John DiStaso's Granite Status: Firefighters union to file lawsuit

By JOHN DISTASO
Senior Political Reporter
11 minutes ago

BIG LAWSUIT. As first reported on UnionLeader.com late yesterday, the Professional Fire Fighters of New Hampshire today will file a class action lawsuit against the Local Government Center and its Health Trust alleging that the LGC "has been amassing a large amount of New Hampshire taxpayer dollars that must be returned to the cities and towns," according to union President David Lang.

Lang said the union's review has shown that the LGC "has misdirected and illegally transferred funds from the Health Trust into other areas of LGC business."

The move comes after the firefighters won a state Supreme Court ruling forcing the LGC to open its books to allow public access to how it uses money contributed by the cities and towns.

"Based on our review of the limited information we have seen, we think there is strong evidence to show the allegations we are making are true," Lang said.

Lang said the LGC has "tens of millions of dollars that should be returned to the taxpayers."

He said a news conference call will be held this morning after the suit is filed in Merrimack County Superior Court.

Maura Carroll, interim executive director of the LGC, said last night she has not seen details of the suit, but, "We have attempted to reach out to the firefighters and others, and I'm disappointed that litigation is being filed."

Carroll said she would "love to have conversations so that we aren't engaging in expensive litigation."

She said the center has been responding to right-to-know questions since the ruling was handed down.

"We have either responded right away or indicated that there are some things we needed to look at," she said.

She said each request must be reviewed to be sure the information requested is subject to the law or exempt.

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NO MORE LIVE RACING. The Status broke the news yesterday from state Racing and Gaming Commission Chairman Timothy J. "Ted" Connors that Rockingham Park has decided to drop live horse racing.

A full report can be seen elsewhere in today's editions, but the track manager says the decision is related to its continued unsuccessful efforts over the years to try to have expanded gambling in the state.

Ed Callahan said that one of the goals of expanded gambling is to increase track revenue to make live racing more feasible.

"Live racing is not going away," he said. "I can't do it this year but maybe we can fix things for next year.

"The whole reason for the gaming bills, which date back to 1996," Callahan said, "is to make racing work better. The plan has been and continues to be that this revenue can make racing work real well for both thoroughbred and harness."

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NEW WEB SITE. Republican 1st District U.S. House candidate Frank Guinta is going up with a new Web site to petition Rep. Carol Shea-Porter to oppose the Democratic health care reform bill.

On line today will be HonestHealthCareReform.com, a product of the Guinta campaign, featuring a petition asking Shea-Porter to vote only on health care that lets those who like their present coverage keep it, includes "market-driven" reform and does not include the single-payer option."

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BATTLING FUND-RAISERS. Republican Kelly Ayotte isn't the only U.S. Senate candidate who's been holding fund-raisers in Washington, D.C. during the election cycle.

She's just been taking the most heat for them.

As Ayotte's opponents blast her almost daily as a "Washington insider," Democrat Paul Hodes has been holding his share of events in the nation's capital.

And there's a new twist on the one he's holding tonight: It's in a secret location somewhere in the nation's capital.

"Address provided upon RSVP," states the invitation for the $500-to-$2,500 affair, obtained by the Status.

Those who want to go won't know where they're going until they decide to go. Then they'll get their instructions.

Why not just say, up front, where it's going to be held?

Hodes campaign spokesman Mark Bergman said the address was not listed at the request of the host, and he said Hodes "has been proud to receive the support of thousands of Granite Staters throughout this campaign."

The Hodes event will feature special guest Virginia Sen. Mark Warner and the host committee includes some of D.C.'s top lobbyists, including Heather and Tony Podesta, who has been described by The Hill newspaper as "arguably the most recognizable Democratic name on the Washington lobbying scenes; "Izzy" Klein of the Podesta office, Vin Roberti and Robert Raben, whose firm has a long list of clients including some insurance firms such as Prudential and the Property Casualty Insurance Association of America.

Raben's firm also had as a client the adult entertainment industry's trade association, the Free Speech Coalition, and, according to the firm's Web site, "created engagement strategies and best practices" for that organization.

Tony Podesta's clients include Bank of America, BP America, Inc., Deloitte LLP and Dosal Tobacco Company, while Heather Podesta's clients include CIGNA Corp., HealthSouth and the Marathon Oil Corp.

Bergman noted that Ayotte is lining up D.C. fund-raisers of her own.

An event on Monday at the Alexandria, Va., home of veteran GOP strategist Mary Matalin is hosted by Pfizer pharmaceuticals lobbyists Susan Hirschmann, Marina Cino and Tony Principi as well as Mark Lampkin, Dan Mattoon and Elise Pickering.

Bergman pointed out that Ayotte is having another Washington fund-raiser on Tuesday.

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HITTING BACK. Democrats continue hitting Ayotte over her silence on a bill that would extend unemployment benefits through the end of the year.

Last weekend, she came to the defense of Kentucky Sen. Jim Bunning for holding up a vote on the bill, which was eventually passed, telling radio host Jeff Chidester on 96.7 The Wave that Bunning's move was a valid effort to begin a discussion of how the expenditure should be paid for.

"Kelly Ayotte finally finds her voice, and the only thing she uses it for is to defend Washington gridlock and the GOP's disastrous political stunt work," said state Democratic Party spokesman Emily Browne.

But Ayotte spokesman Jeff Grappone said Ayotte opposed a benefits extension bill that was expected to be passed by the Senate yesterday because it was loaded with pork-barrel giveaways that will add to our skyrocketing deficits. Kelly believes we need to jump-start our economy, but in a way that doesn't further bankrupt our country."

THE LATEST NUMBERS. The latest Rasmussen poll shows continued tough times for Democrats Hodes and Shea-Porter, while Gov. John Lynch continues to show strong approval ratings.

The poll of 500 likely voters taken on Monday has Hodes now trailing Republicans Bill Binnie and Kelly Ayotte in separate trial heats, while fellow Republican Ovide Lamontagne trails Hodes by just four percentage points, within the 4.5 percent margin of error.

Ayotte leads Hodes, 47 to 37 percent, with 12 percent undecided, while Binnie leads Hodes, 46 to 36 percent, with 14 percent undecided. Hodes leads Lamontagne, 42 to 38 percent, with 15 percent undecided.

The poll also shows that only 34 percent of New Hampshire voters believe their local congressional representatives deserve to be reelected, while 38 percent say they do not. The poll shows 61 percent saying it would be better for the country if most congressional incumbents were defeated in November.

The poll also shows 29 percent strongly approve and 19 percent somewhat approve of the job Barack Obama is doing as President, while 41 percent strongly disapprove and 11 percent somewhat disapprove.

Obama's health care bill is opposed by 53 percent and favored by 44 percent.

Lynch receives strong approval from 25 percent of those polled, while 38 percent somewhat approve of the job he's doing and 15 percent strongly disapprove and 21 percent somewhat disapprove.

Granite Staters are split on the Tea Party movement, with 45 percent having a favorable opinion, 39 percent unfavorable and 16 percent unsure. And 69 percent of those polled said they do not consider themselves a part of that movement, while 16 percent said they are tea partiers.

HODES VS. EARMARKS. Hodes yesterday intensified his newfound opposition to congressional earmarks.

Spokesman Bergman said the House Appropriations Committee announced a new rule banning earmarks specifically directed at private companies in future budgets.

Hodes supported the ban but believes it should be extended to include all earmarks, including the billions of dollars annually earmarked for public entities.

After the committee meeting, Hodes told the House Democratic Caucus that he intended to force an up-or-down vote in the House on all earmarks before the Easter holiday.

"We don't need half measures. We need real reform," Hodes said. "We were sent here to make real change in the way Washington does business, and I intend to hold Democrats' and Republicans' feet to the fire."

Republican Party spokesman Ryan Williams accused Hodes of trying to score political points, saying that he was "an unabashed supporter of earmarks and reckless Washington spending until his Senate poll numbers started to crater."

IN THE BACK DOOR. Our report last week on Shea-Porter's March 5 fund-raiser with Nancy Pelosi on Beacon Hill in Boston quickly attracted regional attention.

The Boston newspapers and television stations were on hand to record the two dozen or so protesters who showed up outside The Liberty Hotel, while WMUR television had a quick clip of Shea-Porter entering the hotel through a rear, or side, entrance.

MAHONEY HOSTS PENCE. As he continues to move toward a run for the 1st District U.S. House seat, Republican Sean Mahoney is joining with two conservative groups to host a fund-raiser for House Republican Conference Chairman Mike Pence, R-Ind., when he visits New Hampshire next weekend.

After Pence appears at the Hillsborough County Republican Committee's Lincoln-Reagan Day Dinner on March 19, Mahoney will host a $50-a-person morning fund-raiser for Pence at his home in Portsmouth on March 20.

Co-sponsors will be the conservative Americans for Prosperity and Cornerstone Policy Research.

Pence voted against the Wall Street bailout program when it first came up in late 2008, while Mahoney, as a member of the Republican National Committee, co-sponsored a resolution opposing all bailouts of private industries.

UNDER FIRE. Outspoken liquor enforcement chief Eddie Edwards came under fire by the Attorney General in Concord yesterday, as reported by State House Bureau Chief Tom Fahey.

Edwards last Friday accused House Majority Floor Leader Dan Eaton of exerting undue influence on his own bureau's probe of a former Keene bar owner.

Earlier this week, Manchester attorney and former state Rep. Peter Sullivan charged in an e-mail to the Union Leader that Edwards "has a partisan agenda of his own," pointing out that Edwards' Facebook page shows him as a member of the National Black Republican Association and with affiliations that include the state Republican Party, the Republican National Committee and (Republican) Ted Gatsas for Mayor.

Edwards, reached yesterday, said he would not comment "on anything of a political nature."

STEPPING DOWN. Lamontagne recently sent a letter to members of St. Mary's Bank announcing he'll step down from the bank board in April as he campaigns for the Senate.

In the 1st District U.S. House race, Rich Ashooh yesterday told the Executive Council he resigned his seats on the boards of the state university system and the McAuliffe-Shepard Discovery Center "to avoid any potential conflicts that might arise" as he seeks federal office.

Ashooh also picked up the endorsement of former Executive Councilor Ruth Griffin, who had endorsed Mahoney's campaigns for the U.S. House and the Executive Council in 2002 and 2006, respectively.

QUICK TAKES:

--Pencil in Jim Adams, a retired U.S. Postal Service official who looked at running for governor two years ago, as a possible GOP candidate for the District 2 Executive Council seat, currently held by Democrat John Shea.

--Portsmouth businessman Christian Callahan is again looking at the Senate District 24 seat.

--Veteran activist Grant Bosse has expressed interest in becoming a member of the Republican National Committee from New Hampshire should Mahoney resign the seat to run for Congress. Other names being floated for the post are veteran Republicans Steve Duprey, Tom Eaton, Joel Maiola, Chuck Douglas and former RNC member Tom Rath.

--Republican activist Henry Ahern of Plymouth has endorsed Binnie for the U.S. Senate and will be the campaigns' Grafton County chair. Binnie has opened a statewide campaign office in Riverside Park, Route 3A, Hooksett.

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John DiStaso is senior political reporter of the New Hampshire Union Leader.