Source: Delaware State Treasury
On January 15, 2014, Delaware State Treasurer Chip Flowers proposed the “Honest Way” Amendment to Senate Bill 151, which is aimed at eliminating corruption in managing Delaware’s finances and ensuring public input into the management of the state’s $2 billion investment portfolio.
Senate Bill 151, which is proposed by Governor Jack Markell and his administration, would give the unelected Cash Management Policy Board (the “Cash Board”), comprised mainly of the Governor’s appointees, the ability to allocate the state’s $2 billion investment portfolio without rules, protection or oversight from the Treasury or the People of Delaware. Senate Bill 151 would also exempt the unelected Cash Board from laws requiring public input on the Cash Board’s decisions on Delaware’s money.
The bill also eliminates critical safeguards that are designed to protect Delaware money from corruption and undue influence. Also, the legislation would force the Treasury to allocate Delaware’s money to banks, not based on independent expert advice or merit, but on the advice of the unelected Cash Board who may have a personal or financial interest in the chosen banks. State Treasurer Flowers and the Delaware State Treasury oppose Senate Bill 151 without the inclusion of the Honest Way Amendment.
Proposed by State Treasurer Flowers, the “Honest Way” Amendment adopts the following four (4) key features into the operations of the unelected Cash Board:
Financial Disclosure. Under the Honest Way Amendment, those serving on the unelected Cash Board would need to disclose their financial interest like other public elected officials. It is important that members of the Board do not have any conflicts of interest when managing the state’s $2 billion investment portfolio.
Political Contributions. Under the Honest Way Amendment, the unelected Cash Board members would be prohibited from giving political contributions to those key elected officials involved with the state’s finances – specifically, the Governor, Treasurer, Speaker of the House and Senate Pro Temp and any individual seeking to hold those offices.
Term Limits. Under the Honest Way Amendment, the unelected Cash Board members would serve a maximum of two four (4) year terms. This would ensure that the Board doesn’t abuse and amass more power than those elected officials selected by the People to manage the state’s finances through the ballot box. Some of the current members of the Board have been serving since 1980.
Open Government. Under the Honest Way Amendment, the unelected Cash Board must be subject to open government and public oversight, no exception. The very reason why we have open government and public oversight laws is to prevent individuals from acting inappropriately.
Support State Treasurer Flowers and the Delaware State Treasury in restoring integrity in our government by supporting the Honest Way Amendment!
CLICK HERE to view a video clip of the press conference where Treasurer Flowers Proposes the “Honest Way” Amendment.
To view the Honest Way Amendment on the Treasury’s website, please click here. If you have any comments or questions, please do not hesitate to contact your Delaware State Treasury at (302) 672-6700 or visit treasury.delaware.gov.
