A Hidden Casino Cost I Hadn't Considered

The case of a Louisville woman caught embezzling $7 million from an Indiana credit union to spend in Indiana casinos -- math majors will note the money is gone -- is interesting mainly because of the size of the theft.

But what caught my eye in the press release was this:

As Head Teller she was responsible for ordering and accounting for all cash replenishments for the credit union. She was also responsible for reconciling and overseeing vault activity. She also was responsible for the general ledger and reconciling the vault cash account to the physical count of cash on hand.

Part of her job was to prevent herself from embezzling funds which she, of course, failed to do. The credit union needs another employee or two.

So not only are the customers of the credit union out millions, but they will be hit again as the credit union has to hire more people for oversight to prevent this kind of fraud in the future.

There are a lot of businesses that handle large amounts of cash. If each of them has to go out and hire another layer of bookkeeping support to prevent this kind of embezzlement, we are looking at significant added costs to be passed along to customers.

And while Patricia Sherman is a guest of federal taxpayers for the next few years, whatever benefit Indiana taxpayers get from casinos may get sliced if Kentucky or Ohio start to play the same game.

Great GOP House Pickup Opportunity

Bryan Beauman is running for the open 72nd district House seat.

Watch this.

Confirmed: McConnell For Giuliani

I saw the rumor yesterday, but just found out it is true.

NTU: Congressman Whitfield Breaks His Promise

The National Taxpayers Union chastised Rep. Ed Whitfield for voting to overturn a presidential veto on an appopriations bill after promising to sustain the veto.

That's Gonna Leave A Mark

The Louisville Courier-Journal has a great smackdown of Kentucky's state school board and the crummy way they have handled the hiring of an education commissioner.

Mr. Brothers also contended, "We have some responsibility to these people who have applied," to get on with the selection.

No, Mr. Brothers. That's not true, either.

The school board's responsibility is to the public. And if it goes ahead with an amateurish process, rolling right past the need for a credible national search, then the public will be justified in concluding the worst: that the board simply has failed to do its job.

But my favorite came in the comments section:

Stunning evidence: the Chairman of the Board says: "not just me but the entire board have heard" (sic, sic). No, Joe, the proper expression of your thought would be "not just I but the entire board has. . . ."

If the Chairman of the Board of Education can't string eight words together without making two grammatical errors, Kentucky deserves to be ranked in the very bottom tier of states.

Posted: Sat Nov 17, 2007 10:25 am

Governor Fletcher, there is still time to set this right.

Consider This

Recently, government agencies have been making news when they threatened bloggers with lawsuits for libel.

I've been writing for a year about the mess that is the Fayette County Detention Center. Google it and see what happens. The city of Lexington does, every day. I have proof that LFUCG computers are used every weekday to monitor this site to see what's up.

But I have yet to receive the first threat of a lawsuit.

Wonder why?

Starting To Look A Lot Like Christmas

Know any kids? Then you need to see this. Special deals for Kentucky Progress readers.

Silberman Scandal Update

The more I get into Stu Silberman's handling of Booker T. Washington Academy, the fishier it looks.

Go here for an update from Richard Day. Raises a lot more questions, but Friday afternoon is a heck of a time to try to reach people. I'll keep working on this.

Stay tuned through the weekend...

Is This The Worst Principal In Kentucky?

I sure hope so.

Restaurateur to Fletcher Democrats: No Soup For You!

Rick Paul, owner of White Light Diner in Frankfort, is well-known around town for his political views. Today he is offering a 10% discount for anyone who brings in proof of voter registration as a Republican.

In an email he sent out this morning:

What else for this morning---um, oh I know---in the interest of being kind and forgiving for what has happened in this state over the last four years, I am giving 10% off to all republicans today to help them get into the flow of the new administration. I cannot give the discount on the specials, pies or BBQ by the pound, however all other menu items are in! All republicans come join us at the White Light Diner today! Bring proof of party registration!!

"Turn Off TV, Spend More Money, And Vote For Me"

Barack Obama has an "education" ad on the air in Iowa.

Fayette School Superintendent's Actions Hard To Justify

Kentucky policymakers scramble to advance education in science and mathematics, hoping to compete in the world economy. Educators scramble to reduce achievement gaps found along economic and racial lines.

When Fayette County merged its two worst-performing elementary schools into Booker T. Washington Academy in 2005, district leaders knew they needed a special person to create success where there had been mostly failure.

They brought in Peggy Petrelli and she cracked the code. Under Petrelli, fourth grade science scores accelerated at a blistering pace. Learning surged with a military precision. Students entered class to immediately face a short quiz over information from prior lessons. Breaking into thirds, the class cycled orderly through laboratory stations for a systematic, hands-on approach found to be remarkably compelling to the kids. An end of class quiz tested mastery of the day's curriculum. And children who needed extra help got it immediately.

Peggy Petrelli should be doing seminars about her techniques. Instead she is unemployed.

Inexplicably, Petrelli was forced out of Booker T. Washington Academy this fall by Superintendent Stu Silberman, whose actions then and subsequently seem more than a little suspicious. Silberman's unprofessionalism reached a crescendo Tuesday when he announced to the cameras at a public, televised event that Booker T. Washington is "under investigation for its test scores."

The Kentucky Department of Education as of Wednesday had no official record of any complaint.

A spokeswoman for the school district couldn't specify today when the "investigation" started, what it involves, or who initiated it.

Digging deeper into this controversy seems to generate a lot of questions Silberman can't, or won't, answer.

Stu Silberman Blogburst

Don't know when the mainstream media will start to catch up on the Stu Silberman scandal, but some local bloggers are on the case.

The Principal proclaims:

Bluegrass Institute says Silberman is conducting a "secret investigation" of Perelli

And Page One Kentucky sums it up nicely:

Corruption in Lexington schools. Superintendent Stu Silberman ran a high-performance principal off, lied about it, tried to cover up his tracks and then made up a secret “investigation” that no one knows about. What the heck is going on in Lex Vegas these days? First the jail and now the schools? Seriously, people. Em-bar-ass-ing.

...Waiting To See Steve Beshear's Health Plan

Today Massachusetts starts fining people who haven't signed up for their government health insurance.

Happy Coercion Day!

Gov. Beshear Should End Corporate Welfare

The argument that we must keep subsidizing a select few companies because other states do doesn't hold water.

A North Carolina public policy group has done some good work on this that could just as easily apply to Kentucky.

Stu Silberman's Big, Big Mistake

Cross-posted on Bluegrass Policy Blog:

When Lexington school district superintendent Stu Silberman first came to town, he had a slogan to focus central office employee efforts: it's about kids. But after a comment he made yesterday at an all-day seminar, some are left to wonder if "it" may actually be about limiting legal liability for his bad personnel moves.

If what happened at Booker T. Washington Academy in the city's downtown is any indication, Mr. Silberman's tactics may bear some scrutiny.

Peggy Petrelli took over as principal at Booker T. in the fall of 2005. In two short years, test scores shot up 67% at the school. Then, three months ago, Petrelli was forced to resign.

Yesterday, in answer to a question at a Long-Term Policy Research Center public meeting, Silberman may have inadvertently shed light on what surely wasn't one of his finest moments.

Asked to explain what happened to the Academy to cause such dramatic improvement while Petrelli was principal, Silberman stated that it was a bad example. He said the school is "currently under investigation."

That was news to the Kentucky Department of Education. Spokeswoman Lisa Gross said this morning that no complaints had been presented to the Department.

Silberman's "secret investigation" smells a lot like trying to cover his tracks after running off a high-performing principal. Petrelli declined to comment about persistent rumors that she intends to sue Silberman. And Silberman's office did not return a phone call this afternoon.

Don't Go Out Like This, Governor Fletcher

Governor Fletcher presented another golden opportunity to the Lexington Herald-Leader today. And they took it.

The Kentucky Board of Education is in dire danger of failing some basic management and economics courses.

The legal spitting contest it has gotten into with the firm that conducted the ill-fated search for a new education commissioner will waste money and shine light on the board's own failure in the search process.

It is outrageous that Governor Fletcher's appointees to the state school board have put on a slapstick act that would shame Larry, Moe, and Curly when all they really needed to do was hire an education commissioner.

Governor Fletcher must step up and demand the Board pay the bill to the crappy search firm whose advice they took despite repeated citizen warnings. Then he must ask himself why we are trusting them on this search when they have given us so little reason to expect them to get it right.

Call off the search, Governor Fletcher.

Should We Pray For Education Accountability?

Last night, Georgia Governor Sonny Perdue prayed for rain.

And by tomorrow, rain is what they shall receive.

We really don't need divine intervention in Kentucky to open the skies and pour a little common sense on our education bureaucrats, do we?

Mother Of All Conflicts Of Interest

The Kentucky Department of Education is the worst example of a government agency that regulates -- and grades -- itself.

If we do nothing else, we should eliminate this situation right now.

The Lawyers Are In Charge Now

Rep. Rob Wilkey filed a bill today to shift up to $1.2 million in general fund dollars every month into a fund to pay law school student loan debt for attorneys working in the Attorney General's office and other government-related agencies.

Each lawyer will get up to $6000 a year in state taxpayer money if the bill passes.