Archive for the ‘Media Coverage’ Category

Treasurer candidate lauds state Finance Dept. decision (The News Journal)

Tuesday, January 26th, 2010

Last August, I had the opportunity to submit a Delaware Voice piece highlighting my strong opposition to eliminating the Delaware Department of Finance in the current economic climate.

Last week, the Jack Markell administration announced its decision not to eliminate the department, and I want to commend the administration, members of the General Assembly, labor unions and those other organizations and individuals responsible for the decision to preserve this important resource for our state government.

While the quest for efficiency in government is critical in these turbulent times, we must remember that the fundamental role of our state government is to employ those resources necessary and proper to protect and promote prosperity throughout Delaware.

We must continue to seek efficiencies. Preservation of the Department of Finance is the initial step in determining the roles that each of our financial agencies and departments should have as we emerge from the depths of this recession.

As a candidate for state treasurer, I will continue to promote an ongoing discussion on how to revamp the state’s financial offices – the Treasurer’s Office, Department of Finance, the Office of Management and Budget and the Delaware Economic Development Office – in a way that will enhance state revenues and position our state government to meet the economic challenges of the 21st century.

Chip Flowers
Middletown

Three candidates are now campaigning (The News Journal)

Friday, October 30th, 2009

Treasurer wants to remain in state job

3 candidates are now campaigning

By Ginger Gibson

The race for state treasurer got a little more crowded Tuesday when a third candidate tossed her hat into the ring.

Democrat Velda Jones Potter, who was appointed to the seat after Gov. Jack Markell vacated it, said she will seek the office next year. When appointed, Potter said she wouldn’t run for the office in 2010.

“When I was appointed, I was very specific in wanting to be doing the job that I was asked to come in to to do,” Potter said. “I didn’t have a preconceived notion about what the future would hold.”

Potter will face a primary against Wilmington corporate attorney Chip Flowers. Flowers said when he filed that he expected the seat to be open based on Potter’s previous statements. But Flowers said he’s looking forward to a primary on the issues.

Flowers added that he hoped other elected Democrats and the state party will let the voters decide and not not endorse or fund either campaign.

Potter said her decision to run is based on seeing the projects being undertaken in the office, like trying to eliminate the number of paper checks that are written.

“I’m really excited about the work that I’m doing and looking forward to the opportunity to continue,” Potter said. “Our vision is talking about revamping this office and making it relevant to the people of the state.”

Flowers said his campaign hinges on wanting to transform the treasurer’s office into an economic development engine.

Republican state Sen. Colin Bonini is also vying for the job and remains without a primary opponent.

Flowers to face primary opponent for State Treasurer (Dover Post)

Friday, October 30th, 2009

Markell appointee, Dover senator to run for treasurer

By Doug Denison

Dover, Del. – State Treasurer Velda Jones-Potter confirmed this week she will run to keep the post she was appointed to when Gov. Jack Markell vacated the office in January.

Next year Jones-Potter will face off against one other Democrat, Wilmington corporate lawyer Chip Flowers, in a primary election. The victor most likely will be pitted against Kent County Republican Sen. Colin Bonini, the only member of the GOP in the race so far.

“I certainly was honored with the appointment and have been honored to serve in these months since,” said Jones-Potter. “We’ve done some really good things during my short tenure here and I’m really looking forward to the opportunity to build on some of the things we’ve put in place.”

The former MBNA and DuPont executive is particularly proud of her agency’s efforts to reduce the number of paper checks issued by the state, which increases efficiency and cuts operational costs.

“We are scrutinizing in a very refined way our operations and looking for efficiencies throughout our organization, and reaching out to and working with agencies to do that,” she said.

But agency-level belt tightening isn’t enough for Bonini, who garners attention each budget session for voting against the state’s yearly spending measure.

The fiscally conservative senator said he wants to take the treasurer’s office in another direction, beyond a purely administrative role.

“In addition to the financial housekeeping I think the state treasurer needs to be the voice for fiscal sanity in Delaware and that is what I plan on making it,” he said. “This is absolutely not a traditional state treasurer’s race.”

Bonini added that while cost-cutting measures are great, the treasurer needs to take a broader look at state spending.

“Delawareans in my opinion need to know where every single penny of their tax dollars are going, and when I think it’s being misspent, I’m going to tell them,” he said. “I think an independent statewide elected official has the opportunity to do that.”

Jones-Potter said that she’s also in favor of keeping a close eye on spending across state government.

“I frankly tend to be quite frugal when it comes to spending, and I do think there’s a place and an opportunity for us where we see spending by other agencies that we feel could be better managed and where savings are possible to encourage and work with them to help make that happen,” she said.

Flowers, who announced his candidacy in August, said he too wants the treasurer to play a bigger part in shaping the state’s fiscal policy.

“Our campaign is focusing on the need to revamp the state treasurer’s office to give it a stronger role in shaping our economic development strategy to restore prosperity to the First State,” he said in a statement.

The Middletown resident also said he’s not worried about running against an incumbent.

“We welcome Velda Jones-Potter into the race and look forward to an exciting debate on the important role the state treasurer must play in strengthening Delaware’s finances in the 21st century” he said.

Bonini acknowledged that while his background in finance is not as robust as his opponent’s, he has more than enough experience with the state budget.

“I think my record as a fiscal watchdog is unblemished and it’s a perfect match for me,” he said. “I haven’t had specific finance jobs, I’m not a stock broker, but I certainly have plenty of private sector experience, and I understand the state budgeting process pretty darn well.”

Currently, Bonini sells surety bonds for Delmarva Underwriters, based in Dover, and is a marketing representative for a New Jersey civil engineering firm.

The senator also said he’s optimistic that he’ll be the only Republican in the treasurer’s race.

“At this point there haven’t been any Republican challengers and I don’t think we’ll have any because it’s such a good match for me,” he said. “And to have an incumbent state senator who wants to run, I think the party will be pleased.”

The time has come — negotiate a sports betting deal (The News Journal)

Wednesday, October 7th, 2009

DELAWARE VOICE

By Chip Flowers

Last Tuesday, the U.S. Court of Appeals for the Third Circuit dealt a near-fatal blow to the prospect of Delaware extending its sports betting beyond National Football League parlay bets. The decision leaves Delaware with only one remaining legal option — a direct appeal to the U.S. Supreme Court — which most observers believe could have a negative outcome even in the unlikely event that the Supreme Court elects to consider the case.

After months of expensive legal maneuvering, hardening positions, and sanctions from collegiate sporting authorities, a critical opportunity has now arisen to broker a deal with the professional leagues and the National Collegiate Athletic Association that could have a significant economic benefit for Delaware. After all, until the Supreme Court makes its final determination on the state’s appeal, both sides stand to lose. So, from an economic and financial perspective, both sides might now pause (and take a break from paying legal fees) and seek a deal that could benefit everyone — the professional and collegiate sporting authorities, the state, racinos and most important, Delaware citizens.

Before any deal can be achieved, the parties must understand two factors. One, the risk of an unfavorable outcome increases for all parties if this political debate continues in the legal forum. Two, cooperation, not opposition, should serve as the key to resolving the predicament. Failure to understand these factors could undermine any hope for a negotiated settlement.

While I am not privy to the internal discussions among the involved parties, I wish to offer a few ideas that could serve as the cornerstone of a deal that could satisfy all interests.

First, recognizing that the professional and collegiate sports associations oppose sports betting, an economic value has been created by their desire to restrict the activity. In other words, those associations could benefit by making an annual payment to Delaware in exchange for eliminating sports betting or restricting the type of sports betting permitted. Delaware now expects to receive only $6.7 million per year in direct and associated revenue from sports betting. That’s about $210,000 per NFL team. If the amount were spread among all major pro sports franchises (not to mention NASCAR and the NCAA), the annual expense could drop to under $50,000 per team — a figure so small that a pro franchise would have an economic incentive to sign the deal rather than risk being thrown for a loss in court.

Second, to make the deal more attractive to Delawareans and a Legislature in desperate need of revenue sources, the pro leagues could offer to hold certain events in Delaware, for example, preseason games or the NFL scouting combine. Such measures would bring in jobs, stimulate local businesses, and serve a growing market for sports, while simultaneously increasing state revenues.

Third, the state could dedicate a portion of any annual payment as compensation to the racinos for some of the $15 million they invested in facility improvements in anticipation of sports gambling revenues. There’s no reason for the racinos to recover their entire investment, as some of these facilities can be converted into sports bars, restaurants and extra square footage for table games (each adding economic benefit to the state). But there’s good reason to consider some compensation for costs that can’t easily be recouped.

Fourth, the NCAA would remove the gambling-related ban it imposed this year on Delaware schools hosting collegiate playoff events.

Finally, there’s the issue of legal fees, since the professional leagues and the NCAA did spend significant money fighting Delaware in court. If the leagues and NCAA are amenable to negotiating rather than litigating, the state could offer them a credit against the annual payment to partially offset their legal fees. Such a credit could “encourage” lawyers for the professional and collegiate sports associations to advise their clients not to oppose the deal.

Suggestions like these could provide a way to put this unfortunate saga behind us. While opportunities may have been missed, we must not pass up this final chance for a negotiated settlement.

Given the state’s winless legal record in sports betting, we have nothing to lose by negotiating a deal that could accomplish our goals and shift our energies and resources to more important matters facing the people of the First State.

Powerful champion for the powerless (The News Journal)

Friday, September 4th, 2009

Innate ability to compromise made Kennedy a dealmaker

By Beth Miller

U.S. Sen. Edward M. “Ted” Kennedy Sr. — the “liberal lion of the Senate,” who was raised in power, crippled by scandal, and later regarded by many as the most effective political force in the Senate in the past 25 years — died late Tuesday, 15 months after his diagnosis with a cancerous brain tumor.

Kennedy, 77, died with friends and family at his side at what is known as the Kennedy Compound in Hyannis Port, Mass.

The seven-term Massachusetts senator championed the rights of the powerless and marginalized, pushing reforms in housing, civil rights, education, health care, and employment. He fought for COBRA — the health care insurance provided for those who are between jobs — and to extend Medicare benefits that covered prescription costs for the elderly.

It was people Kennedy cared about, said Vice President Joe Biden on Wednesday — not just the masses, but individuals.

“It was never about him,” Biden said in a speech Wednesday at the Department of Energy. “He was always about you. … I think the legacy he left is not just in the landmark legislation he passed, but in how he helped people look at themselves and look at one another.”

Wilmington attorney Chipman Flowers said Kennedy’s support for public service was most significant to him.

“We lose that sometimes in the health care debate and civil rights,” said Flowers, who met Kennedy while working in Washington and as a student at Harvard University’s Kennedy School of Government a few years ago. “He was a true champion for public service, ensuring that people like me had a chance to get involved. … When he spoke, something moved you — and I think for people who did not know him personally sometimes that was lost in the issues, too. He had that Kennedy spirit.”

Kennedy was the last — detractors would say the least — of three brothers who personified not only the powerful Kennedy dynasty but also the Democratic Party in much of the last half century.

And while he lived in the perpetual shadow of his brothers — President John F. Kennedy and California Attorney General Robert F. Kennedy, both of whom were assassinated in the 1960’s — his greatest contributions came in the political trenches of the Senate, where deals are made and faces saved. There, he reached beyond sometimes-sharp political differences and demonstrated a masterful ability to steer polar opposites to consensus.

He was a mentor to President Barack Obama and his endorsement of Obama’s candidacy in January 2008 helped propel the young Illinois senator to the White House past his better-connected Democratic opponent Hillary Clinton.

And that, in turn, put a longtime Delaware senator and Kennedy ally — Biden — in the White House.

“I literally would not be standing here were it not for Teddy Kennedy,” Biden said.

Kennedy was an iconic liberal, whose views often chafed conservatives, fueled hours of air time for talk-show hosts and blinded some to his ability to build bridges and mend fences.

It was on a bridge at Chappaquiddick, Mass., in 1969 that his best political ambitions perished, along with the young woman — Mary Jo Kopechne — who was a passenger in his car when he drove off the bridge. He swam to safety, but did not notify authorities of the accident until the next day, when her body was found in the vehicle.

The Chappaquiddick scandal, a reputation for womanizing, heavy drinking and his vigorous defense of younger Kennedys caught in their own personal scandals caused some to dismiss him as a lightweight playboy unable to exercise personal restraint and unworthy of their confidence.

Many Catholics — who had celebrated the rise of his brother, John, to the presidency — turned against Ted Kennedy after Chappaquiddick and due to his support for abortion rights.

Mentor, friend to Biden

But in 1972, Kennedy reached out to help another young Irish Catholic with political aspirations — Biden — win his race for the U.S. Senate seat held by Republican Caleb Boggs. Delaware voters re-elected Biden six times, including last November when the Obama-Biden ticket won the White House.

“Every important event in my adult life … every single one, he was there. He was there to encourage, to counsel, to be empathetic, to lift up,” Biden said.

Biden recalled a visit to Delaware that Kennedy made to help him win the 1972 election, and said Kennedy was supportive as he stood vigil at a hospital with his sons, injured in the car accident that had killed Biden’s wife and daughter.

“He was on the phone with me literally every day in the hospital,” Biden said. “… I’d turn around and there would be some specialist from Massachusetts, a doc I never even asked for, literally sitting in the room with me. And you know it’s not just me that he affected like that — it’s hundreds upon hundreds of people.”

U.S. Sen. Ted Kaufman, Biden’s longtime chief of staff appointed by Gov. Ruth Ann Minner to fill Biden’s seat through 2010, remembered another such incident after one of Biden’s aneurysm surgeries in 1988. A decision was made then that Biden would go into total seclusion, Kaufman said, taking only the calls of family or close friends.

“One day, there is a knock on the door of his home, and it’s Senator Kennedy,” Kaufman said. “He had gotten on the train and, without telling anybody, just came up to see him.”

That personal touch was a Kennedy signature, Kaufman said.

“It was notes, flowers, phone calls — that’s the way Kennedy operates,” Kaufman said. “It always embarrassed me. I could never figure out how to do all the things he did…. You know that saying that people can be so concerned about the world and the world’s problems that they can’t focus on individuals. Sen. Kennedy was passionate about the world’s problems, but also incredibly empathetic with individuals.”

The trait was key to his effectiveness as a legislator, too, a role he embraced differently after his unsuccessful presidential campaign in 1980. He believed he could beat incumbent Democrat Jimmy Carter, but struggled with the ghosts of his past and with his message.

“I was surprised when I heard him speak during that campaign,” said Republican Pete du Pont, who was Delaware’s Congressman from 1971-77, its governor from 1977-85, and made his own run for president in 1988. “In the Senate, he had a vision that everyone always understood, that he always argued. But in his presidential campaign, he didn’t do a good job at that. After that campaign, I think he began to pull himself together better.”

A ‘critical fulcrum’ in Senate

Joseph Pika, an expert on the American presidency and a professor of political science at the University of Delaware, agreed that the 1980 campaign was a turning point.

“After that, he became this critical fulcrum in the Senate, someone who understood how far you could go in negotiations and bargaining,” Pika said. “He was trusted by his liberal colleagues, who knew that when he made a compromise with the Republicans there was nothing more that he could get out of the discussions and bargaining.

“And he was respected on the Republican side — and we’re hearing a lot of that now — from senior Republicans who seemed genuinely fond of him. … That doesn’t mean he wasn’t on the losing side of a lot of things. It was not uncommon to find him in the minority with 20 votes. But on the whole, he was someone that Republicans realized they could work with.”

Kennedy lured Republican Russell Peterson, Delaware’s governor from 1969-73, from his role as head of the Presidential Council on Environmental Quality under President Gerald Ford, to become the head of the Office of Technology Assessment of the U.S. Congress. The office was tasked with advising Congress on the long-term impact of pending decisions on the environment, economy and other political and social issues.

Peterson said Kennedy was chairman of the board, which had drawn sharp criticism that the 12-man board — six Democrats and six Republicans from the House and Senate — was purely political. Kennedy wanted Peterson for his liberal tilt, credentials as a chemist, and Republican affiliation. Peterson, who is now a Democrat, said he would take the job if he had the power to hire and fire and do what was required to shed the reputation of the board.

When Peterson later got rid of several staffers, some board members — including former Alaska Sen. Ted Stevens — were angry. Peterson, now 93, recalled Stevens’ threat.

“Who the hell do you think you are? You report to us, we don’t report to you. If you push this thing, I’m going to cut your budget in half,” Stevens reportedly told Peterson.

“Senator, I’d rather have half the budget and a credible organization than twice the budget and nobody paying attention to me,” Peterson said.

Kennedy soon told Peterson he would have to renege on the hiring-firing authority originally granted.

“And I said, ‘OK, I’m resigning right now then and I’ll notify the press what the hell is going on in this organization,’ ” Peterson said.

When Kennedy was unable to budge Peterson, he told him he would go back to Stevens.

That deal apparently was struck, Peterson said, because at the board’s next meeting Stevens was among those voting unanimously to approve Peterson’s decision.

Peterson said he felt sorry for Kennedy and the personal problems he had.

“I personally didn’t weigh some of these things as heavily as most people did,” Peterson said. “But I felt sorry for him. He would certainly have become president if not for that. … And I think he would have made a good president.”

Instead, Massachusetts voters sent Kennedy back to the Senate, where he was in his 47th year when he died Tuesday.

Biden and Kennedy were fast friends and regular allies in the Senate. Both chaired the Senate Judiciary Committee, where they grilled Supreme Court nominees together. They also crossed party lines when they believed the issues warranted such action — Kennedy most notably with the No Child Left Behind education reforms of President George W. Bush.

Sen. Tom Carper said he got a cool reception from Kennedy after he became a senator in 2001. They had differed when Carper was Delaware’s governor.

“We didn’t really lock horns, but we didn’t see eye to eye on education,” Carper said.

So Carper asked to meet with Kennedy, and was invited to lunch in Kennedy’s “hideaway” in the Capitol. The hideaway reminded Carper of the Kennedy library, with photographs of John Kennedy, Bobby Kennedy, their families, and all sorts of campaign paraphernalia.

“He gave me a guided tour, which I’ll never forget, and then we talked — not so much about issues, but about what we thought was important,” Carper said. “I’m not going to say we were best friends, but it kind of cleared the air for us. I will always remember that day and treasure it.”

Liberal, loud and committed

To the last, Kennedy was a political realist. He could count votes and he knew the health care legislation he had long sought could be foiled by his own grave illness if he was unable to cast his vote.

He urged Massachusetts lawmakers and Gov. Deval Patrick to change state law to allow an interim appointment in the event the seat became vacant. He also urged the governor to get an “explicit personal commitment” from his appointee not to seek the office on a permanent basis.

Such deals, attempted deals, and rumors of deals added no small amount of cynicism and conspiracy theories to the public debate on how those in power manipulate the political system to the exclusion of voters.

Some raised those questions again after last November’s election, when Minner appointed Biden’s chief of staff to Biden’s senate seat. Kaufman vowed not to run for the office in 2010, and by then, cynics and other observers said, Biden’s son Beau — the state’s attorney general — would be home from his deployment to Afghanistan with the Delaware Army National Guard.

Without such an appointment, Kennedy’s seat will remain vacant until a special election is held at least five months from now — beyond the coming debate over health care reform.

“It’s sad and almost tragic that his own health prevented him from participating as he wanted to on health care reform,” Carper said. “In the year when we turned our full attention to improving the quality of health care, his voice has been missing from the debate and, more important, his leadership has been missing — the interpersonal relationships.”

That was Kennedy’s trump card.

“He was liberal and loud and committed to the least among us,” Carper said. “And he had an uncanny ability to work across the aisle and get a lot done for all of us.”
Additional Facts
IN MEMORY

Following President Barack Obama’s order to lower United States flags to half-staff in honor of Sen. Edward Kennedy, who passed away Tuesday, Gov. Jack Markell has ordered all Delaware flags lowered to half-staff through Sunday.

Don’t eliminate our finance department (Sussex Countain)

Friday, September 4th, 2009

By Chip Flowers

With Delaware struggling through the most serious recession since the end of World War II, Gov. Jack Markell has made a startling proposal: to eliminate our state Department of Finance.

Surprisingly, the proposal, which calls for eliminating only one job (the secretary of finance) and shifting the department’s three divisions (Revenue, Accounting and the Lottery Office) elsewhere in state government (the governor hasn’t said where) has stirred little discussion.

Perhaps that’s because the General Assembly, exhausted from dealing with $800 million in budget cuts, is out of session and welcomes a break from financial discussions. Perhaps it’s because the state’s finance leaders — the secretary of finance, the directors of the Office of Management and Budget and the Economic Development Office, the Economic and Financial Advisory Council chair and our treasurer — were appointed by Markell.

Regardless, it’s important that voices outside the administration speak up before the General Assembly decides whether to approve it. After all, it’s reasonable to question whether it’s prudent to eliminate the Department of Finance with the state in the eye of an economic storm.

Though I admire the governor’s spirit in challenging the status quo, I’d like to offer three arguments against dismantling the department.

First, in times of economic crisis, the secretary of finance should be governor’s primary financial advisor. Placing emphasis on eliminating the finance department has misdirected energy, crippled an important resource and depleted the political capital of its leader. While the current governor may elect not to use the department and its secretary (which is well within his right), it does not mean future governors would downplay this important cabinet figure.

Second, it will not result in significant cost savings. For now, it appears that many state employees would be relocated to save one or two salaries and to claim that an entire department was eliminated. Saving the finance secretary salary does not outweigh having a trusted advisor at the decision-making table. In an economic crisis, we must not sacrifice leadership in the name of minimal cost savings or efficiency.

Finally, it would remove a check and balance. Like weights on a scale, our finance secretary, agency directors, advisory councils and state treasurer offer independent analysis of the state’s economic status. Removing a weight from the scale and changing the reporting structure will fundamentally shift the delicate balance that supports the financial structure of our government.

Eliminating a department at the whim of any governor would place our government in a state of flux and could encourage talented staff to seek more stable employment.

In any debate, we must be open to new ideas, including revamping departments. However, this department deserves to remain as a pillar in our state’s financial system.

Chip Flowers, a graduate of John F. Kennedy School of Government at Harvard University, is President and Managing Member of The Flowers Counsel Group, LLC, a corporate law firm based in Wilmington.

Political analyst is running for office (WILM)

Thursday, August 13th, 2009

Chip Flowers files papers to run for the Democratic nomination for State Treasurer next year.

By Ted Efaw
Attorney, and Business-owner, Chip Flowers has taken the first step. He’s filed the paperwork needed to run for the Democratic nomination for State Treasurer. Flowers says he’s running for several reasons, “As you know, our state is plagued by numerous economic challenges. We’re seeing an increase in unemployment, and state budget shortfalls, we need to revamp the state treasurer’s office to give it a stronger role.” Flowers kicked off a “Restoring Prosperity Tour” in Sussex County Thursday. The Middletown Democrat founded the Flowers Counsel Group in Wilmington. He was a member of the Delaware delegation to the 2004 Democratic National Convention and is a board member of numerous civic and cultural organizations. Flowers also served as a Democratic Analyst for WHYY-TV.

Flowers to run for state treasurer (WDEL)

Thursday, August 13th, 2009

By Mike Young

A Wilmington attorney is throwing his hat into the 2010 State Treasurer’s race.

Democrat Chip Flowers is founder of the Flowers Counsel group, which specializes in procurement law and mergers and acquisitions.

Flowers says he wants the Treasurer’s Office to take a more active role in turning around the Delaware economy.

He wants the Treasurer’s Office to invest more state money into local businesses to help grow the local economy.

He also wants to set up an economic development office within the Treasurer’s Office.

Flowers wants to make the Treasurer’s Office which would evaluate revenue issues such as the impact of expanding gambling in Delaware.

Candidate wants to restructure treasurer’s office (WHYY)

Thursday, August 13th, 2009

By Mark Eichmann

Saying Delaware needs to restructure the state treasurer’s office, Democrat Chip Flowers of Middletown filed papers today with the Department of Elections. He says he’s running for the office in order to give the state treasurer a stronger role in Delaware’s economic development.
In a letter to State Democratic leaders, Flowers says, “Unlike our sister states, Delaware has not structured the state treasurer’s office to help our state master the economic challenges of the 21st century global economy and assist other state offices and agencies in bringing secure, high-paying jobs to Delaware.”

Flowers is the founder of the Flowers Counsel Group, which specializes in advising businesses in major purchases, with offices in Philadelphia, Boston, and Washington, D.C.  He has appeared many times on WHYY as a Democratic analyst.