Corruption in Southwest Virginia

by Lewis Loflin

This virtual union of business and government has created a culture of corruption and crony capitalism.

Bristol Herald Courier November 13, 2014 is reporting that State Sen. Bill Carrico, R-Galax is claiming possible cuts to education due to a "a multi-year $2.4 billion shortfall." Yet Mr Carrico and fellow Republicans have pilfered millions of state dollars from the Tobacco commission for corporate welfare and political payoffs.

They are not alone being joined by Governor Terry McAuliffe in expanding both corporate welfare in one case diverting over $100 million Virginia tax dollars to underwrite a private retail development. To quote the McAuliffe solution, "Last month, Gov. Terry McAuliffe announced layoffs and other changes at the state level to address." They are also raising prices at the state run liquor monopoly to help pay for it in addition to education cuts.

Virginia under Democrat Terry McAuliffe continues its slide to becoming a low-wage, crony capitalism welfare state.

What is puzzling is the conviction of former Governor Bob McDonald for corruption when he did what other Virginia politicians do every day. This goes beyond merely "helping" business but creating and funding businesses for selected people and then creating a market. One example is diverting R&D funding to private individuals then setup the state to buy the product that has no private sector demand. (See bio-fuels below.)

The reality is Virginia is a poor southern state whose economy is over dependant on Federal spending in Eastern and Northern Virginia. Richmond has squandered this gravy train producing nothing for years and now reductions in Federal spending are going to hurt.

Quoting "House of Delegates panel holds retreat west of Roanoke" (BHC November 18, 2014 ), "while Virginia typically out-performs the U.S. economy, recovery has slowed down here, partially because of the impact federal military sequestration has on areas reliant on the defense budget like Northern Virginia and Hampton Roads."

This has accounted for 50 percent plus of state job growth but only 19 percent today. They further noted, "Growth has remained slow because employment, personal income growth and consumption have lagged typical recoveries."

This is the direct result of the culture of political corruption and crony capitalism from Richmond to Bristol. Diverting public funds slated for schools and law enforcement for private profit that produced nothing has been exposed - but nothing will be done unless we get the corny capitalism foxes out of the public chicken coop.

It's time to have separation of business and state.


Lewis' Frog

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