Philadelphia Inquirer, The (PA) October 5, 2007 New Pa.

ethics rules for staffers The tougher policies, in an effort to limit damage from a grand jury probe, focus on political work on state time. Author: Mario F. Cattabiani; Inquirer Harrisburg Bureau Article Text: HARRISBURG - Fearing for his party's slim majority in the state House, Democratic Leader Bill DeWeese has put in place new ethics policies in an effort to restore public confidence damaged in the continuing Harrisburg scandal known as "Bonusgate." The new rules for House Democratic staffers - from a stricter code of conduct to mandatory ethics training - come from recommendations by a "risk management" consultant hired in March amid public criticism that the caucus awarded $1.9 million in bonuses last year to 678 caucus workers. DeWeese (D., Greene) brought in Chadwick Associates, a Washington-based consulting firm, before State Attorney General Tom Corbett launched a grand jury probe to examine whether government bonuses were handed out to legislative aides from both parties last year as a reward for off-the-books campaign work. Through the end of August, DeWeese has paid the consulting firm $180,000 from a state discretionary account he controls. DeWeese said the effort was aimed at finally ending a "culture of causality and politics as usual" that has existed in Harrisburg for decades. "People need to be absolutely certain that all political activity is after 5 o'clock or on the weekends," he said. "We have done our best to make certain that that was historically the case, but I thought it was important to encode this ethos in a code of conduct and a compliance system." Using on the firm's recommendations, House Democrats have redrafted internal employee policies that prohibit campaign work on state time and for the first time impose penalties, including the possibility of termination, for violators. The firm also has led training sessions on the new policies for 600 legislative employees so far. William Chadwick, who runs the consulting firm, said his mission was to serve as a set of independent eyes focused on "evaluating the practices, policies and procedures of the caucus, to make recommendations for improving internal controls

and to ensure compliance with the law and promote public confidence in the operations of the caucus." Chadwick, a Republican, was a top assistant district attorney in Philadelphia under Ron Castille in the 1980s. He was appointed by Gov. Robert P. Casey to be his inspector general, and later was hired as executive deputy general counsel for Gov. Tom Ridge. On its Web site, the company describes itself as providing "sophisticated riskmanagement, security and investigative services to domestic and international clients." The state attorney general launched an investigation six months ago after the Harrisburg Patriot-News broke a story about the previously secret bonuses. Kevin Harley, a spokesman for the attorney general, confirmed that the agency has been investigating the bonuses given out by Republican and Democratic leaders in the House and Senate to determine if they went "for legitimate legislative work or campaign-related activity." During recent weeks, at least seven House Democratic aides have been called to testify before a grand jury probing the matter. In August, attorney general investigators seized 20 boxes from the research offices of House Democrats. Legislative leaders in Harrisburg fear that the grand jury probe could further damage the already fragile public perception of the General Assembly and produce another voter uprising like the one ignited last year by the pay-raise scandal. House Democrats have perhaps the most to lose. Last November, they captured the majority in the state House for the first time in 13 years, and DeWeese narrowly won his own reelection. They hold a slim 102-101 majority. At $1.9 million, they gave out four times more in bonuses in 2006 than did the three other caucuses combined. On Tuesday, a Senate panel unanimously endorsed a bill that would ban all future bonuses throughout state government. Leaders from both parties had defended the bonuses as merit-based and an effective tool to increase worker productivity without the need for more costly raises. And all denied ever handing out bonuses on the basis of a staffer's work on legislative campaigns.

Still, all four caucuses have since ended the practice of awarding bonuses. Before the scandal broke, Democrats and Republicans in both chambers had in place policies that prohibited campaign work on government time. House Republicans have also hired a consultant, but at a much smaller price tag and for a more limited role. In the last month, the caucus has entered into a $9,700 contract with Compdata, a national compensation survey and consulting firm based in Olathe, Kan., to review its salary structure. Senate Republicans and Democrats have not hired any such consultants, aides said. For DeWeese, it's the latest effort taken to convince the public that he and his caucus have changed since the pay-raise controversy. Earlier this year, DeWeese gave up his state-paid driver who had for years chauffered him from his Greene County district to the Capitol. He likewise ended a long-standing policy of catering meals for Democratic members and staff during days the legislature was in session. Yesterday, one political activist blasted as wasteful DeWeese's move to hire a consultant. "This is not a morality car wash where you drive through and declare yourself cleansed of past sins," said Eric Epstein, founder of RockTheCapital.org, a Harrisburg group pushing for greater accountability in state government. "Bill DeWeese couldn't back out of his driveway without running over a taxpayer." DeWeese, however, defended the expense, calling it an "investment that is meant to last for a generation." "Twenty years from now, the impact will still resonate in the process," he said. Contact staff writer Mario F. Cattabiani at 717-787-5990 or mcattabiani@phillynews.com. Copyright 2007 Philadelphia Inquirer, The (PA) Record Number: 20071005_inq_region_SBONUS