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Pat McCrory’s just captured the biggest tarbaby in North Carolina.
 
State government has never been a paragon of efficiency but after twelve years of Mike Easley and Beverly Perdue and pay-to-play politics it’s become an unusually broad and deep quagmire.
 
The state’s Medicaid claims processing contract is an example: Years ago when Mike Easley was governor his administration decided to put the contract – the biggest contract in state government – out to ‘bid.’ After mountains of lobbying it was awarded to the ACS corporation and then, almost immediately, one of the contract awarders (a former legislator and under secretary in the Easley administration) left the government to work for the company that won that contract.
 
Two years later the new data processing system was such a mess the state cancelled the contract, paid ACS millions of dollars of taxpayers’ money to go away, and started all over.
 
This time the former legislator and under secretary changed hats and went to work as a lobbyist for another firm and, on the eve of Governor Perdue’s inauguration, his new client was awarded the $287 million contract. And a few days later, Governor Perdue appointed him Secretary of the department that awarded the contract.
 
Three years passed and, for the second time, the new data processing system was the cyber equivalent of a hole in the ground, years behind schedule and hundreds of millions of dollars over budget. The Secretary-lobbyist-legislator solved the problem by extending his former client’s contract and agreeing to pay another $200 million dollars of taxpayers’ money.
 
That’s one example of what Pat McCrory is about to inherit. There’re dozens more. And Pat McCrory ought to throw them over the side. And get rid of the tarbabies. Otherwise, in four years, they’ll be his tarbabies.
 
 

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4 comments on “Getting Rid of Tarbabies

  1. dap916 says:

    Excellent post, Carter. Dead on.

    What bothers me is McCrory’s latest statements that he’s considering putting democrats in his cabinet in the interest of bipartisanship. Does this mean we’re just going to accept “more of the same”…the same thing you’re presenting here to us? Sounds like it, but hope I’m wrong.

    McCrory needs to realize WHY he got elected and WHO elected him and WHY they elected him. We don’t need “more of the same” in Raleigh. We need a governor that is frugile, willing to make the tough political decisions with the ability to make our state’s citizens understand why it’s necessary.

    If McCrory does what truly needs to be done, will there be people that will suffer? Of course. I mean, if we’re going to try to be a state that just makes sure everyone is successful and no one sees hard times regardless of effort and so forth, then we should have elected a democrat as governor. It’s just that simple. People will have to suffer. That’s the nature of our “system” in America…and, especially in our states.

  2. clarence swinney says:

    RICH KEEP QUIET
    3% very rich are entrepreneurs
    Only 4 of 150 nations have more inequality than USA
    Namibia, Zimbabwe, Denmark, Switzerland
    Amount equal to one-half gdp is held untaxed overseas.
    Corporations stopped paying half of their taxes after the recession
    Ten Americans made fifty billion in one year
    Tax deductions for rich could pay off 100% of deficit
    Average single Black or Hispanic woman has $100 net worth
    Elderly and disabled food stamp recipients get $4.30 a day for food.
    Young adults have lost two-thirds of net worth since 1984.
    The American public paid about four trillion to bail out banks
    A sales tax of one-tenth of one penny on securities trading could pay off the deficit
    Article Rich Fudge numbers by Paul Buchheit in common dreams.org 11-19-12
    clarence swinney

  3. clarence swinney says:

    Books and detailed articles have been written on it.
    Here is simple list of one cause=Loss Of Revenue via Tax Cuts fr the rich
    We borrowed(2001-2009) 6100 Billion and 86% was from three new Bush programs
    Two Wars—Tax Cut For Rich—Part D Medicare unfunded gift to pharma.
    %of GDP—-Revenue Expenditures
    2000————–20%——-18%
    2003————–16%——-20%
    2007————–18%——-20%
    2009————–15%——-25%
    2010————–15%——-24%
    2011————–15%——-25%
    2000-2011—Spend Increased 33%–Revenue fell 25%
    Today, a major world study, shows America has more Inequality in 90 nations
    than all but Namibia, Zimbabwe, Denmark and Switzerland.
    IN OECD we rank:
    #1—largest percent (24%)of work force has lowest pay
    #2—Least Tax on Corporations-Since 2008 paid annual rate of 10%.
    #3—Least taxed nation as percent (27%) of GDP in federal-state-local taxes
    #4—Inequality
    God Help The Divided States Of America

  4. dap916 says:

    Swinney….you need to fact check some of the stuff you’re being sent, my friend:

    Chart on Corporate tax rate, for example:

    http://www.kpmg.com/global/en/services/tax/tax-tools-and-resources/pages/corporate-tax-rates-table.aspx

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