Legal Ethics

$1.8M Legal Bill from Gov's Firm Makes Pa. Lawmakers See Red

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Pennsylvania’s governor is under fire for bringing in his former law firm, Ballard Spahr Anderson & Ingersoll, at a cost of $1.8 million, to do tax work related to a proposed lease of the Pennsylvania Turnpike.

Gov. Ed Rendell says Ballard Spahr is expert at such work, and state general counsel Barbara Adams says there was no conflict of interest in hiring the governor’s former law firm, which she recommended. But lawmakers on both sides of the aisle are furious about what they perceive as a high-priced plum legal contract being handed out without their knowledge or agreement, according to the Tribune-Review, a Pittsburgh newspaper. There is also concern that the governor is quietly putting together a turnpike lease deal without enough legislative input.

To prevent similar deals in the future, there is talk about enacting a new law that would require legislative approval of state contracts above a certain amount, say $5,000.

“I’m very concerned about that issue and very disappointed,” says state Sen. Barry Stout (D-Bentleyville), who serves as minority chair of the Senate Transportation Committee. “I have always advocated for additional money to pay for roads, but this money—about $2 million—for Ballard Spahr could have been spent to fix potholes and maintain highways.”

Ballard Spahr lawyers have been billing as much as $675 per hour, but the firm reportedly is discounting its fees to the state on the turnpike matter by 15 percent. Rendell’s former chief of staff, John Estey, and former deputy chief of staff, Adrian King, are both partners at Ballard Spahr.

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