How We Do Business in New Mexico

If you missed my story on Think New Mexico's proposal for serious restrictions on campaign contributions, you can find it HERE.

The arguments for and against campaign contribution limits. of course, are familiar.

But one thing in the new Think New Mexico study that appealed to my inner history buff was the section titled "New Mexico's Long Struggle Against Political Corruption," which deals with The Lincoln County War, The Santa Fe Ring, etc.

from my story Sunday:

Though it's been in the news frequently in recent months, political corruption in this state hardly is new.

According to Think New Mexico's report, it goes back at least to the state's territorial days.

"The Lincoln Country War (1878-1881), which is usually recalled as a backdrop for the exploits of Billy the Kid, began as a political fight over government contracts for beef and other provisions," the report says. "Those government contracts were heavily influenced by the patronage of the powerful 'Santa Fe Ring,' a group of lawyers, judges, businessmen and politicians from both parties who gained control of the territorial legislature and dominated the economic life of New Mexico by manipulating public offices for private gain."

The report quotes historian David Holtby in a recent essay titled "Statehood Era and the Federal Presence in New Mexico," who argues the Santa Fe Ring damaged the reputation of the state.

"In the minds of many influential people in Washington D.C. in the 1880s and 1890s, New Mexico Territorial politics indelibly soiled its reputation."

President Theodore Roosevelt endured headaches from New Mexico corruption. "Roosevelt fired two territorial governors, including one of his own appointees who had approved a fraudulent land transaction at the behest of the Santa Fe Ring within a few months of moving to New Mexico."

The Think New Mexico report says, "Unfortunately this culture of corruption has continued into modern times. It can be seen in the troubling attitude that this is simply how we do business in New Mexico."

The Think New Mexico report does not appear to be available online yet. You can read a summary of it HERE

Wilson Still Not Ready to Jump in Gov Race.

Former Congresswoman Heather Wilson still hasn't decided whether she'll be running for governor, she just said in an interview on KUNM a few minutes ago.

Wilson probably would enter the race as a frontrunner on name recognition alone. She served 10 years in the House, representing the 1st Congressional District, which mainly consists of Albuquerque. She gave up that swing-district seat to run for U.S. Senate last year but lost to Steve Pearce in a hard-fought GOP primary where Pearce painted her as a "liberal."


Republican candidates so far include former GOP Chair Allen Weh, Las Cruces District Attorney Susana Martinez, State Rep. Janice Arnold-Jones and public-relations company owner Doug Turner.

More National Publicity for NM

This time in The Wall Street Journal. It's about the Saul Meyer revelations of course.

Not a whole lot new here. The concluding analysis is kind of interesting.

Political observers here said Mr. Richardson had appeared to regain a bounce to his step after being cleared in the federal bond-deal probe in late August. He hosted a delegation of North Korean officials, flew to Cuba on a trade mission and told reporters that he was running again at full steam. Political analysts began suggesting that Mr. Richardson might yet join the Obama administration, perhaps as an international envoy.

Now, even members of the governor's party say they sense a new swirl of scandal erupting from Mr. Meyer's admissions.

Political analysts said the potential for a new scandal in Sante Fe could boost Republican chances in the 2010 governor's race. Mr. Richardson is barred by term limits from seeking re-election.

Roundhouse Roundup: Gergen on Polarization

A version of this was published in The Santa Fe New Mexican
October 8, 2009

For $33,000 per appearance, you might expect someone to sing like Frank Sinatra or dance like James Brown.

David Gergen did neither at the Council of State Governments-West conference in Santa Fe on Wednesday. He just gave a speech, answered some questions and signed some copies of his 2000 book, Eyewitness to Power.

Nice work, if you can get it.

But it was a good and interesting speech from one of the increasingly rare calm and moderate voices on cable TV news and political programs.

In case you haven’t watched CNN in recent years, Gergen is a “senior political analyst” who frequently offers commentary on Anderson Cooper 360. He served as an adviser to four presidents — Richard Nixon, Gerald Ford, Ronald Reagan and Bill Clinton.

As a political junkie who gets tired of the screamers and ranters on the talking-head shows, and even more weary of suits spouting predictable partisan talking points, Gergen’s commentaries are a relief. It’s not that he doesn’t have opinions. As he admitted Wednesday, he tends to be hawkish on foreign policy. But he’s a self-described moderate on social issues.

Gergen talked about the political polarization of the country, which he said, “makes it very hard to govern.”

Just a few months ago, there was hope that President Barack Obama would somehow lead the country out of the intense partisanship of previous years. Perhaps Obama allowed those expectations to get too high, Gergen said. “The magic is fading,” he said. “Some would say it’s gone. And we have returned to a partisanship that is often vicious and eventually could be perilous.”

Part of the problem, he said, is that the Republican Party suffered big losses in the past two elections and the GOP is “in the wilderness” looking for fresh leadership. “But in this case, the vacuum has been filled in effect by raucous voices that are pretty far to the right.”

Instead of debating serious policy, Gergen said, “We’re having crazy arguments” about Obama’s birth certificate and “death panels.”

“It’s gotten mean and ugly, and part of this, frankly (is the fault of) the press,” Gergen said. “The blogosphere has become a place, it’s like a free-fire zone. It’s like the Wild West. … It’s a place where there’s a lot of viciousness, and there’s a lot of rough language. What has happened is that some of this rough language and viciousness has become sort of normal.” And it’s begun to seep into the mainstream press, Gergen said.

(“Right on!” I thought. “And the worst offenders should be rounded up and shot!” Oh wait …)

The mainstream media have to find ways to keep readers and viewers while having a “serious conversation,” Gergen said. Paraphrasing Obama in a recent interview, he said, “The press needs to find ways of making civility interesting again. But I tell you, the problem here is that the audiences tend to go to the food fights.”

Gergen said Obama has contributed to some of this, but he didn’t elaborate.

Later, Gergen was asked whether reviving the Fairness Doctrine for broadcasting would help restore some of the civility. (This policy, which required broadcast license holders to present both sides of controversial issues, was ended during the Reagan years.) Gergen said he thought the Fairness Doctrine was helpful, but he’s seen no interest on the part of the White House to fight that battle.

“I think it’s a cultural challenge,” he said, “not a government challenge.”

Ring around the Roundhouse: Gov. Bill Richardson has called a special session Oct. 17 to deal with the state budget crisis. Not much else is expected to be on the agenda.

But a local group of gay-rights activists is using Facebook to organize a unique kind of protest in favor of allowing same-sex marriage.

“Join us on the Don Gaspar side of the Roundhouse at noon on Saturday Oct. 17th to create the world’s largest engagement ring,” is the message on an event page on Facebook. “We will circle the Roundhouse and hold the ring up for 15 minutes …”

As of late Wednesday night, only 20 had signed up as “confirmed guests” while 57 had said they were “maybe attending.” These figures are slightly larger than those in the print version of this column because I checked the Facebook site several hours later. But still, it’s going to take a lot more to encircle the Roundhouse.

I Bet She's Going to Be on the Ballot.

The Diane Denish campaign is reporting that the lieutenant governor has collected 6,300 petition signatures to get her name on the primary ballot.

That's about three times the required number and that's after only a week or so of collecting signatures.

So far Denish doesn't have any competition in the Democratic primary. Sen. Michael Sanchez's effort (apparently just a single post on his Facebook page last May) fizzled, as did Val Kilmer's. (Kilmer by the way was supposed to have appeared at the film incentive panel at the Council of State Governments West meeting yesterday. But he cancelled.)

Looks like Denish's only worry is the general election. Several Republicans (Allen Weh, Susana Martinez, Janice Arnold-Jones and Doug Turner) are competing for the right to run against her.

So far I haven't seen any GOP press releases blasting "The Richardson/Denish Administration" for the Saul Meyer revelations. But I bet they're coming.

UPDATE: A couple of folks from the Denish camp contacted me to let me know I'd added an extra zero to the number of petition signatures. (Wish someone would do that on my paycheck.) It's been corrected. I still stand by my bold prediction that she gets on the ballot.

Just When We Thought NM Scandal Season Was Fading ...

Saul Meyer pleaded guilty to corruption charges in New York today. And according to New York Attorney General Andrew Cuomo, his pleas also covers, "fraud in investment transactions relating to public pension funds in New Mexico."

Here's from an Associated Press account:

In a statement, the attorney general's office said Meyer had admitted that on "numerous occasions" while Aldus was acting as an adviser to the New Mexico State Investment Council and the New Mexico Educational Retirement Board, he had steered investment contracts to certain people.

"Aldus recommended proposed investments that were pushed on him by politically connected individuals in New Mexico, knowing that these politically connected individuals or their associates stood to benefit financially or politically from the investments and that the investments were not necessarily in the best economic interest of New Mexico," the statement said.

Cuomo declined to say who those politically connected people are, so we can't say for sure that one was Marc Correra, who shared in millions of dollars in finders fees from New Mexico investments. Correra's father Anthony Correra is a longtime friends and fund-raiser for Gov. Bill Richardson. Correra's lawyer Sam Bregman has said his client worked hard for his millions and did nothing illegal.

The SIC and EIB fired Aldus after Meyer was indicted in New York state.

Update: Richardson spokesman Gilbert Gallegos released this statement:

“The Governor’s Office is not aware of any activity outlined by the Attorney General of New York. As we have previously explained, Governor Richardson never spoke with Marc Correra about any state investments, and the Governor never had any personal contact with Saul Meyer.”

Teachers' Union Wants Michael Moore to Attend Rally

... but it doesn't look like the filmmaker has responded yet to the New Mexico branch of the American Federation of Teachers.

I remember a few years ago when Moore came to Santa Fe I tried to arrange an interview with him and had about as much luck as Moore had trying to talk to Roger Smith. (In fairness, at a book-signing on that trip, Moore apologized to us local press dogs who had been trying to get interviews. “Put yourself in my shoes, ” he said. “The problem is, there’s only one of me.”)

Maybe a union will have more clout.

Any way here's the "open letter" (there seems to have been a lot of those recently) from the AFT

OPEN LETTER TO MICHAEL MOORE

Michael:

Last week, Dr. Ellen Bernstein, an elementary school teacher and president of the ABQ Teachers Federation, emailed you an invitation to come to New Mexico on Oct. 9 and speak to the largest demonstration of support for public schools in New Mexico's brief history (became a state in 1912).

Purpose of rally, march and demonstration - persuade state lawmakers to:

* Roll back tax cuts for the wealthiest New Mexicans (passed in 2003 for those earning $295K or more);

* Close tax loopholes for big, out-of-state corporations (examples: Wal Mart, Target, Starbucks allowed to report profits earned in NM in other states and dodge paying their fair share of NM taxes on profits);

* Use revenues to restore cuts made by our lawmakers to the value of school children (lawmakers cut student value by $60 each last January to cover $500 million deficit), higher education students and public services; and,

* Prevent more cuts (lawmakers have another state budget deficit, this time $433 million, and they want to cut student value and public services AGAIN).

We haven't heard from you, yet. Hopefully, that's a sign you're trying to work Oct 9, Santa Fe, into your busy schedule.

New Mexicans love you, Michael !

You were in ABQ at the UNM Pit during 2000 presidential election between Gore and Bush. Thanks to your rally at the UNM Pit, New Mexico was the only state in Southwest to go for Gore. You did that !

We need your help again: Help educators, parents and students stop a second round of proposed cuts to the value of school children, university students and public services.

Please say YES. Please attend, speak-out at Oct. 9 Rally, March and Demonstration, Santa Fe, beginning at noon and going until 3:45 pm.

We'll meet-up at Santa Fe Rail Runner Depot, march 5 blocks to our state capitol, "The Roundhouse", then have speakers andsymbolic activities.

We're thinking of doing what you did in "Capitalism, A Love Story": wrapping the Roundhouse with yellow, crime-scene tape, and making a citizen's arrest, because the NM State Constitution says our lawmakers are required to fund public schools 'sufficiently'. By law, they are not allow to cut the value of school children, college and university student and public services.

Please respond either way. Thank you.

Sincerely,
John Ingram
AFT New Mexico --- field organizer for Oct. 9 Demonstration in Santa Fe

Some Sunday Reading

I have not one, but two stories in Sunday's paper.

First there's a piece on the possibility of the Department of Interior overturning Bush administration restrictions on off-reservation tribal casinos. (CLICK HERE) If that comes to pass it could revive the proposal by Jemez Pueblo (and Santa Fe businessman Gerald Peters) for that proposed casino/resort near Anthony, N.M. Those plans were rejected by the Interior Department early last year because the casino would be almost 300 miles from the pueblo.

However, nobody I talked to seemed to think this change is a sure deal.

The second article is about the Council of State Governments West annual meeting, which starts today in Santa Fe. The article says more than 500 people -- legislators, staffers, guests -- are coming. After I filed the story I got an e-mail from CSG West's Mary Lou Cooper saying the updated numbers are closer to 600.

A list of oil companies, pharmaceuticals, communication companies and others who are paying for the meals and parties can be found HERE.

The biggest surprise in this story for me was the fact that CNN pundit and former White House aide David Gergen is being paid $33,000 plus traveling expenses to speak to the conference on Wednesday.

Yikes! A lot of people in this town don't make $33,000 in a year and a lot of us have to work a few months to make that much.

I bet it'll be a pretty good speech though.

Speaker: Budget Decisions Not Yet Made

I just got this e-mail from House Speaker Ben Lujan referring to two senators who " independently and prematurely" talked about budget cuts.

I'm assuming that one of these is Senate President Pro-tem Tim Jennings, who yesterday distributed an "Open Letter to the Citizens of New Mexico" warning of the need for big spending cuts.

I'm not sure who the other senator is, but I put in a call to try to find out. I'll update when I do.

Here's the Speaker's e-mail:

I am deeply disappointed that two high ranking members of the Senate independently and prematurely communicated information pertaining to budget cuts that does not represent the position or the views of the legislature as a collective body. The letter has caused widespread panic. This is not the kind of leadership our citizens deserve nor should they expect from us on such complex and sensitive issues that affect all of us.

The budget issues we face are monumental and will require our collective sacrifice to resolve this unprecedented set of circumstances. As a legislative body, we have not yet reached a consensus as to how we will overcome the revenue shortfalls. These matters require very principled, prudent and diligent considerations because it will further impact so many already hurting from the economic conditions not seen since the depression. These times require thoughtful and compassionate leadership.

The work group representing the House, the Senate and the Executive are making strong efforts to develop recommendations for our collective consideration. They are still negotiating strategies to address these matters. Once the parameters are defined, these considerations will be thoroughly discussed in our respective caucuses before moving forward to a special session. As a result, neither the Senate as an entire body, nor the House, has fully deliberated on a specific course of action. We are not yet at that juncture.

Therefore, the information communicated by the two senators creating the perception that this is the collective position of the legislature is unfair and disrespectful to all members of the legislature. It is unfortunate that they chose to communicate such information that has triggered such a widespread panic. Before we get to that point, it is my intent to make this a deliberative process with expectations that stakeholders will be a significant part of the discourse in this process and that we will all work together to respond to these challenges.

Open Letter From Tim Jennings

I just received this "Open Letter to the Citizens of New Mexico" from Senate President Pro-tem Tim Jennings. It's about the budget crisis.

Note, he's talking huge budget cuts but doesn't mention the idea of repealing the tax cuts, which I wrote about in today's Roundhouse Roundup column. That might be one of the few things that Jennings and Gov. Bill Richardson agree on.

Here it is in its entirety.

OPEN LETTER TO THE CITIZENS OF NEW MEXICO

Dear Fellow New Mexicans:

As New Mexico’s economy continues to worsen, every New Mexican needs to prepare for the tough economic times ahead. It is unfortunate, but New Mexico’s fiscal situation is getting worse and I think we need to be prepared. Everyone needs to understand and take note that we all must make wise economic choices individually, as a family, and in government, for which the legislature is primarily responsible.

There is no easy way out of the state’s fiscal crisis in the short run. We must open our eyes and move forward to deal with this situation in an expeditious manner. Putting our heads in the sand will not work. Making piecemeal decisions in government spending will ultimately visit us again and again, causing more pain in the future. We are short huge amounts of recurring dollars and so we must make huge recurring expenditure cuts. We need to return to the core budget and deal with the problem there, not cover a recurring problem with non-recurring dollars. Glossing over the facts or wishing it away will not work.

Recent revelation that the executive still does not have a clear understanding of what New Mexico’s prior fiscal year tax collections are, leads me to believe that the legislature is not receiving accurate information from the executive. There appears to be a need for greater shared responsibility for developing revenue projections and the proper disclosure of these estimates in a timely manner. One possible solution would be to expand the legislature’s oversight powers of the executive branch by establishing an independent accounting office to insure that the best information is available as we make the hard decisions with which we are faced.

Recently, the Department of Finance and Administration revealed that New Mexico’s fiscal crisis has worsened since the last revenue projections were released just two months ago. New Mexico’s short fall in the prior fiscal year (FY09) has probably increased by an additional $107 million to a staggering $400 to $450 million. It appears now that the FY ‘10 budget is at least $550 million short of recurring revenue and possibly could grow to $700 million or more below the current year budget. In addition, the executive will need legislative authority to draw down reserves by an additional $107 million just to close the prior year fiscal year (FY’09). This is in addition to their August estimate of $117 million for a total of $224 million. We cannot ignore this crisis, and must deal with it in a caring but prudent manor. This drastic decline in revenue means that we all must be prepared for substantial budget cuts to all of state government, including public schools and higher education.

These are tough economic times and we must pull together to solve this problem with the least amount of harm to all New Mexicans.

Senator Timothy Z. Jennings
Office of the President Pro Tem
Room 105, State Capitol Building