Where Do Non-Profits End And For-Profits Begin?

The Indiana Economic Development Corporation announced today it was awarding up to $1.2 million in conditional tax credits and more than $100,000 in job training grants to two IT start-up companies in Carmel launched by tech entrepreneur Scott Jones. The companies are called Eleven Fifty Academy and Eleven Fifty Consulting. Reading further into the press release, I realized that Eleven Fifty Academy is actually a non-profit educational organization focused on providing low-cost computer coding and professional training for future IT workers. Eleven Fifty Consulting is a for-profit company that provides website and mobile app coding services to businesses. Presumably, the tax credits are being awarded to Eleven Fifty Consulting since its non-profit counterpart pays no taxes. The IEDCs press release, however, speaks of the two entities as if they're interchangeable, further blurring the lines between the worlds of non-profit and for-profit companies.

One Reporter Is Talking About Jeb's CIA Past

There's very few true investigative reporters left in the United States who aren't on the payroll of the military/industrial complex and Wayne Madsen is one of those guys. Madsen told you nearly a decade ago about then-House Speaker Dennis Hastert's horrific past as a pedophile while working as high school teacher and wrestling coach, while other reporters scoffed at his reporting. He's the only reporter who bothered to research Barack Obama and his reputed family members to uncover their extensive ties to the CIA, which would foretell a foreign policy he would pursue indistinguishable from his predecessor, George W. Bush. And he's one of the few investigative journalists who has doggedly reported former President George H.W. Bush's ties to the intelligence agency long before he was named its director, including his ties to the Bay of Pigs fiasco and ensuing assassination of President John F. Kennedy.

Not surprisingly, the mainstream media amidst the announcement of yet another Bush family member laying claim to the White House is not reporting what Madsen has uncovered about Jeb Bush's ties to the CIA dating back to his first job fresh out of college after earning his bachelor's degree from the University of Texas in two and a half years. It seems Jeb (real name "John Ellis") may have been working under non-official cover ("NOC") for the CIA when he landed his first real job at the age of 24 as a branch manager and vice-president for the Texas Commerce Bank in Caracas, Venezuela, a job he landed with more than a little help from Pappy Bush. TCB was founded by his father's old pal, James Baker, and included among its board members the likes of former President Gerald Ford, Lady Bird Johnson and even the infamous Ken Lay. Madsen uncovered a letter Jeb wrote to Robert Gambino, then-Director of Security for the CIA on June 7, 1977 following an extensive briefing he received from Gambino while working for TCB in Venezuela. TCB was the primary lender Bush's Zapata Offshore Oil relied upon for loans. Three of its ships were loaned to the CIA to covertly carry out the failed Bay of Pigs Invasion, code named Operation Zapata.

Madsen observes that TCB sold a skyscraper that housed its bank headquarters in Houston to Sheik Khalid bin Mahfouz, the head of the National Commercial Bank of Saudi Arabia in 1985. Mahfouz, who lived in the same Houston neighborhood as the elder former president, has been linked to Osama bin Laden and the network supporting the 9/11 terrorists, just one of many juicy tidbits that remain undisclosed in 28 classified pages of a Senate Intelligence Committee report on 9/11. Mahfouz died suddenly at the age of 59 in 2009. Madsen has a lot more about Jeb's nefarious work in Venezuela and the very bad company he kept there and when he later moved to South Florida to launch his meteoric real estate career and his own political career with more help from his daddy's old CIA hands. Read more about Madsen's reporting the mainstream media doesn't want you to know about by clicking here. Madsen never disappoints. The Justice Center Project's Andrew Krieg has more here, which is worth a gander as well.

Indianapolis Star Has Another Featured Story Promoting Drinking

I don't profess to understand all that drives the news reporting at the Gannett-owned Indianapolis Star, but quite clearly a top priority of the newspaper is to promote to its readers the consumption of alcohol. Today, reporters Amy Haneline and Will Higgins share a story about a drinking tour they recently took of 10 Indianapolis bars offering "drinking nostalgia." Again, I have nothing against drinking alcohol in small, measured amounts, but I don't think the media should be encouraging us to drink alcohol anymore than I would expect it to promote us lighting up cigarettes or popping pills to calm our nerves or feel better. There's hardly a day that goes by that the newspaper is not promoting alcohol consumption in one form or another. Why? Does going out and tying one on every night lead to better health and stronger families? A lot of people struggle with alcoholism, and The Star isn't making life any easier for those folks.

South Bend Mayor Pete Buttigieg: I Am Gay

South Bend Mayor Pete Buttigieg (D) in a column in today's South Bend Tribune has revealed to his city's residents that he's gay. Buttigieg believes with the U.S. Supreme Court set to issue a ruling on same-sex couples' right to marry any day now, the time was right to discuss his sexual orientation. Buttigieg, who is seeking re-election this year, says he had already come out to his family and friends. Here's an excerpt of what he wrote in his coming out column:

. . . I was well into adulthood before I was prepared to acknowledge the simple fact that I am gay. It took years of struggle and growth for me to recognize that it’s just a fact of life, like having brown hair, and part of who I am.

Putting something this personal on the pages of a newspaper does not come easy. We Midwesterners are instinctively private to begin with, and I’m not used to viewing this as anyone else’s business.

But it’s clear to me that at a moment like this, being more open about it could do some good. For a local student struggling with her sexuality, it might be helpful for an openly gay mayor to send the message that her community will always have a place for her. And for a conservative resident from a different generation, whose unease with social change is partly rooted in the impression that he doesn’t know anyone gay, perhaps a familiar face can be a reminder that we’re all in this together as a community.

Whenever I’ve come out to friends and family, they’ve made clear that they view this as just a part of who I am. Their response makes it possible to feel judged not by sexual orientation but by the things that we ought to care about most, like the content of our character and the value of our contributions.

Being gay has had no bearing on my job performance in business, in the military, or in my current role as mayor. It makes me no better or worse at handling a spreadsheet, a rifle, a committee meeting, or a hiring decision. It doesn’t change how residents can best judge my effectiveness in serving our city: by the progress of our neighborhoods, our economy, and our city services.

We’re moving closer to a world in which acceptance is the norm. This kind of social change, considered old news in some parts of the country, is still often divisive around here. But it doesn’t have to be. We’re all finding our way forward, and things will go better if we can manage to do it together. In the wake of the disastrous “Religious Freedom Restoration Act” episode here in Indiana earlier this year, we have an opportunity to demonstrate how a traditional, religious state like ours can move forward. If different sides steer clear of name-calling and fear-mongering, we can navigate these issues based on what is best about Indiana: values like respect, decency, and support for families — all families.

Like most people, I would like to get married one day and eventually raise a family. I hope that when my children are old enough to understand politics, they will be puzzled that someone like me revealing he is gay was ever considered to be newsworthy. By then, all the relevant laws and court decisions will be seen as steps along the path to equality. But the true compass that will have guided us there will be the basic regard and concern that we have for one another as fellow human beings — based not on categories of politics, orientation, background, status or creed, but on our shared knowledge that the greatest thing any of us has to offer is love.

I believe Buttigieg becomes the first Indiana mayor to openly acknowledge he's gay while serving in office.

Hogsett Rolls Out Latest Ad

Indianapolis Democratic mayoral hopeful Joe Hogsett has rolled out his second TV ad of this campaign season. This one talks about a serious car accident in which his father was involved when he was six years old. This experience allows him to know what it's like for a family of four to struggle to survive according to the candidate's message. He promises to deliver a message for making Indianapolis stronger during his campaign.

Republican mayoral candidate Chuck Brewer released a YouTube clip, which is apparently crafted as a Chamber of Commerce-like message encouraging out-of-state businesses to choose Indianapolis. It is not airing on Indianapolis TV stations. He says he was born in Connecticut, joined the military, has lived all around the world, you don't have to live with higher taxes (although that's precisely what the current Republican occupant of the mayor's office has chosen to do repeatedly over the past seven and a half years) and that's why he chose Indianapolis to locate his business. You can view it by clicking here. The coding does not permit me to share it on this blog.

Indiana Lawmakers Block Bad Trade Deal, But Not Necessarily For The Right Reason

The House of Representatives voted overwhelmingly last week on a 126-302 vote against passage of a key provision of President Barack Obama's Trans-Pacific Partnership trade agreement that virtually everyone agrees will be a big job killer for American workers. The provision voted down provided welfare assistance to those workers lawmakers know will lose their jobs as a result of a trade deal brokered to benefit large multi-national corporations and their international banking friends. Only 40 Democrats and 86 Republicans voted for the government assistance to displaced workers' portion of the trade pact voted down by members as a way of expressing their displeasure with the deal in one form or another.

Three Republican lawmakers from Indiana, including Reps. Susan Brooks, Luke Messer and Todd Rokita, support the trade pact unconditionally and voted for the government assistance program. The rest of the Democratic and Republican lawmakers from Indiana voted against providing financial aid to displaced workers. Rep. Todd Young (R), who supports the underlying trade deal, voted against financial aid to displaced workers based on philosophical differences against government assistance in general according to the Indianapolis Star. Both Democratic members of Indiana's congressional delegation, Pete Visclosky and Andre Carson, oppose the trade deal, although Carson was one of six members absent for Friday's vote. The portion of the legislation allowing for fast track approval of the trade deal passed the House narrowly by a vote of 219-211. Only Visclosky and Carson voted against it, while the state's 7 Republican members all voted for it.

Without the displaced workers assistance, the fast track authority cannot advance. Democrats abandoned President Obama in droves due to concerns raised by labor groups. Even House Minority Leader Nancy Pelosi voted to block its passage by registering a no vote on the displace workers assistance portion. It is quite interesting to see President Obama rely so heavily on Republicans to bail him out on a trade deal that promises to do so much harm to American workers. Who would have thought President Obama would become a president who constantly sides with big business interests over ordinary workers, who have not benefited at all from the anemic economic growth during his two terms as president following the 2008 Great Recession? One thing we know for certain is that whenever the United States enters into a trade agreement with other countries to make the buying and selling of goods across borders easier, it's always a windfall for multi-national corporations that comes at the expense of American industry and jobs.

Private Lottery Contractor Made A Bad Deal So State Rewrites Contract

UPDATED: Former Gov. Mitch Daniels' administration awarded a 15-year deal to GTECH to operate the Hoosier Lottery in 2012. Less than three years later, the commission that oversees the Hoosier Lottery has re-written the contract because GTECH couldn't achieve the revenue targets it was contractually obligated to meet. GTECH agreed to make penalty payments to the state whenever it failed to reach the target revenues. Because the company was having to pay millions in penalty payments, the state has decided to come to its rescue and lowered the annual goals rather than exercise its right to terminate the contract

Long-time readers will recall that GTECH also won a contract to manage Illinois' lottery before it won Indiana's contract. After it failed to meet revenue goals three straight years, former Gov. Pat Quinn terminated the state's 10-year contract with the firm rather than permit the company to continuum making penalty payments to the state. The contract has remained in limbo after Bruce Rauner became Illinois' governor in January.

GTECH's original contract required it to meet revenue goals of $320 million and $365 million, respectively, in the next two fiscal years. The Journal-Gazette is reporting that the terms of the re-written contract lowers the revenue goals to $270 million in the next fiscal year with an incentive goal of $290 million. The company will make a one-time lump sum payment of $18.25 million and agree to lower its annual management fee in consideration for a reduction in the revenue target goals. The company is expected to pay a $16 million penalty payment at the end of this fiscal year based on an expectation it will return fewer dollars to the state--$243 million compared to $251 million last year.

GTECH is paid an annual management fee of $13 million. It will now share all profits above $290 million with the state. Under the original contract, it only shared revenues if the annual profit exceeded $360 million. According to the Northwest Indiana Times, GTECH's increases by just $5 million in each subsequent year of the 15-year contract. Officials claim the market has permanently changed due to "jackpot fatigue," whatever that's supposed to mean. The bottom line is that the changes made by the commission ensures a hell of a lot more money will shift from the state's pockets to GTECH's pocket.

Sen. Mark Kirk's "Bro With No Ho" Comment About Sen. Lindsey Graham Lands Him In Hot Water

UPDATED: The comment seemed out of character with his public persona, but a joking reference Illinois Sen. Mark Kirk (R) made about a colleague and presidential candidate, Sen. Lindsey Graham (R), has landed him in a lot of hot water as he approaches a very difficult re-election campaign next year. Sen. Graham, a confirmed bachelor, recently told the Daily Mail he had a sister and a lot of female friends who could serve as rotating first ladies if he becomes president. The Sun-Times' Lynn Sweet summarizes the comments Sen. Kirk attempted but failed to share privately with a Senate colleague:

Does Sen. Mark Kirk have no filter?

The Illinois Republican gave a giant in-kind donation Thursday to his major 2016 Democratic rivals, an-all female line-up eager to take his seat. Kirk is one of the very top Democratic 2016 targets.

Sitting in front of an open microphone during a public Senate Appropriations Committee meeting, Kirk said this about Sen. Lindsey Graham, R-S.C., the only bachelor in the 2016 presidential pack.

“I’ve been joking with Lindsey,” Kirk said. “Did you see that? He’s going to have a rotating first lady. He’s a bro with no ho.”

Kirk added, “That is what we’d say on the South Side,” a reference to a part of Chicago with a big African-American population.

Kirk was speaking during a committee roll call — when the microphones were on.

So there were no tricks here, no trackers, no secret recordings. Just a lot of Democrats, who have ears, in the committee room.

 Ho, in case you are not familiar with the slang, is a diminutive reference to a prostitute.

Both Kirk, who is divorced, and the single Graham have been the subject of persistent rumors about their sexual orientation. Sweet notes that Kirk came under fire last February when he suggested Republicans should "build a number of coffins outside each Democratic office" in the event of a shutdown of the Department of Homeland Security. In April, he told a reporter "we driver faster" through a black community. Apparently Sen. Kirk suffered hasn't fully recovered from the stroke that nearly claimed his life a few years ago.

UPDATE: Wow. The Chicago Tribune's John Kass, for whom I have great admiration, thinks Kirk should step down from his Senate seat; otherwise, he'll be a drag on the entire GOP ticket in Illinois in 2016.

State's Top Budget Director Takes Executive Job At Main Street

Ethics questions swirled around former Indiana House Speaker Pro Tem Eric Turner, whose family nursing home business, Main Street Property appeared to benefit from actions he took as a former state lawmaker. Turner's company was sold to an Ohio-based company, Health Care REIT, last year as part of a $2.3 billion deal shortly after the former lawmaker successfully lobbied state lawmakers to kill a proposed moratorium on the construction of new nursing homes. Health Care REIT has ties to two prominent Indiana businessmen and large Republican contributors who serve on its board, Fred Klipsch and Scott Trumbull.

Now word has come that Gov. Mike Pence's Director of Office of Management and Budget, Chris Atkins, is leaving his top state job to become a senior vice president at Main Street. Atkins worked as general counsel and policy director for OMB under former Gov. Mitch Daniels before leaving the agency to serve as a senior policy director for Pence's 2012 gubernatorial campaign. The legislature sent a measure to Gov. Pence this year, which he signed into law, placing a moratorium on construction of new nursing homes for a 3-year period. That moratorium does not apply to assisted or independent living centers, a popular alternative to nursing homes.