The Horse-Off

"Baseball is something like a war."  - Ty Cobb (1886-1961)

And so is politics.  That or the most dysfunctional family reunion ever.  Certainly that's the way the Republican Primary has been here in South Dakota.  In case you didn't know, South Dakota is red, red, red, red, and more red.  We have Democratic candidates, but there are never any Democratic primaries, because rounding up just one per position is pretty much all we can do.  Anyway, the primary had two huge sections:

FOR GOVERNOR:

Attorney General Marty Jackley v. US House Representative Kristi Noem

(Notice the horse.  This is going to be
important.)


FOR UNITED STATES HOUSE OF REPRESENTATIVES:

Dusty Johnson v.              Shantel Krebs v.                          Neil Tapio

      

a/k/a the nerdy Chief of Staff to the governor, the beauty queen SD Secretary of State, and the State Senator/South Dakota Trump Presidential Campaign Director.
(Others, not so kind, have referred to them as Howdy Doody, Clarabelle, and Phineas T. Bluster.)

Now before I get started, you need to remember that all of these people know each other, have worked together, have gone to the Governor's Annual Pheasant Hunt ("if you're not there, you're nowhere", and it's invitation only, my dears, invitation only) together, attended Republican conventions and fundraisers, annual ALEC meetings, etc., etc., etc.  South Dakota is one big small town, and there aren't six degrees of separation between anyone - more like two.  Three at the most.

So the campaign started off slow and respectful.  Dignified, even.  The first political ads were exclusively for Jackley, Noem, and Krebs, and I swear each and every single one of them all showed the same words: "Experienced.  Conservative.  Tested."   And then someone would ride a horse.  And load / carry a gun.  Also lot of shots of cattle, hay, farms, and rolling hills.

Now Kristi Noem has always made her horse riding central to her campaigns and she does look damn good on one.  Marty Jackley stuck with just having almost every sheriff in the state sing his praises, after which he'd go pheasant hunting, and then lead his daughter around on a horse.

And then, the local newspaper came out with a poll that said Jackley and Noem were neck and neck, and things got nasty.

Kristi Noem launched ads about the EB-5 scandal (which yours truly has spoken of at length in these blogs).  No mention of my favorite question, "Who killed Richard Benda?" but she did raise the missing $5 million.  (The reason why the United States Customs and Immigration Service letter of September 28, 2015, found South Dakota too unreliable and incompetent, if not downright corrupt, to handle EB-5 visa investments any more. Thanks Dakota Free Press!)

Marty Jackley, who talks about EB-5, the missing millions, Richard Benda, or the missing Gear Up! millions about as often as I request a colonoscopy for fun, ignored all questions of corruption and fired back with ads about how Ms. Noem hadn't kept any of the promises she made on going to Washington.  Even more shocking he appeared in the ad below, talking about balancing the budget.  Locked and loaded indeed!

(My first reaction was, "First they had to drug the horse, right?")

And then Kristi hammered away with ads about Jackley holding up a $1.5 million settlement payment for a DCI employee (sexual harassment; and I can assure you that it was serious, and seriously well-documented, for her to actually win in this state) after Jackley saw said ex-employee sitting with Noem at a Republican fundraiser.  (Argus Leader)
So Jackley retaliated with photos of Noem shaking hands with (gasp!) then-President Obama back in 2015...

Back to our candidates running for our sole House seat.  Dusty Johnson was the odd one out, with quiet ads illustrating fiscal responsibility at dinner out with the kids.  Shantel Krebs ran pheasant hunting ads (it's a theme up here) and urged South Dakota to send her to Washington to help Donald Trump make America great again.  Neal Tapio's ads were a combination of lies about his opponents (Shantel Krebs, for all her faults, certainly did not make South Dakota the 3rd most Obamacare-compliant state in the nation - for one thing, our Governor never expanded Medicaid) and his passionate loyalty to Donald Trump.

Then the aforementioned poll also said that Dusty Johnson was leading (which surprised almost everyone, including, perhaps, Dusty), and things got nasty:  Shantel approved ads that claimed Dusty flew on private planes on government expense to the tune of almost $10,000.  A private Ohio group accused Shantel of raising taxes - and her salary - whenever possible.  Johnson swore he wasn't behind the ads, and I believed him.

Remember, all these people worked together for years.  I see them cousins at a 4th of July reunion, who smile at each other and then hiss gossip about the others to everyone as they load up on baked beans and potato salad.  And Mr. Tapio, who is the crazy Alex Jones fan at the picnic.  You think I'm kidding?  Back in January Tapio gave a speech and said that "one more terrorist attack between now and then [the election] and I will be the … just by the ‘Trump effect,’ I will be the candidate. That’s the way I look at it.”  (Listen here.)  But then Tapio is an anti-Muslim zealot.  He accused South Dakota Lutheran Bishop Zellmer of aiding and abetting terrorism, and "taking away the Christian fabric of our nation" by holding an Interfaith Day at the Capitol in Pierre (Argus Leader).  Above all, Mr. Tapio ran on Trump.  110% pro-Trump.  Send him to Washington, so he can help Trump.  Period.  And then he decided to up the ante by calling for an end to tribal sovereignty, and to rewrite all the treaties between the United States and Native American populations.  (Argus)
And another SD Representative, Michael Clark, applauded the recent SCOTUS decision about cake-baking by saying that business owners should be able to discriminate based on race.  (Argus)

So it was a Republican Primary, and all the dogs were howling.  Literally.

So what were the results?

Kristi Noem is our new Republican candidate for Governor, 57%-43% over Marty Jackley.  (Proof that negative ads work, especially if they're 100% true.  And the question has already been raised of who's going to run against Jackley for AG in November – the sharks smell blood.)
Dusty Johnson is our new Republican candidate for United States House of Representatives, with 47% of the vote (Krebs got 29%, Tapio 24%).

Who'll win in November?  Danged if I know.  But I can guarantee you we'll see a lot of horses.

Anyway, that's all from South Dakota, where we talk like Mayberry, act like Goodfellas, and the crazy just keeps on coming.

 

PS:  Oh, there was also one non-partisan item on the ballot, an Amendment to modify Marsy's Law.  I went and voted, and even the polling people agreed that this was ridiculous:  any amendment should be on the November ballot, not a Republican-only primary, where as few Democrats and Independents would vote as possible.  As a friend of mine said, "they did it as dirty as they could."  It passed.

Of Safes and Smoke

by Eve Fisher

Do you remember the South Dakota GEAR UP! scandal?  The one that got started when, early in the morning of September 17, 2015, a fire destroyed the home of Scott and Nicole Westerhuis and their four children in Platte, South Dakota?  And they were all later found to be shot to death?

Quick Note:  (GEAR UP! is a federal grant program to get financial assistance to low-income students; here in SD it's primary aim was supposed to be helping Native American students.)  

SD AG Marty Jackley

Now, my regular readers may remember that South Dakota Attorney General Marty Jackley determined that Scott Westerhuis shot his wife and children, torched the house, and then shot himself, all because he was about to be caught for embezzling enough funds to build a $1.3 million rural home, a $900,000 gym complete with basketball court, etc., etc., etc., on an official combined salary (his and his wife's) from Mid Central Educational Co-Op of $130,000.  Later, it turned out that the Westerhuises had set up a number of shell organizations, and given themselves hefty salaries from them all.

Well, I'm happy to announce that the General Audit of Mid Central and GEAR UP! has finally been released and it shows:

(1) Scott and Nicole Westerhuis took nearly $8 million out of Mid Central's bank account without authorization to cover the salaries of their non-profit organizations. Supposedly most of that money was returned to Mid Central (how, when, where?), but $1.4 million was still missing at the time of the Westerhuis family's deaths.

(2) The Mid Central Board and its director, Dan Guericke, didn't have enough oversight and never addressed the risks created by Scott and Nicole Westerhuis having roles in the non-profits they set up to take the GEAR UP! grant money.

(3) Guericke didn't get approval by the board for 17 contracts and a number of payments made without contracts with the Westerhuises.

Naturally, the blame game has begun:

• Mid Central's board is blaming the South Dakota Department of Education ("lead partner" in the GEAR UP! grant and responsible for ensuring the project was carried out in accordance to federal rules and regulations).  
• The SD DOE says it did its job of conducting reviews of grant expenses and tightened up its controls when it began noticing issues in 2014, which is why it cancelled its contract with Mid Central right before the Westerhuis tragedy.  
• The Mid Central board's responded that, "no amount of reasonable oversight would have detected the complex scheme of fraudulent and illegal activities conducted by Scott and Nicole Westerhuis."  (Angela Kennecke, KELO TV)  

• NOTE:  I once put together five years of an organization's accounts from a checking account register.  You can figure out a lot if you just follow the money...

• Also, Cory's blog Dakota Free Press has all the facts and figures that we have so far, and all the excuses piled up so far.

So, June 30, 2017, Mid Central will shut down. 12 of its 13 members have formed Core Educational Cooperative.  The same staff of Mid Central (those who are not going to trial) are now going to work for Core (at least half of them had to have conflict-of-interest waivers to work for Mid Central, and will now have to have conflict-of-interest waivers to be able to work for Core); the Mid Central Board is liquidating their assets (even though $1.4 million in tax-payer money is still owed to our long-suffering public).  Please see Cory Heidelberger's article at Dakota Free Press for a fuller experience of how deep it's getting piled.  Again...

Meanwhile, no one's come forward yet to untangle the following mysteries:
(1) Who called Nicole's cell phone in the middle of the night, right before the fire?
(2) Why did Mid Central Educational Co-op, which owned the Westerhuis cell phones, cancel them and wipe the records the next morning, before the ashes from the arson had even cooled?
(3) What did Mid Central Educational Co-op Director Dan Guericke talk about with Scott Westerhuis for an hour on the evening before the tragedy?  (Guericke told the board the two really didn't talk about much at all.)
(4) What happened to the Westerhuis safe, which trotted out of the house like a trained pig right before the house was torched?

Yes, there's going to be a trial of 3 Mid Central employees, including Director Guericke.  Maybe the questions will be answered then...  But I'm not holding my breath.  Will keep you posted.

The other big news of the week hearkens back to last year, when the Flandreau Santee Sioux Tribe reversed course on opening America's first Tribal Marijuana Coffee Shop, and burned the whole crop in November.  (They had been warned that they were going to be raided by federal officials.)  AG Jackley was suspicious that they hadn't burned it all, and talked about charges.  And he did.  He charged Colorado marijuana industry consultants Eric Hagen and Jonathan Hunt for helping the tribe set up their grow room, etc.  (BTW, State AGs can’t prosecute non-Indians for crimes on reservations, but Jackley argued that his office had jurisdiction to prosecute victimless crimes committed by non-Indians.) Hunt rolled over and pled guilty but Hagen went to trial: and was acquitted by a jury. (Hagen testified that he was simply a consultant with experience in the industry who had been hired by the tribe, and apparently the jury agreed with him.) Marty Jackley was restrained, saying that he respected the jury's verdict.  (See the Argus Leader article for more details.)

Many people believe that the reason Jackley pursued this lawsuit was because he and current SD Rep. Kristi Noem (R) are going to duke it out for the South Dakota Governor's Office next year, and he's trying to get out front on the law & order issue. (Most of us think taxes and health care would be more salient...) But, as we move into yet another election year, the questions pile up:
Will GEAR UP! come up?
Will crop insurance?
Will marijuana?
Will riding horses?
Will let you know.

Meanwhile, a friend just told me that a forrmer public works director (no names were named) said that South Dakota doesn't really need federal money for infrastructure, because driving on bumpy roads isn't all that much of an inconvenience. My friend pointed out that tourists might disagree & he said tourism doesn't impact the state economy that much...

Crazy Horse Memorial - Photo by TBennert on Wikipedia

Mount Rushmore - Wikipedia

Badlands National Park - Wikipedia

The Needles - photo courtesy of
Doug Knuth - https://www.flickr.com/photos/dknuth/7677770944/
Wikipedia

Bear Butte - photo courtesy of
Jsoo1, as English Wikipedia image: en:Image:Bearbutte4.jpg

Sturgis motorcycle rally - Photo courtesy of
Cumulus Clouds, Wikipedia

Are our public officials TRYING to run our economy into the ground, or are they just stupid?

More later, from South Dakota, where we talk like Mayberry, act like Goodfellas, and the crazy just keeps on coming.

 

Updates and Repercussions: South Dakota Edition

Back in December, 2005, the Zip Feed Tower in Sioux Falls, SD, was demolished to make room for retail and office space.  Things didn't go that well:

It's still a running joke up here, and they show it semi-regularly on TV.  Eventually they took a crane and wrecking ball to it, which worked a treat.

However, last week we had a tragedy in Sioux Falls, when a building came down that wasn't supposed to:  December 2, 2016, the Copper Lounge building collapsed out of the clear blue sky while a lot of people were having coffee across the street.  A Mercedes parked right outside the building was crushed; a woman who lived in an apartment was trapped with her dogs, all were eventually rescued; but a man who was working construction in the building was killed.  (The Copper Lounge Collapse.)

Now, before it got tragic, I admit, my first thought was to blame HGTV, because all anyone can talk about on those shows these days is an "open floor plan".  Obviously, someone took out a supporting wall. And - sadly - I was right. This was an old building - built in 1916 - and "Sioux Falls City Building Services approved a limited permit authorizing Hultgren Construction to remove interior finishes such as furnishings, floor coverings, ceiling tiles, and an existing bar area." But the permit did NOT authorize removing walls, as you can see they did in the photo to the left. (Hultgren Construction removed that photo from their website, but local news, and others, posted it on Facebook sites time and again.)

Then, two days later, a hole in an adjacent (and now exposed) wall opened up (belonging to an entirely different business). Emergency Management had put up shoring to protect the first responders and to keep more walls from collapsing, but "The weight was eventually going to take it [down]... That area was heavily compromised." Basically, a lot of businesses are closed. And at some point, a lot of lawsuits are going to be started.

So, lesson of the day:  if you must have an open floor plan, remember that old buildings, like people, don't care to have large chunks removed, and make sure that you leave important supporting walls where they are.  And get all the necessary permits.

On to more fun things, like elections.  South Dakota stayed Republican, and if this shocks you, remind me tell you that "The Wizard of Oz" is a work of fiction.  Donald Trump got 227,701 votes, Hillary Clinton got 117,442 votes, and Gary Johnson got 20,845 votes, with 69.6% of the electorate voting, which isn't bad.  We also had a slew of ballot measures, of which 4 passed:

(1) Amendment R, which transfers control of tech schools from local school boards to a new... something. It's now up to the SD legislature to decide what kind of supervision/board and how much funding to give them. (Note to tech schools: our SD legislature is notoriously cheap about everything but EB-5 and Gear Up. Don't hold your breath.)

(2) Initiated Measure 21, which caps payday loans at 36%, no exceptions. I am happy to say that Chuck Brennan, a former rock concert promoter and CitiBank collections professional, the mastermind behind the multi-million dollar Dollar Loan Center, is indeed doing what he promised, which is that if Measure 21 passed, he'd pick up his toys and go back home to Vegas. (Hint: He's not as popular in SD as he thinks he is.) He's selling the recently purchased Huset's Speedway (bought it for $1 million, wants to $9.5 million), and we're all waiting to see what he'll do with Badlands Pawn and Badlands Radio.

They pulled out the star power for Mary's Law ads...

(3) Amendment S, "Marsy's Law", "creating constitutionally protected rights for crime victims" although they already had them under the SD constitution. This one passed in a landslide, because there were so many ads (with and without star power) that there were barely any fast food commercials on TV for October and November.

That was because Marsy's Law is bankrolled by California billionaire Henry Nicholas III, whose sister was murdered in 1983. Her killer was sentenced to life in prison with the possibility of parole, and he and his family attended all the parole hearings, in which the killer was always denied parole.  But apparently that wasn't enough. Mr. Nicholas wants "Marsy's Law" to be not only law nationally, but to become an Amendment to the United States Constitution - see https://en.wikipedia.org/wiki/Marsy's_Law), and is willing to shell out big bucks to do it. (He passes laws, the Hunt boys tried to buy up all the silver in the world, everywhere you look, billionaires have hobbies.)

Anyway, now we have Marsy's Law, and like the dog catching the car, nobody knows what to do with it. The police already aren't giving out address of crime sites anymore – what if there's a victim there? Supposedly, now, a crime victim does not have to be deposed by a defense lawyer (even though that's in the US Constitution.) And everyone agrees that costs will go up, as notifications now have to go to victims of ANY kind of crime (not just felonies) and sentences will probably get longer, as notifications have to be sent to every crime victim and their families.  More later.

(4) Initiated Measure 22, on campaign finance reform. This is the really fun one: It requires more disclosures and reporting; lowers contribution amounts to AND from PACs, parties, and candidates at all levels. It also creates a publicly funded campaign finance program for statewide and legislative candidates who choose to participate and agree to limits on campaign contributions and expenditures. (Under the program, two $50 'credits' are issued to each registered voter, who assigns them to participating candidates. The credits are redeemed from the program, which is funded by an annual State general-fund appropriation of $9 per registered voter. The program fund may not exceed $12 million at any time.) And it creates an appointed ethics commission to administer the credit program and to enforce campaign finance and lobbying laws. It also prohibits certain State officials and high-level employees from lobbying until two years after leaving State government. It also limits lobbyists' gifts to certain state officials and staff members.

In case you're wondering, IM 22 is being fought tooth and nail by the GOP Legislature. Now I understand totally why no one wants to come up with those $50 per-tax-payer-credits.  (HINT: with no income tax, our only revenue is sales tax, and sales have gone down; WAY down.  We don't have money for much of anything in SD.) But that's not the reason our Legislature is already talking about nullifying the will of the people, either by hook (lawsuit) or crook (repeal).  It's about money, honey, and jobs: So far, 12 legislators and 1 organization are filing a Lawsuit HERE, because the legislators are claiming they would need to quit the Legislature or quit their jobs, or their spouses would need to quit their jobs because of conflict of interest. (Makes you wonder who's doing the hiring, doesn't it?)  And the Family Heritage Alliance group ("protecting and promoting faith, family, and freedom", and they only mean conservative Christian), which lobbies our Legislature with considerable success every year, is suing because... well, obviously, they spend some money to get their views... enabled. And our fearless leader, Gov. Dennis Daugaard has (1) said that he'll support repeal if the measure isn't struck down in court and (2) NO MATTER WHAT, he will not fund IM 22.

Meanwhile, going back to Marsy's Law, fear not:  after a month of confusion, our Attorney General, Marty Jackley, has just announced that crime victims have to opt-in for their rights under Marsy's Law, and names, addresses, etc., may continue to be given to news media, insurance companies, etc. (In an interesting twist, he said that crime victims have to opt-in the same way perpetrators do...)  And, although Marsy's Law also increases costs (extra hearings, longer jail times, more contacting victims and victims' families), it will be fully funded, one way or another.

Anyway, one good thing that came out of this is that we know who's running for governor in 2018: South Dakota United States Representative Kristi Noem (who looks great on a horse, and whose family makes their living off of crop insurance, both receiving - 18th largest recipient in the state! - and selling it)



and our Attorney General, Marty Jackley (who still can't find the Westerhuis safe, but does have good Anderson Cooper hair).



They both opened campaign accounts and transferred money in a couple of days before the IM 22 became law (remember, it limits campaign contributions).  So we also know that Noem has $1.6 million and Jackley has $730,000 in their treasure chests.  This should be fun.  This should be epic. Bring popcorn.

Well, that's it for now.  More later, from South Dakota, where we talk like Mayberry, act like Goodfellas, and the crazy just keeps on coming.