The one thing missing from the insurance commissioner's site ' and a recent interview ' is anything actually labeled a "plan." It's highly unlikely he'll produce one before the Sept. 30 election, and a subsequent runoff is just as improbable.
State Sen. James David Cain, the other front-running contender, has a five-point plan for ethics reform, but the nasty tone of the race and the heft of the issues overshadow the proposal. On his Web site's home page, Cain writes that "politics as usual" won't get the job done, and accuses Donelon of "profiting from power" in a series of muddy news releases.
It's only an inkling of the verbal fisticuffs between the two men. Most recently, Donelon accused Cain of accepting illegal contributions from companies working for the state. Cain's campaign manager said that if the money is tainted, it will be returned, but at least one of the companies named by Donelon in his attack has no ties whatsoever with the state.
Donelon also slammed Cain for supposedly making $8,000 from a Colorado pyramid scam that bilked Louisiana investors for more than $90,000. Cain contends he lost money on the deal, and he was introduced to it by a former district attorney from Vernon Parish.
On other occasions, Cain has used public records from when Donelon served in the state House during the '90s. He has criticized Donelon for awarding his own daughter a scholarship to Tulane University, which is a perk for lawmakers, and for landing a contract with the Louisiana Insurance Guaranty Association while sitting on the House Insurance Committee.
While the dirt-digging has been plentiful, there haven't been many polls on the race released to the public. One poll published in late August had both men within a few points of each other, with the incumbent leading only slightly. Money and support, however, do help to break up the field a bit.
According to the most recent campaign finance report available, Cain spent more than $200,000 on a media buy earlier this month, but still had in excess of $781,000 in the bank as of last week. He has been endorsed by former LSU men's basketball coach Dale Brown and by Republican Deanne Henke, the Lafayette financial advisor who recently dropped out of the race for insurance commissioner.
Donelon has slightly less money on hand than Cain, to the tune of $561,000, but he also made a $500,000 media buy in late August, which should saturate the statewide marketplace before election day. Donelon has picked up the endorsement of the Alliance for Good Government, highly coveted in some circles, and there are also indications that Donelon has close ties to GOP bigwigs ' and he has the $2,000 check from former Louisiana Congressman Billy Tauzin to prove it.
But money and mudslinging will only get you so far, especially with a post-Katrina and Rita electorate.
In separate interviews last week, The Independent Weekly asked both candidates what they would specifically do about the scarcity of home insurance in coastal Louisiana, the perceived ineffectiveness of the Insurance Rating Commission and the fledgling Citizens Property Insurance Corp. In most cases, the follow-up answers were linked to the weather, Congress, the Legislature or other external factors unrelated to the leadership ability of the candidate. Barry Erwin, president of Council for a Better Louisiana, a nonprofit group that monitors state government, says the platforms sound flimsy this year because the challenges are so daunting.
"I don't know of any real plans, per se, in the insurance commissioner's race," Erwin says. "I think their hands are going to be tied in some ways. While I think leadership is at the core, a lot of these issues are intangible."
For instance, when it comes to the Insurance Rating Commission, the government agency that has veto power over rate increases of more than 10 percent, Donelon and Cain, both Republicans, look elsewhere for change. The IRC has fallen under heavy criticism in recent years for its political appointees and special authority ' it's the only board of its kind in the nation.
"That is a decision for the Legislature to make," Donelon says, adding there is no reason to change the IRC. Cain, on the other hand, says he will work to abolish the IRC, even though he voted against such an initiative as a state senator. But don't expect him to act on it swiftly; he's "hoping it will be an issue during the next governor's election."
"The insurance commissioner likes it because he can hide behind it," says Cain, a resident of Dry Creek. "Let the buck stop with me."
Erwin says neither candidate is directly addressing the issue: "It seems the insurance commissioner can, and should, develop a detailed plan for how his office can deal with the IRC directly."
As for convincing more insurance companies to return to Louisiana and start writing policies again, Donelon says the most important thing for the state is to make it safely through the next few hurricane seasons. "That will begin softening the market," Donelon says. Aside from that, he says he'll travel the nation telling insurance companies to "come to our marketplace because it is a viable place to do business with a fair and balanced regulatory scheme."
Cain points to his ethics plan, which would create new positions in the department, like inspector general and complaint resolution officer. The plan also calls for a consumer advisory board and toll-free fraud hotline. "This department has the worst reputation of any other department in Louisiana," Cain says. "We need to change that. People will see we're changing, and insurance will become more available."
Both men tout the benefits of a regional or statewide "catastrophe fund" to help the situation, but that is largely in the hands of Congress. A similar fund was established in Florida following Hurricane Andrew to sustain insurance claim-coverage capacity in the aftermath of a disaster. It serves as a reinsurance program that reimburses insurers for a portion of catastrophic hurricane losses.
The catastrophe fund was also noted by Metairie resident Donelon as a potential solution to the dilemma with the Louisiana Citizens Property Insurance Corp., the state's insurer of last resort. It incurred a debt of more than $1 billion following last year's hurricane season, and a resulting assessment is forcing consumers around the state to pick up the tab. Its solvency is in question, and consumers are complaining about slow payoffs.
Cain suggests Citizens become more like a real corporation, with a board of directors made up of professional insurers, CPAs and other industry representatives.
When it comes down to election day, Erwin says solving problems in a post-Katrina marketplace is going to take a lot more than just one man.
"I don't think they can solve all of these problems," Erwin says. "That's just the nature of things. Even though it would be nice, it's not like the insurance commissioner can wave a wand and make everything better."
Despite sweeping changes enacted by Gov. Bobby Jindal's administration, the health insurance program for state workers and public school employees will have to use $88 million from its reserve fund to cover its costs this year.
The LPSB races are sure to get heated between now and Nov. 4, and with only 9 available seats, this year's field of 20 candidates will surely be wanting to set themselves apart from the crowd early; they'll get their chance next week, starting Tuesday with the kick-off of a three-day series of candidate forums.
Lawmakers say they've received complaints that waits have spiked, with people being forced to wait in line for more than an hour — and sometimes three hours — to handle routine tasks.
The campaign announced that Rep. Stuart Bishop of District 43 and Nancy Landry, District 31, have thrown their support behind the Naval Academy graduate and entrepreneur in his bid to unseat current Hunter Beasley in District 8.
A Lafayette man with an alleged taste for child porn was busted Thursday evening during a cyber crime sting launched by the Attorney General’s Office.
U.S. Rep. Vance McAllister says his chief of staff is on temporary leave after being booked with drunken driving.
It was a rare moment in Congress this week as Republicans briefly put aside partisanship in support of President Barack Obama's request to train and arm Syrian rebels, and while a number of Democrats opposed the measure, Louisiana's Democratic Sen. Mary Landrieu found herself on the same side of the issue as her Republican challenger Rep. Bill Cassidy.
Home Depot breach bigger than Target; Alibaba IPO could be big; Rivers' last project and more national and international news for Friday, September 19, 2014.
Friday's Blogs from the Bog!
City-Parish President Joey Durel is asking the council to sign off on a resolution approving a pair of deals that would lead to razing the seedy Lesspay Motel at Four Corners to build a new police substation as well as transforming nearly a block Downtown where the old federal courthouse building now molders into a mixed-use development.
In 2013, the IRS — already the least popular governmental agency in the country — became the target of intense investigations after it was revealed that they had specifically and improperly scrutinized applications for tax-exempt status from organizations associated with the nascent Tea Party movement.
Improving the running game was "a point of emphasis" during the offseason and the results have manifested themselves in the form of substantially greater production.
Louisiana's health department said Wednesday that its evaluation of the state's Medicaid privatization was on target, despite criticism from the legislative auditor that it lacked key data and contained inconsistencies.
The feds converge on your office, seizing records on several employees as part of a pay-for-plea investigation. WWYD? If you’re Mike Harson, you give yourself a $12k raise.
It’s football season and after back-to-back winless weekends for the Saints and the Cajuns many citizens are finding it difficult to be civil much less happy. Well, chew on this.
Considering his repeated stays in the local penal system, David Narcisse Jr. should have known that having a semiautomatic shotgun, even one given to him by a friend, wasn’t the brightest of ideas.
A state district judge on Tuesday threw out a last-minute retirement hike lawmakers gave to the state police superintendent, ending a political firestorm over a pension boost passed without public scrutiny on the last day of the legislative session.
The House has passed a bill to increase oversight of veterans' hospitals under construction, following a report that some medical centers take three years longer to complete than estimated and cost an extra $366 million per project.
An obvious follow-up question for any Republican politician who accuses Democrats of being science deniers is one about science, to which Jindal bobbed and weaved like a welterweight champ.
The Lafayette City-Parish Council is expected to decide tonight (Tuesday) whether to go along with a proposal City-Parish President Joey Durel made in February’s State of the Parish Address and consolidate taxes for mosquito control and the parish health units into a broader tax program that would also cover animal control.
U.S. District Judge Richard Haik has dismissed Greg Davis’ lawsuit against the LPSB, yet in his ruling, the federal judge doesn’t bite his tongue in pointing out the "threat" being posed by certain board members.
Of all the political offices being contested throughout Lafayette Parish, the race for Broussard’s top police post has literally become one of the most heated.
A state district judge is deciding whether to issue an injunction against the enforcement of a last-minute retirement hike that lawmakers gave to the state police superintendent.
A new website is up for Louisiana's state government employees and retirees to choose their health insurance plans for next year, a choice they must make by October.
That fact that New Orleans led both games in the final 10 seconds of regulation, and lost each by a field goal or less, is of little solace.