“What is the attorney general thinking?” asks CAGW 

(Washington, D.C.) – The more-than 4,000 members and supporters of Citizens Against Government Waste (CAGW) in West Virginia were outraged today when State Attorney General Darrell McGraw filed a notice to appeal U.S. District Judge Colleen Kollar-Kotelly’s decision in the Microsoft antitrust trial.  West Virginia joins Massachusetts as the only remaining litigants in the case.

“Every other state and the federal government have decided that after five years of litigation and $35 million in costs, enough is enough.  West Virginia’s decision threatens the welfare of every state resident by risking additional tax dollars and damaging the already-weak economic environment,” CAGW President Tom Schatz said.  “Earlier today, Attorney General McGraw said he would file an appeal if the state had enough money.  A simple analysis shows it doesn’t.”

West Virginia has a $200 million budget deficit, and Gov. Bob Wise has asked agencies to reduce their budgets for next year by 10 percent.  State officials have warned teachers, whose salaries are $8,000 below the national average, that they may not receive raises this year as a result of the budget problems.

“The taxpayers of West Virginia have every right to question the attorney general’s priorities,” Schatz added.  “What is Darrell McGraw thinking by using scarce tax dollars to pursue costly litigation?  This appeal is unrealistic, imprudent, and irrational.”

After five years, the federal government and nine states reached an agreement last year, which was opposed by nine other states and the District of Columbia.  On November 8, Judge Kollar-Kotelly upheld this settlement with minor changes and rejected the states’ arguments.

In January 2002, CAGW filed Freedom of Information Act (FOIA) requests with all nine states and the District of Columbia that were still pursuing the case.  In response, a February 27 letter from AG McGraw’s office stated that West Virginia had contributed $26,295.44 to a collective cost sharing pool among all participating states.  It also spent $1,589.34 in travel related costs.  Upon the approval of the settlement in November, Microsoft agreed to pay up to $25 million in legal fees for the settling states, and establish a $3.6 million fund for enforcement.  By continuing the litigation, West Virginia could be jeopardizing its share of that money.

“The settlement agreed upon by the court provides an appropriate and tough remedy for Microsoft.  Even Connecticut Attorney General Richard Blumenthal, a hard-line leader of the nine states, said that ‘In litigation, as in life, timing is everything. Now is the time to end this chapter of the case and focus on enforcement,’” concluded Schatz.  “It is absurd for West Virginia to second guess the district court’s decision and risk more taxpayer money.  In an era of larger concerns, especially those relating to homeland security, it is time for AG McGraw to move on and reallocate the resources he is devoting to this case.  The taxpayers of West Virginia deserve better.”

Citizens Against Government Waste is a nonpartisan, nonprofit organization dedicated to eliminating waste, fraud, mismanagement and abuse in government.