August 20, 2010 10:57 PM UTC

Judge to Pinnacol: You Cannot Have Cake, Eat Cake Too

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• by: Colorado Pols

An unhappy development for executives at embattled state entity Pinnacol Assurance, the insurer of last resort that’s been the subject of a great deal of commotion the past few years. When we last left Pinnacol, CEO Ken Ross was being held back physically by staff from assaulting reporters after questions emerged about misuse of Pinnacol funds for a swanky golfing junket. Pinnacol, as a state entity, doesn’t pay taxes other insurance companies have to pay, but asserted in response to questions about this junket that they aren’t subject to the Colorado Open Records Act.

Wrong answer, reports 7NEWS:

A Denver judge ruled that Pinnacol Assurance must turn over records of a controversial trip to Pebble Beach that 7NEWS requested under state open records laws.

Denver District Judge Morris Hoffman ruled that Pinnacol is public and that there was no reason to withhold the records.

“It’s just that the information is embarrassing,” Hoffman said, adding that was Pinnacol’s primary reason for trying to block the information from becoming public…

“This is the right decision under the law and the right decision for the people of Colorado,” said State Sen. Morgan Carroll (D-Aurora). “If we learned anything over the past year, it is that Pinnacol needs to answer to injured workers, to the businesses it serves, and to taxpayers about how it does business, just like any governmental agency. I’m glad the courts agreed.”

You’ll recall that in 2009, Pinnacol’s hefty surpluses were proposed to be part of a budget solution to stave off some $300 million in cuts, the argument being that Pinnacol is a state entity and Pinnacol’s surpluses can be tapped like other state funds. In the end, the cries of “socialist takeover” and “government pillages private business”–both quite silly, but eagerly promulgated by Pinnacol’s lobbyists–made reasonable negotiations impossible. Attempts to engage Pinnacol as part of a budget solution this year went nowhere, as the offer made by them was basically a joke.

It would seem they have less to smile about now, folks.