Quantcast

Categorized | News

Elephant Insurance Is To Be Commended For Its Honesty; I Cannot Commend the Pols that Came Up With This Crony Capitalism Program!

Times-Dispatch reported today that Elephant Insurance, the UK-based insurance concern with its national office in Henrico, is voluntarily paying back nearly $50,000 in job creation funds due to an honest error in reporting jobs as being in the Commonwealth.  I commend Elephant for its honesty.  I cannot commend the pols who voted for this.

So I looked up this bill that became law (2014 Session c. 464) and I sincerely cannot know where to start.  This bill sets up several grant programs that can help with job retraining, job creation, small business establishment, and this little gem:

§ 59.1-284.22. Aerospace Engine Manufacturer Workforce Training Grant Fund; eligible county.

A. As used in this section:

“Affiliate” means the same as that term is defined in § 59.1-284.20.

“Capital investment” means the same as that term is defined in § 59.1-284.20.

“Eligible county” means Prince George County.

“Full-time” means employment of an indefinite duration for which the standard fringe benefits are paid, requiring a minimum of either (i) 35 hours of an employee’s time per week for the entire normal year of the employer’s operations, which “normal year” shall consist of at least 48 weeks, or (ii) 1,680 hours per year. The term “full-time” shall not include seasonal or temporary positions or positions created when a job function is shifted from an existing location in the Commonwealth.

“Grant” means the special training grant or supplemental training grant as described in this section.

“Qualified employee” means an individual hired in the Commonwealth on or after November 20, 2007, by an entity that is a qualified manufacturer or by an affiliate thereof, who (i) is employed by the qualified manufacturer or by an affiliate for at least 90 days, and (ii) works on a full-time basis for the qualified manufacturer or for an affiliate for at least such 90-day period.

“Qualified manufacturer” means the same as such term is defined in § 59.1-284.20.

“Secretary” means the Secretary of Commerce and Trade or his designee.

“Special training grant” means a $9,000 allocation from the Aerospace Engine Manufacturer Workforce Training Grant Fund per new qualified employee, as described in this section. The aggregate amount of special training grants under this section shall not exceed $5,778,000.

“Supplemental training grant” means a one-time $3 million allocation from the Aerospace Engine Manufacturer Workforce Training Grant Fund, as described in this section.

B. Grants paid to the qualified manufacturer pursuant to this section are intended to be used for workforce development, instructional, or training purposes so as to enhance the skill sets of qualified employees.

C. Any qualified manufacturer that is eligible to receive a special training grant shall (i) report to the Secretary quarterly the number of new qualified employees hired and trained who have been employed for at least 90 days and for whom a special training grant has not been previously paid pursuant to this section, and (ii) provide evidence of the hiring and training of the new qualified employees described in clause (i). The application and evidence shall be filed with the Secretary in person or by mail. For filings by mail, the postmark cancellation shall govern the date of the filing determination. Within 30 days after such evidence has been provided by the qualified manufacturer, the Secretary shall certify to (a) the Comptroller and (b) each qualified manufacturer the amount of the special training grant to which such qualified manufacturer is entitled under this section for payment within 60 days after such certification. Payment of such grant shall be made by check issued by the Treasurer of Virginia on warrant of the Comptroller.

The special training grants under this section (1) shall be paid, subject to appropriation by the General Assembly, from a fund entitled the Aerospace Engine Manufacturer Workforce Training Grant Fund, which Fund is hereby established on the books of the Comptroller, (2) shall not exceed $5,778,000 in the aggregate, and (3) shall be paid to or for the benefit of the qualified manufacturer on a quarterly basis.

D. A supplemental training grant shall be paid to any qualified manufacturer that has made an aggregate capital investment of at least $153.9 million in the eligible county and has hired at least 176 new qualified employees, excluding any qualified employee who has been rehired by the qualified manufacturer or an affiliate thereof or who is employed in a different position with the qualified manufacturer or an affiliate thereof. On or before June 30, 2010, and on or before each June 30 thereafter until the supplemental training grant has been paid, the qualified manufacturer shall provide written notification to the Secretary whether it has met or expects to meet the aggregate capital investment and employee requirements by the end of the current calendar year. If it has met or expects to meet such requirements by the end of the calendar year, the qualified manufacturer shall provide evidence of the same, satisfactory to the Secretary, with the written notification. The written notification and evidence shall be filed with the Secretary in person or by mail. For filings by mail, the postmark cancellation shall govern the date of the filing determination. Within 10 days after such notification and evidence have been provided by the qualified manufacturer, the Secretary shall certify to (i) the Comptroller and (ii) each qualified manufacturer the amount of the supplemental training grant to which such qualified manufacturer is entitled under this section for payment in the current fiscal year. Payment of such grant shall be made by check issued by the Treasurer of Virginia on warrant of the Comptroller.

The supplemental training grant shall not be paid prior to July 1, 2010. The supplemental training grant (a) shall be paid, subject to appropriation by the General Assembly, from the Aerospace Engine Manufacturer Workforce Training Grant Fund, (b) shall be equal to $3 million, and (c) shall, subject to appropriation by the General Assembly, be paid to the qualified manufacturer by the end of the applicable fiscal year, as described herein. No more than $3 million in supplemental training grants shall be paid pursuant to this section.

E. If grants to be paid to qualified manufacturers under this section in a fiscal year exceed the aggregate amount available in the Aerospace Engine Manufacturer Workforce Training Grant Fund for that year, each qualified manufacturer’s grants for the year shall equal the amount of grants to which the qualified manufacturer would otherwise be eligible multiplied by a fraction. The numerator of the fraction shall equal the aggregate amount available for payment from the Aerospace Engine Manufacturer Workforce Training Grant Fund for that fiscal year, and the denominator shall equal the aggregate dollar amount of grants to which all qualified manufacturers otherwise would be eligible for such fiscal year.

F. Notwithstanding any other provision of this section, in lieu of payment of special training grants by check to qualified manufacturers, the Secretary may determine that such special training grants shall be administered in a manner similar to existing training grant programs such as those permitted by § 2.2-1605 2.2-2240.3.

G. As a condition of receipt of a grant, a qualified manufacturer shall make available to the Secretary or his designee for inspection upon his request all relevant and applicable documents to determine the aggregate number of new qualified employees hired and the aggregate amount of capital investment. The Comptroller shall not draw any warrants to issue checks for a special training grant or a supplemental training grant under this section without a specific appropriation for the same. All such documents appropriately identified by the qualified manufacturer shall be considered confidential and proprietary.

2. That §§ 2.2-1612, 2.2-1613, and 2.2-1614 of the Code of Virginia are repealed.

3. That the guidelines of the Department of Business Assistance or the Department of Small Business and Supplier Diversity that pertain to the Virginia Jobs Investment Program shall be administered by the Virginia Economic Development Partnership Authority and shall remain in full force and effect until the Virginia Economic Development Partnership Authority establishes guidelines pursuant to this act. The preparation of the guidelines shall be exempt from the requirements of Article 2 (§ 2.2-4006 et seq.) of the Administrative Process Act (§ 2.2-4000 et seq.) of the Code of Virginia.

4. That the Governor may transfer any employee within a state entity affected by the provisions of this act, or from one such entity to another, to support the changes in organization or responsibility resulting from or required by the provisions of this act.

Did you note my dear readers that there is only ONE eligible county:  Prince George!

Guess who has an aerospace engine manufacturing plant in Prince George:  Rolls-Royce Crosspointe and here is the RR website!

A bill that benefits only ONE company ought to be unconstitutional.  If I were a delegate or a senator, I’d vote against it!

So who voted for this pork barrel bill?  Virtually everybody!  NO ONE voted against it – Senator Wagner did not vote and neither did Delegate Yost.  Everybody else said YES.

How is the swamp going to ever be drained in Richmond, let alone USA, with bills like this.

One more thing before I leave this subject:  These grant programs seem to have one of these clauses in each one:

The Secretary of Commerce and Trade may waive these requirements but shall promptly provide written notice of any such waiver to the Chairmen of the Senate Finance and House Appropriations Committees, which notice shall include a justification for any waiver of these requirements.

This is corporate welfare at its worst.  Help your friends.  Waive the requirements as you choose.  The potential evils of bills like this are immense.  I say NO.

I would have no issue with standing alone on this kind of thing.  I would just remember that my first mentor in the law, a former Florida state legislator, William M. Gillespie, more than once voted alone against bills he thought were wrong.  One bill I asked Mr. Gillespie about when I was his law clerk and he told me it was “urban renewal” in the City of Tallahassee.  All it did, according to Mr. Gillespie (the only way I ever addressed him), was enrich land developers in Tallahassee who bought up the areas to be allocated and then sell to the State of Florida at a profit.  So he voted against it.  He was the only House member to do so.  I immediately admired him for standing alone.  I don’t think he’d vote for any of this stuff either.

About Elwood Sanders

Elwood "Sandy" Sanders is a Hanover attorney who is an Appellate Procedure Consultant for Lantagne Legal Printing and has written ten scholarly legal articles. Sandy was also Virginia's first Appellate Defender and also helped bring curling in VA! (None of these titles imply any endorsement of Sanders’ views)

One Response to “Elephant Insurance Is To Be Commended For Its Honesty; I Cannot Commend the Pols that Came Up With This Crony Capitalism Program!”

  1. jessica says:

    COMPLETE CURE TO TINNITUS: I had tinnitus in both ears for fifteen years with a high pitched two tone sound, the noises are constant and have learned to ignore the ringing. Later, another sound was added, a deep tone that has a sporadic rhythm, that mimics human speech. It varies from soft and muted, to painfully clear, and loud. Have try sound machines, ear plugs, my hearing aid, and medication all to no avail rather I have a difficult time sleeping. Lately I was directed to a Doctor called William on internet who provided solution to the problem. Do not be discourage, dr williams product is a permanent cure to Tinnitus. Contact him with this email (drwilliams098675@gmail.com)

Trackbacks/Pingbacks


    Leave a Reply

    Your email address will not be published. Required fields are marked *

    CommentLuv badge

    Tom White Says:

    Nothing is more conservative than a republican wanting to get their majority back. And nothing is more liberal than a republican WITH a majority.

    Check out NewsMax!

    Sign up for Virginia Right Once Daily Email Digest

    No Spam - ever! We send a daily email with the posts of the previous day. Unsubscribe at any time.
    * = required field

    Submit a Blog Post!

    Submit a Blog Post for our 'Boots on the Ground' feature

    Click Here for Instructions on How to Submit a Post

    Google Ad

    Google Ad

    Follow Us Anywhere!

    Google Ad

    Archives

    %d bloggers like this: