Matt Boxer
Toll-payer dollars were repeatedly mismanaged and wasted at the Delaware River Port Authority. The reason is ineffective oversight and weak policies, state Comptroller Matt Boxer said in an audit just released. "In every area we looked at, we found people who treated the DRPA like a personal ATM, from commissioners to private vendors to community organizations," Boxer said.
The audit found over the past 10 years more than $1.5 million in commissions derived from the placement of DRPA insurance was shared among disclosed and undisclosed brokers in a series of non-transparent dealings. In trying to find out why Graham Company of Pennsylvania and Willis of New Jersey were chosen as DRPA's brokers, the DRPA could not provide documentation on how Willis was selected.
"Instead, the earliest available documentation relating to Willis' selection is an e-mail from the chief executive officer of another insurance firm, Commerce Insurance Services (now known as Conner Strong & Buckelew) informing Willis that it would be appointed as DRPA's co-broker of record."
Willis officers said they didn't even know they were under consideration. Connor Strong has no official connection to the DRPA, Boxer's office said, nor does it have any authority to appoint DRPA's insurance broker.
Conner Strong is the insurance company run by South Jersey Democratic political boss George Norcross.
Over the next seven years, Boxer said, Willis paid $455,000 of its DRPA-originated commissions to Conner Strong and a related insurance broker. Norcross' company said the money it received was for general marketing and referral. Willis officials said the payments were made as a referral fee to compensate Conner Strong for its role in securing DRPA business for Willis and Willis saw it as a cost of doing business with the DRPA.
DRPA officials told Boxer's investigators they were unaware of the payments from Willis to Conner Strong and the related broker. The DRPA's CEO is John Matheussen, former Republican state senator. If he didn't know where the money is going what the heck does he do with his time? Isn't it his responsibility to know what is going on?
Matheussen was named DRPA chief to get him out of the Senate and the Norcross organization spent $4.4 million in a campaign so that Democrat and Norcross boot-licker Fred Madden could win the state Senate election by 63 votes against former state Assemblyman George Geist who had been appointed to fill the post when Matheussen left.
Matheussen became the first DRPA employee since 1930 to remain in New Jersey's lucrative retirement system. The other employees were in Pennsylvania's. As a state senator, Matheussen would have been eligible for a $12,000 pension. In the DRPA job he was eligible for $60,000 after three years and that figure keeps growing.
The vice chairman of the DRPA is Jeff Nash, a thin-skinned whiner who also is a tool of the Norcross machine. He was a long-time Camden County official and still finds time to be part of a law firm. Although Camden County is relatively large population-wise only a handful of people seem to be available for these jobs.
Boxer's organization has done the first major probe of the DRPA although for years abuse after abuse has been reported. Congratulations to him.
Boxer also found $15,000 was spend on three separate galas co-chaired by a DRPA commissioner who requested the money. The commissioner sat on the board of two of the organizations getting the money. On gala was called, "Argentina-Night of Tango and Wine."
There were two $5,000 payments for the "Get To Know Us" legislative weekends during which DRPA officials had access to Pennsylvania legislators. That included a carriage ride historical tour.
"To state the obvious, commuters who pay to cross the Delaware River every day should not have their toll money used for DRPA officials to enjoy a carriage ride through Philadelphia for a 'night of tango and wine,' " Boxer said.
The DRPA operates bridges across the Delaware at a steep charge to motorists and a rail line from South Jersey to Philly. It has been known as a patronage pit for years. The money collected from tolls often went to projects unrelated to transportation.
Christie went to DRPA headquarters in Camden for a chat with Matheussen and emerged saying Matheussen would be his man in charge of reform. Before that could happen, Matheussen would have to have a clue about what's going on around him. By his own acknowledgement, he doesn't.
The audit went from the McGreevey administration into 2010. Christie requested the audit in 2010, especially wanting a look at insurance-related payments at the DRPA.
Of course, all DRPA people said things at the DRPA are better now, some questionable practices have ceased and all parts of DRPA will continue to improve. All sunshine and roses. We've heard that before, haven't we?