Hospital Deal Bad For JP Residents

You know, it seems like every time Jefferson Parish Sheriff Newell Normand gets involved in something that isn’t law enforcement-related, he believes that he knows more than the people of Jefferson Parish.

Whether it was the contrived call for service statistics he manipulated in the days and weeks prior to the Fat City Rezoning Ordinance to his current machinations to get a 20-year-old law changed so he can decide, instead of letting you decide, whether East Jefferson General Hospital (EJGH) and West Jefferson Medical Center (WJMC) should be allowed to be leased to a private company.

I can’t understand why Sheriff Normand continues to get involved in public policy. Why does he care about how far a building is set back in Fat City or, now, if the Parish’s two publicly owned hospitals are facing potential financial issues due to the impending Affordable Healthcare Act (aka ObamaCare)? What does either of those things have to do with fighting crime?

Of course, we could also ask what in the background of West Jeff’s CEO Nancy Cassagne qualifies her to make healthcare administrative decisions too. Before landing at West Jeff, Cassagne was the Chief Administrative Assistant to now incarcerated former Parish President Aaron Broussard and prior to that she was the Parish’s Finance Director. An accountant by trade, Cassagne had no hospital administrative experience prior to her being drafted to become CEO at WJMC.

Did I mention that Cassagne is the sister-in-law of disgraced former Parish Attorney Tom Wilkinson?

In addition to her lack of hospital administrative experience, Cassagne’s salary of $400k/year, is equally obscene.

In fact, Cassagne earns more than the Parish President AND the Sheriff combined, a point that I’m sure grates on Normand’s nerves, and his ego.

So, now we have the Sheriff (who also happens to be the Chairman of the EJGH Board) and the CEO of WJMC teaming up and pulling a Mike Yenni and seeking public support for their grand plan to lease (ie., giveaway) two of Jefferson Parish’s prime assets.

What Normand and Cassagne aren’t telling you is, just like Kenner Mayor Yenni who held public meetings AFTER he took several steps in his plan to pass a the largest debt program in Kenner’s history without a voter referendum, they really don’t care what you think. It’s a done deal.

House Bill 383, authored by Metairie State Rep. Joe Lopinto, which takes away your right to approve a lease of the hospitals, sailed through the House and is now waiting on the Senate.

In the Senate, the bill is being championed by Senators John Alario (West Bank) and Danny Martiny (East Bank). Martiny is a long-time ally of Normand.

I don’t think it will have a problem being approved by the Senate.

Our esteemed elected officials in Jefferson Parish all contend that, if there was a public vote, it would be tainted by outside interests that might want in on the deal.

The reality is, they don’t want you to vote on it because they realize that a public vote wouldn’t be in their favor. If you can’t win, change the rules, right Sheriff Normand?

Now, some of you may be saying to yourselves, “Governor Jindal is privatizing LSU’s hospitals. Isn’t this the same thing?”

While the concept is the same, the rest of the story is completely different.

The LSU Charity Hospital System relies on Medicare and Medicaid payments. Their percentage of private insured patients is in the single digits.

EJGH and WJMC also have a large amount of Medicare and Medicaid patients, but the number is between 60-70%. Medicare and Medicaid admittedly pay less than private insurance but, they still pay. It’s not like either hospital is sending out collection agents for Uncle Sam.

For the privatization of LSU’s Charity Hospital System, Governor Jindal and his staff estimated that it would cost the state (you) $626 Million in severance, vacation and other personnel costs, and vendor contracts. That’s $626 Million to privatize 8 of the 10 hospitals in the system.

Before a legislative committee, the Governor’s staff said they kind of underestimated the cost a little. It seems that the cost for privatizing just 3 of the 8 proposed hospitals will cost taxpayers $589 Million or 94% of what was budgeted.

How much will it cost Jefferson Parish taxpayers to privatize our two hospitals? Normand and Cassagne won’t tell you that but they will tell you that EJGH “lost” $11 Million last year and WJMC "lost" about $4 Million.

Realistically, those losses are a drop in the bucket. WJMC alone has a $16-18 Million capital projects budget and, of course, if the hospital is facing financial difficulty, Cassagne could cut her own pay - although we all know that will never happen.

So, what do JP taxpayers get for handing over these two valuable assets?

We’ll get lease payments that are supposed to be dedicated to healthcare.

Healthcare? Why dedicate the funds to healthcare if the Parish doesn’t control the operations of the hospitals? What will it spend the lease payments on and how long do you think it will take Jefferson Parish politicians to get their hands on that slush fund?

Of course, since another company will be leasing the facilities, we taxpayers will still own the equipment, the beds and the plastic bed pans.

The reality is, the lease payments will probably be spent on the same personnel costs that are driving the cost of the state’s privatization plan through the roof.

Louisiana Children’s Medical Center is rumored to be the main contender to lease both EJGH and WJMC. Children’s is also in the process of taking over the LSU Interim Public Hospital in New Orleans, along with its associated clinics and will take over the new Mid-City hospital when it is completed.

Wouldn’t it be prudent for Jefferson Parish officials to monitor the state’s attempt at privatization before diving in head first and signing a 30-year lease and giving away two primary healthcare facilities?

Of course, it might also be prudent for the Sheriff of the state’s 2^nd most populous parish to spend 100% of his time focused on law enforcement but then, I also believe in term-limits (another thing Sherff Normand and I obviously disagree on).  

But how can another company come in and operate EJGH and WJMC at such a high level that they can turn around the losses, deal with the impending ObamaCare rules, and still make significant annual lease payments?

Are their hospital administrators and board members smarter or more experienced than ours?

I’ll leave that up to you to answer.

I think you already know what I think.

Of course, it really doesn’t matter to Sheriff Normand what we think – we’re just taxpayers.

Disappointment From Baton Rouge; Gov. Jindal "Influencing" Virginia; and The Dalai Lama - Only In Louisiana

This morning, I was a guest on "The Ken & Bernie Show" with Ken Romero and Bernadette Lee on KPEL 96.5fm in Acadiana. We talked about my disappointment in the State Legislative Session; Governor Jindal's visit to Virginia; and The Dalai Lama trying his hand at second-lining. Only in Louisiana. If you missed it, and shame on you, you can hear the interview here.

Someone Give Him A Cookie: Mayor Yenni Reduces Auto Allowances For Political Appointees

The most interesting thing about Monday’s City of Kenner budget hearings was Mayor Mike Yenni’s proposal to reduce the overly-generous auto allowances he gives to his political appointees and move that money to pay for a program to recycle.

It was just last year that Yenni was challenged by the City Council to put up an ordinance to end years of illegal auto and cell phone payments.

After the omnipotent City Attorney claimed they were “reimbursements” and didn’t need Council approval,  the Yenni Administration reversed course, called them undocumented allowances and then talked the City Council into calling them what they really were, extra compensation.

Several Council members publicly gushed about how hard the Directors in Kenner worked and how they were always on call, in a vain attempt to justify to the public the $400 per month auto allowances and $150 per month cell phone payments.

If you are reading this and you have a $150 a month cell phone plan, please call me. I have some slightly used toll booths from the Crescent City Connection to sell you.

Now, after fighting vigorously and defending the needs of his political appointees, Mayor Yenni has now deemed the high auto allowances are really not as necessary as he claimed just one year ago.

How will the highly paid City of Kenner Directors make it financially without receiving all of their little monthly bonuses? Will they need to file for Bankruptcy as at least one City Department Head has or will they need to moonlight like our previously mentioned omnipotent City Attorney?

Now, before the good folks at 1801 Williams Blvd. jump up and down and claim that I’m bashing Mayor Yenni let me state for the record that I’m a fan of recycling. Always have been. I applaud Mayor Yenni for expanding the recycling program.

But, what I’m not a fan of is the way Mayor Yenni does things.

First, the auto and cell phone allowances (now deemed compensation) should never have been given. Forgive me if I believe that, if you earn $60,000  - 100,000 per year or more, you should be able to afford $5 a month in gas to drive to and from work. Kenner is 11 square miles. We’re not talking about commuting to Baton Rouge daily.

Second, since they are compensation, and these same Political Appointees also received a 3% raise last year, these allowances just compounded that raise.

Third, again, since they are compensation, why weren’t they added to the recipient’s salary on the budget? Could it be that Mayor Yenni doesn’t really want you to know that the Finance Director earns over $101,000 per year PLUS an additional $4,800 as an auto allowance AND $1,800 as a cell phone allowance? While it doesn’t look good that the Finance Director for a city the size of Kenner earns $101,000+, it looks a whole lot worse if it showed that the Finance Director earned $107,949 plus benefits.

And what about our omnipotent, moon-lighting City Attorney? He earns $88,326 according to the budget. Of course, adding in the $4,800 auto allowance and $1,800 cell phone allowance bumps that up to $94,926 a year. Sounds like a full-time job to me. He must have boundless energy to take on personal injury cases and rustle up business for his other employer, Mayor Yenni’s friend and political contributor.

Is it any wonder that they can’t afford a tank of gas to drive from their house to their offices on Williams Blvd. on the paltry wages that the City of Kenner pays?

There’s also the question of whether it is even legal for Mayor Yenni to reduce the auto allowances. I’m sure though that Yenni wouldn’t make a move without consulting the omnipotent City Attorney. However, since the allowances were spelled out by a council ordinance, it would seem logical that they could only be reduced by a council ordinance, right?

But, let’s get back to recycling.

In December of 2011, Mayor Yenni unilaterally extended the city’s contract with Ramelli for garbage pickup for another five years. The Mayor didn’t put the contract out for bid, didn’t seek input from the council or the public, he just did it.

Not only did he extend the contract without council input, he didn’t even bother to tell the council until he was asked about it 6 months later when the contract was due to expire.

Had Mayor Yenni been a little proactive and put some thought into the contract renewal and the negotiations, perhaps he could have had Ramelli include recycling in their bid. After all, the more recycling that is done, the less Ramelli will need to pick up from people’s homes, right? That should reduce Ramelli’s costs and allow them to provide the recycling service for free or a significantly reduced cost.

According to Councilman Joe Stagni, the City of Slidell receives garbage pickup and recycling for a lower rate than the City of Kenner. Slidell’s lower rate and better service might be because they put their contract out for bid and sought competition.  

In an article on Nola.com, Mayor Yenni said, “It’s an additional service, and we’re not going to the taxpayers and asking them to pay for it.”

So, I guess that means that, since Ramelli will be picking up a lot less garbage due to recycling, our trash bills in Kenner will be reduced accordingly.

I’m sure that’s wishful thinking on my part. Of course, I’m still waiting for my new Ramelli trash can that was promised to all Kenner residents when Ramelli signed the original contract 6 years ago.

Until that day comes, my trusty old Waste Management trash bin, in use since before I heard the words "Hurricane Katrina",  will have to do.

Of course, when your friend is the Mayor, it doesn't matter what contracts say or what you promised to get that contract. As long as you're a FOM (Friend of Mike), you're set in YenniVille.

And, only in YenniVille can you claim that something is so vital to employee retention and morale one day and then reduce it later without a council ordinance because you want to use the money for something else.

But I guess when you’re the Mayor of YenniVille, you can make stuff up as you go along and hope that nobody notices. Or that the Council doesn’t put it up for a voter referendum.

Can’t have the Mayor of YenniVille continue coming out on the losing end of voter referendums, now can we?

Knucklehead Thugs In NOLA; Confusion on the State Budget and More

Yesterday, I was a guest on "The Ken & Bernie Show" with Ken Romero and Bernadette Lee on KPEL 96.5fm in Lafayette. We spoke about the New Orleans Mother's Day shooting, the state budget compromise and the legislature. If you missed it, or if you're a masochist and want to listen to it again, here's a link.

2nd Republican Enters Race For Landrieu’s Seat

Another Republican contender has announced that he is seeking the U.S. Senate seat currently held by Mary Landrieu.

Rob Maness, a Retired U.S. Air Force Colonel, has thrown his hat in the ring against Landrieu, who is seeking re-election, and the already announced Congressman Bill Cassidy (R-Baton Rouge).

Maness is a Constitutional Conservative and was an Operations Officer for the Joint Chiefs of Staff at the Pentagon during 9/11. For his military service, he was awarded the Bronze Star and Air Medal.

Maness is stressing several issues which he feels differentiate himself from Cassidy and Landrieu including:

-          Protecting and Defending Individual Liberty and Constitutional Rights

-          Protecting 2^nd Amendment Rights

-          Immigration Reform and Border Security

-          Energy Independence

-          Education Reform and eliminating Common Core standards

-          Repealing the Obama/Landrieu Government Healthcare Takeover

Maness and his wife Candy are residents of Madisonville.

To find out more about Rob Maness, please visit http://www.robmaness.com

Kenner Fire Chief Hellmers Loses Appeal; Must Repay City

Last May, I wrote about Kenner Fire Chief John Hellmers receiving Supplemental Educational Compensation from the City of Kenner while not possessing the required certifications.

The City of Kenner undertook an Internal Investigation and agreed that Hellmers was improperly receiving extra money that he wasn’t entitled to.

On September 26^th, Kenner Mayor Mike Yenni sent Hellmers a letter stating that he needed to repay the City $2,950 and that Hellmers was suspended for 3 days without pay.

Hellmers’ appealed the decision to the Civil Service Board claiming that the investigation into this transgression took longer than 60-days, thus voiding any punishment.

The Civil Service Board dropped the suspension but reiterated the City’s claim on repayment.

Rather than pay the restitution gracefully, Hellmers, who earns over $102,000 in base salary alone, decided to appeal to the 24^th JDC.

24^th JDC Division A Judge Ray Steib agreed with the Civil Service Board and told Hellmers to pay up.

Judge Steib also dismissed Hellmers’ claim to dismiss the proceedings entirely due to his claim of negligence on Mayor Yenni’s part for not imposing punishment within the 60-day window.

Unfortunately for Kenner residents, the Attorney representing the City didn’t seek repayment of his costs from Hellmers, leaving taxpayers on the dole for thousands more in legal fees from Hellmers’ appeals.

So, not only did the Kenner Fire Chief get an interest-free loan from taxpayers that he didn’t deserve, we’re also on the hook for more money in legal fees.

Only in YenniVille.

Tension, Finger Pointing, Not A Lot Of Answers At JP Council Meeting

There was an old TV ad for Clairol women’s hair coloring that showed a beautiful woman and, referring to her hair color, asked the provocative question: “Does she or doesn’t she?” While they were asking if the woman artificially colored her hair, the question still made you wonder.

Leading up to yesterday’s “Emergency” Jefferson Parish Council meeting regarding the failure of two property taxes last week, the question in Jefferson Parish was: Will they or won’t they?

Would the Council vote to put the taxes back on the ballot in time for the next round of tax bills at the old rate or the new rolled-back rate or would they just hold off until next year and make Parish President John Young figure out how to fill a $19 Million hole?

I guess it couldn’t have been too much of an “Emergency” because we’re still waiting for an answer.

But, we do know what an “Emergency” is.

In fact, we may be hearing that word more in the very near future.

But, the two hours of finger pointing, ganging up on President Young or “fact finding” as Councilman Chris Roberts called it, was interesting to say the least.

If you don’t have time to watch the Council replay and want a blow-by-blow of the meeting, Nola.com’s Manuel Torres did a great job providing the Reader’s Digest version with live updates from the meeting.

Councilman Roberts, a frequent critic of President Young and an ardent supporter of the CCC toll extension, questioned if the Young Administration had made any presentations to civic associations to get their support for the taxes.

"The feedback I'm getting from the business community and civic associations is that they were in the dark," Roberts said.

Of course, Roberts failed to mention that, since he supported the CCC toll, he was a virtual ghost in the months leading up to the May 4^th vote. While I am not intimately involved with Councilman Roberts’ schedule, I don’t recall hearing him do any radio or TV interviews or speaking to groups telling voters to approve the taxes and of their importance to JP operations.

Roberts also voted to put the “expired” taxes on the ballot, along with the rest of the Council.

So, for him to question why the Young Administration put them on the ballot late or how much effort they spent selling the taxes to voters is a pretty dubious argument.

They say that if you say something often enough, even if it’s not true, you start to believe it and you get others to believe it too.

That was the takeaway from this Council meeting. Keep saying that the Young Administration, and only the Young Administration, botched this and keep deflecting blame and not accepting responsibility.

Appearing for the Prosecution: Councilman Roberts, Assessor Tom Capella and Sheriff Newell Normand, aka “The Usual Suspects”.

Now, to be sure, if the taxes expired in December 2012, clearly they should have been on the ballot last year despite JP’s tradition of renewing property taxes after they technically expired but before the next tax cycle.

"There's somebody in parish government that ought to know when these things are coming up for renewal," Councilman Roberts said.

And he’s right. Of course he also failed to mention that the Council (which voted to put these taxes on the ballot), Assessor Capella and Sheriff Normand also should know when taxes are up for renewal.  If you’re assessing property taxes as Capella does, and collecting them, as Normand does, it might be a good idea if you knew what you were assessing and collecting too.

Just as clearly, the taxes should have been put on the ballot at their current rate and not at their original, higher rate.

But for Roberts, Capella and Normand, along with the rest of the Council, to put all of the blame on the Young Administration and not accept any responsibility for their roles in this tax debacle stretches the bounds of credibility.

While some Council members grumbled about the negative feelings towards the CCC toll revote impacting voters on these tax propositions, I suspect that Assessor Capella’s last minute letter to homeowners might have had a larger role in the sinking of these taxes than anything.

While it is traditional for most government agencies except the JPSO and Sheriff Newell “I never met a tax that I rolled-back – I need more money for Public Safety” Normand, Capella’s letter rightly pointed out that the property taxes were being renewed at the old rate of 5 mills instead of the rolled-back rate of 3.58 and 3.54 mills.

Theoretically, if the Council didn’t roll-back the taxes as they have always done (and Capella did when he was on the JP Council), this could have resulted in a tax increase for property owners.

Could that have been made clearer in the “selling” of the taxes? Sure and the language on the ballot could have also been clearer.

But, the Parish Council still approved these taxes. They hired the bond attorney and approved his language for the ballot (on the recommendation of President Young).

I’m also relatively certain that, before it came before the Council, Assessor Capella and Sheriff Normand, the Chief Tax Collector in Jefferson Parish, also reviewed the language and approved it.

Look, for many reasons, the property taxes failed. Rather than continue to play the blame game, why don’t our elected officials provide a solution? There’s clearly enough blame to go around and no JP elected official is covered in enough Teflon to deflect it.

At the moment, there are two viable solutions, as well as a third option proposed by Councilman Roberts. The problem is, the Council is divided and there's no clear-cut support for any of them. In fact, Councilwoman Cynthia Sheng said she needs more time to consider the options.

District 2 Councilman Paul Johnston will seek the Council’s approval to put the taxes back on the ballot at the current rate.

District 3 Councilman Mark Spears will call for an emergency declaration and change the wording to read “up to 5 mills” while promising to keep the rates at 3.58 and 3.54 mills.

Both would put the taxes on the October 19^th ballot in time for the next round of property tax bills.

According to the T-P, Councilman Roberts favors punting on the taxes until 2014 and forcing the Young Administration to cut capital projects for water and sewerage. This would also result in Jefferson Parish possibly losing a $35 Million low-interest state loan for sewerage repairs.  

While I always favor cutting government, Councilman Roberts’ proposal is punitive. Hurting the Parish just to hurt President Young won’t help.  

In this era when citizens have a huge mistrust of government, especially in Jefferson Parish, I think Councilman Johnston’s plan makes the most sense and has the greatest possibility of success.

But hey, what do I know? I thought 4^th grade finger-pointing went out of style long ago.