Later this year, it is possible --- even probable --- that the following individuals will all be in jail: former powerhouse Senator Vince Fumo, former House Speakers John Perzel and Bill DeWeese, Senators Jane Orie and Bob Mellow (both of Leadership), and former Representatives Mike Veon and Brett Feese (also from Leadership). 

On the one hand, seeing corrupt politicians brought to justice is a good thing, as is all the money they are giving back to taxpayers via forfeited pensions.

But there is a downside. While such offenders should obviously be prosecuted, people’s cynicism toward their government seems to be at an all-time high. Why? Because the rampant corruption still occurring --- the kind that directly affects people --- just isn’t being tackled seriously. 

Despite elements of corruption --- both institutional and criminal --- so apparent that even a law student could successfully prosecute the violators, nothing seems to get done. 

Worst of all are the pols who campaign as straight-shooting, law-and-order reformers, hell-bent on rooting out corruption, yet do nothing of the kind when elected.  Sadly, they often end up as corrupt as those they challenged.  The status quo remains intact, and, save for a bit of window dressing “reforms” here and there, it’s Business As Usual.

Nowhere is that more apparent that the Delaware River Port Authority (DRPA), one of the most powerful --- and corrupt --- organizations in the entire nation.

But wait! Could there be hope after all of reforming the Authority?  Sources say that a report from the New Jersey Comptroller’s Office will be released soon (possibly Monday), and that a gag order has been placed on its contents by the DRPA’s Chairman, Pennsylvania Governor Tim Corbett.  Sounds so cloak-and-dagger that it’s just possible to think maybe, just maybe, this might finally be the time when the bums are kicked out, replaced by honest folks with only one objective: responsible stewardship of the toll payers’ money.

After all, on the other side of the river we have firebrand Governor Chris Christie, who, like Corbett, is a former prosecutor.

So will this be the day we’ve been waiting for?

Fat chance. Very fat.

*****

Freindly Fire (FF) has been the longest-serving media voice taking on the DRPA and the heavyweights involved with the Authority (Ed Rendell, Jon Corzine, the Ballard Spahr law firm, CEO John Matheussen, and past and present Boards, to name just a few). For much of the past four years, FF has been alone in its quest to upend the corrupt regime, eliminate mammoth conflicts of interest, fire double-dipping executives, and bring accountability to the agency.  Joined by FOX 29 in 2010--- and pretty much only FOX 29 --- a number of the above objectives were met.  DRPA execs were scrambling (some were canned), a few reforms were instituted (though mostly toothless), criminal investigations were launched, and both new governors promised swift and decisive action.

But then it all fell off a cliff.

While we have moved in the right direction, it is not nearly good enough.  Quite frankly, this report will probably accomplish nothing.  Sure, there will be press conferences with harsh warnings from Corbett and Christie for the DRPA to shape up, Board members will say all the right things, and taxpayer and reform groups will fall for the same empty promises. And you know what will happen?

Absolutely nothing.

Therefore, it seems appropriate to take a new position regarding all things DRPA --- I am apologizing.  In retrospect, I have been wrong across the board these past few years, and it is only fitting to publicly eat crow for those errors. I am man-enough to admit my mistakes.  Here are some of the most substantial:

1) I was wrong to think Tom Corbett would make good on his promise to clean house upon becoming Governor (and making himself DRPA Chair).  Instead, he chose to appoint hacks, lawyers (redundant?), former union officials, large-dollar political contributors and lobbyists to the Board, without so much as one reformer.

2) I was wrong to think Christie would use his office as a bully pulpit to demand the Jersey Board members (whom he can’t replace until their terms expire) to fire CEO Matheussen, under whose “leadership” the DRPA has become synonymous with “corrupt.”  This is a CEO, by the way, who has been working without a contract for years, makes more than either governor, and stands to pocket a six-figure sum of toll payer money in accumulated sick/vacation days when he finally leaves. Yet he remains because there has been no political will to remove him.

3) I was wrong to think the other media outlets (except FOX 29) would jump on board, exposing the DRPA for what it really is.  And I was wrong to assume they were capable of doing so in the first place, despite time and again giving them an exact roadmap for investigative articles.

4) I was wrong to think the Philadelphia Inquirer --- both under former publisher Brian Tierney’s failed leadership and the current sell-out ownership --- would cover the DRPA as a media watchdog should.  Could such inaction have been caused by Tierney begging Rendell for a taxpayer-bailout of the paper? And let’s not forget that, while R.endell was in power, the acting Board Chairman was John Estey of Ballard Spahr --- Rendell’s former Chief of Staff, a major Rendell fundraiser, and a fellow member of Rendell’s law firm.  So obviously, I was wrong to even consider the possibility that the paper could objectively cover the matter.

5) I was wrong to expect that over $35 million in “economic development” money ---codespeak for political slush funds used for everything under the sun ---except the bridges --- would be spent on 1) the long-overdue re-decking of the Walt Whitman Bridge; 2) helping offset yet another toll increase; or 3) paying down some of the DRPA’s enormous debt. 

And I would be wrong to end my list here, since there is so much more.  So check back next week for even more wrongs.  And who know?  Maybe all these wrongs might somehow make it right…

An accredited member of the media, Chris Freind is an independent columnist, television/radio commentator, and investigative reporter who operates his own news bureau, www.FreindlyFireZone.com  His self-syndicated model has earned him the largest cumulative media voice in Pennsylvania. He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

A changing of the guard occurred this week at the scandal-plagued Delaware River Port Authority (DRPA), as Governor Corbett appointed himself the new Chairman, and replaced five Board Commissioners.

The law-and-order Corbett has pledged to clean up the Authority through openness and transparency, vowing to oversee an entity free of the conflicts that plagued the prior Board.  But his appointments --- all political insiders --- have left many wondering if anything has really changed.

As Chairman, the Governor sets the DRPA agenda, and he deserves the benefit of the doubt that he will live up to his promises.  That said, a look at the new Commissioners reveals that none are known as reformers or good-government advocates, and, in fact, raises new questions, such as whether the companies of Board members will be eligible to receive DRPA contracts.

Cumulatively, the backgrounds of the six new Board Commissioners feature four lawyers (including one who works for the same firm as Montgomery County GOP Chairman Bob Kerns and State Senate Transportation Chairman John Rafferty), a real estate executive, a former union vice president, an official from the scandal-plagued Street Administration, large dollar campaign donors to Corbett, a prominent GOP fundraiser, and former officials of a number of Philadelphia’s not-so-respected entities: the Philadelphia Industrial Development Corporation, the Philadelphia Redevelopment Authority and the Seaport Museum (which played a major role in the corruption trial of convicted ex-senator Vince Fumo). 
 
The new appointees to the board:

-William Sasso, board chairman at Stradley Ronon Stevens & Young law firm in Philadelphia. Sasso is a prominent Republican fund-raiser and was a co-chair of Corbett's transition team. The Stradley firm contributed $173,000 to Corbett.  As an individual, Sasso donated $23,000 to Corbett’s attorney general and gubernatorial campaigns.

-Joanna Cruz, an attorney with Kerns, Pearlstine, Onorato & Hladik, the firm of Montgomery County GOP boss Bob Kerns and State Senate Transportation Committee Chairman John Rafferty. Kerns contributed $7,500 to Corbett.

-Joann Bell, an executive at Pugliese Associates, a lobbying and government relations firm. A former special-projects manager for the Philadelphia Industrial Development Corporation and former vice president of AFSCME District Council No. 47, she was also an economic-development coordinator in former Mayor John F. Street’s Administration. The Pugliese political action committee contributed $1,500 to Corbett.

-Walter D'Alessio, vice chairman of a real estate investment banking firm, and senior managing director of a real estate consulting group. A former chairman of the board of the Independence Seaport Museum, and former executive director of the Philadelphia Redevelopment Authority, he also served on Corbett's transition team and donated $2,500 to the Governor.

-David Simon, senior vice president and general counsel for Jefferson Health System in Philadelphia. Former general counsel to the Pennsylvania Insurance Department, he contributed $29,500 to Corbett's campaigns and served on the Governor’s transition team.

On a similar note, Corbett appointed attorney Charles Kopp to serve as Chairman of the Philadelphia Regional Port Authority.  Lawyers at Kopp’s firm, Cozen O’Connor, donated nearly $150,000 to the Governor’s campaigns.

Corbett’s consistency is being called into question.  Despite advocating fiscal discipline and adhering to the free market system, he supports the subsidized Philadelphia Shipyard bailout. Similarly, criticizing Rendell for his DRPA conflicts seems a bit hollow when the new Corbett Board has more than its share of cozy relationships with the political powerbrokers.

This is not to call into question the integrity of any new Board member, nor the Governor himself. All may turn out to be true reformers, smashing the DRPA’s Business As Usual reputation as a haven of political patronage and a piggy bank for the insiders.

But until bold action and aggressive leadership takes place, that’s an impossible sell to an extremely cynical public. Based on Corbett’s promises to right the ship, there was not just the hope but the expectation that he would appoint good-government reformers to the Port Authority. 

That didn’t happen. At all.

So what needs to be done to earn back the public’s trust? Here are four quick ways:

1) Stop the 25 percent toll increase slated for July, and put commuters ahead of Wall Street bondholders and the DRPA itself. At Corbett’s first Board meeting this week, he said commuters should be able to use the bridges as “cheaply” as possible.  Well, stopping the back-breaking toll hike is the only way to accomplish that.  But if he waits any longer, that goal becomes almost unattainable, as there simply won’t be enough time to realize cost-savings which would offset the revenue generated by the toll increase. The clock is ticking.

2) Fire CEO John Matheussen as well as most top executives. It’s bad enough Matheussen makes $50,000 more than either governor (and, up until investigative media reports aired, was enjoying a $17,000/year car allowance), but his reign has been one of catastrophic failure.  The DRPA debt substantially increased, economic development projects having nothing to do with the bridges continued unabated, conflicts ran rampant, and he kept the Board itself in the dark on numerous issues. He would have been fired years ago had he been in the private sector.

And while it’s technically true that he can’t be “fired” by either Corbett or Gov. Christie (a majority of Board members is necessary to do that, and the Jersey Boys have been reluctant to can their patronage king), there is no way on God’s green earth that Matheussen or the Jersey Board can withstand the pressure of two powerful governors, who each have an ace-in-the-hole.  It’s called the Bully Pulpit.  Time to use it.

3) Slash costs across the board.  It is simply not necessary to have 900 employees with lavish salaries and benefits operating four bridges and a short rail line.

4) Authorize a top to bottom forensic audit from a non-political firm. If no stone is left unturned, millions upon millions in savings will be realized.
Despite the Board meeting being a prime occasion to initiate such ideas, something else happened: absolutely nothing.

Corbett promised “a deep review before making any major changes” and stated his intention to get out of the economic development business. 

That’s not exactly going out on a limb, since economic development had already been stopped. And there’s no economic development money left anyway!

For Corbett to say it was too early to replace Matheussen or to make any other big changes because he needed more time to figure things out boggles the mind.  The Governor should have been up to speed already since he was Attorney General when criminal misconduct was being reported (which is why the New Jersey AG is conducting a criminal investigation).  As a gubernatorial candidate for over two years, he was well aware that the Pennsylvania governor picks the DRPA Chairman, and could not possibly have overlooked the comprehensive media coverage of the DRPA debacles.

Oh, wait.  The Governor doesn't acknowledge the validity of those reports. "I don't judge anything, no offense, by what you people put in newspapers and on TV," he said after the meeting.

Does that mean Mike Joyce of the EZ Pass scandal was framed? Were all the investigative reports devoid of documented facts?  Did the DRPA agree to reforms for any other reason than the hard-hitting media coverage?

All of which gets back to the fact that the toll-paying public will have to wait at least another month to see action.  And their patience is growing thin.

A golden opportunity to win political capital is in danger of being lost by Corbett--- mandatory if he is to successfully tackle the tough issues ahead (budget, pension reform, school choice, privatization of liquor).  The Governor doesn’t seem to understand how important reforming the DRPA has become to the Southeast, home to half the state’s population. His board appointees and the lack of bold leadership have sent the message that, as of now, nothing has changed.

And here’s the biggest irony.  In four months, when commuters and shore-bound drivers realize the toll is $5 (up from $4 now, and $3 two years ago), compounded by $5/gallon gas, whom will they blame? Here’s a hint: it won’t be Rendell, but the man in charge.

Despite changes to the DRPA over the last year, conflicts and corruption still exist.  Time will tell whether the Port Authority can earn back the public’s trust, but if a serious effort isn’t made by Governors Corbett and Christie to clean house, fire CEO Matheussen, and stop the impending 25 percent toll increase, that may just be… a bridge too far.

Chris Freind is an independent columnist, television commentator, and investigative
reporter who operates his own news bureau, www.FreindlyFireZone.com

Readers of his column, “Freindly Fire,” hail from six continents, thirty countries
and all fifty states. His work has been referenced in numerous publications including
The Wall Street Journal, National Review Online, foreign newspapers, and in Dick
Morris' recent bestseller "Catastrophe."

Freind, whose column appears regularly in Philadelphia Magazine and nationally in
Newsmax, also serves as a frequent guest commentator on talk radio and state/national
television, most notably on FOX Philadelphia.  He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Throughout history, there have always been makers and takers.

Makers create things: jobs, products and wealth.  Takers produce nothing. Instead, they leech off the makers. 

And the biggest taker of all is government.

Oppressive, “taking” governments hold center stage in most foreign countries, where taxpayer rights and the rule of law are cocktail party jokes. But increasingly, the takers are also making their mark in America, squeezing the economic lifeblood out of business and zapping citizens’ creativity and hope.

Usually, the take comes in increments, with public officials saying it’s our duty to accept such small sacrifices. But once the takers set their hooks, they never let go. Consider:

-The tax we pay on every bottle of Pennsylvania liquor to rebuild Johnstown from the flood is “just” 18 cents per dollar.  Granted, reconstructing the mega-metropolis of Johnstown must have been a Herculean task, but the flood was…. in 1936.

-The recent city sales tax hike for Philadelphia is “only” a penny, and the city’s 10 percent property tax increase is “temporary.”  The truth: residents are leaving the city to make purchases because of the “small,” 100 percent hike; and no tax is ever temporary.

-And of course, we have the Delaware River Port Authority (DRPA) who, after mismanaging our toll dollars (READ: spending half-a-BILLION dollars on economic development projects having nothing to do with the bridges), now finds it fitting to raise tolls --- again --- on its four bridges and the PATCO train line. But hey, it’s just a dollar!  Take one for the team, we’re told.

So what’s a toll-payer to do?  Answer: Relax, you’ve already done it.  You elected Republican Attorney General Tom Corbett as Pennsylvania’s new Governor, and he gets to wipe the Rendell-slate clean and appoint a new DRPA Chairman and Board of Commissioners for Pennsylvania.

And make no mistake, with the no-nonsense law-and-order bookends of Corbett and New Jersey Governor Chris Christie now running the Authority, it’s a whole new ballgame, and the toll hike can, and should, be stopped before it goes into effect on July 1.

All it takes is political will.

                                                                        *****

It is not enough to play the blame-game with Port Authority executives and former Governors Rendell and Corzine, all of whom presided over the unmitigated disaster that now defines the DRPA.

While it is important to remember how the Authority got us into this mess, and to hold accountable those who disregarded the toll-paying public (and possibly the law), only immediate, concrete solutions can halt the back-breaking hikes, and prevent future increases that the public simply can’t afford, and shouldn’t have to pay. 

To put into perspective how truly bad things have become, just look at the driving force behind the toll increase: Wall Street bondholders.  That’s right.  Those financiers are so concerned about their investment that they have been relentlessly pushing the Board to put the screws to commuters and jack up the rates.

The mind-blowing lesson from this past week’s Board meeting is that the DRPA isn't being run for the public anymore (not that it ever was). Instead, its reckless spending now has them dancing to Wall Street's tune.  The interest of bondholders trump the public because of the debt carried for economic development projects that A) don't help the economy, and B) develop only animosity for the DRPA.  With absolutely no revenue return to the DRPA, the projects were, and still are, a black hole of political patronage, funded by the public for the sole benefit of the DRPA insiders.

However, there is a silver lining to this mess.  For the first time, the public and honorable politicians are starting to look at how the DRPA can be dismantled.  Leasing it to a private entity, selling PATCO, and dissolving the governing compact are all options --- once unthinkable --- now on the table.

Here are several actions that would allow to the DRPA to regain a solid financial footing while not raising the toll, and, most important, start down the long road of earning back the public’s trust:

1) Gov. Christie should veto the Board’s actions, which approved $200 million in more spending for PATCO.  Whether that money must be spent is irrelevant; common sense dictates that the DRPA should wait 30 more days until Corbett and his appointees come to power and have their say. This is exactly what the Board did last December when it rushed to pass patronage projects ahead of Christie’s inauguration (and his veto power).

2) Gut the DRPA, starting at the top.  Fire all high-level executives, who would have been canned long ago had they worked in the private sector.  Their lack of even basic performance reminds us of the speech delivered to shareholders by Gordon Gekko in Wall Street, “…Teldar Paper has 33 different vice presidents, each earning over 200 thousand dollars a year. Now, I have spent the last two months analyzing what all these guys do, and I still can't figure it out…. in my book you either do it right or you get eliminated.”  The DRPA’s top brass are the toll-payers’ Teldar executives.

3) Slash employees, salaries and benefits. Why the need for 900 employees --- with lavish salaries and benefits --- to operate four bridges and a short rail line is still a mystery.  And to add insult to injury, many executives make more than the governors of both states.  For example, CEO John Matheussen betters them by $50,000 per year, and, up until recently, had a $17,000/year car allowance.  It is unfortunate when people get laid off, but many positions should never have been created in the first place.  The DRPA is a revolving jobs program for the politically connected, subsidized by hapless commuters, and that must end.

4) Freeze all economic development money, period.  That goes for dollars still in the pot and monies allocated but unspent.  Rendell’s lack of legal knowledge in this area notwithstanding, the DRPA is not contractually obligated to spend the money already awarded for these projects.  And to those recipients who yell that they want “their” money, the toll-payers have news for them: it’s not “their” money, and they possess no God-given right to pig-out at the public trough.

5) Perform a bend-over, proctologist-like forensic audit, top to bottom (no pun intended) of absolutely everything.  Here’s the key: it cannot be performed by the Pennsylvania Auditor General since he sits on the Board, and, no disrespect to Gov. Christie, but the New Jersey Comptroller is a political appointee.  The only way this type of audit bears any fruit is to have an outside firm --- way, way outside, with no political ties whatsoever --- come in and turn over every stone. Heck, maybe they’ll even find more interesting tidbits to pass along to the New Jersey Attorney General’s Office, currently investigating the Authority.

6) Have only one cash lane per bridge, eliminating three shifts of toll-takers making $24/hour plus benefits.  Ideal?  No, but that’s the price for getting back to a bare bones operation without paying more tolls.

7) Explore public-private partnership and leasing options. DRPA executives were never motivated to run the Authority like a business; in fact, the opposite was true.  The more money they spread around, from no-bid legal work (often where NJ and PA law firms would each generate billing for the same project) and insurance contracts, to engineering and economic development expenditures, the “return” was not Port Authority efficiencies, but personal gain and political profit.

If all management and operational aspects were turned over to a private, for-profit company skilled in streamlining techniques and maximizing efficiencies, the cost savings could be astronomical.  Such programs have been tried successfully with other toll roads, and a management company (with government oversight) could provide immediate and long-lasting savings.

It is time, once and for all, to see the DRPA return to its original mandate: collect toll dollars to operate and maintain safe bridges… bridges that have been paid for numerous times over.  Gov. Corbett has an historic opportunity to do just that by appointing reform-minded, accountable Commissioners --- former cop and current State Representative Mike Vereb, who continues to bulldog the DRPA into more reforms, comes to mind --- and immediately move to stop the toll hike. 

By instituting common sense cost-cutting measures and working closely with Gov. Christie to root out corruption and explore privatization options, Corbett may yet drive the DRPA back from the bridge to nowhere.

Who says you can’t fight City Hall?

Chris Freind is an independent columnist, television commentator, and investigative reporter who operates his own news bureau, www.FreindlyFireZone.com
Readers of his column, “Freindly Fire,” hail from six continents, thirty countries and all fifty states. His work has been referenced in numerous publications including The Wall Street Journal, National Review Online, foreign newspapers, and in Dick Morris' recent bestseller "Catastrophe."
Freind, whose column appears nationally in Newsmax, also serves as a guest commentator on Philadelphia-area talk radio shows, and makes numerous other television and radio appearances, most notably on FOX.  He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

In yet another unbelievable act of arrogance, the Board of the Delaware River Port Authority last week rescinded a reform that had been pushed by New Jersey Governor Chris Christie. 

The Board’s action once again permitted free bridge trips for DRPA employees commuting to work.

Not unexpectedly, Christie vetoed that action, and the ensuing headlines made the Governor out to be a conquering hero --- not altogether an untrue assessment. 

Possibly wary of Christie’s wrath, the New Jersey Board members issued a mea culpa, saying that if they had the chance to vote again, they wouldn’t allow the free trips.

In fact, the Jersey Boys went so far as to state, “…we are prepared to move the remaining reforms proposed by the Governor, and in the future be ever cognizant of putting the interests of our customers first.

A nice gesture, if it is to be believed.

Unfortunately, based on the track record of corruption and conflicts, that’s a stretch.  Instead, it seems like the classic DRPA Two-Step: say one thing, but do another.

But we won’t have to wait long to find out how serious both Christie and the Board are at reforming the DRPA, given the latest bombshell revelations which broke after last week’s Board Meeting.

In their classic style, the Authority’s Big Three ---CEO John Matheussen, Chairman John Estey and Vice Chairman Jeff Nash --- once again emphatically demonstrated that there are two sets of rules: one for themselves, and another for everybody else.

Veto notwithstanding, the major question still remains: will the Business As Usual leadership continue to rule the DRPA, or will Christie follow through on his promise to clean house?

Mike Joyce: A Paid No-Show

Mike Joyce, you may recall, is the disgraced former Chief Public Safety Officer at the DRPA.  He resigned after it was revealed that he gave another executive’s EZ PASS --- with its 100 free trips ---- to his daughter so she could avoid tolls while commuting to private high school.

Just days after the July 27 resignation announcement, Estey told Fox 29 News, “Mike Joyce made a mistake and I think he paid the price for that mistake.”  In the same interview, Nash said, “…(Joyce) realized he took advantage of a situation that he should not have. He was under increasing fire, he was a director of public safety at a very high salary, (and) he needed to step away."

Well said, gentlemen!

And step away he did.

Of course, what the DRPA brain trust didn’t tell us was that Joyce’s resignation was effective TWO MONTHS into the future --- “with a date in September,” in the words of Estey.

Oh, and in addition to still collecting a paycheck (he was making $180,000), there’s one more thing.

He didn’t have to come to work.

That’s right. In the midst of the so-called “Era of Reform” at the DRPA, we had an executive collecting full pay while sitting at home --- all completely sanctioned by Estey, Nash and Matheussen.

Estey’s laughable rationale?  Joyce “was an officer of the Board….he could only be removed by action of the Board.”

Wow.  So in other words, an executive can resign, but until the Board either accepts the resignation or terminates the position, he still gets paid for not showing up.

And we’re not talking chump change.

From July 27 to August 18, Joyce received almost $11,000.  Had the Board not eliminated his position at the August 18 Board meeting, and assuming Joyce would have been on the payroll through mid- September, he would have pocketed almost $25,000!

Yep.  That’s the DRPA.  Spare no expense, as long as it’s OPM --- Other People’s Money. 

Namely the tollpayers’.

Zero-Tolerance For Alcohol, Except For DRPA Leaders

The official Alcohol Policy of the DRPA mandates an “Alcohol-Free Workplace,” with the Port Authority having “a vital interest in maintaining an alcohol-free environment for its employees and the public.”

Therefore, the DRPA  “absolutely” prohibits “the use, possession, sale, distribution or being under the influence of alcohol while on Authority premises or while conducting Authority business.”

Translation:  if you’re an employee in possession of alcohol while on DRPA property, you’re history.

Unless, of course, you happen to be Port Authority leadership, where the rules don’t apply to you.

Leadership like… Jeff Nash.

You see, for years, Nash has been throwing lavish, open-bar soirees on the top floor of the DRPA building on New Year’s Eve to watch fireworks over the river.

It’s a practice, he says, that’s gone on “for generations.” 

Interesting how much DRPA history the Vice Chairman knows, but somehow, this big-time Cozen O’Connor lawyer and elected Camden County Freeholder wasn’t aware of the prominently displayed policy.

In his words, “If there is (a zero tolerance alcohol policy), I’m not aware of it.”

Of course not.

Just as comical, though, is Estey’s response, in another FOX 29 interview:

“I do know that we have a zero tolerance policy.”

But asked about his knowledge of Nash’s alcohol-fueled parties, he predictably said, “I didn’t know that.  No….that’s interesting…I don’t know enough about the policy…but I’d like to go back and understand the policy before I come to any conclusions.”

One has to question what this high-powered lawyer (Estey is a partner at Ballard Spahr --- yes, that Ballard Spahr) intends to find after “investigating” a black and white alcohol policy.

So let’s make it simple for John:

There is a zero-tolerance policy at the DRPA.  No means no. Therefore, any employees consuming alcohol at Nash’s parties are in violation of that policy.

As far as making a “conclusion” as to whether there were DRPA employees present, let’s turn to Mr. Nash for that answer.  He said that the parties were, “…for people who were employees here or for executives.”

Seems pretty clear cut. 

And what of the mammoth liability that Nash placed on the taxpayers, since jury awards stemming from any accident related to a Nash-alcohol party could be astronomical?

Not to worry.  It’s OPM!

But here’s the $64,000 question: What happens now? 

Will Nash be asked to immediately vacate his position?  Will executives in attendance be sanctioned or fired?  And if so, will they still collect pay until their positions are eliminated --- just like Mike?

The DRPA: In The Liquor Business!

Speaking of alcohol, it was revealed that the Port Authority also has a liquor license. According to a DRPA spokesman, the license was purchased for a business venture (that failed), but the Authority, “considers it a good business decision to keep the license.”

Which makes sense, since the DRPA is involved in absolutely everything --- except balancing its checkbook and safely maintaining four bridges and a short rail line.

So since 1999 --- to the tune of $40,000 billed to the toll payers --- the Port Authority has held a liquor license that it has never used.

About the only thing that could top that would have been Nash buying the alcohol for his parties --- from the DRPA! 

And what does our knowledgeable Chairman Estey say about the license:  “That’s the first I’m hearing of that….it’s another interesting piece of information. Thank you.”  (You have to admit…this makes for great television.)

Questioned on whether he would push to sell the license, Estey wouldn’t say.

Since the third time’s the charm, let’s ask one more time.

Why won’t they immediately sell the license?

Because  --- altogether now --- it’s Other People’s Money. 

                    *****

Despite monumental press coverage of the DRPA’s never-ending scandals, and elected officials from both sides of the river continuing to call for real reform, many are wondering how and why the current leadership is still in power.

It’s a fair question, since the ones who have been caught in the cookie jar --- over and over --- are the same ones now tasked with guarding the cookies.

That’s like putting the CEO of Enron in charge of reforming the company’s corporate abuses.

But somehow, despite its abysmal record, the DRPA’s leadership has been given a free pass.

So what can Christie do to clean up the DRPA once and for all?

Simple.  Be Chris Christie.

The Governor needs to remember what brought him to power: the willingness to take on anybody and everybody who stands in the way of progress and fair play. 

Few leaders have the courage to oppose the entrenched Business-As-Usual crowd, so when someone comes along with the guts to take action, he immediately wins the respect of the electorate.

So here’s a winning strategy to clean house:

1) Use his office as a bully pulpit and demand that the Board’s leadership be changed. Not in a month, and not in a week.  Immediately. The list of Leadership’s failures is so long and compelling that the story sells itself. 

2) Tell the Port Authority Board that he intends to veto every single item it passes until the Big Three either resign or are removed.

3) Perhaps most important, Christie needs to get much more personally involved in reforming the Authority.  He cannot mandate changes from afar, but must do so in a hands-on manner.  That means attending the Board meetings himself, asking the tough questions, and going on the offensive as only he can. 

No one, not even the Big Three, can withstand the pressure Chris Christie can exert, should he choose to do so.

This is, perhaps, the defining moment for Chris Christie.

Will he finish what he promised to do, or will the DRPA simply wait him out, confident that they are the ones calling the shots?

The chess matched has resumed.  And it’s Governor Christie’s move.

Chris Freind is an independent columnist and investigative reporter who operates his own news bureau, www.FreindlyFireZone.com
Readers of his column, “Freindly Fire,” hail from six continents, thirty countries and all fifty states. His work has been referenced in numerous publications including The Wall Street Journal, National Review Online, foreign newspapers, and in Dick Morris' recent bestseller "Catastrophe."
Freind also serves as a weekly guest commentator on the Philadelphia-area talk radio show, Political Talk (WCHE 1520), and makes numerous other television and radio appearances, most notably on FOX 29.  He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Has New Jersey Governor Chris Christie just driven his successful Administration off a bridge?

Not yet, but he’s nearing the edge.

By not taking the bull by the horns and doing the right thing about the mega-corrupt Delaware River Port Authority --- press to have CEO John Matheussen immediately fired --- his credibility has started to plummet.

Christie’s performance --- or lack thereof --- last week at the DRPA headquarters left many scratching their heads, wondering if insider back-room political deals finally got to him, or if he was operating in a seat-of-the-pants, rudderless manner.

Either way, Christie needs to right his ship quickly if he is to remain the national model for successful governors.

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Last Thursday morning, Christie called a hastily arranged press conference to vent his frustration over the DRPA’s lack of reform.  Within minutes, media outlets on both sides of the river were reporting that Christie was en route to Camden to fire Matheussen.

With the Port Authority’s incompetence and deceit on public display like never before, and with Matheussen fully immersed in the very conflicts that need reforming, ousting the CEO would be the only move Christie could make, right?

Wrong.

Instead, the Governor inexplicably stood with Matheussen, demanding reforms with more teeth and better accountability at the Authority.

The $64,000 question is how he could have done this with a straight face.

Why would the Governor drive all the way to Camden to say…the same exact thing he’s been saying for months?  And how in the world could he renew his faith in Matheussen as the guy to clean up the DRPA cesspool?

One of two scenarios comes to mind:

1) Christie fell victim to political maneuvering, and is compromised in effectively dealing with the DRPA.

This possibility has merit, as the President of the State Senate, Democrat Steve Sweeney, whose labor-leader brother sits on the Port Authority Board, is a staunch defender of Matheussen.

The Jersey Board is stacked with union officials, so perhaps Christie has felt enough heat from his battles with organized labor that he is backing off replacing Matheussen, a union ally.

2) The Governor called the press conference to fire Matheussen but realized that, technically, he doesn’t have that power. The CEO serves at the pleasure of the DRPA board, and Christie can’t replace any News Jersey Board members until their terms expire.

So perhaps Christie switched to Plan B, and attempted to throw more fire under Matheussen’s feet.

Either way, it’s a failure on Christie’s part, with a two-fold result: his reputation as a law-and-order Governor who isn’t scared to take on the entrenched Business-As-Usual crowd takes a hit, and the cronies at the DRPA grow stronger each day they remain in power.

So what could Christie have done?  The same thing he should do now, and as quickly as possible:  use his office as a bully pulpit and demand that the Board remove Matheussen.

It’s simple, and, at least on this issue, easy.

Chris Christie is incredibly popular precisely because people think he’s fighting for them.  He’s called for cuts across the board to reign in government spending, and, despite even his supporters feeling pain, he remains an iconic figure.  Voters certainly don’t agree with him on all his positions, but they respect his leadership and his willingness to tackle the toughest issues ---and politicians --- head-on.

If tomorrow the Governor forcefully called on the Board to boot Matheussen, and implored his neighboring colleague, Ed Rendell, to do the same, it would be very tough to say no to him.

Every press outlet in both states would report his call-to-arms, as well as the laundry list of reasons why Matheussen must go.

And with so many reasons to dump Matheussen, who’s going to oppose Christie?

Gov. Rendell?  He has admitted major mistakes were committed, and numerous conflicts allowed, under Matheussen’s tenure.

The Board?  Doubtful, mainly because this is the same body that has been kept in the dark by Matheussen on so many issues, including:

* DRPA executives using pool cars while having huge car allowances, and Matheussen’s changing story about HIS pool car use;

* The existence (and use) of DRPA credit cards, a full accounting of which the Board, and the public, are still waiting;

* Conflicts involving DRPA Vice Chairman Jeff Nash, in which Matheussen himself signed three contracts to Live Nation --- the company that employs Nash’s wife;

* The changing story of a DRPA bridge manager who took toll money in clear violation of the rules. Matheussen had the individual transferred to the DRPA cruise terminal office, still making six figures a year --- despite there being no cruises. Board Commissioner John Dougherty stated that Matheussen lied to him from the start about the situation, with the CEO originally saying the story had “no basis in fact.”

* The timeline and details surrounding a suspect arrangement of large-dollar commissions paid by the DRPA to insurance companies in both Pennsylvania and New Jersey.

* Removing John Lawless, a Board employee, from the DRPA building under armed guard in April, and not permitting him to return to work, despite no authority to fire him. So for nearly five months, the toll payers footed the salary for a Board employee who, by Matheussen’s own accord, wasn’t relieved for disciplinary reasons.  Attempts for answers were met with silence.

Not only did Matheussen keep many of his decisions from the Board, but when they did come to light, he failed to provide adequate explanations for his actions.

Bottom line: John Matheussen’s legacy at the DRPA has been one of abject failure, as he presides over a nearly bankrupt agency that can’t even complete its most core mission --- the maintenance and safety of just four bridges and a small train line.

Additionally, he has broken new ground in his rush to make the Authority the most generous piggybank possible for politicians and insiders, while forsaking the people who pay the bills.

Never before has there been an issue where virtually 100% of the public is in agreement. Taxpayers have reached their breaking point with the DRPA, and stand shoulder-to-shoulder with non-corrupted politicians, citizen activists, and the media in calling for King John to be flushed away, wiping the slate clean for new leadership.

But each day Gov. Christie doesn’t pound this point home, his enemy becomes stronger.  That chink in his armor will expand until it becomes a gaping hole, and the successful Christie agenda will be in jeopardy of failure.

The opportunity to ram a stake through the heart of Business As Usual comes but once in a lifetime. It’s having the courage to take that action which makes legendary leaders.

Governor Christie, that time is now.

Chris Freind is an independent columnist and investigative reporter who operates his own news bureau, www.FreindlyFireZone.com
Readers of his column, “Freindly Fire,” hail from six continents, thirty countries and all fifty states. His work has been referenced in numerous publications including The Wall Street Journal, National Review Online, foreign newspapers, and in Dick Morris' recent bestseller "Catastrophe."
Freind also serves as a weekly guest commentator on the Philadelphia-area talk radio show, Political Talk (WCHE 1520), and makes numerous other television and radio appearances, most notably on FOX 29.  He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

It’s Business As Usual at the DRPA.  And despite all the “reform” rhetoric flying around, don’t expect real changes anytime soon.

The reason is simple.

The people charged with implementing the reforms are the very same ones who have been, and still are, completely immersed in the conflicts, nepotism and cronyism that need reforming.

That’s like criminals running the prison, inmates taking charge of the asylum.

Given their legacy of abject failure, from accumulating massive debt to spewing outright lies, The DRPA’s Big Four executive braintrust simply has no credibility.  (It was The Big Five, but Jon Corzine was given the boot last year).

Pennsylvania Governor Ed Rendell has been virtually silent during the recent brouhaha, and, as the person in charge of the DRPA since 2002, that tells you all you need to know.

Rendell feigning indignation that corruption occurred on his watch as DRPA Chairman is like throwing ballast off a sinking ship.  It just doesn’t cut it.

His awful reform spin aside, Rendell is gone in months.  Two down.

That leaves CEO John Matheussen, Chairman John Estey, and Vice Chairman Jeff Nash, with their new-found piety and wounded vanity.  Despite PR tours and crisis management spin, their attempts at reforming the DRPA have fallen woefully short of the mark. 

You simply cannot lead when your followers have lost faith in your abilities.

The only viable solution is to wipe the DRPA clean, and Flush The Johns ---and Jeff too.

Need more ammunition for why they need to go?  Consider these recent beauties:

Estey’s Insulting FOX 29 Interview

During a recent interview on FOX’s Good Day Philadelphia, Estey, a partner at Ballard Spahr, was asked about possible DRPA conflicts with his law firm.  His response: “The truth is, I don’t know where that came from….my firm doesn’t do any work for the DRPA.”

Oh really, John? How utterly disingenuous can he be?

Ballard Spahr billed over $80,000 in 2010 alone, and $186,000 in 2009!  When did the firm stop its DRPA business dealings?  Five minutes prior to the show? 

And even if some of that billing was carried over from other years, that absolutely should have been disclosed by Estey. But it wasn’t.

What Estey also conveniently failed to mention was that Ballard performed almost $3 million in legal work for the Authority since Gov. Ed Rendell appointed himself DRPA Chairman in 2002. 

Which is interesting, given that Rendell worked at Ballard for the three years prior to his election.

Oh, and just to be clear: Ballard, its attorneys, and the Philadelphia Future political action committee --- which is registered at the Ballard offices, and whose Treasurer is Rendell confidante, political powerbroker and former Ballard Chairman David Cohen ---  donated nearly $1.5 million to Rendell’s campaigns. 

And Rendell’s Governor committee is registered at the Ballard Spahr offices!

For comparison, Ballard billed a total of only $480 in 2001 ---the year BEFORE Rendell was elected.  Quite a jump by any standard.

And despite Rendell’s claims that he had no influence in how Ballard was selected, Ballard Chairman Arthur Makadon was quoted in a 2009 news article, stating that the choice is "effectively up to the Pennsylvania governor."

Call me slow, but those two statements seem contradictory, and raise a whole lot of other questions that need to be scrutinized in great detail.

Are Rendell and Estey Really Clueless On Audits?

One of the reforms Estey has championed is allowing the Pennsylvania Auditor General to conduct an audit of the DRPA. 

In fact, the stated purpose of Estey’s upcoming resolution is to “…permit the Pennsylvania Auditor General’s Office…to audit the performance of the Authority.”

Sounds great as a 30-second sound bite.  But the reality is an entirely different animal.

As in….that audit CAN’T occur.  Not now, not ever.

The Pennsylvania Auditor General (currently Jack Wagner, who has been one of the only consistent voices of reform) has an automatic seat on the DRPA Board.  As such, it violates government auditing standards for Wagner to conduct a forensic audit on an agency on which he sits.

Estey and Rendell either don’t know this, making them incompetent, or they do, making them complicit in deliberately misleading the Board, the public, and the media.

And it isn’t like the DRPA is being audited regularly, anyway.  The governing rules of the Authority, known as the Compact, REQUIRES a management audit every five years. 

But this being the DRPA, where rules are for other people, they just released the audit THAT WAS DUE IN 2006!  Since the Authority footed the $500,000 bill, the audit’s independence was immediately nullified.  In fact, one Board member called it a complete waste.

To use a phrase made famous by former DRPA Board member Vince Fumo, now vacationing in federal prison, it’s Other People’s Money.

Typical DRPA.

The only way to ensure an audit is conducted independently is to utilize an auditor as far removed from the New Jersey and Pennsylvania political scene as possible. 

The United States Government Accounting Office or Inspector General’s Office are the most viable options --- but neither are being recommended by the DRPA.

DRPA Salary Increases: Yes Or No?  Ask Dick Brown

According to the DRPA, there have been no recent salary increases for employees.  Yet Richard Brown, longtime General Counsel, had his $9,000 car allowance shifted to his salary.

Despite car allowances being eliminated last month as a “reform” measure, Brown’s $9,000 car allowance-turned-salary increase will NOT be retracted. 

In other words, he received a pay raise. His salary stands at $189,081.

Car allowances are taxed as income, but that money does NOT count toward one’s pension.  Could it be that the DRPA made this salary-increase arrangement for Brown, who is at or near retirement age, so that his pension could be padded--- a hefty increase that toll payers will be paying for the rest of Brown’s life?

Legal or not, such a move is a slap in the face to those who will be paying $5 to cross the bridges next year --- bridges that remain overdue for capital improvement projects due to a lack of money.

Board Has Been Kept In The Dark

On numerous occasions, including some in the DRPA’s recent “Age of Reform,” the Port Authority’s Board Of Commissioners have been kept in the dark regarding resolutions, conflicts, personnel matters and the overall direction of the DRPA.

Consider just a few:

-The Board wasn’t informed of Vice Chairman Nash’s conflict when the DRPA shelled out three $50,000 marketing contracts to his (now) ex-wife’s company, Live Nation. 

-The Board wasn’t informed when Corporate Secretary John Lawless --- a self-described whistleblower --- was escorted from the building by Matheussen for non-disciplinary reasons in April, despite the fact that Lawless doesn’t work for the CEO, but for the Board itself. 

-The Board hasn’t been consulted on the reform resolutions being offered at the August Board meeting.

- Several Board members were unaware that DRPA executives had Authority-issued credit cards, and still have no idea how much was spent, and on what.

This veil of secrecy has become so commonplace that several Board Members are openly calling for a change in DRPA leadership.

If the Authority’s own Board doesn’t even know what the leadership is doing, how can the public ever feel confident that they are getting straight answers, let alone the truth?

So much for openness, transparency and accountability.

Attitude reflects leadership

The attitudes of Matheussen, Estey and Nash have consistently exuded nothing but contempt for toll payers, the media, law-and-order politicians and the truth.  No amount of reform will change that fact, so the only answer is their removal.

Likewise, the leadership of Gov. Chris Christie will be forever damaged if he reappoints or endorses any of the current DRPA leadership.

After decades of abuse and scandal, Business As Usual at the DRPA must come to an end.

Governor Christie, the people are waiting.

Chris Freind is an independent columnist and investigative reporter who operates his own news bureau, www.FreindlyFireZone.com
Readers of his column, “Freindly Fire,” hail from six continents, thirty countries and all fifty states. His work has been referenced in numerous publications including The Wall Street Journal, National Review Online, foreign newspapers, and in Dick Morris' recent bestseller "Catastrophe."
Freind also serves as a weekly guest commentator on the Philadelphia-area talk radio show, Political Talk (WCHE 1520), and makes numerous other television and radio appearances, most notably on FOX 29 in Philadelphia. 

He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Dear Governors Rendell and Corzine:

It is no secret that the Delaware River Port Authority has recently come under intense criticism. The organization is $1.2 billion in debt and cannot sufficiently fund major capital projects, such as re-decking the Walt Whitman Bridge. As a result, the Board of Directors today authorized a substantial toll increase at its board meeting.

However, there are a number of unanswered questions that extend well beyond the scope of a toll hike. In the hopes of shedding some light on these issues, The Bulletin herewith asks the DRPA to address four questions that can no longer remain under the bridge:

1)Why is Pennsylvania State Treasurer Robin Wiessmann, who has a seat on the DRPA Board, authorizing expenditures to the law firm of Ballard Spahr Andrews & Ingersoll, (Gov. Rendell's former firm), the firm in which her husband, Ken Jarin, is a partner? And why are partners in that firm chairing DRPA board meetings when their firm represents the board?

Since Governor Rendell, the DRPA chairman, rarely attends board meetings, he appointed John Estey as his chairman-designate. What makes this particularly interesting is that Ballard Spahr represents the DRPA Board, and both Mr. Jarin and Mr. Estey are partners in that firm. Since the chairman-designate has the same voting power as the chairman, Mr. Estey is, in point of fact, authorizing payments to his own firm. And when Treasurer Wiessmann doesn't think that DRPA's in-house general counsel and staff attorneys are equipped to handle a legal matter, and authorizes outside counsel, she too is putting money into her husband's pocket - and ultimately her own.

2)Why does the DRPA's Director of Labor Contract Compliance, John Rogale, list two employers on New Jersey state election records, illustrating a potentially huge conflict of interest?

Election law requires that political contributors disclose their employer under the "Occupation and Employer Information" section. Pursuant to a May 17, 2006 contribution, Mr. Rogale listed the DRPA as his employer. However, on a contribution nine months later, he listed "Remington and Vernick Engineers" of Haddonfield, New Jersey as his employer - at a time when he was (and still is) employed by the DRPA. Given that Remington and Vernick is a general engineering contractor for the DRPA, it is a gross conflict of interest if Mr. Rogale's is employed by that firm. If he does not work for them, and since this is not an "easy" mistake to make, why did Mr. Rogale list them as his employer?

3) Why does Marc Woolley hold positions at both the Ballard Spahr law firm and the DRPA?

According to the DRPA, Mr. Woolley serves as Assistant to the Chairman as well as Director of Claims Administration. But he can also be reached at the Ballard Spahr office in Philadelphia, where he started working last week. Working for both entities would be an obvious conflict of interest. If he is "transitioning" from one organization to another, Mr. Woolley's employment during this time should be kept to one organization, never overlapping.

Given that the DRPA's public image is extremely negative, Mr. Woolley's situation, with no explanation from the DRPA, is unacceptable. At this point, even the appearance of impropriety should be avoided at all costs. Immediate clarification on this matter is requested.

4)  Why does John Matheussen, Chief Executive Officer of DRPA, refuse to commit the $35 million of economic development funds for either debt retirement or the Walt Whitman Bridge re-decking project?

Given the DRPA's economic woes, and the fact that 76 percent of its revenues are utilized for salaries, benefits and debt service, common sense dictates that it should eliminate the economic development grant program, instead using the remaining money on bridge maintenance (which would be approximately 20 percent of the re-decking cost) or to retire a portion of its paralyzing debt. Mr. Matheussen's refusal to do indicates that the DRPA's will resume its "business as usual" operations as soon as the current controversy subsides.

These are but a few of the many outstanding questions swirling around the Port Authority. The Bulletin respectfully asks for immediate clarification on these questions. This letter has also been addressed to each member of the DRPA Board and Mr. Matheussen.

Sincerely,

The Philadelphia Bulletin (Chris Freind)

                      Push for Criminal Investigation Into Port Authority To Continue

http://www.myfoxphilly.com/dpp/news/local_news/vereb,-friend-on-the-drpa-mess

In light of the firestorm surrounding the DRPA, Freindly Fire has several questions related to the so-called "reforms" announced by embattled CEO John Matheussen:

 1) Since John Matheussen has a contract, unlike the other DRPA executives, his car allowance is presumably guaranteed by that contract.  Will he voluntarily give up his $16,000 a year car allowance?  Will the Board take it away from him?
 
2) General Counsel Dick Brown came under fire recently for his $9000 car allowance being moved to his salary--- therefby padding his pension. Since car allowances are being taken away, will he lose that $9000 salary increase?

Freindly Fire will be seeking answers from the DRPA--- John Estey, Chairman, and Gov. Rendell, who appoints the Port Authority Chairman.

FREIND On FOX 29 hammers Delaware River Port Authority CEO John Matheussen on his legacy of failure, and criticizes the sham punishment he handed down to Chief Public Safety Officer Mike Joyce after Joyce ---the TOP law enforcement official at the Authority --- gave his daughter the EZ Pass of another DRPA Executive for her personal use--- possibly a criminal act:

http://www.myfoxphilly.com/dpp/good_day_philadelphia/DRPA_Chris_Freind_Reacts_072310