Mississippi Today
PSC candidate claims incumbent violated campaign finance laws
A challenger for the Southern District Public Service Commission seat has filed ethics complaints against incumbent Dane Maxwell, claiming he violated campaign finance laws.
Maxwell says the complaints are “dirty campaigning” from a desperate candidate, and that his campaign has returned any improper donations and amended its reporting where necessary.
Republican candidate Wayne Carr claims Maxwell has accepted $18,000 in illegal contributions from PSC-regulated utilities or affiliates and failed to report thousands in campaign spending. He said Maxwell is beholden to large companies buying up small water systems in Mississippi, then asking the PSC to allow large rate increases.
“This is not right for the ratepayers,” Carr said. “This is not transparency.”
Maxwell said much of Carr’s claims are bogus – that three companies he claims fall under a prohibition on donations are not regulated utilities. Maxwell said his campaign unknowingly accepted other improper donations and is returning the money – including $4,000 of a $5,000 donation from a corporation. Mississippi campaign laws limit corporate donations to $1,000 a year. Maxwell said the company failed to note it was a corporation when it made the contribution.
READ MORE: Secretary of State candidates vow sweeping campaign finance reform, enforcement
Maxwell said he has a CPA firm that manages his campaign finances and, “I can’t even write a check out of that account.” He said that when Carr “started slinging mud” about his finances, he had the CPA firm go back through the reports, and consulted with the secretary of state’s office. He said his campaign is returning any improper donations and correcting its reporting.
Maxwell said stringent campaign finance laws for PSC commissioner candidates – emplaced by state lawmakers years ago after past scandal and corruption with the utility regulating authority – provide challenges.
“That’s why I hire a company to do it,” Maxwell said. “We have the strictest laws of any elected officials. We try to vet everything that comes in, but when people send this money to the CPA firm and they can’t determine if it’s associated or not – they generally just return it. Some of these people don’t understand the regulations. They send us money, and then we return it. Our laws are very strict.
“… This is a last-minute desperate attempt to get some attention to his campaign,” Maxwell said. “I’m a Christian conservative. I’m not going to get into negative campaigning and not going to do that to a fellow Republican. It’s disgraceful.”
Carr claims Maxwell failed for months to report thousands in spending for campaign ads on Coast Transit Authority buses. He said the buses have been rolling across the Coast with Maxwell ads on them since mid-May, but the spending did not show up in Maxwell’s June or July finance reports filed with the secretary of state. He noted that Maxwell posted about the bus ads in June social media posts.
Maxwell said the spending will be listed on his campaign finance report due Tuesday – the final report before the Aug. 8 Republican primary.
“Sometimes when you pay for something you don’t get the invoice right away,” Maxwell said. “Everything will be in the filings.”
There have been other questions about PSC candidate campaign finances this election cycle. The Magnolia Tribune in June questioned a donation to PSC Commissioner Brandon Presley – now a gubernatorial candidate – from a regulated utility. Presley returned the $500 donation. The publication also questioned donations to Presley and Central District PSC Commissioner Brent Bailey from a law firm that represents the PSC, with its fees paid by Entergy, a regulated power company.
Both Bailey and Presley have denied the contributions fall under the PSC campaign finance prohibition.
Carr filed complaints with the state Ethics Commission. But the commission has recently said it lacks clear authority to investigate or enforce campaign finance laws.
Mississippi’s campaign finance laws and reporting requirements are weak, and violations are almost never investigated or prosecuted.
This article first appeared on Mississippi Today and is republished here under a Creative Commons license.
Mississippi Today
Podcast: A critical Mississippi Supreme Court runoff
Voters will choose between Mississippi Supreme Court Justice Jim Kitchens and state Sen. Jenifer Branning in a runoff election on Nov. 26, the Tuesday before Thanksgiving. Mississippi Today’s Adam Ganucheau, Bobby Harrison, and Taylor Vance break down the race and discuss why the election is so important for the future of the court and policy in Mississippi.
READ MORE: As lawmakers look to cut taxes, Mississippi mayors and county leaders outline infrastructure needs
This article first appeared on Mississippi Today and is republished here under a Creative Commons license.
Mississippi Today
On this day in 1946
Nov. 18, 1946
Future U.S. Supreme Court Justice Thurgood Marshall was nearly lynched in Columbia, Tennessee, just 30 miles from where the Ku Klux Klan was born.
He and his fellow NAACP lawyers had come here to defend Black men accused of racial violence. In a trial, Marshall and other NAACP lawyers won acquittals for nearly two dozen Black men.
After the verdicts were read, Marshall and his colleagues promptly left town. After crossing a river, they came upon a car in the middle of the road. Then they heard a siren. Three police cars emptied, and eight men surrounded the lawyers. An officer told Marshall he was being arrested for drunken driving, even though he hadn’t been drinking. Officers forced Marshall into the back seat of a car and told the other men to leave.
“Marshall knew that nothing good ever happened when police cars drove black men down unpaved roads,” author Gilbert King wrote in “Devil in the Grove.” “He knew that the bodies of blacks — the victims of lynchings and random murders — had been discovered along these riverbanks for decades. And it was at the bottom of Duck River that, during the trial, the NAACP lawyers had been told their bodies would end up.”
When the car stopped next to the river, Marshall could see a crowd of white men gathered under a tree. Then he spotted headlights behind them. It was a fellow NAACP lawyer, Zephaniah Alexander Looby, who had trailed them to make sure nothing happened. Reporter Harry Raymond concluded that a lynching had been planned, and “Thurgood Marshall was the intended victim.” Marshall never forgot the harrowing night and redoubled his efforts to bring justice in cases where Black defendants were falsely accused.
This article first appeared on Mississippi Today and is republished here under a Creative Commons license.
Mississippi Today
Cutting fat in state government: Everything old is new again
Years ago, some state elected leaders lamented that Mississippi has far too much bureaucracy for such a poor, small state, and vowed — for starters — to eliminate or consolidate state government’s roughly 200 agencies, boards and commissions.
More than a decade later, the number of state agencies, boards and commissions has been whittled down to … roughly 200.
There was one monumental victory in the war on bureaucracy in Mississippi: After years of bitter political debate, the Legislature this year combined the separate cosmetology and barber licensure boards into one. Saa-lute!
That’s not much ROI for Mississippi’s war on big government. But as a comedian once said, hope springs in turtles.
State Auditor Shad White, eyeing the open governor seat for 2027, has paid a Boston consultant $2 million in taxpayer dollars to determine how to cut spending of taxpayer dollars.
The resultant report is a spectacular, novel blueprint for lawmakers on how to starve the beast, run the state more like a bid-ness — and it’s chock full of hitherto unheard of ideas to put the Magnolia State’s government on a diet.
Actually, no. It’s not.
It’s mostly a rehash, amalgam of long-discussed, never enacted ideas to cut government spending. Someone could have cobbled it together after spending a day or two on Google, going through Mississippi press clippings and perusing old legislative watchdog reports and recommendations and bills.
It’s mostly a greatest hits compilation of Mississippi government spending cutting ideas. And it has many Mississippi politicos surmising it’s mostly a taxpayer-funded gubernatorial campaign stunt by White. It produced a 59-page report destined to sit atop a pile of dusty Joint Legislative Committee on Performance Evaluation and Expenditure Review reports and others espousing many of the same findings and recommendations.
White says his report shows how state government could cut $335 million in spending without breaking a sweat. That’s debatable. But it does clearly show how $2 million could have been saved.
There’s been some banter around the Capitol of folks saying they would have created a similar report for a mere $1 million, or $100,000, or for a nice lunch and a couple of beers. Others noted the 59-page report cost taxpayers $33,898 per page.
None of this is to say the report’s findings are bad ideas for belt-tightening. Many would make sense. That’s why they’ve been proposed before, some over and again. They’ve just proved nearly impossible to enact in the realpolitik of the Legislature and government. Some of the cost savings have been enacted, but then government backslid, un-enacted or ignored them.
Perhaps now is the time to dust off some of these ideas. If, as legislative leaders and Gov. Tate Reeves avow, they are going to continue slashing taxes, it might be a good idea to cut some spending as well.
White’s consultant report includes recommendations such as reducing government officials’ travel spending. This was a hot topic for several years, after a 2013 investigation by the Clarion-Ledger showed that even during lean budget years, government officials still spent tens of millions of dollars on travel, domestic and abroad, and had a massive fleet of government vehicles with dubious need for them. The Legislature clamped down on travel and agencies enacted fleet rules and promoted mileage reimbursement for personal vehicles. But according to White’s report, travel spending has been growing and again needs a major haircut.
The report found that, compared to other states, Mississippi government is spending too much on office space and insurance for state buildings and leased property, and on advertising and public relations for state agencies. Again, these are issues that have been pointed out multiple times over the last couple of decades, by lawmakers, media and PEER reports.
Ditto for the state spending millions on incentives for motion pictures to be shot here. There was a knock-down, drag-out battle over that years ago, with then-Lt. Gov. Tate Reeves and others pointing out the state was receiving little to nothing in return for doling out taxpayer funded incentives.
White’s report recommends the state consolidate and reform its purchasing and look for better deals when it buys goods and services. That should sound familiar. Two lawmakers in particular, Sen. John Polk and Rep. Jerry Turner, led a serious crusade on purchasing reform for several years, and managed to push through some meaningful changes. But many of those have been undone or are now ignored.
White pointed out potential savings from state agencies consolidating back-office functions, such as accounting and purchasing. Nothing new under the sun here. Others, notably former Sen. Buck Clarke, championed this years ago, to little avail.
White says there is a dog’s breakfast of savings to be had with state IT purchasing — for computer software and hardware and such. Some major restructuring of the admin side of state government years ago was supposed to address this issue.
White said Mississippi could sell the state’s airplane, make officials use commercial or charter flights, and save more than $1 million a year. The state airplane, travel on it by governors and related issues have been scrutinized and debated off and on for decades. Then-Gov. Phil Bryant made a big issue out of selling one of the state’s planes (a jet) when it had two and vowed to take commercial flights.
White notes state agencies’ misuse of emergency contracts — declaring an emergency so bidding requirements can be waived — costs the state millions. This was pointed out as a major issue in the Mississippi prisons bribery and kickback scandal that sent former Corrections Commissioner Chris Epps to prison and tainted around $1 billion of state contracts. There were vows then, about a decade ago, to reform this. But White says that emergency contracts now constitute more than 30% of all active state-funded contracts by value.
One would assume that Boston Consulting Group provided White with more than what’s in the 59 pages he released to the public as his “Project Momentum” report. But if it did, it’s a secret. Mississippi Today requested all the backing documents the consultant submitted to White’s agency to complete the project.
White denied the public records request, claiming exemption of any such documents as the work product of an audit. But if the work was an actual audit, it was an unusual one. In his contract with the company, White gave it the directive to find at least $250 million in wasteful spending among the 13 agencies it examined. Typically, hired auditors are not told upfront specifically what they should find.
Perhaps not to be outdone, Lt. Gov. Delbert Hosemann, who himself has eyes on the 2027 governor’s race, wants to reorganize state government. He’s calling for lawmakers to create a committee to … wait for it … figure out how to consolidate or eliminate many of the more than 200 agencies, boards and commissions.
Hosemann years ago, when he was secretary of state, called for such consolidation and famously opined of the state’s sprawling bureacracy, “You wouldn’t run a lemonade stand like this, much less state government.”
Hosemann was joined in this call to cut bureaucracy and spending by then-Gov. Phil Bryant. But those efforts fizzled, with Bryant and Hosemann back then lamenting there was little will among lawmakers to whittle down state government. Hosemann more recently said there were bigger fish to fry, including tax cuts, but now he wants to focus on government efficiency and cutting the number of agencies, boards and commissions.
Once again, everything old is new again.
This article first appeared on Mississippi Today and is republished here under a Creative Commons license.
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