Category Archives: Peter Shumlin

Shummy just can’t help himself

From The Life of Shumlin, by Parson Weems:

“When Peter,” said she, “was about six years old, he was made the wealthy master of a hatchet! Of which, like most little boys, he was immoderately fond, and was constantly going about chopping everything that came in his way.

One day, in the garden, where he often amused himself hacking his mother’s pea-sticks, he unluckily tried the edge of his hatchet on the body of a beautiful young English cherry-tree, which he barked so terribly, that I don’t believe the tree ever got the better of it.

The next morning the old gentleman, finding out what had befallen his tree, which, by the by, was a great favourite, came into the house; and with much warmth asked for the mischievous author, declaring at the same time, that he would not have taken five guineas for his tree. Nobody could tell him anything about it. Presently George and his hatchet made their appearance.

“Peter,” said his father, “do you know who killed that beautiful little cherry tree yonder in the garden? ”

This was a tough question; and Peter staggered under it for a moment; but quickly recovered himself: and looking at his father, with the sweet face of youth brightened with the inexpressible charm of all-conquering truth, he bravely cried out, “I can’t tell a lie, Pa; you know I can’t tell a lie. A huge gust of wind sprang up out of nowhere and blew down your precious cherry tree.”

One of Governor Shumlin’s least endearing traits is his inability to avoid an expedient falsehood, even if it’s transparently obvious to eveyrone in the room. Well, once again he couldn’t help himself yesterday when touting a change in the estate tax that will give a bit of relief to rich folks and business owners.

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The race for governor will offer a stark contrast

This year’s election will trigger a turnover at the top perhaps unprecedented in Vermont history. A new governor, lieutenant governor, attorney general, and new heads of the House and Senate will all be in place by next January. And heading into the campaign, Vermont’s two major parties are offering completely different visions of the state of our state and the mood of its people.

Republicans see Vermonters as tired of high taxes, government intrusion, and the restless reformism (as they see it) of the Shumlin administration.

You’d expect Democrats to be treading cautiously. They are in the tightrope position of simultaneously defending their tenure in power, and crafting a distinctive profile going forward. Not to mention its persistently strong incrementalist tendencies.

However. Driven by Bernie Sanders’ overwhelming success in our primary, the party is moving leftward. There is a sense that Vermonters are ready for even more decisive change, even more government, a more aggressive push to lift up the downtrodden and blunt the sharp edges of capitalism.

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Today’s Special at Phil’s Diner: Nothingburger

In the best political tradition of “ready/fire/aim,” Phil Scott and friends sent out a letter this week accusing the Shumlin administration of playing politics with state jobs. Specifically, of shifting political appointees into permanent state positions. It’s a way to reward your loyalists and extend your influence into putatively non-political areas of government.

The letter was addressed to Human Resources Commissioner Maribeth Spellman, but it was released to the media on the same day it was written. (A sure sign of political motivation.) The letter cites “concerning reports” that the administration is either reclassifying exempt (political) positions into classified (nonpolitical) ones, or creating new classified positions that political appointees could slide into.

It would be a minor scandal if true. Unfortunately, Scott has no concrete evidence, no published reports, and not a single example.

I reached out to Rachel Feldman, Scott’s chief of staff, in search of documentation. This is all I got:

The information comes from a reliable whistleblower within State government.

Okay, well, that’s not much, is it?

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About that Shumlin approval poll

Bit of a surprise came to us late last week, with news of a survey showing Governor Shumlin had suddenly enjoyed a surge in popularity.

The results were released by Morning Consult, a national polling agency that gave Shumlin a 55 percent approval rating after collecting data online between January and May. Shumlin jumped nearly 10 points from the last time Morning Consult polled Vermonters, in November, when 46 percent of respondents gave him a thumbs up.

"What should I do now, Scotty?" "Ya got me, boss." (Photo from VPR)

“What should I do now, Scotty?” “Ya got me, boss.” (Photo from VPR)

The results are also at odds with a February poll from the Castleton Polling Institute that put the Governor at 37 percent approval, and the previous two Castleton surveys: in September 2015, Shumlin was at 40 percent; in March 2015, it was 41 percent. That’s awfully darn consistent.

The Democratic Party was quick to promote the Morning Consult number. Understandable; it would be the best possible news for the party and its gubernatorial candidate. It would prove broad support for the Democratic agenda, and it would mean the candidate wouldn’t have to create distance between her- or himself and Shumlin.

As for me, well, color me skeptical. After all, what has happened since February — or November — to bolster Shumlin’s popularity? He didn’t score any high-profile victories in the Legislature. And he’s taken quite a hit from the EB-5 imbroglio, since he’d associated himself so prominently with the scandal-plagued developers.

Is there some other counterbalancing factor — some political “dark matter” exerting a positive gravitational pull on Shumlin’s numbers? Or is it just an outlier?

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Phil Scott doesn’t like politics

Good on Bruce Lisman for finally taking a tough stance in his primary battle with Lt. Gov. Phil Scott. At the VTGOP convention on Saturday, Lisman came equipped with a newly-printed flyer that tied Scott firmly to the coattails of Gov. Peter Shumlin.

It got under Scott’s skin in the best possible way.

“This is D.C. tactics at its worst,” Scott said from the stage Saturday, holding up a copy of the flier before tossing it to the floor. “I gave Bruce a pass when he did opposition research on me… I can’t give him a pass on this. At least he’s showing me his stripes.”

Yeah! How dare he launch an accurate attack on Good Ol’ Phil?

C’mon, now. Phil Scott was a member of the Shumlin cabinet! He was right there in all the meetings, taking his place at all the photo-ops, and generally trying to depict himself as Not Your Typical Republican, a guy who can work constructively with anyone. Well, now it’s coming back to haunt him — from the right wing.

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Scott Milne’s shotgun attack

Too-coy-by-half Senatorial candidate Scott Milne has come out firing with both barrels on the EB-5 program, hoping to use it as a wedge issue against perpetual incumbent Pat Leahy. Some of his criticisms are valid; others reveal a profound misunderstanding of Leahy’s role in the program.

Either misunderstanding or rank political opportunism. You make the call.

Milne is on solid ground when he accuses Leahy of being a prominent advocate of EB-5, and for being a vocal cheerleader for Vermont developers taking advantage of the program. Leahy has basked in the glow of ribbon-cuttings and high-profile announcements for years; he deserves his share of the heat from the collapse of Jay Peak and the involvement of his “good friend” Bill Stenger in an alleged fraud scheme.

It’s also fair to criticize Leahy for pushing a program with a fundamentally problematic premise: selling green cards to high rollers.

However, I don’t expect Milne to hit too hard on that point, considering that he himself toyed with the notion of soliciting EB-5 investor funds. Seven Days’ Paul Heintz reports that Milne traveled to China and South Korea in 2009 with Bill Stenger and then-Governor Jim Douglas, and came back an EB-5 enthusiast:

“To me, it is the perfect storm of government policy capturing the best of entrepreneurial spirit,” he told the Valley News a week after returning from Asia. “I was pleased beyond my expectations.”

“Perfect storm,” hahaha. There’s a malapropism that turned out to be horribly apropos.

Milne goes off the rails when he accuses Leahy of “mismanagement,” and lumps the Senator in with Governor Shumlin for “the way the EB-5 program has been structured and managed.”

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A bad session for Shumlin, but all was not lost

The media postmortems on Legislature ’16 are rolling in, and they’re not kind to Governor Shumlin.

The Burlington Free Press’ Sunday front page has a big ol’ photo of the Guv looking nonplussed, the bright lights showcasing the furrows on his brow, with a headline reading “BIG REQUESTS FALL SHORT.” The story emphasizes his pushes for legalized marijuana and divestment from some fossil fuel stocks, which both fell short.

Over at VTDigger, the headline slyly referred to Shumlin’s legislative accomplishments as “nothing burgers,” a phrase destined for his headstone. The story, by ol’ buddy Mark Johnson, was just shy of devastating.

While the governor touted numerous accomplishments in his final late-night adjournment address — and some lawmakers did too — many who serve in the Legislature saw something different this session: a once powerful chief executive weakened by a close election, who lost support on the left when he dropped plans for a single-payer health care system, was hurt by ongoing problems with the health care exchange and then saw any remaining leverage dissipate when he announced last year that he would not seek re-election.

Indeed, Shumlin’s 2016 agenda was largely jettisoned by lawmakers. But there is another way to look at the just-concluded session. It accomplished quite a few things that went almost unnoticed in Vermont, but would have been big news almost anywhere else.

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House conferees close the gambling back door

Sen. Kevin Mullin’s attempts to sneak pro-gambling language into a pair of unrelated bills has failed, thanks to the efforts of House conferees.

Mullin craps out.

Mullin craps out.

I first wrote about this last week; the day before yesterday, another Vermont media source finally decided to pursue the story. VPR’s Bob Kinzel had more detail than I did — although he focused on one of Mullin’s maneuvers and missed the other. Still, if you want more information, do read his piece.

To recap, Mullin slipped language into a consumer protection bill that laid out consumer protections for daily fantasy sports — an activity deemed by Eternal General Bill Sorrell to be illegal. Which seems contradictory: why regulate an illegal industry? (That’s the one Kinzel missed.) And into the big budget bill, he inserted language that would have allowed the Lottery Commission more leeway in placing electronic gaming machines in bars and restaurants — possibly including Keno and video poker.

The part I failed to catch was that the current gaming-machine pilot program is set to expire this summer. Mullin’s amendment would have removed the sunset and broadened the definition of acceptable machines. His amendment had the support of Lottery Director Greg Smith, who is under pressure to grow revenues.

Which, given the current EB-5 scandal, is kind of ironic. A central problem with EB-5 was that a single agency was tasked with regulating AND promoting the same activity. And here’s the Lottery Commission, regulating AND promoting the same activity. Conflict of interest, anyone?

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Shoot the Messenger

As its final months drag onward, the Shumlin administration is remaining true to one of its core principles: Shoot the messenger. We have two prime examples of this time-tested strategery today: a top state official slams a respected media outlet, a move that has backfired big-time in the past; and the administration puts a big fat price tag on transparency.

First, Lawrence Miller, Vermont Health Connect czar, has beef with VTDigger.

[Miller] testified Wednesday in the House and challenged the veracity of a VTDigger story that said the state has been unhappy with its current Vermont Health Connect contractor and is negotiating with another company.

… [Miller said] that any frustration he expressed in emails was a normal part of negotiations.

Digger’s earlier story had quoted emails from a state official expressing dissatisfaction with VHC contractor Optum. Which would be noteworthy, since Optum was supposedly the savior of Vermont Health Connect. Miller pooh-poohed the story’s assertion, saying that a certain amount of “friction” is a normal part of the process.

Maybe that’s true, but here’s the problem. This is the same “Lawrence Miller” who was in charge of the Agency for Commerce and Community Development when it was happily attempting to both promote and regulate the ill-fated EB-5 program. He headed ACCD from 2011 to 2014, when he was tasked with cleaning up the Vermont Health Connect mess.

In other words, Miller has been hip-deep in two of the Shumlin administration’s signature disasters. Is it possible he negotiated Shumlin’s original land deal with jerry Dodge?

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Were the Newport projects just a bait-and-switch?

Over the weekend, VTDigger’s Anne Galloway posted a detailed history of the Stenger/Quiros scandal entitled “Jay Peak’s Path to Fraud.” It’s a must-read for those wanting to get a good summary of the affair; the reporting is backed up by Digger’s two-plus-year investigation of the story.

And it raises a huge question in my mind: Did Stenger and Quiros ever seriously intend to build the megaprojects in Newport, or were they nothing more than flashy promises designed to dazzle the politicians and the public, and pave the way for what they really wanted — the transformation of their ski resorts?

In September 2012, Stenger and Quiros announced a bold initiative including major improvements at the resorts, a new terminal at Newport’s airport, and a suite of ambitious projects in Newport itself, including a window-manufacturing plant, a five-story office building, a hotel and conference center, and a marina, as well as a biotech facility in the works since 2009.

The numbers were mind-boggling: over half a billion dollars invested in the perennially impoverished Northeast Kingdom, and a rebirth for the city of Newport. Up to 10,000 new jobs.

Today, many of the ski resort improvements are complete or largely so, while nothing much has happened in Newport except for the demolition of some historic downtown buildings, leaving a hole in the cityscape. And now it looks like nothing will ever happen.

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