Most violations found at Rep. Palumbo beach concessions corrected - Insurance News | InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Newswires
Topics
    • Advisor News
    • Annuity Index
    • Annuity News
    • Companies
    • Earnings
    • Fiduciary
    • From the Field: Expert Insights
    • Health/Employee Benefits
    • Insurance & Financial Fraud
    • INN Magazine
    • Insiders Only
    • Life Insurance News
    • Newswires
    • Property and Casualty
    • Regulation News
    • Sponsored Articles
    • Washington Wire
    • Videos
    • ———
    • About
    • Meet our Editorial Staff
    • Advertise
    • Contact
    • Newsletters
  • Exclusives
  • NewsWires
  • Magazine
  • Newsletters
Sign in or register to be an INNsider.
  • AdvisorNews
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Exclusives
  • INN Magazine
  • Insurtech
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Video
  • Washington Wire
  • Life Insurance
  • Annuities
  • Advisor
  • Health/Benefits
  • Property & Casualty
  • Insurtech
  • About
  • Advertise
  • Contact
  • Editorial Staff

Get Social

  • Facebook
  • X
  • LinkedIn
Newswires
Newswires RSS Get our newsletter
Order Prints
August 2, 2014 Newswires
Share
Share
Post
Email

Most violations found at Rep. Palumbo beach concessions corrected

Tom Mooney and Randal Edgar, The Providence Journal, R.I.
By Tom Mooney and Randal Edgar, The Providence Journal, R.I.
McClatchy-Tribune Information Services

Aug. 02--PROVIDENCE -- State food inspectors returned Friday to three state beach concession stands managed by Democratic state Rep. Peter Palumbo and found that all but 4 of 73 food code violations discovered in recent weeks had been corrected.

While a state health official said none of the violations -- which included fly strips hanging in a food prep area and improper hand sanitation -- was unusual for a new business, they were the latest revelations in a swirling controversy over possible political collusion and ethics infractions now being investigated by the state police.

Palumbo manages the concession stands at Misquamicut State Beach, Scarborough State Beach and Roger Wheeler State Beach for David Caprio, who, as the controversy flared this week, stepped down as chairman of the Rhode Island Democratic Party.

At the center of the controversy is the fact that Caprio, a former legislator, won the five-year contracts after Palumbo backed out and then hired Palumbo to manage them. There is also the issue whether as a sitting lawmaker Palumbo should have been seeking the state work at all.

The contract bidding took place last September.

According to records provided by Governor Chafee's office, Palumbo actually submitted the highest bid, saying he would pay the state $1,776,655 to run the concession stands at the three beaches for five years.

Caprio submitted the second-highest bid -- $1,550,015, while other bids for the three beaches ranged from $1,188,000 to $1,210,710.

One month later, on Oct. 8, 2013, the state Division of Purchases told Palumbo by email that he was "the high bidder" and asked him to provide insurance information.

Palumbo responded by email the next day saying he needed to withdraw his bid because it contained a "clerical error ... which cannot be absorbed."

John Marion, executive director of Common Cause Rhode Island, said it appears that Palumbo, by bidding, violated the state's ethics code.

Marion pointed to a section of the Rhode Island Code of Ethics that says no "member of the General Assembly shall seek or accept state employment" or "service as an independent contractor or consultant to the state or any state agency" while serving in the Assembly or for a period of one year after leaving.

But Marion said the regulation would not apply to Caprio, who left the General Assembly in 2010, or to Palumbo working as a subcontractor for Caprio.

Marion referenced a 2011 Ethics Commission advisory opinion to state Rep. Jared Nunes, D-Coventry, which said a company partly owned by Nunes could not bid on new state snow plowing contracts but could work for other companies with state contracts.

It appears the state was not in violation when it entertained Palumbo's bid, Marion said, because the ethics rule in question applies to lawmakers.

The state "should be aware of all of the laws and rules of bidding on public contracts, that's part of the job of bidding public contracts," he said. "But I don't see how they could be considered to have violated the code of ethics."

Allison Rogers, director of policy for the Department of Administration, echoed that stance when asked why Palumbo was allowed to bid.

"Compliance with the Rhode Island Code of Ethics is the full responsibility of the individual and/or office holder," she said in an email. Rogers also said the department requires bidders to complete a certification form in which they "certify that they will disclose any conflicts of interest."

"As previous stated, Mr. Palumbo withdrew his bid prior to any award and prior to a determination involving his responsibility as a bidder," she said.

The Providence Journal attempted to reach Palumbo on Friday for comment. Concession stand workers at Scarborough beach said he was working in a back office, but he did not come out when a reporter asked to speak to him.

Dr. Ernest Julian, the state's chief of the office of food protection, told The Journal Friday that inspectors first went to Misquamicut State Beach on July 2 after receiving a customer's complaint of uncooked chicken. Inspectors then decided to inspect the two other concession stands after learning they were under new management.

Over the course of three separate inspections at Misquamicut, inspectors found 32 violations. They found 25 violations during one visit to Scarborough and 16 violations during one visit to Roger Wheeler.

The violations included: meat improperly cooked and dated, a fish fillet thawing on the counter in stagnant water, a hand-washing sink blocked by boxes of vegetable oil, food being stored at improper temperatures, raw eggs and meat being stored on top of ready-to-eat food such as vegetables.

Julian said the most serious violation was the discovery of a refrigerator at Misquamicut State Beach running at 50 degrees, several degrees too warm to safely preserve food. All the food had to be discarded.

The concession stand operators have responded quickly to correcting the food violations, Julian said, including hiring a licensed consultant in food preparation and cleaning for all three beaches until their own employees could become certified in safe food handling.

Neither the number or type of violation found warranted closure of any of the concession stands, he said.

The four outstanding code violations were minor, Julian said, such as a defective refrigerator gasket found at the concession at Wheeler beach and tape over a leaky sink spray nozzle at Misquamicut.

The questions surrounding the state's handling of the bids have drawn calls for stronger safeguards.

"The integrity of the public purchasing system is built on transparency," said Gary Sasse, who headed the Department of Administration under former Gov. Donald L. Carcieri and now leads the Hassenfeld Institute for Public Leadership at Bryant University.

"You want a public purchasing system that is perceived as being fair, not playing favorites," he said. "If Caprio gets the contract and doesn't tell the state that he's subcontracting to the guy with the highest bid, then that should raise a lot of questions in the mind of the public."

With reports from staff writer Jennifer Bogdan

___

(c)2014 The Providence Journal (Providence, R.I.)

Visit The Providence Journal (Providence, R.I.) at www.projo.com

Distributed by MCT Information Services

Wordcount:  1020

Older

Kroger drops health coverage of working spouses

Newer

UPMC workers’ compensation unit drops claim in Western Psych shooting

Advisor News

  • When new investment trends emerge, Gen Z is most likely generation to be first in
  • Could ‘plain English’ become an advisor’s secret weapon?
  • IRI urges Senate action on 403(b) parity legislation
  • Three estate planning ideas to protect your clients and their wealth
  • What advisors must know about accessible client documents
More Advisor News

Annuity News

  • NUNN INTRODUCES BILL TO CUT RED TAPE, GIVE IOWANS CLEARER INSURANCE INFORMATION
  • NAIC working group pressed to accelerate annuity illustration overhaul
  • State Auditor James Brown Kicks Off Life Insurance Awareness Month With Policy Locator Tool
  • Wink: Annuity sales post strong Q2, led by MYGAs and structured products
  • Legacy Marketing Group partners with Malibu Life USA for annuity launch
More Annuity News

Health/Employee Benefits News

  • ATTORNEY GENERAL TONG JOINS COALITION CHALLENGING TRUMP ADMINISTRATION'S LATEST ATTACK ON HEALTHCARE FOR TRANSGENDER YOUTH
  • ATTORNEY GENERAL TONG JOINS LAWSUIT CHALLENGING EFFORT TO EXPAND CATASTROPHIC HEALTH INSURANCE PLANS AND AGAIN UNDERMINE ACA PROTECTIONS
  • ATTORNEY GENERAL TONG URGES CONNECTICUT INSURANCE DEPARTMENT TO REJECT DOUBLE-DIGIT HEALTH INSURANCE RATE HIKE REQUESTS
  • Some WNY health insurance rates will stay flat. Others will rise 13.5%
  • Could health care plans with fewer mandates help more Texans get insurance? Marshall lawmaker believes so
Sponsor
More Health/Employee Benefits News

Life Insurance News

  • TDCI reminds consumers to focus on the future during Life Insurance Awareness Month
  • AM Best Affirms Credit Ratings of Zurich Insurance Group Ltd and Its Main Rated Subsidiaries
  • Best’s Market Segment Report: AM Best Maintains Stable Outlook on China’s Non-Life Insurance Segment
  • Understanding Nonequity Split-Dollar
  • Life insurance loans: what to do when a client shows interest in one
Sponsor
More Life Insurance News

NEWS INSIDE

  • Companies
  • Earnings
  • Economic News
  • INN Magazine
  • Insurtech News
  • Newswires Feed
  • Regulation News
  • Washington Wire
  • Videos

FEATURED OFFERS

Press Releases

  • Classic Car Insurer OpenRoad Insurance Expands to 40 U.S. States in Two Years
  • How Aspire General Turned an Early Technology Bet Into Claims Automation at Scale with Kyber
  • Adjusto launches AI-Native contents claims services powered by its technology platform
  • URL Insurance Group Celebrates 40 Years of Service, Growth, and Industry Leadership
  • MassMutual Ascend Surpasses $2 Billion in Lifetime Advisory Annuity Sales, Reflecting Continued Momentum in RIA Channel
More Press Releases > Add Your Press Release >

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Advisor News
  • Annuity Index
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • From the Field: Expert Insights
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Magazine
  • Insiders Only
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Washington Wire
  • Videos
  • ———
  • About
  • Meet our Editorial Staff
  • Advertise
  • Contact
  • Newsletters

Top Sections

  • AdvisorNews
  • Annuity News
  • Health/Employee Benefits News
  • InsuranceNewsNet Magazine
  • Life Insurance News
  • Property and Casualty News
  • Washington Wire

Our Company

  • About
  • Advertise
  • Contact
  • Meet our Editorial Staff
  • Magazine Subscription
  • Write for INN

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2026 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • InsuranceNewsNet Magazine

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.