The current pension fund scandal is shedding light on the consequences of the pay-to-play culture existing within our state government.For those unaware, here is a quick, and certainly not whole, account of the scandal: aides to former New York State Comptroller Alan G. Hevesi have been indicted on multiple criminal charges including fraud and conspiracy.  These aides allegedly accepted large sums of personal cash from private investors in exchange for business with the state pension fund.  Attorney General Andrew Cuomo’s investigation has turned up a tangled web of politicians, private investors and lobbyists, all who could have been involved in one way or another.  Hevesi has denied involvement.

How does this relate to public financing of campaigns?

State pension funds can be run in one of two ways; by a sole trustee – as is the case in NY – or by a board of members.  In New York, the sole trustee is the state’s comptroller, a publically elected official, who, aside from his daily task of running the pension fund, must worry about raising campaign funds.

The need to generate large campaign funds creates an added incentive for pension fund operators to seek personal “kickbacks” from the investors they deal with on a daily basis.

While public financing of elections cannot erase corruption nor greed, it can reduce the pressure elected officials – such as our state’s comptroller – feel to raise large sums of money for their campaigns.  In turn, these officials can focus more time making prudent decisions for the people of New York, not their own pockets.

New Yorkers can’t afford to have their money jeopardized by elected officials for personal gain.  This scandal attests to the corrupting influence of pay-to-play culture in our Capitol and the need for campaign finance reform immediately.