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July 11, 2006
Geo Hands Out Thousands of Dollars to Richardson and others
Prison firm hands out thousands to Richardson
By Steve Terrell | The New Mexican
July 11, 2006
http://www.freenewmexican.com/news/46237.html
A Florida-based private prison company that does tens of millions of dollars worth of business with the state has become a big player in the world of New Mexico's campaign contributions.
The GEO Group, formerly known as Wackenhut, has dropped since 2002 more than $79,000 on politicians running for state office here. The biggest beneficiary is Gov. Bill Richardson, who has collected $42,750 from the company since 2005.
According to The Institute of Money in State Politics, Richardson, as of May, had received more money from GEO than any other politician nationwide running for state office in this election cycle.
In addition, GEO in March donated $30,000 to the Democratic Governors Association, which Richardson heads -- although the company contributed $95,000 to the Republican Governors Association last year.
The prison company also has given $8,000 to Richardson's running mate, Lt. Gov. Diane Denish, in the current election cycle. Denish got $500 from the company in the 2002 election cycle.
Others who got contributions from GEO this election cycle are former Richardson chief counsel Geno Zamora, who lost the Democratic primary for attorney general, and congressional candidate Patricia Madrid, the current attorney general, whose contribution represents a switch for GEO.
In the past three elections, the company gave to Madrid's incumbent Republican opponent, Heather Wilson. And in the 2002 state attorney general's race, GEO donated to Madrid's GOP challenger, Rob Perry, a former corrections secretary.
While mainly Democrats in this state currently are benefiting from GEO contributions, nationally the firm gives more to Republicans -- $114,157 for GOP state candidates in this election cycle, compared to $74,725 for Democrats, according to the most recent figures from The Institute of Money in State Politics.
Asked whether the GEO contributions affected Richardson's policy pertaining to private prisons, spokesman Pahl Shipley said: "It's outrageous even to imply or infer a connection and absolutely not true. State contracts are fully transparent and must follow strict procurement procedures. Governor Richardson insists that state agencies act in the best interests of New Mexicans and get the best deal for the state."
GEO spokesmen and lobbyists couldn't be reached for comment Monday.
GEO receives about $38 million from the state, approximately $25 million to run the Lea County prison in Hobbs and $13 million for the prison in Santa Rosa. The company has contracted with the city of Clayton to operate the planned prison in that northeastern New Mexico city. That prison will house state inmates.
The Clayton prison will have about 600 beds, close to the number in Santa Rosa.
Also, the state awarded a GEO subsidiary a contract last year to manage the troubled 230-bed Fort Bayard Medical Center east of Silver City and to build a $30 million replacement hospital with the help of tax-exempt bonds.
A key Richardson ally is a registered lobbyist in this state for GEO Care Inc., which manages the Fort Bayard hospital. Lobbyist Joe Velasquez of Washington, D.C., was the director of the national Richardson political-action committee Moving America Forward. Velasquez was President Clinton's deputy political director and a former AFL/CIO executive.
Richardson's campaign manager, Amanda Cooper, said last week that Velasquez was not the reason for GEO's generosity toward Richardson. Velasquez couldn't be reached for comment.
Shipley noted that the actual contracts with private prisons are done through local governments. The state pays to house inmates in the private prisons. The cost varies for each prison. In the Hobbs facility, the state is charged an average of $18,889 per inmate annually.
GEO first began doing business in New Mexico as Wackenhut as part of Gov. Gary Johnson's plan to let private companies manage some of the state's prisons.
During the Johnson years, Wackenhut made headlines when it was revealed it had hired then state Senate President Pro Tem Manny Aragon as a "consultant." Aragon resigned from his post at Wackenhut after receiving severe criticism from both parties.
In contrast to Richardson, Johnson only received $9,330 from GEO for his 1998 re-election campaign.
Richardson, during his 2002 gubernatorial campaign, wouldn't say whether he would maintain Johnson's prison-privatization program. However, since he took office, the private prisons have remained, and there has been no serious talk about getting rid of them.
According to numbers provided by The Institute of Money in State Politics, GEO in the past two years has made more contributions to New Mexico politicians than any other state, save Florida, where the company's headquarters are located.
GEO dropped $58,500 for candidates running for state offices in Florida, just $500 more than New Mexico, according to the institute's latest figures, which don't include federal offices.
However, New Mexico has only two GEO-run prisons (with a third being built) and a hospital. In comparison, Texas has 17 GEO-operated facilities. The company only gave $2,200 to state candidates there.
According to a study by the institute, New Mexico ranks ninth for all states in terms of contributions from the corrections industry, based on numbers from the 2002 and 2004 elections.
"The fact that we don't have limits on campaign contributions makes this state attractive to those companies that want to get a big bang for their bucks," Matt Brix, executive director of Common Cause, a group that advocates campaign-finance reform, said Monday.
GEO, which operates about 50 prison and jail operations in this country, also has contracts in South Africa, the United Kingdom and Australia. The company manages the "migrant operations program" -- for those detained at sea by the U.S. Coast Guard -- at the Guantánamo Bay Naval Base as a joint effort with the U.S. Departments of State and Homeland Security.
Contact Steve Terrell at 986-3037 or sterrell@sfnewmexican.com .
GEO/ WACKENHUT CONTRIBUTIONS
CURRENT ELECTION CYCLE
Gov. Bill Richardson, $42,750
Geno Zamora (unsuccessful candidate for attorney general), $20,000
Lt. Gov. Diane Denish, $8,000
Patricia Madrid (for Congress), $5,000
Democratic Governors Association, $30,000
Republican Governors Association, $95,000
PAST ELECTION CYCLES
Gov. Gary Johnson $9,330 (1998)
Rob Perry (GOP candidate for attorney general), $4,000 (2002)
U.S. Rep. Heather Wilson, $250 (1998); $500 (2000); $2,000 (2002)
WHERE GEO IS CONTRIBUTING TO CANDIDATES (2005 and 2006)
Florida, $58,500
New Mexico, $58,000
Virginia, $34,107
Mississippi, $12,900
Indiana, $11,000
Louisiana, $10,300
California, $10,000
Texas, $2,200
SOURCES: The Institute of Money in State Politics, Federal Election Commission, New Mexico Secretary of State’s Office
Posted by lois at July 11, 2006 09:53 AM
