Prime rib for California, a salad for South Carolina

By André Bauer
Lt. Governor of South Carolina

As a fiscal conservative I am not a fan of the current “economic stimulus” bill, however, it is hard to ignore the awful possibility that South Carolina taxpayers could wind up stuck in the salad bar after paying full price for a prime rib buffet.

For openers let me be clear: I support our Governor’s attempt to use additional stimulus money to repay debt. It’s a wise and good use of funds that positions us well for the future.

Clearly, Governor Sanford believes he is doing the right thing, and I don’t for a minute doubt his intentions. This is someone who time and time again has fought for the taxpayers.

But here is where I disagree. If the Administration turns down the Governor’s request, I cannot in good conscience allow South Carolina taxpayers to fund benefits for the other 49 states.

The issue is that my constituents in Seneca are as needy as residents of Sacramento. The same goes for the citizens of Aiken vs. the taxpayers of Austin, or the jobless in Chapin as opposed to the unemployed in Chicago. Whether you live in Beaufort or Biloxi, Spartanburg or Spokane, New Ellenton or New York, Dillon or Denver, the issue is that people are in need and if stimulus is purchased with your dollars, the stimulus ought to be available to you. Why send the money and jobs elsewhere? That is the key point. Citizens in South Carolina, their children and grandchildren, have already been stuck with the bill. Why then punish us now -- when the need is the greatest?

The place we find ourselves is not a reflection of how Mark Sanford believes he is right to exclude more appealing options. The reality is that this developing spat is rooted in the fact that Bill Clinton, Barney Frank, and Chris Dodd sparked a housing crisis by pushing Fannie Mae and Freddie Mac to make sub-prime loans -- no matter how hard Jim DeMint and Lindsey Graham opposed them.

The basic issue is that some people want something for nothing, and politicians respond to constituent demands for pork barrel projects -- that's the heartfelt view of Mark Sanford, who has and will continue to say no. And he is right. But the trouble is that for so many of us, it is easier to dress that up and say that elected officials should fight so that the people who elect them have jobs and are able to feed and educate their children.

So, which is the more principled choice: Say no, pay for prime rib and eat lettuce; or, address the fact that real people are hurting in a state where more than 10% are unemployed, 40% of the kids are on Medicaid, and everyone is watching as their life savings are slashed in half?

The truth is that we are in an economic war, and all resources should be focused on beating this new "enemy" which is killing our jobs and our savings and our futures. Like all wars, when you find yourself in one, fight for your life first and argue principles later. Like they say, there are no atheists in foxholes, and no time for academic political debate there either.

Is this war? Opinion leaders are beginning to conclude that America is indeed in the equivalent of a war footing when it comes to dealing with this economic crisis. Warren Buffett was the first to say it earlier this week. Then yesterday, the New York Times' Tom Friedman declared, "Economically, this is the big one. This is August 1914. This is the morning after Pearl Harbor. This is 9/12." And the Washington Post's Steven Pearlstein added, "What we are facing is the economic equivalent of a war."

All three pundits posed the same question: If we're at war, then why aren't people acting like it? Why isn't the Obama administration, instead of trying to score hits on Rush Limbaugh, doing everything it can to develop a clear and transparent plan to fix the banking crisis? Why are folks on Wall Street engaged in short-selling -- i.e., betting against the economy?

And why is the press covering all of this like a political campaign or expecting that, on Day 52, Obama should have already been able to turn the economy around? Associate Editor David Ignatius of the Washington Post also makes this point: "The culture of immobilism starts on Capitol Hill. These people are still working a four-day week, taking Fridays off so they can run home and tell constituents how diligent they are. They may talk about a crisis, but they don't act like it's real."

It’s real people. It’s very real to 227,986 South Carolinians without a job and having to learn the ins and outs and humiliations of the unemployment lines.

Let’s face it: Washington has failed miserably. As leaders, we must make the best of bad policy. We’ve never experienced anything like this in our lifetimes. It is time to make the tough decision. The principle of winning the war wins the argument.

FORMER DSS FINANCE DIRECTOR INDICTED

United States Attorney W. Walter Wilkins stated today that former Department of Social Services Finance Director Paul Timothy Moore, age 61, of Columbia, and five other individuals were charged in federal Indictments with theft of federal program funds, mail and wire fraud, and conspiracy, for their respective roles in an alleged scheme to embezzle more than $5.2 million dollars from DSS.

The Indictment against Moore alleges that he used his position as the agency’s Finance Director to authorize the issuance of hundreds of DSS checks between May 2004 and October 2008, in the approximate average amount of $7,000.00 each. The checks were made payable to names allegedly provided by a co-conspirator who recruited the named individuals to cash the checks and split the proceeds.

Five other people were likewise indicted for having cashed some of the checks and /or having recruited others into the scheme: Herbert McKie, age 27, Tyra L. Goodson, age 36, Nova Kathleen Johnson, age 40, and Sandra Denease Smith, age 45, all of Columbia; and Calandra Fabary Thomas, age 38, of Aiken.

Moore remains in federal custody.

The maximum possible penalty for theft of federal program funds and conspiracy is ten years and a fine of $250,000.00; mail and wire fraud each carry a maximum possible sentence of 20 years and a $250,000.00 fine.

Mr. Wilkins stated that the case is being investigated by agents of the United States Secret Service and SLED, and that he has assigned the case to Assistant United States Attorney Debbie Barbier of the Columbia office for prosecution.

The United States Attorney stated that all charges are merely accusations and that all defendants are presumed innocent until and unless proven guilty.

Former Latta Mayor Charged with Defrauding SSA

Columbia, South Carolina ---- United States Attorney W. Walter Wilkins stated today that former Latta Mayor Alan L. Berry, Age 57, and Harold J. Kornblut, age 56, both of Latta, South Carolina, were charged in a federal Indictment with theft of government funds, a violation of Title 18, United States Code, Section 641.

Federal agents allege that while Berry was collecting Social Security disability payments from 2004 to 2008, he was also receiving disqualifying salary income as the Mayor of Latta, and from his employment with co-defendant Kornblut at a tax service. Agents charge that Berry directed that his City and tax service paychecks be issued in his wife’s name, so that he could continue to collect disability. Kornblut is charged for his role in knowingly issuing the tax service checks to further the fraud.

The maximum penalty Berry and Kornblut could receive is a fine of $250,000.00 and imprisonment for 10 years.

Mr. Wilkins stated that the case was investigated by agents of the Social Security Administration and that he has assigned the case to Assistant United States Attorney William E. Day, II, of the Florence office for prosecution.

The United States Attorney stated that all charges in this Indictment are merely accusations and that all defendants are presumed innocent until and unless proven guilty.

Loris Man Charged with Cashing Deceased Brother's Checks

Columbia, South Carolina ---- United States Attorney W. Walter Wilkins stated today that Robert Jackson Henderson, age 59, of Loris, South Carolina, was charged in a federal Indictment with theft of government funds, a violation of Title 18, United States Code, Section 641.

Henderson is charged with failing to notify the Social Security Administration when his brother died in 2006, and instead received and cashed approximately $12,600.00 in benefits checks that were mailed to his brother after his death.

The maximum penalty Henderson could receive is a fine of $250,000.00 and imprisonment for 10 years.

Mr. Wilkins stated that the case was investigated by agents of the Social Security Administration and that he has assigned the case to Assistant United States Attorney William E. Day, II, of the Florence office for prosecution.

The United States Attorney stated that all charges in this Indictment are merely accusations and that all defendants are presumed innocent until and unless proven guilty.

McClellanville Man Charged with VA Benefits Theft

Columbia, South Carolina ---- United States Attorney W. Walter Wilkins stated today that Michael D. Head, age 45, of McClellanville, South Carolina, was charged in a federal Indictment with theft of government funds, a violation of Title 18, United States Code, Section 641.

Federal authorities allege that after his father’s death in July 2003, Head failed to notify the Veterans Administration, and instead received and spent approximately $13,000.00 in VA benefits meant for his father.

The maximum penalty Head could receive is a fine of $250,000.00 and imprisonment for ten years.

Mr. Wilkins stated that the case was investigated by agents of the Department of Veterans Affairs and that he has assigned the case to Assistant United States Attorney William E. Day, II, of the Florence office for prosecution.

The United States Attorney stated that all charges in this Indictment are merely accusations and that all defendants are presumed innocent until and unless proven guilty.