First Week of Mike Hubbard’s Ethics Trial Concludes
Prosecutors are nearing the end of the first week of testimony in their ethics case against Alabama House Speaker Mike Hubbard.
The attorney general’s office plans to call a number of witnesses related to Hubbard’s consulting contract with a gas utility in southeast Alabama. Hubbard is accused of using his position as speaker to lobby the governor and others on behalf of the utility.
Prosecutors have accused Hubbard of using his political positions to solicit $2.3 million in work and business investments from people with business before the Alabama Legislature. Defense lawyers argue that the transactions were legal and Hubbard sought advice to make sure he was within the bounds of the state ethics law.
Friday morning, the prosecution began the day off on by bringing Brett Buerck to the stand. Buerck is with Majority Strategies, which is the consulting group that worked with the GOP party in 2010. Hubbard was chair of the party during that time.
The state showed, in an email, Hubbard saying, “I will use any influence I have to encourage others not to use them.” Hubbard was referring to Majority strategies, in a dispute about using Hubbard’s printing company (Craftmasters) for campaign materials.
The defense showed they were never explicitly directed to use Craftmasters. The state showed that it was implied as “their only option”.
Hubbard’s consulting work for the Southeast Alabama Gas District was the next topic of discussion, which as stated before is the main topic of the day.
The first witness called to the stand to testify on this topic was Mayor of Dothan, Mike Schmitz. Schmitz stated that Hubbard was hired as a consultant for the gas district and paid $12,000 a month. When he was hired, ethics commission letter implied that Hubbard wasn’t to use his role as speaker in the job.
The district was looking to recruit Commercial Jet to the area to bring in 500 jobs. That would of been good for the economy.
The state aims to show Hubbard used his power as speaker to get the necessary state help to attract Commercial Jet. They needed funding and incentives to get the site in Dothan.
A big update came from President of Dothan Chamber of Commerce, Matt Parker, relating to work on Commercial Jet.
He read a letter from the Ethics Commission that basically said Hubbard was not to use his position as speaker for gas district purposes. He then said that he always felt his dealings with Hubbard throughout the Commercial Jet process, etc. were as Speaker of the House. He didn’t originally have knowledge that the gas district was paying Hubbard.
Enterprise mayor, Kenneth Boswell, says Hubbard was unanimously hired as a consultant for the gas district because of his “position in the state of Alabama and his networking ability.” Boswell spoke about different economic developments where Hubbard was supposed to be acting as an economic developer in different meetings but instead he showed up in a state vehicle and was addressed as Speaker.
The defense argues that no matter where the speaker is, even out of the office, people assume he’s “the Speaker”. He also says that the law requires the Speaker to have protection, even on personal business in the state, and it doesn’t have to be reimbursed.
The defense also points out that Hubbard didn’t use his position as speaker to get the job and that the ethics commission sent a letter saying it was o.k. to offer Hubbard the job, as long as he didn’t use his position as speaker during his consulting work.
Ron Downey, with Region’s bank, took the stand and explained how Craftmaster Printers took out a $600 thousand line of credit and a $1.6 million loan on the building. He says it didn’t appear they would be able to pay off the debt. Hubbard and the other guarantors would have to pay it all back if business didn’t turn around.
President of American Pharmacy Cooperative inc. (APCI), Tim Hamrick, was called to the stand and continued on Hubbard’s connection to APCI. He says they hired the speaker in 2012 to help with out of state business and the connections he had. Hubbard was paid $5,000 a month. APCI sent out a letter saying the independent pharmacies should thank Hubbard for “championing the cause”.
A key part of Hamrick’s testimony came in the form of a letter written by Hamrick to Hubbard. The letter thanked him (Hubbard) for adding language into the general fund budget” that helped APCI’s cause.
A defense cross-examination of Hamrick, showed multiple letters to other legislators thanking them for their help on the legislature.
The state showed APCI was not paying any of those other lawmakers.
The trial will continue Tuesday at 9 a.m.. Billy Beasley, Jimmy Rane, Ferrell Patrick (lobbyist for APCI), and Billy Canary are a few witnesses expected to testify next week.
The trial is expected to last three weeks.
(Copyright 2016 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed. Sarah Cantey contributed information.)
