What Role Did FOP Lobbyist Bobby Stem Play In Lloyd Fields' Quick Detox Center Release?

What role did Capitol lobbyist Bobby Stem (pictured) play in securing the quick release of Labor Commissioner Lloyd Fields from the Public Inebriate Alternative in Oklahoma City on February 17th? The question hangs in the air today after The Oklahoman's Nolan Clay revealed it was Stem, a lobbyist for the Fraternal Order of Police, who "helped arrange for Fields' release" from the detox center after the Democrat was taken there by Oklahoma City police.

Controversy over the quick release, reported by The Oklahoman, prompted Oklahoma City Police Chief Bill Citty to issue an edict that no officer on his force has the authority to secure the release of anyone from the detox center "for any reason."

The new directive from Citty comes after a police officer allowed Fields to be released from the detox center after about four hours. Detainees usually are held 10 hours.

The police officer involved in the release was not disciplined, the chief said.

Stem could not be reached for an explanation of his involvement in the Fields release. A list of his clients on file with the Oklahoma Ethics Commission shows that among his clients is the Fraternal Order of Police.

Share |

Piatt Donations An Issue In Speaker's Race?

Sources in the State House report today that campaign donations to House Majority Leader Greg Piatt (pictured) of Ardmore by those associated with controversial Dallas businessman Gene Phillips and his son, Bradford, are becoming an issue in the race for speaker.

Two GOP members of the House say that Piatt supports Rep. Gus Blackwell to replace Lance Cargill and they have taken note of today's report in the Tulsa World highlighting Blackwell's unusual move, last session, of using his leadership role to cast a vote on a pro-Phillips measure in a committee in which Blackwell technically is not even a member.

The measure sought by the Phillips interests was carried by Piatt, the House Majority Leader, the World reported last year: Phillips' son Bradford Phillips tried unsuccessfully last session to get an Oklahoma law changed that would have allowed the family's insurance companies to put up fewer assets when making real estate loans. State Insurance Commissioner Kim Holland strongly protested the change, which was approved in committee but did not make it into law. The amendment was carried by House Majority Leader Greg Piatt, R-Ardmore, who received a $5,000 contribution from Bradford Phillips in June, state Ethics Commission records show.

One member of the House says the donations to Piatt for his 2008 campaign by those connected to Phillips is at least $11,000. Ethics Commission records show the $5,000 donation from Bradford Phillips on June 6, 2007, plus donations of $5,000 from Enid attorney Stephen Jones, who represents Phillips' interests, on June 4, 2007; and $1,000 from lobbyist Bobby Stem, who lobbies for Phillips' interests, on May 31, 2007.

Following Insurance Commissioner Holland's protest against the Phillips measure, Republican Bill Case, with the support of those in the Phillips camp including Jones, tried to defeat Holland. He failed. He is now a lobbyist for Phillips in Stem's firm.

In addition, a mysterious committee based in Austin, Texas, tried to defeat Holland and spent almost half a million dollars in the unsuccessful effort.

The controversy over the Phillips family erupted again recently, when it was revealed that several GOP legislators, including then-Speaker Cargill and Blackwell, attended a fundraiser for Mike Huckabee at Gene Phillips' palatial home in Dallas. After the event was publicized and questions were asked, several legislators said they received, and returned, donations from Bradford Phillips. Some estimate the legislators recently returned at least $6,200 to Phillips.

Share |

Stem's Inaccurate Report Draws Murphey Action

Prompted by a recent incorrect filing by Capitol lobbyist Bobby Stem, a state representative who has pledged to refuse all gifts from lobbyists is calling for the creation of a "no gift list" for legislators.

State Rep Jason Murphey (R-Guthrie, left) said he returned or refused hundreds of dollars in lobbyist gifts during the past session.

Murphey said returning the gifts has been a major challenge since gifts are often left with office staff or mailed to his home: "I want to spend my time in the Legislature working for the people, not accepting lobbyist gifts and certainly not going through the hassle of returning unwanted gifts," Murphey said.

Murphey had considered sponsoring legislation allowing state lawmakers to be placed on a "no gift list," but did not act on the idea this year. Murphey said he decided to press the issue on Monday when The Oklahoman published a list of lawmakers who have received lobbyists'gifts. Murphey was shocked when the paper reported that he had received a $70 dinner from a lobbyist.

"I don't think I have ever eaten a $70 dinner in my entire life, much less one that was paid for by a lobbyist," he said. The report filed by Stem contained a clerical error which Stem has agreed to correct so Murphey's constituents will know he has not broken his pledge.

Murphey's proposal would create a voluntary list with the Oklahoma Ethics Commission for lawmakers wishing to avoid all appearance of impropriety. Lobbyists would be prevented from giving to lawmakers who ask to be on the list. Murphey said the list would put pressure on legislators since he believes constituents would demand that lawmakers place themselves on the list.

Share |

Keating Backs Holland On Insurance Issue

UPDATE: Former Oklahoma Governor Frank Keating, now head of the American Council of Life Insurers in Washington, has written a letter supporting Insurance Commissioner Kim Holland's position on insurance company investments. Keating's letter puts him in opposition to several Republicans in the State House.The McCarville Report Online obtained a copy of Keating's letter, which reads in part:

"On behalf of the American Council of Life Insurers, I would like to thank you for your past and continuing efforts in working to adopt legislation that is based on model laws. I applaud your latest efforts to update Oklahoma's investment laws to conform to the investments of Insurers Model Act adopted by the National Association of Insurance Commissioners.

"ACLI expresses its support for the changes to Oklahoma law that would regulate the types and amount of investment of insurer assets in construction loans. The limits set forth in H 1958 reflect exactly the limits prescribed in the investments of Insurers Model Act. This Model Act was adopted in 1996 by the National Association of Insurance Commissioners and was the product of four years of concerted effort to create a modern and comprehensive investment law for all insurers. The effort included all segments of the insurance industry, state and federal regulators, Wall Street, investment bankers and consumers.

"The Model Act created a set of realistic limits that reflect the level of investments currently being held by a majority of our nation's insurers. After much study done by regulators and such interested parties as the Mortgage Bankers Association and the Investment Company Institute and ACLI the limit set forth in H 1958 was selected as representative of the amount of investment risk insurers should assume to balance their interests in assuring stable capital bgrowth while protecting their assets to pay promised benefits. In fact, our present research (current as of December 31, 2005) shows that our companies investments in such construction and land development loans amounted to 2.6 billion dollars which represents 0.1% of our companies general account assets."

The letter puts the former Republican governor at odds with GOP Rep. Greg Piatt of Ardmore, who pushed for an investment percentage 10 times that which Holland recommended.

(Originally posted March 6th) ~ Insurance Commissioner Kim Holland warned the House Economic Development and Financial Services Committee that an amendment proposed by Republican Rep. Greg Piatt, R-Ardmore, and apparently supported by the House GOP leadership, opens "the door for companies that are marginal to come into Oklahoma."

The amendment, supported by the Gene Phillips family insurance companies lobbyist Bobby Stem, sets a 20 percent cap on how much money insurance companies can invest in real estate construction loans. Holland wants the limit set at 2 percent. She said real estate construction loans are "speculative and risky," and that only three insurance companies, all tied to the Phillips family, want the change.

The committee's action, and Holland's comments, drew more than usual attention since the Republican that Holland defeated, former Rep. Bill Case, is now a member of Stem's lobbying firm. Case had considerable support from Enid attorney Stephen Jones, who has been linked to the Texas group "Just The Facts America" that tried to defeat Democrat Holland last year. Jones is among the state's most generous political donors, giving most often to Republicans.

Another reason for the attention is that former Insurance Commissioner Carroll Fisher is accused of accepting money and gifts from Phillips, his family and business associates; Fisher awaits trial in a bribery case that's an extension of the criminal investigation that drove him from office.

Share |

Stem, Case Lobby For Phillips Company

Lobbyist Bobby Stem's firm, Capitol Gains LLC, is now the registered lobbyist for an insurance company associated with controversial Texans Gene and Bradford Phillips, Ethics Commission records show. Former Republican State Rep. Bill Case (pictured), unsuccessful candidate for insurance commissioner, joined Stem's firm in December as a registered lobbyist.

The registration shows Stem (left) and Case now represent American Reserve Life Insurance Company, a company that figured prominently in the criminal investigation that helped force disgraced former Commissioner Carroll Fisher from office.

Enid attorney Stephen Jones has represented Phillips family interests in Oklahoma. In last year's contentious race for insurance commissioner, Jones and his associates donated thousands to Case's campaign and Jones has confirmed to The McCarville Report Online that another client of his is the secretive "Just The Facts America" group based in Austin, Texas and headed by Texas Republican activist Jim Cardle; JTFA is the entity that invested an estimated $300,000 from anonymous donors in television commercials and a website attacking incumbent Insurance Commissioner Kim Holland, Democrat appointed by Governor Brad Henry when Fisher resigned rather than face removal from office. Investigations into Fisher showed he accepted gifts from a company tied to Gene Phillips.

A document on file in the state of Kansas reports the following: "On April 11, 2005, Bradford A. Phillips, President and Chief Executive Officer of Liberty Bankers Life, provided the Commissioner with an organization chart, dated December 31, 2004, indicating that the May Trust is the "Ultimate Controlling Parties" of Realty Advisors, Inc., American Reserve Life Insurance Company, and Liberty Bankers Life. Mr. Phillips also provided documentation indicating that the Trustees of the May Trust are Mickey N. Phillips, Ryan T. Phillips, and Donald W. Phillips." They are the children of Gene Phillips, as is Bradford Phillips. Regulators in other states have found that Gene Phillips exercises considerable authority over the operations of the companies.

Grand jury probes into Fisher's conduct resulted in allegations he accepted bribes from Phillips, his family and business associates while insurance commissioner. The alleged bribes included a $25,000 check from Davister Corp. Jones said Phillips was never an officer, director or shareholder of Davister. But the U.S. Securities and Exchange Commission identified the company as being "managed by the same personnel who manage ... other private companies owned by Phillips or his family trusts.''

In September 1999 Fisher personally approved the sale of Tulsa-based American Reserve Life Insurance Co. to a Phillips-related company, authorities said.

Gene Phillips was interviewed twice by investigators from the attorney general's office, the grand jury's legal adviser, and Phillips' business associates, including Ron Akin (an officer of Davister), were subpoenaed to testify before the earlier grand jury. Akin appeared before the grand jury twice. Jones was successful in fighting efforts to force Gene Phillips to appear.

Share |

The Gadfly On The Wall

Blogs & Such: Prowling the Internet, one finds numerous blogs of interest. Some are political, some cover only social mores, others are general. In Oklahoma, there's a new one: Open Magazine. It has odd stories about the state. You can take a look by clicking on its title just under the Oklahoma gas prices logo on the lower right side of this page. And, of course, in our "Links" listing, you'll find blogs on just about any topic, from local politics to the national discourse to the military to just thoughtful ideas.

Captain Kevin Calvey In Iraq: That's the link I've posted on the right to former State Rep. Kevin Calvey's blog from Iraq, where he will serve in the U. S. Army Judge Advocate General Corps. It's Calvey's second tour; he'll be assigned in Baghdad, with some out-country duties. His first entry relates his preparations for deployment. I'm hopeful that, at some point, Kevin and grandson Colby Stuck, a Navy Seabee now training in California for deployment to Iraq, can make contact.

Forshee Hired: Debbie Forshee, former spokeswoman for former DA Wes Lane, has been named president and CEO of Youth Services for Oklahoma County.

Mark Shannon For Mayor Of Edmond? Fellow gadfly Mark Shannon continues to talk about a possible run for mayor of Edmond. The former radio personality has very definite ideas on what that city needs. Check his views at http://www.markshannon.com/.

TMRO Has Arrived: Your site is ranked (as of Friday) the 79,624th (!) most popular blog in the world. And don't tell me there are just 79,625 blogs; methinks it is more like a bajillion. At any rate, we remain humble in keeping with such a ranking.

Attacker Brought Knife To Gun Fight: Muskogee County prosecutors are declining to file charges against an 81-year-old Haskell man who shot and killed another man Saturday night. District Attorney Larry Moore says Curtis Wright acted in self-defense when he shot 49-year-old Arthur Fisher Junior in the chest with a 12-gauge shotgun. Investigators say Fisher had threatened Wright with a knife.

Case Rumors: All sorts of rumors flying about the lobbying client former State Rep. Bill Case will represent on behalf of Bobby Stem's Capitol Gains LLC. Case signed up as a lobbyist in December. Case lost his race for insurance commissioner to incumbent Democrat Kim Holland.

Talk Radio: Ratings sag for talk radio in OKC. KOKC-AM 1520 has never gotten off the ground with its mostly-syndicated lineup, is now ranked 19th, and KTOK-AM 1000 remains in the second tier of stations, now ranked No. 12.

That's, Uh, (Splutter), Uh, Un-American! Die-hard football fans attending the Super Bowl game at Dolphin Stadium in Miami are getting a rude awakening after finding out that no tailgating of any type will be allowed on game day within one mile of the stadium. "There is no tailgating allowed in the Dolphin Stadium parking lots," Sue Jaquez, a member of the Super Bowl XLI Host Committee, confirmed on Tuesday. "And there is no tailgating anywhere within a one-mile radius of the stadium." And there are no RVs allowed." (How much are in-the-stadium vendors and local hotels/motels paying the host committee for this bit of take-all-the-fun-out-of-it-tradition-be-damned idiocy?)

The Education Of Brad Henry: The Governor now wants more money, a bunch more, spent on education. This, after his lottery-for-education has fallen short after voters were promised, essentially, education's needs would be fulfilled by it. Reminds one of House Bill 1017 circa 1990 that was going to take care of education needs for decades. Hah.

Truth In Advertising: In fairness, should the Oklahoma Lottery Commission produce television commercials that show all the losers, instead of just the occasional winner? Their ads, and those placed by tribal casinos, would have us believe everyone is a winner when they gamble. The only way a lottery works for the state is when players lose; ditto casinos. Lousy personal economics, bad public policy. (Image at right courtesy www.TulsaToday.com.)

BUFFALO, NY ~ A Buffalo homeowner forced an intruder to flee Tuesday afternoon when he pointed his pistol at the man, according to South District police. The homeowner, who lives in a lower apartment on Edson Street, was inside his home when a man kicked in his door at about 4:29 p.m. and walked in, police reported. The man, wearing a knitted green hat and green jacket, confronted the homeowner and said, "I'm looking for Dougy." The homeowner pulled his pistol on the intruder, who ran out of the apartment toward Seneca Street. Police said the homeowner has a valid pistol permit.

Share |

Bill Case Registers As Lobbyist

Former State Rep. Bill Case, Midwest City Republican who lost his race for insurance commissioner to incumbent Democrat Kim Holland, is now a registered lobbyist.

Records at the Oklahoma Ethics Commission show that Case registered as an agent of Capitol Gains LLC on December 27th.

Capitol Gains is owned by veteran lobbyist Bobby Stem of Edmond.

Share |