Post by pavel on Apr 12, 2016 3:09:34 GMT -6
Louisiana treasurer John Kennedy could be ousted as leader of powerful panel as new bill advances
A bill that could unseat State Treasurer John Kennedy as the chairman of the State Bond Commission, the powerful board that oversees the borrowing of money for state construction projects, advanced through a Louisiana Senate committee Monday, despite objections from Kennedy’s staff.
State law dictates the treasurer is automatically the chairman of the State Bond Commission. The proposed change, sponsored by Sen. J.P. Morrell, D-New Orleans, would allow the State Bond Commission members to vote among themselves to appoint a board chair.
The treasurer still would retain a seat on the board.
Debate about the legislation grew personal, toward Kennedy and his campaign for U.S. Senate, after Kennedy’s staff appeared before the committee to oppose Senate Bill 433.
Thomas Enright, executive counsel for the Treasurer’s Office, said taking away Kennedy’s role as leader of the Bond Commission would violate his constitutional duties to oversee the investment and disbursement of money for the state. Enright also suggested that bond rating agencies that control the state credit rating and ability to borrow money could react to seeing Louisiana change its governance of the issuing debt after some 50 years of handling it the same way.
Read more: theadvocate.com/news/15460158-127/bill-that-would-remove-state-treasurer-from-overseeing-bond-commission-met-with-opposition-from-john
A bill that could unseat State Treasurer John Kennedy as the chairman of the State Bond Commission, the powerful board that oversees the borrowing of money for state construction projects, advanced through a Louisiana Senate committee Monday, despite objections from Kennedy’s staff.
State law dictates the treasurer is automatically the chairman of the State Bond Commission. The proposed change, sponsored by Sen. J.P. Morrell, D-New Orleans, would allow the State Bond Commission members to vote among themselves to appoint a board chair.
The treasurer still would retain a seat on the board.
Debate about the legislation grew personal, toward Kennedy and his campaign for U.S. Senate, after Kennedy’s staff appeared before the committee to oppose Senate Bill 433.
Thomas Enright, executive counsel for the Treasurer’s Office, said taking away Kennedy’s role as leader of the Bond Commission would violate his constitutional duties to oversee the investment and disbursement of money for the state. Enright also suggested that bond rating agencies that control the state credit rating and ability to borrow money could react to seeing Louisiana change its governance of the issuing debt after some 50 years of handling it the same way.
Read more: theadvocate.com/news/15460158-127/bill-that-would-remove-state-treasurer-from-overseeing-bond-commission-met-with-opposition-from-john