Dent Speaks Out on Debt Ceiling

LV Congressman Charlie Dent's latest newsletter, which focuses on the debt ceiling, pulls no punches. President Obama will address the nation at 9 PM.

As I write this column on Monday morning, Greece is being bailed out once again by its European neighbors. Italy is on the brink. Global markets are volatile and jittery. And our nation faces a fiscal challenge of enormous proportions. That's the bad news. The good news is that America is blessed and exceptional, and I still believe we have the fortitude and political capacity to meet this unprecedented challenge.

First and foremost, we must deal with the plain truth: Defaulting on America's obligations -- to our creditors, seniors, disabled veterans, active military personnel, college students and many others -- is not an option. Second, a ratings downgrade of the US government must be prevented.


Stopping a default will occur by simply raising the debt ceiling; preventing a ratings downgrade is a much more demanding, painful exercise that will impact us all. Only a sound, credible plan that places America on a sustainable fiscal trajectory will prevent the downgrade Standard & Poors warned of a few months ago and has recently foreshadowed. And just what does a downgrade mean? Higher interest rates for everyone. Interest rates for mortgages, small business financing, car loans, credit cards and yes, the federal government’s debt service payments will increase dramatically, which in turn will dig us into an even deeper hole.


I have spent an enormous amount of time working and meeting with financial experts, ratings agencies, Republicans of all ideological stripes, Gang of Six Senators, and Blue Dog Democrats to find an acceptable resolution.


Based on these discussions, it is clear that a resolution with broad bipartisan support and deep commitment is essential to restoring market confidence, and those same markets will respond much better to a Congressional act of commission rather than an act of omission. Prioritizing our debt obligations, attractive as it may sound, will be extremely disruptive and add more uncertainty to an already fragile situation. If you don't believe me, please read the Bipartisan Policy Center's sobering debt limit/cash flow analysis for the federal government beginning August 3.


So what should be done?


First, the White House needs to offer a serious, specific plan. No more back-of-the-envelope suggestions, leaked from closed door meetings. As the nonpartisan CBO Director Doug Elmendorf stated in a stinging rebuke of the President, "we don't estimate speeches." Carping about the House passed budget and the "Cut, Cap and Balance" legislation because it cuts spending is not a substitute for leadership.


To the Senate, do something. Anything. How about passing a bill? Under Senate Majority Leader Harry Reid, it has been a staggering 800 days since a budget was passed in the chamber. Congress can't clap with one hand. In spite of Senator Reid, the Gang of Six has made an important contribution to the fiscal reform discussion.


To some of my more frustrated Republican colleagues in the House, for the good of the American people, I ask that you remain open to potential solutions beyond Cut, Cap and Balance. And please, focus less on what you will never do and more on what we must do. We have a sacred duty and solemn obligation to lead and act. We have an affirmative obligation to govern for the sake of our country.


The hourglass is nearly empty.


Let’s review the options: 1) Cut, Cap and Balance; 2) a short-term plan based on agreed to spending cuts in recent negotiations; 3) the so-called "Grand Bargain"; or 4) the last ditch plan offered by Senator McConnell.


Or how about an intermediate approach like this: Immediate spending cuts that exceed the amount needed to raise the debt ceiling through January, a binding commitment to: 1) enact comprehensive tax reform that eliminates tax breaks and loopholes in exchange for lower marginal rates that will spur economic growth and create jobs; 2) long term spending reforms, including caps; and 3) budget enforcement mechanisms.


If nothing else, we must bring the process into the open to restore confidence. The American people demand leadership and constructive action. The world is watching. It's time to lead and demonstrate our American exceptionalism.


-Congressman Charlie Dent

Voters Shortchanged by McClure Refusal to Attend Committee Meetings

On Wednesday, Northampton County Executive John Stoffa laid out $20,140,000 for capital improvement projects needed at Gracedale, the County-owned nursing home. The most pressing of these is a new or upgraded sewer line and grease interceptor. It was first installed in the late '50s, and was last upgraded in '71, seven years before Northampton County even had a County Exec.

In 2001, under Executive Glenn Reibman, the County entered into an agreement with Nazareth Borough Municipal Authority (NBMA) under which it (1) promised to stop using its existing sewer pump, which was deemed "inadequate;" and (2) pledged to have a new upgrade within the next three years.

Right now, the County is facing a $1,000 per day fine from the NBMA for failing to do a damn thing since that 2001 agreement. Stoffa had engineers on hand to present Council with four options, all of which are expensive. He hopes to fund it with energy savings generated by switching from oil to gas at the nursing home.

Unfortunately, there are 54 other capital improvements needed at Gracedale, too, meaning that a bond is all bit a certainty.

At Thursday's Council meeting, Lamont McClure introduced a motion to take the money needed for $13 million worth of projects out of the fund balance, which failed 7 to 2. The only Council member willing to join McClure was Ann McHale.

In 2010, McClure failed to attend a single Council Committee meeting. His absence has continued this year, too. Had McClure attended June's finance committee meeting and listened to LarsonAllen, the County's independent auditor, he'd know that there's only $16 million in the County's general fund undesignated balance, which represents 18% (or two months) of general fund expenditures. McClure's motion would leave the County with just $3 million to pay the bills, a recklessly low sum.

Instead of providing Stoffa with a little guidance about Gracedale, McClure chose to pander to the voters with a motion he knew would fail. When Ron Angle noted McClure's abysmal attendance record, he had no shame. "You keep going to Committee meetings, and I'll keep coming up with solutions," he snarked.

But that was no solution. It was instead a fiscally irresponsible maneuver, made solely for the purpose of getting a few votes. He was elected to represent his district, and can't do that if he's not there.

Tony Scott Speaks For the Taxpayers, Not the Trees

Before Thursday night's Northampton County Council meeting, I stepped out in the hall and saw the Nature Conservancy's Ellen Lott and all her supporters, girding themselves for battle. They were there to demand that Council change course ... again, and fund two swampland purchases with dubious appraisals. In addition to speaking for the trees, Lott was instructing various people about when they should speak, and what they should say. She was most concerned about how to counter the damage done by two Upper Mount Bethel Township residents, Carol and Anthoni Scott.

The Scotts were at home, unaware that their efforts two weeks ago were about to be undone. In Upper Mount Bethel Township, they were actually ejected from an open space committee meeting that discussed specific parcels. They've been denied Right-to-Know requests for a list of people who have applied for public money in exchange for a cliff here or a swamp there.

Although the Scotts were bushwhacked, they did it themselves two weeks before.

Now I have no problem buying the occasional swamp, if the price is fair. This deal was unfair to the taxpayers, as Tony Scott himself states below:

"The latest re-reversal of the Northampton County Council's decision to fund acquisition of the Kirkridge and Broad properties without a second appraisal value is yet another example of the spineless lack of leadership in our elected officials who buckle to the weight of numbers, bleeding-heart liberal extremist environmentalists and the like, not logic.


"Mr. and Mrs. Scott and County Councilman Ron Angle, wished ONLY that these properties got a fair appraisal value. As was eloquently stated by NCC's spokesperson, Ms. Ann McHale, 'Someone else's lack of planning should not be someone else's problem'. This statement speaks volumes.


"Mr. Edmond Turtzo ( 1-610-[redacted]) informed me these properties could have been re-appraised at a cost to him of around $350 per property. Mr. Turtzo is a real estate appraiser that lives in the area, has more experience that the Nature Conservancy 'independent' appraiser, and is Pennsylvania State Certified. To spend hundreds of thousands of tax payers dollars on properties without a second appraisal is an typical example of contempt for the tax-payer and is an perfect reason why such monies should be denied to those bodies such as the Open Space Committee and 'Those that speak for the trees'.


"Although there are those that may enjoy the fleeting moment of a victory in a long series of future tax payer battles to come, this battle may be won but their war will be lost. The taxpayer needs to know how his or her tax money is to be spent. Again, the survey respondents will have their EIT tax money wishes spent in the way they wished, not what the Open Space Committee thinks they want, or it will be removed."

Tony and I are probably jealous because the trees don't hug us back.

Debt Ceiling Crisis: A Pox on Both Their Houses

Jonathan Miller's Debt Ceiling for Dummies explains why it's imperative to resolve the debt ceiling crisis on or before August 2, the date we go into default. Failure means a shutdown in many government services, including Social Security and Medicare checks. It will degrade our credit rating internationally. It will even mean higher interest rates on individual credit cards and mortgages. Given these dire consequences, it's a stupid time for either Republicans or Democrats to engage in a game of brinkmanship. But we're Americans, and have proved time and again that we're pretty dumb.

Right now, there are two competing proposals, although details might change by the time you read this. House Speaker Boehner, on behalf of Republicans, would raise the debt limit about $1 trillion, and then would spend seven months on Tax Code reforms, as well as cuts to Medicare and Medicaid. After that, he would raise the debt limit again. Senate Majority Leader Harry Reid, on behalf of Democrats, would raise the debt ceiling by $2.5 trillion now, accompanied by cuts in that amount over the next ten years.

Both plans avoid a tax hike. Neither plan will succeed. President Obama has already vowed to veto Boehner's plan, while Democrats lack the muscle to push theirs through Congress.

Who's to blame? A pox on both their houses, I say.

This gridlock is precisely why we need more centrists like the Gang of Six, or Charlie Dent or Bob Casey. They are loyal to their parties, but eschew the extremes. Last night, Dent expressed concern about an "adverse reaction" in financial markets, and stated lawmakers must come to an agreement.

We need more bipartisanship and less flame-throwing.

Armstrong on Debt Ceiling: Time to Think the Unthinkable

As House Speaker Boehner walks, and President Obama balks, Allentown's Scott Armstrong speaks out:

Considering the dangers involved in a failure to reach a timely agreement on raising the nation’s debt ceiling one is forced to ponder whether a sinister political strategy is behind the brinkmanship in negotiations. The answer may become clear when one considers who presently has the stronger hand for next year’s national elections and plays out the potential winners and losers of a default. Despite the professed confidence of the Whitehouse and the DNC that President Obama and the Democrats are a shoo- in for electoral success in 2012 many experts doubt the claim. It is increasingly likely that year’s elections will be a referendum on the first term of the Obama Administration. If that is the case, we will see a repeat of the 2010 elections that brought voters to the polls en masse to put the Democrats out of power. Despite the brave face, Obama’s team understands big losses are ahead unless the current dynamic of the Democrats’ “owning” the bad economy and high unemployment numbers can be changed. As it is unlikely that any legislative tweaking will help improve the economic numbers, the only option left is to attempt to hand off the blame to the political opposition.


Allowing the country to go into a default is a risky strategy but the Obama team is desperate and by their thinking has little to lose by going for broke. For the first time in our history the nation would go into default and it would do so under Obama’s watch. However, the White House will count on the mainstream press to be an ally and attempt to lay/switch all of the blame unto the Republicans. So when seniors don’t get their social security checks it will be the Republicans’ fault; when interests rates rise and the markets crash, it will be the Republicans’ fault; when the dollar loses even more value and prices and unemployment rise even further, it will be the Republicans’ fault. In short all of the accumulated damage that has been done to the economy these past two and one half years plus all of the additional default harm will be cast by the White House/press as the consequence of the Republicans’ control of one third of the government for the last seven months.


Dare we imagine this could be their plan? If so,this cynical long shot strategy may pay off for the Democrats. However, enabling the default and following through with the consequences will serve to demonstrate the length the Democrats will go to maintain power and control. It should serve as a shocking display of total callousness towards the public good. Rest confident however, that’s not how the press will play it.

Hot But Always Worth It!

Despite the incredible 104-degree temp at game time, my grandson and his friend had a blast, and managed to get a game ball each before the night was over. They were both ready to suit up, too.

CACLV Gets $10,000 From Cash-Strapped Northampton County For Foreclosure Mitigation Program

Alan Jennings had a sinus infection. He couldn't hear what Council members were saying, so he mostly stood up at the dais and smiled. After the state cut funding to CACLV's foreclosure mitigation program, designed to help people in danger of losing their homes, he came to Northampton County Council. His program has saved 252 homes, and he asked for $10,000 to keep it going until other funding can be obtained.

Angle was ready for a fight, but Jennings couldn't really hear him. Angle told Jennings he'd give him $10,000 for the Safe Harbor Homeless Shelter because, unlike the foreclosure program, that helps human suffering.

Jennings smiled.

Peg Ferraro noted that when someone loses his home as a result of a foreclosure, that's human suffering, too.

Jennings smiled.

Lamont McClure, whose re-election campaign is already in full swing, used this issue as a hammer to attack Angle, deriding his "apparent lack of concern for human suffering."

Jennings smiled.

Under normal circumstances, Jennings would be rolling around in the halls with Angle by now, but he was as happy as a salamander on Kitatinny Ridge.

I don't know what drug the doctor gave him for his sinus infection, but I want some of it.

In relatively short order, Jennings got his $10,000 with only Angle and Barb Thierry dissenting.

On his way out, I told him he should be deaf more often.

Another Flip-Flop by Northampton County Council

Last night's County Council meeting included both the "Save the Salamander" crowd as well as the usual Gracedale Goons. They do have three things in common. First, they all pretty much despise Ron Angle, although the green crowd is a lot more sophisticated about it. Second, they're both pretty damn rude. For the zillionth time, Gracedale Goon Mary Ann Schmoyer had to be asked to stop disrupting a meeting. And the tree talkers spent so much time talking loudly in the hall after their portion of the meeting was over, a Deputy Sheriff had to ask them to move on. Third, they are obsessed with their issue, and only their issue.

Sitting in the back, I was unable to hear what was being said, and walked out to ask one of them to move down the hall a little. He told me to move myself.

He's a doctor.

County Council, of course, is intent on setting the world record for flip flops on one issue. Presented with a goofy proposal to buy swampland and steep slopes in Upper Mount Bethel 6 weeks ago, it tabled the matter. Four weeks ago, it untabled the matter and agreed to the purchase even though the only appraisal for these properties came from the Nature Conservancy, and was questionable. Two weeks ago, it halted that purchase and demanded two more appraisals, to be paid for by the seller, after learning that this salamander country is valued more highly than prime farmland. Last night, it reversed course again, and decided to go ahead and buy more swampland anyway, especially after the DCNR dude told them the application is already 91 days late.

Amazingly, the person who decided to go ahead and made the motion was Ron Angle, the person who wanted independent appraisals. He sensed he had a loser, and made the motion with the understanding that open space guidelines about appraisals will be revisited for future swamp land purchases.

The Nature Conservancy's Ellen Lott was there, and told Council she's still speaking for the trees. Northampton County's Federation of Sportsmen's Mike Topping was there, and he claimed he was speaking for hunters. Landowner David Broad was there, and he was speaking for his wallet.

Ann McHale and Ron Angle tried to speak for the taxpayer, but the taxpayer really has no special interest group. So they lost a battle. But if open space guidelines are changed to require truly independent appraisals, and not those from the Nature Conservancy's select group, McHale and Angle will have scored one for the people.

Marcus Paints Bleak Picture of Gracedale, Human Services, in Meeting With State Legislators

Bob Freeman, Marcia Hahn & Julie Harhart in Star Chamber

As a County-owned nursing home, Gracedale gets less money from Medicare and Medicaid than it would if it were privately owned. Last year, it received $4.3 million less. In 2009, it was $3.1 million less than would be paid to a private owner. So after the May plebiscite in which voters decided, 3 to 1, against a sale, one of County Council's first moves was to invite state legislators to discuss those reimbursement rates. That meeting finally happened yesterday, at a combined Intergovernmental and Human Services Committee chaired by Peg Ferraro. And legislators came.

State Rep. Bob Freeman was there, along with Joe Emrick, Marcia Hahn and Julie Harhart. State Rep. Joe Brennan sent Matt Recker, and State Senators Pat Browne and Bob Mensch had aides on hand as well. But instead of turning on the heat on an already hot day, it took Human Services Director Ross Marcus most of an hour just to lay out the problems. Unfortunately, they go well beyond Gracedale and into other areas of Human Services.

Peg Ferraro set the tone. "The more I study this, the less I seem to know," she said at the onset. I thought that was an incredibly ignorant thing to say, but as the meeting progressed, I was forced to agree.

Reimbursement Rate Changes

As Marcus explained it, these changes first occurred when the 2006-2007 state budget was adopted. One reimbursement formula is used for government-owned nursing homes, while another and higher rate is paid to privately-owned facilities. Governments were frozen at the rates that existed in April 2006, although there have been cost of living adjustments.

Private nursing homes tend to get more money, but it's more complicated than that. Their reimbursements are based on their "case mix," in which patients requiring skilled care qualify for higher rates than those whose needs are more basic.

As an example, Marcus mentioned Alzheimers' patients. They do poorly if reimbursement is based on a "case mix" formula because the demand for skilled care is low. As a result, private homes have little incentive to admit these patients. A government-owned nursing home, reimbursed under a different formula, might actually do better for that type of patient. So the argument is that this different rate will enable the County "to remain true to its mission."

But overall, counties are compensated less than privately-owned homes.

Although state legislators spent most of their time listening, Bob Freeman did note that new legislation gives the Secretary of DPW "sweeping power" to set rates, so things could actually get worse. But as things stand, reimbursement rates are essentially frozen, prompting Joe Emrick to ask, "You said this was to protect the County home?"

It's confusing, and after hearing Marcus explain that the County can get a "case mix" reimbursement for certain types of care, he seemed even more mystified. "It's a very complicated thing."

Quality of care at Gracedale Praised

Ross Marcus told legislators that Gracedale budgets 3.2 hours of nursing per resident per day. Bob Freeman noted he deals with many seniors who tell him that if they have to go to a nursing home, they want it to be Gracedale.

Is More Parity Possible?

Before the meeting was over, Mike Dowd asked legislators "to even the playing field. The taxpayers have to have some relief." Ferraro echoed Dowd. "Just bring us a little more parity," she asked. Although legislators do have the power to make changes, Julie Harhart noted that the budget for this year has already been adopted. So even if relief is possible, it's at least a year away.

And is relief possible? After the meeting, several legislators told me the numbers they get are not the numbers they are hearing from the County.

Cuts Extend Beyond Gracedale.

Unfortunately, state funding cuts begin, and do not end at Gracedale. Marcus told Council members and legislators that the Human Services Development Fund has been cut 36-37 per cent in the most recent budget. Over the last few years, those cuts are 70 per cent.

Northampton County, like most other counties, paid for 10% of most human services. The rest was covered by state and federal government. But this year, Northampton County will pick up 26.5 per cent of the tab. And it has to do it or more children will be abused. Harhart seemed especially distressed by this revelation, and told everyone she is sponsoring a resolution to scrutinize C&Y programs

For mental health programs, the county contribution in 2012 will likely double. "It's not good news anywhere along the line," commented Marcus.

The Area Agency on Aging, which provides home health care, senior centers and other services that allow the elderly to remain in their homes, is a shadow of its former self. Marcus told everyone the picture "is bleak," with almost no match to the County. For many year, the County was kicking in $300,000 to 400,000 annually. Executive Stoffa increased the allocation to $800,000, but has been forced to reduce it to $600,000 as a result of other budget demands.

Council members Mike Dowd, Bruce Gilbert, Peg Ferraro, John Cusick and Tom Dietrich particaated in yesterday's meeting, along with Executive John Stoffa.

Dent's Testimony Concerning Synthetic Drugs (Bath Salts, Incense)

LV Congressman Charlie Dent's testimony to the Health Subcommittee of the U.S. House Committee on Energy & Commerce, delivered at 10 AM today:


“Chairman Pitts, Ranking Member Pallone, members of the subcommittee, thank you for allowing me to testify today on the very important matter of synthetic drugs. I appreciate the committee’s interest in my bill, H.R. 1254, the Synthetic Drug Control Act of 2011.

“The issue of synthetic or designer drugs was first brought to my attention less than a year ago by a constituent whose son had been abusing drugs that went by names like K2 or Spice and acted as legal substitutes for marijuana. These drugs are classified as “synthetic cannabinoids,” artificial drugs which affect the brain in a manner similar to marijuana. However, these drugs can in fact be even more harmful than the substances they simulate, increasing heart rate and blood pressure and producing dangerous psychotic side effects that have led to suicides and accidental deaths.


“Synthetic cannabinoids are just one category of designer drugs. Even more potent substances, such as mephedrone and methylenedioxypyrovalerone (MDPV), often sold as “bath salts” or “plant food,” have properties similar to cocaine, methamphetamine, lysergic acid diethylamide (LSD), and other hard street drugs. These substances are marketed with innocent sounding names, but these labels are total misnomers designed to facilitate their legal sale. These drugs have no legitimate medicinal or industrial purpose, just as actual bath salts have no hallucinogenic properties.


“Shortly after I spoke with my constituent about her son’s experience with synthetic marijuana last year, the number of news reports detailing horrific stories of individuals high on synthetic drugs virtually exploded. A man in Scranton, Pennsylvania stabbed a priest, and another jumped out of a 3-story window, both high on bath salts. Several deaths from West Virginia to Florida have been attributed to overdoses of synthetic drugs. Senator Chuck Grassley of Iowa has introduced a bill, with provisions similar to H.R. 1254, named after one of his young constituents who tragically took his own life while high on synthetic cannabinoids. A man in my district was arrested this past May for firing a gun out of his window in a university neighborhood. Police charges indicate he had injected himself with bath salts, and he later told police he had thought there were people on the roof watching him. Finally, I was approached by another distraught mother from my district whose son was hospitalized for over two weeks after suffering liver failure and other complications after injecting himself with bath salts. These substances pose a substantial risk, both to the physical health of the user, as well as to the safety of the user and those around him when these drugs contribute to dangerous psychotic behavior, suicide, and public endangerment.


“The fact that these synthetic drugs are legal in many states contributes to the misconception that they are safe. Additionally, the use of easily recognizable brand names and logos on the packaging promotes the concept of a consistent product. Americans frequently buy their favorite brand-name consumer products, knowing that the familiar label bears the promise of the same user experience time and again. However, the producers of synthetic drugs do not exercise the kind of quality control that manufacturers of legitimate products employ. One dose of a given “bath salt” drug might be significantly more or less potent than the next, even though the packaging is identical. This has led to recurrent users inadvertently overdosing after receiving a much stronger dosage than they were expecting.


“In order to ensure that these dangerous products are removed from retail outlets and their production and sale banned in the United States, I introduced H.R. 1254, the Synthetic Drug Control Act of 2011. This legislation, which was drafted in close consultation with federal law enforcement, has three principle components: prohibition of synthetic cannabinoids; prohibition of other designer drugs such as bath salts; and enhancement of the Drug Enforcement Agency’s (DEA) existing authority to take dangerous new substances off the street.


“One of the major difficulties in combating these designer drugs is the ability of the producers to use different variations of a chemical to skirt the law. By modifying the formula in some minor way, producers can generate a new compound which circumvents legal prohibitions but has similar narcotic effects. This legislation addresses broad structural classes of synthetic cannabinoids in an effort to form as comprehensive a ban as possible. It also targets some of the most popular designer drugs listed on the DEA’s list of “drugs and chemicals of concern.”


“Finally, H.R. 1254 enhances the DEA’s ability to impose a temporary ban on new drugs. Under current law, the Administrator of the DEA may place any compound into the appropriate schedule of the Controlled Substances Act for up to 18 months. In order to make the ban permanent, DEA and the Department of Health and Human Services (HHS) must prove that the drug is both harmful and lacking in legitimate medicinal or industrial value. If this cannot be demonstrated in time, the ban expires and the substance is removed from the temporary schedule, thus complicating any pending trials involving the drugs in question. For this reason, the DEA has historically been hesitant to use its emergency scheduling authority. H.R. 1254 would simply double the amount of time DEA and HHS have to make their case against a drug, giving them a maximum of three years to make their findings. Because synthetic drugs are usually produced in Southeast Asia and make their initial appearance in Europe before arriving in the United States, American law enforcement is usually aware of which designer drugs are about to hit domestic markets before they arrive. This extended timeframe will better allow DEA to use its temporary scheduling authority to block new drugs from ever being sold in the United States commercially.


“I am proud to say that Pennsylvania recently joined the growing list of states that have enacted bans on many forms of synthetic drugs. This is a good start, but these drugs can still be easily obtained by crossing state lines or, increasingly, ordering them over the Internet. Synthetic drugs are a national problem, as the subcommittee has shown by including them in this discussion on bioterrorism, controlled substances, and public health. A national solution is required in order to prevent further injury and loss of life. I encourage the subcommittee to take up this legislation and report it to the full committee as soon as possible.”

Gracedale In Serious Financial Trouble

Although Northampton County voters have told Council and Executive John Stoffa to keep Gracedale by a 3 to 1 margin, they were never asked whether they'd be willing to approve a tax hike to keep the nursing home in business. So the challenge has been to keep it afloat, but without any County contribution. But that's increasingly unlikely. Gracedale is in major disrepair, and a declining census means there is less revenue to cover fixed costs.

Medicare and Medicaid Reimbursemets

Today, Council has invited State Reps to explain why Medicare and Medicaid reimbursements to County-owned nursing homes keep declining, putting them at a competitive disadvantage with private facilities. If Gracedale were privately owned last year, it would have received $4.3 million more money from Medicare and Medicaid, enough to show a small surplus. But what is most likely is that, every year, the County will receive a smaller and smaller reimbursement.

County Money Spent

Because the County expected to have sold Gracedale by now, only $3.5 million was budgeted for the facility. Yesterday, Council learned that $3.4 million was already spent by the end of June, leaving the facility wit just $100,000 for the rest of the year. It is hoped that new management might stop the bleeding, but a dubious Ron Angle remarked, "If they can do a better job and not spend $3.4 million thru the rest of the year, I'd like to buy Gracedale myself."

Closed Wings

Although Gracedale is a 725-bed facility, the daily census is down around 592, according to Stoffa. He and Human Services Director Ross Marcus have closed two wings, and are using the staff that would serve there to reduce overtime. They are hopeful that, once new managmwnt is installed, they can re-open those wings and increase revenue.

Council member Mike Dowd called it a triage situation, and shares the hope that new management will mean an increased census. But Ron Angle doubts it will change much. "The image of Gracedale is that it is the poor house and people do not want to send their relatives there," he reasoned.

$20 Million in Capital Improvements Needed

As Council Prez John Cusick has remarked in the past, the parking lot at Gracedale now resembles a lunar landscape. That, and 54 other projects, need urgent attention.

Pricetag? $20,140,000.

The most pressing needs are a new or upgraded sewer line and grease interceptor. Stoffa tells Council he's been threatened with a $1,000 per day fine by the Nazareth Municipal Authority if he keeps putting it off. An engineering firm presented four options. All of them are expensive.

"We smell up the joint," remarked Stoffa. "We can't delay anymore."

I go through Gracedale several times every week in the course of my daily walks. I always thought that smell was me.

One innovative idea proposed by Stoffa is getting UGI to the site, decommissioning oil burners and using a rented boiler this Winter, fueled with natural gas. Stoffa claims that could save the County as much as $600,000 per year, and those savings could finance the sewer upgrades.

But a bond will still have to be floated for other improvements. And at the current rate, the County is facing an 18% tax hike next year, which is exactly what Ron Angle had predicted.

2001 Bond Proceeds

It is hoped that some of the money left over from the 2001 megabond could be used to fund some of these projects and reduce the tax increase. But County administrators told Council they are still trying to determine what is available.

Labor Concessions

Council President Cusick is hopeful that a new management team will be able to negotiate some labor concessions. Rather than meeting with the unions now, Stoffa thinks it is more prudent to allow a new management firm to conduct those negotiations.

Sarah Cassi has a detailed report from The Express Times here. The Morning Call's Jenna Portnoy has also weighed in here.

Controller Barron Behind Lehigh County in Hotel Tax Audits

Discover Lehigh Valley's Mike Stershic, who handles the hotel tax collected by Northampton and Lehigh County each year, and passes much of it to the LVEDC pursuant to an agreement, told Northampton County Council yesterday that, every year, he receives an audit from the Lehigh County Controller for each of the roughly 45 hotels who must pay hotel tax. Over the past four years, Stershic has received about 5 audits of Northampton County hotels from Controller Steve Barron.

Barron told Cuncil he lacks the resources to audit every hotel. He apparently also lacks the resources to notice that the Grand Eastonian is a hotel. Stershic had to drop that dime.

Barron von Footinmouth might have those resources if he spent a little less time marching with unions on T-Mobile, a little less time doing forensic audits for the DA, and a little more time in the office.

Incidentally, Lehigh County has 349,497 people to Northampton County's 297,735. If their Controller can find the time for these audits, so can Barron.

Elections Office Staff Proposes Elimination of Deputy Registrar

If you ever visit the Northampton County Voter Registration office, you will likely see Amy Birch and Rich Kessler. They are tow of the reasons why that office has become a professional operation. A third reason would be the Registrar herself, Dee Rumsey.

I was surprised to see Amy and Rich sitting together at yesterday's Personnel Committee before Northampton County Council. But I soon found out why they were there. The office has managed well without a Deputy Registrar, and they think it's just a tad silly to hire on an inexperienced Deputy so that three employees can answer to to bosses. So they've proposed eliminating the deputy and using senior election technicians like themselves to perform those functions.

Oh yeah, and give them a raise, too.

Executive John Stoffa told Council he opposes this idea, saying there has to be somebody to answer if the Registrar herself is not there. HR boss Pat Siemiontkowski notes she's already begun the process of hiring a Deputy, and would have to study the recommendations made by Kessler and Birch. Ron Angle liked the idea, but claimed Council should be Kessler's last stop, not his first.

Then Angle and Ann McHale got into a spat over whether the elections office staffers report to the elections commission or the administration. Mike Dowd noted they could argue about that another ten years , but they won't get an answer to that question today.

As someone who visits that office regularly, especially to review campaign finance reports, I think Kessler and Birch should be given a green light. No one can argue that the office is more efficient today than ever, and with a smaller staff. They deserve a raise, and it will still save the County money.

If there's some hesitation, do it on a trial basis.

Council President John Cusick and Peg Ferraro seemed to understand. Cusick noted, "Any time employees come up with ways to save money, they should be encouraged." And Ferraro, after listening to the "I need to do a study" argument, commented that many good ideas "get tangled up in government rules."

This is the smaller government that conservatives claim to like so much. Why not try it?

At Least LVEDC's Phil Mitman Can Laugh

On a Friday in early June, I took a shot at Lehigh Valley Economic Development Corporation (LVEDC). Despite its grandiose name and the bluebloods on its board of directors, it's actually a nonprofit funded mostly by hotel tax revenue from Lehigh and Northampton County. But some of that aristocratic atmosphere made its way to one of its PR people. She tweeted, on their official tweeterer, "We start summer hours today. That means most of the staff leave at noon, many to hit the links. Do you observe summer hours? What do you do?"

I'll tell you what I did. I slammed LVEDC. It's incredibly tone deaf to brag about hitting the links when many LV residents are on reduced wages or laid off.

LVEDC "Business Relations Manager" Steve Althouse predictably took it upon himself, in a mass email, to accuse me (without naming me) of "sensationalism" for accurately reporting what was said. And he got another blogger to dump all over me, which must have been pretty easy.

In most cases, the story would end there. But not this time, Both newspapers sunk their teeth into this story, and ripples were felt all the way to frickin' India.

So LVEDC CEO Phil MItman decided to fix everything by firing the tweeter. That backfired, too. That got the twitterati all lathered up.

Yesterday, I saw Mitman before Northampton County Council's Finance Committee hearing. I was thinking it might be an unpleasant experience, but we both started to laugh when we saw each other. He even introduced me to one of his muckety mucks, who was receiving all kinds of accolades for having lost 45 lbs.

Probably golfing.

"I'm not saying a word to you. It's safer that way," grumbled Phil, who actually started to laugh himself.

"Shouldn't you be golfing?" I asked.

"It's only Wednesday," he answered.

I have to admit that, arisocratic blueblood or not, Phil has a pretty good sense of humor.

Bataan Death March Survivor Finally Gets Some Help ... From Bethlehem Township

Quiet. Unassuming. A man of few words. But Bethlehem Township resident Joe Filko (pictured left) has an incredible story to share with you.

Filko, age 91, is a member of what Tom Brokaw calls "the greatest generation any society has ever produced." Growing up on a farm in Springtown, this athletic young man pitched and played first base for his high school team. Long before soccer was popular, he was a semipro. Even today, he does his own yardwork.

But that's not his story.

Filko worked for over 30 years at PBNE railroad, and after that, ran a gas station from his Easton Avenue home.

But that's not his story, either.

What makes Joe stand out is he is one of the lucky few to survive the Bataan Death March, followed by 3 1/2 years as a POW in both the Philippines and Japan.

Hit by shrapnel and recuperating in a hospital bed, Joe was rousted by Japanese and forced to march the 60 miles from the southern Bataan Peninsula to Camp O'Donnell. Soldiers were beaten, bayoneted and even beheaded by Japanese officers on horseback, testing their samurai swords. "It was pretty rough," Filko quietly states.

For 3 1/2 years, Filko survived on one or two small bowls of rice a day, a food he can no longer eat. He explained that POWs were placed in groups of ten, and if one of them got out of line or tried to escape, all ten were shot.

When Japanese discovered he was a farmer, he was sent to Japan to work in the rice paddies, which might very well have saved his life.

Filko did see General Douglas MacArthur ... once. Ironically, it was on the day MacArthur left Corregidor Island for Australia. "He went for help, but we didn't get it right away," Filko adds, "He left [General] Wainwright, and he was a pretty good man."

General Jonathan Wainwright, who held Corregidor for two months after MacArthur left, is the highest ranking officer to be captured during WWII.

Although he could never bring himself to buy a Japanese car, Filko holds no grudges. "It doesn't bother me," he stoically states.

These days, Filko's battles are with his yard. In addition to his property on Easton Avenue, he has a vacant lot on Flamer Road where trees, instead of artillery, attack. After a recent storm, a few trees went over on what might be the Flamer Road right-of-way, or perhaps Filko's own property. This 91 year-old combat vet was preparing to take them on himself when Bethlehem Township Public Works came by and moved the trees for him.

After seventy years, Filko finally got some help from the government, and right away, too. Bethlehem Township's Public Works Department was unable to do much about Corregidor, but they cleared away a few fallen trees for Filko, who went through hell for us.

Ron Angle, Jr., NOT Cleared in Shoplifting Case

Earlier today, I told you that shoplifting charges against Ron Angle, Jr., have been dropped. I got it completely wrong. I am very sorry to have misinformed all of you.  I declined to allow anonymous comments on my original post, but will allow them here for those who want to take shots at me

Why Dent Voted For Cut, Cap & Balance Act

Although progress in the U.S. Senate on debt ceiling relief probably makes this nothing more than an academic exercise, LV Congressman Charlie Dent joined his GOP colleagues in the House for a party-line vote to support a Cut, Cap & Balance Act. Here's his reason.

“To ensure this country starts living within its means, Congress must make difficult decisions about the future of federal spending. Returning spending to pre-stimulus levels and capping it as a percentage of GDP will help restore fiscal sanity in Washington. Additionally, the concept of a balanced budget requirement is certainly not foreign to Pennsylvanians. It is now time for the U.S. Senate to act. It is imperative that a resolution on the debt ceiling be achieved before the August 2nd deadline. Our fragile economy demands leadership and action. The American people, rating agencies, small businesses and investors want us to do our jobs by putting this country on a sustainable fiscal path while protecting our AAA rating and creating an atmosphere that leads to more jobs.“

At the time, it also happened to be the only plan on the table to solve the debt ceiling crisis, something that Dent detractors fail to note in their condemnations.

Casey, Dent Unbeatable

From LV Poliblog:

"Charles W. Dent perfectly defines the average Demographic of the Lehigh Valley Voter. He is fiscally conservative but compassionate about social concerns. In all honesty, he and Senator Bob Casey are damn near identical in basic ideology."

That's pretty much the way it is. Dent, and Casey statewide, are both unbeatable. They are centrists who veer away from the extremes in their own party.

If the entire Congress were made up of Dent and Casey, there would be no gridlock and we might actually have some bipartisanship instead of extremist rhetoric.

King Edwin For Congress, Too?

My post about LC Dem boss Rich Daugherty's decision to run for Congress has resulted in a few comments touting Allentown Mayor Edwin Pawlowski for that race, too. Like this. "Ed Pawlowski is the most popular D in this area. He's won elections by wide margins and would win another if held today. He's certainly more electable than the other mayor who was simply embarrassing in his lame attempt. Cunningham is incredibly unpopular and could barely get out of the way of a certified nut. It's easy to understand why the haters should be very afraid of a Pawlowski run. He'd win."

Gotta' love that style, which lauds Pawlowski while trashing both Callahan and Cunningham. I guess that's how it's done in Chicago.

But an inside source tells me King Edwin has his eyes on statewide office. That's why he ran for state committee and is soliciting contributions as far away as Altoona.

Ron Angle, Jr., Cleared in Shoplifting Case

Updated 12:03 AM: THIS POST IS ERRONEOUS!

Back in December, when Ron Angle, Jr. was charged with shoplifting, he was tried, convicted and executed in the court of public opinion. When people can post anonymously and refuse to accept responsibility for what they write, things can get pretty vicious in a hurry. You see, Junior's dad is Ron Angle, and that in and of itself makes him a criminal in the eyes of some. Fortunately, our legal system presumes everyone, even people named Ron Angle, is innocent.

Something about these charges never made sense to me. Most problem shoplifters do it alone. But Ron, Jr., was with his girlfriend at the time. I know her. She's a good girl, if I can say something like that without being a sexist. Her Mom and Dad are good people, too. Ron stealing in front of her would be like me eating a twinkie in the middle of a weight watchers' meeting.

Here's the story as explained by Ron, Jr. He and his girlfriend went shopping at Sears. There were no carts or trays to carry things. While she was doing her thing in one part of the store, he was looking at tools. He saw a toolbox he liked, and decided to buy it. He also saw a tool e wanted to buy and put it in the box because he had no tray.

People inside the store were watching on video, and saw Ron, Jr. put the tool into the toolbox. At that point, they alerted cashiers NOT to open the toolbox when he stepped in line to pay.

Ron met up with his girlfriend, and they began checking out. Ron's toolbox was there, and he forgot about the tool inside of it. Now I know of no store that does NOT open boxes when you are at checkout, and the reason for that is precisely because there might be something in there that slipped your mind. I just bought a pair of shoes, and the box was opened at checkout. But this cashier was under instructions NOT to open the toolbox.

After paying their bill, Ron and his girlfriend were seized after exiting the store. In addition to grilling him, she was subjected to several hours of accusations before being released.

Upon hearing the story, Ron offered to get a lawyer for his son, but Junior refused. He told his father he would just go in there and tell the truth. If a judge refused to believe him, it would make no difference whether or not he had a lawyer. In fact, he told prosecuting attorneys exactly what he told his father.

Every time the case came up for trial, it was continued. Finally, in yesterday's mail, Junior received a notice telling him that the case had been dismissed for lack of evidence.

In his hate blog, the Fake Rev condemned Ron, Jr. the moment these charges were revealed, with absolutely no regard for the facts. "Ron Angle Jr. demonstarted [sic] yesterday that he will probably be just like his father. How deplorable!"

Actually, the straightforward way in which Junior handled this situation reminded me of both his father and mother. How sad to see a young man condemned simply because he is an Angle.

Comments on this post are welcome, but you'll have to identify yourself.

Mea Culpa, Mea Culpa, Mea Maxima Culpa: Turns out I isunderstood what I was told yesterday, and that charges against Junior are still pending. My post is premature.