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For Immediate
Release
6/18/08
Orie Continues Efforts to Eliminate Waste of
Tax Revenues on "Consultants"
In March, the AP and the Pittsburgh Tribune-Review reported that the
administration paid $1.8 million to one particular law firm, in addition to
payments to numerous other financial advisers and engineering consultants, to
work on the proposal to lease the Turnpike.
"I have sponsored several bills on the subject of no-bid contracts for
consultants, and today, in continuation of this effort, I am announcing
introduction of a bill to limit payment of taxpayer funds to consultants for
speculation by state officials on proposals or concepts to sell state-owned real
property or assets," announced Senator Jane Orie (R-Allegheny). This new
measure would require approval of the General Assembly before expending revenues
to research or pursue sales or long-term leases of state property or assets.
The bill would require legislative approval if the asset has a value over $200
million or the proposed lease is for a term of more than 10 years. To insure
truly independent research, the bill would also provide that no consultant who
performs an evaluation of a proposed sale or lease could be granted a financial
stake in that sale or lease.
Orie's other legislation on the topic includes
Senate Bill 903, which is currently in the Senate Appropriations Committee.
That bill would prohibit contracting for "consulting services" without any
competitive bidding or procedures to ensure independence or preclude
favoritism—what some have called "pinstripe patronage." Orie is working with
Senator Dominic Pileggi (R-Chester), the Majority Leader, on potential new
language to the bill which would require the Attorney General to perform a
legality review of all such contracts, including a review with regard to ethics
provisions such as the state Adverse Interests Act.
Also, Senators Fumo and Orie yesterday announced sponsorship of an ethics
bill which would restrict Turnpike commissioners and executives from engaging in
questionable employment, contractual and lobbying activity. Another measure
Orie has introduced is
Senate Bill 858, which would prohibit any state agency from using taxpayer
dollars to hire private lobbyists to lobby a fellow state agency such as the
General Assembly.
Noting the current state of the economy and decreasing state tax revenues,
Orie urged that "now, more than ever, we need to focus on passing legislation that
addresses wasteful and questionable expenditures of money entrusted to us by our
constituents. I appeal to my colleagues in the General Assembly to take up these
bills before the break for summer recess to improve the fiscal accountability of
state agencies with regard to the use of private consultants."
Contact:
Lee Derr
(717) 787-6538
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