Tag Archives: Richard Devlin

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Hy·poc·ri·sy in action: Oregon Senate Committee approves appointments by Gov. Brown that will undermine PERS

PERScartoon

Oregon legislators of both parties, with some help from Gov. Kate Brown, took care of their own today (Nov 13) and set up a raid on an already burdened PERS in the process.

The Senate Committee on Rules and Appointments, meeting in a packed Hearing Room B at the State Capitol, approved Gov. Brown’s appointment of two state senators, Richard Devlin (D-Tualatin) and Ted Ferrioli (R-John Day), to high-paying positions on the Northwest Power and Conservation Council.

committeeHeAringSen. Devlin (L) and Sen. Ferrioli (R) appear before the Senate Committee on Rules and Appointments

The Council is a federally funded panel that provides policy and planning leadership on regional power, fish and wildlife issues. Though the Council is a regional body with representatives from four states (Oregon, Washington, Idaho, Montana), Oregon members are considered state employees and take advantage of state benefits, including PERS.

As members of the Legislature, Devlin and Ferrioli are each paid an annual salary of $24,216. At the committee meeting, Ferrioli acknowledged that his new job will be a “lucrative position”. As members of the Council, they will each make $120,000 a year.

Neither man noted that the appointments will also mean big retirement rewards.   Conveniently for Devlin and Ferrioli, they have each been appointed to three-year terms. Lifetime retirement benefits under PERS are designed to provide approximately 45 percent of a state employee’s final average salary at retirement. Final average salary is generally the average of the highest three consecutive years or 1/3 of total salary in the last 36 months of employment.

That means Devlin and Ferrioli will likely end up exploiting PERS for big payouts, potentially rewarding them with hundreds of thousands of extra dollars in benefits. This when PERS is already overwhelmed with billions of dollars in unfunded actuarial liabilities (UAL) and a task force appointed by Brown has just released a report outlining drastic measures that could be taken to partially address the problem.

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Attorney General John Mitchell

“Watch what we do, not what we say,” President Nixon’s Attorney General, John Mitchell, told the press at the start of Nixon’s presidency in 1969.  Oregonians should do the same with the constant blathering of Gov. Brown and legislators about PERS’ deplorable financial condition and their determination to address the problem. Words, just words.

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Just Say No! Stop Gov. Brown from helping former legislators cash in on PERS

GovBrownFastOne

What, me try to pull a fast one?

Oregon’s Senate Rules Committee needs to straighten up and fly right when it considers proposed appointments by Gov. Kate Brown one week from today.

Brown has nominated Sen. Richard Devlin (D-Tualatin) and Sen. Ted Ferrioli (R-John Day) to the Northwest Power & Conservation Council, a federally funded panel that provides policy and planning leadership on regional power, fish and wildlife issues.

The Senate Rules Committee is scheduled to consider the nominations on Nov. 13. It should just say no.

If the two men, neither of whom have power and conservation expertise, are approved for the Council positions, not only will they each make $120,000 a year, but they’ll likely end up exploiting PERS for big payouts. That’s because their pensions will be calculated using their new high salaries, potentially rewarding them with hundreds of thousands of extra dollars. This when PERS is already overwhelmed with billions of dollars in unfunded liabilities.

I remember when smug Enron executives tried to intimidate Oregon Public Utility Commissioners in an effort to secure approval for Enron’s takeover of PGE. Commissioner Joan H. Smith blasted the Enron people at a hearing for assuming Oregonians were simple-minded country bumpkins . “Do you think we all just fell off a turnip truck,” she said.

Gov. Brown must think the members of the Senate Rules Committee just did.

Members of the Senate Interim Committee on Rules and Executive Appointments

Chair Senate Majority Leader Ginny Burdick
Vice-Chair Senate Republican Leader Ted Ferrioli
Member Senator Lee Beyer
Member Senator Brian Boquist
Member Senator Arnie Roblan

 

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Double dealing with PERS: enough of Gov. Brown’s shenanigans

kate-brown-10x8-d383f11824f1b171

What, me two-faced?

What one hand giveth, another taketh away.

Gov. Kate Brown knows how it works.

Just as a task force she appointed puts out a report on how PERS’ massive unfunded actuarial liability (UAL) might be reduced, Brown appoints two legislators to jobs that will drain PERS of hundreds of thousands of dollars.

The Task Force, which Brown charged with identifying options to generate additional funding to reduce the PERS UAL by up to $5 billion over the next five years, issued its report yesterday (Nov. 1). Ideas put forward in the report to generate revenue for PERS , which would impact all Oregonians, include:

  • Privatize state universities
  • Sell surplus port and airport property
  • Sell additional Common School Fund land assets
  • Expand the types of gaming the Oregon Lottery offers and direct revenue from these new options toward PERS
  • Impose a charge for new water rights based on market prices.
  • Sell or do an IPO of SAIF
  • Institute more aggressive foreclosures on properties with property tax and other liens (“Cities could use their own discretion to use the streamlined process (in order to make sure they don’t evict 85-year old grandmothers,” the report notes.)
  • Increase OLCC’s flexibility to operate the spirits business to maximize profits; Increase alcohol licensing fees and excise taxes on beer and wine; impose a surcharge on all distilled spirit (liquor) sales in Oregon, calculated as a percentage of the retail sales price (e.g., 1%, 5%, or 10%).

While all this revenue-raising analysis is going on, Gov. Brown is proposing to undermine PERS’ financial health by conspiring with Sen. Richard Devlin (D-Tualatin) and Sen. Ted Ferrioli (R-John Day) to enrich the legislators, fleece PERS and drive up the costs of PERS payers, such as schools and local governments.

As I’ve pointed out previously, on Oct. 23, Brown nominated Devlin and Ferrioli to the Northwest Power & Conservation Council, a federally funded panel that provides policy and planning leadership on regional power, fish and wildlife issues. The Senate Rules Committee is scheduled to consider the nominations on Nov. 13.

The council positions come with a $120,000 annual salary, substantially more than Devlin and Ferrioli have been making from their legislative salaries.

Furthermore, as The Oregonian’s Ted Sickinger reported this past week, both men will likely end up raiding PERS for big payouts.

The jobs “…will allow both legislators to double dip, turbocharge their public pensions, or both,” Sickinger reported.

As Sickinger explained it:

“Ferrioli already draws a $33,083 annual pension from the Public Employees Retirement System. That benefit stems from 6½ years working for the Oregon Department of Veterans Affairs in the late ’70s and early ’80s…And because he is already at retirement age, he is allowed to double dip, continuing to collect it while working full time at the council.

Meanwhile, Ferrioli is eligible for a separate pension for his 20 years of legislative service. And if his Senate colleagues confirm him to the new position, that pension will be calculated using his new higher salary and the extra years of service he earns at the power council, according to PERS.

It’s unclear how much service credit Ferrioli earned during his years at the Legislature, given the part-time work. But assuming he sticks with the job for the first three-year term, the new salary could quintuple his legislative pension, which could translate to hundreds of thousands of dollars in extra benefits over the course of his retirement (emphasis mine). And he could start drawing that while continuing to work at the council.

Devlin, too, could see a similar multiplier in his legislative pension if confirmed. He, too, has 20 years of legislative service and is eligible to start drawing his pension. But if he holds off, the new salary and service at the power council would balloon those benefits after three years.”

This brazen attempt to exploit PERS when it is already suffering from billions in unfunded liabilities needs to be cut off at the pass.

If they want to maintain their reputations as public servants, Devlin and Ferrioli should either decline the Council appointments or they should refuse any additional PERS benefits that may arise because of them.

And Gov. Brown and the Legislature need to put a stop to this practice of raiding PERS to enrich former Legislators. It’s time to stop taking Oregonians for rubes.

 

 

 

 

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Abuse of Power: Gov. Kate Brown’s PERS Payoff

Kate Brown

Why is Gov. Kate Brown laughing?

Co-conspirators Gov. Kate Brown (D), Sen. Richard Devlin (D-Tualatin) and Sen. Ted Ferrioli (R-John Day) have concocted a bipartisan scheme to enrich the legislators and fleece the Public Employees Retirement System (PERS).

This while a task force appointed by Gov. Brown has been trying to determine the best ways to slash the the crushing PERS debt by $5 billion. The task Force’s report is expected to be submitted on Nov. 1. The PERS Board has predicted that if solutions aren’t found, PERS costs could rise from 17 percent of state and local government annual payrolls to 34 percent in 2021. That would be likely to force worker layoffs.

And you thought Oregon was a corruption-free state.

On Oct. 23, Brown nominated Devlin and Ferrioli to the Northwest Power & Conservation Council, a federally funded panel that provides policy and planning leadership on regional power, fish and wildlife issues. The Senate Rules Committee is scheduled to consider the nominations on Nov. 13.

Neither legislator will bring any expertise in regional power, fish and wildlife issues to the Council. Devlin, 65, is a retired corrections officer and private investigator. Ferrioli, 66, is a retired public relations executive.

But their lack of expertise is not the most egregious issue. It’s their exploitation of the public purse.

First, the council positions come with a $120,000 annual salary, substantially more than Devlin and Ferrioli have been making from their legislative salaries.

Second, as The Oregonian’s Ted Sickinger reported this past week, both men will be raiding PERS for big payouts.

The jobs “…will allow both legislators to double dip, turbocharge their public pensions, or both,” Sickinger reported.

This is how Sickinger put it:

“Ferrioli already draws a $33,083 annual pension from the Public Employees Retirement System. That benefit stems from 6½ years working for the Oregon Department of Veterans Affairs in the late ’70s and early ’80s…And because he is already at retirement age, he is allowed to double dip, continuing to collect it while working full time at the council.

Meanwhile, Ferrioli is eligible for a separate pension for his 20 years of legislative service. And if his Senate colleagues confirm him to the new position, that pension will be calculated using his new higher salary and the extra years of service he earns at the power council, according to PERS.

It’s unclear how much service credit Ferrioli earned during his years at the Legislature, given the part-time work. But assuming he sticks with the job for the first three-year term, the new salary could quintuple his legislative pension, which could translate to hundreds of thousands of dollars in extra benefits over the course of his retirement (emphasis mine). And he could start drawing that while continuing to work at the council.

Devlin, too, could see a similar multiplier in his legislative pension if confirmed. He, too, has 20 years of legislative service and is eligible to start drawing his pension. But if he holds off, the new salary and service at the power council would balloon those benefits after three years.”

This brazen attempt to exploit PERS, which Brown, Devlin and Ferrioli know is already in deep trouble, needs to be cut off at the pass.

If they want to maintain their reputations as public servants, Devlin and Ferrioli should either decline the Council appointments or they should refuse any additional PERS benefits that may arise because of them.

Gov. Brown needs to stop taking Oregonians for rubes. It’s time to put a stop to this abuse of the system.

 

 

 

 

 

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Why is Val Hoyle smiling?

moneyinpolitics

Like Hillary Clinton, Rep. Val Hoyle, D-Eugene, who’s running for Secretary of State,  wants to get the obscene amounts of money out of politics…..later.

 

That way, she can rake in bundles of money now while running for Oregon Secretary of State as a champion of fundraising reform.

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Val Hoyle (D-Eugene)

In the past, Hoyle has said she supports enacting a constitutional amendment to limit campaign contributions, so long as the limits aren’t “unreasonably low”.

She has also blamed Democratic losses outside Oregon on “fear and cynicism” among voters fostered by large political contributions “from a small handful of special interests”.

So much for worrying about special interests.

According to state records, Hoyle has raised $587,000 to date, putting her at the top of the fundraising pile among the Secretary of State candidates.

Val Hoyle (D)……………………..$592,728

Brad Avakian (D)…………………$387,482

Dennis Richardson (R)………….$297,413

Richard Devlin (D)……………. ..$172,315

Sid Leiken (R)……………………..$ 45,104

Hoyle’s biggest contributor is Michael Bloomberg, a New York businessman who supports aggressive gun control measures. On April 29, he gave Hoyle $250,000 in appreciation for her support of legislation that passed in the last session expanding background checks to almost all private firearm transfers.

“Mike is supporting Val Hoyle because her leadership in passing Oregon’s background check bill is truly notable,” Howard Wolfson, a spokesman for Bloomberg, told Willamette Week in an email. “No one in the country has worked harder —or more successfully—to take on the NRA than she has.”

Hoyle has also received $105,000 in contributions from Emily’s List, a Washington, D.C.-based political action committee that supports female candidates.

Without those two large contributions, both from out-of-state, Hoyle would have raised just $237,728, which would have put her behind both Brad Avakian and Dennis Richardson in fundraising totals.

 

P.S.: The other candidates aren’t exactly pure in their fundraising either, although they’re collecting nothing comparable to Hoyle from individual donors.

Brad Avakian’s larger contributions

  • $40,000 from United Food and Commercial Workers Local 555
  • $30,000 from Oregon School Employees Association – Voice of Involved Classified Employees (2307)
  • $10,000 from Pacific NW Regional Council of Carpenters, SSF
  • $10,000 from Oregon League of Conservation Voters PAC (2352)
  • $7,500 from Peter Goldman, a Seattle attorney
  • $6,000 from Naral Pro-Choice Oregon PAC (172)
  • $2,500 from Mt. & M Gaming, operator of The Last Frontier Casino in La Center, WA

 

Dennis Richardson’s larger contributions 

  • $25,000 from Sherman and Wanda Olsrud of Medford, OR
  • $15,000 from Larry Keith of Salem, OR
  • $15,000 from James Young of Lebanon, OR
  • $15,000 from Freres Timber, Inc. of Lyons, OR
  • $10,000 from Stephen M Greenleaf of Medford, OR
  • $10,000 from Richard E Uihlein of Lake Forest, IL
  • $10,000 from Murphy Co. of Eugene, OR
  • $5,000 from Zidelle Collin s of Shady Grove, OR
  • $5,000 from David A deVilleneuve of Central Point, OR