Private consultant wrote legislation for TX's Human Services System

[ChicanoPwr]

Privatization role reveals ethics gap in state law
Human services deputy stood to gain from changes
By R.G. RATCLIFFE
Houston Chronicle Austin Bureau

AUSTIN - When Deputy Health and Human Services Commissioner Gregg Phillips and private consultant Chris Britton helped write the $1 billion legislation to privatize Texas' human services system, they apparently did so partly with an eye on profit — their own.

A Houston Chronicle investigation into the activities of Britton, Phillips and Texas Workforce Commission Executive Director Larry Temple found weaknesses in Texas ethics laws concerning conflicts of interests and cronyism. Their relationships and how they benefited from state business illustrate how Texas law has overlooked the power of lower-level bureaucrats who are often charged with crafting laws.

<snip>

And a private consultant such as Britton can help write a state law, then try to profit from it without being subject to either the state's lobby-registration laws or revolving-door prohibitions.

The investigation found that:
•Britton's company joined with one founded by Phillips to get a $670,000 state contract in January 2004 from the Workforce Commission, a state agency run by Temple, one of Phillips' longtime friends.
•Phillips once headed the human services system in Mississippi, where legislators criticized him for giving a major state contract to a company, then going to work for the firm. In Texas, Phillips played a role in a major state contract going to another former employer in 2003.
•Phillips also apparently helped a business partner, Paige Harkins, get work advising companies on how to win Texas human services privatization contracts that he could influence. On at least one occasion, records indicate Harkins set up a meeting between Phillips and potential state vendors.
•Britton's consulting company explored bidding on state contracts that were mandated by legislation primarily drafted by himself and Phillips during the 2003 Legislature.
"The bottom line is the assistants or deputies oftentimes make multimillion-dollar decisions about the allocation of state resources, and they should be covered by laws that prohibit them from profiting from making those decisions," said ethics-reform advocate Tom "Smitty" Smith of Public Citizen.

http://www.chron.com/cs/CDA/ssistory.mpl/front/2974133
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We need pass this information to everybody we know, before our legislature meets this year. If we are able to do this we can make sure the watch dogs will be out in full force.

Happy New Year everybody.

[GOPisEvil]

1. I knew it! I'm part of that reorganization, and it all sounded like

a private company was going to make some money from the eligibility process. The whole thing was a set-up from the beginning. HHSC's been telling the employees that the decision to privatize hasn't been made yet, but that's crap. They've already made the decision that call centers are the way to go. Of course private companies hiring workers at $8 an hour with no state benefits will be cheaper. We've already seen the model with the CHIP program. Eligibility for that is determined by a private contractor, ACS. Get ready for a lot (a couple thousand at least) state employee layoffs in the next few years.

[ChicanoPwr]

2. What I like to know

how are they going to fix ChIP. It is funny how the "one Tough Grandma" says we will and yet at the same time we hear there is no money. If all the HHSC is privatized how do we know they won't take the money from ChIP program as well as taking away government jobs. It is also ironic, the Chronicle also ran a story about the the econmic situation in Texas. It said that there was a creation of gov. jobs but the pay is no better than a person working at McDs. God save us all and help us trun this state Blue.

[GOPisEvil]

4. There are so many problems in this state that need fixing.

It's all because of this reliance on sales tax. This "no new taxes" thing is killing us. Everyone seems to want better schools, better CPS and APS, more kids on CHIP, but no one wants to f*cking pay for it.

[Beyond]

3. It is just..

.. plain wrong with having a private (for profit) company making determinations about whom will recieive government benefits, government assistance. I have no problem with the various governments seeking outside help with designing and setting up a better, more streamlined infrastucture, but the administration and everyday operations of the agency(s) should be left to government employees.

I would really like to see this "contract", are there provisions/incentives awarded to this company for keeping cost under control. (Read as denying benefits).

[GOPisEvil]

5. I agree. Look at how well privatized workforce commissions went.

:eyes:

Head on over here: http://www.hhs.state.tx.us/consolidation/HB_2292/110303_HB2292TP1.shtml to keep updated on the process.