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Comcast And Rendell's Special Bundle
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| Comcast, which has its headquarters at 1701 John F. Kennedy Blvd., spent at least $100,000 on Gov. Ed Rendell's inauguration festivities in 2007. (Krystle Marcellus/The Bulletin) |
Conflicts Of Interest Pervade The Relationship
By Chris Freind, The Bulletin
Democratic Gov. Ed Rendell’s recent decision to criticize the Sunoco oil company for laying off 750 workers raises a number of intriguing questions. While the governor held a press conference last week solely to excoriate Sunoco, calling the company’s decision “unconscionable,” he has been notably silent concerning the 3,000 layoffs — four times the number at Sunoco — that Comcast has executed in the past year.
Since the governor’s election in 2002, SUN PAC, Sunoco’s political action committee, has contributed $55,000 to Mr. Rendell, with Sunoco employees donating an additional $2,650.
During that same time period, Comcast’s PAC, its employees, and the spouses of its top executives, donated $634,350 to the governor. Additionally, Comcast spent at least $100,000 on Mr. Rendell’s inauguration festivities in 2007, being designated as a“Benefactor” by the governor, the highest level of a contributor.
The David Cohen Factor
The governor’s closest ally at Comcast is Executive Vice President David Cohen, who has contributed $80,000 to Mr. Rendell. Mr. Cohen is a longtime Rendell confidant and fundraiser, serving as chief of staff when Mr. Rendell was mayor of Philadelphia. Prior to joining Comcast, Mr. Cohen served as chairman of the Ballard Spahr law firm, where Mr. Rendell worked while campaigning for governor in 2002.
Ballard, which provides legal counsel to Comcast, has come under intense media and legislative scrutiny for the frequency and amount of the secretive no-bid contracts it has received under the Rendell administration. In addition, it received almost $800,000 for legal work related to the 2007 Pennsylvania Turnpike privatization initiative without a contract.
Ballard Spahr LLP has contributed $481,000 to the governor’s campaigns, with its attorneys donating an additional half million dollars.
Also, the Philadelphia Future Political Action Committee (PAC), registered at the Ballard office, pumped $471,000 into the Rendell coffers; Mr. Cohen serves as the PAC’s treasurer.
The address on Gov. Rendell’s campaign finance reports is the 51st floor of 1735 Market Street in Philadelphia — where Ballard Spahr occupies the entire floor.
Mr. Cohen also serves as chairman of the Greater Philadelphia Chamber of Commerce. Despite Mr. Rendell’s unprecedented intrusion into the private business sector by his attack on Sunoco, a major Philadelphia employer and chamber member, no action was taken by the chamber to defend the company.
The Comcast High Speed Money Connection
The Comcast money trail doesn’t end with Mr. Cohen. Ralph Roberts, Comcast’s founder, his son Brian, who serves as chairman and CEO, and several other executives are strong Rendell backers. The elder Mr. Roberts contributed $52,500, and the son, $48,500. Comcast Chief Operating Office Stephen Burke donated $32,000.
According to Department of State records, the spouses of Comcast executives also made high-dollar contributions to Mr. Rendell. Rhonda Cohen, wife of David Cohen, donated $156,000, and the Roberts’ wives, Suzanne and Aileen, respectively, combined for another $25,250. Gretchen Burke contributed $5,000.
The Comcast Corporation PAC contributed $93,500 to Mr. Rendell’s campaigns.
Rendell: On The Comcast Payroll
In addition to his $145,000 salary as governor, Mr. Rendell has also worked as a part-time football commentator for Comcast, earning a reported $20,000 per year. This arrangement has led many to question the apparent conflict, but the governor simply brushes off such criticism. As governor, Mr. Rendell has also collected a paycheck from the University of Pennsylvania, where Mr. Cohen serves as the chairman-elect on the board of trustees, for his services as a lecturer. The university receives substantial state aid.
Comcast Aid: An End Run Around the Legislature
Comcast executives lobbied the state government for financial assistance to build their new Center City headquarters. The firm unsuccessfully sought a Keystone Opportunity Zone (KOZ) designation for its building, which would have provided local and state tax relief. Despite the fact that KOZs are intended to spur development in areas of blight, not prosperous Center City locations, the $30 billion company almost succeeded with the help of Gov. Rendell. Had the Comcast effort prevailed, the company would have been exempt from state and local business taxes until 2015.
The Pennsylvania Legislature defeated Comcast’s and the governor’s efforts.
The governor then made an end-run around the legislature, funneling nearly $43 million in taxpayer money to aid Comcast and pay for infrastructure near the Comcast building, prompting outrage from many. Comcast’s direct incentives were nearly $13 million.
The economic development funds equated to roughly 10 percent of the building’s cost.
A Cynical Public
At a time when political corruption trials, pay-to-play scandals and conflicts of interest are rampant, polls show the public holds an increasingly cynical view of its government and elected officials. The Pennsylvania legislature has responded by introducing a number of bills aimed at how state contracts are awarded.
Under the Rendell administration, over $1 billion in no-bid contracts have been awarded.
Chris Freind can be reached at cf@thebulletin.us
Since the governor’s election in 2002, SUN PAC, Sunoco’s political action committee, has contributed $55,000 to Mr. Rendell, with Sunoco employees donating an additional $2,650.
During that same time period, Comcast’s PAC, its employees, and the spouses of its top executives, donated $634,350 to the governor. Additionally, Comcast spent at least $100,000 on Mr. Rendell’s inauguration festivities in 2007, being designated as a“Benefactor” by the governor, the highest level of a contributor.
The David Cohen Factor
The governor’s closest ally at Comcast is Executive Vice President David Cohen, who has contributed $80,000 to Mr. Rendell. Mr. Cohen is a longtime Rendell confidant and fundraiser, serving as chief of staff when Mr. Rendell was mayor of Philadelphia. Prior to joining Comcast, Mr. Cohen served as chairman of the Ballard Spahr law firm, where Mr. Rendell worked while campaigning for governor in 2002.
Ballard, which provides legal counsel to Comcast, has come under intense media and legislative scrutiny for the frequency and amount of the secretive no-bid contracts it has received under the Rendell administration. In addition, it received almost $800,000 for legal work related to the 2007 Pennsylvania Turnpike privatization initiative without a contract.
Ballard Spahr LLP has contributed $481,000 to the governor’s campaigns, with its attorneys donating an additional half million dollars.
Also, the Philadelphia Future Political Action Committee (PAC), registered at the Ballard office, pumped $471,000 into the Rendell coffers; Mr. Cohen serves as the PAC’s treasurer.
The address on Gov. Rendell’s campaign finance reports is the 51st floor of 1735 Market Street in Philadelphia — where Ballard Spahr occupies the entire floor.
Mr. Cohen also serves as chairman of the Greater Philadelphia Chamber of Commerce. Despite Mr. Rendell’s unprecedented intrusion into the private business sector by his attack on Sunoco, a major Philadelphia employer and chamber member, no action was taken by the chamber to defend the company.
The Comcast High Speed Money Connection
The Comcast money trail doesn’t end with Mr. Cohen. Ralph Roberts, Comcast’s founder, his son Brian, who serves as chairman and CEO, and several other executives are strong Rendell backers. The elder Mr. Roberts contributed $52,500, and the son, $48,500. Comcast Chief Operating Office Stephen Burke donated $32,000.
According to Department of State records, the spouses of Comcast executives also made high-dollar contributions to Mr. Rendell. Rhonda Cohen, wife of David Cohen, donated $156,000, and the Roberts’ wives, Suzanne and Aileen, respectively, combined for another $25,250. Gretchen Burke contributed $5,000.
The Comcast Corporation PAC contributed $93,500 to Mr. Rendell’s campaigns.
Rendell: On The Comcast Payroll
In addition to his $145,000 salary as governor, Mr. Rendell has also worked as a part-time football commentator for Comcast, earning a reported $20,000 per year. This arrangement has led many to question the apparent conflict, but the governor simply brushes off such criticism. As governor, Mr. Rendell has also collected a paycheck from the University of Pennsylvania, where Mr. Cohen serves as the chairman-elect on the board of trustees, for his services as a lecturer. The university receives substantial state aid.
Comcast Aid: An End Run Around the Legislature
Comcast executives lobbied the state government for financial assistance to build their new Center City headquarters. The firm unsuccessfully sought a Keystone Opportunity Zone (KOZ) designation for its building, which would have provided local and state tax relief. Despite the fact that KOZs are intended to spur development in areas of blight, not prosperous Center City locations, the $30 billion company almost succeeded with the help of Gov. Rendell. Had the Comcast effort prevailed, the company would have been exempt from state and local business taxes until 2015.
The Pennsylvania Legislature defeated Comcast’s and the governor’s efforts.
The governor then made an end-run around the legislature, funneling nearly $43 million in taxpayer money to aid Comcast and pay for infrastructure near the Comcast building, prompting outrage from many. Comcast’s direct incentives were nearly $13 million.
The economic development funds equated to roughly 10 percent of the building’s cost.
A Cynical Public
At a time when political corruption trials, pay-to-play scandals and conflicts of interest are rampant, polls show the public holds an increasingly cynical view of its government and elected officials. The Pennsylvania legislature has responded by introducing a number of bills aimed at how state contracts are awarded.
Under the Rendell administration, over $1 billion in no-bid contracts have been awarded.
Chris Freind can be reached at cf@thebulletin.us
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rlbj wrote on Mar 27, 2009 11:11 AM: