Beef Plant Fiasco

Ronnie Musgrove took $60,000 in campaign contributions from political action committees and people involved with the Mississippi Beef Processors plant, which ultimately failed and cost taxpayers more than 55 million dollars.

• In an Aug. 29, 2007 editorial, the Clarion-Ledger reported, "The Clarion-Ledger has previously reported that the Facility Group of Smyrna, Ga., acted as project manager for the beef plant after the Mississippi Development Authority hired it in June 2003 for $3.2 million. The Facility Group Political Action Committee then donated $45,000 to Musgrove's re-election bid in August and September 2003.
  
  "Those donations came after Facility Group chairman and CEO Robert Moultrie made an individual donation of $2,000 on July 24, 2003, to Musgrove's campaign.
  
  "Campaign finance reports show that Facility Management Group Inc. also gave Musgrove $1,000 on July 24, 2003, while a total of 11 other Facility Group senior executives individually gave Musgrove $1,000 contributions each on that same July 24, 2003, date, bringing Musgrove's total beef plant related campaign contributions to $60,000." ¹
   
• In a June 3, 2005, article, the Clarion-Ledger reported, "With the stroke of a pen, Mississippi got out of the beef business Thursday, but the scars from a failed processing plant that cost taxpayers more than $55 million likely will linger for years.
  
  "Gov. Haley Barbour signed a bill that pays off a $35 million state-guaranteed loan to build Mississippi Beef Processors in Oakland." ²

The deal was approved during Musgrove's administration:

• In a June 3, 2005, article, the Clarion-Ledger reported, "'Today I am signing legislation to pay the cost of a bad attempt at economic development,' he [Barbour] said. 'Mississippi Beef Processors, a creation of the legislative process led by the current House leadership, is costing taxpayers $40 million.' The Senate also had signed off on the project during former Democratic Gov. Ronnie Musgrove's administration." ³

And Musgrove has talked to a Grand Jury regarding the project:

• In a January 29, 2008, article, the Biloxi Sun Herald reported, "When asked, Musgrove said he had also talked to a grand jury about the Mississippi Beef Processors plant, which defaulted on a $34.5 million state guaranteed loan. The incident, which made headlines in 2004, cost taxpayers $54 million." ⁴

So while Musgrove may say he doesn't like "pork" in Washington, he surely liked beef when he was Governor.

¹ Sid Salter, Column, "Follow The Money In The Beef Plant Fiasco," Clarion-Ledger, August 29, 2007 [PDF]
² John Fuquay, "State Pays Off Beef Plant Debt, Clarion-Ledger, June 3, 2005 [PDF]
³John Fuquay, "State Pays Off Beef Plant Debt, Clarion-Ledger, June 3, 2005 [PDF]
⁴ Michael Newsom, "Musgrove Is Against Pork; Former Governor Wants Less Spending," Biloxi Sun Herald, January 29, 2008 [PDF]