statement.

“Our campaign will be focused on disseminating the governor’s record of eliminating a $4.2 billion dollar budget deficit without raising taxes on the middle class and reducing unemployment by providing the private sector with an environment to grow and create jobs for over 1,000 Pennsylvanians.”

The bad news for the governor is tempered at least a bit by a general dissatisfaction with elected officials, including President Barack Obama, the state’s two U.S. senators and the state General Assembly. The poll numbers for all are lower than before, but none fared as poorly as Corbett.

The poll shows no improvement so far from a recent shakeup of his top staff, including the appointment of a new chief of staff, Leslie Gromis-Baker, and new director of communications, Madelyn (Lynn) Lawson, both veterans of Gov. Tom Ridge’s administration or campaigns.

By the numbers: *About a quarter of voters (24 percent) said they have a strongly or somewhat

favorable view of Corbett compared to almost half (46 percent) who had strongly or somewhat unfavorable views. That is down from about three in 10 voters (29 percent) who had a favorable view in May. The only time Corbett’s favorability rating was lower was before he was governor.

In March 2010, he stood at 22 percent, but that was different because almost three quarters of voters said they were undecided or didn’t know enough about him. This time, only three in 10 (31 percent) said that. *The governor’s job approval rating is far worse than May when a quarter of voters (25 percent) thought he was doing a good or excellent job.

The latest poll has only one in six voters (16 percent) approving of job performance with more than three quarters (76 percent) saying he is doing a fair or poor job.

Madonna said many voters who believe Corbett is doing a fair job might view the term “fair” as a positive rating, but Corbett’s standing remains low compared to previous governors whose job approval rating was evaluated asking the same question and offering the same four possible answers - excellent, good, fair or poor.

Gov. Ed Rendell’s job approval rating (excellent or good) at the same point in his first term was above 40 percent and Ridge’s was approaching 60 percent.

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Only about one in 16 people (6 percent) said Corbett is doing an excellent job and only slightly more than one in six people (18 percent) said he is doing a good job, according to the poll.

He isn’t doing especially well among members of his own party either with only three in 10 (30 percent) saying he is doing an excellent or good job and almost twothirds (63 percent) rating him fair or poor.

Only a third of voters (33 percent) who identified themselves as conservatives said he is doing a good or excellent job with six in 10 saying (61 percent) only fair or poor. *Voters’ desire to see the governor reelected plummeted, too, since May. Only one in five voters (20 percent) think he deserves re-election and almost seven in 10 (69 percent) say it’s time for a change.

In May, it was a quarter (25 percent) to re-elect and fewer than two-thirds (64 percent) time for a change.

The last state politician with numbers at depths only approaching the governor’s, the late U.S. Sen. Arlen Specter, did not even make it out of the Democratic primary in 2010. Specter’s job approval and favorability ratings were quite a bit better than Corbett’s.

Madonna said answers to the poll’s questions on issues reflect why Corbett is doing so poorly.

First, only about quarter of voters (26 percent) said they believe “things in Pennsylvania are generally headed in the right direction,” the lowest figure of the nine F&M polls conducted during Corbett’s term. More than six in the voters (62 percent) said “things are off on the wrong track,” the highest number saying that in the nine polls.

Beyond that, about three in 10 voters (28 percent) named unemployment, personal finances or the economy as the most important problem facing Pennsylvania today and almost a quarter (23 percent) named education and schools.

None of the major agenda elements Corbett pushed during the last year - privatization of the lottery and liquor stores and even fixing roads and bridges - break 5 percent. In fact, no voter mentioned either privatization idea as the most important problem and only about one in 33 (3 percent) named roads and infrastructure.

“They don’t support the lottery management (privatization). They do support liquor privatization in the polls, but it’s not a priority for them,” he said. “You’re (the governor is) talking to people about things that aren’t important in their lives.

Look what came out the (second) highest, education, right? Well, what are you reading about every day in your newspaper and every other newspaper in the state? ...

Cuts, cuts, cuts, layoffs, layoffs, no music, no art. How does that work for him?” continued on page 11

NEWS 11

SEPTEMBER 2013 CAPITAL WATCH

Yuengling goes to bat for beer distributors

BY KEVIN ZWICK, CAPITOLWIRE

Dick Yuengling Jr. says he doesn’t know the “particulars of politics,” but the head of the Pottsville-based D.G. Yuengling & Sons Inc. gave his thoughts on some polarizing issues and voiced his support for Gov. Tom Corbett.

If Pennsylvania’s liquor laws were revamped under a privatization proposal, Yuengling said beer distributorships should be protected, and he believes the commonwealth’s economy would better off if it were a “Right-To-Work” state.

“I wanna protect (beer distributors) because they’re the guys who stepped forward and sold the beer in the state of Pennsylvania for our company,” he said at the Press Club luncheon at the Harrisburg Hilton and Towers. “…They made our company in the state of Pennsylvania and I don’t wanna see them get hurt.”

He also hailed Corbett for trying to do “the right thing.”

“He’s a good man, an honest man,” Yuengling said of the governor, “and that to me is paramount when you’re electing an official.” When Yuengling was quoted as saying he would build another brewery

Governor’s popularity plummets says poll continued from page 10

Despite the numbers, Madonna declined to say Corbett could not come back.

“I always think politicians can come back. The answer is sure, but it’s going to be very difficult,” Madonna said. “He needs a dramatically improved economy.

It might even be helpful if the wave turns against the Democrats nationally, the way he was elected in 2010.”

Corbett isn’t the only politician facing sagging poll numbers, though he’s the only one facing re-election next year.

President Barack Obama’s job approval rating dropped from 44 percent (excellent/ good) in May to 34 percent and his favorability rating dropped from 52 percent to 41 percent.

U.S. Sen. Bob Casey’s job approval dropped from 37 percent in May to 28 percent, his favorability from 43 percent to 34 percent.

U.S. Sen. Pat Toomey’s job approved dipped from 31 percent to 24 percent, his favorability from 35 percent to 26 percent.

Voters didn’t spare the state General Assembly either with only about one in 10 voters (11 percent) saying it is doing a good or excellent job and more than four in five (83 percent) saying it is doing a fair or poor job.

They were far happier with their own representatives with more than a third (37 percent) saying their own representatives should be re-elected and only a third (33 percent) saying they should not. CW

out of state, he said the governor’s office contacted him “right away.”

Yuengling also discussed his trade and competing against large beer companies as well as burgeoning craft brews.

“I think (craft beers) actually help us.

People are drinking better beers. They’ll land on ours because of the price,” he said, noting Yuengling’s price structure is closer to larger beer companies like AnheuserBusch and MillerCoors.

“I like to see the craft beers successful. They’re introducing the public to new brands. They’ve helped our business because that’s what we are: We’ve been a craft beer since the inception of brewing,” he said, noting the Yuengling basics which include an ale, porter and its flagship lager.

“They just don’t seem to classify us as a craft beer because of the pricing structure that we’ve chosen to take,” he said. “Most of the craft beers are up there at $150 a keg or $30 a case or $40 a case. We don’t choose to market our brand that way. We think to build brand you have to be consumer friendly and sell it at a reasonable price, that’s all. We try to compete with the

Bud, Miller and Coors of the world and sell our beer at $18, $20, $15 whatever it is.”

Yuengling is currently available in 14 other states in the Mid-Atlantic and the south. Instead of spending millions on a large advertising budget, Yuengling said the company creates a demand for the product and continues to expand.

during the Super Bowl.

“We can’t do that. So we create a demand for it. We’re happy with our market share,” he said.

Yuengling was included in a Forbes Magazine billionaires list that reported his worth was $1.3 billion. But he said Monday he’s not worth that much.

“…They made our company in the state of Pennsylvania and I don’t wanna see them get hurt.”

“We know our brand will grow to a certain point in the market… there’s wholesalers in Indiana that want our beer in the worst way. Michigan wants our beer because of the success that we’ve obtained in the state of Ohio,” he said. “Wholesalers there have done a great job, it’s only been there three years, I think.”

“We keep it in short supply and they want what they can’t get. I shouldn’t say that on television,” he added.

He said the company couldn’t afford to run advertisements like larger breweries do

“I’m not worth a billion dollars. Our company’s grown so much that if we were to sell it, some fool may come along and offer me that kind of money. But it’s not what we’re all about,” he said. “…We’re not for sale. Nobody’s going to offer me a billion dollars for it, and if they did, I wouldn’t take it.”

The company, known as “America’s Oldest Brewery,” has been operating since 1829. It employs 280 people at two plants in eastern Pennsylvania and one in Florida. CW

SEPTEMBER 2013 CAPITAL WATCH

12

OPINION

Life on welfare: Cato gets it very wrong It’s great to be poor. That’s the finding of a recently released Cato Institute report week claiming to calculate the value of all public benefits received by the typical welfare household. This methodologically flawed study is another of the bows in the 47 percent quiver. It is particularly timely — and damaging — given the ongoing debate over federal nutrition assistance, which the U.S. House majority would like to cut by $40 billion over 10 years.

The Cato report claims that the typical Pennsylvania family enrolled in Temporary Assistance for Needy Families (TANF) — a mom and two kids — receives benefits worth $29,817 annually, which the authors claim is a disincentive to work. It argues that food assistance, utility support, and cash assistance should all be reduced. The theme is very much like that of a Commonwealth Foundation report last year.

The worst thing about these reports is that they reinforce this stereotype of poor people living high on the hog at the expense of the working class taxpayer. This narrative is critical to the Republican Party, which is seeking to maintain the Reagan era voter coalition by pitting disaffected workingclass whites against the urban poor.

The study is poppycock. Here’s why: 1. The share of the poor who receive welfare benefits is tiny and those benefits are temporary. Only 1.5 percent of Pennsylvanians receive cash assistance — what most people think of as welfare — even though fully 13.3 percent of the

population lives below the poverty line.

An individual can receive TANF benefits for 60 months in a LIFETIME. There are some hardship exemptions, but this rule, coupled with a high barrier for entry, has made it very difficult for incomeeligible women with children to receive the benefit. A report out this month from the Pennsylvania Department of Public Welfare shows that of all adults on TANF in 2012, 81percent received benefits for less than five years, and 15 percent for less than 10 years. This includes time enrollees received TANF benefits as children.

2. Cato assumes that every family gets all major public benefits, which is not the case. The largest benefit in the Cato analysis is housing assistance, worth 30 percent of the total dollar value, yet five out of six families in Pennsylvania get no housing assistance at all. The national average is 14.7 percent, and only five of 50 states and the District of Columbia report more than one quarter of TANF recipients also receiving housing assistance.

3. The premium value of Medicaid health coverage is counted as cash in the Cato study, even though recipients don’t get those dollars. The value of Medicaid benefits accounts for 16 percent of the total benefit “income” calculated by Cato. This is not cash that is available to a family to pay for housing, clothing, or food.

And counting the full premium value is an exaggeration since most workers who have health coverage have some employer subsidy. (Besides, Obamacare will give

everyone affordable health care, but that’s a topic for another day.)

So how much do the 55,000 adults in Pennsylvania who get TANF benefits live on? A family of three receives $403 per month in TANF benefits, $4,800 a year. Food stamp benefits — now known as the Supplemental Nutrition Assistance Program (SNAP) — are worth about $514 per month at the maximum, which is about $5.71 per meal for a family of three. Adding federal heating assistance, the total comes out to $1,015 per month for a family of three. Sign me up The benefits don’t come for free. There are requirements that recipients engage in regular job searches and do a minimum of 20 hours of work activity to maintain benefits. In smart states, those work requirements include higher education and job training to help beneficiaries get the skills they need to be permanently attached to the workforce and boost earnings.

Unfortunately, training programs were cut by almost 50 percent in Pennsylvania’s 2011-12 budget, making that family-sustaining job all the harder to come by. The gang at Cato wants to eliminate all the skill-building activities from the definition of work activities. Talk about penny wise and pound foolish.

The Cato report is an update of a 1995 report that helped get the 1996 welfare reform law over the finish line. What is depressing about the report is just how successful this line of argument has been in gutting supports for low-income families.

BY SHARON WARD

Since 1996, welfare rolls have plummeted and welfare’s role as a safety net benefit in recessions is gone.

In 1996 about 9.8 million families received welfare nationwide; by 2012 that number was under 2 million. TANF rolls continued to decline during the 2002 recession, and the huge jump in unemployment during the Great Recession precipitated only a tiny rise in TANF enrollment.

TANF is so stigmatized and state governments try so hard to keep caseloads down that many families who could have used the help to blunt the impact of the recession were denied the option.

The purchasing power of TANF has plummeted since 1995. The gap between benefit levels in 1995, adjusted for inflation, and the current TANF cash benefit.

In Pennsylvania, the purchasing power of TANF is 37 percent less than it was in 1995. Put another way, $10 in 1995 would buy $6.30 worth of goods in 2013.

I agree with the Cato authors on one point. They acknowledge that one strategy to incentivize work is higher entry-level wages. Eureka! Where we disagree is on government’s ability to achieve this. A higher minimum wage, paid sick days, and a permanent extension of the 2009 Earned Income Tax Credit and Child Tax Credit improvements would make work pay more and bring more families out of poverty.

Sounds like a great plan to me. CW Sharon Ward is Director of The Pennsylvania Budget and Policy Center.

NEWS

McGinty makes first call for minimum wage increase

BY KEVIN ZWICK, CAPITOLWIRE

As Democrats running for governor jockey for support among their base, gubernatorial hopeful Katie McGinty announced a proposal sure to get the attention of organized labor: raising the state’s minimum wage.

A day after chatting it up with union leaders at Pittsburgh’s Labor Day parade, McGinty says she’ll propose a $1.75 per hour increase of Pennsylvania’s minimum wage as a way to boost the sagging economy. It would bring the commonwealth’s rate to $9 per hour, and tie cost-of-living adjustments to the Consumer Price Index to keep pace with inflation.

“One of the best ways to get the economy moving is to put money into the pockets of people who work,” she said in a press release. “Too many wage earners, working moms in particular, are holding down fulltime, 40-hour-a-week jobs and still finding it too hard to make ends meet and support families. That’s because the minimum wage hasn’t kept pace with the rising cost of living today. That needs to change.”

Democrats throwing support behind a minimum wage increase is no surprise as they seek support from organized labor, a key faction of their base, although some unions and their get-out-the-vote machines may stay out of the primary.

Business groups like the Pennsylvania

branch of the National Federation of Independent Business and the Pennsylvania Chamber of Business and Industry, oppose an increase.

Kevin Shivers, executive director for PA-NFIB, criticized McGinty for trying to score political points with unions. He says the state’s $7.25 per hour rate, which matches the federally mandated minimum rate, helps keep Pennsylvania teens employed at a higher rate compared to other states.

“Considering many states have raised their minimum wage, it’s not surprising PA teens are fairing better in the workplace,” Shivers said. “Ms. McGinty is making a political play for union support. But she is doing so at the expense of teen workers and those first-time workers looking to enter the job market. It’s not surprising. But disappointing nonetheless.”

The Economic Policy Institute, a liberal Washington D.C.-based think tank, recently said the majority of workers being paid minimum wages are at least 20 years old and a third of them are over 40 years old.

McGinty’s announcement came the day after the unofficial start of the 2014 campaign, Labor Day, and as a national push is underway to increase wage rates for service workers at fast-food restaurants and hospi-

tals. McGinty joined three other Democrats running for governor at the Pittsburgh Labor Day parade on Monday, including State Treasurer Rob McCord, who is expected to formally announce his candidacy soon, U.S. Rep. Allyson Schwartz, and York businessman Tom Wolf.

Although observers expect a multi-million dollar knockdown drag-out primary fight among Democrats, the candidates are at least on the same page when it comes to this issue.

“Allyson Schwartz has worked to raise the minimum wage for working families throughout her career and will continue to as Governor,” said Schwartz spokesman Mark Bergman. “That’s why she currently co-sponsors federal legislation that would raise the national minimum wage to $10.10 per hour and would index it to inflation moving forward.”

“If Congress fails to set a higher, new national standard, Allyson would support similar state legislation to what she has cosponsored in Congress,” he added.

That legislation, dubbed the “Fair Minimum Wage Act of 2013,” would raise the current wage rate $0.95 each year until the federal minimum is set at $10.10 by 2015.

A hearing on the bill has yet to be scheduled in the GOP-controlled U.S. House.

“I support raising the minimum wage,” McCord said via email. “Working men and women in Pennsylvania should be paid a living wage that allows them to care for their families, put food on the table, and help their children get the education they need to succeed in the 21st Century. I look forward to talking more specifically about my plans with Pennsylvania voters in the months ahead.”

Wolf said via email: “I’ve always believed that if you listen to workers and treat them right with living wages, good benefits, and safe working conditions – everyone profits.

As a businessman, I’ve created hundreds of good-paying jobs with good benefits, and my company even shares between 20-30 percent of its profits with employees.

“The truth is, working people’s incomes have declined and income disparity has risen. Our economy is just not producing jobs that pay. As governor, I’ll fight to create jobs that provide economic security for Pennsylvania families – and raising the minimum wage is just one part of my plan to turn Pennsylvania around,” he said.

John Hanger, who like McGinty also is a former environmental protection secretary under Gov. Ed Rendell, supports the minimum wage increase as one way to spur economic growth. CW

NEWS 13

SEPTEMBER 2013 CAPITAL WATCH

Vereb legislation giving crime victims a voice now law “A new era of empowering the victims of crime in Pennsylvania has begun,” said Rep. Mile Vereb, R-Montgomery, who introduced House Bill 492 – later signed into law as Act 14 of 2013 – in honor of the late Ellen Gregory Robb, formerly of Upper Merion Township, Montgomery County, who was murdered by her husband, Rafael Robb. “Now, the family of Ellen Gregory Robb and other crime victims across the Commonwealth will be able to have their voices heard during the parole process.”

The new law makes it clear that a crime victim or representative for the victim may appear personally before the Pennsylvania Board of Probation and Parole and provide testimony related to an inmate’s application for parole.

Victims or their representatives also may choose to appear through video conference rather than by telephone if the board has that capability.

The law also protects victims against potential retaliation by criminals by keeping the testimony confidential.

Michael Potteiger, chairman of the Pennsylvania Board of Probation and Parole, supports the new law and has worked to ensure it will be implemented on time.

“The Board of Probation and Parole is looking forward to providing victims with another opportunity to give them a voice in the paroling process in Pennsylvania,” stated Potteiger. “Victim impact has – and always will be – a critical part of parole.”

Montgomery County District Attorney Risa Vetri Ferman also supports the new process and traveled to Harrisburg in June to see the bill signed into law by the governor.

“Until this law took effect today, crime victims across Pennsylvania were not being given their rights because their voices were not being truly heard under the parole process. Luckily, that will now change thanks to this new law,” Ferman said.

“Crime changes victims and their families for the rest of their lives,” Vereb said.

“This new law is based on the principle that justice entails not only punishing the criminal, but also showing compassion toward and giving a voice to the victims of crime.” CW

Rep. Mike Vereb

Rep. Daley sponsors bill to make collection agencies fess up It’s a secret credit card companies don’t want debtors to know: Credit card companies have four years to take action or Pennsylvania law says the debt’s too old to collect.

A bill proposed by state Rep. Pete Daley, D-Washington/Fayette, would force collection agencies to tell consumers if the debt they are trying to get repaid is too old.

The bill also would require collection agencies to put in writing the amount they claim the consumer owes.

Daley is the Democratic Chairman of the House Consumer Affairs Committee.

Daley’s bill is important because collectors know that if they can coax a debtor into making even a nominal payment, the clock starts ticking again, said Pete Macky, an attorney with North Penn Legal Services in Sunbury, Northumberland County.

Requiring debt collectors to disclose that debts are too old for legal action would help consumers who might be fooled into making a good-faith effort to satisfy a debt only to arm the debt collector to go after them in court, Macky said.

All states have statute of limitations on credit card debt, but the periods vary between states. In Maryland and Delaware, the statute of limitations is just three years. In New York, New Jersey and Ohio, it’s six years.

Credit card companies bundle up old debt and sell it to other companies, Macky said. As a result, more often than people realize, there are times when debt collectors are trying to get payments on debt that is so old, the consumer is not required to repay it.

Advocates maintain that there are many cases in which collection agencies mislead people about the size of the debt, Daley said.

“The laws in Pennsylvania pertaining to debt collections are, by comparison to others, very adequate. The Pennsylvania attorney general’s office has done some amazing work in enforcing the law and prosecuting offenders,” Daley said. “This legislation seeks to add one additional requirement to the law that simply asks debt collectors and creditors to fully disclose the debt or judgment being sought against someone and provides those subjects with the knowledge that the debt or judgment can be lawfully collected at that time.”

Macky said he’s certain that credit card companies and banks will lobby fiercely to bury Daley’s unfair debt collection bill.

Often, debtors are overwhelmed and do

not seek to take advantage of the protections provided by the law, Macky said.

People sometimes just stop opening their mail because they can’t stand to face another notice from a bill collector.

One of the first questions legal advocates for the poor will ask clients is: How long has it been since the last payment on the debt?

There are times when the client will just shrug.

Daley’s bill would tweak only Pennsylvania’s protections for debtors. The

state already has a number of strong rules in place handcuffing the conduct of collection agencies.

These include: • Collection agents may call only between 8 a.m. and 9 p.m.

• Collection agents can contact other people only to try to locate the person.

They are not supposed to say they are calling about a debt.

• Collection agents cannot use

harassing conduct or language.

• Debt collectors are not allowed to lie in order to get a person to pay a debt.

But despite those protections, overzealous debt collectors are still a problem.

Complaints about collection agencies crossing the line are among the most common consumer complaints fielded by the state attorney general’s office, a spokesman said. CW

14 OPINION

SEPTEMBER 2013 CAPITAL WATCH

Former Justice William H. Lamb to assist defense of Pennsylvania Marriage Law Pennsylvania General Counsel James D. Schultz has announced the retention of former state Supreme Court Justice William H. Lamb to assist with the constitutional defense of Pennsylvania’s Marriage Law. Lamb will be paid $400 an hour, and associates from his Chester County firm, Lamb McErlane, will earn $325. That does not include the regular salaries taxpayers will also cover for state lawyers to work on the case.

“Legal arguments concerning the constitutionality of any state law are a pressing matter for the commonwealth, along with all concerned parties, and it is important that these cases receive a comprehensive defense,” Schultz said. “Justice Lamb and his firm bring a unique set of legal experience and skills to this case.”

“We look forward to offering our insights to this serious constitutional question,” Lamb said. “We are honored to once again have the opportunity to serve the commonwealth.”

Lamb has a history of bipartisan service to the commonwealth, Schultz noted. He was nominated to the Pennsylvania Supreme Court by Governor Mark Schweiker and then approved by Governor Edward Rendell to fill that position following confirmation by the state Senate. Lamb was the first justice to serve from Chester County in 147 years, an achievement recognized in 2003 when the Chester

County Chamber of Business and Industry named him Citizen of the Year.

Lamb also served as District Attorney in Chester County from 1972 to 1980 after serving as Assistant District Attorney in Chester County from 1967 to 1972.

Additionally, he served as a special prosecutor for Chester County from 1981 to 1984, receiving two Awards of Merit from the Pennsylvania State Police. He is recognized as a top 100 Pennsylvania Super Lawyer for appellate law and a Pennsylvania Super Lawyer since 2005.

Schultz said the unique circumstances of this case compelled the Office of General Counsel to retain expert assistance in this case.

“The Office of General Counsel provides comprehensive legal services to numerous state agencies and executives, but we do not typically defend cases that solely challenge the constitutionality of a statute,” Schultz said. “Who better than a former Supreme Court Justice and his firm to assist in addressing this type of fundamental question?”

Schultz said that the Office of Attorney General, which normally handles this type of constitutional challenge, has refused to defend the commonwealth in this case. In July 2013 Attorney General Kane stated, “It is in the best interest of the Commonwealth to authorize the Office of General Counsel to defend the state in litigation.”

Schultz and Lamb emphasized that the team that has been tasked with defending of the state’s Marriage Law while respecting the interests and dignity of all the parties involved in this case.

“Our mission is to present a thorough legal argument in the hope that a definitive ruling from the court will bring clarity to this issue,” Schultz said.

Kane’s first deputy Adrian King Jr. said the rules of professional conduct called for Kane to withdraw from the case because she had a fundamental legal disagreement with her client, the state.

But Kane’s withdrawal does not mean the state lacks qualified in-house attorneys to handle the federal lawsuit, King said. He cited Schultz’s own legal prowess in arguing an antitrust lawsuit against the NCAA and that of one of his top deputies, Gregory Dunlap, who on Wednesday argued a lawsuit in Commonwealth Court to stop a county official from issuing marriage licenses to gay couples.

“We are very surprised [the Office of General Counsel’s] leadership team lacks confidence in its ability to present the governor’s position on gay marriage,” King said.

Schultz’s spokesman, Nils HagenFrederiksen, said the attorney general’s office has some of the best constitutional lawyers in the country because they deal with those type of claims more regularly than

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Gov. Tom Corbett has hired the law firm of William H. Lamb, a former state Supreme Court justice, to defend a federal lawsuit challenging the state’s 1996 ban on gay marriage.

any other state agency. The Commonwealth Court case Dunlap is involved in is not as complicated as the federal lawsuit that Schultz’s agency now must handle.

Nonsense, King said. It’s not the first time Schultz has hired outside counsel, King said, citing the private lawyers he brought in to help defend the state in a voters rights lawsuit earlier this summer.

Attorneys from the Office of General Counsel and the Pennsylvania Department of Health are also involved in this case. A legal response on behalf of the commonwealth is due Sept. 16, in federal court for the Middle District of Pennsylvania.

On July 9, the American Civil Liberties Union and others filed a federal lawsuit challenging Pennsylvania’s Defense of Marriage Act in U.S. District Court in Harrisburg.

NEWS 15

SEPTEMBER 2013 CAPITAL WATCH

New tourism partnership brings promising future

BY ROB FULTON, PRESIDENT, PENNSYLVANIA ASSOCIATION OF TRAVEL & TOURISM

Tourism is critical to the economic wellbeing of Pennsylvania. The industry is broad-based and far-reaching. It is hotels, meeting facilities, attractions, cultural institutions, recreation and much more. The tourism industry impacts restaurants, transportation, retail, agriculture and manufacturing. Tourism, like other industries in the Commonwealth, is impacted by the economy, increased competition for fewer consumer dollars and budget cuts at the state and local levels. In response to these challenges, a new public-private partnership has been formed to leverage industry knowledge and funding sources to reinvigorate tourism marketing and promotion.

Without tourism, every Pennsylvania household would have to pay $770 in additional state and local taxes to replace the tax revenues the industry generates each year.

Data from 2011 shows the economic impact of tourism in Pennsylvania is significant.

• Total visitor spending was $37.2 billion • State and local tax revenue was $3.8 billion • Directly represented $14.0 billion of state GDP • 182 million U.S. domestic visitors, 2 million Canadians and 1 million visitors from overseas • Supported more than 460,000 jobs, with almost 300,000 jobs directly attributed to PA Tourism Marketing tourism throughout Pennsylvania has historically been led by the Pennsylvania Tourism Office, located within the Department of Community and Economic Development (DCED).

For the last two years, there has been renewed discussion surrounding a structure that enables the public and private sectors to collectively drive the future of Pennsylvania’s tourism efforts.

During the same time, the Tourism industry was also moving toward a collaborative voice focused on advocacy, education, professional development and building strong legislative relationships. The formation of the Pennsylvania Association of Travel & Tourism (PATT) in 2012 was intended to unify and lead Pennsylvania’s travel and tourism industry, presenting one voice on public policy while serving the needs of its diverse members. Working together, the industry believes it will have greater control of its own destiny ,giving tourism organizations, associations and their members an unprecedented voice in the process of developing statewide tourism issues.

The newly created Pennsylvania Tourism Partnership (PTP) is intended to enhance and strengthen tourism marketing efforts by both developing a long-term state tourism marketing plan and by engaging the public and private sectors to create a sustainable funding source to support the priorities outlined in the plan.

This collaborative effort includes the Department of Community & Economic Development (DCED), the Governor’s Office, the Pennsylvania Association of Travel & Tourism (PATT) and Team Pennsylvania Foundation (TEAM PA).

Working together, DCED’s Tourism Office and the PTP will develop consistent branding, promotion and marketing of Pennsylvania as a premier tourism destination.

The PTP will exist within Team PA for up to three years during the start-up phase, operating under its 501(c)3 charter. A Project Director, hired in August, will work with a Steering Committee to further develop the PTP. The Steering Committee will be comprised of business and industry professionals, representatives from key government agencies and industry-related organizations from across the Commonwealth. The industry will nominate individuals to sit on the Steering Committee for the Governor’s Office and DCED to review and approve. Efforts to form the Steering Committee are just beginning, with a goal of having the committee established by the end of the year.

Initially, the PTP is being funded with operational seed money from DCED.

These funds are primarily used by Team PA for the Project Director and other operating expenses the first year. Additional funds will come from a combination of private sector contributions and pledges, which will be matched with funds from DCED. For FY 2013-14, DCED will provide the PTP with up to $1 million in matching funds on a 1-to-1 basis. The PTP will also work toward establishing a long term, sustainable source of funding for PA Tourism marketing and promotion.

After nearly 25 years of the Tourism industry exploring this collaborative approach to Tourism marketing, Pennsylvania is on the verge of making this historic partnership a reality. Under a partnership, the Commonwealth’s Tourism brand and marketing initiatives will be better insulated from political change, providing for more continuity. Responsibility will be placed on the Tourism industry to support this partnership with its participation and financial support, resulting in increased opportunities for input and buy-in from the private sector.

Tourism is a competitive business. Pennsylvania is competing with every other state throughout the country, some of which are investing upwards of $25 million on mar-

keting, compared to Pennsylvania’s few million. We also compete with international markets for meetings, conventions, sporting events and visitors. The current economy demands a re-evaluation of how Pennsylvania markets and promotes its assets.

Greater alignment across the Tourism industry through PATT and stronger collaboration with state government through the PTP will better position the Commonwealth to capitalize on increased economic opportunities relating to Tourism in Pennsylvania. This translates into more revenue and jobs, which is good for everyone. CW